Calif. Appeal Court Rejects Alcohol Sales at L.A. Gentlemen's Club

LOS ANGELES — Owners of Little Tokyo Showgirls have every right to free speech but not to sell alcohol, a California appeal court ruled Monday.

Little Tokyo Showgirls, located downtown Los Angeles bordering on the Little Tokyo and Arts District, was designed by owner SP Star Enterprises Inc. to bring in wealthy, VIP-type clientele to the heavily industrial area. At one point the club was a Penthouse-branded gentlemen’s club.

But the 7,000-square-foot club has been road-blocked by the city Planning Commission over the issue of not being able to obtain a liquor license, which was the reason SP Star decided to sue the city.

Without a liquor license, SP Star said, business partner Penthouse bailed from the deal.

On Monday, however, the state Court of Appeal affirmed a Los Angeles Superior Court order that denied a conditional-use permit allowing liquor sales at the club.

In the suit, SP Star said out that if it would sell liquor, it would be required by Alcoholic Beverage Control regulations to limit its entertainment to topless dancing on a stage at least six feet from the nearest patron.

SP Star operators said they had invested more than $1 million in the club, would provide additional security and that the city zoning administrator agreed to grant the permit for one year.

But later, the Hompa Hongwanji Buddhist Temple and the operators of the Fukui mortuary appealed the zoning administrator’s decision.

Fukui voiced fears that sale of liquor so close to the mortuary would lead to mourners being disturbed. Fukui, which is three blocks from the club, is the site of more than 500 services a year and that they often go into the night in accordance with Japanese-American custom.

City Council members also opposed the permit and a Los Angeles Planning Commission official also testified about the problems with allowing liquor sales at the club, claiming that that “disaster follows if you combined alcohol, testosterone and late hours.”

The Planning Commission official predicted the facility would become a magnet for inmates being released from the Twin Towers county jail a few blocks away and for denizens of the nearby Skid Row area.

Planning Commissioners,3-1, sided with the objectors, with the majority saying the proposed use was inconsistent with the ongoing revitalization of the Little Tokyo and Arts District areas.

In the ruling Monday, justices denied SP Star’s petition to review the lower court’s decision.

“Problems at existing bars support denial of additional permits in the area,” the court ruled. “[T]he testimony and evidence submitted to the [Planning Commission] rationally was related to preservation of the character and integrity of the neighborhood based on current conditions and problems experienced in the area.”

The court distinguished cases involving other forms of commercial speech, striking down laws that gave public officials unfettered discretion over certain activities, including the placement of news racks or compliance with vague moral standards in order to obtain a permit to exhibit motion pictures.

Those cases, the court said, “uniformly involve speech, not on-site sale and consumption of alcohol.”

SP Star, the court wrote, has a permit to engage in protected activity, but has no vested right to make that activity more profitable.

Related:  

Copyright © 2026 Adnet Media. All Rights Reserved. XBIZ is a trademark of Adnet Media.
Reproduction in whole or in part in any form or medium without express written permission is prohibited.

More News

AV Bulletin: Midyear Roundup

Since the U.S. Supreme Court’s decision in Free Speech Coalition v. Paxton, more state age verification laws have been enacted around the United States, as well as proposed at the federal level and in other countries. Meanwhile, lawsuits resulting from AV laws have begun to play out in the courts. This roundup provides an update on the latest news and developments on the age verification front as it impacts the adult industry.

Williams Trading Names Lindy Court Sales Representative

Williams Trading has appointed Lindy Court as its new sales representative.

Full Circle Expands 'Be Savage' Line

Full Circle Distribution has introduced 30 new styles from its Be Savage line of lingerie.

Sportsheets to Debut 'Signature' Collection at ANME

Sportsheets will introduce its new Signature collection at the ANME trade show in Burbank next month.

JO Debuts 'Bake Shoppe' Lube Collection

JO has introduced its Bake Shoppe Collection of flavored lubricants.

Dollmora Wellness Now Offering OEJ's Cristal, Zodiac Collections

Dollmora Wellness has partnered with Our Erotic Journey (OEJ), adding the Zodiac and Cristal Collections to its curated catalog of pleasure products.

Aneros Debuts 'Soaker' Cleaning Accessory

Aneros has introduced its new Soaker accessory for cleaning prostate massagers.

Lovense Launches 'Control Me' Livestream Feature

Lovense has officially launched its new Control Me feature for livestreams.

Judge Dismisses Last NCOSE-Backed Suit Over Kansas AV Law

A federal judge on Monday dismissed a lawsuit alleging that adult site SuperPorn violated Kansas’ age verification law, citing lack of jurisdiction after similarly dismissing two related cases earlier this year.

Wicked Sensual Care Debuts 'Natural' Lube From 'Simply' Collection

Wicked Sensual Care (WSC) has introduced the new Natural lubricant from its Simply collection.

Show More