Vegas Gentlemen’s Clubs Dole Out $40M Annually to Taxi Drivers, Suit Says

LAS VEGAS -- A federal suit filed Tuesday is certain to put the city’s strip clubs and taxi and limo businesses under the microscope.

Drivers from more than two dozen cab and limo companies have been listed as defendants after Calfornia resident Theodore Trapp said that many of the area’s strip clubs pay drivers as much as $100 per person to bring people to their venues.

Those clubs named in the suit include Cheetah’s, the Badda Bing Men's Club, the Can Can Room, Club Paradise, Deja Vu Showgirls, The Palomino Club, Sapphire, Spearmint Rhino, Treasures, Little Darlings, Olympic Gardens and Larry Flynt's Hustler Club.

Trapp said in the suit filed at U.S. District Court in Las Vegas that some drivers make as much as $100,000 a week. He also goes on to claim that the total damage to strip-club consumers amounted to $40 million in kickbacks last year.

The long-standing practice of clubs paying drivers to bring in customers echoes a similar suit filed in Clark County Court last October. The practice is illegal under two separate Nevada statutes.

Trapp, who claimed he was on his way to burlesque club Play It Again Sam, said in the suit that his own taxi driver discouraged him from going to that destination and "misled [him] into believe that his chosen destination was somehow undesirable," telling him, "'There are better clubs' ... 'The girls are better at other clubs.’”

"The illegal scheme is negatively impacting the city of Las Vegas and the state of Nevada," the suit said. “The harm to customers [doesn’t] end when a customer exit’s a given cab.”

Trapp claims the clubs recoup the money spent on kickbacks by watering liquor, selling cheap booze as brand name, padding customers' bills, and "threats of actual physical harm" to customers.

“[T]he aggregate of this practice fosters an environment that discourages people from returning to Las Vegas as these individuals have unwittingly become ensnared in an illegal scheme and are unable to travel freely via common carrier,” the suit said.

Trapp noted in the suit a local TV news investigation that uncovered the practice. He also said that a book, “Stripped: Twenty Years of Secrets From Inside the Strip Club,” provides a full insider’s view of the scheme.

“The author worried that the only way this extortion practice would end will be with one wrecked cab, a pile of half-a-dozen dead tourists and Las Vegas on the national media hot seat for our irresponsible behavior,” the suit said.

In October, two Las Vegas strip clubs filed suit against 12 competing clubs and their employees, alleging that the clubs and their employees bribed taxi drivers to take passengers to 12 clubs instead of the two that filed the suit.

Deja Vu Showgirls and Little Darlings of Las Vegas filed that suit in Clark County, claiming that taxi drivers would disparage Deja Vu and Little Darlings with comments like, "It's a dump," and descriptions of the dancers as "old hogs" and "chicks with bullet wounds," taking passengers to the defendant clubs in exchange for tips and kickbacks from club employees.

Tuesday's suit, which seeks class-action status, asks for an injunction to the practice, as well as punitive awards.

XBIZ could not immediately reach Trapp's attorney, James Smyth II, Wednesday evening for comment.

Related:  

Copyright © 2025 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

Missouri Lawmaker Attempts to Revive 'Health Warnings' for Adult Sites

A Missouri state representative has introduced a bill that would require adult sites to post notices warning users of alleged physical, mental, and social harms associated with pornography, despite a previous federal court ruling against such requirements.

Ruling: Italy's 'Porn Tax' Applies to All Content Creators

Italy’s tax revenue agency has ruled that the nation’s 25% “ethical tax” on income generated from adult content applies even to smaller independent online content creators.

Proposed New Hampshire AV Bill Appears to Violate Constitution

A bill in the New Hampshire state legislature, aimed at requiring adult sites to age-verify users in that state, contains a provision that seemingly contradicts the Supremacy Clause in Article VI of the U.S. Constitution.

Online Child Protection Hearing to Include Federal AV Bill

A House subcommittee will hold a hearing next week on a slate of bills aimed at protecting minors online, including the SCREEN Act, which would make site-based age verification of users seeking to access adult content federal law.

FSC Announces 2025 Board of Directors Election Nominees

The Free Speech Coalition (FSC) has announced the nominees for its 2025 Board of Directors election.

Canada Exempts Online Adult Content From 'CanCon' Quotas

The Canadian Radio-television and Telecommunications Commission (CRTC) has updated its broadcasting regulatory policies, exempting streaming adult content from “made in Canada” requirements that apply to other online material.

Creator Law Firm 'OnlyFirm' Launches

Entertainment attorney Alex Lonstein has officially launched OnlyFirm.com for creators.

German Court Puts Pornhub, YouPorn 'Network Ban' on Hold

The Administrative Court of Düsseldorf has temporarily blocked the State Media Authority of North Rhine-Westphalia (LfM) from forcing telecom providers to cut off access to Aylo-owned adult sites Pornhub and YouPorn.

FSC: NC Law Invalidating Model Contracts Takes Effect December 1

The Free Speech Coalition (FSC) has issued a notice that North Carolina's Prevent Exploitation of Women and Minors Act goes into effect on December 1.

NYC Adult Businesses Seek SCOTUS Appeal in Zoning Case

Attorneys representing a group of New York City adult businesses are asking the U.S. Supreme Court to hear an appeal of a lower court’s decision allowing enforcement of a 2001 zoning law aimed at forcing adult retail stores out of most parts of New York City.

Show More