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 © 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

Wisconsin Governor Vetoes Age Verification Bill

Gov. Tony Evers on Friday vetoed AB 105, an age verification bill that would have allowed anyone to sue adult content providers for damages over alleged failure to age-verify users in Wisconsin, with penalties of up to $10,000 per violation.

FSC Releases Statement on Wisconsin Governor Vetoing AV Bill

The Free Speech Coalition has released a statement on Wisconsin Governor Tony Evers' veto of the state's age verification legislation.

AV Bulletin: West Virginia Enacts AV Law, Ohio 'Innocence Act' Advances

This roundup provides an update on the latest news and developments on the age verification front as it impacts the adult industry.

Woodhull Survey Reveals Concern Among Sex Educators Over AV Laws' Impact on Access

A national survey of sex educators by the Woodhull Freedom Foundation found that a majority of sex educators and sexual health professionals are concerned that age verification (AV) laws will negatively impact access to information and resources.

Clips4Sale Wins Trademark Infringement Case Against Fraudulent Domain

The World Intellectual Property Organization (WIPO) has ruled in favor of content platform Clips4Sale in a case against a website using a similar domain to impersonate the site.

FSC Talks Age Verification on Capitol Hill

The Free Speech Coalition (FSC) has published a blog post detailing the organization's talks on age verification on Capitol Hill in Washington.

FTC Warns PayPal, Stripe, Visa, Mastercard Against Debanking

Federal Trade Commission Chairman Andrew Ferguson sent letters on Thursday to the CEOs of PayPal, Stripe, Visa and Mastercard, warning them against debanking practices — including denying customers access to services based on lawful business activities perceived as high-risk.

EU Cites 4 Adult Sites for AV Breaches

The European Commission has preliminarily found PornHub, Stripchat, XNXX and XVideos to be in breach of Digital Services Act provisions intended to shield minors from adult content.

Brazil Sets Enforcement Timeline for New AV Rules

Brazil’s National Data Protection Authority (ANPD) on Friday published a timeline outlining planned steps for monitoring and enforcing age verification under the country’s Digital Statute for Children and Adolescents (Digital ECA), which took effect Tuesday.

Show More