In six years, hundreds of zoning, sales tax and licensing violations were dismissed in city, state and federal courts, but at least 1,000 charges, each carrying a fine up to $1,000 and possible jail time, remained before a settlement with Littleton, according to Michael Gross, an attorney who represented the store.
Littleton’s city attorney said he was seeking jail time and substantial fines against Christal’s in a trial scheduled to begin Jan. 9, as well as other cases on the docket.
Under terms of the settlement, Christal’s will pay a $50,000 fine, plead guilty to certain charges, accept deferred judgments on others and agree to be subject to penalties in any future violations. The store had paid at least $82,000 in fines since 1999.
In its case that reached the high court, Christal’s, located near a church and a day-care center, had sued suburban Littleton after authorities tried to enforce a licensing ordinance for adult businesses.
The store’s owner argued Christal’s wasn’t subject to the ordinance because less than half the store was devoted to sexually explicit videos, sex toys and novelties.
Christal’s owner, Golden, Colo.-based Z.J. Gifts, argued that the local government was infringing on free-speech rights.
But the U.S. Supreme Court disagreed in City of Littleton, Colo., vs. Z.J. Gifts LLC, No. 02-1609. Justices said even if a business-licensing dispute amounts to a free-speech issue, a judge shouldn’t be forced to give it priority over other cases. “The pandering of sex is not protected by the 1st Amendment,” Justice Antonin Scalia said. “The city was within its rights to regulate the placement and operation of the business.”
On Thursday, Gross said that the closure was inevitable. “The city made up its mind that the store had to go and they weren’t going to spare any expense,” he said.