Wil-Kar, Inc. v. Village of Germantown

153 F. Supp. 2d 982, 2001 U.S. Dist. LEXIS 13136, 2001 WL 935718
CourtDistrict Court, E.D. Wisconsin
DecidedAugust 13, 2001
Docket01-C-0266
StatusPublished
Cited by9 cases

This text of 153 F. Supp. 2d 982 (Wil-Kar, Inc. v. Village of Germantown) is published on Counsel Stack Legal Research, covering District Court, E.D. Wisconsin primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Wil-Kar, Inc. v. Village of Germantown, 153 F. Supp. 2d 982, 2001 U.S. Dist. LEXIS 13136, 2001 WL 935718 (E.D. Wis. 2001).

Opinion

DECISION AND ORDER

ADELMAN, District Judge.

I. FACTUAL AND PROCEDURAL BACKGROUND

Plaintiff Video Update, a business that rents and sells videotapes, brings this action under 42 U.S.C. § 1983 challenging the constitutionality of a Village of Ger-mantown ordinance requiring “adult-oriented establishments” to obtain a license in order to operate. Germantown, Wis., Ord. § 12:24 (1992) [hereinafter “Ord.”]. Plaintiff rents and sells videos of general distribution to all audiences and devotes about five percent of its square footage to adult material. About two percent of plaintiffs 30,000 videos are in the adult category, and it derives about seven percent of its average weekly revenue of about $8,000 from renting and selling such videos. Plaintiff has always displayed its adult videos in a separate section from which minors are excluded. Plaintiff has been in business since 1991, and the ordinance was enacted in 1992.

In January 2001 a Germantown police officer inspected the store and ordered the adult section closed because plaintiff did not have an adult-oriented establishment license as required under the ordinance. Immediately thereafter plaintiff applied for a license, submitting an application, a $250 fee, and other required material including its owners’ fingerprints and employment histories. In February 2001, over objections from the village attorney and police chief, the village board granted plaintiff a license subject to the conditions that its adult videos remain segregated and that no advertising of such videos be visible from the building’s exterior.

*987 Plaintiff argues that the licensing ordinance violates the First Amendment both on its face and as applied. Plaintiff contends that the ordinance is overbroad, a prior restraint, and unconstitutional in other respects. Plaintiff now moves for a preliminary injunction. 1

II. REQUIREMENTS FOR PRELIMINARY INJUNCTION

To obtain a preliminary injunction, plaintiff must show (1) a reasonable likelihood of success on the merits; (2) that it has no adequate remedy at law; (3) that it will suffer irreparable harm if an injunction does not issue; (4) that the threatened injury it faces outweighs the injury defendant will suffer if the injunction is granted; and (5) that an injunction is in the public interest. JAK Prods., Inc. v. Wiza, 986 F.2d 1080, 1084 (7th Cir.1993). Although in theory these elements are distinct, in the First Amendment context they essentially reduce to the question of whether plaintiff is likely to succeed on the merits. Tanford v. Brand, 883 F.Supp. 1231, 1237 (S.D.Ind.1995). This is because the loss of First Amendment freedoms is presumed to constitute irreparable harm, and irreparable injury establishes that there is no adequate remedy at law. Further, because governmental compliance with the First Amendment always serves the common good, the public interest also turns on the merits. Id.

III. STANDARD OF REVIEW

The First Amendment, as made applicable to the states through the Fourteenth Amendment, provides that, “Congress shall make no law ... abridging the freedom of speech.” U.S. Const, amend I. The Germantown ordinance is a licensing regulation that requires adult-oriented establishments to obtain “adult-oriented establishment licenses” from the village board. Ord. § 12.24(3). The First Amendment standard that applies to a licensing ordinance depends on whether the ordinance targets the content of the licensed speech. Blue Canary Corp. v. City of Milwaukee, 251 F.3d 1121, 1123 (7th Cir.2001). Content-based regulations are defined as those that distinguish favored from disfavored speech based on the ideas expressed. Turner Broadcasting Sys., Inc. v. FCC, 512 U.S. 622, 643, 114 S.Ct. 2445, 129 L.Ed.2d 497 (1994). By contrast, content-neutral regulations treat all speech similarly in an effort to advance significant government interests unrelated to content. Schultz v. City of Cumberland, 228 F.3d 831, 840 (7th Cir.2000). For example, a general ban on speech in the vicinity of a school is content-neutral, Grayned v. City of Rockford, 408 U.S. 104, 119-20, 92 S.Ct. 2294, 33 L.Ed.2d 222 (1972), whereas an analogous ban on speech with an exemption for speech related to labor disputes is content-based, Police Dep’t of City of Chicago v. Mosley, 408 U.S. 92, 95, 92 S.Ct. 2286, 33 L.Ed.2d 212 (1972).

Subject to an exception discussed below, content-based regulations are presumptively invalid under the First Amendment and are subject to strict scrutiny. R.A.V. v. City of St. Paul, Minn., 505 U.S. 377, 382, 112 S.Ct. 2538, 120 L.Ed.2d 305 (1992). Strict scrutiny applies to regulations of this type because their purpose is typically to suppress free expression, contrary to the First Amendment imperative that the government is not to discriminate against speech based upon its viewpoint or subject matter. Schultz v. City of Cumberland, 228 F.3d 831, 840 (7th Cir.2000).

Content-neutral regulations, on the other hand, are not subject to strict scruti *988 ny but to a more forgiving, intermediate scrutiny. Schultz, 228 F.3d at 845. Under intermediate scrutiny, regulations on speech are constitutional if (1) they further an important or substantial governmental interest; (2) the governmental interest is unrelated to the suppression of free expression; and (3) the incidental restriction on expression is no greater than essential to the governmental interest. United States v. O’Brien, 391 U.S. 367, 377, 88 S.Ct. 1673, 20 L.Ed.2d 672 (1968).

I thus assess whether the Germantown ordinance is content-based or content-neutral. The ordinance imposes licensing requirements upon “adult entertainment stores,” which it defines as establishments whose stock in trade includes materials “which have as their dominant theme or are distinguished or characterized by their emphasis on matters depicting, describing or relating to ‘specific sexual activities’ or ‘specified anatomical areas.’ ” Ord. § 12:24(2)(b). 2 The ordinance thus on its face targets expression based upon its content. Because it treats erotic expression differently than other expression, it is content-based. Schultz, 228 F.3d at 843.

Nevertheless, as earlier mentioned, there is an exception to the general rule that strict scrutiny applies to content-based regulations. Id.; DiMa Corp. v.

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153 F. Supp. 2d 982, 2001 U.S. Dist. LEXIS 13136, 2001 WL 935718, Counsel Stack Legal Research, https://law.counselstack.com/opinion/wil-kar-inc-v-village-of-germantown-wied-2001.