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July 25, 201.7 I Volume 11 I Issue 14 Zoning Bulletin <br />The Court's Decision: Judgment of Supreme Court, Appellate Divi- <br />sion, reversed. Judgment for the City. <br />The Court of Appeals of New York held that the City had met its burden of <br />demonstrating that the establishments affected by the 2001 Amendments <br />retained a predominant focus on sexually explicit materials or activities. Thus, <br />the court concluded that the 2001 Amendments did not violate the Businesses' <br />First Amendment rights. <br />Importantly, in reaching its decision, the court also held that at the third <br />stage of a three-part burden -shifting framework for First Amendment chal- <br />lenges to zoning adult businesses, the municipality has "only a modest <br />burden." The court noted that the United States Supreme Court has instructed <br />that in First Amendment cases applying intermediate scrutiny, a court's task, <br />when reviewing a legislature's factual or predictive judgments, is "to assure <br />that, in formulating its judgments, [the legislature] has drawn reasonable infer- <br />ences based on substantial evidence." The court said that same deferential <br />standard is applicable ",to a municipality's factual or predictive judgments in <br />the adult use zoning context." More specifically, the court said that in the <br />third -stage of the burden -shifting framework for determining the constitution- <br />ality of zoning that regulates adult establishments, the municipality need only <br />show evidence that "fairly support[s]" the conclusion- that there is an ongoing <br />focus on the sexually explicit; the municipality "need not `perform a formal <br />study or a statistical analysis . . .." <br />Thus, the court said that, here, the City did not have to "establish that it <br />ha[d] looked at a representative sample of 60/40 businesses in the city." In <br />other words, the City, in demonstrating an ongoing focus on the sexually ex- <br />plicit, had to meet the same evidentiary burden at the third stage of the <br />framework as it had to meet at the first stage. The trial cpurt's task, said the <br />Court of Appeals, was "to decide whether the City had relevant evidence rea- <br />sonably adequate to support its conclusion that the adult establishments <br />retained a predominant, ongoing focus on sexually explicit activities or <br />materials." <br />Here, the court found that the City met its burden of showing continued <br />focus on sexually explicit activities and materials by the Businesses. For <br />example, the court found that evidence showed that stores that stocked non - <br />adult magazines in the front of the store but still contained peep booths in the <br />back of the store were "no less sexual in [their] fundamental focus." Similarly, <br />topless clubs that had small signs and an adjoining comedy club; still retained <br />a "predominate sexual focus." <br />Having found that the adult establishments continued to have a predominant <br />focus on sexually explicit materials and activities, despite technically meeting <br />the 60/40 rule, the court concluded that the 2001 Amendments were facially <br />constitutional. <br />See also: City of Los Angeles v. Alameda Books, Inc., 535 U.S. 425, 122 S. <br />Ct. 1728, 152 L. Ed. 2d 670, 30 Media L. Rep. (BNA) 1769 (2002). <br />Case Note: <br />The Businesses had also challenged the 2001 Amendments as being unconstitutional <br />8 ©2017 Thomson Reuters <br />