Texas Strip Club Fee Challenge Precluded by Previous Ruling

Texas can continue to impose a fee on strip clubs and other sexually oriented businesses that permit alcohol on their premises, a split federal appeals court said Monday.

By a 2-1 vote, the US Court of Appeals for the Fifth Circuit said a recent change in the law, doubling the per-visitor fee from $5 to $10, isn’t grounds to re-litigate a 2011 state court decision upholding the fee as constitutional.

The majority applied the principle of res judicata, which prevents parties from relitigating claims.

Judges Leslie Southwick and Catharina Haynes concluded the Houston strip club, 9000 Airport, which does business ...