Industry Research

Judge Dismisses Claims In Strip Club-Taxi Driver Lawsuit

Posted on June 10, 2011

LAS VEGAS -- A federal judge has dismissed claims in a racketeering lawsuit filed by a Southern California man who accused Las Vegas strip clubs, taxi companies and limousine providers of running illegal kickback schemes.

Theodore Trapp filed the lawsuit in 2009. He alleged he boarded a cab at Caesars Palace for a trip to a club called Play it Again Sam on Spring Mountain Road, but the driver disparaged the club and offered to take him to a better club.

Trapp said he accepted the offer but later learned the strip club had paid the driver as much as $100 in kickbacks for delivering him.

According to the lawsuit, the practice has scammed tourists out of as much as $40 million over the years.

Last week, Senior U.S. District Judge Lloyd George granted requests by several owners of adult nightclubs to dismiss the claims against them.

"That some taxi drivers engage in unlawful conduct to obtain a lawful payment from an adult nightclub does not cause the adult nightclub's payment to be unlawful," George wrote in his order.

Claims against several taxi and limousine companies were previously dropped.

Source: Las Vegas Review-Journal

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