State v. Pangaea Cinema, L.L.C. , 2013 NMSC 44 ( 2013 )


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    New Mexico Compilation
    Commission, Santa Fe, NM
    '00'04- 10:09:39 2013.10.14
    IN THE SUPREME COURT OF THE STATE OF NEW MEXICO
    Opinion Number: 
    2013-NMSC-044
    Filing Date: September 12, 2013
    Docket No. 33,693
    STATE OF NEW MEXICO,
    CITY OF ALBUQUERQUE,
    Plaintiffs-Respondents,
    v.
    PANGAEA CINEMA LLC d/b/a
    GUILD CINEMA LLC, KEIF
    HENLEY, registered agent,
    Defendants-Petitioners.
    ORIGINAL PROCEEDING ON CERTIORARI
    Carl J. Butkus, District Judge
    ACLU of New Mexico
    Laura Louise Schauer Ives
    Albuquerque, NM
    Morrissey Lewis L.L.C.
    Kari T. Morrissey
    Albuquerque, NM
    for Petitioners
    John E. Dubois, Assistant City Attorney
    Albuquerque, NM
    for Respondents
    OPINION
    CHÁVEZ, Justice.
    {1}    On a November weekend in 2008, an art-house movie theater in Albuquerque’s Nob
    1
    Hill neighborhood hosted a film festival. The Nob Hill Business Association described the
    event as “a success, not only in driving [customer] traffic to the area, but also in the quality
    and caliber of those customers.” The Association specifically noted that there were “almost
    no negative comments” and that it hoped the film festival would continue to present the
    festival. Several local business owners stated that the festival had positive effects on the
    neighborhood, including increased sales and broader public awareness of the businesses in
    the area. The festival did not cause any crime or other negative effects in the neighborhood.
    {2}     The festival was titled “Pornotopia,” and it featured at least one erotic or
    pornographic film. Other than the weekend of Pornotopia, the theater showed non-
    pornographic films. Despite Pornotopia’s positive impact on the neighborhood and the
    generally non-adult nature of the hosting theater, the theater was convicted of a zoning
    violation for operating an “Adult Amusement Establishment” in an improper zone. See
    Albuquerque, N.M., Code of Ordinances, § 14-16-1-5(B) (1974, amended 2012) (defining
    “adult amusement establishment”). The theater argues before this Court that the conviction
    violated its state and federal constitutional rights to free speech.
    {3}      An “adult amusement establishment” is defined in the Albuquerque Code of
    Ordinances as “[a]n establishment such as [a] . . . theater . . . that provides amusement or
    entertainment featuring . . . films, motion pictures . . . or other visual representations or
    recordings characterized or distinguished by an emphasis on . . . specified anatomical areas
    or . . . specified sexual activities.” Id. Consistent with our responsibility to interpret
    ordinances to avoid constitutional concerns, we interpret the term “adult amusement
    establishment” to apply only to traditionally adult businesses. Because this category does
    not include theaters that rarely or only occasionally feature adult entertainment, the theater
    in this case was not an adult amusement establishment, and it did not commit a zoning
    violation. Therefore, we do not reach the constitutional questions raised by the theater.
    BACKGROUND
    {4}     Defendant Pangaea Cinema (“the Guild”) is a limited liability company that does
    business as the Guild Cinema in the Nob Hill area of Albuquerque. The Guild is an art-
    house theater that usually shows non-pornographic independent films. However, on the
    weekend of November 14-16, 2008, the Guild hosted an erotic film festival called
    “Pornotopia.” This was the second time that the Guild had presented Pornotopia, and the
    festival was apparently intended to be an annual event.
    {5}      The Guild is located in an area of Albuquerque that is zoned C-2, or “Community
    Commercial.” Albuquerque does not permit adult amusement establishments in C-2 zones.
    See Albuquerque, N.M., Code of Ordinances, § 14-16-2-17(A) & (B) (1974, amended 2012)
    (not listing adult amusement establishments as either permissive or conditional use in C-2
    zones); Albuquerque, N.M., Code of Ordinances, § 14-16-1-3(B) (1974, amended 1980)
    (“Any use not designated a permissive or conditional use in a zone is specifically prohibited
    from that zone, except as otherwise provided herein.”). The City defines an “adult
    2
    amusement establishment” as
    An establishment such as an auditorium, bar, cabaret, concert hall, nightclub,
    restaurant, theater, or other commercial establishment that provides
    amusement or entertainment featuring one or more of the following:
    (1)    A live performance, act or escort service distinguished or
    characterized by an emphasis on the depiction, description, exposure, or
    representation of specified anatomical areas or the conduct or simulation of
    specified sexual activities; or
    (2)      Audio or video displays, computer displays, films, motion
    pictures, slides or other visual representations or recordings characterized or
    distinguished by an emphasis on the depiction, description, exposure or
    representation of specified anatomical areas or the conduct or simulation of
    specified sexual activities.
    Section 14-16-1-5(B).
    {6}       The City of Albuquerque apparently became concerned that the Guild’s screening
    of the films in Pornotopia might constitute a zoning violation. Two zoning enforcement
    inspectors visited the festival and watched a film entitled “Couch Surfers, Trans Men in
    Action.” The parties agree that the film was characterized or distinguished by an “emphasis
    on . . . specified anatomical areas or . . . specified sexual activities” as described in Section
    14-16-1-5(B). On the basis of this screening, the City determined that the Guild was
    operating as an adult amusement establishment in an area that was not zoned for adult
    entertainment.
    {7}     In December 2008, the State of New Mexico and the City of Albuquerque charged
    the Guild with a criminal zoning violation in metropolitan court. (For clarity, we refer to the
    prosecuting body either as “Albuquerque” or “the City.”) The metropolitan court found the
    Guild guilty, and the Guild appealed to the Second Judicial District Court. The district court
    held that the Guild had committed a zoning violation and that the zoning ordinances were
    constitutional as they applied to the Guild. The district court also imposed a criminal fine
    of $500. The Court of Appeals affirmed the Guild’s conviction. City of Albuquerque v.
    Pangaea Cinema LLC, 
    2012-NMCA-075
    , ¶ 1, 
    284 P.3d 1090
    , cert. granted, 2012-
    NMCERT-007.
    DISCUSSION
    {8}     The parties agree on the salient facts of the case, and our role is to interpret the
    3
    Albuquerque ordinance at issue.1 “Interpretation of municipal ordinances and statutes is a
    question of law that we review de novo.” Stennis v. City of Santa Fe, 
    2008-NMSC-008
    , ¶
    13, 
    143 N.M. 320
    , 
    176 P.3d 309
    . The Guild has also made constitutional arguments, and to
    the extent that we address these arguments, we consider them de novo. State v. DeGraff,
    
    2006-NMSC-011
    , ¶ 6, 
    139 N.M. 211
    , 
    131 P.3d 61
    .
    {9}      Cities are generally allowed to impose different zoning requirements on adult theaters
    than on mainstream theaters.2 Young v. Am. Mini Theatres, Inc., 
    427 U.S. 50
    , 71-73 (1976)
    (plurality opinion); 
    id. at 74
     (Powell, J., concurring in the judgment and portions of the
    opinion). Even though such zoning ordinances categorize theaters based on the content they
    exhibit, courts may analyze the ordinances as content-neutral time, place, and manner
    restrictions. City of Renton v. Playtime Theatres, Inc., 
    475 U.S. 41
    , 47 (1986). The idea is
    that these zoning restrictions target not the content of the films shown, but rather the
    “secondary effects” caused by the accumulation of adult amusement establishments in a city.
    
    Id.
    {10} Secondary effects were described by the Young and Renton courts. In Young, the
    City of Detroit adopted an ordinance stating that a concentration of adult businesses “tends
    to attract an undesirable quantity and quality of transients, adversely affects property values,
    causes an increase in crime, especially prostitution, and encourages residents and businesses
    to move elsewhere.” 
    427 U.S. at 55
    . In Renton, a similar ordinance was “designed to
    prevent crime, protect the city’s retail trade, maintain property values, and generally
    protec[t] and preserv[e] the quality of [the city’s] neighborhoods, commercial districts, and
    the quality of urban life, not to suppress the expression of unpopular views.” 
    475 U.S. at 48
    (alterations in original) (internal quotation marks and citation omitted).
    {11} Because these ordinances are treated as time, place, and manner restrictions, 
    id. at 47
    , they are valid if (1) they are content-neutral, (2) “they are narrowly tailored to serve a
    significant governmental interest,” and (3) “they leave open ample alternative channels for
    communication of the information.” Clark v. Cmty. for Creative Non-Violence, 
    468 U.S. 288
    , 293 (1984). Cities carry a light evidentiary burden in justifying these ordinances, and
    1
    We briefly note the City’s argument that the parties’ “stipulations . . . preclude the
    necessity of statutory interpretation.” This is extremely unusual, as the parties did not
    stipulate to the meaning of the ordinance. Even if they had done so, we would retain an
    independent responsibility to interpret the ordinance. “It is emphatically the province and
    duty of the judicial department to say what the law is.” Marbury v. Madison, 5 U.S. (1
    Cranch) 137, 177 (1803).
    2
    Laurence Tribe has dubbed this practice “erogenous zoning.” Laurence H. Tribe,
    American Constitutional Law 934 (2d ed. 1988); see also Kathleen M. Sullivan, Sex, Money,
    and Groups: Free Speech and Association Decisions in the October 1999 Term, 
    28 Pepp. L. Rev. 723
    , 727 n.38 (2001) (crediting Tribe with coining the term).
    4
    they have some flexibility in designing them. See City of Los Angeles v. Alameda Books,
    Inc., 
    535 U.S. 425
    , 451 (2002) (Kennedy, J., concurring in the judgment) (“[W]e have
    consistently held that a city must have latitude to experiment, at least at the outset, and that
    very little evidence is required.”). Cities may choose to disperse their adult businesses or
    concentrate them. Renton, 
    475 U.S. at 52
    . They may rely on studies from other cities rather
    than producing their own evidence, “so long as whatever evidence the city relies upon is
    reasonably believed to be relevant to the problem that the city addresses.” 
    Id. at 51-52
    .
    {12} It is not clear precisely which secondary effects Albuquerque fears will result from
    the presence of adult amusement establishments; the ordinance does not include legislative
    findings, and the City’s briefing did not specify the evidence on which the Albuquerque City
    Council relied in enacting the ordinance. Nevertheless, the Albuquerque ordinance in
    question is similar to the ordinances upheld in other cases, including Young and Renton, and
    the Guild does not challenge its constitutionality except as it is applied in this case.
    {13} There is no dispute that “Couch Surfers” was an adult “amusement or entertainment”
    film under the terms of Section 14-16-1-5(B). However, this is a zoning case, and the central
    question is not whether the film was classified as adult amusement, but whether the theater
    was an adult amusement establishment within the meaning of the ordinance.
    {14} The parties agree that the Guild theater shows adult films only rarely, at most one
    weekend per year. Consistent with that reality, the Guild is an ordinary-looking art-house
    theater. It has none of the trappings of an adult theater; there are no neon signs proclaiming
    “Girls! Girls! Girls!” or “XXX.” Nothing about the Guild appears to be seedy, unsavory,
    or likely to drive down property values. It is undisputed that Pornotopia did not, in fact,
    result in any negative secondary effects in the Nob Hill neighborhood. In short, while the
    City of Albuquerque may believe that adult theaters cause negative secondary effects, the
    Guild is not an adult theater either in function or appearance.
    {15} Our role in interpreting an ordinance is to look for the intent of the legislative body.
    See New Mexicans for Free Enter. v. The City of Santa Fe, 
    2006-NMCA-007
    , ¶ 59, 
    138 N.M. 785
    , 
    126 P.3d 1149
     (“We construe an ordinance as we would a statute, giving effect
    to the intent and purpose of those who enacted it . . . .”). Presumably, the intent of the
    Albuquerque City Council was to avoid or quarantine the negative secondary effects of adult
    amusement businesses. The ordinance contains no indication that it should apply to venues
    that only occasionally show adult films. To the contrary, the nature of zoning ordinances
    suggests that the restrictions on adult entertainment establishments were intended to regulate
    businesses of a clearly adult nature. “Zoning rules generally only apply to the regular use
    of a building,” not occasional deviations from those uses. Schmitty’s City Nightmare, LLC
    v. City of Fond du Lac, 
    391 F. Supp. 2d 745
    , 756 (E.D. Wis. 2005) (“[A] residential house,
    for example, does not become zoned as a commercial hotel by virtue of having the
    occasional overnight guest.”).
    {16}   In addition, we consider the ordinary meaning of the terms used in the ordinance.
    5
    See Whitely v. New Mexico State Pers. Bd., 
    1993-NMSC-019
    , ¶ 5, 
    115 N.M. 308
    , 
    850 P.2d 1011
     (“The words of a statute . . . should be given their ordinary meaning absent clear and
    express legislative intention to the contrary.”). The Guild is simply not an adult amusement
    establishment in the ordinary meaning of the term. If we were to stand on Central Avenue
    and ask pedestrians for directions to the nearest adult theater, it is unlikely that they would
    direct us to the Guild. By the same token, without some clearer indication of legislative
    intent, we cannot simply assume that the Albuquerque City Council meant to designate the
    Guild as an “adult amusement establishment” because it showed adult films during one
    weekend.
    {17} Following the City’s suggested interpretation would lead to absurd results. See State
    v. Padilla, 
    1997-NMSC-022
    , ¶ 6, 
    123 N.M. 216
    , 
    937 P.2d 492
     (“We read statutes to avoid
    absurd or unreasonable results.” (internal quotation marks and citations omitted)). For
    example, a professor at the University of New Mexico might screen a pornographic film
    during a course on human sexuality or the like; we cannot imagine that the screening would
    render the lecture hall an “adult amusement establishment.” In the words of the federal
    district court for the Eastern District of Wisconsin,
    One would not call a bar a “martini bar” if it served martinis only once a
    year, just as one would not call a club a “jazz club” if 99% of its music was
    rock and roll. Suffice it to say that in the English language, when an
    adjective, such as “adult” (as used here), modifies a noun that is a physical
    location (a structure or building which features topless dancers, strippers,
    male or female impersonators, or similar entertainers), we assume that the
    adjective has temporal permanence just as the physical structure does.
    Schmitty’s, 
    391 F. Supp. 2d at 757
    . The Albuquerque city ordinance does not specify exactly
    how many pornographic films a theater must show to qualify it as an adult amusement
    establishment, and we do not need to set such a standard now. We can say with confidence,
    however, that the ordinance does not reach the type of very occasional showing at issue in
    this case. One weekend of erotic films per year does not an adult theater make.
    {18} There is another reason to follow this interpretation of the statute. “[W]e seek to
    avoid an interpretation of a statute that would raise constitutional concerns.” Chatterjee v.
    King, 
    2012-NMSC-019
    , ¶ 18, 
    280 P.3d 283
    . The Guild has raised significant questions
    about the constitutionality of a city ordinance broad enough to treat the Guild as an adult
    amusement business. The United States Supreme Court has rejected constitutional
    challenges to “erogenous zoning” ordinances, but the businesses at issue in those cases were
    unambiguous, full-time adult amusement establishments. See Alameda Books, 
    535 U.S. at 432
     (plurality opinion) (respondents rented and sold “sexually oriented products” and
    provided viewing booths); Renton, 
    475 U.S. at 45
     (theater intended to “exhibit feature-length
    adult films”); Young, 
    427 U.S. at
    59 n.16 (“Neither respondent has indicated any plan to
    exhibit pictures even arguably outside the coverage of the ordinances.”). The United States
    Supreme Court has never considered the constitutionality of adult amusement ordinances as
    6
    they are applied to mainstream or art-house theaters that occasionally show adult films.
    {19} However, several lower courts have concluded that it is unconstitutional to place
    zoning restrictions on businesses that occasionally feature adult entertainment. In Tollis, Inc.
    v. San Bernardino County, 
    827 F.2d 1329
    , 1331, 1333 (9th Cir. 1987), modification on other
    grounds recognized by Alameda Books, Inc. v. City of Los Angeles, 
    222 F.3d 719
    , 722-23
    (9th Cir. 2000), reversed on other grounds by Alameda Books, 
    535 U.S. at 429
     (plurality
    opinion), 444 (Kennedy, J., concurring in the judgment), the Court of Appeals for the Ninth
    Circuit affirmed a permanent injunction enjoining enforcement of the county’s adult
    amusement business zoning ordinance. The San Bernardino County ordinance, like the one
    at issue in this case, “failed to define the extent of use for showing adult films that would be
    necessary to render a theater an ‘adult business.’” Id. at 1331. The county construed the
    ordinance to reach any business that engaged in a single showing of an adult film. Id. The
    Ninth Circuit held that the ordinance, as construed by the county, failed the narrow tailoring
    prong of the Renton time, place, and manner analysis. Id. at 1333. It observed that “the
    County . . . presented no evidence that a single showing of an adult movie would have any
    harmful secondary effects on the community,” and added that it did not “see how the County
    could make such a showing, since it is difficult to imagine that only a single showing ever,
    or only one in a year, would have any meaningful secondary effects.” Id.
    {20} Relying on Tollis, the California Supreme Court held that it would be
    unconstitutional for the City of Long Beach to classify a theater as an adult establishment
    based on a single showing of an adult film. People v. Superior Court (Lucero), 
    774 P.2d 769
    , 775 (Cal. 1989). The California court noted that the Long Beach ordinance had made
    no findings or claims about “significant deleterious effects on the community arising out of
    a single showing of an adult film.” 
    Id.
    {21} Courts have expressed the concern that when municipalities include ordinary,
    generally non-adult amusement businesses in the sweep of their “erogenous zoning”
    ordinances, they risk losing their focus on secondary effects, and may instead
    unconstitutionally target the content of the adult entertainment. For example, in Executive
    Arts Studio, Inc. v. City of Grand Rapids, 
    391 F.3d 783
    , 796 (6th Cir. 2004), the Court of
    Appeals for the Sixth Circuit held that an ordinance was not narrowly tailored because it
    included bookstores that had a “‘segment or section’” devoted to adult material. The court
    expressed concern that the ordinance could encompass “multiple establishments which
    would never be defined as adult bookstores in everyday English,” even though the city had
    produced no evidence that adult sections in ordinary bookstores could produce negative
    secondary effects. 
    Id.
     The court concluded that an “ordinance is simply not narrowly
    tailored when its language sweeps up mainstream bookstores, as it is then evident that the
    ordinance is controlling the dissemination of objectionable reading material rather than the
    effects upon a neighborhood from the businesses that disseminate and specialize in such
    material.” 
    Id. at 796-97
    .
    {22}   Similarly, in Pensack v. City & County of Denver, 
    630 F. Supp. 177
    , 181 (D. Colo.
    7
    1986), the federal district court for the District of Colorado held that a Denver ordinance
    denied due process to the owner of a bakery that sold both erotic and non-erotic baked
    goods. The City of Denver apparently applied the zoning ordinance only to stores that used
    at least 10% of their floor area to sell erotic items. 
    Id. at 179
    . The court expressed concerns
    that even with this threshold in place, zoning authorities would have to “monitor the films
    in a regular theater or examine the books in an ordinary bookstore to determine the quantity
    of sexually specific content in all that is shown and sold.” 
    Id. at 181
    .
    {23} Although our reading of the Albuquerque city ordinance eliminates the need for us
    to address the constitutional questions raised by the Guild, we are acutely aware of the
    constitutional backdrop to this case. Not all courts that have considered the issue agree that
    it is unconstitutional to zone a business as “adult” based on a single or occasional instance
    of adult entertainment. See BZAPS, Inc. v. City of Mankato, 
    268 F.3d 603
    , 607 (8th Cir.
    2001) (upholding city’s application of adult zoning ordinance to a single adult amusement
    performance). Nonetheless, enough courts have found this type of application
    unconstitutional that our canon of constitutional avoidance comes into play. When possible,
    we must construe a statute or ordinance “‘so as to avoid not only the conclusion that it is
    unconstitutional, but also grave doubts upon that score.’” State v. House, 
    2001-NMCA-011
    ,
    ¶ 41, 
    130 N.M. 418
    , 
    25 P.3d 257
     (quoting United States v. Jin Fuey Moy, 
    241 U.S. 394
    , 401
    (1916)).
    {24} The City voiced concern that if the Guild prevails, more theaters in areas that are not
    zoned for adult amusement establishments will “show adult entertainment on a routine but
    not constant basis” to avoid the bite of the zoning ordinances. If Albuquerque is concerned
    that mainstream theaters will start showing adult entertainment three days per week, as it
    claims in its brief, the City Council can amend the ordinance to set a threshold level of adult
    amusement material that would classify a business as an “adult amusement establishment.”
    In the case of a movie theater, this classification could be based on the proportion of the
    theater’s films that are pornographic, the number of such films shown per week or month,
    the nature of the films that receive top billing, or the percentage of revenues attributable to
    sexually explicit fare. As Judge Sutin noted in his dissent below, the City has already set
    this type of threshold in its definition of “adult store.” Pangaea, 
    2012-NMCA-075
    , ¶ 63
    (Sutin, J., dissenting) (“Section 14-16-1-5(B) . . . defines an ‘adult store’ as ‘[a]n
    establishment having 25% or more of its shelf space or square footage devoted to the
    display, rental, sale[,] or viewing of adult material for any form of consideration.’”
    (alterations in original)).
    {25} However, if the City Council wishes to expand the ordinance so that rare, occasional,
    or incidental exhibitions of adult material will render a business an “adult amusement
    establishment,” it must produce some evidence linking these occasional showings to
    negative secondary effects. See Exec. Arts Studio, 
    391 F.3d at 796
     (stating that the city
    “cited no basis, study or third party experience that would lead one to believe that such a
    broad ordinance is needed to control undesirable blight” and concluding that the “ordinance
    [was] simply not narrowly tailored”); Tollis, 
    827 F.2d at 1333
     (holding that the ordinance
    8
    was not narrowly tailored because the county “presented no evidence that a single showing
    of an adult movie would have any harmful secondary effects on the community”); see also
    R.V.S., L.L.C. v. City of Rockford, 
    361 F.3d 402
    , 411-12 (7th Cir. 2004) (holding that the city
    had not met even the low evidentiary burden required to support a zoning restriction because
    the evidence “[did] not appear to be directly relevant to the type of entertainment that
    Rockford [sought] to regulate”).
    CONCLUSION
    {26} Because the Guild engaged in only occasional showings of adult films, the Guild is
    not an adult amusement establishment as defined in the Albuquerque Code of Ordinances,
    and the zoning rules governing adult amusement establishments are inapplicable to it. We
    therefore reverse the Court of Appeals and vacate the Guild’s conviction.
    {27}   IT IS SO ORDERED.
    ___________________________________
    EDWARD L. CHÁVEZ, Justice
    WE CONCUR:
    ___________________________________
    RICHARD C. BOSSON, Justice
    ___________________________________
    CHARLES W. DANIELS, Justice
    ___________________________________
    BARBARA J. VIGIL, Justice
    PETRA JIMENEZ MAES, Chief Justice, dissenting
    MAES, Chief Justice (dissenting).
    {28} I respectfully dissent and adopt in full the majority opinion of the Court of Appeals,
    City of Albuquerque v. Pangaea Cinema LLC, 
    2012-NMCA-075
    , 
    284 P.3d 1090
    , as my
    dissent. Like counsel for the City, I wonder why there is a need to allow the Guild to have
    individual showings of adult films when the City has decided to zone this activity.
    {29} I do not agree that “[b]ecause the Guild engaged in only occasional showings of
    adult films,” that it is not considered an adult amusement establishment, and therefore the
    zoning ordinances governing such establishments are inapplicable to it. Majority Opinion,
    ¶ 26 (emphasis added). This language appears to broaden the discretion of theaters,
    auditoriums, bars, restaurants, and other commercial establishments to feature, present, and
    9
    promote one or more of the activities defined as “adult amusement” pursuant to
    Albuquerque, N.M., Code of Ordinances, Section 14-16-1-5(B) (1974, as amended 2012),
    on an undefined basis. This erodes the zoning power of municipalities and creates ambiguity
    in the application of a clear-cut zoning ordinance. As the Court of Appeals acknowledged,
    “we generally defer to the zoning power of municipalities, even though it is inevitable that
    the lines drawn pursuant to that power will result in winners and losers.” Pangaea Cinema
    LLC, 
    2012-NMCA-075
    , ¶ 44.
    _____________________________________
    PETRA JIMENEZ MAES, Chief Justice
    Topic Index for State v. Pangaea Cinema, L.L.C., No. 33,693
    CONSTITUTIONAL LAW
    Freedom of Speech
    GOVERNMENT
    Municipalities
    Ordinances
    Zoning
    STATUTES
    Interpretation
    Legislative Intent
    10