In 1973, appellants began operating an adult bookstore in the commercial zone in the Borough of Mount Ephraim in Camden County, New Jersey. The store sold adult books, magazines, and films. Amusement licenses shortly issued permitting the store to install coin-operated devices by virtue of which a customer could sit in a booth, insert a coin, and watch an adult film.
In 1976, the store introduced an additional coin-operated mechanism permitting the customer to watch a live dancer, usually nude, performing behind a glass panel. Complaints were soon filed against appellants charging that the bookstore's exhibition of live dancing violated section 99-15B of Mount Ephraim's zoning ordinance. That ordinance described the permitted uses in a commercial zone as offices and banks, taverns, restaurants and luncheonettes for sit-down dinners only and with no drive-in facilities, automobile sales, retail stores such as but not limited to food, wearing apparel, millinery, fabrics, hardware, lumber, jewelry, paint, wallpaper, appliances, flowers, gifts, books, stationery, pharmacy, liquors, cleaners, novelties, hobbies and toys, repair shops for shoes, jewels, clothes and appliances, barbershops and beauty salons, cleaners and laundries, pet stores, and nurseries, plus motels. Section 99-4 of the Borough's code provided that all uses not expressly permitted in this chapter are prohibited.
Appellants were found guilty in the Municipal Court and fines were imposed. Appeal was taken to the Camden County Court, where a trial de novo was held on the record made in the Municipal Court and appellants were again found guilty. The County Court first rejected appellants' claim that the ordinance was being selectively and improperly enforced against them because other establishments offering live entertainment were permitted in the commercial zones. The court held that those establishments were permitted, nonconforming uses that had existed prior to the passage of the ordinance. In response to appellants' defense based on the First and Fourteenth Amendments, the court recognized that live nude dancing is protected by the First Amendment. The court was of the view that First Amendment guarantees are not involved. The case involves solely a zoning ordinance under which live entertainment is simply not a permitted use in any establishment, whether the entertainment is a nude dance or some other form of live presentation. The Appellate Division of the Superior Court of New Jersey affirmed appellants' convictions in a per curiam opinion essentially for the reasons given by the County Court. The Supreme Court of New Jersey denied further review.
Appellants appealed to the United States Supreme Court. Their principal claim is that the imposition of criminal penalties under an ordinance prohibiting all live entertainment, including nonobscene, nude dancing, violated their rights of free expression guaranteed by the First and Fourteenth Amendments of the United States Constitution. The Supreme Court noted probable jurisdiction and set aside appellants' convictions.