The owners of four adult entertainment clubs in Houston will pay more than $1 million to settle a federal lawsuit filed against them by some of their dancers. The lawsuit said the owners of clubs—The Gold Cup, Cover Girls, Treasures and Centerfold—wrongly classified the dancers as independent contractors, failing to pay overtime and the minimum wages as required by the Federal Labor Standards Act.
The owners agreed to settle the case instead of going to trial, but denied any wrongdoing. The total settlement came to $1,100,000—almost half of which went to the law firm that represented the dancers.
The settlement includes a confidentiality clause. If asked about the settlement, plaintiffs in the case are permitted only to say the matter has been settled.