(CN) - The operator of members-only website CocoDorm.com violated two Miami zoning ordinances when it streamed online videos of gay sex from a Miami home, the 11th Circuit ruled.
CocoDorm residents were paid $1,200 a month, plus free room and board, and were expected to engage in sex that was captured by webcams located throughout the house and sold to subscribers.
But Miami's Code Enforcement Board had previously ruled that FlavaWorks, which runs the site, was engaging in "adult entertainment" and illegally operated a business in a residential zone.
FlavaWorks lost its argument that CocoDorm is not a business because it did not manufacturer a product at the location, nor did customers go to the location for services.
The three-judge panel reversed and rendered partial judgment in favor of Miami, stating the sole reason the models were paid to live in the house and have sex on camera was to make money. "FlavaWorks would be unable to deliver content to its subscribers without these endeavors," the ruling states.
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