Escort Case Decision - Medicine Hat's Exorbitant "Sin Tax" Licensing Fees
On Wednesday a judgement of Not Guilty was handed down after a trial of woman accused of violating Bylaw 3472 The Escort Service Bylaw. The woman was represented by Ken Montgomery of Power Loney.
She was charged with violating the following sections of Bylaw 3472
9.3 No person shall operate as an Escort without holding a valid and subsisting Escort License.
The arresting officer did not offer sufficient proof, saying he received the license information from a third party. Because the third party did not appear in court to be cross examined, the judge deemed that evidence to be hearsay.
9.5 No person shall operate as an Escort except through an introduction arranged by an agency.
The judge noted that a person could act as their own agency so could do the introduction themselves. The police did not prove that the woman had no license so they could not prove that she was not her own agency.
9.7 No Escort shall advertise his or her services in any fashion without including the number of his or her Escort License
The evidence introduced in court showed screenshots of a website. The judge said that there was no proof that the evidence showed the entirety of the website. The license information could have been there.
As a result of a lack of evidence, the woman was found Not Guilty on all charges.
The City of Medicine Hat (COMH) charges exorbitant rates for Escort and Escort Agency Licensing
For those of you who say that the escorts make tons of money, well so do law firms and banks. Law firms and banks pay only $111/year; their employees are not required to pay for an extra city license.
The City of Edmonton does not charge license fees to individual escorts, independent agencies or body rub practitioners. Only the Agencies get charged fees.
The fees charged to agencies in Edmonton and Calgary are about one tenth of what Medicine Hat charges.
Calgary Adult Entertainment - Business Guide
City of Edmonton Bylaw 20002 Business Licence Bylaw (Consolidated on April 05, 2023)
Business Licence Categories | City of Edmonton
Technical Paper: Bill C-36, Protection of Communities and Exploited Persons Act explains the reasoning for why the following laws were struck down.
prohibition on keeping or being in a “bawdy house” for purposes of prostitution
The Court found the bawdy house offence (section 210) was grossly disproportionate in its serious impact on prostitutes’ safety, since it prohibited “moving indoors” as a basic safety precaution.
prohibition on living on the avails of prostitution
The Court found the living on the avails offence (paragraph 212(1)(j)) was overbroad in scope relative to its objective, which is to “target pimps and the parasitic, exploitative conduct in which they engage”, because it punished everyone who “lives on the avails” of prostitution without distinguishing between those who exploit prostitutes and those who could increase their safety and security (e.g., bodyguards, managers, or drivers) or provide other legitimate business services to prostitutes (e.g., accountants and receptionists).
prohibition on communicating in public for purposes of prostitution
The Court found the communicating offence (paragraph 213(1)(c)) was grossly disproportionate in its impact on prostitutes’ safety relative to its objective, which the Supreme Court said was to “take prostitution off the streets and out of public view” in order to prevent the nuisance that street prostitution can cause. The provision’s negative impact on the lives and safety of street prostitutes (e.g., by depriving them of an ability to screen customers before getting into their car) was a grossly disproportionate response to the nuisances caused by street prostitution.
Article re agencies keeping names of body rub practitioners on site - those renting a room (similar to a hair stylist renting a chair), puts them at risk for unethical lessors who may out them.
Bylaw 3472 hasn’t been updated since 2003
The COMH’s exorbitant fees creates a huge barrier and puts Sex Workers at risk. Escorts operating without a license will not be calling the police if a customer assaults them.
Councillor Alison Van Dyke spearheaded a review of the bylaw, citing a concern for the high fees which may push people to operate under the radar and putting a vulnerable population at risk. The review was requested in November 2022.
We’re still waiting.
Adult entertainment and cannabis stores are also charged Exorbitant License Fees
Escort services are not the only business type that are charged exorbitant fees but they are the only ones that merit their very own bylaw. This is the bylaw for everyone else - Medicine Hat Licensing Bylaw 2339
Most businesses are charged $111/yr for a business licence (law firms, banks, bakeries, movie theatres, retail stores, liquor stores, etc.) Some businesses are charged a bit more depending on their category.
Did You Know?
Cannabis stores are charged over 1100% more than a liquor store - $1260/yr vs $111/yr.
They are both legal substances. This discrimination amounts to a Sin Tax.
Adult Entertainment establishments are charged over 1800% more than a bank $2025/year vs $111/yr
NB - Adult Entertainment is not even defined in Bylaw 2339. Again, this amounts to a Sin Tax.
Sex Work is Work
I’ve spoken with a local person who provided sex services back in the day. They told me many stories about customers from all walks of life, some of them pillars of society - City Council members, clergy, teachers, the list went on.
Don’t worry gentlemen, no names were mentioned.
Pretending that only the sinful seek out professional sex services is naive.
Pretending that only the sinful offer sex services is naive.
Sex Work is often called the World’s Oldest Profession; it’s not going away.
Trying to sweep this industry under the rug is dangerous to the sex workers.
They need to be able to work in a safe place.
In Nevada prostitution is legal and it is heavily regulated. All of the house workers are licensed with regular health checks, strict rules about use of prophylactics etc. Nevada REGULATIONS - PROSTITUTION
Prostitution itself is not illegal in Canada; any person can sell their own sex services any time they want. However, purchasing sex services is illegal. It is also illegal to communicate for the purposes of prostitution. Advertising sex services is also illegal unless you are advertising your own services.
Bawdy houses are no longer illegal; it is only local bylaws that prohibit such establishments. Being able to work in one would be far safer for sex workers for obvious reasons. Being able to screen bad customers instead of working in isolation is one of them. Being able to call for help when things go sideways is another.
It’s about time Medicine Hat moved into the 21st century.
Seriously, don’t our police officers have better things to do?
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