NIGHTCLUBS:

Las Vegan wins grudge suit against Tao security

Venue ordered to pay $80,000 in brutality case

Saturday, Jan. 31, 2009 | 2 a.m.

Tao Nightclub

Parents share the unexpected experience of their daughter’s 21st birthday at PURE Management’s LAX nightclub. (3-9-08)

PURE Investigation

Records suggest club kingpin has violent side (3-16-2008)
Clubs’ cash flow probed at top (3-1-2008)
Cubs’ cash flow suspect (2-28-2008)

Las Vegas resident Jim Morrison happily paid thousands of dollars for a skybox at the Tao nightclub inside the Venetian, where he hosted his 32nd birthday party.

The professional poker player and his guests dropped hundreds of dollars more in tips to club employees throughout the night as they drank a steady supply of pricey booze.

When an inebriated Morrison refused to tip the club’s security guards, the guards became violent, Morrison claimed in a lawsuit.

A Clark County jury in November awarded Morrison about $80,000 in damages from Tao.

It is a rare judgment in an risk-prone industry that commonly settles disputes out of the public eye — providing a glimpse of the challenges Las Vegas nightclub operators face as they try to cultivate a party atmosphere in venues flowing with alcohol and cash.

Tao representatives declined to comment for this story.

Morrison, 34, said he was new to the nightclub scene at the time of his Tao visit, in June 2006.

He tipped the doorman and hostess $100 each because he was told by friends “that’s what you’re supposed to do.” He also paid a mandatory 20 percent gratuity included in the cost of the skybox to cover security, cocktail service, porters and the other employees who served the group.

Despite paying those tips, Morrison said, security staff aggressively sought tips from the group throughout the night.

According to Morrison’s lawsuit, he was walking two women back from the dance floor when the bouncer at his table asked for a tip for letting them into the skybox.

“He was extremely blatant,” Morrison said. “He said, ‘You’re not taking care of me.’ ”

The bouncer let the women enter the skybox after Morrison asked to speak with a manager. The bouncer cursed him, and Morrison responded with an epithet.

The encounter then turned violent, according to the lawsuit.

In a recent interview, Morrison said a bouncer grabbed him by the neck, he fell to the ground and someone else grabbed his legs. He was dragged down a flight of stairs and held on the floor in a back room, where a bouncer slapped his face with an open palm and someone else choked him, he said.

During the encounter, Morrison said, his wallet was taken, and when it was returned it was missing about $300.

“He ended up getting his tip,” Morrison said.

Venetian security arrived, handcuffed Morrison and led him through the casino to a holding room. During the trial, the jury watched security video showing a Venetian manager returning Morrison’s ID and saying it had been given to the manager by Tao.

Tao denied taking Morrison’s wallet or his money.

Morrison said he asked that police be summoned, but Venetian security resisted. On the tape, a security officer is heard telling Morrison to take his “licks and go home.”

Eventually a Metro Police officer arrived and is shown in the video telling Morrison he will arrest him if Morrison chooses to file a police report. “You’re the one in cuffs — you’re the criminal,” the officer said.

The officer eventually took a report without arresting Morrison.

The Venetian has banned Morrison from the property, a restriction the casino has also placed on mob figures, gambling cheats and other criminals. The casino, which leases space to Tao, was not named in the lawsuit.

Morrison said anger, not money, fueled his 2-1/2-year pursuit of the lawsuit. “I was being treated like I was the bad guy and I’d done nothing wrong. It drove me insane,” he said.

Tao refused to settle the case for about $38,000.

In the club’s version of events presented in court, Morrison was a drunken aggressor who initiated a fight with security. Tao’s attorneys displayed Morrison’s MySpace page, which proclaimed that he and his friends “do what we want when we want to do it.”

Morrison admits that he was happily intoxicated until angered by employees “with their hands out all night.” But he denies threatening anyone physically or touching the security staff.

Tao’s chief of security told the jury the club prohibits security guards from soliciting tips and that they would be disciplined if caught.

As with many clubs, security guards at Tao receive part of their earnings from unsolicited tips.

The discovery process revealed that one of the guards in question was admonished for a subsequent incident in which a customer was handled roughly.

Neither side produced independent witnesses to any violence involving Morrison, though the jury saw photos of abrasions on Morrison’s skin and bruises around his neck.

Tao attorneys claimed Morrison hurt himself in a fall and the bruising was from the chafing of his shirt collar.

Lawsuits — frivolous and genuine — come with the territory for large, successful nightclubs, where intoxicated customers can become aggressive, operators say.

Most lawsuits are settled out of court because of the potential for negative publicity for the club and the industry, insiders say. Losing a case could open the door to future lawsuits by combative patrons, they add. Settlements tend to be less than $50,000 or even a few thousand dollars, they say.

Last year, a lawsuit by a customer who claimed he had been beaten by bouncers at the Rumjungle nightclub because he refused to tip them to reenter the club ended in a confidential settlement. Rumjungle claimed Joshua Parks was denied entry to the club, at Mandalay Bay, because he was a belligerent drunk who attacked the security guards.

Overbearing security is also a concern at clubs, though some managers claim the problem is not pervasive. One manager, who declined to be named, said he once fired his entire security staff, who worked for a third-party company, for being rough with customers.

“In a big club, this kind of thing will happen. It’s a matter of how you handle it and how proactive you are,” the manager said.

Drunken or obnoxious customers are also par for the course, the manager said.

“I’ve been called every bad thing you can imagine. But you never have the right to put your hands on a customer unless you are defending yourself or trying to eject a person who won’t go and you’ve given him opportunities to leave on his own,” he said.

Training professional security guards is an ongoing concern for casinos and clubs in general, said Jeff Voyles, a gaming consultant and professor of casino management at UNLV. Turnover and training costs are high in security departments, said Voyles, who wasn’t involved in the Morrison case.

Some guards who are former police officers or soldiers can spell trouble if they momentarily forget they no longer have the authority to manhandle citizens, he said. Effective security guards can defuse a situation without using force, he added.

Morrison’s attorney, Robert Nersesian, has represented many gamblers in lawsuits accusing casinos of overbearing security methods. With the help of security videos, judgments worth hundreds of thousands of dollars have changed the way many casinos handle unwanted customers, Nersesian said.

The suit hasn’t soured Morrison on Las Vegas or its epic nightlife.

Morrison, who moved to Las Vegas three years ago, has since purchased a VIP membership with Nine Group, which operates restaurants and clubs at the Palms casino. The membership entitles him to free alcohol at clubs and a table on “sold out” nights, among other perks.

“When I go to a club, I call someone I know who is a host there,” Morrison said. “I’d never go someplace where I don’t know anyone because they will treat you like a tourist, which means, as far as I can tell, separating you from your money as fast as possible.”

Discussion: 19 comments so far…

By torn

1/31/09 at 8:32 a.m.

Suggest removal

I heard the IRS is going to get even more aggressive pursuing these night club workers, as most of them are grossly undereporting tip income. I can't wait until more of these air heads with swollen heads get busted...
By spartacus84

1/31/09 at 9:24 a.m.

Suggest removal

These "security" goons are out of control. They should be called insecurity guards. Who exactly are they protecting? I work here- tip me. The palms-out culture of these club moochers may soon be coming to an end. Time to get a real job and actually produce something besides your hand 50 times a night.
By casinokid

1/31/09 at 9:30 a.m.

Suggest removal

Here's A revenue stream for Metro they can do these secruity criminals like they do the prostitutes go under cover and arrest them for strong arm robbery or extortion.
By the way didn't I read about this practice approx. a year ago that some parents had a party for their child who just turned 21 and they had the same treatment.
Any time you are treated like this in a club or any where for that matter when you can call the police and tell them you have been a victum of strong armed robbery at the hands of the employee at the club and get a report reguardless if the officer tells you that if does paper work then you are going to jail, that statement alone should carry a penalty.
The officers job is not to be a mediator, he should make the report with all parties names and contact #'s for the attorney's to handle if he or she is a true police officer. and to collect and perserve all evidence.
By eagldrivr

1/31/09 at 9:50 a.m.

Suggest removal

I was a former head of security for Galardi Enterprises, owners of the chain of Cheetah strip clubs. Our security was to NEVER solicit tips from any patron or lay there hands upon them. The only time "hands on" was allowed was to eject an unruly patron who had been given multiple chances to leave on their own. Our security was paid more than adequate and I too once fired the entire security staff at one of our clubs for using strong arm tactics and solicitation. Its bad for business. TAO security should take notice and if this is a prevelant problem there, then the security staff should be fired.
By Westerly8

1/31/09 at 10:08 a.m.

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Why do people go to these places? Everything is already at rip-off prices and to make things worse, everyone shakes you down for a tip. Bring back the old clubs! NO VIP lounges, NO bottle service (we had real bartenders back then, who knew what you were drinking and how to make it), NO velvet rope games, and most of all NO "celebrity hosts." The clubs nowadays are for chumps and suckers.
By limomominlv

1/31/09 at 10:37 a.m.

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I agree with Westerly8. What the hell happened to the days when anyone could walk into a nightclub, sit down at an available table and buy drinks all night and dance and have a good time?...and STILL spend a couple hundred bucks. I've been a resident in LV since 1965 when even "locals" could go out drinking and dancing. The big corporations have closed up all the old "free standing" clubs with these phoney ultra clubs, charging you 1-200 bucks for a bottle of booze, that you have to purchase in time frames in order to continue sitting in their establishment or you're out, to make room for the next group they can "rape". I work in the hospitality industry, and I make a living from my tips too..but my tips come from good service, not "scare tactics" and without the sole expectation of getting something for nothing. When people ask me where to go to party, I am ashamed to tell them to go to the clubs in the hotels. VIP lounges? all of our visitors to Las Vegas should be treated like VIPS.
By Johnathan_Abbinett

1/31/09 at 10:43 a.m.

Suggest removal

Five years ago I decided to celebrate my 50th at a high end Las Vegas Club - and I was appalled at how we were treated! Though I generously negotiated all the fees up front and made a VIP reservation - every staff member had their hands out constantly and it became obvious that no amount of money would have fully satiated them!

Time and again, I tried to diplomatically explain that I was running a tab and would be more than happy to "tip" everyone at the end of the evening and begged them to stop harassing my guests - to no avail! At the end of the night I was angry, but decided my word and reputation were too important not to keep my part of the bargain - so, I paid the bill and generously tipped everyone. Then, I let the manager know how frustrated, disappointed and angry I was at what had happened. His response "Oh, well that is the way the Club business in run in Vegas" - I responded, then, you have just lost another good LOCAL customer and I'll never come back and spend a single dollar EVER in this Club and in this Casino!

The club staff ruined my 50th birthday party and I've been taking my patronage elsewhere!

We really need to get the authorities involved in stopping this sort of extortion - it is at a criminal level!

A second example, is more recent, when I attended a fund raiser held at another local high end Club. Same games were being played by security, waiters and waitresses - it was a sad, pathetic, orgy of greed!

Donors, some of which were the elite of Vegas High Society were appalled and complained and left - without opening their pockets and writing checks for a really good cause - all because the Club Staff did not know how to be polite and professional!

All of these Club owners and managers need to take note and corrective action - no one should be mistreated like this, especially we locals - we came expecting to be treated like guests - not to be exploited!
By LasVegas2009

1/31/09 at 11:15 a.m.

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If this sort of thing is so command then why is metro to scared to do anything about it. Are they afraid of the security guards? I would think they would want to crack down on this kind of extortion. Maybe Metro officers are getting a piece of the action in order to look the other way. Maybe Metro just needs to be reminded that they serve the citizens. With all the demands on the budget maybe we need to look at cutting some of Metros money if they cant provide us with law and order.
By vegasm

1/31/09 at 11:20 a.m.

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A couple of observations and comments:

First, the poorly named Jim Morrison (RIP) will loose on appeal. I'm sure the appropriate judges have already been 'tipped' and are just waiting for the paperwork to be filed.

Like OSHA fines at City Center -- they just go away or are reversed after a few 'meetings' with management.

I worked (casino - not club) security at a strip property with one of these VIP clubs on the property.

70% annual turnover rate, no raises in starting pay for years and low morale are all pervasive problems at my property -- and most others. Now add 40% cut in staff due to economy.

(Ocean's 14 plot: 4 homeless drunks stumble into a casino and walk out with millions, because the only security officer left on payroll is eating).

I detest taking tips - it's unprofessional in certain professions - but casino policy frowned down on refusing to accept a tips. We have to report all tips to security management via radio (recorded) at time of receiving it. We do not split tips, they are ours to keep.

On a good month I might make $50-$60 in tips, turning down another $20 or so (I refuse -- period -- to take tips from guests or patrons needing medical assistance; my personal ethics just wont allow for it).

Corporations and greed are killing the Golden Goose that once was Vegas. New Frontier and Stardust gone, to be replaced by empty space. City Center may -- or may not -- actually become a viable property. Trump Towers half full (or is it half empty").

Ultra-clubs personify the Vegas mentality: We Cheat Tourists and Drunks.

This culture filters down to the $10.00 an hour club security staff, dealing with boorish drunks spending more on a table and a bottle of champagne than they make in a month, and they want their slice of the pie.

WWLD -- What Would Lefty Do?
By Johnathan_Abbinett

1/31/09 at 11:47 a.m.

Suggest removal

Hey "vegasm" did you catch what the local non-drunks are complaining about - they are doing this extortion game to EVERYONE - including some of the best customers any Club could ever dream of attracting!

Not only did I quit spending my money in these Clubs - I tell every family member and friend that comes to Vegas to avoid them like the plague that they are in our society!

These unscrupulous Club owners, managers and staff just don't care - because they know they have a line waiting at the door! I feel sorry for the people that come here and end up being exploited - how many of them will never come back to Vegas?

The County and City Commissioners need to jump on this and bring these destroyers of the market and Vegas' reputation to an end!
By gmag39

1/31/09 at 12:31 p.m.

Suggest removal

Metro will do nothing to these folks.
Since I've moved here, I've read multiple accounts of "security" staff at hotels/casinos & clubs "detaining" customers; this practice seems to be at least tacitly sanctioned by law enforcement, and has been forever in Vegas. Remember, Las Vegas takes care of it's "own".
this, of course, inevitably leads security staff
to have a false sense of POWER. A lot of these fellows get off on the POWER TRIP.
And this tipping thing just slays me. There are employees making HUGE $$$ working this scam. And the money is HUGELY underreported for tax purposes.
That being said, the whole culture of clubs in Las Vegas and the decadence they represent in terms of MONEY is repugnant in the best of times and downright gauche in the financial state we are in.
One might even call it sinful.
By Lenny_V

1/31/09 at 6:33 p.m.

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You're the one in cuffs -- you're the criminal," the officer said.

The act of people handcuffs on someone makes them a criminal? The scumbag Metro officer that said this should be fired.
By naveeny1974

1/31/09 at 11:54 p.m.

Suggest removal

The casinos have way to much power, pretty soon they will be holding people in detention indeterminately. Plus it wouldn't surprise me if the cops are bought off since the clubs offer them off duty jobs as security.
By LVBear

2/1/09 at 7:33 a.m.

Suggest removal

Nice to see that again a jury understands wrongdoing. Shame on Metro for not doing its duty. As usual, corruption rears its ugly head when it comes to enforcing criminal laws against anyone even remotely casino-related. There is no indication that the corrupt, or at least incompetent officer was punished or removed from the department, and no indication of any criminal prosecution of the Tao wrongdoers.
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Opinions and commentary on the gaming industry: www.TheBearGrowls.com
By FleaStiff

2/1/09 at 1:59 p.m.

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Its not just formerly low paid workers luckily on the gravy train and wanting even more gravy, its off-duty cops as well but the real problem is that eventually the casino's bottom line will start hurting and things will change then!

We all know there are various 'soft hustles' in a casino but in general the players are not really milked for tips (atleast not while sober). And we all know that this policy of the casino to not be insistent on tips is that the casinos have all learned that it hurts their bottom line real bad to hustle a gambler.

So now the casino simply leases out the space to some young club promoter who does all the hiring and publicity ... and The Casino can sit back and watch a man's shirt collar leaving a mark on his neck as that man takes his eye and rams it against the security guard's fist or whatever the various incidents are said to be.

Well, what on earth do you think the club patrons will think? Will they have fond memories of the Venetian that houses Tao but maintains a legalistic distance? Will the club patrons who are treated in such a manner have fond memories of ANY casino?

I think its foolish for the patrons to want to go into these ridiculously expensive and ridiculously noisy clubs just because some Hollywood Type occasionally goes there.

But the greatest fool of all is the Casino Manager who thinks that the Hard Hustle won't affect The Drop if it takes place outside the casino. It will! It just takes a little longer for the CM to notice it!

Porn slappers, Condo Hustlers, Club Violence, ... no wonder some gamblers are heading to Laughlin even though they are not yet "over the hill". Those casinos may be crummy in Laughlin but there is no risk of being trampled by hordes of frenetic night clubbers or hordes of Porn Slappers wearing electronic signs.

People who read of these club incidents may never have contemplated going to one of those overpriced clubs, but after reading about these club incidents they may not be all that desirous of going to the casino at all! When will those CMs learn: Players Vote With Their Feet! And they cast their votes based on the total experience, not just what happens on the casino floor.
By RPJ

2/1/09 at 7:04 p.m.

Suggest removal

Not again. If you don't understand why people go to nightclubs, you're not in their demographic, so let it go already! The market will decide how long clubs that sell "exclusivity" will survive... In the meantime, there are PLENTY of places in Vegas to sit down, drink, dance and yes, hook up, that don't require a pocket full of cash. Go there.
By gold1020

2/1/09 at 8:30 p.m.

Suggest removal

The Metro Police Officer is shown in the video telling Morrison he will arrest him if he chooses to file a police report???? Who EXACTLY is this metro police officer???? Why has he not been publicly named for dereliction of duty???? WHAT IS THE NAME OF THIS METRO POLICE OFFICER???????????
By redferret

2/2/09 at 9:28 a.m.

Suggest removal

These clubs will close or change as the times get starker. Besides I'm still scratching my head. Who's the target demo here? If it's 20 somethings, which ones can afford to blow over a thousand for a bottle, a booth, and not much else? If it's 30 somethings, why do you want to blow that kind of money? If it's older people, why do you want to go to a club?
As for security, they should be ashamed. Are they only making the place safe for those with enough money? The whole club thing just looks like such a huge scam against the brain dead.
By jamessanchez84

5/28/09 at 6:56 p.m.

Suggest removal

I completely understand how you felt and how ridiculously they try to portray you as a completely provocative person that is searching for trouble. In reality your a paying customer and your goal is to have fun for the night.I was a victim as well, Sunday morning in between 1-2 am on May 24, 2009 I was escorted out of the club by a Black male security simply because he pushed me and i told him not to touch me. He apparently took offense to that and decided to walk me out to the emergency exit. Five feet away from the door he pulled my head down by grabbing my hair and when we came to the door he pulled my hair even harder and pushed me down the stairs. I was taken to the emergency room soon after. Actions must be pursued to stop the misconduct of these guys with big egos that violate their authority.