In this case, Sebago, Inc, the publisher of The Spectator, a tabloid which describes itself as "California's Weekly Sex News Review," is represented by the ACLU in its case against the City of Alameda. The case concerns a 1977 Alameda ordinance which allows "specified adult entertainment activities" only within certain zoning districts, and not within 500 feet of any area zoned for residential use, or within 1000 feet of the same type of adult entertainment activity. The ordinance defines adult entertainment activity as "“an adult book store [sic], adult motion picture theater, peep show, massage parlor, adult cabaret, pool or billiard establishment, or amusement hall."

The lawsuit was occaisioned by a 1986 letter from an Alameda citizen to the mayor and city council members of Alameda which complained about the selling of The Spectator on newsracks on city streets, and requested that the city prohibit such sales. The city responded by amending the exisiting 1977 ordinance.

The Spectator challenged the constitionality of the Alameda ordinance and sought injunctive and declaratory relief. The city filed a cross complaint that the ordinance was valid. The court denied the city's motion and granted Sebago's motion, declaring the ordinance unconstitutional in that it "infringes upon the freedom of the press in violation of the First and Fourteenth Amendments to the United States Constitution and Article 1, Section 2, of the California Constitution." The court prohibited the city from enforcing the ordinance and ordered the city to pay attorney's fees in the amount of $45,000.