Conflict at strip club escalates with claims of drugs, racism, and threats of violence

Exclusive Strip Club Lawsuit in Los Angeles

The rivalry for one of Los Angeles’ top strip clubs is intensifying. A recent lawsuit involving two major players in the industry has ignited serious claims of drug use, racism, and even death threats.

Last week, the California Post reported on a legal situation that feels like it could be straight out of a dramatic TV series. Craig Franze, who runs the well-known Body Shop strip club on Sunset Boulevard, is accused of orchestrating a “fraudulent bait and switch” to take control of two other clubs, 4 Play and Plan B, from his former close associate, Mike Galam.

Franze has now retaliated by filing a countersuit, asserting a questionable business history with Galam and claiming that he agreed to acquire only 30% of both clubs for a $2.5 million investment.

Throughout their business endeavors, which began in early 2014 and came to an abrupt end in 2025, Galam is said to have embezzled funds, misused drugs, and even made threats against Franze’s life, according to the lawsuit.

The pair initially collaborated in early 2014 when Galam purchased four nightclubs in Florida for them to manage together, but their partnership quickly soured. The complaint indicates that their relationship reignited when Galam sought Franze’s help in managing Bare Elegance, a Los Angeles strip club, amid the pandemic, though Franze eventually distanced himself when Galam failed to meet financial obligations.

Galam, who filed his lawsuit against Franze last week, alleges that Franze “systematically misappropriated” over $1 million to maintain a lavish lifestyle while managing Bare Elegance.

In 2023, it seems they had attempted to resolve their differences. Franze, who was looking to purchase The Body Shop, accepted a $1.2 million investment from Galam as a gesture of goodwill, as stated in the complaint.

The duo entered another agreement ensuring that Franze and his partner, Archie Donovan, would earn a weekly salary of $2,500 as long as Bare Elegance remained operational, granting Galam the opportunity to invest in 4 Play and Plan B. However, plans for minority ownership fell through, as Galam struggled to fund the promised $2.5 million investment.

The lawsuit further claims that although Galam paid the full amount, he failed to uphold his $2,500 weekly payment obligation, which led to the termination of their arrangement.

According to the complaint, Franze and Donovan felt compelled to distance themselves from Galam due to his erratic behavior and increasingly destructive lifestyle.

Galam’s recent lawsuit accuses Franze of sexual abuse, drug use, and racial discrimination. Specifically, the complaints detail acts of harassment, drug dealing on site, and attempts to interfere with Franze’s employment relationships.

Franze alleges that Galam issued multiple threats against him, pushing him to relocate his family to a gated community and hire private security. The complaint describes Galam’s public confrontations, where he was often seen carrying a concealed firearm, leading to increased fear for Franze and his family’s safety.

In response, Galam claimed that the allegations demonstrate a level of desperation and stated that he found them amusing. He asserted that Franze consistently avoids responsibility and deflects blame, referring to the counterclaim as a distraction tactic.