This ruling was very well written; it is going to have a chilling effect on the Justice Department [that is a good thing] so it may very well put a damper on obscenity prosecutions by the US Dept of Justice. An appeal by the Justice Department would very likely lose, but they may just push it anyway. A ruling in favor of Extreme at the Circuit Court level would only fuel the fundies cries for appointing more right-wing judges, so they could potentially benefit from appealing this and losing.

The flip side is that it might steer the Dept of Justice away from prosecuting obscenity, so they look for other ways to nail you, such as 2257 violations or tax evasion.

AL Capone was never convicted of any violent crimes, ordered murders, theft or extortion--the only way the Dept of Justice could nail him was convicting him of tax evasion! The same thing happened to one of the porn industry leaders not so long ago--couldn't be convicted of obscenity violations but he was cheating on his taxes and went to prison.

So, this is great news but it means we also have to keep our houses in order elsewhere. Stay on top of your record keeping requirements, prepare an honest tax return, and run a good business.