[Solved] Max operated a movie theatre in a small community and, because of financial problems, decided to show pornographic movies. The citizens were outraged when they learned about the change and demanded that the police close down the store. The police refused, saying there was no law against it. The citizens then persuaded the town council to pass a bylaw making such immoral activities a crime. This was done, and Max was ordered by the police to close down the theatre. Which of the following accurately describes Max's legal position? A) He must close down the theatre because the town council has the power to require him to conform to such a provision. B) He must close down whether or not the town council has the power because, once it is clear that the standards of the community designate a particular business as offensive, that business cannot be allowed to continue. C) He can obtain a court order to stay open because the town council had no power to make such activities a crime. D) He can stay open but cannot advertise in any way to promote this activity. E) Because this is a moral matter, no level of government can interfere with his right to operate such a business anywhere he wants. Gross Negligence: A legal concept signifying a severe degree of negligence demonstrating a reckless disregard for the safety or lives of others. Punitive Damages: Monetary compensation awarded to a plaintiff that goes beyond what is necessary to compensate for losses and is intended to punish the defendant for egregious behavior. Compensate: To compensate means to provide something, typically money, in recognition of loss, suffering, or damage incurred; a form of recompense. Foreseeability: A legal principle referring to the predictability or anticipation of risks at the time of a contractual agreement.