Art Dealer Controversy

IS IT ART OR INAPPROPRIATE? A NEW JERSEY ART DEALER FACES THOUSANDS OF DOLLARS IN FINES AND POSSIBLY JAIL TIME AFTER DISPLAYING AN IMAGE OF A WOMAN'S BACK SIDE AND REFUSING TO TAKE IT DOWN. CBS 2'S MEG BAKER HAS THE CONTROVERSY NOW FROM ENGLEWOOD. Reporter: THEY HAVE BEEN HERE IN ENGLEWOOD, NEW JERSEY, FOR MORE THAN NINE YEARS. THE GALLERY IS NOW SUING THE CITY SAYING IT INTERFERED WITH FIRST AMENDMENT RIGHTS OF FREEDOM OF SPEECH. I FELT VIOLATED AND WHY AM I BEING SUBJECT TO THIS INSANITY? Reporter: BACK IN JANUARY SHE SAID A CODE ENFORCEMENT OFFICER ASKED HER TO TAKE THIS PAINTING DOWN. SHE REFUSED. WE BLURRED THE ARTWORK BY TOM DASH. IT'S ARTWORK. ARTWORK IS -- IT'S A STATEMENT. ART IS PAINTING HISTORY. Reporter: THE OFFICER ISSUED A VIOLATION WITH FINES OF $1,250 PER DAY AND THE THREAT OF UP TO 90 DAYS IN JAIL IT WAS ORIGINALLY DISPLAYED IN THIS WINDOW BEHIND ME AT THE GALLERY OFF PALISADE AVENUE. IF YOU WALK THROUGH THIS GALLERY OR YOU WALK THROUGH THE MUSEUM IN THE CITY OR IN EUROPE, ANY MUSEUM, YOU'RE GOING TO FIND NUDITY. Reporter: THE ORDINANCE WHICH WAS ENACT IN 1992 STATES NO THEY ARE DEFENDING AN ARCHAIC STATUTE THAT'S AIMED AT THE CONTENT OF FREE SPEECH. Reporter: THOSE IN TOWN DIDN'T MIND IT. I DIDN'T THINK THERE WAS ANYTHING WRONG WITH IT. INSTAGRAM GIRLS ARE SHOWING THEIR BUTTS ALL THE TIME. Reporter: GORGHI HAS OTHER NUDE DEPICTION IN THE GALLERY BY ARTISTS. IN NEW JERSEY, MEG BAKER, CBS 2 NEWS. NO COMMENT FROM ENGLEWOOD