Yes, but if the law bans strip clubs, then a strip club could simply become, well, a clothed regular (night) club, serving drinks and music and whatnot. So it's not really an existential problem, because there is a quite reasonable option available for the club to avoid non-existence.

In which case, I think we're back to this being more on the, if-not-reliatory, at least coercive side; the club owner is trying to coerce them to help him stay open as a strip club, but he could just as well be a different kind of club and stay open.