A dispute over the closure of a massage and day spa business has led to a federal lawsuit that alleges constitutional violations by local government authorities. The case centers on the revocation of a business license and subsequent arrest of the business owner under a statute that was later declared unconstitutional. According to court documents, Donna Reeves filed her complaint in the United States District Court for the Northern District of Georgia on March 19, 2026, naming Hall County, the City of Gainesville, and five unidentified officials as defendants.
The complaint states that Reeves operated Serenity Massage and Day Spa at 109 Washington Street NW in Gainesville until March 15, 2022. On that date, city officials posted a Notice of Building Violation on her business entrance and revoked both her Certificate of Occupancy and business license without prior notice or hearing. The filing alleges these actions were based on accusations related to the arrest of Reeves’s adult son—who is described as a separate individual—and other unspecified claims.
Reeves contends that no guidance or process for appeal was provided at the time her licenses were revoked. She sent a Notice of Appeal to Rusty Ligon, Community and Economic Development Director at the City of Gainesville on March 29, 2022. However, she reports receiving no opportunity to be heard before or after these actions. On April 11, 2022, Reeves was arrested under O.C.G.A. § 43-24A-15 for alleged unlawful massage therapy practices—a statute which was declared unconstitutional by the State Court of Hall County on December 12, 2024.
The lawsuit details several legal claims against the defendants:
– Procedural Due Process Violation: Reeves argues that she was deprived of property interests in her business without adequate legal process as required by the Fourteenth Amendment. The complaint cites relevant case law stating that once issued, licenses essential to livelihood cannot be taken away without due process.
– Substantive Due Process Violation: The plaintiff alleges arbitrary revocation of her licenses based on an unconstitutional ordinance and third-party conduct unrelated to her ownership or operation.
– Equal Protection Violation: Reeves claims she was treated differently from similarly situated business owners because she did not receive an opportunity to contest the revocation—an action she describes as intentionally discriminatory.
– False Light / Invasion of Privacy: According to the filing, posting public notices about alleged violations placed Reeves in a false light before the community by suggesting involvement in activities not supported by evidence.
– First Amendment Violation: The enforcement of O.C.G.A. § 43-24A-15 is challenged as an unconstitutional restriction on protected speech because it broadly limited truthful advertising about lawful services.
– Wrongful Arrest / Malicious Prosecution: The suit asserts that Reeves’s arrest lacked probable cause since it relied solely on evidence from an undercover operation involving law enforcement family members—a method criticized in cited Georgia case law for potential bias.
– Intentional Infliction of Emotional Distress: The complaint describes severe emotional distress resulting from loss of income, reputational harm, unsanitary jail conditions during detention, and ongoing stigma even after relocating her business.
The document also references investigations into relationships between public officials involved in prosecuting Reeves’s case. It notes that then-District Attorney Stephanie Woodard and Hall County Sheriff Gerald Couch were engaged in what is described as a clandestine romantic relationship during this period. A Georgia Bureau of Investigation inquiry into Woodard’s use of public funds is also mentioned.
Reeves seeks compensatory damages for financial loss and emotional distress; punitive damages for what she characterizes as willful misconduct; reasonable attorneys’ fees; declaratory relief; injunctive relief; and any further remedies deemed appropriate by the court. She requests a jury trial on all triable issues.
The complaint is signed by Ashanti Armstrong (Georgia Bar No. 878516) with Haigler & Associates through J.A.S. Legal Firm LLC in Atlanta. The case is identified as Civil Action No.: 2:26-cv-00072-RWS.
Source: 226cv00072_Donna_Reeves_v_Hall_County_Complaint_Northern_District_of_Georgia.pdf
