Conversation so far:
What were the legal problems?
When the film was released in New York City, the anti-pornography organization Morality in Media unsuccessfully filed a lawsuit against these federal officials.
What happened during the lawsuit?
authorities seized the film.
Penthouse took legal action, partly because Guccione thought the legal challenges and moral controversies would provide "the kind of [marketing] coverage money can never buy".

Question: What happened from there?
Self-contained rewrite: What happened from the seizure of Caligula?