It would vary wildly between locations. On Tavros, nudity is illegal everywhere except the Red Light District, private accommodations and most places of business Steele can visit; of the latter, four (Happy Tails, Mi Amour, the TamaniCorp shop and Beth's) are explicitly sexual in nature, two (Fur Effect and the Dark Chrysalis) offer sexual products in addition to non-sexual ones and one (Sentient Acquisitions) is adults-only for an entirely different reason. Notably, nudity is illegal at Ilaria's bakery, which ("secret sauce" aside) is noted to be family-friendly. At the same time, accessing the Masturbate menu is only forbidden in the nursery (makes sense; it's a space dedicated to children), and if Steele performs an ultra-exhibitionist strip-tease on the station:
You see a {man/woman} in Tavros security uniform approach you slowly with a stern expression... uh’oh. {He/She} looks you up and down with scathing eyes and using a gruff voice utters: “You know public nudity is illegal on Tavros, don’t you?”
Many of the voyeurs slyly scatter away, as your heart sinks to your feet. What did you get yourself into?
“I will let it slide, this time.” {He/She} continues without giving you a chance to respond, handing you a folded piece of paper that {he/she} just scribbled something on. “You will have to take this warning though.”
You take the warning and notice {a bulge in his pants/her nipples poking through her shirt}. Wait a minute... you are pretty sure you saw {him/her} snap a few pictures of you. You unfold the piece of paper to read it, but instead of a warning you find something very different. “Nice assets!” Is written in large handwriting followed by a phone number.
So it seems like enforcement of those laws is inconsistent at best, at least when there are no kids present (which it seems like there never are). Then again, Steele is particularly sexy, so maybe they ought to get in trouble and just get an exception because they put on a really good show. Exhibitionism is also noted to be a relatively accepted fetish in most places.
On the other hand...
Reaha said:
"New Texas really is... different than the rest of the galaxy. Maybe it’s because of the Treatment, I don’t know, but it was also so peaceful. The people there were also nice to me -- that is, when they weren’t bending Mom or one of my big sisters over something right in front of me," she says with a visible shudder that leaves her tits quaking.
Note that Reaha ran away as soon as she turned 18, so that means some people on New Texas do indeed have sex in front of kids, and not all of them are comfortable watching it. Though NT is the exception rather than the rule.
There are actually two underage NPCs in the game aside from Steele's kids. Kayla's too young to give any insight into this topic (so young, in fact, she'll instinctively drink from Steele's breast if it's exposed and lactating when they meet her), but Aurora will forcibly eject Steele from her vicinity if their crotch is exposed - and she lives in a ship full of raskvel, which would be one of the most sexual places to live in (indeed, Novahome apparently lacks public decency laws; both nudity and sex are allowed in public). It's implied the raskvel never have sex in front of her (forcible ejection aside, she also says "Some of them get weird and evasive around me but I think that’s cuz they get all fiddly and adult-y all the time and I’m not one!"), and she's fine with exposed breasts and skin-tight outfits, so...
shrugs
