Briana Sandy of Gilbert claims that she was refused service at the Tempe Tavern on Apache Blvd.
The incident happened on Saturday June 6 around 3:45 in the afternoon.
Sandy says she entered the bar and tried to order a drink, she claims the bartender told her "we don't serve your kind."
She then claims she was forcibly told to leave the business.
The owner of the bar says she was not served as a misunderstanding, he's apologized and welcome Sandy back to the bar.
Robert Tasso is the manager of the bar. "We won't allow drug dealing in here, and we won't allow people who are known to be dealing in prostitution. Was this person doing that? Apparently not, but it's a mistake in judgement that was made by our bartender and this person was asked to leave," said Tasso.
But it was how Sandy was asked to leave is what Tasso says is being twisted.
"This person claimed that my 20-year-old Mormon bartender said 'we don't serve your kind here' and there are a handful of people who were at the bar when this incident happened, who are more than willing to tell the story that that's not what was said. It's unfortunate because that's the statement that is driving a lot of the hate that is going out there on Facebook," said Tasso.
Tasso said the bartender said this instead.
"She goes I'm sorry, but I can't serve you, I'm going to have to ask you to leave, and just repeated that statement," he said.
Read more: http://www.fox10phoenix.com/story/29269324/2015/06/08/transgender-woman-claims-discrimination-after-being-kicked-out-of-bar