I'm with Vic on this one. It is the organiser's right to set the rules for her/his club. When I have paid to go into a club I don't expect to see people rehearsing on stage. (In spite of what Woodie Guthrie said.)
Performing is a craft. It requires effort and that includes learning the songs properly. If you don't want to do that then don't inflict yourself on an audience.   The same goes for people who insist on performing the same stuff week after week.