tl;dr version: It's another mechanism for strong players to bully weaker players
There are 2 sides to the hostile parlour. One of the Host and other the Attacker.
Attacker:
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He has to defeat the Host in a cockfight to get the right to build a parlour.
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He then gets 3 choices of parlours. One that gives 5% of Host's parlour income (bought for $10,000). Another for 10% of income (bought for $100,000). And a third that gives 15% of income (for 5 Candy Coins).
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The parlour is constructed in 1 hour's time (host is notified immediately as construction starts).
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Attacker can then put up to 8 warriors as security of parlour.
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Parlour is available to him, squeezing cash from Host, for 7 days. Unless Host fights back.
Host:
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Host sees a parlour in red colour appear on map. He can set up to 8 warriors to attack the enemy.
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6 successful attacks are needed to evict the Attacker.
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An attack can be done every hour.
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A max of 3 attacks can be done in a day. So, Attacker is assured of day's income as minimum.
The Fight:
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It's the warriors that fight each other. So their stats decide who wins.
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Additionally, players can increase chances of winning by collecting cash from street, delivery deals, and clients. Whoever, among the two, has collected higher gets a higher attack bonus.