Nigel Smith, 36, was reportedly spotted by a customer with his genitals exposed.
A store employee told police Smith was perusing "photos of women on the packaging of Halloween costumes", the Smoking Gun reported.
A female customer also told police she saw Smith "whacking off".
Smith then allegedly shoved a male member of staff after he was confronted and tried to run away from the shop.
The worker told officers he tackled Smith, who then bit him.
Smith was pinned to the ground by three men outside the Spirit Halloween Superstore in Portland, Oregon, when police arrived.
Officer Matthew Bigoni reported seeing a "very noticeable wet spot on the front of (Smith's) grey sweat shorts, directly in front of his genitals", an arrested report added.
Smith was charged with felony public indecent and assault.
He was released on bail and due to appear in court on November 10.Follow Me On Twitter & Instagram: @effiongeton
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