During your holidays in summer in Palanga in the evenings you'll find music and open restaurants, pubs till the midnight at the main J. Basanavicius street. Sometimes it's hard to choose :) After the midnight search for the night clubs.
My local paper actually compared Palanga to Vegas, hee-hee... it's more like a honky-tonk with a touch of sovietique.
It depends upon one's taste and mood, of course, but the main drag in Palanga is insufferably loud and tacky, most every terrace boasting a bad singer belting out covers of various pop standards, fake Gypsy tunes and atrocious Russian popmuzak in a fiercely competitive cacaphony.
If you stay anywhere near the main drag, you can expect the noise to bother you unless you're in the middle of it and like this kind of thing.
The food at most places was not that great, but the beer is good and cheap.
If you're looking to relax by the sea, stay away from the center of Palanga.
There are lots of people walking in streets, and many restaurants, bars and esplanades along of main street. Even in the beach there are persons watching the sunset at... 22h30m !