News & Analysis as of

Fast-Food Industry

Menu Compliance Counts Starting May 5th

by Barley Snyder on

Restaurant calorie labeling: Starting next month, it’s not just for McDonald’s anymore. In an issue Barley Snyder has been tracking for years, the Food and Drug Administration is poised to begin enforcement of its...more

Sheppard Mullin Secures Major Victory for Chipotle in Nationwide Misclassification Action By Demonstrating Variations Among...

The Court’s opinion in Scott v. Chipotle Mexican Grill demonstrates how employers can successfully combat class action claims that employees were misclassified as exempt. The successful defense of the class certification...more

FACTA Suits Still Bite - $31 Million Subway Class Action Settlement Approved

Ten years ago, hundreds of retailers, chain restaurants and others were targeted nationwide as defendants in class action suits under the Fair and Accurate Credit Transactions Act (FACTA) for violating the so-called...more

NLRB Finds That Fast-Food Company Must Allow Employees To Wear “Fight For $15” Buttons

by Seyfarth Shaw LLP on

Seyfarth Synopsis: NLRB rules that fast-food company violated the National Labor Relations Act by maintaining a rule prohibiting employees from wearing unauthorized buttons or insignia and by instructing an employee to remove...more

Tennessee Court Rejects EEOC’s Supersized Subpoena Served On Fast Food Employer

by Seyfarth Shaw LLP on

Seyfarth Synopsis: A federal court in Tennessee denied the EEOC’s application for an Order to Show Cause why its administrative subpoena should not be enforced. This ruling highlights the importance and benefits of employers...more

Arby’s Whacked with More Data Breach Class Action Lawsuits

As we previously reported, Arby’s was hit with malware that infected over 1,000 of its fast food locations throughout the U.S. between October 25, 2016, and January 19, 2017, and was hit with multiple class action suits over...more

Food Fight: Two Sides to Every Chicken Filler Story

by Lewitt Hackman on

The Canadian Broadcasting Corporation (CBC) recently aired a segment reporting that real chicken content in Subway sandwiches amounted to a lot less than what the average consumer would expect. The network commissioned DNA...more

Restaurant Chain Must Allow Employees to Wear Union Buttons

by Best Best & Krieger LLP on

The National Labor Relations Board recently determined that In-N-Out Burger violated the National Labor Relations Act by maintaining and enforcing a work rule prohibiting employees from wearing any type of unauthorized...more

Federal Court Serves Up Satisfying Seconds For California Franchisors: No Ostensible Agency Liability For Franchisees’ Alleged...

by Seyfarth Shaw LLP on

Seyfarth Synopsis: A federal court in California recently held that a franchisor cannot be held liable for labor code claims where it did not exercise control directly, or through an actual agency relationship with the...more

Wendy’s Successful in Trimming Data Breach Class Action Suit But No Dismissal

We have previously discussed the class action case filed against Wendy’s as a result of a data breach. The case was initially dismissed based upon lack of standing, but the plaintiffs were given the opportunity to amend the...more

Monthly Update—Australian Labour & Employment - February 2017

by Jones Day on

MESSAGE FROM THE EDITOR - In this edition of the Update, we discuss two significant developments that are likely to have far-reaching impacts for employers and employees across Australia. First, we discuss the proposed...more

Wendy’s Executives and Board File Motion to Dismiss

We previously reported that Wendy’s was hit with a putative class action shareholders’ derivative suit in December following its data breach in 2016. Late last week, the executives and Board of Wendy’s filed a Motion to...more

New York City Council Committee Pursues Predictive Scheduling and Other Labor Bills

by Littler on

On Friday, March 3, 2017, the New York City Council’s Committee on Civil Service and Labor considered a package of six bills that could significantly affect the scheduling of fast food and other employees. These measures seek...more

Arby’s Hit with Multiple Class Action Suits over Data Breach

Arby’s has announced that its point-of-sale system had been compromised by intruders over a four month period between October of 2016 and January of 2017, exposing the credit and debit card information of 355,000 customers....more

Texas Workplace Sexual Assaults May Not be Treated as Sexual Harassment

by Perkins Coie on

In Texas, some victims of workplace sexual assault may pursue common law assault claims against their employers, following a recent Supreme Court of Texas ruling. B.C. v. Steak N Shake Ops., Inc., — S.W.3d —, Case No. 15-0404...more

2016 New York Employment Law Year In Review

2016 brought big changes for New York State and City employers, including expansive new discrimination protections and substantial increases in the minimum wage and exempt salary thresholds. While New York employers who...more

Food for Thought: A Review of 2016 Litigation

by Carlton Fields on

Food for Thought is a review of significant court decisions affecting the food, beverage, dietary supplements and personal care products industry. Although many cases in this edition focus on class certification, others...more

Arby’s Investigating Payment Card Breach

Arby’s has announced that it is investigating its payment card systems after Brian Krebs first reported the incident. According to reports, malware placed on Arby restaurants’ payment card systems allowed attackers to...more

Be Aware of Possible Joint Employer Status with Franchisor

The franchise model is built upon the idea that a franchisee pays for the right to use a franchisor’s brand, marketing and goodwill in launching and operating the franchisee’s business. The franchisee is generally responsible...more

Keeping those New Year's resolutions just got a little easier in Ontario

by Smart & Biggar on

The Ontario Healthy Menu Choices Act and its Regulations, which became effective January 1, 2017, aims to allow Ontarians to make informed food and beverage choices when eating in a restaurant or purchasing take-away meals. ...more

Retailer - Winter 2017

NEWS & ANALYSIS - Scheduling protection laws for retail workers: A nice-sounding idea that can be a nightmare for employers - EDITOR’S NOTE: The following is adapted from a guest post by Bob that was originally...more

A Family Victory! Victory! Just Not for Little Caesars

The United States Patent and Trademark Office, Trademark Trial and Appeal Board (the “Board”) modified its treatment of the “family of trademarks” doctrine in the recent case In re LC Trademarks, Inc., Serial No. 85890412...more

Ostensible Agency, Hold the Class Certification: Would You Like Franchise With That?

by Seyfarth Shaw LLP on

It’s a common business model in the fast-food industry: a massive restaurant company provides the menu, the marketing—including catchy slogans and a universally recognized logo—and the basic operational standards for the...more

Your Daily Dose of Financial News

by Robins Kaplan LLP on

Lynn Tilton’s very public spat with the SEC over the agency’s in-house court system may be heading to the Supreme Court, thanks in part to a recent 10th Circuit opinion last week that created a Circuit split over the...more

Indiana Court of Appeals Allows Negligent Hiring Claim Despite Admission that Employee Acted Within Scope of Employment

by Reminger Co., LPA on

The Indiana Court of Appeals recently determined that a negligent hiring claim against Pizza Hut can continue to move through the trial court after finding that the trial court erred when it granted summary judgment in favor...more

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