Restaurant Industry

News & Analysis as of

Second Circuit Finds Highly Individualized Damages Inquiry Won’t Spoil Rule 23 Class Wage Claims

Roach v. T.L. Cannon Corp., No. 13-3070-cv (2d Cir. Feb. 10, 2015): The Second Circuit Court of Appeals recently vacated and remanded the U.S. District Court for the Northern District of New York’s decision denying class...more

Seek “Recent Graduates” for a Job Opening, Risk a Lawsuit

Employer job advertisements are, once again, coming under scrutiny. A few weeks ago, the U.S. Equal Employment Opportunity Commission (EEOC) made headlines when it filed a lawsuit against a restaurant chain over its job...more

Uncharted Territory: Seattle’s $15 Minimum Wage Ordinance

The City of Seattle’s Minimum Wage Ordinance is set to take effect April 1, 2015.  When it does, Seattle will have the highest minimum wage in the nation, outpacing larger metropolises like San Francisco and New York City....more

The Federal Minimum Wage for Tipped Employees—Is a Raise in Store?

President Obama has made increasing the federal minimum wage a priority for the administration due in no small part to sustained union efforts over the past few years—including “worker center” protests and campaigns aimed at...more

Saladworks, LLC files Chapter 11 in Delaware

On February 17, 2015, Saladworks, LLC filed a chapter 11 bankruptcy case in Delaware. The case has been docketed as case no. 15-10327 and has been assigned to The Honorable Laurie Selber Silverstein....more

Seasons 52 Refused to Hire Older Workers Nationwide, EEOC Charges in Lawsuit

Chain Denied Older Workers Positions at Its Newly Opened Restaurants Throughout the Country, Federal Agency Claims - MIAMI - Seasons 52, a national restaurant chain and one of the Darden restaurant brands, engaged in a...more

2015 Wage and Hour Law Update for Hospitality Industry Employers in New York

This Employment Law Spotlight blog post highlights important changes to New York’s wage and hour laws covering private employers in the hotel and restaurant industries, not including resort hotels. These changes are already...more

New York Wage Board Recommends $7.50 Hourly Wage for Tipped Workers

Under a proposal recommended by the state’s Wage Board on Friday, January 30, 2015, tipped workers in New York state, including restaurant servers and hospitality workers, would have their minimum hourly wage increased to...more

FDA Finalizes Chain Restaurant Menu Labeling Rules

It may surprise some to learn that the Affordable Care Act of 2010, a.k.a. “ObamaCare,” among other things, amended the US Food, Drug and Cosmetic Act to require chain restaurants and similar retail food business to provide...more

What’s on the Menu? A Look at the New FDA Quick Serve Restaurant (QSR) Labeling Requirements

We recently reported in to our clients about a little-known element of the Affordable Care Act (“Obamacare”) that will require many QSRs (Quick Serve Restaurants) to provide specific calorie and nutrition information to their...more

The Next Wave of Joint Employment Litigation

A looming surge of cases threatens to expand the joint employment doctrine and fundamentally alter the operations of franchisors, retailers, and businesses utilizing independent contractors within the four walls of their...more

Mixing Things Up: Let’s Talk Recipes, Part One of a Four-Part Series (Copyright)

Discussions about protecting intellectual property often focus on cutting-edge technologies, corporate branding campaigns, and widely distributed artistic works like movies and music. But let’s mix things up a bit. Follow...more

New York Hospitality Industry Wage Board Recommends Increase in Tipped Employee Minimum Wage

On September 15, 2014, the New York State Commissioner of Labor assigned the three-member Hospitality Industry Wage Board (“Wage Board”) with the task of reviewing and making recommendations regarding what changes, if any,...more

The Diminishing Tip Credit: Another Reason it is becoming Harder to Comply with Wage & Hour Laws in New York

Executive Summary: On January 30, 2015, the New York State Department of Labor's ("NYSDOL") Wage Board (the "Wage Board") voted to recommend a fifty percent increase in the minimum hourly rate for tipped workers, from $5.00...more

Re-Living the Bar Exam

Recently, I played a little law office hookie with a few of my colleagues, in the name of legal research, of course, to re-live the “bar exam.” The particular bar we examined was Magnolia Brewing Company’s new digs in...more

Have You Considered Parking In Your Restaurant Lease?

Shockingly, many restaurant leases fail to account for parking. More often, the landlord considers whether there is enough parking before entering into the restaurant lease negotiations, but they don’t account for it in their...more

Would You Like Fries with that Sweater? Retailer and Restaurant Pairings

As retailers continue to embrace the omni channel retail experience, our blogging team explores consumer behavior behind the new trends. One topic we have followed lately is the convergence of retail and restaurants. For...more

Would You Feel Friendly Toward Freddy?

As the brand manager or trademark counsel for Friendly’s, would you be friendly toward Freddy’s? I remember the Friendly’s restaurant chain when we lived in Columbia, Maryland, back in the days when I clerked for a...more

FRANCHISEE 101: Complying with the FDA's New Menu Labeling Requirement

On November 25, 2014, the Food and Drug Administration (FDA) released final rules governing menu and vending machine labeling to implement some of the Affordable Care Act's nutrition labeling requirements. The final...more

FRANCHISOR 101: Accidental Franchises in Industries Not Typically Associated With Franchising

Almost everyone recognizes the nation's most prominent franchises: McDonald's, Domino's, Hilton or 7-Eleven, to name a few. And business people are becoming aware that arrangements that look like franchises, but are...more

Ruby Tuesday Sued by EEOC for Sex Discrimination

Chain Restricted Coveted Resort Assignments to Females-Only, Federal Agency Charges - EUGENE, Ore. - International restaurant chain Ruby Tuesday, Inc. discriminated against male employees for temporary assignments to a...more

Latest Scoop From New Jersey on Independent Contractor Misclassification May Cause Employers Brain Freeze

An ice cream parlor in Dania Beach, Florida, features The Original Kitchen Sink Sundae, which contains up to 30 scoops, plus chocolate syrup, marshmallows, nuts, whipped cream, and a variety of berries. Customers can choose...more

On the Menu in 2015: Final Menu Labeling Regulations

After waiting more than three years, the Food and Drug Administration (FDA) published the long anticipated final Menu Labeling Regulations on December 1, 2014. These regulations bring the requirements imposed upon restaurants...more

When To Use Letters of Intent In Buying a Restaurant

Letters of intent can be confusing. Are they contracts? Are they binding? When should they be used? It’s important to know when to use letters of intent because they can be valuable tools that can save time and money. We...more

Some Multi-Unit Franchisees are Public Companies

While most of the private equity and public offering activity of franchise companies focuses on franchise brands and systems, every now and then a large, multi-unit franchisee will go public or seek private equity financing....more

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