Restaurant Industry

News & Analysis as of

Ninth Circuit Defines Vicarious Liability Standard Under the TCPA

The US Court of Appeals for the Ninth Circuit recently affirmed a US District Court for the Central District of California decision dismissing a Telephone Consumer Protection Act (TCPA) claim. The Ninth Circuit agreed with...more

DOL Hits Restaurant for $800k for Illegal Tip Withholdings

The Department of Labor continued its roundup of restaurants supposedly skirting wage and hour laws, recently reaching a settlement with a Texas-based restaurant for $650k in back wages and $150k in penalties to be split...more

Managing Risk in an Inhospitable Environment: The Restaurant and Hospitality Industries are an Alluring Destination for Cyber...

The recent onslaught of cybersecurity incidents and payment card thefts dominate daily headlines and have captured the nation’s attention—from the diner whose credit card was compromised during a data breach to the President...more

NYC Restaurant Scene Extends to Newark In Concurrent Use Trademark Case

The matter of Terra Sul Corp. v. Boi Na Braza, Inc. involved a concurrent use proceeding between two restaurants over their nearly identical names. In theory, the scope of the conflict was nationwide, but in reality, as one...more

Old Fashioned Protected Concerted Activity Stirred Up With A Twist

A recent NLRB ALJ decision illustrates the old and the new under the National Labor Relations Act (“Act”). The case is Gates & Sons Barbeque of Missouri, Inc. and Workers’ Organizing Committee, Kansas City, No. 14-CA-110229...more

Restaurants And Other Employers With "Food Handlers" Required To Complete Food Handling Training No Later Than July 1, 2014

The Illinois Food Handling Regulation Enforcement Act (Act) provides that “food handlers” (both in restaurants and non-restaurants) must complete “food handling” training no later than July 1, 2014. After July 1, 2014,...more

"Summertime and the Livin' Is Easy" Tips to Make Sure "Tips" Don’t Create Problems Down the Road

Summertime can be the high season for many service establishments, such as restaurants, hotels and recreational facilities, as we all take some time to relax and enjoy the weather. But with wage and hour litigation constantly...more

Genetically engineered food labelling bill moves through legislature

SB 1381, California's revived genetically engineered food labelling bill, has passed through the California Senate Judiciary Committee. If enacted, SB 1381 would take effect on January 1 2016. As the bill has moved through...more

Restaurant Industry Alert - Fast Food Strikes Announced For Global Workforce

Executive Summary: In an attempt to draw attention to their ongoing efforts to raise the minimum wage to $15 per hour, union organizers have announced another walkout/strike for May 15th....more

Springdale Pizza: Eleven Decisions on Disclosure, Rescission and Damages (and Counting)

Essential Facts - The plaintiffs purchased a franchise from an existing franchisee in October 2008 for $220,000. The plaintiffs began operating the franchise before signing various agreements with the franchisor in...more

The 20% Rule For Tips Is Back In The News

We’ve covered tips and tip credits at length in the past, and I could probably blog all day, every day just to keep up with the volume of tip-related cases and actions that are filed nationwide, some high profile and others...more

Take 5 Newsletter: Five Hot Topics in Hospitality Law

ACA Final Regulations Provide Rules for Seasonal Employees - On February 10, 2014, the Internal Revenue Service ("IRS") promulgated final regulations for the ACA's employer "shared responsibility provisions" in IRS...more

Employment Newsletter - April 2014: Tips, Tip Pooling and Service Charges: Developments & Guidelines

Mandatory service charges and their distribution among waitstaff have plagued the Hospitality industry for years. Federal courts interpret federal laws differently, and states have enacted their own statutes that keep...more

Confusing Expiration Labels Cost Texas Restaurants

All restaurants have to deal with the issue of throwing away food at the end of the day. According to the National Resources Defense Council (NRDC), a powerful environmental action group and the Harvard Food Law and Policy...more

Airport Restaurant Service Provider Seeks to Ground Hijacked URL

OTG Management, LLC (“OTG”), seeks to enjoin unnamed defendants from anonymously continuing “a misleading uniform resource locator (“URL”) and corresponding email services,” posing as an OTG employee and using OTG service...more

All Press Is Good Press For Texas Restaurants

Some of you may have heard the latest uproar caused by Pizza Patrón. Known for its undaunted ability to generate press from clever, edgy marketing campaigns, Pizza Patrón’s latest endeavor was to name a pizza, La Chingona....more

South By Southwest Deaths Highlight Alcohol Issues For Texas Restaurants

Three people are now confirmed dead in the recent car crash tragedy at South By Southwest. According to an article by Quita Culpepper from KVUE.com, these people were “injured on Thursday, March 13 outside The Mohawk when...more

Expanding Smart: Is Franchising Right For Your Restaurant Concept?

The franchise model can offer restaurateurs plenty of upside, which is precisely why franchise restaurants blanket the country. As growth vehicles go, however, franchising works better for some concepts than for others. Is...more

Michigan’s BYOB Wine Legislation Now In Effect

After considerable anticipation, House Bill 5046, one of three pieces of legislation regulating Michigan liquor licensees that was approved in late 2013, is scheduled to take effect the week of March 10, 2014....more

President Obama to Order Expansion of Overtime Pay

President Obama is expected to issue an order today directing the Department of Labor to expand the number of people who qualify for overtime pay under federal labor law. According to reports in the Washington Post and other...more

Ricardo's Restaurant will Pay $20,000 to Resolve EEOC Sexual Harassment Suit

Co-Owner's Pervasive Harassment Forced Female Employee to Quit, Federal Agency Charged - ERIE, Pa. -- Ricardo's Restaurant, Inc. of Erie will pay $20,000 and furnish significant equitable relief to resolve a federal...more

As if Employers Needed Another Reminder, Here Are 8.4 Million More Reasons to Get the Tip Credit Right

A couple of weeks ago, a Philadelphia based sports bar chain entered into a consent order with the U.S. Department of Labor (DOL) and filed a request with the E.D. Pennsylvania for approval of a separate settlement with...more

Luck Of The (Panel) Draw? NLRB Narrowly Upholds Employer’s Negative Attitude Rule

Last week, in Copper River of Boiling Springs, LLC, a three-member panel of the National Labor Relations Board upheld a South Carolina restaurant’s negative attitude rule by a 2-1 vote. The employee handbook provision...more

Removing Customers: When Can A Texas Restaurant Ask A Patron To Leave?

Last week, the Washington Times published a very sad article. It reported that a Texas war veteran was kicked out of the River Side Inn Marina, which is a restaurant in Houston. The story stated that the veteran simply had a...more

EEOC Sues Nick's Restaurant for Disability Discrimination, Sexual Harassment, Retaliation

Restaurant/Sports Bar Revoked a Reasonable Accommodation for a Disabled Server and Fired Her After She Complained, Federal Agency Charges - HOUSTON - PNS Investments, Inc. operating as Nick's Restaurant and Sports Bar,...more

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