Category Archives: Liability

by | January 29, 2012 · 7:10 am

Hospitality Industry Safety Risks: Texas Restaurants Receive "Dividends" Back From Workers Compensation Insurance Program For Maintaining "Successful Safety Programs"

“…dividends come back to restaurants participating in the TRA’s workers comp insurance program… creates incentives for the restaurants to have a safety program and to work with the insurance company and the employees to maintain a safer workplace….”

“Every year we get back … a little over half of our premium that we paid. So, it’s a big return of an expense,” says Lindskog whose company has been in the program since 2004. “A lot of people don’t want workers comp insurance because it’s expensive. But if you get half of it back, it makes it much more cost effective for your restaurant.”

Texas Mutual is the leading provider of workers comp insurance in the state. It was created by the Texas Legislature in 1991 when major reforms on workers comp became effective. Its board of directors is composed of individuals from companies it insures as well as those appointed by the governor of Texas.

For more:  http://www.bizjournals.com/sanantonio/news/2012/01/25/san-antonio-restaurants-score-rebate.html?page=2

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by | January 27, 2012 · 6:59 am

Hospitality Industry Online Risks: Minnesota Hotel Manager Assists Police In Arrest Of Man Running "Online Escort Service At Hotel"

A 34-year-old Columbia Heights man is charged with promoting the prostitution of a 17-year-old girl – after a hotel manager found information about the man’s escort service online.

Samuel Cozart was charged Thursday in Ramsey County. According to the complaint, Cozart approached a man in the Days Inn Hotel in Roseville on Tuesday and asked where he could get fake identification for a girl staying with him.

The man happened to be the boyfriend of a hotel employee. So he told the hotel manager, who went online to investigate. The complaint says the manager found information about an escort service it seemed Cozart was running, and went to police.

Cozart’s attorney was in court Thursday and did not immediately return a phone message seeking comment.

For more:  http://www.keyc.tv/story/16610438/hotel-manager-leads-police-to-prostitution-arrest

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by | January 26, 2012 · 1:02 am

Hospitality Industry Employee Risks: Texas Hotel Sued By Former Restaurant Manager For "Retaliation" After Family Leave Of Absense

“… the company denies that Wike was fired in retaliation for taking time off under the FMLA…”

Back in November, the former restaurant manager for the Overton Hotel filed a labor lawsuit, claiming she was fired in violation of the Family and Medical Leave Act. On Wednesday, the management company for the Overton, 1859 Historic Hotels Ltd., responded.

Kerri Wike claims she never had a bad job review prior to taking leave to care for her mother in the summer of last year. She claims that when she came back to work on Sept. 1, she was given the choice to resign or be fired.

The Overton says, “All actions taken by the Defendant were in good faith, were made in conformance with applicable law, were taken based on reasonable grounds for believing that its actions were not in violation of law, and were for legitimate, nonretaliatory reasons.”

For more:  http://www.kcbd.com/story/16603000/overton-hotel-responds-to-lawsuit-by-former-manager

Other than denying retaliation, the Overton’s response is not specific as to why Wike was fired.

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by | January 25, 2012 · 1:38 am

Hospitality Industry Property Risks: Texas Hotel's Insurance Company Sues "Irresponsible Hotel Guests" For Causing Fire Sprinklers To Flood 39 Rooms On Four Floors

“…the defendants damaged the hotel by hanging clothes on a fire sprinkler head mounted to the wall…the hanger broke the glass tube component in the sprinkler, which caused it to activate and release enough water to flood 39 rooms on four floors, a workout room and four corridors…”

An insurance company is suing over claims irresponsible hotel guests in River Oaks activated a sprinkler system, causing 39 rooms to flood. Lexington Insurance, on behalf of RLJ Development, filed a lawsuit on Monday, Jan. 23 in the Harris County District Court against Al J. Mizrahie, doing business as Belladonna U.S.A., and others, citing negligence.

Carpets, padding, drywall, baseboards, bedding, furniture and fixtures were damaged during the incident, the plaintiff claims.

For more:  http://ultimatemontrose.com/stories/315610-guests-accused-of-flooding-39-rooms-at-river-oaks-hampton-inn

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by | January 24, 2012 · 1:25 am

Hospitality Industry Legal Risks: Texas Hotel Sued For "Negligence" In "Slip-And-Fall" Accident

“…According to the brief, Rodriguez fell, while holding his son, when he slipped on algae growing on a walkway at the hotel…”

A Harris County man is suing over claims he was hurt while staying at a Spring-area extended-stay hotel.
Roy Rodriguez filed a lawsuit on Jan. 20 in Harris County District Court against Sun Suites of Green’s Point, and others, citing negligence.

Rodriguez says he suffered injuries as a guest at Sun Suites Extended Stay Hotel, located at 12010 Kuykendahl Road in Spring. Rodriguez is seeking damages and court costs. He is being represented in the case by Houston attorney Mehran “Mike” Talabi.

For more: http://www.ultimatespringtx.com/stories/315167-courts-spring-hotel-named-in-slip-and-fall-suit

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by | January 23, 2012 · 8:06 am

Hospitality Industry Property Risks: Texas Hotel Completes Installation Of "Shatter-Resistant" Window Panes That Can Withstand "Hurricane-Force Winds And Even Bomb Blasts"

Glass panels were removed from balconies on the 37-story, $300 million building in mid-2011 after eight panels shattered on three separate occasions in June, raining glass into the hotel´s pool area and onto adjacent streets.

Final repairs will soon begin on balconies at the W Austin Hotel and Residences, with workers set to install about 1,000 panes of specially engineered glass that can withstand hurricane-force winds and even bomb blasts, according to its manufacturer.

  • SentryGlas, a product from DuPont, was determined to be the right choice, Armstrong told the American-Statesman.
  • The contractors, not Stratus, will pick up the tab for the $2.5 million project, Armstrong said. About $500,000 has already been spent removing the original glass, as well as providing security guards and protective walkways while that work was under way.
  • SentryGlas has an interlayer that holds together shattered panes, according to Harvey. But, he said, its interlayer is much, much tougher than typical laminated glass — 100 times stiffer and five times stronger.
  • Instead of brackets on the sides, the glass will now be inset with stainless steel mounts at the top and bottom of each panel.

For more: http://www.glassonweb.com/news/index/14953/

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by | January 21, 2012 · 1:56 am

Hospitality Industry Property Risks: Missouri Hotel Fire Started By "Overloaded Electrical Cord"; 80-Year Old Building "Still Had Original Wiring"

The fire is believed to be electrical, but Noah said he doesn’t expect to determine the exact cause of the fire because the room “flashed over” during the fire. This can produce heat as high as 930 degrees.

“The building was built in 1927, and it still has the original wiring in the building,” Orgeron said. “We ask them not to, but you can’t be in everyone’s room all the time. People do break the rules.”

The fire at the Missouri Hotel started in the room of a resident who was using multiple electrical appliances, an official said. Fire marshal Philip Noah said a 48-year-old woman in room 221 had a box fan, stereo and cell phone charger plugged into an electrical cord.

Being able to pinpoint it becomes very difficult,” Noah said. “Really it would take an lectrical engineer”.

For more: http://www.news-leader.com/article/20120120/NEWS01/301200068/0/blogs/?odyssey=nav%7Chead

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by | January 20, 2012 · 1:18 am

Hospitality Industry Food Risks: Mexican Restaurant Chain Is Source Of "Salmonella" Outbreak; Food Contamination "Likely" Occurred Prior To Reaching Chain

Investigative efforts were unable to identify a specific food associated with illness, but data indicate that contamination likely occurred before the product reached Restaurant Chain A locations.

CDC collaborated with public health officials in multiple states and the U.S. Food and Drug Administration (FDA) to investigate a multistate outbreak of Salmonella Enteritidis infections which was associated with eating food from a Mexican-style fast food restaurant chain, Restaurant Chain A. This outbreak now appears to be over.

Public health investigators used DNA “fingerprints” of Salmonella bacteria obtained through diagnostic testing with pulsed-field gel electrophoresis, or PFGE, to identify cases of illness that may be part of this outbreak. They used data from PulseNet, the national subtyping network made up of state and local public health laboratories and federal food regulatory laboratories that performs molecular surveillance of foodborne infections.

For more:  http://www.foodpoisonjournal.com/foodborne-illness-outbreaks/multi-state-salmonella-outbreak-linked-to-unnamed-mexican-restaurant-chain/

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by | January 19, 2012 · 6:47 am

Hospitality Industry Legal Risks: "Class-Action Lawsuit" Filed Against New York Hotel And Water Park For "Norovirus Outbreak" Stemming From "Contaminated Food And Pool Water"

“…The state Department of Health documented more than 600 cases of norovirus in March 2008, apparently stemming from contaminated food and pool water at the park’s hotel complex…”

“…alleges that Great Escape, and its parent company Six Flags Inc., failed to maintain proper sanitary conditions and didn’t warn guests once the outbreak became known…”

Attorneys representing more than 100 people filed a class-action lawsuit Wednesday in state Supreme Court in Warren County against the Six Flags Great Escape Lodge & Indoor Waterpark over a 2008 norovirus outbreak.

“Here, many people, especially children, suffered brief but violent periods of illness,” said Don Boyajian, one of two attorneys representing those who were infected.

Those infected experienced brief but violent fits of vomiting and diarrhea.

Dozens of people filed lawsuits following the incident. Those claims were consolidated into a single case — the class-action lawsuit, which has been in the works since 2009.

Boyajian did not specify the amount of damages being sought. He said damages would depend on the virus’ impact on each individual.

Attorneys representing Great Escape were not available on Wednesday for comment.

Read more: http://poststar.com/news/local/class-action-lawsuit-filed-against-great-escape-over-norovirus-outbreak/article_997adaa2-4226-11e1-8bea-0019bb2963f4.html#ixzz1juoN2fka

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by | January 18, 2012 · 1:42 am

Hospitality Industry Legal Risks: Restaurant Group Loses Appeal To Supreme Court Over "Minimum Wage" Lawsuit Regarding "Underpayment Of Tip Income"

Many…employees claimed that, because they spent more than 20% of their time performing duties such as cleaning and prepping, they should earn full minimum wage during hours worked without tips.

Applebee’s turned to the Supreme Court in October seeking to overturn an earlier ruling from a federal court of appeals in Missouri allowing the case to proceed to trial in September. The company claims that prep work and cleanup is part of employees’ tip-earning responsibilities.

The Supreme Court on Tuesday turned down an appeal from Applebee’s International Inc., which is battling a lawsuit from more than 5,500 bartenders and servers accusing the restaurant chain of underpaying them.

The high court declined to hear Applebee’s case, which focuses on a practice in which restaurants pay employees reduced minimum wage by factoring in the extra boost provided by tips.

Known as a “tip credit,” the practice is banned in states such as California and Minnesota but permitted in Missouri, where many of the plaintiffs work.

For more:  http://www.latimes.com/business/money/la-fi-mo-applebees-supreme-court-20120117,0,6981441.story

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