Tag Archives: Restaurants

Hospitality Industry Legal Risks: Hotels And Restaurants Hopeful Of “Patent Troll Litigation” Relief As Congress Begins Consideration Of H.R. 3309 (The Innovation Act) On December 5

“…(Patent Troll Litigation) threaten(s) litigation if (businesses) don’t pay a licensing fee for their alleged patented technology, but their demands Hospitality Industry Patent Litigationare so obscure that it is virtually impossible to determine the validity of the patent claims, or even whether they own the patent in question. When we receive a patent assertion claim, it typically comes in the form of a letter demanding that we pay licensing fees or be taken to court…expenses include the costs associated with hiring outside counsel. In the past two years, our legal costs associated with patent trolls have increased from one-quarter of one percent to nearly twenty percent of our total legal costs…”

H.R. 3309 (The Innovation Act) requires a party alleging patent infringinement to disclose more information than is currently required in its initial pleadings.  Speficially, the bill requires a claimaint to identify the patents and claims that are allegedly infringed; and to specify how they are being infringed.

White Castle first opened our doors in Columbus in 1921. Today, our nearly 10,000 team members working in 406 restaurant locations across 12 states deliver the “Taste America Craves.” We remain a family owned business committed to our customers and our communities.  Our success has been driven by the principle that good business, great food and responsible citizenship should all go together.

The restaurant industry, with nearly one million locations, is an incredibly competitive industry. We are constantly seeking new ways to provide additional value to our customers and keep them coming back to our restaurants. This includes our online ordering applications to searching for your nearest white castle location on your mobile device.

Unfortunately, there is a rising threat to White Castle and many other companies interested in providing our customers with the experience they want…it’s called a “patent troll.”  Now, as you can assume by the name, these patent trolls aren’t your legitimate patent holders or small inventors.  These are entities that are created to exploit ambiguities in the patent system to make money off of Main Street businesses.

For more:  http://thehill.com/blogs/congress-blog/technology/192101-patent-trolls-are-gobbling-up-restaurant-innovation

http://www.gop.gov/bill/113/1/hr3309

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Filed under Insurance, Liability, Management And Ownership, Risk Management, Technology

Hospitality Industry Health Risks: Restaurant Study By CDC Finds “Widespread Risky Food Handling Practices” In Over 50% Of Kitchens; Failure To Follow FDA Guidance On Preventing Cross-Contamination

“…For the chicken study, EHS-Net researchers interviewed 448 restaurant managers. They found that many were not following FDA guidance Restaurant Kitchen Health Risksabout preventing cross-contamination and cooking chicken properly and that managers “lacked basic food safety knowledge about chicken”…40% of managers said they never, rarely, or only occasionally designated certain cutting boards exclusively for raw meat, and more than 50% said that thermometers were not used to determine the final cooking temperature of chicken. Further, only 43% of managers knew the recommended final cooking temperature…”

A set of studies released this week by the Centers for Disease Control and Prevention (CDC) and its partners points to widespread holes in restaurant food safety systems, such as risky handling of ground beef and chicken and too-warm shipping temperatures for leafy greens.

Among the key findings, according to the study and a CDC summary:

  • Eighty-one percent of restaurants used subjective measures of hamburger doneness, and 49% said they never checked the final cooking temperature
  • At least two risky handling practices were seen in 53% of restaurants
  • In 62% of restaurants in which workers used bare hands to handle raw ground beef, they did not wash their hands after handling it.
  • Only 1% of restaurants reported buying irradiated ground beef, and 29% were unfamiliar with the product
  • Chain restaurants and those with managers certified in food safety had safer practices than others.

At the same time, the CDC announced plans for a new surveillance system designed to help state and local health departments identify underlying factors that contribute to foodborne disease outbreaks in restaurants and other food service venues.

The research findings, published this week in the Journal of Food Protection, deal with the handling of ground beef, chicken, and leafy greens and with sick food workers.

For more:  http://www.cidrap.umn.edu/news-perspective/2013/12/cdc-finds-holes-restaurant-food-safety-systems

http://www.cdc.gov/media/releases/2013/p1202-food-safety-tools.html

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Filed under Food Illnesses, Health, Labor Issues, Liability, Risk Management, Training

Hospitality Industry Technology Issues: Hotels And Restaurants Face “Privacy Issues” When Guests Wear “Google Glass”; Videotaping Without Permission

“…there are definitely privacy implications for those who wear and use Google Glass in public…People want to go (to restaurants and hotels) and not be known … and Hospitality Industry Google Glass Privacydefinitely don’t want to be secretly filmed or videotaped and immediately put on the Internet…as a society, know how to appropriately use our mobile phones, (and) most Google Glass wearers (should) know how to appropriately use them as well…”

In an effort to protect patrons in his restaurant from being photographed or videotaped without permission, Seattle restaurant owner Dave Meinhart  banned Google Glass from one of his restaurants. But last week, Nick Starr, a local early adopter of Google Glass, was kicked out of Dave’s other restaurant, Lost Lake Cafe & Lounge, starting a PR storm by demanding an apology and the firing of the waitress who kicked him out.

In just a few weeks, thousands of people will become the next wave of not-so-early adopters to receive Google Glass. Initially launched in early 2013, Google Glass quickly became a hot topic for tech pundits who questioned its ability to protect privacy, its usefulness, and whether or not it would be as cool as the bluetooth was.

For more:  http://www.forbes.com/sites/kellyclay/2013/12/03/how-to-not-look-like-a-jerk-with-google-glass/

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Filed under Guest Issues, Liability, Privacy, Risk Management, Technology

Hospitality Industry Legal Risks: Pennsylvania Restaurant Sued By Worker For “Religious Discrimination”; Claims New Manager Reduced Hours, Created Hostile Work Environment

“…At the start of her employment, (the plaintiff) informed the defendant that she could not work on Thursdays and Sundays due to her religious Hospitality Industry Discrimination Lawsuitsbeliefs…In June 2011, after a woman identified as Aretha Foster became the plaintiff’s store manager, Matthews had her hours reduced to 15 a week from 35…The complaint alleges that Foster also subjected the plaintiff to an increasingly hostile work environment, that the supervisor would deny Matthews her breaks, and that the woman would verbally abuse the plaintiff in front of other staff members…”

A Jehovah’s Witness from southeastern Pennsylvania is suing a Louisiana-based restaurant over allegations that the company discriminated against her because of her religion. Jonna Matthews, who currently resides in Pottstown, Montgomery County, filed suit at the U.S. District Court in Philadelphia on Nov. 26 against America’s Pizza Co. over the allegedly discriminatory treatment she received at the hands of the defendant while she was employed as a customer service representative beginning in early February 2011.

The plaintiff, however, maintains that she never asked for the reduction in hours and was still available to work Mondays, Tuesdays, Wednesdays, Fridays and Saturdays. The defendant stands accused of violating Title VII of the Civil Rights Act, which bars discrimination on the basis of religion.

“Plaintiff suffered adverse job actions, including, but not limited to, disciplines, denials of various opportunities, and termination,” the suit states.

For more:  http://pennrecord.com/news/12247-montco-woman-sues-louisiana-restaurant-over-religious-discrimination

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Filed under Employment Practices Liability, Labor Issues, Liability, Management And Ownership, Risk Management

Hospitality Industry Legal Risks: “How To Serve Alcohol At A Company Party Without Getting Sued” By Tom Posey

HospitalityLawyer.com Education Partner II

How to Serve Alcohol at a Company Party Without Getting Sued

By Tom Posey, Partner, Faegre Baker Daniels

With the holidays right around the corner, many businesses will host festive company outings and events for their employees, including parties at the office—and often these celebrations include alcohol.

Employers need to understand the legal parameters of having alcohol in the workplace in order to establish a safe, responsible and enjoyable work environment for their employees. A few common questions from employers at this time of year are:

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Some states have laws that govern “social host liability.”  Through these laws, bartenders or social hosts can be held liable for events that result from over-serving someone (e.g. accidents, injuries, etc.).  These laws would make the organization responsible for monitoring consumption and cutting off drinking by anyone who becomes intoxicated, so be aware of the laws in your jurisdiction.

If some of our employees are under the legal drinking age, can we still serve alcohol?

Employers must ensure that no one underage has access to alcohol. If alcohol is served to a minor, the employer can be subject to the same stiff fines and penalties that a store or bar that serves a minor would face.  Accordingly, if underage employees will be attending the party, employers must be vigilant in making sure that they are not served or allowed access to alcoholic beverages.

If an employee has too much to drink and has an accident, it is still covered by our insurance, right?

Employers who provide alcohol to their employees may unwittingly negate coverage under their general liability insurance policies and be on the hook for costs associated with alcohol-related incidents or injuries, so be aware of the limitations and exceptions applicable to your organization’s employee-related policies.

Any other legal risks the organization might face if alcohol will be served at holiday functions?

There is an increased risk of sexual harassment-related complaints that result from company events where alcohol is present (e.g. the stereotypical office holiday party HospitalityLawyer Converge Solutionsthat is always satirized in movies and TV shows).  Remember that even though the function might be held outside normal working hours, employees are still afforded protection from harassment or other inappropriate conduct that might be directed at them by their colleagues.

For more:  http://hlconverge.com/index.php/component/k2/item/696-how-to-serve-alcohol-at-a-company-party-without-getting-sued

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Filed under Employment Practices Liability, Insurance, Labor Issues, Liability, Risk Management, Training

Hospitality Industry Legal Risks: Louisiana Restaurant Sued By Disabled Customer Injured By Heavy Door; “No Assisted Open Device, Proper Signage”

“..(the plaintiff) went to open the heavy door leading to the restroom (and) when it swung back, (it) scraped her left leg, knocked her walker out Hospitality Industry Injury Lawsuitsfrom under her and caused her to fall to the ground. The plaintiff asserts she was injured in the fall…The defendant is accused of not providing an assisted open device on the door, failing to provide signage notifying her the door was heavy and failing to act as a reasonable person…”

A disabled customer who alleges she was injured in a fall while trying to open a door at a local restaurant is suing. Rosalie Miller filed suit against Johnny Trauth’s Seafood Bistro LLC in the 24th Judicial District Court on Nov. 4.

Miller claims she was a customer at Johnny Trauth’s Seafood Bistro located at 2121 25th St. in Kenner.  An unspecified amount in damages is sought for severe injuries, pain and suffering and permanent disability.

For more:  http://citizensvoice.com/news/lawsuit-edwardsville-man-finds-cockroach-inside-chicken-mcnugget-1.1591419

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Filed under Guest Issues, Liability, Maintenance, Management And Ownership, Risk Management

Hospitality Industry Employment Risks: Hawaii Restaurant Settles EEOC “Sexual Harassment And Retaliation” Lawsuit For $350,000; Young Female Workers Assigned Less Favorable Shifts

“…The federal agency filed suit in 2011, later amending its complaint to charge that at least 10 female staffers were sexually harassed by several male employees, Equal Employment Opportunity Commissionincluding managers…The agency further alleged that some employees were subjected to retaliation after complaining about the alleged harassment. The EEOC also alleged that the women were also treated less favorably than men in the workplace: they were passed over for promotions, assigned less favorable shifts and earned less than their male counterparts…”

La Rana Hawaii, LLC, doing business as Señor Frog’s, a popular Mexican-themed restaurant and bar in Honolulu, will pay $350,000 to settle a lawsuit filed by the U.S. Equal Employment Opportunity Commission (EEOC) on behalf of 13 female employees who were allegedly sexually harassed or retaliated against between 2007 and 2012, the federal agency announced today.

The EEOC alleged that the managers subjected employees to sexual comments, language and advances, and unwelcome physical contact. The alleged behavior violated Title VII of the Civil Rights Act of 1964. The EEOC filed suit (EEOC v. La Rana Hawaii, LLC dba Señor Frog’s & Altres, Inc., Case No. CV-11-00799 LEK BMK) after first attempting to resolve the matter through its conciliation process.

As part of the settlement announced today, the parties entered into a three-year consent decree requiring La Rana Hawaii, LLC to pay $350,000 to 13 female claimants. The company closed its Honolulu establishment in August 2012. Notwithstanding, if La Rana chooses to open another restaurant or chooses to reopen the Señor Frog’s in Hawaii, the consent decree requires substantial injunctive relief including the creation and distribution of an anti-harassment policy along with annual training for all restaurant employees to prevent future instances of sexual harassment, discrimination and retaliation. The EEOC will monitor compliance with the agreement.

Altres Inc., a Hawaii staffing company, was contracted by La Rana Hawaii to provide human resources services and oversee the company’s non-management staff during the time in question. The EEOC also named Altres in its lawsuit; Altres previously settled with the EEOC for $150,000 and injunctive relief, including EEO training for its employees.

“Our young workers are all too often the targets of the most insidious forms of sexual harassment, which can spread like wildfire at work,” said Anna Y. Park, regional attorney for the EEOC’s Los Angeles District Office, which includes Hawaii in its jurisdiction. “Employers who fail to fulfill their moral and legal obligation to prevent and immediately stop the sexual abuse of its young workers will answer to the EEOC.”

Timothy Riera, local director for the EEOC’s Honolulu Local Office, added, “The EEOC takes workplace harassment against young workers very seriously. Through our Youth@Work outreach, we aim to educate America’s next generation of workers on their right to work in an environment free of harassment and discrimination and their right to report such abuses without retaliation.”

For more:  http://www.eeoc.gov/eeoc/newsroom/release/11-21-13.cfm

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Filed under Employment Practices Liability, Labor Issues, Liability, Management And Ownership, Risk Management

Hospitality Industry Social Media Solutions: National Hotel And Restaurant Chains Using Twitter To “Attract A More Stable Following”

“…The idea stemmed from a conversation in which the company suggested one of their properties, and turned a Twitter user into a paying Hospitality Industry Social Media Managementcustomer. In an age when so few people have allegiances to certain companies, Loews are also hoping to attract a more stable following…The chain will launch “social reservations” at 16 of its 19 properties from November 19th, which opens another interesting channel for online users to book their next hotel stay with only a few clicks…”

Following in the wake of a recent tweet-a-coffee initiative from Starbucks, Loews Hotels and Resorts have made the decision to allow social media users to book a room through Twitter.

With 34% of hotel room revenue comes from online and mobile app bookings, the chain is hoping to give people in their 20s and 30s another way to book their stay without having to pick up the phone.

Here’s how the process works: Send a tweet to @Loews_Hotels with the hashtag #BookLoews to show you’re interested, after which a Loews travel planner will join in the conversation. Once all the details are taken care of, the planner will tweet a link to a secure chat conversation where you can process your payment information.

For more:  http://www.psfk.com/2013/11/twitter-hotel-bookings.html

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Hospitality Industry Legal Risks: Florida Restaurant Faces Federal “Sexual Harassment Lawsuit”; Manager Created “Hostile Work Environment”, Retaliated Against Two Female Workers

“…(one plaintiff) worked at the restaurant from 1999 to February of 2012 and she complained to the restaurant’s owner about the manager’s Hospitality Industry Sexual Harassment Lawsuitsuse of “racial slurs in the workplace”…The manager also directed racist “pet names” of his own creation toward her…The lawsuit charges the manager used derogatory terms and slurs as part of a “vicious regime of racial and sexual harassment” at the restaurant on Canal Street, and it says “no effective action was taken to stop it.”

Two former employees of a McDonald’s restaurant in Mulberry have filed a federal lawsuit, accusing a manager of creating a hostile work environment. The women allege they were retaliated against after making complaints known to the restaurant’s owner. Cowles’ hours were drastically reduced, and she was left with “no choice” but to quit her job when the manager’s behavior continued, the lawsuit states.

Potts went on maternity leave, and when she attempted to return to work, she was informed “there was no job for her, despite the nearly perpetual turnover of employees at the restaurant,” according to the lawsuit.

For more: http://www.theledger.com/article/20131116/NEWS/131119396/1374?Title=Ex-McDonald-s-Employees-File-Lawsuit

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Filed under Employment Practices Liability, Labor Issues, Liability, Management And Ownership

Hospitality Industry Employment Risks: California Restaurants Fined More Than $1.9 Million For “Wage Theft Violations”; 47 Workers Paid Cash, No Minimum Wage Or Overtime

“…Some of the workers were forced to sign timecards containing falsified information stating they had only worked between five and six Hospitality Industry Wage Violation Lawsuitshours each day, the agency said. Others were paid in cash with no information on the total hours worked, rate of pay or deductions provided…The 47 workers are due $1,086,436 in unpaid minimum wages, $376,640 in unpaid overtime and $153,582 for no meal period premiums, the agency said. In addition, a total of $189,250 in civil penalties were assessed for wage violations…”

State labor regulators fined two Ukiah restaurants more than $1.9 million Thursday for alleged wage theft violations over three years. The violations at Walter Cafe and Ruen Tong Thai Cuisine involved 47 workers and included overlong workdays, failure to pay overtime and the forced falsification of timecards.

The fine “is one of the larger audits for the restaurant industry,” said Hennessy. The investigation is ongoing, she added, leaving open the possibility of additional penalties. Ritdet and Walter are being held both individually and jointly liable for the alleged Labor Code violations.

Employees at their two restaurants regularly worked at least 11.5 hours a day, six or seven days a week, with no meal breaks, according to a Labor Standards Enforcement division news release. The restaurants did not pay minimum wage or overtime, in violation of the law, according to the agency.

The investigation started in June 2012 after an anonymous complaint was filed. It was conducted by state and federal labor regulators and examined employment practices at the restaurants from June 19, 2010, through June 15, 2013.

For more: http://www.pressdemocrat.com/article/20131114/articles/131119756

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Filed under Employment Practices Liability, Liability, Management And Ownership, Risk Management, Theft