Fitapelli & Schaffer Obtains an $889,000 Verdict Following a Week-Long Trial For 7 Restaurant Workers

On August 22, 2014, Fitapelli & Schaffer, LLP filed a lawsuit in the United States District Court for the Southern District of New York against Louya Corp. d/b/a Jacques Brasserie as well its individual owners and related entities (collectively, “Defendants”).  The lawsuit was filed on behalf of seven cooks, waiters, and runners (collectively, “Non-Exempt Employees”) who work or have worked at Jacques Brasserie in New York City.

The lawsuit alleged that the Defendants instituted widespread practices and policies that violated the Non-Exempt Employee’s rights under the Fair Labor Standards Act (“FLSA”) and New York Labor Law (“NYLL”).  The lawsuit alleged that Defendants failed to compensate its employees at a rate of time-and-a-half for all hours worked in excess of 40 per workweek, as required under the FLSA and the NYLL.  Additionally, the lawsuit alleges that Defendants failed to pay front of house employees the minimum hourly wages to which they were entitled.  Specifically, Defendants failed to properly utilize the “tip credit” provision that allows them to pay an hourly rate below the regular minimum wage (currently $8.75 in New York).  The lawsuit claimed that Defendants failed to properly notify their employees of the “tip credit” provision as required by the FLSA and the NYLL.  Further, it alleged that Defendants required front of house employees to share a portion of their tips with “non-tipped” employees such as managers.

Further, the lawsuit alleged that Defendants failed to provide spread-of-hours pay to their employees.  Employees who work over 10 hours in a single day, including working time plus time off for meals plus intervals off duty, are required by law to receive an additional hours pay from their employer.  The lawsuit also alleges that the owners of these establishments further violated the NYLL through its failure to provide its employees with proper wage notices and statements.

After multiple rounds of failed negotiations, the lawyers at Fitapelli & Schaffer, LLP commenced a weeklong trial in the Southern District starting on June 15, 2015.  Fitapelli & Schaffer presented direct testimony, documents, and other evidence on behalf of all of their clients as well as performed a rigorous and exhaustive cross-examination of the owner and employees of Jacques Brasserie.  On July 10, 2015, the judge in the case issued a verdict in favor of the Non-Exempt Employees for $889,000.00.  The court determined that the Defendants violated almost all of the provisions alleged in the lawsuit and that Non-Exempt Employees were entitled to compensation due to Defendants’ six years of underpayment.  Upon reading the verdict, the Court commended the lawyers at Fitapelli & Schaffer, LLP for the excellent work performed throughout the case, and in particular, the effort and legal expertise shown during the trial.

The employment lawyers at Fitapelli & Schaffer, LLP are strongly committed to protecting the rights of hard working employees. We frequently represent restaurant workers who are denied full compensation for their labor and are prepared to fight for our clients’ rights throughout all phases of a case. Please contact us at (212) 300-0375 to schedule a free consultation to further discuss your rights. For more information, please visit our website at www.fslawfirm.com.