Coyote Ugly Chain Can't Shake Tip Pooling Claim

Law360, New York (June 30, 2011, 6:49 PM EDT) -- A Tennessee federal judge on Wednesday refused to dismiss a putative class' claim that nightlife chain Coyote Ugly Saloon Development Corp. unlawfully forces bartenders to share tips with bouncers.

Misty Blu Stewart, who worked as a bartender at the saloon chain's Nashville, Tenn., location, launched the lawsuit in April, alleging that Coyote Ugly not only required tipped employees to share their earnings with nontipped employees, but also failed to pay its bartenders proper overtime in violation of the Fair Labor Standards Act.

Coyote Ugly sought a...
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