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Hospitality
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February 23, 2024
Balloon Co. Blew Up Appeal Of Fraud Verdict, 1st Circ. Says
A bid from the owner of a defunct balloon company to set aside an already-reduced jury award won't fly, the First Circuit has concluded, finding that the company's own acknowledgment about transferred funds "dooms their appeal."
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February 23, 2024
Trade Group Tells NC Justices COVID-19 Losses Not Covered
A dozen North Carolina eateries are not owed coverage for pandemic-related losses, the American Property Casualty Insurance Association told the state's highest court, saying the policies at issue were never intended to cover economic damages "untethered" to physical loss or damage.
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February 23, 2024
With Interest, Trump Now Owes $454M For NY Valuation Fraud
Donald Trump owes New York state nearly a half billion dollars after a county clerk on Friday tacked on $99 million in interest linked to a $355 million judgment in the state attorney general's civil fraud case against the former president last week.
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February 23, 2024
Staffing Co. To Pay $1.75M, Reclassify Workers In Calif. Deal
An online shift-booking platform for hotel and restaurant workers will pay $1.75 million to end claims by San Francisco's city attorney and the state of California that it engaged in wage theft by misclassifying thousands of jobs in the hospitality industry, according to court papers.
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February 23, 2024
Workers Snag Partial Win On Tip Notice Dispute With Denny's
It is unclear whether 10 members of a collective in a suit against diner chain Denny's received a tip credit notice, a Pennsylvania federal judge ruled, nevertheless granting an early win to the other workers claiming defective tip credit notices.
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February 22, 2024
No Partnership In Hot Dog Eatery Deal, NC Court Rules
A restaurateur has beaten a lawsuit that alleged he jilted an associate in a deal to buy hot dog eateries, with North Carolina's business court reasoning the two never had a legally binding partnership.
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February 22, 2024
DraftKings Says Ex-Exec's $310K Attys Fees Bid Is Excessive
DraftKings has told a California federal court that the "whopping" $310,000 in attorney fees requested by a former executive after the company shuffled the case back and forth between state and federal court is an unreasonable fee no "reasonable client" would pay.
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February 22, 2024
Scammer Who Did Time In Google Fraud Admits To 2nd Caper
A Dutch citizen who previously served time for a scam involving fake, early-issue Google shares copped Thursday in Manhattan federal court to a new fraud caper, after prosecutors said he tricked an investor by dangling a fake Airbnb Inc. equity stake.
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February 21, 2024
Judge Rejects $5.2M Atty Fee Bid In Poultry Farm Loan Suit
A New York federal judge rebuffed attorneys' attempt to collect a nearly $5.2 million fee for representing an affiliate of two billionaire brothers that accused an investment adviser of fraudulently inducing the affiliate to provide a loan for a Russian poultry operation, saying the adviser wasn't improperly defending himself.
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February 21, 2024
Restaurant Software Co.'s $9M Investor Deal Gets 1st OK
Shareholders in restaurant digital commerce software company Olo Inc. have received an initial green light for a $9 million deal to settle class action claims the company touted a soon-to-end partnership with fast-food chain Subway as an example of its success.
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February 21, 2024
Irish Pub Chain's Ex-CFO Gets 1.5 Years For $1M Tax Fraud
The former chief financial officer of a pub chain with more than a dozen Irish-themed restaurants was sentenced to one and a half years in prison Wednesday by an Ohio federal court for his role in a bookkeeping scheme that defrauded eight states of $1 million in sales taxes.
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February 21, 2024
CoStar, Hotel Giants Accused Of Data-Driven Price-Fixing
Hilton, Hyatt and other big name hotel operators are the target of a proposed class action alleging they colluded with hospitality industry analytics firm CoStar Group Inc. to fix prices in luxury hotel markets in Seattle and other major U.S. cities, according to a suit filed in Washington federal court.
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February 21, 2024
Dubious Of Peak Season Claims, Judge Nixes Lodge's H-2B App
A U.S. Department of Labor judge has rejected a South Dakota hunting lodge's efforts to hire six seasonal housekeepers for hunting season, saying the work hours logged in its payroll reports undermine claims of a "crushing" need during the early part of the season.
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February 21, 2024
Chipotle Swaps Gift Cards For 'Worthless' Vouchers, Suit Says
A Chipotle customer hit the fast-food chain with a proposed class action in California federal court Tuesday, alleging the company is unjustly making hundreds of thousands of dollars by refusing to refund orders made with gift cards and instead offering disgruntled customers vouchers so limited that they're effectively "worthless."
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February 21, 2024
1st Circ. Won't Revive $19M Casino Deal Suit Against Wynn
The First Circuit affirmed the dismissal of a real estate executive's suit claiming Wynn Resorts reneged on a handshake deal to pay him $19 million for helping it obtain a casino license, pointing to an opinion from Massachusetts' top appellate court saying the agreement is unenforceable on public policy grounds.
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February 21, 2024
Atlantic City Hotels Want Room Rate Suit Tossed
Atlantic City casinos said on Tuesday a suit alleging they conspired to inflate room rates should be tossed, arguing it doesn't show there was any kind of agreement between the casinos and that its claims are partially time-barred.
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February 21, 2024
Cruise Line Hornblower Hits Ch. 11 With Over $1B Debt
Cruise line and ferry service Hornblower Group Inc. and affiliates on Wednesday filed for Chapter 11 bankruptcy protection in Texas with a plan to cut $720 million from its more than $1 billion of debt through a deal that will hand majority control to private equity firm Strategic Value Partners.
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February 20, 2024
Fla. Gaming Pact Not Allowed Under Federal Law, Expert Says
A Miami law school adjunct professor supporting a pair of casinos seeking to undo the Seminole Tribe of Florida's gaming agreement authorizing online sports betting has urged the U.S. Supreme Court to hear the establishments' case or reverse a lower court decision, saying the pact violates the Indian Gaming Regulatory Act.
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February 20, 2024
7th Circ. Backs McDonald's Win Over 'Bad Faith' Hot Tea Suit
The Seventh Circuit on Tuesday ruled that a lower court correctly tossed a man's $13 million "bad faith" lawsuit alleging he was burned by a McDonald's worker in Illinois who threw hot tea at him.
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February 20, 2024
Ill. Judge Scolds Defense Attys On Discovery: 'This Is Insanity'
A Cook County judge trimmed a lawsuit Tuesday brought by investors alleging financial mismanagement of the firm behind celebrated Chicago restaurant Maple & Ash, but lambasted defense counsel for dragging out discovery, saying she was "flabbergasted" that they left out information in discovery responses that she ordered them to include late last year.
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February 20, 2024
Casinos Say 'Unique' Policy Should Cover $130M COVID Loss
A casino operator with properties on the Las Vegas Strip and beyond told a Nevada federal court that its "unique" all-risk insurance is the broadest available coverage and should pay for $130 million in business interruption losses caused by the COVID-19 pandemic.
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February 20, 2024
Eateries' Virus Losses Not Covered, Insurer Tells NC Justices
Cincinnati Insurance Co. urged the North Carolina Supreme Court to affirm its win in a dispute with more than a dozen eateries over coverage for pandemic-related losses, saying government shutdown orders do not constitute direct physical loss or damage required to trigger coverage.
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February 20, 2024
Cool-Cheese Pizzeria Got Cold Feet Over $2.1M Sale, Suit Says
A Pittsburgh pizzeria known for its unusual practice of putting cold cheese on its pies backed out of a $2.1 million sale just before a potential buyer came to visit, according to a lawsuit a real estate agent filed in Pennsylvania state court.
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February 20, 2024
Mich. Township Must Face Winery Wedding Ban Suit
A Michigan federal judge has said he won't dismiss wineries' challenge to a Michigan town's rules limiting their ability to host weddings and other events, saying it would be "unwise" to toss the lawsuit because the wineries are still allegedly experiencing harm from the ordinance.
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February 20, 2024
Chancery Won't Block TripAdvisor's Nevada Move
In a ruling with implications for other Delaware-chartered companies pondering corporate charter relocations, a Delaware vice chancellor on Monday refused to block travel planning giant TripAdvisor Inc.'s reincorporation in Nevada, but kept alive minority stockholder damage claims alleging the vote was unfair and tainted by controller clout.
Expert Analysis
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Level Up Lawyers' Business Development With Gamification
With employee engagement at a 10-year low in the U.S., there are several gamification techniques marketing and business development teams at law firms can use to make generating new clients and matters more appealing to lawyers, says Heather McCullough at Society 54.
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Mallory Ruling Leaves Personal Jurisdiction Deeply Unsettled
In Mallory v. Norfolk Southern Railway, a closely divided U.S. Supreme Court recently rolled back key aspects of its 2017 opinion in Daimler AG v. Bauman that limited personal jurisdiction, leaving as many questions for businesses as it answers, say John Cerreta and James Rotondo at Day Pitney.
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5 Ways Firms Can Rethink Office Design In A Hybrid World
As workplaces across the country adapt to flexible work, law firms must prioritize individuality, amenities and technology in office design, says Kristin Cerutti at Nelson Worldwide.
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Opinion
Bar Score Is Best Hiring Metric Post-Affirmative Action
After the U.S. Supreme Court's ruling striking down affirmative action admissions policies, law firms looking to foster diversity in hiring should view an applicant's Multistate Bar Examination score as the best metric of legal ability — over law school name or GPA, says attorney Alice Griffin.
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How End Of Forced Arb. Is Affecting Sex Harassment Cases
A little over a year after the Ending Forced Arbitration of Sexual Assault Act became effective, we have started seeing substantive interpretation of the EFAA, almost exclusively from the U.S. district courts in New York, and there are two key takeaways for employers, says Lisa Haldar at Lawrence & Bundy.
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5 Strategies For Restructuring Underperforming CRE Loans
With commercial real estate industry conditions expected to deteriorate further in the coming months, market participants should consider a number of strategies to help resolve challenged investments, ranging from financial restructurings to project phasing, say attorneys at Ballard Spahr.
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Ghosting In BigLaw: How To Come Back From Lack Of Feedback
Junior associates can feel powerless when senior colleagues cut off contact instead of providing useful feedback, but young attorneys can get back on track by focusing on practical professional development and reexamining their career priorities, says Rachel Patterson at Orrick.
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Steps To Success For Senior Associates
Excerpt from Practical Guidance
Adriana Paris at Rissman Barrett discusses the increased responsibilities and opportunities that becoming a senior associate brings and what attorneys in this role should prioritize to flourish in this stressful but rewarding next level in their careers.
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How To Avoid A Zombie Office Building Apocalypse
With national office vacancy rates approaching 20%, policymakers, investors and developers will need to come together in order to prevent this troubling trend from sucking the life out of business districts or contaminating the broader real estate market, say Ryan Sommers and Robyn Minter Smyers at Thompson Hine.
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Legal Profession Must Do More For Lawyers With Disabilities
At the start of Disability Pride month, Rosalyn Richter at Arnold & Porter looks at why lawyers with disabilities are significantly underrepresented in private practice, asserting that law firms and other employers must do more to conquer the implicit bias that deters attorneys from seeking accommodations.
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Calif. Whistleblower Decision Signals Change For Employers
Because the California Supreme Court's recent The People v. Kolla's decision significantly expands employee whistleblower protections, employers should ensure that internal reporting procedures clearly communicate the appropriate methods of reporting and elevating suspected violations of law, say Alison Tsao and Sophia Jimenez at CDF Labor Law.
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Opinion
Appellate Funding Disclosure: No Mandate Is Right Choice
The Advisory Committee on Appellate Rules' recent decision, forgoing a mandatory disclosure rule for litigation funding in federal appeals, is prudent, as third-party funding is only involved in a minuscule number of federal cases, and courts have ample authority to obtain funding information if necessary, says Stewart Ackerly at Statera Capital.
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Avoiding Negative Tax Consequences In Loan Modifications
Borrowers who may be caught in the dramatic uptick in nonperforming commercial real estate loans should consider strategies to avoid income and capital gains tax that may be triggered by loan modifications, says Aman Badyal at Glaser Weil.
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How Attys Can Avoid Exposing Their Firms To Cyberattacks
Attorneys are the weakest link in their firms' cyberdefenses because hackers often exploit the gap between individuals’ work and personal cybersecurity habits, but there are some steps lawyers can take to reduce the risks they create for their employers, say Mark Hurley and Carmine Cicalese at Digital Privacy & Protection.
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Virginia 'Rocket Docket' Slowdown Is Likely A Blip
After being the fastest or second-fastest federal civil trial court for 14 straight years, the Eastern District of Virginia has slid to 18th place, but the rocket docket’s statistical tumble doesn't mean the district no longer maintains a speedy civil docket, says Robert Tata at Hunton.