Lexington, Ky. – Tony’s Steak and Seafood, a downtown Lexington restaurant, has agreed to pay $1.5 million to settle a wage theft lawsuit filed by servers across three states. The lawsuit alleged that the restaurant violated the Fair Labor Standards Act by enforcing a tip pool that distributed portions of tips to salaried members of management. The settlement will cover employees from Tony’s locations in Indiana, Kentucky, and Ohio, as stated in federal court documents and information provided by the attorney representing the servers.
Initially, three separate class-action lawsuits were filed against Tony’s Restaurant in the three states, but they were consolidated into a single federal lawsuit. The $1.5 million settlement will serve as a “common fund” to be split among the individuals involved in the suit, covering settlement payments, attorneys’ costs, settlement administration expenses, and class representatives’ service awards, according to court documents.
Dave Garrison of Barrett Johnston Martin & Garrison, the lead attorney in the case, expressed satisfaction with the settlement, emphasizing the importance of holding employers accountable for violating laws that protect employees who earn their living from customer tips. He told the Herald-Leader, “For years, Kentucky has maintained strong laws protecting those who earn their living from customer tips, and this settlement helps hold a well-known Lexington employer accountable for flaunting these laws.”
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