Hawaiian Supreme Court Issues Ruling Regarding Restaurant Service Charges

By Greg Mersol on July 23, 2013 Posted in Tip-Pooling

When is a “service charge” a tip? And who gets it, the employer or the employee? These aren’t just questions of etiquette, but are now serious issues for the restaurant and tourism sector in Hawaii. We’ve blogged this issue twice before, on September 9, 2011, and November 1, 2011. A number of resorts in Hawaii … Continue Reading

Hawaiian Court Finds That Employees Were Not Entitled To Resort Service Charges

By Greg Mersol on November 1, 2011 Posted in Tip-Pooling

Employees’ Tip Ball Fails To Save Game; Series Continues This blog and Baker Hostetler’s HospitalityLawg often come across the same cases, particularly because the hospitality industry is increasingly the target of employment class actions. The entry below was largely prepared by our hospitality industry team, who we thank for their efforts. We along with our … Continue Reading

Court Finds That Employer’s Failure to Pay “Service Charges” To Tipped Employees Violated Hawaiian Law

By Joyce Ackerbaum Cox on September 9, 2011 Posted in Tip-Pooling, Wage and Hour

In an August decision from a federal court in Hawaii, a hotelier was found liable for unpaid wages to a group of over 100 wait staff employees who claimed the company cheated them out of tips by retaining a portion of gratuity fees added to guest checks. The Planitiffs’ factual allegations focused on the failure … Continue Reading