Yankee Stadium Employees File Service Charge Lawsuit

Several employees of Yankee Stadium have filed a wage and hour lawsuit alleging that their tip money was withheld from them.

The lawsuit names three employees, as well as “all others similarly situated,” as plaintiffs. This could open the door for additional former or current employees to join the class action lawsuit.

The plaintiffs had all worked as banquet servers since 2009. The servers would act as waiters during privately hosted events at Yankee Stadium in New York. The standard contract for events at Yankee Stadium included a mandatory 20 percent service charge. The contracts did not offer any explanation of this service charge. In 2011, the standard contract was amended to state that only part of this money would be distributed to staff.

Recent court rulings in New York and Hawaii have helped to clarify various labor laws’ stance on issues such as “service charges.” It has been determined that a company can only assess a service charge if that money either goes directly to employees or they explicitly state that the money is not going to their employees (as the 2011 amendments to the contract state).

Ever since the rulings that clarified these elements of labor laws, there has a sweep of lawsuits throughout the U.S. as employees and former employees seek back-owed money from employers. When the economy declined, many employers looked for ways to cut expenses, and prior to these rulings, “irregularities” with service charges were a possible route for them to do so. However, as awareness of the law spread, many employees have sought civil action to remedy the situation.

Other wages and hours/service charge lawsuits have focused on different areas of the law. For example, some have sought to ensure that employers respect minimum wage laws. Many states (and federal law) allow for a special minimum wage for waiters, with the understanding that tips make up the difference between their pay and the minimum wage. Some lawsuits have alleged that employers have failed to live up to this law, and seek to enforce their rights through legal action.

The Yankee Stadium case is formally titled Misael Fernandez et al, against Legends Hospitality LLC, Index No. 152208, filed in the Supreme Court of the State of New York, County of New York.

Join a Class Action Lawsuit Investigation

If you believe that an employer has withheld your wages, particularly through a “service charge” that was not distributed to employees, you need to act quickly to ensure that your rights are respected. In many areas, there is a statute of limitations, a legal time limit after which you cannot seek legal recourse.

You can start to take action by visiting the Minimum Wage Lawsuits: Service Charge, Wage & Hour Class Action Lawsuit Investigation. Here, you can enter information about your situation for a legal review by a trained expert with a background in this type of litigation. The initial consultation is completely free of charge. And from the consultation, you can receive additional guidance on the best steps to take in your exact situation.