When a business faces accusations of wrongdoing, they may lose customers and face steep fines. In some cases, businesses in Detroit & Chicago have even been forced to close their doors. By identifying the smartest course of action, some business owners have been able to secure a more favorable outcome and protect their company from the potentially devastating consequences of lawsuits.
A firm in the Detroit area is facing a federal lawsuit over allegations that workers were not paid properly. The lawsuit, originally filed by four restaurant workers in 2016, accuses the company of neglecting to pay workers appropriately, misclassifying employees and failing to provide overtime pay as required.
The company, located in Livingston County, Michigan, owns over 170 fast food chain locations in Michigan and a handful of other states. The company has also been accused of violating the Fair Labor Standards Act. However, the firm has denied that they did anything wrong and also claims that they do not believe workers are entitled to any damages under the Fair Labor Standards Act.
Handling business litigation can be complex for various reasons. Sometimes, the owners of both small and sizable businesses are unsure of how to protect their interests and defend their business. Additionally, the daily challenges business owners face can leave them feeling drained, which can make it even tougher to work through litigation. With so much at stake, it is essential to tackle these cases properly, which is why many have found value in speaking with an attorney.
Source: Detroit Free Press, “Brighton company sued for alleged fast food wage theft,” Laura Colvin, Feb. 1, 2017