$9 Million Settlement. 6 States. One Tip Credit Gap.

Bluegrass Hospitality Group, owner of Malone's, Drake's, Harry's, and OBC Kitchen, settled a class-action lawsuit after servers and bartenders were paid below minimum wage without proper tip credit notice.

How It Happened

Servers and bartenders across Kentucky, Missouri, Tennessee, North Carolina, Alabama, and Illinois were paid below federal minimum wage. Federal law requires employers to provide clear written notice before using a tip credit. BHG allegedly did not.