New wage and tip theft lawsuit filed against popular Lexington restaurants
A popular upscale Lexington restaurant is the newest business to have allegations of tip and wage theft brought against them in a federal lawsuit filed Monday.
Laken B. Pinkerman filed a potential class-action lawsuit Monday that accuses both Carson’s Food and Drink locations of violations of wage laws, improper tip pooling and requiring employees to work dual jobs while not making minimum wage.
Palate Food and Drink, which operates Carson’s Food and Drink, is also listed as a defendant in the lawsuit.
In an emailed statement to the Herald-Leader, co-owner Jayme Jackson said Carson’s was founded as a company that makes every team member proud to go to work.
“Yesterday, we were made aware of a potential class-action lawsuit, which has been a frequent trend in the restaurant industry over the past few years,” Jackson said.
“We are actively working with our legal counsel and our leadership team to ensure that Carson’s, and its parent company Palate Restaurant Group are always compliant with the latest laws and statutes. We are grateful for all of our team members and our guests that allow our small, family-owned business to continue to serve the Lexington area every day.”
Pinkerman was employed with Carson’s on Main Street from May 2017 to September 2024, according to the lawsuit.
She began as a table busser and hostess, but became a server and bartender in 2021 until April 2024. She was then promoted to a manager position where she remained until September last year.
As a server and bartender, Pinkerman said, she earned below the minimum wage requirements of $7.25, but received tips from customers.
However, she was required to pay a portion of those tips to other workers in cash, including bussers and barbacks who have limited interaction with customers. Because the tips were paid out in cash, Pinkerman alleged tax documents showed tipped employees were making more than they actually were.
In addition, Pinkerman was required to work before and after her serving shift doing non-tip producing work while making less than the minimum wage, the lawsuit states.
Carson’s allegedly paid certain employees, including servers and bartenders, a tipped hourly wage below the statutory minimum wage and overtime wage, relying on the “tip credit” provisions of the Fair Labor Standards Act and Kentucky Wages and Hours Act without fulfilling the necessary requirements.
In an emailed statement to the Herald-Leader, Pinkerman’s attorney David Garrison said this was another example of a Lexington restaurant “skimming off” its service employees in an effort to defray labor costs.
“Along with Garmer & Prather in Lexington, we are proud to represent current and former Carson’s servers and bartenders in this class and collective action that seeks to recover the wages and tips owed to them under the law,” Garrison said. “At this early stage of the case, other current and former Carson’s servers and bartenders may join the case, and they should contact our law firm to do so.”
Carson’s opened in the former Coach Craft building at 362 E. Main St. nearly seven years ago. Their second location opened in Andover Country Club main club house at 3450 Todds Road last year.
They are the newest set of Lexington restaurants to face wage and tip theft lawsuits. Tony’s Steak and Seafood and Bluegrass Hospitality Group restaurants — Drake’s, Malone’s and Harry’s — recently settled similar allegations in court.
In March, Bluegrass Hospitality Group agreed to pay out $9 million to the employees listed in the suit across six states.
Jeff Ruby’s Steakhouse, a fine-dining restaurant downtown, had similar allegations made in a lawsuit filed in February 2024. That lawsuit remains pending in Ohio federal courts as of April 22.
Pinkerman seeks to recover unpaid minimum and overtime wages, liquidated damages, attorneys’ fees, and costs under the Fair Labor Standards Act and the Kentucky Wages and Hours Act.