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Government
Benefits
Health Care

The People of the State of California v. Layers LLC dba Patxi’s Chicago Pizza

Published: Mar. 2, 2013 | Result Date: Jan. 13, 2013 | Filing Date: Jan. 1, 1900 |

Settlement –  $320,000

Court

Case Not Filed


Attorneys

Plaintiff

Sara J. Eisenberg
(Office of the San Francisco City Attorney)


Defendant

Kevin R. Heneghan


Facts

The City and County of San Francisco and Layers LLC dba Patxi's Chicago Pizza reached a settlement over Patxi's compliance with the City's universal health care law. The settlement follows an investigation by the Office of Labor Standards Enforcement and the City and County of San Francisco's City Attorney's Office, which found that Patxi's failed to comply with the City's "Healthy San Francisco" ordinance. The agreement also settled the City's claims regarding Patxi's use of surcharges assessed to customers to fund compliance with the health care ordinance. Patxi's disputed these claims because it contended that pursuant to the health care ordinance, Patxi's had set aside the surcharge funds to pay future health care claims and had until the end of 2013 to use the funds for employee health care. The parties worked cooperatively to settle the matter in order to avoid litigation.

Result

The parties reached a settlement valued at $320,000 that provides health care benefits to Patxi's current and former employees and penalties to the City.


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