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Restaurant facing business litigation over harassment allegations

On Behalf of | Feb 24, 2020 | Business Litigation

When an Oregon business faces allegations of wrongdoing or a formal lawsuit, this represents the threat of significant financial loss and complications that may affect future operations. Business litigation is serious, especially when it involves allegations of sexual harassment in the workplace. A Medford-area restaurant is dealing with a lawsuit filed by a federal agency over the way the owners allegedly treated employees.

The U.S. Equal Employment Opportunity Commission filed the civil claim against a local restaurant. Included in the claim are allegations that the owners engaged in inappropriate contact and offensive sexual remarks with female employees, and at least one of these employees was a minor. Specifically mentioned was continued staring, touching, video recording and more. One complaint stated that the manager put his hand under shirt of one employee shirt and asked for nude pictures.

The lawsuit says the owners did not take appropriate action to address the concerns brought forth by the employees. There are allegations that the restaurant ignored reports of misconduct and witness accounts, and the manager was eventually arrested and charged. It is not clear if the restaurant has publicly responded to the lawsuit and the allegations brought by employees.

Oregon employers and companies facing business litigation over allegations of sexual harassment should take their situation seriously. These cases are sensitive, but a business has the right to seek an outcome that allows for continued operations and minimal financial loss. An assessment of the individual situation can reveal how to best move forward in a way that effectively addresses a lawsuit or allegations of wrongdoing.