Tip-pooling policies rife with legal landmines

February 1, 2009
Franchise Times Magazine

© Franchise Times Magazine, author Jonathan Maze

Tipping seems to be a fairly simple process: A customer leaves a few bucks on the table, or writes in a couple extra dollars on the receipt, and that's the amount that goes to the wait staff.

A few high-profile legal cases in recent years, including some huge awards, has brought restaurants' and hotels' tip-pooling policies to the forefront.


"It seems as though it's simple, but the definitions are not all that clear," said Carolyn Richmond, an attorney with the New York firm of Fox Rothschild.