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Texas Restaurant Law

Category Archives: Recent Law Trends

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Confusing Expiration Labels Cost Texas Restaurants

Posted in Legislation, Liability, News, Recent Law Trends

All restaurants have to deal with the issue of throwing away food at the end of the day. According to the National Resources Defense Council (NRDC), a powerful environmental action group and the Harvard Food Law and Policy Clinic, confusing and inconsistent food date labeling causes restaurants to throw out significantly more food than is… Continue Reading

South By Southwest Deaths Highlight Alcohol Issues For Texas Restaurants

Posted in Alcohol, Asset Protection, Commentary, Employees & Waitstaff, Legislation, Liability, Litigation, News, Recent Law Trends

Three people are now confirmed dead in the recent car crash tragedy at South By Southwest. (Click here for the article by Quita Culpepper from KVUE.com.) According to the article, these people were “injured on Thursday, March 13 outside The Mohawk when Rashad Owens, 21, is said to have barreled into a crowd of festival-goers… Continue Reading

FDA Sets Guidelines for “Gluten-free” Foods in Stores and in Restaurants

Posted in Legislation, News, Recent Law Trends

“Gluten-free” seems to be everywhere.  You may not know what “gluten-free” means, but chances are you haven’t missed the growing number of restaurants, grocery stores, and food brands that are offering menu items or food products that are “gluten-free.” And if you are a restaurant owner or are planning to open a restaurant, it is… Continue Reading

Texas Restaurants Expand Like Crazy In 2014 (Already)!

Posted in Acquisitions, News, Recent Law Trends

It’s only January 15th, and already six major restaurant expansions or acquisitions have occurred in DFW! It’s an exciting time in the restaurant industry. Here are the details: First, Day Star Restaurant Group acquired Texas Land & Cattle and the Lone Star Steakhouse chains. Click here for more on that story. Texas Land & Cattle… Continue Reading

Top Ten Tax Mistakes for Restaurant Owners

Posted in Corporate Entity, Employees & Waitstaff, Franchises, Liability, Litigation, Real Estate, Recent Law Trends

We all know how important restaurant taxes are to restaurant owners. Last week, our own tax counsel, David Gair, outlined his Top Ten Tax Mistakes for Restaurant Owner on TexasTaxTalk.com, so TexasRestaurantLaw.com decided to share it as well. Here is the list in its entirety: Employee Classification – Misclassifying workers as independent contractors and not… Continue Reading

Sugar And Horses: How To Deal With Restaurant Supply Issues?

Posted in Commentary, Liability, Litigation, Negotiation, News, Recent Law Trends, Vendors

Two recent news stories present the issue of how restaurants should deal with supply issues. The first story is the infamous horse meat scandal that has plagued Burger King in the United Kingdom since January. Click here for that story. The second story appeared in today’s Wall Street Journal. It deals with the fact that… Continue Reading

How To Avoid Taxes From Your Restaurant LLC

Posted in Corporate Entity, Legislation, News, Recent Law Trends

For years, I have recommended that all restaurants should be operated as limited liability companies – that is no more! Recent tax changes have now made LLCs much less attractive. Instead, we now suggest that our restaurant clients should consider forming “S-corporations,” except in rare instances. See below for the details and for a way… Continue Reading

Ouch! The Payroll Tax Takes Its Toll!

Posted in Commentary, Legislation, News, Recent Law Trends

As many of you know, the payroll tax cuts recently expired, which reduced 2% of consumers’ take-home pay. That recently caused many retailers, including restaurants, to scale back prior expectations for revenue this year. Recall that in January in this article (click here to see it), we discussed the great outlook for restaurants for 2013… Continue Reading

Biggest Legal Causes Of Restaurant Failures

Posted in Acquisitions, Commentary, Franchises, Franchising, Liability, Litigation, Negotiation, Real Estate, Recent Law Trends

Just this week, two of my favorite restaurants in Dallas closed operations. This led me to consider the biggest issues I have seen that factored into a troubled restaurant. A few of these may not be a surprise, but you may be shocked at others. Consider this list of top legal reasons why restaurants fail:… Continue Reading

Can An Email Bind Your Restaurant Like A Contract?

Posted in Acquisitions, Commentary, Contracts, Employees & Waitstaff, Liability, Litigation, Negotiation, Recent Law Trends, Vendors

We all think of email as a convenience. The same is true for text messages. These are just easy ways to communicate. They don’t really mean anything. Right? Wrong! Email and text messages are some of the most dangerous tools created. They are powerful. They are permanent. And in Texas, they are binding. Don’t believe… Continue Reading

How To Spot Good Restaurant Investments

Posted in Acquisitions, Contracts, Franchises, Negotiation, News, Recent Law Trends

By all accounts, 2013 should be a great year for the Texas restaurant industry. For just one example, click on this link, which is an article by Teresa Gubbins from austin.culturemap.com. According to the article: A report by the National Restaurant Association says that the Texas restaurant industry will lead the country in sales growth… Continue Reading

The Top Five Consumer Myths About Restaurant Law

Posted in Employees & Waitstaff, Legislation, Liability, Recent Law Trends

One of the more entertaining aspects of restaurant law is dealing with consumer myths. We are consistently challenged by consumers over seemingly insignificant issues. However, for these restaurant customers, these issues are indeed significant, so we thought we would share their concerns. Whether you have dealt with these issues or not, this post should let… Continue Reading

Restaurant Non-Competes: Are They Worth It?

Posted in Contracts, Employees & Waitstaff, Employment, Liability, Litigation, Recent Law Trends

A funny thing happened recently. When Lauren Drewes Daniels at The Dallas Observer featured TexasRestaurantLaw.com last week at this link, a controversy ensued between folks that commented on the article. The dispute involved whether non-competes were valid and enforceable in Texas. Apparently, it is a common myth that non-compete agreements are not enforceable in Texas,… Continue Reading

A Fight Broke Out At My Restaurant – Am I Liable?

Posted in Liability, Litigation, Real Estate, Recent Law Trends

Whether a restaurant or its owner is liable for restaurant fights depends. “Depends on what?” you ask. Let me tell you by asking and then answering the following questions: What Did The Police Say? No one can escape personal liability for their own, direct actions. No amount of insurance, legal maneuvering, or other actions will… Continue Reading

To Partner Or Not To Partner: Top Things To Consider Before Bringing On A Restaurant Partner

Posted in Acquisitions, Corporate Entity, Franchising, Litigation, Recent Law Trends

Many of my clients think that partners and shared ownership are great. They are right, to a point, but there are often times that partners are more a pain than a benefit. With that in mind, I thought I’d share some of the benefits and drawbacks of partnering your restaurant business. Benefits of A Restaurant… Continue Reading

Are Texas Restaurants Required To Serve Free Water?

Posted in Alcohol, Competition, Franchises, Legislation, Litigation, Recent Law Trends

One of our dedicated blog followers recently asked whether Texas restaurants are required to serve water without charge. I had heard for years that this was a law, but since I did not already know the answer, I looked into this further. The results were surprising. It seems that at least at the state level,… Continue Reading

Is Your Restaurant Business Down? 5 Things Not To Do

Posted in Contracts, Corporate Entity, Employment, Franchises, Litigation, Negotiation, Real Estate, Recent Law Trends, Vendors

It’s no secret that many restaurants are suffering from the current recession, which is hopefully going to end soon. As a result, many restaurant owners are faced with the dilemma of “who to pay” when there’s not enough funds to pay everyone. In situations like these, it’s easy to make a misstep. With that in… Continue Reading

The Best of TexasRestaurantLaw.com 2009

Posted in Acquisitions, Alcohol, Commentary, Contracts, Corporate Entity, Employment, Franchises, Immigration, Intellectual Property, Legislation, Litigation, Negotiation, News, Recent Law Trends, Vendors

  We couldn’t close out the year without a “Best of 2009″! Here’s the best TexasRestaurantLaw.com content of the year, based on your enthusiasm via comments, links, and retweets. We thank you all for your continued support! Let’s get started: Recent Nutrition Law Trends – This will likely be a continued source of legislation on… Continue Reading

How A Late Night Email Could Put You In Jail

Posted in Commentary, Employment, Litigation, News, Recent Law Trends, Vendors

No matter what industry you are in, many of us are responsible for hundreds of emails per day. Each of those emails can become permanent records of what you are thinking, doing, or planning. Email errors can sometimes cause only minor disagreements, for which you can apologize and move on. However, in the most severe… Continue Reading

The Biggest Contract Mistake & How To Avoid It

Posted in Acquisitions, Alcohol, Commentary, Contracts, Corporate Entity, Franchises, Litigation, Negotiation, Recent Law Trends, Vendors

The ugly truth is that people make mistakes every day when they sign contracts for their companies. What’s worse is that many people don’t even realize that they are making a mistake. This particular mistake can cost your company thousands of dollars in legal fees. This mistake can cost you personally in legal fees and… Continue Reading

Is a Celebrity Spokesperson the Right Fit For Your Restaurant?

Posted in Commentary, Contracts, Franchises, Recent Law Trends

Celebrity spokespeople often increase retail brand awareness and, thus, boost sales. However, the extent of this sales boost may come as a surprise. Consider, for example, Troy Aikman’s sponsorship of the Wingstop restaurant group. According to the Dallas Business Journal, Wingstop reported 23 consecutive quarters of same-store sales increases since Aikman first appeared as a… Continue Reading