Orin Kurtz has secured a significant early victory in a class action lawsuit on behalf of tipped restaurant workers against Manhattan Sushi restaurant Kappo Masa.
In a March 3, 2026 decision, the New York Supreme Court denied the defendant’s request to throw out the case.
The lawsuit alleges that Kappo Masa violated the New York Labor Law because it improperly withheld tips that should go to the waitstaff. The lawsuit also alleges that Kappo Masa retained “service charges” and “administrative fees” that customers reasonably believed were gratuities, in violation of New York Labor Law Section 196-d. The complaint further alleges that when the plaintiff raised concerns about Kappo Masa’s alleged unlawful retention of gratuities, the restaurant retaliated against him and eventually fired him.
The Court held that the plaintiff’s allegations were sufficient to state a claim and is allowing the case to go forward.
Orin Kurtz, lead counsel for the plaintiff and the proposed class, is continuing to pursue full recovery of unlawfully retained wages and damages on behalf of all affected employees.
Wage and tip theft is a common practice at restaurants. If you think you’ve been denied wages or tips, contact us today.