In the realm of fine dining, a shadowy online marketplace has emerged, promising prime reservations at top-tier restaurants for exorbitant prices.
Dubbed Appointment Trader, this platform has sparked outrage among restaurateurs and industry insiders alike, as it capitalizes on the scarcity of coveted dining experiences while leaving eateries in the lurch. Led by entrepreneur Jonas Frey, Appointment Trader has raked in $1.2 million in reservation sales over the past year, much to the dismay of restaurant owners struggling to combat the scourge of no-shows. This black market for dining reservations not only undermines the integrity of the dining experience but also poses significant financial challenges for establishments already grappling with the aftermath of the pandemic. Traditional reservation platforms like Resy, Tock and OpenTable are up in arms over Appointment Trader's brazen exploitation of the dining industry, with legal battles looming on the horizon. From cease and desist letters to legal threats, restaurant owners are fighting tooth and nail to curb the proliferation of this nefarious marketplace, which siphons revenue and distorts the delicate balance of supply and demand in the culinary world. Amidst the controversy, Frey defends Appointment Trader as a boon for diners, conveniently overlooking the detrimental impact on restaurant operations. As the battle rages on, the future of dining reservations hangs in the balance, with the fate of restaurants and the integrity of the dining experience at stake. Protecting Your Restaurant: What to Do If You’re Listed on Appointment Trader If a restaurant discovers that they are listed on Appointment Trader without their consent, it's crucial for them to take immediate action to protect their brand and reputation. Here are steps they can take:
By taking these proactive steps, restaurants can assert control over their reservations and protect their business interests from unauthorized third-party platforms like Appointment Trader.
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By Fisher Phillips, Authors Steve Bernstein, Josh Nadreau and John Polson
In an 11th-hour decision, a federal court judge in Texas just struck down the Labor Board’s controversial joint employer rule right before it was set to take effect on Monday. The NLRB had aimed to make it far easier for workers to be considered employees of more than one entity for labor relations purposes – a move that would have resulted in increased union organizing and collective bargaining efforts across the country – but Friday’s decision halted it in its tracks. The fight will continue, however, as there is little doubt the agency will appeal the decision in hopes of resurrecting the rule in the near future – and a whole separate court battle over the same issue takes place in D.C. While employers will once again be left to navigate an uncertain future while the court battles wage, we have a blueprint to guide you through the tumultuous times ahead. Read more here. The LRA Education Foundation presented the Louisiana Seafood ProStart Invitational on March 6-7 at the New Orleans Morial Convention Center. ProStart is a two-year culinary arts and restaurant management curriculum in nearly 60 Louisiana high schools, with 2,000 juniors and seniors participating. Sixty-three percent of Louisiana’s ProStart program attended the Invitational.
The Invitational consisted of the BRG Hospitality Culinary Competition on Day 1, where 24 ProStart teams showcased their culinary talents Iron Chef-style, creating a three-course gourmet meal in just one hour using two butane burners. The top five winning BRG Hospitality Culinary Teams were:
The Raising Cane’s Management Competition on Day 2 featured 11 ProStart teams presenting their restaurant concepts to a series of industry professionals as if pitching to a group of investors. The teams were judged on their menus, concepts, critical thinking skills, operations, and marketing. The top five Raising Cane’s Management Teams were:
The top five teams in each category were awarded nearly $900,000 in scholarships to top culinary arts and management programs in Louisiana and across the nation. Also, the top team in each competition will represent Louisiana at the National ProStart Invitational on April 26-28 in Baltimore, Maryland. Airfare, lodging, and apparel will be covered at no cost to the teams thanks to the National Travel Team Sponsor – TABASCO Brand. In addition, judges awarded a series of awards to teams based on their exceptional skills and techniques. The following are the categories and the top judges’ selected teams: Raising Cane’s Management Competition Judges’ Picks:
BRG Hospitality Culinary Competition Judges’ Picks:
This event was made possible thanks to our generous sponsors: Louisiana Seafood Promotion and Marketing Board; BRG Hospitality (August, Luke, Domenica, Pizza Domenica, Shaya, Tavi, Willa Jean, Larder and Eunice Restaurants); Raising Cane’s Chicken Fingers; Sysco; Natco Food Service; Republic National Distributing Company, Sodexo Live!; New Orleans Morial Convention Center; and Freeman. A special thank you to the National Travel Team Sponsor: TABASCO Brand. The National Restaurant Association is assessing the implications of President Biden's State of the Union address for the restaurant industry, paying close attention to key points that demand our attention.
First, President Biden underscored his commitment to eliminating so-called “junk fees” throughout the U.S. economy. Why it matters: His administration is proposing a rule targeting “junk fees” that is so expansive it would ban widely accepted restaurant fees, such as delivery and large-party service fees. Learn more here.
Additionally, President Biden mentioned the PRO Act—legislation supported by labor unions, which would make radical changes to settled workplace policies. This bill faces many obstacles in Congress and is unlikely to move forward this year. The President also proposed tax policy changes. As these proposals unfold, we will continue to monitor their impact on our industry and advocate for policies that support the growth and prosperity of restaurant operators. In conclusion, the National Restaurant Association remains dedicated to representing our members' interests and supporting the restaurant industry's success. Through advocacy, collaboration, and proactive engagement, we will navigate the evolving regulatory and legislative landscape to champion policies that advance our industry and support the success of our members. Thank you for your ongoing support and participation. The LRA Education Foundation (LRAEF) is pleased to announce the 2024 ProStart Educator of Excellence – Patricia Cooke of Istrouma High School. For over 20 years, Cooke has inspired students in her ProStart classes and many of her students have gone on to own or work in the restaurant industry.
“Patrica exemplifies what we want for all our ProStart educators,” said Mistica Maples-Adams, Louisiana ProStart Manager. “She goes above and beyond for her students and serves as a mentor for her peers also teaching ProStart.” Prior to teaching ProStart, Cooke spent a decade in the restaurant industry as a kitchen and operations manager for Ryan’s Steakhouse and Applebee’s. She attributes her restaurant experience to making the transition from industry to the classroom more assessable. “If I hadn’t had those years working in the restaurants I would have been lost,” said Cooke. “Much of what I was doing was training our staff to read and follow instructions, specifically recipes.” The ability to coach staff then, and now, her students and fellow ProStart educators, is her passion. What drives her is knowing that she is a resource to others in their path to success. “I take great pride in the fact that many of my students work in restaurants or have gone on to own their own catering or restaurant business,” added Cooke. To recognize Patricia Cooke’s dedication to ProStart and the advancement of her students, she will be honored at the LRAEF’s event, “Serving the Future—Celebrating Careers in Hospitality, March 6 at Generations Hall. The news: The Payment Card Settlement is the biggest antitrust class-action settlement in history and sets aside about $6B for millions of U.S. merchants who for years paid artificially inflated Visa and Mastercard interchange fees. If your restaurant accepted Visa and/or Mastercard at any time between Jan. 1, 2004, to Jan. 25, 2019, then you are likely a member of the class settlement and entitled to a share of the settlement.
Learn more: The Association and the Restaurant Law Center recently hosted a webinar on the “Payment Card Settlement: What it Means for Restaurant Operators.” A recording of this webinar and a copy of the power point presentation can be found here. Key takeaways:
By Stan Harris
CEO & president of the Louisiana Restaurant Association This piece was a guest column in the Beltway Beat by LaPolitics, part of the State Affairs network, February 28, 2024. Louisianians love celebrations, and each of these occasions—be it a birthday, anniversary, or the opening of football season—involves our world-famous cuisine. The heritage of the French or Spanish settlers is always noted, but the residents from Europe, Africa, or the Caribbean all impacted the development of our food and traditions. This is one state where if a resident says they can cook it “better,” take them at their word. Our Louisiana restaurants have to serve food better than our average home cook. Many enter the restaurant business with their grandmother’s recipes, their life’s savings, and the entrepreneurial drive to succeed. Operating a restaurant today is more challenging than ever. As the LRA President and CEO, I worked in the industry for almost 30 years. And since joining the LRA in 2010, I’ve advocated for our restaurant industry every day. It is my passion. On the federal level, the LRA partners with the National Restaurant Association on critical issues facing our industry. We engage in federal policies that directly impact restaurants and hospitality businesses. Currently, here are our top three issues: The increase in credit card processing fees continues to burden restaurant operators, affecting their costs. The bipartisan Credit Card Competition Act seeks to lower credit card processing fees. Despite efforts to advance the act, our progress has stalled as larger banks scare consumers with the loss of rewards programs or “points” for rewards. Recently, the Tax Relief for American Families and Workers Act (H.R. 7024) passed the U.S. House with a bipartisan majority. This is a significant step toward providing relief to restaurants grappling with financial challenges lingering from the pandemic. This would restore EBIDTA interest deductions and implement 100% bonus depreciation for equipment and vehicles. These measures would foster economic recovery and sustain local communities. Now in the U.S. Senate, we urge Senators John Kennedy and Bill Cassidy to support the passage of this legislation, underscoring its positive impact on Louisiana's restaurant industry. Finally, our industry was blindsided by the Federal Trade Commission’s (FTC) proposal to ban fees and inclusion of charges to the guest check that aren’t priced into the menu. We advocate for transparency and value in fee structures. Restaurants would be barred from including service charges for group dining, credit card surcharges, or delivery fees. This regulation could increase a restaurant's costs as they consider options that don’t directly raise menu prices. We believe the FTC's proposal exceeds its authority and have provided comments, noting both the rule's potential impact and the diverse needs of restaurants across the nation. The LRA champions policies that encourage growth and sustainability for our unique restaurant industry and culture. We engage with elected officials and industry stakeholders to navigate these complex issues, as well as foster an environment conducive to the success of the hospitality industry. Since 1946, Louisiana’s restaurants have relied on the LRA to be their voice and advocate at all levels of government. The Louisiana Restaurant Association Education Foundation (LRAEF) Board of Directors, through its Scholarship Fund, will award $60,000 in scholarships to 17 students. The LRAEF Scholars will be honored on March 6 during the annual “Serving the Future—Celebrating Careers in Hospitality” presented by Ecolab event in New Orleans.
The LRAEF Scholarship Fund was created in 2009 to provide financial support for individuals interested in furthering their education to support a career in culinary, hospitality, or related industries. Since its inception, the Scholarship Fund has awarded over $750,000 to deserving students. This year marks a significant milestone as the LRAEF introduces the coveted Raising Cane's Chicken Fingers Scholarships. Valued at $5,000 each, these scholarships represent the pinnacle of recognition for four outstanding Louisiana students dedicated to building careers in the restaurant, foodservice, tourism, or hospitality sectors. The Raising Cane’s Chicken Finger Scholars are:
"The LRAEF Scholars program empowers people of all ages to enter into the hospitality field or further their careers in the industry," stated Jonathan Baynham, Executive Director, LRAEF. "We are excited to welcome Raising Cane’s Chicken Fingers to the LRAEF Scholars program and thank them for committing to the future of our industry." The Jim Funk Scholarship, is named for the former LRA President & CEO who guided the creation of the LRAEF during his 30 years with the organization. The year’s recipient of the Jim Funk Scholarship is Abbey Warren. She is a third year LRAEF Scholar, attending the Chef John Folse Culinary Institute at Nicholls State University and will receive $5,000. Through the LRAEF Scholars program, the University of New Orleans provides a Master of Science in Hospitality and Tourism Management scholarship. This year’s recipient is Jeremy Ledlow who will receive $5,000. The Louisiana Seafood Scholarship was established through a generous gift from the Louisiana Seafood Promotion & Marketing Board. $5,000 is awarded to a qualified applicant who expresses an interest in cultivating, protecting, and promoting Louisiana seafood. This year’s Louisiana Seafood Scholar is Tammy Cecil, who attends the Louisiana Culinary Institute. The LRAEF Scholars are individuals who intend to pursue a career in the restaurant, foodservice, tourism, or hospitality industry. ProStart students, who have or will receive the National ProStart Certificate of Achievement, are given top priority. The 2024 LRAEF Scholars are:
“Serving the Future – Celebrating Careers in Hospitality” also recognizes the LRAEF’s Annual Partners for the previous year. Special thanks to Ecolab, the Serving the Future Title Sponsor. The 2023 LRAEF Annual Partners were: Raising Cane’s Chicken Fingers, Baton Rouge Epicurean Society, Auto-Chlor Services, Acme Oyster House, Emeril Lagasse Foundation, Ecolab, Fore!Kids Foundation, Sysco, BRG Hospitality, Tabasco Brand, Atmos Energy, Louisiana Hospitality Foundation, Louisiana Seafood Promotion and Marketing Board, Coca-Cola Bottling Company-UNITED, University of New Orleans HRT, NATCO Food Service, Ralph Brennan Restaurant Group, Brechtel Hospitality, PJ’S Coffee, Zea Rotisserie & Bar, QED Hospitality Republic National Distributing Company and MMI Culinary. Chef Patron E.J. Lagasse Keynote Speaker at ProStart Awards
The Louisiana Restaurant Association Education Foundation proudly presents the Louisiana Seafood ProStart Invitational March 6-7, 2024, at the Morial Convention Center, Hall J. ProStart is a two-year culinary arts and restaurant management curriculum offered to juniors and seniors in nearly 60 high schools in Louisiana. It is administered by the LRA Education Foundation and is a National Restaurant Association Educational Foundation curriculum offered in all 50 states and Guam. BRG Hospitality’s Culinary Competition will commence March 6 where 26 teams will showcase their talents while creating a three-course gourmet meal in just 60 minutes, using just two butane burners. The teams are judged on food safety and sanitation measures, communications, teamwork, techniques, time management, and of course, presentation and taste. The Raising Cane’s Management Competition will be held March 7, and 12 teams will present their restaurant concepts before a group of judges. The teams are judged on concepts, marketing, operations, and asked a serious of critical thinking questions to determine their understanding of restaurant management. The top five teams in each category will win a total of $850,000 in scholarships to notable national and Louisiana culinary and management programs college programs. “The number of scholarships offered to Louisiana ProStart competitors speaks volumes to our students' passion for learning about culinary arts and the operations of restaurants,” said Jonathan Baynham, LRAEF Executive Director. “We are fortunate to have the Louisiana Seafood Promotion and Marketing Board as our title sponsor as Louisiana seafood is a key ingredient for many of our student led teams.” During the ProStart Awards, Chef Patron of Emeril’s flagship restaurant in New Orleans, E.J. Lagasse, will serve as the keynote speaker. Lagasse, the son of world-famous Chef Emeril Lagasse, will share his journey from the Meril kitchen at age 13 to stages in New York, and his travels abroad. The winning team in each category will win an all-expense paid trip to compete in the National ProStart Invitational, April 26-28 in Baltimore, Maryland. NRA and its Restaurant Law Center Call on the FTC to Exclude Restaurants from “Junk Fees” Rule2/12/2024 In comments they call the proposal unwarranted and unlawful, and highlight significant unintended consequences for consumers
In comments submitted to the Federal Trade Commission (FTC) regarding its Unfair or Deceptive Fees Notice of Proposed Rulemaking, the National Restaurant Association and the Restaurant Law Center (Law Center) called for the Commission to exclude the restaurant industry from the final rule. In the comments, the groups highlight that the proposed rule’s blanket prohibition on “hidden” and “misleading” fees as applied to the restaurant industry is “unwarranted, unlawful, and would create significant unintended consequences for consumers.” The FTC proposal seeks to eliminate all fees or surcharges, forcing restaurant operators to change menus to reflect a single “Total Price” for each item. The Commission puts the cost for doing this at more than $3.5 billion dollars for the restaurant industry alone, forecasting a restaurant’s menu redesign will cost almost $5,000. “While the National Restaurant Association and the Restaurant Law Center appreciate the Commission’s aim to provide increased price transparency for consumers, this proposed rule ultimately fails to achieve this objective in the restaurant industry,” said Brennan Duckett, director of technology and innovation policy for the National Restaurant Association. “A one-size-fits-all prohibition on common restaurant charges is both unworkable and unlawful, and we therefore have urged the Commission to exclude the industry from any final rule of similar nature and scope.” The comments highlight that while restaurant operators already make significant efforts to ensure that fees and surcharges are evident and identifiable before consumers receive the check, they also typically provide customers with the option to remove a surcharge from their final bill. These practices differentiate the restaurant industry from the others outlined in the proposed rule and appear to address the Commission’s concerns around the refundability of such fees. The Association and Law Center argue that by forcing restaurant operators to include service fees, credit card surcharges, or even delivery fees in menu pricing, the Commission is in fact forcing operators to hide from consumers the costs of the services they value in the restaurant experience. Additionally, if the FTC succeeds in forcing restaurants to reflect all-in pricing across a menu, it will create an unfair payment structure where diners are paying for service — like delivery — that they aren’t receiving. “The FTC’s proposed ‘junk fees’ rule will unleash nothing but chaos and confusion for restaurant owners and diners alike,” said Sean Kennedy, executive vice president for Public Affairs at the National Restaurant Association. “Restaurant customers understand that they will pay extra if they are having food delivered or are dining with a large party. Fees for these services aren’t ‘junk fees’ – they reflect the higher costs that a restaurant is taking on to make a customer’s experience even more convenient.” The comments also highlight the outcome of being forced to create a menu for each situation, as the FTC suggests: “Imagine walking into a restaurant and the person at the desk asks you how you’re going to be paying that evening. This would become an uncomfortable reality in a world where restaurants can’t use surcharges and are forced to provide a menu for large parties, one for smaller parties, one for people paying with credit cards, one for takeout, and one for delivery.” As an alternative to the proposed rule, the Association and Law Center expressed a willingness to work with the FTC to establish a transparency test for potential fees or surcharges. This test would set notice and disclosure requirements for the fees and surcharges necessary to maintain business viability for restaurant operators. However, the groups warns that if a final rule is issued which includes restaurants, fees that are value-adding and transparent must be preserved. According to the groups this includes service fees that go directly to tipped workers, credit card surcharges, and delivery fees. Read the full National Restaurant Association and Restaurant Law Center joint comments here. |
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March 2024
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