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In Restaurant Law Center et al. v. US Department of Labor, Case 1:21-cv-01106-RP (W.D. Tex. July 6, 2023), the Texas Federal District Court granted summary judgment in favor of the Department of Labor (DOL), upholding the DOL’s December 2021 regulations on the “80/20 Rule,” denying the plaintiffs’ summary judgment motion, and refusing to enter the requested preliminary injunction against the regulation. The key takeaway is that, unless the 5th Circuit reverses the District Court, the 80/20 Rule will remain in effect. Restaurant owners and other employers of tipped employees must continue to ensure compliance with the 80/20 Rule through careful
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