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NYC Restaurant's Closure Due in Part to Lack of Comp Coverage

  • State: New York
  • Topic: NORTH
  • - Popular with: Legal

The New York City restaurant Raw Material's closure this week was partially due to its failure to carry workers' compensation coverage, the Lower East Side news site Bowery Boogie reported.

The restaurant, located at 131 Orchard St., shuttered on Tuesday. It had been issued a stop-work order from the New York State Workers' Compensation Board and the New York City Department of Health, in part for failing to secure workers' compensation insurance and in part for operating without a permit from the city. 

The restaurant had purportedly undergone turmoil over the past several months, with accusations of payroll issues, mismanagement and failure to pay wages leveled at owner Sandy Dee Hall at the end of 2016. An employee described loud arguments between the owner and landlord, who on one occasion allegedly locked the door to the restaurant's only refrigerator. 

Read Bowery Boogie's full story here.

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