Johnny Rockets That Left Pentagon City Mall Slammed With Huge Judgment

ARLINGTON, VA — Johnny Rockets may be gone from the Fashion Centre at Pentagon City, but its troubles are far from over: the U.S. Department of Labor announced a consent judgment Tuesday that requires the owners of two Johnny Rockets restaurants in the D.C. area -- including the one that used to be in the mall -- to pay $571,460 in back wages to 55 servers who the government says were denied minimum wage and overtime.

Judge Colleen Killar-Kotelly of the U.S. District Court for the District of Columbia ruled against Dariush Inc. and Rockets and Rockets Inc. under co-owner Gholam Kazemian, according to a Department of Labor statement. The judgment applies to the Johnny Rockets that used to be at the Pentagon City mall in a space now occupied by Garrett Popcorn, and a Johnny Rockets at Union Station in D.C.

"The judgment resolves a lawsuit filed by the department after an investigation by its Wage and Hour Division focused on the fast food restaurants' franchise locations at Union Station in the District of Columbia, and in Arlington, Virginia," the statement reads. "The lawsuit sought to recover $285,730 in minimum wages and overtime back wages, including the misappropriated tips, plus an equal amount in liquidated damages, for the 55 employees."

The investigation found that between February 2013 and May 2015, the defendants violated the Fair Labor Standards Act, requiring 55 servers to return some of their tips to the employer, who would then distribute it to non-tipped employees like cooks and dishwashers, bringing the pay of the servers below the federal minimum wage of $7.25, the statement reads.

"Additionally, the defendants failed to pay required overtime wages to employees when they worked more than 40 hours in a week, and did not keep accurate records of all hours worked by employees," the statement adds. "The consent judgment orders the defendants to pay $285,730 in back wages and an equal amount in liquidated damages."

Tip pools aren't in and of themselves illegal, and many restaurants have servers share equally in the tips. But by law, a valid tip pool can't include employees who don't regularly receive tips, which includes janitors, dishwashers and cooks.

Image via Johnny Rockets