Esperanza Mansion, the landmark hotel, restaurant, and wedding venue overlooking Keuka Lake that closed its doors last year, has been dealt another financial blow.
Facing a class action lawsuit filed by banquet servers for unpaid gratuities, Esperanza owner David Wegman has agreed to a $210,000 settlement for the local workers employed by Esperanza between Aug. 2010 and Aug. 2016.
Named plaintiffs Shari Folts and Gail Owen filed the suit on behalf of themselves and all the other hourly banquet service workers against defendants Esperanza Management LLC, Esperanza Properties LLC, The Wegman Group LLC and David Wegman, individually and as owner of Esperanza Management LLC, Esperanza Properties LLC and the Wegman Group LLC. They claimed unpaid gratuities under New York Labor Law because Esperanza charged customers for “mandatory service charges” for banquet events but never passed the money on to those who worked the events. The attorney for the plaintiffs, Justin M. Cordello, says over 100 workers will be paid in the class action suit settlement, along with $70,000 in attorney fees and $10,000 in administrative charges.