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Ep #3: SB478... Is It Bad News for Restaurants? with Jordan Reis Cohen

On July 1st, 2024, SB478 will take effect in California. Restaurants in California will no longer be able to add service charges or other itemized fees to your restaurant checks. The ramifications of this are long and complicated, and we're diving into this polarizing topic today with Jordan Reis Cohen.

Jordan Reis Cohen is the managing attorney of Brick & Mortar Legal in San Francisco. He's our go-to when it comes to restaurant-related lease issues, ABC compliance, and other restaurant-related legal questions. He has a ton to say about SB478, so today's episode is a heated one.

Tune in this week to discover what SB478 means for you as either a restaurant owner or a prospective restaurateur. We'll try to stop Jordan from getting too highbrow while still explaining exactly how SB478 will impact restaurants in California, you'll learn why we have itemized service fees in the first place, how SB478 started with a positive intention, and we share some of the ways that implementing this law could start to get tricky.


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What You’ll Learn from this Episode:

  • How Jordan decided to focus his legal work in the restaurant industry in San Francisco.

  • What SB478 is and why it's a big deal and a divisive topic.

  • Some of the ways that SB478 will impact restaurateurs.

  • What Jordan believes are the flaws of SB478 that need addressing before things get messy.

  • Why we need itemized service fees in California to improve the lives of all the staff in an establishment more equally.

  • Some creative ideas to possibly operate around SB478 as a restaurateur.

  • Who wins and who loses from SB478.

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