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Restaurant owners seek refunds of state and local fees amid pandemic

by City News Service • October 26, 2020

LOS ANGELES – California restaurant owners from across the state, including Los Angeles County, filed government claims Monday seeking refunds of state and local fees assessed during the COVID-19 pandemic, saying public health orders have forced them to shutter their doors or operate under capacity restrictions even as they’re charged fees for liquor licenses, health permits and tourism assessments.

Plaintiffs’ attorney Brian Kabateck said, “Restaurant owners are obligated to pay these government fees just to operate, yet the same government entities who have collected those fees have forced these businesses to close their doors or drastically restrict operations due to the pandemic. We simply want the government to return those fees to those restaurants who followed the law and closed.”

The state has 45 days to respond to the claims, which are necessary precursors to a potential class-action lawsuit.

The move was supported by the California Restaurant Association, whose president and CEO, Jot Condie, said, “Even when the restrictions are lifted, the devastating impact on the restaurant industry will extend for years. Restaurants have not received any form of relief. Easing fees would help enable establishments to stay open and keep vulnerable workers employed.”

Restaurants, like many other industries, have been hit hard by the pandemic, leading to the permanent closures of many establishments.

A survey by the California Restaurant Association found 63% of responding owners said they have not received rent relief. About 41% said their restaurants could remain economically viable with a 50% indoor capacity limit, which is only permitted in counties within the yellow or orange “tiers” in the state’s color-coded status system.

Kabateck said, “It’s offensive and tone deaf for these entities to enforce these rules and charge fees for licenses and permits these businesses can’t use.”

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Filed Under: Business, Home, Los Angeles County

4 comments for "Restaurant owners seek refunds of state and local fees amid pandemic"

  1. Alby says

    October 27, 2020 at 9:59 am

    I’ll bet “spite stores and restaurants” are feeling way more spite than ever before.

  2. Steve-O says

    October 27, 2020 at 9:48 am

    Yep…….. Don’t hold your breath. This is no different than trying to get the 8k plus households that have to pay a “Fire Tax”. We were all just told that the committee which was fighting to get our $$$ back that the stupid state courts (I think it was the 9th CERCUS court) said sorry… you lose! So happy we moved out of that mad house of a state. Good Luck!

  3. bottom and company says

    October 27, 2020 at 8:21 am

    Excellent idea! But they should begin marshaling their forces for REAL legal action. Because this penny pinching state will pay a “claim” to nobody.

  4. TOM says

    October 26, 2020 at 7:26 pm

    This state give back money good luck, you know the state and county are already planning on charging more next year for fees and taxes for the so called loss. Unless your lazy, you wont get crap from the state or county’s in California.

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