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October 2009




                                                Benesch Bulletin


AMERICANS WITH DISABILITIES ACT PUBLIC ACCOMMODATIONS
ALERT
On October 7, 2009, the United States          The site visits conducted by the DOJ       The settlement agreement was
Department of Justice (“DOJ”) published        focused on designated accessible parking   specifically binding on Parco, its
a Settlement Agreement with Parco,             spaces, exterior routes, entrances,        successors and assigns and any future
Ltd. (“Parco”) a franchisee of Wendy’s         customer service queues, counters,         operator in the buildings; and Parco was
Old Fashioned Hamburgers Restaurants,          dining areas and public rest rooms.        specifically required to agree to notify all
whereby Parco was required, among              Among the many violations found were:      successors in interest of the settlement
other things, to remedy numerous                   Improper slope of handicap             agreement and its requirements.
violations of Title III of the Americans           parking spaces and access aisles;      In addition to monetary penalties
With Disabilities Act (“ADA”) relating             Insufficient clearance at              (which were rather modest - a
to public accommodations.                          entrances;                             contribution of $7,000 to the citizens
The settlement agreement arises out of a           Insufficient handicap parking          group that filed the complaint and a
complaint filed with the DOJ by Peer               spaces;                                $4,000 fine to the United States), Parco
Action Disability Support, a local group           Improper signage for handicap          agreed to remedy all deficiencies within
involved in supporting disabled persons,           spaces;                                approximately thirty days and to provide
alleging that one of the Wendy’s                   Customer queues that were too          a report and supporting evidence of
restaurants operated by Parco did not              narrow;                                compliance to the DOJ. In addition, the
comply with the ADA. The DOJ                       Interior routes within the             settlement agreement will remain in
investigated the allegations at the                restaurant being too narrow;           effect for three years, during which time,
particular restaurant identified in the                                                   the DOJ, and presumably the
complaint and then expanded its                    Counters too high;                     complainant and others, can check for
investigation to include additional                Rest room doors that required          compliance and perhaps other
restaurants operated by Parco.                     too much force to open;                violations. While the fines were
The DOJ classified the restaurants into            Toilet room signs too high;            relatively nominal in this case, the cost
two categories – restaurants constructed           Toilets being too close to side        of remedying the violations and the time
prior to January 26, 1992 (and not                 walls or partitions;                   within which to do so were not.
altered under the ADA) and restaurants                                                    Changing the slope of parking areas,
                                                   Grab bars that were too short;
having first occupancy after January 26,                                                  access areas and the like can be time
                                                   Insufficient knee clearance            consuming, weather sensitive, and costly.
1993. These dates are important                    underneath lavatory counters;
because under Title III of the ADA,                                                       Changing the height of counters,
                                                   Improper “twist” privacy locks         urinals, toilets and other items also can
commercial facilities designed for first           in toilets;                            be time consuming and costly, if for no
occupancy on or after January 26, 1993             Paper towel dispensers too high        other reason than walls and floors may
must be fully accessible to individuals            and too wide without a                 have to be resurfaced.
with disabilities. Commercial facility             detectable cane barrier;
must assure that any part of its facility                                                 In recent years there has been an ever
                                                   Newspaper and magazine                 increasing number of claims made
altered after January 26, 1992 (the date           holders in rest rooms that were
the ADA went into effect) is made                                                         alleging violations of the public
                                                   too high; and                          accommodations requirements of the
accessible to individuals with disabilities,
                                                   Urinals and toilets that were          ADA. The DOJ has pursued claims
unless doing so is virtually impossible.           too high                               against hospitals and hotels; and now
October 2009                                                                                                     Benesch Bulletin


against a restaurant franchisee.
Building owners and their tenants are
also subject to private lawsuits – in many
instances initiated by private “testers”
(handicapped individuals who go from
property to property looking to identify
ADA access type violations, and then
bringing suit when violations are found,
without ever having complained to the
property owner or business about the
violation or requesting that the violation
be corrected). This is often the case
because if violations are proven (which
is almost always the case), potential
damages include not only the correction
of noncompliant facility’s violations, but
also the payment by the defendant of
the plaintiff’s attorneys’ fees and costs.
Although a defendant in a recent Ohio
ADA federal lawsuit was successful in
having the plaintiff’s case dismissed
(after proving that the plaintiff “tester”
had not visited several of the stores that
the plaintiff alleged she had been in)
and in having the defendant’s
counterclaim for fraud and abuse of
process being permitted to continue
against the plaintiff tester and her
attorneys, these victories are few and far
between – and, even in victory, the
defendant will still have to remedy the
ADA violations or risk another lawsuit
or a DOJ action.
 Additional Information

 T learn more about the ADA and
  o

 commercial facilities and public

 accommodations, and defense of

 litigation for ADA violations, please

 contact:    Norm Gutmacher at

 216.363.4591 or email:

 ngutmacher@beneschlaw.com;

 Ann Knuth at 216.363.4168 or

 email: aknuth@beneschlaw.com;

 or Roger Schantz at

 614.223.9375 or email:

 rschantz@beneschlaw.com.

 Biographical information for these

 attorneys and other members of

 our Real Estate and Labor &

 Employment Practices Groups is

 available at www.beneschlaw.com.




As a reminder, this Advisory is being sent to draw your attention to issues and is not to replace legal counseling.
UNITED STATES TREASURY DEPARTMENT CIRCULAR 230 DISCLOSURE:                TO ENSURE COMPLIANCE WITH REQUIREMENTS IMPOSED BY THE

IRS, WE INFORM YOU THAT UNLESS EXPRESSLY STATED OTHERWISE, ANY U.S. FEDERAL TAX ADVICE CONTAINED IN THIS
                       ,

COMMUNICATION (INCLUDING ANY ATTACHMENTS) IS NOT INTENDED OR WRITTEN TO BE USED, AND CANNOT BE USED, FOR THE

PURPOSE OF (i) AVOIDING PENALTIES UNDER THE INTERNAL REVENUE CODE, OR (ii) PROMOTING MARKETING OR RECOMMENDING TO
                                                                                    ,

ANOTHER PARTY ANY TRANSACTION OR MATTER ADDRESSED HEREIN.

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Americans With Disabilities Act Public Accommodations

  • 1. October 2009 Benesch Bulletin AMERICANS WITH DISABILITIES ACT PUBLIC ACCOMMODATIONS ALERT On October 7, 2009, the United States The site visits conducted by the DOJ The settlement agreement was Department of Justice (“DOJ”) published focused on designated accessible parking specifically binding on Parco, its a Settlement Agreement with Parco, spaces, exterior routes, entrances, successors and assigns and any future Ltd. (“Parco”) a franchisee of Wendy’s customer service queues, counters, operator in the buildings; and Parco was Old Fashioned Hamburgers Restaurants, dining areas and public rest rooms. specifically required to agree to notify all whereby Parco was required, among Among the many violations found were: successors in interest of the settlement other things, to remedy numerous Improper slope of handicap agreement and its requirements. violations of Title III of the Americans parking spaces and access aisles; In addition to monetary penalties With Disabilities Act (“ADA”) relating Insufficient clearance at (which were rather modest - a to public accommodations. entrances; contribution of $7,000 to the citizens The settlement agreement arises out of a Insufficient handicap parking group that filed the complaint and a complaint filed with the DOJ by Peer spaces; $4,000 fine to the United States), Parco Action Disability Support, a local group Improper signage for handicap agreed to remedy all deficiencies within involved in supporting disabled persons, spaces; approximately thirty days and to provide alleging that one of the Wendy’s Customer queues that were too a report and supporting evidence of restaurants operated by Parco did not narrow; compliance to the DOJ. In addition, the comply with the ADA. The DOJ Interior routes within the settlement agreement will remain in investigated the allegations at the restaurant being too narrow; effect for three years, during which time, particular restaurant identified in the the DOJ, and presumably the complaint and then expanded its Counters too high; complainant and others, can check for investigation to include additional Rest room doors that required compliance and perhaps other restaurants operated by Parco. too much force to open; violations. While the fines were The DOJ classified the restaurants into Toilet room signs too high; relatively nominal in this case, the cost two categories – restaurants constructed Toilets being too close to side of remedying the violations and the time prior to January 26, 1992 (and not walls or partitions; within which to do so were not. altered under the ADA) and restaurants Changing the slope of parking areas, Grab bars that were too short; having first occupancy after January 26, access areas and the like can be time Insufficient knee clearance consuming, weather sensitive, and costly. 1993. These dates are important underneath lavatory counters; because under Title III of the ADA, Changing the height of counters, Improper “twist” privacy locks urinals, toilets and other items also can commercial facilities designed for first in toilets; be time consuming and costly, if for no occupancy on or after January 26, 1993 Paper towel dispensers too high other reason than walls and floors may must be fully accessible to individuals and too wide without a have to be resurfaced. with disabilities. Commercial facility detectable cane barrier; must assure that any part of its facility In recent years there has been an ever Newspaper and magazine increasing number of claims made altered after January 26, 1992 (the date holders in rest rooms that were the ADA went into effect) is made alleging violations of the public too high; and accommodations requirements of the accessible to individuals with disabilities, Urinals and toilets that were ADA. The DOJ has pursued claims unless doing so is virtually impossible. too high against hospitals and hotels; and now
  • 2. October 2009 Benesch Bulletin against a restaurant franchisee. Building owners and their tenants are also subject to private lawsuits – in many instances initiated by private “testers” (handicapped individuals who go from property to property looking to identify ADA access type violations, and then bringing suit when violations are found, without ever having complained to the property owner or business about the violation or requesting that the violation be corrected). This is often the case because if violations are proven (which is almost always the case), potential damages include not only the correction of noncompliant facility’s violations, but also the payment by the defendant of the plaintiff’s attorneys’ fees and costs. Although a defendant in a recent Ohio ADA federal lawsuit was successful in having the plaintiff’s case dismissed (after proving that the plaintiff “tester” had not visited several of the stores that the plaintiff alleged she had been in) and in having the defendant’s counterclaim for fraud and abuse of process being permitted to continue against the plaintiff tester and her attorneys, these victories are few and far between – and, even in victory, the defendant will still have to remedy the ADA violations or risk another lawsuit or a DOJ action. Additional Information T learn more about the ADA and o commercial facilities and public accommodations, and defense of litigation for ADA violations, please contact: Norm Gutmacher at 216.363.4591 or email: ngutmacher@beneschlaw.com; Ann Knuth at 216.363.4168 or email: aknuth@beneschlaw.com; or Roger Schantz at 614.223.9375 or email: rschantz@beneschlaw.com. Biographical information for these attorneys and other members of our Real Estate and Labor & Employment Practices Groups is available at www.beneschlaw.com. As a reminder, this Advisory is being sent to draw your attention to issues and is not to replace legal counseling. UNITED STATES TREASURY DEPARTMENT CIRCULAR 230 DISCLOSURE: TO ENSURE COMPLIANCE WITH REQUIREMENTS IMPOSED BY THE IRS, WE INFORM YOU THAT UNLESS EXPRESSLY STATED OTHERWISE, ANY U.S. FEDERAL TAX ADVICE CONTAINED IN THIS , COMMUNICATION (INCLUDING ANY ATTACHMENTS) IS NOT INTENDED OR WRITTEN TO BE USED, AND CANNOT BE USED, FOR THE PURPOSE OF (i) AVOIDING PENALTIES UNDER THE INTERNAL REVENUE CODE, OR (ii) PROMOTING MARKETING OR RECOMMENDING TO , ANOTHER PARTY ANY TRANSACTION OR MATTER ADDRESSED HEREIN.