According to Bouncer Chronicles the owners of Rick's Cabaret in midtown Manhattan avoided a trial by agreeing to set aside $15 million to settle a class-action lawsuit. The lawsuit, brought on by past and present strippers, claim the jiggle-joint wrongfully held back their tips and classified them as independent contractors-not in-house employees.
This settlement comes after Manhattan Federal Judge Paul Engelmayer in November ordered Rick's Parent Company, RCI Entertainment to pat out $10.8 million in damages but noted that RCI could be liable for much money to current and former dancers had the case go to trial.