Insurer Drops Dispute Over Ill. Cafe’s Coverage For Wage Suit

Insurer Drops Dispute Over Ill. Cafe’s Coverage For Wage Suit

By Morgan Conley (December 15, 2021, 3:05 PM EST) — State Automobile Mutual Insurance Co. dropped its Illinois federal court lawsuit seeking a declaration it isn’t obligated to defend a chain of Chicago cafes against workers’ claims they weren’t properly paid for all hours worked and that management operated an unlawful tip pool.

In a notice of voluntary dismissal Tuesday, the insurer told the court there is nothing left to fight over after Wildberry Pancakes and Cafe, which has two downtown Chicago locations near Millennium Park and Water Tower Place, withdrew its request for coverage Sunday.

Since the restaurant is no longer asking the insurer to provide its defense against a…

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