Beloved Greenwich Village, Waverly Diner, Files for Bankruptcy Protection



Waverly Diner painted by AFineLyne
Waverly Diner in watercolor

The beloved Greenwich Village, Waverly Diner, filed for bankruptcy protection last week.

Village Red Restaurant Corporation, the diner’s corporate name, is facing liability in two lawsuits, which are pay related.  The two lawsuits allege that management did not pay overtime to a group of former waiters, dishwashers, busboy’s and delivery men.

Employees suing the diner have hired the high-profile lawyer, Lou Pechman, known for his work on behalf of restaurant workers, and known for winning a $315 million settlement on behalf of restaurant workers from Sparks Steakhouse ~  the largest single restaurant settlement in the United States.

Filing for chapter 11 bankruptcy protection allows the Waverly Diner to stay open.  The next court date is set for May 8th.

According to court records, Waverly Diner’s founder, Nick Serafis “filed for personal bankruptcy protection in January, and the diner’s current owner, Serafis’ daughter, received the restaurant as an inheritance gift,” reported by the WSJ.  In addition, WSJ reported that potential damages are more than $2.2 million by many employees who have worked for the diner for many years.

Waverly Diner is located at 385 Sixth Avenue, at Waverly Place.