NY sisters who own DQ franchise hit with $6M lawsuit for paying workers every 2 weeks — they helped change the loophole but it was too late for them

by Eva
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NY sisters who own DQ franchise hit with $6M lawsuit for paying workers every 2 weeks — they helped change the loophole but it was too late for them

The inspiring story of the “DQ Sisters”—Patty DeMint and Michelle Robey—is one of hard work, second chances, and unexpected legal hurdles. When the siblings opened a Dairy Queen in Medford,

New York, back in 2017, their dream was simple: serve good food and create a warm, welcoming place for the community. But what started as a heartwarming journey soon turned into a legal battle that nearly shut them down.

From Ice Cream Dreams to Community Support

Patty and Michelle weren’t your average business owners. They were deeply committed to supporting their staff, treating them like family. Whether it was helping employees in need, delivering gifts to their kids during Christmas, or giving people with difficult pasts a second chance, the sisters built a workplace full of kindness and care.

They hired people from all walks of life—teenagers, elderly folks, even people with criminal records. As Patty said, “Everyone needs a place to call home as far as a job goes.” Their store became more than just a Dairy Queen—it became a second home for many.

The Lawsuit That Shook Everything

In 2019, things took a dark turn. A former employee filed a lawsuit claiming that the sisters broke an old New York law that requires “manual workers” to be paid weekly. The DQ Sisters had been paying their employees every two weeks, which they thought was completely fine. In fact, even the state labor audit didn’t flag it.

Despite paying employees everything they were owed, they were suddenly hit with a shocking $6 million lawsuit. The employee who sued them, according to the sisters, had previously made threats. The situation spiraled quickly, leaving Patty and Michelle worried about losing not just their business—but their homes too.

The Bigger Picture: Legal Loopholes and Exploitation

It turned out that this wasn’t an isolated case. Similar lawsuits were being filed across New York by law firms targeting small businesses through social media ads. According to legal experts, these lawsuits focused more on technical mistakes than real harm done to workers.

Eventually, the DQ Sisters settled the case out of court for $450,000. However, after legal fees were deducted, each former employee received just about $200. “The lawyers made more than the employees,” Michelle said, highlighting how the system seemed to benefit lawyers, not workers.

Who got the settlement money

Of the $450,000 settlement, $305,000 goes to lawyers and fees. The sisters’ former workers who were paid biweekly stand to collect less than $200 each.

“Everybody got pennies, but the lawyers, they’re the ones who made all the money,” DeMint said.

Robert Fonti, the head of the Suffolk Chambers of Commerce, calls the case a travesty. He is working with Robey to keep business owners better informed when laws change.

“It was a loophole. It was a small sentence in a law we didn’t know about it until it happened, and what they went through was unfortunate,” he said. 

More laws may change due to their efforts. Murray is trying to hold payroll companies responsible for mistakes like this and get the labor department to clarify the definition of a “manual worker.”

The settlement ate up much of DeMint and Robey’s livelihoods. One of their employees started a GoFundMe page to help them recover.

Though they lost their own battle, they reversed a little known law, helping other business owners from facing the same struggle.

“It’s a victory because it won’t happen again because of what they did,” Fonti said.

A Change in the Law, Thanks to the DQ Sisters

Even after all this, the sisters didn’t give up. They used their experience to push for change. Working with lawmakers, they helped amend the law in May 2025. Now, businesses that accidentally pay biweekly instead of weekly won’t face massive fines—just interest on the delayed wages. This change has already helped protect other small business owners.

What Workers and Employers Should Learn From This

For employees, the big lesson is to stay alert. Always check your payslips. If anything seems off, raise the issue immediately with your employer. You can also:

  • Keep a personal record of your work hours.
  • Ask your employer to sign off on your records weekly.
  • Talk to coworkers, HR, or even a lawyer if problems continue.

For employers, it’s a reminder that ignorance of the law is not an excuse. Common payroll mistakes, like paying the wrong way or misclassifying workers, can lead to serious trouble. Here’s how businesses can stay safe:

  • Stay updated on payroll laws at all levels.
  • Use payroll software or tools for compliance.
  • Keep clear records of all payments and work hours.
  • Train staff and managers on company pay policies.

The story of the DQ Sisters is both inspiring and cautionary. They built a business with love, care, and community spirit, only to be blindsided by a technicality in the law. But instead of giving up, they fought back—not just for themselves, but for every small business owner facing similar risks.

Today, they continue to serve ice cream with a smile, proving that with determination, even the toughest battles can be turned into victories. Their story reminds us how important it is for both employers and employees to stay informed, stay prepared, and always stand up for what’s right.

Source

FAQs:

Q1. Why were the DQ Sisters sued?
They were sued for paying their employees biweekly instead of weekly, which violated an old New York law for “manual workers.” Even though they paid all wages owed, this technicality led to a costly lawsuit.

Q2. How much did the lawsuit cost the DQ Sisters?
They settled the case for $450,000. However, most of the money went to legal fees, and the employees involved received only about $200 each.

Q3. What changes were made to the law because of this case?
Thanks to the DQ Sisters’ efforts, the law was changed in May 2025. Now, if a business pays biweekly by mistake, they only owe interest, not huge penalties.

Q4. How can employees protect themselves from wage theft?
Employees should check their payslips regularly, keep records of their work hours, and speak up if they notice any issues with their pay.

Q5. What can employers do to avoid payroll lawsuits?
Employers should stay updated on labor laws, use payroll software, train their teams on payment policies, and maintain accurate records to avoid costly mistakes.

37 thoughts on “NY sisters who own DQ franchise hit with $6M lawsuit for paying workers every 2 weeks — they helped change the loophole but it was too late for them”

    • Actually I’ve always thought that was the stupidest statement ever! Of course ignorance of the law is an excuse! it’s the PERFECT excuse: if you don’t know something is illegal, and you accidentally do it, accidentally break the law, then not knowing about it is a PERFECT reason why should you NOT be made responsible! That saying has never made sense to me!

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      • I agree, and there was NO HARM caused by their mistake. The People were paid – every 2 weeks like most everyone else in the retail world in the US.

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          • Tell me why Teacher get paid Monthly!!! And school employees get paid Monthly!!?? But it’s not okay for new york manual labor to get paid every 2 weeks..

        • I don’t understand. Whether they got paid every week or every two weeks, if the employee got their fair wages, what was due them, what difference does it make? They were not cheated, correct? The lawyers are the slick ones. They are the ones who make out. Employees should think hard about what they’re doing. $200 was nice but was that worth it to hurt the employers?

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    • I dont know of any business in all of Shreveport Bossier City Louisiana who doesn’t pay every 2 weeks. Even oil field companies pay every 2 weeks. Soil everybody going to sue their employer? All school boards even pay every 2 weeks.

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      • As a teacher, I was paid once a month and no pay in the summer. But could sign up for a monthly advance on the 15th of each of the ten months.

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    • I dont know of any business in all of Shreveport Bossier City Louisiana who doesn’t pay every 2 weeks. Even oil field companies pay every 2 weeks. So is everybody going to sue their employer? All school boards even pay every 2 weeks.

      Reply
  1. That lawyer took advantage of people, they saw dollar signs and pounced. They made over $300k while their clients get $200 a piece.

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    • Same with injury attorneys. They get 40 percent PLUS any paper supply, pen supply costs, etc. Not fair, but this is America. Built on not fair to the many only the few. Like the idiot “leading” our country.

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      • I don’t understand. Whether they got paid every week or every two weeks, if the employee got their fair wages, what was due them, what difference does it make? They were not cheated, correct? The lawyers are the slick ones. They are the ones who make out. Employees should think hard about what they’re doing. $200 was nice but was that worth it to hurt the employer.

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    • The lawyers should be ashamed of themselves. They knew they could win because of the law but human decency should have prevailed. They were out for the money and did not care for the DQ or the employees. If the DQ folded where would the employees be….unemployed. Just shameful of the lawyers. It’s called greed on their part. As a lawyer you should think about cases before you accept them. The law should be completely changed. No penalties should be charged for paying every 2 weeks. Just another way for government to make money off small business owners for stupid reasons.

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    • If you know when you’re hired that you will be paid every two weeks then that’s your problem. Don’t work there if you don’t like it. It’s your own ignorance.

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  2. So, that obscure NY law… seems like NY federal employees can/should sue also, as feds, including ‘manual labors’, get paid every 2 weeks! Absurd!

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  3. Now who exactly, is going to sue the law firm that played on these people’s emotions? Who more than likely mentioned millions and settlement? Who hand picked persons looking for a payday? Who laughing, because they knew the firm would walk away paid? Etc…

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  4. This is really quite sad, the sisters had a good chance to prove an abuse of process and malpractice by the plantiff’s counsel because the law suit was egregiously excessive, and through discovery could have proven the plantiff was malicious and vexatious in bringing their case, there by strengthening the malpractice aspect of the counter suit. Add to this that the plantiff legal fees fees were extremely disproportionately over-weighted when the plantiff compensation was only $200/person. But I understand why they would settle as you need 2 years and deep pockets to resolve it. They could have sued the plantiff’s lawyer for malpractice and assuming they had insurance would have come out ahead. But ppl just want to get on with their lives.

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  5. I’m happy it worked out for the owners. Owners lije those shouldn’t be screwed over. Too bad for the bitter employees trying to get a huge pay day out of it.

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  6. Imagine causing yourself and your former employers that amount of shit because of something so petty, only to make pennies feeding scumbag grievance mongers. I hope the $200 was worth it, and good luck getting hired by anyone with a brain…

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  7. Imagine the heartbreak of an employer building a family of workers and not a face-your-busyness chain of workers… Imagine them striving to build a welcoming place for the community. And then, boom 💥💥💥…one of those you were living & giving your all to and for sues you? Wwyd?

    Reply

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