Closed Restaurant Owes $177,244 in Unpaid Wages

Denver restaurant operators should treat final payroll and tip records as obligations that survive a closure.

Updated on Nov. 4, 2026 in Employment

Closed Restaurant Owes $177,244 in Unpaid Wages

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Denver Labor announced a $177,244 settlement for unpaid wages owed to 56 workers at the closed Wash Park Grille, with each worker receiving $2,093. The restaurant closed in February 2025, and the settlement covers full back pay for the 2024 holiday season plus 70% in damages, relevant to any Denver restaurant operator managing final wage obligations.

Why it matters

The investigation followed workers' complaints that they were left unpaid after the restaurant closed, and ownership refused to cooperate with the inquiry. The case shows that closing a business does not end wage liability, and that the city will pursue back pay even when owners are uncooperative.

The settlement totals $177,244 for 56 workers, or $2,093 each, covering full back pay for the 2024 holiday season plus 70% in damages. Denver Labor recovered $2.31 million in back pay and penalties from similar investigations in 2025.

The players

Denver Labor

The City of Denver's labor enforcement agency that investigates wage violations and recovers back pay for workers.

Colorado Department of Labor and Employment

The state agency whose Division of Labor Standards and Statistics participated in the wage theft investigation.

The details

Employees provided pay stubs, receipts and tips records during the investigation, and several workers filed complaints with Denver Labor after not receiving final wages. The city had already seized the restaurants for owing more than $30,000 in back taxes, which added pressure to the wage claims. The wage theft investigation targeted the ownership of Wash Park Grille and Agave Taco Bar, which closed for good in February 2025.

Timeline

  1. 2024 holiday season: back pay owed to workers accrued.

  2. February 2025: Wash Park Grille and Agave Taco Bar closed for good.

  3. 2025: Denver Labor recovered $2.31 million from similar investigations.

Market Landscape

Denver Labor's 2025 recovery of $2.31 million from similar investigations shows an active local enforcement pattern against employers who leave wages unpaid. This settlement extends that pattern to the hospitality sector, where closures can leave final paychecks and holiday-season tips unresolved.

Restaurant operators in Denver should treat final wages, back pay, and tip records as obligations that survive a closure. Owners who close should settle payroll and tip accounts promptly and retain pay stubs and tip logs, since those records are what workers used to support their claims.

The takeaway

Denver wage enforcement can reach a closed business and its ownership, so operators should keep payroll and tip records complete through any closure. Retain final pay calculations and consult a qualified employment attorney or accountant before winding down a business with outstanding wage obligations.

Further reading

For more on how wage claims and labor enforcement shape local hiring, explore Employment coverage.

Source note: This article includes information reported by Denver Westword.

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