With the threat of holiday-related COVID-19 spread passed, restaurants across New York are reopening for indoor dining — except for restaurants in the state's biggest city. New York City restaurateurs are fighting back for their very survival. Seaport House owner and executive chef Kian Khatibi is pushing on with a lawsuit, filed in December, demanding immediate reopening of indoor dining.

Khatibi opened Seaport House, a seafood joint in the historic South Street Seaport district, on October 31 in the thick of the COVID-19 pandemic. Building out and opening a restaurant amid the pandemic was no cakewalk, but neither is operating.

"Right now, you know, we're running on an empty tank. Every day pays our bills. And that's about it," he said. 

The new restaurant got to enjoy less than two months of indoor dining, albeit at significantly reduced capacity, before New York Gov. Andrew Cuomo cracked down again. As of mid-December, indoor dining closed down again, indefinitely, as COVID-19 cases spiked across the state and nation. 

But the data behind the governor's decision didn't sit well with Khatibi, who is also a licensed attorney. According to data collected by the state, bars and restaurants are responsible for roughly 1.4 percent of new coronavirus infections. By contrast, the top contributor to spread, private gatherings, accounts for a whopping 74 percent of infections.

He decided to sue, arguing that indoor dining saves lives by giving people something to do other than gather in private homes.

"People are congregating," said Migir Ilganayev, Khatibi's co-council on the case. "By shutting down indoor dining, places that are safe, that are ventilated, that provide UVC lights in the ceilings, open windows — when you take that away from the people, especially during the holiday season, they'll find a place to go."

Although many cases questioning the constitutionality of lockdown orders have been slapped down by judges, Ilganayev said he thinks they have a chance because "numbers don't lie."

The case is heading to court for a preliminary injunction hearing on Jan. 21. 

The coronavirus pandemic has been devastating to the restaurant industry, which even in the best of times is a business with very slim margins. More than 1,000 restaurants have shut down permanently in New York City, alone, according to Eater

A relative newcomer to New York City's restaurant scene, Seaport House is getting by, thanks largely to an expensive outdoor seating installation. But even the optimistic Khatibi knows times ahead will be tough if indoor dining remains shut down amid winter.

"You know, we just have to make it to March," he said.

Share:
More In Business
Azelio's Bright Idea: Storage Solar Energy in the Long-Term to Save Money, Resources
Energy costs continue to rise, our electrical grid is outdated, and the focus on renewable energy is more important than ever. One company says it has an answer: pods that store solar energy for long-term, 24-hour usage that can also function as mini power grids and charge electric vehicles. Azelio's TES.PODs store solar energy during the day, and hold it for use around the clock, providing a solution for charging electric vehicles, powering rural areas, and much more. Jonas Wallmander, CEO of Azelio, joins Closing Bell to discuss the company's solar energy storage technology, how it can be used to power communities and build out electric vehicle charging infrastructure, and more.
Snap Launches News Product with Dynamic Stories Feature
Social media platforms are often flooded with unverified information, and many people use their news feeds as their main source of news. But Snap is working to set itself apart as it partners with global news outlets to launch Dynamic Stories. Vetted news content will be available for users on the Discovery tab, and news outlets will have an easy way to push content out and reach more people. Alan Wolk, Co-Founder and Lead Analyst at TVREV, joins Closing Bell to discuss Snap's push into news, how it will monetize clicks, whether or not another social media site will imitate the feature, and more.
Rent the Runway Beats on Earnings as It Blows Away Subscription Growth Numbers
Apparel e-commerce platform Rent the Runway posted a beat estimated revenue, and Barbara Doran, the CEO and CIO at BD8 Capital, joined Cheddar News to discuss the earnings report along with other topics affecting the market. "This is also a secular growth story because they do occupy a unique niche," she said of Rent the Runway. "They did identify an important need." Doran was impressed by the company's numbers in terms of subscription growth.
Tech Space Embraces the 'New Collar' Workforce
"New Collar" is a recent term coined for tech jobs that don’t necessarily require a degree but do need a specified technological skillset. Matt Calkins, CEO at cloud-computing and software company Appian, joined Cheddar News to discuss the latest. "This new collar movement is about switching the track you’re on and getting out to a higher value track, making the most of your skills," he said.
Load More