Former Fargo Sandwich Shop Worker Sues Over Overtime, Discrimination

Korey Peterson alleges Taste of Philly subjected him to racial slurs and denied overtime pay

Apr. 18, 2026 at 2:37pm

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A high-end, photorealistic studio still-life photograph featuring a stack of neatly folded sandwich wrappers, a stainless steel spatula, and a crumpled pay stub on a clean, monochromatic seamless background, conceptually representing the abstract corporate issues of worker classification, overtime pay, and workplace discrimination.A lawsuit over alleged labor violations and discrimination at a Fargo sandwich shop exposes broader challenges facing the food service industry.Fargo Today

A former employee of the Taste of Philly sandwich shop chain in Fargo, North Dakota has filed a civil lawsuit claiming he was subjected to racial discrimination and a hostile work environment, as well as being denied overtime pay he was owed.

Why it matters

This case highlights ongoing issues around worker classification, overtime pay, and workplace discrimination that continue to be challenges for the food service industry. It also raises questions about the corporate culture and management practices at Taste of Philly's local franchises.

The details

According to the lawsuit filed in Cass County District Court, Korey Peterson claims his manager at Taste of Philly referred to him using racial slurs and that he was misclassified as a supervisor to avoid paying him overtime. Peterson alleges his actual job duties consisted primarily of non-exempt work like food preparation and cleaning that was performed under close supervision. The suit seeks compensatory damages for emotional distress as well as unpaid overtime and final wages, stating Peterson worked about 1,016 hours of overtime for which no overtime pay was provided.

  • The civil lawsuit was recently filed in Cass County District Court.

The players

Korey Peterson

A resident of Clay County who previously worked at Taste of Philly sandwich shops in the Fargo area.

Taste of Philly Development Co.

The defendant in the civil lawsuit filed by Korey Peterson.

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What’s next

Taste of Philly Development Co. has yet to file an answer to the lawsuit.

The takeaway

This lawsuit underscores the importance of proper worker classification, fair compensation, and maintaining a respectful workplace free from discrimination, especially in the food service industry where these issues have historically been problematic.