HOUSTON – In this timeline, we explore the legal sagas and controversies surrounding Turkey Leg Hut, a popular Houston restaurant. They filed for Chapter 11, bankruptcy, often referred to as a “reorganization” bankruptcy. The restaurant is open for business and accepting online reservations.
July 2021: Turkey Leg Hut made national news by implementing a new dress code policy. The Third Ward restaurant stated that this policy was necessary to ensure that all customers and staff were dressed appropriately. Owner Nakia Price mentioned receiving complaints from customers regarding the wardrobe choices of other guests.
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Dec. 2022: US Foods, a food service distributor, filed a lawsuit against the Turkey Leg Hut and co-owner Nakia Price. The lawsuit alleges that the restaurant owes US Foods over $1.2 million.
January 2023: Reports circulate about financial troubles at the popular eatery, Turkey Leg Hut.
Feb. 9, 2023: Steve Rogers filed a lawsuit against the Turkey Leg Hut and Nakia Holmes, seeking over $1 million in monetary relief. The lawsuit was a result of the defendant’s failure to fulfill a redemption agreement that was established on September 3, 2021. According to court documents, the redemption agreement was a comprehensive settlement and release package intended to resolve all outstanding claims between the parties. Rogers, who was an initial investor and owned a significant portion of the Turkey Leg Hut, had agreed to be paid $1,547,500 upon his departure from the company. For a year, the Turkey Leg Hut consistently made payments to Rogers, but they failed to make a scheduled payment in November 2022. In January 2023, they made a final partial payment to Rogers. The lawsuit emphasized the urgency of the situation, as the company was facing numerous claims from creditors. As a result, Rogers was awarded over $900,000 in the lawsuit.
Feb. 6: Lynn Price, one of the founders, and more than half of the business’s employees are reportedly fired.
March 9: A judge ruled that co-owner Lynndell “Lynn” Price and the Turkey Leg Hut in the Third Ward must pay $931,111.12, along with attorney’s fees and taxable court costs. Attorney Sean Roberts, representing Rogers, emphasized the urgency of the situation, noting that the restaurant was already facing pressure from creditors.
March 9: The Turkey Leg Hut’s business office catches fire in Houston’s Third Ward. Fortunately, no one is injured, but the place is extensively damaged.
March 26: The Turkey Leg Hut & Company, LLC. filed for Chapter 11 bankruptcy. When a bankruptcy petition is filed, all collection efforts must cease immediately under section 362 of the Bankruptcy Code. Turkey Leg Hut owner Nakia Holmes issues a statement expressing the company’s commitment to serving the Houston community during the Chapter 11 process. The restaurant seeks approval to continue operations while meeting obligations to stakeholders, employees, suppliers, and vendors. Holmes expresses gratitude to loyal customers and the greater Houston community for their support. The story of Turkey Leg Hut is ongoing, with the goal of making everyone proud.
Rogers was represented by Sean Roberts of Roberts Markland LLP who released the following statement to KPRC 2:
“When the judgment was reached earlier this month, we urged the courts to provide immediate relief given Turkey Leg Hut’s financial position,” expressed Markland. “However, the hearing on the receiver is automatically stayed now that Turkey Leg Hut & Company LLC filed Chapter 11 bankruptcy. There is a receiver in the federal system called a “Trustee” that will account for TLH’s assets and begin paying or making arrangements to pay all outstanding debts.”
March 27: The Turkey Leg Hut remains open and continues to accept reservations online.
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