The Turkey Leg Hut Files for Chapter 11 Bankruptcy amid Financial Troubles and Legal Battles

Turkey Leg Hut declares bankruptcy

Following a judge’s ruling, the Turkey Leg Hut has filed for bankruptcy on Tuesday, March 26. The restaurant, owned by Nakia Holmes and former co-owner Lyndell Price, owes over $900,000 to a former business partner. The filing took place in the 127th Judicial District Court in Harris County.

The strange circumstances surrounding a fire at the restaurant’s business office and ongoing legal issues have led to financial troubles for the Turkey Leg Hut. In a court hearing on Tuesday, a receiver was appointed to handle the restaurant’s assets and funds to help pay off debts.

The Turkey Leg Hut is facing debt of $2 million in state tax revenue and a lawsuit from former business partner Steve Rogers. With these challenges, the restaurant decided to file for Chapter 11 bankruptcy. This move will put a stop to collection efforts while the restaurant continues discussions with financial stakeholders to reposition the business.

Since opening in 2016, the Turkey Leg Hut has faced controversy and legal battles, becoming a focal point for discussions on race and gentrification in Houston. Despite these challenges, the restaurant remains a popular spot in the community.

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