Turkey Leg Hut Files for Chapter 11 Bankruptcy: Navigating Legal Issues and Controversy in Houston

Turkey Leg Hut declares bankruptcy

The Turkey Leg Hut, owned by Nakia Holmes, filed for Chapter 11 bankruptcy on Tuesday, March 26. The decision came after a judge ordered Holmes and former co-owner Lyndell Price to pay over $900,000 to a former business partner, Steve Rogers.

The 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 owes $2 million in state tax revenue and is facing a lawsuit from its former business partner Steve Rogers. To address these challenges, the restaurant has 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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