Court rules for Raving in Mama Fu's suit

ATLANTA A U.S. District Court has ruled in favor of Raving Brands Inc. in a lawsuit filed against it last year by a group of franchisees of its former Mama Fu's brand.

The franchisees had accused Mama Fu's and Raving Brands executives, including chief executive Martin Sprock and president Daryl Dollinger, of misappropriating funds, racketeering, fraud and breech of contract, among other charges. The plaintiffs had sought damages and legal fees.

“Raving Brands is pleased with decision of the court and looks forward to focusing on the future growth of its franchise concepts,” said Roy Barnes, an attorney who represented the Raving Brands executives.

Raving Brands last March sold Mama Fu's [3] to a franchisee, Murphy Adams Restaurant Group.

Raving Brands, which has fallen on hard times in recent years, has divested several of its concepts, including its former flagship, Moe's Southwest Grill [4], to Focus Brands Inc. in 2007. Earlier this year, Raving agreed to sell its Planet Smoothie and Shane’s Rib Shack [5] concepts to private-equity firm Edmonds Capital LLC and the brands' management teams.

Atlanta-based Raving's portfolio now includes the Doc Green’s Gourmet Salads & Grill, Boneheads Grilled Fish & Piri Piri Chicken, and Flying Biscuit restaurant concepts, as well as the Monkey Joe's entertainment center chain.

Contact Elissa Elan at [email protected] [6].