Papa Murphy's franchisees sue as company preps IPO (Forbes)
A group of more than 20 franchisees who collectively own more than 60 Papa Murphy’s Take ‘N’ Bake Pizza restaurants is suing Papa Murphy’s International LLC. The franchisees take issue with the company's alleged lack of disclosure and excessive marketing fees. The franchisees are seeking more than $20 million in damages.
—Marcella Veneziale
Houlihan’s, Miami Subs introduce new prototypes (press release)
The Houlihan’s casual-dining brand and the Miami Subs fast-casual chain will update their brands with new restaurant prototypes, the companies said in press releases. Houlihan’s new, smaller model was developed in four test markets last year. Houlihan’s has nearly 100 locations and is targeting 10 percent to 15 percent unit growth over the next few years. Miami-based Miami Subs also is aiming for aggressive growth both nationally and internationally, including with a new concept prototype, Miami Grill.
—Mark Brandau
Quiznos settles dispute with defunct franchisees (Denver Post)
Quiznos, which filed for Chapter 11 bankruptcy protection in March, has agreed to settle ongoing lawsuits with a dozen defunct franchisees that have agreed to drop around $40 million in claims against the Denver-based chain. The 12 lawsuits were offshoots of a class-action lawsuit settled earlier. Some franchisees declined to participate in the earlier settlement.
—Lisa Jennings
Kids' menus dodge better-for-you movement (Food Genius)
Despite advocacy for healthful items on kids' menus by everyone from the National Restaurant Association to the White House, restaurants are falling short on that front, according to menu research firm Food Genius. Burgers, fries and pizza continue to dominate menus intended for young customers, the firm found. The most frequently mentioned vegetables after potatoes are the common burger toppings tomato and lettuce.
—Bret Thorn
Carrabba’s co-founder arrested (New York Daily News)
The co-founder of the Carrabba’s restaurant chain was arrested in connection with thefts and threats at Texas winery.
—Ron Ruggless