Capriotti settles lawsuit following promotion
January 18, 2013 - 2:04 am
Capriotti's Sandwich Shop Inc. has settled its lawsuit that sought the ouster of a local franchisee after a misguided promotion with a strip club.
Terms of the settlement were not disclosed.
The Las Vegas-based chain will file settlement papers in U.S. District Court by Feb. 11. This followed a successful settlement conference on Jan. 10 overseen by Magistrate Judge Carl Hoffman.
In November 2011, Capriotti's terminated the franchise at 7291 S. Eastern Ave., owned by Taylor Family Holdings Inc. after hearing about a promotion with the nearby Crazy Horse III. The club offered a special on sandwiches during the normally slow lunch time.
Capriotti's contended that a tie with adult entertainment violated their system rules and had drawn complaints from other franchise owners. Store owner Natalie Taylor testified last year that she was unaware of the promotion, although Capriotti's CEO Ashley Morris did not believe her.
At an October hearing, U.S. District Judge Miranda Du noted that the two had known each other for several years both at professional and social levels, leading her to call in Hoffman as a mediator rather than rule on the case.
Contact reporter Tim O'Reiley at
toreiley@reviewjournal.com or 702-387-5290.