Original owners of Shapley's announce return to restaurant amid - MSNewsNow.com - Jackson, MS

Original owners of Shapley's announce return to restaurant amid lawsuit

Mark Shapley, in a Facebook post, said the family is returning to the restaurant, which will remain at its Centre Street location. Source: WLBT Mark Shapley, in a Facebook post, said the family is returning to the restaurant, which will remain at its Centre Street location. Source: WLBT
RIDGELAND, MS (Mississippi News Now) -

The original owners of Shapley's have announced they are returning to the restaurant after selling it back in 1998.

The announcement came after filing a federal lawsuit against the group they leased the building and Shapley's name to. The suit states the agreement ends in June, and the group intended to take the business, and name, and open in the now vacant Ruth's Chris location at the Renaissance in Ridgeland.

RELATED: Ruth's Chris closes doors as Shapley's lawsuit wages on

In 1998, Shapley's entered into an asset purchase agreement with the defendant Koestler, Incorporated. According to the lawsuit, the agreement gave exclusive rights to use the name 'Shapley's' or 'Shapley's Restaurant' within a 50 mile radius of Jackson, for a term ending on the date the lease is terminated or if Koestler defaulted.

The lawsuit states the building was leased to the defendant for an initial term of 10 years with the option of renewal through June of 2018.

Plaintiffs claim they own the Shapley's service mark and claim the defendant fraudulently and inappropriately obtained a federal registration for the mark. The lawsuit suggests the Koestler group planned to to open a restaurant at the Ruth's Chris location and call it Shapley's.

But Wednesday, Mark Shapley, in a Facebook post, said the family is returning to the restaurant, which will remain at its Centre Street location. 

Copyright 2018 MSNewsNow. All rights reserved.

Powered by Frankly