Red Lobster creditors sue former owner Thai Union over endless shrimp promotion |
Red Lobster creditors sue former owner Thai Union over endless shrimp promotion
The lawsuit, filed in Florida on behalf of creditors owed about $295 million, alleges Thai Union used the promotion to extract value from the chain
Bloomberg / Getty Images
Red Lobster creditors have filed suit against former controlling shareholder Thai Union Group, alleging the Bangkok-based seafood company used the chain's $20 all-you-can-eat shrimp promotion to funnel money to itself at Red Lobster's expense, according to Bloomberg.
The suit, filed last month in an Orange County, Florida court by a trust representing unsecured creditors owed about $295 million at the time of Red Lobster's 2024 bankruptcy filing, demands a jury trial to determine monetary damages. It also seeks to unwind $32 million in transactions the trust claims Thai Union and related entities compelled Red Lobster to enter into........