T.I. Says Previous Restaurant Owners Owe Him Millions
theJasmineBRAND.com exclusively reports, T.I. is back in court over his shut down ATL restaurant. The rapper and his business partners are accusing the previous owners of screwing them out of $1.7 million dollars, by having them spend a substantial amount to remodel the location — only to have them change the locks and kick them out as owners.
Scales 925 Atlanta LLC. – the company behind the rapper’s restaurant – filed suit against The Social Life Restaurant Group, The Venue Restaurant Corp. and Tyler Williams. The suit describes the defendants as owners/operators of a poorly run, financial ruined ATL club named Vibe.
Around 2014, the owners approached members of Scales 925 seeking investors, asking for money to pay off their numerous debts and promising a huge return. They invested $1.7 million dollars+ to pay off numerous debts and remodel the entire restaurant and reopen it as Scales 925 in June 2015.
The deal stated Scales 925 would be paid 75% interest in the net profits generated in the future from Vibe’s (or other named restaurant) operations. The defendants maintained 25% control and were responsible for managing the lease, dealing with the landlord and maintenance of all necessary licensing requirements for food and business licenses.
Both parties agreed to close Vibe for several months to significantly makeover the club and plaintiffs spent over $1.6 million to remodel.
The club re-opened as Scales 925 in June 2015 and the defendants continued to ask for more money than their deal promised. They agreed the owners of Scales 925 would not be in charge of daily operations and the defendants would continue to manage the restaurant. However, they worked out another deal in which T.I. and the other investors were to pay the defendants a weekly payment to the previous owners and eventually they would give up their 25% interest in the club.
However, the previous owners went behind the investors back and tried to work out a deal with the landlord that would kick Scales 925 out. They proceeded to, without consulting the plaintiff, change the locks on the club’s doors preventing them and their employees from entering.
The previous owners – in complete breach of their deal – are accused of entering into a deal with the landlord and another business investor that allowed them to take over control of Scales 925, screwing T.I. and the other investors out of a chance to recoup their $1.7 million investment they put into the remodel and to pay past debts of the club.
T.I. and his business partners are demanding an injunction prohibiting the defendants from operating a business at the location of Scales 925 and for all profits they have made to be turned over to them along with attorney fees, along with their $1.7 million they have yet to recoup.