Trill Burgers files lawsuit against former managers
HOUSTON - Trill Burgers, LLC based in Houston has taken legal action against former managers Benson Vivares and Patsy Vivares.
The lawsuit unveils a series of troubling allegations regarding the defendants' misappropriation of company funds and breach of fiduciary duties.
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Trill Burgers, LLC, initially established in July 2021 as a pop-up restaurant concept specializing in hamburgers, quickly gained traction in the culinary scene with Houston’s own Bun B as a prominent restaurant figure. They also participated in various events including the Houston Livestock Show and Rodeo.
However, behind the scenes, the company faced internal challenges as its finances allegedly fell under the control of the defendants.
According to court documents, the defendants, who were among the initial managers of Trill Burgers, LLC, purportedly diverted business income through their now-defunct restaurant, Sticky's Chicken.
The lawsuit asserts that funds generated from pop-up events and the Houston Rodeo were funneled through the defendants, leading to significant financial discrepancies within the company.
Trill Burger (Photo: Dylan McEwan)
The situation came to a head in March 2022, according to court documents, when Patsy Vivares reportedly admitted via text message to using a substantial portion of the revenue from the Houston Rodeo to address debts related to Sticky's Chicken. This revelation marked the beginning of a tumultuous period for Trill Burgers, LLC, as subsequent financial disclosures failed to align with the company's actual income, indicating possible misappropriation of funds.
In response to mounting concerns, the company terminated its relationship with the defendants in July 2022, citing breaches of fiduciary duty and financial misconduct. Despite attempts to reach an amicable resolution through a separation agreement, the defendants allegedly ceased communication with Trill Burgers, LLC, and failed to return the misappropriated funds or relinquish control of vital company assets, including the trillburgers.com domain.
The lawsuit, which includes claims under the Theft Liability Act, fraudulent inducement, breach of fiduciary duty, and common law fraud, seeks to hold the defendants accountable for their actions and recover damages exceeding $540,000. Additionally, Trill Burgers, LLC, is pursuing exemplary damages to deter similar misconduct in the future, as well as reimbursement for attorney fees incurred during the legal proceedings.
As the legal process unfolds, the outcome of this case will undoubtedly impact the future operations and reputation of Trill Burgers, LLC, shedding light on the importance of transparency and accountability in corporate governance.
Click here to read the lawsuit or you can view it below: