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On Tuesday, March 26, the Turkey Leg Hut declared bankruptcy with owner Nakia Holmes announcing plans to “reposition” the business. The filing took place in the 127th Judicial District Court in Harris County following a mysterious fire at the restaurant’s office and a court order for Holmes and ex-spouse Lyndell “Lynn” Price to pay over $900,000 to former partner Steve Rogers.

Rogers, who owns Bar 5015, sued for $1.5 million in February 2023 but only received around $600,000 before payments stopped. During a court hearing, a trustee was appointed to seize assets to pay the outstanding debt. With the bankruptcy filing, collection efforts will stop, including the $2 million owed in state taxes to the Texas Comptroller of Public Accounts.

In a statement on Instagram, Holmes explained that the Chapter 11 filing was part of efforts to reposition the business by continuing discussions with financial stakeholders and seeking approval to continue operations. Since its opening in 2016, the Turkey Leg Hut has been a popular spot marred by controversies around race, gentrification, lawsuits, fires, and staff conflicts. The story has been updated to include a statement from owner Nakia Holmes.

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