A former president and CEO of the Black Angus restaurant chain -- who alleges he was fired in 2021 for demanding a $1 million bonus owed him after the sale of the company, then denied nearly $450,000 in severance pay due him upon his termination -- has dropped his lawsuit.
Attorneys for plaintiff Christopher Ames filed court papers on Friday with Los Angeles Superior Court Judge Michael Small asking that their client's lawsuit be dismissed "with prejudice," meaning it cannot be refiled. The court papers did not state if a settlement was reached or if Ames was no pursuing the case for other reasons.
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Ames filed the suit in September 2021 against Black Angus Steakhouses LLC and his allegations included wrongful termination, breach of contract and violations of the state Labor Code. The judge dismissed many of the allegations in the case in May.
In their court papers, restaurant attorneys argued that "contracts matter" and that Ames' "myriad causes of action based on the allegation that he was wrongfully denied a sales incentive bonus and severance fail under the express terms of the governing contracts, to which he knowingly agreed."
Based in Sherman Oaks, the Black Angus restaurant chain was founded in 1964 by restaurateur Stuart Anderson.
Ames, a "successful, dedicated and hard-working employee of Black Angus," was its president and CEO for nearly seven years and his employment contract provided for a $1 million bonus if Black Angus was sold or there was a change of control of the company during his employment, the suit stated.
When Ames was hired as CEO in September 2014, Black Angus was a wholly- owned subsidiary of Taurian BA Holding LLC, according to the suit. In August 2020, that company sold, assigned and transferred 100% of its interest in Black Angus to Ursian BA Holdings LLC, the suit stated.
"This was a sale of Black Angus and, at the very least, a change of control as those terms are defined in the applicable agreements," the suit stated. "Yet, Black Angus refused to pay Ames his contractual bonus."
Ames filed a demand for arbitration in July 2021 to enforce his rights under his agreement with Black Angus, but rather than engage in the arbitration in good faith, Black Angus failed to pay the arbitration fee, forfeiting its right to litigate in that forum, the suit stated.
"At the same time, shockingly, Black Angus retaliated against Ames by terminating his employment and refused to pay Ames his severance and other wages owed at termination because Ames refused to release his then-pending claims in arbitration," the suit alleged.
Ames was entitled to a severance payment of about $445,578 after being fired, but Black Angus conditioned the payment on the plaintiff signing an agreement releasing the company from the claims submitted by Ames in arbitration, including the restaurant chain's alleged violations of the state Labor Code, the suit stated.
Ames responded to Black Angus with proposed amendments carving out his then-pending claims in arbitration, but the company sent him a letter rejecting his proposals as unacceptable, according to the suit.
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