Luxury Dining Group, owner of the Fig & Olive chain of high-end restaurants with sites in New York, Washington, D.C., and Los Angeles, filed for bankruptcy protection, blaming employee lawsuits and the pandemic, Bloomberg News reported. Majority owner Guillaume Fonkenell will work with company managers to decide which of the nine restaurants are still viable and could eventually turn a profit, according to court papers filed in New York on Friday. The company faces lawsuits related to a Salmonella outbreak that hit its Washington, D.C., and Melrose Place locations. The chapter 11 cases “were precipitated by certain accumulated losses and a series of employment related litigations, with their situation exacerbated by the COVID-19 crisis, forcing each of the restaurants to temporarily close,” the company said in court papers. With time and continued funding from Fonkenell, Fig & Olive can reorganize successfully, Luxury Dining Group said. The company has laid off more than 700 workers and currently has only 34 employees.
