Chick-fil-A cries fowl, sues neighboring Panda Express

Nation's Restaurant News,  Jan 14, 2008  

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MOUNT DORA, FLA. -- The Chickfil-A chain has filed a lawsuit in a bid to block development of a Panda Express unit here because the Chinese-takeout chain allegedly sells more chicken than is allowed under Chick-fil-A's local occupancy agreement.

The Panda unit would be next door to a Chick-fil-A branch whose deed restrictions prohibit the site from being occupied by certain competing chains, according to media reports. Specifically banned, Chick-fil-A was said to be asserting, are units of KFC, Boston Market, Bojangles, Popeyes, Wendy's and other chains that generate at least 25 percent of their sales from chicken.

Atlanta-based Chick-fil-A reportedly sued the Rosemead, Calif.-based Panda Restaurant Group to halt construction. Neither company could be reached for comment.

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The Orlando Sentinel said a Jan. 7 hearing was scheduled to hear the complaint in federal court in Ocala, Fla.

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