The Palm Brand Owner to Stay in Bankruptcy Over Shareholder Row

The corporate owner of The Palm steakhouse brand should remain in bankruptcy to allow shareholders to settle their $125 million dispute, a Florida bankruptcy judge ruled.

Just One More Restaurant Corp. (JOMR), based in Naples, Fla., filed for Chapter 11 in March after minority shareholders won a $119 million judgment in a derivative suit against a group of majority shareholders—two grandsons of the two founders of The Palm.

The controlling shareholders, who had about 80% of the company, also owned most of the 24 Palm restaurants in the U.S. and Mexico.

Judge Caryl E. Delano of the U.S. Bankruptcy Court ...