Historic Little Rock catfish restaurant Lassis Inn will remain in the hands of longtime owner Elihue Washington Jr. after a legal dispute with a would-be buyer.
Washington filed suit in July to void the sale of the restaurant to Kristian Nelson after learning about Nelson’s history of fraud. A judge this month approved a joint motion to dismiss the suit with prejudice, meaning it can’t be refiled, after Washington and Nelson agreed to settle the matter out of court.
Little Rock attorney Darren O’Quinn, who represented Washington, said the settlement “basically says that any contract claimed by Mr. Nelson regarding Mr. Washington/Lassis was null and void, and that Mr. Nelson has no interest in Lassis Inn.” Washington and Nelson “essentially, walked away from each other and returned to the status they held before ever meeting one another.”
Washington, who has owned the restaurant at 518 E. 27th St. for 35 years, signed an agreement with Warhorse Ranch LLC, an entity owned by Nelson. Under the deal, Washington would sell the assets of the restaurant, the right to trademark and franchise Lassis Inn, and the right to promote and market Lassis Inn for an “undisclosed amount.”
Washington’s lawsuit said that the 164-word agreement should not be considered a contract under Arkansas law and asked for a judgement declaring it invalid. The suit also said that Washington was unaware that Nelson faces a $43.6 million judgment for defrauding a Little Rock octogenarian of millions of dollars and had spent time in federal prison for wire fraud.
“Had Washington known Nelson’s background,” the suit said, “he would have never signed the purported contract.”
The lawsuit and a counterclaim filed by Nelson were dismissed Aug. 1.
Nelson did not return a message seeking comment. His business partner, Christopher Jones, said he would answer “general questions,” but did not respond when asked how he became involved in the failed acquisition. Jones had announced plans for “breathing life back into this Black historical Landmark” by renovating the restaurant and expanding its menu.
O’Quinn said he isn’t sure what Washington plans to do with Lassis Inn. Washington closed the restaurant about 20 months ago to undergo treatment for cancer. He did not respond to a phone call seeking comment.
Lassis Inn was founded around 1905 by Joe and Molassis Watson. It was a meeting site for Daisy L. Gatson Bates and other civil rights leaders in the years leading up to the desegregation of Little Rock Central High School in 1957.
Washington purchased the restaurant from the Watson family in 1989.
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