LOUISVILLE, Ky. — Pizza Inn
announced Dec. 14 it entered into a multifaceted settlement and agreement with PepsiCo, which sued the 380-unit chain for breach of contract.
According to a regulatory filing, PepsiCo sued Pizza Inn in October of 2005 for terminating a beverage supply contract, penned in 1998, before the chain met set purchase requirements.
Pizza Inn sources close to the story, who spoke confidentially, said PepsiCo was not meeting its store-level service requirements and that the pizza chain wanted out of the contract.
Under the terms of the settlement, Pizza Inn agreed to pay to PepsiCo $410,000, and both parties dismissed all claims and released each other from all pending and possible claims arising out of or in connection with the agreement.