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Popeyes' parent firm settles lawsuit

July 20, 2010

Diversified Foods & Seasonings Inc., based in Mandeville, La., has settled its lawsuit with AFC Enterprises Inc., umbrella company of 1,944 Popeyes Louisiana Kitchen restaurants, according to Alabama Local News, AI.com.

AFC sued Diversified in 2009, claiming the company wasn't providing its products at a fair or reasonable price. Diversified makes breadings, biscuit mix, cooked red beans and more for AFC.

In the lawsuit, AFC sought a ruling that would allow it to make recipe or formula changes to the affected items.

The settlement clarifies the firm's supply contract with Popeyes through 2029. Options for renewal are included.