What was the date the Dharod Action was filed concerning Cicis?
Cicis Franchise · 2025 FDDAnswer from 2025 FDD Document
*GCP Cici's, LLC v.
Sunil D.
Dharod, as Trustee of The Sunil D.
Dharod Revocable Trust, SSCP Management, LLC, and OnWin, LLC*, Case No.
DC-24-01196, District Court of Dallas County, Texas, filed January 23, 2024 (the "Gala Action"), and *Smiley Slice, LLC and Sunil D.
Dharod v.
Anand Gala*, Case No.
DC-24-03968, District Court of Dallas County, Texas, filed March 12, 2024 (the "Dharod Action").
These are related actions that present disputes by family members, Anand Gala ("Gala") and Sunil Dharod ("Dharod"), arising out of their acquisition and co-ownership of the Cicis Pizza brand.
The complaints allege that, following the acquisition of the Cicis Pizza brand, 30% of the ownership of Smiley Slice, the post-acquisition franchisor of the Cicis brand, was held indirectly and controlled by Gala, 70% was held indirectly and controlled by Dharod, and Gala was appointed as Smiley Slice's chief executive officer.
The plaintiff in the Gala Action alleges that Gala was not paid for his services as Smiley Slice's chief executive officer and that Dharod used his majority position to, among other things, amend Smiley Slice's operating agreement to require payment by Smiley Slice of an excessive management fee that diluted the value of Smiley Slice and to restrict the members' rights to invest in other restaurant opportunities independently of each other.
The plaintiff seeks unspecified damages, injunctive relief and costs based on claims of breach of contract, breach of fiduciary duty, fraud, and civil conspiracy.
On March 11, 2024, the defendants in the Gala Action denied the plaintiff's allegations, and Dharod asserted a counterclaim alleging that the plaintiff fraudulently misrepresented that it would present other restaurant investment opportunities to Dharod for potential participation.
Dharod seeks actual, consequential and exemplary damages and reimbursement of costs.
In the Dharod Action, Smiley Slice and Dharod allege that Gala (i) breached certain fiduciary duties while serving as CEO of Smiley Slice by acquiring other restaurant concepts without presenting the opportunity to Dharod and (ii) committed fraud by nondisclosure by requiring Smiley Slice's President to sign an agreement binding the company to a point-of-sale services contract with a vendor which Gala partially owned.
Dharod re-asserted the claims made in its counterclaim in the Gala Action and requested the same damages sought in the counterclaim.
On August 13, 2024, the Dharod Action was consolidated with the Gala Action.
On November 1, 2024 Gala filed a motion for partial summary judgment which was denied in full.
On December 17, 2024 Sunil D.
Dharod, as Trustee of The Sunil D.
Dharod Revocable Trust, SSCP Management, LLC, and OnWin, LLC filed a separate motion for partial summary judgment which was partially granted as to GCP Cici's claims against Dharod for (1) direct breach of contract under Section 6.12 and 7.1 and (2) civil conspiracy theory.
This consolidated action is currently scheduled for a jury trial beginning July 7, 2025.
Source: Item 3 — LITIGATION (FDD pages 10–11)
What This Means (2025 FDD)
According to Cicis's 2025 Franchise Disclosure Document, the Dharod Action, officially named Smiley Slice, LLC and Sunil D. Dharod v. Anand Gala, was filed on March 12, 2024. This legal action, as detailed in Item 3, is related to a dispute between family members, Anand Gala and Sunil Dharod, concerning their co-ownership of the Cicis Pizza brand following its acquisition. The document outlines that Gala held 30% ownership of Smiley Slice, the post-acquisition franchisor, while Dharod controlled 70%.
The Dharod Action alleges that Gala breached fiduciary duties while serving as CEO of Smiley Slice by pursuing other restaurant concepts without offering the opportunity to Dharod. It further claims Gala committed fraud by non-disclosure, compelling Smiley Slice's President to agree to a point-of-sale services contract with a vendor partially owned by Gala. In addition to these claims, Dharod re-asserted claims made in a counterclaim in the related Gala Action, seeking similar damages.
The Dharod Action was later consolidated with the Gala Action on August 13, 2024. Subsequently, on November 1, 2024, Gala's motion for partial summary judgment was denied. However, on December 17, 2024, a motion for partial summary judgment filed by Sunil D. Dharod was partially granted regarding claims against Dharod for direct breach of contract and civil conspiracy theory. The consolidated action is scheduled for a jury trial beginning July 7, 2025.