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Faith & Flower, despite garnering plenty of acclaim and popular support, had a controversial partnership dispute toward the latter part of 2014. The drama had David Bernahl and his Coastal Luxury Management (1833 in Monterrey; Los Angeles Food & Wine; formerly Rose.Rabbit.Lie) against fellow partners (and former Towne owners) Cindy and Jeff Troesh. The disputes came about because of a supposed rent shortage, whereupon the Troeshes attempted to take ownership of the restaurant.
After a judge ruled in favor of CLM, which granted them operational control, Bernahl and the Troeschs had to come to some kind of buyout situation, even though the latter party seemed initially resistant. As of May 2015, CLM now has 100% stock ownership of Faith & Flower, according to a transfer agreement document. Though some management situations have shifted, chef Michael Hung is still in place. CLM released the following statement to signal that they're now ready for more concepts across LA:
Of course it's settling anytime you can put a challenge or disagreement to bed. CLM is elated to take 100% control of our award-winning Faith & Flower in Downtown Los Angeles. We are now focusing on the future of the restaurant while continuing to challenge ourselves to keep it fresh and exciting. With the legal issues behind us, we have already started to discuss laying the groundwork for upcoming LA based opportunities under the leadership of our core team, Chef Michael Hung and Frank Petitto. We're looking forward to some exciting new CLM projects coming to life in 2016.
UPDATE: The counsel for Cindy and Jeff Troesh and the Towne Restaurant, LLC have reached out to Eater to object to the characterization that they have transferred ownership of Faith & Flower to CLM at this time. Documentation provided by their counsel indicates that the option to repurchase membership interest in Faith & Flower remains available until CLM remits the full purchase price to the Troeshes and Towne Restaurant, LLC.
