MONEY

Does this look like a Cracker Barrel?

Brittany Horn
The News Journal

Settlement talks are underway between Cracker Barrel and local entrepreneur Alex Pires following a lawsuit filed in federal court last week alleging that a new Rehoboth Beach location for Jimmy's Grille looks too similar to the national chain restaurant.

Court documents show this photo of the newly constructed Jimmy's Grille location along Coastal Highway in Dewey Beach, which a lawsuit alleges is too similar to Cracker Barrel.

A letter filed in federal court Tuesday by attorneys representing Highway I Limited Partnership, which Pires leads, said the two parties are in "good faith settlement negotiations" following the filing of the 19-page lawsuit detailing the similarities between the two locations.

Pires declined to comment further Wednesday on the lawsuit.

Court documents show pictures of the Jimmy's Grille, currently under construction along Coastal Highway in Rehoboth, and note the resemblances between the new restaurant and the existing Cracker Barrel about two blocks away, including the same outside paint color, wood siding, slanted roof over the porch, Y shape front porch posts and overall layout of the building, among others.

"Specifically, Pires is quoted as saying 'The location will also feature a retail shop similar to Cracker Barrel in nature, but with local products' and noted that the new location would be “kind of like Cracker Barrel, but with alcohol," according to court documents.

Alex Pires . July 26, 2012

The lawsuit ultimately calls for a temporary restraining order to stop further construction, marketing and forward movement on the restaurant, according to court documents.

Long term, Cracker Barrel wants the outside of the restaurant changed and compensatory damages paid in full for misleading customers, according to court documents.

The parties have agreed at this point to extend the deadline for Highway I to respond to the temporary restraining order.

There are two other Jimmy's Grille locations in Bridgeville and Dewey Beach. Neither location looks like the newly constructed building and all three are vastly different in appearance.

Contact Brittany Horn at (302) 324-2771 or bhorn@delawareonline.com. Follow her on Twitter at @brittanyhorn.