Chicken chain with 3 Puget Sound locations has closed, owes thousands in rent, taxes
A piri piri chicken restaurant with locations in Seattle, Bellingham and University Place has closed after failing to pay tens of thousands of dollars in rent and state taxes, according to several lawsuits filed in three counties.
Galos Flame Grilled Chicken has been involved in legal disputes with The Terminal at Ballard since 2022, the same year the company opened a big, new outpost at The Village at Chambers Bay in the Tacoma area. Its Bellingham restaurant, which debuted in 2020, also failed to pay rent, leading to a judgment of more than $111,000, including fees, in Whatcom County Superior Court in October.
In Pierce County, the University Place restaurant was evicted late last year following a lawsuit first filed in March alleging failure to pay rent, court documents revealed.
At all three locations, the Washington state Department of Revenue has sued to recoup more than $25,000 in unpaid taxes.
Gursharan Singh Atwal, also known as Canny Atwal, and Lakhbir Atwal with their spouses and Nirmal Singh Athwal, also known as Nick Athwal, and Harjeet Kuar Atwal with their spouses were ordered to pay nearly $40,000 on March 24, 2023, for breaching their lease with New World Investments, whose NWI WA4 LLC owns the property at 3556 Market Place Way West.
The large commercial plaza is also home to Whole Foods and the City of University Place’s municipal building and public library. According to court documents, the restaurant’s rent was $7,373.33 per month.
In a phone call, Canny Atwal blamed the pandemic for slow sales and said they were seeking a new partner to level the Canadian company’s financial situation in pursuit of a rebrand.
“We’ve spent a lot of money,” he said. “That doesn’t mean we’re running away. ... We’ll deal with every case there is. For the time being, I’d rather clean up and make sure every debt is paid. Meantime we’ll get a third party and try to pull us out.”
Matthew Green, attorney for California-based New World Investments, confirmed that Galos had “defaulted in its rental payments,” which led to several notices and the eviction lawsuit.
Galos signed the lease in March 2019, according to court documents. Signage went up in 2020, and after a lengthy buildout that Canny Atwal said cost around $750,000, the fast-casual restaurant opened in March 2022. Within a year, the lawsuits say, the company had stopped paying rent.
On May 26, Galos denied breaching the lease in a response filed in Pierce County Superior Court. In August, the parties had agreed to attempt to negotiate a settlement, but in October, another complaint filed by the property owner claimed the restaurant continued to breach the lease and now owed more than $75,000.
In November, the court agreed. On Nov. 20, the Pierce County Sheriff’s Office posted a formal eviction notice on the restaurant’s front door.
First Western Properties in Tacoma manages some of the commercial units at The Village at Chambers Bay, including Galos’ space next to Bliss Creamery and Pure Barre. Reached by email, Josh Parnell, a partner of the Tacoma office, could not comment on the matter.
As of Jan. 2, he said they are hopeful to have “an exciting new tenant to announce soon.”
Speaking to The News Tribune in 2020, Nick Athwal said he and his business partners developed the Galos concept in 2017 after working with the internationally recognized South African chain Nando’s Peri-Peri and a Canadian company called Barcelos. The menu consisted of grilled chicken in various sauces served with sides or in wraps and salads. Reviews of the brand’s food were mixed.
The company’s Facebook page last posted on Christmas Eve, but as of January, the website announces, “We are temporarily closed!”
The University Place restaurant stopped serving in late October, while Seattle and Bellingham have been quiet since mid-December, Canny Atwal said.
Related to its Seattle restaurant, Galos Flame Grilled Chicken has an October trial date set for that landlord dispute.
This story was originally published January 3, 2024 at 5:00 AM.