A new lawsuit seeks to disrupt the sale of the Portland Trail Blazers to a group of investors led by Tom Dundon, according to media reports.
The lawsuit, filed Monday, seeks to bar Andrew Cherng, Peggy Cherng, and a related entity, from being part of the deal. The Cherngs are the founders of Panda Express and the Panda Restaurant Group. They emerged as a critical part of Dundon’s investor group in mid-September.
The lawsuit was filed in Delaware’s Court of Chancery, according to Law 360, which first reported the case. The suit was filed by RAJ Sports Holding LLC, owner of the Portland Thorns and Portland Fire, and a rival bidder for the Trail Blazers.
The group claims the Cherngs breached a confidentiality and exclusivity agreement when they became part of Dundon’s investment group.
It’s not immediately clear what impact the lawsuit will have on the sale of the Blazers.
This is a developing story and will be updated.