Lawsuit Hits Denver Restaurant Group Over Equity Stakes

Owners should ensure equity agreements are clear to avoid disputes over financial disclosure and partner termination.

Updated on Oct. 30, 2026 in Openings & Closings

Bold flat-color editorial illustration showing a stylized building corner, evoking the tension of a legal dispute over business equity. — Former partner Alexander Comisar filed a lawsuit against Denver's Bao Brewhouse and operator Michael Swift, alleging wrongful termination after requesting financial disclosures. AI Illustration. Upload story photo >

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Former partner Alexander Comisar filed a lawsuit against Denver restaurant operator Bao Brewhouse and Michael Swift on October 27, 2026. The litigation alleges wrongful termination and disputes surrounding ownership stakes in the business following a request for financial records.

Why it matters

This dispute highlights the operational risks inherent in informal equity arrangements and the potential for friction when partners demand transparency regarding company financial health.

The legal filing references equity stakes ranging from 4% to 25% across multiple restaurant brands, alongside a cited $1,000,000 in debt carried by the Bao Tennyson location. The total universe of the dispute involves varying ownership offers and one proposed $385,000 buyout.

The players

Alexander Comisar

A former partner who claims he was terminated after seeking access to company financial records.

Bao Brewhouse

A Denver-based restaurant operator with locations including Larimer Square and Ball Arena.

Michael Swift

An operator and partner at the restaurant group who is named as a defendant in the lawsuit.

The details

The lawsuit claims that the plaintiff was terminated two weeks after submitting a written request for access to the restaurant group's financial statements. Comisar alleges that his ownership interest in Bao Tennyson was reduced from 25% to 20% to accommodate another partner, and that he later received an agreement replacing his equity interest with a bonus plan. Michael Swift, the operator, reportedly cited $1,000,000 in debt at the Tennyson location during business dealings.

January 2024: Comisar was offered a 4% equity stake in Bao Brewhouse.
February 2025: Comisar was offered a 25% stake in Bao Tennyson.
September 2025: Comisar was offered a 5% stake in the Dump'd brand.
January 2026: Comisar received an amended operating agreement.
October 27, 2026: Comisar filed the lawsuit against Bao Brewhouse and Michael Swift.

Market Landscape

This dispute marks a conflict over minority member rights within the framework of the Colorado Revised Uniform Limited Liability Company Act. It highlights the recurring tension between operational control by managing partners and the disclosure requirements expected by minority equity holders.

Operators should review their operating agreements to ensure clear protocols for financial disclosure and equity dilution exist before disputes arise. Consult with legal counsel to confirm that any transition from equity-based compensation to bonus plans is documented and mutually consented to.

The takeaway

The case serves as a reminder to formalize all partnership changes in writing to avoid future litigation over involuntary dissociation or ownership terms. Operators should track their equity distributions and debt disclosures against the specific terms outlined in their signed operating agreements.