The Potato Corner lawsuit is a federal trademark case in which Shakey’s Pizza Asia Ventures, Inc. (SPAVI), the Philippine company that bought the global Potato Corner brand in 2022, sued PCJV USA, LLC, the joint venture that had operated Potato Corner mall kiosks in the United States since 2010. A federal judge in Los Angeles ruled in November 2024 that SPAVI is the sole owner of the U.S. “Potato Corner” trademarks and ordered the American operator to stop using them. The Ninth Circuit affirmed that ruling in May 2025, and the U.S. stores rebranded as Undercover Fries.
Who Is Suing Whom
Potato Corner started in the Philippines in 1992 as a flavored French fry cart. In 2010, Guy Koren, who grew up in the Philippines and moved to Southern California in 1995, partnered with the brand’s Philippine owner (then Cinco Corporation) to bring it to the United States. Koren’s “LA Group” held 40% of PCJV USA, LLC and the Philippine “Cinco Group” held 60%. Koren became president and opened the first U.S. kiosk at Westfield Santa Anita in Arcadia, California. By 2015, PCJV was running close to 30 mall kiosks.1ICSC. Culinary Kiosks
The partnership fractured around 2017–2018. Cinco tried to take back control of the U.S. trademarks and remove Koren; Koren obtained a state court injunction in 2018 protecting his position as president. That state-court fight ended on May 28, 2024, when the Cinco Group agreed to transfer its remaining interests in PCJV and the related supply company PCI Trading LLC to Koren.2Supreme Court of the United States. PCJV USA v. Shakey’s Pizza Asia Ventures – Emergency Application for Stay
Meanwhile, in March 2022, SPAVI acquired Cinco’s global Potato Corner portfolio, including the U.S. trademark registrations. SPAVI has stated it did not acquire any interest in PCJV or PCI Trading themselves. Three days after Koren’s state-court settlement with Cinco, on May 31, 2024, SPAVI filed a federal trademark infringement lawsuit against PCJV, PCI Trading, and Koren in the U.S. District Court for the Central District of California. SPAVI asked the court to declare it the sole owner of three registered marks: the “Potato Corner” name, the tagline “World’s Best Flavored French Fries,” and the “Spudster” logo.3Ervin Cohen & Jessup LLP. Shakey’s Pizza Asia Ventures Inc. vs. PCJV USA LLC
What the Federal Court Decided
On November 14, 2024, U.S. District Judge Stanley Blumenfeld Jr. granted SPAVI a preliminary injunction, ruling that SPAVI is the exclusive owner of the U.S. Potato Corner trademarks and that PCJV has “no rights whatsoever” to the brand. Koren and PCJV were ordered to stop using all three marks.3Ervin Cohen & Jessup LLP. Shakey’s Pizza Asia Ventures Inc. vs. PCJV USA LLC
The central legal question was whether PCJV had a binding, long-term license to the marks. Koren argued that the Amended Joint Venture Agreement gave PCJV a perpetual license. The court disagreed, finding the AJVA was only an “agreement to agree” about a future Master License Agreement, not a binding license itself. A draft intellectual property agreement Koren pointed to was incomplete: only he had signed it, the royalty amount was blank, and the drafter’s notes were still in the document.4U.S. Court of Appeals for the Ninth Circuit. Shakey’s Pizza Asia Ventures v. PCJV USA, No. 24-7084
Instead, the court accepted SPAVI’s view that PCJV had been using the marks under an unwritten, revocable, at-will license from Cinco. Under federal trademark law, a licensee’s use of a mark benefits the licensor, so PCJV’s fourteen years of building the brand in American malls did not create independent ownership. The court set a $100,000 bond for the injunction; PCJV had asked for $100 million but produced no evidence to support that figure.4U.S. Court of Appeals for the Ninth Circuit. Shakey’s Pizza Asia Ventures v. PCJV USA, No. 24-7084
The Appeals
Koren and PCJV appealed and asked for an emergency stay, arguing that the federal court had violated the Full Faith and Credit Clause by ignoring the earlier California state court rulings that recognized Koren’s control over the U.S. trademarks. Both the district court and the Ninth Circuit denied the stay.2Supreme Court of the United States. PCJV USA v. Shakey’s Pizza Asia Ventures – Emergency Application for Stay
On December 27, 2024, PCJV filed an emergency stay application at the U.S. Supreme Court directed to Justice Elena Kagan. Four days later, on December 31, she denied it.5Supreme Court of the United States. Docket for 24A650 – PCJV USA v. Shakey’s Pizza Asia Ventures
On May 19, 2025, the Ninth Circuit affirmed the injunction in a memorandum opinion. Judges Owens, Bennett, and H.A. Thomas rejected the preclusion argument, holding that SPAVI’s trademark claims were not barred by the earlier state court case because the parties were different (Cinco, not SPAVI) and the legal claims were different. The panel also upheld the $100,000 bond.4U.S. Court of Appeals for the Ninth Circuit. Shakey’s Pizza Asia Ventures v. PCJV USA, No. 24-7084
Why the U.S. Stores Are Now Undercover Fries
With the injunction in force and every stay denied, the American kiosks could no longer use the Potato Corner name, the “World’s Best Flavored French Fries” tagline, or the Spudster logo. The operator rebranded to Undercover Fries and describes the name change as a temporary measure while the litigation continues. The company says the management team and product quality are unchanged.6Undercover Fries. Bio
On the other side, SPAVI has been converting former PCJV franchisees into licensees operating directly under its own franchise system. SPAVI’s counsel has described the injunction as clearing the path for a U.S. expansion of Potato Corner under SPAVI.3Ervin Cohen & Jessup LLP. Shakey’s Pizza Asia Ventures Inc. vs. PCJV USA LLC
Where the Case Stands Now
The federal case is still open in the Central District of California. After the Ninth Circuit affirmed the injunction, the parties moved into the merits phase. Multiple summary judgment motions were filed in September and October 2025, with hearings in November 2025. The court also issued orders to show cause on potential sanctions against defense counsel for untimely and deficient pretrial filings, and separately for what the court described as one attorney’s apparent abandonment of the case.7Docket Alarm. Shakeys Pizza Asia Ventures v. PCJV USA LLC Et Al
A docket entry labeled “Settlement” appeared in January 2026, but later entries through early 2026 show continued filings on jury instructions, exhibit lists, and witness lists, indicating the case is not fully resolved. As of June 2026, the case was reassigned because of the unavailability of a judicial officer.7Docket Alarm. Shakeys Pizza Asia Ventures v. PCJV USA LLC Et Al
The original California state court case has also seen new activity. In August 2025, the state court denied Koren’s motion to enforce the May 2024 settlement against the Cinco parties. Koren appealed in February 2026, and as of April 2026 the appellate record was still being prepared.8UniCourt. Cinco Corporation vs Guy Koren For now, though, the U.S. answer is settled at the injunction level: SPAVI owns the marks, and Potato Corner in America is operating as Undercover Fries.