Popular Concord restaurant Lima closing end of December following 'Ladies Night' lawsuit

CONCORD, Calif. (KGO) -- A family-run restaurant is reportedly shutting down because it held a "ladies' night" promotion and had to settle a discrimination lawsuit.

Now, due to financial concerns, the owner of Lima in Concord says it is forced to close at the end of the year.

The sign on the door makes the closure clear while inside, customers are enjoying one last cocktail and one more meal at Lima.

"It's just sad. It's just so sad," said Cindy Wright from Bay Point.

The family-run restaurant in downtown Concord has been around for nearly nine years and is now set to close permanently at the end of the month.

"I mean, I love this place. It's like family to us," Cindy said.

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The owner told ABC7 News they haven't been able to fully bounce back from the cost of settling a recent discrimination lawsuit related to discounting drinks for women on its "Ladies' Night."

"It's a frivolous lawsuit that took us down. It's just ambulance-chasing lawyers," said John Marquez, chef and owner at Lima restaurant.

Several similar lawsuits have been filed throughout the country, taking aim at variations of "Ladies' Night."

Earlier this year in Fresno, its minor league baseball team was sued over a "Ladies' Night" promotion.

"It was exactly that discrimination over 'Ladies' Night,'" Marquez said.

"Did it surprise you? Were you shocked by that?" asked ABC7's Tara Campbell.

"It was a lot. I see ladies' night everywhere and out of the state, so yes, I was shocked by it," Marquez said.

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According to the state, gender-based promotions like "Ladies' Nights" can land businesses in legal trouble, violating California's Civil Rights Act.

At Lima, the cost of the lawsuit just piled onto an already tough time with high inflation driving up the cost of getting these meals to the table.

"With restaurants, the profit margins are razor-thin, and stuff like this does not help businesses at all. I don't know what should be done about it, maybe the city or state should change some rules to help out small businesses in the community," Marquez said.

And some of its customers agree.

"It's very sad to see a lot of family-run places in downtown Concord disappearing and replaced by corporate chains that can pay the high rent and it's not the same," said Phil Quinlen of Concord.

And it won't be the same for the servers or staff here, soon to be out of a job.

"I'm really, really disappointed and sad. I was getting really accustomed to the community and knowing all the regulars that come to the restaurant and a lot of them came today to say goodbye because they will be travelling for the holidays," said Butch Madayag, a server at Lima.

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The regulars are fitting in as much time as they can before the doors close on Dec. 31.

"I don't know about all the laws and how these things work out, but this is going out of business for that reason. I don't know, it's just sad. There's a lot of people that come here and enjoy this place and this is end of it," said John Wright from Bay Point.