YOUR BUSINESS AUTHORITY
Springfield, MO
A lawsuit between the business partners behind the Springfield-based construction company that builds 7 Brew Coffee locations has been dismissed.
Club 37 LLC, owned by 7 Brew founder Ron Crume and his wife, Lisa, filed suit in February against Lee Loveall and his wife, Leanna Loveall, for allegations they embezzled more than $2 million of company funds from Creative Modular Construction LLC.
Lee Loveall and Club 37 each own 50% of Creative Modular Construction, the company which locally manufactures the modular structures for 7 Brew Coffee.
The case was dismissed after private negotiations between both parties, according to court filings. A joint motion to dismiss the case was filed April 16 with Judge Derek A. Ankrom agreeing to the motion the following day.
Terms of the dismissal were not disclosed in court filings.
Emily A. Neal, a partner at Rogers, Arkansas-based Eldridge Brooks Partners, represented Club 37 in the case and confirmed this morning that the parties had resolved the dispute.
"I do not have authority to specifically respond to your questions beyond stating that the parties have resolved the matter,” she said via email.
Attorneys representing the Lovealls did not respond to a request for comment this morning.
The lawsuit, which was filed Feb. 6, stated Lee Loveall was removed as a member of CMC in January, but he refused to recognize the removal and continued to operate as manager.
The Lovealls were accused of allegedly diverting more than $2 million in company money for personal use, including family vacations, vehicles and unauthorized loans. The suit additionally claims records and accounting data were withheld or manipulated, which prevented a full audit.
J. Taylor White, a partner at Kutak Rock LLP, previously provided a statement on behalf of the Lovealls, who he is representing.
"The Lovealls vehemently deny the allegations contained in Club 37’s lawsuit and look forward to addressing the allegations at the next hearing if the case is not dismissed prior to that time," the statement reads.
CMC growth
In April 2024, Lee Loveall told Springfield Business Journal that CMC had completed 50 to 60 modular 7 Brew buildings, with expectations of finishing 100 that year.
At the time, Loveall said the company had roughly 140 employees. He was identified as the company’s CEO in SBJ’s 2024 interview.
"Our limitation to growth is our ability to manage everything, and we don’t want to grow too fast, but we are growing and we are providing a great product. Sky’s the limit, really," he said at the time.
Loveall also spoke of a planned multiphase, 160,000-square-foot facility for CMC near the Springfield-Branson National Airport off of Highway E. The company broke ground on the facility in September 2024, according to past reporting.
7 Brew has 703 shops in 38 states, including 43 locations in Missouri, according to its website. It’s unclear how many of those involved work by CMC.
“CMC is a commercial modular construction company and the dominant approved modular building manufacturer for the 7 Brew Coffee chain,” the lawsuit filed this month reads.
This installment of Springfield Business Journal’s Architects & Engineers Project Report showcases 26 endeavors by area design and engineering professionals.
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