The Original Saugus Café, Los Angeles County’s oldest restaurant, reopened Monday under new management, two weeks after its surprise closure that ended nearly 140 years of continuous operation.
At a Glance
- The Original Saugus Café reopened Monday after closing in December
- Previous operator Alfredo Mercado is suing the property owner for breach of contract and trademark infringement
- Mercado claims he was forced out after 25 years running the café
- Why it matters: The fight over the iconic Saugus Café name could decide who controls the historic brand
The reopening follows a turbulent month for the Santa Clarita landmark. Alfredo Mercado, who bought the restaurant in 1998 after working there as a bartender, shut the doors without public explanation. Now a lawsuit filed by Mercado against building owner North Valley Construction reveals the behind-the-scenes conflict.
Lawsuit Alleges Forced Exit
Mercado’s complaint accuses North Valley Construction of breach of contract and trademark infringement. According to the filing, Mercado operated the café under a “handshake, oral lease agreement” with previous owner Hank Arklin starting in 1998. After Arklin’s death, Mercado claims the new property owner pushed him out.
“Plaintiff never had any intent to close its business,” the lawsuit states, alleging North Valley Construction verbally ordered the Mercado family to vacate in late December.
The Mercado family says they were stunned to see the restaurant reopen so quickly.
“We truly thought that was the end of the Saugus Café,” said Jessie Mercado, a former operator.
Trademark Dispute Over Name

The family insists they own rights to the Saugus Café name and are prepared to defend it.
“If they have interest in our name, we’re willing to sell it. It’s truly unfair that they’re using it without our consent, without compensating us,” Mercado said.
North Valley Construction did not respond to News Of Los Angeles‘s request for comment.
New Operators Take Over
Despite the legal cloud, new operator Eduardo Reyna says he’s ready to honor the café’s historic legacy.
“They gave me the opportunity, and I get it. I’m going to try and do the best I can,” Reyna said.
The Original Saugus Café has served customers for nearly a century and a half, making it the oldest continuously operating restaurant in Los Angeles County. Its sudden closure and rapid reopening under new management marks a dramatic new chapter for the Santa Clarita institution.
Key Takeaways
- The Saugus Café reopened Monday under new management
- Former operator Alfredo Mercado is suing the property owner, claiming he was illegally forced out
- Mercado says he owns the Saugus Café trademark and wants compensation for its use
- The legal dispute could determine who controls the historic restaurant’s name and brand

