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A Denver-based produce wholesaler has dropped its claims of non-payment against Alfalfa’s Market.

In filings to the U.S. District Court of Colorado on Thursday, Big Sky Trading LLC voluntarily ended its lawsuit against the grocer after the two parties settled out of court.

Big Sky sued Alfalfa’s last week, claiming that it was owed $76,019 for produce it supplied over the past three months. A judge temporarily restricted Alfalfa’s from making payments to other creditors until it paid Big Sky, citing a federal law that makes grocers of a certain size prioritize paying produce sellers if they buy food on credit.

Big Sky also claimed in its original lawsuit that the grocer was insolvent, which Alfalfa’s president Mark Homlish denied when reached by BizWest this week.

Alfalfa’s closed its longtime store in Boulder last week after the pandemic dramatically reduced the amount of foot traffic at the location. The building at 1651 Broadway was home to the first iteration of the Alfalfa’s brand.

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