Chino Hills-based Roll-Em-Up Taquitos, which lists 10 locations in Central and Southern California, as well as one each in Las Vegas, Houston, Knoxville and La Vista, Nebraska, on its website, is facing lawsuits from disgruntled franchisees, one of which accused the chain of operating as a “ponzi scheme.” Additionally, the chain’s CEO and founder, Ryan Usrey, is being sued for allegedly failing to make payments on a car that he purchased in the company’s name — a $415,000 Ferrari.
The fast-casual Mexican chain, which was founded in 2019 and began offering franchising opportunities in 2021, is up against multiple allegations. In 2024, New Mexico franchisees FMP Ventures and Reserve Industries filed a lawsuit against Roll-Em-Up Taquitos, in which they accused the company of breach of contract for failing to make payments on the rights to their franchise and instead selling it to a different business. Roll-Em-Up countersued, alleging that the franchisees had failed to operate the business properly and allowed drugs to be sold at the location.
But that’s just the tip of the taquito iceberg: In 2025, another group of franchisees filed a lawsuit to the Superior Court of California, Riverside County, accusing the company of being a “Ponzi scheme masked in the guise of a restaurant franchise operation” that used money from franchisees to fund the parent company and recruit additional franchisees. It also stated that the company “gave fraudulently inflated performance numbers” to attract prospective franchisees…