The law firms accuse Lodgian of accepting a price that is well below its inherent value. They also question whether Lodgian's board of directors breached their fiduciary duties by not shopping around the company before unanimously approving the acquisition agreement.

Lodgian announced Friday that it plans to merge with an affiliate of Dallas-based Lone Star Funds in a transaction valued at $270 million, including assumed debt. Lone Star, which specializes in distressed commercial real estate, is offering $2.50 for each outstanding share of Lodgian stock.

Lodgian shares rose 39% to $2.47 on Friday prior to the announcement and have traded at a range of $1.15 to $3.20 over the past year. Last November, the company posted a net loss of $36 million for the third quarter.

"We believe that Lone Star brings considerable real estate experience and financial strength to our assets, and we look forward to working with Lone Star to transition the business as smoothly as possible," stated Dan Ellis, Lodgian chairman and CEO. Company executives declined further comment beyond a news release.

Lodgian currently owns and manages 34 hotels with 6,400 rooms in 20 states. The merger with Lone Star is expected to be completed in the second quarter, subject to shareholder approval.