8-K

      SECURITIES AND EXCHANGE COMMISSION
    
    Washington, D.C. 20549
    
    FORM 8-K
    
    CURRENT REPORT
    
    
    Pursuant to Section 13 or 15(d) of the Securities Exchange Act
    of 1934
    
    Date of Report (Date of earliest event reported): January 14,
    1997 (December 20, 1996)
    
    
    HUDSON'S GRILL OF AMERICA, INC.
    (Exact name of Registrant as specified in its Charter)
    
    
    California
    (State or other jurisdiction of incorporation)
    
    
    0-13642
    (Commission or File Number)
    
    
    95-3477313
    (IRS Employer Identification Number)
    
    
    16970 Dallas Parkway, Suite 402, Dallas, Texas 75248
    (Address of Principal Executive Offices)
    
    
    Registrant's telephone number, including area code:
    (972) 931-9743
    
    
    
    
    
    Item 5.  Other Events.
    
         Hudson's Grill of America, Inc. (the "Company"), a
    California corporation based in Dallas, Texas, announced that
    on December 30, 1996, it signed a franchise agreement with
    DATE, S.A., a corporation doing business in Guatemala.  The
    owners of DATE, S.A., are owners of other restaurants and bars 
    as well as other major businesses in Guatemala.  The new
    franchisee will have exclusive rights to develop Hudson's
    Grill restaurants in Guatemala.  The first location will be in
    Guatemala City and is expected to open in February 1997 in an
    area known as the "Zona Viva", which is a tourist and shopping
    area in Guatemala City.  This is the first international
    franchisee of the Company.  The Company's traditional concept
    will be adapted so that it will be more consistent with local
    values and tastes in Guatemala City.  In light of the new
    Guatemala franchisee, the Company will also pursue trademark 
    protection in Guatemala to protect its proprietary rights.
    
         The Company also announced that on December 20, 1996, it
    settled a lawsuit filed against it by Jordano's, Inc., a
    California liquor distributor, which lawsuit had been
    previously reported in 1996.  Jordano's had alleged that the
    Company was liable for the debt owed it by one of the
    Company's former franchisees.  The Company denied any
    obligation to Jordano's.  The settlement will be paid out over
    the next nine months but will not impact the Company's
    earnings because the Company had previously set aside an
    accounting reserve to cover this contingency.
    
    
    
    Item 7.  Exhibits.
    
         1.Press Release dated December 30, 1996, regarding the
    new Guatemala franchise.
    
         2.Press Release dated January 9, 1997, regarding the
    settlement of the Jordano's lawsuit.

    
    
    SIGNATURES
    
         Pursuant to the requirements of the Securities Exchange
    Act of 1934, the registrant has duly caused this report to be
    signed on its behalf by the undersigned hereunto duly
    authorized.
    
    Date: January 14, 1997
    
                               HUDSON'S GRILL OF AMERICA, INC.
                               Registrant
    
    
                                                             
                               s/s David L. Osborn
                               David L. Osborn
    
    f\sec\970108.O01
    

EX-99

        Hudson's Grill takes its 50's & 60's
        Americana Restaurant International
            
        First International Hudson's Grill to open in Guatemala
        City in February '97 
           
        Monday, December 30th, 1996
            
        Dallas, TX Hudson's Grill of America, Inc. announced today
        from their corporate offices, based here in Dallas, Texas,
        that it had signed its first international franchisee. The
        "late 50's and early 60's", Rock 'n' Roll, small town Hard
        Rock Cafe style, casual restaurant and bar operator and
        franchiser stated that a new international Hudson's Grill
        restaurant will open in Guatemala City, Guatemala, in
        February of 1997. The new restaurant is currently under
        construction.
            
        Thomas A. Sacco, senior vice president of Hudson's Grill
        of America, released the following information, "Hudson's
        Grill of America is very pleased to announce that DATE, S.A. has
        signed an exclusive franchise contract to become our first
        international franchise partner in Guatemala. This definitive
        agreement between DATE, S.A. and Hudson's Grill of
        America, enables Hudson's Grill to achieve its goal of becoming an
        international franchiser, in addition to being a national
        restaurant chain operator and franchiser in the U.S."
            
        DATE, S.A.'s partners are owners and operators of very
        successful restaurants and bars in Guatemala City. Their
        "Savoy" restaurant bar is one of the single most successful
        "in-spots" in Guatemala City, catering to international 
        tourists and the Guatemalan upper class. Mr. Arturo Matta, a
        principal in DATE, S.A., and his partners selected Hudson's
        Grill as their next expansion vehicle, after Mr. Matta came to
        the United States and visited a number of American franchisors
        this past summer. Matta and his partners felt that Guatemala
        is ready for true American casual style dining, and no one 
        epitomizes American casual dining better than Hudson's Grill.
        The Guatemalan Hudson's Grill will be located in the "Zone
        Viva", the tourist and shopping area of Guatemala City.
            
        Sacco noted that with the resurgent business economy in
        Central America, especially Guatemala, the Guatemalans have
        acquired a desire to eat American. Guatemala City is currently
        undergoing a major transformation. A new Marriott Hotel, a new
        Inter-Continental Hotel, as well as a new TGIFriday's, are all
        currently under construction in the Zona Viva sector.  Hudson's
        Grill is expected to open to a packed house. Sacco expects
        very few changes to be made to the Hudson's Grill menu, except
        for the addition of a few local fresh grilled seafood items.
        The Hudson's Grill restaurant will cater to international
        tourists and business travelers, as well as, the Guatemalan 
        upper class. The Hudson's Grill decor will be somewhat more
        upscale due to the demographic profile of the customers it
        will be catering to, as well as the very unique and temperate
        climate in Guatemala. Open-air dining will play a major role
        in the Hudson's Grill restaurant design. DATE, S.A. will
        import all the proprietary and essential menu ingredients from
        the U.S. to insure that every guest has a first hand American
        experience when they dine in Guatemala City at Hudson's Grill,
        from the sizzling fajitas, and mouth watering hamburgers, to
        the almost world famous ice cream mud pies.
           
        Hudson's Grill continues to build corporate restaurants and
        franchise their 4500 square foot "BURGERS * SHAKES * ROCK 'n'
        ROLL" Americana restaurant and bar concept across the U.S., as
        well as, entertain serious franchising inquiries from Canada,
        Mexico, Central and South America, Europe and Pacific Rim
        countries.
        
        Hudson's Grill of America, Inc., celebrating its 11th year of
        operation, is publicly traded on the NASDAQ Bulletin Board,
        under the symbol HDSG.
        
                                Exhibit 1
            
              
    

EX-99

          
        Hudson's Grill Announces Settlement
        
        Thursday, January 9, 1997
        
        
        Dallas, TX - Hudson's Grill of America, Inc., announced today
        from its corporate offices, based in Dallas, Texas, that it
        had settled its case with Jordano's, Inc., a liquor
        distributor in California.  The Company announced that the
        case would be settled with a down payment and a payout over
        several months with no interest.  Neither party admitted any
        liability to the other.  The suit had alleged that the Company
        owed Jordano's for a debt incurred by one of the Company's
        former franchisees that operated the Pomona, California
        Hudson's Grill.  The Company had denied any obligation to
        Jordano's.  Each party bore its own costs and attorney's fees.
        
        
        
        Hudson's Grill of America, Inc., is celebrating it's 10th year
        of operation, and is publicly traded on NASDAQ under the
        symbol HDSG.
   
        
        
                              Exhibit 2