Due to a variety of financial difficulties, an increasing number of struggling fast-food restaurant owners have filed for Chapter 11 protection during the past six months.

Over the last six months, a growing number of struggling fast-food restaurant owners have filed for Chapter 11 protection as a result of several economic constraints, including mounting debt from rising prices, including interest rates.

Franchisees of fast food chains have also experienced financial hardship due to a number of other problems, including shifting consumer behavior, labor demands, and economic difficulties. These merchants can use Chapter 11 protection to purchase time to restructure their companies, release themselves from crippling debt, and emerge from bankruptcy with a stronger balance sheet that enables them to go on as a going concern. 

While they are not declaring bankruptcy, some struggling restaurant groups are closing poorly performing outlets. Due to a movement in work paradigms towards hybrid work models, the vegan/vegetarian fast-casual restaurant chain Veggie Grill had to close six of its sites in California in June due to decreased demand for its fast-casual dining offerings.

Twelve sites in California, two in Oregon, two in Washington, and one in Massachusetts are listed on the company's website. 

Following three of its locations' high rents and poor sales, the company claimed it was ultimately compelled to file Chapter 11 after making fruitless attempts to negotiate lease concessions from its landlords.