The fast-food restaurant segment has struggled to recover from the fallout from the the Covid-19 pandemic, leading several restaurant chains to file for bankruptcy.

Taco Bell and Chipotle rival Tijuana Flats Restaurants on April 19 filed for Chapter 11 bankruptcy in the U.S. Bankruptcy Court for the Middle District of Florida, sold the company to a new ownership group and closed 11 of its locations.

Related: Another popular gin and vodka company files Chapter 11 bankruptcy

The chain’s new owners, Flatheads LLC, purchased the restaurant chain from TJF USA LLC with plans to revitalize its restaurants and reinvigorate the customer experience, the company said in a statement.

Another chain, New York-based chicken fingers fast-food chain Sticky’s, filed for Chapter 11 bankruptcy on April 25 to reorganize its business after suffering financial distress from reduced traffic following the Covid pandemic, rising commodity prices, and lawsuits.

In some cases, a restaurant chain reaches the end of the line without much notice, as the owners of Foxtrot and Dom’s Kitchen & Market, Outfox Hospitality, on April 23 filed for Chapter 7 bankruptcy liquidation and shut down all 33 of its locations across the country.

Finally, we have a situation where a chain filed bankruptcy to reorganize, but had to shut down locations when it’s restructuring didn’t work out.

Popular ramen chain shutters in bankruptcy

Boxer, a popular Portland, Ore., ramen chain, shut down all four of its locations on April 29 almost three months after filing for Chapter 11 protection seeking to reorganize.

The debtor filed bankruptcy after it was not able to recover from the devastating financial distress from the Covid-19 pandemic. A January 2023 ice storm, which froze business in Portland for about five days, was reportedly the last straw for the debtor. 

A Nashville, Tenn., restaurant investor Angelo Lombardi of Comfort Food Group had provided a $300,000 loan to the debtor in 2023 and hopes to be involved in the restructuring to turn around the company and help it thrive, Willamette Week reported.

Boxer’s owners posted a farewell message to customers on its website after it shut down operations:

“It is with a heavy heart we announce that after 11 years of serving you our unique brand of Ramen, we have sadly closed our doors for good.

“The heavy challenges that we all faced as a community during the pandemic, compounded with inflated costs of goods and services, has not only profoundly affected our restaurant, but all of us and our community as a whole. Despite the tireless efforts and dedication of our incredible team, and the unwavering support from all of you, it has become impossible to continue operating.

“We thank all of you that took this journey with us. You truly are our family and we will miss each and every one of you dearly.”

Related: Historic grocery chain files for Chapter 11 bankruptcy

Burger chain SuperDeluxe, which operates three locations in Oregon, was included in the Feb. 8 bankruptcy filing. SuperDeluxe and Boxer’s parent company MMMco., which is owned by Micah Camden, closed two of the burger chain’s restaurants because they did not have drive-thru service, according to Willamette Week, but SuperDeluxe’s locations in Southeast Portland, Sherwood and Bend, Ore., are listed on its website as open.

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SuperDeluxe serves both beef and vegan burgers, chicken sandwiches and chicken nuggets, fries, breakfast egg and cheese sandwiches with avocado, bacon and sausage options, hash browns and a variety of soft drinks and shakes.  

The two restaurant chains reportedly employed about 240 workers before the bankruptcy filing. MMMco. also operates restaurant brands Kinnamons and Baes Chicken, which are not included in the bankruptcy.

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