84-year-old dining chain franchisee files Chapter 7 bankruptcy

Restaurant chains person faced hundreds of closings successful 2025, with immoderate operators forced to record Chapter 11 oregon Chapter 7 bankruptcy extortion to liquidate assets.

In immoderate cases, edifice chains unopen down each locations without filing for bankruptcy. That was the lawsuit with 88-year-old casual eating concatenation K&W Cafeterias, which operated 8 locations successful North Carolina and 1 successful Virginia.

The edifice chain, founded successful 1937, had grown to 35 locations earlier it started downsizing aft the Covid-19 pandemic successful 2020.

K&W Cafeterias, which was a fashionable Southern comfort-food, cafeteria-style edifice concatenation for decades, closed each 9 of its locations connected Dec. 1, 2025, with a connection connected its Facebook page, which has since been disabled. The company's website has been disabled, arsenic well.

• K&W Cafeterias founded 1937.

• Operates up to 35 locations earlier 2020.

• Closes remaining 9 restaurants connected Dec. 1, 2025.

The 88-year-old edifice chain’s website had included a farewell connection that it posted connected its locations’ beforehand doors.

“We are atrocious to denote that aft proudly serving this and galore different communities for years, K&W Holdings Group LLC volition beryllium closed permanently. All existing locations closed effectual 12/1/2025. We convey you for your enactment passim our years successful business. K&W Holdings Management.”

Several different casual edifice chains person filed for bankruptcy and shuttered locations this year. Italian edifice concatenation relation Bravo Brio Restaurants LLC, the genitor institution of fashionable upscale Italian edifice chains Bravo Italian Kitchen and Brio Italian Grille, filed for Chapter 11 bankruptcy for the 2nd clip successful 5 years connected Aug. 18, 2025, to reorganize its businesses and restructure debt.

Popular Mexican chain, Abuelo’s Mexican Restaurant, filed for Chapter 11 bankruptcy successful September 2025, blaming rising costs, labour issues, and declining sales. The institution had astir 40 locations astatine its peak, but had diminished to 16 restaurants erstwhile it filed for bankruptcy.

And present a franchisee of the 84-year-old fast-casual edifice concatenation Dickey's Barbecue Pit has filed for Chapter 7 bankruptcy liquidation to adjacent down a California location.

Elk Grove, Calif. franchisees Miguel Zarate Ortiz and Maria Zomeno Sevilla filed their petition successful the U.S. Bankruptcy Court for the Eastern District of California connected Dec. 8 listing lone $17,987 successful assets and astir $1.04 cardinal successful liabilities, the Sacramento Business Journal reported.