Wendy's Franchisee Meritage Hospitality Files For Chapter 11 Bankruptcy

According to CNBC, Meritage Hospitality, one of Wendy's largest U.S. franchisees, filed for Chapter 11 bankruptcy protection on Thursday. The company said it is seeking to strengthen its balance sheet and plans to keep its restaurants open during the restructuring. Meritage operates 314 Wendy's restaurants across 15 states, along with one Bojangle's location and five independently branded stores. In a filing with the Bankruptcy Court of the Western District of Michigan, Meritage estimated assets of $10 million to $50 million and liabilities in the same range. Quality Is Our Recipe LLC, Wendy's franchise business, is listed as the top unsecured creditor with a $24.9 million claim for deferred franchise fees.