Plenty of American chicken chains are thriving in 2024 withstrong salesand plans toopen dozensor evenhundreds of new locations.
A series of legal issues haven’t helped matters either.
The chain is also facing a trademark infringement lawsuit from the barbecue company Sticky Fingers,QSR Magazinereported.
Sticky’s Finger Joint / Facebook
These legal battles have resulted in additional financial strain for the struggling company.
However, the Chapter 11 filing could allow Sticky’s to reorganize its debts and stay in business.
The business already has two potential buyers lined up, CBS Newsreported.
Sticky’s Finger Joint / Facebook
After struggling with high food and labor costs andsignificant operating losses, Red Lobster may also be nearing bankruptcy.
However, the sources said a final decision on bankruptcy has yet to be made.
