Overview
- Hardee’s confirmed via statement that all restaurants operated by ARC Burger are closing, with some already shuttered and the rest expected to close by the end of 2025.
- The franchisor sued ARC Burger on Nov. 21 seeking more than $6.5 million, alleging missed royalties, advertising contributions, technology and training fees, rent, and taxes.
- The 77 affected locations are in Alabama, Florida, Georgia, Illinois, Missouri, Montana, South Carolina, and Wyoming.
- Court filings state ARC Burger began missing required payments in December 2024, prompting default notices under franchise and sublease agreements.
- This conflict comes alongside a separate case brought by Paradigm Investment Group against Hardee’s, which is set for a jury trial on March 30, 2027.