More hard times for Hardee’s.
After closing dozens of locations last year, a large franchisee for the Southern-style dining brand is now seeking Chapter 11 protection, the latest unfortunate development in a year that has seen numerous bankruptcies related to chain restaurants.
Phoenix-based Superior Star LLC, which at one point operated more than 90 Hardee’s locations, told a bankruptcy court this week that it faced a mountain of unforeseen maintenance, repair, and tax costs immediately after it purchased the establishments from another franchisee in 2023.
It claims that some of the Hardee’s restaurants it purchased were operating within “aged physical facilities” that deterred customers from dining at them, and it accuses the selling franchisee of misrepresenting and omitting certain details relating to the sale, according to court filings.
The seller, StarCorp LLC, did not respond to multiple requests for comment.
Since the sale more than two years ago, Superior Star has significantly culled its physical footprint—it’s down to 59 Hardee’s locations—and is now seeking to restructure its operations.
Which Hardee’s locations have already closed?
In a court filing on Tuesday, Superior Star said it closed 30 Hardee’s restaurants last year. It is now seeking to terminate leases and reduce so-called dark costs associated with the shuttered locations.
The Hardee’s restaurants that closed were spread across seven states: Ohio, Minnesota, North Dakota, Iowa, Kentucky, Indiana, Missouri.
Most of the restaurants were closed in November and December 2025. Local media outlets covered some of the closures at the time, with some reports suggesting the process was abrupt, and that store employees were left blindsided.
The restaurants were located in the following cities:
- Columbus, OH
- Fairmont, MN
- Fargo, ND
- Le Mars, IA
- Louisville, KY
- Madison, IN
- Mankato, MN
- Mankato, MN
- Middletown, OH
- Paducah, KY
- Sikeston, MO
- Sioux City, IA
- Sleepy Eye, MN
- Springfield, IL
- West Fargo, ND
- Willmar, MN
- Mattoon, IL
- Anna, IL
- Benton, IL
- Centralia, IL
- Fredericktown, MO
- Marion, IL
- Paris, IL
- Danville, IL
- Elizabethtown, KY
- Marshall, MN
- North Vernon, IN
- Ottawa, IL
- Sioux City, IA
- Spencer, IA
Will additional Hardee’s restaurants close?
It’s unclear if additional Hardee’s closures are expected as a result of Superior Star’s Chapter 11 proceedings. A lawyer for the company did not respond to a request for comment.
A spokesperson for Hardee’s Restaurants said it was aware of the bankruptcy but did not directly respond to a question about potential closures when reached by Fast Company.
“Superior Star’s decision to file is based on its own specific financial and business circumstances,” the Hardee’s spokesperson said. “We remain focused on continuing to strengthen the Hardee’s system and deliver quality experiences for our guests.”
The bankruptcy case was filed in the Western District of Kentucky, where more than 14 of Superior Star’s restaurants are located, according to court filings.
Why does this sound familiar?
This is not the first time in recent memory that a major Hardee’s franchisee has faced existential troubles. In December 2025, Georgia-based franchisee ARC Burger closed 77 Hardee’s restaurants in the wake of a long-simmering legal dispute with the restaurant brand. ARC later filed for Chapter 7 liquidation.
Hardee’s is owned by privately held CKE Restaurants, which also owns the Carl’s Jr. fast food chain.
As Fast Company reported in April, Hardee’s began to quietly reopen some of ARC’s locations earlier this year. At the time, the brand said it was part of a plan to reopen about 40 of the shuttered restaurants and operate them as corporate-owned stores.
Still, Hardee’s has not exactly been growing its broader footprint in recent years.
According to its recent franchise disclosure document, Hardee’s had 1,287 locations at the end of its 2026 fiscal year, 107 fewer locations than it had two years earlier. The vast majority of Hardee’s restaurants are franchised.
Over the last seven months or so, franchisees for a number of well-known fast food chains have sought Chapter 11 protection, including operators of Popeyes, Subway, and Carl’s Jr. restaurants.
This story is developing and may be updated…
