Qdoba Franchise Operator Faces Closure of 41 Restaurants Due to Loan Default
A major Qdoba franchise operator, The Integritty Group (TIG), is facing the potential closure of 41 restaurants after defaulting on a $20 million loan from Bank Midwest. According to court documents filed in August 2026, TIG has left approximately $18.3 million in outstanding debt and failed to inform its lender about a serious liquidity problem or an agreement to terminate the franchise contract with Qdoba. The bank is seeking judicial intervention by requesting a receiver be appointed to manage and sell TIG's assets. TIG operates 68 locations across five states, including franchises for Dave’s Hot Chicken, Green Turtle, Checkers, PayMore, and Ford’s Garage in addition to Qdoba. While the lawsuit involves multiple related entities under the Queso Time brand, it does not include Qdoba itself or its franchisor as parties. A spokesperson from Qdoba stated that they are not involved with this legal matter. TIG has remained silent on the issue and removed its website content, leaving visitors to view a message stating updates were underway.
Topics: business loan default franchise operations restaurant closures