Story perspectives

Meritage Hospitality Files Chapter 11, Owes Wendy’s $24.9M

By Drooid · Sep 19, 2026, 2:09 AM UTC · How we work

Summary

Meritage Hospitality Bankruptcy

Meritage Hospitality Group filed for Chapter 11 bankruptcy in Michigan.
The franchise operates 314 Wendy’s restaurants in 15 states, plus one Bojangles and five other brand sites.
Meritage estimates assets and liabilities between $10 million and $50 million, with Wendy’s franchisor holding a $24.9 million unsecured claim.
Store-level EBITDA dropped 48 % in 2025 because of higher beef costs and discounts.
The company closed about 60 Wendy’s locations in 2026 and is seeking debtor-in-possession financing.

Summary

Schermer Files Chapter 11

CEO Robert E. Schermer Jr. signed the Chapter 11 petition on September 17, 2026, showing board support.
Attorney Scott N. Opincar is representing Meritage Hospitality Group in the bankruptcy case.
Legal counsel McDonald Hopkins and advisor Fort Dearborn Partners were hired to guide the reorganization.
Meritage will file first-day motions to secure court approval for employee wages and vendor payments.

History

Historical Context

In 1958 Del and Helen Johnson founded Sizzler in Culver City, California, growing to over 270 U.S. locations before competition hurt its reputation. By 1996 debts of about $100 million pushed Sizzler International into Chapter 11, closing more than 130 restaurants and emerging a year later. The 2026 Chapter 11 filing by Meritage Hospitality Group mirrors that precedent as it plans to trim claims and close 60 sites.

1 of 3

Meritage Hospitality Bankruptcy

Meritage Hospitality Group filed for Chapter 11 bankruptcy in Michigan.
The franchise operates 314 Wendy’s restaurants in 15 states, plus one Bojangles and five other brand sites.
Meritage estimates assets and liabilities between $10 million and $50 million, with Wendy’s franchisor holding a $24.9 million unsecured claim.
Store-level EBITDA dropped 48 % in 2025 because of higher beef costs and discounts.
The company closed about 60 Wendy’s locations in 2026 and is seeking debtor-in-possession financing.

1 / 3