The Demise of Boston Market

The fast-casual chain is facing several lawsuits from vendors and landlords, including its former owner McDonald’s, over past-due bills. Employees say the company mostly stopped paying wages in June.

Jay Pandya has long portrayed himself as a “business tycoon,” with restaurant and real estate holdings along the East Coast, before he bought Boston Market and Corner Bakery. But that history is filled with lawsuits, unpaid bills and allegations that he bilked investors.

Jay Pandya took over Corner Bakery during the pandemic in 2020. He demanded tough cost cuts, and refused to pay bills. Employees left in droves. Workers were locked out of stores. And the company’s lender accused him of using the company as a “piggy bank.”

After years of steady decline, the fast-casual brand appears to be in a death spiral of unpaid bills, legal filings and angry customers. Even in a world as forgiving as restaurants, it may be impossible for the chain to come back.

The state’s Department of Labor fined the company $2.6 million in unpaid wages, liquidated damages and administrative penalties. It is the latest in a series of setbacks for the collapsing chain.

The state has lifted its stop-work order, saying that employees have been repaid. Restaurants are expected to reopen this week as deliveries come in.

The struggling rotisserie chicken chain has closed dozens of units amid a revenue slide in recent years.

The company has shuttered 10% of its locations amid sales challenges and a "multi-faceted transformation."

The fast-casual chain appears to be deteriorating as locations shut down, vendors file lawsuits, workers go unpaid and managers get their supplies from Sam’s Club.

The U.S. Department of Labor says it is investigating wage-and-hour complaints against the troubled fast-casual chain.

The operator of the struggling rotisserie chicken restaurant chain is also accusing US Foods of overcharging for food and keeping supplies low, leading to substitutions and closures.