Food chain Boston Market has filed for bankruptcy
Boston Market, a well-known rotisserie chicken chain, is currently facing significant financial challenges. Jay Pandya, the owner of Boston Market, has filed for personal bankruptcy, citing liabilities and assets between $10 million and $50 million. This financial turmoil comes amidst several legal challenges, including unpaid bills, rent, and wages, with the most notable being a lawsuit from US Foods claiming it is owed $11.6 million. The situation has been exacerbated by eviction cases and store closures across various locations, including South Florida and Massachusetts.
The financial strain on Boston Market has led to government intervention, with the New Jersey Department of Labor ordering the closure of 27 stores due to workers’ rights violations, including unpaid wages. These units were later allowed to reopen after the wages were paid. The chain, acquired by Pandya from Sun Capital Partners in April 2020 through the Rohan Group of Companies, has seen its unit count drop drastically, now down to approximately 300 locations nationwide.
Pandya’s personal bankruptcy raises questions about the future of Boston Market’s restaurants. This situation is not new to Pandya, as he previously acquired Corner Bakery Cafe in 2020, which also filed for bankruptcy in early 2023. Boston Market’s financial decline reflects the challenges of managing rapid growth, operational costs, and adapting to changing market conditions.
