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Jack in the Box files court action
Jack in the Box (NASDAQ: JACK) filed a request in Washington state court in April 2026 to block a franchisee from closing 38 restaurant locations in the Seattle metro area. The legal move targets AJP Enterprises, which plans to shut down the sites by April 22 unless a dispute is resolved.
The conflict centers on about $1.4 million in unpaid marketing fees. Jack in the Box issued a termination notice in March 2026 and gave the franchisee 30 days to fix the default, according to court filings.
The company argues the franchisee has no contractual right to close the restaurants. It is seeking a restraining order to prevent shutdowns that could disrupt operations and harm brand performance in the region.
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Franchisee plans 38 store closures
AJP Enterprises notified Jack in the Box that it plans to close 38 Seattle-area restaurants beginning April 22, 2026, unless the company withdraws its default notice over unpaid fees…