TYLER, Texas ( KETK ) — Court documents reveal why 25 Texas Dairy Queen restaurants suddenly shut their doors earlier this year.
In September 2024, American Dairy Queen Corporation sent a notice to Project Lone Star, which owns 38 franchise locations in Texas, that they would terminate their franchise rights for not remodeling the locations.
According to court documents obtained from the 160th District Court of Dallas County, both parties agreed that Project Lonestar would be given 30 days to locate a buyer for the stores.
24 Texas Dairy Queen restaurants to close, items up for auction
The corporation then had 30 days to approve the buyer. If the buyer was not approved, Project Lonestar would be given another 30 days to find another one. As part of the that agreement, all transfer requirements were to be completed within six months from the time Dairy Queen approved the buyer…