April 07, 2008
Frosty Reception in Texas
As reported in earlier postings, Dairy Queen franchisees continue to protest International Dairy Queen’s plans to convert existing locations to its new DQ Grill & Chill or DQ/Orange Julius concepts. Texas has more Dairy Queens than any other state, with 600 restaurants. DQ restaurants in Texas use a separate menu branded as Texas Country Foods, which has the trademark rights to Hunger Buster and Belt Buster burgers. Because Texas uses a separate menu under Texas Country Foods, its franchises could not adopt the Grill & Chill menu. But American Dairy Queen wants Texas restaurants to adopt the larger restaurant format. According to this article, at least one franchisee in Kemah, Texas fears the plans will put him out of business.
Posted by franchiselawblog at April 7, 2008 02:12 PM