McDonald’s to shut 169 outlets in India

AFP, NEW DELHI: McDonald’s said yesterday it is shutting 169 restaurants in India after a legal row with a local franchise operator.

The fast food chain’s Indian subsidiary said it was terminating its agreement with Connaught Plaza Restaurant Ltd (CPRL), alleging breach of contract and payment defaults.

The move means all McDonald’s outlets in north and east India including the capital New Delhi will close, although the company said it would look for a new partner.

McDonald’s outlets will remain open in south and west India, where it uses a different franchise operator.

“We have been compelled to take this step because CPRL has materially breached the terms of the respective franchise agreements relating to the affected restaurants,” the company said in a statement.

McDonald’s shut over 40 of its restaurants in Delhi in June after they failed to renew their eating house licences, a police registration to operate a place of public entertainment.

McDonalds to shut 169 outlets in India

AFP, NEW DELHI: McDonalds said yesterday it is shutting 169 restaurants in India after a legal row with a local franchise operator. The fast food chains Indian subsidiary said it was terminating its agreement with Connaught Plaza Restaurant Ltd (CPRL), alleging breach of contract and payment defaults. The move means all McDonalds outlets in north and east India including the capital New Delhi will close, although the company said it would look for a new partner. McDonalds outlets will remain open in south and west India, where it uses a different franchise operator. We have been compelled to take this step because CPRL has materially breached the terms of the respective franchise agreements relating to the affected restaurants, the company said in a statement. McDonalds shut over 40 of its restaurants in Delhi in June after they failed to renew their eating house licences, a police registration to operate a place of public entertainment.