Perkins Seeking to Terminate One of Its Largest Franchisees

Just a year ago, in January 2018, Pennsylvania-based 5171 Campbells Land Co. LLC bought 27 Perkins restaurants in Pennsylvania, New York and Ohio from bankruptcy court for $7.8 million. The purchase made the franchisee one of Perkins' largest. 

Now, just 17 months later, the owner of those restaurants has been asked by the Perkins company and subsequently ordered — at least temporarily — by a federal judge to discontinue using the Perkins name, not to operate within a three-mile radius of any Perkins restaurant or even identify itself as a former Perkins franchise.

...PMC claims that the defendant failed to pay royalty fees, marketing contributions or other amounts owed to the company. According to PMC, the restaurant operator, which operates Erie County restaurants on Peach Street, Buffalo Road, and West Lake Road, owes more than $742,000 in royalties, $757,000 in deferred royalties, $609,000 in marketing contributions and $54,000 in transfer fees. —Jim Martin,