Popular restaurant and bar chain files for bankruptcy and sparks fears of more closures
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Bar Louie has filed for Chapter 11 bankruptcy — the second time in five years. 

The Dallas-based pub chain made the filing Wednesday, after closing several locations across the Ohio, Michigan and New Jersey in recent days.  

Bar Louie owes more than $1.8 million to US Foods and another $590,000 to supplier Edward Don, according to court documents filed by its parent company, BLH TopCo.

The company is also asking for permission to break the leases of 14 underperforming restaurants in Tennessee, Ohio, Illinois, Missouri, Texas, Michigan, Colorado and New Jersey. 

Bar Louie has already closed those locations in recent weeks and days, trimming its restaurant count to 48.

The chain’s restaurant count peaked at 134 in 2019, before its first bankruptcy filing in January the next year.

Founded in Dallas in 1990, Bar Louie is known for its cocktails, pub food, and happy hour crowd. 

It’s the latest name in casual dining to go bankrupt, joining Red Lobster, TGI Fridays, Bucca di Beppo, and On the Border — all of which blamed pandemic losses and rising costs for their struggles. 

Bar Louie filed for Chapter 11 bankruptcy days after abruptly closing several locations in the US on March 26

Bar Louie filed for Chapter 11 bankruptcy days after abruptly closing several locations in the US on March 26

Following the restaurant shut downs, only 48 Bar Louie restaurants remain open

Following the restaurant shut downs, only 48 Bar Louie restaurants remain open

The chain went on to shutter 38 locations throughout the US, and closed 22 others during the pandemic.

Like many full-service chains, its sales never fully bounced back after the pandemic.

In 2023, sales dropped another 2.3 percent, and the chain had just 66 locations — less than half of the 134 it operated at its peak in 2019, according to data from Technomic.

Workers at closing restaurants only found out this week.

An employee at one of the newly-closed Bar Louie restaurant in Michigan revealed she learned of shut down while working on March 23 to WXYZ.

The worker continued by stating the only two Michigan locations remaining open are in Royal Oak and Clinton Township.

Employees in New Jersey were blindsided after discovering Bar Louie’s shut down its East Brunswick restaurant without notice.

Bar Louie previously filed for bankruptcy in 2020 before the pandemic due to 'inconsistent brand experience' and increase in competition and customer decline

Bar Louie previously filed for bankruptcy in 2020 before the pandemic due to ‘inconsistent brand experience’ and increase in competition and customer decline

Bar Louie’s bankruptcy filing also comes after other popular restaurant chains suffered from the rise of inflation.

Red Lobster filed for bankruptcy in 2024 following years of sales slumps, only to exit a few months later after it was acquired by RL Investor Holdings.

On the Border filed for bankruptcy on March 5 after the brand experienced a ‘rapid loss of liquidity.’

Their filing came after it shuttered 77 restaurants, leaving only 60 operating locations nationwide.

Hooters is on the verge of bankruptcy for the first time in operation history following financial struggles and business decline.

Prior to the filing discussion, Hooters had closed 40 ‘underperforming’ restaurants in June, including locations in Florida, Kentucky, Rhode Island, Texas, and Virginia.

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