A legal battle has erupted between Is Gida, the Turkish operator of KFC and Pizza Hut, and Yum! Brands, the U.S.-based parent company.
Yum! Brands terminated its franchise agreement with Is Gida on January 8, citing the franchisee’s failure to meet quality standards.
This decision threatens the future of 537 restaurants across Türkiye, including 283 KFC and 254 Pizza Hut outlets.
While many KFC restaurants, especially those outside shopping malls, have temporarily ceased operations, Pizza Hut outlets are still open.
The court has yet to issue an injunction, meaning that the mall-based KFC and Pizza Hut branches remain operational for now.
Is Gida, however, disputes the termination and maintains its operations continue without interruption.
This ongoing dispute is set to have significant implications for the Turkish fast-food market, valued at nearly $170 million, and affects about 7,000 employees.
