New Delhi, July 14 -- DALLAS - A Great Falls, Montana franchisee walked away from a Dairy Queen he had operated for 39 years this summer and announced he was converting the building into a Mediterranean restaurant. He told a local television station he was bringing "something fresh and exciting" to the area. What he did not say was that his decision was part of something far larger unfolding across the chain.

In total, Dairy Queen has closed more than 46 locations across three states in 2026. Three in Alaska. One in Montana. And 42 in Texas, in a single enforcement action that stripped one franchise operator of its rights and shuttered every store it managed within weeks.

The Texas operator, known as Project Lonestar, held franchise agr...