The Qdoba at Plymouth Square Shopping Center on Ridge Pike could be forced to close or change hands after a federal lawsuit accused its franchisee of defaulting on a $20 million loan.
Bank Midwest filed the complaint Aug. 6 in U.S. District Court for the Eastern District of Pennsylvania against The Integritty Group, a Langhorne-based company that operates 41 Qdoba locations, according to the Philadelphia Business Journal. The Plymouth Square restaurant, which opened in 2015, is the only Qdoba in Plymouth Township.
The bank is asking the court to appoint a receiver to take over management of TIG's restaurants and eventually sell its assets to recover roughly $18.3 million in principal, interest and fees.
What the complaint alleges
The Integritty Group, also known as TIG, took out the $20 million loan from Bank Midwest in April 2025. The bank claims the company defaulted and hid what it called a "serious liquidity problem" from the lender, according to the complaint as reported by BucksCo.Today.
The financial picture is stark. TIG owes $432,000 in August rent across its Qdoba locations, more than $1 million in unpaid sales taxes and more than $300,000 to DoorDash, according to the complaint. The bank also alleges TIG has begun issuing paper payroll checks instead of direct deposits because it lacks the funds to cover employees.
Bank Midwest claims TIG entered a deal to terminate its franchise agreement with Qdoba and sell its restaurants without notifying the bank, putting the loan collateral at risk. A March 2026 workout letter produced by TIG acknowledged owing more than $1 million in past-due royalties, marketing fees and rent, and set the franchise agreement to end April 22, according to the complaint.
The bank says it offered $850,000 in emergency funding that TIG never claimed, then watched roughly $300,000 leave TIG's accounts on Aug. 4 for what it described as "unknown transferees for unknown purposes."
A sharp reversal
The lawsuit marks a dramatic turn for a company that was profiled by Franchise Times in November 2025 as a rising operator. TIG principals Jiger Patel, Pranav Desai and Raj Mahadevia had set a goal of exceeding 100 restaurant units by 2030 and projected eclipsing $100 million in revenue by the end of 2026. Qdoba named Patel its top developer in 2023.
In that November 2025 profile, Patel told Franchise Times: "The restaurant business is always going to be challenging and not every location is going to be successful because of market conditions and other factors. But we have a playbook and stand by our record of turning around restaurants."
TIG did not respond to the Philadelphia Business Journal's request for comment on the lawsuit. Qdoba declined to comment and said it remains focused on Philadelphia-market customers. TIG has not filed a response, and the allegations remain untested in court.
What happens next
The receiver motion is pending in federal court. No hearing date has been publicly announced. If the court grants the request, a receiver would take control of TIG's restaurants, including the Plymouth Square location, and manage operations until the assets are sold.
Plymouth Square Shopping Center, at 200 Ridge Pike, has seen tenant activity this summer. As we reported July 21, Lebanese chain Naya is nearing its opening at the same center.
