November 5, 2026
Out West Restaurant Group, which operates Outback Steakhouse locations across the western United States, filed for bankruptcy protection in Delaware on Monday, according to a filing with the Securities and Exchange Commission. The bankruptcy involves restaurants operated by the franchisee rather than Bloomin’ Brands’ corporate-owned locations.

Proofs of Claim
All creditors need to file a proof of claim to preserve their right to any payment or even to maintain a legal action against the Debtors. A proof of claim is a formal filing in the bankruptcy court that puts the Debtors on notice of the claim you hold. The court will establish a deadline to file such proofs of claim.
Landlords
While Out West Restaurant Group does not appear to plan on closing any locations, however, there are certain rights and obligations the Debtors must fulfill in order to assume or assign the leases. As a landlord, your rights can be drastically impaired through such actions. Reger Rizzo & Darnall regularly represents commercial landlords in bankruptcy matters and is well-equipped to handle the myriad of issues a landlord may face during Out West Restaurant Group’s bankruptcy proceedings.
Personal Injury and Insurance Claimants
As a restaurant franchisee with dozens of locations, you may be involved in litigation with or may be an insurer who is handling such claims. Any suits that have been filed are subject to the Automatic Stay, and would require Bankruptcy Court approval of Relief from the Stay in order to continue against non-debtors or available insurance proceeds.
Vendors
Vendors will take many forms in this bankruptcy proceeding, including suppliers, exterior maintenance, contractors, purveyors, and internet providers, among others. All vendors will need to assert and protect their rights throughout the Out West Restaurant Group’s bankruptcy process.
Preference Actions
All parties who do business with Out West Restaurant Group should keep in mind (and budget for) the potential future preference action. Under the Bankruptcy Code, a debtor (or trustee) may bring an action to recover certain payments made by the debtor to a creditor within ninety days prior to the debtor filing for bankruptcy. There are many defenses to these preference actions and the attorneys at Reger Rizzo & Darnall are well-equipped to represent you in defending such actions.
We Are Here to Help
Reger Rizzo & Darnall’s team of bankruptcy and franchise attorneys can assist you through the Out West Restaurant Group bankruptcy. The depth of experience across the Firm and range of experience across a multitude of practice areas enables our attorneys to offer full-service representation and address even the most complex bankruptcy and insolvency matters.
If you have questions, or would like to speak with an attorney regarding the Out West Restaurant Group bankruptcy, please contact one of our dedicated team members today.
- Louis J. Rizzo, Jr – lrizzo@regerlaw.com or 302-477-7100
- Philip W. Fisher – pfisher@regerlaw.com or 215-495-6500
- Debra L. Roscioli – droscioli@regerlaw.com or 856-778-8950