Dunkin' will return to Puerto Rico in 2027, ending a 12-year absence caused by a franchise dispute. The move highlights the brand's renewed focus on international growth and franchise oversight.
Dunkin' will return to Puerto Rico in 2027, ending a 12-year absence that began after a legal dispute with its former franchisee. Now part of Inspire Brands, Dunkin' has signed an exclusive agreement with Fusion Restaurant Group, a local multi-brand operator, to develop and manage all new Dunkin' locations on the island. This partnership represents a strategic step in Dunkin's international expansion efforts.
Fusion Restaurant Group, Dunkin's new partner in Puerto Rico, is a multi-brand franchisee with experience managing several quick-service restaurant chains on the island.
Dunkin' operates more than 14,200 restaurants in nearly 40 countries. In October 2025, the company opened its 10,000th U.S. location, reflecting continued domestic growth. The Puerto Rico relaunch aligns with Dunkin's strategy of partnering with experienced local operators to drive international expansion and reduce franchise risk.
Inspire Brands, the parent company of Dunkin', directly initiated the brand's return to Puerto Rico and emphasized in its official announcement that Fusion Restaurant Group will both develop and operate the new network on the island. The number of planned locations and their addresses have not yet been disclosed, and the official press release does not detail the legal aspects of the previous franchise dispute.
The 2014 legal dispute with Wometco Donas Inc. centered on alleged contract violations and unauthorized use of Dunkin's trademarks. The resulting court order terminated the franchise agreement and closed all Dunkin' outlets in Puerto Rico, ending a 13-year run. This episode highlights the operational and reputational risks associated with franchise disputes in international markets.
Since then, Dunkin' has expanded in other regions and remains the largest coffee and donut chain in the U.S. The company's renewed focus on franchise oversight and legal safeguards is central to its current international strategy, as reported by TheStreet. Collaborating with established local partners is now a key element of Dunkin's approach to market re-entry.
Globally, Dunkin' is adjusting its franchise model. In May 2026, the company announced a return to Canada through a master franchise agreement with Foodtastic, with openings planned for late 2026 or early 2027. In India, Jubilant FoodWorks will not renew its Dunkin' franchise when it expires at the end of 2026, creating uncertainty about the brand's future there.
These developments reflect Dunkin's shift toward more selective, partnership-driven international growth. The company's experience in Puerto Rico underscores the importance of legal clarity and operational alignment in franchise agreements. Similar challenges have affected other global brands, as seen in the technology sector's efforts to manage capital expenditures and margin pressures, according to an analysis at Financial Sumo.
For context, Inspire Brands, Dunkin's parent company, reported systemwide sales exceeding $32 billion in 2025. Its portfolio includes Arby's, Baskin-Robbins, Buffalo Wild Wings, Jimmy John's, and Sonic, making it one of the largest quick-service restaurant groups in the U.S. and globally.
Franchise agreements are fundamental to the quick-service restaurant industry, enabling rapid expansion while sharing operational risk. However, disputes or non-compliance can disrupt brand continuity and customer experience. Dunkin's return to Puerto Rico demonstrates the need for robust legal frameworks and strong local partnerships to support sustainable international growth.
