'Bad Rap': Freddy's CEO defends California business climate as rivals retreat

August 6, 2026 - 22:40

The head of Freddy's Frozen Custard & Steakburgers is pushing back on the idea that California is a hostile place for business, even as some of its competitors pull back from the state. CEO Chris Dull told Fox News Digital that the Golden State's reputation for heavy regulation and high costs is largely undeserved, calling it a "bad rap" that doesn't match his company's experience on the ground.

Dull, whose chain is based in Wichita, Kansas, said Freddy's is actually doubling down on California. The company has plans to open more locations across the state in the coming years, adding to a footprint that already includes dozens of restaurants. He pointed to strong customer demand and a dedicated local workforce as key reasons for the expansion, arguing that the state offers plenty of opportunity for brands willing to navigate its rules.

His comments come at a time when several national restaurant chains have closed underperforming California locations, citing rising labor costs and stricter regulations. But Dull believes those moves are more about individual business models than the overall climate. He stressed that Freddy's has found a way to make the math work, and that the company sees long-term potential in California's diverse and growing population.

The CEO also highlighted the chain's focus on quality and service as a competitive advantage, suggesting that success in California comes down to execution rather than location. With new sites in the pipeline, Freddy's is betting that its Midwest roots and California ambitions can coexist just fine.