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Chi-Chi’s is returning 20 years after last restaurant closed its doors

Chi-Chi’s closed in 2004 after a hepatitis A outbreak sickened about 650 people, left four dead and spurred a slew of lawsuits against the restaurant chain.
Credit: Jiri Hera - stock.adobe.com
Corn nacho chips and tomato dip. Yellow tortilla chips and salsa on black table.

WASHINGTON — Chi-Chi's, the once-beloved restaurant chain that disappeared from the dining scene two decades ago, is set to make a delicious comeback in 2025.

Hormel Foods, the trademark owner of the Chi-Chi’s brand, announced a new agreement Tuesday allowing Michael McDermott, son of the chain’s original co-founder, to reopen restaurants next year.

Chi-Chi’s closed in 2004 after a hepatitis A outbreak tied to green onions in their salsa. The outbreak sickened about 650 people, left four dead and spurred a slew of lawsuits against the chain. It remains the one of the largest hepatitis A outbreaks in U.S. history.

Details of locations, opening dates and menu items were not immediately known following the announcement.

Founded in 1975 by Marno McDermott and former Green Bay Packers player Max McGee, the chain once boasted more than 200 locations nationwide.

Although the chain has been missing from the restaurant space for 20 years, Michael McDermott said he believes the brand still holds a special place in consumers' hearts and remains popular among customers nationwide with its packaged salsa, tortillas and seasonings – which will continue to be sold at stores.

“We have seen the impact our restaurant has had on individuals and families across the country and believe there is a strong opportunity to bring the brand back in a way that resonates with today's consumer – an updated dining experience with the same great taste and Mexican flavor," McDermott said in a statement.

The new Chi-Chi's promises a "modern and lively atmosphere" while delivering the “high-quality, value-driven” meals that made the original chain so popular. 

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