Foodborne illness outbreaks have repeatedly disrupted U.S. restaurant chains, triggering recalls, lawsuits and heightened regulatory scrutiny while pressuring customer traffic and sales.
The U.S. Food and Drug Administration said on Thursday that Taco Bell, owned by Yum Brands (YUM.N), will stop using lettuce from a supplier the agency has linked to an ongoing cyclosporiasis outbreak.
The business impact of such outbreaks has varied widely.
Analysts at TD Cowen wrote last week that similar food safety issues at McDonald's in late 2024 only impacted the chain for a quarter, while the Wendy's episode in 2022 saw no discernible impact at all. But previous outbreaks in 2015 at Chipotle Mexican Grill (CMG.N) and in 1993 at Jack in the Box (JACK.O) caused sales at those companies to drop sharply for several quarters.
Below is a look at major foodborne illness outbreaks and contamination scares that have affected U.S. restaurant and food companies in recent years.
Date,Company,Illness Outbreak,Impact July, 2026,Taco Bell (YUM.N),Cyclosporiasis,The U.S. Food and Drug Administration said that Taco Bell, owned by Yum Brands (YUM.N), will stop using lettuce from a supplier the agency has linked to an ongoing cyclosporiasis outbreak.
Michigan health officials reported 5,002 cases of cyclosporiasis as of July 17. February, 2025,Lyons ReadyCare, Sysco Imperial, Prairie Farms Dairy, Kraft Heinz (KHC.O),Listeria,The FDA and the Centers for Disease Control and Prevention investigated a multistate listeria outbreak linked to Lyons ReadyCare and Sysco Imperial frozen supplemental shakes manufactured by Prairie Farms Dairy, prompting a recall of the products.
Kraft Heinz recalled some Oscar Mayer turkey bacon products over concerns about Listeria monocytogenes contamination in July that year. October, 2024,McDonald's (MCD.N),E. coli,The restaurant chain temporarily stopped serving slivered onions in affected states after an E. coli outbreak tied to Quarter Pounder burgers. FDA said slivered onions supplied by Taylor Farms were the likely source, prompting a voluntary recall; CDC reported 104 illnesses, 34 hospitalizations and one death by December. August, 2022,Wendy's (WEN.O),E. coli,The CDC said it was probing an E.coli bacteria outbreak in four states from an unknown food source, with many of the affected reported to have had sandwiches at Wendy's Co.
Wendy’s removed romaine lettuce from sandwiches in some restaurants as CDC investigated an E. coli outbreak. July, 2018,Chipotle (CMG.N),Clostridium perfringens bacterium,A type of bacteria found in meat and pre-cooked food left at unsafe temperatures was responsible for sickening hundreds of people who ate at a Chipotle Mexican Grill restaurant in Ohio, local health officials said a month after Chipotle's Ohio outlets were linked to food poisoning complaints. November, 2015,Chipotle (CMG.N),E. coli,Chipotle Mexican Grill said it may never pinpoint what caused an E. coli outbreak linked to two restaurants in Kansas and Oklahoma, extending a mystery over dozens of illnesses tied to the burrito chain.
Company and health officials investigating the outbreak had also cited the same hurdles to tracing the cause of a larger E. coli outbreak which sickened at least 50 Chipotle customers in nine states since October. November, 2015,Chipotle (CMG.N),Norovirus,Boston Public Health Commission reported that 91 people had been sickened by norovirus linked to a Chipotle restaurant in Boston.
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