Commitments and Contingencies	6 Months Ended
Jun. 30, 2026
Commitments and Contingencies
Commitments and Contingencies	7. Commitments and Contingencies On December 11, 2023, a former restaurant hourly employee filed a class action lawsuit in the California Superior Court, County of San Diego, alleging that the Company violated the California Labor Code by failing to properly pay hourly wages and overtime, provide meal and rest periods, and furnish compliant wage statements, among other claims. The plaintiff also asserts claims under the California Private Attorneys General Act. Corona v. The Cheesecake Factory Restaurants, Inc., et al., Case No. 37-2023-00053498-CU-OE-CTL. The parties are scheduled to participate in voluntary mediation in September 2026, and if mediation is unsuccessful, we intend to vigorously defend against this action. Based upon the current status of this matter, we have reserved an immaterial amount. On February 16, 2024, a former restaurant hourly employee filed a class action lawsuit in the California Superior Court, County of Los Angeles, alleging that the Company violated the California Labor Code by failing to properly pay hourly wages and overtime, furnish compliant wage statements, and provide meal and rest periods. The plaintiff also asserts claims under the California Private Attorneys General Act. Davis v. North Restaurants, LLC, The Cheesecake Factory, Inc., et al., Case No. 24STCV04020. The parties participated in voluntary mediation on March 27, 2026; however, a resolution was not reached. A similar lawsuit covering a different time period was also filed in Los Angeles County on September 4, 2025. Mejia-Sian v. North Restaurants, LLC, et al., Case No. 25STCV32337. We intend to vigorously defend against these actions. Based upon the current status of this matter, we have reserved an immaterial amount. On June 7, 2024, the Internal Revenue Service issued its examination report for tax years 2015 through 2020 in which it proposed to disallow a portion of our depreciation deductions and domestic production activity deductions and to assess penalties. On August 12, 2024, we submitted protest memoranda indicating our disagreement with a majority of the findings in the examination report, and our case came under the jurisdiction of the Appeals Division (“Appeals”). Appeals conferences were held during fiscal 2025 and the matter was resolved for an immaterial amount in the second quarter of fiscal 2026. On April 27, 2026, the California Privacy Protection Agency filed a Notice of Privacy Act Inquiry with the Company, requesting information about the Company’s online privacy practices with respect to its recruiting website, mobile application tracking and marketing practices (the “Notice”). The Notice seeks information regarding the Company’s compliance with California Consumer Privacy Act and California Privacy Rights Act rights requests, consumer notices and opt-out practices. The Company has responded to the Notice and we intend to vigorously defend against this inquiry. Based upon the current status of this matter, we have reserved an immaterial amount. Within the ordinary course of our business, we are subject to private lawsuits, government audits and investigations, administrative proceedings and other claims. These matters typically involve claims from customers, staff members and others related to operational and employment issues common to the foodservice industry. A number of these claims may exist at any given time, and some of the claims may be pled as class actions. From time to time, we are also involved in lawsuits with respect to infringements of, or challenges to, our registered trademarks and other intellectual property, both domestically and abroad. We could be affected by adverse publicity and litigation costs resulting from such allegations, regardless of whether they are valid or whether we are legally determined to be liable. At this time, we believe that the amount of reasonably possible losses resulting from final disposition of any pending lawsuits, audits, investigations, proceedings and claims will not have a material adverse effect individually or in the aggregate on our financial position, results of operations or liquidity. It is possible, however, that our future results of operations for a particular quarter or fiscal year could be impacted by changes in circumstances relating to lawsuits, audits, proceedings or claims. Legal costs related to such claims are expensed as incurred.

Commitments and Contingencies

6 Months Ended

Jun. 30, 2026

7. Commitments and Contingencies

On December 11, 2023, a former restaurant hourly employee filed a class action lawsuit in the California Superior Court, County of San Diego, alleging that the Company violated the California Labor Code by failing to properly pay hourly wages and overtime, provide meal and rest periods, and furnish compliant wage statements, among other claims. The plaintiff also asserts claims under the California Private Attorneys General Act. Corona v. The Cheesecake Factory Restaurants, Inc., et al., Case No. 37-2023-00053498-CU-OE-CTL. The parties are scheduled to participate in voluntary mediation in September 2026, and if mediation is unsuccessful, we intend to vigorously defend against this action. Based upon the current status of this matter, we have reserved an immaterial amount.

On February 16, 2024, a former restaurant hourly employee filed a class action lawsuit in the California Superior Court, County of Los Angeles, alleging that the Company violated the California Labor Code by failing to properly pay hourly wages and overtime, furnish compliant wage statements, and provide meal and rest periods. The plaintiff also asserts claims under the California Private Attorneys General Act. Davis v. North Restaurants, LLC, The Cheesecake Factory, Inc., et al., Case No. 24STCV04020. The parties participated in voluntary mediation on March 27, 2026; however, a resolution was not reached. A similar lawsuit covering a different time period was also filed in Los Angeles County on September 4, 2025. Mejia-Sian v. North Restaurants, LLC, et al., Case No. 25STCV32337. We intend to vigorously defend against these actions. Based upon the current status of this matter, we have reserved an immaterial amount.

On June 7, 2024, the Internal Revenue Service issued its examination report for tax years 2015 through 2020 in which it proposed to disallow a portion of our depreciation deductions and domestic production activity deductions and to assess penalties. On August 12, 2024, we submitted protest memoranda indicating our disagreement with a majority of the findings in the examination report, and our case came under the jurisdiction of the Appeals Division (“Appeals”). Appeals conferences were held during fiscal 2025 and the matter was resolved for an immaterial amount in the second quarter of fiscal 2026.

On April 27, 2026, the California Privacy Protection Agency filed a Notice of Privacy Act Inquiry with the Company, requesting information about the Company’s online privacy practices with respect to its recruiting website, mobile application tracking and marketing practices (the “Notice”). The Notice seeks information regarding the Company’s compliance with California Consumer Privacy Act and California Privacy Rights Act rights requests, consumer notices and opt-out practices. The Company has responded to the Notice and we intend to vigorously defend against this inquiry. Based upon the current status of this matter, we have reserved an immaterial amount.

Within the ordinary course of our business, we are subject to private lawsuits, government audits and investigations, administrative proceedings and other claims. These matters typically involve claims from customers, staff members and others related to operational and employment issues common to the foodservice industry. A number of these claims may exist at any given time, and some of the claims may be pled as class actions. From time to time, we are also involved in lawsuits with respect to infringements of, or challenges to, our registered trademarks and other intellectual property, both domestically and abroad. We could be affected by adverse publicity and litigation costs resulting from such allegations, regardless of whether they are valid or whether we are legally determined to be liable.

At this time, we believe that the amount of reasonably possible losses resulting from final disposition of any pending lawsuits, audits, investigations, proceedings and claims will not have a material adverse effect individually or in the aggregate on our financial position, results of operations or liquidity. It is possible, however, that our future results of operations for a particular quarter or fiscal year could be impacted by changes in circumstances relating to lawsuits, audits, proceedings or claims. Legal costs related to such claims are expensed as incurred.