Cool Hand Luke's Steakhouse in Merced suddenly closed

FRESNO, California

A sign on the door says the restaurant is temporarily closed. The CEO of the company that owns the franchise says he's been trying to work with the landlord to keep it open. But the managing director of the Merced location says he's shutting it down for strictly economic reasons.

Employees say they received calls Wednesday morning telling them -- they could pick up their final paychecks. They were told Tuesday the restaurant was not closing.

One employee tells Action News -- a total of 37 people worked at the restaurant.

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