By c. 1986 the franchise chain filed for bankruptcy and closed most of its locations, but some individually owned and operated restaurants kept the House of Pies name and logo.
The locations were known for their bright white building with pink trim and their circular sign which featured a house with the symbol for pi in it and the text "a unique coffee shop."
However, the parent company eventually reached a private settlement with the franchisees and lost $62 million dollars in that year.
Later that year, due to financial trouble, the company sold off House of Pies and other restaurants, including Copper Penny Family Coffee Shops and Wil Wright's Ice Cream Parlors.
While reading the resume of a prospective employee from Iran, Grace Adler comments that she had "no idea they had House of Pies in Tehran".