The Centre for Contemporary Arts (CCA) in Glasgow has parted company with its business tenant, Saramago Cafe Bar, following a dispute by cafe staff over working conditions.
In a statement announcing the decision, CCA said the cafe would close "with immediate effect".
The move follows accusations that Saramago sacked three members of staff during their shifts on 3 March, for taking part in union-supported action against staff shortages.
Saramago's owners have strongly denied this. They say staff took part in an unannounced work stoppage in breach of their contracts, and that the union supporting the action, Industrial Workers of the World (IWW), is not recognised in the UK.
Regular demonstrations organised by the IWW have taken place outside CCA since the three staff were sacked.
CCA said it had “worked tirelessly over the past five weeks in the hope for productive conversation and a positive outcome that aligns with our organisational priority of fair work.
"We truly wish the situation could have been resolved differently.”
It continued: “We recognise the gravity of this decision, and are committed to acting in the most accountable and considerate way possible."