Author: Joseph H. Lemkin
Big Lots Bankruptcy Update: Pivoting from Reorganization to GOB Liquidation
Posted in Bankruptcy & Creditor's Rights, Business & Commercial Law
On September 9, 2024, Big Lots, Inc. filed for Chapter 11 bankruptcy protection in the United States Bankruptcy Court in Delaware. At the time, Big Lots had entered into an asset purchase agreement with an affiliate of Nexus Capital Management LP (“Nexus”), which had agreed to acquire Big Lot’s assets… Continue reading
Express Fast Tracks Chapter 11 Bankruptcy Filing
Posted in Bankruptcy & Creditor's Rights
Express, Inc., the fashion mall retailer, filed for Chapter 11 bankruptcy protection in the District of Delaware Bankruptcy Court, docket #24-10831 (KBO) on April 22, 2024. This is the second retailer bankruptcy filing that our office has called since publishing our Retailers to Watch for a Possible Bankruptcy Filing in… Continue reading
99 Cents Only Is Not Enough to Avoid Chapter 11 Bankruptcy
Posted in Bankruptcy & Creditor's Rights
Number Holdings, Inc. the parent company of 99 Cents Only Stores LLC (“99 Cents” or the “Company”), an extreme value retail store operator, along with several affiliates, filed for Chapter 11 bankruptcy protection in the District of Delaware Bankruptcy Court, docket #24-10719 (JKS) on April 8, 2024. The Company is… Continue reading
Impending Rite Aid Chapter 11 Bankruptcy – 4 Things Trade Creditors and Landlords Should Know
Posted in Bankruptcy & Creditor's Rights
As reported by both NBC News and The Wall Street Journal, Rite Aid is preparing for a Chapter 11 bankruptcy filing. Rite Aid is the third-largest U.S. drugstore chain. If they pull the trigger, it is expected that 400 to 500 stores of their 2,100 stores will close, and the… Continue reading
What to do When Your Franchisee Files for Bankruptcy
Posted in Bankruptcy & Creditor's Rights, Franchise
With the economic downturn caused by COVID-19, many expected a tidal wave of commercial bankruptcy filings. After an initial spike of retail bankruptcy cases at the outset of the pandemic, the onslaught of bankruptcy has not yet materialized. Whether due to PPP loans, other available credit, modification and forbearance agreements,… Continue reading
COVID-19 Forces Modell’s to “Mothball” Chapter 11 Efforts
Posted in Bankruptcy & Creditor's Rights
In an ironic bankruptcy twist, the COVID-19 outbreak is thwarting Modell’s Sporting Goods’ ability to liquidate. Modell’s filed its bankruptcy case on March 11th and announced that it was closing all 134 of its stores. The chain was founded by Morris A. Modell in 1889, with a single store on… Continue reading
Sears Continues to File Hundreds of Preference Suits Against Trade Creditors
Posted in Bankruptcy & Creditor's Rights
The lawsuits just keep coming… last week, Chapter 11 Debtor, Sears Holdings Corporation (“Sears”) continued to file hundreds of preference complaints to recover money from paid pre-petition creditors. The Debtor filed a mass of suits back in November 2019. For most creditors, it makes no sense that they receive a… Continue reading
