Recently, Last Call Guarantor LLC, parent company of the national Fox & Hound restaurant chain, announced that it had filed for Chapter 11 Bankruptcy protection.
According to The Wall Street Journal, the company’s reorganization plan calls for closing a portion of its restaurant locations and engaging in negotiations with creditors to reduce its remaining debt load.
Photo courtesy of Dylan Gillis (Unsplash.com)
Last Call Guarantor becomes insolvent after underperforming
In its bankruptcy filings, the company claimed assets of only between $10 million and $50 million, but its liabilities ranged from $100 million to $500 million. Last Call cited a decline in the restaurant industry as sales dropped and labor costs rose for its 80 restaurants and 4,700 employees nationwide.
The company stated in court documents that this is the second time the owner of these chain restaurants has sought Chapter 11 bankruptcy protection. In 2013, the ownership group led by private equity funds Steel Partners LLC and Newcastle Partners LP sold the restaurant chains to Cerberus Business Finance after it reported only $14.5 million in assets and $91.5 million in debt. At the time, the owners claimed consumers were spending less on dining out due to the economic downturn in the U.S.
Last Call Guarantor’s reorganization plan
Its bankruptcy plan calls for the closing of at least 18 underperforming restaurant locations, with more possibly on the way in the near future. Last Call also plans to negotiate with debtors to cut its debt load, but there are no active agreements in place. The company also may liquidate a portion of its remaining assets.
The significance of the Last Call Guarantor filing
Fox & Hound, Last Call’s largest asset, is just the latest among several top national chain restaurants to seek Chapter 11 bankruptcy protection since 2015. According to Kansas.com, Logan’s Roadhouse, Johnny Carino’s and several other notable chains filed for bankruptcy protection due to the restaurant recession last year.
When Are New Jersey Business Owners Personally Liable for Corporate Debt?
New Jersey personal guaranty liability is a critical issue for business owners who regularly sign contracts on behalf of their companies. A recent New Jersey Supreme Court decision provides valuable guidance on when a business owner can be held personally responsible for a company’s debt. Under the Court’s decision in Extech Building Materials, Inc. v. […]
Commercial real estate trends in 2026 are being shaped by shifting economic conditions, technological innovation, and evolving tenant demands. As the market adjusts to changing interest rates, capital flows, and workplace models, investors, owners, tenants, and developers must understand how these trends are influencing opportunities and risk in the year ahead. Overall Outlook for Commercial […]
One Big Beautiful Bill: New Tip Income Tax Rules Employers & Workers Need to Know
Part 2 – Tips Excluded from Income Certain employees and independent contractors may be eligible to deduct tips from their income for tax years 2025 through 2028 under provisions included in the One Big Beautiful Bill. The deduction is capped at $25,000 per year and begins to phase out at $150,000 of modified adjusted gross […]
One Big Beautiful Bill: New Overtime Tax Rules Employers and Employees Need to Know
Part 1 – Overtime Pay and Income Tax Treatment Overview This Firm Insights post summarizes one provision of the “One Big Beautiful Bill” related to the tax treatment of overtime compensation and related employer wage reporting obligations. Overtime Pay and Employee Tax Treatment The Fair Labor Standards Act (FLSA) generally requires that overtime be paid […]
New York’s FAIR Business Practices Act: What the New Consumer Protection Measure Means for Your Business
In 2025, New York enacted one of the most consequential updates to its consumer protection framework in decades. The Fostering Affordability and Integrity through Reasonable Business Practices Act (FAIR Act) significantly expands the scope and strength of New York’s long-standing consumer protection statute, General Business Law § 349, and alters the compliance landscape for New York […]
How to Reduce Legal Risk as Your New Jersey Business Grows in 2026
For many New Jersey businesses, growth is a primary objective for the New Year. However, it is important to recognize that growth involves both opportunity and risk. For example, business expansion often results in complex contracts, an increased workforce, new regulatory requirements, and heightened exposure to disputes. Without proactive planning, even routine growth can lead […]
No Aspect of the advertisement has been approved by the Supreme Court. Results may vary depending on your particular facts and legal circumstances.
Sign up to get the latest from our attorneys!
Explore What Matters Most to You.
Consider subscribing to our Firm Insights mailing list by clicking the button below so you can keep up to date with the firm`s latest articles covering various legal topics.
Stay informed and inspired with the latest updates, insights, and events from Scarinci Hollenbeck. Our resource library provides valuable content across a range of categories to keep you connected and ahead of the curve.
Let`s get in touch!
Sign up to get the latest from the Scarinci Hollenbeck, LLC attorneys!
