
Joel R. Glucksman
Partner
201-896-7095 jglucksman@sh-law.comFirm Insights
Author: Joel R. Glucksman
Date: August 26, 2016
Partner
201-896-7095 jglucksman@sh-law.comAccording 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.
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.
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.
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.
No Aspect of the advertisement has been approved by the Supreme Court. Results may vary depending on your particular facts and legal circumstances.
Secured transactions form the backbone of a wide range of business dealings, including business loans, mortgages, and inventory financing. Because the stakes are often high and relatively minor oversights can have drastic consequences, lenders and borrowers should thoroughly understand how to form an enforceable security agreement that protects their legal rights. What Is a Secured […]
Author: Dan Brecher
Cashing a check marked “paid in full” can be a risky endeavor, particularly if you don’t fully understanding the legal implications. If you are owed more than the amount of the check you accept and deposit, you may waive your right to collect the full disputed amount. That is why you should consider either rejecting […]
Author: Dan Brecher
The One Big Beautiful Bill Act of 2025 (OBBBA) significantly impacts federal taxes, credits, and deductions. A key change relating to Qualified Small Business Stock (QSBS) allows greater tax-free gains for investments in startups and other qualifying small businesses. Company founders and other investors should understand how the enhanced tax strategy works or risk missing […]
Author: Dan Brecher
Corporate consolidation involves two or more businesses merging to become a single larger entity. The result is often a stronger and more competitive company that can better navigate today’s competitive marketplace. What Is Corporate Consolidation? Corporate consolidation closely resembles a basic merger transaction. The primary difference is that a consolidation creates an entirely new business […]
Author: Dan Brecher
Business law plays a critical role in nearly every aspect of running a successful enterprise, from negotiating a commercial lease to drafting employee policies to fulfilling corporate disclosure obligations. Understanding what is business law and your legal obligations can help your business run smoothly and build productive relationships with clients, business partners, regulators, and others. […]
Author: Dan Brecher
Corporate transactions can have significant implications for a corporation and its stakeholders. For deals to be successful, companies must act strategically to maximize value and minimize risk. It is also important to fully understand the legal and financial ramifications of corporate transactions, both in the near and long term. Understanding Corporate Transactions The term “corporate […]
Author: Dan Brecher
No Aspect of the advertisement has been approved by the Supreme Court. Results may vary depending on your particular facts and legal circumstances.
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!