Joel R. Glucksman
Partner
201-896-7095 jglucksman@sh-law.comKey Contacts
Back
Newspapers have been the kings of information distribution for hundreds of years, but now that “ink and paper” media are being forced by the information revolution to transition to online publishing, many are struggling to remain above water.
One of the most recent newspapers that hit hard times is the Free Lance-Star Publishing Co., which has filed for protection under Chapter 11 of the U.S. bankruptcy law, according to Bloomberg. The company owns two radio stations and websites, in addition to Virginia’s Free Lance-Star newspaper. Their bankruptcy filing listed assets and debt of more than $50 million.
Free Lance-Star’s financial troubles began after it secured a loan from BB&T Corp to build a printing plant seven years ago. The loan was purchased by Sandton this past June, which proceeded to inform the company it would be best to file for bankruptcy protection.
“Sandton also indicated that it desired to be the entity that obtained the company’s assets,” Free Lance-Star attorneys said in the filing. “With no better option available, the company agreed to work with Sandton.”
The Rowe family has owned Free Lance-Star for 130 years, but that will come to an end with the bankruptcy filing. Free Lance-Star’s attorneys filed a motion in U.S. District Court to allow the company to run its operations as a debtor-in-possession during the Chapter 11. Judge Kevin Huennekens is expected to approve the motion, which means that business will continue as usual, at least for the present according to Fredericksburg.com.
FLS publisher Nick Cadwallender told Fredericksburg.com that the filing isn’t expected to have an immediate impact on any of the company’s employees, customers, advertisers, or vendors. The newspaper and digital products are expected to be created and delivered normally, and the company’s radio station will continue with regular programming.
Whether the “ink and paper” will remain after the dust clears has yet to be determined.
- Practices: Corporate Transactions & Business, Bankruptcy & Creditors' Rights, Bankruptcy Litigation
- Locations: Red Bank, NJ, New York City, Little Falls, NJ
No Aspect of the advertisement has been approved by the Supreme Court. Results may vary depending on your particular facts and legal circumstances.
Related Posts
See all
When to Settle and When to Fight: A Litigator's Framework
Every lawsuit comes with a cost, and knowing when to settle a lawsuit is one of the most consequential decisions a business owner will face. Experienced litigators understand how to minimize cost and obtain certainty for their clients. For many business owners, the decision is viewed almost entirely through a financial lens: What will it cost […]
Author: Sean M. Pena
A Whistleblower Just Filed a Complaint Against Your Company: Here's What to Do Now
Few situations create more uncertainty than learning that an employee has filed a whistleblower complaint. Questions arise immediately: Is the allegation legitimate? Should the employee be placed on leave? Do we need to notify our insurance carrier? Are we now prevented from disciplining the employee if there are unrelated ongoing work related issues? There is […]
Author: Sean M. Pena
Assignment for the Benefit of Creditors: An Alternative to Bankruptcy for Distressed Businesses
When a business reaches the point where it can no longer service its debts or otherwise resolve its liabilities, management is often faced with a difficult question: is a bankruptcy filing necessary or is there another way to perform an orderly liquidation or sale of the business assets? While Chapters 7 and 11 of the […]
Author: John D. Giampolo
Breaking Down New Jersey’s “Mansion” Tax: What Buyers and Sellers Need to Know
For many years, the New Jersey Mansion Tax has been a significant consideration in high-value real estate transactions. Recent legislative changes, however, have substantially altered how the tax operates, including who is responsible for paying it and the amount owed in certain transactions. Whether you are purchasing, selling, or investing in New Jersey real estate, […]
Author: George McGowan
Estate Planning for Digital Assets Under New Jersey Law
As our personal and financial lives increasingly move online, estate planning must evolve to address a new category of property: digital assets. From email accounts and social media profiles to cryptocurrency and cloud-stored business records, these assets often carry both financial and sentimental value. Yet, without proper planning, they can become inaccessible—or even lost—upon incapacity […]
Author: Marc J. Comer
The Role of Representation and Warranty Insurance in M&A Transactions
In today’s mergers and acquisitions market, representation and warranty (R&W) insurance has become a common feature of deal negotiations. Once used primarily in larger transactions, R&W insurance is now frequently incorporated into middle-market deals as buyers and sellers look for efficient ways to allocate risk and close deals. When structured properly, R&W insurance can help […]
Author: George McGowan
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.