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
Are Stay Interviews the Key to Retaining Top Talent?
Retaining top talent continues to be one of the greatest challenges facing employers today. Even in an employer’s market, the loss of a key employee can disrupt operations and result in significant costs. While compensation plays a role, long-term retention often depends on workplace culture, communication, and employee engagement. One increasingly popular strategy for improving […]
Author: Angela A. Turiano
Why Secured Transactions Are Important
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
Don’t Cash a “Paid in Full” Check Without Understanding the Legal Implications
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
Changes to Qualified Small Business Stock Will Benefit Startup Founders and Investors
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 and Antitrust Issues in Mergers
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
What is Business Law and Why Is it Important?
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
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.