bankruptcy

Utah tour operator files for bankruptcy: What’s next for those owed money for canceled tours?

Utah tour operator files for bankruptcy: What’s next for those owed money for canceled tours?

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SOUTH JORDAN — In April, KSL Investigators told you about a Utah-based travel company that abruptly canceled overseas tours of many viewers without offering refunds. Thousands of dollars were paid, which prompted many calls to Get Gephardt. Now, that company has filed for bankruptcy protection. So, what happens next?

“They won’t email us. They won’t call us back,” Lynette Clark told us about her communications with tour operator Latter Day Travel.

Clark paid about $6,000 for a tour she booked with Latter Day Travel, but six months before departure, she got an email saying they canceled her tour because of inflation and higher travel costs. No refund was offered. There was only the promise of credit if there are “travel opportunities in the future.”

“I hope that we can get our money back,” she said.

“It’s a lot of money for us,” Laurel Bjornberg said, when KSL Investigators spoke to her about a nearly identical cancellation email she received from the sister company, CruiseBuilder.

She said she paid $4,700 for her tour and, like Clark, got no refund.

“We paid for our trip, and then we have nothing,” she said.

KSL Investigators tried by

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September 16, 2023 by ATTORNEY

Party City receives approval to exit bankruptcy

Party City receives approval to exit bankruptcy
Party City receives approval to exit bankruptcy

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By The Indianapolis Business Journal

INDIANAPOLIS — Party City on Wednesday received court approval to exit bankruptcy and emerge with a leaner balance sheet, avoiding the fate of retail peers who stumbled in Chapter 11 and ceased operations.

The New Jersey-based retailer is set to hand ownership of the company to lenders and reduce its debt load by some $1 billion, according to court papers. U.S. Bankruptcy Judge David R. Jones on Wednesday said he would approve the company’s restructuring plan.

“This plan sets the company up for success going forward,” Ken Ziman, an attorney for the company, said during the hearing. “And most important, your honor, this is a plan that preserves thousands of jobs.”

As part of the Chapter 11 process, the company closed more than 60 stores across the country, but was able to keep the vast majority of its more than 700 stores open, according to court papers. “It wasn’t a wholesale exiting of lease locations,” said Ziman.

Party City has three stores in Indianapolis: at 8703 Hardegan St. on the south side 10537 E. Washington St. on the east side and 3622 Bethany Road on the

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September 10, 2023 by ATTORNEY

Party City to Emerge from Bankruptcy with Most Stores Intact

A bankruptcy judge in the Southern District of Texas has approved Party City’s plan to emerge from bankruptcy, multiple sources report. The plan, which will cancel $1 billion in company debt, will enable Party City to close just a “handful” of its nearly 800 stores and save thousands of jobs, Party City attorney Ken Ziman said at a court hearing in Houston, as reported by Reuters.

Ownership of the company will be turned over to the retailer’s current lenders, but the deal will wipe out individual shareholders. “The math is what the math is,” U.S. Bankruptcy Judge David Jones told a shareholder who spoke up at the hearing per Reuters. “It’s one of those things where there simply is not an alternative.”

Under the plan, $1 billion in pre-petition debt will be converted into equity shares, and Party City will receive a new $562 million loan from its existing lenders. The company also will raise additional cash by selling $75 million in new equity shares.

Party City’s junior creditors, including unpaid trade vendors, will receive $3.5 million in cash plus Party City’s share of a $5.6 billion class action settlement related to credit card payment

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September 9, 2023 by ATTORNEY

Why RHOA’s Kim Zolciak and Estranged Husband Kroy Biermann May ‘Need to File for Bankruptcy’

Why RHOA’s Kim Zolciak and Estranged Husband Kroy Biermann May ‘Need to File for Bankruptcy’

Kim Zolciak-Biermann and Kroy Biermann’s biermann-split-again-after-calling-off-divorce/” data-ylk=”slk:divorce is back on;elm:context_link;itc:0″ class=”link “divorce is back on — and lawyer Neama Rahmani wouldn’t be surprised if the duo’s troubled finances are the reason for their split.

“There’s a lot that’s going on here, but obviously financial problems are one of the number one reasons why people do get divorced,” Rahmani exclusively told Us Weekly during a Tuesday, August 29, interview on the “Legally Us” podcast. “That [puts] a lot of pressure on relationships, so that may be one of the things that’s going on here behind the scenes.”

Rahmani, who is not working with Zolciak-Biermann, 45, or Biermann, 37, on their divorce, went on to note that he’s confused as to why the estranged couple hasn’t yet filed for bankruptcy amid their money troubles.

“I’m really surprised at how they’ve handled this, both in terms of the family side and the potential bankruptcy,” he told Us. “It seems like these two need to separate, need to file for bankruptcy, really start their life over — both their personal and professional life, because everything just seems like a mess right now.”

Why RHOA’s Kim Zolciak and Estranged Husband Kroy Biermann May ‘Need to File for Bankruptcy’

Kim Zolciak, Kroy Biermann Getty Images(2)

Earlier

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August 31, 2023 by ATTORNEY

What A Bankruptcy Might Mean For WeWork’s Tenants

According to a story posted in the Wall Street Journal on August 24, several owners of WeWork’s secured debt totaling $1.2 billion are holding what were called “preliminary talks about the company’s restructuring options and indicated that they would support a plan for WeWork to file for chapter 11 bankruptcy.” However, the creditors who include BlackRock, King Street Capital and Brigade Capital, have not yet provided specific proposals concerning a bankruptcy or debt restructuring to WeWork, as per sources that were not identified.

What does this news mean for WeWork tenants, known as members? This is a long run prospect. Nobody knows exactly what will happen, and we are just at the start of a process that will have many twists and turns. However, let’s take a look at what might happen if a bankruptcy plan is negotiated with WeWork’s secured creditors by working through some of the alternatives if WeWork tries to reorganize as an ongoing company. To do so I consulted Eric Haber, general counsel for my firm Wharton Property Advisors who is also a bankruptcy attorney.

A Potential Bankruptcy Scenario

Under a potential bankruptcy reorganization plan,

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August 26, 2023 by ATTORNEY
December 2024
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