Fast-Food Shop May File for Chapter 11

A popular fast-food sandwich shop chain is working with its creditors to avoid filing for bankruptcy. If the plan to buy out the chain does not go through, however, the chain will be forced to file for Chapter 11 bankruptcy protection.

According to the most recent press statement, most of the creditors have agreed to help pay off nearly $875 million in debts. One of the creditors, a financial firm, has agreed to pay $150 million alone. This agreement along with several others would take care of most of the debt. Yet, if the chain cannot obtain another $75 million in loans from its creditors, it will be forced to take more drastic actions.

While negotiations are happening behind the scenes, all of the chain's stores are open and operating. The CEO expects this to continue until a deal has been reached with the creditors.

Is your business suffering due to the economy or other reasons? If so, contact the Malaise Law Firm now to discuss your financial options with a San Antonio bankruptcy lawyer from our team.