Credit: Lane V. Erickson/Adobe Stock Skeptical of Sacks Weston's Survival, Judge Dismisses Firm's Chapter 11 Petition
"The debtor is not a going concern, and its proposed plan will not maximize the value of the estate," U.S. Bankruptcy Judge Patricia Mayer said in an opinion.
April 25, 2024 at 03:53 PM
4 minute read
What You Need to Know
- Sacks Weston's bankruptcy case has officially been dismissed, with U.S. Bankruptcy Judge Patricia Mayer expressing skepticism on the firm's long-term survival.
- The opinion finds the firm filed for bankruptcy in good faith, but further found that it would be unable to successfully reorganize or confirm a bankruptcy plan.
- Mayer also found that prolonging the bankruptcy would only detract from the value of the business, impacting returns to creditors.
Placing the final nail in the coffin for Sacks Weston's bid to ward off creditors via bankruptcy, U.S. Bankruptcy Judge Patricia Mayer of the Eastern District of Pennsylvania agreed to dismiss the firm's Chapter 11 petition Thursday.
Her opinion, released shortly after Sacks Weston withdrew its opposition to dismissal of the proceedings, expresses skepticism that the firm would have been able to survive whether or not the bankruptcy continued.
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