Post by: Manedwolf on July 29, 2008, 11:56:33 AM
How many restaurant employees would that be laid off by 150 locations suddenly shutting their doors?
Quote
Bennigan's files for bankruptcy protection
7/29/2008, 3:55 p.m. EDT
By LAUREN SHEPHERD
The Associated Press
NEW YORK (AP) Restaurant chains Bennigan's and Steak & Ale have filed for Chapter 7 bankruptcy protection and stores owned by its parent company will shut their doors.
The companies owned by privately held Metromedia Restaurant Group of Plano, Texas, filed for bankruptcy protection on Tuesday in the Eastern District of Texas, less than two months after Metromedia said it was not preparing to do so.
In a Chapter 7 bankruptcy filing, a company seeks to liquidate its assets and shut down.
Locations owned by franchisees were not part of the bankruptcy filing and will not be shut down, said Larry Briski, president of the Bennigan's Franchise Operator Association.
"They will be open today, tomorrow and months and years to come," Briski said of the franchise locations.
He said there are about 160 domestic and international franchise locations and about 150 company-owned Bennigan's restaurants.
Meanwhile, employees at what appeared to be a company-owned Bennigan's in Plano, Texas, were greeted by a sign Tuesday on the front door reading "WE ARE CLOSED. THANK YOU." Next door, a Steak & Ale sat empty in a deserted parking lot but there was no sign posted.
A waiter named Steve, who wouldn't give his last name, said the staff got a phone call Tuesday morning telling them the restaurant was closing.
Neither Bennigan's nor the Metromedia Restaurant Group returned calls for comment. A lawyer listed in the filing, J. Michael Sutherland of Carrington, Coleman, Sloman & Blumenthal LLP, did not return a call.
According to a recorded message on the law firm's answering system, not all stores using the Bennigan's and Steak & Ale trade names have filed for bankruptcy and some franchise locations were not included in the filing.
7/29/2008, 3:55 p.m. EDT
By LAUREN SHEPHERD
The Associated Press
NEW YORK (AP) Restaurant chains Bennigan's and Steak & Ale have filed for Chapter 7 bankruptcy protection and stores owned by its parent company will shut their doors.
The companies owned by privately held Metromedia Restaurant Group of Plano, Texas, filed for bankruptcy protection on Tuesday in the Eastern District of Texas, less than two months after Metromedia said it was not preparing to do so.
In a Chapter 7 bankruptcy filing, a company seeks to liquidate its assets and shut down.
Locations owned by franchisees were not part of the bankruptcy filing and will not be shut down, said Larry Briski, president of the Bennigan's Franchise Operator Association.
"They will be open today, tomorrow and months and years to come," Briski said of the franchise locations.
He said there are about 160 domestic and international franchise locations and about 150 company-owned Bennigan's restaurants.
Meanwhile, employees at what appeared to be a company-owned Bennigan's in Plano, Texas, were greeted by a sign Tuesday on the front door reading "WE ARE CLOSED. THANK YOU." Next door, a Steak & Ale sat empty in a deserted parking lot but there was no sign posted.
A waiter named Steve, who wouldn't give his last name, said the staff got a phone call Tuesday morning telling them the restaurant was closing.
Neither Bennigan's nor the Metromedia Restaurant Group returned calls for comment. A lawyer listed in the filing, J. Michael Sutherland of Carrington, Coleman, Sloman & Blumenthal LLP, did not return a call.
According to a recorded message on the law firm's answering system, not all stores using the Bennigan's and Steak & Ale trade names have filed for bankruptcy and some franchise locations were not included in the filing.
http://www.mlive.com/newsflash/business/index.ssf?/base/business-84/1217350149147300.xml&storylist=business
Post by: Fly320s on July 29, 2008, 01:07:24 PM
-posted via I-phone.
Post by: mtnbkr on July 29, 2008, 01:16:36 PM
Chris
Post by: thebaldguy on July 29, 2008, 01:30:56 PM
Post by: 280plus on July 29, 2008, 01:52:59 PM
Post by: BridgeRunner on July 29, 2008, 02:14:18 PM
I wonder if they will be able to collect back unemployment to the date of their last check?
Post by: HankB on July 29, 2008, 02:38:27 PM
Post by: Gewehr98 on July 29, 2008, 03:26:25 PM
Post by: Azrael256 on July 29, 2008, 04:24:07 PM
Quote
I read earlier that employees will get not get final paychecks.
Oh, that will not play well. Not paying employees for time worked is a big, big mistake here. TWC will get paychecks out of the sold assets.
Post by: seeker_two on July 29, 2008, 04:43:26 PM
Guess I'll be frequenting Fox & Hound more....
I read earlier that employees will get not get final paychecks. I'm guessing the top corporate dogs will get their last paycheck.
I smell class-action.....
Post by: thebaldguy on July 30, 2008, 03:51:15 PM
Quote
I read earlier that employees will get not get final paychecks.
Oh, that will not play well. Not paying employees for time worked is a big, big mistake here. TWC will get paychecks out of the sold assets.I've had some friends of mine that worked for a local bar/restaurant when they went under. They went to work one morning, found a note on the door, and the place closed up. They never got paid. The company that owned the place declared bankruptcy, and the employees got stiffed with the food distributors, liquor distributors, beer distributors, advertisers, etc. You can try taking them to court, but you will probably never collect even if you win. If they're bankrupt, they're bankrupt, and there's really nothing you can do.