Case Conclusion Date:August 31, 2012
Practice Area:Chapter 11 Bankruptcy
Outcome:Successfully dismissed the bankruptcy after the restaurant had reorganized.
Description:This was a small business Chapter 11 bankruptcy for an Italian Restaurant. The restaurant had lost their liquor license because of unpaid taxes. On September 19, 2011, we filed for Chapter 11 bankruptcy protection. The first thing we did was force the franchise tax board to restore their liquor license so the restaurant could continue to operate. We then negotiated a reduced lease for the duration of the bankruptcy, so that the restaurant had the breathing room it needed to focus on generating income without problems from the landlord or the tax board. Ultimately, we bought the restaurant one full year to reorganize its debts, we reduced all non-tax debts to half of their face value, and we were successful in voluntarily dismissing the bankruptcy case.