The once-iconic brand, emblematic of LA youth culture and “Made in America” pride, is closing its doors for good. Once the bread and butter of hipster styles and simple, counterculture fashion, American Apparel has been bought by Gildan: a Canadian active-wear company.The deal cost Gildan 88 million dollars.
At its prime, American Apparel generated $633 million in sales and had over 200 stores in 20 different countries. The company’s refusal to outsource American manufacturing jobs to cheaper labor and a steadfast sweatshop-free ethos created a loyal following throughout its time in operation. Created in former founder Dov Charney’s college dorm room in 1989, the company quickly grew to be a household name in retail through its trendy, American-made manufacturing and sexually provocative marketing campaigns. Despite its success, the company faced internal problems for the past few years, not limited to sexual harassment lawsuits aimed at Charney, employee anger at questionable labor practices, drops in sales, and huge debts coupled with costly legal battles. Charney was eventually ousted from his own company and American Apparel subsequently declared bankruptcy twice in one year.
Also attributable to the company’s demise were changing consumer tastes, the decline of brick-and-mortar success brought by the rise in online retail, and competitive pricing by similar brands such as Zara and H&M. Gildan purchased American Apparel’s intellectual property and manufacturing equipment for $88 million, as well as its purchase orders and inventory for $15 million. However, American Apparel’s stores were not included in the Gildan deal and the closure of its retail stores and manufacturing plants will lay off roughly 2,400 employees.
The end of a successful business is painful for owners, employees, and consumers alike. At the Bradford Law Offices, PLLC, our knowledgeable business bankruptcy lawyers represent struggling businesses that have looked to bankruptcy for financial relief. If you are experiencing financial turmoil in your company, contact our Raleigh offices at (910) 668-0006 for support and guidance in your case.
To possibly save his home and settle overwhelming debts to creditors, hip hop artist Earl Simmons a.k.a. “DMX” has once again filed for bankruptcy, a December 29 report of Mail Online stated.
Court papers revealed the 46-year-old Simmons had filed for Chapter 13 Bankruptcy in a move to save his house in Mount Kisco, New York. The rapper, who claims that he is financially struggling, had $2,030,970 worth of debt to various creditors. DMX identified family support as his major creditor, followed by Compass Bank and other support payments that he had failed to settle. Bankruptcy is not new for the Bronx rapper as he had also filed two other bankruptcies since the year 2009. Many speculate that DMX’s struggle with his finances comes after fathering 15 children to multiple women.
In the situation that you are dealing with overwhelming debt, working with a skilled lawyer is critical if you are considering to file for bankruptcy. Discuss your situation with a Bradford Law Offices, PLLC lawyer in Fayetteville today by calling (910) 668-0006 to learn more about your options.
Married couples generally combine financial accounts, and are therefore each affected by the other’s financial decisions. During financially trying times, it is possible for these couples to file for bankruptcy separately, but it can also be worth considering filing together.
Filing for joint bankruptcy in Raleigh can be efficient as couples only need to fill out one application form. Couples who have decided to file for joint bankruptcy are both protected by law from persistent creditors who can aggressively attempt to collect owed payments through harassment. Joint bankruptcy is also relatively cheaper than two separate bankruptcy filings. Nonetheless, it is important to remember that joint bankruptcy will affect both both credit scores.
If you want to know more information on filing for joint bankruptcy, contact the lawyers at the Bradford Law Offices, PLLC in Raleigh. Call our office today at (910) 668-0006 to find out how we may represent you.
Los Angeles-based clothing company American Apparel Inc. might file for bankruptcy a second time. The revelation comes just months after the company exited an earlier bankruptcy filing last year, a report of Bloomberg stated on October 27.
Bankruptcy is under consideration again by American Apparel so they can potentially cut down portions of their retail operations by exiting leases. The company completed bankruptcy procedures last February after they filed in October last year. American Apparel’s first filing was made after its founder and longtime CEO Dov Charney was accused of misconduct that got him fired. Sources, who requested anonymity, stated that the new management failed to reinstate the brand based on their plan.
If you decide to seek bankruptcy protection, working with a skilled legal team is critical, especially if you need the best deal to get your financial footing back. Call the legal team at the Bradford Law Offices, PLLC in Fayetteville today at (910) 668-0006 to learn more about your options.
After making millions in the NBA, former LA Clippers member Darius Miles recently filed for bankruptcy after several unfortunate events in his life, Belleville News-Democrat reported on September 16.
Reports said the 34-year-old ex-Clippers forward sought bankruptcy protection in June. Court documents revealed that Miles had liabilities worth $1.57 million, while his assets declared totaled $460,385. Reports revealed in addition to suffering incapacitating injuries, Miles made some bad investment decisions and got into trouble with the law.
In Fayetteville, lawyers at the Bradford Law Offices, PLLC understand that many individuals are also dealing with financial problems. We may offer you other legal options that could help you recover from overwhelming debt. Speak with us today by calling (910) 668-0006.
Gawker media has announced that it will be seeking chapter 11 bankruptcy protection as the company has recently been involved in several expensive lawsuits that resulted in hefty fines for the media giant. The most notable of these lawsuits was a $140 million verdict awarded to Hulk Hogan over Gawker leaking Hogan’s personal video.
Gawker Media will continue its normal operations as prescribed under the chapter 11 Bankruptcy Code. Gawker has also recently announced that the company’s assets will be liquidated in order to fund the appeal of Hogan’s trial. The company and its seven main media brands are expected to be sold at auction later this year to several interested media corporations. The parent company of Gawker Media states that this liquidation will preserve Gawker Media Groups’ other assets as well as save Gawker Media jobs.
If you or someone you know is considering filing chapter 11 bankruptcy, the legal professionals of Bradford Law Offices, PLLC are here to help. Our attorneys are dedicated to helping people make the most out of the bankruptcy system. Contact our office at (910) 668-0006 today!
The popular grocery store Winn-Dixie filed for Chapter 11 bankruptcy a little over 10 years ago. Despite its roots that trace back to 1925, the grocery store chain was forced to close over 350 locations back in 2005. Even the beloved children’s novel, Because of Winn Dixie, couldn’t save the store from the recession.
However, a lot has changed for the company since its financial decline in the early 2000’s. Winn-Dixie has since seen a huge increase in its profits, which pushed $10 billion in 2014. The chain began to modernize their stores and create new marketing strategies.
The Winn-Dixie brand was family-owned-and-operated until the food retailer was sold for $530 million to BI-LO holdings, the owners of Sweetbay Supermarkets. By 2013, all remaining Sweetbay Supermarkets were renamed Winn-Dixie. The Winn-Dixie name is now associated with over 500 locations.
Not all bankruptcies end in failure. If your business is considering filing for bankruptcy, you should find strong and knowledgeable legal support. The business bankruptcy lawyers at the Bradford Law Offices, PLLC have helped many businesses and individuals get through the complicated bankruptcy procedure and emerge successfully. Call our offices at (910) 668-0006 to hear more about what we can do for you!
Many people nowadays are putting up their own small business, hoping it would sustain their everyday financial needs. However, some entrepreneurs in Fayetteville find themselves struggling with overwhelming debt. If you think you are in such stressful situation, there are various ways that you can do to keep your business afloat.
Entrepreneurs who have to consider a way to manage their debt may initially want to use their personal finances to sustain the cash flow of their business for a short period of time; most will do this only if they think it will benefit them in the future. Entrepreneurs may want to maximize the efficiency of their resource use to lessen their overhead cost. Options in reducing costs could be in the form of workforce reduction or subleasing of idle space. Always keep in touch with suppliers and customers to give you a realistic idea on how you could further improve your business. Make sure to regularly keep in touch with lenders and try to collate all of your debt to make it less difficult to pay.
While the above tips are worth considering to possibly save your business, the Fayetteville attorneys at the Bradford Law Offices, PLLC understand that there are still entrepreneurs out there having a hard time in dealing with their debt. If you think that your debt has become entirely unmanageable, discuss your situation with us today by calling (910) 668-0006 to find out how we may help you.
Due to stiff marketing competition and “macroeconomic challenges,” Vertellus Specialties Inc., a novelty chemical company, recently filed for Chapter 11 Bankruptcy, an article of Indianapolis Business Journal reported on June 6.
The Indianapolis-based company, which has five facilities in other states, is well-known for their chemicals that are used in other industries and consumer products. In its bankruptcy documents filed recently, Vertellus has listed its liabilities between $500 million and $1 billion, while their assets range from $100 million to $500 million. Private equity company Wind Point Partners will likely sell Vertellus to a Delaware-based corporation, Valencia Bidco LLC, as part of the deal. Interested parties are given a deadline of August 15 to submit their bids.
At the Bradford Law Offices, PLLC in Fayetteville, our team represents business owners who have decided to file for Chapter 11 bankruptcy. We may be able to work on your behalf to help you receive the best deal possible in your filing. Call our office at (910) 668-0006 to learn more about your legal options.
Core Media Group, the company behind television hits “American Idol” and “So You Think You Can Dance,” recently sought bankruptcy protection due to overwhelming liabilities and decreased revenue. Court documents revealed the company’s profits declined after the TV show “American Idol” approached its final season due to plummeting ratings.
When “American Idol” began, it would regularly draw 30 million viewers per episode, but it only drew 13.3 million viewers during its final show. Core, based in West Hollywood, reportedly listed $512 million in liabilities and only $73 million in assets. The company claimed their revenue started to significantly decrease around 2015.
Filing for bankruptcy is a viable option for businesses that are faced with financial issues due to a decline in the economy, and working with a qualified lawyer could help you recover from serious financial troubles. If you are considering filing for bankruptcy, call (910) 668-0006 to speak with a lawyer at the Bradford Law Offices, PLLC to learn more about your options.