Franchisee Chapter 11: A Primer for Franchisors

This article addresses the challenges faced by franchisors when their franchisees file for Chapter 11 bankruptcy.

25 minute read January 30, 2008 at 01:43 PM

Daniel M. Eliades And David S. Catuogno

Franchisee Chapter 11: A Primer for Franchisors

With the American economy softening, franchisors are increasingly worried about the financial health of their franchisees. Oftentimes, troubled franchisees will seek refuge in the bankruptcy courts, hoping to reorganize their business affairs under Chapter 11 of the Bankruptcy Code (the 'Code').

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