New Delaware Chapter 11 Filing – Kona Grill, Inc.
Kona Grill, Inc. (OTCMKTS: KONA), along with eight affiliates and subsidiaries, has filed a petition for relief under chapter 11 of the Bankruptcy Code in the Bankruptcy Court for the District of Delaware (Lead Case No. 19-10953). Kona Grill, headquartered in Scottsdale, Arizona, operates a casual restaurant chain with 27 restaurants in 18 states, and has approximately 2,400 employees. According to the First Day Declaration, Kona Grill has filed as a result of declining store sales and has closed twenty locations over the past two years. The First Day Declaration further explains that Kona Grill intends to pursue a sale of its assets under section 363 of the Bankruptcy Code. Epiq Restructuring is the proposed claims and noticing agent. The cases have been assigned to the Honorable Chief Judge Christopher S. Sontchi.
As the law continues to evolve on these matters, please note that this article is current as of date and time of publication and may not reflect subsequent developments. The content and interpretation of the issues addressed herein is subject to change. Cole Schotz P.C. disclaims any and all liability with respect to actions taken or not taken based on any or all of the contents of this publication to the fullest extent permitted by law. This is for general informational purposes and does not constitute legal advice or create an attorney-client relationship. Do not act or refrain from acting upon the information contained in this publication without obtaining legal, financial and tax advice. For further information, please do not hesitate to reach out to your firm contact or to any of the attorneys listed in this publication.
Join Our Mailing List
Stay up to date with the latest insights, events, and more