New Delaware Chapter 11 Filing – The Wet Seal, LLC

Save as PDF

The Wet Seal, LLC and two if its affiliates filed petitions for relief under Chapter 11 in the Bankruptcy Court for the District of Delaware (Case No. 17-10229).  The Wet Seal, a teen clothing retailer, which emerged from Chapter 11 in early 2015 after being purchased by Versa Capital Management LLC.  As reported last week, Wet Seal will close all of its stores after being unable to find a new source of capital or a buyer.  Wet Seal has filed an emergency motion to assume its contracts with two liquidators— Hilco Merchant Resources, LLC and Gordon Brothers Retail Partners, LLC—and for court approval of store closing sales.  The First Day Declaration has not yet been filed.  Donlin, Recano & Company is the proposed claims and noticing agent.  The cases have been assigned to the Honorable Christopher S. Sontchi.

Contact Norman L. Pernick and Nicholas J. Brannick for more information.

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

Check all areas of law you are interested in receiving e-newsletters and alerts about:(Required)
This field is for validation purposes and should be left unchanged.

Our Practices



Our Industries