New Delaware Chapter 11 Involuntary Filing – Oak HRC New Castle, LLC

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On January 12, 2018, an involuntary chapter 11 petition was filed against Oak HRC New Castle, LLC, a rehabilitation facility located in Wilmington, Delaware, and health care business (as defined in 11 U.S.C. 101(27A)).  The petitioners, each asserting trade claims, are: Healthcare Services Group, Inc. ($164,712.80), McKesson Medical-Surgical Minnesota Supply Inc. ($63,291.25), and Medline Industries, Inc. ($34,524.76).  The petitioners allege that the debtor is generally not paying its debts as they become due and that a custodian has been appointed or took possession of the debtor’s property in the last 120 days.  The case has been assigned to the Honorable Kevin Gross.

Contact Norman L. Pernick or Nicholas J. Brannick for more information regarding this matter.  Please note, however, that Cole Schotz P.C. does not represent the debtor in this case and cannot respond to questions directed toward the debtor.

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.

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