What conditions caused the restaurant chain Bennigans to go bankrupt?
Restaurant chains Bennigan’s and Steak & Ale have filed for Chapter 7 bankruptcy protection and stores owned by its parent company will shut their doors, including 11 in Colorado. The companies owned by privately held Metromedia Restaurant Group of Plano, Texas, filed for bankruptcy protection today in the Eastern District of Texas, less than two months after Metromedia said it was not preparing to do so. Metromedia Restaurant Group is a part of Metromedia Co., owned by billionaire John Kluge, that has interests in entertainment, radio stations and medical equipment. In a Chapter 7 filing, a company seeks to liquidate its assets and shut down. Locations owned by franchisees were not part of the bankruptcy filing and will not be shut down, said Larry Briski, president of the Bennigan’s Franchise Operator Association. “They will be open today, tomorrow and months and years to come,” Briski said of the franchise locations. The 138 domestic and international franchisee-owned restaurants ar
