North Texas residents are familiar with the Fort Worth Sheraton Hotel and Spa. For years, the Fort Worth Sheraton has been a spot for romantic weekends, conferences, and up-scale business meetings. Today, however, it’s a symbol of the bankruptcy marketplace in action, or, more accurately, bankruptcy inaction.
Most individuals and small business owners think of bankruptcy as a financial graveyard. It’s the place where business dreams – and business assets – go to die. That may be an easily understood fiction, but it’s not the reality of most bankruptcies.
The more complicated reality is that personal goods and real property are regularly bought and sold in bankruptcy courts across the country, including the bankruptcy courts of the Northern District of Texas. In fact, for many equity holders, declaring bankruptcy is sometimes a powerful and strategic way to force a sale and liquidate an asset.
Regardless of whether this strategy is at play for the owners of the Fort Worth Sheraton, it doesn’t seem to be working. A recent report from bankruptcy proceedings in Judge Lynn’s court found that the proposed deal in late 2012 had died and attempts to sale the multimillion-dollar hotel had stalled.
Is your business struggling financially? The attorneys at Fears Nachawati are prepared to advise you of your rights and are prepared to address whether a sale out of bankruptcy is a strategy you should pursue. Talk to our professionals today to learn what you need to know about what your legal and financial options.