Patrick T. Collins Quoted in Newsday on Wren Kitchens Chapter 7 Bankruptcy Filing and U.S. Store Closings

Wren Kitchens, a United Kingdom-based designer and manufacturer of kitchen cabinets and countertops, has filed for bankruptcy, closing all its stores nationwide last week, including 11 on Long Island.

Patrick T. Collins, a partner in Farrell Fritz’s Bankruptcy & Restructuring practice, shared his insights with Newsday on how the nature of the filing impacts recovery prospects.

From the article:

Given that the bankruptcy is a Chapter 7 filing and not a Chapter 11, where businesses attempt to reorganize debts to keep operating, prospects that affected consumers will be fully reimbursed are “not good,” said bankruptcy and restructuring lawyer Patrick Collins, a partner at Farrell Fritz in Uniondale.

“The fact that it’s a Chapter 7 versus a Chapter 11 usually tells you that the liquidation is not likely to yield a lot for creditors,” Collins said.

Read the full article on Newsday: Wren Kitchens closes all LI and U.S. showrooms as part of bankruptcy filing – Newsday