Four companies that operate several Golden Corrals in the Dallas - Fort Worth area have to file for bankruptcy because of a judgment against a sister company.
If you ever visit Golden Corral for a meal, you can be thankful that they are going to be able to stay operational thanks to a Chapter 11 bankruptcy filing. Four companies that operate nearly 50 Golden Corrals in multiple states filed for bankruptcy protection in Fort Worth last week.
Gillermo Perales owns several companies, including the four filing for bankruptcy. A judgment against one of the other companies, which has since gone out of business, is what is forcing the four to go into bankruptcy.
A former teenage employee of a Euless Burger King, owned by Mr. Perales, was awarded a nearly million dollar judgment. The substantial judgment was too much for Mr Perales' restaurants to handle, because they operate with such a small margin.
The bankruptcy attorney for the companies, Davor Rukavina, said, "it's business as usual... The customer will see no change." When speaking of the company's super thin margins Rukavina said, "To be forced to give somebody a million dollars, there is no million to replace that to pay for the food and to pay the workers."
Anyway, it's easy to see that Chapter 11 bankruptcy is going to give Mr. Perales' companies a second chance. A major unexpected expense is always hard to swallow for anybody. If you think you might need a second chance in your financial life, contact a bankruptcy attorney to get help.