Meryvn's vendors seek return of goods or immediate payment of $3.89 million claim

By Caroline Salls

Pittsburgh, Sept. 24 - Mervyn's Holdings, LLC vendor factoring agreement party GMAC Commercial Finance LLC asked the U.S. Bankruptcy Court for the District of Delaware to order Mervyn's to return all of the goods sold to the company by the vendors in the 45 days leading up to its bankruptcy filing, according to a Tuesday court filing.

GMAC is also asking the court to order Mervyn's to immediately pay a $3.89 million administrative claim for the goods sold in the 20 days leading up to the bankruptcy filing date if the company does not return all of the 45-day goods in question.

According to the motion, GMAC and the vendors are owed more than $10 million for goods sold and delivered to Mervyn's, including $9.83 million for the 45-day goods and $3.89 million for the 20-day goods.

A hearing is scheduled for Oct. 21.

Mervyn's, a San Francisco-based department store, filed for bankruptcy on July 29. Its Chapter 11 case number is 08-11586.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.