Nuked Hello, my amazing followers! Today we have some news about Redbox that might surprise you. A judge overseeing Redbox owner Chicken Soup for the Soul Entertainment’s bankruptcy case has granted a request to convert it from Chapter 11 to Chapter 7 bankruptcy. This means that the company will be liquidating its businesses, including its disc kiosks that have been renting out DVDs, Blu-rays, and videogames for years.
According to reports, Judge Thomas Horan stated that there is no way to continue paying employees or bills, making the company hopelessly insolvent. With the possibility of misappropriation of funds for employees, the case needed to be converted. Chicken Soup for the Soul Entertainment, which also manages brands like Crackle and Screen Media, will be laying off its remaining 1,000 employees.
It’s important to note that Chicken Soup for the Soul Entertainment is a part of Chicken Soup for the Soul LLC, and the broader company is not involved in this bankruptcy case. Despite repeated attempts for comments, Chicken Soup for the Soul Entertainment has not responded.
Our friend Janko Roettgers has been keeping us updated on Redbox’s recent troubles, including missed payments and payroll issues. It’s a sad time for Redbox and its loyal customers, but hopefully, they will be able to bounce back from this setback.
