Century 21 joins additional than two dozen suppliers who have submitted for personal bankruptcy since the pandemic, which forced non-necessary suppliers to quickly near.
In a assertion, the New York-dependent business said that the final decision adopted nonpayment by the company’s insurance policy providers of somewhere around $a hundred seventy five million due beneath guidelines place in put to protect towards losses stemming from business interruption. Insurance policy dollars aided it rebuild its flagship shop, a magnet for locals and travellers in downtown Manhattan after it was weakened by the nine/11 assaults, the business said.
“We now have no practical alternative but to start out the closure of our beloved family business for the reason that our insurers, to whom we have compensated major premiums each individual 12 months for safety towards unexpected instances like we are experiencing now, have turned their backs on us at this most essential time,” said Century 21 co-CEO Raymond Gindi in assertion.
Gindi said that if Century 21 had acquired “any meaningful portion” of the insurance policy proceeds, it would have been able “to save 1000’s of work opportunities and climate the storm in hopes of an additional remarkable restoration.”
The business said that it truly is eliminating to the personal bankruptcy courtroom a lawsuit pending in the Supreme Court docket of the State of New York towards several of its insurance policy providers dependent on their failure to compensate the business for its losses beneath the guidelines. The business is requesting that the personal bankruptcy courtroom expedite the adjudication of the accommodate for the reward of its stakeholders.
Century 21 says it truly is setting up likely-out-of business revenue at all of its suppliers and online.