Among all the stresses and tough decisions that filing for Chapter 11 brings onto already struggling retailers, there are a few bright spots to the process. Namely, it’s pace — if retailers want to move things slowly enough to wait and see if an angel investor or acquisition-happy competitor will come along at the 11th hour, there are ways to muddy up the legal process if it’s in merchants’ best interest.
However, dallying too long can tip those same companies out of the financial frying pan they’d just gotten used to and into the fire of wholesale liquidation.