Chapter 7 Bankruptcy Sticks to the Roof of Your Mouth

Written by CFB Blogger. Posted in Blog

Sunland Inc., the largest organic peanut butter processor in the United States, has recently closed its doors and filed for Chapter 7 bankruptcy. The goober processing facility, located in eastern New Mexico near the city of Portales, was involved in a nationwide outbreak of salmonella poisoning in 2012. The bankruptcy filing shows that Sunland has an estimated $10 million to $50 million in assets, $50 million to $100 million in liabilities and 1,000 to 5,000 creditors. At the time of the closure, the company employed some 100 workers. According to articles from the Amarillo Globe-News and The Associate Press, the Food and Drug Administration shuttered the plant in September 2012 after its products were linked to 41 salmonella cases in 20 states. Most of those were linked to natural peanut butter the company made for Trader Joe’s.  Sunland recalled over 100 tree-nut and peanut butter products following the outbreak. The plant also processed peanut butter for such retailers as Costco and Kroger, as well as nut butter products marketed under its own name. Sunland had reopened in May but reportedly suffered severe deleterious financial ramifications from the eight-month closure and lawsuits resulting from the salmonella outbreak. Portales Mayor Sharon King called Sunland’s closing a “very sad day for our community”, acknowledging that Sunland had been in business for decades. If you are contemplating filing Chapter 7 or Chapter 13 personal bankruptcy, call the Client First Bankruptcy experts. Our experienced bankruptcy attorneys are available for mini-phone consultations Monday through Friday from 8:30 a.m. to 6:00 p.m. (Central Time) to answer your financial debt questions. The skilled Client First Bankruptcy lawyers have years of experience in all aspects of Chapter 7 and Chapter 13 bankruptcy relief.  We have helped thousands of clients eliminate their debt, including reducing principal balances on underwater second mortgages.  With Client First Bankruptcy’s flexible payment plans, we will work within your budget. Log onto www.clientfirstbankruptcy.com for important bankruptcy info and call us toll-free at 800-383-6004. We’re on your side; let us show you how we can help.