Did the Cicis bankruptcy filing involve a voluntary or involuntary petition?
Cicis Franchise · 2025 FDDAnswer from 2025 FDD Document
U.S. Bankruptcy Court, Northern District of Texas (Dallas) Bankruptcy Petition: 21-30146-sgj11: On January 25, 2021, some of our current and former affiliates, namely, Cici's Holdings, Inc., Awesome Acquisition Company, CAC, CiCi Enterprises, CiCi GP, LLC, CiCi Services, JMC GP, LLC, JMC Restaurant Distribution, LP, and Pizza Parent, LLC, filed a voluntary petition under Chapter 11 of the U.S. Bankruptcy Code. All the debtors share our principal business address. On March 3, 2021, the court approved the debtors' and creditors' pre-packaged Plan of Reorganization, and March 10, 2021, CiCi Enterprises emerged from bankruptcy. On July 2, 2021, the bankruptcy cases against all the petitioners except Pizza Parent, LLC were closed. On August 30, 2024, the case was closed against Pizza Parent, LLC.
Other than this action, no bankruptcy is required to be disclosed in this Item.
Source: Item 4 — BANKRUPTCY (FDD page 11)
What This Means (2025 FDD)
According to the 2025 Cicis Franchise Disclosure Document, the bankruptcy filing on January 25, 2021, involved a voluntary petition. Cici's Holdings, Inc., along with other current and former affiliates, filed the voluntary petition under Chapter 11 of the U.S. Bankruptcy Code.
The court approved the debtors' and creditors' pre-packaged Plan of Reorganization on March 3, 2021, and CiCi Enterprises emerged from bankruptcy on March 10, 2021. The bankruptcy cases against all petitioners, except Pizza Parent, LLC, were closed on July 2, 2021. The case against Pizza Parent, LLC, was later closed on August 30, 2024.
This indicates that Cicis initiated the bankruptcy process themselves rather than having it forced upon them by creditors. This is an important distinction for prospective franchisees as it shows the company took proactive steps to address financial difficulties.