On what date did the court approve the pre-packaged Plan of Reorganization for Cicis and its creditors?
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.
Source: Item 4 — BANKRUPTCY (FDD page 11)
What This Means (2025 FDD)
According to Cicis's 2025 Franchise Disclosure Document, the U.S. Bankruptcy Court for the Northern District of Texas approved the pre-packaged Plan of Reorganization for Cicis and its creditors on March 3, 2021. This bankruptcy filing involved several of Cicis's current and former affiliates, including Cici's Holdings, Inc., Awesome Acquisition Company, and CiCi Enterprises, among others. These entities filed a voluntary petition under Chapter 11 of the U.S. Bankruptcy Code on January 25, 2021.
The approval of the reorganization plan signifies a crucial step in Cicis's financial restructuring. Following the court's approval on March 3, 2021, 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, with the case against Pizza Parent, LLC, being closed later on August 30, 2024.
For a prospective franchisee, this information indicates that Cicis has undergone a significant financial event in recent years. While the company has emerged from bankruptcy, it is essential to understand the implications of this event on the franchise system's stability and future growth. A potential franchisee should inquire about the specific changes implemented during the reorganization, the current financial health of Cicis, and any potential risks or opportunities that may arise from the bankruptcy proceedings.