Hallmark bankruptcy dismissed!

[TGlide]

Just read today the lawsuit against Hallmark has been dismissed and they are no longer in Chapter 11.

 

[eyemgh]

Hallmark Manufacturing Bankruptcy Dismissed

Hallmark Manufacturing’s bankruptcy has been officially dismissed. We visited and found the 54 year old company moving full speed ahead.

www.truckcampermagazine.com

 

[Pacific Northwest yetti]

....I don’t understand, even a little how that process works.
And I don’t want to see any family owned company go under. But if it was dismissed, (not allowed) does that not still mean that they owe a lot?

Instead of allowing them to start with a “clean” slate?

 

[tacollie]

Good for them.

My understanding is if it's in the best interest of the creditor chapter 11 can be dismissed. Maybe Hallmark was able to pay them?

 

[Alloy]

....
I don’t understand, even a little how that process works.
And I don’t want to see any family owned company go under. But if it was dismissed, (not allowed) does that not still mean that they owe a lot still?

Instead of allowing them to start with a “clean” slate?

May or may not owe money but the settlements are probably better than employees and vendors would get if it went through bankruptcy

 

[Steve_382]

Maybe just in time for the next downturn in the RV business..........

 

[plainjaneFJC]

May or may not owe money but the settlements are probably better than employees and vendors would get if it went through bankruptcy

Just speculation it it sounds like they owed there main supplier more than they could pay so they stopped delivering or the main supplier raised prices to a point that Hallmark felt they were held hostage so they bailed on paying. Just speculation..

 

[Alloy]

Just speculation it it sounds like they owed there main supplier more than they could pay so they stopped delivering or the main supplier raised prices to a point that Hallmark felt they were held hostage so they bailed on paying. Just speculation..

As companies run out of cash they'll start paying the squeaky wheels, only paying the main suppliers and/or start accounts with with new suppliers.

Suppliers that are owned money may put the company on cash only knowing if they cut the company off they may not get anything.

 

[Skinhyfish]

I bought a Milner this month back in a hallmark. I was at their shop last week. They helped get this new one setup. Awesome people and would buy from them anytime

 

[eyemgh]

The best line from that TCM article:

According to Hallmark Manufacturing, filing Chapter 11 was a defensive legal action taken to protect their company from a frivolous lawsuit brought by C.F. Maier Composites, Hallmark’s original fiberglass roof and panel supplier.

Because that's what suppliers do right ?, initiate frivolous lawsuits. Isn't that what mfrs and suppliers do to stay in business for 30+ years ? (sarcasm)

Without any supporting detail or motive given that characterization is damning and unfair.
And makes me wonder if the writer has ever been a supplier or mfr. Or been in business for a few decades dealing with buying and selling, credit and getting paid.

It's not an easy thing, you know.

Hallmark built their molds and supplied them to CF Meier. The quality CF Meier was producing was so poor, Hallmark had to seek another supplier. They used their molds for the new composite manufacturer. CF Meier sued them, claiming they were theirs, but they weren't. They were advised to undergo reorganization, so they could stop paying to defend a suit that was ultimately determined to be without merit. That is indeed the way it worked out. Just because a suit is meritless, doesn't mean that a corporation with deep pockets can't bleed a smaller company. That's what was happening. I'm glad it worked out in favor of Hallmark. They are the good ones in this story.

 

[eyemgh]

I also love how posters who have no clue about what was happening are quick to malign Hallmark.

The internet is such a strange place. It causes us to behave in ways that are oddly passive aggressive.

If you knew the Ward family, you’d know how off those random, unsupported musings are. You’d have to roam far and wide to find better, more honest people.

In the future, just hold your completely unsubstantiated thoughts to yourself rather than risk hurting someone who is upstanding and innocent.

 

[Macfly]

I just picked up my Gunella (Stormtrooper Replica) at the beginning of the month and all was humming along in full swing at Hallmark, with loads of beautiful units in manufacture. Happy to say I got a new roof on mine from the bonafide new quality supplier!