El Pollo Loco Franchisees’ Chapter 11 Filing Made by PWK
All 13 SoCal Operations Remain Open and Serving Customers
February 14, 2011- A bankruptcy petition has been filed by Peitzman, Weg & Kempinsky LLP on behalf of Pollo West Corp. and Mi Pollo Inc., the owners and operators of 13 El Pollo Loco fast-food restaurants in Southern California.
The companies currently have 255 employees and own locations in Thousand Oaks, El Segundo, Northridge, Santa Maria, Los Angeles, Paso Robles, Glendale, Van Nuys, Ventura, Huntington Beach, Oxnard, and Agoura Hills.
Lead counsel on the chapter 11 filing is PWK partner David Shemano who said, “As a result of the recent financial crisis, many franchisees nationwide are financially stressed. In using chapter 11 to reorganize, Pollo West and Mi Pollo have the support of their franchisor and will continue to operate their restaurants and serve customers without any interruptions. The companies look forward to working with their creditors to exit chapter 11 as soon as possible.”
Secured creditors in the case include General Electric Capital Corporation and AMRESCO Commercial Finance LLC. A hearing on final approval for use of cash collateral is scheduled for March 10, 2011 in the San Fernando Valley Division of the U.S Bankruptcy Court, Central District of California. PWK attorneys teaming with Shemano to represent the El Pollo Loco franchisees include Monsi Morales and Howard Weg.