From: Breaking Legal News
Movie Gallery Inc., the owner of struggling movie rental chain
Hollywood Video, is planning to close its remaining stores and
liquidate as consumers are increasingly get movies through the
mail, vending machines and high-speed Internet connections.The No.
2 rental chain behind Blockbuster Inc. filed a notice with the U.S.
Bankruptcy Court for the Eastern District of Virginia in Richmond
late last week that it will terminate its business operations after
defaulting on a loan from one of its creditors.An agreement filed
with the court sais the move to close more than 1,900 remaining
stores is in the "best interests" of the company and its creditors.
The agreement does not specify a time line. It must be approved by
a bankruptcy judge.Phone calls to Movie Gallery and an attorney
representing ...
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