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Dinner Lab files for Chapter 7 bankruptcy after closing doors

A company that was established in another state in 2012 recently succumbed to financial pressures and closed its doors. Initially, Dinner Lab had a unique concept that involved hosting pop-up dinners in novel settings at which up-and-coming chefs prepared the meals. The customers then provided feedback after finishing their meals. Before filing for Chapter 7 bankruptcy, the company's owners attempted to sell the data gathered in this manner but found no interested parties.

The entrepreneurial community loved the idea and provided funding totaling over $10.5 million, of which $7 million was reportedly received as recently as last August. Dinner Lab acquired a competing company in California in December 2015 and also expanded to 30 other cities, including some in California. The company closed its doors in April and recently filed for Chapter 7 bankruptcy.

According to the initial bankruptcy filing, the assets of Dinner Lab were stated to be between $100,001 and $500,000. The business's debts were estimated to be between $500,001 and $1 million. The company's 284 creditors reportedly include businesses across the country, along with some in India and Canada. It is uncertain whether the company's paid members will receive refunds.

Filing for a Chapter 7 bankruptcy can provide relief from debt in a rairly short period of time. Although some assets will be sold at auction to obtain funds to pay creditors, some unsecured debts will be discharged. The moment a bankruptcy is filed, an automatic stay will be put in place that will put a stop to all creditor actions and harassment. The support and guidance of an experienced California bankruptcy attorney can be invaluable during this stressful time.

Source:, "Dinner Lab declares bankruptcy", Todd A. Price, June 13, 2016

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