Bankruptcy court leaves Haggen creditors out in the cold

KGMI News

DELAWARE – Creditors who are still owed more than $100-million from the Haggen bankruptcy debacle have been turned away by a U.S. Bankrupcty Court judge.

The Bellingham Herald reports the judge ruled that Haggen and its majority owner, Comvest, acted in good faith in their attempt to expand from 18 to more than 150 stores in a deal with Albertsons in 2014.

It took just months for Haggen to declare bankruptcy, shed most of the stores and eventually be absorbed by Albertsons.

The judge ruled that people who act “foolish” but in good faith are protected.