Ruby Tuesday

The firm represented RTI Holding Company and 50 of its affiliates in their chapter 11 bankruptcy cases in Delaware bankruptcy court. The companies develop, operate, and franchise casual dining restaurants in the United States and five foreign countries under the Ruby Tuesday® brand. At the time they commenced their bankruptcy cases, there were over 250 Ruby Tuesday restaurants worldwide. The bankruptcy filings arose primarily from the impact of the COVID-19 pandemic and the resulting governmental actions closing or limiting the business activities of the restaurant industry. Ruby Tuesday’s successful plan of reorganization was predicated on a restructuring support agreement reached with its secured lenders through which the company implemented an operational restructuring of leases and a financial restructuring through which substantially all of its operating assets were transferred to its lenders, backstopped by a marketing and sale process. The court confirmed Ruby Tuesday’s plan after only four months under bankruptcy protection.