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    14 Notable Retail Bankruptcy Cases of 2025

    Press RoomBy No Comments5 Mins Read

    • The retail sector has had a tough run this year, and business bankruptcies have been on the rise.
    • Some companies have dissolved while others have negotiated a solution — or a buyer.
    • Here are some of the more notable retail bankruptcy cases that took place in 2025.

    This year has been a rough one for retailers.

    Business bankruptcies across the country have been on the rise in recent years, according to an analysis from the Administrative Office of the US Courts, and 2025 has seen several prominent retail brands involved.

    Some retail brands started the year already engaged in the bankruptcy process, while others filed for protection as the months went by.

    Among them, several have found themselves in bankruptcy for the second time in just a few years, and a few have managed to find buyers interested in keeping their brands alive through an acquisition.

    Here is a roundup of 14 of the more notable retail bankruptcy cases that unfolded in 2025.

    At Home — filed in June, exited in October


    People walk toward an At Home store.

    At Home.

    LM Otero/AP

    Texas-based housewares chain At Home filed for Chapter 11 protection in June and emerged in October with a new ownership agreement among a group of its lenders.

    JoAnn Fabric — filed in January, closed in May


    Joann Fabric

    JoAnn Fabric.


    Joann

    Arts and crafts retailer JoAnn filed in January for its second Chapter 11 status in less than a year, and wound down its stores over the next several months.

    Party City — filed in December, closed in February


    A sign in a Party City store on January 18, 2023 in Miami, Florida.

    Party City.

    Joe Raedle/Getty Images

    Just over a year after exiting bankruptcy in October of 2023, Party City again filed for Chapter 11 protection in December 2024. The company spent the early months of 2025 closing corporate-owned stores.

    Forever 21 (US) — filed in March, closed in May


    Forever 21

    Forever 21.

    Kevin Carter/Getty Images

    Citing pressure from fast-fashion e-commerce brands like Shein and Temu, shopping mall favorite Forever 21 filed for Chapter 11 protection in March and shuttered its US locations the following month.

    Rite Aid — filed in May, closed in October


    A Rite Aid store in Brooklyn on August 28, 2023 in New York City.

    Rite Aid.

    Spencer Platt/Getty Images

    Pharmacy chain Rite Aid filed for its second bankruptcy just eight months after exiting its first. The company sold most locations to rivals like CVS and Walgreens and closed its remaining stores in October.

    Bargain Hunt — filed in February, closed in February


    Bargain Hunt

    Bargain Hunt.

    Hilco Consumer – Retail

    Ultra-discounter Bargain Hunt filed for Chapter 11 in February and moved quickly to close all 92 US locations.

    The Container Store — filed in December, emerged in January


    A customer leaves after shopping at The Container Store in Chicago.

    The Container Store.

    Scott Olson/Getty Images

    Organizing specialists The Container Store filed for Chapter 11 protection in late December 2024 and emerged weeks later with a lighter debt load and private ownership.

    Hooters — filed in March, emerged in November


    A Hooters restaurant is seen on February 24 in Pembroke Pines, Florida.

    Hooters.

    Joe Raedle/Getty Images

    Chicken-wing and skimpy-uniform restaurant chain Hooters filed for Chapter 11 protection in March and emerged several months later under a deal with the company’s original founders to “re-Hooterize” the brand.

    Candy Warehouse — filed in October, case ongoing


    Jack O'Lantern bucket filled with and surrounded by gummy sweets, sweet and sour jellied candy and candy corn, on a purple background.

    Happy Halloween.

    mtreasure/Getty Images

    Online bulk candy retailer Candy Warehouse filed for Chapter 11 protection in October on the eve of one of the biggest sweets-purchasing holidays of the year.

    Del Monte — filed in July, case ongoing


    Walmart customers shop the aisles stocked with Del Monte, Armour and Hormel canned goods.

    Del Monte.

    Jeffrey Greenberg/Universal Images Group via Getty Images

    Grocery store staple Del Monte Foods filed for Chapter 11 protection in July as it seeks to restructure its business. The company said it secured $912.5 million in financing from existing lenders, which allows it to remain in business while it looks for a buyer.

    Bar Louie — filed in March, purchased in October


    Bar Louie sign

    Bar Louie.

    George Rose/Getty Images

    Martini and burger chain Bar Louie filed for Chapter 11 protection in March, five years after navigating the process and closing dozens of locations. In October, Sun Holdings purchased the company out of bankruptcy, adding to a portfolio that includes several quick-serve and full-service chain locations.

    Hudson’s Bay — filed in March, IP sold in June


    FILE PHOTO: People walk into the Hudson's Bay Company (HBC) flagship department store in Toronto January 27, 2014. REUTERS/Mark Blinch/File Photo

    Hudson’s Bay Company.

    Reuters

    Canada’s 355-year-old retail icon Hudson’s Bay Company entered an arrangement with creditors in March. Unable to secure new financing, HBC closed its doors in June and sold its brand name and IP to Canadian Tire.

    Claire’s — filed in August, sold in August


    Claire's storefront

    Claire’s.

    Jordan Hart/Business Insider

    Ear-piercing boutique Claire’s filed for Chapter 11 protection in August for the second time in seven years and was quickly sold to a private equity firm that pledged to preserve much of the chain’s retail footprint.

    Liberated Brands — filed in February, dismissed in May


    People hold store closing signs outside a Quiksilver and Roxy surf, skateboarding and swimwear retail store on February 8, 2025 in San Diego, California.

    Quiksilver.

    Kevin Carter/Getty Images

    Apparel group Liberated Brands, which operated surf lifestyle brands like Billabong, Roxy, RVCA, and Quiksilver, filed for Chapter 11 protection in February. The move came after Authentic Brands Group terminated the company’s license to use its labels and transitioned them to another partner.

    The case was dismissed in May when Liberated Brands was unable to pay its secured lenders in full, leaving unsecured creditors like suppliers and service providers unpaid.

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