Chartbusters wins in court bid to pull out of six stores
The High Court has granted Chartbusters home entertainment stores orders revoking lease agreements it had entered into for a number of its outlets.
The company had claimed that the termination of the lease agreements, for premises that the company says it no longer needs, will allow the court- appointed examiner to the company to finalise his scheme of arrangement.
If successful and approved by the company's creditors and the High Court, the scheme will allow Chartbusters to be restructured and trade into the future. The company hopes that 23 of its 36 stores may be saved.
Yesterday, Mr John Edwards granted the company application to have the lease agreements in relation to six stores repudiated. The examiner intends to include any outstanding liabilities of the landlords as unsecured creditors in the proposed scheme of arrangement.
liabilities
Premises Chartbusters leased include shops at Golden Island Shopping Centre in Athlone, Carrigaline, Co Cork, Christ-church, Dublin 2, The Maple Centre, Dublin 7, Anne Street, Newbridge in Co Kildare, and Terenure Place, Dublin 6W.
Barrister Gary McCarthy, for the company, said that the outstanding liabilities of the various landlords in relation to those premises was put at a total of more than €1.8m. There was no objection to the orders.
He said that the company's application to end the lease for a premises at the Crescent Shopping Centre in Limerick was being withdrawn, while an application in relation to a premises at O'Hagan House, Ranelagh, Dublin 6, could be struck out with no order made.
Previously, Chartbusters had told the court that the Athlone and Carrigaline stores are closing, while those in Newbridge, the Maple Centre and Terenure are now closed.
hnews@herald.ie
- Aodhan O'Faolain
