Pirch, Inc., Case No. 24-01376-CL7
United States Bankruptcy Court, Southern District of California (the “Bankruptcy Court”), Case No. 24-01376-CL7.
On April 19, 2024, Pirch, Inc. (“Pirch”) filed for chapter 7 bankruptcy protection in the Bankruptcy Court, Leslie T. Gladstone (the “Trustee”) has been appointed chapter 7 trustee. The Trustee is a court appointed officer and had no involvement with Pirch prior to the bankruptcy filing. The goal of the Trustee is to maximize assets for the benefit of the creditors of Pirch.
This website is to explain the bankruptcy process, to keep you updated, and to provide information.
UPCOMING MATTERS
1. Town Hall – Friday, May 31, 2024, at 9:00 am via zoom. Meeting ID: 737 172 7291, Password: 464908. No sign up required.
2. Continued Meeting of Creditors – Wednesday June 5, 2024 at 2:30 pm (for continuing questioning of Debtor’s principals) via zoom. Meeting ID: 2606578691, Password 7074482752. No sign up required.
3. Motion to Sell Pirch inventory – Monday June 24, 2024, at 11:00 am, Department One of United States Bankruptcy Court for the Southern District of California, the Honorable Christopher Latham, presiding, 325 West F Street, San Diego, CA. Last day to file opposition or support for this motion is June 7, 2024.
4. Motion to (1) Approve Auction Procedures; and (2) Sell Leasehold Interests and Related Personal Property Pursuant to 11 U.S.C. Section 363, Free and Clear of Liens, Claims, And Interests - Monday July 1, 2024, at 10:30 am, Department One of United States Bankruptcy Court for the Southern District of California, the Honorable Christopher Latham, presiding, 325 West F Street, San Diego, CA. Last day to file opposition or support for this motion is June 14, 2024.
CUSTOMERS OF PIRCH
If you purchased items from Pirch and did not receive your items, or if you made a deposit to purchase items, you will need to file a Proof of Claim (“POC”) with the Clerk of the Bankruptcy Court at the address below. If you received a notice from the Bankruptcy Court about the bankruptcy, then you do not need to do anything to obtain the POC form; the Bankruptcy Court will send you the POC form when they set the claims bar date, i.e., the deadline for filing a POC in the Pirch bankruptcy. You can also file your claim now if you prefer (see below). If you did not receive a notice of the bankruptcy from the Bankruptcy Court, please contact the Bankruptcy Court to be added to the mailing list. When the Bankruptcy Court sets a bar date for POC’s to be filed, we will update this website with that deadline.
IMPORTANT: If you have disputed credit card charges for items purchased from Pirch and file a POC for these charges, you must withdraw your filed POC if you receive reimbursement from your credit card company. A person who files a claim for which they have already been reimbursed could be fined up to $500,000, imprisoned for up to 5 years, or both. 18 U.S.C. Sections 152, 157, and 3571.
We understand that many of you believe that you have purchased specific items and that you want to pick up these items. We continue to research this issue. Unfortunately, from what we are seeing of Pirch’s documentation thus far, it does not appear that Pirch tied their customer contracts to any specific item in its inventory and also, the inventory on hand is much less than the customer contracts in total. There are also lien creditors that are asserting a superior interest in the inventory. And, significantly, the inventory is being stored at a very high cost to the bankruptcy estate. Consequently, it is the intention of the Trustee to sell the inventory as soon as possible, so that the expenses of storage are reduced and so that all creditors can share in a distribution of funds received from the sale. The Trustee intends to file a motion to request a hearing with the Court explaining this in more detail and requesting authorization to conduct an auction for the inventory. You will get a copy of this motion when it is filed on or about May 24, 2024. The hearing is scheduled to occur on June 24, 2024, at 11:00 am at the United States Bankruptcy Court for the Southern District of California, 325 W F Street, Courtroom 1, San Diego, California, the Honorable Judge Christopher Latham presiding. You are not required to respond to the motion or attend the hearing but may do so if you choose. Last day to file opposition or support for this motion is June 7, 2024. If your claim is on behalf of an entity, you must have counsel to respond to the motion and/or to make a formal appearance.
The Trustee will update this website with the results of the hearing and details of the auction after the hearing.
EMPLOYEES OF PIRCH
If you were an employee of Pirch and believe that you have a claim against the company either under the WARN Act or otherwise, you will need to file a POC with the Clerk of the Bankruptcy Court at the address below. If you received a notice from the Bankruptcy Court about the bankruptcy, then you do not need to do anything to obtain the POC form; the Bankruptcy Court will send you the POC form when they set the claims bar date, i.e., the deadline for filing a POC in the Pirch bankruptcy. You can also file your claim now if you prefer (see below). If you did not receive a notice of the bankruptcy from the Bankruptcy Court, please contact the Bankruptcy Court to be added to the mailing list. When the Bankruptcy Court sets a bar date for POC’s to be filed, we will update this website with that deadline.
The Trustee is aware of a complaint that has been filed attempting to set up a class action under the WARN Act. The Bankruptcy Court will determine whether this class action is necessary or appropriate. However, in order to have a claim under the WARN Act, it is not necessary to be part of the class action; you can simply file your POC with the Bankruptcy Court alleging your entitlement with supporting documentation.
FILING A POC (applicable to all customers, employees and other creditors)
As stated above, if you received notice of the bankruptcy from the Bankruptcy Court, then you are on the Bankruptcy Court’s mailing list and the Bankruptcy Court will send you the POC form.
A POC may be filed electronically on the Bankruptcy Court's website using this Electronic Proof of Claim (ePOC) program Electronic Proof of Claim (ePOC) | Southern District of California | United States Bankruptcy Court (uscourts.gov). A Form 410, Proof of Claim, may also be filed on paper. The form is available at the Bankruptcy Clerk's Office or on the Court's website at https://www.casb.uscourts.gov/forms/proofclaim. POC forms should be mailed to the address below. To receive acknowledgement of your filing, include a stamped, self-addressed envelope and a copy of your POC. There is no fee for filing the POC.
United States Bankruptcy Court
325 West F Street
San Diego, CA 92101-6991
Creditors filing a POC for wages, salaries, and compensation must provide the Trustee a complete Social Security Number which is required by the Trustee for the processing of payroll reports. Do not file your Social Security Number with the Bankruptcy Court because the claims register is public information. Instead, please just send a copy of your POC with your full social security number added to the Trustee at the following address:
Leslie T. Gladstone
5656 La Jolla Blvd.
La Jolla, CA 92037
Any customer, employee or other creditor who has filed a POC already need not file another POC after the Court sends out the claim form.
A person who files a fraudulent claim could be fined up to $500,000, imprisoned for up to 5 years, or both. 18 U.S.C. ?? 152, 157, and 3571.
TRUSTEE’S AUCTION INFORMATION
As stated above, the Trustee intends to conduct an auction of the inventory on hand, subject to Court approval to be determined at a court hearing on June 24, 2024 at 11:00 am, at the United States Bankruptcy Court for the Southern District of California, 325 West F Street, Courtroom 1, San Diego, California, the Honorable Christopher Latham presiding. Last day to file opposition or support for this motion is June 7, 2024.
The Trustee will update this website with details of the auction after the court hearing.
BANKRUPTCY DOCUMENTS
Documents filed in this case are available at the Office of the Clerk at the United States Bankruptcy Court for the Southern District of California, located at 325 West F Street, San Diego, California 92101. The Bankruptcy Court’s telephone number is (619) 557-5620. The complete docket of the bankruptcy case is also available electronically for a fee through the United States Bankruptcy Court, Southern District of California Case Management/Electronic Case Files system (www.casb.uscourts.gov). If you need assistance in obtaining copies of documents filed in this case, please call the Bankruptcy Court at the above number.
UPDATES TO WEBSITE/FURTHER INFORMATION
We will continue to update you as matters occur in this case. If there are additional questions that you still have after reading this website, you may call the Trustee Administrator Candi Collins at (858) 247-0750. Please understand that there are many creditors of Pirch, Inc. and so it may take a little time to return your call. We are working very hard to provide all relevant information to you as soon as we can.