Why California Truck Company Kal Freight Filed For Chapter 11 Bankruptcy

Kal Freight Inc., a California-based trucking and logistics company, filed for Chapter 11 bankruptcy in the United States Bankruptcy Court for the Southern District of Texas. Together with its affiliates, the filing sought to resolve financial issues and restructure operations.

Throughout the process, the business disclosed its intention to use debtor-in-possession finance. The money required to support important restructuring projects and sustain day-to-day operations would be supplied by this funding. Kal Freight declared its intention to come out of bankruptcy as a more robust and competitive company.

The business gave vendors and staff assurances that their responsibilities would be fulfilled. Vendors and suppliers would be paid in full for products and services rendered after the filing date, and employees would still get full payment. Kal Freight stressed that these steps would guarantee that company operations would be disrupted as little as possible.

To supervise the process, Development Specialists, Inc.’s Bradley D. Sharp was named chief restructuring officer. Additionally, the business hired Development Specialists, Inc. as a restructuring advisor and Pachulski Stang Ziehl & Jones as legal counsel.

To guarantee a seamless transfer, Kal Freight intended to submit routine first-day motions before the court. After these motions are authorized, the business will be able to carry on as usual.

Kal Freight is a national logistics and transportation company that was founded in 2014. The corporation operates important sites around the United States, including in California, Texas, New Jersey, Indiana, Tennessee, Georgia, Arizona, and Arkansas, and services a variety of sectors.

Kal Freight has a reputation for providing final-mile logistics services and is well-known for its dependability and effectiveness. Throughout the reorganization process, the business vowed to uphold its basic principles of honesty, fortitude, and superior customer service in spite of its difficulties.

The business guaranteed service continuity to its clients and business associates. Throughout the Chapter 11 procedures, employee and fleet safety will continue to be a top focus.

Kal Freight’s reorganization court papers and associated documentation are accessible on the Stretto-managed case administration website. Stakeholders can use the toll-free and international phone numbers given to reach Stretto directly or view the information online.