LOS ANGELES–Shabby Chic, the chain of home-furnishings stores operated by Rachel Ashwell Designs, has been authorized to conduct liquidation sales, according to published reports.
Rachel Ashwell Designs has been in Chapter 11 bankruptcy protection, having filed with bankruptcy court hear on Jan. 29. According to the reports, Hilco Merchant Resources will conduct the closing sales and liquidate inventory at eight remaining Shabby Chic locations, a distribution center and a manufacturing center.
Ashwell founded Shabby Chic in 1989. According to the reports, she was interested in trying to keep the stores alive as a going concern but did not enter a bid for the business.