Jack’s Donuts of Indiana Commissary LLC has officially filed for Chapter 11 bankruptcy protection, citing more than $14 million in total liabilities.
The filing, submitted Wednesday in the U.S. Bankruptcy Court for the Southern District of Indiana, lists over $1.4 million in personal property assets. Among the multiple creditors is transportation company Carter Logistics, which sued the commissary in April over more than $700,000 in allegedly unpaid invoices for donut deliveries.
Chapter 11 bankruptcy allows a corporation to continue operating while it proposes a court-supervised plan to reorganize and repay creditors over time.
The filing centers on the company’s production and distribution commissary, which opened two years ago in New Castle. The facility centralized donut production, supplying products to multiple franchisees who had previously made them in-store.
In a public statement, Jack’s Donuts assured customers that the bankruptcy affects only the franchisor and related entities, not its independently owned franchise locations. The company confirmed all its stores will remain open.
“Our stores remain open, our teams are at work, and our commitment to quality, tradition, and community remains unchanged,” the statement read. “As we move through this process, our focus is the same: to ensure that the Jack’s experience continues for generations to come.”
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