Sports Authority had a problem as it wound down business at its first batch of stores closed after it filed for bankruptcy protection: they hadn’t sold everything, and needed to either leave merchandise behind for landlords to deal with, or send it back to vendors. The problem was that the vendors and the company’s lenders disagreed on who should get the proceeds of selling that merchandise: the vendors it belonged to, or the lenders who are supposed to get paid as the bankrupt sporting goods retailer sells everything off. [More]
