Because of the corona pandemic, numerous shops had to close – including branches of Galeria Karstadt Kaufhof. The insolvent company therefore wants compensation from the state.
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The ailing department store chain Galeria Karstadt Kaufhof are offering their creditors the prospect of a “special dividend” – and want compensation for this from the “public sector”, ie the German state. The “Manager Magazin” reports, citing the 40-page insolvency plan.
After the pandemic-related closure of all branches nationwide, Galeria Karstadt Kaufhof got into a serious crisis and had to seek rescue in a protective shield procedure in April. This culminated in insolvency proceedings in self-administration in July.
The chances of success for the lawsuit are low
Since then, the company has tried to reorganize itself – with the assistance of General Manager Arndt Geiwitz. Around 50 branches are likely to close, and thousands of employees will lose their jobs.
The “Manager Magazin” writes of a low three-digit million amount that Geiwitz would like to get from the German authorities. Legal action is also possible. However, the chances of success of such a lawsuit are considered to be low.