Goody's Cancels Auction, Asks To Reject Leases

Law360, New York (July 31, 2008, 12:00 AM EDT) -- Bankrupt retailer Goody’s Family Clothing Inc. has canceled the auction for a number of its leases after failing to attract enough bids and has asked the court to annul the remaining leases of its closed stores.

Goody’s canceled the auction, scheduled for this past Tuesday, after it received offers for only three leases. The company is now seeking the right to reject the leases and abandon any property remaining from the closing of 66 locations, according to the motion to reject.

The Knoxville, Tenn.-based retailer ceased...
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