Forever 21 Seeks to Deny Priority to Millions in Vendor Claims

Forever 21’s US operator has filed an objection to some vendors’ debt claims in its bankruptcy case, seeking to push what suppliers asserted as priority claims into lower-ranking claims.

Many of the claims were not received by the company within the 20 days prior to the bankruptcy filing — a condition under US bankruptcy code to qualify for administrative expense status, Forever 21 said in the Monday court filing.

In other cases, the value of the goods are less than what the claims asserted, the company said. There’s “no evidence” that indicates priority status after thoroughly reviewing the ...