Modell’s Ex-CEO Moves to Toss Breach, Fraudulent Transfer Suit

Mitchell Modell, the former president and CEO of Modell’s Sporting Goods, urged a Delaware bankruptcy court to dismiss a creditors’ lawsuit accusing him of directing the retailer to priortize debts owed to the Modell family in its run up to bankruptcy.

Modell said he made his business decisions, prior to the company’s Chapter 11 filing in 2020, in good faith to help save it from ruin, not to protect the founding family’s investments, according to his Oct. 7 filing with the US Bankruptcy Court for the District of Delaware.

In their lawsuit, creditors accused Modell and former CFO Eric Spiel ...