World of Beer Reaches Bankruptcy Plan Deal With Junior Creditors

World of Beer Bar & Kitchen has reached a deal with its unsecured creditors over the restaurant chain’s plan to reorganize in bankruptcy, resolving complaints that the plan unfairly favored company insiders.

The casual dining brand was accused by an official committee of unsecured creditors of pursuing a Chapter 11 plan that sticks the group with paltry recoveries while paying lender Synovus Bank $19 million and settling a personal guaranty on behalf of CEO Paul Avery.

But the company has reached a deal resolving the committee’s objection, World of Beer attorney Steven M. Berman of Shumaker Loop & Kendrick LLP ...