Bennigan’s and Steak & Ale file for Bankruptcy
August 01, 2008 in Bankruptcy & Gift Cards |
Another one bites the dust. Bennigan’s and Steak & Ale, both owned by Texas-based Metromedia Restaurant Group file for chapter 7 bankruptcy protection. This will result in the closing of more than 300 corporate-owned locations. According to this story from the New York Times, The Ponderosa and Bonanza restaurants, which operate under another entity, Metromedia Steakhouses, were not covered in the bankruptcy.
So, what does this mean for gift card holders? I am not sure. The company is yet to address what will happen to gift cards. I will keep you posted as soon as I hear something. In the meantime, if you have a Bennigan’s or Steak & Ale gift card, try and see if you can still use it while the restaurants remain open.
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[...] a bit of good news for holders of bankrupt Bennigan’s and Steak and Ale Gift Cards. Texas Roadhouse has announced that holders of [...]
Ponderosa Steak House was listed on the back of our Steak and Ale Gift card as a location where the card could be used. Steak and Ale recently went out of business and filed Chapter 7 Bankruptcy. When we attempted to use our card at Ponderosa, they indicated they could only give us one free meal and a drink in exchange for the card. That is not what it states on the back of the card….it was to be honored there. Is this fraud or false advertising? Us there any recourse for us at all — other than getting 1/4 of the value of the card from Ponderosa?
keserbom, i don’t see why Ponderosa would not honor the gift cards. Steak and Ale is still honoring their own gift cards even under bankruptcy. I think you should call Steak and Ale customer service and find out why. It does not make sense.
I have a $50 gift card with a $25.75 balance left on it. It is for Bennigan’s, Bonanza, ponderosa, and steak and ale. The only one that was even in my state was ponderosa, and all of the corporate owned stores have closed. There are still some independant locations not far away in small communities. We went to one of them and they will not honor the giftcard anymore. They said they will no longer be reimbursed for them by the bankrupt corporation. I called the number on the back of the card and the only thing you can get from that is the balance on the card and then the recorded voice simply says GOODBYE. I went on line and searched this metrogroup listed on the back of the card as well. I got a phone number for them and when I called after being transferred several times to different recorded messages, they gave me a number to what appeared to be a law office. There was another recorded message that never mentioned the word GIFTCARD. It was all about if you were a crediter or former employee looking to sue them for money they owe you. There was a voice mail. I did leave a message. It’s been almost a week. I haven’t gotten a call back, what a surprise! I haven’t heard about Texas Roadhouse honoring the card until I read it here,I will call and check. If they are not, I would say anyone with these cards may be out of luck.
Please let me know what I can do with Bennigan/Ponderosa/Bonanza gift cards. I have several hundred dollars of them and now our restaurants are closed?