Federal Bankruptcy Judge Karen Overstreet in Seattle approved the Chapter 11 sale of Seattle chain Tully’s Coffee for $9.15 million to ‘Grey’s Anatomy’ star Patrick Dempsey. Dempsey successfully out-bid other interested buyers for the chain, including Starbucks.
Starbucks wanted half of Tully’s 47 shops in Washington and California to rebrand as their own, while Philippians-based AgriNuture Inc. sought the rest of Tully’s assets. Together, their bid was worth $10.6 million, more than 13% higher than Dempsey’s bid.
Despite Starbucks’ contentions over the “confusing and non-conclusive,” 13-hour auction, Tully’s attorneys reaffirmed their decision to hand over the company to Dempsey’s Global Baristas LLC, saying it was the only bidder that could finalize the deal in short order by January 25, 2013. Further, Tully’s attorneys also agreed that Dempsey’s business was the sole contender promising to keep jobs for Tully’s employees after the sale. According to a statement, Dempsey said, “From day one, we have been focused on saving jobs, keeping Tully’s independent and infusing new life and enthusiasm into the company.”
Tully’s – a Seattle-based company that operates 47 locations throughout Washington and California with numerous other franchises across the country – filed for bankruptcy late last year. Tully’s bankruptcy filing placed the company’s employees at risk for being laid off after the New Year, an unfortunate reality currently threatening too many people in America.
Although Starbucks and other unsuccessful suitors tried to argue that Dempsey used his star-status and charm to win the auction, Judge Overstreet approved Dempsey’s purchase of Tully’s Coffee, saying the auction was fair and no mistakes had been made.
After all that, Dempsey still win’s Tully’s Coffee over Starbucks
U.S. Bankruptcy Court approves actor Dempsey’s purchase of Tully’s Coffee