“I am truly grateful that I was pointed to CAVA and that the universe placed us together. Vanessa has always made me feel human in this process and I thank her for her patience and kindness throughout…you are very much appreciated.“
From Mall Rat to Midlife Crisis – Is it the End for Forever 21? All millennial 30 & 40-somethings want to know!
Forever 21, the American fast-fashion retailer, filed for Chapter 11 bankruptcy protection for the second time on March 17, 2025. This move comes amid mounting financial challenges and an increasingly competitive retail landscape. Because it has filed under Chapter 11, which is a reorganizing chapter of the Bankruptcy Code, the brand still has a fighting chance!
The company cited several factors contributing to its financial distress:
Forever 21 announced plans to close all 350 of its U.S. stores by mid-2025, unless a buyer emerges to take over some or all of its operations. The company has initiated liquidation sales across its U.S. locations to sell off inventory. Interesting enough, stores outside the United States are not affected by the bankruptcy and continue to operate under separate licensing agreements. Forever 21’s parent company, Authentic Brands Group, is exploring options to keep the brand alive through licensing agreements and potential online ventures. However, the future of the brand in the U.S. market remains uncertain.
In the Chapter 11 bankruptcy proceedings of 23andMe, the court implemented several measures to manage the company’s extensive genetic material assets responsibly.
On May 14, 2025, Regeneron Pharmaceuticals emerged as the winning bidder in a bankruptcy auction, agreeing to acquire 23andMe’s assets for $256 million. The acquisition encompasses 23andMe’s Personal Genome Service, Total Health and Research Services, and its biobank containing genetic samples and data from approximately 15 million customers.
Regeneron has committed to upholding 23andMe’s existing privacy policies and ensuring compliance with relevant data protection laws. The assigned CPO (Consumer Privacy Ombudsman) in the bankruptcy, Neil M. Richards, is tasked with reviewing the transaction to ensure that customer data is handled appropriately and that privacy commitments are maintained.
Customers retain control over their genetic data. They can delete their data and close their accounts through 23andMe’s account settings. Additionally, customers who previously consented to research participation can withdraw their consent at any time.
The bankruptcy court will consider the CPO’s findings before approving the sale to Regeneron. The court’s decision will hinge on whether the transaction respects consumer privacy rights and complies with all relevant legal standards. The sale is expected to close in the third quarter of 2025, pending court and regulatory approvals.
Divorce and bankruptcy are both challenging life events, and they often intersect in ways that can significantly impact your financial and legal situation. If you’re considering or currently going through either, it’s important to understand how they might affect each other.
If you’re facing the complexities of divorce and bankruptcy, our experienced team is here to help. Contact us for personalized guidance to navigate these challenges with confidence.
By: Christina Vilaboa-Abel, Esq.
CAVA Law’s Christina Vilaboa-Abel had the privilege of appearing on UNIVISION’s “La Voz de la Mañana” today with host extraordinaire of “Reto Economía,” Erick Cuesta @erickcuestatv. Today the “Reto Economía” segment, which airs to provide the Hispanic community all over the country with financial advice, focused on the legal process of bankruptcy. Christina differentiated between the truths and the myths of the bankruptcy process for the audience. Thank you Erick Cuesta, Univision Noticias & ViX for inviting us on the air! Always aCAVAndo™!
Personal guarantees are common in various business transactions, yet many individuals may not fully understand their implications. In this blog post, we’ll delve into what personal guarantees are, why they are used, and the potential risks and considerations involved.
A personal guarantee is a legal commitment by an individual to take responsibility for the debt or obligations of another party, typically a business entity. By signing a personal guarantee, an individual agrees to repay the debt if the primary borrower (often a business) defaults on its obligations.
Lenders, creditors, and landlords often require personal guarantees as a form of security, especially when dealing with small businesses, startups, or individuals with limited credit history. Personal guarantees provide lenders with additional assurance that they will be repaid, even if the business entity fails to fulfill its obligations.
There are various kinds of personal guarantees. There are unconditional guarantees, through which the guarantor is liable for the full amount of the debt or obligation, without any conditions. There are limited guarantees, through which the guarantor’s liability is limited to a specific amount or scope of the debt. There are continuing guarantees, through which the guarantor’s liability extends to future obligations incurred by the borrower, even if not specifically outlined in the original agreement.
Signing a personal guarantee exposes the guarantor to personal financial risk, including potential loss of personal assets or credit damage. Guarantors are legally bound to fulfill the obligations outlined in the guarantee, even if the business fails or faces financial difficulties. Before signing a personal guarantee, it’s essential to consider alternative financing options and negotiate the terms of the guarantee, if possible.
Some tips for mitigating risks are: review the terms of the personal guarantee carefully and seek clarification on any ambiguous or unfamiliar terms; consult with a legal professional to understand your rights and obligations before signing a personal guarantee; if possible, negotiate the terms of the personal guarantee to limit your liability or add provisions for release.
Personal guarantees play a significant role in business transactions, providing lenders with additional security and assurance. However, they also entail significant risks for individuals who agree to take on personal liability. Before signing a personal guarantee, it’s crucial to understand the terms, risks, and alternatives available. Seeking legal advice and carefully evaluating the implications can help individuals make informed decisions and mitigate potential risks.
By: Christina Vilaboa-Abel, Esq.
When faced with a sea of financial challenges, individuals who begin considering bankruptcy go into it with the uninformed assumption that filing bankruptcy is as easy as filing the case with the Court, pushing a few buttons, and getting debts eliminated.
If only that were true!
Most individuals who come to our office wanting to file bankruptcy arrive thinking they will file a Chapter 7 bankruptcy and walk away with their debts eliminated and problems resolved, however, the Bankruptcy Code is much broader than just this one chapter, and with good reason! What the general public does not grasp, at first blush, is that although they know Chapter 7 to be the “simplest,” and thus, the most “desirable” kind of bankruptcy to file, it is actually the most stringent and the hardest one to qualify for.
If you think about it, this makes sense! Chapter 7, in the best case scenario, can give an individual a fresh start and a chance for financial rebirth, without having to pay another dollar to creditors. It should, logically, be the hardest to qualify under! The debtor walks away with everything and creditors are left with nothing. As the institution in charge of assuring that “social scales” are balanced, for a court to allow such a thing, the debtor has to walk into the bankruptcy in dire straights. A debtor must show that s/he has just not had the income or assets to pay their creditors for quite some time. If the Bankruptcy Court and the Bankruptcy Trustee assigned to a Chapter 7 case find that the debtor in a Chapter 7 bankruptcy has had disposable income or assets with unexempt value under his/her name in the last few years, the debtor will likely not qualify for a clean discharge of his/her debts under this chapter without a detailed and prolonged audit of the debtor’s finances by the Trustee. These audits, usually time-consuming and requiring the Debtor to appear for depositions before the Trustee, will likely produce something that will trigger that payment into the bankruptcy be required for the debtor to receive the discharge they long for. This is why it is immensely important that a debtor’s financials be analyzed every which way by a qualified bankruptcy attorney before a Chapter 7 case is filed.
Understanding the Chapter 7 Bankruptcy Qualification Analysis:
Chapter 7 bankruptcy offers a lifeline to individuals drowning in debt, providing an opportunity for a new beginning. The process is complex, requiring a detailed understanding of the qualification criteria. Filing this kind of bankruptcy without a detailed financial analysis, will more likely than not, lead the debtor down a difficult road. If you find yourself considering bankruptcy, consult with a qualified bankruptcy attorney to navigate the legal intricacies and ensure the best possible outcome for your financial future.
CAVA Law is thrilled to announce that Miami-Dade County has voted us as the 2023 Silver Award Recipient for Best Bankruptcy Law Firm and the 2023 Bronze Award Recipient for Best Law firm, overall! Miami-Dade Favorites is organized and presented by The Miami Herald. We are grateful for our incredible team & all of our clients, all who have made this achievement possible. This award is a testament to our dedication & commitment to excellence; and also serves as prime evidence of our appreciation & love for YOU: the South Florida community!
The Firm has been fundraising for the Susan G. Komen “More Than Pink” Walk, with the goal of fundraising for breast cancer research. Our staff, along with others who have joined us, will be walking as a team on October 14, 2023. We have, very appropriately, called ourselves Team “aCAVAndo con Breast Cancer.” Susan G. Komen has deemed us a “top fundraiser” this year, and has sent us a sign commemorating the achievement! We are honored to be able to fundraise for this cause.
September 30th marks the end of the Fiscal Year. If you are a small business owner, here’s a financial checklist to better assist you.
CAVA Law was thrilled to be the proud sponsor of the “Cafecito Bar” at the 2023 Coral Gables Bar Association (CGBA) Installation Gala.
Congratulations to the newly-installed 2023 Board for the CGBA!
“I am truly grateful that I was pointed to CAVA and that the universe placed us together. Vanessa has always made me feel human in this process and I thank her for her patience and kindness throughout…you are very much appreciated.“
“I had the privilege of working with Vanessa, Partner at CAVA Law, and I must say that her legal services were nothing short of exceptional. From the moment I contacted their office, I knew I was in capable hands. She not only possessed an in depth knowledge of the law but also demonstrated a genuine commitment to helping me navigate my real estate legal matters successfully. Thank you!”
“CAVA is a law firm with experience, professionalism, respect, and exemplary customer service. Every single member of the team goes above and beyond to make sure their clients are always informed of their case. CAVA is made up of human beings who respect and care for their clients.”
“Thank you so much for helping my mother. Attorney Christina Vilaboa was compassionate and professional. She explained Chapter 13 case completely, step by step, giving her piece of mind and a sense of renewed stability that she hadn’t had in several years. I would recommend you very highly. Sincerely, Peter.”
“The legal team at the CAVA LAW FIRM are the best. I was very apprehensive and scared when I was first introduced to them to handle my legal problem. They were very professional while still being very personable. They walked me through every aspect of my case. They made it very easy on me. They did all the work. I would highly recommend them to any lay person that has little knowledge of how the legal system works. Thanks again!”
“Amazing service and professionalism. They took care of my situation I recommend them without any hesitation.”
Five stars!
Five stars!
They where very professional and great me good advice I recommend very much.
Mrs. Vilaboa Abel is such a dedicated soul. I dont have words to express my grattitude towards her. My case wasn’t easy, yet she was supportive from day one and in the end she figured it all out. Aim for the stars Christina, you are awesome!
If you're facing bankruptcy, debt litigation, or real estate issues, don't hesitate to contact CAVA Law, LLC in South Florida for personalized and compassionate legal representation.