Burch Farms Country Market Files for Bankruptcy Protection

The Erie Times News is reporting this morning that Burch Farms Country Market has filed for Chapter 12 bankruptcy protection.

Burch Farms Inc., which operates Burch Farms Country Market on Sidehill Road, owes about $114,500 in employment and unemployment compensation taxes to the Pennsylvania Department of Revenue and Pennsylvania Department of Labor & Industry, according to attorneys’ estimates.

… The exact amount of the Burch Farms Inc. debt isn’t known because the business did not file tax returns with the Department of Revenue for six of the past seven years and has not filed returns with the Department of Labor & Industry since the fourth quarter of 2012, attorneys for the departments said.

Explanation of Chapter 12 from the bankruptcy court:

Chapter 12 allows family farmers with financial difficulties to repay debts over a period of time from future earnings. In many ways it is similar to a chapter 13 case. The eligibility requirements are restrictive and limits its use to those whose income arises primarily from a family-owned farm.

Full details are available in the Erie Times News article.

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