Redbox’s disc rentals are over

A justice overseeing Redbox proprietor Chicken Soup for the Soul Entertainment’s bankruptcy lawsuit granted a petition Wednesday to person it from Chapter 11 to Chapter 7 bankruptcy, according to Lowpass’ Janko Roettgers and The Wall Street Journal. The company’s lawyers said Chicken Soup for the Soul Entertainment volition laic disconnected its remaining 1,000 employees and liquidate the businesses, including streaming operations and the 24,000 oregon truthful disc kiosks that person rented retired DVDs, Blu-rays, and videogames for years.

According to Roettgers, Judge Thomas Horan said, “There is nary means to proceed to wage employees, wage immoderate bills, different concern this case. It is hopelessly insolvent... Given the information that determination whitethorn besides beryllium astatine slightest the anticipation of misappropriation of funds that were held successful spot for employees, determination is much than ample crushed wherefore this lawsuit should beryllium converted.”

In summation to operating Redbox, Chicken Soup for the Soul Entertainment besides manages brands similar Crackle and Screen Media. (Note that Chicken Soup for the Soul Entertainment is simply a portion of Chicken Soup for the Soul LLC; the broader institution isn’t a portion of this bankruptcy case, according to the WSJ.)

Chicken Soup for the Soul Entertainment didn’t instantly reply to a petition for comment.