Cody’s Books, which closed down forever on June 20 and is currently in the process of liquidating all its assets, will not provide any books or refunds to customers with store credit, according to company officials.
Books and furniture belonging to Cody’s will be sold this week to pay off a Uniform Commercial Code lien to Summit Bank.
Mindy Galoob, the store’s former general manager, told the Planet that the bank will be conducting the lien-foreclosure sale of its collateral today (Thursday), and the store premises will be returned to the landlord later in the week.
Cody’s landlord, San Francisco-based Townsend I LLC and Townsend II LLC, put up a three-day notice to pay rent or quit outside the Shattuck Avenue bookstore on July 25. The notice claimed the store owed $6,877.88 (for June 1 to July 31) in rent.
Robert Kidd, the attorney representing the corporation’s current owner, IBC Publishing, told the Planet Wednesday that the bookstore was not declaring bankruptcy and would not be repaying its creditors, which included a number of schools, libraries and public agencies.
Following the story, several readers called the Planet inquiring whether they could exchange store credit for books.
“Cody’s Books regrets to advise you that the collapse of its business will make it impossible to honor any of its gift certificates or gift cards,” the statement said. “While Cody’s is currently in the process of liquidating its assets, it anticipates that all of the resulting proceeds will be turned over to its secured creditors, and that none of these proceeds will be available to make refunds to you or other holders of gift certificates/gift cards.”
Cody’s, which closed its flagship store on Telegraph Avenue and branches in Fourth Street and San Francisco in recent years, moved to Shattuck Avenue in April after the rent for its Fourth Street location almost tripled. It closed down two months later due to dwindling sales.