Jones acquires Hardwick
by BRIAN GRAVES Banner Staff Writer
Jun 06, 2014 | 1923 views | 0 0 comments | 18 18 recommendations | email to a friend | print
The Hardwick Clothes final sale hearing was held at 9:30 this morning in U.S. Bankruptcy Court in Chattanooga. Allan Jones’ Jones CapitalCorp. acquired the local clothing manufacturer.

The deadline to object to the sale of Hardwick Clothes to Jones CapitalCorp. came and went Thursday afternoon, and no objection from local Realtor Joe V. Williams III was reported.

However, the counsel and law firm representing Williams’ real estate firm, Williams & Williams Realty Services LLC filed a motion to withdraw from the case 44 minutes after the 4 p.m. deadline passed.

The motion was filed by David J. Fulton and the law firm of Scarborough & Fulton of Chattanooga.

“Grounds therefore are that the client has not abided by all of the terms of the attorney’s engagement,” the motion reads.

Williams had offered a bid of $2.1 million, $200,000 over Jones’ bid, but Hardwick’s legal counsel disqualified the bid saying Williams did not meet the standard of supplying a cash deposit by the May 16 deadline.

Williams stated earlier this week he wanted to keep the company “in the family” and would “do all I can to make that happen.”

There was a “limited objection” filed by Keltic Financial Partners II, LP which does not in effect object to the sale, but is filed to ensure that Keltic, which became a “debtor in possession” of Hardwick by supplying a $2 million line of credit, would recoup its financing from the sale price of $1.9 million.

Jones CapitalCorp., if the court rules in the affirmative for the sale, would still acquire the company “free and clear of liens, claims, interests and encumbrances.”

Full details of the results of that hearing will appear in Sunday’s issue of the Banner.