The news hasn't been positive lately for those associated with Union Trust steakhouse (717 Chestnut St.), which closed abruptly before Thanksgiving.
Today, an attorney for the company filed a motion with U.S. Bankruptcy Court to dismiss its request to borrow money. Unless someone comes up with hundreds of thousands of dollars, this move in effect will set the stage for a Jan. 8 hearing that could convert the bankruptcy from Chapter 11 (a reorganization) to Chapter 7 (liquidation).
A Chapter 7 could portend some even more serious legal outcomes.
Union Trust opened in 2009 amid a go-go period for new steakhouses. On an unpopular side of town for high-end dining, it operated in bankruptcy for two of its four years. Court records say UT owes $225,000 in back taxes to the Commonwealth of Pennsylvania, which has created a Catch-22 (the restaurant's liquor license is inactive now, and as such, it can't generate revenue without one).