(Photo: Shannon Stapleton | Reuters)

The long-standing retailer is looking for a new buyer

Lord & Taylor’s parent company, Le Tote Inc., is the latest retailer to file for Chapter 11 bankruptcy after struggling business compounded with forced closure due to COVID-19. One of America’s oldest department stores took a huge hit with declining business due to the coronavirus (COVID-19) pandemic with most stores closed and people opting to stay home.

In the recent week, more companies are struggling to recoup the loss in business after a majority of brick-and-mortar locations were forced the closure of nonessential stores in March. Lord & Taylor was struggling with the shift to online shopping as they heavily relied on business from brick-and-mortar locations.

Lord & Taylor was acquired last year by the French rental clothing company, Le Tote Inc., and they filed for Chapter 11 bankruptcy along with Lord & Taylor seeking a new owner. Last year, Lord & Taylor sold its New York flagship store on Fifth Avenue after owning the 11-story building for over a century.

The company was initially founded as a dry goods store in 1826 and they are now facing the possible closure of its several dozen stores across the country. Another retailer, Tailored Brands, also filed for Chapter 11 that operated the men’s clothing stores Jos. A. Banks and Men’s Wearhouse.

Roughly 40 retailers of big and small companies have filed for Chapter 11 bankruptcy as of July 23 for this year. Many retailers relying on brick-and-mortar businesses are finding looking to switch their priorities to online sales for the foreseeable future.