Marmalade Cafe files Chapter 11 after Calabasas closure triggers financial collapse
Marmalade Cafe, a 36-year-old Southern California brunch chain, filed for Chapter 11 bankruptcy on September 2, 2026. The Encino-based company cited rent disputes and mounting supplier debts, with total unsecured liabilities exceeding $2.4 million. The filing follows the closure of its Calabasas location, which management identified as the primary catalyst due to construction-related sales declines and denied rent relief. The chain has downsized from over 200 to approximately 50 employees and now operates only four locations, though management asserts these remaining sites remain financially healthy.
