Posted by Scott Adams, a resident of the Foxborough Estates neighborhood, on Jan 9, 2011 at 9:29 am
Scott Adams is a member (registered user) of PleasantonWeekly.com
The current operator of Stacey's Cafe purchased only the assets of the business, including the name. That's a common practice. Purchasing the liabilities was never a practical option.
As the seller, I assumed that the flow of gift card use would be minimal, and since only the food/bev costs are incremental to the business, the new owner would honor them as a convenience to customers, and to maintain goodwill.
The actual flow of gift cards redeemed is apparently more than anticipated, putting a considerable strain on the new business. You might have noticed a number of restaurants closing recently (Bing Crosby in Walnut Creek for example). This is a new era.
I'm in discussions with the current owner to work something out for the gift cards that were outstanding before the asset sale. If you check back with the restaurant in a month or so, you should get a good answer.
I hope everyone understands that all small businesses are making hard choices to survive. I hope you give some thought to the hard working employees of Stacey's Cafe who do a great job.
I apologize for the inconvenience and confusion. I understand how annoying that must be.