Arizona Construction Association files Chapter 7
After almost 60 years of serving as an industry mouthpiece, the Arizona Construction Association has filed for Chapter 7 bankruptcy.
The nonprofit advocacy group filed on Wednesday in the U.S. Bankruptcy Court, District of Arizona, according to records obtained by the Phoenix Business Journal.
In a Chapter 7 bankruptcy proceeding, a company generally goes out of business and a trustee is appointed to liquidate its assets as a means to satisfy debt.
Court records show the organization has between $500,001 and $1 million in debt, but no more than $50,000 in assets.
The group filed for bankruptcy as the Arizona Contractors Association Inc., but its dba is the Arizona Contractors Association.
David Jones, the ACA’s president and CEO, was not immediately available for comment late Friday afternoon.
It’s no secret the ACA has run into financial troubles in recent years as its membership has plunged.
Last year, the nonprofit lost its office condominium in midtown Phoenix to foreclosure. Then, in July, the lender filed a nearly $500,000 lawsuit against the ACA for deficiency, or the money still owed on the loan. That case is still held up in Maricopa County Superior Court.
From: Phoenix Business Journal