Employees at Legacy Cabinets in Eastaboga are voicing concerns after receiving a memo announcing the manufacturer's closure.
“We regret to inform you that due to business circumstances Legacy Cabinets, Inc. (‘Legacy Cabinets’) has made the difficult decision to permanently close,” the memo states.
The letter was sent Saturday at 7 p.m. announcing an immediate closure. The WARN Act requires 60 days written notice of plant closures. Legacy Cabinets told employees. However, the company said it was “actively seeking capital through financing, investment, and other means that, if obtained, would have been sufficient to avoid or postpone the plan closing.”
“Legacy Cabinets further reasonably believed that providing WARN Act notices would have disclosed its financial condition and signaled to potential investors, lenders, and business partners that Legacy Cabinets was likely to cease operations, thereby precluding it from obtaining the capital necessary to continue the business and avoid the plant closing,” the memo continued. “For these reasons, Legacy Cabinets invokes the faltering company exception and has provided notice as soon as practicable under the circumstances.”
Legacy Cabinets announced the closure to customers on its official LinkedIn page.
“After careful consideration, we have made the difficult decision to close our doors and cease operations,” the announcement sated. “This marks the end of an incredible journey, and we want to express our sincere gratitude to everyone who has been part of it. To our customers, thank you for your trust and loyalty over the years. To our vendors and business partners, thank you for your support and collaboration. Most importantly, thank you to our employees for your dedication, craftsmanship, hard work, and commitment.”
Employees said they did not receive any notice and have not received information about their last paychecks.
According to its website, Legacy Cabinets was founded in 1994. A group of Welborn Cabinets employees left their jobs to start the company.
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