A federal chapter decide in Chicago has turned down a request from Hawthorne Race Course and associated firms to hurry up a courtroom listening to related to their Chapter 11 restructuring.
In a March 11 order, U.S. Chapter Decide Timothy A. Barnes declined the businesses’ try and schedule an emergency listening to tied to a movement looking for additional time to file required monetary disclosures. The case includes Hawthorne Race Course, Inc. and a number of other affiliated entities at the moment reorganizing in chapter courtroom.
As a result of the request was rejected, the businesses must transfer ahead underneath the courtroom’s common calendar fairly than getting instant consideration.
Decide says Hawthorne racetrack chapter listening to request didn’t qualify as an emergency
In accordance with the courtroom order, the decide reviewed the debtors’ software asking for an emergency listening to on their movement for extra time to submit schedules and statements of monetary affairs. After analyzing the submitting, Barnes concluded the scenario didn’t meet the authorized threshold required for pressing remedy.
“The Utility is DENIED for failure to determine emergency grounds underneath Native Rule 9013-2(A),” the order states.
As a substitute of holding a particular listening to, the courtroom mentioned the movement might be addressed throughout one of many commonly scheduled Chapter 7 and Chapter 11 movement periods set for March 17 or March 18, 2026.
The order additionally clarified how the looming submitting deadline shall be dealt with. If the businesses submit their movement looking for an extension earlier than the present March 13 deadline, the deadline will successfully pause till the courtroom hears the matter.
“If aid requested calls for an extended discover interval, an applicable request to shorten discover could also be made within the Movement,” the decide wrote.
The difficulty comes as Hawthorne and a number of other related companies work via chapter proceedings within the U.S. Chapter Courtroom for the Northern District of Illinois.
Court records present the businesses filed voluntary Chapter 11 petitions on Feb. 27, 2026. Of their filings, the operators of the longtime Chicago-area racetrack listed belongings estimated between $50 million and $100 million, whereas liabilities have been reported within the a lot bigger vary of $100 million to $500 million.
Beneath Chapter 11 safety, the companies stay answerable for their operations whereas making an attempt to reorganize underneath courtroom supervision.
The chapter instances cowl a number of entities linked to the racetrack’s operations, together with Carey Heirs Properties LLC, Suburban Downs Inc., and Submit Time Catering Inc.
Collectively, these firms run a horse racing and wagering operation constructed round stay thoroughbred and standardbred racing in Illinois. Their earnings streams embody pari-mutuel wagering, off-track betting websites, and sports activities wagering partnerships.
Monetary challenges have mounted for the racetrack in current months. In January, the Illinois Racing Board suspended Hawthorne’s harness racing license after regulators mentioned the corporate had not equipped monetary data proving it might help its scheduled 2026 racing season.
Courtroom paperwork additionally present the observe owes about $8.75 million to Fanatics Betting & Gaming, making the sportsbook operator the most important unsecured creditor within the case.
Fanatics had beforehand used Hawthorne’s market-access license to run cellular sports activities betting in Illinois. After the racetrack’s monetary scenario worsened and the harness racing license was suspended, Fanatics shifted its partnership to PENN Entertainment’s Argosy On line casino Alton to maintain working within the state.
In the meantime, the chapter docket continues to fill with early administrative actions. Orders issued March 12 deal with post-petition financing, creditor protections, and the group of the case, together with steps towards appointing an unsecured collectors’ committee and scheduling future standing hearings.
Decide Barnes is overseeing the proceedings within the Chicago-based Japanese Division of the federal chapter courtroom.
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