NATICK – Montreal-based David’s Tea is seeking court protection from creditors so it can continue operating while it restructures.
The chain’s stores have been closed since March 17 due to the coronavirus pandemic, including its Natick Mall location.
David’s Tea filed in Quebec Superior Court to restructure the company, and its 82 Canadian stores. The company also plans to bankruptcy in the United States and close all 42 of its brick & mortar locations in America.
The Canadian company plans to continue to operate its online business.
“For over 10 years, our sole purpose has been rooted in spreading ‘positivitea’ to tea lovers across North America, and this year, we’ve faced the challenging reality that COVID-19 is going to be more disruptive to our business than we originally anticipated,” said the company in a statement.
“We believe this is a necessary evolution for our company to better serve you, and are committed to being the leading tea experts for our tea loving community. You have long told us that we are your ‘happy place,’ and we will continue to share our passion for loose leaf tea while providing the customer experience you know and love — wherever we connect,” said the company’s statement.
The company shared that negotiations with landlords at the 100 remaining DavidsTea stores, which have all been closed since March 17, have already begun, and that the “outcome of these discussions remains uncertain.”
David’s Tea began in 2008 in Canada.
Photo courtesy of the David’s Tea website