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Publishers Sue Family Christian Stores over Bankruptcy Plan

  • Carrie Dedrick
    Religious persecution, missions, Christianity around the world
  • 2015 Mar 10
  • Comments

A group of Christian publishers have reportedly filed suit against Family Christian Stores, the major Christian bookstore that recently announced its bankruptcy plan. World Magazine reports that twenty-seven published jointly filed the lawsuit to protect themselves for inventory that they provided to Family Christian Stores and has not yet sold. 


The products that are on Family Christian Stores shelves are referred to as “consignment inventory.” The publishers get paid for the products after they are sold to Family Christian customers. This is a different arrangement from typical stores that purchase products wholesale and then resell them. 


According to World Magazine, Family Christian Stores’ bankruptcy plan is to include the consignment inventory when it sells its assets to pay creditors. The store owes approximately $97 million; that amount does not include its current $20 million of consignment products. 


Mark Kuyper, president of the Evangelical Christian Publishers Association said, “What is happening…is that Family is basically saying that they will take ownership of that product so that they can sell it.” 


The publishers disagree that the store owns the consignment inventory and argue that the products should be either returned or paid for. 


Kuyper said, “The publishers would like to see Family succeed. The challenge is the financial situation is also significant.”



Publication date: March 10, 2015