Settlement near in lawsuit against Art Van Furniture heirs

A settlement could be close in a lawsuit against the family of the late Art Van Elslander concerning proceeds from the furniture retailer’s 2017 leveraged-buyout sale to a private-equity company that ultimately led to bankruptcy liquidation.

The trustee in the Art Van Furniture bankruptcy case, who is suing the Van Elslander heirs and others to recoup tens of millions of sale proceeds, said this week in a court filing that the parties in the lawsuit have reached a “settlement in principal” and are in the process of negotiating and documenting the settlement deal.

The Art Van showroom in Royal Oak has been acquired by Loves Furniture.

This potential settlement follows mediation sessions in December and late January that involved the bankruptcy trustee, the heirs, former Art Van CEO Kim Yost and others. Discussions then continued after the formal mediation sessions.

The court filing doesn’t give any details of the potential settlement.

A representative for the Van Elslander family confirmed Friday that there is a settlement in principal, but declined further comment.


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