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Chicken Soup for the Soul Entertainment, Inc. (CSSE), Redbox’s parent company, filed for Chapter 11 bankruptcy protection on June 28, 2024. The cases were converted to Chapter 7 liquidation on July 10, 2024, so Chapter 7—not an ongoing Chapter 11 reorganization—is the later procedural status reported by the court.
Which company filed for bankruptcy?
The lead debtor was Chicken Soup for the Soul Entertainment, Inc. (CSSE), along with affiliated companies that included Redbox Automated Retail, LLC, Redbox Holdings, LLC, and Redbox Entertainment, LLC. The original petition lists those Redbox businesses among the debtors and includes a corporate chart describing their ownership relationships. Read the petition.
CSSE is distinct from Chicken Soup for the Soul, LLC, the company associated with the Chicken Soup for the Soul book series. The bankruptcy court described CSSE as an indirect subsidiary of that LLC; the filing should not be described as the book-publishing company itself being the lead debtor. See the court opinion.
What happened after the Chapter 11 filing?
Chapter 11 is the posture in which CSSE and its affiliates initially filed. The District of Delaware bankruptcy court says the cases were converted to Chapter 7 on July 10, 2024. That conversion changed the cases from Chapter 11 to Chapter 7 liquidation; the two descriptions refer to different points in the proceedings, not simultaneous statuses. The court’s opinion states: “The cases were converted to chapter 7 on July 10, 2024.” United States Bankruptcy Court for the District of Delaware, Skajem v. Rouhana.
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Why did CSSE file?
In a later opinion, the bankruptcy court traced the company’s financial distress to debt obligations added when CSSE acquired the Redbox business in 2022. The court said CSSE could not service the larger debt load and then had difficulty securing or maintaining rights to new video content. It linked those problems to declining revenue, insufficient cash flow, and liquidity challenges. This is the court’s account of the causes described in the case, rather than a claim that any one factor alone explains the bankruptcy. Read the opinion.
Bloomberg reported that the initial filing listed assets and liabilities of at least $500 million each. Those are reported ranges from the 2024 filing, not a determination of how much creditors will ultimately recover. Bloomberg’s 2024 report.
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What did the company operate when it filed?
In its June 2024 petition materials, CSSE described itself as an advertising-supported video-on-demand company operating Redbox, Crackle, and Chicken Soup for the Soul streaming services, Redbox Free Live TV, a transactional video-on-demand service, and DVD rental kiosks. The filing reported approximately 130 free ad-supported streaming TV (FAST) channels and approximately 27,000 kiosks in the United States. Those counts describe the company’s filing-date snapshot; they should not be treated as current operating figures. See CSSE’s 2024 filing materials.
Independent reader supportYour contribution helps us test, update, and keep practical guides available for everyone.What is known about the cases now?
An Inforuptcy docket index accessed October 8, 2026 identifies the lead case as Chapter 7 and lists activity through October 7, 2026, including entries dated September 29, 2026. The index shows continuing case activity, but it does not by itself establish the outcome of the latest motions or stipulations. It is not enough to determine creditor distributions, the timing or amount of any recovery, the final disposition of assets, or whether the estate has closed. View the docket index.
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