Suddenly closed for an insurance issue, the BHV in receivership, “will not reopen this weekend”

Closed suddenly Monday evening for an insurance issue, the BHV Marais, a Parisian department store in receivership, "will not reopen this weekend", its management announced on Friday, ensuring that it was aiming for a resumption of activity "Tuesday or Wednesday". The emblematic Bazar de l'Hôtel de Ville, like the BHV Parly 2, its little brother in Yvelines (Île-de-France), had to close their doors on Monday at 4:00 p.m., with management citing "administrative regularization". “One of our insurance policies could not be transferred as part of the judicial recovery” decided at the beginning of November by the Paris Economic Activities Court, justified the president of the brand, Karl-Stéphane Cottendin, in a message to his 660 employees.

Asked by AFP, management claimed a decision taken "with the judicial administrators" and running until Tuesday "during the day", before mentioning on Thursday "discussions with several insurers" with a view to a solution. In vain for the moment, according to a new internal message Friday evening from Karl-Stéphane Cottendin, consulted by AFP. “Clauses to be set” “As presented this morning to the elected representatives of the CSE (social and economic committee, Editor's note), our civil liability insurance has never been interrupted and covers the legal framework required to open,” he assures.

“In addition, we received today two proposals for property insurance, fire and business interruption, which will replace the contract prior to the recovery,” adds the manager. But "there are still clauses to be agreed with the insurers and the lessor", the Canadian fund Brookfield, explains Karl-Stéphane Cottendin, stressing that he wants to "reopen while respecting the lease, and not just the law". “As this work is not completed, the store will not reopen this weekend (...

) Our objective is a reopening Tuesday or Wednesday, the time to finalize these points" and "subject to everyone's acceptance", he declares, specifying that the employees' pay would be "maintained". Deserted by the brands due to numerous unpaid bills and/or a controversial partnership with the Asian fashion giant Shein, the BHV was sold at a loss in June to some of its managers by the entrepreneur Frédéric Merlin, who bought it from Galeries Lafayette in 2023. This summer, management announced a recovery plan but encountered a lack of cash, linked according to it to a dispute with Brookfield, owner of the walls since January, which strongly contests.

At the end of October, she admitted that the brand was bankrupt, something she denied until recently.

Machine-translated from French