A court in Quebec has approved Goodfood Market Corp.’s request for creditor protection as the company aims to restructure under new ownership or with support from investors. The Montreal-based meal kit business revealed on Wednesday that it initiated the process of safeguarding itself from creditors by submitting an application to the Superior Court of Quebec.
Upon filing, the court issued an initial order granting the company a standard 30-day protection period from creditors. During this time, creditors are prohibited from initiating new legal actions to collect outstanding debts. Typically, this protection period can be extended during subsequent hearings as the company progresses with its restructuring efforts.
Goodfood intends to utilize the creditor protection period to restructure its operations effectively. The company plans to seek court approval to seek potential buyers or investors for its business and assets in the future.
Documents presented in court indicate that Goodfood faced financial challenges and significant debts, leading to the decision to seek creditor protection and explore the possibility of a sale. While the company is renowned for offering pre-measured meal kits to customers, it ventured into an on-demand grocery service in November 2021, only to discontinue it by October 2023 due to profitability concerns.
Despite discontinuing the grocery division, Goodfood retained 233 employees. The company assured that no immediate job losses are anticipated due to the court proceedings, although targeted workforce reductions may occur.
Throughout the court proceedings, Goodfood will continue to accept and fulfill customer orders without interruption. The company’s founders, Jonathan Ferrari and Neil Cuggy, initiated the business in 2014. Ferrari resigned as CEO on Aug. 25, 2025, while Cuggy, who served as president and COO, departed on Jan. 16, 2026, as indicated in court records.
Recently, CEO Selim A. Bassoul stepped down and was succeeded by Najib Maalouf, who assumed the roles of COO and president.
