JACKSONVILLE, Fla. — Shad Khan's investment firm says Edgewood Bakery is closed indefinitely.
The operators backed down in their legal fight against the investment company.
We started following the legal battle over who should operate the bakery and its products in December.
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Edgewood Bakery operator's Tom and Carol Rykalsky posted a response on Facebook.
"Thank you so much to all of our loyal customers, friends, neighbors, community business leaders, helpful vendors, beloved staff, and all who have supported us in any way over the past 8 months. Over the past several months, despite Stache's efforts to take over Edgewood Bakery and force us to close this business down, Tom and I have done whatever was necessary to keep the bakery a family run establishment, pay our employees, produce and deliver promised goods, and keep the do...ors open with minimal impact to customers. Due to the Receivership, we were prohibited to continue to use our resources to manage and operate the business. The wholesale veggie muffin business, which is what this investment relationship was really all about to begin with, has been shut down and destroyed, and we were prohibited to sell assets, or wholesale items without Receiver and/or court approval to continue to fund Edgewood Bakery. When Stache withdrew from their OneSpark promises and ceased their approved funding for us, they sent us down a spiral. After Monday’s hearing, we felt that Stache was completely willing to continue to take measures, both actively and passively, to shut the doors of Edgewood Bakery unless we turned over control. Even if we did win this case in court, the very clear and present danger of their threats to foreclose on the property, even though we had no agreed upon payment plan, would force us to close down. We are not willing to see this long standing, well-loved establishment be forced to close. So, over the past few days, Tom and I have made some very difficult decisions regarding our future with the bakery. We are struggling with these decisions, but overall, we have decided that if we could ultimately help our community bakery, our patrons and our employees, by relinquishing majority control, we would and now, WE HAVE. In addition to the $130,000.00+ in accumulated legal fees, which just seem impossible for a family like ours, the emotional toil this has taken on our family, our staff, and now our customers, including future brides, was just too much to bear. So, we feel that we have done what is ultimately the right thing to do, however, we cannot make promises as to what Khan's Stache Investments firm will do with the bakery."
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A spokesperson from the investment firm gave this statement to Action News:
"Stache Investments aims to reopen the Edgewood Bakery as soon as possible, under experienced new management and on a solid financial foundation, following a period of reorganization for the business. We will restore it to the high standards of quality and service that Jacksonville customers have celebrated for generations. In the meantime, customers who made agreements with the previous operators for wedding cakes or other bakery goods needn't worry. The new Edgewood Bakery will honor and fulfill their orders.
Stache Investments says the Edgewood Bakery will fulfill current orders.