Industry & Advocacy News
June 4, 2025
On May 28, the Authors Guild and several Albert Whitman & Co. authors attended a virtual meeting of creditors in the publisher’s Chapter 11 bankruptcy case, referred to as a “341 hearing.” The hearing offered authors, agents, and illustrators a chance to hear directly from company leadership—and to pose questions under oath—about the events leading up to the bankruptcy filing and the future of their works.
A 341 hearing, also known as a “meeting of creditors,” is a required part of any bankruptcy proceeding. It gives creditors the opportunity to ask the debtor questions about the company’s finances, assets, and the circumstances that led to the bankruptcy. Debtors’ responses are given under penalty of perjury. While the debtor is not obligated to answer questions about individual claims, the hearing still provides transparency into the company’s operations and financial decisions.
At the hearing, Albert Whitman & Company President and co-owner John Quattrochi stated that the bankruptcy filing was precipitated by an employment and breach-of-contract lawsuit brought by Attila Gazdag, who previously headed the publisher’s short-lived digital venture, Albert Whitman Multimedia. According to Quattrochi, the company lacked the funds to defend itself in court and ultimately chose bankruptcy as a means of managing the financial strain.
Quattrochi further revealed that the company had been profitable for 16 out of the last 17 years that he and his co-owner, Vice President Pat McPartland, had operated it. However, in what turned out to be a significant misstep, Albert Whitman invested $2.2 million in Albert Whitman Multimedia—a venture that failed to generate any revenue. This investment, he reported, placed additional pressure on the company’s finances in the years leading up to the bankruptcy and also forced the sale of Whitman’s most lucrative property: the Boxcar Children series.
The Authors Guild and authors on the call raised the issue of Albert Whitman & Co.’s chronic delays in rendering royalty statements and payments over the last two years. Mr. Quattrochi, testifying under oath, denied that the publisher was untimely or delinquent in issuing statements. However, at the hearing, authors, agents, and the Authors Guild provided examples of statements that were long past due or never received.
Many authors were unaware that the 341 hearing was taking place. The publisher did not provide direct notice to authors with active contracts or outstanding royalty claims, leaving them in the dark about a critical moment in the bankruptcy process. It was only through the outreach and advocacy efforts of the Authors Guild—including our recent webinar on the Albert Whitman bankruptcy—that authors were informed of their rights and the opportunity to attend.
To ensure you receive timely updates and official notices moving forward, we recommend that all authors and illustrators with outstanding royalties or other claims due from Whitman sign up for electronic notice through the U.S. Bankruptcy Court for the Northern District of Illinois, Eastern Division. To do so, you must complete Form G-21 (Consent to Receive Notices Electronically) and submit it to the Clerk of Court. The form and instructions are available here.
When filling out the form, be sure to include the following case information:
Case No.: 25-06161Case Title: IN RE: ALBERT WHITMAN & COMPANY, V DEBTOR(S)
Signing up for electronic notice ensures that you will be directly notified of filings, hearing dates, and other critical developments in the case.
The U.S. Bankruptcy Court for the Northern District of Illinois offers an Electronic Drop Box (eDB) for self-represented (pro se) parties, which can be used to file Form G-21. To use the eDB, you must complete an online form providing your name, contact information, case number (if available), and a brief description of the documents being submitted. Each PDF file must be under 5 MB in size. Submissions are typically processed within 24 hours or by the next business day. The eDB is accessible here.
As an alternative to using the eDB, you can mail the completed form along with a copy of your state-issued ID (such as a driver’s license or passport) to the following address:
U.S. Bankruptcy CourtEastern Division219 S. DearbornChicago, IL 60604
You may also contact the court at (312) 408-5000 to confirm receipt or request additional guidance.
Please also note: If you are an Authors Guild member, you will receive updates from us as filings occur, along with guidance and support throughout the process.
Ahead of the 341 hearing, Albert Whitman & Company submitted its Schedule of Creditors—a court-required document listing all individuals and entities the company believes it owes money to. This includes suppliers, service providers, and authors and agents owed royalties or other contractual payments. However, the Authors Guild has reviewed the filing and found that some authors who are likely owed past-due royalties do not appear on the schedule.
The creditor schedule is posted below so that you can check to ensure that you—or your agent—are listed and that the amount owed matches what you believe is due. If your agent is listed and you are not, contact them to confirm that they are aware of the bankruptcy and have received notices. If they have not received any notices, please share this post so they can sign up as well. (You can also sign up independently, even if your agent is listed.)
Click here to access the creditor schedule (PDF).
Although the schedule is a public filing, we have redacted addresses to protect privacy.
If your name is not listed and you believe you are owed money—or if the amount listed is significantly inaccurate—please contact us by submitting a legal help request form or emailing staff@authorsguild.org. Please note that the Guild can only provide legal assistance to member authors and illustrators.
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