Bankruptcy Judge Douglas Tice has agreed to convert the chapter 11 case of RoomStore Inc. to a chapter 7 liquidation, effectively ending the retailer's efforts to remain in business, FurnitureToday.com reported yesterday. The ruling by Judge Tice means that a trustee will soon be appointed to oversee the sale of the company's remaining assets - primarily its 65 percent stake in bedding retailer Mattress Discounters and a distribution center in Rocky Mount, N.C. Yesterday's decision capped a struggle between RoomStore Inc. and its unsecured creditors committee that had become increasingly contentious in recent weeks as the two parties traded accusations of mismanagement in a series of court documents. RoomStore had asked Judge Tice to convert the case to chapter 7, but the committee filed a motion to keep the case in chapter 11 while appointing a trustee to oversee the wind-down of operations.
