ABCs

Data sales in ABCs and Chapter 7: what the record shows

Picking between an ABC and Chapter 7 usually comes down to cost, speed and who controls the process. When the company has years of email, Slack and code, a further question matters: which route has actually produced data sales?

AI Data Offers research deskChecked against our methodology Updated October 28, 2026 2 min read 10 sources

In this guide

01

The scorecard by route

  • Chapter 11

    Reported data sales

    Spirit Airlines archive ($10.0M winning bid, pending). Character.AI code ($20M stalking horse).

    Notes

    The only court cases with AI bidders

  • Chapter 11, consumer data

    Reported data sales

    23andMe ($305M), Bed Bath & Beyond ($21.5M), RadioShack ($26M IP)

    Notes

    Customer records with a brand

  • ABC

    Reported data sales

    Zulily brand and customer database ($4.5M)

    Notes

    No reported archive sale to an AI buyer

  • Chapter 7

    Reported data sales

    None reported

    Notes

    Trustee must preserve data quickly

  • Voluntary wind-down

    Reported data sales

    150+ deals via SimpleClosure, $10K to $100K typical

    Notes

    Where most volume is

02

What this means for the choice

  • An ABC keeps control with an assignee you choose and can move faster than court, which helps keep systems alive.
  • Chapter 7 hands control to a trustee who may not know the archive has value. Tell them.
  • Voluntary wind-downs, before either, are where most data deals close today.

Whatever route you choose, preserve the data first. See the winding-down checklist.

FAQ

Questions, answered

Has any ABC sold an email archive to an AI company?

Not in any reported case we know of. Zulily's ABC sold a customer database with the brand.

Is a data sale easier in an ABC or Chapter 7?

There is no track record for either yet. An ABC keeps control with an assignee you choose, which can make preserving the data easier. Ask counsel.

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Sources

Every number on this page links back to one of these.

  1. 1Chapter11Cases (Stretto): docket report on the Spirit Airlines de-identified data salechapter11cases.com
  2. 2PPC Land: Character.AI faces 40 attorneys general over who can buy its users' chatsppc.land
  3. 3WBTV: Anne Wojcicki's nonprofit gets court approval to buy 23andMe for $305Mwbtv.com
  4. 4PYMNTS: Overstock wins auction for Bed Bath & Beyond digital assets (2023)pymnts.com
  5. 5ArentFox Schiff: agreement reached on sale of consumer data in RadioShack bankruptcyafslaw.com
  6. 6Retail Dive: Beyond acquires Zulily's brand and assetsretaildive.com
  7. 7Retail Dive: Zulily goes out of business and liquidatesretaildive.com
  8. 8MIT Technology Review: AI labs are buying data from dead startups (13 Oct 2026)technologyreview.com
  9. 9U.S. Courts: Chapter 7 bankruptcy basicsuscourts.gov
  10. 10Pewter Datapewterdata.com

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