Signorello Estate Seeks Protection from Foreclosure

Signorello Estate LP, a Napa Valley winery, filed for Chapter 11 bankruptcy protection on August 27, 2026. The filing, made in the U.S. Bankruptcy Court for the Northern District of California, seeks to prevent a foreclosure sale scheduled for August 28, 2026. The winery, established in 1977, reported assets and liabilities ranging from $10 million to $50 million.

Financial difficulties began after an October 8, 2017, wildfire destroyed the winery's facilities, hospitality center, and offices. The subsequent recovery process was lengthy and costly, involving insurance disputes and litigation. Further complications arose from smoke taint in 2020 and general economic challenges within the U.S. wine industry, including declining sales.

The winery's economic struggles prevented it from servicing substantial reconstruction debt owed to American AgCredit. Despite a forbearance agreement, a sale process failed, leading American AgCredit to issue default notices and schedule a foreclosure sale. Signorello Estate plans to secure debtor-in-possession financing and hopes for a going-concern sale to stalking-horse investors to preserve the business and jobs.