A Long-Running Pennsylvania Nursing Facility Files for Chapter 11 Bankruptcy

​Cedar Haven Acquisition, LLC, the parent of Cedar Haven Healthcare Center, enters Chapter 11 bankruptcy amid unpaid rents and debts.

Written By Twinkle Jha
News Writer
​Cedar Haven Acquisition, LLC filed a bankruptcy petition on January 16, 2026 (Source: Created on Canva)

​Cedar Haven Acquisition, LLC, the parent company of Cedar Haven Healthcare Center, has filed for bankruptcy. The filing follows mounting financial pressure at the Lebanon-based nursing facility and is intended to allow operations to continue under court supervision.

Chapter 11 Filing Details

Cedar Haven Acquisition, LLC submitted a voluntary petition in the U.S. Bankruptcy Court for the Middle District of Pennsylvania, according to the latest PACER records. The Chapter 11 petition was filed by the nursing facility operator on January 16, 2026.

​According to LebTown, the building’s owner filed a lawsuit against the facility in October 2025 over unpaid rent. The lawsuit alleged that Cedar Haven Acquisition, LLC, which operates the 430-bed facility, had fallen behind on rent payments.

Court records also show the operator owes outstanding payments to the Pennsylvania Department of Human Services.

Struggling with the ongoing financial troubles, Cedar Haven Acquisition, LLC plans to pursue a sale of the nursing facility as part of the Chapter 11 process. The Chapter 11 filing is designed to keep the facility operating while it continues caring for its existing residents.

Prior Bankruptcy History​

Cedar Haven Acquisition, LLC is not facing bankruptcy troubles for the first time. The operator previously filed for Chapter 11 protection in 2019, according to Lebanon Daily News.

​The Lebanon County-based company exited the bankruptcy in 2022 after the court approved its reorganization plan.​

About Cedar Haven Healthcare Center

Owned and operated by Cedar Haven Acquisition, LLC, this nursing care facility from Lebanon, Pennsylvania offers a range of personalized and innovative care services. Services at Cedar Haven Healthcare Center include short-term rehabilitation and skilled nursing care. 24-hour skilled nursing, memory care, respite care, short-term rehab, and hospice are the major services offered by the facility.

The privatized county-owned nursing facility is also known for specialized care for seniors.

It was acquired by Cedar Haven Acquisition, LLC, a Stone Barn Holdings subsidiary, in 2014 when Lebanon County Commissioners voted in favor of the sale.​

First Day Filings and Upcoming Deadlines​

Attorney Robert E. Chernicoff is representing Cedar Haven Acquisition, LLC in court. Judge Henry W Van Eck is overseeing the proceedings in the Chapter 11 case.​

Here are other basic details related to the case of Cedar Haven Acquisition, LLC:​

  • Filing Date: January 16, 2026
  • Court and Jurisdiction: U.S. Bankruptcy Court for the Middle District of Pennsylvania
  • Type of Filing: Active, Voluntary Petition
  • Chapter: 11
  • Case Number: 1:26-bk-00118
  • Estimated Assets: $1,000,000 – $10 million
  • Estimated Liabilities: $1,000,000 – $10 million
  • Reason for Filing: Reduce the burden of overdue payments through reorganization

The assets and liabilities mentioned above have been added based on data by RK Consultants, which further notes that the facility owes roughly 200 to 999 creditors in total.

On January 16, attorney Robert E. Chernicoff, on behalf of Cedar Haven Acquisition, LLC, submitted the Chapter 11 voluntary petition for a fee amount of $1,738. Attorney Joseph P. Schalk, Esquire, on behalf of the United States Trustee, entered the Chapter 11 proceedings the same day.​

Among the documents submitted by Cedar Haven Acquisition, LLC, is a list of creditors who have the 20 largest unsecured claims.

​According to court records, the first-day filings of Cedar Haven Acquisition, LLC were related to the use of cash collateral, payment of pre-petition payroll and employee benefits, and adequate assurance of payment for future utility services.

​Through an emergency motion, Cedar Haven Acquisition, LLC requested the court to authorize its debtors-in-possession for post-petition financing, granting liens and providing super priority administrative expense status, modifying the automatic stay, and scheduling a final hearing pursuant to bankruptcy rule 4001.

​Court records add that Cedar Haven Acquisition, LLC also submitted an application to employ Michael F. Flanagan and Flanagan & Associates LLC.

​Filing details further state that Christopher R. Momjian, an attorney from the Pennsylvania Office of Attorney General, formally entered the case to represent the Commonwealth of Pennsylvania’s Department of Human Services (DHS).

​The court approved an expedited hearing scheduled for January 29 at 11:30 a.m. The voluntary petition adds that the deadline for the appointment of a health care ombudsman is February 15.

Future hearings will focus on stabilizing operations, managing debt, and advancing a potential sale while care continues for current residents.

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Twinkle Jha is a content writer passionate about crafting engaging and informative pieces for diverse audiences. She holds a degree in Journalism & Mass Communication that helps her create news-based articles related to restaurants, retail, and real estate in the US. With five years of writing experience, Twinkle has a strong base for her research, allowing her to create compelling content. Her keen eye for detail and creative approach make her writing stand out. When not working, she loves to watch movies.
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