L.A. Zoo nonprofit's bankruptcy case dismissed, boosting city in fight over $50-million endowment

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Set us as preferred A federal judge this week dismissed a bankruptcy case filed by the Greater Los Angeles Zoo Assn., handing the city of Los Angeles another victory in its legal battle with its former fundraising partner over a $50-million endowment that was raised for the zoo.The ruling came after the Los Angeles city attorney’s office argued that GLAZA had filed for Chapter 11 bankruptcy to delay the city’s lawsuit over control of the endowment, which funds much of the zoo’s special projects, capital improvements and exhibit construction.The city sued GLAZA — its partner for more than half a century — in 2024, accusing the organization of breach of contract over fundraising issues, refusing to transfer zoo data and claiming exclusive control over the zoo funds, among other issues.Los Angeles owns and operates the zoo and partnered with GLAZA in 1963 to manage fundraising, special events and other services.In June, the city secured a preliminary injunction barring GLAZA from retaining or distributing the endowment after its operating agreement with the zoo expired last year.“We are pleased that the Bankruptcy Court recognized GLAZA’s bankruptcy filing as yet another bad-faith attempt to derail the ongoing litigation for its own benefit,” City Atty.Hydee Feldstein Soto said in a statement.A spokesperson for GLAZA could not immediately be reached for comment, but the organization had previously told The Times that it owes its creditors; this includes more than $300,000 to a law firm that has represented the nonprofit in its legal fight with the city.“The City has designated an army of eight attorneys to overwhelm GLAZA with endless discovery, depositions, and court filings all to run up GLAZA’s legal fees,” the nonprofit said in a statement to The Times.

“As a result, GLAZA has been left with no options...