Okemos shoppers may soon have one less fashion-franchise to cruise through as legal matters threaten to affect a department store in Meridian Mall.

Jacobson’s Stores Inc. is expected to make a decision within the next few weeks on whether to sell the franchise or go out of business.

The company filed for Chapter 11 bankruptcy on January 16.

The stores have accumulated debts forcing the company to close five stores in Ohio and Florida and leaving the chain at only 18 stores in April.

In May 2001 the corporation planned to open two new stores in Ohio - its first new stores since 1996 - but legal issues regarding the store’s future forced the company to abandoned any plans for new locations.

“After exploring all other options, this course of action was chosen for the company to restore its financial health as quickly and effectively as possible,” Jacobson’s President Carol Williams said in a letter to company vendors.

Meridian Mall officials declined to comment on the situation and future of the Jacobson‘s located at the shopping center.

The company filed a motion with the U.S. Bankruptcy Court in Detroit to pursue a dual path in its bankruptcy proceedings Wednesday, Jacobson’s spokesman Fred Marx said.

“The motion will spell out the terms of the bankruptcy and any terms of sales,” he said.

During the week of July 22, Jacobson’s is expected to ask the bankruptcy court to schedule a hearing for accepting bids. The company will review and accept any bids made on the company or locations.

“During this week the company, financial lenders, creditor committees and the court will review any bids made,” Marx said.

“There have been some discussions with potential buyers, but nothing official yet.”

But the possible closing of the Jacobson’s in Meridian Mall has many local customers worried.

“I have shopped here for many years,” Fowler resident Margo Sullivan said. “They have a wonderful petite section and I would be sad if they closed.”

Grand Ledge resident and former Jacobson’s employee Lisa Torrey said the numerous closings have made it difficult to shop.

“I used to shop more than I do now,” she said. “They closed the Grand Ledge store so I don’t come here as often.”

Torrey said keeping the clothing store in business isn’t just important for people who like to wear the company’s clothing.

“I would definitely be upset,” she said. “Our community needs a store of a higher caliber and Jacobson’s is that store.”

The possible closing would force some to seek potentially farther stores to shop at.

“My daughter lives in Chicago,” Sullivan said. “If they closed, I would probably shop there.”

But not everyone will be greatly distressed if the chain were to close its doors for good.

“No, I wouldn’t be that upset,” Jackson resident Janice Bauer said. “They need new buyers and new clothes.”