The operator of Cowboys Dance Hall, a honky-tonk at 3030 NE Loop 410, had its bankruptcy case dismissed last week after it was unable to obtain liquor-liability insurance.
John Davenport/San Antonio Express-News
SNF Staples LLC, the owner of Cowboys Dance Hall, has sued the venue’s operator for allegedly failing to pay rent and for not carrying liquor-liability insurance. The property is not listed for sale.
John Davenport/San Antonio Express-News
Cowboys Far West Ltd. previously filed for bankruptcy protection in 2016 and again in 2018. During the second case, the property was put up for sale as the company faced foreclosure. It was ultimately sold at a foreclosure auction in April 2019 for $6.5 million to an entity affiliated with Austin-based Heiser Development Corp. SNF Staples LLC took over as owner in August 2025.
Sam Owens/San Antonio Express-News
The landlord of Cowboys Dance Hall has sued the honky-tonk’s operator days after a bankruptcy judge dismissed the dance hall’s Chapter 11 case over its lack of liquor-liability insurance.
The lawsuit, filed by landlord SNF Staples LLC, seeks possession of the property and more than $1 million from the dance hall’s operator, Cowboys Far West Ltd.
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SNF Staples says Cowboys Far West owes an estimated $282,900 in overdue rent and related charges through Monday. The landlord also seeks about $4.5 million in potential total lease damages if the property is not re-leased before the lease expires.
Cowboys Far West filed for bankruptcy protection Sept. 9, saying construction on the Texas Department of Transportation’s I-35/Loop 410 interchange project had hurt business, leaving it unable to keep up with rent. The work, including flyovers being built over and around the dance hall, blocked its visibility from nearby roads and disrupted customers and employees, the filing said.
Cowboys Far West has operated the 45,000-square-foot venue for several years.
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READ MORE: Cowboys Dance Hall files for bankruptcy — again. What happens next?
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Bankruptcy case ended after insurance issue
The bankruptcy case lasted less than a month.
In a Sept. 30 court filing, Cowboys Far West said it could not obtain liability insurance and asked to end its Chapter 11 case. Bankruptcy law requires small-business debtors to maintain insurance customary for their industry. The lease separately required liquor-liability coverage of at least $1 million per occurrence and $2 million total, plus a $5 million umbrella policy covering liquor liability.
At an Oct. 2 hearing on the landlord’s requests to lift the bankruptcy stay — the court order that temporarily prevents creditors from pursuing collection or taking other action against a debtor — and stop alcohol sales without the required insurance coverage, U.S. Bankruptcy Judge Aubrey Thomas questioned whether the venue planned to keep operating uninsured.
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The judge noted that bankruptcy filings already disclosed that at least three personal-injury lawsuits had been filed against Cowboys Far West and warned, “If this debtor’s not insured, that’s a massive risk to this bankruptcy estate.”
Matthew Duke, the landlord’s attorney, said his client “could immediately lock the doors after this hearing and protect ourselves from any further liability” if the bankruptcy case were dismissed. Thomas granted Cowboy Far West’s request that day, making the landlord’s motions unnecessary to decide.
Whether SNF Staples has since locked the doors could not be determined. Duke did not respond to an email seeking comment. Robert Wilson and Kari Wade, agents for Cowboys Far West’s general partner, and Ron Smeberg, the partnership’s bankruptcy attorney, did not respond to requests for comment.
Cowboys Dance Hall’s Facebook page advertised a Wednesday night “College Night,” with $4 well drinks and domestic beers. The post did not confirm whether the venue actually opened.
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The venue has employed 47 full- and part-time employees.
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Landlord seeks possession, damages
This was Cowboys Far West’s third bankruptcy filing. It sought Chapter 11 protection in 2016 and again in 2018. During the second case, the property was sold at a foreclosure auction in 2019 for $6.5 million, and the dance hall’s operators continued under a lease.
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The property is listed for sale, but the listing gives no asking price, directing prospective buyers to “Call for Pricing.” It also warns them: “DO NOT DISTURB EXISTING TENANT.”
SNF Staples acquired the 16-acre property at 3030 NE Loop 410 from HDC Hill Country Equities Crossroads LP, a partnership affiliated with Austin’s Heiser Development Corp., in August 2025. SNF Staples’ manager is Roya Farahnakian of Corpus Christi.
In its lawsuit, SNF Staples says it issued Cowboys Far West a notice to vacate on Oct. 2 and that the occupants refused to leave that day and again on Monday. The landlord filed suit seeking possession Tuesday, four days after the dismissal.
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The complaint also names SA Club Entertainment LLC, the original tenant under the lease, and Michael Jay Murphy, who personally guaranteed it. SNF Staples disputes whether the lease was validly transferred to Cowboys Far West.