Surf 9 has filed for Chapter 11 bankruptcy amid a dispute with Body Glove over alleged unpaid royalties.

“The company desires to preserve the status quo relating to the continuation of the license while the company obtains new financing to cure the arrears under the license in agreement with an overall corporate restructuring,” said Surf9 in a court filing at the US Bankruptcy Court for the Eastern District of New York.

The filing comes as Body Glove said it plans to end its licensing agreement with Surf 9 for the distribution of paddle boards and footwear.

Surf 9 has been licensed to sell Body Glove’s products since 2005.

Surf 9 also has licensing agreements with Nautica, Spyder, Airwalk and Eddie Bauer.