The company surprisingly flamed out in December 2007 after key investor Limited Brands pulled N2N’s only client, Victoria’s Secret, do to a dispute with another investor, General Catalyst Partners. The company’s assets were supposed to be sold in an auction last year, but as VentureWire reports today, the wind-down of the company couldn’t be settled through arbitration or mediation.

So N2N has filed for Chapter 7 bankruptcy to let a judge rule on the matter. Another twist: N2N owes more than $13 million in debt, much of that to several start-ups.

Founded in 2006, N2N raised at least $30 million from General Catalyst Partners and Limited Brands. General Catalyst holds 65% convertible preferred stock in the company and 50% common voting stock, while Limited Brands holds 35% convertible preferred stock and 50% common voting stock, according to the January filing.