Administrators at Land of Leather

EKRIUQ

Furniture retailer Land of Leather has become the latest chain to hit trouble after it was confirmed that the group has gone into administration.

The announcement comes after the firm, which has 850 stores, requested a suspension in trading in its shares.

Does this mean that everyone who had a deposit or had their sofa paid for go to the back of the queue when looking for their money back:eek:

andrewh5

It does yes.

hobochris

I used to work there about a year ago, saw this one coming a few years back, horrible place to work and I can only imagine what its like from a customers perspective.They got new software to run the day to day business of the company, which doesn't work. The delivery charges are a joke. Delivery system is just as much fun And there is nothing any of the staff can do about it even if they wanted to because everything is decided by those at the top who think they know best but haven't a clue and couldn't organize a piss up in a brewery. polish it off with some good Pr work and advertising (those guys are miracle workers to have ever gotten the company that big with such problems gone unnoticed) and you have land of leather.

The other big furniture retailers are just as bad so I've been told. If I were buying furniture id go with the little local stores.

EKRIUQ

andrewh5 wrote: »

It does yes.

I pity anyone who bought over Christmas and are waiting for their sofa to arrive.
I always thought their specials were too cheap to make a profit, its fine when they have a huge volume but when things dry up there left with nothing.

Murt10

EKRIUQ wrote: »

Does this mean that everyone who had a deposit or had their sofa paid for go to the back of the queue when looking for their money back:eek:

Depends on whether you paid by cash or credit card. If the former you are in trouble, if the latter, you can get a refund back from your credit card company.

M

hobochris

EKRIUQ wrote: »

I always thought their specials were too cheap to make a profit, its fine when they have a huge volume but when things dry up there left with nothing.

They own a factory in China where they make a lot of the specials, so they would be cheap to make transport probably costs more.

Mr. Incognito

I've never heard anything but people having bad experiences here.

I guess this is their comeuppance for such poor quality customer care.

HashSlinging

How does this effect warranties on stuff bought there, I purchased a 5 year warranty on a leather couch etc last year.

Mr. Incognito

That's an easy one.

You can staple it to your toilet paper and wipe your arse with it because if they go to the wall it's all that that slip of paper is going to be good for.

astrofool

HashSlinging wrote: »

How does this effect warranties on stuff bought there, I purchased a 5 year warranty on a leather couch etc last year.

The warranty (insurance) is with a seperate insurance company, details will be on your certificate.

blinding

Some of these furniture outlets are serial "going into administration"

I would never buy anything off them except on a credit card.

These guys look at their books and if their is more money to be made out of going into administration then this is what they will do.(Some of them done a runner with the readies I suppose)
They are professional highway men/women.
By the way do not expect that goverment that you pay all your taxes to protect from the robbers(nothing in it for them)

EKRIUQ

From the administrators

Deloitte said it is working closely with Land of Leather's management 'to protect the interests of customers who have paid deposits on furniture orders.'

All customers who have either paid a deposit by credit card or Visa debit card, or indeed have paid a deposit by any means since 26 December are fully protected according to Deloitte.

The statement adds that, 'any customers who paid a deposit by cash or by a non-Visa debit card before 26 December will be offered a discount on other stock if their original order cannot be fulfilled. However, it is the objective of the administrators to sell the business as a going concern and have all deposits honoured.'

dooley319

hi we paid for a sofa in full 700 euro news year day should we go and see about getting or money back

dooley319

hi folks we paid by credit card in full 700 euro for a sofa on news years day should we go and get our money back

jor el

Ring the bank and see what they say, given that LoL are in Administration. They'll know what to do.

Essexboy

All those who either paid a deposit by credit card or Visa debit card, or who have paid a deposit by any means since 26 December are fully protected, said Deloitte.

That is the situation in the UK. Unfortunately consumer protection is (much) less advanced here so it may be more prudent to get your money back.

blinding

dooley319 wrote: »

hi we paid for a sofa in full 700 euro news year day should we go and see about getting or money back

Yes in my opinion(or your sofa) and best of luck.

dotsman

There is a massive difference between liquidation and administration. Land of Leather are not being forced to close down. They are not in debt. It is merely a business decision to go into administration as they don't see themselves making much (any) profit over the next few years.

Your deposit will be honoured, and according to Deloitte, they have no outstanding debt, therefore there should be no risk.

See more here.

By going into administration, they will be looking to do one of 4 things:

1. Look for ways to cut costs and increase profits (possibly by closing down some outlets)
2. Look for new ways to increase revenue streams
3. Sell the company on (difficult to do in today's economic climate)
4. Wind the company down. This would involve stopping taking new orders, completing/refunding existing orders, before selling off the last of the stock in a closing down sale and distributing the proceeds to the shareholders.

I'd keep an eye on them, but wouldn't panic just yet. Most likely, the worst case scenario is that between now and when your order is supposed to be delivered, that they wind down and just give you your deposit back and, thus, you have wasted the previous month or 2 etc.

If you wanted to gamble, you could try and get a refund now and hope to pick up the same furniture again in a few months if they have a closing down sale!

dotsman

I've replied to your post in this thread. Perhaps the mods can merge/close this one?

dudara

Threads merged.

dudara

johno126

EKRIUQ wrote: »

I pity anyone who bought over Christmas and are waiting for their sofa to arrive.
I always thought their specials were too cheap to make a profit, its fine when they have a huge volume but when things dry up there left with nothing.

I bought in oct 08 an paid cash , never did get my suite and bin told by trading standards i wont get my money back,
ppl that bought after 26 dec 08 will get money back as it was ring fenced by the Administration , or so they say.