LL Flooring Shuts Down All 400+ Stores After Bankruptcy Filing.. What This Means for Customers and the Industry
LL Flooring, formerly known as Lumber Liquidators, is closing all its stores after filing for bankruptcy. This decision comes just weeks after the company announced its Chapter 11 filing on August 11, 2024. The once-thriving flooring retailer, which operated over 400 locations, is now liquidating its assets.
The company stated that negotiations for a sale did not result in a suitable offer. As a result, LL Flooring will begin closing sales at its remaining stores starting September 6, 2024, with the entire process expected to take about 12 weeks.
Key takeaways:
- LL Flooring is closing all stores after bankruptcy.
- Company filed for Chapter 11 on August 11, 2024.
- Negotiations for a sale did not succeed.
- Closing sales began on September 6, 2024.
LL Flooring’s Closure: What Led to This Decision?
LL Flooring’s decision to close all its stores stems from a series of unfortunate events. The company has faced declining sales for several years, primarily due to reduced consumer spending on home renovations. High interest rates and persistent inflation have further strained its financial situation. After filing for Chapter 11 bankruptcy, LL Flooring attempted to negotiate a sale but ultimately decided that liquidating its assets would provide the best outcome for creditors.
Impact of LL Flooring’s Bankruptcy on Customers and Employees
The bankruptcy of LL Flooring affects both customers and employees. Customers with existing orders will have their installations completed within 30 days. However, no new installations will be offered after September 6, 2024. Additionally, all sales will be final, and deposits will not be refunded. Employees face uncertainty as the company winds down operations, with many likely to lose their jobs.
History of LL Flooring: From Lumber Liquidators to Bankruptcy
LL Flooring, originally named Lumber Liquidators, was founded in 1994. The company rebranded in 2021 after facing scrutiny over the safety of its products. A 2015 investigation revealed that some flooring contained high levels of formaldehyde, leading to a $33 million settlement with regulators. Despite efforts to recover, the company struggled in recent years, ultimately leading to its bankruptcy.
- Founded in 1994 as Lumber Liquidators.
- Rebranded to LL Flooring in 2021.
- Faced safety concerns over flooring products.
- Settled with regulators for $33 million.
For more information, visit the company’s official restructuring page here. You can also learn about the flooring industry and consumer rights at Consumer Reports.
