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The Honolulu Advertiser
Posted on: Friday, August 17, 2007

Oahu furniture store customers to get refunds

By Curtis Lum
Advertiser Staff Writer

Hawaii news photo - The Honolulu Advertiser

Hundreds of people lined up on Nov. 24 outside the closed doors of the Ashley Furniture Home Store in Waikele, eager to get inside for the liquidation sale after it went out of business.

ADVERTISER LIBRARY PHOTO | Nov. 24, 2006

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Ashley Furniture Home Store customers who purchased merchandise but were left empty- handed after the store abruptly closed last year will be receiving refunds soon, the state announced yesterday.

The Office of Consumer Protection received 125 complaints soon after the Ashley Furniture store in Waikele closed Nov. 10. Most of the customers said they had paid for furniture, but the store shut down before the merchandise could be delivered.

The company said following the closure that some, but not all, customers would receive refunds. Some customers did get their money back and some used a store credit to purchase furniture during a liquidation sale.

But Stephen Levins, OCP executive director, said his office received a "whole slew" of complaints from irate customers, many of whom paid thousands of dollars for furniture they never received. His office launched an investigation and yesterday announced that three-dozen customers who filed complaints but had not resolved their cases should be receiving restitution checks within a week.

Levins said the refunds will total more than $25,000.

"Many of the people received credit charge-backs to charge cards. Some of them didn't and people filed complaints and that's what is being resolved," he said.

Linda Balazs said she bought about $2,400 in furniture from Ashley and was on a trip when the store shut down. After going back and forth with the store and her credit card company, Balazs was able to receive full credit to her charge account.

Balazs is not one of the customers who will be receiving a refund, but she said she's pleased that the matter apparently has been resolved.

"I am very happy to hear that the customers who paid in cash or by check will be getting money back," Balazs said.

The Waikele store was one of about 250 independently owned Ashley Furniture Home Stores that were licensed and supplied by Wisconsin-based Ashley Furniture Industries. Levins said Ashley Furniture Industries was not the legal owner of the local firm, but "stepped up to the plate" to provide the refunds.

He said the investigation in the local Ashley Furniture Home Store remains open.

"They decided to try to take care of these consumers because they just thought it was the right thing to do and we appreciate that," Levins said of Ashley Furniture Industries. "The local entities that were responsible for the sales, that case is not closed, but I can't get into the specifics of that."

Anyone with questions about the refund or who want to file a complaint should call the Office of Consumer Protection at 586-2636.

Reach Curtis Lum at culum@honoluluadvertiser.com.