News

Advanced Search

Court Tells Sears to Pay Memo Vendors

Oct 31, 2018 4:44 AM   By Rapaport News
Comment Comment Email Email Print Print Facebook Facebook Twitter Twitter Share Share


RAPAPORT... Sears Holdings Corp. must pay suppliers for consignment goods its customers buy during the bankrupt retailer’s closing-down sales, according to a court filing last week.

Vendors, including diamond manufacturer Rosy Blue and jewelry supplier Vijay Gold Designs, had objected to the department store’s previous closure plans, as they feared Sears would sell off products they had shipped to it on memo. In an October 25 update, judge Robert Drain instructed Sears to set up a special account for proceeds of any sales of those goods, and use it to transfer funds to consignment vendors.

Sears filed for Chapter 11 on October 15, and plans to close 142 stores.

Image: Sears store, Toronto, Canada.
Tags: Rapaport News
Similar Articles
Comments: (0)  Add comment Add Comment
Arrange Comments Last to First
© Copyright 1978-2018 by Martin Rapaport. All rights reserved. Index®, RapNet®, Rapaport®, PriceGrid™, Diamonds.Net™, and JNS®; are TradeMarks of Martin Rapaport.
While the information presented is from sources we believe reliable, we do not guarantee the accuracy or validity of any information presented by Rapaport or the views expressed by users of our internet service.