Legal

Boxed Files for Chapter 11 Bankruptcy
April 4, 2023 at 11:20 am

Online retailer Boxed became the latest company that's gone public via merging with a special purpose acquisition company (SPAC) to file for bankruptcy. Founded in 2013 as an online bulk retailer, Boxed said on Sunday that it's filing for Chapter 11 bankruptcy protection and will execute a sale of its Spresso software business to its first-lien…

Some Retailers See Setbacks From Silicon Valley Bank Collapse
March 13, 2023 at 1:13 pm

Some retail organizations are seeing significant setbacks as a result of the collapse of Silicon Valley Bank (SVB). Toy e-commerce startup Camp, for example, sent an email to customers on March 10 that said it was slashing prices and would use the sales to help fund its continued operations after much of its money was tied up in…

Tuesday Morning Files Chapter 11 for the 2nd Time in 3 Years
February 14, 2023 at 5:07 pm

Off-price home good and décor retailer Tuesday Morning announced it's filing for Chapter 11 bankruptcy protection. The company is "pursuing a financial and operational reorganization to enable it to reduce its outstanding liabilities, obtain significant and necessary capital, and ultimately transform into a nimbler retailer that serves heritage markets in a profitable manner," according to a…

How to Avoid SMS Campaign Compliance Violations
February 14, 2023 at 1:25 pm

Papa Bear violated the Telephone Consumer Protection Act (TCPA) and is now embroiled in a class-action lawsuit. Build-A-Bear-Workshop, a chain retailer that enables buyers to adorn their stuffed animal with accessories of their choice, allegedly sent multiple text messages to consumers whose numbers are listed on the National Do-Not-Call Registry. Bad bear. Perhaps Papa Bear…

Nike Sues lululemon, Claiming Infringement on Shoe Design
February 1, 2023 at 3:12 pm

Nike is accusing the yoga lifestyle and apparel brand lululemon of infringing upon some of its shoe designs, according to a lawsuit filed Monday in New York's U.S. District Court. Canada-based lululemon launched its first footwear collection in March 2022, with women's shoes available first and men's shoes debuting in 2023, according to a press…

Mattress Company Serta Simmons Files for Bankruptcy
January 25, 2023 at 4:01 pm

Serta Simmons Bedding, the Georgia-based mattress company, filed for Chapter 11 bankruptcy on Monday, saying the move is an attempt, in part, to reduce the company's debt. The company, owned by private equity firm Advent International, said it's "operating as normal" — it earmarked $125 million in financing to keep operating — and the restructuring…

Party City Files for Chapter 11, Plans to Restructure Debt
January 18, 2023 at 4:57 pm

Party City has filed for Chapter 11 bankruptcy protection in a bid to restructure its heavy debt load and keep its doors open after supply chain woes, rising inflation and a consumer slowdown took a chunk out of sales, reports CNBC. The party supplies retailer has secured a $150 million bankruptcy loan and will seek approval to use…

New Buy Now, Pay Later Regulations Are Good for Retailers
January 10, 2023 at 6:32 pm

The topic of consumer protection in buy now, pay later (BNPL) has been heating up as regulators around the globe are turning their attention to the industry. The U.S. Consumer Financial Protection Bureau's (CFPB) recently announced plan to regulate legacy BNPL lenders like they do credit card companies is good news for consumers. But hidden…

Amazon, EU Reach Settlement Over Marketplace Seller Data
December 21, 2022 at 6:29 pm

In a settlement with the European Union, Amazon.com on Tuesday agreed to make changes to how it does business, promising to address allegations that it was using independent sellers' data to its advantage. The European Commission, the E.U.'s executive arm, said in a news release on Tuesday that Amazon would stop using nonpublic information it gathers…

Judge Orders Amazon to Stop Retaliating Against Union Organizers
November 22, 2022 at 6:12 pm

A federal judge has ordered Amazon.com to stop retaliating against employees engaged in workplace activism, issuing a mixed ruling that also hands a loss to the federal labor agency that sued the company earlier this year. The ruling came in a court case brought by the National Labor Relations Board, which sued Amazon in March seeking the…