Bad Boy Furniture bankruptcy, refusal to fill orders leaves customers in financial limbo

Bad Boy Furniture files bankruptcy notice Bad Boy Furniture is aiming to restructure its business, leaving many customers in the lurch. CTV's Jackie Perez reports.

Melva Davies was crushed to learn she won’t be getting the items she bought from Bad Boy Furniture.

“My delivery was supposed to be Nov. 7 and it didn't show up,” said Davies. “I had a bedroom set, a freezer, chairs that cost me $5,827.”

It's another headache to add to what has already been an emotionally draining few months. The 83-year-old is in the process of moving and mourning her son who she recently lost to cancer.

“I was devastated over my son’s death,” she said.

“And then to find out I'm not getting my furniture – that was devastating to me.”

She's one of several Bad Boy Furniture customers left in the lurch after the popular furniture chain filed for a notice of intention under the Bankruptcy and Insolvency Act.

In a notice to customers, those who made purchases before Thursday have been told the retailer won't be filling any orders -- or refunding any deposits. They are advising customers who paid a deposit by credit card to contact their credit card company to obtain a refund.

According to Ontario Court filings, Bad Boy is aiming to restructure its business because of what they say is a “challenging” economic environment driven by high interest rates, declining sales in the housing sector and a tight retail climate.

The conditions have left Bad Boy owing many of its vendors, including most of its appliance and furniture suppliers. It is also facing significant challenges sourcing more inventory, which is impacting its retail business.

The Pickering, Ont.-based retailer started in 1990 and is owned by Lastman Furniture Inc. with 12 stores across Ontario.

CTV News Ottawa reached out to both Bad Boy Furniture and KSV Advisory, the firm handling the restructuring. Both declined an interview.

As a result of its challenges, Bad Boy says it is considering a liquidation sale to wind down inefficient portions of its business.

Davies says she is planning to connect with her credit card company to see if she can get her money back.

“Six grand,” she said. “That's an awful lot of money and that's out of my retirement.”

With files from The Canadian Press