LL Flooring is going out of business

LL Flooring, previously known as Lumber Liquidators, is set to close its remaining 200 stores after failing to secure a buyer during its Chapter 11 bankruptcy proceedings. The company, which has been in operation for 30 years, will begin liquidation sales on September 6, with the process expected to take about 12 weeks. Approximately 2,000 employees will be affected by the closures, marking a significant loss in jobs within the retail sector. The retailer's decline follows a series of controversies, including a 2015 investigation that revealed suppliers provided products with excessive formaldehyde levels. This led to a $36 million settlement in 2018 for class-action lawsuits and a $33 million penalty in 2019 for misleading investors. These issues severely impacted the company's reputation and financial stability. Despite efforts to negotiate with potential buyers, LL Flooring announced that discussions did not yield any viable offers. The decision to liquidate individual assets and wind down operations was deemed the best course of action to maximize value for creditors. Customers will have their existing flooring orders fulfilled within 30 days, but new installation appointments will cease after September 6. The closure of LL Flooring adds to a growing trend of well-known retailers facing financial difficulties as consumer spending on non-essential items declines. Other furniture retailers have also filed for bankruptcy in recent months, highlighting the challenges faced by the retail industry in the current economic climate.