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New York official seeking to license stores

By Furniture Today Staff -- Furniture Today, April 22, 2007

A New York City Council member from Queens wants to license and regulate furniture stores because of what she said is growing consumer fraud by some store owners.

The councilwoman, Helen Sears, is seeking passage of local legislation that would require furniture stores to be licensed by the city's Department of Consumer Affairs, and give the department authority to revoke them if retailers broke contracts with customers. The licenses would cost stores $350.

According to the New York Sun, the action was spurred, in part, by some furniture stores accepting deposits or payments from customers but never delivering merchandise. In some instances, the stores shut down after orders were placed, the newspaper reported.

Barbara Goldstein, executive director of the Greater New York Home Furnishings Assn., a trade group, said that a few stores have given the industry a bad name, but predicted the legislation wouldn't pass.

The Department of Consumer Affairs received more than 800 complaints about furniture sales in 2006, double that of the previous year, according to the DCA's Web site.

Walter Brewster, senior vice president of the Better Business Bureau of Metropolitan New York, said that state law already protects consumers against fraud by furniture stores.

He said the law requires furniture retailers to provide customers with a delivery date in writing, allowing customers to cancel the order if the commitment is not honored. Customers are entitled to several options, including a refund, credit, selection of new furniture and a new delivery date.

Brewster said customers who can't get their money back should contact the DCA, which is charged with enforcing the city's consumer protection law.

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