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Queens Chronicle

City sues furniture chain over 'deceptive' practices

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Posted: Friday, October 26, 2018 2:25 pm

The city Department of Consumer Affairs is suing Maddy’s Home Furniture, a chain with locations in Elmhurst and Jamaica for allegedly using deceptive sales tactics to profit from low-income and immigrant consumers.

The company’s stores in Queens are Dubai Furniture at 89-41 164 St. and Furniture Saving at 87-08 Queens Blvd. Its other locations are in Manhattan and the Bronx.

Filed in Manhattan State Supreme Court, the city’s lawsuit follows more than 100 consumer complaints against the company.

“Unfortunately, at Maddy’s Home Furniture’s stores there’s a good chance that—unless you take the furniture out of the store the day that you pay for it—you will not get what you paid for ... if you receive anything at all,” DCA Commissioner Lorelei Salas said in a prepared statement.

Her agency accuses the chain of giving out deceptive receipts for purchases and refusing to make repairs or give refunds. And the DCA alleged that the company made false promises of speedy deliveries. When it did actually deliver furniture, the product was allegedly often damaged and defective.

Additionally, the department accuses the furniture business of using ads with messages like “NO CREDIT? BAD CREDIT? NO PROBLEM YOURE APPROVED!!!” to lure people into the stores. None of the customers interviewed by the agency said they got financial offers like the types advertised.

The lawsuit alleges that after the company lured consumers into its stores, it tricks them into signing agreements with third-party financing businesses, sometimes without knowing it.

The city also accuses the company of failing to inform customers of required disclosures about their layaway plans, the locations of the items on layaway and the payment deadlines. 

The company did not return a request for comment prior to deadline.

“I hope that DCA’s action today sends a resounding and unmistakable message to these bad actors that there is no place in our economy for such thievery,” state Sen. Leroy Comrie (D-St. Albans) said in a prepared statement.

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