Ashley Furniture service contract class action overview:
- Who: Ashley Furniture is being sued by a customer who bought a sofa with a furniture protection plan from the company.
- Why: The plaintiff says the furniture protection plans offered by Ashley are unlawful and deceptive.
- Where: The class action lawsuit was filed in a Florida federal court.
Ashley Furniture sells customers a furniture insurance protection plan that is deceptive, and frequently denies customers coverage unfairly, a new class action lawsuit alleges.
Plaintiff Katie Grasty filed the class action lawsuit against Ashley Furniture Industries, LLC Sept. 13 in a Florida federal court, alleging violations of state and federal consumer laws.
Ashley Furniture markets, administers and sells extended furniture protection plans alongside its furniture, Grasty says.
In October 2019, Grasty bought a Savesto Charcoal Sofa with a service contract for more than $2,300. During the sales process, she says she was encouraged to buy the protection plan, being told it would cover any sort of damage, including damage caused by a dog ripping it, and that it was a prudent investment for her costly purchase.
She agreed, understanding that it would provide protection and give her peace of mind. Grasty says she was not able to review the terms of the service before her purchase, only receiving it electronically after she purchased it.
Ashley Furniture denies insurance claim unfairly, lawsuit alleges
After about two years of normal use, the base of the sofa collapsed in one spot, shortly followed by a collapse in a different location, Grasty says.
When she submitted a claim for coverage, she says she was swiftly denied, told that while the breakage of frames is covered, it is not covered for “excessive damage, misuse, neglect, mishandling, and abuse.”
Grasty says this was an improper decision, because she had indicated the breakage was caused by “normal use” during “normal sitting” on the sofa, not any abuse or misuse.
The company did not investigate or ask any further questions, she says. Thousands of other customers are issued the same “boilerplate denials,” untethered to their specific facts, Grasty alleges.
She is looking to represent anyone in Florida who purchased the coverage, plus a consumer fraud multistate class from Alabama, Montana, Alaska, Texas, Arizona, New Mexico, Mississippi, Utah, Nebraska, South Carolina, Tennessee, and Virginia.
The plaintiff is suing for violations of state consumer fraud laws, for bad faith insurance denial, breach of warranty, negligent misrepresentation, fraud and unjust enrichment. She is seeking certification of the class action, an injunction, damages, fees, costs and a jury trial.
Meanwhile, Ashley Furniture is also facing a false advertising class action lawsuit alleging the furniture chain dupes customers with fictitious “original” prices, leading them to falsely believe they are purchasing furniture at bargain prices.
Have you had an Ashley Furniture service contract? Let us know your experience in the comments!
The plaintiff is represented by Spencer Sheehan of Sheehan & Associates.
The Ashley Furniture Industries class action lawsuit is Katie Grasty v. Ashley Furniture Industries, LLC, Case No. 4:22-cv-00334-MW-MAF in the U.S. District Court for the Northern District of Florida.
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139 thoughts onAshley Furniture class action alleges service contracts misleading, falsely advertised
We just purchased our living room furniture and a bed mattress at the end of June 2025. As soon as we got the couch modular system it came with a speaker Bluetooth box table that did not work. After the delivery guys delivered it, the system would not sync with our Samsung television which was not explained by the sales associate or the delivery personnel. As a result, we have constantly tried to work with their claims department because Ashley furniture refused to make a return on the system even though it hasn’t worked in terms of syncing since the day it was delivered. We were supposed to have a technician come out on 26 July 2025 as I am writing this but no one showed up even though they sent a part already to us. I contacted the warranty department again and they advised nothing was on their schedule for us. I requested a supervisor to contact me as I had spoken to an employee on 16 July 2025 to confirm the appointment who stated it was in their system. No supervisor called back. Husband called again same day to ask about status update and the employee he spoke to advised she saw no notes and would escalate the call. She also scheduled us for another appointment on 30 July for a technician to arrive. This is ridiculous for a brand new item.
I bought a living room/bedroom set and a kitchen table with chairs in 2020. I filed a claim on 6/27/25 for a technician to come a clean the living room set and chairs before the warranty expires at the end of this year; I finally called today (7/9/25) to get an update as I hadn’t heard from them. The agent on the phone told me they couldn’t honor the warranty because looking at the photos I submitted the furniture have multiple stains and that voids the warranty and I should have called when I noticed the first stain. I said okay, there’s only one chair (which is where my child sits to eat) that has multiple stains can I have someone come and clean the other 6 chairs and the couches? And he said, “I can see from the pictures that your furniture have multiple stains”. I will never buy any furniture from them again!
Ashley and Diamond care are not keeping their promises I need help
I need help with taking action against Ashley and Diamond care for not keeping their promises.
My Guardian warranty that I was also sold as a “covers all” plan , ended up being your claims of every day wear and tear is not covered…. Very expensive kitchen table and chairs that chips unknowingly all over is considered everyday wear and tear….. what a scam they are!!!!
We were also “talked into” getting the warranty and when we called they told us it was a hoax and there wasn’t anything we could do about it. We called and got people to come out at least 2 other times and both times claims were denied. 2 different “managers” told us they would make it right and we STILL do not have a resolution to our issue. I will NEVER do business with them again.
We were assuming thawe needed this because pets and we were told by the sale person it was to cover anything that happened stitches came loose and the dogs pulled apart and we were honest and they denied even to look at the chair
I purchased the Diamond Care Plus for all my Ashley furniture. I had straight forward issues with the furniture and filed the claims online. I MISUNDERSTOOD the question on when the problem started, for me I noticed it a week ago, I thought it was when the issue COULD HAVE started, which I put a date that was over a month ago. I called and called spoke with managers, I said I misunderstood the question the problem was noticed a week ago and I put a date when I thought it could have started. They set that claim in stone like the bandits they are, they didn’t listen that I misunderstood and am correcting what I didn’t understand. It was an issue on a date not something like pet vs non pet damage they turned something so simple into their BANDIT logic of slinging mud and chastising me and ending the calls.
I need help whit taking action against ashleys protection bs plan. This is not the first time they deny whit fixing my damaged furnituRe whit saying its not covered