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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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130 thoughts onAshley Furniture class action alleges service contracts misleading, falsely advertised
I purchased a living room set from Ashley Home Furniture in Nashua NH in 2021. In 2023 after minimal use to the area, the frame broke on my sofa that has 2 recliners (1 on each end) when I put in a claim, they came out and took pictures and the guy said it would be covered. Now 7 weeks later, I have been delayed 4 times and no one has returned. Just today, after a week of bickering with GBS insurance and Tri County Furniture Services. They cancelled me AGAIN. Seems Ashley 1) Sells substandard furniture or mistakes from it’s stores. 2)Sells you a protection program from GBS or some other fly by night insurer. 3) They wait for you to give up and process the claim and pocket the money from the insurance. So i see it anyhow as getting someone to actually repair their product will not happen.
We bought an Ashley Sofa and within 6 months the phone chargers went out: We called about getting it serviced under the warranty and never were able to get if fixed. I don’t even care if I get money back I just want to testify under oath against the most disreputable companies ever.
I’d be interested in joining this class action. Just recently had my claim denied after getting told same boilerplate reasons. They can’t accept the claim because of “accumulation”. We had a party in which we had multiple stains occur on the same incident date, due to people and kids spilling drinks on our sofa. So because there are multiple stains that occurred on the same day they won’t honor my warranty? I spent $250 on my warranty when I purchased my sofa and up until recently have never had the need to file a claim. The one time I need to I can’t use what I paid for. Complete waste of money! I think this 5 star warranty is just collecting money from people buying warranties and never actually making good on them. Please I’d love to get in on this class action and at least get the money back that I paid for my warranty!!!
I’ve had a repair request denied by ashley furniture this year. some stitching came loose and internal wooden frame broke. I sent them pictures and the outright denied my claim. Do I have options?
we are having a hard time getting couch and loveseat ( both probable broken springs) and dual electric recliner ( motors and one seat back issue.) repaired under the furniture protection plan. i have been going back and forth for a month or longer. they are asking for pictures of the damage, and invoices. i sent picture of dual recliner issue but i cant send pic of the couch and loveseat unless i cut it open to see the springs!!! we were not given receipts just an email recpt. that i did send pictures of.
My bf and I are currently dealing with the massive headache that apparently comes with buying furniture from Ashley’s. We moved into a new condo recently and had to furnish the whole place. We told the sales person when looking at couches the while not a complete deal breaker if we found a couch we loved, delivery time would be a significant factor as we we did not have any living room furniture at our new place. We found a 6 piece sectional with 3 recliners we really liked on their lower sales floor. The sales rep went to check and informed us it was not in stock at their store, but if ordered that day it would be a 2-4 week delivery time. We agreed this was a reasonable time to wait and we could deal with a few weeks of not using the living room. While up front paying and signing for the purchase we noticed the fine print said 4-6 weeks for delivery. We were reassured that they “just have to say this per company policy” and 6 weeks was a rare occurrence when it was a manufacturer issue. After calling weekly for updates (starting week 3) it was obvious we were lied too by the sales rep wanting to make a quick commission. We were told none of the furniture on the first floor is in stock and it wouldn’t ever be a 2-4 weeks deliver window, but instead 4-6 weeks. This was followed by the same girl we spoke with the week prior saying saying “oh yah I meant to say 6-8 weeks last time we spoke.” We were then told they were having issues with this manufacturer because it was a popular item and they weren’t sure if they could even get the couch. They discussed potentially offering the floor model (which we really didn’t want with unknown wear and tear ect) but we were eventually told they could get 2/3 of the couch new, and the final recliner sectional would be delivered when it came in. We agreed, as we were getting very frustrated not being able to entertain any friends or even watch outside of our bedroom. After arguing with the manager for a while we eventually got $340 back as the partial couch took almost another 2 weeks for them to be able to deliver it. So after 12 weeks, we finally had part of our couch and we’re content. We continued to call for updates on the missing piece since they literally never call you as promised and we’re told a shipment with it should be coming in end of august.. perfect! Until we call back today (aug 29) for an update as per usual, we haven’t heard from them. Surprise surprise, now it won’t be coming til at least the end of November and they’re saying they can’t refund any further. We paid almost $3,000 for this couch and now it could be over 5 months before we actually have it in our house. We will be asking to speak with a corporate rep as this is absolutely unacceptable. We at least want our money back on the warranty we were pushed to buy for protection as I am now reading horror stories of how they deny everyone’s claims when you actually attempt to use it. Word to the wise; avoid this absolute scam of a company and spend your money elsewhere!
I’m currently arguing with Ashley Furniture as well over a TV stand I bought in February 2023. A couple of weeks ago, I noticed that it was starting to cave in on itself. I have a small TV on top (32″) and in the cabinets I have books, and journals. The only other things on top of it is two books giving my TV some height (they weight about 2-3 pounds each), a decorative lamp that weighs no more than 5 pounds, and a statue. Per the website, there is no weight limit listed on it, but it is still caving in on itself. I also purchased the Furniture Protection Plan. I’ve contacted them multiple times but have always been told that they have no record of me making a purchase. I went and wrote a review on the item explaining what’s going on. I have started to receive emails from Ashley Customer Support regarding the review. Upon further investigation, they removed my review from their website and I have them admitting to it on email. However, they’ve agreed to send me a replacement top to the TV stand. After telling informing them that that’s not the only thing wrong with it; the particle board on the back has popped out of place due to the cave in, and I cannot get it to go back into place along with the top board preventing the cabinet doors from shutting due to the top board caving in and the sides bowing out, all they say that they can only provide this and anything further will require and investigation. From what I’m hearing from this article, and all the comments, I won’t be getting anything out of this and just wasted almost $300.
I purchased a sofa and chair delivered in March of 2022. In less then 6 months the material on the sofa arm started to shred. The protection plan denied the claim saying it was a manufacturer defect. Ashley denied the claim saying it wasn’t a manufacturer defect. They sent me a price of material to fix it( I could not) and refunded my protection plan money because it was no longer I durable because of the damage. I contacted our state attorney general who has many complaints and investigating but said she couldn’t tell me to get rid of the sofa. Now the material is shredding on the seat and causing another hole. I’ll have to get rid of it but looking for a class action lawsuit before I do so I can get advice.
Purchased a couch and bought the warranty because we have dogs. Tried filing a claim twice and was denied each time. Ashley Furniture also told me that if I don’t have a claim in 2 years that I get my money back I paid for the warranty. Anybody else get told that too?
Due to heart related surgery I was in a lot of pain. I bought 2 lift chairs from Ashley to help ease my pain in laying and getting up. I have been trying to return/exchange these pieces of %&%$ chairs for better quality chairs since the day they were delivered. I have been given a never ending run-around. I went back to the store and was first told a tech was being sent out to see what was wrong before we could request an exchange for better quality chairs. No one showed up. I went back to the store again and was told no record of a tech being sent was showing on my account. They summoned our saleswoman and requested a return on our account to see if they could get it “approved”. My salesperson informed us that since they only had 2 chairs there to shop from we might find better chairs at an Ashley about 10 miles away which had a lot more chairs. My husband and I went and we found 2 chairs that were much better in many ways over the one we bought. When buying the current chairs we were under the impression by the store tag that we were buying a $1,000 chair. Upon purchase we discovered that we were actually buying a chair that was only $750, supposedly on sale. We have since learned that was not a sale price, but the normal price, and the true price reflects the quality of these chairs. Apparently they are also being sued for something about their deceptive pricing. Saying you are getting a $1,000 chair at a discount when you are getting a cheap chair at regular price. These chairs are poorly made with no quality control. One chair is bigger and taller than the other and had to be jammed in through the door because it didn’t fit in as the other did. One chair has a footrest that won’t come all the way up which makes the chair awkward to use. The other has control button issues. You can’t come up smoothly at all in these chairs which is why I bought a lift chair due to my surgery. I have to struggle to scoot forward to get out of the way of the back as it’s rising. The other chairs we chose at the other Ashley at least bring you up and lay you down smoothly without the need to struggle after a surgery to reposition as it’s returning to chair position. Now they are telling us that we didn’t get to the store soon enough for an exchange, which isn’t true. No one marked the first time we came to the store and no one was sent to look at the chairs. So as far as they are concerned I am stuck with the chairs. Our only recourse now apparently will be to go to the warranty. Then I read this about the warranty. I need to look up where I can sign up. If they stiffed me an the chairs they will probably stiff me on the warranty. They claim they are really going to send a tech out this time. Not holding my breath. Thanks to Ashley I bought a lift chair to help me through my surgery pain and they stuck me with a piece of garbage that inflamed the pain I was having.