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Sears Canada Looks to Start Liquidation Sales on July 21

Sears Canada Looks to Start Liquidation Sales on July 21

By Ambia Staley

Sears Canada has submitted a legal motion to an Ontario Superior Court asking for approval to begin the liquidation of 45 stores slated for closure.

In the court documents, still to be approved, it's reported that Sears plans to start the liquidation process as early as July 21 and finish the process by October 12 of this year.

Last month, Sears Canada filed for court protection and announced plans to shutter 59 stores and lay off 2,900 employees nationwide in a restructuring effort. While 59 stores are slated for closure, 14 of these are Hometown dealer stores, which are independently owned and operated and thus will be allowed handle their own liquidation. The remaining 45 stores will use third-party liquidators to handle their closing sales.

Regardless of whether the liquidation is being carried out independently, or by a third-party, most stores -- with the exception of 3 Hometown stores which ended agreements with Sears before restructuring -- must follow a strict list of guidelines, according to the motion. These guidelines lay out how the liquidation sales are to be conducted across closing locations, and include some of the following specifications:

  • All signage must be professionally produced and no handwritten signs are allowed.
  • Neon and "day-glow" signs, giant balloons, flashing lights, and amplified sounds are not allowed.
  • Signs must be posted at cash registers notifying customers that all sales are final.
  • Advertising "everything on sale", "everything must go", or "store closing" is allowed.
  • Advertising "bankruptcy", "liquidation", or "going out of business" is not allowed.
  • Stores can also sell furniture, fixtures, and equipment owned by Sears.

The guidelines also state that stores must work with their landlords in case they have any further requests or guidelines regarding how each store handles the liquidation process.

There are no guidelines stating what type of deals will be offered, or what percentage the discounts will start at once liquidation begins in stores, so shoppers will have to wait until the process officially starts to see what kind of deals will be available.

39 Comments

    • Oh boy, I just got a call back from an interview at their HQ. I guess I'll wait and see.
    • Report Post
    • I'm likely a cause of them out of $400.00 due to Sears Portrait Studio closing without notifing consumers who bought expensive photo packages that included a members card.

      I told them that if the portrait studio said Photos unlimited then thats a different story but since the studio holds the sears name then that makes sears liable if any court action was to take place. So they sent me a $400 cheque just last week thank got we cashed it when we got it lol.
    • Report Post
    • No surprise here. Years of decline along with losses every quarter = bankruptcy.

      Surprised they even lasted the last 5-7 years with all those losses.
    • Report Post
    • The location near me actually began renovating in the past month. I guess it's to make it "look" better for potential sale?
    • Report Post
    • they really messed up last years black friday/xmas season with online orders, they were blasted hard on social media for all the missed deadlines. we ordered a dishwasher on black friday that said it would be delivered the next day, it never came, no one called, we waited 6+ weeks for a refund, kept being told it was on backorder. while a few days later we bought it at lowes, they called within 1 hour, verified delivery time and they showed up on time, same exact dishwasher. that was the last chance sears had at our money.
    • Report Post
    • rocking23nf wrote:
      Jun 13th, 2017 2:33 pm
      they really messed up last years black friday/xmas season with online orders, they were blasted hard on social media for all the missed deadlines. we ordered a dishwasher on black friday that said it would be delivered the next day, it never came, no one called, we waited 6+ weeks for a refund, kept being told it was on backorder. while a few days later we bought it at lowes, they called within 1 hour, verified delivery time and they showed up on time, same exact dishwasher. that was the last chance sears had at our money.
      Had a similar experience with a stove. Sears kept arranging delivery windows week after week but no one would show up. Called in a few times and they would say it was backordered and they would try delivering again next week.

      Thinking back, this is a sign of supply chain failure. Sears simply does not have the liquidity to maintain their contracts with suppliers and hence there are no products available in their warehouse for movement down the supply chain. Effectively Sears cannot fulfill its orders as it doesn't even have the money to buy from its suppliers in the first place.
    • Report Post
    • Sears has been spiraling down for so long it was just a question of when. The stores are absolutely pitiful and it would take a major miracle to pull off a recovery. There is so much broken with shopping at Sears.

      It''s too bad, buying a Kenmore appliance was the way to go back in the heydays. They worked with OEM manufacturers and had stringent quality standards for the Kenmore stuff.
    • Report Post
    • heads up...you guys better use those giftcards asap.

      (I guess that's the reason why the online store does not accept giftcards...they want you to use the funds at the B&M to clear out the inventory.
    • Report Post
    • you mean STC?....when I read the article, I was like...how they get money to renovate that POS space at STC?
    • Report Post
    • you mean STC?....when I read the article, I was like...how they get money to renovate that POS space at STC?
    • Report Post
    • er34er34 wrote:
      Jun 13th, 2017 2:29 pm
      The location near me actually began renovating in the past month. I guess it's to make it "look" better for potential sale?
      you mean STC?....when I read the article, I was like...how they get money to renovate that POS space at STC?
    • Report Post
    • thelefteyeguy wrote:
      Jun 13th, 2017 2:55 pm
      you mean STC?....when I read the article, I was like...how they get money to renovate that POS space at STC?
      No, this was Mississauga.
    • Report Post
    • Dealt with Sears Home just this last week. Overall was a good experience (as always) they do seem to have that end of their business right (at least in the B&M format). Hoping they'll actually keep that part of the company if they go belly-up / sell / restructure. Would make sense as they've already spun them off as separate stores in many locales.
    • Report Post
    • I looked to see what they had for wallets the other day and they have like 3 purses available online. Very sad :(
    • Report Post
    • er34er34 wrote:
      Jun 13th, 2017 3:12 pm
      No, this was Mississauga.
      well...in STC...they are renovating...they deserve to go kaput
    • Report Post
    • This doesn't surprise me one bit. Their business from an operations standpoint is a disaster. Even good retailers are facing challenges, and I wouldn't call Sears good....
    • Report Post
    • Goof ... eh.. good luck, Sears Canada.
      Rarely visit or buy from either online or at the store due to bad/worst customer services and poor choices of high pricesd merchandise.
    • Report Post
    • Just need them to have an appliance blowout so I can do my kitchen cheaper
    • Report Post
    • rocking23nf wrote:
      Jun 13th, 2017 2:33 pm
      they really messed up last years black friday/xmas season with online orders, they were blasted hard on social media for all the missed deadlines. we ordered a dishwasher on black friday that said it would be delivered the next day, it never came, no one called, we waited 6+ weeks for a refund, kept being told it was on backorder. while a few days later we bought it at lowes, they called within 1 hour, verified delivery time and they showed up on time, same exact dishwasher. that was the last chance sears had at our money.
      EasyCompany251 wrote:
      Jun 13th, 2017 2:44 pm
      Had a similar experience with a stove. Sears kept arranging delivery windows week after week but no one would show up. Called in a few times and they would say it was backordered and they would try delivering again next week.

      Thinking back, this is a sign of supply chain failure. Sears simply does not have the liquidity to maintain their contracts with suppliers and hence there are no products available in their warehouse for movement down the supply chain. Effectively Sears cannot fulfill its orders as it doesn't even have the money to buy from its suppliers in the first place.
      To be fair, most big box stores(Home depot) for example, don't stock appliances in their own warehouses. They place orders to the manufacturers/distributor directly and deliveries are arranged by them, although it could be that Sears credibility has gone down the toilet and distributors delay processing Sears orders due to fear of bankruptcy, but hey, maybe they are smart to sell now instead of waiting for Wynn's $15 min wage to kick in.


      Seriously, for all the hate that Sears gets on RFD, they've always delivered on price errors for me. This year alone, I got 2 cheap mattresses(many other RFDers got them free...), the $10 off $10 email code error recently(4 orders of stuff, I paid <$5 total).... really, haters gonna hate... we as consumers are the only ones that are going to feel the pain when Sears goes and there is less competition.

      lava-hot-king-koil-pocketed-coil-double ... r-2072119/
      https://forums.redflagdeals.com/sears-e ... g-2102907/
    • Report Post
    • er34er34 wrote:
      Jun 13th, 2017 4:03 pm
      To be fair, most big box stores(Home depot) for example, don't stock appliances in their own warehouses. They place orders to the manufacturers/distributor directly and deliveries are arranged by them, although it could be that Sears credibility has gone down the toilet and distributors delay processing Sears orders due to fear of bankruptcy, but hey, maybe they are smart to sell now instead of waiting for Wynn's $15 min wage to kick in.


      Seriously, for all the hate that Sears gets on RFD, they've always delivered on price errors for me. This year alone, I got 2 cheap mattresses(many other RFDers got them free...), the $10 off $10 email code error recently(4 orders of stuff, I paid <$5 total).... really, haters gonna hate... we as consumers are the only ones that are going to feel the pain when Sears goes and there is less competition.

      lava-hot-king-koil-pocketed-coil-double ... r-2072119/
      https://forums.redflagdeals.com/sears-e ... g-2102907/
      Those aren't reasons to praise them. Those are signs of how incompetent they are and one of the reasons they are unsuccessful.
    • Report Post
    • I ordered 2 jackets on their website, picked up in store and returned both in wrapped condition within a week.
      That was back in Feb and by end of May, I still didn't get a refund so I had to write them an email and ask.
      They called me back and asked if I truly returned it, because they don't see it was returned in the system. :facepalm:
      I almost had to call CC to do a chargeback.

      Do I need to record a video of the return next time? Probably not. I don't plan to order anything from their website again.
    • Report Post
    • Dinamo2016 wrote:
      Jun 13th, 2017 4:26 pm
      Those aren't reasons to praise them. Those are signs of how incompetent they are and one of the reasons they are unsuccessful.
      Sure, no doubt there is a problem with their systems, but at the very least they started to own up to their errors and honored the price errors(unlike in the not too distant past).
    • Report Post
    • To be fair there has been bad news about Sears for years now. Every year it seems like its going to go bankrupt. I see them struggling and holding on for years to come.
    • Report Post
    • Old story recycled. The end has been coming for 10 years now and I'm surprised they made it past Christmas. It will however create something of a domino effect when they do go because they lease a lot of commercial real estate and they anchor a lot of major shopping centres.

      The Bay is probably next.
    • Report Post
    • Gmas wrote:
      Jun 13th, 2017 3:35 pm
      This doesn't surprise me one bit. Their business from an operations standpoint is a disaster. Even good retailers are facing challenges, and I wouldn't call Sears good....
      Unfortunately the U.S. parent has bled both the Canadian and the U.S. operation dry. They never had a chance.

      I actually love Craftsman tools and my snowblower has been great. It's going to leave another huge hole on the Canadian retail landscape. Brutal.
    • Report Post
    • squall458 wrote:
      Jun 13th, 2017 4:59 pm
      To be fair there has been bad news about Sears for years now. Every year it seems like its going to go bankrupt. I see them struggling and holding on for years to come.
      They have stayed alive by selling leases and property.

      I think they are just about out of options this time.
    • Report Post
    • kool1 wrote:
      Jun 13th, 2017 5:55 pm
      I think they are just about out of options this time.
      Okay ummm...what happened to their idea of maybe adding groceries to their store...I'm guessing to look more like an RCSS?? (competing with the RCSS/Joe Fresh stores maybe...)
      http://www.blogto.com/eat_drink/2016/12 ... e-toronto/

      As nothing more than a pure guess, I was thinking that maybe Metro or Sobey's would buy Sears to tackle RCSS head on.
    • Report Post
    • Has anyone tried ordering online with Sears? It's a complete mess. No wonder they're going under but it's still a shame.
    • Report Post
  • rb
    • kool1 wrote:
      Jun 13th, 2017 5:54 pm
      Unfortunately the U.S. parent has bled both the Canadian and the U.S. operation dry. They never had a chance.

      I actually love Craftsman tools and my snowblower has been great. It's going to leave another huge hole on the Canadian retail landscape. Brutal.
      Big hole in some major shopping malls, I am not far from Erin Mills town centre - the Sears space will be hard to fill ( hope a Winners comes in there )
    • Report Post
    • er34er34 wrote:
      Jun 13th, 2017 4:03 pm
      To be fair, most big box stores(Home depot) for example, don't stock appliances in their own warehouses. They place orders to the manufacturers/distributor directly and deliveries are arranged by them, although it could be that Sears credibility has gone down the toilet and distributors delay processing Sears orders due to fear of bankruptcy, but hey, maybe they are smart to sell now instead of waiting for Wynn's $15 min wage to kick in.


      Seriously, for all the hate that Sears gets on RFD, they've always delivered on price errors for me. This year alone, I got 2 cheap mattresses(many other RFDers got them free...), the $10 off $10 email code error recently(4 orders of stuff, I paid <$5 total).... really, haters gonna hate... we as consumers are the only ones that are going to feel the pain when Sears goes and there is less competition.

      lava-hot-king-koil-pocketed-coil-double ... r-2072119/
      https://forums.redflagdeals.com/sears-e ... g-2102907/
      hey if someone kept giving me free shit, I'd like them too. But free shit means someones paying for it...either the shareholders or they just jack their prices on others (in this case it's likely bondholders which will get a haircut.
    • Report Post
    • rb wrote:
      Jun 13th, 2017 6:37 pm
      Big hole in some major shopping malls, I am not far from Erin Mills town centre - the Sears space will be hard to fill ( hope a Winners comes in there )
      Sears stores in the GTA were huge...wont be filled easily...mostly like the mall redevelops into smaller spaces.

      http://urbantoronto.ca/forum/threads/cf ... ent.25738/
      (Markville tore the space previously occupied by Sears...but likely more stores will occupy...Muji next...hopefully Uniqlo next)
    • Report Post
    • I'm always amazed and how much of these old school retailers completely ignored their supply chains and systems for so long and expected it to be ok. They had state of the art systems in the late 70s/80s then basically milked them dry during the 90-2000s with no investment and now here they are unable to compete.
      When times were good they should have started to look at upgrading their systems and expanding their venues for sales, but nope.

      Sad. I'm going to miss being able to get parts for almost any appliance or tool because Craftsman/Kenmore were just rebrands with better touches and sometimes cheaper price tag.
    • Report Post
    • Had good times with Sears, however now I just call it old people's place to go to.
    • Report Post
    • I only ordered online from them three times, all in the last two years, and am batting zero for 3. Sheet set ordered over 2 weeks ago never received a shipped email(requested ship to store), but the status says shipped.
    • Report Post
    • frogger wrote:
      Jun 13th, 2017 7:59 pm
      I only ordered online from them three times, all in the last two years, and am batting zero for 3. Sheet set ordered over 2 weeks ago never received a shipped email(requested ship to store), but the status says shipped.
      they love to charge you right away, doesnt matter if they have the item or not, then its a major hassel to get a refund.
    • Report Post
    • i ordered leather sofa from sears last week and they cancelled my order next day saying it was an inventory error sears online shopping is worst so old school :P
    • Report Post
    • Of all the old school companies, Sears was poised to take advantage of the digital economy and the internet, and they completely eff'ed it up. The only other case almost as bad is Kodak.
    • Report Post
    • Ottomaddox wrote:
      Jun 13th, 2017 8:59 pm
      Of all the old school companies, Sears was poised to take advantage of the digital economy and the internet, and they completely eff'ed it up. The only other case almost as bad is Kodak.
      Totally agree with the Sears comment.

      These guys were the leaders in Catalogue Shopping for eons... Should have been an easy transition to E-Shopping.

      Not sure where they went off the rails in that regard.

      Merchandise in general (except for Appliances) I found tho did not evolve with the times. They were good for "middle of the road" stuff, but Customers wanted more choices (upscale) by 2000, and Sears did not keep up in that regard.

      In the end, I felt they were a bit like an over-priced WalMart, and so became another Retailer I did not shop at.

      I wish Canada had a decent Dept Store... Remember the good old days when there were many:

      The Bay - Sears - Simpsons - Eaton's - Holt Renfrew, and Just about every major city had their own local versions too.
      I even miss the midrangers.... Zellers - Woolco - Woolworth - Kmart - Kresge - Miracle Mart - Towers - Marks & Spencer's

      Seems all we have now is a few players and they are upscale over priced or bargain basement & pretty junky. Not much middle ground.

      I try to support Canadian Retail, but without choice, it's a shame cause clearly more of my $ are being spent either in the US or online with companies who have US Parents.
    • Report Post