https://globalnews.ca/news/3805255/sears-canada-warranties-oct-18/
11 replies (most recent on top)
Read the paper in the PA brochure.... it is a contract and we are insured to cover it nomatter what happens. Sears Canada has nothing to do with us.
Those are the people who need protection plans the most. Out of warranty and past 30 days.
@1tai - Well, the statement you alluded to leaves a lot to be desired.
"Most customers will still be able to count on a one-year manufacturer’s warranty, the retailer noted in a press release. Those who purchased an SPA in the past 30 days will also be able to get refunds."
I don't notice the word "full" in front of refunds. Also, the customers that purchased a SPA prior to the past 30 days get nothing but the FREE manufacturer's warranty! Yep, that sure is some bang for their buck. And the customers that purchased the SPA and don't have a manufacture's warranty to fall back on; they are totally S.O.L.
You read the whole story right? They said there would be reimbursements for those plans bought within a short time of Sears Canada liquidating.
Crazy part is here in our Michigan sears store we are selling the PA protection at a very high rate right now, we are above parity and percentage... guess the news hasn't sunk in yet up here in our neck of the woods, when hearing that the Canada protections are not being covered should really affect the sales in our Sears store .
Do you really want to buy a protection plan from a failing company? Of course a corporate bigwig is going to lie or exaggerate or however you want to phrase it so you continue to sell them. It seems shaky at best that the plans would be honored in bankruptcy. Why would you buy one knowing this?
@1ebs - True, 1laj wasn't lied to, however, the odds of a retailer avoiding liquidation after declaring bankruptcy are extremely rare. How rare? According to this article it has happened only once in the past 25 years! Some retailers have declared bankruptcy multiple times before finally liquidating, so it is not a given that it will happen during the first bankruptcy.
http://www.startribune.com/lee-schafer-odds-are-long-for-retailers-that-file-chapter-11/418678893/
Sears Canada went bankrupt in June and up until recently the agreements were honored. It probably only is an issue if a company liquidates. Not all bankruptcies lead to liquidation, so you weren't lied to.
Funny thing not long ago one of the top corporate douche bags came to our store and said that protection agreements would be covered even if Sears went bankrupt, now this pretty much foreshadows the b---s--- that if the company goes under most likely those warranties wont be covered.
The same will happen here with the protection plans.
I feel sorry for both. The customers getting totally screwed but that was expected on the (PPP) Product Protection Plans. I wonder if the “Sears Club” points in Canada and the gift cards are null and void also?
FYI: Sears Club is Canada’s version of SYWR.
Finally I wish the best for the Canadian employees considering the circumstances.