Tweeter to Honor Customer Gift Certificates
BALTIMORE, MD (November 17, 2008)- Attorney General Douglas F. Gansler announced
today that the bankrupt Tweeter electronics chain has agreed to honor customer
gift certificates throughout the duration of its store closing sales. This
agreement was reached after the Attorney General’s Consumer Protection
Division filed an objection to Tweeter’s proposal to cut off gift certificates
after November 15th.
Tweeter, which has
seven Maryland stores, filed Chapter 11 bankruptcy in Delaware
on November 5, 2008. The Attorney General’s Office,
which was joined by the Attorneys General of Connecticut and Illinois
and the Georgia Governor’s Office of Consumer Protection,
filed an objection to Tweeter’s proposal to honor gift certificates
only through November 15th and sought to honor deposits made by
consumers who ordered merchandise prior to the bankruptcy filing.
Tweeter today agreed to honor gift certificates through the duration
of its store closing sales.
“I’m pleased that we were able to ensure that consumers
with gift certificates will be able to use them,” Gansler
said. Attorney General Gansler urges consumers holding Tweeter
gift cards and certificates to make sure they use them before the
stores close, which is likely to be by the end of the year.
The Bankruptcy Court,
however, did not require Tweeter to honor consumer deposits during
the sale. Attorney General Gansler encourages
consumers who made deposits for merchandise they have not received
to contact their credit card company to reverse the charges or,
if they paid by another method or are otherwise unable to reverse
the charges, to file a claim with the Delaware Bankruptcy Court.
Consumer deposits up to $2,425 have a priority over other general
unsecured claims in bankruptcy. Proof of claim forms and instructions
are available on the Court’s website, www.deb.uscourts.gov,
or may be obtained by contacting the clerk’s office at 302-252-2887.
The Attorney General also encourages consumers thinking that
they will be getting bargains by shopping at store closing sales
to compare actual prices among different retailers rather than
percent off claims and to be aware that they may not be able to
return the merchandise or seek warranty coverage from stores that
are no longer in business.