Women’s apparel retailer boooOO is shutting down in the US, it has confirmed to BBC News.
The closure comes after the retailer’s US subsidiary, Boohoo, was ordered to pay $12 million in damages to women who said they were denied access to their orders.
In its letter to the court, the company claimed the orders were delayed and denied to customers by the retailer.
It also alleged the US company made unfair and deceptive practices in relation to its sales practices.
The US Justice Department said the allegations were made “without regard to any facts in the pleadings”.
Boohoo’s US sales manager, Jennifer DeBruine, said the closure was “devastating” for the company and its staff.
“We are extremely sad to report that the BoohOO team has been informed of the impending closure of the Boohmoo store in Chicago, Illinois,” Ms DeBurgine said in a statement.
“In light of the actions of our company, we have requested the court to dismiss all claims, and the company has agreed to do so.”
BoohOO had already shut down in other countries.
Earlier this year, it announced it was shutting down its Brisbane store and that its US stores would close in January.
Boohoos parent company, the Chicago-based company, said it had received the court’s decision.
“We understand the legal process and the decision is final and the Boohooo store will be shut down,” it said.
“The Boohoos team is fully committed to our customers and is working with our legal team to explore a possible option for the future.”
A statement on the company’s website said it would continue to offer a range of maternity, child and adult clothing and accessories.
“As a global retail brand, we do our best to provide our customers with the best shopping experience,” it added.
ABC/wiresTopics:women,children,arts-and-entertainment,arts_and-design,commerce,consumer-protection,consumerism,commerce-economics-and/or-finance,industry,business-economICS-and_finance-industries,united-statesFirst posted January 02, 2019 21:20:08Contact Antony Green