CIRCUIT CITY IS BACK , RETURN POLICY ISN'T

[Anonymous]

http://www.crn.com/retail/217600878;jsessionid=DD1ESJKCCGKNWQSNDLPSKHSCJUNN2JVN
Circuit City Is Back, Return Policy Isn’t
Circuit
City has officially risen from the ashes, but its return policy for
some PCs has gone up in flames.Port Washington, N.Y.-based Systemax
Monday finalized its purchase of the defunct retailer’s trade names,
domains including http://www.circuitcity.com, customer lists and information,
certain trademarks and other intangible assets of Circuit City’s
e-commerce business.

While the retailer’s rebirth is welcome
news to consumers looking for competitive prices, the company’s harsh
return policy could turn shoppers away.”Some manufacturers have
implemented returns restrictions that prevent CircuitCity.com from
being able to accept returns or offer exchanges, replacements or
credits on their products,” the company said on its Web site.”Products
from manufacturers such as Compaq, IBM, Hewlett Packard, Toshiba, Epson
and others are not returnable to CircuitCity.com FOR ANY REASON,””
according to the site. Circuit City said that all support and exchanges
or replacements for defective merchandise, including those within the
first 30 days of ownership, have to be handled directly with the
product manufacturer.In addition, software and consumables such as
toner cartridges, ink cartridges and digital media are not returnable,
period.Circuit City did not offer an explanation as to why vendors
require customers to bypass the retailer and deal directly with the
vendors.

Systemax this month paid $14 million in cash for
Circuit City’s assets, and offered the retailer a share of future
revenue generated using those assets over a 30-month period, Systemax
said in a statement. Under the terms of the agreement, the minimum
future revenue guaranteed to Circuit City is $3 million. A bankruptcy
court issued its order approving the transaction on May 15, following a
public auction on May 11.Systemax also upped its brick-and-mortar
presence after it bought CompUSA in January 2008 in a deal said to be
worth approximately $31 million. Under terms of that deal, Systemax
bought 16 CompUSA stores, its brand name and e-commerce sites. Systemax
said part of its strategy behind the purchase was to complement its
TigerDirect e-commerce site and retail stores.

[Author]

May 27, 2009 at 11:28 AM