A Salina furniture store says they are going out of business but another local furniture store says that’s not the case. Is the first business using a “”going out of business” sale to drive up sales?
Norris Furniture in Salina recently sold its operations to Feldkamp Home Furnishings of Manhattan.
To get rid of its inventory Norris announced a liquidation sale...here is where the debate begins.
“They should pull there going out of business permit," says Alan Jilka of Jilka Furniture.
A competitor says Norris brought in new inventory such as couches and mattresses and slashed the prices to make a profit.
The competitor says the point of a going out of business sale is to simply sell what you have and leave. But, an attorney for Feldkamp Home Furnishing says it is doing nothing wrong.
"I think it’s very simple Feldkamp’s sent out a letter saying we bought out Norris now we are going to close them out...and they started the sale and it's been doing gangbusters," says attorney John Reynolds.
The city says it's not that simple...now the city manager has opened what he calls a rare investigation into the sale.
"This is the first time this has happened in the last six years," says city manager Jason Gage.
The city will decide whether this sale violated requirements for stores going out of business…in investigation will take the next several weeks.