Circuit City Can Break or Auction Leases

Photograph of man publicizing Circuit City's liquidation sale on the Upper West Side by Jen Chung

Electronics retailer Circuit City received approval to auction or break its leases on Friday. A bankruptcy judge gave the failing chain of 567 U.S. stores "permission to begin the auction process," the AP reports.

Circuit City filed for bankruptcy in November and announced it would liquidate last month. Circuit City lawyer Gregg Galardi said the stores' liquidation sales were going "much faster and better than originally thought." The sales are expected to continue through March, and then the stores will be closed. The chain also got approval to "sell defective or damaged merchandise through online auctions or to seek an agreement with another company to sell the merchandise."

Here's Consumerist's FAQ on dealing with Circuit City during its bankruptcy. And we visited a store recently—the liquidator-set prices weren't that great! In fact, Best Buy and Amazon seemed to have better deals.

Contact the author of this article or email tips@gothamist.com with further questions, comments or tips.

By Jen Chung in News on February 15, 2009 11:28 AM

Comments [rss]

krucz

Not only were Tv's cheaper but laptops and desktops were cheaper, are movies were cheaper. But yet it doesn't matter because we would price match who ever, so the price would be the same anyways. Yes i knew some thing like this would happen, but when every one at my store found out that were were closing we found out online not from a phone call or anything like that from distract or higher. And for the real job part, i cant get any "real" job seeing that the economy sucks, but i guess retail can never turn into a real job when i know people who can retire after only working 20 years. but your right retail isn't a real job.

ANGRYGOD11

If consumers are too lazy to check prices before buying final sale items from a liquidating chain, then they deserve to lose their money.

krucz

how dumb are you people????? have you ever been to another store that has been in liquidation? the price gets marked up to MSRP then they drop it down to what ever the liquidator wants it marked down to. and as being a employee while this whole liquidation has been happening has not been fun, having to hear how the prices are bull shit and blah blah blah blah. but if you had ever came in while we were open as Circuit City you would have seen that are prices were cheaper then. But no you people had to wait for us to close once you heard we filed chapter 11, and ask when are we closing every time you came in the store, so you could get the good deals during liquidation which in reality there were none till now at my store, but all the good stuff is gone.

so i just want to thank you the customer for waiting for me to lose my job instead of coming in and buy stuff while it was cheaper.

NannyState

TVs were cheaper at Circuit City but Best Buy had you beat on all the rest. I'm sorry your employer failed to find a groove and keep the thing going but retail is darwinism at its finest and you did know that Circuit City was on the ropes for some years now, this wasn't exactly breaking news. So man-up and get a real job.

jackdonaghy

It seems like they actually marked up the prices for their LCD televisions before the sale. Their sale has been very disappointing so far.

S.D.

Yep, but if you know your prices, it's possible to get a decent price there on some Items. Me, I picked up a Blu Ray movie and a wireless mouse.

Toby von Meistersinger

Liquidation sales are a big scam. They jack up the prices so they can "discount" them to levels more than it would have cost to buy the same thing before the liquidation.

whitecastlerock

Good riddance to them...

Spirit of 76

The prices aren't that great because the liquidators are bigger crooks than the companies they are selling off. No matter how much one hates Best Buy or others of their ilk, they are angels compared with these leeches who do nothing but rip off unsuspecting consumers who are suckered in by "30% off" signs. Both the original stores lose and consumers lose, while these guys make out like bandits.

ereene

Circuit City filed for bankruptcy in November 2008, not last month as stated in the post. Last month Circuit City announced that it would not be able to emerge from bankruptcy and resume operations as a restructured company. Instead, the company would be required to close its stores and liquidate its merchandise. Small but important difference there.

cucarachita

Yeah, their prices weren't that great, considering they're going out of business. All I bought was a mini USB flash drive, cause I needed one, but the good stuff was barely reduced.

NannyState

Total scam but at this point, could they care less? I just am amazed at all the people who are falling for this crap. I thought NY'ers knew better.