HARTFORD, Conn. (Legal Newsline) - All consumer deposits and gift cards at Bernie's Audio Video TV Appliance Co., Inc., will be honored following a plan approved by a bankruptcy Court, Connecticut Attorney General Richard Blumenthal has announced.
The bankruptcy court action allows consumers to redeem a total of as much as $200,000 worth of unused gift cards prior to Bernie's liquidating its assets.
Blumenthal's office appeared in court to monitor the bankruptcy proceeding, ensure that consumers were fully protected and to support the measure.
"This order, which we strongly supported, critically preserves consumer confidence when most needed," Blumenthal said.
"I am pleased with Bernie's cooperative and caring spirit towards consumers, but my office will continue to monitor this bankruptcy proceeding in court to ensure that consumers are protected to the fullest extent possible."
Bernie's filed for Chapter 11 bankruptcy this week, announcing plans to shut all 15 of its stores, including nine in Connecticut. All Bernie's stores are expected to close, at the latest, by Feb. 28.
"We are sad to lose a longtime Connecticut establishment - but commend Bernie's for its integrity and respect for consumers," Blumenthal said.
"Consumers will rightfully receive full value on their Bernie's gift cards during the liquidation sale, and outstanding deposits will be honored with merchandise or full refund. Consumers should immediately redeem cards and credit while they have this opportunity."
Blumenthal also got involved in the bankruptcy of Ski Market over gift cards the company was not honoring.