Missguided customers won't get refunds for pre-administration returns
Customers who bought goods before Missguided collapsed will not receive refunds for returns, administrators have said.
The fast-fashion UK retailer filed for insolvency last month after having racked up millions of pounds in outstanding payments to creditors.
And although Frasers Group stepped in to buy Missguided and ‘brother’ menswear brand Mennace at the start of June for £20 million, administrator Teneo has told existing customers it will not be able to honour refunds as part of the insolvency process.
One text from the administrators at Teneo to a Missguided customer read: “We will not be able to honour any pre-appointment refunds requested and not yet settled. In this case, you can make a claim in the administration process.”
However, customers are often among the last on the list of creditors to receive repayments when a company fails.
Teneo officially declined to comment on the decision not to pay refunds. Meanwhile, the administrators and company are also coming under pressure from customers over delayed deliveries after the collapse.
Following completion in August, Missguided will be operated by the administrator under a transitional agreement for around eight weeks. It’s then “the intention that Missguided will operate as a standalone business within the [Frasers] group”.
On announcing the purchase, Frasers CEO Michael Murray said the company was “delighted to secure a long-term future for Missguided, which will benefit from the strength and scale of FG's platform and our operational excellence. Missguided's digital-first approach to the latest trends in women's fashion will bring additional expertise to the wider group.”
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