Outdoor Furniture Maker Files Chapter 7 Bankruptcy

June 6, 2007  by in UnCategorized   

By Home Furnishings Business in Casual Furniture on June 2007 JRA Furniture Industries, Cerritos, Calif., which supplies outdoor furniture to Kmart, Sears and other major chains, has filed for Chapter 7 bankruptcy, according to published reports.

Founded in 1995, the company is expected to liquidate under Chapter 7. According to an Associated Press report Wednesday, the company manufactures Martha Stewart-brand patio sets for Kmart. In 2005, JRA Furniture Industries became a defendant in a class action lawsuit that asserted that patio furniture sold under the Martha Stewart name at Kmart “spontaneously shatters during ordinary use.”

The July 2005 lawsuit filed by Chicago-based Horwitz, Horwitz and Associates also named Kmart and Martha Stewart Living Omnimedia.