Customers of the Carlow-Wicklow retailer Rathwood have been notified that all unfulfilled orders placed prior to April 24th are cancelled, with no refunds available from the company. According to recent correspondence sent by the firm, the retailer’s financial insolvency means it cannot fulfill outstanding orders or return customer deposits, leaving thousands of consumers to seek alternative recovery methods through their banks.
Why are Rathwood customers not receiving refunds?
Rathwood, managed by brothers Thomas and James Keogh, entered a court-appointed examinership process in April to restructure its €18 million in liabilities. According to figures presented to the High Court, the company’s debts include €10 million owed to trade creditors and €2.5 million in customer deposits and vouchers. Because the company is under legal protection to negotiate its survival, the firm has informed customers that it lacks the liquidity to issue direct refunds for cancelled orders.
What is the role of the CCPC in this process?
The Competition and Consumer Protection Commission (CCPC) has advised affected customers to initiate the chargeback process as their primary route for financial recovery. According to the CCPC, consumers should not wait for further communication from the retailer, as the firm’s latest messages confirm that internal refunds are not possible. The commission is currently reaching out to individuals who previously contacted their helplines to reiterate the urgency of contacting card providers before expiration windows for claims close.
How does examinership affect consumer rights?
An examinership provides a business with a “breathing space” from creditors, but it rarely protects the consumer’s financial interest in undelivered goods. While the company continues to trade in hopes of securing new investment, the legal process prioritizes the restructuring of debt. Data provided to the High Court shows that customers are classified alongside trade creditors and the Revenue Commissioners, often resulting in what the examiner described as only a “nominal sum” being returned to those who lost money on deposits.
Comparison: Consumer Protection vs. Trade Creditors
| Liability Type | Total Amount (Approx.) |
|---|---|
| Trade Creditors | €10 Million |
| Customer Deposits/Vouchers | €2.5 Million |
| Revenue Commissioners | €1.4 Million |
Frequently Asked Questions
- Can I still receive my order from Rathwood? No. The company has confirmed that all orders placed before April 24th are cancelled.
- Will the company issue a refund? The retailer has stated in its recent communication that it is not in a position to issue any refunds.
- What should I do if I paid by cash? The chargeback process is generally only available for card payments. Consumers who paid by cash or bank transfer may have fewer options and should consult the CCPC website for guidance on the examinership claim process.
- Is there a deadline to claim my money back? Yes. Chargeback time limits vary by bank, but the CCPC warns that consumers must act immediately to avoid missing their window for a claim.
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