Wedding gift firm calls in administratorsWrapit fails to secure rescue deal
05 August 2008
Struggling wedding gifts service Wrapit has appointed administrators after efforts to rescue the business failed.
The move is likely to mean delays and disappointment for hundreds of couples awaiting gifts from the business.
KPMG partner Jane Moriarty said: 'Despite the directors' best efforts to secure a rescue deal, they were left with no alternative but to cease trading the business with immediate effect and to put it into administration.
'We are seeking a buyer for the business and its assets, albeit for a limited period.'
Wrapit handles around 2,500 to 3,000 wedding lists a year.
But the firm fell into financial difficulty at the end of last year, hit by the credit crunch and retail market problems.
KPMG will now attempt to reconcile customer claims with the group's stock, although there are likely to be lengthy delays in getting gifts to newlyweds.
KPMG said customers who believe they may be owed money should call 0844 770 1301.
Which? Legal Service lawyer Peter McCarthy said: ‘If a gift you've paid for isn't sent to the bride and groom, you will have a claim for breach of contract.
‘If the gift cost more than £100 and you , under Section 75 of the Consumer Credit Act, the card company would be jointly liable for the breach of contract and so you could ask it for your money back.
'There isn't the same protection for debit and charge cards, but if you paid by a Visa credit, debit, or prepaid card, or a store card, your bank can try to get the money back through the "chargeback" system.'
Chargeback is a system where someone buying goods with a credit or Visa debit, a prepaid card, or a store card can ask their bank to claim the money back from the retailer’s bank.
Wrapit was co-founded by former fashion journalist Pepita Diamand in 2000 to allow couples to compile their lists, with guests able to buy items online through the website.
The firm buys and delivers the items, with an aim to deliver them within eight to 12 weeks of the list being closed.
Wrapit has around 100 staff. As well as its central warehouse, the firm has showrooms in London West End and Wandsworth, Aberdeen, Beaconsfield, Belfast, Birmingham, Bristol, Canterbury, Darlington, Glasgow, Harrogate, Manchester, Newbury, Newcastle and Norwich.
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