Ohio-based American Signature, Inc., parent to American Signature Furniture and Value City Furniture, filed for bankruptcy protection on November 22, 2025, in the United States Bankruptcy Court for the District of Delaware – Case # 25-12105.

Furniture Today reports that the Debtor is expected to enter a stalking horse asset purchase agreement with ASI Purchaser LLC, to acquire substantially all of the company’s assets and assume certain related liabilities, subject to court approval.

According to Reuters, the company blames declining demand/sales and increased costs due to inflation and tariffs on furniture imported from Asia. The company plans to hold an asset auction in 45 days, but keep stores open for now and offer “deep discounts while merchandise lasts.”

Currently, the company operates 120 stores under the Value City Furniture and American Signature Furniture brands in 17 states. Yet, in the months before filing for bankruptcy, the company closed 33 stores.

American Signature is just one in several home furnishing retailers that have filed for bankruptcy in recent years, including Bed Bath & Beyond, Big Lots, At Home Group, and The Container Store.

If you are a landlord or trade creditor of American Signature Furniture and/or Value City Furniture, it is important to know your rights.

Stark & Stark’s Shopping Center and Retail Development Group can help. Our bankruptcy attorneys regularly represent landlords throughout the country, including recently in the Eastern District of Missouri, District of New Jersey, Southern District of New York, District of New Jersey, District of Minnesota, and the Western and Eastern Districts of Pennsylvania regarding a variety of issues. Most recently, our Group has represented landlords and trade creditors in the At Home, Rite Aid, Big Lots, JOANN’s, Party City, Bed Bath & Beyond, David’s Bridal, Christmas Tree, Buyk, and Sports Authority Chapter 11 bankruptcy cases.