I don’t know what’s going on lately but it seems there are more and more situations where a floor covering dealer is threatening a manufacturer and a mill is threatening a retailer. These dealers are coming to us and, this may amaze you, but manufacturers will also come to us when they are feuding with a supplier.

Let’s look at a couple of situations. In one case a retailer installed a laminate floor on which the surface lifted on several boards after several months. The material was inspected and a cause couldn’t be determined. The mill told the dealer to replace the affected boards, which it would supply and would also pay him for doing so. In between the time of the inspection and replacement of individual boards the homeowner noticed other boards exhibiting the same condition. At this time she insisted the floor be replaced, and rightfully so. How could she feel comfortable about the floor when this condition continued to proliferate?

Another inspector was sent out and called it a manufacturing defect which is what it was the first time. This was a waste of the mill’s money and everyone’s time. It was the same condition and it was occurring in other boards, obviously a defect in the material. The manufacturer credited the retailer for the material but wanted to see a sample of the affected material before crediting the labor. The labor was not paid because the mill told the dealer it felt the flooring was installed with these defects.

How ironic this was, that the installers, the home builder and the homeowner never saw this condition and that it was not noticed or reported until months after the installation? There was no way not to have noticed this condition because it was so obvious and caused such a difference in the material’s appearance.

Feeling Harassed

The retailer feels as if he is being harassed by the manufacturer who originally agreed to rectify the problem. The dealer has been buying from the mill for years, he said. As a result of this claim he has removed the entire product line from his store after having done a large volume of business with it for many years. Now he feels as if the mill doesn’t care—a very perplexing feeling.

I spoke with another dealer who had a claim with a manufacturer for staining on a carpet installed for less than a year. He filed a claim, was sent to the stain producer, the fiber producer and back to the mill. All denied the claim.

The retailer had the product tested and it clearly failed the stain resistance test, yet he was still getting the run-around. This is absurd. Here’s a legitimate claim, verified by an accredited testing lab in the heart of the carpet industry, turned down by a manufacturer after proving the problem was its for not applying enough stain resist agent. The utter frustration felt by the dealer trying to resolve a legitimate claim was something you have probably experienced yourself.

How is it that a claim, proven to be caused by the mill, could be denied? Why is it that more of you are complaining about this? Is it something you’re doing, their doing or is it the way the stars are aligned? All I know is this: We get both sides of the story. You say you are doing everything right—sometimes you are and sometimes you’re not. The manufacturers say they are handling and processing the claims properly—sometimes they are and sometimes they’re not. We know this because we’re in the middle of many of these situations. Often we find there are weaknesses on both sides and room for improvement.

Ask The Mill

That being said, when a product is irrefutably defective, visibly so and cannot be attributed to anything other than a mill defect, the claim should be honored and taken care of quickly and effectively. One thing you can do is ask the manufacturers you deal with how best to handle claims with them. A simple question most of you probably never thought of asking. If you ask they’ll tell you how and what they need. Now you’ve developed a dialogue and chances are you’ll be able to avoid situations like those mentioned above and have a much easier time resolving your claims.

Most situations are relatively easy to work through if we approach them with an open mind and flexible attitude, honestly looking for the right way. We’re all guilty of not proceeding this way in our lives and our businesses from time to time, frankly because we may not even think of doing this. If you ask, you get and if you don’t ask you’ll never know.