EJ Victor has laid off 121 employees, nearly its entire workforce. The cuts come at the end of a brutal period for the Morganton, North Carolina–based furniture manufacturer. First, its factory was flooded during Hurricane Helene in late September, damaging inventory and halting production of new orders. Then, a dispute with its insurance provider led to a lawsuit, with EJ Victor’s leadership claiming Fireman’s Fund had denied its claim for coverage.

In a statement provided to Furniture Today, the company pinned blame for the layoffs on the clash: “Unfortunately, the position of the insurance company has left us with no alternative but to lay off many valued and skilled employees who have worked with EJ Victor for many years.”

Though the layoffs effectively halt the high-end brand in its tracks, EJ Victor has retained a small administrative staff to oversee what remains of the company. At press time, it was not clear what would become of the open orders.

Founded in 1990, EJ Victor was best known in its early days for 18th century reproductions. Over the decades that followed, the company evolved with a mix of American-made furnishings and imports, and was home to high-profile licensed collections with the likes of Ralph Lauren Home, Kate Spade and Kelly Wearstler, as well as collaborations with Allison Paladino and Randall Tysinger. More recently, it debuted pieces by designer and Ralph Lauren veteran Alfredo Paredes.

Though industry rumors had been swirling for some time that EJ Victor was struggling, CEO Richard Oliver—a Deloitte veteran who took over the business in late 2023—was making moves to stabilize the brand and build for the future. Under his leadership, the company looked to offload its High Point showroom, refine its marketing message, and expand its presence in hospitality.

However, the one-two punch of Helene and the insurance dispute appears to have been a devastating blow. In the statement, EJ Victor’s leadership said it will continue to pursue the lawsuit against Fireman’s Fund Insurance Company and requested “everyone’s thoughts and prayers as we work through this disaster.”