EJ Victor laid off 121 employees, almost its entire workforce. The cuts come at the end of a brutal period for the Morganton, North Carolina-based furniture maker. First, his factory was flooded during Hurricane Helene in late September, damaging inventory and halting production of new orders. Then a dispute with his insurer led to a lawsuit, with EJ Victor management claiming that Fireman’s Fund had rejected his application for coverage.

In a statement provided to Furniture todaythe company blamed the layoffs on the standoff: “Unfortunately, the insurance company’s position leaves us with no choice but to lay off many valuable and knowledgeable employees who have been with EJ Victor for many years.”

Although the layoffs have effectively shut down the high-end brand, EJ Victor has retained a small administrative team to oversee what remains of the company. At press time, it was unclear what would happen to open orders.

Founded in 1990, EJ Victor was best known in its early days for its 18th century reproductions. In the decades since, the company has evolved with a mix of American-made furniture and imports, and housed high-profile licensed collections with brands including Ralph Lauren Home, Kate Spade and Kelly Wearstleras well as collaborations with Allison Paladino and Randall Tysinger. More recently, he made his debut pieces from designer and Ralph Lauren veteran Alfredo Paredes.

Although industry rumors had been circulating for some time that EJ Victor was in trouble, CEO Richard Oliver, a Deloitte veteran who took over the company in late 2023, was taking steps to stabilize the brand and build the future. Under his leadership, the company sought to shed its High Point showroom, refine its marketing message and expand its presence in the hospitality industry.

However, Helene’s double and the insurance dispute appears to have been a devastating blow. In the statement, EJ Victor executives said they would pursue the lawsuit against the Fireman’s Fund insurance company and asked for “everyone’s thoughts and prayers as we work to overcome this disaster.”