Seattle-based online retailer Zulily is closing its local operations, according to a filing with the state of Washington.
In a Worker Adjustment and Retraining Notification (WARN) filed Thursday, Zulily disclosed its closure will result in job losses for 292 Seattle employees, beginning Feb. 7.
According to a report from GeekWire, planned closures include Zulily's headquarters in Pioneer Square as well as warehouses in McCarran, Nevada, and Lockbourne, Ohio.
It's the latest development in a string of challenges this year for Zulily, which in May was sold to Los Angeles-based private equity firm Regent for an undisclosed amount.
Zulily didn't immediately respond to a request for comment.
Zulily is also facing at least three lawsuits from vendors alleging unpaid invoices. The largest, from Omni Logistics, alleges Zulily owes Omni over $2.7 million in unpaid invoices, plus interest, late fees and attorney costs.
The complaint was filed in October in the King County Superior Court.
Dallas-based Omni entered an agreement with Zulily in 2017, according to the complaint, providing Zulily with a variety of transportation services through air, ocean and truck.
Seattle-based GenUI, which offers software and tech consulting, filed its lawsuit against Zulily in King County Superior Court in December. The company also entered an agreement with Zulily in 2017, according to the complaint, and GenUI worked on multiple projects around security and privacy issues with Zulily since August 2022. The complaint alleges GenUI is owed $175,236 in unpaid services and an additional $16,540 in finance charges for a total of $191,776.
Santoki, meanwhile, makes Lego memorabilia like stationary and keychains. The Auburn Hills, Michigan-based company started selling through Zulily in 2020, according to the complaint, and the company now owes Santoki an unpaid balance of $69,732 and $6,090 in additional retained inventory. Santoki filed its complaint in the U.S. District Court for the Eastern District of Michigan in November.
Multiple smaller vendors have complained of unpaid invoices from Zulily. Some filed complaints with the Washington state Attorney General's Office.
Zulily, founded in 2009, offers clothing, toys, shoes and more. The company went public in 2013 before Qurate, then Liberty Interactive Corp., acquired the company in 2015 for $2.4 billion. West Chester, Pennsylvania-based Qurate, which also owns the home shopping networks QVC and HSN, recently decided to focus on its core business of video streaming commerce, and decided to sell Zulily to Regent.
Zulily has long been known for its flash sales but has recently invested more in becoming an online superstore. The company has gone through multiple rounds of layoffs this year, including one just weeks after the sale to Regent. Zulily exited the consumables business in July.
Former Zulily CEO Terry Boyle told employees in October he would step down at the end of that month, GeekWire reported.
