📺 Stream EntrepreneurTV for Free 📺

Holiday Pro Tip: Don't Screw Up Your Online Layaway Process Kmart inadvertently canceled online layaway orders for customers and is scrambling to fix the issue.

By Carly Okyle

entrepreneur daily

Opinions expressed by Entrepreneur contributors are their own.

Updated at 5:15 p.m. ET

If you made a list (and checked it twice) of holiday gifts that you put on layaway in Kmart's online system, some or all of those items might not get delivered -- even if they've been paid for in full.

After notifying customers that their online layaway items had to be paid off by Dec. 14 in order to be delivered by Christmas, Kmart began canceling orders because items were "out of stock," reports Consumerist. Moreover, the refunds for those canceled items were reportedly expected to arrive too late to buy new holiday gifts.

Related: 5 Reputation Missteps to Avoid During the Holidays

Outraged customers took to Kmart's Facebook page to voice complaints.

In a statement, Kmart said it is working to remedy the situation by offering affected customers free shipping and no charge for the items in question, or a gift card in cases where the items are no longer available.

"We are in the process of contacting our customers and members who have received inadvertent cancellation notices for their online layaway contracts. This issue is specific to online layaway contracts for ship to home and does not impact in store layaways.

Here's what we are doing. First, we have processed refunds for cancelled items and our customers and members will receive these refunds soon, if they haven't already. Second, we are working to find the items that were identified as out of stock – and if we can find them we will provide those items for free and ship at no cost. If we don't have those items, we will provide an e-gift card that can be used toward the purchase of items in the amount equal to the items cancelled in their order.

We have expressed to our members how deeply sorry we are that this has happened – and we know this is a special time of year for families. We are working hard to make things right."

Kmart has yet to explain why customers received "inadvertent cancellation notices" for their paid-for orders, but there's certainly a lesson here for all businesses: you need to have a system of checks and balances in place to help with organization, especially during these hectic holiday times.

It looks like a few Kmart executives can expect coal in their stockings this year -- unless the sender put it on layaway online.

Related: Dr. Dre Inspires Amazing Hanukkah Gift: The Dr. Dreidel

Carly Okyle

Assistant Editor, Contributed Content

Carly Okyle is an assistant editor for contributed content at Entrepreneur.com.

Want to be an Entrepreneur Leadership Network contributor? Apply now to join.

Editor's Pick

Starting a Business

Most People Have No Business Starting a Business. Here's What to Consider Before You Become an Entrepreneur

You need to find the right business opportunity at the right time and take the right steps to beat the odds.

Leadership

AI vs. Humanity — Why Humans Will Always Win in Content Creation

With the proliferation and integration of AI across organizations and business units, PR and marketing professionals may be tempted to lean into this new technology more than recommended.

Business News

Passengers Are Now Entitled to a Full Cash Refund for Canceled Flights, 'Significant' Delays

The U.S. Department of Transportation announced new rules for commercial passengers on Wednesday.

Growing a Business

Who You Hire Matters — Here's How to Form a Team That's Built to Last

Among the many challenges related to managing a small business, hiring a quality team of employees is one of the most important. Check out this list of tips and best practices to find the best people for your business.

Franchise

Franchising Is Not For Everyone. Explore These Lucrative Alternatives to Expand Your Business.

Not every business can be franchised, nor should it. While franchising can be the right growth vehicle for someone with an established brand and proven concept that's ripe for growth, there are other options available for business owners.

Management

7 Ways You Can Use AI to 10x Your Leadership Skills

While technology can boost individual efficiency and effectiveness, it's essential to balance their use with human intuition and creativity to avoid losing personal connection and to optimize workplace satisfaction.