It’s been more than two years since Bed Bath & Beyond filed for bankruptcy and shut its doors, but they’re making a comeback across the nation—except in one state.
In an Aug. 20 statement, Marcus Lemonis, Bed Bath & Beyond Executive Chairman, said no retail stores would be opening in California—prompting a response from Gov. Gavin Newsom’s press office.
Lemonis was clear the decision wasn’t political, it was a practical one.
“California has created one of the most overregulated, expensive, and risky environments for businesses in America,” he said. “It’s a system that makes it harder to employ people, harder to keep doors open, and harder to deliver value to customers.
“The result? Higher taxes, higher fees, higher wages that many businesses simply cannot sustain, and endless regulations that strangle growth," he continued.
Lemonis said customers in The Golden State can still order online for delivery “without the inflated costs created by an unsustainable model.”
“We’re taking a stand because it’s time for common sense,” Lemonis added. “Businesses deserve the chance to succeed. Employees deserve jobs that last. And customers deserve fair prices. California’s system delivers the opposite. That’s why Bed Bath & Beyond will serve California customers directly through BedBathandBeyond.com, on our terms, and with their best interests at heart.”
Official statement regarding @BedBathBeyond
— Marcus Lemonis (@marcuslemonis) August 20, 2025
We will not open retail stores in California.
This isn’t about politics — it’s about reality.
California’s system makes it nearly impossible for businesses to succeed, and I won’t put our company, our employees, or our… pic.twitter.com/G5dSaigB3y
Newsom and his press office hit back, which prompted a response from Lemonis explaining what California could do to be more business friendly.
The company that already went bankrupt and closed every store across the country two years ago? Ok. https://t.co/lW43NTBeEc
— Gavin Newsom (@GavinNewsom) August 20, 2025
After their bankruptcy and closure of every store, like most Americans, we thought Bed, Bath & Beyond no longer existed.
— Governor Newsom Press Office (@GovPressOffice) August 20, 2025
We wish them well in their efforts to become relevant again as they try to open a 2nd store. https://t.co/jJt6i5icEx
Dear Governor @GavinNewsom
— Marcus Lemonis (@marcuslemonis) August 20, 2025
I thought your post would suggest we bring business leaders together to understand how to improve the 4 pillars/friction of business and find a way to make it better.
1. Streamline regulation- consistent simplified compliance rules across state and… https://t.co/o6c9YfExRs
Dear Governor @GavinNewsom
I thought your post would suggest we bring business leaders together to understand how to improve the 4 pillars/friction of business and find a way to make it better.
1. Streamline regulation- consistent simplified compliance rules across state and local levels
2.Balanced Labor Environment that’s good for employees and employers
3. Litigation Reform- reducing abusive lawsuits while keeping protection for workers
4. Competitive Tax and Cost Structure - incentives to come as opposed to disincentives to leave
Also, we bought the IP over two years ago and have built http://bedbathandbeyond.com into a billion dollar online business. We will target opening 300 small to midsize neighborhood stores thru our Kirklands investment.
You are a smart man and I know the post below is out of frustration
Bed Bath & Beyond Executive Chairman Marcus Lemonis pushes back on Gavin Newsom’s attacks after the company announced it will not open any stores in California:
— Sean Hannity 🇺🇸 (@seanhannity) August 21, 2025
"Well, I think the thing that was surprising to me was that I tried to articulate, in a non-aggressive way, exactly… pic.twitter.com/Kh6979ACUA