'Sofa rash' deal could be millions

Four thousand people are expected to receive compensation from furniture stores after they were sold leather sofas that produced skin rashes.

In the biggest-ever class action involving a consumer product, 4,500 shoppers are taking action against Argos, Land of Leather and Walsmley.

Argos and Walmsley have accepted liability but insurers for Land of Leather, which went into administration in January, are disputing whether they are liable to pay compensation.

Customers complained after a Chinese manufacturer, Linkwise, inserted sachets of a chemical, dimethyl fumarate (DMF), into the sofas' lining to prevent mould growing during shipping.

"Crystals contained in these sachets transform into toxic gas, particularly when exposed to heat," said a spokesman for the shoppers' solicitors, Russell Jones and Walker.

Richard Langton, a partner at the firm, said after yesterday's hearing at the Royal Courts of Justice: "The majority of claimants will be able to expect compensation within the next few months."

EU member states have voted in favour of draft legislation to prevent the sale of consumer products containing DMF.