There is no real background about the shop before the bombs fell on its original owner. Haley, the merchant who currently lives and works there, woke up with a case of amnesia not knowing who or where he was, but since people kept coming to buy things he decided to become a merchant, taking the shop's name and calling himself "Haley".
Like most houses in Point Lookout, Haley's Hardware is a small wooden shack with a pile of rubble next to it. It has three shelves with BB guns, fission batteries and other miscellaneous items.
Inside on your right there is a bedroom with a bed and trunk at the foot of the bed, a kitchen with some empty cabinets, and a bathroom. The part of the house where Haley does business with the people of Point Lookout has a counter and a locker holding Haley's inventory (requires key). There is also a workbench to the left of the bathroom you can use. A bottlecap mine on the bench can be stolen, which results in negative karma. There is also a locked safe (average) containing a lot of caps, possibly a Stealth Boy, random ammunition and weapons.
Haley wears a handyman jumpsuit which you can acquire by either reverse-pickpocketing or killing him, though this will prevent his glitch from working (see bugs).
If you travel southeast from the Haley's Hardware, you will find a bloody chair near some trees and a box containing psycho on the ground. Also near the chair are some bones on the ground that are immovable and appear to be flailing around.
If you travel north east from Haley's Hardware, you will come across a dock with a chair and a boat. Here you can find a lever-action rifle and 2 boxes of 10mm rounds.
If you are doing the quest A Spoonful of Whiskey, there are six fission batteries on a shelf outside which can be used for the quest. The footlocker inside in the bedroom usually has the 3 yeast needed as well.
The symptoms Haley describes suggest that he may have received Tobar's surgery.
On occasion, when quick-traveling to Haley's Hardware or simply leaving the shop, it is possible to find a lone swampfolk (usually a scrapper or a creeper) walking past the shop. Most of the time, this swampfolk will have a baseball bat or another melee weapon or a BB gun.
Near the shop is the covered bridge; look left upon exiting the hardware store.
Haley has a glitch whereby his repair skill is increased by intervals of five (or three), from his initial repair skill of 16 (11 base +5 for his handyman jumpsuit), on every reload of his map area due to his jumpsuit. By repeatedly leaving the store, saving, reloading, then returning, Haley's repair skill can increase up to 100. This is higher than any other vendor in the game; that is until on Mothership Zeta when Somah can repair to 100%. Although some of his game data, viewable in the G.E.C.K., is marked differently than other vendors, in testing it has no effect on the glitch. Also, you can go inside the store, check his repair skill, go outside and open the vending machine next to the entrance (you don't have to take anything), close it, go inside, check his repair skill again, and so on.