Office of the Attorney General
Attorney General Conway Files Suit against Illegal Lexington Business
Attorney General Jack Conway today announced that his Office of Consumer Protection has obtained an injunction from Fayette Circuit Court against Lexington Antique Oriental Rugs, located at 660 and 710 East Main Street in Lexington. The injunction, also entered against defendants Leslie McConnell, Morteza Bassari, and Shirazi LLC, requires the defendants to immediately cease sales operations at the Lexington locations. Fayette Circuit Judge Ernesto Scorsone granted the injunction after the Attorney General's Office filed suit today against Lexington Antique Oriental Rugs for illegally operating a going-out-of-business sale. The lawsuit seeks civil penalties of $2,000, as permitted under the Kentucky Consumer Protection Act.
"Businesses that advertise huge savings as part of a going-out-of-business sale then never actually close their doors are not only misleading consumers, they are in violation of the law," General Conway said. "My office will continue to vigorously enforce the Consumer Protection Act to protect Kentucky's consumers and the ethical businesses in our Commonwealth."
According to the complaint, the defendants violated the Consumer Protection Act by continuing to operate a going-out-of-business sale after the expiration of its license on December 17, 2010. Under the law, to protect consumers and other competing businesses, a going-out-of-business sale must be concluded within 30 days, or 60 days if the business obtains an extension. The defendant's sale started on October 5, 2010 and was granted one extension, which expired on December 17. The defendants failed to end the sale and continued to advertise despite the expiration and notice from the Attorney General's Office that the business was facing legal action if it continued to operate.