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Post date: February 18 2015

A.G. Schneiderman Settlement Ends Rochester Area Company’s Deceptive ‘Going Out Of Business’ Sale

HQ Home, A Local Furniture Store, Made False Statements In Advertisements For Going-Out-Of-Business Sale

Schneiderman: Businesses Who Deceive Customers Will Be Held Accountable

ROCHESTER - Attorney General Eric T. Schneiderman today announced a settlement with HQ Home, a Henrietta-based furniture company, for engaging in deceptive acts and making false statements in its advertisements. The business advertised that they were holding a going out of business sale while continuing to receive shipments of new furniture, which is a violation of New York State law. As a result of Attorney General Schneiderman's investigation, HQ Home has paid $10,000 in civil penalties to the state and forfeited $500 to the Town of Henrietta for the application it was required to obtain to conduct a going out of business sale.

“When businesses deceive customers and violate state law with false and misleading advertisements, there must be consequences,” said Attorney General Schneiderman. “My office will stand up for consumers and use our enforcement power to penalize dishonest business practices whenever and wherever we find them.”

On January 4, 2015, HQ Home began advertising a 30-day, going-out-of-business sale in newspapers in the Town of Henrietta and the surrounding regions. The advertisements stated that there was a “STORE CLOSING,” that “all stock is limited to quantities on hand,” and that “all sales are final.”   

HQ Home ran the sale throughout January. The Town of Henrietta notified the Attorney General’s Office that HQ Home failed to obtain a license to conduct the sale, violating New York State’s General Business Law.

The Attorney General's investigation found that HQ Home took orders for new furniture from customers and received shipments of additional furniture after it began the supposed sale. Stock was therefore not “limited to quantities on hand,” making the advertisements false statements in violation of New York State’s General Business Law.

Under the agreement, the company agreed to end the sale and cease the deceptive advertising practices, in addition to the monetary penalties.

The Attorney General wishes to thank Town Clerk Rebecca B. Wiesner of the Town of Henrietta for her assistance in this investigation.  

The case was handled by Assistant Attorney General Benjamin Bruce in the Rochester Regional Office, which is led by Debra Martin, Assistant Attorney General In Charge. The Rochester Regional Office is a part of the Division of Regional Offices that is led by Marty Mack, Executive Deputy Attorney General for Regional Affairs.

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