Illinois Retailer Sued for Fraudulent Business Practices

fraud, consumer fraud, litigation, Naperville Business Law AttorneysAs a business owner, you know that it can be difficult, at times, to balance all of your required responsibilities. Clients are regularly asking our firm for advice on meeting the expectations of customers and creating a positive atmosphere for employees, all while increasing revenue and profits. Less scrupulous business owners, however, may be tempted to cut corners, while unfairly deceiving customers, and failing to meet their expectations. Illinois law provides that such behavior may constitute fraud and litigation over fraudulent business practices becomes a possibility, as one Illinois business recently discovered.

Last week, Illinois Attorney General Lisa Madigan filed suit in Cook County Circuit Court against Great Sports, Inc., and its owner alleging fraudulent business practices. Great Sports, Inc. is a Joliet-based company which specializes in motorcycles, all-terrain vehicles, and related equipment, and conducts business online and over the phone. The Attorney General reports that the company’s owner conducted sales through eBay on behalf of the business, as well.

The lawsuit comes as a result of hundreds of consumer complaints related to incorrect orders and receipt of damaged goods which customers claim the company refused to make right. Instead of refunds, customers were offered credit or warranties, and those seeking returns were often charged restocking fees of up to 30 percent. The Attorney General’s office alleges that consumers were defrauded approximately $350,000 by the actions of the company and the lawsuit seeks to revoke the company’s licenses as well as the payment of restitution and penalties.

Allegations of consumer fraud and deceptive business practices can be disastrous for any company. For business owners who are striving to operate a trustworthy business with integrity, the psychological effects of such accusations can disseminate through the company, affecting the production of both management and staff.  Owners who may be guilty of such behavior, on the other hand, may be inclined to downplay the potential consequences. However, penalties for fraudulent business practices can include significant financial damages, both punitive and as restitution, and the revocation of business and operating licenses, charters, or franchises.

If your business is facing litigation related to consumer fraud or deceptive business practices, understanding your options is vital to your commercial future. Attorney Denice Gierach has been helping business clients with legal issues for more than three decades and is qualified to help you protect your company’s best interest. Contact the experienced Illinois small business attorneys the Gierach Law Firm today and get the representation you deserve.