Jacobsen Rugs in downtown Syracuse, N.Y., which has been selling oriental rugs since before the Depression, filed for bankruptcy and plans sell off the more than 2,000 rugs it has left before shutting down for good.
And this time, they mean it.
In 2011, the store got a wrist-slap from then-Attorney General Eric Schneiderman for holding a going-out-of-business sale that lasted too long.
State officials often regulate how long retailers can advertise those kinds of sales so that customers who go in expecting rock-bottom prices aren’t deceived by store owners who know that there’s really no rush to empty the shelves.
Prior to Jacobsen Rugs’ earlier sale, the store’s owner got a permit (and an extension) to hold a going-out-of-business sale for 60 days, but another company in the liquidation industry continued that sale even after that time period was up, according to the attorney general office’s website. The incident triggered a $65,000 fine.
“This should serve as a warning to businesses out there who attempt to deceive and manipulate the public,” said Mr. Schneiderman said in a statement released on April 8, 2011.