Press Release

For Immediate Release
Contact: Cara Smith
312-814-3118
877-844-5461 (TTY)

csmith@atg.state.il.us
November 16, 2006

MADIGAN FILES SUIT AGAINST HOME REPAIR CONTRACTOR

Chicago—Attorney General Lisa Madigan filed suit Wednesday, November 15, in Sangamon County Circuit Court alleging that a Central Illinois home repair and improvement contractor collected payments from consumers and then either failed to begin the work, failed to complete the work, or failed to perform the work in a competent and professional manner.

Madigan’s lawsuit names Gregory S. Jordan, doing business as Jordan Company, as the defendant.  The Jordan Company operated at various times out of Bloomington, Springfield and Milan, Illinois.  Since 2004, Madigan’s Consumer Fraud Bureau has received nine complaints against the Jordan Company.

According to the allegations in the lawsuit, one Illinois consumer entered into a contract with the Jordan Company for the addition of a sunroom at a total cost of over $43,000.  The consumer signed the contract in September, 2005 and made a down payment of $8,712.  The Jordan Company failed to perform any work and refused to repay the down payment despite repeated attempts to obtain a refund.

A second Illinois consumer entered into a contract with the Jordan Company to construct a sunroom in August, 2005.  This consumer paid the Jordan Company a down payment of $6,000.  According to the complaint, the Jordan Company again performed no work and refused to refund the down payment.

After accepting these two payments, the defendant filed for bankruptcy protection in October, 2005.

“Through this lawsuit and others, we are working to protect Illinois consumers from unscrupulous contractors who move from location to location throughout the State, taking payments from consumers, and either failing to perform any work or performing shoddy work,” Madigan said.

Madigan’s lawsuit charges the defendant with multiple violations of both the Illinois Consumer Fraud and Deceptive Business Practices Act and the Illinois Home Repair and Remodeling Act. In addition to alleging that the defendant failed to refund the consumers’ down payments or to complete the work in an acceptable manner, the lawsuit alleges that the defendant failed follow the law and (1) provide consumers with the “Home Repair: Know Your Consumer Rights” pamphlet, (2) provide verbal and written notice to consumers of the right to cancel contracts, and (3) have adequate insurance as required under Illinois law.

Madigan’s lawsuit asks the court to prohibit the defendant from engaging in home repair and from further violating Illinois’ consumer protection laws. The lawsuit seeks a civil penalty of $50,000 and additional penalties of $50,000 for each violation found to have been committed with the intent to defraud.  Finally, Madigan’s lawsuit also asks the court to order the defendant to pay all costs for the prosecution and investigation of this case.

Assistant Attorney General Louis J. Gale is handling the case for Madigan’s Consumer Fraud Bureau.

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