SOUTHEAST TEXAS RECORD

Orange County Management purchased C.J. Furniture and C.J. Home and Office, Inc. back in February. Three months later, OCM has realized C.J. may not have fully disclosed its sales figures before selling the business.

OCM claims it would have never purchased the business had C.J. given accurate representations. OCM now wants the contract rescinded and compensation for its troubles.

The company filed a deceptive trade practices suit against C.J. with the Orange County District Court on May 17. Judge Dennis Powell, 163rd Judicial District, will preside over the case.

According to the plaintiff's original petition, in the fall of 2006 OCM "began looking into the possibility of purchasing an existing business." Soon after, the company began negotiations with C.J.'s agent, Von Vogt.

"Based on the representations made by defendant, including those made by Vogt, OCM entered into a contract to purchase the business�on Feb 24, 2007," the suit said. "Thereafter, OCM discovered that the representations made by defendant were false."

The company alleges C.J. and Vogt misrepresented the business's sales, employees, reputation and items in stock, the suit said. "Defendant was aware that its representations were false at the time that they were made, or it acted with reckless disregard of the truth or falsity of its representations."

The suit does not say how much OCM purchased the business for, only that it "was a substantial sum of cash."

"Defendant is aware the business does not even generate sufficient revenue to make payments required under the promissory note," the suit said. "Further, the conduct of defendant was willful and malicious."

OCM is asking for a judgment against the defendant to have the contract rescinded, an undisclosed sum for money lost and court costs.

The company is represented by attorney Bill Richey of the Griffin & Matthews law firm.

Case No. B070-254.c