Attorney General Dustin McDaniel has filed a consumer-protection lawsuit against a Cleburne County business accused of failing to turn over proceeds of consignment sales to former owners of watercraft the business had sold.
Edgemont Marine and owner Gary Eubanks enter into contracts with consumers who wish to sell their personal watercraft. Eubanks agrees to display the boats at his business and sell them on consignment on behalf of the original owner, typically for a 10 percent commission. However, McDaniel’s complaint alleges that Eubanks has kept all the money from watercraft sales for himself in at least three instances.
These actions leave the selling owner with no proceeds from the sale and the buyer with no clear title to the boat, according to McDaniel’s complaint.
“Consumers who wish to sell their property on consignment should have the assurance that they will receive what is owed to them, and buyers need to know their transactions are legitimate,” McDaniel said. “This is no way to run a business in our State.”
According to the complaint, Eubanks contacted consumers who were selling their watercraft on the website Craigslist and offered to sell the watercraft by consignment. Eubanks also used newspaper and radio advertisements to promote his business.
The Attorney General accused Eubanks and Edgemont Marine of violating the Arkansas Deceptive Trade Practices Act. McDaniel asked the court to order Eubanks to stop the illegal practice and pay restitution and costs.
The complaint was filed in Pulaski County Circuit Court.