By Brandon T. Bisceglia
The state Department of Consumer Protection has launched an investigation into whether the Milford Pet Valu is following state laws in conducting the store’s closing out sale after the Milford-Orange Times initiated an inquiry.
State laws require stores that are closing out their inventory to acquire a license and follow certain practices meant to protect consumers.
The Milford store is one of 29 locations around Connecticut, all of which are closing. The national chain announced it was shuttering in early November. It was owned by Roark Capital, a private equity firm based in Atlanta.
Online sales have already ended, and the physical locations are expected to wind down in January.
DCP Communications Director Kaitlyn Krasselt confirmed that the department had not yet issued a license to Pet Valu. She said a letter had been sent to the company outlining the complaint and asking them to file the proper documents. “We have sent investigators to confirm the stores are open and selling, and staff have informed the business and the promoter that a license must be obtained,” she said.
A request for comment was left with Pet Valu and the Milford store manager.
The store has already been promoting its closing sale since at least the beginning of November. State law requires the license be obtained prior to promoting or holding a closing out sale, for each location where the sale will be held.
In addition to obtaining a license, the store being closed cannot bring in new items. The store may only sell the items “within the four walls” of the establishment where the sale is to be conducted at the time of application, according to Krasselt. The applicant also must the DCP with a complete inventory of the goods, wares and merchandise on hand.
The commissioner of the DCP can impose a $500 civil penalty after an administrative hearing if a business fails to comply. Each day that goes by without compliance is considered a separate offence under Connecticut statutes, meaning that the cost can add up quickly. Failure to follow the rules is considered an unfair or deceptive business practice under Connecticut’s Unfair Trade Practices Act and can result in more penalties.
“The department will typically attempt to bring the person into voluntary compliance before penalties are imposed, unless the business practice is egregious,” Krasselt said.
Like many brick-and-mortar chains, Pet Valu has been facing stiff competition in recent years from online retailers such as Chewy’s home delivery service. The COVID-19 pandemic has only hastened the demise of many physical stores in Milford, Orange and around the country.