Attorney General's News Release

May 10, 1999

Nixon obtains court order forever barring St. Louis contractor from home remodeling business

Clayton, Mo. — Attorney General Jay Nixon today obtained a court order that puts a St. Louis home remodeling company out of business and forever bars the owner from owning or having any supervisory role in a home remodeling business.

The permanent injunction was signed today by St. Louis County Circuit Court Judge Patrick Clifford against Jeffrey Wolfson and his business, Wolfson Construction. Both the Attorney General's Office and the Better Business Bureau have received many complaints about Wolfson Construction, with individual consumer losses often exceeding $10,000. Jeffrey Wolfson also was the source of many consumer complaints when he did business under the business name Wolfco Homes.

Nixon said the business practices of Wolfson Construction have included:

• Beginning construction or remodeling projects after taking sizable deposits, then failing to complete the project;
• Telling consumers that payments would be used to purchase materials when they were not;
• Misrepresenting their ability to perform a project or complete it in a timely manner in order to induce consumers to sign contracts, when on many occasions Wolfson knew that previous bounced checks and lack of credit with suppliers made it unlikely he could obtain supplies; and
• Performing work that did not comply with applicable building codes and knowing the work would not be approved by building inspectors.

"This was not a fly-by-night business, and unfortunately, many consumers put their trust and large sums of money in Wolfson Construction projects," Nixon said. "We are encouraging any consumers who have had problems with Wolfson and who have not yet contacted our office to do so soon."

The court also criticized a clause found in Wolfson contracts that supposedly precluded consumers from contacting the Attorney General's Office and other consumer agencies in regard to a problem without first agreeing to binding arbitration with Wolfson.

The court order allows Wolfson to complete any home remodeling services for which a contract already exists, if the customer so desires. Wolfson, however, is prohibited from taking any additional payment for those projects without the prior approval of the court or the expressed written consent of the Attorney General.

The court also barred Wolfson from using in any contract any clause that purports to prohibit a party from contacting the Attorney General's Office.

Nixon encouraged any consumers who have not contacted his office regarding problems with Wolfson to do so by calling the Consumer Protection Hotline at 800-392-8222. Nixon said that information will be used in any future legal action to obtain consumer restitution and penalties from Wolfson and his business.

Inquiries from consumers should be directed to consumer@ago.mo.gov or 1-800-392-8222 (from within Missouri) or 573-751-3321 (outside Missouri).

All media inquiries should be directed to Press Secretary John Fougere.

E-mail      Phone: 573-751-8844         Fax: 573-751-5818