Red Lobster Auction Went Very Wrong. What Now? (florida)
Looking for some advice and this seemed like a great place to ask!
We own a small independent pizza shop, and are working on opening up a coffee shop for my wife. Not on the restaurant Equipment business.
I recently saw the Red Lobster Auctions and while I didn't need 90% of the stuff, I saw a great opportunity to get a full POS, lots of plates, smallwares, etc, for a deal.
We actually were outbid but the winner failed to pay so it was offered to us. Awesome! Except then the trouble started.
The auctions were listed as Entire Restaurant Contents. There was a "Sample" inventory list but it was noted that items would vary by location. In the photos on the auction were two items of great interest: A large Ice Maker and a Conveyor Dish Washer.
Thursday evening I contacted two movers who specialized in restaurants (which actually cost significantly more than the auction itself), due to all the stuff being listed as having to be our by end of day Friday. Then I was told the pickup window was actually only 6 hours (9 AM to 3 PM), no big deal though, hired one more mover.
Next bit of trouble came after paying for the auction, which is when they sent an exclusions list. On it there were two exclusions of concern: Dishwashers (if Eco Lab Branded) and Ice Makers in some locations. I verified the pictures of the Dishwasher, no Eco Lab branding, phew. Verified that the ice maker was not only in the list of items but also in the pictures. Figure my location must not exclude it, otherwise why show 5 pictures detailing it.
Then my team arrives. Everything is gone except for the big equipment. The televisions at the bar, the pots, pans, cleaning supplies, smallwares, blenders, mixer. The only things left was the large equipment, most of which was connected, and tables / booths.
For reference on this next parts, my bid on live auction was on Monday, this was now Friday. Two representatives were on site: The old General Manager representating Red Lobster, and a sub contractor representing the interests of the auction company.
When asked about all the missing equipment, the General Manager said they bought a large dumpster on Wednesday and all her team came in and threw everything away in the dumpster, which was already gone. Extremely unlikely, as I doubt Red Lobster would spend the money to throw away items that they're auctioning off. It got even weirder when "employees" showed up and were overheard talking about picking up items from the restaurant.
While my team leader tried to sort all of that out, the rest of my guys went to work on disassembling items. Except, Everytime they touched something (undercounter bar cooler, bar taps, booths, etc) they were told, "Oh no, that's not included," or, "Someone else already bought that."
After about 2 hours of back and forth, the on site representation finally conceded to let us take MOST of the stuff that was still there (which wasn't much). Because of the now reduced time of only 4 hours, most of the valuable stuff being gone already, and the high end items like the dishwasher and ice machine now being excluded, we only filled 2 of the 3 trucks.
I have called the auction company and apparently they said that my experience was not alone, and they were currently having a warroom on what to do next because of all the issues. They said they will likely have some solutions in how to make it right on Monday. The representative on site tried to get my team to sign a waiver of liability before leaving, but we refused.
What can I expect from this process now, and do I have any legal recourse? I would have thought that the buildings would have been secured to prevent theft while the auction was going on but obviously not. My biggest concern is that, while my costs weren't horrible at 15k, only $5500 was to the actual auction, the rest was to transportation. I certainly have concerns now that I won't be able to make my money back, let alone a profit. I know that it's a gamble, but I feel like this experience was borderline fraudulent. Any suggestions?
ETA:
If nothing else, I feel like the auction violates the law in my state (Florida), as there is a statute that covers misrepresenting facts. Specifically FSS 468.388 Subsection 11b 1 through 3 which reads:
No licensed auctioneer, apprentice, or auction business may disseminate or cause to be disseminated any advertisement or advertising which is false, deceptive, misleading, or untruthful. Any advertisement or advertising shall be deemed to be false, deceptive, misleading, or untruthful if it:
1. Contains misrepresentations of facts.
2. Is misleading or deceptive because, in its content or in the context in which it is presented, it makes only a partial disclosure of relevant facts.
3. Creates false or unjustified expectations of the services to be performed.
The auctions were listed as Entire contents, with the only exclusions listed on the auction in the terms being "Photos may show items that are not included in auction (e.g., infrastructure, HVAC, plumbing, etc."
Here's the link for anyone interested in how it was presented
[link] [comments]
