Cheap Maggie's Of Hoboken Now In 9th Month Of 'Store Closing' Sale

HOBOKEN, NJ — Both the state of New Jersey and the city of Hoboken have laws governing how long a business can hold a "Going Out Of Business" sale with accompanying signage — limiting the advertisements to a couple of months.

But Cheap Maggie's, a discount clothing store on Hoboken's main street, said it was leaving town nine months ago, offering items up to 80 percent off starting in November — and it still hasn't left.

States and cities have enacted laws governing "Going Out Of Business Sales," to ensure that the sales and signs are legit.

Back in May, Marci Rubin, a spokesperson for the city and for public safety, said, "There have been no complaints against Cheap Maggie's and the City's Zoning Officer continues to monitor the store."

The state of New Jersey has this code about going out of business sales:

"It shall be an unlawful practice for any person to advertise merchandise for sale as a 'going out of business sale' or in terms substantially similar to 'going out of business sale' for a period in excess of 90 days or to advertise more than one such sale in 360 days. The 360-day period shall commence on the first day of such sale. For any person in violation of this act, each day in violation shall constitute an additional, separate and distinct violation."

It wasn't immediately clear if a "Store Closing" sale would apply. The rule is part of the Consumer Fraud Act and enforced by the NJ Attorney General/DCA.

Hoboken Law

But the city has its own rule about "Going-out-of-business sales" and says it does apply to store closing sales.

The rule says the business must get a permit for such sales, and it lasts 30 days. After that, a store can apply only once for an additional 30 days.

It applies to "a sale held out in such a manner as to reasonably cause the public to believe that, upon the disposal of the stock of goods on hand, the business will cease and be discontinued, including but not limited to the following sales: adjuster's, adjustment, alteration, assignee's, bankrupt, benefit of administrator's, benefit of creditors, benefit of trustees, building coming down, closing, creditor's committee, creditor's end, Executor's, final days, forced out, forced-out-of-business, insolvents, last days, lease expires, liquidation, loss-of-lease, mortgage sale, receiver's, trustee's, quitting business."

The laws are here.

Cheap Maggie's, which has a store in Parsippany, did not respond last week to an email sent to them.

The city of Hoboken's public safety spokesperson, Marci Rubin, said on Friday, when asked, "As of today, Cheap Maggie's has not been fined or cited by the City Zoning Office."

She did not respond to questions about whether the business has given a closing date to the city.