First, Carvana gets hit with a 180-day sales ban in North Carolina, and now, as local Southern California newspaper The Daily Bulletin reports, the company has been accused of operating an illegal vehicle storage facility at the Los Angeles County Fairgrounds.
The city of Pomona, which is the home of the fairgrounds, sent a cease and desist letter to the company at the beginning of this month. The letter is pretty much telling Carvana the fairgrounds are for fair stuff and vehicle storage and unloading isn’t that.
Dated Aug. 3 and written by City Attorney Sonia Carvalho, the letter said Carvana is operating an “illegal vehicle storage business,” which includes the unloading and loading of cars at Fairplex, home to the LA County Fair. The area in question is zoned to allow for fair-related uses, the letter reads, but the activity currently taking place is not considered as such.
The letter goes on to say that what Carvana is doing at the fairgrounds has created a “public nuisance.” Residents have apparently complained about noise coming from the facility ranging from the transport trucks to Carvana employees blasting music.
According to the city, Carvana has 30 days to respond. What’s interesting about all of this is that Carvana actually had an agreement with the city to use the fairgrounds, but that agreement only allowed them to use some of the fairgrounds. What it’s using now is broader than that. Also, no one seems to know when Carvana came and set up shop. It gets more galling when you factor in Carvana currently has plans in development to build a warehouse near the fairgrounds to do exactly what it may be doing illegally now.