UPDATE: April 30 at 2:45 p.m.
A class action lawsuit has officially been filed in Jefferson County against Lexington Blue, Inc., along with the company's owner, Bradley Pagel Jr., amid an investigation that ensued after customer and employee complaints.
The lawsuit, filed by counsel for two individuals, claims that the roofing company accepted payment through contracts and failed to "provide any meaningful service."
Further, the lawsuit alleges that the company continued to accept new contracts despite not fulfilling the previous contracts.
The lawsuit also claims that in November 2024, the two individuals entered an agreement with the company, in which Lexington Blue would provide roofing services for a $8,080 payment. The agreement reportedly ensured that their insurance company would pay the cost of the roofing, however, they were required to "pay up front, in full."
The complaint claimed that the plaintiffs made an insurance claim and paid the amount, with the understanding that repairs would begin within four to six weeks of the "completed contract and receipt of payment."
No work reportedly occurred, despite the plaintiffs claiming they paid the amount in full, along with repeated requests, the complaint read.
The lawsuit lists the following damages:
- Breach of contract;
- Negligent misrepresentation;
- Violation of Kentucky Consumer Protection Act;
- Unjust enrichment;
- Equitable action to pierce the corporate veil;
- Violation of Kentucky's voidable transfer act; and
- Punitive damages.
Original Story:
Lexington Blue Inc., a roofing company servicing Lexington, Louisville, and Cincinnati, ceased operations over the weekend after months of complaints and accusations reached the Attorney General's office.
The company of 10 years touts excellence, integrity, and community care, but one employee tells LEX 18, the experience working at Lexington Blue was marked by red flag after red flag.
“We probably had three or four weeks in a row of bounced checks,” recalled David Hodgson, who began working at the company in June of 2024. “The first day after I got promoted is when I got the company truck and the gas card, and I went to get gas, the gas card wouldn't work because they didn't pay the bill.”
The situation reportedly worsened, as Hodgson described months of unpaid bills: “I left there in October, and they were probably 18 months behind on bills.”
As financial troubles ensued, customers were left high and dry. According to the Better Business Bureau, Lexington Blue had a pattern of complaints around communication, service delays, and refunds, along with dozens of scathing reviews on social media.
Watching customers taken advantage of ultimately led Hodgson to quit the job just months after he started.
In March, the Attorney General's office subpoenaed Lexington Blue, demanding business records, emails, texts, and customer files to be provided in 20 days. The company responded by requesting an extension and modifications to the demands.
Over the weekend, Lexington Blue announced its shutdown online, citing defaults on credit lines and loans. In a statement, the company described "unrelenting internal disruptions and attempts to sabotage our operations, including negative press and reviews" as contributing factors to its closure.
Hodgson told LEX 18 that he wasn’t surprised by the news of Lexington Blue’s closing, "When I quit, I told everybody I said that by spring, Lexington Blue won't be a business, I promise you that. And it's April, it's still spring, so I mean I'd say I was right."
According to its website, Lexington Blue has transferred its backlog of outstanding projects to Skyline GC LLC.
