Lexington, Kentucky, February 11, 2026
A Fayette County Circuit Court judge issued a default judgment against Lexington Blue Roofing for defrauding over 300 customers out of approximately $4.8 million. The ruling permanently bans the company from operating in Kentucky due to violations of consumer protection laws. The Kentucky Attorney General’s Office is now working to compensate affected consumers. The owner of Lexington Blue Roofing, along with his wife, has had their assets frozen amidst ongoing legal investigations and a class-action lawsuit.
Lexington, Kentucky – A Fayette County Circuit Court judge has granted a default judgment against Lexington Blue Roofing, a company accused of defrauding over 300 customers out of millions of dollars. This ruling prohibits Lexington Blue and its affiliated companies from operating any businesses in Kentucky permanently and found them in violation of consumer protection laws. The Kentucky Attorney General’s Office is now initiating compensation efforts for the affected consumers.
The court’s decision follows an investigation by the Attorney General’s Office, which revealed that Lexington Blue accepted approximately $4.8 million for over 300 roofing projects, many of which were never completed. Customers reported paying substantial deposits for roofing services that did not occur. A hearing is scheduled for February 13 at 2 p.m. in Fayette Circuit Court to discuss further proceedings. Consumers with concerns or suspicions of unlawful business activity are encouraged to contact the Attorney General’s Office of Consumer Protection.
In April 2025, Lexington Blue abruptly ceased operations, leaving numerous clients with unfinished or nonexistent roofing services. The company’s owner, Brad Pagel, and his wife had their assets frozen by a judge, barring them from accessing bank accounts and other assets. The injunction also prohibits them from engaging in construction or roofing activities in Kentucky. A class-action lawsuit was filed against Lexington Blue, alleging breach of contract and other violations. The Attorney General’s Office continues to investigate the company under the Consumer Protection Act.
Consumers are advised to exercise caution when hiring contractors, especially following severe weather events. The Better Business Bureau recommends obtaining multiple quotes, verifying business licenses, and ensuring written contracts are in place to protect against potential scams.
Frequently Asked Questions (FAQ)
What is the default judgment against Lexington Blue Roofing?
The default judgment prohibits Lexington Blue and its affiliated companies from operating any businesses in Kentucky permanently and found them in violation of consumer protection laws. The Kentucky Attorney General’s Office is now initiating compensation efforts for the affected consumers.
How much money did Lexington Blue Roofing accept from customers?
Lexington Blue accepted approximately $4.8 million for over 300 roofing projects, many of which were never completed. Customers reported paying substantial deposits for roofing services that did not occur.
What actions are being taken against the owner of Lexington Blue Roofing?
The company’s owner, Brad Pagel, and his wife had their assets frozen by a judge, barring them from accessing bank accounts and other assets. The injunction also prohibits them from engaging in construction or roofing activities in Kentucky. A class-action lawsuit was filed against Lexington Blue, alleging breach of contract and other violations. The Attorney General’s Office continues to investigate the company under the Consumer Protection Act.
What should consumers do to protect themselves from potential scams?
Consumers are advised to exercise caution when hiring contractors, especially following severe weather events. The Better Business Bureau recommends obtaining multiple quotes, verifying business licenses, and ensuring written contracts are in place to protect against potential scams.
Key Features of the Case
| Feature | Details |
|---|---|
| Company Involved | Lexington Blue Roofing |
| Amount Accepted from Customers | Approximately $4.8 million |
| Number of Affected Customers | Over 300 |
| Legal Actions Taken | Default judgment, asset freeze, class-action lawsuit |
| Consumer Protection Measures | Investigation under the Consumer Protection Act, compensation efforts |
Deeper Dive: News & Info About This Topic
HERE Resources
Federal Grand Jury Indicts Real Estate Group in $50 Million Fraud
London Man Sentenced for Money Laundering of COVID Relief Funds
Developer Boosts Lexington’s Apartment Boom Near University of Kentucky
Governor Beshear Announces Disaster Loans for Kentucky Businesses
Lexington Pastor Pleads Guilty to Misappropriating COVID Relief Funds
Nicholasville Tornado Causes Property Damage and Power Outages
Judge Rules to Freeze Assets of Lexington Blue Owner
Teenager Injured in Lexington Shooting Incident
Lexington Blue Roofing Owner’s Assets Frozen Amid Allegations
Shooting Incident in Nicholasville Results in One Death
Author: STAFF HERE LEXINGTON KY STAFF
The LEXINGTON STAFF WRITER represents the experienced team at HERELexingtonKY.com, your go-to source for actionable local news and information in Lexington, Fayette County, and beyond. Specializing in "news you can use," we cover essential topics like product reviews for personal and business needs, local business directories, politics, real estate trends, neighborhood insights, and state news affecting the area—with deep expertise drawn from years of dedicated reporting and strong community input, including local press releases and business updates. We deliver top reporting on high-value events such as Woodland Art Fair, Crave Food and Music Festival, and Railbird Festival. Our coverage extends to key organizations like Commerce Lexington and Blue Grass Community Foundation, plus leading businesses in education, manufacturing, and technology that power the local economy such as University of Kentucky, Toyota Motor Manufacturing, and Lexmark. As part of the broader HERE network, including HEREBowlingGreen.com and HERELouisville.com, we provide comprehensive, credible insights into Kentucky's dynamic landscape.


