The State - News from July 1, 1986

A Los Angeles Superior Court judge denied a request by the 99 Cents Only chain of discount stores for a preliminary injunction that would have allowed it to continue selling California Lottery tickets for 99 cents. In urging Judge Robert I. Weil to deny the request, the state Lottery Commission contended that allowing even a penny discount on the tickets might encourage ticket outlets to engage in “bidding wars.” But 99 Cents Only, a 15-store chain that claims to sell nothing for more than 99 cents, said the lottery commission’s policy amounts to illegal price-fixing. The chain also noted that the commission’s policy does not apply to businesses like auto dealerships, which sometimes offer hundreds of free lottery tickets with the sale of merchandise, attorney Barry Silver said. The retail chain’s lottery contract is scheduled to be terminated Friday, but Silver said he will seek a full hearing before the commission to review the issue. The chain also plans to appeal Weil’s denial.