Cork & Barrel owners end legal saga by selling liquor stores

Nearly seven years after Dan and Jill Blomgren first faced pressure from state regulators, the owners of Lawrence’s Cork & Barrel liquor stores finally gave in.

As of Tuesday, the Blomgrens had sold their two stores — at 2000 W. 23rd and 901 Miss. — to Jon Smiley, longtime manager of the 23rd Street store, and his wife, Alicia.

“Enough’s enough,” Dan Blomgren said.

The State’s Division of Alcoholic Beverage Control had opened its investigation into the Blomgrens’ business practices in December 2002, ultimately finding that Dan Blomgren had violated the state’s ban on any one person from owning more than one liquor store.

While the Blomgrens essentially could own two stores — each spouse could own one of the Cork & Barrel locations — the ABC found that Dan Blomgren illegally had retained control of Parkway Liquors, a store that Dan Blomgren had said he had sold to an associate.

ABC had suspended his license, which Blomgren had retained on appeal.

But with the Kansas Court of Appeals having failed to uphold his appeal this past August, Dan Blomgren opted against seeking yet another legal opinion or ruling. Instead, he and his wife agreed to sell their Cork & Barrel stores: Jon Smiley now owns the larger one, covering 12,000 square feet on 23rd Street; and Alicia owns the smaller one, covering about 9,000 square feet on Mississippi Street.

Jon Smiley, who has overseen operations of the 23rd Street store for the past eight years, didn’t plan on owning his first business at the expense of a longtime friend and colleague.

“It’s bittersweet,” he said. “Right now, it’s something of a mourning period. A good friend of mine has been hurt. For me, to see him lose what he’s built — from a friendship side of things — is hard to take. But from my perspective, and my family, yeah, it’s a great thing. It’s just been a little bit hard for me to really enjoy it yet, and really be happy about it yet. That’s the bittersweet.”

Now Smiley’s friend is looking for a new career, after opening his first liquor store in Lawrence — Blomgren Johnson Liquor at the corner of what was then 15th Street and Kasold Drive — 20 years ago.

“There’s relief that the lawsuit is over, but the fact that my businesses were taken from me, there’s no relief in that,” Dan Blomgren said. “But Jon’s a great guy and I wish Jon only the very best. Jon and Alicia are both fantastic people. They will do a great job.”