Dry cleaner in infamous pants lawsuit sells 2nd shop

WASHINGTON (CNN) -- The owners of the dry cleaning shop made famous after they were sued for millions because of a lost pair of pants said Wednesday they have sold a second of their three stores.

The Chung family said they sold the shop involved in the dispute because of revenue loss and the emotional toll from the lawsuit.

In June, the family successfully defended a suit filed by Roy Pearson, a family court judge who sued the cleaners for $54 million in damages for a pair of missing pants.

While the legal fees were covered by fund-raisers, the Chungs have lost business because of the lawsuit and because Pearson posted flyers critical of the cleaners around the neighborhood, according to the Chungs' lawyer.

At one point, Soo and Jin Chung owned three stores as a part of their dry cleaning chain, but they said in a statement issued Wednesday they were forced to sell two of the stores because of financial losses stemming from the infamous lawsuit. The first store was sold last year.

"This is a truly tragic example of how devastating frivolous litigation can be to the American people and to small businesses," the family's lawyer, Christopher Manning, said in the statement. "This family has poured its heart and soul into their dry cleaning stores only to have their dreams crushed by Roy Pearson's lawsuit."

Pearson is appealing the decision.

- By Beth Noble