Lathrop & Gage attorney Matthew A. Jacober sent a stern warning letter to Jerry Wenger that if Wenger didn’t agree to stop calling his clients “scumbags” (and making other disparaging remarks about them and Stratus Building Solutions), that he’d file suit for “libel, slander, tortious interference with business expectancy and breach of contract.”
Jerry Wenger is a former employee of a former Stratus Building Solutions master franchisee in Indiana.
Wenger has been openly critical of both the Stratus franchise organization (which some have called a pyramid scheme: STRATUS Franchise Called “Pyramid Scheme” on FOX News), Stratus CEO Dennis Jarrett, and Stratus President Pete Frese.
In his letter (published here: STRATUS Attorney: Stop Calling Dennis Jarrett & Pete Frese Scumbags!), Jacober took exception to an email allegedly sent by Wenger in which he stated ““there are still some very scummy people left in the master system, most definitely the largest scumbag of them all is still Dennis Jarrett and the second is Pete Frese.”
Jacober also accused Wenger of posting disparaging remarks about Stratus on LinkedIn (as himself) and UnhappyFranchisee.Com (as the mystery commenter “Reasoned Source”). He pointed out that Wenger signed a non-disparagement agreement that forbids him from bad-mouthing Stratus, Jarrett & Frese.
Jacober wrote: “This letter is your one and only warning.”
If Jacober’s threat was a bluff, Wenger called it.
Jerry Wenger fired back a defiant, unapologetic letter that states his belief that Jarrett, Frese and their associates at Stratus Building Solutions have deceived and harmed “hundreds if not thousands of families throughout the United States…”
Wenger’s response letter (posted in its entirety below), alleges that Dennis Jarrett, Pete Frese & Stratus Franchising created and distributed deceptive Franchise Disclosure Documents and financial pro formas that misrepresented the company’s history, the business relationships of its related entities, and (assumedly) its financial strength and performance.
Wenger rebuffed Jacober’s request for him to zip his lip, warning him back: “Going up against me, would be nothing but a losing battle…”
Wenger may have a point.
While Lathrop & Gage might relish the opportunity to generate more billable hours while smiting a smart-ass detractor with far less financial and legal firepower than their client, the question remains:
Do Stratus CEO Dennis Jarrett & Prez Pete Frese REALLY want to initiate a lawsuit in which the central question may be whether or not they are “scumbags”?
To Unhappy Franchisee, it seems like Jarrett & Frese could invest a lot of money, time, and effort and end up with nothing but humiliation and loss.
You know… kind of like buying a janitorial franchise.
October 30, 2013 Via: Certified Mail
Lathrop and Gage, LLP.
7701 Forsyth Blvd., Suite 500
Clayton, Missouri 63105
Attn: Mr. Matthew Jacober
Re: Response to your letter dated 10/25/13
Martinez, et. al v. Shamrock, Stratus Franchising, Kevin Spellacy, Jerry Wenger, Pamella Martinez
Dear Mr. Jacober:
Let me start this letter off by acknowledging obvious receipt of your letter as it did not arrive via certified mail as of the response date/time of my letter. Secondly, please be aware that letter as I felt was appropriate, was forwarded to Plaintiff’s counsel, your letter and my response letter will be placed in the court file and forwarded to Mr. Spellacy’s attorney of record as well.
Thank you for recognizing me as an “honorable man”, I have the same level of respect for you and Mr. McCauley and have recognized that in our previous dealings verbally and now in writing, You have an impossible task (in my opinion) at hand in the defense of Pete Frese and Dennis Jarrett. Your clients however, do not deserve nor will they ever get that statement/feeling of respect from me, nor have they since December 2011. That is a date that I started checking their backgrounds, their past history with Coverall Pacific and/or Jan-Pro. As you are aware, I have been in the commercial cleaning industry for over 30 Years. I have numerous friends in this industry, many of whom quite frankly walk in higher and different circles than I do. Some of those friends include Ed Selkow and Ken Galo.
Your letter is extremely upsetting to me on a variety of levels, so please forgive some of the passion and emotion you are about to read, I understand you did this in your role as counsel for your clients Dennis Jarrett, Pete Frese and Stratus Franchising, LLC. Just to be clear on that matter, for your clients to believe for a moment that I am solely or even majority responsible for their “fall from grace” is not only delusional but should further call into question their obvious mental state of affairs and lack of responsibility for what they have done and inability to “look in the mirror”.
Your clients “dye was cast” on or about 2003/2004, when they knowingly decided to put together a false FDD, a false Performa and begin a program of marketing/sales based upon those basic premises of lies and deception. Those lies were discovered and verified in various Lawsuits and avenues of discovery in the multiple cases that they now have against them personally and in a corporate sense in Missouri, Indiana, California and I believe in the coming month’s additional suits in California and Texas. Not that we need a “history lesson” but let’s briefly outline it:
a) False FDD was based upon not revealing the relationship between the previous Jan-Pro Branch, Simpatico, Pete Frese, Stratus Building Solutions.
b) False FDD in following years not only didn’t reveal the above (a) but didn’t reveal the relationship between some/all of those entities with Jarrett Realty, Affiliated Services, Nyco Chemical and others.
c) False Performa created with the assistance and full knowledge of Afshin Cangarlu a current Stratus Master in Los Angeles, California were presented throughout the United States as a Performa and presented by such esteemed colleagues of Stratus Franchising as Marvin Ashton, Bob Stapleton and Bill Blair. All of whom not only knew the truth behind the formation of Stratus Building Solutions and its past history, but knew without a doubt that the Performa used as part of “Validation” by numerous soon to be Masters was False and full of Fraudulent Information. Further “verbal” validation was done directly by Afshin Cangarlu, Tom Weiss, John Coleman, Ken Cassiri, Jeff Aibel and others in return for “favors” handed out by Dennis Jarrett and Pete Frese. Some of those “favors” included breaks on royalty fees, cash awards and other “one off” deals.
The harm that your clients have done is far reaching and has cost dearly in the lives of hundreds if not thousands of families throughout the United States and it ranges from Masters investing their Retirement and/or Life Savings down to the hundreds of Unit Franchisees some of whom I know personally, that in their own way/amount did the same.
I am not going to spend a whole lot more time in my response to this outrageous letter of warning from you and your clients on “history” anyone that wants to know has to look no further than the records of multiple lawsuits including Goldeneye v. Stratus Franchising et. al, the multiple past and current “Fortman Cases”, the letter of intent to sue in Texas, the letter of intent to sue in California and of course the “Indiana cases” which there are two. One in Civil Court proceedings and documents of record in Bankruptcy Court Proceedings of former Master, Kevin Spellacy.
Your letter to me also shows a sheer arrogance and in many ways disregard for Indiana and its Judicial System. You and Your clients are not pleased with the outcomes in various rulings that have not gone your clients way in both the civil court hearing nor in the Bankruptcy Hearings and it shows.
Your letter to me also talks about the disparagement agreement that I signed and let us not forget the reasons for me signing the agreement were quite simply as follows:
After months of attempting to “negotiate” a separation from Stratus Franchising (started in March 2012 and finally completed end of July 2012) Kevin Spellacy and his attorney’s Michael Alerding and Scott Krieder were on a conference call with Kevin when I was asked to come into Kevin’s office, an agreement of Separation had been reached and only one “sticking point” remained. It was the non-disparagement agreement that I eventually signed. Their direct words to me were as follows, “Jerry, Matt Jacober informed us that there will be no agreement, without your signature on a non-disparagement agreement”. “Now, we don’t represent you, we cannot ask you to sign, all we can tell you is the work done on Kevin’s behalf cannot move forward without it”. I read the agreement that Kevin had, I couldn’t sign it, I instructed them to remove or change several areas and make them as “grey” as possible. Upon those changes, I freely signed the document as I personally saw the need to get the “deal done” and move on, Kevin is a man of high morals and integrity despite what has been written in the lawsuit and on blogs. He simply couldn’t stomach being associated with Pete Frese, Dennis Jarrett nor Stratus Franchising one more day than necessary. I knew Shamrock/Kevin didn’t have the finances to fight Lawsuits on two fronts (Martinez and Stratus Franchising), it proved that we didn’t have finances to fight a Single Lawsuit in the end. I couldn’t allow Kevin, the other employee’s, the area developer, the Unit Franchisees and their respective families to be harmed because of this document not being signed by me. Kevin is now in bankruptcy court as an individual, as a corporation and his 250k investment in Stratus is lost, his nearly 3 million dollar per year business is closed, his employees are working for themselves or other companies, his nearly 100 Unit Franchises are gone and their families and investments affected dramatically along with his and the sheer emotional stress and damage is hard to nearly impossible to measure.
All of this is direct result of your client’s decisions made back in 2003/2004 and the subsequent lawsuits, findings of fact and separations of previous Masters in Buffalo, Rochester, Conn., Atlanta, Jacksonville and Miami (current Pro2FS). I bring those up as they were the ones that primarily discovered the various detailed flaws in not only the Performa, but the history associated with the Performa and additional flaws in the FDD that were not discussed in the original Simpatico or aka Fortman Case. Their separation was devastating on a variety of levels as they were the primary leaders that had formed a group that not only initiated the separations on their behalf but many of those that followed including Kevin, as they were party too various phone conferences that started in January 2012 and led directly by Ken Cassiri and Jeff Aibel and that I was present for/in via listening on speaker in Kevin’s office. Those persons include both former (Florida, Indiana, California, Oregon, Illinois and others) and still a few current Stratus Masters in various states in all there were 22 Masters that were part of that group at one point or another. When Ken Cassiri and Jeff Aibel went “quiet”, it was Kevin himself that became the defacto “leader” of the remaining group.
In regards to whom has harmed whom as you claim, simply “Google” my name, read on the very same website that you quote in your letter, unhappyfranchisee.com what was said about me personally, call my current employer and have him tell you that not only did I do a “full disclosure” of all court filings against me, but shared with him the unhappyfranchisee.com website and the comments made about me personally on that website BEFORE he decided to hire me and then let him tell you about the issue that involved a minority partner who paid an attorney to solely investigate me and his personal recommendation that I be REMOVED from my position without even meeting me, calling me on the phone etc… Let me give you and your client’s numbers of people who actually at some point in time questioned verbally and in documents (emails) my lack of supposed morals, integrity and honesty. No Mr. Jacober, the one that has been harmed the most in this mess between Me and your clients is clearly ME. I think you seem to forget that I never owned a piece of, was never shareholder of, not even an Employee of Stratus Franchising, LLC. Nor did I EVER have any relationship directly with Pete Frese nor Dennis Jarrett financially or otherwise. Yet, my name, my integrity, my honesty, my morals have all come under FIRE/QUESTION simply because I worked for a Master in the State of Indiana that utilized the Stratus Name, the Stratus Business Model, the Stratus Business Plan and those findings were utilized in the filing of a Lawsuit that I am “co-defendant” of in Indiana.
No Mr. Jacober, YOUR clients are the reason, the sole reason that they have been HARMED. THEY will have to answer for their deceit, lies, fraud, fraudulent inducement in the various courts throughout the U.S. THEY and THEIR ASSOCIATES are the sole reason that Stratus Franchising is in the current financial shape and P/R and Brand problems that THEY have, THEY are the Masters of a destiny that THEY created with their knowingly False FDD and Performa and NO ONE ELSE!
In regards to “Reasoned Source”, I am simply going to allow you to speculate as to “whom” that is. Your basic premise of “Reasoned Source” solely being one person is in of itself, flawed. From what I have read, from what I have seen, from what I have heard, there is absolutely NO WAY that “Reasoned Source” is simply one person as the sheer scope of the information posted/provided no one person could possibly have that much information and/or be party too that number of discussions and actions, quite literally at the same time throughout the United States.
In closing, Mr. Jacober you are a partner in one of the Largest Law Firms in the Country, your clients despite their recent financial issues are still worth in the Tens of Millions of Dollars when you look at their cash, their real estate holdings, their assets etc. Your threat and their “approval” of a Lawsuit to move forward against me is totally out of my control. You are all adults (so Am I) and since to date, there has been NO Criminal Filings versus Dennis Jarrett nor Pete Frese that would require mandatory representation by Lathrop and Gage, we have all made choices as adults. Your threats to do further harm to me and my family will be responded to appropriately in whatever courtroom, whether or not it is in the Great State of Indiana which I am currently a resident of and party too a current lawsuit in. And since the agreement signed was done so in Indiana and under the factors that I have already “testified too” in the current civil action against me and your clients “see interrogatories for Plaintiff’s and signed by me under penalty of perjury” and in the court record. I believe that ANY potential case filed against me would have to flow thru Indiana at some point in time, without too much question or issue.
Personally, if I were you, I would advise your clients to move themselves into Bankruptcy Protection and stop this non-sense and accept the fact their lies, deception, business practices and lack of moral based business ethics are the direct cause of what has happened to themselves and Stratus Franchising, LLC. This would avoid additional harm being done to remaining Masters, their unit franchisees and their employee’s. Though I personally don’t care about some of them, there are others that I do care about very much….. Going up against me, would be nothing but a losing battle for a variety of reasons and in all honesty would accomplish little for any of us.
Sincerely,
Jerry M. Wenger
Pro Se
Also read:
STRATUS BUILDING SOLUTIONS Franchise Complaints
STRATUS BUILDING SOLUTIONS: Open Letter From Unit Franchisees
STRATUS Franchise: Are Stratus Master Franchisees Jumping Ship?
STRATUS Franchise Called “Pyramid Scheme” on FOX News
LATHROP AND GAGE: Lighten Up & Enjoy Your Lucre (Part 1)
LATHROP AND GAGE: Lighten Up & Enjoy Your Lucre (Part 2)
STRATUS BUILDING SOLUTIONS Franchise is a Scam, Attorney Claims
STRATUS BUILDING SOLUTIONS Franchise Class Action Lawsuit Filed
ARE YOU FAMILIAR WITH DENNIS JARRETT, PETE FRESE, STRATUS BUILDING SOLUTIONS OR LATHROP & GAGE? SHARE A COMMENT BELOW.
tags: Stratus Building Solutions, Dennis Jarrett, Pete Frese, Lathrop & Gage, Attorney Matthew Jacober, Jerry Wenger, Stratus, Unhappy Franchisee, janitorial franchises
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View Comments
Wow! It appears that much of the information that has been posted over the past year plus has almost been 100% verified and without question as even Matt Jacober the Lead Dog (Yes, even Poodles have lead dogs) has stated the Mr. Wenger is an "honorable man".....And he put that into writing even after he suspected that Mr. Wenger was me....Wonder what's going to happen next?
Only thing I will add to Mr. Wenger's comment above is this, since this letter and its contents are quite literally in "Public View", I can now release some/all of the following information:
Ken Cassiri and Jeff Aibel led a group of approx. 12-14 Masters in an almost "study committee" type of format. The following additional cities were on that program in addition to the one's already revealed. (Miami, CT., Rochester, Buffalo, Atlanta, Jacksonville)
Oregon
Ventura County
North Texas
Chicago
Indianapolis
Nashville
Secondly, AFTER the split from Stratus, the original Pro2FS were only Rochester, Buffalo, Atlanta, Jacksonville and CT. Miami was added later via license agreement and it was not only rumored but confirmed via a Lawsuit filed in Marion County court by Jeff (Anal) Aibel himself against Kevin Spellacy that Indianapolis and Louisville were in the process/discussions to join the Pro2FS "family".
Now everyone knows that Chicago, Indianapolis, Louisville, North Texas have closed completely and/or filed for bankruptcy protection....Estimated investment lost by Masters alone is north of 1.4 Million, at least double that amount for Unit Franchises harmed/closed and a few hundred more thousand for employees whom lost their Jobs!!!!!!!
And Matt Jacober wonders why Mr. Wenger has categorized his clients as SCUMBAGS?
More tidbits coming......Since I was mentioned both in Matt Jacober's letter and Mr. Wenger's response, let me state for the record that I agree with BOTH OF THEM!!!
Dennis Jarrett and Pete Frese are at the very least SCUMBAGS and Mr. Wenger is indeed an HONORABLE MAN........
@Viewers, I found the time this weekend to read both letters.....Not only was the letter from Jacober/Stratus/Dennis Jarrett/Pete Frese a sheer sign of desperation on their part....I found if "Funny" that Mr. Jacober, though he believed 100% that Mr. Wenger was indeed Reasoned Source made sure that he put in there that Mr. Wenger was indeed an "honorable man"......
Now wait a second Mr. Jacober, you believed that Mr. Wenger was REASONED SOURCE, yet you still, on purpose, on plan called him in writing an "honorable man" Mr. Jacober, does this mean that EVERYTHING that Reasoned Source has said including calling your clients every name in the book such as SCUM BUCKETS, SLIMEY BASTARDS, DISGUSTING HUMAN BEINGS, BULLIES, LIARS, THIEVES, CHEATS etc....YOU believe as well?
Also, I find it funny that THEY blame Mr. Wenger for the majority, vast majority of the issues currently surrounding Stratus Franchising, LLC. Pete Frese and Dennis Jarrett.
YET as both Mr. Wenger and I have pointed out, it was directly their former BEST BUDS Ken Cassiri and Jeff (Anal) Aibel whose leaving, the terms associated with their leaving, the ACTS that they did PRIOR TOO and IMMEDIATELY AFTER their leaving caused by far the MOST HARM!!!!!!
I mean come on Matt, when you suggested, begged, encouraged and wrote the terms of the Separation Agreement, YOU placed in there that they could have NO FURTHER contact with any CURRENT and/or potentially any FORMER Master in the Stratus Franchising System.......
Therefore, how do you explain the following?
a) The contact between them and Julio Alvarez, at time of contact he was a Current, although about to be FORMER Stratus Franchising, LLC. Master.
b) The contact between them and Kevin Spellacy, at time of contact he was a Current, although about to be FORMER Stratus Franchising, LLC. Master.
c) How do you explain the Group of 22? They not only initiated the conversation they HOSTED the conversations on a conference call concept.
d) How do you explain all of the Performa Issues that they uncovered and shared with the Group?
e) How do you explain the confirming and actual expansion of various information in regards to the FORTMAN CASE?
f) How do you explain the 20 page document sent to DJ and Pete and YOU?
g) How do you explain the Leaking of said 20 page document?
No Mr. Jacober, this is squarely on YOU.....YOU are/have been as RESPONSIBLE for the downfall as anyone else as it was at YOUR SUGGESTION, YOUR DIRECTION, YOUR ENCOURAGEMENT that the following acts be done:
1) Separation Agreement between Stratus Franchising, LLC., Pete Frese, Dennis Jarrett and the Pro2FS people.
2) Separation Agreement between Stratus Franchising, LLC. Pete Frese, Dennis Jarrett and Jon White and Oregon Master.
3) Lawsuit and Separation Agreement between Stratus Franchising, LLC., Pete Frese, Dennis Jarrett and Julio Alvarez and Miami Master.
4) The holding of the ill timed, ill prepared, dumber than a box of rocks, phone call in which Dennis Jarrett and Pete Frese and YOU were called onto the mat by numerous Masters...
5)The stonewalling, lies, deception, half truths etc...told in various courts and court filings on behalf of your clients Dennis Jarrett and Pete Frese.
6) The sheer STUPIDITY of a variety of decisions because YOU and Lathrop and Gage have NO CONCEPT or understanding of how business and more importantly how Sales and Marketing and Branding Goes.....
No Mr. Jacober, if I were to RANK who is at fault in the Stratus Franchising Saga it would look something like this:
Dennis Jarrett and Pete Frese- 60%
YOU, Lathrop and Gage- 20%
Jonathan Fortman- 15%
Pro2FS- 4%
Myself- Less than 1%
Mr. Wenger- Balance
Mr. Fortman may deserve higher as it was him that discovered much of the initial information used not only by the Pro2FS people, but by others going forward. But I think you get my point, No Matter the Actual Split, Mr. Frese and Mr. Jarrett and their GOON SQUAD of Marvin Ashton, Bill Blair, Bob Stapleton and Carmen Garcia caused the direct downfall of Stratus Franchising, LLC. because of what they knowingly did.......
Mr. Jacober, YOU AND LATHROP AND GAGE, because of the bumbling, fumbling, idiotic at times approach of handling the negotiations, the separations and the Lawsuits and lack of P/R, Brand, Marketing Skills it is obvious YOU and YOUR TEAM, deserve the NEXT SLOT!
More coming commercials on how Lathrop and Gage should advertise.......
Jennifer Frese the former wife of Pete Frese, believes that she has escaped the scrutiny that I have focused on Rene Smith and Nina Sandivik Bashforth....Well, not so much!
Jennifer Frese lived in a Multi-million dollar home
Jennifer Frese received millions of dollars in cash at time of divorce
Jennifer Frese actually knows the Franchise Business Very Well
Jennifer Frese was party too a Lawsuit in the Early 1990's that she and Pete Frese actually alledged the following in THEIR Suit against a Franchisor:
Franchise Fraud
Mis-filing/Representation of FDD
Mail/Wire Fraud
Fraudulent Inducement
Mis-stating of Proforma
Mis-Leading Financials
Wow! So Mrs. Jennifer Frese and Mr. Pete Frese actually SUED someone else and are now UPSET with, feel like they've been treated unfairly because, 100's of People including former Masters are now filing suit, have filed suit, will continue to file suit against Pete Frese, Marvin Ashton, Dennis Jarrett and others for the EXACT SAME THING!
More coming soon...........
@Viewers, Many have asked me to state the case that I discussed prior....It was an Illinois Case filed in 1992, Jacob v. C.M. Video is the case. Ms. Frese and Pete Frese were Plaintiffs in that case.
They also talked about how they didn't want/believe Arbitration was the proper method to adjudicate the case? Really? Wait a Second, if it wasn't Good Enough for you as Plaintiffs, how is it Good Enough for your former Masters? your former Unit Franchisee's? your former Employee's?
I'm sorry, but in that case, YOU made allegations that were exact SAME as many of your former Unit Franchisee's and Masters are making/have made against YOU!
Franchise Fraud
Improper Information contained in the FDD
Mis-Leading Financials
Mis-Leading Resume of Owner
Mail/Wire Fraud
Hold On, since you obviously don't believe in Arbitration, why are you trying for force Arbitration in numerous other cases and instances? Why did you put that in your own FDD?
Jennifer Frese, How do you feel about the Revealing of the Hypocrisy that you and Pete are part of?
Jennifer Frese, How do you feel that the Millions of dollars you got in your Divorce Settlement was stolen from innocent Families all across this country?
Jennifer Frese, When you look in the mirror is Leona Helmsley looking back at you in DISGUST?
Interesting how the World actually comes Full Circle Sometimes!!!!!!!
@Viewers, It is amazing to me how Pete Frese and Dennis Jarrett simply don't close up shop and leave the daily abuse they are getting from their FEW Remaining Masters, Former Masters, Current Franchise Owners and Past one's?
Just in the past couple of weeks, I have learned some of the following:
a) What is Simpatico (Pete Frese owned Master in St. Louis) has lost more than 50% of its business/market share over the past two years alone.
b) It has become almost embarrassing and now potentially legally troubling for the remaining employees who are afraid to get sued/held liable for making false/fraudulent representations to potential owner/operators.
c) It has become almost a Violent Workplace as dozens of Unhappy Franchisees are showing up demanding money, threatening to sue, calling on the phone etc.
d) Mark Bashforth/Jayson Bashforth have removed their request from the State of California to continue to offer franchise units in San Diego.
e) Afshin C. has changed his FDD dramatically to show that the remaining notes owed to Jarrett Reality/Stratus Franchising has been reduced/negotiated away.
f) Mark Bashforth is afraid to show up at the Houston office as someone has actually threatened him/his family and believes that both his life and Jayson's are in danger! (Not condoning/advocating, just reporting)
g) Pittsburgh has officially severed ties with Stratus Franchising and is threatening a lawsuit against Pete Frese/Dennis Jarrett/Bill Blair/David Farrell and others.
Now, there are other levels of news on the legal front and Master Front that I am awaiting confirmation on. Unlike the lies that Pete/DJ tell people on a regular basis, I feel I have an obligation to VERIFY things before making aimless threats or innuendo's.......
2014 Will be the END of Simpatico, Stratus Franchising, Pete Frese and Dennis Jarrett in regards to their unethical, illegal, immoral business practices!
@Viewers, In a case of the ABSURD/DELUSIONAL State that appears rampant at Stratus Franchising, LLC and Lathrop and Gage, it has been reported that NOW Matt Jacober and Stratus Franchising, LLC. has reached out to Wenger via sources and is wanting/needing his help to file a Motion to Compel Arbitration in the Indiana Case!
Let's see, just a few month's ago, they were threatening to SUE Wenger and intentionally attempted to threaten Wenger to stay quiet on multiple fronts, NOW they want him as a PARTNER!
Wow, ironic isn't it? I wonder how this will now play out.....Stay tuned, something tells me the answer is an emphatic NO!
@Viewers, In a case of the ABSURD/DELUSIONAL State that appears rampant at Stratus Franchising, LLC and Lathrop and Gage, it has been reported that NOW Matt Jacober and Stratus Franchising, LLC. has reached out to Wenger via sources and is wanting/needing his help to file a Motion to Compel Arbitration in the Indiana Case!
Let's see, just a few month's ago, they were threatening to SUE Wenger and intentionally attempted to threaten Wenger to stay quiet on multiple fronts, NOW they want him as a PARTNER!
Wow, ironic isn't it? I wonder how this will now play out.....Stay tuned, something tells me the answer is an emphatic NO!
@Viewers, Pete Frese has recently sent out a series of Emails in regards to the "Fortman Case" the first one claimed undeniable VICTORY and Implored the remaining Masters to "Stay Put" as this whole thing was turning around!
Now, an email went out stating that they are disappointed that Fortman has appealed the case, but they will be looking at ONLY another eight (8) month's or so of this case and to KEEP FOCUSED on building their businesses as that if they don't it would be equal too Fortman actually winning!
HELLO! Hasn't Fortman already won with the GREAT ASSIST going to Lathrop and Gage and most notably Matt Jacober?
Let's see, how bout we recap for the newer viewers:
Before the Lawsuit:
Flying High, being interviewed by USA Today, various News Magazines and Outlets, winning Awards from all kinds of places and sources......
Charging 600k for territories upfront and going from 3% Royalty Fees in the Beginning to 6% prior too (just prior too ) the Lawsuits.
Jarrett Realty having all kinds of fun collecting various notes and they learned Cash is good, Notes at 8, 10, 12% interest is in theory better.
Affiliated Services was simply a "pie in the sky" but too many Masters were too stupid to look at the Shell it was
Stratus Franchising International had just sold Central America, looking at South America Opportunities and one in England.
Call Center established in conjunction with Bashforth Brothers and their supposed Operation in Panama.
Approx. 100 million per year plus company in revenue, 50 cities up and running, Simpatico at 8 million per year in business as the "proof of concept".
Class "A" office/training space.
Selling Master Franchise and Area Developer licenses at a rate of 10 per year!
AFTER the Lawsuit:
Down to less than 30 million per year in Sales:
Buffalo, Rochester, CT., Long Island, Pittsburgh, Delaware (1st one), Louisville, Indianapolis, Atlanta, Jacksonville, Miami, North Texas (1st one), Minnesota (1st and 2nd one), Virginia, New Mexico, Las Vegas, Ventura County, Orange County, Salt Lake City (Shea Sealy), Chicago, Dallas, San Diego, New Jersey (1st one), North Carolina (Raleigh and Charlotte), Oregon, Louisiana closed, bankrupt or left the system.
Additional Lawsuits filed in Indiana, California, pending investigation in Texas by AG. Potential Lawsuits coming to North Carolina, Tampa, San Diego.
Stratus Franchising, International has been legally dissolved.
Jarrett Realty has been legally dissolved. (State of Illinois)
Affiliated Services has been legally dissolved and has a tax lien.
Simpatico, center of multiple lawsuits has lost nearly 2/3 of its billing volume.
Bill Blair, Marisa Lather, Chelsea Pulley, David Farrell, Carmen Garcia are all technically terminated or left the corporate entity.
Stratus Franchising, LLC. left their primary office complex as the lease was negotiated away and moved into much smaller and less costly space.
I could go on and on, including the total destruction of Value and Brand and the fact that your Master License is of NO VALUE in the marketplace....THESE ARE YOUR PARTNERS REMAINING MASTERS!!!!!!!
More information is flowing, more Masters finally wising up and wondering WHY pay them a penny, WHY continue living in a Mobil Home (loses value upon purchase) which is exactly what this brand offers! Don't believe me, contact a business broker and ask him to VALUE your business with the brand aspect destroyed, lawsuits in place and the coming lawsuits in the Franchising Industry Looming!
Recently, saw an Anago Master License for sale with 1.2 million in yearly sales listed in Ohio....Multiplier offered was at "1"...In other words, they were willing to SELL their business for 100k!!!!!!! Typical non-franchise valuation for that same business would be 2x-3x multiplier! Just some food for thought......
@All Viewers, Guess this weeks coming event in Los Angeles will be attended by fewer people than last reported.....
Pittsburgh left the system as of 1/1/14
Baltimore left the system as of 3/1/14
Rumors are swirling around Sacramento, Iowa, Long Island, New Jersey, Cleveland.
Seems Tampa is next up in a Lawsuit and Bashforth is still on the hook for Texas AG. Pending Lawsuits in California and Texas and the Panamanian Drug Lord that he was in bed with is closing in Fast!
Those Masters that are still sitting and waiting for better days to come, do ya think its around the corner as DJ/Pete are ducking their heads in the sand and LAUGHING at those of you still sending in your Royalty Checks. Your "Business in a Box" has now become a Business in a P.O. Box!
So how many think your BRAND is worth more than ZERO?
@Viewers, It appears that there is truly more upsetting news about to hit the "Stratus Family" as in the past few days the following has been reported and mostly confirmed:
a) Legal Battles on Multiple Fronts seem to continue for Stratus Franchising, LLC.
b) New Battles coming for Tampa/Houston/Philadelphia Masters which will all lead back to Stratus Franchising, LLC.
c) Masters in Long Island, Utah, N. California, Colorado, Iowa are in various stages of leaving the system. Utah may close its doors completely!
d) Attorney's Fees are growing, Stratus Franchising Receipts are Falling, DJ is acting like a THUG and Caged Dog that he is!
Nashville, Cincy, South Carolina, Denver, Phoenix, Kansas City Masters let me ask you a Quick Question.....WHAT IS YOUR STRATUS BRAND WORTH NOW?