Stratus Building Solutions franchisees in Indiana have filed a Class Action Complaint and Jury Demand against Stratus master franchisee Shamrock Building Services, Inc., Kevin Spellacy, Jerry Wenger, and Pamella Martins,and Stratus Building Solutions franchisor Stratus Franchising, L.L.C..
The case was filed June 8, 2012 in Marion Superior Court on behalf of the defendants by Paul B. Overhauser, attorney, and Kathrine Jack, of Counsel, of the law firm of Overhauser Law Offices:
Read the full complaint here:
Nidia Martinez, Maria Manriquez, Elsa De La Cruz, Eni Cruz Rodriquez, Victor Garcia, Laura Andolon, Ronny Funes, Theresa Escobedo, Lorenzo Rodriguez, Faustina Negrete, Yolanda Alvarez, Jose Leon, on behalf of themselves and others similarly situated,
Plaintiffs,
vs.
Shamrock Building Services, Inc., Stratus Franchising, L.L.C., Kevin Spellacy, Jerry Wenger, and Pamella Martins,
Defendants.
According to the franchise complaint:
“This case involves unscrupulous Defendants who ignore these laws, and instead oppress hundreds of American workers just to make themselves richer.
“Their unscrupulous strategy is to label their workers ‘franchisees,’ and have them sign a ‘franchise agreement.’
“Using the misguided and illegal strategy, they have evaded the consumer and worker protection laws that form the foundation of American society. Instead, they pay their workers a fraction of the minimum wage, make illegal deductions from payments to their workers, and evade taxes owed to the Indiana and Federal governments.”
The complaint alleges that the franchise system used by Stratus Building Solutions and its master franchisee Kevin Spellacy is essentially a scam that promotes an oppressive and illegal scam that defrauds would-be business owners out of their life savings. The lawsuit contends:
“Defendant Stratus is a janitorial services company that contracts with owners of commercial buildings to clean offices, schools and medical clinics. Because janitorial work is often an unattractive occupation, Stratus needs to offer incentives to prospective workers.
“Unlike legitimate businesses, who would simply offer a higher wage to attract workers for an undesirable job, Stratus uses a different scheme. It offers prospective workers a ‘guaranteed business’ and ‘guaranteed financing’ and the prospect of making thousands of dollars.
“To make matters worse, when hiring cleaning workers, Stratus makes them first pay a ‘franchise fee’ to purchase a ‘franchise.’ These ‘franchise fees’ often represent a worker’s entire life savings; yet they get nothing in return, other than the right to be subjected to further exploitation by Defendant’s illegal scheme.”
Read more here: Janitorial / Commercial Cleaning Franchise Issues
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The greatest thing about blogs like this is the simple fact that you can speak your mind and still be anonymous... but the truth matters.
The truth about the above is as follows:
Overhauser/Jack were bottom feeding, attempting to bring in new business to their law firm. After checking the legal blogs, they found "stratus". They spoke with Jonathan Fortman (more on this later) and they decided to get a copy of the FDD from the State of Indiana. Supposidly, Ms. Jack's "partner" who is a woman and bi-lingual (speaks Spanish, doesn't have concept of slang aspect of Spanish) began calling all of the owner-operators listed in the FDD. She basically painted a "bad pciture" of what was supposidly going on in other Stratus Offices in St. Louis, Kansas City, Pheonix and Buffalo. Then asked are these same things happening to you in Indy. Bottom line was, that people that were basically going along and doing/handling their respective businesses then decided that they wanted to be the next Wal-Mart "slip and fall victim" and have their names on blog sites and/or the newspaper with the hope/promise of a big PAYDAY!. aka 1st Amendment.
Here is the truth, it is varifiable and has already been given to Overhauser/Jack and the court.
Nydia Martinez invested $500.00 cash, signed note for additional $2500.00, promised $6,000.00 in business. As of 6/2012....She had billed north of $25,000.00!
Lorenzo Rodriquez invested $6000.00 cash, no note, promised $18,000.00 in business. As of 6/2012.....He had billed well north of $45,000.00!
Faustina Negrote invested $10,000.00 cash, not note, promised $30,000.00 in business. As of 6/2012.....She had billed well north of $55,000.00!
Uni-Cruz Rodriquez invested $1,000.00 cash, note of $2,000.00, promised $6,000.00 in business. As of 6/2012....She had billed well north of $10,000.00 and when her franchise was terminated for cause, asked to re-invest in Stratus and was denied as she didn't follow Policy and Procedures/Training Guidelines. Account Acceptance note for $18,000.00 was torn up and forgiven.
Maria Mannriquez/Jose Matafasio invested $7,000.00 cash, note of $3,000.00 promised $30,000.00 worth of business, as of 6/2012 billed well north of $50,000.00!
Jose Ramos/Yolanda Alvarez invested $8,000.00 cash, no note. promised $30,000.00 worth of business, as of 6/2012 billed well north of $12,000.00. Franchise was terminated due to multiple violations/fines which included but not limited too bringing underage children in with them to clean, caught on camera making out while children in the facility, having verbal and physical fights with each other on camera. After having pulled them from their only account, Stratus sat down with both of them and attempted to negotiate a reasonable deal between them and they refused.
Victor Garcia/Laura Andalon, invested $4,000.00 cash, no note, promised $9,000.00 worth of business. Was given an account within 30 days of training completed, 2x per week cleaning of a church, billing north of $780.00 performed so poorly, customer asked for a change before 1st month was over, then given a building worth $195.00 per month, then given one building with two seperate cleaning sites in that building worth $255.00 and $235.00 per month respectfully, lost two of the three acounts after 6 month's of cleaning due to missed days, poor performance, fined numerous times etc.... Total billing to date as of 6/2012 was well north of $10,000.00
Teresa Escabado: Put $3,000.00 cash down, note for $2,000.00 promised $12,000.00 in business. Teresa was offered a single building worth $1300.00 per month in business, less than 10 miles from her house, turned it down stating it was too far. Offered another account at $925.00 per month in business, less than three miles from her house, never showed up for the walk thru. After numerous attempts to call her about other accounts, Stratus served with lawsuit. If she had accepted either of the accounts it would have filled/more than filled her book of business owed. Promissory Note never enforced.
Ronny Funes: Put $1,000.00 cash down, note for $2,000.00 promised $6,000.00 in business. Mr. Funes turned down over $3,000.00 per month in business, spread out over 6 different account offerings, three of those facilities were within/less than 5 miles from his home. Promissory Note not enforced.
Nydia Martinez, Victor Garcia/Laura Andalon, Maria Mannriquez/Jose Matafascio, Faustina Negrote, Lorenzo Rodriquez all had active buildings and active accounts at time of lawsuit filed.
Lorenzo Rodriquez, Faustina Negrote, Yolanda Alvarez are all relatives, Lorenzo referred Faustina approx. 1 Year after starting his franchise, Faustina recommended Yolanda Alvarez/Jose Ramos approx. 1 Year after starting her franchise.
So now, let us talk about the absurd allegations made in this suit and put them to bed once and for all.....
a) Stratus Indianapolis NEVER enforced the non-compete language in FDD. Numerous current and former owner-operators have and had business on their own, worked with other franchising companies such as Office Pride, Jani-King, Coverall and Jan-Pro with full knowledge and approval. Still others sub-contract work from companies such as 4M, ABM, Quality and other service providers in our area. Numerous have their own accounts and had them from day one.
b) Stratus Indianapolis and their Management Team have assisted owner-operators in bidding of other accounts directly on their behalf, with their input, with agreed upon terms of how the "split" would go for both parties.
c) Stratus Indianapolis has a well known "open door Friday" Policy in which any owner-operator can come in and speak with Regional Director, Office Manager, Operations Manager about anything at anytime.
d) Stratus Indianapolis never had a gun to anyone's head and asked them to "pay now" or else. They not only had their 14 day waiting period, but were encouraged to ask questions, think about it, encouraged to visit our competitors, check out website, web information, BBB rating and make a wise business decision.
e) Stratus Indianapolis has always operated in positive way with owner-operators to resolve problems as best as possible. Last year, fines were less than $3,000.00 in total levied against owner-operators and always after being warned verbally and in most times, in writing, at least 3x that amount was waived by Regional Director and/or Operations Manager. Meaning less than 250.00 per month was average fine.
f) Nearly 50% of all owner-operators in the Indianapolis Office are direct relatives of someone that was already in the franchise system of Stratus Indianapolis.
Bottom line is, you had/have a bottom feeding attorney, that has decided because of what other Stratus Offices have gone thru, Indianapolis has done equal too or worse than them and they had an uncertified bi-lingual "partner" of Katherine Jack make outlandish and false statements in order to "fit" the charges levied against other Stratus Offices.
Though everyone has a right to their day in court, when falsehoods are broadcast, the truth has an obligation to see the light of day.
In regards to Jonathan Fortman, might want to find out the recent ruling in Missouri Court was and see if he is willing to post that or the administrator is as fair handed as he appears and posts the finding in the public record for all to see.
Figured Overhauser/Jack would have responded by now, probably going to wait a few days since they have some internal issues to deal with. Soon the "partner" will be drawn out and served as she should be. Wonder what kind of Sanctions that both Overhauser and Jack will have brought against them in the near future?
Old saying, "live by the sword, die by the sword". When you file a lawsuit based upon false statements, don't have Plaintiff's sign a simple affadavit of fact, continue to spread those falsehoods on blogs/websites, threaten with motions to compel and additional false charges, eventually it will come back to bite you in the "rump area"!
Poor Overhauser/Jack, had a very rough day in court yesterday. Overhauser tried to put on a show, problem was judge didn't want any of it. Tough Questions were asked by the Judge. Soon they will get even tougher. Ms. Jack might want to ask herself was it really worth misleading both Overhauser and the Plaintiffs. Really kind of funny, I know that Overhauser/Jack are needing business, but to really go this far down the into the "pond scumming" aspect to find a case is unusual.
Once Stratus Franchising is removed from the case, so is the money aspect. Plaintiffs aren't going to put up any more money. Yesterday's show was poor. Even they are smart enough to realize that it isn't worth throwing bad money after bad money. Overhauser/Jack should apologize to them, but they won't. They have done the real harm here. Once case is over, the Plaintiffs are the real losers in this case. Overhauser/Jack won't be let off the hook by me though. I will figure out a way that sanctions at the least are levied against them.
I feel for "bob" as well. He is lost, he will simply continue to be lost, they shouldn't have given him the false hope either, but they are the one's that will have to pay the price both mentally and hopefully financially.
Updates coming next week as well........
Jerry Wenger wasn't in court on Friday for the dismisal hearing. The judge was not amused as Trash Bag describes accurately, but he was not amused beause the Plaintifs were having a difficult time, it was because Stratus aka Shamrock Building Services, changing their name to "Service Crud" excuse me "Service Cube" so t hey can distance themselves from Stratus Corporate, did not show up for theeir motion in person. Make no mistake, Shamrock Building Services aka Stratus Building Solutions, is not what they franchises were sold, and money taken. Sstratus is the product they werer sold BY Shamrock Building Services, in court, the lawyer for Stratus tried to distance themselves from Shamrock Building Services saying they were not responsible for what Shamrock sold nor how, and that it is was not their responsibility for Shamrock's business practices. If I owned company that sold franchises, and told them, "Do business any way you want, we don't care." then how long would I be in business. While the janitorial business is wroght with all different kinds of business models, who wants to be a part of a quote "Fortune 500 Company" that doesn't police it's own franchises? One that doesn't keep a strict code of ethics, and a mose of operation that is standard. McDonald's does..Subway does. Stratus clains no responsibility for Shamrock. In fact, the name Shamrock Building Services was used by the defendants instead of Stratus. To the franchisees however, Shamrock is not what they were sold. They were sold Stratus, national company, great reputation, Fortune 500 company. One they could become as big as they wanted in. Just pay for how much business they wanted. Please note though, it was NEVER their business. It was a bill of goods. One or two issues, and Stratus (Shamrock?) could take them out of a building in a heartbeat. It was never their (the franchisees) business, it was Stratus' and THEY PROTECTED IT,
anonymous rex, thought we agreed to call you "Bob". I have to look up spell check everytime that I do anonymous....bottom line is the following, Overhauser/Jack are going to lose, simple as that, Question comes to how much the Plaintiffs are going to lose. I am sure that Overhauser/Jack forgot to tell them that they can be sued for attorneys fees, filing fees, harm done etc....Aka poor ole Aiwah in the Coverall Case.
They will not only be forced into bankruptcy, many of them will simply have to pack their bags and move to another state or possibly back to Mexico. All because of Overhauser/Jack filling them with the same lies/non-sense that you are attempting to spew here and other places. I would only hope that yours and the Plaintiffs private information remains that way, could you imagine what the existing owner-operators would feel about all of you, causing them real financial harm, causing them to lose their accounts, lose their business opportunity, taking money out of their families mouths when they need it the most? I don't know, I sure wouldn't want to be you/them if that happened.
Oh well, I guess all's fair in love and war as the say......
Hefty Bag...you are confused. I have better things to do than waste my time with this piddle. YOU are the ones having to defend yourselfs, not me. Changing your name won't matter. Using my name Bob only says this, I am named Bob. Who cares? Someone however, has your number, and sees this for real the way it is. God opposes the arrogant, I wouldn't be so sure of your position. You never know what might be waiting in the wings.
Lies be told, aka anonymous Rex/Indy, aka "Bob". I mean come on, how many handles are you wanting to have? Don't mistake honesty/truth for arrogance. Overhauser/Jack/You are nothing but bottom feeding cowards, pond scumming liars and overall slimey people. You attempt to "cloak" yourselves, but the end is near as far as this worthless lawsuit is. Here's a reasonable bet/prediction of things to come:
a) Sanctions will be leveled against Overhauser/Jack
b) Lawsuits will be filed by Stratus Franchising, LLC and Shamrock Building Services against the Plaintiffs.
c) Plaintiffs will be in bankruptcy and many/all will be forced to leave the State
d) You will continue to be a "wannabee".
I don't care what is in the "wings", it will be met head on, just like this non-sense has been, I can't help it if others are stupid. That is what has happened to this industry as a whole, everytime someone makes false charges, instead of fighting it in the courts only, you must have the conviction to fight it everywhere else. Cowards will always use the Media, then complain when someone on the "other side" dares to play in their realm/field.
Katherine Jack and her "partner" have caused great harm to Overhauser and the Plaintiffs. She will be released from the Overhauser Law Firm once this non-sense is over. Bet on it.
As far as "god" goes, bottom line is that you can only bring god into something when you don't have a legitmate argument. YOU have cause real harm, YOU have issues with your family, YOU have failed these Plaintiffs almost as much as Overhauser/Jack has.
Listen up trash bag, you are the low life who is talking about families and harm. What about GIS? You put them out of business with your cocky recklessness. Cost them tes of thousands of dollars. You sit fat behind your desk and wield the sword of arraoganc. Bottom line though is, it was YOU who got taken to the cleaners for $120,000.00. If you were as smart as you act, it would never have happened. I don't know how you keep a job the way you treat people. Kev is just blind and has no one else to replace you at this time, if you cost me that much money, and the continuing lawyer fees to track it down, you'd be standing on 465 with a sign beggin' for spare change.
I would never had know about this stupid blog zone had you not mentioned me directly in it. The lawyer told me about it. I hope the people who read this take proper note, it's a child mentality that talks about a man's family, especially when he doesn't know a thing about what he was talking about. You are low, you are dispicable. There are things I could say here, but, frankly, you just are not worth any more of my time. See you in court.
Lies be told, aka anonymous rex/indy, aka "bob".....So, "your attorney told you about this blog". Nice, slightly unethical, but he/she will only get admonished a little bit in court, the real scandal with Overhauser/Jack is getting closer and closer into focus...... In regards to You, let's play this out a little bit as you continue to become "unhinged"..... "Your honor, what does it say about a man that has two ex-wives, the last one he left when he found out she had cancer, a man that has two step-sons, both of them with felony charges/records/jail time, a man that he himself was arrested within the past few month's for domestic related issues and resisting law enforcement"..... Does Overhauser/Jack know what they have in you? They do now.
You just cost GIS the opportunity to stay in their building.....I am sure that they will have something nice to say to you about that.
In regards to court, you are a coward, you bluster and fuster and you won't be there in the end.
A man who uses tactics like you will eventually get what he deserves. You do not scare me, you do not have any ethics what so ever. As far as the attorney goes, you were blaming me for saying things when it wasn't me, it was when you identified me personally, that I was told about this. You have no class, no morals, and how in th wide world of sports have I cost GIS anything? YOU, you nasty man, have the audacity to blame any of this on me? I didn't send them to Illinois to do work that they never got paid for. Now, you are going to punish them for what? That we talked?They are decent guys and you are a selfish, self centered slob, who cannot control himself, or his tongue. I will waste no more time with you in this, I just wanted to see how low you would stoop, and you didn't let anyone down. You are the lowest, your company is untrustworthy, deceitful. Its a bad reflection on everyone there, even those who are unaware of the way you operate. To all that read this, let it be known, I am what I am, I have had a history; I have never hidden from it, I however have changed, and used it to help others who have had difficulties. Take a good look at this blog, and see the kind of man Stratus employs by the words he slings. Even corporate Stratus is distancing themselves from them.
Would anyone believe him, or want to work for him?