Today, August 9th, 27, eight current members of the IBOAI board from North America, representing a combined average experience of twenty seven years in the business, approached Quixtar/Alticor to express deep concern with the current condition of the Quixtar business. For years, we’ve all been concerned that Quixtar’s products have been hopelessly overpriced and were virtually not retailable. Quixtar has known this, too, because over the last few years we have repeatedly informed them of this fact and have literally begged them to correct the problem. They did nothing, which is not particularly surprising given the ridiculously high profit margins required by families who own the businesses.
When we realized that our pleas had no hope of succeeding, we decided the cover-up needed to stop. Consistent with the principles of promoting fair competition and with commitment to the free enterprise system, we expressed our opinion that it would be only fair for Quixtar/Alticor to roll back its non-competition and non-solicitation rules and give all IBOs a choice to continue their participation in the business. Our position is simple: People should have a choice about whether to stay with Quixtar/Amway or leave for another opportunity. In response to our request, Amway/Quixtar snickered and immediately rejected our proposal.
As a result of this discussion, members of the board immediately resigned. Having reached an impasse, and being unable to have further discussions with Quixtar/Alticor management, we have asked the U.S. District Court in Los Angeles to provide essentially the same relief we asked Quixtar/Amway to voluntarily accept. Our complaint to the court can be reviewed in detail by clicking on the PDF included in this e-mail. This lawsuit does not seek damages or retribution. As Moses said to Pharaoh, “Let our people go!”
Robert L. Dickie III
Chief Executive Officer
The complaints lists the following plaintiffs –
Orrin Woodward, Billy Florence, Don Wilson, Fred Harteis, Tim Marks, Chuck Cullen, Kirk Birtles, Randy Haugen, Chris Brady, Jim Martin, Aron Radosa, Chuck Goetschel, David Brandy, Benjamin L. Dickie, Bruce Gilbank, Mike Martensen
It essentially claims that Quixtar products are too highly priced to be retailable and seeks relief for plaintiffs to pursue other opportunities.
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