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Thread: LuLaRoe sued for $1 billion as pyramid.

  1. #1
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    LuLaRoe sued for $1 billion as pyramid.

    "A class action lawsuit seeking $1 billion has been filed in California against the LuLaRoe company, sought by former consultants alleging they were coaxed into a pyramid scheme. "

    wwltv.com | LuLaRoe hit with $1 billion lawsuit

    https://www.lularoe.com/#/our-story-home/
    "the owner seems really confident and even promises this one won't be going anywhere"

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    Re: LuLaRoe sued for $1 billion as pyramid.

    Business Insider covered the story



    You can read the original article here at
    businessinsider.com.au
    The only thing necessary for the triumph of evil is for good men to do nothing

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    Re: LuLaRoe sued for $1 billion as pyramid.

    https://www.patheos.com/blogs/withou...n-new-lawsuit/

    This lawsuit is in mediation and additional lawsuits are piling up including another billion dollar suit.

    Former LuLaRoe consultants are suing the company alleging the company stole millions if not billions of dollars from them through an illegal pyramid scheme. The class-action lawsuit filed in California is demanding the company pay back the consultants and bar LuLaRoe from operating and promoting the pyramid scheme.

    In a Federal Court in March, attornies for a group of consultants provided the sordid details in the class-action filing.....New members purchased start-up packages ranging from $5,000 to $9,000.00........

    consultants ended up having garages and storage units full of clothing that they could not sell. However, the people at the top of the pyramid made millions off the losses of those at the bottom......


    As a result of the lies, thousands of consultants lost vast sums of money. The plaintiffs in the case lost tens of thousands of dollars. Many found themselves in massive credit-card debt. Others faced foreclosure and bankruptcy due to their involvement in the company.
    Attornies for the plaintiffs are asking for damages of “millions if not billions” of dollars.

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    Re: LuLaRoe sued for $1 billion as pyramid.

    https://www.businessinsider.com/lula...illion-2018-12

    • LuLaRoe's chief clothing supplier, Providence Industries, is suing the company for nearly $49 million.
    • The lawsuit claims the company hasn't paid its bills for seven months.
    • Providence Industries claimed LuLaRoe is "insolvent," and accused the company's founders, Mark and DeAnne Stidham, of hiding assets in "shell" companies to fund their "lavish lifestyle."
    • The suit claims Mark Stidham said on September 7, 2018: "Look guys, I am not going to pay you guys a f****ing dime unless a judge orders me to pay it, and DeAnne and I will take our two to three hundred million dollars to the Bahamas, and f*** everything."
    • In a statement on the case, LuLaRoe said: "We believe the claims in this case are completely without merit and will fight vigorously against them." .......

      The lawsuit, filed in a California Superior Court on Thursday, identifies 17 limited liability companies that are tied to the Stidhams that were created between July and December 2017. The suit claims the Stidhams have used them to purchase cars worth at least $2.7 million, properties in excess of $7 million, private planes, and other assets.

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    Re: LuLaRoe sued for $1 billion as pyramid.

    https://www.bloomberg.com/news/artic...void-creditors

    Los Angeles-based clothing maker MyDyer sued LuLaRoe, claiming the company owes it $48.7 million for products and services. MyDyer also sued the Stidhams, saying they’d set up more than 20 limited liability companies as part of a “scheme to hinder, delay and defraud” creditors like MyDyer.

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    Re: LuLaRoe sued for $1 billion as pyramid.

    Our dear colleague Tracy Coenen gives us the scary Lularoe math:

    LuLaRoe Review: Bad “Business” – Fraud Files Forensic Accounting Blog

    I’ve said over and over that
    multi-level marketing is not a business because more than 99% of participants lose money. But I wanted to take a look at this company specifically, because it’s been getting so much press.......
    The Bottom Line on LuLaRoe
    LuLaRoe is no different than any other MLM. It’s a grand scheme made to look like a real business. They use the concept of retailing to make it appear to be a legitimate business. But in reality, you’re going to spend thousands of dollars on inventory, profit very little from actual sales, and almost certainly lose money on building a downline (because you have to purchase so much in order to receive a relatively tiny commission check). And this is why I call multi-level marketing a scam.
    This is an incredible read. The details are absolutely horrifying. Credit card debt in the thousands is so common.

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    Re: LuLaRoe sued for $1 billion as pyramid.

    What are a few strategically placed holes between friends??? Sexy yeah!!!

    LuLaRoe Business Review: Still a Scam – Pink Truth

    https://www.buzzfeednews.com/article/stephaniemcneal/lularoe-lawsuit

    Women Are Furious Because They Say Their LuLaRoe Leggings Rip Like "Wet Toilet Paper"




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    Re: LuLaRoe sued for $1 billion as pyramid.

    Speaking of holes.... in the head. Scammer in Chief Extraordinaire Tim Darnell's eldest daughter is hawking this crap. Too bad her dad, who has destroyed the lives of untold people across the globe, forget to tell her that the real MLM sleazebags like himself start the scam (Advantage Conferences the subject of a dozen or so threads here) or get in at the very top of the pyramid. Hopefully, Lindy Darnell Schiel has lost her a$$ in this deal and has learned her lesson! She gave up a respectable teaching job for this pyramid crap.



    Lindy Schiel

    Hello! My name is Lindy, and I have been a LuLaRoe Retailer for a little over 2 years! When I'm not selling gorgeous clothes, you can find me hanging out with my wonderful Husband, Ben, and my baby boy, Levi! We love to go on adventures outside and try new food!

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    Re: LuLaRoe sued for $1 billion as pyramid.

    The family that preys together, stays together!
    It seems like in this "industry" common sense is not all that common!

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    Re: LuLaRoe sued for $1 billion as pyramid.

    Inventory Loading:

    Lindy Darnell Schiel demonstrates the house full of inventory Lularoe pushes reps into acquiring. The start-up is 5 grand alone and then thousands of dollars in purchases follow to qualify to get paid. Credit cards maxed and bankruptcies are the end results for many. She is holding quite a bit of inventory for a company that is drowning in lawsuits and imploding.

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    Re: LuLaRoe sued for $1 billion as pyramid.

    https://www.facebook.com/LularoeLind...05434/?__xts__

    Lularoe Lindy Darnell Schiel on video is beyond hilarious. She was live and laughs about the fact that no one is watching. Notice the massive inventory that no doubt she will find nearly impossible to move as this scam collapses.

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  23. #12
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    Re: LuLaRoe sued for $1 billion as pyramid.

    Such a professional presentation, NOT! Someone would have to be an idiot or desparate to continue, much less start an association with her!
    It seems like in this "industry" common sense is not all that common!

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  25. #13
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    Re: LuLaRoe sued for $1 billion as pyramid.

    Unfortunately it's the "or desperate" type victims in whom LuLa Roe are most interested.

    The only thing necessary for the triumph of evil is for good men to do nothing

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