Advantage Conferences - Tim Darnell - Jack Weinzierl

soapboxmom · Post by **soapboxmom** » Sat Dec 01, 2007 8:13 pm

Texas Deceptive Trade Practices-Consumer Protection Act

The Texas Deceptive Trade Practices-Consumer Protection Act ("DTPA") was enacted on May 21, 1973. The full text can be found starting at section 17.41 of the Texas Business and Commerce Code. The primary purpose of the DTPA is to protect consumers against false, misleading, and deceptive business and insurance practices, unconscionable actions, and breaches of warranty. It does so by prohibiting certain acts and practices that tend to deceive and mislead consumers.
The DTPA provides for both public enforcement and private remedies. Public enforcement is done by the Texas Attorney General, who can seek a court order prohibiting further deceptive practices. A private citizen may seek redress for damages caused by certain specific acts and practices listed in the DTPA.
Because the DTPA is very broad and is constantly being interpreted by the courts, it is impossible to explain its complete meaning and impact in this short handbook. If you believe that you are the victim of a deceptive trade practice, please consult an attorney.

Which Transactions Does the DTPA Apply To?
Most consumer transactions are covered by the DTPA. Although the DTPA does not cover every deceptive or unconscionable act or practice, it is quite broad. The DTPA provides that "false, misleading, or deceptive acts or practices in the conduct of any trade or commerce are hereby declared unlawful."

The DTPA prohibits certain acts or practices "in the conduct of any trade or commerce." This is a very broad provision. "Trade and commerce" means "the advertising, offering for sale, lease, or distribution of any good or service, or any property, tangible or intangible, real, personal, or mixed, any other article, commodity, or thing of value wherever situated, and shall include any trade or commerce directly or indirectly affecting the people of this state." The term "goods" includes tangible things or real property purchased or leased for use. The word "service" includes work, labor, or services purchased or leased for use, including services furnished in connection with the sale or repair of goods. The DTPA does not apply to the rendering of a professional service, the essence of which is the providing of advice, judgment, opinion or similar professional skill. "For example, an accountant can probably not be held liable for violating the DTPA if they give the wrong opinion. However, professionals can violate the DTPA by making misrepresentations of fact or breaches of warranty. For example, if an accountant lies about his qualifications to attract business, a customer probably has a DTPA claim."

The term "unconscionable" appears frequently in the DTPA, and in this handbook. The DTPA defines an "unconscionable action" as one that "takes advantage of the lack of knowledge, ability, experience, or capacity of a person to a grossly unfair degree."

So what does this all mean? The DTPA has a very broad application. The DTPA can be used by someone that is charged for an unnecessary $50 car repair; it can be used by someone buying a used car; it can be used by a homeowner buying a home; it can be used by a small business purchasing materials; it can be used by a business buying a $400,000 franchise; and it can be used in all transactions in between. Simply put, the DTPA was enacted to protect consumers in small transactions and businesses in rather large transactions.

Who Is Entitled To Protection Under the DTPA?
Other than the Texas Attorney General, only consumers are allowed to file under the DTPA. The phrase "consumer" means an individual, partnership, corporation, or governmental entity who seeks or acquires by purchase or lease any goods or services. It does not cover a business consumer that has assets of $25 million or more or that is owned or controlled by a corporation or entity with assets of $25 million or more.

The Element of Knowledge or Intent
The DTPA makes many practices illegal without requiring proof that the defendant intended to do something wrong or illegal. Unless the section involved requires otherwise, the consumer is not required to prove that the defendant ":intentionally" or "knowingly" violated the DTPA. This makes it easier to prove a violation of the DTPA, and provides a strong incentive for sellers of goods and providers of services to refrain from engaging in the prohibited acts and practices.

Nevertheless, the DTPA provides that if a defendant acts "intentionally," the judge or jury may award the consumer "additional damages" in an amount not exceeding three times the actual damages suffered by the consumer.

What Is Included Within the "Laundry List" of Acts and Practices Made Illegal by the DTPA?
The DTPA contains a "laundry list" of specific practices that are prohibited. This laundry list is found in section 17.46(b) of the Texas Business and Commerce Code. It contains 25 acts that violate the DTPA and for which consumers may sue, if the consumers relied on the act to their detriment. These twenty-five acts are described on the following pages.

(1) Passing off goods or services as those of another.
It is illegal to advertise or represent goods or services under a different company than the company in which the good or services were made.

(2) Causing confusion or misunderstanding as to the source, sponsorship, approval, or certification of goods or services.
This section prohibits acts that tend to confuse consumers. First, this section prohibits acts that tend to cause confusion regarding the source of goods or services. This section is broader than section (1) because the consumer need not prove that the defendant was actually "passing off" goods or services as those of another. Instead, all the consumer must show is that the defendant caused confusion regarding the source of the goods or services.

This section also prohibits acts that cause confusion regarding the sponsorship, approval, or certification of goods or services. It prohibits people from representing a product has the approval of an organization that has not really approved it. Certification is a formal process that often has significant meaning to consumers. Examples of certification includes various seals of approval, such as the Good Housekeeping Seal and the U.L. or Underwriters Laboratories certification for electrical products.

Was AC God, Christ and Better Business Bureau approved as Tim claimed???

(3) Causing confusion or misunderstanding as to affiliation, connection, or association with, or certification by, another.
This section prohibits acts or practices that cause confusion regarding the affiliation or relationship between the seller of goods or the provider of services and some other organization or person. For example, this section prohibits business owners from giving the impression that their company is closely connected with another business or with the state government or an agency of the state government.

(4) Using deceptive representatives or designations of geographic origin in connection with goods or services.
This section prohibits people from stating that products come from a certain country or location when, in fact, they did not. This would include stating falsely that a certain wine is from France, a fine watch was made in Switzerland, or a certain coffee is made from beans grown in Columbia.

(5) Representing goods or services that claim to have sponsorship, approval, characteristics, ingredients, uses, benefits, or quantities but do not or a person claiming to have a sponsorship, approval, status, affiliation or connection but does not.
This section has two main parts: one concerning misrepresentations about goods or services and the other concerning misrepresentations about authority.

It is illegal to represent that goods and services have sponsorship or approval when they do not. This is similar to section (2) above. It is also illegal to represent that goods and services have characteristics, ingredients, uses, benefits, or quantities that they do not. For example, it is illegal to represent that a product is made out of steel when it is really made out of aluminum. Moreover, this provision forbids a salesman from telling you that goods have features that they do not have or that the goods can do things that they cannot do.

Misrepresentations about quantities include misstating the number of acres being sold in a real estate transaction and misstating the number of items contained in a box of candy. Misrepresentations about benefits of goods or services include misrepresentations about the ailments that a medicine can cure and the effect upon one's self after only three visits to a health spa. Misrepresentations about ingredients include stating that a product contains vegetable fat when it really contains animal fat.

This section also prohibits misrepresentations regarding the sponsorship, approval, status, or affiliation of an individual. It prohibits misleading and false statements about the nature and authority of a person. For example, an accountant may not claim to be a Certified Public Accountant if that person has not taken and passed the CPA exam. Also, physicians may not represent themselves as qualified specialists when they are not.

(7) Representing that goods or services are of a particular standard, quality, or grade, or that goods are of a particular style or model, if they are of another.This section covers statements made to induce a consumer to choose a certain item. It prohibits misrepresentations concerning certain specific quality or model designations. A very general statement, such as "this is a high quality product" or "this is a top-of-the-line model" may not violate this section, even if the good is of poor quality because the representation is too broad and too vague. But the statement that meat being sold is U.S. Choice when, in fact, it is only U.S. Good, or that certain electrical wiring or equipment has a wattage rating of 1000 when, in fact, the rating is 700, is probably a violation.

Were the speakers of the caliber you were expecting as they were kept secret until you paid?

8 Disparaging the goods, services, or business of another by false or misleading representations of facts.
A seller may not attempt to get your business by putting down a competitor, unless the negative comments are true. If a salesperson starts disparaging a competitive product, ask for proof to support the negative comments.

(9) Advertising goods or services with intent not to sell them as advertised.This section prohibits advertisers from using misleading advertisements to attract business. Perhaps the oldest technique of this kind is the so-called "bait and switch" -- a seller advertises a certain low-priced item but when a customer tries to buy that item, the seller talks the customer into buying a more expensive item by claiming that the lower-priced item is out of stock or is inferior.

(10) Advertising goods or services with intent not to supply a reasonable expectable public demand, unless the advertisement disclosed a limitation of quantity.
This section is designed to prevent one of the main methods by which unscrupulous sellers have employed the "bait and switch" technique. Some businesses advertise a certain product at a very low price, when in fact they have only a limited quantity of that product in stock. For example, a consumer enters a store specifically to purchase the advertised item ("bait") and the sales clerk tells them they're out of the item and suggests ("switch") a better product that just happens to be available. Sellers can avoid liability under this section by advertising the number of items on sale, or by indicating that quantities are strictly limited and that purchasers will be satisfied on a first-come-first-serve basis.

This section is also violated when a store with several outlets in the same metropolitan area fails to disclose that the sale item can be found only in one of its stores.

(11) Making false or misleading statements of fact concerning the reasons for, existence of, or amount of price reductions.
This section has three parts. The first prohibits misleading advertisements about the reasons for price reductions; for example, a store that advertises "going out of business sales" every few months.

The second also prohibits misleading statements about the existence of price reductions. A seller cannot advertise that prices are being reduced by 50 percent unless the item has previously been offered by the same seller at the stated regular price. Likewise, sellers cannot advertise that prices are marked 50 percent off suggested retail price unless the representation is accurate.

The third prohibits misrepresentations about the amount of price reductions. When a seller advertises "X percent lower prices," those representations must be true.

(12) Representing that an agreement confers or involves rights, remedies, or obligations which it does not have or involve, or which are prohibited by law.
This section prohibits misrepresentations or false statements about a written contract. For example, a seller may not state that a contract contains a full warranty or a right to return the product when the contract does not have such a warranty or right. Similarly, when a person attempts to return a product based on the warranty, the seller cannot tell a consumer that the contract does not contain such a warranty. This provision is also violated when a seller sends threatening letters to a buyer claiming that the seller may repossess the property or force the forfeiture of the prior payments made for the goods when, in fact, the agreement confers no such rights. It is important to note that this section covers false statements regarding the rights conferred by the agreement or contract that are made at the time of the contract and even those statements that are made after the contract or sale has been signed or taken place.

Did you get the refund as promised? Did Tim honor the 100% guarantee he wrote of in the court papers? If Tim sold you a conference knowing you were unable to attend did he still give you the refund he promised?

(14) Misrepresenting the authority of a salesperson, representative, or agent to negotiate the final terms of a consumer transaction.This section is designed to prevent salespeople from misrepresenting their ability to commit their employer to the terms of a purchase contract. For example, it is illegal for automobile salespeople to agree to sell a car for a certain price, say that they need to check with their boss, and then say that the boss will not agree to that price, but will agree to a price of $500 higher.

Were you burned in under the table deals where you were promised folks would be placed under you and were not or folks were to upgrade and didn't?

18 Using or employing a chain referral sales plan in connection with the sale, or offer to sell, of goods, merchandise, or anything of value, which uses the sales technique, plan, arrangement, or agreement in which the buyer or prospective buyer is offered the opportunity to purchase merchandise or goods and, in connection with the purchase, receives the seller's promise or representation that the buyer shall have the right to receive compensation or consideration in any form for furnishing to the seller the names of other prospective buyers if receipt of the compensation or consideration is contingent upon the occurrence of an event subsequent to the time the buyer purchases the merchandise or goods.The chain-referral sales device has been used in many different forms, including promotions of swimming pools, home siding installation, and home encyclopedia sales. An unreasonable price that the consumer normally would not pay for the merchandise is somehow made acceptable by the promise that the buyer will receive a price reduction for each prospective buyer whose name and address is supplied to the seller. A crafty salesperson using this technique will create the impression that consumers are going to get some kind of tremendous discount after all the people whom they have listed as prospects are contacted by the seller, without disclosing to the buyers that they will get these discounts only if certain things happen after they have committed himself to the transaction. Usually, the buyers are given the impression that they are going to get credit for all of the sales, but then none of the sales occur and the consumers are stuck with higher prices.

(19) Representing that a guaranty or warranty confers or involves rights or remedies which it does not have or involve; provided however, that nothing in this subchapter shall be construed to expand the implied warranty or merchantability as defined in Section 2.314 and 2.318 of the Business and Commerce Code to involve obligations in excess of those which are appropriate to the goods.
If a salesperson says that you have certain warranty rights when you purchase an item, and you later discover you have no warranty rights, this section probably has been violated.

(20) Selling or offering to sell, either directly or associated with the sale of goods or services, a right of participation in a multi-level distributorship. As used herein, "multi level distributorship" means a sales plan for the distribution of goods or services in which promises of rebate or payment are made to individuals conditioned upon those individuals recommending or securing additional individuals to assume positions in the sales operation, and where the rebate or payment is not exclusively conditioned on or in relation to proceeds from the retail sales of goods.
This section concerns multi-level distributorships or "pyramid sales plans." A "multi-level distributorship" occurs when a person involved in a sale or distribution is expected to solicit others to sell or distribute, forming multi-levels of distribution. Included in these levels is the promise that the initial person receives not only a percentage or commission for goods sold but also receives a certain rebate or commission based on the number of persons signed up, forming a sales "pyramid." These schemes create the false impression that one can get rich merely by signing up a number of people in the program who will then in turn have an incentive to sign up a number of people below each of them, without ever really having to sell any products. These schemes almost always fail, and you run the risk that you are participating in an illegal scheme. If someone approaches you with a pyramid scheme, contact your local Better Business Bureau, the nearest office of the State Securities Board, the nearest Attorney General's Office, or your own attorney to determine whether it is legal. NO retail sales of the conference = endless selling chain/ pyramid scheme. No one makes money unless they recruit. Hence the $7000 over and over and over again----or not!
(22) Filing suit founded upon a written contractual obligation of and signed by the defendant to pay money arising out of or based on a consumer transaction for goods, services, loans, or extensions of credit intended primarily for personal, family, household, or agricultural use in any county other than in the county in which the defendant resides at the time of the commencement of the action or in the county in which the defendant in fact signed the contract; provided however, that a violation of this section shall not occur where it is shown by the person filing such suit he/she neither knew nor had reason to know that the county in which suit was filed was either the county in which the defendant resides at the commencement of the suit nor the county in which the defendant in fact signed the contract.
This section prohibits "distant forum abuse." Companies sometimes make a promissory note payable in a city far away from the place where the consumer resides. To fall under this section, you must have signed a "written obligation," such as a contract, invoice, or promissory note. Also, the transaction must be a "consumer transaction," which includes purchases and loans or extensions of credit. The key factor in determining whether a transaction is a "consumer transaction" is whether the money loaned or the goods or services provided are "intended primarily for personal, family, household or agricultural use." If you bought a car for personal or family use in El Paso, or a television set for household use in Houston, and you live in one of those counties, you cannot be sued in Dallas for the unpaid balance on those purchases, even if the documents that you signed state that your payments are due and payable in Dallas, Dallas County, Texas.

(23) The failure to disclose information concerning goods or services known at the time of the transaction and was used to induce the consumer into a transaction whom otherwise would not have entered had the information been disclosed.This section prohibits a seller from failing to disclose information known by the seller at the time of the transaction if such withholding of information is intended to induce the consumer into a transaction, and if the information is such that had the consumer known it at the time of the transaction, the consumer would not have made the purchases. However, if the information which is not disclosed by the seller would be unimportant to the consumer, or if the seller does not intend to induce the consumer to make the purchase by such omission, there is no violation of the statute. For example, the section may be violated by a homeowner or real estate agent who knows that the home has foundation damage but fails to disclose that to a potential buyer, or when an auto dealer knows that a car has been in a wreck and fails to disclose that to the potential buyer.

(24) Using the term "corporation," "incorporated," or an abbreviation of either of those terms in the name of a business entity that is not incorporated under the laws of this state or another jurisdiction.
A company cannot state or indicate that it is a corporation if it is not. For example, a company that is not a corporation cannot call itself "______________, Inc." or "____________________ Corp."

Conclusion: Laundry List
Throughout this section about the "laundry list" of prohibited acts and practices, an attempt has been made to present easily understandable examples and to restate the statutory language in plain English. The descriptions are intended only for guidance in determining whether a DTPA has occurred. But facts and circumstances vary. To determine whether you have a right to sue, consult an attorney. Even if an act or practice seems to be covered by the DTPA, and even if your attorney has advised you that the practice is covered it is possible that the court, in interpreting the DTPA, may rule against you. You should consider and discuss this possibility with your attorney.

What Remedies Are Available Under the DTPA?
If you feel that a DTPA violation has occurred, what are your remedies?

The remedies of the DTPA are not exclusive. Instead, they are in addition to remedies provided in other laws. In fact, violations of certain other laws may also constitute violation of the DTPA. You may not, however, recover under the DTPA and under some other law for the same alleged wrong. In other words, you cannot recover twice for one violation.

Remedies under the DTPA may not usually be waived, and an attempt to make a consumer waive DTPA remedies is expressly made void and unenforceable unless specific requirements are met. This provision is particularly important when consumers buy goods "As Is." Often, consumers may still be able to recover under the DTPA even if the consumer buys the goods "As Is." If you have such a situation, you should seek the advice of an attorney.

Public Remedies
The DTPA provides both public and private remedies for violations. Public remedies are those enforced by the Consumer Protection Division of the Texas Attorney General's Office. Public remedies include temporary restraining orders, temporary or permanent injunctions, and monetary penalties of up to $2,000 per violation but not to exceed a total of $10,000. The courts are further authorized to enter orders or judgments necessary to compensate identifiable persons for actual damages caused by their wrongful acts. In the event the person ordered to make restitution fails to do so within three months from the date of the order, the court may appoint a receiver or take possession of the assets of the person violating the order. Anyone found guilty of violating an injunction shall forfeit and pay to the state a civil penalty of not more than $10,000 per violation, not to exceed $50,000.

The DTPA authorizes local district and county attorneys to provide assistance to the Consumer Protection division in the commencement and prosecution of such actions. All of those authorities, however, must notify the alleged violator at least seven days prior to instituting an action and inform the alleged violator in general terms of the alleged unlawful conduct.

The DTPA provides an exemption for certain advertisers such as newspapers, magazines, radio stations, etc., except when the advertiser has actual knowledge of the false statements or has a substantial financial interest in the transaction.

Anyone wishing to report an activity believed to be in violation of the DTPA and subject to the above described public remedies, should contact the Consumer Protection Division of the Attorney General's Office in Austin, Texas, or in larger cities, contact the local Attorney General's Office.

Private Remedies
Let's use an example to illustrate. Assume you prove economic damages in the sum of $3,000. Let's further assume it was proved that the conduct of the violator was "knowingly" committed. The court or jury could then award a maximum amount of three times the economic damages. Therefore, in this example, a maximum damage recovery could be obtained in the sum of $9,000, plus mental anguish damages, court costs and attorney's fees.

Before filing a DTPA lawsuit, a consumer must first give written notice to the alleged violator, advising the violator of the consumer's specific complaint and the amount of actual damages and expenses, including attorney fees, if any, reasonably incurred by the consumer in asserting the claim. The alleged violator has 60 days to respond; suit should not be filed during this 60-day period. But there are two exceptions: the first when it is necessary to immediately file suit in order to prevent the running of a statute of limitations, and the second when the consumer asserts the DTPA claim as counterclaim in an existing suit.

The alleged violator may, within 60 days from receipt of such notice, offer the consumer a written offer of settlement including an offer to reimburse the consumer for the attorney's fees, if any, reasonably incurred in asserting the claim up until the date of the notice. If a prior notice is not required to be given because of one of the two exceptions described above, the alleged violation may tender such settlement offer within 60 days after the service of the suit or counterclaim.

The consumer has the option of accepting or rejecting the settlement offer. In the event the consumer takes no action for 60 days after receipt of such settlement offer, the offer is deemed to have been rejected. A rejected settlement offer may be filed with the court together with an affidavit certifying its rejection. If the court finds that the amount tendered in the settlement offer is the same or substantially the same as the actual damages found, then the consumer may not recover an amount in excess of the tendered amount or the amount of actual damages found, whichever is less. The DTPA specifically provides that a tender of a settlement offer is not an admission of guilt and may be used only to determine the reasonableness of the offer.

Mediation
After a DTPA lawsuit is filed, the consumer or the defendant may obtain a court order requiring mediation of the case. If a defendant makes a settlement offer at mediation or soon thereafter and the offer is rejected by the consumer, the court can limit the consumer's recovery at trial.

If mediation is not requested, the defendant has a second opportunity to make an offer of settlement. The defendant may make the offer up to 90 days after the answer to the consumer's suit is filed. Then, the consumer has the option to accept or reject the offer, as set forth above.

Defenses
The consumer may face certain defenses and even be liable for certain damages if he or she loses the lawsuit. If the court finds that an action by a consumer was groundless and brought in bad faith or brought for the purpose of harassment, the court shall award to the defendant reasonable and necessary attorney's fees in defending the action plus all court costs.

As discussed above, a finding that a settlement offer is the same or substantially the same as the actual damages found, will constitute a defense to the additional damage provisions of the DTPA. Further, an offer made by the defendant within the 60-day period of the full amount claimed including expenses and attorney's fees constitutes a complete defense to a lawsuit by the consumer.

How Long Can You Wait to File a Suit?
A DTPA lawsuit generally must be filed within two years after the date on which the false, misleading, or deceptive act or practice occurred. If the deceptive act took place over a period of time, then, to be safe, you should begin suit two years from the date of the first such action. Some violations of the DTPA, by their very nature are concealed or difficult to detect. In these cases, the consumer has a longer time within which to file suit; two years after he or she discovered, or in the exercise of reasonable diligence should have discovered, the occurrence of the false, misleading, or deceptive act or practice.

Finally, there is a special provision stating that, if the consumer proves that failure to begin the lawsuit within these time limits was caused by the defendant knowingly engaging in conduct solely calculated to induce the consumer to refrain from or postpone the commencement of the suit, the right to file suit may be extended for an additional 180 days. In other words, if a violator of the DTPA strings you along by promising to make good, and does this intending to make you wait past the two-year time limit, and then "changes his or her mind" once the time limit has passed, he or she may not be able to get away with the trickery.

Questions regarding the statute of limitations or time limit for filing suit are often difficult and confusing. Consulting an attorney is strongly advised. Remember that you should make your demands for correction of the problem or violation right after you discover it. If you do not get your complaint satisfied within a reasonable period of time, and after giving the alleged violator a good faith opportunity to make good, you should promptly contact a lawyer to protect your legal rights. In general, two years is the absolute maximum allowed for filing suit, but you should never wait to take action until the last minute, because you might be wrong, and thereby lose your legal rights.

When Should You Consult a Lawyer to Protect Your Rights?
The safest and simplest answer to this question normally is "as soon as possible." If you wait too long, you can lose all of your legal rights.

However, you generally should first make reasonable effort to have the violator correct the problem. Send a letter demanding correction of the problem and making good on the damages you have suffered. Be as clear, specific, and factual as possible. Send the letter by certified mail, return receipt requested (or hand deliver it, and get a signed receipt), and be sure to keep a copy of the letter. Talk to the appropriate people in charge, without getting angry and shouting, calmly telling them why you feel you have been treated wrongly and explaining what should be done to remedy the problem.

Give the person or business to whom you are complaining an amount of time, reasonable under the circumstances, to make good. If they flatly turn you down, or seem to be "stringing you along" without actually doing anything, then you may have no choice but to take legal action.

Individuals (but not partnerships or corporations) may represent themselves without a lawyer. For very small amounts of damages you may be able to file suit and represent yourself in the small claims court. If you do this, you should obtain a copy of the Texas Young Lawyers Association's pamphlet, How To Sue In Small Claims Court, by writing to the address given on the back of this handbook.

Although you have the right to represent yourself, the Texas Young Lawyers Association strongly recommends that you hire an attorney to represent you on claims filed under the DTPA because the language and procedures of the DTPA are sometimes complex and may be confusing.

In order to provide an incentive for consumers to enforce their rights under the DTPA, the Act provides that a plaintiff who wins will recover the reasonable attorney fees incurred for bringing suit. This, plus the additional damages, is intended to encourage consumers with valid cases to seek legal correction. You should never file unfounded lawsuits. Litigation is expensive and you may have to pay, at the very least, court costs.

Further, as explained above, if you bring a groundless suit in bad faith or for harassment, you may have to pay the defendant's attorney fees.

If you do not know an attorney to handle your case, ask a friend or an associate for a recommendation. Also, you may locate one through your local Lawyer Referral Service listed in your telephone directory, or through the State Bar Lawyer Referral Service by calling (toll free) 1 800-252-9690.

This information is not intended to be a substitute for the legal advice of a licensed attorney. If you have any questions regarding a particular issue or topic we suggest you seek legal counsel.

The above information is adapted from the brochure "A Guide to the Texas Deceptive Trade Practices Consumer Protection Act," prepared by the Texas Young Lawyers Association and published by the State Bar of Texas. Contact Tammi Sweet at the State Bar of Texas at 1-800-204-2222 ext. 2610 for a copy of the publication.

Soapboxmom

soapboxmom · Post by **soapboxmom** » Mon Dec 03, 2007 10:12 pm

wserra,

All of the folks here will be just shocked. I mean very shocked to know that Timmy's attorney, the dear one that sent me that lovely letter, has fired Tim. He and his firm are no longer representing Mr. Darnell and Advantage Conferences.

Apparently those threatening e-mails referencing that fictitious lawsuit and all his published reports and talk of me stalking him and sending him death threats didn't impress his reputable attorney. That gentleman was quick to abandon the AC Titanic. Shocking to be sure!

Soapboxmom

Post by **wserra** » Tue Dec 04, 2007 9:45 am

soapboxmom wrote:All of the folks here will be just shocked. I mean very shocked to know that Timmy's attorney, the dear one that sent me that lovely letter, has fired Tim.

I know I am. Shocked, shocked, that is. As I wrote before, you're really rattling his cage. He might have to start selling a product.

I'm curious, SBM: how did you find this out?

soapboxmom · Post by **soapboxmom** » Tue Dec 04, 2007 1:55 pm

wserra,

As you have probably guessed, the lad has sent out a number of those love notes. I was the only special one that got one from a licensed attorney and not Tim himself. I e-mailed copies of my lovely letter to all those who had received one of Timmy's, all those ex reps I have befriended, family members of reps that I have communicated with or those acquainted with Tim who have helped me over the years.

Tim's attorneys had folks demanding to know if they were the ones behind his threatening lettters. Tim did say his attorneys were surveying folks every move and poised to uncover any libelous or slanderous action. After being sent copies of those C & D letters, The Footsteps of Faith and e-mail to the reps where Timmy wrote about his being stalked and receiving death threats his newly hired lawyer was apparently not willing to get involved in that mess. Who wants Timmy the lose cannon for a client? I received a copy of an e-mail from that lawyer saying he and his firm no longer represent Darnell's company.

I called to inquire if Tim was still a client and I never got my call returned. These attorneys, including the poor bloke who went against the BBB, will no longer respond to anyone concerning Tim. None of them would give the case number from that fictional $405,000.00 suit Timmy has threatened folks with either. Another shocker to be sure!

Soapboxmom

soapboxmom · Post by **soapboxmom** » Tue Dec 04, 2007 9:31 pm

I have another very important update. Folks including me did contact Tim's church over the past 2 years. I sent them copies of the Footsteps of Faith Messenger devoted to me, the threateneing e-mails folks received and his e-mail to the reps about me where he claims I have been stalking him, in addition to linking this fine thread. The church was also made aware that Tim is claiming that he is getting death threats.

Tim can't claim to be a leader in his church. Tim is no longer teaching Sunday School at that church. The people in charge of counseling there are aware of what is going on and that he is in need of help.

Soapboxmom

soapboxmom · Post by **soapboxmom** » Sun Dec 09, 2007 4:15 pm

Direct Selling Association

Pyramid Schemes
Don't make a costly mistake!

Thousands of Americans have lost millions of dollars participating in pyramid schemes. Many of the victims knew they were gambling (although they didn't know the odds were rigged against them). Many others, however, thought they were paying for help in starting a small business of their own. These people were fooled by pyramid schemes disguised to look like legitimate businesses.

The purpose of this article is to help you avoid falling victim to pyramid schemes, whether simple or disguised. Simple pyramid schemes are similar to chain letters, while disguised pyramids are like wolves in sheep's clothing, hiding their true nature in order to fool potential investors and evade law enforcers.

CONSUMER ALERT
Avoid dealing with salespeople who:

Disparage other products or firms.
Confuse you, abuse your trust, or exploit your lack of experience or knowledge.
Try to make you cancel a contract made with another salesperson.
Falsely tell you they're taking a survey or you've just won a contest.

Avoid dealing with companies that:

Charge a substantial entry fee (more than the cost of a sales kit).
Pressure you to purchase large quantities of products.
Sell few or no products to consumers.

What is a pyramid scheme?
Pyramid schemes are illegal scams in which large numbers of people at the bottom of the pyramid pay money to a few people at the top. Each new participant pays for the chance to advance to the top and profit from payments of others who might join later. For example, to join, you might have to pay anywhere from a small investment to thousands of dollars. In this example, $1,000 buys a position in one of the boxes on the bottom level. $500 of your money goes to the person in the box directly above you, and the other $500 goes to the person at the top of the pyramid, the promoter. If all the boxes on the chart fill up with participants, the promoter will collect $16,000, and you and the others on the bottom level will each be $1,000 poorer. When the promoter has been paid off, his box is removed and the second level becomes the top or payoff level. Only then do the two people on the second level begin to profit. To pay off these two, 32 empty boxes are added at the bottom, and the search for new participants continues.

Each time a level rises to the top, a new level must be added to the bottom, each one twice as large as the one before. If enough new participants join, you and the other 15 players in your level may make it to the top. However, in order for you to collect your payoffs, 512 people would have to be recruited, half of them losing $1,000 each.

Of course, the pyramid may collapse long before you reach the top. In order for everyone in a pyramid scheme to profit, there would have to be a never-ending supply of new participants.

In reality, however, the supply of participants is limited, and each new level of participants has less chance of recruiting others and a greater chance of losing money.

Things you should know about pyramid schemes

They are losers. Pyramiding is based on simple mathematics: many losers pay a few winners.
They are fraudulent. Participants in a pyramid scheme are, consciously or unconsciously, deceiving those they recruit. Few would pay to join if the diminishing odds were explained to them.
They are illegal. There is a real risk that a pyramid operation will be closed down by law enforcement officials and the participants subject to fines and possible arrest.

Why would anyone pay to join a pyramid scheme?
Pyramid promoters are masters of group psychology. At recruiting meetings they create a frenzied, enthusiastic atmosphere where group pressure and promises of easy money play upon people's greed and fear of missing a good deal. Thoughtful consideration and questioning are discouraged. It is difficult to resist this kind of appeal unless you recognize that the scheme is rigged against you.

Disguised pyramid - wolf in sheep's clothingSome pyramid promoters try to make their schemes look like multilevel marketing methods. Multilevel marketing is a lawful and legitimate business method which uses a network of independent distributors to sell consumer products.

To look like a multilevel marketing company, a pyramid scheme takes on a line of products and claims to be in the business of selling them to consumers. However, little or no effort is made to actually market the products. Instead, money is made in typical pyramid fashion, from recruiting. New distributors are pushed to purchase large and costly amounts of inventory when they sign up.

For example, you might have to purchase $1,000 of nearly worthless products in order to become a "distributor." The person who recruited you receives $500 (a fifty percent commission) and $500 goes to the top (the company, in this case). Notice the similarity to the simple pyramid scheme described earlier.

Most disguised pyramids, however, are not this easy to unmask. Pyramid schemes often choose products which are cheap to produce but which have no established market value...This makes it difficult to tell whether there is a real consumer market for the products. The best way to avoid a disguised pyramid fraud is to know what to look for in a legitimate income opportunity...

How to tell the difference between a legitimate business and a disguised pyramid scheme

Pyramid schemes seek to make money from you (and quickly). Multilevel marketing companies seek to make money with you as you build your business (and theirs) selling consumer products. Before you sign up with a company, investigate carefully. A good way to begin is to ask yourself these three questions:

How much are you required to pay to become a distributor?
If the startup cost is substantial, be careful! The start-up fee in multilevel companies is generally small (usually for a sales kit sold at or below company cost). These companies want to make it easy and inexpensive for you to start selling. Pyramid schemes, on the other hand, make nearly all of their profit on signing up new recruits. Therefore, the cost to become a distributor is usually high. CAUTION: PYRAMIDS OFTEN DISGUISE ENTRY FEES AS PART OF THE PRICE CHARGED FOR REQUIRED PURCHASES OF TRAINING, COMPUTER SERVICES, PRODUCT INVENTORY, etc. These purchases may not even be expensive or "required," but there will be considerable pressure to "take full advantage of the opportunity." ....

Are the company's products sold to consumers?
IF THE ANSWER IS NO (OR NOT MANY), STAY AWAY! This is a key element. Multilevel marketing (like other methods of retailing) depends on selling to consumers and establishing a market. This requires quality products, competitively priced. Pyramid schemes, on the other hand, are not concerned with sales to end users of the product. Profits are made on volume sales to new recruits, who buy the products, not because they are useful or attractively priced, but because they must buy them to participate. Inventory purchases should never be more than you can realistically expect to sell or use yourself.

Warning Signs of Fraud

Pressure to sign a contract quickly and agree to pay a large sum of money before sales claims can be investigated or legal advice obtained.
Promises of extraordinarily high or guaranteed profits
Claims that profits can be achieved easily
A required initial fee which greatly exceeds the fair market value of any products, kits or training
A large fee payable before you receive anything in return
Evasive answers by the salesperson or unwillingness to give disclosure documents required by law.

These are only warning signs of the most obvious frauds. An independent investigation is necessary in any case. A fraudulent salesperson may be prepared with glib assurances and authentic-looking documents. Remember, if it's worth your money, it's worth your time to investigate.

How to protect yourself from a bad investment

Take your time. Don't let anyone rush you. A good opportunity to build a business in a multilevel structure will not disappear overnight. People who say "get in on the ground floor" are implying that people joining later will be left out in the cold. BEWARE!

Ask questions:
About the company and its officers.
About the products - their cost, fair market value, source of supply, and potential market in your area.
About the start up fee (including required purchases).
About the company's guaranteed buy-back of required purchases.
About the average earnings of active distributors.
Get written copies of all available company literature.
Consult with others who have had experience with the company and its products.
Check to see if the products are actually being sold to consumers.
Investigate and verify all information. Do not assume that official looking documents are either accurate or complete.

Where to go for help
In addition to checking with the Direct Selling Association, you may also be able to try the following resources:

Your local Chamber of Commerce
Better Business Bureau
Public Library
Nearby university or testing laboratory
Local businesses dealing with similar products
Local city District Attorney's Office, Consumer Fraud Division
State Attorney General's Consumer Fraud Division
Federal Trade Commission
National Fraud Information Center
Local Prosecutor's Office

If you suspect that a company may be an illegal pyramid, contact your state and local law enforcement offices and the Federal Trade Commission.

This information was originally published by the Direct Selling Education Foundation, a Washington, D.C. not-for-profit public education organization. It is tax-exempt and contributions to it are tax-deductible. The objective of the Foundation is to serve the public interest with education, information and research, thereby encouraging greater public awareness and acceptance of direct selling in the marketplace.

The Foundation funds consumer and academic conferences; supports speakers, teaching materials and the writing of case studies for university marketing professors; and develops and distributes consumer information literature and audiovisual materials.

This information was originally published in cooperation the National District Attorneys Association's Economic Crime Project. It has been prepared in cooperation with the Federal Trade Commission, Washington, D.C. 20580.

© 1997 Direct Selling Education Foundation, quotes and reprints permitted with attribution.

© 1996-2007 Direct Selling Association
1667 K Street, NW, Suite 1100 Washington DC 20006-1660
Phone: 202.452.8866 | Fax: 202.452.9010

-----------------------------------------------------------

soapboxmom · Post by **soapboxmom** » Sun Dec 09, 2007 10:21 pm

http://video.google.com/videoplay?docid ... 7604868463

Soapboxmom

soapboxmom · Post by **soapboxmom** » Mon Dec 10, 2007 12:10 am

http://www.christian-network-marketing. ... thing.html

Out-Faithing
Friday, December 7, 2007 at 12:13PM
This is a powerful message from one of the mentors in my life. It applies to whatever business you are building. Have a blessed weekend.

“Out-Faithing”

Powerful Mental Health for Business & Life

Genesis 1:3

Job 13:15

Tim Darnell

©2007 All Rights Reserved

Each person’s mental health is so crucial to success in business. At Advantage Conferences, excellent mental health is indeed part of the improved Mindset that we refer to so often. Marginal or Poor mental health always results in non-success. The degree of mental health a person has and the level of success they can attain go hand in hand. Excellent mental health opens the door to success and allows the Champion to excel in the game in the long run.

“To the naysayers, the quitters, the ignorant, the fault-finders, the scoffers, the mockers, the non-believers, et al, I simply say, ‘I will Out-Faith you, Out-Believe you, Out-Work you, and Out-last you and the certain Out-come will be beyond Out-standing – nothing short of Out-rageous Victory – Tim Darnell

What factors contribute to excellent mental health?

I. Action – We must be “in” action versus being in inaction. Action is comprised of two aspects:

A. Doing – what is the “doing” of business

1. Meeting People

2. Communicating with People

3. Serving People

4. Offering free value

5. Winning them over naturally in terms of accepting your service – purchased (monetized) value

6. Giving them a greater, Godly vision for their lives

7. Making the sale

8. Follow Up

9. Making a Difference in Others’ Lives

B. Creating – Creation is God’s ultimate work. He said, “Let there be Light” and there was. We come closer to being Godly by joining in His creative work. We are most alive when we are creating. We are most noticed when we are creating. We are most appreciated when we are creating. We are most followed when we are creating. We are most profitable when we are creating and implementing.

C. Game Planning – Clear, Illuminated Mental Image – without a game plan, you have no business. Your attitude will be one of complaining versus one of enthusiasm and hope.

· Short Term Marketing Initiative

· Long-Term Marketing Initiative

· Innovative Ideas (AMM Call a must)

· Fresh – refreshing to you, not the same old game plan

· Service Oriented – the best interest of others

· Coincide/Congruent with your financial goals and ethics

1. Revenue Stream – clear Mental Image. Specifically identifying / knowing the revenue steam you desire to develop is crucial. You can’t get to where you’re going without knowing “where you’re going” is. You can’t hit a non-disclosed target.

a. Digits / Zeroes – write that out right now. This is where you’re going to start living mentally and physically. If you want to start transacting in the $20,000.00 realm each month, you must commit to that happening. If you want to be in the $50,000.00 realm each month, then simply commit to that happening and adjust your other thinking and activities to match this thought. Six digits? The same thing. Open your mind to that money going out and that money coming in – picture it vividly and accept it, not as some mysterious declaration, but as a simple concept that will evolve into reality.

My Monthly Reality in 2008 will be:

____ Digits / ____ Zeroes

b. Avoid the Digit Pit elicited by Mistaken Thoughts: – Your NEW Revenue Stream must be vividly imagined and fully believed in, thought of, and enunciated congruently. You cannot make the move into New Digits, New Zeroes until your thinking coincides fully with where you want to be. Here’s the Teeny Mind person says right before they fall in the Digit Pit

i. “I sure hope I can pay my bills.” Where does that take your mind and your vision? It puts your mind into the “getting by” category. Scarcity is king. Scared City is the town Teeny Minds live in. You can’t hold two incongruent thoughts at the same time. You must adopt a single thought and begin living in that world.

(Game Planning, cont.)

ii. “I’m broke, how am I going to get by?”

iii. “That’s it, I can’t afford anymore.”

iv. “We couldn’t do that.”

2. Exciting Marketing Initiative / Strategy – poor mental health business people (Teeny Minds) don’t have a plan. Memories of past attempts exist in their memory – memories of plans that didn’t turn out like they thought they would. Did you know that every business, business-person, and millionaire has had hundreds of plans that they paid for and spent weeks, months and years on that didn’t work. We have witness to that fact at every single MMC.

Champion Mental Health has the next plan in the works, well-thought-out, and being sculpted to as close to perfect as time allows. Amateurs dwell on some past initiative that didn’t bring results. Champions don’t give past initiatives or expenditures a second thought other than to learn from them

3. Removing the Obstacles – This is an ongoing, never-ending process. You must constantly survey and inspect your business, financial situation and Mindset in order to ferret out the resistance point, the Giants, and walls. What are the things holding me back? Ask others – what do you see in me that is holding me back and humbly listen to their answers.

a. Unbelief

b. Lack of Capital Resourcefulness – refusal to use debt, personal savings, credit cards, loans, outside investors, etc.

c. Fear of Talking to People

d. Fear of Success

e. Fear of Being the Leader / Champion

f. Lack of Delegation

D. OUT-FAITHING MEDIOCRITY AND DEFEAT - Sustained Unwavering Belief – THE FAITH FACTOR – Job 13:15 “Though He slay me, I will hope in Him.” Unconquerable Faith. Unquenchable Spirit. Undeniable Presence. These lead to Unprecedented Accomplishment.

Posted by Jack Weinzierl in The Christian Entrepreneur | Comments Off

cdj1122 · Post by **cdj1122** » Mon Dec 10, 2007 8:45 pm

.
Fifty years ago I came across my first marketing scheme and even though I was young then it sounded like a scam to me then. I do not even think I knew the word "scam" at the time.
.
It just seemed to violate two rules of living that I had absorbed in High school and college.
.
"You cannot cheat an honest man"
and
"If something sounds too good to be true, it most likely is."
To which I later added
" If someone dresses some scheme up in religion, no matter how fancy a hat the story wears, it is probably worthless."
.

Three rules that have served me well for a long time.
.
It took me two days to wade through the posts in this thread and many of the links that were attached and I began to laugh about half way through.
.
How people can be so stupid and listen to this charactor, giving him their money is beyond me.
.
I recently read a report somewhere that seemed to imply that some people have a genetic tendency to believe religius tales, scam artists and urbal legends equally.
.
And yet it is sdad that people fall for this stuff.

soapboxmom · Post by **soapboxmom** » Tue Dec 11, 2007 10:17 pm

WikiHow had an Advantage Conferences ad placed by Texas Attorney2000, Duane Kidman. I made a post in favor of deletion of what was clearly an ad and not a how to article.

That is clearly an ad for a business with a confirmed 98% loss rate from the suit Darnell, President of Advantage Conferences, filed against the Better Business Bureau of Dallas. The BBB won with a superb Summary Judgment Motion and got a Writ of Garnishment to get paid as Scammer Tim refused.

Advantage has many folks out $20,000 or more for conferences and fruitless advertising. Hundreds will never receive the magazine subscritions they paid for after the one issue wonder bombed. Many other reps are out thousands in commissions they never received for life insurance on seniors Advantage was selling that of course had no polices get written. Stranger owned life insurance like they tried to push is sickening at best and it thankful the policies didn't go through. The reps who got licensed to sell it and lost thousands are very angry, however.

That Texas attorney pushing this garbage should be disbarred.

Duane Kidman answered me as follows:

Reply to 71.164.236.55 (Soapboxmom)
On 18:42, 26 November 2007
Texas_attorney2000 said:

The details concerning the case: Advantage Conferences LLC vs. Better Business Bureau of Metropolitan Dallas, Inc., et al., Case No.05-11461 in the Judicial District Court of Dallas County, Texas is not clearly stated by 71.164.236.55's commentary.

There was a Motion for Summary Judgment, filed by Advantage Conferences, but was denied. The case was ultimately dismissed before trial.

There was not any decisive winner, nor was there any ruling that Advantage Conferences is a scam or that Tim Darnell is a scammer. These appear to be conclusions not found by a court of law, rather a conclusion of an angry individual; pity.

Although unconfirmed: the claims, accusations, and inaccurate statements of the preceding commentary mirror those made by *****(aka Soapboxmom), a known Advantage Conference antagonist. Ms. Scambuster is known to have rallied a small number of followers to proliferate her personal conquest against Advantage Conferences.

If materials of wikiHow are to be edited for accuracy, this should include commentaries and personal attacks.

I answered Duane with:

Reply to Texas_attorney2000
On 22:27, 11 December 2007
71.164.236.55 said:

Texas Attorney,

I have the court papers in my hand. Why don't you actually read the source documents and quit listening to Timmy boy. Judge Mary Murphy granted the Motion for Summary Judgement and I have confirmed that Tim was forced to pay by a Writ of Garnishment. The BBB's attorneys at Jackson Walker will be able to confirm that for you. You should also be aware that former reps are pursuing all legal avenues available to them and I will do everything I can to help them.

I am simply out to protect the public and I would hardly call sharing the truth attacks. Folks need to know the facts before they lose thousands to this venture. Tell Timmy lying about BBB membership, trademarks, copyrights, service marks, refunds and earnings etc. is not how honest folks do business.

Tim is claiming I have stalked him day and night at his home and recreational events and that I am sending him death threats. Yet, he says he has no idea what I look like. I went to the Allen, TX police and asked them to investigate me. Why is it Tim hasn't reported any of this to the authorities? They can't confirm delusions!

It is truly sad to see that an attorney in Texas would push this kind of venture. Duane Kidman, may I suggest you get the facts.

--------------------------------------------------------------------------------

CAUSE NO. 05-11461 ADVANTAGE CONFERENCES, LLC, PLAINTIFF, IN THE DISTRICT COURT vs. § § § § § § § § § § § 14TH JUDICIAL DISTRICT BETTER BUSINESS BUREAU OF METROPOLITAN DALLAS, INC. AND JON TAYLOR, DEFENDANTS. DALLAS COUN1Y, TEXAS ORDER GRANTING SUMMARY JUDGMENT On this 25th day of September, 2006, came on for hearing Defendant Better Business Bureau of Metropolitan Dallas, Inc.'s Motion for Summary Judgment ("Motion") filed on August 21, 2006. The Court, having reviewed the Motion, Plaintiffs Response to the Motion, Defendant's Reply, and all timely filed pleadings, and all competent, timely filed summary judgment evidence, and having heard the arguments of counsel, is of the opinion that the Motion should be GRANTED in all respects.

IT IS THEREFORE ORDERED, ADJUDGED AND DECREED that Defendant Better Business Bureau of Metropolitan Dallas, Inc.'s Motion for Summary Judgment filed on August 21, 2006 is hereby GRANTED in all respects. IT IS FURTHER ORDERED, ADJUDGED AND DECREED that Plaintiff Advantage Conferences, LLC take nothing from Defendant Better Business Bureau of Metropolitan Dallas, Inc. by reason of its action and that Defendant Better Business Bureau of Metropolitan Dallas, Inc. recover from Plaintiff its costs of court, for which let execution issue.

All relief as between Advantage Conferences, LLC and Better Business Bureau of Metropolitan Dallas, Inc. not expressly granted herein is denied. Signed this 2; day of October, 2006. Judge~ Mary Murphy

ORDER GRANTING SUMMARY JUDGMENT - PAGE 1

Perhaps someone here could take the legalese and put it into legalese that attorney Duane Kidman could understand. Timmy Darnell is still running around telling everyone that he didn't lose the case he filed against the BBB. Would one of the attorneys here be kind enough to explain the final dispostition of the case for all those who have only heard Timmy's version and have not read any of the source documents. Obviously I am not explaining it to their satisfaction.

Soapboxmom

Post by **wserra** » Thu Dec 13, 2007 10:19 am

SBM - Kidman's wife is an Advantage Conferences rep. Wife or no, a lawyer should be really careful with the commercials on his website. Someone ripped off by an obvious scam might well have a complaint against the lawyer who advertises it.

SBM wrote:Perhaps someone here could take the legalese and put it into legalese that attorney Duane Kidman could understand.

"

$$$$$$$$$$$$$$$$$$$$

"

There you go. Glad to be of service.

soapboxmom · Post by **soapboxmom** » Thu Dec 13, 2007 12:59 pm

wserra,

Thank you for the reply. We might still need to review that minor detail of who won the case. Let's look again at what dear Duane wrote:

There was a Motion for Summary Judgment, filed by Advantage Conferences, but was denied. The case was ultimately dismissed before trial.

There was not any decisive winner

summary judgment

A final decision by a judge that resolves a lawsuit in favor of one of the parties. A motion for summary judgment is made after discovery is completed but before the case goes to trial. The party making the motion marshals all the evidence in its favor, compares it to the other side's evidence, and argues that a reasonable jury looking at the same evidence could only decide the case one way--for the moving party. If the judge agrees, then a trial would be unnecessary and the judge enters judgment for the moving party.

Again, a very minor point, no doubt, but didn't Timmy lose? Perhaps we could review the final disposition again for those who aren't clear.

The Order Granting Summary Judgment, which can be enjoyed in its entirety in my previous post, and that lovely Writ of Garnishment gave me the distinct impression that the BBB had a decisive victory!

Soapboxmom

soapboxmom · Post by **soapboxmom** » Sat Dec 22, 2007 1:52 pm

------ Forwarded Message
From: Tim Darnell <tim_darnell>
Date: Sun, 24 Sep 2006
Subject: TGIM Call - You are Capable...

Beloved Team,

Tomorrow morning I am in the courtroom again, this obligation requiring me to miss the TGIM Team Call in the morning.

I leave you with this message to replace my absence in the morning, entitled “You are Capable”.

You are capable of effective and memorable leadership.
You are capable of greatness, beyond your wildest imagination.
You are capable of Slaying Your Giant, once and for all.
You are capable of totally transforming your financial situation in multiplicative terms.
You are capable of influencing others in ways that elevate and amplify the prospects for their future.
You are capable of being a respected, recognized voice for truth.
You are capable of leading others, many others, to salvation in Jesus Christ.
You are capable of playing a very important role in the solution of many of the world’s needs
You are capable of being God’s hands, feet, and voice in a world that often ignores God’s presence.

My friend, the bottom line is: You are Capable.

My apologies – I am disappointed in not being able to share our normal time in the AM. I am with you in spirit, and I ask your prayers for the expedient and definitive positive resolution of the battle against our adversaries. Make no mistake, when you work and breathe for God, the outcome is assured. Our victory is a foregone conclusion, and we enter the rest of the battle with enthusiasm and sustained, unwavering belief.

Thank you for entering the battle with me. It’s the only place to be.
Blessings,

Tim Darnell
President
Advantage Conferences
Office: 972-727-4995
1-888-832-7635

Gee, Timmy are you sure about all that? I wonder if history will repeat itself?

Soapboxmom

soapboxmom · Post by **soapboxmom** » Thu Dec 27, 2007 12:16 am

http://www.pyramidschemealert.org/PSAMa ... cheme.html

Using Quixtar's own payout data a report published by Pyramid Scheme Alert has shown that 99% of all Quixtar recruits never earn any profit. In the report, "The Myth of MLM Income Opportunity," the 99% loss rate was shown to be caused by the pyramid recruitment model and the lack of retail sales, not the "failure" of the recruits.

Regarding the charge that the "non-retailing" business plan that most Quixtar recruits engage in is a scam, the FTC has prosecuted other MLMs on these grounds. FTC declarations have stated that if the majority of the money used to pay the "upliners" is gained primarily from the purchases of the downliners – not from their retail customers – the payments are de facto payments for recruiting. In such cases, the "business opportunity" is not to sell the MLM products but to recruit others into the "business opportunity" in an endless chain. Endless chains are considered "inherent frauds" since they cannot deliver on their promise of income to any but a few at the top; the vast majority are doomed from the start to financial losses; and the schemes must use deception to lure consumers into nearly certain financial losses.

Pyramid Scheme Alert has asked the FTC to reopen the case that it previously brought against Amway in which the FTC had charged that Amway operated a pyramid scheme. An Administrative Law Judge in 1979 ruled that Amway could continue to operate in the US, based on Amway's claims that its business was primarily based on retail sales (sales by Amway sales people (IBOS) to actual end-user customers). Amway claimed that the business was not based on each salesperson making money from the investments of other salespersons.

This is excerpts from a page on Pyramid Scheme Alert that discusses a class action suit against Quixtar. http://www.pyramidschemealert.org/PSAMa ... idSuit.pdf

Jack and Tim,

Boys this sure sounds a lot like y'all's little scheme. Good thing I have everything and was able to share it. Ho,Ho, Ho!

The anti-Tim

soapboxmom · Post by **soapboxmom** » Tue Jan 01, 2008 7:20 pm

Jack is back! (on Scam.com)

JackWeinzierl:

Someone forwarded me the recent postings here and to see Mike Bromell, AKA Californian Surfin, commenting here would be humorous, if it were not so sad. Anyone can do a Google search on Mike Bromell from Austin, TX to see his path. Or click on his profile to get a glimpse of his character. He attempts to make a living by calling reps in many companies by swearing and berated them. I appreciate Mike's posts here as it clearly demonstrates what this thread represents. Mike, you really need to spend more time with Heather in Garland, TX.

For those who act as though they care about the truth on this board, do you really think that an MBA that has been president of two traditional companies prior to AC, would still be here after almost 3 years if I didn't believe in what we do 100%? Do you think I would put up with the personal attacks and hatred on this board if I didn't believe 100% in the value proposition we provide? I already know your warped answers.

Happy New Year to you Heather, Michael, Frank Thomas, and Mike Bromell. Frank, I at least applaud you for not hiding behind a screen name even though we do not agree on several key issues of faith and business.

1 John 4:4

You are ready for a career in politics, Jacko. You didn't address one single burning issue that was raised. What a bloomin' goof you are. Cons and frauds operate in the fashion you do. You not so skillfully dance around the subject and never provide any answers or anything of substance at all. I take it your reps are asking many questions such as these:

1. With no retail sales Advantage Conferences is in essence paying de facto commissions for recruiting by the FTC definition. Under Texas Pyramid statutes this makes AC technically an illegal pyramid by definition as well. What makes you think AC is a legal and ethical venture?

2. Why has Tim has repeatedly identified things as trademarked, copyrighted or service marked when they were not so protected and no applications had been made?

3. Why did Tim claim Better Business Bureau membership when he had not been approved?

4. Why has Tim sent out numerous Cease and Desist and threatening letters to numerous ex reps for sharing the truth and their experiences?

5. Why have you, Jack and Tim have claimed only 2 refunds were given, when my research shows at least 6 and many who were denied even though they qualified under the refund policy in effect when they joined?

6. Why has Tim blatantly lied about me. You, Jack, know I never stalked anyone. I never sent any death threats. Do you actually believe those lies won't come back to haunt you boys?

7. Why have you boys claimed Advantage Conferences is growing and exploding when in fact there has been one mass exodus after another?

8. Why did Tim happily sit back while 60 reps got licensed to sell insurance policies on seniors that turned out to be bogus? Tens of thousands in promised commisions were lost when the policies for Hidden Treasures didn't go through.

9. Why did you boys promote The King's Conferences, that were bogus to begin with, as the only speaker other than Tim the pathetic goof was a video of your long gone millionaire speaker. No wonder you can't book that AC promotion fest. Who wants to pay you for an all day Advantage Conferences plugathon?

10. How are you boys going to fund your Super Conference? (Did I hear that dirty word retail again?)

11. What happened to the Brilliant Business Letter, Your Riche Niche, Designed for Success, Givers Magazine, the Footsteps of Faith Conferences, the Millionaire Mindset Conferences, the Brilliant Business Conferences,The Quarterly Teaching series, the Millionaire Mindset Income Producing system, the Self-Qualifying System, the 3 half hour sessions with Tim, Jack and Jim (I jumped ship) Wald?

12. Why has Tim said that there was no winner or that AC prevailed in the court case against the BBB when there is no truth to that? Why has Tim not been honest about the BBB's Motion for Summary Judgment being granted? Why did Tim not do the Christian thing and pay the judgment? Why did Tim not truthfully admit he was forced to satisfy the judgment by a Writ of Garnishment.

13. Why has Tim not fulfilled the subscriptions for Givers magazine or printed the coffee table books he promised?

14. Why did Tim abandon the name Advantage Conferences as a service mark on June 19,2007?

15. Why is Tim claiming I am a disgruntled ex rep for Mary Kay when I was never at any time a rep for Mary Kay? Tim fabricated that whole story and now the Mary Kay legal department is involved. The ladies were none too happy about it.

16. Why is Tim still insisting he has no responsiblitiy for his previous company, All Star Entrepreneur, going bankrupt? He was still a 33% owner, Founder and registered agent when it went under. The majority of the almost 1.3 million in debt was accrued under his watch as President at his home address.

17. Why is Tim telling various conflicting stories about a $400,000.00 embezzlement. His versions of the story cannot be reconciled with any known facts in this case. He never mentioned it in the bankruptcy filing where he does claim he is owed almost $8,000.00. He never sought criminal prosecution, which would mean huge fines and up to ten years in prison for those responsible. Just who was responsible? Was it the 2 ladies or Mr. Green who was President for a whopping 4 months after Tim resigned as President?

18. Jack, why is it you stayed in the background during the frivolous suit filed against the BBB? Did your own attorney tell you to make yourself scarce? What do you think a reputable attorney will tell you to do when the authorities or financially ruined reps take legal action?

19. Why did you boys ask folks to sign up for 100 grand, 250 grand, 500 grand or a cool million in earnings their first year?

20. Why did you boys advertise that folks must be expecting to make $100,000.00 their first year, the goal is to make $100,000.00 with the potential to make much much more, a realistic potential to make 7 figures in 18 months, one could add a zero to their current monthly income and expect to make that, $7000 Over and Over and Over again!, Want to make a million dollars or more as an Advantage Conferences Rep? It is quite possible..., highly successful AC Reps who are making tens of thousands of dollars a month already!.....etc?

You boys know only Jack Weinzierl and Jim Wald exceeded $100,000.00 and 5-7 others have broken even. 98% of the 600 reps have lost money. Many of those reps lost around $20,000.00 or much much more. Why is it you boys don't publish an honest income disclosure statement like many other MLMs do?

21. Jack you can't lump all the scambusters in one group. Why do you continue to do that? I certainly don't lump other AC reps in with you because they are clearly victims. It is Tim and you few at the top that are the ones constantly lying and misleading folks to defraud them out of their money. And, you are right. There will be accountability. I think folks will be facing the music, lad. No doubt that MBA will come in handy, my boy! LOL!

It is time for accountability and responsibility, Jack. We will all be looking forward to your response to these questions!

Soapboxmom

soapboxmom · Post by **soapboxmom** » Thu Jan 10, 2008 10:50 pm

Timmy's delusion:

IV. He gives you the Vision – I will share with you my vision. A big vision requires help. It requires other people, other visionaries, other hands and feet. It requires followers. It requires loyal warriors. It requires ambassadors. It requires voices. It requires dogged determination.

A. Advantage Conferences vision

1. AC has spread the gospel of Jesus Christ to every country of the globe by 2020
2. AC has shared Christian entrepreneurial mindset and wealth mentoring in every country of the globe by 2020
3. AC is a $Billion Company by 2011
4. AC is a global Company (properly licensed) in more than 50 countries by 2015
5. 100,000 people have committed to the Cover to Cover campaign by 2015
6. AC has created 100 millionaires by 2015
7. AC has raised up hundreds of thousands of third world individuals out of their poverty mindset and helped them establish enterprises transcending their poverty
8. AC is one of the most admired companies of all time
9. AC’s products are the model for comparison and measure by consumers everywhere
10. AC’s business methodologies are second to none in ethics, morals, and efficiency

Timmy,

That is not what I am envisioning, lad!

Soapboxmom

soapboxmom · Post by **soapboxmom** » Tue Jan 15, 2008 3:15 am

http://www.co.collin.tx.us/rsp-bin/PBKR46.PGM

Case History
Case Number: 296-04376-07 Judgements Microfilm
Judge Hon. John Roach, Jr
296th District Court
Plaintiff [REP X]
V.
Defendant ADVANTAGE CONFERENCES,TIMOTHY DARNELL/INDIV, ET EL
Type OTHER CIVIL CASES
Disposition PENDING- NO DISPOSITION

--------------------------------------------------------------------------------

Transaction Date Time Entry
PLAINTIFF'S ORIGINAL PETITION 12/27/2007 12/27/2007
CIT BY CERT MAIL/JAMES MCHUGH 12/27/2007 12/27/2007
REQ FOR THREE CIT/NO SERVICE 12/27/2007 12/27/2007
ISSD 3 CITS/MLD TO ATTY SASE 12/27/2007 12/27/2007
ISSD CIT BY CERT MAIL 12/27/2007 12/27/2007

soapboxmom · Post by **soapboxmom** » Tue Jan 15, 2008 3:53 pm

Cause No .. 296-04376-07
[REP X], PLAINTIFF,
§ IN THE DISTRICT COURT
JUDICIAL DISTRICT
VS.
ADVANTAGE CONFERENCES, LLC, TIMOTHY S. DARNELL, INDIVIDUALLY,
JACK M. WEINZIERL, INDIVIDUALLY, AND
JAMES MCHUGH, INDIVIDUALLY DEFENDANTS

COLLIN COUNTY, TEXAS

PLAINTIFF'S ORIGINAL PETITION

COMES NOW Plaintiff, [Rep X], complaining of Defendants, Advantage Conferences, LLC, Timothy S. Darnell, Individually, Jack M. Weinzierl, Individually, and James McHugh, Individually, and would show the Court as follows:

DISCOVERY LEVEL
1. DISCOVERY IS INTENDED TO BE CONDUCTED UNDER LEVEL 1 OF RULE 190 OF THE TEXAS RULES OF CIVIL PROCEDURE.

PARTIES
2. Plaintiff, [Rep X], is an individual who resides in Modesto, California.
3. Defendant, Advantage Conferences, LLC, is a Texas limited liability company
and may be served with service of process by serving its registered agent, Timothy
Spencer Darnell at 1513 Home Park Drive, Allen, Texas 75002.

FILED
2001 DEC 27 PH 2: 25
PLAlNTIFF'S ORIGINAL PETITION - Page 1 [Rep X]/Original Petition

4. Defendant, Timothy S. Darnell, is an individual who may be served with service
of process at his residence at 1513 Home Park Drive, Allen, Collin County, Texas 75002.
5. Defendant, Jack M. Weinzierl, is an individual and may be served with service of process at 891 Wagner Way, Lantana, Texas 76226.
6. Defendant, James McHugh, is an individual who may be served with process by certified mail, return receipt requested, at 17215 Bradgate Ave., Cleveland, Ohio 44111.

VENUE
7. Venue of this suit is proper in Collin County, Texas because a substantial part of the acts or omissions giving rise to Plaintiff's causes of action occurred in Collin County, Texas and because at least one of the Defendants resides in Collin
County, and so venue is proper as to all of the Defendants.

CAUSES OF ACTION
FRAUD AND CONSPIRACY
8. Based on information and belief, Plaintiff states that Defendants, acting separately, jointly, and/or in concert made material misrepresentations to Plaintiff in order to induce Plaintiff into investing money in the Advantage Conferences
"Christ-center business opportunity" or alternatively, concealed material facts from Plaintiff that, had those facts been known by Plaintiff, Plaintiff would not have invested such funds into such venture.

PLAINTIFF'S ORIGINAL PETITION - Page 2 [Rep X]/Original Petition

9. Based on information and belief, Defendants knew that these representations were false when made or the representations were asserted without knowledge of the truth of the representations. Defendants also knew the concealed facts were material to the investment being made by Plaintiff
10. Based on information and belief, Defendants intended that Plaintiff rely on the representations.
11. Plaintiff relied on these representations.
12. As a direct and proximate result of the misrepresentations and/or concealment of facts by Defendants, Plaintiff has sustained damages in excess of the minimum
jurisdictional limits of the Court.
13. Defendants' conduct as described above was malicious and the tortuous conduct occurred in whole or in part in Collin County, Texas. Accordingly, Plaintiff requests that exemplary damages be awarded against Defendants.

DECEPTIVE TRADE PRACTICES ACT
14. Defendants' conduct described above also violated the Texas Deceptive Trade Practices Act and, as such, Defendants are liable to Plaintiff pursuant to that
statute.
15. Plaintiff also is entitled to her reasonable attorneys' fees pursuant to the Texas Deceptive Trade Practices Act.

PRAYER

PLAINTIFF'S ORIGINAL PETITION - Page 3 [Rep X]/Original Petition

WHEREFORE, THE ABOVE PREMISES CONSIDERED, Plaintiff [Rep X] respectfully requests that Defendants be cited to appear and answer, and upon final trial, Plaintiff have judgment against the Defendants for the following:
1. Actual damages, treble and exemplary damages against Defendants in an amount in
excess of the minimum jurisdictional limits of the Court;
2. Attorney's fees pursuant to the Texas Deceptive Trade Practices Act;
3. Pre-judgment and post-judgment interest at the maximum legal rate;
4. Cost of courts; and
5. Such other and further relief to which Plaintiff may be justly entitled.

Respectfully submitted,
The Law Office of
FOSTER & FOSTER, P.C.
BY:
Thomas J. Foster State Bar No. 07299000
Susan Johnson Foster State Bar No. 07297700
2701 N. Dallas Parkway, Suite 540 Plano, Texas 75093
(972) 991-1606
(972) 673-0440 Facsimile
ATTORNEYS FOR PLAINTIFF
PLAINTIFF'S ORIGINAL PETITION - Page 4 [Rep X]/Original Petition

Post by **wserra** » Tue Jan 15, 2008 5:37 pm

Good for her. This will surely be one to follow. The depositions alone should be a hoot.

soapboxmom · Post by **soapboxmom** » Wed Jan 16, 2008 4:18 pm

http://ecpa.cpa.state.tx.us/coa/servlet ... 5623777008

Franchise Tax Certification of Account Status

Company Information: ADVANTAGE CONFERENCES LLC
1513 HOME PARK DR
ALLEN, TX 75002-4585

Status: NOT IN GOOD STANDING
Registered Agent: TIMOTHY SPENCER DARNELL
1513 HOME PARK DRIVE
ALLEN, TX 75002
Registered Agent Resignation Date:
State of Incorporation: TX
File Number: 0800218196
Charter/COA Date: June 26, 2003
Charter/COA Type: Charter
Taxpayer Number: 15623777008