Orange County Superior Court Nationwide Class Action
Business owners paid between $37,500 and $50,000 to be marketed and potentially sold at premium prices, and they instead received worthless valuations oftentimes stating a value less than asset value. In this nationwide class action filed July 11, 2006, in the Orange County Superior Court, defendants admitted that from 1999 to 2007, only about 15 percent of the companies were marketed, only 3 percent were sold, and just 0.3 percent were sold overseas. Plaintiffs alleged that defendants' failure to disclose these facts amounted to fraud, negligent misrepresentation, unfair competition, and conversion. Defendants vigorously denied the allegations. While court documents including Presiding Judge Kim Dunning's preliminary approval order signed July 29, 2011, are available to the public, settlement terms preclude further discussion of the settlement by parties and their attorneys to the settlement.