The Washington Attorney General’s Office is charging three businesses and their owners – including two Kirkland residents – with deceptive business practices.
The state filed a civil lawsuit today in King County Superior Court, accusing them of repeatedly failing to deliver on their promises to help small and mid-size businesses sell their products online. The Attorney General received 22 complaints about the defendants since early 2007 from customers throughout the nation, claiming they are owed an average of $1,800.
“As soon as the customer complaints come in, the defendants shut down business and set up shop under another name,” said Senior Counsel Paula Selis, an assistant attorney general who heads up the Consumer Protection High-Tech Unit.
Accused of violating state consumer protection laws, the state charged Jeremy Avey of Monroe, Alexander Martin of Kirkland and Brent Stanphill, also of Kirkland. Also addressed in the suit are three businesses: Kirkland-based Cybercom Technologies, which has done business as Wizy-Wiz eCommerce since mid-March 2009; TNT Cart, which also operated under the name Strada Technologies in Kirkland and Seattle from December 2008 until March 3, 2009; and White Crane Technologies, which operated in Redmond from April 2006 through April 2007.
The Kirkland Reporter attempted to reach Strada Technologies, but the number once listed by their Website is no longer in service.
The defendants advertise a variety of services to help businesses sell and market their products online, including shopping cart integration, search-engine optimization, Web site design and competitor research. According to the state’s complaint, Avey has been involved in all three businesses, Martin was a manager of TNT Cart and is now with Cybercom Technologies, and Stanphill was a manager of White Crane Technologies.
The suit accuses the defendants of making misrepresentations about the quality of their services, neglecting to deliver services as promised, providing poor customer service, not honoring money-back guarantees and making unauthorized charges to consumers’ debit and credit accounts.
The defendants are also accused of violations of the state Telephone Solicitation Act and threatening legal action against consumers who post negative comments to online forums.
The state is seeking injunctive provisions to stop the alleged violations, civil penalties and restitution for affected businesses or individuals.
“It’s time for Wizy-Wiz eCommerce’s owners to show they have the brains, heart and courage to make good on their promises and only promise what they can deliver,” Attorney General Rob McKenna said.
The Attorney General is asking for fines in the amount of $44,000, plus fees and restitution.
The lawsuit mirrors similar enforcement actions against Internet Advancement, a Redmond-based company that sells search-engine optimization services in August 2004 and again in November 2007, resulting in a settlement in April 2008, along with a $118,386 civil penalty and restitution for harmed customers.
In November 2008, the office sued Redmond-based Visible.net, Captures.com and their owner, Gilbert Walker, of violating state consumer protection and telemarketing laws. The case is pending in King County Superior Court.
