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Class Action LawsuitsLawsuit

Matterport Service Partner Class Action Lawsuit: $111+ Million in Damages12372

WGAN Forum
Founder
Atlanta
DanSmigrod private msg quote post Address this user

Screen Grab from the Matterport Service Partner Class Action Lawsuit agains Matterport

Hi All,

The Matterport Service Partner Class Action Lawsuit against Matterport alleges at least $111 million in damages among at least 690 Matterport Service Partners (MSPs), if I have done the math correctly.

"On information and belief, each [Matterport Service Partner] damages exceed $22,000 and there are at the very least 230 members in each of the [22] proposed Classes, i.e., the Multi-State Class and the National Class. Thus, the aggregated amount in controversy exceeds $5,000,000," according to the lawsuit.

[22 jurisdictions "times" 230 MSPs "times" $22,000 damages per MSP = $111+ million in damages]

"At present, without counting the number of hours invested in learning to use Matterport’s hardware equipment and software, [Plaintiff John] Stemmelin’s out-of-pocket costs for purchase of the 3D cameras, the monthly fees for Matterport’s Cloud Service Plan, and his business start-up costs is in excess of $22,000. Moreover, because Matterport saturated Stemmelin’s local area with other purchasers to whom Matterport also promised filtered leads, Stemmelin has not been able to profit from selling 3D models generated by the equipment and services that were promised as a “lucrative” business opportunity or recoup his investment. Upon investigation, information, and belief, this is also true for the members of the Classes," says the Class Action lawsuit agains Matterport.

Your thoughts?

Dan
Post 1 IP   flag post
izoneguy private msg quote post Address this user
LOL - good luck with that! That is like suing Nikon or Canon because they did not give you leads to be a successful photographer. Matterport probably sent everyone who bought a Matterport camera at least one lead. Leads don't equal business....
Post 2 IP   flag post
Changesin3d private msg quote post Address this user
Very interesting, I just watched a Youtube on this titled "Matterport Federal Class Action" it also shows the entire lawsuit. As I read the pleading, it was as if it were everything I had experienced with Matterport was in the there.

I expect a lot of MSPS will be writing to the Attorneys to ask to be included in the suit. After all what do we have to lose. It is exciting to see Matterport will finally have to justify in writing why they have done the things that they have done, especially with building a referral network servicing the same clients MSPs have been doing business with.

Your posts on this likely aided the Attorneys determine the strength of the suit... Thank you Dan.
Post 3 IP   flag post
Queen_City_3D private msg quote post Address this user
This doesn't have a snowball chance in hell of winning. Now... if Matterport hadn't allowed the continuation of Classic plans, that would have been different. Being forced from a Classic Business Plan of $149/month with capacity to host 300 active models to a new "Business Plus Account" for $689/month to host 250 active models would have been lawsuit worthy.
Post 4 IP   flag post
Changesin3d private msg quote post Address this user
I agree with you @lizzg I see this as viable also. There are three major laws that have been alleged to have been violated, assessing this on just leads is not in fact a complete analysis. The Federal requirement for disclosure for a "business opportunity" is also important and as I read this Matterport did not comply with that.

I would strongly suggest people really take the time to read this entire allegation and contact the attorneys and ask them their questions.

I am not sure if its in the rules to post a Youtube here but the one that is up on "Matterport Federal Class Action" is really pretty good. Take a look at that.
Post 5 IP   flag post
Premium
Member
North Myrtle Beach, SC
cswartz private msg quote post Address this user
Lawsuits, regardless of perceived viability, are costly. Cases are always argued on both sides and it can take a very long time to resolve them, and.......time=money. I think Matterport is scrambling right now with a desire to make the entire thing go away. An action like this, at a time when they are rapidly expanding their market, is a huge distraction costing lots of money.
Post 6 IP   flag post
Axis360Media private msg quote post Address this user
I am the original plaintiff. This has already been mediated in Illinois but we rejected their chump change. I wouldn’t worry about them going out of business, Illinois let us attach directly to the billionaire founders. Essentially we have won we just need to iron out the outrageous business practices, copyright, grandfathered plans, etc. I will say more when it becomes public. Good luck
Post 7 IP   flag post
WGAN Forum
Founder
Atlanta
DanSmigrod private msg quote post Address this user
Hi All,

A WGAN Member that would like to remain anonymous writes...

Dan
.....


I see this as a viable suit. MP has directly competed, undercut and used predatory tactics that have damaged MSP’s businesses.

I get leads, sometimes they pan out, which is great!

The majority of my clients have been acquired by me. I never relied on MSP referrals to build my business.

MP never disclosed to me that they were going to compete against me directly once I got up and running.

To have MP not only sell me the camera, require a cloud subscription to utilize the camera and then become a direct competitor in my market at insanely low prices is an unfair business practice.

That is where the problem lies. Nikon sells cameras, period.

I do not need anything else from Nikon to have a photography business.

I am not dependent on Nikon to get my images out of my camera and process them. I don’t pay Nikon a subscription and do not host my images at Nikon.

I also get full resolution images from my Nikon camera, not resolution compromised images that I must download from Nikon.

I love MP’s product, it is absolutely the best tour out there. I am terribly disappointed in their business practices.
Post 8 IP   flag post
junior private msg quote post Address this user
I agree 100% with, Dan.
Post 9 IP   flag post
Standard
Member
London, England
Views4D private msg quote post Address this user
Will this apply to all Matterport MSP.
Post 10 IP   flag post
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