WorldVentures has filed a lawsuit towards Eddie Head.
As revealed within the lawsuit, the on once more off once more Seacret merger is formally useless.
Of their February twenty second filed lawsuit, World Ventures accuses their former President and Chief Technique Officer of
spearheading efforts to focus on WorldVentures’ prospects, representatives, suppliers, and distributors for a multi-level advertising and marketing enterprise that competes instantly with WorldVentures.
The unnamed rival is Seacret Direct.
As revealed by WorldVentures Eddie Head, full identify Kenneth Edward Head (aka Kenneth E. Head), was was promoted to his former government roles early 2017.
Underneath Head’s “management”, WorldVentures’ income precipitously dropped by roughly 80%.
WorldVentures was already in a foul place main as much as COVID-19. The worldwide pandemic merely completed them off.
That prompted the Seacret merger proposal, which Head is alleged to have delivered to the desk.
Purportedly to drive extra worth for its representatives and influenced by strain from Head, WorldVentures entered right into a co-marketing settlement with Seacret Direct LLC (“Seacret”), whereby WorldVentures made Seacret’s merchandise obtainable to its gross sales representatives to promote to complement their earnings.
Head disparaged and blamed different executives for WorldVentures’ monetary woes and fee fee delays.
He additionally met with Gross sales Representatives to strain possession to promote the corporate to Seacret.
Head later pushed WorldVentures and Seacret’s November 10, 2021 letter of intent for an asset buy settlement with WorldVentures
This was occurring all through late 2020, with Head showing in advertising and marketing movies as a WorldVentures government all through.
Of their lawsuit WorldVentures drop a bombshell, revealing behind the scenes Head had been changed.
Recognizing that Head was a failed chief and was incapable of main gross sales restoration and development, WorldVentures employed a brand new gross sales government to enhance gross sales and proper Head’s failures.
Though Head was not terminated at the moment, the “writing was on the wall”.
When precisely Head’s alternative was employed just isn’t disclosed. He was nonetheless totally conscious of his alternative.
WorldVentures places forth Head granted entry to WorldVentures’ affiliate database as a part of an employment deal.
Head, figuring out that it could be troublesome to seek out new employment on account of his pending prison indictment in Taiwan, started to systematically allow Seacret to entry WorldVentures’ priceless database of gross sales representatives, members, and workers and to determine and launch a competing membership-based journey enterprise, solely to develop into its chief.
Prosecutors in Taiwan filed prison costs towards Head in late 2019. The costs stem from Head’s position as an government for WorldVentures, which they declare is a “traditional pyramid scheme”.
WorldVentures hanging Head’s pending indictment for working for his or her firm over him is simply… mwah, *chef’s kiss* scrumptious.
Head’s scheme additional endangered WorldVentures’ monetary place, whereas concurrently strengthening his personal.
Worse, Head did so by way of subterfuge and deceit. Cloaked as a means so as to add extra worth to WorldVentures and as a prelude to an asset sale, Head manipulated WorldVentures into changing its co-marketing settlement with Seacret with a restricted solicitation settlement on far much less favorable phrases.
By way of that settlement, Seacret obtained entry to WorldVentures’ database containing the identities and key metrics of WorldVentures’ gross sales representatives and prospects and a proper to solicit these gross sales representatives to affix Seacret’s downline group.
Even earlier than that settlement was signed, Head engaged in surreptitious conferences with a few of WorldVentures’ most profitable gross sales representatives, ostensibly laying the groundwork for his bounce to Seacret and the lively recruitment of WorldVentures’ gross sales representatives and prospects.
Ever because it emerged Seacret was gobbling up WorldVentures government and promoters we’ve been questioning what was occurring.
Now we lastly have a solution.
Whereas Seacret had no historic presence within the journey business, that each one modified nearly instantly after Seacret named Head as its worldwide President and Chief Enterprise Improvement Officer for a brand new membership-based journey enterprise in January 2021.
It’s, after all, no coincidence that Head contemporaneously tendered his resignation as WorldVentures’ president and commenced showing in movies with Seacret’s founder, in addition to WorldVentures’ gross sales representatives, and WorldVentures’ former director of coaching to advertise Seacret’s new journey program.
Head concurrently ran WorldVentures’ enterprise into chapter 11 whereas facilitating Seacret’s takeover of WorldVentures’ enterprise.
For his or her half, Seacret Direct don’t appear fazed about Head’s prison indictment or position in WorldVentures’ personal pyramid collapsing.
That Seacret’s new foray into the journey business is merely a cut-and-paste of WorldVentures’ journey program is past cavil.
As Seacret’s founder admitted in a video with Head by his facet: Seacret is “tak[ing] one of many distinctive journey experiences on the planet [i.e., WorldVentures’ travel experience] and implement[ing] this system over right here at Seacret.”
It’s also past refute that Head is main Seacret’s implementation of WorldVentures’ journey program.
Seacret’s founder publically recommended “what Eddie [Head] has completed placing collectively this [travel] program with [Seacret’s] distributors.”
Unsurprisingly, Seacret’s journey distributors are actually distributors of WorldVentures.
WorldVentures naturally isn’t completely satisfied about this, and so of their lawsuit declare;
By main the trouble to implement WorldVentures membership-based journey program at Seacret, Head has breached his confidentiality, non-compete, and fiduciary obligations to WorldVentures.
Head additionally breached these covenants and obligations by main Seacret’s efforts to solicit WorldVentures’ gross sales representatives, prospects, members, distributors, and suppliers in a competing enterprise.
In a nutshell Seacret Direct gained entry to WorldVentures associates and the inner-workings of their journey platform by way of a proposed Nov 2021 acquisition.
That fell by way of and so Eddie Head jumped ship and commenced establishing WorldVentures inside Seacret Direct, full with entry to their associates and service provider companions.
WorldVentures is suing Head for breach of contract and breach of fiduciary responsibility. They’re additionally searching for an injunction.
Seacret Direct just isn’t a named defendant within the lawsuit. Whether or not WorldVentures intends to go after Seacret Direct is unclear.
WorldVentures’ lawsuit towards Head has been filed as an adversary continuing alongside their chapter proceedings.
Keep tuned for updates as we proceed to trace the case.
Replace fifth April 2021 – A four-day trial has been scheduled for June twenty eighth. That is with regard to WorldVenture’s unique criticism towards Head.
I imagine this implies we aren’t going to get a preliminary injunction ruling earlier than then, which means the TRO stays in place until the June trial.
Replace 14th April 2021 – WorldVentures has secured a preliminary injunction towards Eddie Head.