He has transacted business in the Southern District of Florida. Defendant Philip Berger is an officer and director of ComTel. At all times material to this complaint, acting alone or in concert with others, he has formulated, directed, controlled or participated in the acts and practices of the corporate defendant, including the acts and practices set forth in this complaint. He has transacted business in the Southern District of Florida. Since at least 1994, the defendants have been engaged in a scheme to promote, offer to sell and sell pay phone business ventures.
Defendants advertise their venture in newspapers across the country.
Paragraphs 1 through 13 are incorporated herein by reference. In truth and in fact, few, if any, purchasers attain the specific level of earnings represented by the defendants, and such figures are not accurate estimates of the sales or income purchasers can reasonably expect. The Franchise Rule requires a franchisor to provide prospective franchisees with a complete and accurate basic disclosure statement containing twenty categories of information, including information about the history of the franchisor, the terms and conditions under which the franchise operates, and information about other franchisees. Disclosure of this information enables a prospective franchisee to assess potential risks involved in the purchase of the franchise. Paragraphs 1 through 21 are incorporated herein by reference.