Source: http://www.scribd.com/doc/157741107/Rainmaker-Lawsuit
Timestamp: 2014-11-22 00:21:38
Document Index: 651480310

Matched Legal Cases: ['§1962', '§ 1964', '§ 1965', '§ 1391', '§1965', '§1964', '§1962']

P. 1Rainmaker LawsuitRainmaker LawsuitRatings: (0)|Views: 79
|Likes: 0Published by FindLawRainmaker LawsuitRainmaker LawsuitMore info:Categories:Types, Business/LawPublished by: FindLaw on Aug 02, 2013Copyright:Attribution Non-commercialAvailability:Read on Scribd mobile: iPhone, iPad and Android.download as PDF, TXT or read online from ScribdFlag for inappropriate content|Add to collectionSee moreSee lesshttps://www.scribd.com/doc/157741107/Rainmaker-Lawsuit03/27/2014pdftextoriginal 12345678910111213141516171819202122232425262728
MICHAEL PIANIN, ESQ. Arizona State Bar No. 007557PIANIN AND ASSOCIATES, P.C.14300 N. Northsight Blvd., Suite 223Scottsdale, Arizona 85260(602) 955-0055michael@mandplegal.com
SEIKALY & STEWART, P.C., a MichiganProfessional Corporation, individually,Plaintiff,v.STEPHEN FAIRLEY; THE RAINMAKERINSTITUTE LLC; JOHN DOE, jointly andseverally,Defendants. ___________________________________ )))))))))))))Case No.
Plaintiff SEIKALY & STEWART, P.C., by its attorneys for its Complaintagainst Defendants STEPHEN FAIRLEY, THE RAINMAKER INSTITUTE, LLC and JohnDoe alleges as follows:
1.This is a RICO claim, with pendent state claims, alleging violation of 18U.S.C. §1962(c) and (d) brought by a Michigan law firm against two individuals arising froma bogus internet marketing program, supposedly designed for small law firms and solepractitioners. This program was promoted by Defendant STEPHEN FAIRLEY and assistedby other unnamed individuals.2.The stated purpose of the marketing programs was to attract potential clientsto use Defendant’s services and to induce Plaintiff’s firm and other similar firms to obtainthe same services from the same Defendants (“the Victim Firms”). The RICO scheme was
based in part upon a series of fraudulent representations and misrepresentations aboutthe Defendants’ experience and skills in the use of what is known as Search EngineOptimization (“SEO”); and in part on the execution of scheme to perpetrate an ongoingfraud upon various attorneys and small firms after they had purchased the worthlessmarketing services.3.As is alleged more specifically below, the Victim Firms were duped intobelieving that the services to be provided by THE RAINMAKER INSTITUTE, a companyowned and/or controlled by Defendant FAIRLEY, would be effective in making the websites and related web pages of the Victim Firms appear high in the results of the mostimportant internet search engines – most significantly Google – when key terms chosenby the Victim Firms to describe their practices and the services offered were entered in asearch by potential clients. Plaintiff and others paid many thousands of dollars, individuallyand collectively to THE RAINMAKER INSTITUTE to obtain these services, only to find thatthey were, in most instances completely unsuccessful. THE RAINMAKER INSTITUTEdisclaimed all liability for lack of success of its efforts, and this case is not brought for lackof success per se, the lack of success merely being evidence of fraud and damages tobusiness or property. The action is based on the fact that, at the time that the Defendantswere promoting this marketing scheme to the Victim Firms, they knew that the techniquesthey proposed to use were in violation of the guidelines already well-established andpublished by Google; knew that Google was moving rapidly to crack down on violators;knew that use of these techniques would not only fail to enhance the likelihood that theVictim Firms would rise in Google’s rankings but would actually be downgraded to the pointwhere the websites being used by the Victim Firms would become “contaminated” for search engine purposes; knew that they intended to use automated programs rather thandirect personal effort to create the appearance that links to the Victim Firms webpages (thekey to rising in search engine rankings) were being generated in the numbers represented;and knew that they intended to cloak their schemes in allegations of “trade secrets” toavoid the balance of the scheme from coming to light.
4.As is further alleged below, the conduct of the Defendants meets the patternand continuity requirements of the statute, as interpreted, because of the number of victims, the fact that the bogus program was sold to numerous Victim Firms at varyingpoints in time and constitutes not an isolated or incidental feature of the Defendants’businesses but is at the core thereof. Moreover, the Plaintiff has standing to bring thisaction by virtue of being a legal person injured in its business or property by, at a minimum,payment of $49,000 in fees for the bogus services.
5.This Court has subject matter jurisdiction over this action pursuant to 18U.S.C. § 1964 (the RICO statute).6.Venue is proper in this judicial district pursuant to 18 U.S.C. § 1965 and 28U.S.C. § 1391 because Defendant STEPHEN FAIRLEY is subject to personal jurisdictionin this judicial district and resides in this district. Venue will be proper as to John Doe,irrespective of his location in the United States, pursuant to §1965(b) of RICO, whichprovides that process may be served in “any judicial district of the United States” whenrequired by the “ends of justice.”
7.Plaintiff SEIKALY & STEWART, P.C. is a professional corporation engagedin the operation of a law practice in Farmington Hills, Michigan. As such it is a “person” for purposes of the cause of action provided in §1964(c).8.Defendant STEPHEN FAIRLEY is an individual who owns and/or controls abusiness known as THE RAINMAKER INSTITUTE, LLC. He is culpable person for purposes of RICO.9. THE RAINMAKER INSTITUTE, LLC, is an Arizona limited liability company andis, together with defendant Doe, either an enterprise for purposes of the cause of actionprovided under §1962(c), or forms, with JOHN DOE and STEPHEN FAIRLEY, a de factoassociation and/or enterprise within the meaning of the statute10. The defendant FAIRLEY is employed by or associated with the enterprise.