How to file a lawsuit against a matrix-site

[MatrixWatch]

Matrix Watch realizes the fact that some of you may have been wronged by other matrix companies. Perhaps they have done something which you think may be illegal, or they seem to mirror the behavior set forth in the law suit. If this is the case, then you can have a suit filed against the matrix site that you are involved with.

Here is what you need to do:

Type out your-

1. Name, address and phone number.
2. The matrix site in question.
3. Dates of purchase and amount of purchase.
4. Whether you ever received your prize(s).

Mail this information to either your attorney, or to ours at:

Lakeshore Law Center
Jeffrey Wilens, Esq.
27758 Santa Margarita Pkwy.
No. 394
Mission Viejo, CA 92691

You can also fax it:

949-709-5377 (fax)

Should you need to talk with him over the phone:

949-709-5330

[jennygrinfeld]

Hi there,


I was wondering whether it is possible to bring a law suit against Stormpay for facilitating Matrix activities in the UK. It seems that we don't have any legislation against Matrix web-sites here.


Thanks,


Jenny

[Webwatch]

Hello Jenny,
Welcome to Matrixwatch.
Before I attempt to answer your question could I ask if there is any particular Matrix site in the UK which has taken your money under false pretenses.

[jennygrinfeld]

Yes, Electrical Vault (www.electricalvault.co.uk also know as www.electrical-vault.com).

It seems that the case is not criminal; however, a civil action might be brought for the breach of contract.

[Arzel]

What do you mean by "not criminal"?

[Webwatch]

Hi Jenny,
A tricky one this as the Matrix site has closed down and finding the original owners may prove a difficult.

Even though this may all be a mute point I'll give it a go.

The Matrix site could argue that you bought an e-book from the site and where placed in the waiting list as promised then the contract was fulfilled and no breach has been made.

You could then argue that as the site was running an illegal lottery the contract is invalid.

Lets take a look at their T & C

Orders are undertaken by Electrical Vault subject to availability; if we cannot supply you with your product for any reason we will give you the full cash value of the item.
So far so good I can't see any problem here.
Except as specifically stated on this site, to the fullest extent permitted at law, neither Electrical Vault nor any of its affiliates, employees or representatives will be liable for damages arising out of or in connection with the use of this site. This is a comprehensive limitation of liability that applies to all damages of any kind, including (without limitation) compensatory, direct, indirect or consequential damages, loss of data, income or profit, loss of or damage to property and claims of third parties.

We reserve the right to refuse sale to anybody without disclosing the reason why.
Your position on any of the lists on Electrical Vault is part of your transacation and should be treated as such. A critical cock up here as the T & C confirm that participation in the list is directly part of the transaction.
We reserve the right to substitute a chosen item for a cash alternative or an item of similar specification/value at the time of dispatch.
All of your personal details remain on our central server and are used solely for tracking list position, and for dispatching your item. Electrical Vault will not trade, sell or give away any of your personal details under any circumstances.
We are unable to estimate when items will be dispatched. The lists move in accordance with how quickly and how many people sign up for the same item as yourself. Critical cock up number 2 as they are basically saying there is some degree of chance involved in the progression of the list.
There is an administration charge of £20 for any cancellations or refunds offered to a customer by Electrical Vault. An unjustifiable admin charge wouldn't help much either.
----------------------------------------------
In the Uk the accepted definition of a lottery is:
Definition of a lottery
The Act does not define a lottery. The accepted definition is that given by Lord Widgery CJ, in Reader's Digest -v- Williams [1976] 3 All ER 737, where he stated:

"A lottery is a distribution of prizes by chance where the persons taking part in the operation, or a substantial number of them, make a payment or consideration in return for obtaining their chance of a prize."

Three essential elements therefore have to be present:-

a distribution of prizes;
a distribution done by means of chance;
some actual consideration made by the participants in return for obtaining the chance.

In Imperial Tobacco Ltd -v- The Attorney General [1981] AC 718, the House of Lords approved Lord Widgery's definition. In that case it was found that in order to establish an unlawful lottery, it was not necessary to prove that money paid by the participants in return for obtaining a chance of winning was used to provide prizes or was paid into a fund from which prizes were provided. Therefore the donation of a prize would not necessarily stop a particular lottery from being found unlawful.

As electricalvaults own T & C shows it meets the 3 criteria then it could be argued that a succesfull prosecution could be made.

As I mentioned before this is all a mute point as electricalvault seems to have ceased trading and Its a shame for all the customers who have lost there money, unless the e-book purchased is of any value to them, which I doubt.

I am unaware of any actual UK legal cases which have taken place but as the OFT in the UK now considers Matrix sites scams a letter or phone call from them should be enough for the site operator to carefully consider his/her position and in most cases close the operation down.

I also noticed this little gem from the electrical vault FAQ Section.
Is this a MLM or pyramid scheme?
No, it is neither. Electrical Vault is a straight line list system, unlike MLM you dont need to recruit other members to ensure you will receive your electrical item. Although the option is there if you would like to reduce your waiting time. You will be purchasing a CD-ROM for the price of your chosen product.
I agree its not an MLM but the Pyramid similarities are there, in the way that later members pay off earlier ones which is essential for the progression of the list.

I have a feeling I still haven't answered any of your questions but used this post to waffle on a bit and give my opinion on Matrix schemes after a fair bit of research recently.

[weirdid]

I remember both those sites, i fact i remember talking with trading Standards in blackpool about them.
Needless to say, TS failed to take any action.


_weird

[jennygrinfeld]

First of all I would like to thank everybody who replied on my message.

Arzel,

I have made a crime report to the Police recently. They have looked at all the receipts and noted the following:

'There is no deception here as one of the receipts states that the average waiting time for receiving the goods is between 3 and 12 months again, depending on how many members join for this particular item'

So the only action which can be brougt here is via civil courts.


Watchdog,


I need to review your statements carefully. I noticed that you have used original terms and conditions. Is it possible for you to send me an electronic copy of these as I cannot find my own print outs.

I will reply tomorrow.



Weirdid,

Thanks a lot for the additional information.


Regards,

Jenny

[mercinary]

Jenny:

You can use the waybackmachine (http://web.archive.org) to look at old sites. Here is the link for the website you are interested in:

http://web.archive.org/web/*/http://www.electricalvault.co.uk

I thought I would also let you know that other resources for fighting the matrix schemes can be found here:

http://www.matrixwatch.org/forums/showthread.php?t=1946%22

-Merc