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  1. #1

    Default Friend Ripped Us Off and Now Making Money Out of It

    My question involves business law in the state of: Maine

    We are 5 friends: Michael, Kenny, Becky Kelley and Shirley.
    Kenny and his wife Karen used to have a Wreaths and Christmas trees sale at his house every year but in September 2008 they separated and Karen left the house. The rest of us, to make some extra money, and to help Kenny through difficult times, put the money together and we bought $900 worth of supplies to make Christmas Wreaths and trees. Kenny was very happy about it and told us we could use his house to sell the products, since his spot is popular in town for the christmas sales. He also said though, that he has been telling people that this year's sale is canceled because he is getting a divorce. We all worked (except Kenny) 3 weeks and managed to make 170 products. We made signs that were announcing the sale with a big COMING SOON and placed them around town. We were ready to sell 2 days ago, when Kenny announced that:

    A - he and his wife are getting back together
    B - his wife doesnt want us to sell our products at her house

    So now all 4 of us worked 3 weeks, have 170 christmas wreaths and no way to sell them.

    We feel defrauded and betrayed, but besides that we lost $900 plus the time, plus every single penny they will make is because of our signs that were advertising this year sale around town for the past 3 weeks.
    Can we ask for damages or refund of the initial $900? Can we send a cease and desist letter because they are taking a ride on our hard work and collecting money that belong to us?

    What is the best way to proceed in this case?

  2. #2
    Join Date
    Mar 2007
    Posts
    9,096

    Default Re: Friend Ripped Us Off and Now Making Money Out of It

    Is Kenny selling them anywhere?

  3. #3

    Default Re: Friend Ripped Us Off and Now Making Money Out of It

    Quote Quoting cyjeff
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    Is Kenny selling them anywhere?
    Kenny and his wife are selling their stuff on the same spot we advertized for. But he is not selling our stuff.

  4. #4
    Join Date
    Mar 2007
    Posts
    9,096

    Default Re: Friend Ripped Us Off and Now Making Money Out of It

    Who is in possession of your stuff?

  5. #5

    Default Re: Friend Ripped Us Off and Now Making Money Out of It

    Quote Quoting cyjeff
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    Who is in possession of your stuff?
    Part of the stuff is still in Kennys garage and part of it is with me. Kenny doesnt answer our phonecalls.

  6. #6
    Join Date
    Sep 2005
    Location
    Behind a Desk
    Posts
    98,846

    Default Re: Friend Ripped Us Off and Now Making Money Out of It

    You need to try to mitigate (reduce) your damages, by trying to sell your product. You need to take appropriate steps to do so, and obviously time is an issue here. You can advertise a sale for a different location, just as you advertised the one your (ex-)friend is holding, or you can attempt sales through different channels (e.g., finding a flea market-type setting and renting a booth, eBay, etsy.com, etc.) If you don't try to mitigate your damages you may find that a court declines to offer you any damages.

    Your claim appears to be for "detrimental reliance" - you took action to your detriment in reliance upon your (ex-)friend's broken promise that you could hold the sale at his house. If you suffer damages, you may have a small claims case. But if you make an effort quickly, you may be able to avid suffering any damages or limit your losses to a very small amount.

  7. #7

    Default Re: Friend Ripped Us Off and Now Making Money Out of It

    Quote Quoting Mr. Knowitall
    View Post
    You need to try to mitigate (reduce) your damages, by trying to sell your product. You need to take appropriate steps to do so, and obviously time is an issue here. You can advertise a sale for a different location, just as you advertised the one your (ex-)friend is holding, or you can attempt sales through different channels (e.g., finding a flea market-type setting and renting a booth, eBay, etsy.com, etc.) If you don't try to mitigate your damages you may find that a court declines to offer you any damages.

    Your claim appears to be for "detrimental reliance" - you took action to your detriment in reliance upon your (ex-)friend's broken promise that you could hold the sale at his house. If you suffer damages, you may have a small claims case. But if you make an effort quickly, you may be able to avid suffering any damages or limit your losses to a very small amount.
    Yes thats what we are doing right now and selling the products on a different location and to churches.
    What I cant get over is the fact somebody can do something like this! I think I'm more upset because of what and how it happened than the money, but it would be nice to get the money back.

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