Once highflier, Foreclosuresdaily focus of complaints - Nashville Business Journal:

aryrej.wordpress.com
The business is operating an onlinre presence, but a calendar showws it has no events currently scheduled in Telephone numbers listed on its Web site for salew and customer support were not and Bank Nevada have filed separate civil courty complaints seeking a total ofnearly $2 million from the Fifth Third claims Foreclosuresdaily defaulted on two loans, Hillsboroughh County court records show. The bank allegea in its Jan. 5 complaint that the company owes morethan $495,00p on a line of credit and $30,000 on a The complaint also names Mike Kane and David Vanhoose, co-founders of and four other company employees who personally guaranteed the loans.
The company had not filed a responsr to the complaint earlythis week. Kane coul d not be reached. Voicemail for former head trainer ofthe , was full and woulrd not accept messages. Jeff Wernick, broker at Tager Realty in Tampa, said Vanhooswe was an agent but he had not been in contactt with him sincearound Thanksgiving. Shawn Yesner, a Tampa attorney representing Foreclosuresdaily in the HSBC said inan e-mail that he has a polich of not commenting on open litigation but had relayesd a request for comment to the company’s owners. The HSBC complaint, filed in Pinellaw County circuit court in accuses Foreclosuresdaily of breach of contract and alleges it owes HSBCabout $1.
3 million in credit card chargesz customers had disputed. Web which has a 2007 copyright, offers investment training for buying foreclosed property and listzs of foreclosed properties in locationessubscribers select. The company offered credit for customers who wanted to charge the costsz forthese services. “I paid almost $7,000 for lists for my area and some saidBob Holder, a real estate investo in North Illinois. “It was OK when I started gettinyg listsin March, but things changec in September. By I think they had shut off the I can’t get repayment from them.
” A default judgment was enterefd in the HSBC case against the compang because it did not respond to the lawsuit in the time allowec by law. Now the company is requestinh that the default judgmentbe vacated. Foreclosuresdaily states in its motioh for vacating the default judgmentgthat HSBC’s claim of $1.3 millionb may be increased by “ab additional $12 million in potential damages.” The companyh contends that demand for its services has been reduceed by current credit and economic conditions and officers and employees the company needed to respons to HSBC’s complaint have been laid off, legal filings show.
Foreclosuresdaily also claims it has disputed the validity of some refundc demands by customers and wants account holders addeds as defendants inthe lawsuit. The company’s legal and financial troubles are a reversalp of its fortunes during an historicfforeclosure era. In September, Inc. listed Foreclosuresdaily.coj as the 35th fastest-growing private company in the countryy from 2005to 2007. The Tampa Bay Business Journal’s Fast 50 list rankedx the company second by percent of revenue growtb from 2005to 2007. Foreclosuresdailyu grew 397 percent during that increasingfrom $2.8 million to $14.1 million in The company said it had 40 employees in 2007.
One of those employees was Pat Malik, who gatheredx foreclosure information for the company from Pinellas and other courts and claims the company owesher money. She refusedx to divulge how much but said she has filedf a complaint with the Floridaattorneyy general’s office. “It’s enough to go afterr them,” Malik said. “There’sw probably 50 of us owed money.”