Man says he and friends invested $123,000 for new top level domain project that never got off the ground.
[Update: the lawsuit has been dropped.]
A Florida man has filed a lawsuit alleging he was duped by a new top level domain name scheme.
David Ways planned to apply for the .bim top level domain name. According to the lawsuit, Ways says he contacted VeriSign about his plans and they referred him to Iain Roache as a potential funding source.
Roache is listed as the Chief Executive Officer of a number of companies that have applied for new TLDs through Famous Four Media. Famous Four Media is listed as the contact and “administrative services provider” on 60 new TLD applications. The company is named in the suit.
Ways alleges that Roache represented himself and various affiliated companies as a group that could prepare and finance applications for new top level domain names.
He alleges that Roache informed him he would need to come up with at least $24,000 in seed money for an 8% stake in the .bim project. Ways and his family and friends paid nearly $123,000 to Roache and the affiliated companies, according to the suit.
Ways says he was promised that he would become a full time employee of DotBIM LLP no later than January 2011. As CEO of the company, he would have an annual base compensation of $100,000 plus milestone bonuses, he claims in the lawsuit.
The lawsuit alleges that Roache and affiliated companies did not perform any of the tasks it agreed to.
No one applied for the .bim top level domain name.
You can read the full allegations here (pdf
Update 10/29/12: here’s the exhibit to the suit with the alleged business agreement.