Man says company owes him over $300,000.
A man has sued (pdf) domain name registrar Epik, its Masterbucks entity, former CEO Rob Monster, and current CEO Brian Royce after the company failed to return his funds in an escrow transaction.
Matthew Adkisson’s allegations will surprise no one following Epik’s plight over the past six months.
Adkisson alleges that he agreed to buy nourish .com in a transaction facilitated by Epik. He paid $327,000 to Epik, covering $300,000 due to the domain seller and a $27,000 commission. The seller failed to deliver the domain. Adkisson waited six months for Epik to get the domain for him. When that failed, he asked for his money back.
But at that point, Epik was in financial distress. And unlike how an escrow service is required to operate, Epik had comingled his funds with operations and used it to cover expenses.
According to the suit:
In a subsequent phone call, Epik, through its counsel, admitted that it owed Adkisson the $327,000 it had promised to hold in escrow, and that sometime after Adkisson wired the funds to Epik, it was misappropriated, embezzled or both. In any case, Epik conceded that the Escrow Funds were no longer available. Epik further claimed that the company was “cash strapped” and that Adkisson’s Escrow Funds were used to pay other debts.
In January, Epik’s counsel told Adkisson that it would pay $20,000 by January 12 and the remaining funds by the end of January. It never made the second payment.
When Adkisson contacted Monster on January 31, Monster wrote to Adkisson:
in the event that the Company does not, or will not settle the balance due of $307,000, I am committed to covering this personally, and doing so asap
This is the first lawsuit I’m aware of that has been filed against Epik due to nonpayment of funds.
Perkins Coie LLP is representing Adkisson.
Finally someone with the resources are going after justice.
This sort of lawsuit appears to be clear-cut and is further complicated by what looks like an unlawful / illegal escrow activity. From my perspective there doesn’t seem to be a plausible defense here.
Somebody is going to jail.
Those who prowl the digital badlands with frothing jackals like Rob Monster / Epik should expect to become their prey. #CaveatEmptor
Somebody going to jail and be a cellmate with trumper
Mr. Andrew Allemann, are we allowed to post that kind of politically provocative comment here?
I start the transfer of the best domains to another registrar.
Similar thing happened with me. However, I was the seller. I sold the website and transferred the domain for $12000. The buyer cancelled the deal once I transferred the domain. I lost the money as well as the domain. Epik never seemed to help. After dozens of emails, it took them 2 weeks to understand what happened. Shady and unhelpful escrow service!
i don’t know the particulars
but seems like really bad stuff
hope the people get refunds and/or their transactional proceeds and/or their domain assets
perkins coie is a top firm with a formidable ip division specializing in domains and trademarks
Did Epik have a full leadership team and board of directors?
Where’s are the Army of Epik Minions now? Lol
Hopefully we will learn what the hell is going on there.
More people should sue Epik.
I personally would NEVER do a deal through Epik. Not a chance.
I think something big happened to Epik Holding INC, I write it like this because they won’t let me enter my customer account, weeks ago they had problems with renewals, domain names (COM) I have invoices paid for domains until 2024 and 2025 in the Whois they are without renew and expired.
Epik Support sends automated emails asking for PINs for unanswered emails.
Send now question emails and I do not receive automatic email from Epik.com
When I want to enter my customer account and My Domains does not let me, this message appears:
Since your last visit to Epik.com, we have made a few changes. New account security questions will make it easier to prove your identity and regain access if you’re ever locked out. Plus, your domains are even more secure. Choose the answers to the questions that you will remember. While you’re at it, please fill in the highlighted fields so we can complete your profile. Thank you.
In my question about this matter they told me days ago that it was a new security that I should not pass, with email and password it was enough now to do the same and it would not let me enter.
If I don’t have an answer next Monday, I’ll put it in the hands of my Domain Lawyer. I have a portfolio of 279 domains.
In the end enter my customer account Epik.com