COMPLAINT DEMAND FOR COUNCIL TRIAL

Civil No

Judge

VS

Steven R. Sumsion (#8317)

Chase E. Olsen (#17645)

SUMSION BUSINESS LAW, LLC
1800 Novell Place, 5th Floor
Provo, Utah 84606

In the fourth judicial district court
Utah country, State of Utah

CLEARCELLULAR, INC., A Utah Company

Plaintiff,

vs

  • FINMAN LLC, A Wyoming Company
  • ERIK FINMAN, an individual, Defendants.

COMPLAINT DEMAND FOR JURY TRIAL

  • Civil No. :
  • Judge :

A Utah Company (“CLEARCELLULAR, INC.”), by and through counsel, hereby complains against Defendants FINMAN LLC (“ERIK FINMAN”) and FINMAN LLC (collectively, “ERIK FINMAN”) as follows:

Nature of the action

As the self-proclaimed “youngest bitcoin millionaire,” Erik Finman used his so-called marketing influence to promote his “Freedom Phone” brand, which quickly became popular. Unable to keep up with demand, Finman approached ClearCellular to fulfill the orders. Finman signed agreements with ClearCellular and became Chief Marketing Officer.

Finman then violated his acquisition agreement and employment contract by: (1) refusing to grant ClearCellular’s access to their acquired merchant accounts; (2) failing to provide financial records; (3) providing his services to outside parties competing with ClearCellular; (4) colluding with a ClearCellular employee start a competing business; (5) shipping ClearCellular phones without permission and keeping the proceeds for himself; and (5) conspiring with a ClearCellular employee to defraud ClearCellular by refusing, despite repeated requests, to transfer over $2,000,000 in sales revenue from banking and merchant service accounts in his sole ownership. Plaintiff seeks an accounting and reimbursement for Finman’s misappropriation of corporate assets. Plaintiff’s claims are based on Finman’s breach of the Finman LLC – ClearCellular Acquisition Agreement and Finman’s Corporate Contract Agreement with ClearCellular.

Parties, Jurisdiction, And Venue

General Allegations

First claim for relief

(Demand for Accounting)

Second claim for relief

(Withholding Financial Information – Utah Code §16-10a-1605)

Third claim for relief

(Breach of Contract – Acquisition Agreement))

Fourth claim for relief

(Breach of Contract – Contract Agreemen)

Fifth claim for relief

(Breach of Fiduciary Duty)

Sixth claim for relief

(Misappropriation of Company Assets for Personal Gain)

Seventh claim for relief

(Unjust enrichment)

Eighth claim for relief

(Breach of the Implied Covenant of Good Faith and Fair Dealing)

Prayer for relief

WHEREFORE, Plaintiff seek a court order requiring an accounting of ClearCellular financial information, damages no less than $2,000,000, plus attorney’s fees and costs to be proven at trial.

As to the First Claim for Relief, Plaintiff seeks a court order that Finman and Finman LLC provide an immediate accounting of the merchant accounts tied to ClearCellular’s sales revenue, plus attorney’s fees for obtaining the court order.

As to the Second Claim for Relief, Plaintiff seeks a court order that Finman and Finman LLC provide immediate access to all financial records having to do with Freedom Phones, including access to the accounts in Finman’s possession that are tied to Freedom Phone sales, plus attorney fees for obtaining the court order.

As to the Third Claim for Relief, Plaintiff seek no less than $2,000,000, which represents ClearCellular revenue from Freedom Phone sales.

As to the Fourth Claim for Relief, Plaintiff seeks at least the $2,000,000 in revenue from ClearCellular’s Freedom Phone sales.

As to the Fifth Claim for Relief, Plaintiff seeks a court order requiring Finman and Finman LLC to transfer the $2,000,000 in company funds from the accounts they control to ClearCellular.

As to the Sixth Claim for Relief, Plaintiff seek an award in an amount to be determined at trial plus attorney fees and costs, and a court order that Finman and Finman LLC return misappropriated company assets.

As to the Seventh Claim for Relief, Plaintiff seeks an award in an amount to be determined at trial plus attorney fees and costs.

As to the Eighth Claim for Relief, Plaintiff seek no less than $2,000,000 plus attorney fees and costs.

SUMSION BUSINESS LAW

/s/ Steven R. Sumsion
Steven R. Sumsion
Attorneys for Plaintif

JURY DEMAND

Pursuant to Rule 38 of the Federal Rules of Civil Procedure, Plaintiff demands trial by jury in this action of all issues so triable.

/s/ Steven R. Sumsion
Steven R. Sumsion
Attorneys for Plaintif