Lloyd Segal Refusal to Return Good Faith Deposit , Internet
After attending a workshop and boot camp hosted by Lloyd Segal (principal California Foreclosure Institute) I was energized to purchase a Trustee property and FLIP it for a profit. I entered into an Agreement with Lloyd Segal that required a substantial contribution of capital (deposit) paid to a third party ($50,000) to help us identify/purchase a property and also a good faith deposit for Segals services that included managing the venture, coordinating the purchase, renovation and eventual sale of the trustee property.
After working with Segal and the third party company for more than 4 weeks (and not finding adequate properties), it became evident that the amount of capital we had to invest would not be sufficient to turn a tolerable profit upon sale. In fact I was concerned that given all the expenses (that were never clearly delineated), that the project/venture could lose money rather than make money. This was due primarily to the fact that the amount of capital we had to spend on the investment would limit us to poor locations where safety was a concern and to properties that required more upgrade than we had budget to support. After pointing this out to Segal along with supporting analysis, then asking for the return of the good faith deposit, communication went downhill quickly.
The Agreement that was signed didnt specifically have a clause for the return of the deposit but neither did it say or imply that it could be retained. In this type of situation, one would rely on Good Business Practices and a persons sense of integrity, especially since the Good Faith Deposit was only a small fraction by comparison to the $50,000 deposit provided to the third party company. In fact, when asked, the third party company readily agreed to return the $50,000 deposit and did so in a timely manner with no issues. Since the Agreement tied the contribution of capital together with a Good Faith Deposit, would it not seem reasonable if the capital deposit was returned, so should the Segal deposit? Since the capital was never used and nothing was purchased wouldnt it seem logical and reasonable that the deposit be returned? After weeks of waiting for any portion of the deposit to be returned, even after Segal said that he would, I have reconciled that only a court of law would be able to remedy this situation.
1 Updates & Rebuttals
Lloyd
Los Angeles,California,
Anotehr Fals claim by Hamid
#2REBUTTAL Owner of company
Sun, February 08, 2015
First of all, there is obviously no one named "Concerned investor." This is just another fictional claim filed by Hamid Panah (see the complaint filed by Steve). (What does it say about a person who files multiple complaints against a person, but hides behind a false name?) Besides, you can tell this is a false claim because we don’t take deposits from our investors. You either invest or you don’t. No deposits.
Second, Hamid wrote this series of bogus complaints because, quite simply, he didn’t get his way. In 2012, Hamid invested $20,000 in our Pomona Project. But several weeks later he got into financial trouble and needed his money back. We immediately agreed and refunded all of his money. But then he demanded interest on his investment for the month. The problem is that pursuant to the contract, he wasn’t entitled to interest. Further, it would have been unfair to the other investors in the Pomona Project if we had paid him interest. So when we refused, he threatened to disparage Sam and me on this website and other websites, which of course, is exactly what he did. Then, when that didn’t work, he started filing more bogus claims like this one (using other people’s names).
(((redacted))) Regardless, Sam and I have helped and mentored thousands of students over the years with amazing success. If you don’t believe me, please read all of the incredible testimonials on our website, www.FlippingBootCamps.com. Unlike this complaint, our testimonials are real! Even better, please feel free to call me at 310-409-8310 to discuss these claims.