Thursday, May 13, 2010

Internet Brands Sued By Founders of Model Mayhem

Los Angeles-based Internet Brands has been sued by the former owners of one of the firm's properties, Model Mayhem, according to legal documents recently leaked to the press. According to the complaint, which was filed by Donald F. Waitt and Tyler A. Waitt, founders of Model Mayhem, Internet Brands failed to make deferred payments which were a part of the deal to acquire Model Mayhem. Specifically, the complaint--filed in the United States District Court, Central District of California--says that Internet Brands promised to pay $800,000 to the two if the pageviews on the site reached at least 350M pageviews, based on information from Google Analytics, but that Internet Brands has refused to pay, saying that much of the traffic to the site was "not real traffic". Internet Brands has not released any statement about the lawsuit so far. Internet Brands acquired Model Mayhem in August of 2008.

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