After Nine Years of Litigation, A Settlement On June 30, 2009, Scott Clearman, The Clearman Law Firm, PLLC, on behalf of his clients, filed a detailed class action complaint against retail energy provider Stream, Stream’s marketing arm, Ignite, and their officers and top salespersons, alleging that they operated a pyramid scheme in violation of the…
The Fifth Circuit affirms a class action under the federal racketeering law against Stream Energy and Ignite. Alabama, Florida and Georgia may be excluded absent a class representative.
Scott learned that Stream Energy and its sales arm, Ignite, were acting questionably in structuring its compensation to direct sales associates, known as “Ignite Independent Associates.” Stream Energy and Ignite called it a legitimate multilevel marketing business. Scott recognized what was not so obvious; these companies were operating a pyramid scheme he concluded violated the…