View Single Post
Old 12-20-2008, 01:57 AM  
boneprone
Hall Of Fame
 
boneprone's Avatar
 
Industry Role:
Join Date: Jan 2001
Location: Portland Oregon USA
Posts: 34,407
Quote:
Originally Posted by Brad Mitchell View Post
STOP







Do I have your attention yet?






Seriously, you as the reader, are you here for kicks or to get business done?





If you've got any interest in this thread or subject, take 5 minutes to read my post.






I could probably rant here for pages but since the attention span here on GFY is shorter all the time I'll do my best to be brief. I've already engaged my legal counsel several times on behalf of friends and clients regarding Jupiter Hosting (NaviSite) and their contract for providing service. Before I share my thoughts, however, I need to bitch at every single one of you for some minutes....

It's not the Wild West. It never was. You all just drink too much at the tradeshows and have been spoiled by the prevalent informality of our industry over the last ten years. One way or another, many of you who were spoiled pre-contract kind of got what you paid for in the long run.

Even if you are hypothetically the recipient of bad service with NaviSite, you have precarious cancellation rights.

This is just business. The contract that was executed by hundreds uses standard terminology, clauses, fees, penalties and limitations of your rights. Contracts are no different from any carrier, data center or other hosting company that has clients execute such agreements. Don't believe me? Read what you might have signed from Cavecreek, National Net, Equinix, Switch and Data, Cogent, Level3 - any contract whatsoever for hosting, bandwidth or co-location service from anywhere. Although there might be some slight variances, any contract worth a sh!t will AT LEAST include the following:

1) A requirement that formal notice be provided within X days of renewal.
2) An automatic renewal for successive periods, typically 12 months at a time, if notice is not properly given as required.
3) That any cancellation does not relieve you from the full liability of the contract. By my observance, about half of the agreements out there actually accelerate the damages/fees to being immediately due.

......and much, much more.

They have all of the rights, that is the purpose to having a contract executed. Are you all blind? Jupiter was bundled for sale with a valuation based on it's assets, liabilities and contracts in place for continued service. This is why there were excellent promotions at the time which required a 2 year term contract - it increased Ray's multiple (the valuation). And good for Ray, seriously, all of you who were friends with him at the time should be pleased that he had a successful exit. Shame on you for suggesting he did a bad thing - you signed the contract and furthermore, he had no way of knowing how the new owner would truly handle service and support post-sale.

Suggesting this is Ray's fault is NO DIFFERENT or less absurd than a minor's parent bitching at you for what their kids are surfing online in their home. Personal responsibility, people. Dude wanted to retire or move on, good for him, this is how business evolves.

You didn't read what you signed, perhaps you never do. If this is the instance that learns you the life and business lesson which helps you on some future business decision, great. Let's at least make the glass half full here, everyone needs to learn this business lesson. There's no 'bro' club when it comes to contracts. When you sign, the paper (unless properly disputed legally) is the final word and if terms aren't met then you're OWNED. All contracts worth a sh!t immediately make void/null any previous or future verbal agreements and will establish themselves as the deal authority.

NaviSite is a 100+ million dollar business. Yes you have been turned over to a real lawyer. Before it got to them, it was at a real collection agency which likely put it on your credit report. As previously mentioned in this thread, they are counting on a default judgement or to win in a court of law. What? You don't think a lawyer will do an hours work on the phone in advance and take 2 hours out of his day for a brief court appearance to make a few K? LOL By virtue of the fact that you are already this far along in the process you have already been reduced to statistics and probabilities - totally worth their time.

Everyone's first response to something like this should be to contact an attorney if they don't plan on paying the bill due to either hardship or disagreement.



OK, now that I've brow beat all of you - just know that it's out of love. Here is what else I have to say:

1) Hands down, based upon what I have been told, NaviSite *may* have abusive collections practices. I've had stories recanted to me of people who were sworn at, hung up on, threatened inappropriately.

2) It *may* be a common practice to obfuscate the cancellation process. I say may, but I've already worked with several people where this has been by all appearances true. I have had multiple clients given the run-around. One of which even gave proper notice on one server prior to the 45 days and then a short while later on the other two servers and was STILL coerced into paying for future service where it was clearly not reasonable.

3) If you are not in arrears with NaviSite and are a co-location customer you HAVE THE RIGHT to have your equipment shipped to another host. Contractually, you're still on the hook for your term but if you're exiting don't allow them to falsely suggest otherwise. (I also watched this scenario play out).

4) There might be some instances where they DO NOT HAVE PAPERWORK. I strongly suggest that even if you have maintained a copy of your contract that it not be shared. They have been known to be in pursuit of some debts for which they have no documentation on file.



Brad Mitchell
And with that said, lesson learned.
Good night people! This has for the most part been concluded.


When I first started this thread I had no idea what was going on. Didnt understand this complex contract was a "Renewal" of a contract from 4 years ago that renews every October. I learned that much now. It was in the contract, its legit, im the fucking idiot for not reading it. I get it.

I can still blow off some steam and be pissed. And I can do it here. Its what GFY is all about. IM done with that now too. Wheew, I feel better.

I dont have any hard feelings now with the previous Jupiter owners or staff. Its all good. I really dont think they used this contract to on purpose shake me down for cash when I wanted to leave them.

With that said Ill continue to say this, Navisite is fucking shady. Contract or no Contract to shake down a client for money after leaving them, after never missing a payment, after spending years promoting them to the Adult Webmaster Community is just plain shady. Shake me down for a server I gave them notice on that I would be leaving and was paid in full prior to leaving.

Yes I should have read the contract... Yes this is my own fault. And yes I will be taking care of it. And Yes I did learn from it. But man this is just shitty.


Sorry I cant put it in such well spoken words as Brad did. But this is just shit plain and simple.
__________________

Industry Hall Of Fame Legend Mike Jones
Bow to the Power - Still BP4L
http://gfyawards.com/hall-of-fame
Learn about it kids.

Last edited by boneprone; 12-20-2008 at 02:00 AM..
boneprone is offline   Share thread on Digg Share thread on Twitter Share thread on Reddit Share thread on Facebook Reply With Quote