Imergent's Wild Ride
It's not hard to see why some people think Imergent sells business opportunities.
Potential customers are generally contacted by mail and invited to 90-minute seminars, usually at hotels, where they listen to a pitch and eat a free lunch. If they show interest, they're invited to a second seminar, where they can buy Imergent's software. The price varies, but a spokesman for the company said the basic charge is $2,500 for each Web site a customer builds and operates using Imergent's Web-based software tools.
Imergent's legal problems go beyond a regulatory issue, however. The state of Texas sued Imergent in 2005, alleging that customers fall victim to "deceptive" business practices: "Once they have bought these packages, they are basically left with worthless software which does not work and for which they are asked to pay still more money for more assistance which is of little or no value," the suit alleged.
Although Imergent has yet to actually lose a suit brought by a state, the bad publicity has been devastating. Shares were trading as high as $25 in early February 2005. After Abbott filed suit that month, they plunged, dipping below $4 in early November of that year.
Select the service that is right for you!COMPARE ALL SERVICES
Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.
- Real Money + Doug Kass + 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV