Untill proven guilty ... And so on. Again Im not cheering for Qenta in any way. Im just saying so far its their statement that might be also a negotiation strategy in which they agree to transfer the deposits in full in exchange for termination fee. Who knows. The idea of keeping the gains seems undefendable in court so I would bet its the negotiations phase.
They also have no right to a five million termination fee. The agreement defines what they get if the deal is terminated. It's just the return of the $500K they paid. Nothing more.
How can you defend this when ever penny they are trying to extract comes from the bank's customers? These are customers they assured me they would protect. Qenta is supposed to look out for them customers, not look for opportunities to screw them over to enrich itself.Thats what negotiations are all aboutThey are entitled to 500k but tthere is no law that forbids You to try to settle with someone else for something more then You are entitled to
This is the agreement made but I don’t see anything about the matter.
I have emailed Qenta and asked them to address my objection to the $5m fee and unjust enrichment. I also emailed OCFI and the Receiver demanding they take action to protect customer funds.
I have made a similar demand to the Receiver. In fact, I think Qenta is taking advantage of the appreciation in gold and silver, and the imposition of an arbitrary $5 million termination fee, relief with is not even authorized by the Purchase and Assumption Agreement, to create an outcome that is better than the outcome of a completed purchase. Qenta claims that it can no longer obtain the benefit that it hoped for, as customers may not keep their money or metals with Qenta after closing. But if that is true, I blame that on Qenta for their complete failure to engage with customers, or even reply to their phone calls or emails. So if Opt-in customers withdraw their funds as soon as they are able, its Qenta's own fault for its horrible customer service. This point will likely be raised in arbitration. If any OPt-in customers reading this can document their frustration or unanswered attempts to contact Qenta, please email your evidence to me at [email protected] Your examples may prove very helpful. I think this is a strategic termination by Qenta in bad faith, that enables Qenta to walk away with a windfall, rather then to complete the transaction to acquire clients who they themselves have alienated by their own poor customer service these past three years.
Happy to share the dozens of emails I have sent to Qenta, Brent, other Qenta directors and staff + newly acquired companies like Pipit and not a single person responded. I even resorted to leaving comments on Youtube and contacting the youtube channel owners who interviewed Qenta representatives and they also did not respond. The only Qenta person to respond to an email was Carlos a few days ago saying Qenta would provide an update 'soon'. I will compile all the emails and .ZIP them for you, however it's late and I need to sleep.
There is an indemnification clause in the contract. So if we win Qenta should have to cover costs, up to $1.25 million which is the cap. But there is no cap on equitable relief, which would be to recover the unjust enrichment Qenta is attempting to extract from the bank. I do not see now the bank can't win. What Qenta is trying to do has no basis in law or in our agreement.
The indemnification clause specifically includes attorney fees, but in the case of the bank its limited to $1.25 million, which was the purchase price. That should be enough. It should also cover extra hours billed by the receiver regarding the action.
