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Agents Complain That Website Vendor Cheated Them

Agents around the country are complaining about a Website vendor, Informedia Group, Inc., which they say took their money in advance, registered their domain names in the company's name, and then abandoned support of their Websites.

St. Augustine, Florida Realtor Danielle Gustafson says she paid $1,258 for:

  • Domain registration
  • 26 months full Internet Website including design, production and content
  • Customer support
  • Guest book
  • Search engine submission
  • Spanish module

"I paid over $400 to a personal assistant to enter listings and links and maintain the site," says Gustafson, "and all has been lost."

Kansas City Realtor Sue Hatfield tells a similar story.

"In October last year, I signed up for a customized real estate Website with Informedia Group," writes Hatfield to Realty Times. "The cost for two years, including setup, support, and more, was around $1800.00. I just started as a Realtor last March, so you can imagine my budget is tight. After the initial Website set-up, I was unable to contact my support person, Kim, with Informedia. I called, and e-mailed via their Website, www.informediagroup.com, several times over the course of four months, but to no avail. Nobody contacted me back, and the Website functioned less and less as time went by."

Hatfield's personal listings have fallen off the site, she says, and several features on the site point to the wrong pages, including a Kansas City link that goes to an about-the-area page where both the news and health buttons tout newspapers and no health resources.

"No one is answering the phone or responding to e-mails," says Hatfield. "I have a dead Website I'm advertising that isn't any good."

Worse, Hatfield has found that she can't move the domain name she paid for.

"It isn't in my name," she says.

That's what New Smyrna Beach, Florida broker Bob Reess says he finds the most galling - that Informedia registered Bob's domain name to Informedia instead of to Reess, after the company and its spokespersons (and a contract) assured Reess and other clients that the clients would "own" their domain names.

Like Hatfield, Reess can't move the domain name to a new host without Informedia's permission. Reess also reports that no one is answering the phones or e-mails to give such permission.

"I have emailed Mr. Isabelle once and I have sent him a certified letter which I have the return receipt and he chooses not to respond," says Reess. "As you can see, my name is unique as far as the spelling of my last name, and now he controls my domain."

Isabelle blames the lack of attention to agents' Websites and response to clients on sabotage and disloyal employees.

"Unfortunately, Informedia was the victim of a devastating sabotage incident which caused very significant damage to our systems and databases," writes Isabelle in an e-mail response to Realty Times' inquiries. "Additionally, several employees left to form a competing firm, which has also had an impact on our ability to handle the situation promptly. We are investigating the incident thoroughly and hope to bring criminal charges against those responsible."

He further explains, "At this time we are in the final stages of selling the Internet services business of Informedia to a new, larger firm with the resources to provide all the services required to our clients. We expect that this will be completed within approximately one week at which time we will be making a general announcement. All current clients will have their contracts fully honored by the new firm, which will also be introducing a number of free upgrades and improvements. Clients can quickly expect a return to normal (and improved) services levels at that time.

"Lastly, I would strongly urge you (Realty Times) to carefully fact-check any assertions from outside parties as there are some people with an interest in misrepresenting the situation. If you require any specific information please do not hesitate to ask," writes Isabelle.

About the domain name complaints, Isabelle writes, "a percentage of the domain names that were registered were inadvertently registered to the company rather than the agent, however as spelled out in our contracts, in all cases the domain names belong to the agents and we will approve any transfer as long as we have authorization from the client to do so."

Saboteurs or heroes?

The employees that Isabelle alludes to as saboteurs are former trainer, Tony Martinez and a former Website designer, Kim Larocca Henry. The two have joined forces to create a new Website design company, and have already "rescued" some former clients of Informedia, says Martinez.

In response to Isabelle's charges that the former employees' "deliberate and criminal sabotage of our systems which overwhelmed our ability to deal with all client issues," is untrue, Martinez swears that both he and Henry left Informedia after being owed thousands in salaries, commissions and expenses. The new Website venture was a way to put themselves back to work and save their reputations, says Martinez.

"I'm the person they remember," says Martinez. "I feel compelled to do something to preserve my reputation. When I respond to an upset agent, I'm the only person that has talked to them. What keeps me going is their saying thank you for doing something."

Martinez says that he is not soliciting former Informedia clients, but that they are finding him and demanding answers. Some are willing to take a chance on his at-cost Websites for the duration of their unattended Informedia contracts.

He says it is to be expected that others will say that he and his partner are disgruntled or self-serving.

"I technically am a competitor of Informedia right now," discloses Martinez. "I personally sold 85 percent of the Websites as an employee there, about 2000 to 3000 Websites. I was their principal speaker. I was given shares as incentives."

"We (Isabelle) are no longer on speaking terms," says Martinez. "I'm livid over the issue of domain names. It isn't fair to the agents. Businesses can go down. We all take a risk when we buy a product, but in this case, the agent is being held hostage. They can't pick up the pieces and move on. I can't say he can't release them for some reason. I've questioned him and sent him instant messages, but he will not respond to me as to why they aren't being released."

Meanwhile, Isabelle says legal action is pending against "this new firm" so he cannot discuss the matter further without consulting his attorney.

Martinez says he isn't afraid. "I've kept everything," he says. "I have everything documented."

Editor's note: Isabelle says that clients wanting domain transfer authorizations should send their requests to domains@informediagroup.com. If no response, please contact .

Published: February 25, 2004

Use of this article without permission is a violation of federal copyright laws.




Blanche Evans is the award-winning senior editor of Realty Times, the Internet's leading independent real estate news service. She is featured daily on the Realty Times Video Network in the "Realty Viewpoint" segment.

Blanche has been named one of the "25 Most Influential People In Real Estate" by REALTOR Magazine, and has been twice recognized as a "notable." In 2005, she was named "Top Reporter Covering the NAR" by Delahaye-Bacon's.

Blanche is a renowned author of five real estate books. Her newest, Bubbles, Booms and Busts: Make Money In Any Real Estate Market, McGraw-Hill, was rave-reviewed by The New York Times. She was also selected from hundreds of real estate experts to contribute to Donald Trump's book, Trump: The Best Real Estate Advice I Ever Received: 100 Top Experts Share Their Strategies, Rutledge Hill Press, and is featured on page 68.


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In 2006, Blanche was selected among scores of candidates to author two consumer real estate guidebooks for the National Association of Realtors: The NAR Guide to Home Buying, and The NAR Guide to Home Selling, Wiley & Sons. She is currently planning two new books for the NAR and its members.

     

Known for her keen insight into real estate industry issues and for her ability to make complex subjects easy to understand, Blanche is a sought-after keynote and continuing education speaker. Real estate organizations from MLSs, to brokerages, to franchisors, to associations hire her to provide up-to-the-minute analysis of real estate industry news and advice on how to improve revenues. Her passionate delivery, peppered with stinging wit, is a huge hit with audiences and fans.


Don Klein, CEO Greater Nashville Association of Realtors, Blanche Evans, Richard Courtney, president 2007, GRAR

"The GNAR membership meeting last week featured Blanche Evans as the keynote speaker. Her comments and insights resonated extremely well with those in attendance and we have had many requests for copies of her PowerPoint Presentation. She was a terrific part of the membership meeting and convention program!" - Don Klein, CEO Greater Nashville Association of Realtors

Coverage from WSMV, Nashville - 8-14-2007

That Interview Guy - Get Inside The Head Of Today's Generation
2007 AE Institute Session - To purchase
2006 AE Institute Session - Parts 1 2 3 4 5 6 7 8 9
HouseValues Mastermind call - Parts 1 2

Blanche's fireside chat with Jeremy Conaway, HAR - Click here.

To contact Blanche, email her at .

For more articles by Blanche, click here.







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