Co-founder sues Nerium for $22 million dollars
According to Dennis Windsor, back in 2009 Jeff Olson began discussing with him plans to launch two network marketing companies.
Windsor (right) claims to have been involved in MLM for over 36 years,
spending over 17 years in the field as a top distributor building large global sales organizations and over 19 years in Founder / Co-founder, Senior Executive and Senior Consultant roles helping to design, develop, launch, and manage Network Marketing Companies.
Of his 36 years in network marketing, 25 years were spent working with Jeff Olson across more than seven MLM companies.
Ongoing discussions between Windsor and Olson eventually resulted in Windsor leaving his Senior Vice-President position with VideoPlus.
From what I’ve been able to gather, Video Plus was a marketing production company that worked with MLM companies.
The first company Windsor and Olson launched as PTN Networking Marketing.
They worked on PTN for about a year, after which it was dropped in favor of developing a new company.
That company was Nerium, which launched in 2011.
Fast forward five years and Windsor’s employment with Nerium has been terminated. He’s now suing the company for copyright infringement and at least $22 million dollars.
Details pertaining to Windsor’s termination at Nerium are sketchy.
According to Windsor, he’s the “chief architect, creator and developer” of Nerium.
The concept for the company was developed by Windsor in what he refers to as a “private war room”.
Over two years, it was in this room that Windsor claims he came up with Nerium’s compensation plan and key elements of their business model.
All in all, Windsor claims he spent
six years developing, co-founding, and co-leading Defendant Nerium’s record breaking global sales which has topped four hundred million dollars ($400,000,000.00) annually.
On March 31st, 2016, Windsor was terminated from his role as President of Nerium. Specifics as to why Windsor was fired are not revealed in his lawsuit.
Nonetheless, Windsor argues that he never signed a written license agreement with Jeff Olson (right) or Nerium for their use of his purportedly “copyrighted work product”.
Windsor contends that seeing as neither Olson or Nerium have an ownership interest or right to use his work, it constitutes copyright infringement.
Specifically, Windsor alleges he
never granted Olson or Nerium any written license (exclusive or otherwise) in and to, and for the use of, (his) copyrighted work product.
According to Windsor, consent was given ‘pursuant to a nonexclusive implied license, which had to be supported by consideration‘. The termination of Windsor as President of Nerium has seen that license revoked.
Windsor also alleges he was promised commissions on a Three Star National Marketing Director ranked compensation plan position, a 15% royalty from Nerium Edge monthly fees and a 5% equity share of Nerium.
Windsor claims up until his termination, he never received any of what was promised to him.
In a lawsuit filed against Nerium and Jeff Olson on April 6th, 2016, Dennis Windsor is demanding
- a declaratory judgement confirming he is the rightful copyright owner of Nerium’s compensation plan and key elements of their business model
- a declaratory judgement confirming that, following Windsor’s termination, Nerium and Olson are now using Windsor’s copyrighted work without a license
- a permanent injunction barring Nerium from using its compensation plan and key elements of their business model
- copyright infringement damages, to be determined via evidence at trial
- commissions payable on the Three Star National Marketing Director position, totaling $2.25 million dollars
- royalty fees payable on Nerium Edge monthly fees, totaling more than $9.9 million dollars
- the value of 5% equity ownership in Nerium, estimated to be worth $9 million dollars
- injunctive relief “in excess of over $1,000,000 and
- legal costs
First things first, should Windsor’s lawsuit go to trial and he wins, Nerium is going to be gutted.
Unable to use their compensation plan, they’re not going to be able to pay affiliates and will essentially have to come up with a new plan – integrating existing owed commissions and recorded sales volume into it.
Other modules they’d have to replace include the backoffice and several marketing ideas and concepts.
That’s a nightmare any MLM company is unlikely to survive.
The fines Nerium can probably afford to pay, but it’s the sought injunction that’d be crippling.
How Windsor’s attempt to have himself designated copyright owner of Nerium’s compensation plan and key elements of their business model, will be interesting to watch play out.
I’m sure in their yet to be filed response Nerium and Olson have a different take on things.
Questions that come to my mind are
- why did Nerium terminate Windsor?
- why wasn’t a written contract signed by Windsor and Nerium and/or Olson?
- why wasn’t any of the perks Windsor was promised part of a written agreement, as opposed to an oral agreement Windsor claims Nerium and Olson are bound to?
- why did Windsor say or do nothing about his promised perks for five years?
- was the copyrighted nature of Nerium’s compensation plan and key business elements at any time discussed between Windsor and Olson and/or Nerium?
One possible reason for Dennis Winsdor’s termination from Nerium is his recent appointment at Jeunesse.
Sometime over the past week, Windsor was appointed to the newly created position of Chief Development Officer at Jeunesse.
The timing suggests Windsor and Jeunesse began negotiations while he was still working at Nerium.
If Jeff Olson caught wind of Windsor’s courtship with Jeunesse, that’d certainly explain his termination. Perhaps also why the subject isn’t addressed in Windsor’s lawsuit.
We’ll keep an eye on this one as it plays out. For now, stay tuned…
Nerium might in fact be in trouble, not only the lawsuit from Mr. Windsor but also the suit brought by Nerium Biotechnology. There is some name confusion here but a recent press release states:
So the MLM Nerium is being sued by their product supplier who doesn’t want to supply them any more. The recently amended complaint seem to question if Jeff Olson might in some way be acting inappropriately in the running of Nerium International (which is partly owned by Nerium SkinCare).
If the business relationship is terminated (whether fines are paid or not) Nerium International could find it’s self without a product line and quite possibly needing a new name.
So who’s in control of Nerium Skncare then?
Alright, so who’s in charge of Nerium Biotechnology then?
Losing their comp plan and product would pretty much be the end of Nerium. I wonder what Olson plans to do.
Co-incidentally (or not?), Nerium are putting on a “Get Real” event in St. Lois today.
Headlining the event is a “big announcement”.
Laments one Nerium affiliate on Facebook:
The amount of comments recently deleted on Nerium’s Facebook page indicates it is being heavily moderated.
As at the time of this comment, the live stream ticker countdown is 25 mins.
I don’t think Windsor’s claim of copyright infringement is going to fly very far. Technically speaking, anything he created while employed at Nerium belongs to Nerium UNLESS specifically released otherwise by Nerium.
I think he’s playing a trial balloon, i.e. if you push me I’ll ask for an injunction and put your entire business on freeze, i.e. pay me to go away ASAP.
Windor’s lawsuit claims that prior to Nerium launching, he never signed an employment contract nor worked for Nerium or Olson. He claims he was working as a third-party consultant.
Business world, is a war field, you think a lifetime friendship will be broke that easy. I think Denis is now an spy inside of Jeunesse.
A spy? Who’s Windsor spying for then?
And how do you explain 22 million lawsuit? Tinfoil hat brigade represent!
Then this statement cannot be true: “Windsor was terminated from his role as President of Nerium.”
You can’t be a president of the company AND a third-party consultant at the same time. Either you’re in, or you’re out.
If he’s going to argue that anything he did for Nerium BEFORE he was appointed president was his own, that’s STILL not going to fly, esp. since he TOOK the position as president.
Consultants are very careful to AVOID responsibility in the company they consult for, unless they expressedly took stock or shares in the company for the consulting, and that’d be in a contract.
This is down to “he said / he said”, and at this rate, Windsor’s going to lose because he’d come across as a “you fire me, I sue you” kind of bridge-burning guy.
OK, I have a little more info on the Nerium v Nerium suit. For those keeping score at home the players are:
Nerium Skincare (owned by Biotech) and
Nerium International, the MLM company 30% ownership by Skincare, 70% by Jeff Olson’s JO Products LLC.
The case files can be found here:
The case number is: DC-15-09594
There’s a bunch of he said she said about contract breeches between the two complaints. The one issue more than any other which seemed to sour the partnership was difficulties getting Nerium’s oleander extract products (NEA-8) regulatory approval for sales in countries outside of the US, it is rather toxic after all.
There will need to be a good amount of fact finding to resolve the respective complaints so this case could drag on for a while but one point alleged by Skincare and seemingly admitted by International is that the MLM company stepped out of the product pipeline sourcing the “Optimera” product line.
Worse still, Intl. failed to cut Skincare in on the proceeds.
Skincare is alleging a breech by Intl. introducing a product that competes directly with the original oleander extract products and Intl. claims breech in Skincare not doing the required work to get the original product line approved for sale in international markets.
If Skincare wins they want the MLM company liquidated, they are 30% owners and claim significant financial injury at the hands of Mr. Olson so are asking for what in some ways amounts to a receivership.
That comes across sounding strange in light of Intl’s counter complaint stating that Skincare and Biotech are cash strapped penny ante operations sucking at the MLM company’s teat.
If Intl. wins Skincare will have to sell their products to them whether they like it or not. And the Nerium MLM will not have to change it’s name.
Which also comes across sounding a little strange because Intl. has already created a new product formulation that can be sold internationally and in the US and while they would lose significant branding in a name change they would also get rid of a million Google links pointing out that Oleander extract really is poisonous (if not used as directed).
Neriums comp plan is virtually the same as Visalus’ Not sure how Dennis could own it since it predates Nerium.
Neriums relationship with Sognum biotech is solid and it looks to me like their ingredients developed at Princeton are even better than the ingredients from Nerium Biotech.
Juennese is well known to pay distributors huge sums of money to join the company. Not exactly a business practice which I would call ethical.
Consultant post-launch (setting everything up) and then President after launch. That’s according to the lawsuit.
I think the copyright claim is dodgy given it’s been six years and all he’s asserting is non-written consent, revocable at any time. I suspect Nerium are going to claim they weren’t aware of any such thing.
DW is a mole.
Do not mess with Karma! Olson did wrong to pre-paid legal (legal shield) and now he will pay!
He is not and ethical person. He is a very player and a womanizer too. He is also a pervert.
I saw him many times at conventions in prepaid legal getting drunk with women and touching their breast and literally sexually assaulting them.
I have seen him drunk many times and let me tell you it’ wasen’t fun! He is not ethical at all. That’s why the Melia brothers did not follow him to be with Nerium. They truly know what he is all about.
Karma is a bitch. I feel bad for all the other leaders they are truly good people.
Bad form for DW.
Thanks for doing the groundwork on the Nerium Skincare lawsuit Glim, much appreciated.
Not nice to spread lies, Lala. Like you said, karma…….
Lala is correct. Olson is a slime ball womanizer. Everyone knows.
Windsor is 1st class. My guess is Nerium will go down for the count. Time to move on.
And not only Dennis is suing but their supplier too! All this can easily put them out of business.
Jeff Olson has an ego and doesn’t really care about people.
He has some good things he has done like the slight edge book and his experience in MLM I will give him that credit. But as a person he doesn’t care. He even cheated on his ex wife Renee and was always a player.
So we’ve so far gone from lawsuits, to Windsor allegedly acting as a spy in Jeunesse, to Olson allegedly being a drunk, sleaze bag, womanizer.
This is getting interesting.
Oz, you should’ve named your blog… “The Dark, Scammy, & Sleazy Side of MLM”.
Name’s a bit long, but the gist of it is about right.
It is a bit of a worry. For some reason the level of distrust in Nerium seems a little on the high side.
If people would actually take the time to look into Nerium International, they would see it’s here to stay. Same with JO.
Look at what Nerium has done in Mexico and Korea. Things no company has done. Building water holes, bringing dental care, packing and serving means. And nothing to to with products or gains.
NI is the largest corporate sponsor for Big Brothers Big Sisters. EVERY penny raised goes to BBBS. Look into Live Happy. No company or CEO can compare. Sorry!
I know there are disgruntled PPL and NI BP’s. But why be nasty? Just choose happy.
You can expect to see the “heavy hitters” leave in droves eventually on to the next big thing.
When MLM companies pay big shots to come to their gimmick there is no loyalty. It isn’t organic growth. It’s manipulated. That’s why Nerium grew so quickly.
When they grow that fast they crash and burn just as fast when the inevitable problems start showing up.
Just like Jeff left Legal shield and brought an army of people with him. At least Dennis just left alone and didn’t take any people with him.
It’s funny how Jeff used to always make fun of being in a product based company and he did exactly what he told people not to ever do! Yes that shows his true integrity.
Actions speak so loud that I cannot hear what you’re saying. Dennis is a good man and he will be better off without Nerium.
Actually he didn’t take anybody with him. They came to him. Too bad you can’t ask them or hear from them first hand.
And NI is not a product based company. And JO was not looking for another company. They also came to him.
Again, if people would take the time to actually look into things, they might know better.
Jeff should get an award worldwide for brain washing. I also experienced his dishonesty and his unethical ways. He has everyone brain washed!!
Making everyone believe they were featured in success from home etc… That magazine is owned by video plus and he has some ownership in that too. And then also wants to get everyone on autoship for magazines and stuff and this whole live happy campaign is B.S too!!
Lol he is great in creating cults not culture!!
JMell, that is very true. And again, if people knew the background of how NI even got started, they would see that this is not a crash and burn company.
Partnered with scientists who have extensive research in patented products. That means no one can duplicate what they have.
You will not find their products on store shelves or kiosks in the mallor on infomercials. 1 product, 1 country, 100 million dollars. In 4 years they have broken records in the DS industry that has never been done before.
Look at DSN, look at where they are at in Inc. 500. And they are not yet global. US, Mexico, Canada, Korea, 4 products, 1 billion in cumulative sales.
Sorry, not really, but NI is here to stay.
Uh, not if either Windsor’s or Nerium Bio’s lawsuits prevail.
I know the whole Nerium story and trust me Mike and Tammy Smith got a Huge deal to come to Nerium!! They already had a 6-7 figure income at legal shield!! And so many others more!
No one in their right mind would leave that income and start from scratch again trust me!! Half of Neriums top leaders came from legal shield. Only time will tell what will happen but Karma is karma.
Jeff is a beast in MLM and I will admit to that he does know what he is doing but as a person he doesn’t have any type of humility or honest care for others.
The fact that Nerium biotechnology is suing him that speaks volume! And Dennis too!
I know Dennis personally too and let me tell you he is a good person. He probably finally got tired of all the non sense!!!
Well that’s ok. I know there are lots of disgruntled PPL reps and others because they quit companies before they make it.
I know Mark and Tammy Smith and I know their story. I know when and how they left PPL. I also know there were other leaders in PPL that left for other companies as well like SeaCret.
I also know people say they “know” when they only know what they want to believe and not what is the truth. So I am happy knowing what I know as truth and there’s no need for me to justify the success of a billion dollar company built by successful happy people that help others succeed.
Negativity is not my thing so God bless and best of luck.
Not questioning the leadership in Nerium it’s one of the best of its kind! But what I am referring to is Jeff true integrity.
I just know too much about him to really believe he is a good person. He was flirting with one of my friends so bad one day and just drunk out of his mind and it was truly bad seeing that. He has a big ego too.
Not humble at all and those are not my type of people. But good luck to Nerium the leaders don’t deserve this.
Dennis talks all day about how much he cares for the Nerium distributors etc etc but files a lawsuit against Nerium 7 days before their National Convention and then promptly takes a position with a competitor whose basic business model and business practices he had been trashing for years. Also he is publicly airing his grievences on his FB page.
Jeff Olson only commented privately that the whole situation made him sad. This was in a closed meeting with the top distributors where he could have, maybe even should have been critical of Dennis.
Who looks like they are operating with more integrity?
If I am not mistaken there is a lawsuit between Nerium and Legalshield also.
I know lawsuits are sadly the price of doing business but Nerium has at least 3 now at the same time if not more.
If someone doesn’t get paid what was agreed they have the right to sue. That’s just my opinion.
Nerium skin care didn’t get what was promised and they are suing too. Jeff reproduced a line outside the country without using Nerium skin care as agreed so that looks like to me that there were two breaches of contract.
If someone does breach of contract there is lack of ethics and honesty. There was another celebrity that sued them a couple of years ago too.
Even if they stay in business they don’t have a very good reputation anymore. They may even loose the rights to use Nerium as their name. So we will see what will happen.
You really just gotta know ALL the facts. The celebrity that sued was because of a BP that was not in compliance. NI is very strict on compliance and the the BP was wrong to do what he/she did.
And if you aren’t behind the scenes and only know what you read, you cannot assume what you read is correct. People will always believe what they want. I choose to believe what I know.
Succeed in what? Amassing large groups of people? And then jumping ship when excitement dies off?
It seems like many of the people who supposedly believed in an MLM product think nothing of leaving; whether it be for the right price or to follow the leader.
Isn’t that a direct contradiction to what the initial selling point was – the remarkable product and residual income.
Only time will tell what will happen but like Lala said no one escapes from Karma.
Not wishing bad on anyone but dishonesty never wins. Bad intentions may succeed for a while but at the end everyone gets what they deserve.
Let’s just wait and see what will happen.
I find this Lala person commiting charecter assignation of this man named Jeff Olson.
I have worked in the legal community for years and met all kinds of people from all walks of life. As a “mature professional” I have learned to seperate the personal “walk a mile in my shoes” and the actual facts of business relationships over the years, and I sleep at night because of it.
So this babbling nonsense about the personal life is all hurtful hearsay UNLESS you rolled over and kissed him/her goodnight (even that can be taken out of context)!
People like Lala react from unresolved emotional issues & project that onto others, like they are too afraid to look in the mirror & take responsibility for their own issues. Basic psych 101!
The facts, as KC firmly clearly repeated over and again keep the waters clear and this avoids the profiling & charecter assassinations so easily spewed by the ignorant.
It seems that Windsor plans did not work so Olson protected his company. Business law & negotiations therein usually start with finger pointing then it gets down to actual facts.
FYI: I heard Olson had a drinking problem and got help and started to make big life changes and was paying it forward.
Humiliations in families with a drunk family member can be overcome in time but the recovering person has a burning desire to right the wrongs and sometimes it drives your soul to do great things.
Maybe, just maybe we should not create more damage by passing judgement on Olson & Windsor!!! I admire that as many of my family died of alcoholism and its used as a horrible public shaming disease.
Would you slander a mentally ill person even after they sought help?
Americans are extremely self righteous and quick to judge…. And we are a country that loves others back to well being, aren’t we?
It’s all a big ass scam anyways. Dennis W., Rene O., Amber O.R, & Her husband Damon all have accounts listed under different “business” names that they get plenty of money from on top of heir base salary.
They could care less if/when NERIUM crumbles to the ground!! Karma is a beautiful bitch!!!!
It’s true OG they all had accounts under different names.
THE CALL CENTER REPS WERE NOT ALLOWED TO SEE THE ACCOUNTS. ONCE IN A WHILE IT WOULD COME UP. THEN UPPER MANAGEMENT WOULD LET YOU KNOW NOT TO GO INTO THOSE ACCOUNTS.
THEY WERE THE ONLY ONES ABLE TO INVEST IN NERIUM. IT STATES IN THE POLICY NO EMPLOYEES CAN BUY OR SELL NERIUM. EVEN THOUGH THE PRODUCT WAS FREE, IT CAME FROM PRODUCT RETURNS FROM FORMER BRAND PARTNERS.
BEFORE HR WAS HIRED DENNIS W WOULD TAKE ALL THE CALL REPS OUT FOR DRINKS. IT WAS ONLY ABOUT 50 PLUS PEOPLE WORKING FOR NERIUM CORPORATE.
IT USE TO BE A FUN COMPANY TO WORK FOR. BREAKFAST EVERY FRIDAY CORPORATE MEETINGS MONTHLY AT RESTAURANTS.
I HATE TO SEE ALL THIS HAPPENING. LOTS OF GOOD PEOPLE WORK FOR THE CORPORATE OFFICE IN ADDISON TX.
THE CALL CENTER MANAGEMENT IS A JOKE. WELL THE CALL CENTER MANAGER SHE IS. THEY EVEN HAVE A NICK NAME FOR HER.
As a 26 year career attorney specializing in major corporate contract law the plaintiff, Mr Windsor, will have a steep uphill climb in the absence of written contracts.
There will most likely be a very much reduced settlement made to the plaintiff. A key supplier forces the liquidation of Nerium. I doubt that one, too.
While then plaintiff may indeed receive favorable treatment in their lawsuit why would they kill the proverbial “Nerium goose that lays the golden eggs?”
Not an MLM participant so I have no stake in the outcome but rumors of the pending death of Mr Olson and Nerium seem quite in-correct and exaggerated.
Seriously, this company is a Joke, the shit burnt my skin!
Cream causes inflammation in the skin and that’s what temporarily improves wrinkles. Nothing magical.
My guess is that the one suing is in this with the one being sued. If he wins, he gets his payout, then the company can file bankruptcy and all the evil doers at top walk away with all of the money.
The general public is often fooled by how evil the corruption at the top is and how many pyramid schemes have one person suing another person and it is all part of their plan to play the stakeholders, banks, IRS, etc.
Mr. Olson & Windsor have been business partners for a long time.
Most multi level marketing is for those with money and trying to get what little moneies it’s so called associates (makes you feel important doesn’t it)
have. I believe this to be fraudulent and smells like they are trying exit by way of fake lawsuits with lots of cash and leaving associates holding the (empty) bag.
Get out while you can, In the name of Jesus! Don’t they use that quite often!
I was recently talking with someone about Nerium.. I’v never been in an network Marketing Co. — man, the drama, the law suits.. How can I be comfortable joining even if the products do work?
I worked in the call center from 2012 to 2014 and saw all the accounts with fake names that each one of them had. They even gave Ambers husband his owm downline.
No work involved. We werent allowed to really look at those accounts but i was always coming across their accounts.
Mr Windsor was trally cool we went for drinks at yje end of the month closings. He’d be celebrating with us.
It was a good company to work for but call center management was garbage. Lots of favorites azz kissing. Management sleeping with reps. Drugs pills were ssold and management knew. I hope its better now.