Valentus SlimRoast coffee supplier lawsuit claims $3.18 million owed
When I reviewed Vitae Global last week, one of the things I picked up on was the company’s supplier, Advanced Laboratories International and owner Louis Volpe, were also credited with supplying competitor Valentus with their SlimRoast coffee.
With Volpe also a named co-founder of Vitae Global, surely there was or was going to be a conflict of interest as, through Advanced Laboratories, he was directly supplying a competitor.
Turns out there’s a saga behind the formation of Vitae Global, dating back to early 2016.
Today we take a look at the origins of the beef between Valentus and Volpe, starting with a lawsuit filed by Advanced Laboratories on December 21st, 2016.
In their lawsuit, Advanced Laboratories allege that on March 25th, 2016 it entered into a supplier contract with Valentus.
As per the contract, Advanced Laboratories were to supply Valentus with two 40,124 lb containers of dry roasted coffee for $3.7 million dollars.
This included packaging of the coffee into 630,000 boxed single-serve sachets.
Advanced Laboratories purchased the first container of coffee and made up 315,000 boxes in June, 2016.
In July Valentus paid Advanced Laboratories $600,000 for 100,000 of the boxes.
According to Advanced Laboratories, it was agreed the remaining 215,000 boxes would be purchased upon delivery of boxes manufactured from the second container of coffee.
Based on this agreement, Advanced Laboratories purchased the second container of coffee in August.
Whether the coffee was manufactured into sachet boxes is unclear, but in December Valentus informed Advanced Laboratories that they would not be purchasing any more coffee.
Advanced Laboratories see this as breach of contract and are demanding $3,180,000 in damages, on top of incidental and consequential costs and prejudgment interest.
In their response and counter-claim, Valentus generally deny all of Advanced Laboratories allegations.
Valentus’ counter-claim drags Vitae Global into the fray and alleged Advanced Laboratories has
engaged in a deliberate and calculated campaign to misappropriate Valentus’ goodwill, raid its distributors, and destroy its business.
More on that tomorrow…
Update 2nd May 2017 – Valentus’ counter-claim accuses Advanced Laboratories, Vitae Global and Louis Volpe of raiding, extortion & RICO violations.
Update 16th May 2017 – As per a May 3rd order, a tentative trial date has been scheduled for December 3rd, 2018.
Update 28th February 2018 – On February 21st Advanced Laboratories and Valentus informed the court they’d reached a confidential settlement.
Consequently Advanced Laboratories lawsuit and Valentus’ counter-claims were dismissed with prejudice.