I’ve posted about Mike Ferry before. I have seldom had nice things to say about him. This time will be no exception. It isn’t that I think he charges too much for what he delivers – because I don’t. I believe any service provider should be free to charge whatever he wants to charge and that his potential customers should be free to agree or not agree to pay that amount for the service.
My beef is only with the nature of the agreement he gets people to sign. That and his actions if they don’t want to continue with his services. Just those two things: What he gets people to sign and how they are treated if they don’t want to continue: Mike turns them over to a collection agency and threatens them with a lawsuit. Once you sign up and give the Mike Ferry Organization your credit card you have to pay for "the duration of the contract". Period. I don’t know of any other real estate business coach who has a similar practice.
To be fair, Mike has people who adore him. Here are a few: Sylvia Morris, Liz Carter, and a guy I personally know of and respect, Genuine Chris. So I am not saying that what he teaches does not work, as it obviously does. I am saying I don’t like him or his methods. I am not alone. It would be totally alright if I was but that isn’t the case. Someone (I don’t know who) has even registered mikeferrysucks.com. A quick search also finds items like this.
Here is a letter I received a few days ago. It is a (redacted) copy of a letter to Mike Ferry.
….Your letter [collections] is not only threatening, it crosses the boundary of fair business practices that has had a negative impact on my company, as well as its agents. Notwithstanding that … I respectfully request that you terminate whatever “Contract” you say you have … as well as any further payments you are demanding, and “including filing suit.”
It is my sincere hope that you will agree to the above immediately; and avoid the imminent adversarial actions that would follow should you pursue this further, including, but not limited to, counter suit, filings with business/professional organizations and State Agencies. You represent yourself to many realtors as a consultant and “coach” to advance their sales abilities; however, you also appear to be a very formidable “Collections” business, based on your referenced letter. I would question if the realtors to whom you sell your services were aware of your “Collections” business, which must be a major profit center to you right now in this difficult time in the real estate industry [They] do not understand all the consequences of your services not only failing to improve income; moreover, actually reducing it.
And then this one today:
Dear Mr. Ferry:
This is in follow up to letter to you…. The following are questions to which we need answers based on information found by cursory research on your organization.
We could not find any business registrations in the State of CA [corporations, Agent for Service, DBAs, Business License, etc.] Please provide us with your Agent for Service in the State of CA.
I … reviewed your “Contract”… It states: “This contract is deemed entered into on the date when it is approved and signed by MFO and it is deemed to be entered into in Las Vegas, NV.” It is understandable why your “Contract” calls for that jurisdiction, if in fact you have no legal presence in the State of CA, disallowing you from any legal enforcement rights here. First, the cited “contract” is unsigned by MFO, there is no “Approval Date,” nor “MFO Initials.” It is therefore not valid. Second, agent may have been injudicious in signing such a contract, particularly with Las Vegas as its place of venue; however, you in fact entered into this contract in Orange County, CA, from your offices located here, and offered your services in this location – Not Las Vegas, NV. Accordingly, your “Contract” has no legal jurisdiction in NV or CA. Moreover, MFO operated from Irvine, CA, without any legal business permit, according to public records. Should you choose not to drop your threats and claims … we will file an action in Orange County, CA, to not only nullify your “Contract” but to seek restitution.
Other public records found include 20 civil actions – in Orange County alone – in which you were Plaintiff 11 Times [Primarily “Breach of Contract” – those would likely be your “Collections” actions against unsuspecting realtors] and Defendant: 9 Times [Libel, Employment Related actions, Collections, Sexual Harassment]. Among other things, I would like to know under what legal auspices you were able to sue in CA. Do you have any legal business entities filed here? Again, if you do, we need your Agent for Service.
In addition to public records, searches on Google, etc, produced unsettling information on MFO, if true. I do not give personal invective [and there is much of that published about you and your organization] much credence; however, references to your problems with the State of CA, EDD, Franchise Tax Board, etc, and looming mass action suits against you by your “coaches”& staff point to serious issues about your business, its practices, and reasons for leaving CA.
…Absent that, you will find yourself back in Orange County, CA, shortly to stand probe.
I also received from him an extensive list of the public records for Mike Ferry’s lawsuits. I found the length of the list most interesting. Obviously, if a Threat Letter needs to be sent to me, here is my contact information.