A second lawsuit has been filed by a ProAdjuster owner against Pro-Solutions, this time by a chiropractor in Iowa.1 The first known action by a DC against Pro-Solutions, which sells the ProAdjuster equipment and related services, was filed by a Texas chiropractor in May of last year as a cross-complaint in an action with her leasing company.2,3 While there has been talk of other lawsuits being filed against Pro-Solutions by some of its clients, the Iowa filing is only the second to surface thus far.
The most recent action was filed on March 1, 2010, and like the first suit, is part of a larger lawsuit involving the doctor and his leasing company. And as was true with the first lawsuit, the issue does not appear to be with the basic equipment itself. Both actions have been taken as part of an effort by the doctors to negate their liability in the lease agreements they signed. Both actions suggest that had the doctors not relied on statements made by Pro-Solutions, the doctors would not have signed the lease agreements or purchased the equipment.
For example, the Iowa suit alleges that at a seminar attended by the plaintiff, Pro-Solutions representatives, including company president Maurice (Mo) Pisciottano, "made various false and misleading statements" in attempting to induce the doctor to purchase the equipment, including that the doctor's business would triple and his bottom line would increase by 27 percent. The 10-page Iowa action also focuses on purported promises made by Pro-Solutions that would have allowed the doctor to return the equipment if unsatisfied or unsuccessful.
It is also apparent that in both cases, the doctors expected to have a certain amount of recourse with Pro-Solutions after they signed the lease. The Iowa suit mentions "Pisciottano's and Pro-Solutions' willing refusal to abide by the terms of the promises" made to the doctor, "including money-back guarantees and the Replacement Contract." According to the suit, those "promises" induced the doctor to sign a lease agreement he ultimately could not afford to maintain. In fact, the Iowa suit states clearly that the doctor's inability to make lease payments is the "sole basis of the underlying suit currently pending."
The question of what promises, if any, were made to these two doctors and what liability those alleged promises create for Pro-Solutions is a matter for the courtroom. The failure of the doctors in question to significantly increase their income is a reality with which no one can argue.
As reported in DC late last year, Pro-Solutions' legal troubles began in October 2009 when Sigma Instruments, manufacturer of the ProAdjuster, filed a $400,000 lawsuit in Pennsylvania alleging breach of contract and "commercial disparagement."3 Under Pennsylvania state law, "commercial disparagement" provides a remedy to businesses whose products or services are allegedly disparaged by false statements. According to that lawsuit's first count, Pro-Solutions owes Sigma $427,490 for 52 ProAdjusters (total cost: $416,000) purchased by Pro-Solutions, but not paid for, as well as $11,490 for unpaid repair work. The second count alleges that Pro-Solutions "did not invent or develop the system," but are claiming it did "on the Pro-Solutions Web site and in promotional materials."
References
- Copy of lawsuit filed by Iowa DC against Pro-Solutions. Filed in the Iowa District Court in and for Linn County, March 1, 2010.
- Copy of cross-action filed by Texas DC against Pro-Solutions. Filed in District Court, 215th Judicial District, Harris, Texas, May 27, 2009.
- "Pro-Solutions Sued for Breach of Contract." Dynamic Chiropractic, Nov. 18, 2009.
Complete reference/background materials, including Sigma's initial complaint, the actions filed by the Iowa and Texas chiropractors, and complete e-mail interviews with Pro-Solutions President Dr. Maurice (Mo) Pisciottano and Sigma President John Crunick, are available online at www.dynamicchiropractic.com/proadjusterlawsuits.
