Report: #1055860

Complaint Review: Viridian Energy

  • Submitted: Mon, June 03, 2013
  • Updated: Mon, June 03, 2013
  • Reported By: Dr. X — Stamford Connecticut
  • Viridian Energy
    1055 Washington Blvd.
    Stamford, Connecticut

Show customers why they should trust your business over your competitors...

If you think Crius Energy - Viridian Energy is a "green" company, think again.  How can a company that sells natural gas from fracking sources be considered "green"?  Perhaps they consider themselves "green" from all the money they withhold from their "Associates"?

As a matter of fact, Aprils 2013 monies owed, commissions, bonuses, or whatever you want to call it, which was due to be paid on May 10, 2013 was not paid to their Independent Sales Associates until May, 29, 2013.  Even then... only as a guestimate of what is owed based on the past ninety days.  Fact is, they simply don't know.  Best part is, April's monies are really from February and March.  Confused?  Why would a reputable company want to confuse their Independent Sales Associates about money owed to them?

For one, Viridian claims that Associates are not Distributors, Franchisees, or Employees, but Independant Sales Associates.

The following is some of the primary factors the FTC and States use in assessing whether a business is in fact a franchise.  If you can answer "YES" to the major three areas, your business could legally be a franchise.

Trademark Usage - Does the business require or permit ISA's (Independent Sales Associate) to use its trademark, service mark or other commercial symbols?  Will the ISA sell products or services identified with Viridian's marks? 

Control or Assistance - Does the business exercise control over the design or appearance of your business,  business or marketing methods, advertising, type of customers, territory, establishing sales programs, training programs, management or personnel advice, operating manuals, standards and procedures manuals?

Payment of Franchise Fee -  Does the cost of joining Viridian exceed $500? (varies by state, CT threshold is $200) Under the FTC Disclosure Rule, almost any payment made by the franchisee to the franchisor within the first six months of the relationship may be construed as a franchise fee.  So in CT, which I'm a Viridian Associate... my enrollment fee was 1/2 price (interesting) at $199, not the normal $399.  When you add the $19.99 per month for a website that allowed me to sign-up customers and fellow Associates in a timely manner, then I'm above the threshold.  Any Associates that joined in the CT market at full price were over the threshold on day one.

Stay tuned if you require additional proof that Crius Energy and Viridian Energy do not uphold the common sense laws of being "green" nor the laws of the State in which they reside and conduct business. I will prove that Viridian Energy is not a legal Business Opportunity or Independent Contractor relationship, but that of a franchise and franchisee. 

On a side note:  Over the years I have learned an interesting correlation between a businesses leadership and their customer service.  I've found that companies with a very high lever of customer service satisfaction always have a great leadership team in place.  Companies that had horrible customer service also had horrible leadership.  If you have ever dealt with Viridian's customer service, you know where I'm going on this one.

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#1 Author of original report

Where did Honest John go?

AUTHOR: Dr. X - ()

Probably to Viridian's new gas only market of Virginia!  Everyone in Viridian knows there's no money to be made selling fracked gas.  So what does Viridian do?  Go to a gas only market for their new market launch!  The Associates or Consultants or whatever they're now called will make next to nothing, while Viridian and their "partners in crime" will follow-up with telemarketing and direct mail to offer that customer fake savings on their electricity.  I can already hear it... "Oh no, that new electric customer will be mine when and if they ever get around to offering electricity in VA".

On a brighter note, you have to love the performance of their shady only legal due to a technicality Canadian Trust KWH-UN.TO, which is the poorest performer in the shady Canadian energy trust group.  Looks like selling their soul to Public Power wasn't such a bright idea in the first place, but it was a necessary evil as it was Viridian's  only out from going under.

Are you still boozing it up Honest John?  Nice to see leadership out partying it up in Stamford while their Associates or Consultants or whatever they're now called still haven't been squared-up in pay.  Pay, mind you that is over 120 days late in some cases!  Which is w-a-y beyond flat-out illegal.  Problem is, finding out which Viridian LLC to sue... but we're getting there!



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#2 Author of original report

More incorrect than correct

AUTHOR: Dr. X - ()

Better wake-up Honest John!

Isn't Mr. Mannings article in Hudson's Register-Star against Viridian's terms for their Associates?  Will he be terminated? How many Associates have been terminated by Viridian for far less?  

What's your warm market?

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#3 Author of original report

No Breakage?

AUTHOR: Dr. X - ()

Hello No Name,

No breakage?  All MLM's have breakage.  If not, they wouldn't work and be attractive to the business.  If Viridian was to have no breakage, which I seriously doubt, they can achieve breakage by kicking people out for going against their terms.  Not like they haven't been doing this all along.  Example: door-to-door marketing outside your "warm" market, which is absolute BS to begin with.  Fact is, Crius does door-to-door marketing and telemarketing... they just don't want their Viridian Associates doing it.  Which is a restraint of trade in itself.  Right from the Crius website ( "Public Power offers service primarily through telemarketing and door-to-door efforts."  

All Fallquist did was steal the concept from Ambit Energy and add a fake "green" twist.  Viridian started shortly after he brokered a deal with another energy company and Ambit Energy.  Fallquist has no experience in network marketing, and it obviously shows.  Half of what they do is straight-up unethical if not flat-out illegal.

If it was a legit business, they would have no problem going public on a US exchange.  Why the need for a Canadian Trust?  No firm would touch a US IPO with Crius.  Why do you think that is? Be sure to give me a jingle back in a few years and inform me of all your Viridian success.  You're on the right track, just the wrong train.




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#4 General Comment

Correct and Incorrect

AUTHOR: Honest John - ()


On some fronts you are spot on, on other fronts you are way off:

First and most important "Commissions". Viridian has grown at such a tremendous pace over the last three years, so it  was necessary to change some of our vendors that deal with the  day to day communications with the utilities.  As you can imagine with close to 300,000 customers using from 100 Kwh to 100's of thousands Kwh per month and over 30,000 independent associates the amount of data is enormous.  Unfortunately the migration has not been as smooth as planned, which has caused the current problem of not being able to calculate exactly what their independent associates have earned (which they have done spot on for over 3 consecutive years).  So rather than not paying during this time they know how important it is to get monies into the hands of the field they have paid an average of the previous three months until they can due a true up when the dust settles with the data migration.

As for "Green Energy", yes Natural Gas is different then Electricity and we cannot control where the commodity comes from. When it comes to Electricity all some one has to do is look at our Sustainability Report ( and view the report that is audited by Ernst & Young.

As for Customer Care, yes we have had our challenges, mostly due to associate and customer growth, this is an area that can only and will get better.  The company is addressing this area as we speak and we see dramatic improvements.  look for us to be recognized by JD Power in the near future.

As for Leadership, Michael Fallquist and his team our second to none, they are dealing with the unprecedented growth that Viridian has had over the past three years and explosion we are currently experiencing.  This team is the group you want driving Viridian to over a Billion dollars in revenue, which will happen within two years.  Something I am proud to be part of.

Lastly back to "Commissions", when all is said and done every associate will be compensated in full and all estimated months will be trued up. Over the next two months all of our associates will have money thrown at them they won't no where it is coming from.  The crazy thing is NOW is the best time ever to join Viridian, all of our competition has been doing whatever we do, when they see our new comp plan they are going to freak, no coded bonuses, no breakage, 100% sustainable.


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