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Schwartz Responds to Amway with a Countersuit

Sidney Schwartz used to have a website. It was well researched, and thoroughly documented, and chronicled the abuses of Amway distributors and Amway Corp. The site, "Amway: The Untold Story" began in 1996, and was removed by its owner earlier this year after more than a year of ongoing harassment by Amway.

As part of that harassment, Amway has added Schwartz as a defendent to its petty suit against Procter & Gamble, filed in its hometown court in Grand Rapids, Michigan.

Schwartz' response to Amway's suit is almost comical in its simplicity. Paragraph by paragraph he simply states, "Defendant Schwartz is without sufficient information to admit the allegations contained in paragraph X and therefore denies the same." So, in response to Amway's high-flown rhetoric and hornblowing in paragraphs 1-3, Schwartz acknowledges in paragraph 6 that, yes, he does live in the state of Oregon, and he did operate a website titled "Amway: The Untold Story." Schwartz goes on to deny all of Amway's allegations about the alleged conspiracy with Procter & Gamble

Schwartz then claims eight Affirmative Defenses in his case, including fraud on the part of the plaintiff (Amway), "unclean hands" on Amway's part, and truth, in that the plaintiff's claims are demonstrably false.

Schwartz makes the following counterclaims:

  1. Amway knows that its top distributor earn their money from the support system and not from Amway, and that Amway has actively supported these "support organizations."
  2. The truth about the support business is generally secret from distributors.
  3. Amway "has and continues to actively promote the phenomenal wealth and lifestyles of its biggest distributors as being derived from Amway product sales."
  4. Amway has never made a serious effort to inform distributors of the truth.
  5. Amway has abused the legal process in an attempt to deprive Schwartz of his First Amendment rights.
  6. Amway's allegations are fale, and Amway and its attorneys should face legal sanctions for bringing the action.
  7. Amway's action against Schwartz was designed solely to harass him.

Schwartz asks that Amway's complaint be dismissed with prejudice, and that Schwartz be awarded an amount in damanges to be determined later.


Read Complete Text of Countersuit

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This page updated Nov-05-1-99