Dec 6, 2006 : EIRCA Disputes DIYHosting Sale

📅 December 6, 2006 - Web hosting provider EIRCA Internet Solutions (eirca.net ) announced on Tuesday it has officially rebuked the sale of DIYHosting (diyhosting.com -> hostpapa.com) to The Internet Group (internetgroupinc.com) and is launching an attack on the company's new directors.

Pecos Technologies, a subsidiary of The Internet Group, acquired the DIYHosting brand in August 2005. EIRCA says it decided to sell DIYHosting and its assets to Pecos Technologies based on what EIRCA believes were false representations of The Internet Group and its financial standing.

Sixteen months later, EIRCA directors say they have launched an attack on the DIYHosting directors over significant outstanding monetary compensation. EIRCA is asking a Harris County, Texas judge to reassign ownership of DIYHosting back to EIRCA Internet Solutions on the grounds of contractual default on the side of Pecos Technologies and The Internet Group.

"It's unacceptable," says Simon O'Rourke, CEO of EIRCA Internet Solutions. "We have given the DIYHosting directors every opportunity to satisfy the contractual agreements, but every opportunity is met with misdirection and deception. We will no longer stand for it and will let the matter go in to the judicial system."

EIRCA directors are expecting a March 2007 hearing and hope to regain ownership of DIYHosting.

Reads: 1952 | Category: General | Source: TheWHIR : Web Host Industry Reviews
URL source: http://www.thewhir.com/marketwatch/120606_EIRCA_Disputes_DIYHosting_Sale.cfm

Company: Eirca

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