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Guidotti v. Narconon: Complaint

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Case 3:14-cv-00683-MCR-CJK Document 1 Filed 12/22/14 Page 1 of 21

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Ryan A. Hamilton
CA BAR NO. 291349 (pro hac vice forthcoming)
HAMILTON LAW, LLC
5125 S. Durango Dr., Ste. C
Las Vegas, NV 89113
(702) 818-1818
(702) 974-1139 (fax)
ryan@hamiltonlawlasvegas.com
Jeffrey M. Stephens
Fla. Bar No. 969710
STEPHENS LAW FIRM, P.A.
4507 Furling Lane, Ste. 210
Destin, FL 32541
(850) 837-7135
(850) 837-1969 (fax)
stephenslaw@mac.com
Attorneys for the plaintiff,

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UNITED STATES DISTRICT COURT

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NORTHERN DISTRICT OF FLORIDA

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LUCY GUIDOTTI,
Plaintiff,

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Case No.

vs.
NARCONON GULF COAST, INC.; BLU BY
THE SEA, LLC; ASSOCIATION FOR
BETTER LIVING AND EDUCATION
INTERNATIONAL; NARCONON
INTERNATIONAL; NARCONON EASTERN
UNITED STATES and DOES 1-100, ROE
Corporations I X, inclusive,

COMPLAINT AND JURY DEMAND

Defendants.

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Plaintiff Lucy Guidotti (Plaintiff), by and through counsel, alleges the following:
I.
PARTIES
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Case 3:14-cv-00683-MCR-CJK Document 1 Filed 12/22/14 Page 2 of 21

1.

Plaintiff Lucy Guidotti is a resident of Florida.

2.

Defendant Narconon Gulf Coast (hereafter Gulf Coast), is, a Florida Non Profit

Corporation that maintains its principal place of business at 3391 Scenic Hwy 98 East, Destin,

Florida 32541.

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of business at 3391 Scenic Hwy 98 East, Destin, Florida 32541. On information and belief, Blu By

The Sea has assumed the assets and liabilities of Gulf Coast.

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in Los Angeles, California.

Defendant Blu By The Sea, LLC is a Florida Corporation that maintains its principal place

Defendant Narconon International (NI) is a California corporation with its headquarters

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5.

NI is the principal of Defendant Narconon Gulf Coast. NI exercises control over the time,

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manner, and method of Gulf Coasts operations. NI also licenses the standardized treatment

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program that Gulf Coast uses, the Narconon Program, to Gulf Coast.

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6.

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Narconon Gulf Coast. NI may be served with process through its registered agent, Sherman D.

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Lenske, 6400 Canoga Ave., Suite 315, Woodland Hills, CA 91367.

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7.

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the drug rehabilitation, education, and criminal justice activities of the Church of Scientology

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including, but not limited to, Gulf Coast and NI.

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8.

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in Los Angeles, California.

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9.

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actively managing their daily operations, including conducting inspections of Narconon centers

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and creating, licensing, and approving their marketing materials.

NI was doing business in the State of Florida by and through its agent and Defendant

Defendant Association for Better Living and Education International (ABLE) oversees

Defendant ABLE is a corporation registered in the State of California with its headquarters

ABLE controls the time, manner, and method of NIs and Gulf Coasts businesses by

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Case 3:14-cv-00683-MCR-CJK Document 1 Filed 12/22/14 Page 3 of 21

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ABLE transacts business in the State of Florida by and through its agents, NI and Gulf

Coast. ABLE may be served with process through its registered agent, Sherman D. Lenske, 6400

Canoga Ave., Suite 315, Woodland Hills, CA 91367.

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headquarters in Virgina.

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managing its daily operations, and creating and approving their marketing materials.

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its registered agent, CT Corporation System, 4701 Cox Road, Suite 285, Glen Allen, VA 23060.

Defendant Eastern (Eastern) is a corporation registered in the State of Virginia with its

Eastern controls the time, manner, and method of Gulf Coasts business by actively

Eastern transacts business in the state of Florida and may be served with process through

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14.

Plaintiff is unaware of the true names and capacities, whether individual, corporate,

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associate, or otherwise, of Defendant DOES 1-100, inclusive, and, therefore, sues these

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Defendants by fictitious names. Plaintiff will seek leave of this Court to amend this Complaint

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when the identities of these Defendants are ascertained.

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II.

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JURISDICTION AND VENUE

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15.

This Court has federal question subject matter jurisdiction pursuant to 28 U.S.C. 1331.

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16.

Venue is proper in this Court pursuant to 28 U.S.C. 1391(a) because a substantial portion

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of the events and omissions giving rise to this lawsuit occurred in this District, and the Court has

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personal jurisdiction over each of the parties as alleged throughout this Complaint.

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III.

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ALLEGATIONS COMMON TO ALL COUNTS

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17.

On or about March 3, 2013, Plaintiff Lucy Guidotti was searching the Internet for a drug

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and alcohol rehabilitation facility for herself.

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Case 3:14-cv-00683-MCR-CJK Document 1 Filed 12/22/14 Page 4 of 21

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Lucy found the website www.gulfcoastdrugrehab.com. This website was for Defendant

Narconon Gulf Coast Rehab, although the website advertised facility only as Gulf Coast

Addiction Treatment and made no mention of Narconon.

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The website advertised the facility as having an over 90 percent success rate.

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The website further advertised that Gulf Coast: (a) had a sauna program that could reduce

or eliminate an addicts drug cravings; (b) provided individualized treatment for every patient; and

(c) provided cognitive behavioral therapy.

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Christopher Ross. The Rosses repeated to Lucy the representations made on the website.

Lucy called the number on the website and spoke with Deborah Ross and her son,

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The Rosses further represented to Lucy: (a) that they would cure her of the panic attacks

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she had been experiencing; (b) that the facility employed highly-trained specialists with degrees in

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Psychiatry; and (c) that she would be under supervision by medical professionals at all times at the

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facility.

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treatment.

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Gulf Coast purported to treat Lucy using the Narconon Treatment Program.

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25.

The Narconon Treatment Program consists of two components: (1) course materials

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consisting of eight books by L. Ron Hubbard; and (2) a sauna and vitamin program known as the

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New Life Detoxification Program.

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26.

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of the specific circumstances surrounding the patients addiction.

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27.

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Hubbard, the founder of the Scientology religion. These eight books contain almost no

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information about drugs, substance abuse, or its treatment.

Based on these representations, Lucy paid Gulf Coast $40,000.00 and admitted herself for

Each patient in the Narconon Program receives the exact same written materials regardless

The Narconon written materials consist of eight books based on the works of L. Ron

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Case 3:14-cv-00683-MCR-CJK Document 1 Filed 12/22/14 Page 5 of 21

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The eight Narconon books contain only Scientology doctrines and teachings. Such

doctrines include, without limitation, the Eight Dynamics of Existence, the Conditions of

Existence, the Suppressive Person and Potential Trouble Source doctrines, the Tone Scale, the

Affinity Reality Communication triangle, and the Cycle-of-Action.

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Scientology scriptures.

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come straight from Scientology scripture and have no apparent connection to the treatment of

substance abuse.

Almost all of the material in the Narconon books has been copied directly out of

Gulf Coast had Lucy perform drills known as Training Routines or TRs. These TRs

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For example, in TR3, Gulf Coast had Lucy sit with another patient and repeatedly ask the

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other patient Do fish swim? for hours on end.

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32.

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personality or stress test known as the Oxford Capacity Analysis. This analysis contains 200

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questions that a patient must answer yes, no, or maybe.

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railway timetables, directories, or dictionaries just for pleasure?

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34.

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Life Detoxification program.

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Purification Rundown, or the Purif. The Purification Rundown is a required component of

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Scientology training and is part of Scientologys Bridge to Total Freedom.

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remain in the bodys fatty tissue long after use. The drug residue is released from the fatty tissue

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from time-to-time into the bloodstream causing the individual to crave the drug, and, ultimately,

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relapse.

To gauge a patients progress in the Narconon program, the patient is given Scientologys

A typical question on the Oxford Capacity Analysis is question 3: Do you browse through

Gulf Coast had Lucy undergo the Narconon sauna program that Narconon calls the New

The New Life Detoxification program is identical to the Scientology ritual known as

Narconons rationale for the sauna program is that residue of many different types of drug

Case 3:14-cv-00683-MCR-CJK Document 1 Filed 12/22/14 Page 6 of 21

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Gulf Coast represented to Lucy that its sauna program would flush residual drug toxins out

of her system and thereby reduce or eliminate the drug cravings the residue causes.

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entering the sauna each day. On entering the sauna, Narconon requires each student to ingest

increasing doses of Niacin and a vitamin bomb.

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five weeks in a sauna at temperatures between 160 and 180 degrees Fahrenheit.

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New Life Detoxification Program.

Under the New Life Detoxification program, students first exercise vigorously before

The New Life Detoxification Program requires students to spend five hours per day for

Gulf Coast had Lucy ingest doses of up to 5,000 milligrams of Niacin per day under the

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program.

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Scientologys Purification Rundown, are false and do not withstand scientific scrutiny.

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Narconon of Northern Georgia in a wrongful death suit filed against those entities, testified at a

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deposition. Relevant portions of Dr. Casals deposition testimony are attached hereto as Exhibit

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A. When asked under oath about the New Life Detoxification Program, he testified that there is no

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scientific basis for the notion that sweating in a sauna detoxifies a persons body or treats

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addiction:

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Q.

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There were no medical personnel overseeing Lucy while she was undergoing the sauna

All Defendants claims about the benefits of the Narconon sauna program, i.e.,

In a prior lawsuit, Dr. Louis A. Casal, an expert retained by Narconon International and

Have you looked at the Narconon literature on what Narconon contends the

benefits from the sauna are?

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A. [Dr. Casal] Yes, I have.

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Q.

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your body. True?

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A.

And the sauna program, what Narconon contends is that in it in fact detoxifies

True.
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Case 3:14-cv-00683-MCR-CJK Document 1 Filed 12/22/14 Page 7 of 21

Q.

But theres no scientific basis that you can point to support that contention, is there,

A.

Youre correct.

Q.

So when Narconon states that the sauna program detoxifies its students, youre not

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sir?

aware, as a medical doctor, of any scientific basis for that contention?


A.

I agree.

Exhibit A, Deposition of Dr. Louis Casal, 136:21 137:9.

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other verifiable evidence to support their claimed success rates.

NI claims a success rate of 76% for all Narconon centers. NI has published no studies or

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45.

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that their treatment programs have at least a 76% success rate. NI and ABLE know full well that

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there is no evidence to back up this claim.

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46.

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testified at her deposition that he was not convinced Narconons claimed success rate was true:

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NI, ABLE, and Eastern direct individual Narconon centers such as Gulf Coast to advertise

Dr. Casal, the medical expert retained by Narconon International in another lawsuit,

Q.

Okay. What are you relying on well, let me ask you this; do you believe that 76

percent success ratio is accurate?

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A. [Dr. Casal]. Mr. Harris, Ill be honest with you, thats a big number.

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Q.

Yeah, its its a real big number.

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A.

Its a big number.

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Q.

And its completely inconsistent

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A.

I I hope its true, but, I mean, I would need some convincing.

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Q.

Okay. Do you have any idea where Narconon is getting the numbers that its using?

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Case 3:14-cv-00683-MCR-CJK Document 1 Filed 12/22/14 Page 8 of 21

A.

You know, in the interest of time I just didnt have enough time to delve deeper

into those studies, Mr. Harris. And I I would be happy to, but, no, I dont have a clear

understanding of where that 70 70-something number came from, no, sir.

Exhibit A, Deposition of Dr. Louis Casal, 124:21 125:5; 126:1 7.

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advised the Narconon Freedom Center in Michigan not to claim the high success rate in

responding to a Better Business Bureau complaint. Ms. Arcabascio advised Narconon Freedom

do not say we have 70% success (we do not have scientific evidence of it). See email from Ms.

Arcabascio, attached hereto as Exhibit B.

Likewise, the Director of Legal Affairs for Narconon International, Claudia Arcabascio,

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Defendants are well aware that there is no basis for the claimed success rate of the

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Narconon program. Nevertheless, Gulf Coast claimed an over 90% success rate for the Narconon

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program to Lucy to induce her to admit herself to Gulf Coast for treatment.

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Church of Scientology. For example, a Narconon titled the Narconon Technical Line-Up

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provides a flow chart of a patients experience into and through the Narconon program. The

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document shows that when a patient finishes the Narconon program, the patient is to be route[d]

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to the nearest Org for further services if the individual so desires. Org is Scientology jargon for

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an individual church providing services for the Church of Scientology. A copy of the Narconon

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Technical Line-up is attached hereto as Exhibit C.

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program to be an initial step into getting on Scientologys Bridge to Total Freedom, the key

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spiritual journey that practitioners of the Scientology religion undertake. See, e.g., Narconon

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News, 1974, Volume 6, Issue 3: Narconon Is The Bridge to The Bridge, attached hereto as

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Exhibit D.

NIs own documents indicate that the Narconon program is used to recruit patients into the

NI considers its program to be the Bridge to the Bridge. That is, NI considers its

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example, Narconon Fresh Start displays tokens of gratitude it has received for introducing patients

to Scientology around its offices. At Narconon Fresh Starts headquarters in Glendale, California,

hangs a plaque from the Church of Scientology that thanks Larry Trahant and The Narconon

Fresh Start Team for introducing patients to L. Ron Hubbard and The Bridge. The writing on

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the plaque provides, in relevant part:


Larry and his dynamic team at Narconon Fresh Start are hereby warmly
thanked and highly commended for their dedication and hard work. They
give us tremendous back up in introducing LRH to the world and are
saving lives on a daily basis. There are thousands of beings who have
taken their first steps on The Bridge, thanks to the compassion and efforts
of this team.
A photo of this plaque is attached hereto as Exhibit E.

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Scientologys plan to clear civilization. (To go clear is the ultimate spiritual goal for a

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Scientologist, achieved after one goes up the Bridge to Total Freedom.) The document attached

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hereto as Exhibit F, shows a Church of Scientology, or an Org as its known, with an arrow

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directed at the NI Jumping Man logo. The document reads:

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Other Narconon Centers have received recognition for getting people into Scientology. For

Scientologys own marketing documents show that the Narconon program is part of

The question is not how to clear an individual, its how to clear a


civilization by making every one of our orgs a central organization
responsible for every sector of Scientology activities across its [sic] entire
geographic zone.

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In other words, the Church of Scientology is supposed to direct NI to achieve Scientologys

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spiritual goal of clearing civilization.

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technology to unwitting patients seeking drug rehabilitation. This is exactly as the Church of

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Gulf Coast is using the Narconon program to introduce Scientology and L. Ron Hubbards

Scientology directed as part of its Social Coordination Strategy. Scientology explicitly outlined
this strategy in an urgent Executive Directive from the Authorization, Verification, and Correction

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Department of its Religious Technology Center. The Executive Directive outlining the Social
Coordination Strategy is attached hereto as Exhibit G (hereafter the SOCO Directive).
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YOU ARE THERE TO SELL LRHs TECH TO THE SOCIETY AND


GET IT USED, AS THE TECH. You do this through a SMOOTH JOB
OF PROMTIONAL ORGANIZATION FRONT GROUPS,
CORPORATIONS, FIELD WORKERS, ETC. (emphases in original).

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The SOCO Directive instructed all SOCO GROUPS, which includes Narconon, as follows:

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The SOCO Directive expressly directed using front groups to introduce L. Ron Hubbards

technology, i.e., Scientology to society.


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During Lucys time at Gulf Coast, there were no highly-trained specialists with Psychiatric

degrees. There was no continuous medical supervision.


57.

Despite Gulf Coasts representations that Lucy would receive cognitive behavioral therapy

and would be cured or her panic attacks, Gulf Coast representatives never provided Lucy
cognitive behavioral therapy. Lucys panic attacks became more frequent during her stay at Gulf
Coast and after.
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While undergoing the Narconon sauna program, i.e, Lucy experienced extreme drops in

her pulse as well as persistent diarrhea.


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When Lucy reported her alarming symptoms to Gulf Coast while undergoing the New Life

Detoxification Program, they told her that such symptoms were normal and instructed her to get
back in the box.
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Gulf Coast represented to Lucy that its sauna program could rid her of residual drug toxins

and reduce/eliminate her cravings for drugs and alcohol. But Book 2 of the Narconon Program
the book that pertains to the sauna program states that the sauna program makes no medical
claims.
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Lucy was forced to leave the Gulf Coast program early because of health problems the

sauna program, i.e., the Purification Rundown was causing her. She received none of the treatment
she had been promised and for which she had paid more than $40,000.00.
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Case 3:14-cv-00683-MCR-CJK Document 1 Filed 12/22/14 Page 11 of 21

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Coast.

Lucy continues dealing with physical and emotional problems due to her time at Gulf

RELATIONSHIP AMONG DEFENDANTS

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Plaintiff incorporates by reference, as if fully set forth herein, each and every allegation set

forth in the preceding paragraphs and further allege as follows:


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64.

Defendant Narconon Gulf Coast is controlled by Defendants NI, ABLE, and Eastern.

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NI, ABLE, and Eastern heavily influence Gulf Coast and govern and control nearly every

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aspect of Narconon Gulf Coasts business activities.


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NI publishes operations manuals and requires that individual Narconon centers such as

Gulf Coast abide by these manuals in their operations. These operations manuals are called
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Running An Effective Narconon Center and Opening A Successful Narconon Center.


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These manuals show that NI, ABLE, and Eastern have the ultimate authority over Gulf

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Coast employees. Gulf Coast cannot demote, transfer, or dismiss a permanent staff member at
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Gulf Coast without approval from the Senior Director of Administration at NI.
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68.

NI, ABLE, and Eastern have the ultimate authority over the hiring of staff members at Gulf

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Coast. If a Gulf Coast staff member does not meet the qualifications of a staff member, the staff
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member may petition the Senior Director of Administration at NI to remain on staff.


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69.

If a staff member at Gulf Coast believes she has been given orders or denied materials that

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make it hard or impossible for her to do her job, she may file a Job Endangerment Chit with the
Ethics Department at NI. NI and Eastern then investigate and works to resolve the staff members
issue.
70.

The operations manuals require staff members at Gulf Coast to report misconduct and

nonoptimum conduct to the Quality Control Supervisor at NI. NI and Eastern investigate
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misconduct at Gulf Coast and may take disciplinary actions against its staff members.
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NI and Eastern receives ten percent of the weekly gross income from Gulf Coast.

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NI requires Gulf Coast to send it detailed weekly reports containing statistics of more than

40 different metrics. NI and Eastern review these weekly reports and order changes at Gulf Coast

based on increases or decreases in the statistics in the reports.

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materials before Gulf Coast disseminates them. Further, Gulf Coast must obtain approval as to its

Internet websites from NI, Eastern, and ABLE before the sites go live.

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Eastern, and ABLE dictate the contents of those advertising materials.

NI, Eastern, and ABLE require that Gulf Coast receive approval on all promotional

NI, Eastern, and ABLE also assist in creating Gulf Coasts advertising materials. NI,

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75.

NI requires that Gulf Coast maintain a building account fund in which weekly monies

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from the gross income are used to purchase new premises and also as a cushion to salvage the

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organization in dire circumstances. The building fund is under the control of NI.

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76.

Upon information and belief, Eastern receives a percentage of Gulf Coasts gross income.

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77.

NI, Eastern, and ABLE conduct tech inspections at Gulf Coast. These inspections entail

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NI, Eastern, and ABLE monitoring and correcting the manner in which Gulf Coast delivers the

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Narconon treatment program to patients. NI, Eastern, and ABLE instruct staff at Gulf Coast as to

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the exact manner in which they are to perform their services and deliver the Narconon treatment

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program.

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78.

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different training materials on subjects ranging from the Narconon sauna program to overseeing to

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delivering the Narconon treatment program.

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to such a large extent that they publish the exact materials authorized to be sold in an individual

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Narconon centers bookstore.

NI and ABLE also publish all training materials for Gulf Coast. This includes seven

NI, Eastern, and ABLE micro-manage individual Narconon centers such Gulf Coast d/b/a

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80.

Further, the NI Director of Technology and Approval demands and ensures that there are

good photos of L. Ron Hubbard visible in every center and that materials are available to students

and staff as to L. Ron Hubbards contributions in the field of alcohol and drug rehabilitation.

81.

problems, including patient requests for refunds and complaints to the Better Business Bureau. In

addition, NI, Eastern, and ABLE work to combat negative publicity for Gulf Coast.

82.

NI, Eastern, and ABLE have the right to exercise final authority over all decisions at Gulf Coast

relating to hiring and firing, delivery of services, finances, advertising, training, and general

NI, Eastern, and ABLE work with individual Narconon centers such as Gulf Coast on legal

NI, Eastern, and ABLE are intimately involved in the day-to-day operations of Gulf Coast.

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operations.

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83.

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widespread insurance fraud committed by Narconon in Georgia, Narconon centers began

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attempting to conceal their use of the Narconon program.

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84.

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under the new name Blu By The Sea, LLC, to distance itself from the increasing negative media

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attention on the Narconon Program.

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85.

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Scientology religion under the guise of providing drug rehabilitation.

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86.

Because of deaths of patients in the care of Narconon in Oklahoma as well as reports of

On information and belief, Defendant Gulf Coast Rehab changed its name or incorporated

All Defendants perpetrate the scheme described herein to recruit for and promote the

NI, Eastern, and ABLE all are principals served by their agent, Gulf Coast.

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FIRST CLAIM FOR RELIEF (AS TO ALL DEFENDANTS)

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CIVIL RICO FOR MAIL AND WIRE FRAUD, 18 U.S.C. 1964(c)

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87.

Plaintiff incorporates by reference, as if fully set forth herein, each and every allegation set

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forth in the preceding paragraphs and further alleges as follows:

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88.

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racketeering activity.

Plaintiff has been injured by Defendants conduct of an enterprise through a pattern of

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89.

Defendants have engaged in a scheme to defraud Plaintiff and countless others. In

furtherance of that scheme, Defendants have committed countless acts of mail fraud and wire

fraud under 18 U.S.C. 1962 within the preceding ten years.

90.

purporting to be either websites for treatment programs or websites for independent referral

services for drug treatment programs.

91.

routinely conceal the fact that they are affiliated with the Narconon Program or facilities that use

the Narconon Program.

Defendants perpetrate this scheme as follows: Defendants set up numerous websites

As with the website at issue in this case, www.gulfcoastdrugrehab.com, these websites

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92.

When the websites do reveal that they use the Narconon program, the websites conceal the

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fact that the Narconon Treatment Program is connected with the Church of Scientology. The

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websites also conceal the fact that the entire Narconon Program is comprised of Scientology

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doctrines and scriptures.

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93.

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drug rehab program the Narconon program (whether or not the site expressly refers to the

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Narconon name) and falsely claim the following: (a) that the drug rehab program has a 76%

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success rate or more; (b) that the drug rehab program has a sauna program that has been

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scientifically shown to reduce or eliminate an addicts drug cravings; (c) that the program is

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secular and does not involve the study or practice of religion; and (d) that the program involves

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individualized treatment and extensive counseling when, in fact, each patient undergoes the same

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sauna treatment and receives the same L. Ron Hubbard books.

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94.

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speak to an intake specialist. The intake specialist, directed by Narconon, makes a host of false

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claims to induce the patient to admit himself the Narconon facility such as the false claims

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Deborah and Christopher Ross made to Plaintiff on March 3, 2013.

As with the website at issue here, www.gulfcoastdrugrehab.com, the websites advertise a

When a prospective patient or their loved one calls the number on one of the websites, they

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95.

These false claims include: (i) that Narconon has a more than 76% success rate; (ii) that

Narconons sauna program reduces or eliminates drug cravings by eliminating toxins from an

addicts fatty tissue; (iii) that patients at Narconon will receive extensive drug counseling; (iv) that

the Narconon program does not involve any religion; and (v) that patients at Narconon will be

under the supervision of licensed physicians and other medical personnel.

96.

false claims to induce them to enter into the program.

97.

located. For that reason, Defendants use of the phones, wires, mail, and Internet is integral to their

Defendants also mail prospective clients such as Plaintiff pamphlets making these same

Defendants often recruit prospective clients from different states in which the facility is

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fraudulent scheme.

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98.

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Narconon staff member following the patients completion of the program. In doing so, the patient

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becomes a counselor for the next wave of incoming patients. This scheme allows Defendants to

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pay a patient-turned-counselor low wages and Defendants are spared the relatively higher cost of

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paying duly qualified addiction counselors.

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99.

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advances in the Narconon organization by taking Scientology courses and services.

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100.

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Scientology, as evidenced by Defendants own documents, attached hereto as Exhibits C through

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G.

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101.

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$40,000.00, the money she paid for services Gulf Coast did not and could not provide.

While a patient is undergoing the program, Defendants prepare the patient to become a

As a patient-turned-counselor, the person is further indoctrinated in Scientology and

Defendants use the Narconon treatment program as a recruiting tool for the Church of

As a result of Defendants racketeering activity, Plaintiff has been deprived of more than

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Case 3:14-cv-00683-MCR-CJK Document 1 Filed 12/22/14 Page 16 of 21

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SECOND CLAIM FOR RELIEF (AS TO ALL DEFENDANTS)

BREACH OF ORAL CONTRACT

102.

Plaintiff incorporates by reference, as if fully set forth herein, each and every allegation set

forth in the preceding paragraphs and further alleges as follows:

103.

drug treatment program as described above.

104.

Plaintiff did pay more than $40,000.00. to Gulf Coast.

105.

Defendants breached this contract by, inter alia: (i) failing to provide Plaintiff the promised

Plaintiff agreed to pay Gulf Coast $40,000.00 plus additional expenses for a professional

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services; and (ii) providing Scientology in lieu of drug and alcohol treatment.

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106.

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principals of Gulf Coast.

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107.

In addition to Gulf Coast, all other Defendants herein are liable for these breaches as

Defendants breaches have caused Plaintiff to suffer damages in excess of $75,000.00.

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THIRD CLAIM FOR RELIEF (AS TO ALL DEFENDANTS)

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FRAUDULENT MISREPRESENTATION

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108.

Plaintiff incorporates by reference, as if fully set forth herein, each and every allegation set

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forth in the preceding paragraphs and further alleges as follows:

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109.

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Coast, acting on behalf of all Defendants, made the following misrepresentations to Plaintiff: (i)

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that Gulf Coast has a 90% success rate; (ii) that Lucy would receive counseling related to

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substance abuse and cognitive therapy; (iii) that Narconons sauna program, i.e, can reduce or

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eliminate an addicts drug cravings; (iv) and that Lucy would be under continuous medical

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supervision at Gulf Coast; and (v) that Gulf Coast employed highly-trained professionals with

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Psychiatry degrees.

Both on the website www.gulfcoastdrugrehab.com, and through oral representations, Gulf

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Case 3:14-cv-00683-MCR-CJK Document 1 Filed 12/22/14 Page 17 of 21

110.

On or about March 3, 2013, Deborah Ross and Christopher Ross, made these statements to

Plaintiff to induce her to admit herself to Gulf Coast.

111.

would not have admitted herself to Gulf Coast.

112.

anguish, physical injuries, and pecuniary damages in excess of $75,000.00.

Had Lucy known that any of the above representations Defendants made were false, she

As a proximate result of Defendants fraudulent conduct, Plaintiff has suffered mental

FOURTH CLAIM FOR RELIEF (AS TO ALL DEFENDANTS)

FLORIDA UNFAIR AND DECEPTIVE TRADE PRACTICES ACT

113.

Plaintiff incorporates by reference, as if fully set forth herein, each and every allegation set

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forth in the preceding paragraphs and further alleges as follows:

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114.

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violation of the Florida Unfair and Deceptive Trade Practices Act (FUDTPA) pursuant to

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Sections 501.201 through 501.213, Florida Statutes.

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115.

Plaintiff is a consumer as defined under Section 501.203, Florida Statutes.

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116.

Defendants engage in trade or commerce by selling drug treatment programs and

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services to the public.

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117.

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as well as unfair and deceptive acts while conducting its business of providing drug and alcohol

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addiction and rehabilitation services.

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118.

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by Plaintiff for Defendants services.

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119.

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services would be utilized by the facility to induce payment by Plaintiff for Defendants services.

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120.

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Plaintiff to pay for Defendants services.

This is a civil action against Defendants for unfair and deceptive business practices in

Defendants have violated the FUDTPA by engaging in unconscionable acts and practices

Defendants advertised a false and misleading success rate of 90 percent to induce payment

Defendants made false representations that medically accepted addiction and rehabilitative

Defendants failed to disclose their use of Scientology as rehabilitative services to induce

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Case 3:14-cv-00683-MCR-CJK Document 1 Filed 12/22/14 Page 18 of 21

121.

Defendants practice of retaining Plaintiffs money for services it did not and could not

render is unconscionable and unfair.

122.

caused by Defendants violation of the FUDTPA.

123.

attorneys fees and costs in accordance with section 501.2105.

As a result of Defendants unlawful conduct, Plaintiff has suffered damages proximately

Plaintiff seeks remedies as described in section 501.211, Florida Statutes, and requests

FIFTH CLAIM FOR RELIEF (AS TO ALL DEFENDANTS)

MISLEADING ADVERTISING

124.

Plaintiff incorporates by reference, as if fully set forth herein, each and every allegation set

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forth in the preceding paragraphs and further alleges as follows:

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125.

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817.4(1), Florida Statutes.

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126.

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before the general public false and misleading advertising asserting Gulf Coast had a 90 percent

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success rate. An example of Defendants false and misleading advertisement is attached hereto as

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Exhibit H.

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127.

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statement was false, misleading, and not supported by any factual data.

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128.

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under false pretenses and did fraudulently induce Plaintiff to admit herself into Gulf Coast.

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129.

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Statutes.

This is a civil action against Defendants for misleading advertising in violation of Section

Before Plaintiff selected Gulf Coast for drug rehabilitation, Defendants disseminated

At the time Defendants published the misleading advertising, Defendants knew the

The misleading advertising was designed and intended for obtaining money or property

Plaintiff seeks damages, costs, and attorneys fees in accordance with 817.41(6) Florida

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Case 3:14-cv-00683-MCR-CJK Document 1 Filed 12/22/14 Page 19 of 21

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SIXTH CLAIM FOR RELIEF (AS TO ALL DEFENDANTS)

NEGLIGENCE

130.

Plaintiff incorporates by reference, as if fully set forth herein, each and every allegation set

forth in the preceding paragraphs and further allege as follows:

131.

in a manner that did not subject her to an unreasonable risk of harm. Defendants further had a duty

of care to render reasonably safe and effective treatment to her.

132.

Defendants promised and owed Plaintiff a duty to render substance abuse treatment to her

Additionally, Defendants NI and ABLE had a duty to use reasonable care in the design of

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their putative drug treatment program, the Narconon Program.

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133.

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Niacin and having her sit in a sauna for extended periods of time; (ii) failing to provide duly

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qualified counselors to administer treatment; and (iii) providing Plaintiff Scientology in lieu of

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substance abuse treatment.

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134.

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physical injuries, as described above, and damages in excess of this Courts jurisdictional

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minimum.

Defendants breached their duties to Plaintiff by: (i) having Plaintiff ingest extreme doses of

As a proximate result of Defendants breaches of the above duties, Plaintiff suffered

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SEVENTH CLAIM FOR RELIEF (AS TO ALL DEFENDANTS)

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UNJUST ENRICHMENT (IN THE ALTERNATIVE TO BREACH OF CONTRACT)

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135.

Plaintiff incorporates by reference, as if fully set forth herein, each and every allegation set

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forth in the preceding paragraphs and further allege as follows:

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136.

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treatment services.

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137.

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and treatment services.

Plaintiff paid Defendants more than $40,000.00 in exchange for rehabilitative and

Plaintiff was never provided anything even resembling medically accepted rehabilitative

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Case 3:14-cv-00683-MCR-CJK Document 1 Filed 12/22/14 Page 20 of 21

138.

Defendants retention of Plaintiffs payments without providing the agreed-upon drug

treatment services is inequitable and constitutes unjust enrichment.


DEMAND FOR JURY TRIAL

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Plaintiff demands a jury trial on all issues triable.

PRAYER FOR RELIEF

WHEREFORE, Plaintiff prays for the following relief:

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A. Judgment in favor of Plaintiffs and against Defendants for damages in such amounts as
may be proven at trial;
B. Compensation for special, general, and treble damages;

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C. Reasonable attorneys fees and costs of suit;

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D. Interest at the statutory rate;

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E. Punitive or exemplary damages against Defendants;

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F. All further relief, both legal and equitable, that the Court deems just and proper.

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DATED this 16th day of December, 2014.


Respectfully submitted,

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By:/s/Jeffrey M. Stephens
Fla. Bar No. 969710
STEPHENS LAW FIRM, P.A.
4507 Furling Lane, Ste. 210
Destin, FL 32541
(850) 837-7135
(850) 837-1969 (fax)
stephenslaw@mac.com

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Ryan A. Hamilton
RYAN A. HAMILTON, ESQ.
CA BAR NO. 291349
HAMILTON LAW
5125 S. Durango Dr., Ste. C
Las Vegas, NV 89113
(702) 818-1818

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Case 3:14-cv-00683-MCR-CJK Document 1 Filed 12/22/14 Page 21 of 21

(702) 974-1139
ryan@hamiltonlawlasvegas.com

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Attorneys for Plaintiff

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