From SEC filings
The Company has not serviced loans related to Tamala L. Longaberger . In connection with these notes, Ms. Longaberger on August 12, 2015 filed an action in Franklin County Common Pleas Court of Columbus, Ohio (“State Court Action”) seeking re-payment of the notes. However, it is JRJR’s position that her claims are inextricably tied to the broader issues related to her terminated employment and the claims asserted against her by JRJR and The Longaberger Company, including breach of fiduciary duty, fraud, negligence, conversion, misappropriation of company funds, civil theft, breach of contract, and misappropriation of trade secrets, in an arbitration action in Columbus Ohio. As a result of her misconduct, JRJR claims it is owed damages in amounts that exceed and therefore offset Ms. Longaberger’s claims. Therefore, on October 12, 2015, JRJR filed a motion to compel arbitration and dismiss claims in the State Court Action. On July 5, 2016, the Court overruled JRJR’s motion and on July 26, 2016, Ms. Longaberger filed a motion for judgment on the pleadings against AEI. On August 9, 2016 JRJR filed both a memorandum contra of Ms. Longaberger’s motion on the pleadings and its first amended answer, affirmative defenses and counterclaims. On August 17, 2016, the Court eliminated the trial setting and further stated it will issue a new case schedule upon conclusion of the arbitration scheduled for December 2016. On August 18, 2016 Ms. Longaberger withdrew her motion for judgment on the pleadings.
