Washington state's attorney general is suing a Nashville company for failing to deliver on a Kickstarter campaign promise.
Bob Ferguson, the Evergreen State's top lawyer, filed suit last week in King County Superior Court against Altius Management and its principal, Edward J. Polchlopek III — who does business under the name Ed Nash — in what he is calling the first ever consumer protection case involving crowdfunding.
The suit — which can be read here courtesy the Seattle Times — alleges that more than 810 people, including 31 Washingtonians, contributed more than $25,000 during a 2012 Kickstarter campaign to fund a set of horror-themed cards by a Serbian artist.
In exchange, backers were promised various rewards — poker chips, dice, sketches, "a costume straitjacket" — which were to be delivered in December 2012. But, the AG's suit says, none of the backers have been rewarded to date.
The suit seeks restitution plus fines of $2,000 per backer under Washington's Consumer Protection Act.
“Consumers need to be aware that crowdfunding is not without risk,” Ferguson said in a statement. “This lawsuit sends a clear message to people seeking the public’s money: Washington state will not tolerate crowdfunding theft.”
Attempts to reach Nash and Altius for comment were unsuccessful.
POSTDATA: WARRANTY DEEDS