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Did Hal Gooch's baboon video cost Amway $9,000,000+? | ![]() |
| Is this the story behind Amway's record out of court settlement
with the Arista and Aerostation? It all started in the early 1990's with Lee Luster, a videographer, who was making "Diamond lifestyle", and Diamond music videos to be sold to all the Amway Diamond wann-a-bees. Luster first worked for Tim Foley in 1991. Luster was later introduced to Randy Haugen in 1992 and then to Bruce Anderson in January of 1993. After a few run-ins and some information about Luster's checkered past, Luster was fired by Foley, Haugen and Anderson. Luster subsequently went to work for Hall Gooch (double diamond in 1993) in March 1993. Gooch and Luster worked closely together for over a year. The videos were a hit and major source of profit for Gooch. In 1994 as video sales slowed down, Gooch and Luster had a falling out. In the process of this falling out Gooch sued Luster on August 17, 1994 in Florida state court for fraud, replevin, conversion, accounting, civil theft, breach of fiduciary duty and injunction. Luster filed a counter claim against Gooch as well. These suits were not settled until over 6 years later on November 20, 2000. Finally in 1996 the Recording Industry Association of America (RIAA)
the National Music Publishers Association.(NMPA)
Lawsuit filed lawsuits against Amway and about 50 diamond distributors for the usage
of the popular rock music on the diamond videos. The Associated
press reported that the RIAA received $9 million alone. The NMPA also In January of 1999 Luster was sued by Anderson, Haugen, Grabil, Foley, and Gooch to have Luster indemnify them for their legal costs in fighting the copyright suit with the RIAA and NMPA. Anderson, Haugen, and Grabil won. Luster would be responsible for these diamond's legal costs. Gooch, Foley lost. Luster was to pay Anderson, Haugen, Grabil over $251,000 but since he had no money he was basically judgement proof. Now we jump up to November 2000 to finally settle the suits between Luster and Gooch.
On November 20, 2000 Gooch agreed Now for the rest of the story........
25. Upon termination, GOOCH took actions to deprive LUSTER of these business relationships, including but not 1imited to contacting these other Amway people telling them that they could not use LUSTER's services. GOOCH used his high position with Amway to accomplish this destruction of LUSTER's business relationships. 26. HAL GOOCH was aware of the relationships between LUSTER and these other individuals and entities and intentionally took action to interfere with these relationships.
I found a phone number for Luster and spoke with him on the phone for about a half hour on a Sunday morning. He was more than willing to talk to me about the case. I asked Luster to tell me about the baboon incident and the settlement with the record companies. He told me that Amway settled with all the parties for $13.5 million. He told me he was editing a video of one of Hal's hunting safaris in Africa when he found the baboon clip. Luster had not shot the video and he was not present on the trip. With the video camera rolling, Gooch wanted to show off a new high powered rifle he had purchased, so he "popped off" a black baboon sitting in a nearby tree. Luster told me the black baboon was also a protected species and Gooch shot it illegally, so you won't find it in his animal collection. The text of the complaint repeats the words of Gooch on the video making the comparison of the baboon to a Negro. Luster went on to explain how at first Luster was welcome in Gooch's home and "for black guy Luster was ok". Gooch had also made the comment to Luster that "we don't even notice you are black anymore". I guess the money at that time was so good Luster could overlook these type of comments. I asked Luster if he still had a copy of the video and he said no. He had to give them all up for the settlement. It is curious however that on March 21, 2001 Gooch's attorney claims after their settlement agreement that Luster still had not returned all the videos.
Luster told me before it turned into a full fledged fiasco with legal discovery, Doug DeVos decide to settle the RIAA and NMPA suits even though Amway itself was a bystander to the whole affair. No one wanted the baboon video and the diamond financials to every see the light of day. Now you know the rest of the story.......... |
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