Over the past 15 months, Varolii purchased more than $2 million of computer equipment, service agreements and warranties from what it thought was an authorized reseller of Cisco products. But now the Seattle communications software company isn't so sure.
In a lawsuit filed in King County Superior Court, Varolii alleges that its supplier, Tony Thahn Cong Tran of Netinterwork, misrepresented that he was an authorized Cisco reseller. The suit also alleges that Tran, a King County resident whose company is based in Kirkland's Carillon Point, may have sold stolen products.
At the time of the purchases, Varolii believed it was buying products through Cisco's Authorized Channel Network which would have included licenses and service agreements.
But, according to the suit, the defendants allegedly defrauded Varolii by setting up a scheme in which they tried to pass off that the products were part of Cisco's formal authorization program.
"As a result of the Defendants' misconduct, many of the Products that they sold to Varolii were worthless or worth much less than represented," the suit says.
Varolii, which is represented by Perkins Coie, is asking for unspecified damages and that the contracts with Tran be rescinded. The company declined to comment on the case.
Tran could not be reached for comment.
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