Matterport’s 3D Camera Business Opportunity

In June 2020, a class-action lawsuit was filed against Matterport, Inc. and seven of its business directors for allegedly falsely advertising Matterport 3D – a photography and scanning business — as a lucrative business opportunity. Among other things, the complaint claims that Matterport:

  • falsely represents, through its sales representatives, that buyers will receive marketing materials and business leads in their geographic area that will pay for a buyer’s initial investment in six months when, according to plaintiffs, it is difficult for buyers to profit from the business opportunity because the market for 3D scanning is saturated and there are few leads to new business;
  • misleadingly markets that its 3D cameras and other equipment are easy to use when, according to plaintiffs, the equipment requires a certain amount of technical expertise to use; and
  • misleadingly represents that it provides buyers with training and resources when, according to plaintiffs, the company provides little to no technical support.

(Stemmelin et al v. Matterport, Inc. et al, Case No. 20-cv-4168, N.D. Cal.)

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