I recently received negative news in an arbitration case relating to a venture fund that I helped to launch, called Expansive Ventures. I am still a 50% owner of the fund, and this matter is months away from being officially resolved.
The reality is that there are two sides to every story.
The shocking arbitration decision with Expansive Ventures is a perfect example of this. The unfavorable decision comes as a surprise not only to me, but also to the fund’s law firm, bank, the majority of the Limited Partners and the fund’s Principal, a key member of the team. The decision is also materially flawed.
I have already appealed within the arbitration system itself and received a favorable change to the decision. Now, I intend to contest the decision with all available resources and in all available forums, including the court system. In addition, I have a new complaint pending to rectify many problems of the overall partnership that would have already been filed, but the Santa Clara County clerks are on strike.
I hope that, in the end, the truth will prevail.
Expansive Ventures was originally created with a vision to identify, support and grow international companies. The very name of the fund, Expansive, reflected this international worldview, but, when investments began in 2015, a difference in vision and ethics emerged between the partners. Disputes like this are all too common in new companies and new funds.
All of my actions at Expansive Ventures were in response to events that I believe would have damaged the fund. I vehemently deny any involvement in a “plot” between or against anyone in the business. My bedside manners were not perfect, but my actions were all in the best interest of the Limited Partners, the vast majority of whom are my close friends and colleagues.
For those that know me, I do not lie, and I do not sugarcoat the truth.
Unfortunately, my style can obviously have unintended consequences!
In all seriousness, it has been deeply upsetting to see years of hard work destroyed by an award that did not accurately portray the facts as we see them, nor acknowledge the majority of our evidence.
We all know that being an entrepreneur is hard. I have truly been humbled by this completely unexpected outcome, but I still believe in the original vision of Expansive Ventures. I will continue to work tirelessly to identify, support and grow international companies.
– Adeo Ressi