The Alliance is in search of six figures in damages from Ryan Weyandt, who resigned as CEO final yr. Weyandt can be dealing with felony prices for alleged possession of express content material of minors.
A Minnesota federal choose has restored the LGBTQ+ Actual Property Alliance’s management of its enterprise and monetary accounts one month after former CEO Ryan Weyandt seized them amid allegations the group had fallen into disrepair.
The ruling is the most recent in a lawsuit filed July 1, and comes as Weyandt additionally faces felony prices in Minnesota for allegedly possessing express content material of minors. Each the lawsuit and the felony prices have to date flown underneath the radar and are being reported within the press for the primary time right here.
Within the lawsuit, Choose Eric Tostrud’s ruling on Friday granted an Alliance request that Weyandt be compelled to return the group’s domains, emails, social media profiles and monetary accounts. Weyandt should shut the Alliance’s Chase account by Aug. 25 and can’t re-access the remaining accounts.
Tostrud additionally barred Weyandt from talking or performing on behalf of the Alliance, a call partially influenced by his felony case.
“Due to his unlawful actions, we have been compelled to file a lawsuit in federal courtroom,” an Alliance spokesperson informed Inman in an emailed assertion on Monday. “We initially got here to a stipulated settlement with Ryan on the document, and the choose later granted our movement for a short lived injunction. The Court docket’s order prohibits Ryan from holding himself out as having the authority to behave or communicate on behalf of the Alliance. The Court docket additionally ordered Ryan to show over all belongings to the Alliance.”
“Up to now, Ryan has cooperated,” they added.
Weyandt didn’t reply to Inman’s a number of requests for remark.
The battle between the 2 events started in June, when Weyandt — who beforehand resigned from his position as CEO in December — despatched emails to Alliance management, members and distributors stating that he’d taken emergency oversight because the nonprofit’s incorporator and listed agent with the Inside Income Service (IRS) and Minnesota Secretary of State.
Weyandt mentioned his reasoning in a Substack publish, the place he made a number of allegations towards Alliance management, together with unchecked spending, cancelling nationwide votes and occasions with out correct discover, leaving Board seats unfilled, and pursuing chapter with out notifying him or consulting an authorized public accountant or lawyer.
Weyandt forwarded his considerations to the Minnesota Legal professional Common’s Workplace and the Minnesota Council of Nonprofits, and requested an emergency non permanent restraining order with the Dakota County Civil Court docket; nevertheless, these efforts stalled, in line with the Substack and a number of other displays Weyandt filed in response to the Alliance’s preliminary injunction request within the civil go well with.
“When the [temporary restraining order] failed on monetary grounds — as a result of the e-file system is constructed for attorneys, not on a regular basis folks like me — I handed all proof to the Legal professional Common and AG’s lead investigatory unit to take up in the event that they select,” he stated within the Substack and courtroom displays. “I’ve no cash left to combat this alone. I’m unemployed, on unemployment insurance coverage, and can’t afford personal authorized illustration for the ultimate mile.”
Inman has reached out to the Minnesota Legal professional Common’s Workplace and the Dakota County Civil Court docket for touch upon Weyandt’s complaints. They didn’t reply in time for publication.
Now that the Alliance has regained entry to its accounts, the group is seeking to recoup misplaced income from the month Weyandt had management of its web site and commerce secrets and techniques, which primarily consists of the group’s buyer checklist of greater than 10,000 “LGBTQ+ business influencers” and different actual property practitioners.
The Alliance’s civil grievance consists of eight counts, six of which contain damages exceeding $50,000 every. The ultimate two counts for injunctive and declaratory reduction would completely ban Weyandt from the Alliance and require Weyandt to cowl the Alliance’s authorized charges and prices.
Regardless of the continued civil go well with, an Alliance spokesperson stated the group is totally purposeful with interim CEO Mary Mancera on the helm. The remark could quell fears that the Alliance might have been on monitor to endure a destiny just like NAGLREP, which has struggled to regain its prominence following founder Jeff Berger’s alleged mismanagement of the group.
The spokesperson additionally stated the Alliance is transferring ahead with its mission to guard LGBTQ+ housing rights.
“[Ryan made] utterly baseless claims that he couldn’t substantiate in courtroom,” an Alliance spokesperson stated in an emailed assertion. “As a result of we stay in litigation, we are able to’t remark additional.”
As for the felony case, Weyandt is dealing with 5 felony prices within the Dakota County District Court docket for allegedly possessing express content material of minors.
The Nationwide Heart for Lacking & Exploited Kids obtained a CyberTip with Weyandt’s IP handle in November, which led authorities to subject a search warrant and seize a number of digital units with hundreds of movies and pictures of minors engaged in sexual actions, in line with a July arrest warrant.
The previous CEO posted a $150,000 bond in July and is at present prohibited from leaving the state of Minnesota with out prior courtroom approval. He can’t have any contact with minors on-line or in individual, amongst a number of different restrictions.
Every cost carries a most jail sentence of 5 years and a most superb of $5,000.
Electronic mail Marian McPherson
