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Glamour Dolls failed to comply with

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those obligations when it engaged in a

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failed online advertising campaign on

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Kickstarter, using LFI, Lisa Frank's brand

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without LFI's approval and then refused to

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pay royalties due when LFI properly

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terminated the party's contracts as a

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result of Glamour Dolls' misconduct.

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Wait a minute. She didn't know about the

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Kickstarter? Hello my friend, I will

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honestly tell you that until late last

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night, I did not think that I was filming

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a video about Lisa Frank and Glamour

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Dolls today. I actually had a full video

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planned about preservative-free cosmetics

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and how freaking ridiculous and dangerous

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preservative-free cosmetics are. But then

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I got a very interesting comment from a

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person named "Fake Goth Girl." Okay. I get

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a link. The link is to a court document

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that I had not previously had access to.

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This document is Lisa Frank's point of

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view. It is her counter suit. This is Lisa

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Frank saying "Glamour Dolls is the bad

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guy, not me. I didn't do anything wrong -

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they're the ones that did something

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wrong." So in today's video, I want to go

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over Lisa's side of things - what she says

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in the court documents is the reason why

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she pulled out of her contract with

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Glamour Dolls that left backers of the

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Kickstarter out all of their money - over

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$400,000 of their money, including my

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money. My $75? Gone. If you have no idea

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what I'm talking about, that's because

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this is Part 2. I strongly strongly

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suggest you please watch Part 1 of this.

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It will be linked below. It will be up in

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a card. It is the background for this

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video - this video might not make sense

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if you don't watch that one first. If you

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don't feel like you have time for an hour

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and a half long video, what you can do is

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you can scrub through the timestamps, kind

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of get the idea of what it is. You can

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also play it on 1.5 speed if you want to.

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And I will tell you that the average

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amount of watch time on that video for a

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single view is about 40 minutes. That has

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literally never happened on my channel.

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This is a story that I think you want to

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hear and and that I think that you are

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going to be engaged in if you choose to.

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That being said, we are starting at Part

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2. I'm assuming at this point that you

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have seen that video and that you have

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that background knowledge. And also,

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side note, I mentioned this at the end of

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the video, but there's probably about 40

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comments mentioning Bailey Sarian's video

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on Lisa Frank, based on the Jezebel

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article that we talked about in the first

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part of this. Yes, I am fully aware of

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Bailey's video. I have met Bailey. I have

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collaborated with Bailey. Bailey did a

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fantastic job on that video. That video is

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more about Lisa Frank as a person, so if

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you want even more context for the story,

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I highly recommend you go watch Bailey's

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video as well. What we're gonna do with

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this part is I'm actually gonna put Lisa

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Frank's lawsuit on the side of me so if

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you are fluent in Legalese, you can follow

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along and see the match up of what I'm

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saying. Surprisingly, a lot of is is

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pretty clear cut and there isn't a ton of

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lawyer language in this that was difficult

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to understand. So if you would like to

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read along, it is going to be next to me

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over here. Here we go. So this is what

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Lisa says. This is her side of things.

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This is all about the deal in 2016, the

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original deal that she had. Lisa says they

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struck the deal in June of 2016 that would

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end on December 31st of 2017 - that

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matches up with Glamour Dolls' side, so

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I'm assuming there's legal contracts, so

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there's evidence of this. So Glamour Dolls

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in that original contract, agreed to pay

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Lisa Frank 15% royalty on the net sales

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of the products made under the deal, with

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a minimum payment of $100,000 for the

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duration of the agreement, including a

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$25,000 advance. Glamour Dolls promised to

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do their best, to make, sell, promote, and

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market the products to get as many sales

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as possible, always focusing on high

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quality. Now this part is very very

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important because this is really the root

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of why everything went wrong. They had to

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get Lisa Frank's approval on literally

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everything, from the design concepts to

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the artwork, to the molds for production,

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to the final product samples before going

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into production. Lisa Frank had the right

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to approve or reject the elements and

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Glamour Dolls had to follow Lisa Frank's

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directions on quality standards. Now

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listen to this because this is part of the

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reason why things were taking so long. So,

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for designs, Glamour Dolls had to wait up

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to 10 business days - that's about two

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weeks or so - for Lisa Frank to approve

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or reject anything that they submitted to

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her. If Lisa didn't respond in time,

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Glamour Dolls was allowed to ask after

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those 10 business days, "Hey, what's going

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on? I need a full description of why you

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reject this or I need an approval." But

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this is the kicker! Because even after

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approval, and remember, this is according

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to Lisa herself, Lisa could stop the

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production and distribution of the

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products if they didn't meet her quality

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standards. That's a subjective thing -

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that is not something that can be

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measured. Lisa can just for any reason,

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just say "This doesn't meet my quality

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standards" and stop production at any

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point. And it wasn't just for production

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of product. It also had to do with

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advertising, packaging, display methods,

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press releases - anything using Lisa Frank

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artwork - Glamour Dolls had to run this by

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Lisa. They had to wait for those 10

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business days and then if she didn't

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respond in 10 business days, then they had

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to poke her about it and be like "Dude,

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what's going on?" They had to keep poking

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her if she didn't respond after those 10

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business days. So remember this original

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contract that I personally believe was to

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create the blush, the highlighter, and the

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two brushes - that contract was ending

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in December. But remember the Kickstarter

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had started in February. We're now in

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December. February - they promised backers

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10 additional products beyond these four

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that had already been funded. Lisa's

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contract is about to end, so they need to

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start a new contract. This is what Lisa

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says was in the new contract: same 15%

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royalty on the net sales of the products

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plus 20% royalty on sales made directly to

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retail customers. So this would be if

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people bought it off of Ipsy's marketplace

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or if people bought it from Hot Topic,

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or at one point they were talking to

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Walmart - any of those, Lisa would get a

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20% royalty off of. Beyond that, in the

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first contract, Lisa asked for at least

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$100,000 for her fees. In the new

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contract, Lisa upped that to $500,000.

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That included an up front payment of

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$125,000 that needed to be paid when the

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contract was signed. Three more payments

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would be paid throughout the year to total

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that $500,000. The rules for making the

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products were pretty much the same as the

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first contract. All of the levels of "you

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need to send it to Lisa and she needs to

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approve it" and then the 10 business days

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- all of that was pretty much the same.

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The only thing that changed, which we'll

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find out more about in just a minute, is

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that they did not have to get pre-shipment

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approval. So Lisa has already approved

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the final draft of the product, they have

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put that into production, they now have

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the products - they've got thousands and

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thousands of these products - they don't

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have to send those products to Lisa for

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approval anymore. But there is a clause -

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because of course there is - if there were

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any production problems, if after all of

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these things were sent out and Lisa

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decided that there was a production

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problem, there was something she didn't

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like, Glamour Dolls would have to pay

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damages for that. What would those

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damages be? I have no idea, it's not in

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here. Another thing that's very important

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in Lisa's side of the story is that they

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said that Lisa could end the deal

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immediately if Glamour Dolls broke certain

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rules, like not following the approval

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process or having production issues 3

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times. If Lisa decided that she was

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going to terminate the agreement, Glamour

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Dolls had to not only stop making

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products, they had to stop selling their

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existing products. Then they had to turn

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over the rights to the artwork. Anything

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that Lisa had created for Glamour Dolls

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would now be owned by Lisa. And you might

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be seeing where this might be going -

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maybe if you watched part 1. Because she

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did that. That happened. In context. you

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have to remember that this is 3 months

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past the date that Glamour Dolls had

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promised products would be done and

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shipped to backers. So they are deep deep

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in it now. They are sending out that

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digital Christmas card, where people can

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send it to their families, saying "Hey,

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you know, you might be getting some Lisa

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Frank products that I bought for you at

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some point. This is what's coming." That's

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where we're at. A lot of the backers are

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already irritated by this point. From

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Lisa's side, she says in her court

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documents that LFI, or Lisa Frank

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Incorporated, fully performed its

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obligations under the license agreements -

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I do believe Glamour Dolls would argue

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against that. They say specifically

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Glamour Dolls repeatedly failed to meet

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their responsibilities under the agreemnts

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they had with Lisa Frank. This is how Lisa

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says Glamour Dolls messed up. And

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remember, she's going to have to prove

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this for her counter suit. This is what

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she says - she says they didn't put in

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enough effort to produce, distribute,

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promote, and sell the products that they

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were supposed to. She says that they

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didn't aim to sell as many high quality

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products as they could, that they had

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signed off in their contract. She says 
that

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they use Lisa Frank artwork in ads and

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packaging without getting approval first,

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which was against their rules of the

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contract. She says Glamour Dolls was late

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in making and delivering the products,

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which they were. She says that Glamour

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Dolls didn't follow the agreed upon

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process for getting products inspected

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and approved, that they didn't pay the

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royalties and the minimum amounts that

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they were supposed to, and that they used

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the Kickstarter to sell products without

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getting the okay from Lisa Frank

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Incorporated, which was of course not

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allowed. Finally, they say that Glamour

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Dolls promised products to backers and

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then never shipped them out, which is

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true. But the question is: why didn't they

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ship them out? What was stopping them

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from doing it? Was it a fault of Glamour

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Dolls or was it a fault of Lisa? We're

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still in Lisa's perspective, so let's

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follow that. Lisa says that even through

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all of the things that I just listed - the

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things that are in Lisa's filing - she

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continued to try to work with Glamour

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Dolls to make things work. She says she

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did this only because she felt like, if

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she didn't continue with Glamour Dolls and

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see this through and get the backers what

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they ordered, that it would damage Lisa

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Frank. It would damage her and her brand.

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It wasn't about making sure that people

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got what they paid for, it was about the

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damage it would cause to her reputation

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and her brand's reputation. She says in

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her statement that, you know, that Glamour

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Dolls had made all these promises and

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they failed to go through on them, that

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they even said that they were shipping

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things to people that they never shipped

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to them, which I don't know if it's

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actually true. Because from what I've

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seen, anybody that was supposed to get

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the eyeshadow and the bronzer and the

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postcard did get those things. There is

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some question, at least in the comments

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underneath my last video of whether people

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who ordered the brush separately, whether

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they actually got their brush. So maybe

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that's what Lisa is talking about. Lisa

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says that Glamour Dolls ignored rules

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that they had to follow to get Lisa's

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approval before making anything. She says

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that they attempted to make or change

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products without talking to her first.

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And also that they didn't give her the

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samples required that she needed to

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review. The perspective here is that

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because of those failures, people started

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blaming Lisa Frank and not Glamour Dolls,

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where she's saying it wasn't her fault,

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it was Glamour Dolls' fault. She said that

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people began to think that Lisa Frank was

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scamming