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Visitor Bureau sues marketing company

Costa Mesa agency claims Irvine-based firm stopped providing services for which it was being paid.

August 02, 2012|By Joseph Serna

The Costa Mesa Conference and Visitor Bureau is suing an online marketing company for $5.1 million, claiming the firm had been billing the tourism agency without performing services.

According to a lawsuit filed in Orange County Superior Court, the bureau is suing Irvine-based HyperDisk Marketing Inc., a company whose clients include Sony, Westin Hotels and Resorts, Visit Newport Beach Inc. and Toshiba.

The suit, which the OC Weekly first reported earlier this week, claims that some time before February 2011, HyperDisk stopped providing website design, programming, marketing services, consulting and reporting that the bureau had been paying $100,000 a year since 2006.

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A phone call to HyperDisk's main office was not returned Thursday.

When the bureau demanded to see HyperDisk's data showing that it had performed the services for which it was being paid, HyperDisk refused, even though it has to turn the information over, according to its contract, the bureau claims.

In April 2011, the bureau broke off its contract with the media company, according to the lawsuit.

The bureau has yet to determine how much it paid the firm for services it allegedly did not receive, but estimates it totals to more than $100,000. The bureau is also requesting an additional $5 million in punitive damages.

HyperDisk has yet to respond to the lawsuit, according to court filings.

joseph.serna@latimes.com

Twitter: @JosephSerna

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