BlackOxygen Organics announced its immediate shutdown on Tuesday, November 23rd, leaving its network of distributors in disarray. Logistics concerning product supply, outstanding orders, and unpaid commissions remain unresolved. The company has since disabled its website and scrubbed its social media presence.
The only communication to distributors was a brief notice sent late Tuesday or early Wednesday. This message offered little detail, stating only that "recent turn of events" forced the difficult decision and that continuing operations was no longer an option. Co-founders Carlo Garibaldi and Marc Saint-Onge signed off on the notice.
The announcement failed to address whether current outstanding orders would be fulfilled, if distributors owed commissions would be paid, or if any refunds would be issued. Social media activity from BlackOxygen Organics distributors suggests widespread dissatisfaction and a sense of being defrauded.
Several factors appear to have contributed to the company's abrupt closure. Product contamination led to seizures in both Canada and the United States. Canadian authorities issued a product recall in September.
A civil lawsuit was filed against BlackOxygen Organics in Georgia last Friday, alleging the presence of "toxic heavy metals at an unsafe level." The company responded to this lawsuit on Sunday, labeling the allegations as false and defamatory. BlackOxygen claimed the suit stemmed from social media statements by disgruntled former brand partners. The company stated it had engaged legal counsel and intended to contest the allegations vigorously, even threatening defamation claims. BlackOxygen expressed confidence in prevailing by presenting the "true facts" and proving the lawsuit's claims were false and malicious.
Just two days after issuing this strong rebuttal, the company ceased all operations. It is unclear if further regulatory action has been taken against BlackOxygen Organics or its CEO, Marc Saint-Onge. An extortion lawsuit filed by BlackOxygen Organics earlier this year has since shed further light on the company's collapse.