Geeks On Call Rejects Claims

NORFOLK, Va., Dec. 10  /PRNewswire-FirstCall/ -- Geeks On Call Holdings, Inc. (OTC:GOCH) (BULLETIN BOARD: GOCH) , a premier national provider of professional IT solutions to small business and residential customers through its national network of franchise and Company-owned locations under the trade names Geeks On Call(R), 1-800-905-GEEK(TM), CallTheGeeks.com(TM) and Call The Geeks(TM), announced today that the Company had been served with individual lawsuits from several franchisees.  All of the suits were filed by the counsel for a recently formed franchise association.  The suits, all substantially identical, claim that Geeks on Call is responsible for a financial downturn allegedly experienced by the Plaintiffs.  The suits point to the recent introduction of CalltheGeeks.com as a cause of diminished revenue.

CalltheGeeks.com, remote technical support, is not offered in areas currently served by franchises.  Company records show that many of the franchisees who filed suit are, in fact, showing year to date revenue exceeding prior year revenue. Current economic data indicates that the small business community is choosing to repair rather than replace computers, a trend that bodes well for our franchisees within the IT sector. Unfortunately, rather than working with the Company to seek out and capitalize on this opportunity, these franchisees chose to file suit.

Mark Baumgartner, General Counsel for Geeks On Call Holdings, Inc. stated "the allegations in the Complaint are without merit.  Numerous Plaintiffs had previously been notified that they were in breach of their franchise agreements.  We know that many of these Plaintiffs have been more focused on disparaging the Company than on building their business.  Unfortunately, their disparagement harms the Company and the Geeks on Call franchise community as a whole."

The Company is also aware that some of the Plaintiffs, on behalf of the group, approached a former employee to assist them in building a competitive business model in violation of the franchise agreement.  Today, the Company was granted an injunction preventing the former employee from giving the Plaintiffs any of the Company's proprietary information.

The Company is reviewing an action plan to aggressively protect the integrity of the system, the Geeks on Call brands, and franchise partners and serve the best interests of its shareholders.

About Geeks On Call

Geeks On Call is a wholly owned subsidiary of Geeks On Call Holdings, Inc. (OTC:GOCH) (BULLETIN BOARD: GOCH) . Founded in 1999, the Company is a pioneer in the mobile, rapid-response on-site IT service concept. Under the trade names Geeks On Call(R), 1-800-905-GEEK(TM), and CallTheGeeks.com(TM), the Company's certified IT professionals service small businesses and residential customers through its national network of franchise and Company-owned locations. They provide computer privacy and security solutions, hardware and network installations and troubleshooting, as well as repairs, upgrades and consulting. Geeks On Call also co-markets through endorsed vendor relationships with other Franchisors, who offer GOC services to their franchisees as a value-added benefit. Over 250 independently owned and operated franchises have been granted, with new franchise and Corporate locations opening regularly. For more information, including franchising or Value-Added Benefit Program opportunities, call 1-800-905-GEEK or visit http://www.geeksoncall.com/. Send an email of inquiry to .

  Contacts
  Investor Relations:
  Jennifer Allesandro
  Geeks On Call I/R
  [phone]
  

  Media Relations:
  Shana Keith
  Porter Novelli
  [phone]
  

DATASOURCE: Geeks On Call



CONTACT:  Jennifer Allesandro, Investor Relations of Geeks On Call,

[phone], ; or Media Relations,

Shana Keith of Porter Novelli for Geeks On Call, [phone],





Web site:  http://www.geeksoncall.com/ 

Copyright