FP Omni Technologies has made the decision to wind down its operations. Since 2020, FP Omni has provided hundreds of dispensaries and their thousands of customers with a safe, legal, and compliant way to process legal cannabis transactions. FP Omni's cofounder and CEO, Joe Radest, has been a leading spokesperson in the industry and has been invited to speak at numerous payment processing organization conferences.
FP Omni's wind-down arises out of its inability to continue with the payment processing services promised to FP Omni by TSYS Acquiring Solutions, LLC. ("TSYS" or "TAS"), a subsidiary of Global Payments, Inc. The parties entered into a comprehensive long-term written agreement in 2019.
On February 28, 2022, FP Omni Technologies filed a lawsuit in the Superior Court of Gwinnett County, Georgia, against TSYS. Among other claims, FP Omni alleged that TSYS falsely represented that it owned and had exclusive control over the payment gateway through which FP Omni's transactions would be processed and that TSYS had full power and authority to provide the payment process services to FP Omni without the consent of any other entity.
On September 29, 2023, the trial court denied TSYS' request for dismissal of the lawsuit, holding that FP Omni was entitled to go forward with its claims for breach of contract, fraud, negligent misrepresentation, and breach of implied duties of good faith and fair dealing and that FP Omni could seek compensatory and punitive damages, among other relief.
FP Omni believes that, as a result of TSYS' continuing actions and inactions notwithstanding the Court Order, the company could no longer continue its business and service its customers properly. The company, however, intends to continue to pursue the litigation vigorously. FP Omni not only intends to recover the full value of its lost business – the latest valuation of the company exceeded $500 million dollars – but also to pursue evidence that will shed further light on the actions of TSYS and others in shutting down a legal, competitive cannabis payment processing business.
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