Totally Awesome Computers: Out of Business
UPDATED: 09 May 2006
Dell Schanze appeared in court yesterday for a pre-trial hearing. Jury selection for his expected 3-day trial begins today at 8:30 mountain time. [Video]
Although he was his usual over-zealous self, he did make a few good points regarding the charges against him, and I’ve added a few of my own.
- If he is convicted for drawing a firearm for self-defense when confronted by three angry men (one of whom was weilding a weapon), two messages are being sent: (1) it’s okay to assault someone with a rock, and (2) it’s not okay to defend oneself. This is contrary to current Utah Law. This charge should be dropped with predjudice, either that or the State of Utah is discouraging people from being law-abiding citizens and to take the law into their own hands.
- The charge of making a false statement is due to differences in definitions: Alledgedly Dell stated he did not brandish a firearm during the altercation. According to Webster.com, brandish is defined as (1) to shake or wave (as a weapon) menacingly, or (2) to exhibit in an ostentatious or aggressive manner. Dell did neither of these, he reportedly drew his sidearm and held it by his leg. The legal definition of brandishing is “to display in a threatening manner,” which this display was not. This charge should be dropped with predjudice.
- The last charge, wreckless driving, should be no problem to prove with witness statements and Dell’s driving record. His license to drive in the State of Utah should be revoked.
UPDATED: 18 April 2006 with a comment from Dell Schanze from and my reply (bottom of article).
I worked for Totally Awesome Computers for four years, from September 2001 to October 2005.
I should preface this article with the statement that, although I don’t agree with many of Dell Schanze’s personal and business practices, that I respect him as an individual and am sorry to see his stores out of business. I don’t want to “air dirty laundry” or offend anyone, simply to tell the story illustrating a chain of events and a corporate culture that led to the eventual (and perhaps inevitable) collapse of the company.
Why did Totally Awesome Computers shut it’s doors? Personally, I feel the root cause was due to arrogance and shortsightedness. From a business perspective, I would deduce that the company simply was no longer pulling a profit.
Things that led to the closure:
- Pending Litigation
- Carlton May discrimination lawsuit [originally $1.2M, settled for a rumored $250,000; not including personal legal expenses]
- Sherrie Young sexual harrasment lawsuit [dismissed]
- Carlton May breach of contract & defamation lawsuit [$1.2M, dropped]
- Wreckless driving (class B Misdemeanor), Brandishing a firearm during a fight (class A Misdemeanor), Making a false statement (class B Misdemeanor) [pending trial]
- A negative rating with the BBB
- Refusal to work with the Better Business Bureau to resolve customer complaints
- [ BBB | VAR Magazine Article | Salt Lake Magazine ]
- District Managers
- COO (and former CEO)
- CC’ing private emails to the entire company to “make a point”
- Cutting employee’s pay by $2-3/hour
- Expecting employees to work off the clock
- Expecting employees to attend meetings and provide transportation without compensation to “optional” mandatory meetings
- Devising a plan whereby employees could work more than 40 hours per week but not get paid overtime
- Personal attacks on businesses/persons who did not agree with or go along with Mr. Schanze’s views
- Mr. Schanze’s reckless driving and brandishing a weapon charges (video), which cost him business in the form of reduced revenue
- Wreckless Driving (”There’s a good pattern there of this guy driving like a bat out of hell.” Draper police Sgt. Gerry Allred
- Calling the Mayor of Provo “full of baloney” and trying to bribe him and city officials (article)
- A crash while flying one of his powered paragliders which resulted in his back being broken, which cost him business at Totally Awesome Flying Sports (article)
- Reportedly, holes stray bullets were found in the homes behind Totally Awesome Guns and range
- Alleged disparaging remarks against homosexuals in an unaired commercial (audio)
- A commercial which made fun of a fictional tribe of Native Americas (article), in subsequent emails between you and the Utah Director of the Bureau of Indian Affairs (that you CC’d to the entire company) where you called Native Americans simple minded and adulterers (and attempted joke at the name of the Bureau of “Indian Affairs”)
- Extreme and sudden pay cuts were not uncommon
- Pay cuts and extreme reactions by Mr. Shanze resulted in degraded customer service levels
- Mr. Schanze wrote an email to the company in which he said he had fired two employees from his Foothill store because they were “gay, Lutheran, and of slight Romanian decent”
- The death Heath Briggs (purchaser)
- The resignation of the majority of seasoned employees (including the head of his Reseach and Development department, COO, and district managers) within a six month period
- Rumored “full scale” IRS Audit
- Rumored payroll investigation by the US Department of Labor because of overtime practices
Where should Totally Awesome’s (TAC’s) customer’s go now?
- If you have a TAC computer at one of the TAC stores that you’re waiting to pick up, check the company’s website for instructions on where and when.
- If you have a TAC computer that you need serviced contact
- Geekbox Computers: 801-566-4335, 3078 W 7800 S #4, West Jordan, UT 84088
- PC Laptops: (877-596-7283)
- Star West Computers in North Salt Lake: (801) 936-8000
Abcan Computer Solutions: (801-790-4190)
Now that I’ve said that, to clear things up, Totally Awesome Computers used some of the best computer parts available (in my opinion). They stood behind then with hardware and service warranties that were untouched in the industry. They charged a fair profit for their merchandise. I own two Totally Awesome computers, my in-laws also own two, my dad owns one, and my brother’s family owns one. I stand behind everything that I said while I worked for that company, and I still believe in their products. It’s a shame that one person could have such an effect on the future of a company with such potential and the lives and well-being of so many customers, and employees and their families.
Related News Stories:
- Dell Schanze Scheduled for Court Appearance
- City Weekly Article
- KSL News Story
- abc4 News Story [ Video ]
- abc4 News, Closed because of poor management? [ video ]
- Salt Lake Tribune 07 March, 2006 article
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