Derek Hall, CEO of Qivana, launched the supplement company from Utah in 2009. Shortly after, his former employer, Univera, sued Hall and Qivana. The lawsuit alleged intentional interference with economic relations, unfair competition, and misappropriation of trade secrets.
Hall came to Qivana with extensive experience. He previously led Nature's Way, Botanicals International, Integrative Therapeutics, Unigen USA, and Univera. He also served as Vice-Chairman and CEO of EcoNet, Inc. Qivana listed Hall's entire career openly, unlike many multi-level marketing firms that obscure executive backgrounds.
His work at those companies appeared legitimate. All operated in dietary supplements and health nutrition. Initial research found no obvious red flags.
But Hall's departure from Univera in early 2009 led directly to the litigation. Univera's complaint specified Qivana's alleged actions. The new company, it claimed, targeted Univera's independent distributors and convinced them to break their contracts. Univera stated these actions threatened its business structure and the livelihoods of its distributors.
The core issue was Hall's prior position as CEO of both Univera and its parent company, EcoNet. Univera worried about losing its affiliate base when he left to start a competitor.
By late 2010, about eighteen months after the initial filing, both sides reached a settlement. This agreement involved Univera, Qivana, and three former Univera distributors: John Terhune, Marshall Douglas, and Joe Land. These individuals had reportedly joined Hall's new venture.
Univera announced settlements in three separate cases. These included two in Federal Court—one in Washington's Western District and another in Florida's Middle District—along with one in Utah state court.
The company presented its legal efforts as purely defensive. "Univera's actions in the Litigation were designed primarily to protect the businesses of" independent distributors, the settlement statement read, ending abruptly.
For Qivana, the settlement allowed Hall to continue operations without ongoing legal disputes. Univera achieved some level of damage control. However, the exact terms of the agreement between the parties remain unavailable in public records.
This incident shows the fragility of MLM companies when executives depart. A leader leaving to create a competing business poses a real threat. Distributors who built relationships with that leader often follow. Univera chose litigation over direct market competition.
Hall's history suggests a strong understanding of how to build profitable supplement businesses. Whether Qivana itself operates ethically is a separate question. His exit from Univera, however, provoked a fierce legal response, common in an industry built on personal connections and recruitment.
