Source: s3://data.kl3m.ai/documents/govinfo/USCOURTS/USCOURTS-caed-1_02-cv-06213/USCOURTS-caed-1_02-cv-06213-3/pdf.json

Nature of Suit Code: 890
Nature of Suit: Other Statutory Actions
Cause of Action: 29:1001 E.R.I.S.A.: Employee Retirement

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UNITED STATES DISTRICT COURT

EASTERN DISTRICT OF CALIFORNIA

BETH MAXWELL STRATTON, CHAPTER 7

BANKRUPTCY TRUSTEE FOR THE SGP

BENEFIT PLAN, INC.,

Plaintiff,

v.

GLACIER INSURANCE

ADMINISTRATORS, INC.; GLACIER

INSURANCE ENTERPRISES, INC., et

al.,

Defendants.

 

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1:02-cv-6213 OWW DLB

JUDGMENT

Given the parties’ settlement agreements and their

collective request for this Court’s orders, injunctions and

judgment, given that plaintiff’s motion seeking such relief was

unopposed, and given this Court’s Findings of Fact and

Conclusions of Law entered herein on November 22, 2006, the Court

here orders judgment be entered as set out below: 

IT IS ORDERED, ADJUDGED, AND DECREED AS FOLLOWS:

1. This Court’s Findings of Fact and Conclusions of Law

entered on November 22, 2006, in this case are incorporated in

this judgment.

Case 1:02-cv-06213-LJO-GSA Document 176 Filed 11/27/06 Page 1 of 8
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2. The settlements between Plaintiff (Beth Maxwell

Stratton as Chapter 7 Bankruptcy Trustee of the SGP Benefit Plan,

Inc., and as court-appointed Fiduciary for the SGP Benefit Plan

and the SGP Benefit Plan Trust) and the following named

individuals and entities upon their payments of the amounts

indicated below are fair, adequate and reasonable and are

approved by the Court as being in the best interest of the

claimants, creditors, participants, and beneficiaries of SGP

Benefit Plan, Inc. (“SGP”), the SGP Benefit Plan (“Plan”) and the

SGP Benefit Plan Trust (“Trust”).

A. From or on behalf of Sunkist Growers, Inc., a

California membership cooperative and its former employee Ted

Jones (“Sunkist”), $2,027,376.00.

B. From or on behalf of defendants Brad Stark, Pierre

Tada, Norma Spalding, Dick Neece, Sr., and William Wolhaupter

(“Former Trustee Defendants”), $1 million plus interest thereon

from and after January 11, 2005.

C. From or on behalf of defendants Glacier Insurance

Administrators, Inc., Glacier Insurance Enterprises, Inc., in its

own name and doing business as Glacier Insurance Administrators,

Fresno Agent Service Team, Inc., in its own name and doing

business as Ben Mar Insurance Services, and Lawrence Thompson, $2

million plus interest thereon from and after January 6, 2005.

3. Once the time for appealing this order and judgment

expires or an appeal is filed but results in final affirmation of

this Court’s order and judgment, Stratton shall petition this

Court for release of the settlement funds and all interest

accumulated thereon for her use in payment of expenses and claims

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as provided below. If an appeal is filed and an appellate court

overrules this Court’s entry of final judgment or remands the

action to this Court for reconsideration in a way which effects a

material change to the terms of any settlement, the settlement

funds shall be returned to the settling parties and the

Settlement Agreements between them and Stratton will be deemed

void ab initio and of no effect.

4. Stratton shall distribute and pay out the settlement

funds as follows:

a. To Stratton: for her services as Bankruptcy

Trustee, $29,502.75; for her services as Independent Fiduciary,

$38,752.50; as compensation for her employees’ time, $3,650.00;

and as reimbursement of expenses, $6,542.88.

b. To the Trucker Huss law firm for ERISA legal

services rendered to Stratton, $48,746.26.

c. To Seng & Stratton for litigation services

rendered to Stratton, $837,051.40.

d. To Janzen, Tamberi & Wong, accountants, the sum of

$12,600.00. 

e. To McCormick, Barstow, Sheppard, Wayte & Carruth,

the sum of $945.00 for attorney services rendered.

f. To Law Office of Alyson Berg, the sum of $1,065.00

for attorney services rendered. 

g. The fees previously paid to Healthcomp Third Party

Administrators, Inc., in the sum of $222,623.52 are approved. 

Stratton also is authorized to pay to Healthcomp such additional,

reasonable fees as are necessary to complete administration of

Plan claims.

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h. The remaining administrative expenses, both

incurred and future-estimated, described in Stratton’s Proposed

Distribution in her Motion for Final Approval of Settlement, also

are approved. 

5. The above payees are authorized to apply to

 this Court for payment of such fees and costs as were earned or

incurred by them but not included in previously-filed

applications for fees nor in the payments authorized above. In

addition, the above payees are authorized to apply to the Court

for fees and costs incurred for future services.

6. After payment of the above-approved fees and costs, and

after setting aside funds to cover not-yet-approved and future

estimated fees and costs, the balance of the funds produced

through settlements shall be distributed pro rata to the

claimants on the allowed amounts contained in Stratton’s Notices

to claimants as adjusted due to ongoing claims administration

activities.

7. If after payment of all fees, costs and expenses, a

balance of at least $20,000 remains on hand, the remaining funds

shall be distributed pro rata to each claimant; if there is less

than $20,000 in remaining funds after paying all approved

expenses, a further distribution would not be cost-effective, and

so the excess will be deposited into the State of California

Unclaimed Property Fund for disbursement in accordance with

California Code of Civil Procedure section 1300, et seq.

8. This Court hereby permanently bars and enjoins all

Claimants, creditors, participants, and beneficiaries of SGP, the

Plan or the Trust, recipients of settlement funds and others,

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 A list of all to whom to such notices were sent is 1

attached to the Proofs of Service, dated July 14 and 17, 2006, on

Stratton’s Notice of Motion for Final Approval of Settlements,

and in her November 15, 2006, Declaration of Service of Notice of

Continued Hearing, all on file herein. A true copy of that list

is attached marked Exhibit “A” and incorporated herein by this

reference. Exhibit “A” need not be served. 

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including those who filed claims in the the Bankruptcy Proceeding

or were served with Stratton’s notice of need to file a Proof of

Claim and/or notice of the hearings on Stratton’s motion for

final approval of settlement, from initiating or pursuing any 1

claims or actions against SGP, Inc., SGP Benefit Plan, SGP

Benefit Plan Trust and the Settling Parties relating in any way

to SGP, Inc., SGP Benefit Plan or SGP Benefit Plan Trust,

including, but not limited to, claims or actions relating to: the

creation, operation, management, administration, marketing or

failure of SGP, Inc., SGP Benefit Plan or SGP Benefit Plan Trust;

the payment or non-payment of benefits or claims for services; or

any promise, representation, contract or other activity related

to SGP, Inc., SGP Benefit Plan or SGP Benefit Plan Trust.

For purposes of this injunction, “Claimants” are

defined to include, but not necessarily be limited to, all

participants, beneficiaries, medical providers, employer groups,

service providers, health providers and creditors of SGP, Inc.,

SGP Benefit Plan and/or SGP Benefit Plan Trust as well as any and

all of their respective transferees, successors and assigns. 

“Claimants” shall also specifically include any and all persons,

groups of persons, partnerships, entities, medical service

providers, healthcare providers, employers, employer

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organizations or other organizations who submitted claims or

proofs of claims in the Bankruptcy Proceeding and/or Action;

For the purposes of this injunction, the term “Settling Parties”

is defined as follows: Glacier insurance Administrators, Inc.,

Glacier Insurance Enterprises, Inc., Fresno Agent Service Team,

Inc., dba Ben Mar Insurance Services, Ben Mar Insurance Services,

and Lawrence Thompson, and all of their officers, directors,

shareholders, agents, employees, independent contractors,

attorneys, accountants, advisors, consultants, insurers and other

persons acting for, under or in concert with any of them; Sunkist

Growers, Inc., Ted Jones, Brad Stark, Pierre Tada, Norma

Spalding, Dick Neece, Sr. And William Wolhaupter;

The “Bankruptcy Proceeding” refers to the proceeding

instituted on or about February 25, 2002, by SGP, Inc., in the

United States Bankruptcy Court, Eastern District of California,

Action No. 02-11653-A-7F. The “Action” refers to the present

Action pending in this Court.

9. Each and every person and entity who accepts a check

pursuant to the distribution plan in paragraph 6, above, is, by

endorsing, cashing, or otherwise negotiating that check, hereby

deemed to have agreed to, and will, be bound by the terms of the

following:

Each claimant releases and forever discharges SGP, the

plan, the trust and the settling parties, and each of

them, from any and all claims relating in any manner to

SGP, the plan, or the trust and from the settling

parties’ acts, errors, conduct, administration, work,

services or activities of any type relating in any

manner to any of the foregoing, from the beginning of

time until the final order of judgment and dismissal

with prejudice is entered in this case. 

As part of the release, each such claimant further

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understands and agrees that his/her/its claims may be

different and/or greater than currently perceived.

Nevertheless, each such claimant understands and agrees

that this is a full and final settlement and release of

all such claims that claimant may possibly have now or

in the future against any of the settling parties. 

Each such claimant hereby knowingly and voluntarily

waives all rights and/or benefits provided to

him/her/it under section 1542 of the California Civil

Code, and the comparable statutes of all other states. 

Said Civil Code section 1542 provides as follows:

A general release does not extend to claims which the

creditor does not know or suspect to exist in his favor

at the time of executing the release, which, if known

by him must have materially affected his settlement

with the debtors;”

10. Stratton’s Final Report of Administration of Bankruptcy

Trustee, set forth in her Motion for Final Court Approval of

Settlements, is approved.

11. Once this Court’s orders have become final and Stratton

has paid SGP Benefit Plan, Inc., SGP Benefit Plan, and SGP

Benefit Plan Trust costs and expenses and distributed settlement

funds to the claimants and creditors and deposited all remaining

undistributed funds into the California Unclaimed Property Fund

as provided herein, Stratton shall report to the Court and all

parties to this action that she has completed the distribution

and seek this Court’s order closing the SGP Benefit Plan, Inc.,

Bankruptcy Proceeding and terminating the SGP Benefit Plan, Inc.,

and SGP Benefit Plan, and SGP Benefit Plan Trust and discharging

SGP and Stratton.

12. The terms of the parties’ settlement agreements

attached to Stratton’s motion for final court approval are

incorporated herein. The case is dismissed with prejudice. The

court shall retain jurisdiction over all Claimants, creditors,

participants and beneficiaries of SGP, the Plan, or Trust, the

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recipients of settlement funds and others, including those who

filed claims in the Bankruptcy proceedings, or were served with

Stratton’s notice of need to file Proof of Claims and/or Notice

of Hearing on Stratton’s Motion for Final Approval of Settlement

(including those individuals identified in Exhibit “A,” attached

hereto and incorporated herein), the Plaintiff and the settling

parties, to ensure compliance with the terms of the settlement

and the orders of this Court and to enforce all of the relief,

including the permanent bar and injunctive relief, requested and

granted in this case. 

DATED: November 22, 2006.

/s/ Oliver W. Wanger

___________________________________ 

 Oliver W. Wanger

 United States District Judge

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