Source: s3://data.kl3m.ai/documents/govinfo/USCOURTS/USCOURTS-cand-5_06-cv-03445/USCOURTS-cand-5_06-cv-03445-13/pdf.json

Nature of Suit Code: 850
Nature of Suit: Securities, Commodities, Exchange
Cause of Action: 28:1331 Fed. Question: Securities Violation

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MORGAN, LEWIS &

BOCKIUS LLP 

ATTORNEYS AT LAW

NEW YORK

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1-SF/7652801.1 STIPULATION AND [PROPOSED] ORDER 

CONTINUING STAY (NO. 06-3445) 

JOHN H. HEMANN (SBN 165823) 

JOSEPH E. FLOREN (SBN 168292) 

BENJAMIN P. SMITH (SBN 197551) 

CHRISTOPHER J. BANKS (SBN 218779) 

TERA M. HEINTZ (SBN 241414) 

MORGAN, LEWIS & BOCKIUS LLP 

One Market, Spear Street Tower 

San Francisco, CA 94105-1126 

Tel: 415.442.1000 

Fax: 415.442.1001 

E-mail: jhemann@morganlewis.com 

 jfloren@morganlewis.com 

 bpsmith@morganlewis.com 

 cbanks@morganlewis.com 

 theintz@morganlewis.com 

Attorneys for Defendants Jeffrey L. Hall, Richard P. 

Wallace, John H. Kispert and Nominal Defendant 

KLA-Tencor Corporation 

UNITED STATES DISTRICT COURT 

NORTHERN DISTRICT OF CALIFORNIA – SAN JOSE DIVISION 

In re KLA-TENCOR CORPORATION 

SHAREHOLDER DERIVATIVE 

LITIGATION 

This Document Relates to: 

ALL ACTIONS 

Case No. C-06-03445-JW 

STIPULATION AND [PROPOSED] 

ORDER CONTINUING STAY 

UNITED STATES DISTRICT COURT

NORTHERN DISTRICT OF CALIFORN

I

A

IT IS SO ORDERED

AS MODIFIED

Judge James Ware

Case 5:06-cv-03445-JW Document 141 Filed 01/14/08 Page 1 of 8
MORGAN, LEWIS &

BOCKIUS LLP 

ATTORNEYS AT LAW

NEW YORK

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1-SF/7652801.1 2 STIPULATION AND [PROPOSED] ORDER 

CONTINUING STAY (NO. 06-3445) 

TO THE HONORABLE COURT: 

Lead Plaintiff and Defendants hereby stipulate and agree, by and through their undersigned 

counsel of record, as follows: 

WHEREAS, on February 20, 2007, Lead Plaintiff Alaska Electrical Pension Fund, 

derivatively on behalf of KLA-Tencor Corporation (“Lead Plaintiff”), filed an Amended 

Consolidated Verified Shareholder Derivative Complaint (“Amended Consolidated Complaint”) in 

this consolidated action, 

WHEREAS, this case has been stayed at the request of all parties to facilitate the parties’ 

negotiations regarding a potential resolution of the case with the active assistance of professional 

mediator, Jonathan Marks of MarksADR; 

WHEREAS, in the last case management conference of December 3, 2007, the Court 

continued the stay of proceedings in this action until January 14, 2008, on account of continued 

mediated settlement negotiations and to provide time for nominal defendant KLA-Tencor 

Corporation (“KLA”), acting through the Special Litigation Committee (“SLC”) of KLA’s Board 

of Directors, to serve its proposed motion to terminate the derivative litigation on all parties to this 

action; 

WHEREAS, on December 21, 2007, the SLC served on all parties the proposed motion to 

terminate and the SLC report in which it set forth its conclusions and determination as to whether 

the claims alleged in the federal and state derivative actions should be pursued dismissed or 

otherwise resolved, subject to the mediation agreement signed by all parties and the Federal Rules 

of Evidence 408, California Evidence Code Section 1119, and similar rules in other jurisdictions; 

WHEREAS, all parties to this case continue to be actively engaged in formal and informal 

settlement discussions both directly and with the assistance of Mr. Marks; 

WHEREAS, the parties believe that proceeding with litigation at this point in the 

discussions would not be conducive to the ongoing mediation and settlement discussions and that a 

continued stay of the proceedings would be more likely to foster productive settlement discussions; 

and 

WHEREAS, the parties have, therefore, agreed that the response deadlines and further 

Case 5:06-cv-03445-JW Document 141 Filed 01/14/08 Page 2 of 8
MORGAN, LEWIS &

BOCKIUS LLP 

ATTORNEYS AT LAW

NEW YORK

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1-SF/7652801.1 3 STIPULATION AND [PROPOSED] ORDER 

CONTINUING STAY (NO. 06-3445) 

proceedings in this litigation should continue to be stayed on the terms and conditions set forth 

below in order to allow productive discussions regarding a possible settlement to continue. 

STIPULATION 

Now, therefore, the parties agree and stipulate, subject to Court approval, as follows: 

1. All proceedings in this action will remain stayed until February 11, 2008. If the parties 

have not resolved the case at that time, absent further order of the Court, the parties shall submit a 

proposed briefing schedule for the anticipated motion to terminate; 

2. The next Case Management Conference in this case will go forward as scheduled on 

January 14, 2008, at 10:00 a.m., at which time the parties will update the Court regarding the status 

of their discussions. 

IT IS SO STIPULATED. 

DATED: January 12, 2008 MORGAN, LEWIS & BOCKIUS LLP

 JOHN H. HEMANN 

 JOSEPH E. FLOREN 

 TERA M. HEINTZ 

 By: /s/___ 

 Joseph E. Floren 

One Market, Spear Street Tower 

San Francisco, CA 94105-1126 

Telephone: (415) 442-1000 

Facsimile: (415) 442-1001 

 

Attorneys for Defendants Jeffrey L. Hall, 

Richard P. Wallace, John H. Kispert, and 

Nominal Defendant KLA-Tencor Corporation 

I, Joseph E. Floren, am the ECF User whose ID and password are being used to file this 

STIPULATION AND [PROPOSED] ORDER. In compliance with General Order 45, X.B., I 

hereby attest that each of the 9 signatories identified below has concurred in this filing. 

Case 5:06-cv-03445-JW Document 141 Filed 01/14/08 Page 3 of 8
MORGAN, LEWIS &

BOCKIUS LLP 

ATTORNEYS AT LAW

NEW YORK

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1-SF/7652801.1 4 STIPULATION AND [PROPOSED] ORDER 

CONTINUING STAY (NO. 06-3445) 

DATED January 12, 2008 COUGHLIN STOIA GELLER 

 RUDMAN & ROBBINS LLP

SHAWN A. WILLIAMS 

MONIQUE C. WINKLER 

AELISH M. BAIG 

/s/ 

SHAWN A. WILLIAMS 

100 Pine Street, Suite 2600 

San Francisco, CA 94111 

Telephone: 415/288-4545 

415/288-4534 (fax) 

COUGHLIN STOIA GELLER 

 RUDMAN & ROBBINS LLP 

DARREN J. ROBBINS 

TRAVIS E. DOWNS III 

655 West Broadway, Suite 1900 

San Diego, CA 92101-3301 

Telephone: 619/231-1058 

619/231-7423 (fax) 

Lead Counsel for Plaintiffs 

 

DATED: January 12, 2008 FENWICK & WEST LLP 

 KEVIN P. MUCK

DEAN S. KRISTY 

 By: /s/ 

 Kevin P. Muck 

555 California Street, 12th Floor 

San Francisco, CA 94104 

Tel. 415-875-2300 

Fax: 415-281-1350 

Attorneys for Defendants Edward W. Barnholt, 

H. Raymond Bingham, Robert J. Boehlke, 

Robert T. Bond, Richard J. Elkus, Jr., Leo 

Chamberlain, and Lida Urbanek 

Case 5:06-cv-03445-JW Document 141 Filed 01/14/08 Page 4 of 8
MORGAN, LEWIS &

BOCKIUS LLP 

ATTORNEYS AT LAW

NEW YORK

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1-SF/7652801.1 5 STIPULATION AND [PROPOSED] ORDER 

CONTINUING STAY (NO. 06-3445) 

DATED: January 12, 2008 ORRICK, HERRINGTON & SUTCLIFFE LLP 

 WALTER F. BROWN, JR. 

 ROBERT P. VARIAN

 By: /s/ 

 Robert P. Varian 

405 Howard Street 

San Francisco, CA 94105 

Tel. 415-773-5700 

Fax: 415-773-5759 

Attorneys for Defendant Gary Dickerson 

DATED: January 12, 2008 SHEARMAN & STERLING LLP 

 PATRICK D. ROBBINS 

 JEFFREY S. FACTER 

 EMILY GRIFFEN 

 By: /s/ 

 Emily Griffen 

525 Market Street, Suite 1500 

San Francisco, CA 94105 

Telephone: (415) 616-1100 

Facsimile: (415) 616-1199 

Attorneys for Defendant Kenneth Levy 

Case 5:06-cv-03445-JW Document 141 Filed 01/14/08 Page 5 of 8
MORGAN, LEWIS &

BOCKIUS LLP 

ATTORNEYS AT LAW

NEW YORK

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1-SF/7652801.1 6 STIPULATION AND [PROPOSED] ORDER 

CONTINUING STAY (NO. 06-3445) 

DATED: January 12, 2008 LAW OFFICE OF MARK A. BELNICK, LLC 

 MARK A. BELNICK (admitted pro hac vice) 

 

 By: /s/ 

 Mark A. Belnick 

120 West 45th Street, Suite 1700B 

New York, NY 10036 

Telephone: 646-453-2901 

Fax: 646-453-2908 

CHRISTOPHER D. KERCHER (pro hac vice) 

 AKIN GUMP STRAUSS HAUER & FELD LLP 

590 Madison Avenue 

New York, NY 10022 

Tel 212-872-1000 

STEVEN S. KAUFHOLD 

AKIN GUMP STRAUSS HAUER & FELD LLP 

580 California Street, 15th Floor 

San Francisco, CA 94104 

Tel: 415-765-9500 

Fax: 415-765-9501 

Attorneys for Defendant Stuart J. Nichols 

Case 5:06-cv-03445-JW Document 141 Filed 01/14/08 Page 6 of 8
MORGAN, LEWIS &

BOCKIUS LLP 

ATTORNEYS AT LAW

NEW YORK

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1-SF/7652801.1 7 STIPULATION AND [PROPOSED] ORDER 

CONTINUING STAY (NO. 06-3445) 

DATED: January 12, 2008 RAMSEY & EHRLICH LLP 

 ISMAIL RAMSEY 

 MILES F. EHRLICH 

 

 By: /s/ 

 Ismail Ramsey 

803 Hearst Avenue 

Berkeley, CA 94710 

Telephone: 510-548-3600 

Attorneys for Defendant Arthur Schnitzer 

DATED: January 12, 2008 DLA PIPER US LLP 

 SHIRLI FABBRI WEISS 

 DAVID A. PRIEBE 

 

 By: /s/ 

 David A. Priebe 

2000 University Avenue 

East Palo Alto, California 94303 

Telephone: (650) 833-2056 

Facsimile : (650) 833-2001 

Attorneys for Defendant Kenneth L. Schroeder 

DATED: January 12, 2008 HELLER EHRMAN LLP 

 MICHAEL J. SHEPARD 

 WARRINGTON S. PARKER, III 

 By: /s/ 

 Warrington S. Parker, III 

333 Bush Street 

San Francisco, CA 94104 

Telephone: (415) 772-6000 

Facsimile: (415) 772-6268 

Attorneys for Defendant Jon D. Tompkins 

Case 5:06-cv-03445-JW Document 141 Filed 01/14/08 Page 7 of 8
MORGAN, LEWIS &

BOCKIUS LLP 

ATTORNEYS AT LAW

NEW YORK

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1-SF/7652801.1 8 STIPULATION AND [PROPOSED] ORDER 

CONTINUING STAY (NO. 06-3445) 

O R D E R

PURSUANT TO STIPULATION, AND GOOD CAUSE APPEARING, IT IS 

HEREBY ORDERED THAT: 

1. All proceedings in this action will remain stayed until February 11, 2008. If the parties 

have not resolved the case at that time, absent further order of the Court, the parties shall submit a 

proposed briefing schedule for the anticipated motion to terminate; 

2. The next Case Management Conference in this case will go forward as scheduled on 

January 14, 2008, at 10:00 a.m., at which time the parties will update the Court regarding the status 

of their discussions. 

SO ORDERED. 

DATED: ______________, 2008 

 Hon. James Ware 

 United States District Judge 

 The Court conducted a case management conference on January 14, 2008. At the 

conference, counsel for the parties represented to the Court that they were actively working 

towards a global settlement agreement. The parties submitted a letter from Jonathan Marks of 

Marks ADR representing that the parties were actively engaged in the settlement process and that 

further action in the litigation would hinder a potential settlement. 

 In light of the parties' representations, the Court continues to stay proceedings until 

March 17, 2008. The parties shall appear before the Court on March 17, 2008 at 10 A.M. for a 

Further Case Management Conference. Pursuant to the Civil Local Rules, the parties shall submit 

a Joint Case Management statement by March 7, 2008. The Joint Statement shall update the 

Court on the status of the settlement and, in the event the case has not been settled, shall include a 

proposed briefing schedule for KLA-Tencor’s anticipated motion to terminate litigation. The 

schedule shall detail the scope and timing of any requested discovery regarding the motion. 

Dated: January 14, 2008 _________________________________ 

 JAMES WARE 

 United States District Judge

Case 5:06-cv-03445-JW Document 141 Filed 01/14/08 Page 8 of 8