Source: s3://data.kl3m.ai/documents/govinfo/USCOURTS/USCOURTS-caed-1_23-cv-00643/USCOURTS-caed-1_23-cv-00643-9/pdf.json

Nature of Suit Code: 110
Nature of Suit: Insurance
Cause of Action: 28:1332 Diversity-Breach of Contract

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UNITED STATES DISTRICT COURT

EASTERN DISTRICT OF CALIFORNIA

AMERICAN ZURICH INSURANCE 

COMPANY,

Plaintiff,

v.

ESG REPUBLIC, INC, et al.,

Defendants/Counterclaimants.

Case No. 1:23-cv-00643-KES-CDB

ORDER DISCHARGING SANCTIONS 

ORDER AND REQUIRING DEFENDANT 

JEFFREY D. THORN TO PAY SANCTIONS

(Doc. 60)

ORDER DISCHARGING ORDER TO 

SHOW CAUSE

(Doc. 57)

14-Day Deadline

Plaintiff American Zurich Insurance Company initiated this action with the filing of a 

complaint against Defendants on April 27, 2023. (Doc. 1). On September 20, 2023, the Court 

entered the scheduling order setting forth all case management dates. (Doc. 21).

Following Defendant Jeffrey D. Thorn’s failure to appear at the mid-discovery status 

conference, on August 27, 2024, the Court entered an order to show cause why sanctions should 

not be imposed for his failure to comply with Court orders. (Doc. 57). That order required

Defendant Thorn to answer five specific prompts for information. Although counsel for 

Defendant Thorn (Lawrence E. Heller) timely responded to the Court’s show cause order, the 

response addressed only two of the five prompts. See (Doc. 58). Because Mr. Heller’s 

Case 1:23-cv-00643-KES-CDB Document 62 Filed 09/06/24 Page 1 of 3
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declaration was deficient and in light of Defendant Thorn having previously violated two other 

orders of the Court (the order directing the parties to timely file a joint mid-discovery status 

conference report (Doc. 21 at 4 & Docs. 42 & 52), also violated by all other parties, and to appear 

at said conference), on September 5, 2024, the Court entered an order requiring Defendant Thorn 

to pay daily sanctions in the amount of $100 until he filed a response that comprehensively 

answers the five prompts set forth in the Court’s order to show cause. (Doc. 60).

That same date (September 5, 2024), counsel for Defendant Thorn (Mr. Heller), filed a 

further response to the Court’s order to show cause that satisfactorily responds to the Court’s 

questions. (Doc. 61). The Court notes, however, that Mr. Heller’s unsworn filing demonstrates

that the parties’ earlier stipulated request for order extending case management dates (filed on 

May 22, 2024), contained a misrepresentation. See (Doc. 50). In that filing, Mr. Heller 

represented that he had trial scheduled in August. Id. at ¶ 9. In his further response to the Court’s

order to show cause, Mr. Heller confirms that the case referred to in the parties’ May 22 

stipulation for which trial was scheduled in August is “Mario Delis and Nature & Life Farms, 

LLC v. Jeffrey D. Thorn, et. al.” (Doc. 61 at 3). A review of the public records for that matter 

reflects that the parties jointly moved to continue the previously scheduled trial date (April 29, 

2024) to October 7, 2024, and the state court granted the parties’ motion on February 23, 2024.1 

Thus, when the parties to this action filed their May 22 stipulation, Mr. Heller knew (or should 

have known) that trial of the matter referenced therein was scheduled to commence in October

(not August, as represented) – trial of the state court case never was scheduled to commence in 

August. If the Court has misinterpreted the state court docket or otherwise is incorrect about the 

misrepresentation, Defendant Thorn is welcome to make a filing correcting the record.

In light of Defendant Thorn’s prompt and complete filing of a further response to the 

Court’s show cause order, the Court shall discharge further sanctions and shall impose a $100 

sanction based on the Court’s order. (Doc. 60 at 7) (“Defendant’s filing of his response to the 

show cause order on the date of this order will not relieve Defendant of the sanction imposed 

1 The Court takes judicial notice of documents on file in unrelated state court matters. 

See Harris v. Cnty. of Orange, 682 F.3d 1126, 1131-32 (9th Cir. 2012).

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commencing on this date”). 

Based on the foregoing, IT IS HEREBY ORDERED that:

Defendant Jeffery D. Thorn shall pay the Clerk of the Court $100.00 in sanctions no later 

than September 20, 2024. Defendant Thorn shall promptly file proof of payment with the Court 

once payment is made.

And IT IS FURTHER ORDERED that if such payment and proof of payment is not timely 

made, additional sanctions of $50.00 per day shall issue from September 20, 2024, until full 

payment is received.

IT IS SO ORDERED.

Dated: September 6, 2024 ___________________ _

UNITED STATES MAGISTRATE JUDGE

Case 1:23-cv-00643-KES-CDB Document 62 Filed 09/06/24 Page 3 of 3