T hi s di s pos i t i on i s notappr opr i a t e f orpubl i c a t i on a nd i s notpr e c e de nt * e xc e pta s pr ovi de d by 9th C i r . R . 36- 3. T he H onor abl e K e nne th F . R i ppl e , S e ni orU ni t e d S t a t e s C i r c ui tJ udge f or ** the S e ve nth C i r c ui t , s i tt i ng by de s i gna t i on. NOT F OR P UB L I CAT I ON UN I TE D STATE S C OU RT OF APPE ALS FOR T HE NI NTH CI RC UI T O P T IO N A L C A P IT A L , IN C . , a K orea n corporat i on f/k/ a O pt i on al V entures K orea , I n c ., P la in tif

f - A p p e lla n t, v. K Y U N G J O O N K I M , a n i ndi vi dua l , a ka C h ri s K i m , ak a C h ri st o p h er K i m , ak a K . J. K im ; e t a l., D efen d an t s - A p p el l ees. N o. 08- 56285 D . C. N o . 2 : 0 4 - c v - 0 3 8 6 6 - A BCPL A ME MOR AN DU M *

A pp ea l fr om the U ni t ed S t at es D i stri ctC ou rt f o rth e C e n tr a l D is tr ic t o f C a lif o rn ia A udr e y B . C ol l i ns , C hi e f D i s tr i c tJ udge , P r e s i di ng A r gue d a nd S ubm i tt e d N ove m be r3, 2010

P a s a d e n a , C a lif

o rn ia B efo re: P R E G E R S O N , R IP P L E , an d G R A B E R , C i rcu i tJu d g es. ** 

# FI LED JAN 04 2 011 M OLLY C. DW Y ER, CLERK U . S. C O U R T OF APPE ALSO p tio n a l a tta c h e d f o u rd e c is io n s o f

th e d is tr ic t c o u r t to its n o tic e o f ap p e a l. 1 H o w e v e r , in its b r ie f

, O p tio n a l d o e s n o t c o n te s t th e d is tr ic t c o u r t’s d e n ia l o f its m ot i on i n l i m i ne de c i de d on J ul y 5, 2006. O pt i ona l ha s w a i ve d thi s i s s ue , s o w e do nota ddr e s s i t . S e e S e ve n W or ds L L C v. N e tw ork S ol ut i ons , 260 F . 3d 1089, 1097 ( 9 th C ir . 2 0 0 1 ) ( n o tin g “o u rlo n g s ta n d in g ru le th a t w e d o n o t c o n s id e ra r g u m e n ts no tra i se d i n the bri ef

s” ). 2 O pt i on al C api t al , Inc. (“ O pt i on al ”) appeal s three deci si on s of the di stri ct 1 c our ti n a n a c t i on tha ta r i s e s outof the a l l e ge dl y f

r audul e nta c t i vi ty of

M r . K y ung Joon “ C hri st op her” K i m (“ M r. K i m ”) w i th the hel p o f M s. B ora L ee , M s. E ri ca K i m , F i rstS t ep h o ra A v en u e, In c. (“ F i rstS t ep h o ra”) an d A l ex an d ri a In v estm en t s, L L C (“ A l exandri a” ) ( col l ec t i vel y, “ K i m C l ai m ant s” ). T he pri m ary i ss ue on appeal i s the c orr e c tne s s of

the di s tr i c tc our t ’ s gr antof the K i m C l a i m a nt s ’ m ot i on f or j udgm e nta s am a tt e rof l a w or , i n the a l t e rna t i ve , f orne w tr i a l the r e by s e tt i ng a s i de aj ury ve r di c ti n f

a vorof O pt i ona l . T he tw o othe rde c i s i ons by the di s tr i c tc our ton ap p e a l a r e its d e n ia l o f

O p tio n a l’s M o tio n f

o rR u le 5 9 ( e ) o rR u le 6 0 R e lie f a n d its excl usi on of evi dence offe re d b y O pt i on al . F or the re as on s thatfol l ow , w e a ff i rm i n pa r ta nd r e ve r s e i n pa rtthe j udgm e ntof the di s tr i c tc our ta nd r e m a nd f or proceedi ng s c on si st entw i th thi s order . I3

W e r evi ew de no vo a di stri ctcourt ’ s dec i si on t o g rantj ud gm entas a m att er of l aw . T ortu v . L as V egas M etro. P ol i ce D ep’ t , 55 6 F . 3d 10 75 , 10 81 (9th C i r. 2 0 0 9 ) . A. T he r e w a s i ns uf

f i c i e nte vi de nc e t o s uppor tthe j ury ve r di c ton the f r audul e nt c onc e a l m e ntc l a i m be c aus e O pt i ona l f a i l e d t o e s t abl i s h harm . C a l . C i v. C ode §§ 17 09 , 17 10 (3); M el anson v . U ni t ed A i r L i nes, Inc. , 93 1 F . 2d 55 8, 56 3 (9th C i r. 1 9 9 1 ) ( ap p ly in g C a lif

o rn iala w ) . O p tio n a l a s s e r ts th a t it u n k n o w in g ly s o ld s to c kto the K i m C l ai m ant s and thatthe K i m C l ai m ant s profi t ed fr om l at erse l l i ng that st ock. B uttho se as se rt i on s are un supp ort ed by the evi dence. O pt i on al concedes tha tM r . K i m pa i d appr oxi m a t e l y $30 m i l l i on, r oughl y 38 bi l l i on W on, f orthe s to c ks o ld b y O p tio n a l. T h e te s tim o n y o f O p tio n a l e m p lo y e e H o n g C h a n L im v e r if ie s th a t O p tio n a l r e c e iv e d a r o u n d $ 3 0 m illio n f r o m M r . K im f

o rth e s to c k . O pt i ona l c l a i m s tha tthe K i m C l a i m a nt s pr of i t e d f r om s e l l i ng O pt i ona l s t oc k, a l l e ge dl y r e c e i vi ng $33 m i l l i on upon s e l l i ng the s t oc k. A s s uppor tf orthe $33 m i l l i on, O pt i ona l poi nt s t o E xhi bi t508, w hi c h i nc l ude s w i r e tr a ns f e r s m a de f

r om v a r io u s s h e ll c o m p a n ie s c o n tr o lle d b y th e K im C la im a n ts to N e x t S te p a n d Z o ic . O p tio n a l h a s n o t p r o v id e d , h o w e v e r , af o u n d a tio n f

o rw h y th e w ir e d a m o u n ts to4

N extS t ep and Z oi c r ef

l ec texcl usi vel y s al es fr om O pt i on al st ock. M r. K i m st at ed tha tthe w i r e d a m ount s i nc l ude d di s pos i t i on of O pt i ona l s t oc k a nd o th er asset s, s uc h a s s ha r e s i n E Z . c om . E xhi bi t508 the r e f or e doe s nots uppor tthe c ont e nt i on thatthe K i m C l ai m ant s profi t ed fr om se l l i ng O pt i on al st ock. B ec ause O pt i on al fa il ed to sh o w itsu ff

er ed h ar m , th e e v id en ce is in su ff icien t t o su p p o rt th e ju ry ’s v e r d ic t a n d d a m a g e s a w a r d f o rf r au d b y c o n c e a lm e n t. B. A s i n the c a s e of

i t s f r audul e ntc onc e a l m e ntc l a i m , O pt i ona l c a nnots how tha ti ts uf

f e r e d ha rm f

r om the de f

e nda nt s ’ f

r audul e ntm i s r e pr e s e nt a t i ons . C a l . C i v. C o d e § § 1 7 0 9 , 1 7 1 0 ( 2 ) . A c c o r d in g ly , w e a f f irm th e d is tr ic t c o u r t’s d e c is io n to gr a ntj udgm e nta s am a tt e rof l a w i n f a vorof the K i m C l a i m a nt s on the f r aud cl ai m s. C. O p ti o n al h as , h o w ev er , p re se n ted su ff icien t ev id en ce to su p p o rt th e ju ry ’s ve r di c ton the c onve r s i on c l a i m . A s apr e l i m i na ry m a tt e r , O pt i ona l ’ s c l a i m of c o n v e r s io n is n o t w a iv e d . R ul e 50( b) r e ne w s apr i orR ul e 50( a ) m ot i on, a nd a mo v a n tc a n n o ta s s e rtag r o u n d n o tr a i s e d i n th e Ru l e 5 0 ( a ) mo t i o n . Fe d . R. Ci v . P. 5 0 ( b ) ; s e e a ls o E x x o n S h ip p in g C o . v . B a k e r , 1 2 8 S . C t. 2 6 0 5 , 2 6 1 7 n .5 ( 2 0 0 8 ) .W e a l so no t e thatthe di stri ctcourtdeni ed the K i m C l ai m ant s’ R ul e 50(a) 2 m o tio n f o ra ll o f O p t i o n a l ’ s c l a i ms , f

i n d i n g n o w a i v e ro f

th e c o n v e r s i o n c l a i m. 5 T he no nm ov i ng party, ho w ever , do es no tfa ce si m i l arre stri ct i on s and i s notl i m i t ed onl y t o the de f

e ns e s r a i s e d i n the R ul e 50( a ) m ot i on. T he de c i s i on on appe a l i s the d is tr ic t c o u rt’s g r a n t o f

th e p o s t- tr ia l R u le 5 0 ( b ) m o tio n , a n d O p tio n a l, in its o p p o s itio n to th e R u le 5 0 ( b ) m o tio n , c le a r ly d id c o n te n d th a t e v id e n c e e x is te d to s uppor tc onve r s i on. 2 T o est abl i sh conv er si on , O pt i on al m ustshow that : (1) O pt i on al had o w n e r s h ip o rar ig h t to p o s s e s s th e p r o p e r ty a t th e tim e o f c o n v e r s io n ; ( 2 ) th e K im C l a i m a nt s w r ongf

ul l y t ook pos s e s s i on orpr e ve nt e d O pt i ona l f r om ha vi ng pos s e s s i on of

the pr ope rty ; a nd ( 3) r e s ul t i ng da m a ge s . M i ndy s C os m e t i c s , I nc . v. D akar , 61 1 F . 3d 59 0, 60 1 (9th C i r. 20 10 ) ( appl yi ng C al i forni a l aw ). W ith r e s p e c t to th e f

ir s t r e q u ir e m e n t, L im te s tif ie d th a t O p tio n a l h a d 1 9 .2 bi l l i on W on i n A pri l 20 01 before the t akeover by M r. K i m . T hen, the fi ve capi t al i nc r e a s e s f

r om M a y t o D e c e m be r2001 r a i s e d appr oxi m a t e l y a nothe r38 bi l l i on W on for O pt i on al . G i ven thatthe re venu e w as ra i se d from a s t ock sal e, a j ury c o u ld r e a s o n ab ly f

in d th a t O p tio n a l o w n e dth e m o n e y in its a c c o u n t.6

O pt i ona l a l s o ha s e vi de nt i a ry s uppor tf orthe s e c ond r e qui r e m e nt : tha tthe K i m C l ai m ant s w rong ful l y t oo k p osse ss i on of the prop erty. E xh i bi t50 6 p rovi des r e c or ds of

tw e nty - one tr a ns a c t i on s l i ps m a de i n 2001, r e c or di ng w i thdr a w a l s a nd r e c e i pt s . T hr e e of

the s l i ps r e f

l e c tpa y m e nt s m a de t o M r . K i m , a nd t e n s l i ps s how paym ent s t o M s. B ora L ee . In t es t i fy i ng abou ton e s peci fi c transac t i on sl i p, N am Ji n L ee , a f

orm erl ow -l evel em pl oyee atO pt i on al , sa i d that , on on e occ as i on , M r. K i m di re ct ed her t o d eposi t50 0 m i l l i on W on i nt o the ac coun tof L R IC , w hi ch M r. K i m c ontr ol l e d. A f

t e rN a m J i n L e e m a de the de pos i t , s he f i l l e d outatr a ns a c t i on s lip , n o tin g th e p a y m e n t a s a“o n e tim e te m p o r a ry a d v a n c e p a y m e n t” f o rM r . K im . L i m a l s o s t a t e d tha t , a l though the f i ve c api t a l i nc r e a s e s r a i s e d at ot a l r e ve nue of a r ound 38 bi l l i on W on, none of tha tm one y w a s f

ound i n O pt i ona l ’ s a c c ount dur i ng a n audi ti n 2002. H w a ng O ok Y a ng, a n e m pl oy e e of O pt i ona l a nd the c urr e ntc o- C E O , s t a t e d tha the i nve s t i ga t e d O pt i ona l ’ s a c c ount s f ore vi de nc e of

a ny ne w i nve s tm e ntby O pt i ona l i n 2001, w hi c h w oul d a c c ountf orthe m i s s i ng 38 bi l l i on W on. W he n a s ke d w he the rhe f ound a ny i nve s tm e nta c t i vi ty , Y a ng r e pl i e d,

“ T o m y kno w l edge there w as hardl y any new i nv es tm ent . ” T he ci rc um st ant i al e v id e n c e is s u f

f ic ie n t to s u p p o rt aju ry ’s f in d in g th a t th e K im C la im a n ts w ro n g fu l l y t o o kp o ssessi o n o f O p t i o n al ’ s p ro p erty.7

T he K i m C l ai m ant s att em ptt o rebutany w rong do i ng by cl ai m i ng that O pt i on al consent ed t o rem ov al of the fund s. Itno t es thatthe transac t i on sl i ps had boxe s f orthe a c c ount a nt , f

undi ng pe r s on, pe r s on i n c ha r ge , de pa r tm e nthe a d a nd pr e s i de ntt o i ni t i a l a nd appr ove the tr a ns f e r . N one of

the tw e nty - one tr a ns a c t i on s l i ps i n E xhi bi t506 i s i ni t i a l e d by the de pa r tm e nthe a d orthe pr e s i de nt . M a ny othe r s a l s o a r e m i s s i ng anothe rs i gna tur e , us ua l l y tha tof the f und pe r s on orpe r s on i n c har ge . F urthe rm or e , e ve n i f the pr e s i de ntorde pa r tm e nthe a d ha d appr ove d the tr a ns a c t i ons , the K i m C l a i m a nt s of f e rno e vi de nc e of

boa r d appr ova l . T he l a c k of boa r d appr ova l i s s uf

f i c i e ntt o s how tha tO pt i ona l di d notc ons e ntt o the w i th d raw al s. T h e e v id e n c e s u p p o rtin g th e f in a l r e q u ir e m e n t o f

d a m a g e s is c le a r . O p tio n a l’s lic e n s e to tr a d e o n th e m a rk e t w a s r e v o k e d d u e to its la c ko f c ap ita l. T he w i thd raw al s noton l y depri ved O pt i on al of i t s f un ds, bu tal so di re ct l y c ause d O p t i o n al t o l o se i t s trad i n g l i cen se. O p t i o n al w as h arm ed , an d th e K i m C l ai m an t s’ w r o n g f u l a c t i o n w a s as u b s t a n t i a l c au s e o f th a th a rm. T he j ury ’ s a w a r d of

da m a ge s f

orc onve r s i on i s a l s o s uppor t e d by the e v id e n c e . T h e ju ry a w a r d e d O p tio n a l 3 7 .1 b illio n W o n f o rits c o n v e r s io n c la im . A ttr i a l , L i m t e s t i f

i e d tha t“ 38 bi l l i on W on, appr oxi m a t e l y , t o [ hi s ] r e c ol l e c t i on”8

w a s m i s s i ng f

r om O pt i ona l . M or e ove r , the t ot a l of a l l tw e nty - one tr a ns a c t i on s l i ps i n E xhi bi t306 y i e l ds af i gur e of 37. 4 bi l l i on W on, c l os e t o the a m ounta w a r de d by the j ury a nd s t a t e d by L i m . A l though e i ghtof the tw e nty - one tr a ns a c t i on s l i ps do nots how M r . K i m orM s . B or aL e e a s r e c i pi e nt s , O pt i ona l ’ s a l l e ga t i on i s tha tthe K i m C l ai m ant s transfe rr ed m on eyfr om O pt i on al i nt o the ac coun t s of c om pani es tha tthe K i m C l a i m a nt s c ontr ol l e d. T hus , aj ury r e a s onabl y c oul d f i nd, ba s e d on the ci rc um st ant i al evi dence, thateven the transac t i on sl i ps thatdi d n otno t e M r. K i m orM s . B or aL e e a s r e c i pi e nt s r e f l e c t e d pa r tof

the a m ountc onve r t e d. T he j ury ’ s da m a ge s a w ar d of 37. 1 bi l l i on W on i s s uppor t e d by L i m ’ s t e s t i m ony a nd the tr a ns a c t i on s l i ps i n E xhi bi t506. T he r e i s c i r c um s t a nt i a l e vi de nc e s uf f i c i e ntt o s uppor tthe j ury ’ s ve r di c ta nd d am ag es aw ard fo r co n v ersi o n . W e rev erse th e d i stri ctco u rt ’ s j u d g m en tas a m a tt e rof l a w a nd di r e c tthe di s tr i c tc our tt o r e i ns t a t e the j ury ve r di c tf or c onve r s i on. II B e c aus e w e s e ta s i de the j udgm e nta s am a tt e rof l a w on the c onve r s i on c la im , w e m u s t c o n s id e rtw o a d d itio n a l m a tte r s r e g a r d in g th e c o n v e r s io n c la im o n ly : w h e th e rs u b s ta n tia l e v id e n c e s u p p o r te d th e ju ry v e r d ic t f in d in g A le x a n d r ia9

a n d F ir s t S te p h o r aliab le a s d e f e n d a n ts a n d w h e th e rth e d is tr ic t c o u r t e rr e d in g r a n t i n g , i n th e a l t e rn a t i v e , an e w tr i a l o n th e c o n v e r s i o n c l a i m. A. A l e xa ndr i aa nd F i r s tS t e phor ac orr e c t l y w e r e i nc l ude d a s de f e nda nt s i n the conv er si on cl ai m . O pt i on al has s ho w n thatthe K i m C l ai m ant s c on trol l ed A l e xa ndr i aa nd F i r s tS t e phor a . G i ve n the K i m C l a i m a nt s ’ e xc l us i ve c ontr ol of the tw o c om pa ni e s a nd the i rpa s tpr a c t i c e of us i ng s he l l c om pa ni e s , aj ury c oul d f i nd th a t A le x a n d r iaa n d F ir s t S te p h o r aw e r e in v o lv e d in ac o n v e r s io n s c h e m e to d e p r iv e O p tio n a l o f

its p r o p e rty . B. W e r e ve r s e the di s tr i c tc our t ’ s gr a nt , i n the a l t e rna t i ve , of ane w tr i a l on the c o n v e r s i o n c l a i m. T he st andard of revi ew for adi stri ctcourt ’ s grant i ng of a new tr i a l i s abus e of

di s c r e t i on. E ve n i f

s ubs t a nt i a l e vi de nc e e xi s t s t o de ny aR ul e 50 m ot i on , that“ do es no t , ho w ever , preventthe courtfr om grant i ng a m ot i on for a new tri al . . . i f the verdi cti s a gai nstthe cl ear w ei gh tof the evi dence. ” L andes C o n s tr . C o . v . R o y a l B a n ko f C a n ., 8 3 3 F .2 d 1 3 6 5 , 1 3 7 1 ( 9 th C ir . 1 9 8 7 ) ( e m p h a s is added). W hen the di stri ctcourthas app l i ed the corre ctl egal rul e, the di stri ct c o u r t’s r e s o lu tio n o f

am o tio n to g r a n t an e w tr ia l is a n ab u s e o f d is c r e tio n if

it is10

“ ( 1) i l l ogi c a l , ( 2) i m pl aus i bl e , or( 3) w i thouts uppor ti n i nf e r e nc e s tha tm a y be dr a w n f r om the f a c t s i n the r e c or d. ” U ni t e d S t a t e s v. H i nks on, 585 F . 3d 1247, 12 62 (9th C i r. 20 09 ) ( en banc) (i nt ernal qu ot at i on m arks om i tt ed). T he K i m C l ai m ant s i ntrodu ce d n o evi dence thatsupp ort s acontrary e xpl a na t i on of

O pt i ona l ’ s l os s of

i t s m one y . U nde rthe s e c i r c um s t a nc e s , w e c a nnot s a y th a t th e ju ry v e r d ic t is c o n tr a ry to th e w e ig h t o f th e e v id e n c e . T h e r e is s im p ly n o ev i d en ce o f reco rd t o w ei g h ag ai n stth e ev i d en ce su b m i tt ed b y O p t i o n al , an d so the di s tr i c tc ourt ’ s gr a ntof ane w tr i a l i s “ w i thouts uppor ti n i nf e r e nc e s ” f

r om the re cord. H i nk son, 58 5 F . 3d at12 62 ; se e a l so T ortu, 55 6 F . 3d at10 84 ; 12 Ja m es W m . M o o re et al., M o o re ’s F ed er al P ra ctice § 5 9 .1 3 [2 ][f][iii ] (3 d ed . 2 0 0 0 ) ( “A ne w tr i a l i s w a rr a nt e d onl y i f the ve r di c ti s s o c l e a r l y a ga i ns tthe w e i ghtof the evi dence as t o am ou ntt o a m ani fe stm i sc arri age of j ust i ce . ”) . III W e a f f i rm the tw o a ddi t i ona l de c i s i ons of the di s tr i c tc our tr a i s e d by O pt i ona l on appe a l : the de ni a l of O pt i ona l ’ s m ot i on f

orr e c ons i de r a t i on a nd the e x c lu s io n o f

th r e e p ie c e s o f

e v id e n c e o f

f e r e d b y O p tio n a l. F irst, th e d istrict co u rt d idn o t ab u se it s d iscr etio n in d en yin g O p ti o n al’s m ot i on f orr e c ons i de r a t i on. S e e M 2 S of tw a r e , I nc . v. M a da c y E ntm ’ t , 421 F . 3d11

1 0 7 3 , 1 0 8 6 (9 th C i r. 2 0 0 5 ). M r. K i m ’ s co n v i ct i o n i s n o tn ew ev i d en ce b ecau se O p ti o n al lear n ed o f th e c o n v icti o n n ea rly a m o n th p rio r to th e d istrict co u rt’s deci si on t o g rantj ud gm entas a m att erof l aw i n favor of the K i m C l ai m ant s. S ee F e a tur e R e a l ty , I nc . v. C i ty of S poka ne , 331 F . 3d 1082, 1093 ( 9th C i r . 2003) . T he K orea n p roce edi ng s a l so do no tprec l ud e the l i t i gat i on here because the i ss ues l i t i ga t e d i n K or e aw e r e noti de nt i c a l . S e e R e s ol ut i on T rus tC orp. v. K e a t i ng, 186 F . 3d 11 10 , 11 16 (9th C i r. 19 99 ). N ordi d the di s tr i c tc ourtabus e i t s di s c r e t i on i n e xc l udi ng thr e e pi e c e s of evi dence offe re d b y O pt i on al . S ee U ni t e d S t a t e s v. B onds , 608 F . 3d 495, 512 ( 9th C i r. 20 10 ). T he courtac t ed w el l w i thi n i t s di sc re t i on i n excl ud i ng the expertre po rt and t es t i m on y of Y on g In L ee . E xp ertt es t i m on y c an be excl ud ed w hen a party has unt i m e l y de s i gna t e d a n e xpe rt . S e e Q ue ve do v. T r a ns - P a c . S hi ppi ng, I nc . , 143 F . 3d 1255, 1258 ( 9th C i r . 1998) . O pt i ona l doe s notpr ovi de e vi de nc e tha tthe re po rtw as desi gn at ed i n a t i m el y m anner, and the re cord sugg es t s otherw i se . A ft er the di sc ov ery c ut -off

dat e f or expert s, O pt i on al desi gn at ed Y on g In L ee as an ex p ert , b u tth e d i stri ctco u rtd i d n o treo p en o r ex t en d d i sco v ery. T he di stri ctcourtal so ac t ed w i thi n i t s di sc re t i on w hen i texcl ud ed i n fo rm at i o n fro m th e K o rean F i n an ci al S u p erv i so ry S erv i ce’ s D at a A n al ysi s,12

R e tr i e va l a nd T r a ns f

e rs y s t e m ( “ D A R T ” ) be c aus e of al a c k of authe nt i c i ty on the g r o u n d o f

h e a r s a y . O p tio n a l c la im s th a t in f o rm a tio n f

r o m D A R T is a d m is s ib le un der F eder al R ul e of E vi dence 901 (b)( 7). In supp ortof thatar gu m ent , ho w ever , O p ti o n al o n ly an alo g izes D A R T to th e S ec u riti es an d E x ch an g e C o m m issio n ’s El e c tr o n i c D a t aG a th e r i n g , A n a l y s i s a n d Re tr i e v a l s y s t e m w i thoutpr ovi di ng f ur the rs upportf

orhow the i nf

orm a t i on f

r om D A R T m e e t s the r e qui r e m e nt s of R u le 9 0 1 ( b ) ( 7 ) . O pt i on al al so fa i l s t o est abl i sh thatthe di stri ctcourti m prop er l y e xcl ud ed E xh i bi t50 7. Itoffe rs no ci t at i on or re fe re nce i n i t s bri ef t o any deci si on i n w hi ch th e d is tr ic t c o u rt e x c lu d e d E x h ib it 5 0 7 . M o r e o v e r , in O p tio n a l’s n o tic e o f ap p e a l, no ne of the att ac hed o rder s c on t ai n a deci si on excl ud i ng E xh i bi t50 7. O pt i on al has f a i l e d t o c a rry i t s bur de n on appe a l . S e e 9th C i r . R . 30- 1. 4( a ) ( i v) , ( v) ( “ [ T ] he exce rpt s of r ec ord shal l i ncl ud e any op i ni on , fi nd i ng s of f ac tor concl usi on s of l aw rel at i n g t o th e j u d g m en to r o rd er ap p eal ed fro m ” an d “ an y o th er o rd ers o r ru l i n g s, i nc l udi ng m i nut e or de r s , s oughtt o be r e vi e w e d. ”) . A F F IR M E D i n p art , R E V E R S E D and R E M A N D E D i n p art . T he part i es s h a ll b e a rth e iro w n c o s ts o f th is ap p e a l.