SERVED: JUNE 29,2012 

U.S. DEPARTMENT OF TRANSPORTATION 

OFFICE OF HEARINGS 

WASHINGTON, DC 

IN THE MATTER OF 

CORNERSTONE AVIATION, INC. 

FAA DOCKET NO. [TO BE ASSIGNED] 

(Civil Penalty Action) 

FDMS NO. FAA-2011- 1293 

PROCEDURAL ORDER 

In order to expedite the hearing in this matter, the parties shall comply with the 

Procedural Schedule set forth hereinbelow1

• The Rules of Practice for this proceeding 

are set forth in 14 C.P.R. Part 13, Subpart G, of the Federal Aviation Regulations2

. 

Those rules provide, inter alia, that the Respondent must file a written Answer or motion 

within thirty (30) days after service of the Complaint (14 C.P.R. § 13.209(a)), that a 

general denial is deemed a failure to file an Answer(§ 13.209(e)), that failure to file an 

Answer without good cause is deemed an admission of each allegation in the Complaint 

(§13.209(f)), and that, absent agreement of the parties, a party seeking an extension of 

time must file a written motion not less than seven (7) days before the document is due, 

absent good cause shown(§ 13.213(a) and (b)). 

'• 

More specifically, 14 CFR § 13.209 (e) states: 

A person filing an answer shall admit, deny, or state that the person is without 

sufficient knowledge or information to admit or deny, each numbered paragraph 

of the complaint. Any statement or allegation contained in the complaint that is 

not specifically denied in the answer may be deemed an admission ofthe truth of 

that allegation. A general denial of the complaint is deemed a failure to file an 

answer. 

Under FAA Order 2150.3B and the Rules governing these proceedings, the 

Agency attorney and the Respondent are encouraged to consider the possibility of 

1 Materials filed in the FAA Hearing Docket (except for materials filed in security cases) are also available 

for viewing at http://www.regulations.gov. 2 The Administrator's civil penalty decisions, along with indexes of the decisions, the Rules of Practice, as 

well as other materials relating to civil penalty cases, are available on the internet at: 

http://www.faa.gov/ about/office_ orglheadquarters _offices/ age/pol_ adjudication/ agc400/civil _penalty/; see 

also: http:llecfr.gpoaccess.govlcgilt/textltext-idx?c=ecfr&tpl=!ecfrbrowse/Titlel4/14tab _ 02.tpl. In 

addition, Thomson Reuters/West Publishing publishes Federal Aviation Decisions. Finally, the decisions 

are available through LEXIS (TRANS library) and WestLaw 9FTRAN-FAA database). For additional 

information, see the Web site. 

1 
settlement and compromise of this matter. 3 Compromise may be effected with or 

without a finding of violation (14 C.P.R. §13.16 (n) (1)). 

NOTE: This presiding Judge does not require "Discovery" to be served on the 

Judge. Other Judges have different policies, but as long as this case is assigned to the 

undersigned presiding Judge the parties may, but are not required, serve discovery on the 

undersigned. 

The judge will not discuss the case with any· party, or its representative on an ex 

parte basis. If a party has a non-substantive matter to discuss, they should contact the 

judge's attorney-advisor, Mr. Ira Leibowitz at (202) 366-2139 (Ira.Leibowitz@dot.gov). 

Administrative matters may be addressed to the judge's, Legal Assistant, Pat Matthews 

[202-3 66-5121] (Patricia.Matthews@dot.gov ). 

WHEREFORE, the parties be and are hereby ORDERED to adhere to the 

following procedural schedule: 

1. Venue shall be Salt Lake City, UT.; 

2. On or before September 7, 2012, the parties shall conclude all discovery 

including, but not limited to, depositions, document production, responses to 

production requests and/or interrogatories. If the parties cannot resolve a 

discovery dispute they shall .submit the dispute to the undersigned for resolution 

in a timely manner; 

3. NOTICE IS HEREBY GIVEN the parties shall be prepared to present this case 

at a hearing on or after September 7, 20124

, subject to the availability of 

courtroom facilities. ·· 

4. The parties will have the opportunity to file Post-Hearing briefs and arguments 

pursuant to a schedule to be determined at the hearing. For guidance, the 

following schedule is typically used: Complainant shall file its brief fifteen (15) 

days after receipt otthe transcript; Respondent shall its brief fifteen·fl-5) days 

thereafter; and any rebuttal brief by the Complainant shall be filed seven (7) 

days thereafter. 

5. Settled cases will not be removed from the hearing docket until the proper 

written pleading(s), consistent with the applicable rules,5 is received by the 

presiding judge. 6 

3 See Linda Joyce Goodman, FAA Docket No. CP89WP0061, Order dated May 30, 1989. 4 14 C.F.R. § 13.221 states: "The administrative law judge shall give each party at least 60 days notice of 

the date, time and location of the hearing." 

5 14 C.F.R. § 13.215 states: At any time before or during a hearing, an agency attorney may withdraw a 

complaint or party may withdraw a request for a hearing without the consent of the administrative law 

judge. If an agency attorney withdraws the complaint or a party withdraws the request for a hearing and the 

answer, the administrative law judge shall dismiss the proceedings under this subpart with prejudice. 

2 
6. The parties are advised that submissions sent to the street address of the U.S.· 

Department of Transportation, Office of Hearings, may be delayed due to 

screening conducted by the U.S. Postal Service and/or other security agencies 

and may take up to four ( 4) weeks to be delivered. Additionally, submissions 

may be "irradiated", which affects the quality of submissions. The parties are 

encouraged, but not required, to file submissions by private delivery service, 

facsimile, or email. The certificate of service shall reflect the manner of service. 

-l..-4-itiic:;nard C. Goodwin 

U.S. Administrative Law Judge 

Attachment - Service List 

6 See: In the Matter of Lewis Drake & Associates, FAA Docket No. CP03S00045, DMS. No. FAA-2003-

16379, "Order Terminating Proceeding", served February 26, 2005; citing Kerry James Eldridge, FAA 

Docket CP89GL0458, "Order Canceling Hearing and Terminating Proceeding", served January 16, 1991, 

at 1; In The Matter of Robert Harris FAA Docket No. CP03EA0001. DMS No. FAA-2002-14236., Orders 

dated October 18,2004 and October 27,2004. USAIR, Inc., FAA Docket CP90NE0359, Trans World 

Airlines, Inc., FAA Dockets CP90GL0085, CP90CE0110, CP90CE0114, CP90CE0134, Order of 

Administrative Law Judge Burton S.Kolko, served AprilS, 1992, p. 2. See "Order Dismissing 

Complainant's Appeal". In The Matter of Robert Harris, FAA Docket No. CP03EA0001. DMS No. FAA2005-14, August 15,2005. 

3 
SERVICE LIST 

ORIGINAL & ONE COPY 

Federal Aviation Administration 

800 Independence Avenue, S.W. 

Washington, DC 20591 

Attention: Hearing Docket Clerk, AGC-430 

Wilbur Wright Building-Suite 2W1 0001 

ONE COPY 

Susan J. Horstman, Chief Executive Officer 

Cornerstone Aviation, Inc., Respondent 

337 North 2370 West #130 

Salt Lake City, UT 84116 

TEL: 801-355-2244 

FAJ(: 801-355-2754 

Jeffrey M. Harper, Complainant's Counsel 

Attorney, Office of the Regional Counsel 

Northwest Mountain Region, ANM-7 

Federal Aviation Administration 

1601 Lind Avenue, S.W. 

Renton, W A 98057 

TEL: 425-227-2161 

FAJ(: 425-227-1007 

The Honorable Richard C. Goodwin, 

Administrative Law Judge 

Office ofHearings, M:-20 

U.S. Department ofTransportation 

1200 New Jersey Avenue, S.E. (Ell-310) 

Washington, DC 20590 

TEL: 202-366-2139 Attorney-Advisor 

202-366-5121 Staff Assistant 

FAJ(: 202-366-7536 

FDMS No. FAA-2011-1293 

(Civil Penalty Action) 

'• 

1 Service was by U.S. Mail. For service in person or by expedited courier, use the following address: 

Federal Aviation Administration, 600 Independence Avenue, S.W., Wilbur Wright Building-Suite 

2Wl000, Washington, DC 20591; Attention: Hearing Docket Clerk, AGC-430. 

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