### I NTH E FEDERA L AVIATIO NADMINISTRATIO N I NTH E MATTE ROF : ) CLOU D DANCE RAVIATIO N ) FA ADocke t No . CPlOSOOOO l ) FDM S No . FAA-2010-019 2 Conferenc e Room , Suit e 60 0 Heritag e Reportin g Corporatio n 122 0 L Street , N.W . Washington , D.C . Tuesday , Decembe r 20 , 201 1 z^

. Th e partie s met , pursuan t t o th e notice , at

10:5 8 a.m . Oe^i^- A '-{lyj-'i^

. 

### BEFORE : TH E HONORABL E J.E . SULLIVAN

Administrativ e La wJudg e APPEARANCES : (Vi a Telephone ) Fo r th e Complainant : ANDRE AMICHELL E HARPER , Esquir e Federa l Aviatio nAdministratio n Offic e o f th e Regiona l Counse l P.O . Bo x2063 6 Atlanta , Georgi a 3032 0 (404 ) 305-520 0 Fo r th e Respondent : DENNI S R . HABER , Esquir e Denni s R . Haber , P.A . 892 5 S.W . 14 8 Street , Suit e 20 0 Miami , Florid a 3317 6 (305 ) 256-300 2 

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# HEARIN G DOCKE T

Heritag e Reportin g Corporatio n

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### 1 PROCEEDING S 2 (10:5 8 a.m. ) 3 JUDG E SULLIVAN : We'r e o nth e recor di nth e 4 matte r o f Clou dDance r Aviatio nandFlyin g Club , Inc . 5 Thi s i s Docke t No . FAA-2010-0192 , a civi l penalt y 6 case . Presen t o nth e telephon e i s th e FAA' s counsel , 7 Andre a Michell e Harper . Als o presen t bytelephon e i s 8 th e Respondent' s counsel , Denni s R . Haber . 9 Goo dmorning , everybody . 1 0 MS . HARPER : Goo dmorning . 1 1 MR . HABER : Goo dmorning . Judge . 1 2 JUDG E SULLIVAN : I' mjus t goin g t o not e tha t 1 3 th e las t tim e th e partie s convene dwa s Friday , 1 4 Decembe r 2 , 2011 . Tha t wa s fo r a motio ntelephon e 1 5 conference . Immediatel yafte r tha t conferenc e 1 6 concluded , thi s administrativ e cour t issue da 1 7 Decembe r 2 , 201 1 orde r denyin g th e Respondent' s motio n 1 8 t o strik e and/o r dismis s andgranting/denyin g othe r 1 9 relief . 2 0 Sinc e tha t time , th e Responden t ha s file do n 2 1 Decembe r 9 , 201 1 a renewe dmotio nt o compe l discovery . 2 2 I naddition , o nDecembe r 16 , 2011 , th e FA Afile d 2 3 Complainant' s respons e t o Respondent' s motio nt o 2 4 compel . 2 5 So , Mr . Haber , whydon' t w e star t wit hyo u Heritag e Reportin g Corporatio n

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### 3

1 a s th e movin g party . I' mgoin g t o as k yo uagai njus t 2 a s a preliminar ymatte r tha t o nth e firs t shee t o f 3 you r motio ntha t wa s file dh yfaxo nDecembe r 9 , 2011 , 4 m ynam e andtitl e ar e stil l misidentifled . 5 MR . HABER : I' msorry , You r Honor . It' s m y 6 staff . 7 JUDG E SULLIVAN : Coul dyo u- - 8 MR . HABER : Le t m e mak e a not e o f that . G o 9 ahead . 1 0 JUDG E SULLIVAN : Yes . Coul dyo uagai nmak e 1 1 sur e tha t m ynam e i s correctl yidentified ? It' s J.E . 1 2 Sullivan . I amno t th e Chie f Administrativ e La wJudg e 1 3 fo r thi s office . I' msimpl ya U.S . Administrativ e La w 1 4 Judge . Thi s i s a mino r issu e compare dt o wha t els e 1 5 we'1 1 b e talkin g about , bu t I prefe r t o b e accuratel y 1 6 addresse dwhe na t al l possible . 1 7 MR . HABER : I understand . 1 8 JUDG E SULLIVAN : Okay . S o d o yo uwan t t o 1 9 tak e abou t fiv e minute s t o identif yyou r positio na t 2 0 thi s point ? An dthe nI wil l b e askin g yo usom e 2 1 question s befor e I tur nt o th e FAA . 2 2 MR . HABER : Th e essenc e o f ou r position , 2 3 You r Honor , largel yrevolve s aroun dwha t amount s t o b e 2 4 a tim e crunc hgive nth e Court' s scheduling . A t ou r 2 5 las t conversation , th e Cour t lai dou t a ver yspecifi c Heritag e Reportin g Corporatio n

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1 timetabl e fo r u s t o compl ywith . W e ha dsevera l 2 communicatio nattempt s wit hopposin g counse l an dfo r 3 variou s reason s tha t I understan dandopposin g counse l 4 andmysel f hav e bee ntalkin g betwee nthe nan dnow , w e 5 ha dpropose dseve ndifferen t date s t o tak e thes e 6 deposition s betwee nDecembe r 1 9 righ t u p andthroug h 7 th e endo f th e year . Fo r a variet yo f reasons , non e 8 o f thos e date s wer e good . 9 Opposin g counse l eventuall ygo t bac k wit hm e 1 0 an dpropose dthre e dates , concurren t dates , int o 1 1 Januar ytha t pushe dth e oute r limit s andfel l int o a 1 2 tim e whe nI hav e a conflictin g calenda r myself . 1 3 I understan dth e proble mfro mopposin g 1 4 counse l tha t she' s go t fou r deposition s fromou r side . 1 5 I hav e th e economi c realitie s o f m yownclient , th e 1 6 fac t tha t thes e deposition s hav e t o b e take ni n 1 7 Orland o becaus e that' s wher e th e site s o f th e variou s 1 8 partie s are , s o w e hav e t o trave l ther e an dI hav e t o 1 9 hav e myownclien t availabl e a t th e tim e o f thes e 2 0 depositions . 2 1 Opposin g counse l andmysel f hav e discusse d 2 2 extendin g th e tim e b yagreemen t andproposin g tha t t o 2 3 th e Cour t t o waiv e th e cutof f tim e fo r discover yi f 2 4 th e Cour t woul dg o alon g wit hthat , bu t eve na t that , 2 5 w e hav e ye t t o b e abl e t o agre e t o a dat e i nlarg e Heritag e Reportin g Corporatio n

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1 par t a s I understan di t becaus e th e FA Acounsel , Ms . 2 Harper , ha s fou r witnesse s tha t sh e ha s t o lin e up and 3 mak e availabl e fo r thos e dates . 4 So , a s w e standnow , ou r proble mi s we'r e 5 comin g up agains t th e inheren t tim e crunc ho f a tria l 6 andth e respectiv e cutof f date s anddiscover ydate s 7 tha t don' t pus hu s s o fa r bac k tha t i f w e tak e thes e 8 deposition s jus t day s befor e th e trial , whic hi s 9 possible , the nwe'r e int o ver yhigh-price dcour t 1 0 reporter s an dtranscrip t cost s goin g int o a tria l 1 1 it'l l tryt o no t mak e thi s anywors e tha ni t is . S o 1 2 ther e ar e severa l possibl e solution s here . I' mjus t 1 3 ope nfo r ideas . 1 4 JUDG E SULLIVAN : Well , hopefull yyou'l l b e 1 5 suggestin g som e solution s t o m e o na mor e specifi c 1 6 basis . Le t m e as k yo u this . You'v e indicate di nyou r 1 7 propose dmaterial s tha t yo upropos e seve ndifferen t 1 8 date s i nDecember . I looke da t thos e dates , an di t 1 9 appeare dtha t a t leas t on e o f themwa s a federa l 2 0 holiday , Decembe r 26 , 2011 . Woul di t b e fai r t o sa y 2 1 the ntha t i nactualit yyo u propose dsi xdate s i n 2 2 Decembe r surroundin g th e Christma s da yholida yfo r th e 2 3 FA

Acounsel' s consideration ? 2 4 MR . HABER : I nth e privat e sector , I wor k o n 2 5 th e 26th . Certainl yth e date s ar e wha t the yare . I Heritag e Reportin g Corporatio n

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1 don' t mea nt o sugges t the yar e - - 2 JUDG E SULLIVAN : You'r e requestin g th e 3 deposition s o f federa l employee s wh o hav e a righ t t o 4 tak e a federa l holida ythat' s offere dt o the ma s par t 5 o f thei r wor k benefit . 6 MR . HABER : I understand . 7 JUDG E SULLIVAN : S o I' msimpl ysayin g t o yo u 8 tha t i t appear s t o m e tha t base do nth e material s tha t 9 you'v e presente dtha t yo u offere dsi xdate s tha t wer e 1 0 meaningfu l a s oppose dt o seven . 1 1 MR . HABER : I understand . You r Honor . I 1 2 suppos e wha t I' mtryin g t o conve yi s ou r willingnes s 1 3 t o d o withi nth e real mo f practicalit ywhateve r i s 1 4 necessar yt o d o an dtha t include s wer e i t possibl e 1 5 doin g deposition s o na Sunday . I mean , I wan t t o ge t 1 6 thes e thing s don e withi na scop e o f tim e befor e a 1 7 trial . 1 8 JUDG E SULLIVAN : Okay . An dI' mjus t makin g 1 9 sur e tha t I' mclea r abou t wha t actuall yoccurred , an d 2 0 thi s i s th e firs t o f a coupl e differen t question s I' m 2 1 askin g you . 2 2 Secondly , i t appeare dtha t ther e wa s a 2 3 respons e fro mth e FA Aofferin g deposition s a t leas t o n 24 Januar y4 , 5 an d6 . 2 5 MR . HABER : That' s correct . Heritag e Reportin g Corporatio n

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1 JUDG E SULLIVAN : An dI go t a generi c 2 statemen t i nyou r material s sayin g tha t yo u wer e 3 elsewis e occupied . Ca nyo u tel l m e i f tha t wa s 4 becaus e yo u wer e i nsom e typ e o f tria l situation ? I 5 didn' t ge t a sens e o f wh yyo u wer e no t availabl e o n 6 thos e thre e date s i nearl yJanuar y2012 . 7 MR . HABER : I hav e recentl ydiscusse dthi s 8 o r m ysecretar yha s a s recentl ya s thi s mornin g an d 9 yesterda ywit hopposin g counsel , th e 4t hi s 1 0 potentiall yavailable . Th e 5t hI' mo ncalenda r call s 1 1 tha t rol l int o th e 6th , an dI' mse t i na two-wee k 1 2 tria l perio do f whic hI don' t kno wth e dat e tha t th e 1 3 Cour t wil l se t tha t tria l i nth e nex t followin g tw o 1 4 weeks . 1 5 JUDG E SULLIVAN : Whic hcour t i s this ? 1 6 MR . HABER : That' s th e Circui t Cour t o f 1 7 Miami-Dad e County . It' s als o a naviatio ncase , bu t 1 8 it' s a state-base dcase . 1 9 JUDG E SULLIVAN : Okay . So , i nterm s o f 2 0 Januar y4 , 201 2 - - I' msorry , coul dyo u explai ni t t o 2 1 m e agai nwh yyo u migh t no t b e available ? 2 2 MR . HABER : Well , th e 4t hw e actuall ywoul d 2 3 b e available , an dthat' s wher e ou r conversatio nwit h 24 Ms . Harpe r thi s mornin g lef t off , tha t i t woul db e 2 5 possibl e t o d o i t o nth e 4th . I don' t believ e we'v e Heritag e Reportin g Corporatio n

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### 1 hear dbac k fromhe r ye t a s t o th e availabilit yo f th e

2 fou r witnesse s t o d o th e deposition s collectivel yo n 3 tha t date . Th e imperativ e her e i s t o d o al l o f th e 4 deposition s becaus e o f th e expens e o f travel . S o a s 5 o f righ t no wth e 4t hi s a potentiall ygoo ddate . 6 JUDG E SULLIVAN : Okay . I nth e material s 7 tha t I saw , an dI' mstil l wit hyou , Mr . Haber , i t 8 appeare dt o m e tha t a t leas t thre e o f th e fou r 9 witnesse s woul dhav e bee navailabl e o nJanuar y4 , 1 0 2012 . I s tha t you r understandin g a s well ? 1 1 MR . HABER : I haven' t talke dt o Ms . Harpe r 1 2 thi s morning , s o I' mcertainl y- - 1 3 JUDG E SULLIVAN : Well , I' mno t sur e tha t yo u 1 4 nee dto . I' msayin g fromth e respons e I receive dtha t 1 5 yo uals o receive di t appeare dfromth e FAA' s positio n 1 6 tha t al l o f th e witnesse s o r I shoul dsaythre e o f th e 1 7 fou r witnesse s wer e availabl e o nJanuar y4 , 2012 . 1 8 MR . HABER : That' s myunderstanding . 1 9 JUDG E SULLIVAN : Okay . Befor e I tur nt o Ms . 2 0 Harper , le t m e as k you , Mr . Haber , a coupl e differen t 2 1 kin do f housekeepin g matters , an dI' mgoin g t o tur nt o 2 2 myDecembe r 12 , 201 1 order , whic hshoul db e i nyou r 2 3 packe t a s well , an dI' mgoin g t o star t wit hpag e 1 , 2 4 an dI' m

goin g t o b e doin g somethin g ver ysimila r whe n 2 5 I star t talkin g t o Ms . Harpe r s o that , Ms . Harper , Heritag e Reportin g Corporatio n

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1 you'r e awar e tha t I'l l b e havin g a simila r 2 conversatio nwit hyou . 3 O npag e 1 i nth e order , paragrap h2 a t th e 4 botto mo f th e page , i t state dspecificall ya s I ha d 5 state dorall ywit hth e partie s o nDecembe r 2 , 2011 , 6 tha t the ywer e t o tal k t o eac hothe r bytelephon e 7 immediatel yafte r th e conferenc e ended , an di f the y 8 di dno t hav e th e tim e t o tal k completel yabou t th e 9 cas e o nDecembe r 2 , 2011 , t o a t leas t schedul e a tim e 1 0 t o tal k o nth e telephon e i nth e earl ypar t o f th e wee k 1 1 o f Decembe r 5 , 2011 . 1 2 Fro mth e material s I receive dfro myou , Mr . 1 3 Haber , i t appeare dtha t yo u di dno t cal l Ms . Harpe r t o 1 4 tal k t o her . Instea dyo u ha dyou r secretar ymak e a 1 5 phon e call , i s tha t correct ? 1 6 MR . HABER : Well , m ysecretar ymigh t hav e 1 7 place dth e phon e calls , bu t o f cours e I wa s availabl e 1 8 fo r thos e phon e calls . 1 9 JUDG E SULLIVAN : Okay . An dwhe nyo u sa y 2 0 you r secretar yplace dth e phon e call , wha t happened ? 2 1 MR . HABER : I believ e sh e lef t message s 2 2 initially . Eventuall yw e di dtalk . 2 3 JUDG E SULLIVAN : An dwhe ndi dtha t happen ? 24 MR . HABER : I don' t hav e th e date s i nfron t 2 5 o f me , bu t w e hav e ha dconversation s a s recentl ya s I Heritag e Reportin g Corporatio n

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### 1 0

1 sai dyesterday . 2 JUDG E SULLIVAN : Well , that' s wonderfu l t o 3 hear , i t reall yis , bu t I' mgettin g th e sens e fromyo u 4 an do f cours e fro mMs . Harper' s material s tha t th e tw o 5 o f yo u faile dt o effectuat e th e Court' s direc t orde r 6 t o yo u bot htha t yo utal k t o eac hothe r i nperso no n 7 th e telephon e o nDecembe r 2 , 2 011 , andI jus t wan t t o 8 mak e sur e tha t I' mno t drawin g anyassumption s abou t 9 that . I t sound s lik e th e tw o o f yo udi dno t tal k t o 1 0 eac hothe r o nth e telephon e afte r th e conferenc e ende d 1 1 o nDecembe r 2 , 2011 . I s tha t a fai r statement ? 1 2 MR . HABER : I believ e that' s a fai r 1 3 statement . 1 4 JUDG E SULLIVAN : Okay . I t als o sound s lik e 1 5 th e tw o o f yo udi dno t tal k t o eac hothe r th e 1 6 followin g week , a s directe dspecificall yb ythi s Cour t 1 7 i nthi s orde r an ddurin g th e Decembe r 2 , 201 1 1 8 conference . I' mgoin g t o refe r yo uno wt o th e 1 9 Decembe r 2 , 201 1 order , pag e 2 . Th e to p o f pag e 2 ha s 2 0 a paragrap hnumbere dparagrap hnumbe r 3 whic h 2 1 specificall ydirecte dth e partie s t o hav e thi s in

2 2 perso ntelephon e conversatio nt o tr yan dresolv e thes e 

### 2 3 disputes . 2 4 Fromth e material s I receive dfromyo uo n 2 5 behal f o f you r client , Mr . Haber , an dth e material s I Heritag e Reportin g Corporatio n

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1 receive dfro mMs . Harpe r o nbehal f o f he r client , th e 2 FAA , i t sound s undispute dtha t neithe r o f yo u talke d 3 t o eac hothe r earl yi nth e wee k o f Decembe r 5 , 2011 , 4 a s directe db ythi s Court . Woul dtha t b e a fai r 5 statement ? 6 MR . HABER : W e agai nattempte dt o contac t 7 counse l an dlef t messages . 8 JUDG E SULLIVAN : Yes , I understan dthat , bu t 9 a s I understan dit , ther e wa s n o telephon e conferenc e 1 0 betwee nth e tw o o f yo u durin g th e wee k o f Decembe r 5 , 1 1 2011 . 1 2 MS . DALE : Tha t wa s th e da yafte r th e 1 3 hearing ? 1 4 JUDG E SULLIVAN : Ms . Harper , I haven' t 1 5 addresse dthi s t o yo u yet . I' mspeakin g t o Mr . Habe r 1 6 only . 1 7 MS . HARPER : Tha t wasn' t me . You r Honor . 1 8 JUDG E SULLIVAN : Okay . 1 9 MR . HABER : Al l right , I' msorry . M y 2 0 secretar yi s i nth e room . 2 1 JUDG E SULLIVAN : I' msorry , wh o els e i s 2 2 presen t fo r thi s conferenc e tha t ha s no t bee n 2 3 identified ? 24 MR . HABER : M yparalega l i s i nbac k o f me , 2 5 an dI' maskin g he r t o confir mth e date s fo r me , s o yo u Heritag e Reportin g Corporatio n

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1 migh t hav e hear dhe r i nth e background . 2 JUDG E SULLIVAN : I did . I nth e future , 3 pleas e identif yanyon e who' s present . Coul dyo u 4 identif yhe r b yful l nam e an dtitle , please ? 5 MR . HABER : Ann a Dale , m yparalegal . 6 JUDG E SULLIVAN : Than k you . G o ahead . 7 MR . HABER : She' s jus t handin g m e ou r notes , 8 an dw e calle da t 12:4 5 o nth e 2n do f December , lef t a 9 message . 1 0 JUDG E SULLIVAN : An dwe'v e alread ycovere d 1 1 that . You r secretar ycalle dfo r yo u an dlef t a 1 2 message . M yquestio nt o you , sir , i s whethe r o r no t 1 3 yo u actuall ygo t Ms . Harpe r o nth e phone . 1 4 MR . HABER : No . 1 5 JUDG E SULLIVAN : Okay . 1 6 MR . HABER : An dw e calle dagai no n12/ 5 a t 1 7 4 : 1 5 . 1 8 JUDG E SULLIVAN : Yes . 1 9 MR . HABER : An dagai nlef t a message . 2 0 JUDG E SULLIVAN : S o ther e wa s n o telephon e 2 1 conferenc e a t al l betwee nyo u an dMs . Harpe r durin g 2 2 th e wee k o f Decembe r 5 , 2011 ? 2 3 MR . HABER : A t leas t t o th e exten t tha t 24 ther e wa s n o retur nphon e cal l afte r havin g lef t a 2 5 message , w e ha dn o wa yo f communicatin g othe r tha nth e Heritag e Reportin g Corporatio n

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### 1 3

1 followup emails . 2 JUDG E SULLIVAN : I understan dthat . I' m 3 simpl yaskin g yo u t o confir mwhethe r o r no t yo uha da 4 telephon e conversatio nwit hMs . Harpe r durin g th e wee k 5 o f Decembe r 5 , 2011 . 6 MR . HABER : No . 7 JUDG E SULLIVAN : Okay . Now , i nth e orde r 8 tha t i s date dDecembe r 2 , 201 1 tha t thi s Cour t issued , 9 paragrap h5 o npag e 2 , ther e ar e specifi c factua l 1 0 piece s o f informatio ntha t th e Cour t directe dyo ut o 1 1 includ e i nyou r renewe dmotio nt o compel . I t appear s 1 2 t o m e tha t yo u include dsom e o f thos e bu t no t al l o f 1 3 those , andfo r purpose s o f anyappellat e record , I 1 4 nee dt o mak e sur e tha t I hav e wha t I have . 1 5 So , i nparagrap h5 , subsectio nA , a s I 1 6 understan dit , you'v e identifie dth e fou r FA A 1 7 witnesse s tha t yo u woul dlik e t o depos e andwhyyo u 1 8 nee dt o cal l them , i s tha t correct ? 1 9 MR . HABER : That' s correct . You r Honor . 2 0 JUDG E SULLIVAN : Okay . Paragrap h5 , 2 1 Subsectio nB , I didn' t reall yge t a repor t o nth e 2 2 parties ' informa l attemp t t o resolv e th e issues , an d 2 3 i t appear s t o m e tha t ther e wa s n o telephon e 2 4 conferenc e tha t occurre dpursuan t t o Cour t orde r th e 2 5 wee k - - no t o nDecembe r 2 , 201 1 an dno t durin g th e Heritag e Reportin g Corporatio n

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1 wee k o f Decembe r 5 , 2011 ? 2 MR . HABER : That' s correct . You r Honor . 3 JUDG E SULLIVAN : Okay . Numbe r 5 , subsectio n 4 C , ther e wa s a directio nt o yo u t o outlin e al l th e 5 attempt s yo u ha dmad e sinc e Septembe r 1 , 201 1 t o tr y 6 an dschedul e th e deposition s wit hth e FAA . I didn' t 7 se e anythin g i nyou r material s tha t date dfro m 8 Septembe r 1 , 201 1 unti l Decembe r 2 , 2011 . Unles s yo u 9 tel l m e differently , essentiall ym yunderstandin g i s 1 0 tha t ther e wa s n o effor t betwee ntha t perio do f tim e 1 1 t o schedul e these . 1 2 MR . HABER : I believ e paragraph s 1 an d2 1 3 mak e referenc e t o that . You r Honor , o r a t leas t fro m 1 4 Decembe r 2 an dDecembe r 5 an dDecembe r 6 , paragraph s 1 5 1 , 2 an d3 o f ou r renewe dmotion . 1 6 JUDG E SULLIVAN : Right . I understan dtha t 1 7 you'r e sayin g som e thing s starte dt o happe na s o f 1 8 Decembe r 2 , 2011 , bu t i t appear s tha t yo u di dno t 1 9 addres s th e perio do f tim e prio r t o Decembe r 2 , 2011 , 2 0 an dI jus t wan t t o mak e sur e tha t tha t i s essentiall y 2 1 a waive r o nyou r par t essentiall yt o addres s tha t 2 2 perio do f time . 2 3 MR . HABER : Well , i t wasn' t a waiver . You r 2 4 Honor . W e jus t weren' t clockin g i t i nth e sens e tha t 2 5 i t wa s a genera l response . Heritag e Reportin g Corporatio n

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1 JUDG E SULLIVAN : Okay . Well , i nessence , 2 wha t I hav e befor e m e i s a failur e t o addres s tha t 3 informatio ni nyou r motion , an dI' mjus t lettin g yo u 4 kno wtha t becaus e i t make s a differenc e i nterm s o f 5 ho wI ca nevaluat e wha t sanction s o r correctiv e actio n 6 I ca noffe r you . 7 Let' s g o to , thi s i s th e orde r numbe r 5 , 8 sectio nD , statemen t o f anysanction s tha t yo usee k 9 fo r renewin g th e motio nt o compel . An da s I 1 0 understan di t fromyou r motio nt o compel , yo usimpl y 1 1 ar e reraisin g a possibilit yo f dismissin g th e entir e 1 2 case , bu t yo u stil l hav e no t give nm e anylega l 1 3 authorit yabou t that . Yo u wan t t o hav e a norde r 1 4 compellin g granted , bu t yo u haven' t give nm e any 1 5 particula r parameter s o f wha t sanctio no r wha t 1 6 discover yorde r yo uwoul dlik e t o se e issued . Ands o 1 7 w e ca ntal k a littl e bi t abou t tha t orally , bu t i nth e 1 8 future , I' dlik e t o se e i t i nwritin g a s well . 1 9 MR . HABER : I understan dth e Court' s 2 0 concern , an di f th e Cour t woul dindulg e a t leas t my 2 1 practica l realities , I've go t a clien t that' s boun db y 2 2 thei r economi c constraint s o f th e abilit yfo r m e t o d o 2 3 th e necessar yresearc han delaboratio ntha t th e Cour t 2 4 woul dhav e m e do . T o tha t extent , I ca nonl ydefe r t o 2 5 th e goo djudgmen t o f th e Cour t anddiscretio no f th e Heritag e Reportin g Corporatio n

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1 Cour t a s t o th e bes t wa yt o resolv e wha t ha s becom e a 2 discover yproblem . 3 JUDG E SULLIVAN : An dI appreciat e th e 4 problem s tha t com e wit hfundin g litigation . There' s 5 n o doub t abou t that . Bu t I wil l agai nrefe r yo u t o 6 th e C.F.R. s tha t gover nthi s Court' s abilit yt o gran t 7 thi s kin do f relief . W e talke dabou t thi s Decembe r 2 , 8 2011 . Th e tw o applicabl e regulation s ar e 1 4 C.F.R . § 9 13.22 0 an d1 4 C.F.R. , sam e section , subsectio nNa s i n 1 0 Nancy . S o readin g tw o an da hal f page s o f regulation s 1 1 shoul dno t stretc hyou r client' s pocketboo k t o th e 1 2 exten t tha t yo u coul dno t a s a nadvocat e fo r you r 1 3 clien t o r a s a noffice r o f th e Cour t giv e thi s 1 4 administrativ e Cour t som e bette r ide a o f wha t yo u 1 5 reall ywoul dwan t t o happen . 1 6 An dI' mjus t lettin g yo u kno wtha t I hav e a n 1 7 expectatio ntha t yo u provid e tha t kin do f informatio n 1 8 t o th e Court . Te nminute s o f you r tim e wil l mak e a 1 9 bi g difference , particularl yi f i t shorten s th e kind s 2 0 o f conference s tha t yo u hav e t o appea r fo r befor e thi s 2 1 Court . 2 2 MR . HABER : I understand . You r Honor . 2 3 JUDG E SULLIVAN : I nterm s o f th e 24 practicalitie s o f wha t yo u sa yyo u woul dlik e t o loo k 2 5 for , wha t ideall ydoe s you r clien t wan t t o se e happe n Heritag e Reportin g Corporatio n

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1 shor t o f a dismissal ? 2 MR . HABER : Atria l wit hal l o f th e fact s 3 availabl e i nadvanc e s o tha t th e credibilit yo f thes e 4 witnesse s ca nb e calle dint o appropriat e question . I f 5 th e Court' s ha dth e opportunit yt o revie wth e 6 affirmativ e defenses , thi s i s a bi t o f a nunusua l 7 case . 8 JUDG E SULLIVAN : I'v e reviewe dth e entir e 9 file . I'v e reviewe dth e entir e file . Le t m e as k you , 1 0 i nterm s o f a specifi c practica l solution , wha t 1 1 ideall ydoe s you r clien t wan t t o se e happen ? 1 2 MR . HABER : Well , i na practica l world , n o 1 3 defendan t want s t o b e a defendant . Th e economi c 1 4 realitie s o f a smal l businessperso nan dth e economic s 1 5 o f ou r lega l syste mar e suc htha t i f w e g o throug h 1 6 thi s discover yan dth e - - 1 7 JUDG E SULLIVAN : I' mgoin g t o interrup t you , 1 8 Mr . Haber . I' mno t askin g a questio ni na wa ytha t 1 9 give s yo u a clea r ide a o f wha t I want . I wan t yo u t o 2 0 giv e m e specificall ya solutio ntha t you r clien t 2 1 think s woul db e fair . Thoug hI understan dtha t fro ma 2 2 globa l perspectiv e n o on e want s t o appea r befor e th e 2 3 Offic e o f Hearings , mos t o f th e peopl e I mee t com e t o 24 se e m e reluctantly . I als o understan dtha t i t cost s 2 5 mone yt o engag e i nan ykin do f comple xcivi l Heritag e Reportin g Corporatio n

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1 litigatio nan dit' s mone ytha t a clien t suc ha s your s 2 woul dmuc hprefe r t o spen delsewhere . 3 I naddition , I kno wtha t yo u woul dlik e t o 4 hav e ful l depositio no f al l o f th e exper t witnesse s 5 tha t th e FAApropose s t o cal l an dtha t yo u wan t t o 6 hav e thes e deposition s take ni nsuc ha wa yan ddurin g 7 suc ha tim e tha t yo u wil l hav e acces s t o th e recorde d 8 depositio ni ntim e t o prepar e fo r trial . 9 MR . HABER : That' s essentiall ywha t w e woul d 1 0 like , You r Honor . 1 1 JUDG E SULLIVAN : Yes . So , fro ma practica l 1 2 solution , doe s thi s mea ntha t yo u wan t t o hav e al l th e 1 3 deposition s take no nJanuar y4 , 2011 ? Doe s i t mea n 1 4 tha t yo u wan t t o hav e th e deposition s take npiecemea l 1 5 throug hJanuar y20 , 2011 ? Doe s i t mea ntha t yo u ar e 1 6 seekin g t o hav e a continuanc e o f th e entir e tria l t o 1 7 effectuat e ful l depositio ncoverage ? Doe s i t mea n 1 8 tha t yo u ar e askin g t o hav e on e o r mor e o f th e 1 9 inspector s prohibite dfro mtestifyin g i f they'r e no t 2 0 availabl e fo r depositio nwithi na perio do f time ? 2 1 Doe s i t mea ntha t yo u ar e askin g fo r certai nsanction s 2 2 tha t ar e allowabl e unde r 1 4 C.F.R . wit hth e 2 3 regulation s tha t I'v e alread ycited ? Wha t i s i t tha t 24 ideall yyou r clien t i s seekin g fro mthi s Cour t today ? 2 5 MR . HABER : Well , ideally , t o th e exten t Heritag e Reportin g Corporatio n

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### 1 9

1 tha t th e sanction s woul db e appropriate , the ywer e 2 previousl yasserte di nhavin g th e matte r dismisse di f 3 opposin g counse l can' t collectivel yproduc e thes e 4 witnesse s i na timel yfashion . W e don' t believ e thes e 5 witnesse s excep t fo r on e wil l b e calle dbyth e FAA . 6 W e d o believ e tha t the yactuall ybecom e ou r witnesse s 7 a s t o wha t actuall ytranspired . 8 I nth e alternative , w e woul dlik e al l th e 9 deposition s take no nth e 4t hs o w e ca nge t in , ge t ou t 1 0 an dge t th e deposition s don e i na tighte r confine . I f 1 1 tha t become s impossible , the ni t ma yb e necessar yt o 1 2 reques t a continuanc e s o tha t the yca nb e taken . 1 3 Th e ironyher e i s I don' t wis ht o prejudic e 1 4 th e FA

Ai f the ywan t t o pursu e this , bu t I d o wan t t o 1 5 ge t th e fact s i norde r prio r t o exposin g m yclien t t o 1 6 a position . 1 7 JUDG E SULLIVAN : Okay . I s ther e anythin g 1 8 els e tha t yo u woul dlik e t o addbefor e I tur nt o Ms . 1 9 Harper ? 2 0 MR . HABER : No , You r Honor . 

### 2 1 JUDG E SULLIVAN : Than k you . 2 2 Ms . Harper , let' s yo uandI tal k a littl e 2 3 bi t abou t a coupl e question s th e Cour t ha s fo r you , 2 4 an dI agai namgoin g t o tur nyo ut o tak e a loo k a t th e 2 5 Decembe r 2 , 201 1 administrativ e Cour t order . O npag e Heritag e Reportin g Corporatio n

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### 2 0

1 1 o f thi s two-pag e order , paragrap h2 a t th e botto mo f 2 th e page , i t specificall ydirecte dyo uandMr . Habe r 3 t o tal k t o eac hothe r b ytelephon e immediatel yafte r 4 th e Decembe r 2 , 201 1 conferenc e ended . 5 An dI als o hav e th e transcrip t o f th e 6 Decembe r 2 , 201 1 conferenc e befor e me , an dther e i s n o 7 questio ntha t tha t matte r wa s specificall ydiscusse d 8 wit hbot hyo uan dMr . Habe r an dtha t i t wa s clea r 9 befor e th e partie s hun g up thei r telephon e tha t tha t 1 0 wa s th e Court' s expectation . 1 1 I hav e i nmymaterial s n o indicatio ntha t 1 2 yo u mad e anyeffor t a t al l t o compl ywit hthi s Court' s 1 3 order . Woul dyo u lik e t o addres s that , please ? 1 4 MS . HARPER : I' mno t sur e wha t t o say . You r 1 5 Honor . I di dno t spea k wit hMr . Habe r a s directe di n 1 6 th e order . I understan dtha t hi s secretar ycalle dm e 1 7 o nFriday . I actuall ysa t a t m ydes k fo r abou t a n 1 8 hou r afte r ou r conferenc e ended . I gues s sh e calle d 1 9 afte r I left . I lef t earl ytha t day . 2 0 JUDG E SULLIVAN : The nwhydidn' t yo ucal l 2 1 Mr . Habe r immediatel yupo nhangin g u p fromth e Court' s 2 2 conference ? Wha t mad e yo u thin k tha t yo uwer e a brid e 2 3 lef t a t th e altar ? Yo u hav e a nindependen t obligatio n 2 4 t o ac t a s a nadvocat e fo r you r clien t an da s a n 2 5 office r o f th e Cour t t o thi s administrativ e Court . Heritag e Reportin g Corporatio n

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1 Wha t mad e yo u si t o nyou r hand s fo r a nhou r an dno t 2 compl ywit hth e Court' s directiv e o nDecembe r 2 , 2011 ? 3 MR . HABER : Well , I didn' t sa yI sa t o nm y 4 hands . I sai dI wa s a t m ydesk . 5 JUDG E SULLIVAN : Well , an dle t m e sa ytha t 6 base do nwha t yo u tol dme , i t sound s lik e yo u wer e 7 sittin g o nyou r hand s sinc e the yweren' t dialin g th e 8 telephone . Ca nyo u explai nt o m e wh yyo u woul dsi t a t 9 you r des k an dno t pic k u p th e phon e an dcall ? 1 0 MS . HARPER : Yes . M yrational e i s tha t 1 1 thes e ar e Mr . Haber' s depositions . H e wishe s t o hav e 1 2 thes e depositions . I believ e I hav e don e mor e tha n 1 3 wha t i s require do f th e agenc yi ntryin g t o schedul e 1 4 thes e depositions . I f yo u recall , a t ou r las t 1 5 conference , I explaine dtha t I too k th e initiativ e t o 1 6 cal l Mr . Habe r t o ge t date s t o schedul e th e 1 7 deposition s bac k i nNovember . The nh e le t m e kno w 1 8 tha t h e wasn' t available . Yo u know , it' s bee nm y 1 9 experienc e tha t th e part yrequestin g th e depositio ni s 2 0 th e on e wh o trie s t o contac t th e othe r part yt o mak e 2 1 th e arrangements . 2 2 JUDG E SULLIVAN : An di nyou r experience , 2 3 whe na Cour t specificall ydirect s yo u t o a naction , d o 24 yo u simpl yignor e it ? 2 5 MS . HARPER : No . You r directio nwa s fo r u s Heritag e Reportin g Corporatio n

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### 2 2

1 t o talk . Yo udidn' t direc t m e t o cal l him . Yo u 2 didn' t direc t hi mt o cal l me . Yo udirecte du s t o 3 talk . I didn' t tak e tha t a s a norde r fo r m e t o cal l 4 him . 5 JUDG E SULLIVAN : S o nex t time I direc t you , 6 counsel , t o contac t th e othe r sid e immediatel yupo n 7 concludin g a conference , I expec t yo ut o b e activ e i n 8 tha t particula r direction . I d o no t expec t yo ut o si t 9 a t you r des k andwai t fo r someon e t o com e andcollec t 1 0 yo u fo r a discover yconference . I s tha t clear ? 1 1 MS . HARPER : I wil l follo wyou r order s a s I 1 2 understan dthem , You r Honor , tha t i s clear . 1 3 JUDG E SULLIVAN : I s i t clea r base do nwha t 1 4 I've tol dyo u todaytha t whe nI tel l yo usomethin g an d 1 5 I tel l yo u specificall yt o mak e contac t andt o hav e 1 6 contac t wit hth e opposin g counse l tha t yo uhav e a n 1 7 affirmativ e obligatio nt o carr you t th e Court' s 1 8 directive ? 1 9 MS . HARPER : No , tha t wa s no t clea r t o me , 2 0 anda s I rea dth e orde r now , tha t i s no t clea r t o m e 2 1 no wa s wel l either . 2 2 JUDG E SULLIVAN : Well , agai n- - 2 3 MS . HARPER : Th e orde r say s - - 2 4 JUDG E SULLIVAN : - - again , an dI' mgoin g t o 2 5 interrup t you . I' mclarifyin g i t now . I expec t yo u Heritag e Reportin g Corporatio n

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### 2 3

1 a s a noffice r o f th e Cour t t o affirmativel yac t whe n 2 th e Cour t give s yo u a direction . An di f yo uar e no t 3 clea r abou t it , i f yo u hav e anyquestio na t all , ma yI 4 sugges t t o yo u tha t yo u us e you r statu s a s a noffice r 5 o f th e Cour t t o assis t th e Cour t an dt o b e affirmativ e 6 i nyou r action s a s oppose dt o comin g t o thi s Cour t 7 toda yandsayin g tha t th e opposin g sid e didn' t d o 8 enoug ht o mak e i t happen . 9 I woul dals o note , Ms . Harper , tha t i nth e 1 0 brie f colloquyw e ha do nDecembe r 2 , 2011 , th e sam e 1 1 proble mseem s t o hav e occurred . Yo uadvise dm e tha t 1 2 yo u waite dunti l afte r th e discover ycutof f dat e o f 1 3 Novembe r 18 , 2011 , t o contac t Mr . Haber . Thi s i s 1 4 unacceptable . I understan d- - 1 5 MS . HARPER : Well , that' s no t true . You r 1 6 Honor . 1 7 JUDG E SULLIV7USI : I' mgoin g t o interrup t you . 1 8 I understan dtha t yo uwoul dassum e tha t th e opposin g 1 9 sid e woul dmak e th e firs t mov e t o schedul e 2 0 depositions , bu t w e ha dha da conversatio no n 2 1 Septembe r 1 , 2011 , i nwhic hther e wa s a discover ypla n 2 2 tha t wa s entere dint o wit hth e parties ' participation . 2 3 I t mad e i t clea r tha t th e partie s ha da discover y 2 4 cutof f date , an di t als o wa s clea r fromtha t 2 5 discussio ntha t th e FA Awa s plannin g andha da n Heritag e Reportin g Corporatio n

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1 obligatio nt o assis t i nsettin g u p thes e deposition s 2 tha t Mr . Habe r ha dalread yindicate dwer e necessar y 3 fo r hi s client . 4 'Th e lac k o f activit ythat' s comin g fro mth e 5 FAAi s trul ydisturbing , an dI' mgoin g - - 6 MS . HARPER : Le t m e correc t on e thing , You r 7 Honor . 8 JUDG E SULLIVAN : I' mno t finished . An dI 9 woul dtrul yhope , Ms . Harper , tha t thi s i s th e las t 1 0 tim e I se e thi s kin do f inactivit yi na cas e tha t i s 1 1 se t fo r tria l i na nimminen t way . 1 2 Yes , ma'am , wha t woul dyo u lik e t o say ? 1 3 MS . HARPER : I di dno t wai t unti l th e 1 4 discover ycutof f dat e t o contac t Mr . Haber . I nfact , 1 5 I contacte dhi mth e firs t wee k i nNovembe r an dle t hi m 1 6 kno wtha t I ha darrange do r secure dth e availabilit y 1 7 o f th e witnesse s fo r Novembe r 9 an d10th , s o I wa s 1 8 proactiv e i ncallin g hi mt o establis hsom e dates . 1 9 Th e reaso nth e deposition s didn' t tak e plac e 2 0 i s tha t h e calle dm e bac k an dtol dm e h e wa s 2 1 unavailabl e an dals o tha t h e woul dge t bac k t o m e t o 2 2 schedul e alternativ e dates . Tha t neve r happened . 2 3 S o I don' t wan t yo u t o ge t th e impressio n 2 4 tha t w e hav e no t bee nactiv e i ntryin g t o secur e date s 2 5 an dge t th e deposition s tha t th e Responden t i s Heritag e Reportin g Corporatio n

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### 2 5

1 requesting . W e i nfac t hav e don e that . 2 JUDG E SULLIVAN : Than k yo ufo r tha t 3 clarification . Le t m e as k yo uthis . I hav e a 4 statemen t fromyo u statin g tha t yo uadvise dMr . Habe r 5 tha t yo uha dal l witnesse s availabl e i nth e perio do f 6 tim e o f Januar y4 throug hth e 6th , 2012 . Doe s tha t 7 remai ntrue ? 8 MS . HARPER : Yes , You r Honor . I nfact , 9 befor e thi s conferenc e cal l I spok e wit hMr . Haber' s 1 0 paralegal , Ms . Dale , andconfirme dwit hhe r agai ntha t 1 1 I a s wel l a s al l fou r o f th e witnesse s ar e availabl e 1 2 o nJanuar y4 . 1 3 Whe nI spok e wit hMr . Haber , h e wasn' t sur e 1 4 i f h e woul db e availabl e eithe r o f thos e days , th e 4t h 1 5 throug hth e 6th , du e t o hi s conferenc e cal l anda t 1 6 tha t tim e w e suggested , yo uknow , askin g th e Cour t t o 1 7 modif yth e schedul e s o w e coul densur e tha t th e 1 8 deposition s too k place . I tol dhi mi t woul db e 1 9 preferabl e i f h e coul dgiv e m e date s t o le t m e kno w 2 0 whe nh e wa s availabl e sinc e ever yothe r tim e I've 2 1 trie dt o giv e hi mdate s h e turne dou t t o b e th e on e 2 2 wit hth e schedulin g problem . 2 3 W e als o suggested , yo uknow , doin g som e o f 2 4 th e deposition s b yvide o conferenc e i f w e coul dno t 2 5 ge t the mal l don e o nth e sam e day . Heritag e Reportin g Corporatio n

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### 2 6

1 JUDG E SULLIVAN : An dwha t solutio nhav e yo u 2 com e up wit hs o far , i f any ? 3 MS . HARPER : Well , whe nI talke dt o Ms . Dal e 4 earlier , sh e said , yo uknow , i t turne dou t tha t Mr . 5 Habe r wa s availabl e o nth e 4th , bu t sh e neede dt o 6 chec k t o se e i f thei r clien t woul db e availabl e fo r 7 tha t date . 8 Again , yo u know , I confirme dth e agency' s 9 witnesse s andmyavailabilit yfo r th e 4th , an dI als o 1 0 tol dhe r i f w e coul dagre e o nth e 4th , the nw e neede d 1 1 t o le t yo u kno ws o ther e woul db e n o nee dfo r thi s 1 2 telephon e conference , bu t sh e neve r go t bac k t o me . 1 3 JUDG E SULLIVAN : An dwha t da ydi dyo uhav e 1 4 thi s phon e conversatio nwit hMr . Haber' s staff ? 1 5 MS . HARPER : Tha t wa s thi s morning , You r 1 6 Honor , a t 1 0 o r righ t afte r 10:0 0 I believe . 1 7 JUDG E SULLIVAN : Okay . An dI'l l simpl ynot e 1 8 tha t thi s conferenc e starte da t 1 1 a.m . Easter ntime . 1 9 Mr . Haber , le t m e as k yo uthis . I s ther e 2 0 anythin g tha t woul dpreven t you r clien t fromattendin g 2 1 deposition s o nJanuar y4 , 2012 ? 2 2 MR . HABER : No t tha t I' mawar e of . A s o f 2 3 10:0 0 thi s mornin g an da s soo na s w e go t tha t 2 4 confirmatio nfromMs . Harper , w e contacte dou r clien t 2 5 andlef t a message . W e haven' t hear dbac k fromhi m Heritag e Reportin g Corporatio n

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1 yet . It' s jus t a nhou r ago . W e als o sen t o f cours e 2 a nemai l t o ou r client . 3 JUDG E SULLIVAN : You r clien t i s i nth e 4 genera l Orlando , Florid a vicinity , i s h e not ? 5 MR . HABER : Yes , h e is . 6 JUDG E SULLIVAN : Base do nyou r prio r 7 communication s wit hyou r client , hav e ther e bee ntime s 8 whe nh e i s no t availabl e t o assis t yo u wit hth e case ? 9 MR . HABER : No , he' s generall ybee n 1 0 available . M ylarges t cautio ni s reall yrevolvin g 1 1 aroun dth e dat e an dit s immediac yfollowin g th e 1 2 Christma s holidays , th e Christma s wee k runnin g int o - - 1 3 I don' t kno wwhe nschoo l start s u p again , an dtha t 1 4 tend s t o b e whe npeopl e com e home . So , i f he' s ou t o f 1 5 town , i nth e bac k o f m yhead , that' s m yconcern . Bu t 1 6 othe r tha nthat , I' mfin e wit hth e date . I woul dfee l 1 7 war man dfuzz yi f I go t a confirmatio nfro mm yclient , 1 8 bu t othe r tha nthat , I hav e n o proble mwit hit . 1 9 Th e underlyin g problem , a s I' msur e th e 2 0 Court' s aware , i s th e onl ywa yt o deduc e th e 2 1 credibilit yo f th e witnesse s i s b yhavin g m yclien t 2 2 si t ther e an dverif ytha t we'v e al l go t ou r fact s o n 2 3 th e sam e page . 24 JUDG E SULLIVAN : Well , you r clien t ha s a 2 5 righ t t o participat e i f h e s o chooses . That' s Heritag e Reportin g Corporatio n

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1 understood . You r clien t als o ha s a nobligatio nt o 2 clea r hi s calenda r t o b e availabl e whe ndeposition s 3 hav e reache dthi s typ e o f stag e prio r t o trial . 4 MS . HARPER : You r Honor , ma yI as k a 5 question ? 6 JUDG E SULLIVAN : Yes . 7 MS . HARPER : I f it' s no t possibl e fo r Mr . 8 Haber' s clien t t o atten di nperson , woul di t b e 9 sufficien t fo r hi mt o participat e b yphon e i f w e ha da 1 0 phon e available ? 1 1 MR . HABER : I' mshootin g i nth e dar k o nthi s 1 2 sinc e I haven' t - - 1 3 JUDG E SULLIVAN : Th e questio n- ~ 1 4 MR . HABER : Thi s onl yhappene da nhou r ago . 1 5 JUDG E SULLIVAN : Yes . Mr . Haber , th e 1 6 questio nwa s addresse dt o me . Than k you . 1 7 MR . HABER : I' msorry . 1 8 JUDG E SULLIVAN : Tha t certainl yi s a 1 9 possibilit yi f i t ca nb e worke dou t betwee nMr . Habe r 2 0 a s hi s counse l an dclient , bu t I'v e see ntha t don e o n 2 1 man yoccasions . 2 2 Mr . Haber , di dyo u hav e somethin g yo u woul d 2 3 lik e t o say ? 24 MR . HABER : I concu r wit hth e Court . It' s 2 5 certainl yno t m yfirs t preference . W e woul dg o alon g Heritag e Reportin g Corporatio n

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1 wit hi t t o th e exten t myclien t i s availabl e 2 obviously . I woul dlik e t o ge t thi s cas e t o tria l an d 3 over . 4 JUDG E SULLIVAN : Yes . We'r e currentl yse t 5 fo r tria l o nJanuar y31 , 2012 , i nOrlando , Florida , 6 wit hth e tria l schedule dfo r completio nth e latte r 7 par t o f th e da yo nFebruar y1 , 2012 . I thin k w e ca n 8 stil l mee t tha t dat e an dtry . 9 Wha t I' mgoin g t o d o i s I' mgoin g t o direc t 1 0 th e FA At o hav e it s witnesse s availabl e fo r depositio n 1 1 o nJanuar y4 , 2012 , i nOrlando , Florida . I' mgoin g t o 1 2 als o direc t th e partie s t o continu e communicatin g wit h 1 3 eac hothe r bot hb ytelephon e an db yemai l s o tha t an y 1 4 othe r problem s hopefull yca nb e addresse dinformall y 1 5 wit hcounsel' s cooperativ e efforts . 1 6 I wil l b e happ yt o se t anothe r telephon e 1 7 conferenc e i f th e partie s ar e s o incline dt o monito r 1 8 ho wwel l thi s goe s unless , Mr . Haber , yo u ar e 1 9 confiden t tha t you r clien t o r you'r e no t confiden t 2 0 tha t you r clien t woul db e available . I t jus t depend s 2 1 o nwha t yo u thin k woul db e mos t helpfu l t o yo u a t thi s 2 2 point . 2 3 MR . HABER : I wis hI coul dsa yI wa s o r 24 wasn' t confident . I hav e n o informatio nfro mm y 2 5 client , s o give ntha t w e wer e jus t advise da nhou r ag o Heritag e Reportin g Corporatio n

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1 tha t al l fou r woul db e availabl e o nth e 4th , i t 2 probabl ywoul db e pruden t t o i f necessar yse t u p a 3 backu p conferenc e wit hth e Cour t i f tha t wer e no t 4 possible , bu t I certainl ywoul dhop e tha t myclien t 5 vjoul db e availabl e becaus e I woul dlik e t o ge t i t 6 done . 7 JUDG E SULLIVAN : I t sound s t o m e fro myou , 8 Mr . Haber , you'r e workin g nex t week . 9 Ms . Harper , ar e yo u comin g i nt o wor k 1 0 anytim e nex t week ? 1 1 MS . HARPER : I wil l b e i nth e offic e o n 1 2 Thursda yan dFrida yI believe , You r Honor . 1 3 JUDG E SULLIVAN : Mr . Haber , d o yo u hav e tim e 1 4 o nThursday , Decembe r 29 , 201 1 fo r a followu p 1 5 conference ? 1 6 MR . HABER : I do . You r Honor , bu t jus t a s 1 7 a - - m ysecretar yjus t cam e bac k i nan dsai dw e 1 8 receive da phon e cal l bac k fro mou r client , an dh e i s 1 9 availabl e o nth e 4th . 2 0 JUDG E SULLIVAN : Okay . S o i t sound s lik e 2 1 we'v e go t deposition s al l schedule dfo r Januar y4 , 2 2 2012 . You r clien t i s available . Th e FA Aattorne yan d 2 3 he r witnesse s ar e available . 2 4 Mr . Haber , d o yo u nee dt o tal k directl yt o 2 5 Ms . Harpe r a t thi s poin t t o confir mth e plac e o f th e Heritag e Reportin g Corporatio n

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1 depositions ? 2 MR . HABER : Yes , w e woul dhav e t o confir m 3 th e location . 4 JUDG E SULLIVAN : I' mgoin g t o basicall yas k 5 yo u t o d o tha t righ t no wi nm ypresence . 6 MR . HABER : I' ma littl e bi t a t a los s sinc e 7 I don' t hav e a location . I' mlocate di nMiami . She' s 8 locate dI gues s i nAtlanta . 9 MS . HARPER : Yes . Tr yt o d o the ma t th e 1 0 FSD O sinc e it' s a convenien t locatio nfo r th e 1 1 inspectors . W e ca njus t cal l the mover . The yhav e a 1 2 conferenc e room . I'v e use di t befor e fo r depositions . 1 3 MR . HABER : Okay . Tha t sound s fine . 1 4 MS . HARPER : Al l I woul dnee dfro myo u i s 1 5 th e nam e o f th e reporte r an danyon e wh o woul db e 1 6 comin g wit hyo u fo r securit yreasons . 1 7 MR . HABER : I t woul db e m yclient , whic hyo u 1 8 hav e hi s name , an dthat' s th e onl yperso ntha t woul d 1 9 come . 2 0 MS . HARPER : Okay . I wasn' t sur e i f yo u 2 1 woul db e bringin g a paralega l wit hyo u o r not . 2 2 MR . HABER : No . Th e economic s don' t allo w 2 3 that . 2 4 MS . HARPER : Okay . 2 5 MR . HABER : An dI'v e go t 593 0 - - Heritag e Reportin g Corporatio n

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1 MS . HARPER : 5950 . 2 MR . HABER : Oh , 595 0 Hazeltin e Road ? 3 MS . HARPER : Hazeltin e Drive . 4 MR . HABER : Yes . 5 MS . HARPER : I wil l sen dyo u a lette r 6 confirmin g th e location . I s ther e a particula r tim e 7 yo u wan t t o start ? 8 MR . HABER : I thin k i f w e starte da t 1 0 tha t 9 shoul dwork . 1 0 MS . HARPER : Okay . 1 1 MR . HABER : I hav e t o fl yu p there . 1 2 MS . HARPER : An di f yo u woul ddefinitel yle t 1 3 m e kno weithe r a da yo r tw o prio r t o th e depositio ni f 1 4 yo u hav e a particula r order , yo u know , wh o yo u wan t 1 5 firs t a t least , tha t wa yI ca nle t th e witnesse s know . 1 6 MR . HABER : I wil l advis e yo u o f th e order . 1 7 JUDG E SULLIVAN : Mr . Haber , i s ther e 1 8 anythin g els e tha t yo u nee dfro mMs . Harpe r a t thi s 1 9 poin t t o fee l comfortabl e tha t you r deposition s ar e 2 0 se t u p an dread yt o g o o nJanuar y4 , 2012 ? 2 1 MR . HABER : Well , th e onl yothe r thin g jus t 2 2 a s a matte r o f conversatio ni s t o mak e sur e tha t w e 2 3 hav e an ydocument s ther e upo nwhic hth e FAAbase s it s 2 4 position . 2 5 JUDG E SULLIVAN : Ms . Harper ? Heritag e Reportin g Corporatio n

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### 3 3

1 MS . HARPER : I believ e yo uhav e al l th e 2 document s a s I responde dt o you r discover yrequests . 3 I thin k yo u hav e themall . 4 MR . HABER : Okay . I f w e hav e the mal l and 5 that' s it , the nthat' s it . 6 MS . HARPER : Yes . W e hav e nothin g els e 7 beside s wha t wa s i nou r investigativ e file . 8 MR . HABER : Okay . An d- - 9 JUDG E SULLIVAN : Ms . Harper , turnin g t o - - 1 0 I' m

sorry , Mr . Haber . G o ahead . 1 1 MR . HABER : I wa s jus t goin g t o sayw e wil l 1 2 provid e yo uwit hth e cour t reporter' s name . 1 3 JUDG E SULLIVAN : Ms . Harper , i s ther e 1 4 anythin g els e tha t yo u nee dfromMr . Habe r t o fee l 1 5 comfortabl e tha t th e deposition s hav e bee nse t andar e 1 6 readyt o g o a s o f Januar y4 , 2012 ? 1 7 MS . HARPER : . No , You r Honor . 1 8 JUDG E SULLIVAN : Okay . The nI than k yo u 1 9 bot hfo r you r presenc e her e today . 2 0 I wil l respectfull ydenyth e Respondent' s 2 1 motio nt o dismiss . Again , i t i s prematur e andi t i s 2 2 insufficien t o nit s fac e bot hi nfac t andi nlaw . I 2 3 wil l respectfull ydenyth e Respondent' s motio nfo r 2 4 sanctions . I t appear s tha t ther e ha s bee nenoug h 2 5 take ncar e o f her e toda ywher e sanction s woul dno t b e Heritag e Reportin g Corporatio n

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1 appropriate . 2 I wil l redirec t th e partie s t o appea r i n 3 Orlando , Florid a o nJanuar y4 , 201 2 fo r th e 4 • deposition s o f th e fou r FA Awitnesse s tha t hav e bee n 5 identifie db ynam e i nth e parties ' preliminar y 6 materials . 7 Iwillalsonoteforth e parties , yo u stil l 8 ar e unde r obligatio nunde r th e prio r Septembe r 1 , 201 1 9 orde r t o engag e i nth e evidentiar yexchang e that' s se t 1 0 fo r Januar y13 , 2012 . 1 1 Again , I'1 1 not e tha t th e firs t da yo f th e 1 2 hearin g i s Januar y31 , 2012 . I wil l b e sendin g yo u a 1 3 specifi c notic e o f th e hearin g plac e b ya separat e 1 4 order . 1 5 I f yo u i nan yway , shap e o r for mwan t t o 1 6 fil e stipulation s t o reduc e th e numbe r o f witnesse s a t 1 7 th e actua l trial , pleas e fee l fre e t o d o tha t i n 1 8 writin g prio r t o th e firs t da yo f trial . I f yo u woul d 1 9 lik e t o fil e a prehearin g brief , that' s alway s welcom e 2 0 an dI loo k forwar dt o receivin g them . 2 1 I f yo u reac ha settlemen t o npar t o r al l o f 2 2 th e issues , pleas e fil e th e necessar ypaperwor k ahea d 2 3 o f th e tria l dat e s o tha t I ca ntak e th e appropriat e 24 action s an deithe r confir mo r den yth e settlement , bu t 2 5 a t an yrate , i f settlemen t i s approved , the ncance l Heritag e Reportin g Corporatio n

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1 th e tria l s o tha t th e cos t o f litigatio nca nb e 2 reduce dfo r bot hparties . 3 Mr . Haber , a s th e movin g part yi nthi s 4 particula r motion , i s ther e anythin g els e tha t th e 5 Cour t ca naddres s fo r yo u befor e w e conclude ? 6 MR . HABER : No , You r Honor . Than k yo u fo r 7 you r time . 8 JUDG E SULLIVAN : You'r e welcome . 9 Ms . Harper , o nbehal f o f th e FAA , th e 1 0 respondin g part yi nthi s motion , i s ther e anythin g 1 1 tha t yo u woul dlik e t o addres s furthe r o nbehal f o f 1 2 you r clien t befor e w e conclude ? 1 3 MS . HARPER : No , You r Honor . 1 4 JUDG E SULLIVAN : Okay . Than k yo u bot hver y 1 5 muc hfo r you r presenc e today . I t appear s ou r busines s 1 6 i s complete . I'l l wis hyo u al l a ver yhapp yholiday , 1 7 an dI loo k forwar dt o seein g yo u i nlat e Januar yfo r 1 8 th e tria l i f i nfac t yo u d o no t settle . So , wit h 1 9 that , w e ca ng o of f th e recor dan dI wis hal l a goo d 2 0 day . 2 1 MR . HABER : Than k you . 2 2 JUDG E SULLIVAN : Than k you . 2 3 (Whereupon , a t 11:4 5 a.m. , th e hearin g i n 24 th e above-entitle dmatte r wa s concluded. ) 2 5 / / Heritag e Reportin g Corporatio n (202 ) 628-488 8

# 36

REPORTER' S CERTIFICAT E

DOCKE T NO . :^ P 1D^O0L)0 1 CAS ETITLE : l n^,2

. Wl^^OJiXC ^' - C ItJM ^D A ^Cts TT WI'^'SV l HEARIN GDATE : [Z/ZO/ M LOCATION : i^^s]/,;^^ ^O c



### I herebycertif ytha t th e proceeding s and evidenc e ar e containe dfull yan daccuratel yo nth e tape s andnote s reporte dbym e a t th e hearin g i nthe abov e cas e befor e fvdevjJ ! A/.Tofit^Wj ^ WiiVii'^f'3Cti^trV\ . 

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### Officia l Reporte r Heritag e Reportin g Corporatio n Suit e 60 0 122 0 L Street , N.W . Washington , D.C . 20005-401 8

Heritag e Reportin g Corporatio n

(202 ) 628-488 8