IN THE UNITED STATES DISTRICT COURT 

FOR THE DISTRICT OF OREGON 

KERRY D. AUSTIN, on behalf of 

himself and all others 

similarly situated, 

Plaintiff, 

v. 

UNION BOND & TRUST CO., 

MORLEY CAPITAL MANAGEMENT, 

and PRINCIPAL LIFE INSURANCE 

.COMPANY, 

Defendants. 

BROWN, Judge. 

3:14-CV-00706-ST 

ORDER 

Magistrate Judge Janice M. Stewart issued Findings and 

Recommendation (#38) on November 10, 2014, in which she 

recommends the Court grant Defendants' Motion (#25) to Dismiss as 

follows: (1) dismiss all of Plaintiff's claims against Defendant 

Principal Life Insurance Company (Second Claim and portions of 

the Third and Fourth Claims) with prejudice; (2) dismiss the 

1 - ORDER 

Case 3:14-cv-00706-YY Document 42 Filed 12/23/14 Page 1 of 3
portions of Plaintiff's First, Third, and Fourth Claims against 

Defendants Union Bond & Trust Company and Morley Capital 

Management as to setting the Crediting Rates and retaining the 

spread in the Principal Synthetic Investment Contract (SIC) with 

prejudice; and (3) dismiss the remaining portions of Plaintiff's 

First, Third, and Fourth Claims against Union and Morley without 

prejudice and with leave to replead. Plaintiff filed timely 

Objections to the Findings and Recommendation. The matter is now 

before this Court pursuant to 28 U.S.C. § 636(b) (1) and Federal 

Rule of Civil Procedure 72(b). 

When any party objects to any portion of the Magistrate 

Judge's Findings and Recommendation, the district court must make 

a de novo determination of that portion of the Magistrate Judge's 

report. 28 U.S.C. § 636(b) (1). See also Dawson v. Marshall, 561 

F.3d 930, 932 (9'h Cir. 2009); United States v. Reyna-Tapia, 328 

F.3d 1114, 1121 (9th Cir. 2003) (en bane). 

This Court has carefully considered Plaintiff's Objections 

and concludes they do not provide a basis to modify the Findings 

and Recommendation. The Court also has reviewed the pertinent 

portions of the record de novo and does not find any error in the 

Magistrate Judge's Findings and Recommendation. 

CONCLUSION 

The Court ADOPTS Magistrate Judge Stewart's Findings and 

2 - ORDER 

Case 3:14-cv-00706-YY Document 42 Filed 12/23/14 Page 2 of 3
Recommendation (#38), GRANTS Defendants' Motion (#25) to Dismiss, 

and DISMISSES Plaintiff's claims as follows: 

(1) The Court dismisses all of Plaintiff's claims against 

Principal Life Insurance Company (Second Claim and 

portions of the Third and Fourth Claims) with 

prejudice; 

(2) The Court dismisses the pbrtions of Plaintiff's First, 

Third, and Fourth Claims against Union and Morley as to 

setting the Crediting Rates and retaining the spread in 

the Principal Synthetic Investment Contract (SIC) with 

prejudice; and 

(3) The Court dismisses the remaining portions of 

Plaintiff's First, Third, and Fourth Claims against 

Union without prejudice. 

The Court GRANTS Plaintiff leave to file an Amended 

Complaint to cure the deficiencies noted in the Findings and 

Recommendation with respect to Plaintiff's First, Third, and 

Fourth Claims against Union no later than January 14, 2015. 

IT IS SO ORDERED. 

DATED this 23'd day of December, 2014. 

United States District Judge 

3 - ORDER 

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