IN THE UNITED STATES DISTRICT COURT 

FOR THE DISTRICT OF OREGON 

BANNER BANK, a Washington 

State chartered bank, 

Plaintiff, 

vs. 

ALLEN J. RUSSELL, CAROL A. RUSSELL, 

RUSSELL CRANBERRY COMPANY, an Oregon 

corporation, and BANDON 

CRANBERRY COMPANY, an Oregon limited 

liability company, 

Defendants. 

AIKEN, Chief Judge: 

No. 6:15-cv-29-AA 

0 R D E R 

Plaintiff Banner Bank filed a Motion for a Temporary 

Restraining Order. Defendants have not yet appeared. 

PAGE 1 - ORDER 

Case 6:15-cv-00029-AA Document 6 Filed 01/07/15 Page 1 of 5
Briefly, plaintiff is the successor in interest to Sterling 

Bank, which made two loans to defendants secured by certain 

collateral including, among other items, crops, farm products, 

inventory, accounts, and equipment ("Collateral") . Plaintiff 

alleges that the loans are now in default and have been 

accelerated. The principal balance due on the 2009 Note is 

$551,973 and the principal balance due on the 2010 Note is 

$191,871, as well as interest and fees accruing on both Notes. 

Plaintiff alleges that to the best of its knowledge, defendants 

are in possession of the Collateral at their business address at 

89358 Cranberry Lane (89358 Coastal Evergreen Lane), Bandon, Coos 

County, Oregon. Plaintiff's claim for provisional process is 

based upon a security interest, a copy of which is attached as an 

exhibit to the Complaint. Pursuant to the security agreement, 

plaintiff has an immediate right to possession of the Collateral 

due to defendants' alleged default. 

Fed. R. Civ. P. 65 allows the court to issue a restraining 

order under the circumstances of this case. Pursuant to Rule 

65(c), the court will require a security posting by plaintiff. 

Finally, the court hereby notifies the parties that will consider 

the appointment of a Receiver in this case. Appointment of a 

receiver is within the court's broad discretion. See Securities 

and Exchange Comm'n v. Lincoln Thrift Ass'n, 577 F.2d 600, 606 

(9~ Cir. 1978) ("[I]t is a recognized principle of law that the 

PAGE 2 - ORDER 

Case 6:15-cv-00029-AA Document 6 Filed 01/07/15 Page 2 of 5
district court has broad powers and wide discretion to determine 

the appropriate relief in an equity receivership."). Moreover, 

appointment of a receiver is an "extraordinary" remedy that 

should not be granted without consideration of the federal 

receivership factors. Canada Life Assurance Co. v. LaPeter, 563 

F.3d 837, 844 (9th Cir. 2009). Those factors include (1) whether 

the party seeking the appointment has a valid claim; (2) whether 

there is fraudulent conduct or the probability of fraudulent 

conduct by the defendant; (3) whether the property is in imminent 

danger of being lost, concealed, injured, diminished in value, or 

squandered; (4) whether legal remedies are inadequate; (5) 

whether the harm to plaintiff by denial of the appointment would 

outweigh injury to the party opposing appointment; (6) the 

plaintiff's probable success in the action and the possibility of 

irreparable injury to plaintiff's interest in the property; and 

(7) whether plaintiff's interest sought to be protected will in 

fact by well-served by receivership. Id. Finally, the court is 

generally required to provide notice sufficient to allow the 

defendants an opportunity to present evidence on this issue. 

Solis v. Matheson, 563 F.3d 425, 438 (9th Cir. 2009). The 

plaintiff requests the appointment of a Receiver to do the 

following: 

1. take possession and charge of the Collateral, and turn over 

any tangible Collateral such as equipment (with the exception of 

PAGE 3 - ORDER 

Case 6:15-cv-00029-AA Document 6 Filed 01/07/15 Page 3 of 5
inventory) to plaintiff; 

2. protect and maintain the Collateral; 

3. investigate the terms of contract for sale of the Collateral 

and defendants' claims that they "dumped" the bulk of the 2014 

crop; 

4. investigate defendants' bank accounts, books and records 

regarding the Collateral; 

5. facilitate the sale of any remaining cranberries; 

6. collect accounts receivable and pay all Collateral proceeds to 

plaintiff; 

7. take control of any bank accounts containing proceeds of the 

Collateral; 

8. take any other action authorized by the Court; and 

9. provide monthly reports to all parties including the Court, 

plaintiff and defendants regarding the Receiver's activities. 

Therefore, plaintiff's motion for a temporary restraining 

order is granted and defendants are restrained from selling 

(except for inventory sales in the ordinary course of business 

and transfers to the Bank), transferring, injuring, removing, 

encumbering or otherwise disposing of the Collateral granted by 

defendants Russell Cranberry Company and Bandon Cranberry Company 

for plaintiff's loans to defendants, including but not limited to 

equipment, inventory, crops, accounts, general intangibles, and 

proceeds thereof. Pursuant to Fed. R. Civ. P. 65(c), plaintiff 

PAGE 4 - ORDER 

Case 6:15-cv-00029-AA Document 6 Filed 01/07/15 Page 4 of 5
is ordered to post a security bond in the amount of $25,000. 

Defendants have an opportunity to show cause why a preliminary 

injunction should not be ordered during the pendency of this 

case, as well as submit any opposition to the appointment of a 

Receiver as outlined above. The parties will adhere to the 

following schedule: 

Motion for Preliminary Injunction/to Appoint a Receiver due 

January 26, 2015 

Defendants' Response/Opposition due February 9, 2015 

Plaintiff's Reply due February 23, 2015. 

The court will schedule a hearing at that time. 

Finally, the parties are strongly encouraged to contact the 

court's Courtroom Deputy to schedule a judicial settlement 

conference. 

CONCLUSION 

Plaintiff's motion for temporary restraining order (doc. 3) 

is granted as stated above. 

IT IS SO ORDERED. 

Dated this ~~Y of January 2015. 

Ann Aiken 

United States District Judge 

PAGE 5 - ORDER 

Case 6:15-cv-00029-AA Document 6 Filed 01/07/15 Page 5 of 5