Emergency Motion to Stay Seizure of Attorneys’ Fees and Request for Immediate Hearing

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Paul J. Cambria, Jr. (Cal. Bar No. 177957, admitted pro hac vice) 

LIPSITZ GREEN SCIME CAMBRIA LLP

42 Delaware Avenue, Suite #120 

Buffalo, New York 14202 

Telephone: (716) 849-1333 

Facsimile: (716) 855-1580 

Email: pcambria@lglaw.com 

emccampbell@lglaw.com 

Counsel for Defendant Michael Lacey

Thomas H. Bienert, Jr. (Cal. Bar No. 135311, admitted pro hac vice) 

Whitney Z. Bernstein (Cal. Bar No. 304971, admitted pro hac vice) 

BIENERT, MILLER & KATZMAN, PLC 

903 Calle Amanecer, Suite 350 

San Clemente, California 92673 

Telephone: (949) 369-3700 

Facsimile: (949) 369-3701 

Email: tbienert@bmkattorneys.com 

wbernstein@bmkattorneys.com 

Counsel for Defendant James Larkin 

Additional counsel listed on next page 

IN THE UNITED STATES DISTRICT COURT

FOR THE DISTRICT OF ARIZONA

United States of America,

Plaintiff, 

v. 

Michael Lacey, et al., 

Defendants. 

No. CR-18-00422-PHX-SPL

EMERGENCY MOTION TO STAY 

SEIZURE OF ATTORNEYS’ FEES AND 

REQUEST FOR IMMEDIATE 

HEARING 

Case 2:18-cr-00422-DJH Document 376 Filed 11/14/18 Page 1 of 6
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Emergency Motion to Stay Seizure of Attorneys’ Fees and Request for Immediate Hearing

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Gary S. Lincenberg (Cal. Bar No. 123058) 

Ariel A. Neuman (Cal. Bar No. 241594) 

BIRD, MARELLA, BOXER, WOLPERT, NESSIM, 

DROOKS, LINCENBERG & RHOW, P.C. 

1875 Century Park East, 23rd Floor 

Los Angeles, CA 90067-2561 

Telephone: (310) 201-2100 

Facsimile: (310) 201-2110 

Email: glincenberg@birdmarella.com 

aneuman@birdmarella.com 

Counsel for Defendant John Brunst

Bruce Feder (AZ Bar No. 004832) 

Feder Law Office, P.A. 

2930 E. Camelback Road, Suite 160 

Phoenix, Arizona 85016 

Telephone: (602) 257-0135 

Email: bf@federlawpa.com 

Counsel for Defendant Scott Spear 

It is expected that excludable delay under 18 U.S.C. § 3161(h)(1)(D) will occur as 

a result of this motion or an order based thereon, as explained more fully below. 

Defendants Michael Lacey, James Larkin, John Brunst, and Scott Spear 

(“Defendants”) hereby move for an order staying the government from executing seizure 

warrants on funds held in attorneys’ trust accounts for the payment of attorneys’ fees in 

connection with the representation of Defendants in the above-captioned criminal case

and in related litigation, on the grounds raised below and in Defendants Padilla and 

Vaught’s Emergency Motion to Stay Seizure of Attorneys’ Fees and Request for 

Immediate Hearing (“Emergency Stay Motion”) (Doc. 360) (currently set for hearing by 

this Court on November 16, 2018). Defendants have previously joined in that motion and 

incorporate its grounds by reference.

Case 2:18-cr-00422-DJH Document 376 Filed 11/14/18 Page 2 of 6
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Emergency Motion to Stay Seizure of Attorneys’ Fees and Request for Immediate Hearing

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On November 8, 2018, counsel learned that the government had issued warrants 

for the seizure of funds being held in numerous attorneys’ trust accounts intended to secure 

the payment of fees due and those not yet earned for Defendants’ representation and 

defense against the allegations in this case and in related litigation. See Doc. 374, Under 

Seal Seizure Warrant Affidavit, at 9-10. Counsel filed a Joinder to the Emergency Stay 

Motion and requested that the Court extend its stay Order (Doc. 361) to include other 

attorney trust accounts that the government is seeking to seize. See Docs. 366, 370. 

Counsel explained that the government was proceeding with its seizures even in the face 

of the stay Order (Doc. 361) and Friday’s hearing on the Emergency Stay Motion, and 

that some attorneys may have already wired funds to the government by the its 5:00 p.m. 

EST deadline on November 13, 2018.1

 Doc 370. This Court granted counsel’s motion to 

join in the Emergency Stay Motion and struck counsel’s request for extended relief as 

incompliant with Fed. R. Crim. P. 47 and 12. Doc. 375. 

Defendants and counsel now move for an emergency order staying the 

government’s seizure of the funds in these trust accounts,2

 for an immediate hearing on 

its request for a stay (preferably at the time the Court will hear the Emergency Stay Motion 

(Dkt. 360) on Friday, November 16, 2018), and a briefing schedule so that Defendants can 

address in a more fulsome manner the significant legal issues raised by the government’s 

efforts to seize attorney trust accounts. Defendants contend that the government’s novel 

1

 To the extent necessary, the return of seized funds will be addressed by the Defendants 

in the near future. 

2 Specifically, Defendants move for an order staying the seizure of the attorney trust 

accounts identified in Doc. 374, the Warrant Affidavit, at 10-14 as to Account nos. 28 

(Bank of the West account xxx1363), 29 (Wells Fargo account xxxx2052), 30 (SunTrust 

Bank account xxxx7906), 33 (Citibank account xxxx4039), 34 (US Bank account 

xxxx1235), 35 (US Bank account xxxx6952), 37 (JP Morgan Chase bank account 

xxxx4381), 38 (JP Morgan Chase bank account xxxx9698), and 40 (JP Morgan Chase 

bank account xxxx5397). The Court’s prior Orders imposed a stay as to Account nos. 36A, 

36B, 41A, 41B, and 42. See Docs. 361 and 369.

Case 2:18-cr-00422-DJH Document 376 Filed 11/14/18 Page 3 of 6
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Emergency Motion to Stay Seizure of Attorneys’ Fees and Request for Immediate Hearing

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theories of seizure and forfeiture of publishing proceeds, which have never been accepted 

on the merits by any court, are incorrect and the government’s efforts to seize these trust 

accounts are illegal and premature. Undersigned counsel, who will be present at Friday’s 

hearing, request that the Court address their request for a stay at that time, or anytime 

thereafter that the Court is available. 

The government’s effort to seize these additional retainer funds raises the same 

issues as discussed in the Emergency Stay Motion. The government’s putative seizures 

will deprive Defendants of resources needed to defend the charges and claims brought 

against them. The retainer funds were derived from lawful publishing activities. The 

pretrial seizure of the funds violates fundamental First Amendment principles, including 

that the government may never presume that speech is unlawful and cannot confiscate 

publishing assets or proceeds based merely on probable cause. See Fort Wayne Books, 

Inc. v. Indiana, 489 U.S. 46, 66 (1989); Simon & Schuster, Inc. v. Members of the New 

York State Crime Victims Bd., 502 U.S. 105, 115 (1991). The putative seizures raise issues 

under the Fourth, Fifth, and Sixth Amendments as well, including in particular the 

government’s attempt to interfere with Defendants’ rights to counsel of their choice. 

In addition, the seizure of additional retainer funds threatens to compound 

problems of the Court’s management of this case, including by causing further delay and 

prejudice to Defendants if counsel must withdraw and be replaced. 

Accordingly, Defendants respectfully move for an order granting an emergency 

stay of the seizure of these funds and request an immediate hearing on the stay. Granting 

relief creates no harm to the government because counsel can be expected to maintain and 

preserve the funds in their trust accounts pending briefing, this Court’s subsequent 

hearing, and further directions from the Court. 

Case 2:18-cr-00422-DJH Document 376 Filed 11/14/18 Page 4 of 6
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Emergency Motion to Stay Seizure of Attorneys’ Fees and Request for Immediate Hearing

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Dated: November 14, 2018 Respectfully submitted, 

 BIENERT, MILLER & KATZMAN, PLC

/s/ Thomas H. Bienert, Jr.

Attorneys for James Larkin 

Pursuant to the District’s Electronic Case Filing Administrative Policies and 

Procedures Manual (May 2018) § II(C)(3), Thomas H. Bienert, Jr. hereby attests that 

all other signatories listed, and on whose behalf this filing is submitted, concur in the 

filing’s content and have authorized its filing. 

/s/ Paul J. Cambria, Jr. 

LIPSITZ GREEN SCIME CAMBRIA LLP

 Attorneys for Michael Lacey

/s/ Gary S. Lincenberg 

BIRD MARELLA BOXER WOLPERT 

NESSIM DROOKS LINCENBERG AND 

RHOW 

 Attorneys for John Brunst 

/s/ Bruce Feder 

FEDER LAW OFFICE PA 

Attorneys for Scott Spear 

Case 2:18-cr-00422-DJH Document 376 Filed 11/14/18 Page 5 of 6
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 Certificate of Service 

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CERTIFICATE OF SERVICE

I certify that on this 14th day of November 2018, I electronically transmitted a 

PDF version of this document to the Clerk of the Court, using the CM/ECF System, for 

filing and for transmittal of a Notice of Electronic Filing to the following CM/ECF 

registrants listed below. 

/s/ Toni Thomas 

Toni Thomas 

David Lawrence Botsford, Botsford & Roark, dbotsford@aol.com 

Erin E. McCampbell, Lipsitz Green Scime Cambria LLP, emccampbell@lglaw.com 

Daniel James Quigley, Daniel J Quigley PLC, quigley@djqplc.com 

Michael L. Piccarreta, Piccarreta Davis Keenan Fidel PC, mlp@pd-law.com 

Anthony R. Bisconti, Bienert Miller & Katzman PLC, tbisconti@bmkattorneys.com 

Kenneth M. Miller, Bienert Miller & Katzman PLC, kmiller@bmkattorneys.com 

Thomas H. Bienert, Jr., Bienert Miller & Katzman PLC, tbienert@bmkattorneys.com 

Whitney Z. Bernstein, Bienert Miller & Katzman PLC, wbernstein@bmkattorneys.com 

K. C. Maxwell, Maxwell Law PC, kcm@kcmaxlaw.com 

Adam Christian Page, Karp & Weiss PC, apage@karpweiss.com 

Stephen M. Weiss, Karp & Weiss PC, sweiss@karpweiss.com 

Ariel A. Neuman, Bird Marella, aan@birdmarella.com 

Gary S. Lincenberg, Bird Marella, gsl@birdmarella.com

Gopi K. Panchapakesan, Bird Marella, gkp@birdmarella.com 

Michael D. Kimerer, Kimerer & Derrick PC, MDK@kimerer.com 

Rhonda Elaine Neff, Kimerer & Derrick PC, rneff@kimerer.com 

Bruce S. Feder, Feder Law Office PA, bf@federlawpa.com

Andrew C. Stone, Assistant U.S. Attorney, andrew.stone@usdoj.gov 

John Jacob Kucera, Assistant U.S. Attorney, john.kucera@usdoj.gov 

Kevin M. Rapp, Assistant U.S. Attorney, kevin.rapp@usdoj.gov 

Margaret Wu Perlmeter, Assistant U.S. Attorney, Margaret.perlmeter@usdoj.gov 

Reginald E. Jones, Assistant U.S. Attorney, reginald.jones@usdoj.gov 

Peter Shawn Kozinets, Assistant U.S. Attorney, peter.kozinets@usdoj.gov 

Case 2:18-cr-00422-DJH Document 376 Filed 11/14/18 Page 6 of 6