Court Opinion

ID: 2970523
Source: CourtListenerOpinion
Date Created: 2015-09-22 16:15:21.17616+00
Date Added: 2024-06-11T11:43:30.431562
License: Public Domain

5(&200(1'(' )25 )8//7(;7 38%/,&$7,21
                3XUVXDQW WR 6L[WK &LUFXLW 5XOH 

        (/(&7521,& &,7$7,21  )(' $SS 3 WK &LU
                    )LOH 1DPH DS

81,7('67$7(6&28572)$33($/6
                   )257+(6,;7+&,5&8,7
                     BBBBBBBBBBBBBBBBB

 81,7(' 67$7(6 2) $0(5,&$       ;
           3ODLQWLII$SSHOOHH    
                                  
                                    1R
          Y                      
                                   !
                                  
 7200< $17+21< 1(:(//            
        'HIHQGDQW$SSHOODQW 
                                 1
     $SSHDOIURPWKH8QLWHG6WDWHV'LVWULFW&RXUW
    IRUWKH(DVWHUQ'LVWULFWRI0LFKLJDQDW'HWURLW
   1Rn5REHUW+&OHODQG'LVWULFWsXGJH
                    $UJXHG$XJXVW
              'HFLGHGDQG)LOHG2FWREHU
%HIRUH0225(DQG&2/(&LUFXLWsXGJHV0$5%/(<
                  'LVWULFWsXGJH
                       BBBBBBBBBBBBBBBBB
                             &2816(/
$5*8('  1DQF\ / 0F*XQQ )('(5$/ 38%/,&
'()(1'(56 2)),&( 'HWURLW 0LFKLJDQ IRU $SSHOODQW
'DQLHO / /HPLVFK $66,67$17 81,7(' 67$7(6

    
     7KH +RQRUDEOH $OJHQRQ / 0DUEOH\ 8QLWHG 6WDWHV 'LVWULFW sXGJH IRU
WKH 6RXWKHUQ 'LVWULFW RI 2KLR VLWWLQJ E\ GHVLJQDWLRQ

                                    
     8QLWHG6WDWHVY1HZHOO                         1R       1R                          8QLWHG6WDWHVY1HZHOO       

$77251(<'HWURLW0LFKLJDQIRU$SSHOOHH21%5,()                     7KHUHIRUHWKH&RXUWILQGVWKDWWKHWRQHRIWKHWKUHDWVDORQJ
1DQF\/0F*XQQ5LFKDUGs2j1HLOO)('(5$/38%/,&                     ZLWK 1HZHOOjV RWKHU RYHUW FRQGXFW VXSSRUWHG D VL[OHYHO
'()(1'(56 2)),&( 'HWURLW 0LFKLJDQ IRU $SSHOODQW                HQKDQFHPHQWRI1HZHOOjVVHQWHQFHEDVHGRQWKHIDFWWKDWKLV
'DQLHO / /HPLVFK $66,67$17 81,7(' 67$7(6                         FRQGXFWHYLGHQFHGDQLQWHQWWRFDUU\RXWWKHWKUHDWV
$77251(<'HWURLW0LFKLJDQIRU$SSHOOHH
                                                                                               ,9&21&/86,21
                      BBBBBBBBBBBBBBBBB
                                                                          %DVHGRQWKHIRUHJRLQJDQDO\VLVWKH&RXUW$)),506WKH
                          23,1,21                                       GLVWULFW FRXUWjV MXGJPHQW DQG VHQWHQFH RQ 'HIHQGDQW
                      BBBBBBBBBBBBBBBBB                                 $SSHOODQWjVFRQYLFWLRQIRUWUDQVPLWWLQJWKUHDWHQLQJLQWHUVWDWH
                                                                        FRPPXQLFDWLRQVLQYLRODWLRQRI86&F
  $/*(121 / 0$5%/(< 'LVWULFW sXGJH  'HIHQGDQW
$SSHOODQW7RPP\$QWKRQ\1HZHOOm1HZHOOlDSSHDOVWKH
GLVWULFWFRXUWjVMXGJPHQWRQKLVFRQYLFWLRQIRUWUDQVPLWWLQJ
WKUHDWHQLQJ LQWHUVWDWH FRPPXQLFDWLRQV LQ YLRODWLRQ RI 
86&F1HZHOODVVLJQVHUURUWRWKHGLVWULFWFRXUWjV
DSSOLFDWLRQRIDVL[SRLQWHQKDQFHPHQWWRKLVVHQWHQFHEDVHG
RQ WKH GLVWULFW FRXUWjV ILQGLQJ WKDW 1HZHOOjV FRQGXFW
HYLGHQFHG DQ LQWHQW WR FDUU\ RXW WKH WKUHDW WKDW IRUPHG WKH
EDVLVRIKLVFRQYLFWLRQ7KLV&RXUWjVDSSHOODWHMXULVGLFWLRQLV
SURSHUXQGHU86&DQG86&
  )RU WKH IROORZLQJ UHDVRQV WKH &RXUW $)),506 WKH
MXGJPHQWRIWKHGLVWULFWFRXUW
                      ,%$&.*5281'
                   $)DFWXDO%DFNJURXQG
  )URP'HFHPEHUWKURXJK$XJXVW1HZHOOKDGDQ
LQWLPDWHUHODWLRQVKLSZLWK&\QWKLD+DPGHQDPDUULHGZRPDQ
ZKRP 1HZHOO PHW RYHU WKH ,QWHUQHW  $W WKH WLPH RI WKHLU
LQLWLDO PHHWLQJ 0V +DPGHQjV KXVEDQG 5LFKDUG +DPGHQ
ZDV LQFDUFHUDWHG  7KURXJKRXW WKHLU UHODWLRQVKLS 1HZHOO
UHVLGHGLQ8WDKDQG0V+DPGHQUHVLGHGLQ0LFKLJDQ
   :KHQ WKH\ ILUVW PHW 1HZHOO DQG 0V +DPGHQ
FRPPXQLFDWHG YLD WKH ,QWHUQHW EXW HYHQWXDOO\ H[FKDQJHG
SKRQH QXPEHUV DQG EHJDQ FRPPXQLFDWLQJ RYHU WKH
WHOHSKRQH  ,Q $SULO  0V +DPGHQ IOHZ WR 1HZHOOjV
KRPH LQ 8WDK DQG VWD\HG IRU DSSUR[LPDWHO\ RQH ZHHN            E\   WKH FRXUW WKH HQKDQFHPHQW WR WKH GHIHQGDQWjV VHQWHQFH ZRXOG KDYH
                                                                        EHHQ XSKHOG
       8QLWHG6WDWHVY1HZHOO                                     1R          1R                        8QLWHG6WDWHVY1HZHOO          

QRWUHO\RQWKHWKUHDWVDORQHWRDSSO\D$EVL[OHYHO                          'XULQJWKHFRXUVHRIWKHLUUHODWLRQVKLS1HZHOODOVRYLVLWHG
HQKDQFHPHQW6HH8QLWHG6WDWHVY*R\QHV)G                                  0V+DPGHQDQXPEHURIWLPHVLQ0LFKLJDQZKHQKHWUDYHOHG
 WK &LU  KROGLQJ WKDW mWKH ZULWLQJ RI PXOWLSOH                       FURVVFRXQWU\IRUKLVMREDVDORQJKDXOWUXFNGULYHU
WKUHDWHQLQJOHWWHUVDQGWKHQDWXUHRIWKHLUFRQWHQWDORQHDUH
LQVXIILFLHQWWRMXVWLI\lDVL[OHYHOHQKDQFHPHQWSXUVXDQWWR                                ,Q $XJXVW  0V +DPGHQ DGYLVHG 1HZHOO WKDW VKH
$E%XWVHH8QLWHG6WDWHVY7KRPDV)G                                ZDQWHGWRWHUPLQDWHWKHLUUHODWLRQVKLSDVVKHKDGUHFRQFLOHG
WK&LUILQGLQJWKDWWKHILYHWKUHDWHQLQJ                            ZLWKKHUKXVEDQGXSRQKLVUHOHDVHIURPSULVRQ6RRQDIWHUKH
OHWWHUVWKDWZHUHVHQWWRWKHYLFWLPE\WKHGHIHQGDQWSURYLGHG                            UHFHLYHG WKLV QHZV 1HZHOO EHJDQ VHQGLQJ KDUDVVLQJ DQG
SUREDWLYH HYLGHQFH RI WKH GHIHQGDQWjV LQWHQW WR KDUP WKH                          WKUHDWHQLQJ HPDLO PHVVDJHV WR 0V +DPGHQ  %HWZHHQ
YLFWLP,QGHHGLWZRXOGQRWEHSURSHUIRUDGLVWULFWFRXUWWR                         $XJXVW   DQG 6HSWHPEHU   1HZHOOVHQW
UHO\ RQ WKH QXPEHU RI WKUHDWV DORQH DV WKDW IDFW LV DOUHDG\                   DSSUR[LPDWHO\VHYHQW\HPDLOPHVVDJHVWR0V+DPGHQ +H
WDNHQLQWRDFFRXQWE\866*$EZKLFKDOORZV
IRUDWZROHYHOHQKDQFHPHQWm>L@IWKHRIIHQVHLQYROYHGPRUH
WKDQ WZR WKUHDWVl  86 6(17(1&,1* *8,'(/,1(6                                            
$EVHH*R\QHV)GDWUHDVRQLQJWKDW                                    7KH IROORZLQJ LV D UHSUHVHQWDWLYH VDPSOLQJ RI WKH HPDLO PHVVDJHV

LIWKH6HQWHQFLQJ&RPPLVVLRQDFFRXQWHGIRUWKHQXPEHURI                                  1HZHOO VHQW 0V +DPGHQ GXULQJ WKLV WLPH SHULRG

FRPPXQLFDWLRQV E\ LPSRVLQJ DQ HQKDQFHPHQW XQGHU                                          6XQGD\ $XJXVW    SP
 $E WKHQ WKH QXPEHU RI WKUHDWHQLQJ
FRPPXQLFDWLRQVFRXOGQRWDOVREHUHOLHGXSRQWRWULJJHUDVL[                                7+( 6,/(17 ,7j6 7+( )8&.,1* 6,/(1&( 7+$7 )8&.6

OHYHOHQKDQFHPHQWXQGHU$E                                                     0(    83   7+(    :2567       $1'    <28      '21j7    (9(1
                                                                                              0(17,21(' ,7 25 $32/2*,=( 25 $1<7+,1*                  7+(

   7KHGLVWULFWFRXUWSURSHUO\DQDO\]HGWKHLVVXHKHUHLQWKDW
                                                                                              6,/(17     75($70(17          <28    $5(    *,9,1*     :,//
                                                                                              (9(178$//<       %(     7+(   21(   7+,1*     7+$7    &28/'
WKHFRXUWGLGQRWUHO\RQWKHWKUHDWVDORQHLQFRQFOXGLQJWKDW                                &$86( (9(5<%2'< 3$,1
WKH HQKDQFHPHQW ZDV SURSHU  7R WKH FRQWUDU\ WKH GLVWULFW
FRXUW FRQVLGHUHG QRW RQO\ WKH QDWXUH DQG QXPEHU RI WKH                               $XJXVW    SP

WKUHDWV EXW DOVR 1HZHOOjV RYHUW DFWV RI SXUFKDVLQJ D 
FDOLEHU KDQGJXQ DQG VHSDUDWHO\ SXUFKDVLQJ WKH UHTXLVLWH                                 ,) 8 :$17 72 3/$< )8&.,1* *$0(6 7+(1 /(76
                                                                                              3/$<   8 5 127 7+( 21/< 21( :+2 &$1 %( &2/'
DPPXQLWLRQ  7KLV DQDO\VLV ZKROO\ FRPSRUWV ZLWK WKH UXOH                              +($57('     $1'    ,   *$5$817((      8   :,//   )8&.,1*
HVWDEOLVKHGE\WKHPDMRULW\RIFLUFXLWVWKDWKDYHDGGUHVVHGWKLV                              /226( (9(1 ,) , ',(

LVVXHDQGDGRSWHGKHUHLQUHTXLULQJWKDWWKHGHIHQGDQWHQJDJH
LQVRPHRYHUWFRQGXFWLQDGGLWLRQWRPDNLQJWKHWKUHDWVEHIRUH                                $XJXVW    SP

D$EHQKDQFHPHQWFDQEHVXVWDLQHG6HH*R\QHV
)GDWQOLVWLQJFDVHVDGRSWLQJWKLVUXOH
                                                                                              ,7 5($//< ,6 $ %$' ,'($ 72 7851 <285 %$&. 21
                                                                                              0( 12: 7+$7 +( ,6 +20( ,7 &$1 '(6752< 86 $//
                                                                                              3/($6( , 1((' <28

                                                                                             6XQGD\ 6HSWHPEHU    SP
      6LJQLILFDQWO\   HYHQ    LQ   *R\QHV   LWVHOI   WKH   FRXUW   QRWHG   WKDW   WKH
GHIHQGDQW QHLWKHU SXUFKDVHG D ZHDSRQ RU DPPXQLWLRQ QRU WUDYHOHG WR WKH                       , :,// 127 %( ',65(63(&7(' /,.( 7+,6    , 75,('
YLFWLPjV KRPH RU FLW\ QRU HQJDJHG LQ mDQ\ RWKHU FOHDUO\ UHFRJQL]DEOH                         72 '2 7+,6 <285 :$< %87 <285 :$< +8576 722
RYHUW DFW WKDW FRXOG EH FRQVLGHUHG FRQGXFW HYLGHQFLQJ DQ LQWHQW WR FDUU\                      08&+ , 7$.( $// 7+( 3$,1 :+,/( <28 $1' 5,&+
RXW KLV WKUHDWl   *R\QHV     )G DW  7KH &RXUW LQIHUV WKDW KDG WKHUH               +$9( )81 :(// 67$57,1* 7202552: 7+( 58/(6
EHHQ HYLGHQFH RI VRPH RYHUW DFW VLPLODU WR WKRVH VSHFLILFDOO\ PHQWLRQHG                       $5( *2,1* 72 &+$1*( %(&$86( , :,// 127 *2
       8QLWHG6WDWHVY1HZHOO                                1R   1R                           8QLWHG6WDWHVY1HZHOO           

DOVROHIWWKUHDWHQLQJYRLFHPDLOPHVVDJHVDWKHUKRPHRQKHU                FRQWHQW RI WKH WKUHDWV FDQQRW EH GHHPHG mFRQGXFWl
FHOOXODUSKRQHDQGDWWKHKRPHVRIKHUIDPLO\PHPEHUV                     LQGHSHQGHQWRIWKHFRPPXQLFDWLRQLWVHOIWRMXVWLI\DVL[OHYHO
                                                                             HQKDQFHPHQWEHFDXVHWKHIDFWWKDWWKHFRPPXQLFDWLRQVZHUH
 2QRUDERXW6HSWHPEHUDGHSXW\IURPWKH0RQURH                     DQJU\RUWKUHDWHQLQJLVDFFRXQWHGIRULQWKHFRQYLFWLRQIRUWKH
&RXQW\6KHULIIjV'HSDUWPHQWLQ0RQURH&RXQW\0LFKLJDQ                       FKDUJHGRIIHQVH
ZDUQHG1HZHOOWRVWRSFRQWDFWLQJ0V+DPGHQDQGKHUIDPLO\
PHPEHUV'HVSLWHWKLVZDUQLQJ1HZHOOFRQWLQXHGZLWKKLV                      &RQVLGHUDWLRQ RI WKH WRQH RI WKH WKUHDWV YLHZHG LQ
                                                                             FRQMXQFWLRQ ZLWK WKH GHIHQGDQWjV RWKHU RYHUW FRQGXFW LV
                                                                             SURSHULQGHWHUPLQLQJZKHWKHUWKHGHIHQGDQWLQWHQGHGWRFDUU\
    287 /,.( 7+,6          12 )8&.,1* :$<@@@@@@                             RXWKLVWKUHDWV6HH8QLWHG6WDWHVY&DUWHU)G
                                                                              WK &LU  m,Q GHFLGLQJ ZKHWKHU WR DSSO\ WKH
    0RQGD\ 6HSWHPEHU    DP                                     HQKDQFHPHQW FRXUWV PD\ HYDOXDWH QRW RQO\ D GHIHQGDQWjV
                                                                             RYHUWDFWLYLW\FRQQHFWHGWRWKHWKUHDWEXWDOVRWKHQDWXUHDQG
    :+<      6+28/'      ,   &$5(    ,)   <28   +$7(
    $1<025( ,j// 67,// %( 75($7(' /,.( 6+,7 %87 ,
                                                          0(   25   127
                                                                             VHULRXVQHVV RI WKH WKUHDWV WKHPVHOYHVl 8QLWHG 6WDWHV Y
    $0 *2,1* 72 *,9( <28 $ 5($621 72 +$7( 0(
                                                                             .LUVK)GG&LUFRQVLGHULQJWKHIDFW
    12: , 75,(' <285 :$< $1' <28 s867 .((3 /<,1*                            WKDWWKHWKUHDWHQLQJOHWWHUVFRQWDLQHGODQJXDJHVXFKDVm,jP
    $1' %8//6+,77,1* $1' +857,1* :(// ,76 7,0(                             JRLQJWREORZ\RXDZD\lDORQJZLWKWKHGHIHQGDQWVjRYHUWDFW
    7+$7 , )8&.,1* ),*+7 ),5( :,7+ ),5(
                                                                             RI SRVVHVVLQJ ZHDSRQV LQ    GHWHUPLQLQJ WKDW WKH VL[SRLQW
                                                                            HQKDQFHPHQWZDVSURSHU7KHGLVWULFWFRXUWKRZHYHUPD\
     7KH IROORZLQJ LV D UDQGRP VDPSOLQJ RI WKH WZHQW\VL[ YRLFH PDLO
PHVVDJHV 1HZHOO OHIW IRU 0V +DPGHQ GXULQJ WKLV WLPH SHULRG

                                                                                 
    $XJXVW    SP m   ,jP WHOOLQJ \RX ULJKW QRZ                  :H ORRN WR WKH KROGLQJV RI RXU VLVWHU FLUFXLWV UHJDUGLQJ WKH DELOLW\ RI
    <RXjUH GRLQJ LW WKH ZURQJ ZD\        ,I \RXjUH IXFNLQJ VPDUW \RX        WKH VHQWHQFLQJ FRXUW WR UHO\ RQ WKH WKUHDWV WKHPVHOYHV WR FRQFOXGH WKDW WKH
    EHWWHU VWD\ FORVH WR PH ,I \RXjUH VPDUW \RXjOO WDON WR PH <RXjUH       GHIHQGDQW LQWHQGHG WR FDUU\ RXW WKRVH WKUHDWV   $OWKRXJK WKLV &RXUW KDV
    WDONLQJ WR VRPHRQH QRZ WKDWjV JRW QRWKLQJ WR ORVH       , GRQjW JLYH    DGGUHVVHG WKLV SUHFLVH LVVXH VHH 8QLWHG 6WDWHV Y /RZHQVWHLQ )G 
    D IXFN DERXW MDLO RU GHDWK    6R \RX FRXOG EH IXFNLQJ VPDUWl           WK &LU  LW GLG VR EHIRUH  $ ZDV DPHQGHG WR LQFOXGH WKH
                                                                             FXUUHQW  $E ZKLFK UHTXLUHV D WZRSRLQW HQKDQFHPHQW LI WKH
    0RQGD\  DP m, GRQjW NQRZ ZKDW NLQG RI JDPH \RXjUH                 RIIHQVH LQYROYHG PRUH WKDQ WZR WKUHDWV $W WKH WLPH WKDW WKLV &RXUW
    SOD\LQJ , GRQjW NQRZ ZK\ \RX KDG WKH SKRQH FXW RII 7KDW ZDV            GHFLGHG /RZHQVWHLQ  $E UHDG LQ UHOHYDQW SDUW DV IROORZV
    WKH ZURQJ PRYH     (YHU\WKLQJ EORZV XS ULJKW QRZl
                                                                                  ,I WKH GHIHQGDQW HQJDJHG LQ DQ\ FRQGXFW HYLGHQFLQJ DQ LQWHQW
    0RQGD\  SP m    ,I , GRQjW KHDU E\ IURP \RX E\                     WR FDUU\ RXW VXFK WKUHDW LQFUHDVH E\  OHYHOV
    WRPRUURZ ,jP FDOOLQJ \RXU PRP         ,I , GRQjW KHDU IURP \RX E\           ,I VSHFLILF RIIHQVH FKDUDFWHULVWLF  $E GRHV QRW
    WRPRUURZ ,jP FDOOLQJ /LVD        $QG LI , GRQjW JHW QR UHVXOWV          DSSO\ DQG WKH GHIHQGDQWjV FRQGXFW LQYROYHG D VLQJOH LQVWDQFH
    IURP WKHP ,jP JHWWLQJ RQ D SODQH DQG FRPLQJ XS WKHUH <RXjUH               HYLGHQFLQJ OLWWOH RU QR GHOLEHUDWLRQ GHFUHDVH E\  OHYHOV
    QRW JRLQJ WR IXFNLQJ GR WKLV      1RZ \RX ZDQW WR IXFNLQJ SOD\
    URXJK"   ,WjV JRLQJ WR JHW UHDO IXFNLQJ XJO\        'R \RX ZDQW WR      6HH /RZHQVWHLQ   )G DW  ILQGLQJ WKDW  $ DV ZULWWHQ LQ
    IXFNLQJ EH VWXSLG"    6R WKH KHOO ZLWK \RX      $QG WKH KHOO ZLWK     GLG QRW DGHTXDWHO\ WDNH LQWR DFFRXQW WKH QXPEHU DQG GHOLEHUDWLYH
    DOO RI \RX   ,WjV JRLQJ WR JHW UHDO IXFNLQJ QDVW\ QRZ                  QDWXUH RI WKH WKUHDWV LQYROYHG VR WKDW D VL[OHYHO HQKDQFHPHQW XQGHU
                                                                              $E ZDV SURSHU ZKHQ WKH GHIHQGDQW PDGH WKLUW\ SKRQH FDOOV WR
    0RQGD\  SP m   6R \RX FDQ GR LW WKH HDV\ ZD\ RU \RX            WKH YLFWLP RYHU HLJKW PRQWKV DQG FRQWLQXHG KLV EHKDYLRU DIWHU WKH )%,
    WKLQN \RX ZDQW WR IXFN ZLWK PH WKHQ ZH ZLOO SOD\          $QG ,jOO     ZDUQHG KLP WR VWRS %HFDXVH WKH FXUUHQW IRUP RI  $E GRHV
    EHFRPH \RXU ZRUVW IXFNLQJ QLJKWPDUH ,jP QRW WKUHDWHQLQJ \RX            SURYLGH IRU DQ HQKDQFHPHQW ZKHQ WKH GHIHQGDQW PDNHV PXOWLSOH WKUHDWV
    7KLV LV QRW D WKUHDW    ,WjV D IXFNLQJ SURPLVHl                        /RZHQVWHLQ LV RI PLQLPDO SUREDWLYH YDOXH
    8QLWHG6WDWHVY1HZHOO                        1R       1R                        8QLWHG6WDWHVY1HZHOO            

8QLWHG 6WDWHV Y *UHHQ  )G   G &LU       FRPPXQLFDWLRQV  ,Q SDUWLFXODU RQ 6HSWHPEHU  
XSKROGLQJWKHVL[OHYHOHQKDQFHPHQWEDVHGRQWKHIDFWWKDW            1HZHOOFRQWDFWHGDVHFUHWDU\DWWKHHOHPHQWDU\VFKRROZKHUH
WKHGHIHQGDQWDVNHGDIULHQGZKRZDVDSROLFHRIILFHUWRUXQ         0V+DPGHQZDVHPSOR\HGDVDEXVGULYHU+HWROGKHUWKDW
DFKHFNRQWKHYLFWLPjVOLFHQVHSODWHVRWKDWKHFRXOGOHDUQWKH       mIRUWKHVDIHW\RIWKHNLGVWKH\QHHGWRJHW&LQG\RUWKHNLGV
YLFWLPjVDGGUHVV                                                     RII WKH EXVl  +H DOVR OHIW WKH IROORZLQJ PHVVDJH RQ WKH
                                                                       WHOHSKRQHDQVZHULQJPDFKLQHRI3DW0LOOHU0V+DPGHQjV
   6LJQLILFDQWO\ WKLV FDVH LV GLVWLQJXLVKDEOH IURP 8QLWHG       PRWKHU
6WDWHVY3KLOLEHUW)GWK&LURYHUUXOHG
RQRWKHUJURXQGV8QLWHG6WDWHVY'DLOH\)G            3OHDVHWHOO&LQG\,GRQjWNQRZZKHQVKHjVJRLQJWRJHWLW
WK&LURQZKLFKWKH'HIHQGDQWUHOLHV,Q3KLOLEHUW          WKURXJKKHUIXFNLQJKHDG7KHUHjVQRWDIXFNLQJFRSRQ
WKHGLVWULFWFRXUWHQKDQFHGWKHGHIHQGDQWjVVHQWHQFHSXUVXDQW            WKHSODQHWWKDWFDQVWRSPH6KHFDQFDOODOOWKHFRSVVKH
WR$EEDVHGRQWKHGHIHQGDQWjVSXUFKDVHRIDFDFKH            ZDQWV,jPJRLQJWR0LVVLVVLSSLWRVD\JRRGE\HWRP\
RIZHDSRQVDQGDPPXQLWLRQILIW\WKUHHGD\VEHIRUHKHPDGH                PRP  ,jP FRPLQJ WKHUH  ,jP JRLQJ WR IXFNLQJ NLOO
WKHWKUHDWHQLQJWHOHSKRQHFDOOIRUZKLFKKHZDVFRQYLFWHG,G          5LFKDUG7KHRQO\WKLQJWKDWjVJRLQJWRVWRSPHLVKHU
DW7KHFLUFXLWFRXUWUHYHUVHGILQGLQJWKDWQRHYLGHQFH           6KHLVWKHRQO\RQHWKDWFDQVWRSPHE\FDOOLQJRUOHDYLQJ
GHPRQVWUDWHG D FRQQHFWLRQ EHWZHHQ WKH SXUFKDVH RI WKH             D QXPEHU ZKHUH , FDQ FDOO KHU  6KH FDQ EULQJ DOO WKH
ILUHDUPVDQGDQLQWHQWWRFDUU\RXWWKHWKUHDWPDGHDOPRVWWZR           IXFNLQJ FRSV VKH ZDQWV DQG , ZLOO SURYH WR HYHU\ERG\
PRQWKVODWHU,G1HZHOOXQOLNHWKHGHIHQGDQWLQWKDWFDVH           WKH\ZLOOJHWPHEXW,ZRQjWEHIXFNLQJDOLYHDQGWKHUH
SXUFKDVHGWKHZHDSRQRQWKHYHU\GD\KHPDGHWKHWKUHDWVDW              ZRXOGEHERGLHVZLWKPH7KDQN\RX
LVVXH7KHWHPSRUDOSUR[LPLW\RIWKHSXUFKDVHRIWKHZHDSRQ
WRWKHPDNLQJRIWKHWKUHDWVHVWDEOLVKHVDQH[XVEHWZHHQWKH           2QWKHVDPHGD\WKDWKHPDGHWKHIRUHJRLQJWHOHSKRQHFDOOV
WZRDFWVDQGGLVWLQJXLVKHVWKLVFDVHIURP3KLOLEHUW                 1HZHOOSXUFKDVHGDFDOLEHUVHPLDXWRPDWLFKDQGJXQIURP
                                                                       DSDZQVKRSLQ5R\8WDK%HFDXVHWKHSDZQVKRSGLGQRW
   $FFRUGLQJO\WKH&RXUWFRQFOXGHVWKDW1HZHOOjVSXUFKDVHRI          FDUU\ WKH SURSHU DPPXQLWLRQ 1HZHOO PDGH D VHSDUDWH
DFDOLEHUVHPLDXWRPDWLFILUHDUPDQGDPPXQLWLRQRQWKH             SXUFKDVHRIDPPXQLWLRQDWDQRWKHUORFDWLRQ
VDPHGD\WKDWKHPDGHWKHWKUHDWWKDWIRUPHGWKHEDVLVRIWKH
LQGLFWPHQWGHPRQVWUDWHVWKDWKLVWKUHDWVDUHmPRUHWKDQPHUH             )ROORZLQJKLVSXUFKDVHRIWKHKDQGJXQ1HZHOOWUDYHOHGWR
SXIIHU\l DQG HYLGHQFHV DQ LQWHQW WR FDUU\ RXW WKH WKUHDWV   :\RPLQJIRUZRUN2Q6HSWHPEHUKHZDVDJDLQ
WKHUHE\PDNLQJDSSURSULDWHDVL[OHYHOVHQWHQFHHQKDQFHPHQW            FRQWDFWHG E\ DQ RIILFHU RI WKH 0RQURH &RXQW\ 6KHULIIjV
XQGHU866*$E                                          'HSDUWPHQWDQGZDVWROGWRVWRSFDOOLQJ0V+DPGHQ$IWHU
                                                                       UHFHLYLQJWKDWLQVWUXFWLRQIURPWKHSROLFH1HZHOOPDGHQR
                   %7RQHRIWKH7KUHDWV                            IXUWKHUFRQWDFWZLWK0V+DPGHQRUKHU UHODWLYHV1HZHOO
                                                                       VXEVHTXHQWO\ WUDYHOHG WR 0LFKLJDQ IRU ZRUN EXW GLG QRW
  7KHHPDLODQGYRLFHPDLOPHVVDJHVOHIWE\1HZHOOIRU0V            FRQWDFW0V+DPGHQZKLOHKHZDVWKHUH
+DPGHQ GXULQJ $XJXVW DQG 6HSWHPEHU  FRQWDLQHG
H[FHHGLQJO\ YXOJDU DQJU\ DQG WKUHDWHQLQJ ODQJXDJH                2Q6HSWHPEHU)%,DJHQWVDUUHVWHG1HZHOODWKLV
0RUHRYHUKLVWKUHDWWKDWIRUPHGWKHEDVLVRIWKHLQGLFWPHQW           KRPH LQ 2JGHQ 8WDK  $W WKH WLPH WKDW KH ZDV DUUHVWHG
FRQWDLQHG H[SOLFLW ODQJXDJH LQGLFDWLQJ DQ LQWHQW WR NLOO        1HZHOOZDVFDUU\LQJDER[FRQWDLQLQJWKHFDOLEHUKDQGJXQ
5LFKDUG+DPGHQ$VWKHGLVWULFWFRXUWIRXQGWKHPHVVDJHV             WKDWKHKDGSXUFKDVHGRQ6HSWHPEHUDORQJZLWKD
FRQYH\HGDWRQHRImDPDQRQDPLVVLRQlGHWHUPLQHGWRFDUU\             FDOLEHU PDJD]LQH WKDW FRQWDLQHG HLJKW OLYH URXQGV RI
RXWKLVWKUHDWV1HZHOOKRZHYHUDUJXHVWKDWWKHWRQHDQG            DPPXQLWLRQ
     8QLWHG6WDWHVY1HZHOO                       1R       1R                           8QLWHG6WDWHVY1HZHOO         

                    %3URFHGXUDO+LVWRU\                              ,Q .LUVK WKH GHIHQGDQWV KXVEDQG DQG ZLIH ZKR VHQW
                                                                      WKUHDWHQLQJOHWWHUVWRQXPHURXVSHRSOHWKURXJKRXWWKH8QLWHG
   2Q2FWREHUDRQHFRXQW,QGLFWPHQWZDVILOHGLQ           6WDWHV EHWZHHQ 1RYHPEHU  DQG )HEUXDU\  ZHUH
WKH (DVWHUQ 'LVWULFW RI 0LFKLJDQ FKDUJLQJ 1HZHOO ZLWK          FRQYLFWHGRIVHQGLQJWKUHDWHQLQJFRPPXQLFDWLRQVWKURXJKWKH
WUDQVPLWWLQJ WKUHDWHQLQJ LQWHUVWDWH FRPPXQLFDWLRQV LQ             PDLO  .LUVK  )G DW   2Q DSSHDO WKH 6HFRQG
YLRODWLRQRI86&F7KHFKDUJHZDVEDVHGRQ             &LUFXLWXSKHOGWKHGLVWULFWFRXUWjVVL[OHYHOHQKDQFHPHQWRI
1HZHOOjV6HSWHPEHUWHOHSKRQHFDOOWRWKHKRPHRI             WKHLUVHQWHQFHEDVHGRQWKHIDFWWKDWWZRULIOHVZHUHLQWKHLU
0UV0LOOHUGXULQJZKLFK1HZHOOWKUHDWHQHGWRNLOO5LFKDUG           DSDUWPHQW DW WKH WLPH WKH WKUHDWHQLQJ OHWWHUV ZHUH EHLQJ
+DPGHQ  2Q 2FWREHU   WKH GLVWULFW FRXUW KHOG D     SUHSDUHGDQGVHQWRXWDQGDWWKHWLPHRIWKHLUDUUHVW,GDW
GHWHQWLRQKHDULQJDQGRUGHUHG1HZHOOGHWDLQHGSHQGLQJWULDO          7KHFRXUWSRLQWHGRXWWKDWRQHRIWKHULIOHVKDGEHHQ
                                                                      SXUFKDVHGLQWKHIDOORIDQGWKDWWKHKXVEDQGKDGDVNHG
  2Q'HFHPEHU1HZHOOHQWHUHGDSOHDRIJXLOW\WR            ZKHWKHUWKHVHOOHUFRXOGVXSSO\KLPZLWKDPPXQLWLRQWKHUHE\
RQH FRXQW RI WUDQVPLWWLQJ  WKUHDWHQLQJ LQWHUVWDWH               HYLGHQFLQJDQLQWHQWWRFDUU\RXWWKHWKUHDWV,G
FRPPXQLFDWLRQVLQYLRODWLRQRI86&F,QWKH
SOHD DJUHHPHQW ERWK WKH *RYHUQPHQW DQG WKH 'HIHQGDQW             :HDJUHHZLWKWKHDQDO\VLVVHWIRUWKLQ&DUWHUDQG.LUVK
LQGLFDWHGWKDWWKH\DQWLFLSDWHGWKDWWKHVHQWHQFLQJUDQJHZRXOG       DQG KROG WKDW 1HZHOOjV SXUFKDVH DQG SRVVHVVLRQ RI D 
EHWZHOYHWRHLJKWHHQPRQWKVEDVHGXSRQDQRIIHQVHOHYHORI          FDOLEHUKDQGJXQLQFORVHWHPSRUDOSUR[LPLW\WRWKHPDNLQJRI
 DQG D FULPLQDO KLVWRU\ FDWHJRU\ RI ,, XQGHU WKH 8QLWHG   WKHWKUHDWVFRQVWLWXWHVFRQGXFWWKDWVXIILFLHQWO\VXSSRUWVDVL[
6WDWHV 6HQWHQFLQJ *XLGHOLQHV m866*l  7KH\                 OHYHO HQKDQFHPHQW XQGHU  $E  6LPLODU WR WKH
DFNQRZOHGJHGKRZHYHUWKDWWKHUDQJHZDVQRWELQGLQJXSRQ            GHIHQGDQWVLQERWK&DUWHUDQG.LUVK1HZHOOSXUFKDVHGDQG
WKHVHQWHQFLQJFRXUW                                               SRVVHVVHGDFDOLEHUVHPLDXWRPDWLFSLVWRODQGDPDWFKLQJ
                                                                      PDJD]LQHFRQWDLQLQJHLJKWOLYHURXQGVRIDPPXQLWLRQRQWKH
  7KH3UREDWLRQ'HSDUWPHQWLVVXHGD3UHVHQWHQFH5HSRUWRQ             VDPH GD\ WKDW KH PDGH WKH WKUHDWV  7KH SXUFKDVH RI WKH
sDQXDU\    ,Q WKH UHSRUW WKH 3UREDWLRQ 2IILFHU      ZHDSRQDQGDPPXQLWLRQRQWKHYHU\GD\KHPDGHWKHWKUHDWV
FDOFXODWHGDVHQWHQFLQJUDQJHRIWZHQW\VHYHQWRWKLUW\WKUHH         SURYLGHV D FOHDU LQGLFDWLRQ WKDW KH LQWHQGHG WR DFW RQ KLV
PRQWKV7KHRIILFHUDUULYHGDWWKDWUDQJHE\IDFWRULQJLQDVL[     WKUHDWHQLQJZRUGVDQGKDGWKHPHDQVWRGRVR,QDGGLWLRQ
SRLQW HQKDQFHPHQW WR 1HZHOOjV RIIHQVH OHYHO SXUVXDQW WR        OLNHWKHGHIHQGDQWLQ&DUWHUHYHQWKRXJK1HZHOOOLYHGLQD
866*$EEDVHGRQWKHFRQFOXVLRQWKDW1HZHOO           GLIIHUHQWFLW\WKDQWKHYLFWLPVKHNQHZZKHUHWKH\OLYHGLQ
HQJDJHGLQFRQGXFWWKDWGHPRQVWUDWHGDQLQWHQWWRFDUU\RXW           0LFKLJDQ7KHIDFWWKDWKHNQHZZKHUHWKH\OLYHGLQGLFDWHV
WKHWKUHDWWRNLOO5LFKDUG+DPGHQ7KHVSHFLILFFRQGXFWFLWHG        WKDWRQFHKHSXUFKDVHGWKHZHDSRQKHKDGWKHDELOLW\WRFDUU\
E\WKH3UREDWLRQ2IILFHUZDV1HZHOOjVSXUFKDVLQJRIDJXQRQ          RXWKLVWKUHDW6HH8QLWHG6WDWHVY6RYLH)G
WKHVDPHGD\WKDWKHPDGHWKHWKUHDW7KHRIIHQVHOHYHODOVR         G &LU  DFNQRZOHGJLQJ WKDW WKH GHIHQGDQWjV
UHIOHFWHG D WZRSRLQW HQKDQFHPHQW PDGH SXUVXDQW WR             SRVVHVVLRQ RI WKH YLFWLPjV DGGUHVV DQG SKRQH QXPEHU ZDV
866*  $E EDVHG RQ WKH IDFW WKDW WKH RIIHQVH   UHOHYDQW WR WKH GHIHQGDQWjV LQWHQW WR FDUU\ RXW KLV WKUHDWV
LQYROYHGPRUHWKDQWZRWKUHDWV
  7KH GLVWULFW FRXUW FRQGXFWHG D VHQWHQFLQJ KHDULQJ RQ             
0DUFK$WWKHKHDULQJWKH'HIHQGDQWREMHFWHGWR                  ,W LV ZRUWK QRWLQJ WKDW 1HZHOO DFWXDOO\ WRRN D VWHS EH\RQG WKRVH

WKHVL[SRLQWLQFUHDVHUHFRPPHQGHGE\WKH3UREDWLRQ2IILFHU           WDNHQ E\ WKH GHIHQGDQWV LQ .LUVK +H GLG QRW VLPSO\ DVN WKH VXSSOLHU RI
                                                                      WKH JXQ LI KH FRXOG DOVR VXSSO\ DPPXQLWLRQ EXW DOVR WRRN WKH QH[W VWHS RI
SXUVXDQWWR866*$E7KH'HIHQGDQWDUJXHG            VHSDUDWHO\ SXUFKDVLQJ WKH DPPXQLWLRQ ZKHQ WKH JXQ VHOOHU FRXOG QRW
LQWHUDOLDWKDWWKHKDQGJXQWKDWKHSXUFKDVHGRQ6HSWHPEHU           VXSSO\ LW
       8QLWHG6WDWHVY1HZHOO                         1R        1R                        8QLWHG6WDWHVY1HZHOO        

6HH8QLWHG6WDWHVY.LUVK)GG&LU               ZDVSXUFKDVHGIRUXVHLQWDUJHWSUDFWLFHQRWWRFDUU\
XSKROGLQJ WKH GLVWULFW FRXUWjV UHMHFWLRQ RI WKH GHIHQGDQWVj         RXWKLVWKUHDWV7RVXSSRUWWKLVDUJXPHQW1HZHOOWHVWLILHG
FODLPWKDWWKH\KDGSXUFKDVHGJXQVIRUWKHOHJLWLPDWHDFWLYLW\              WKDWKHKDGJRQHWRWKHVWRUHWRSXUFKDVHDFDOLEHUSLVWRO
RI KXQWLQJ DV QRW FUHGLEOH  7KH FRXUW DFNQRZOHGJHG WKDW          IRUXVHDWWDUJHWSUDFWLFHEXWWKDWWKHVWRUHGLGQRWKDYHDQ\
VRPHRIWKHHYLGHQFHLQGHHGVXSSRUWHG1HZHOOjVDUJXPHQW                  VXFK ILUHDUPV VR KH SXUFKDVHG WKH  FDOLEHU KDQGJXQ
EXWLWZHQWRQWRZHLJKWKDWHYLGHQFHDJDLQVWWKHIDFWWKDWWKH             LQVWHDG1HZHOODOVRSUHVHQWHGDOHWWHUZULWWHQE\DIULHQG
JXQ ZDV SXUFKDVHG RQ WKH VDPH GD\ WKDW WKH WKUHDWV ZHUH           7HUU\$YHULOOLQZKLFK0V$YHULOOH[SODLQHGWKDW1HZHOOKDG
PDGH  7KH GLVWULFW FRXUW DOVR ZHLJKHG 1HZHOOjV HYLGHQFH            GLVFXVVHGZLWKKHUKLVLQWHQWWRSXUFKDVHDSLVWROWRXVHIRU
DJDLQVW WKH FRQVLGHUDEOH LPSUREDELOLW\ WKDW DQ\RQH ZLWK               WDUJHWSUDFWLFHDWWKHVKRRWLQJUDQJHDWKHUKRPH,QDGGLWLRQ
VKRRWLQJ H[SHULHQFH ZRXOG SXUFKDVH D  FDOLEHU      VHPL          1HZHOOSUHVHQWHGHYLGHQFHWKDWKHUHWXUQHGWRWKHSDZQVKRS
DXWRPDWLFKDQGJXQVLPSO\IRUXVHDWWDUJHWSUDFWLFH$VWKH               ZKHUH KH KDG SXUFKDVHG WKH JXQ WR FRUUHFW DQ HUURU LQ WKH
GLVWULFWFRXUWDSWO\VWDWHGVXFKZHDSRQVDUHW\SLFDOO\XVHGIRU            SDSHUZRUNWKDWDFFRPSDQLHGWKHILUHDUP  +HFODLPHGWKDW
mFRQFHDOPHQWlDQGmSHUVRQDOSURWHFWLRQlSXUSRVHVQRWIRU                   WKLV DFWLRQ ZDV QRW WKH DFW RI DQ LQGLYLGXDO DWWHPSWLQJ WR
WDUJHWSUDFWLFH7KHUHIRUHWKHGLVWULFWFRXUWGLGQRWFOHDUO\HUU         SURFXUHDILUHDUPWRFDUU\RXWDWKUHDW)XUWKHUPRUHKHQRWHG
LQGHWHUPLQLQJWKDW1HZHOOGLGQRWSXUFKDVHWKHILUHDUPVROHO\              WKDW DIWHU UHFHLYLQJ WKH SKRQH FDOO IURP WKH SROLFH RQ
IRUXVHDWWDUJHWSUDFWLFH                                                 6HSWHPEHU   KH FHDVHG PDNLQJ FRQWDFW ZLWK 0V
                                                                            +DPGHQHYHQZKHQKHWUDYHOHGWR0LFKLJDQIRUZRUN+H
  +DYLQJ IRXQG WKDW WKH KDQGJXQ ZDV PRVW OLNHO\ QRW                 VWDWHGWKDWWKLVFHVVDWLRQRIFRPPXQLFDWLRQGHPRQVWUDWHGWKDW
SXUFKDVHGIRUXVHDWWDUJHWSUDFWLFHWKH&RXUWPXVWFRQVLGHU               WKHSXUFKDVHRIWKHZHDSRQZDVQRWFRQQHFWHGWRWKHWKUHDWV
ZKHWKHU DV D PDWWHU RI ODZ WKH SXUFKDVH RI WKH KDQGJXQ           WKDWKHKDGPDGH
FRQVWLWXWHVFRQGXFWWKDWHYLGHQFHVDQLQWHQWWRFDUU\RXWWKH
WKUHDWVXIILFLHQWWRVXVWDLQDVL[OHYHOVHQWHQFHHQKDQFHPHQW                 7KHFRXUWUHMHFWHG1HZHOOjVDUJXPHQWVDQGIRXQGWKDWWKH
                                                                            VL[OHYHOHQKDQFHPHQWDSSOLHGWRKLVVHQWHQFH,QUHDFKLQJLWV
   ,Q8QLWHG6WDWHVY&DUWHU)GWK&LUWKH            FRQFOXVLRQWKHGLVWULFWFRXUWFRQVLGHUHGWKHIROORZLQJIDFWRUV
6HYHQWK &LUFXLW KHOG WKDW WKH GHIHQGDQWjV VHQWHQFH ZDV               WKHH[WUDRUGLQDU\SHUVLVWHQFHRIWKH'HIHQGDQWLQVHQGLQJ
SURSHUO\ HQKDQFHG EDVHG XSRQ KLV LQWHQW WR FDUU\ RXW KLV           HPDLODQGYRLFHPDLOPHVVDJHVWKHFRQWLQXLQJXQGHUWRQH
WKUHDWVZKHUHWKHGHIHQGDQWKDGLQKLVSRVVHVVLRQD&ROW                RI WKUHDWHQLQJ DQG H[WUDRUGLQDULO\ DQJU\ ODQJXDJH LQ WKH
VHPLDXWRPDWLFSLVWRODQGWKUHHORDGHGPDWFKLQJPDJD]LQHV                  PHVVDJHVWKHWHPSRUDOSUR[LPLW\RIWKHSXUFKDVHRIWKH
DWWKHWLPHRIKLVDUUHVW,GDW7KHFRXUWFRQFOXGHGWKDW           ILUHDUPWRWKHPDNLQJRIWKHWKUHDWVWKHVHSDUDWHSXUFKDVH
WKH mIDFW WKDW >WKH GHIHQGDQW@ DFWXDOO\ RZQHG DQG FDUULHG           RIWKHDPPXQLWLRQDQGWKHIDFWWKDWWKHILUHDUPFRXOGEH
ILUHDUPV VKRZV DQ HDV\ DELOLW\ WR FDUU\ RXW KLV WKUHDWHQHG         ORDGHGZLWKLQDPDWWHURIVHFRQGV7KHFRXUWDOVRUHFRJQL]HG
YLROHQFHPDNLQJKLVWKUHDWVPRUHWKDQPHUHSXIIHU\l,GDW               WKDW D  FDOLEHU SLVWRO LV XVXDOO\ SXUFKDVHG IRU
 FLWDWLRQV RPLWWHG  ,Q DGGLWLRQ WKH FRXUW IRXQG WKH         mFRQFHDOPHQWlDQGmSHUVRQDOSURWHFWLRQlQRWWDUJHWSUDFWLFH
HQKDQFHPHQWWREHVXSSRUWHGE\WKHIDFWWKDWHYHQWKRXJKWKH               $FFRUGLQJO\ WKH FRXUW VHQWHQFHG 1HZHOO WR WZHQW\VHYHQ
GHIHQGDQWOLYHGLQDGLIIHUHQWFLW\KHNQHZZKHUHWKHYLFWLP               PRQWKVFRQILQHPHQWIROORZHGE\WKUHH\HDUVRIVXSHUYLVHG
OLYHGDQGKRZWRILQGKHU,G                                          UHOHDVH
                                                                              7KHGLVWULFWFRXUWHQWHUHGMXGJPHQWRQ0DUFK2Q
                                                                           WKDWVDPHGD\1HZHOOILOHGDWLPHO\QRWLFHRIDSSHDO
      ,Q KHU OHWWHU WR WKH FRXUW 0V $YHULOO LQGLFDWHG WKDW KHU IDPLO\
W\SLFDOO\ XVHG EE JXQV SHOOHW JXQV VKRWJXQV DQG  FDOLEHU KDQGJXQV
IRU WDUJHW SUDFWLFH
      8QLWHG6WDWHVY1HZHOO                         1R       1R                                8QLWHG6WDWHVY1HZHOO                

                ,,67$1'$5'2)5(9,(:                                  ZRXOGDFWXDOO\GRVR8QLWHG6WDWHVY*DU\)G
                                                                         WK&LUKROGLQJWKDWDQ\DFWVWKDWHYLGHQFH
  ,QUHYLHZLQJFKDOOHQJHVWRVHQWHQFHVWKLV&RXUWUHYLHZVWKH           DQ LQWHQW WR FDUU\ RXW WKH WKUHDWV PD\ IRUP WKH EDVLV IRU D
GLVWULFWFRXUWjVOHJDOFRQFOXVLRQVUHJDUGLQJWKHDSSOLFDWLRQRI          $EHQKDQFHPHQW$FFRUGLQJO\HVVHQWLDOWRWKH
WKH6HQWHQFLQJ*XLGHOLQHVGHQRYRDQGUHYLHZVWKHGLVWULFW              GHWHUPLQDWLRQRIZKHWKHUWRDSSO\WKHVL[SRLQWHQKDQFHPHQW
FRXUWjV IDFWXDO ILQGLQJV IRU FOHDU HUURU  8QLWHG 6WDWHV Y     LV D ILQGLQJ WKDW D QH[XV H[LVWV EHWZHHQ WKH GHIHQGDQWjV
7D\ORU  )G   WK &LU   $ ILQGLQJ LV      FRQGXFWDQGWKHWKUHDWVWKDWIRUPWKHEDVLVRIWKHLQGLFWPHQW
FOHDUO\HUURQHRXVZKHQWKHGHFLVLRQmVWULNH>V@XVDVZURQJ               6HH8QLWHG6WDWHVY7D\ORU)GWK&LU
ZLWKWKHIRUFHRIDILYHZHHNROGXQUHIULJHUDWHGGHDGILVKl            FRQFOXGLQJWKDWWKHHVVHQWLDOLQTXLU\XQGHU$ELV
,G TXRWLQJ 8QLWHG 6WDWHV Y 3HUU\  )G   WK      mZKHWKHUWKHIDFWVRIWKHFDVHWDNHQDVDZKROHHVWDEOLVKD
&LU                                                            VXIILFLHQWO\ GLUHFW FRQQHFWLRQ EHWZHHQ WKH GHIHQGDQWjV   
                                                                         FRQGXFWDQGKLVWKUHDWl
                       ,,,',6&866,21
                                                                           1HZHOO DUJXHV WKDW QRQH RI WKH IDFWRUV UHOLHG RQ E\ WKH
  866*$ESURYLGHVm,IWKHRIIHQVH>RIPDNLQJ            GLVWULFWFRXUWWRDSSO\DVL[SRLQWHQKDQFHPHQWYLHZHGHLWKHU
WKUHDWHQLQJ FRPPXQLFDWLRQV@ LQYROYHG DQ\ FRQGXFW                     DORQHRUFROOHFWLYHO\ GHPRQVWUDWHVDVXEVWDQWLDODQGGLUHFW
HYLGHQFLQJ DQ LQWHQW WR FDUU\ RXW VXFK WKUHDW LQFUHDVH >WKH    FRQQHFWLRQWRKLVRIIHQVH7KLV&RXUWKRZHYHUILQGVWKDW
RIIHQVHOHYHO@E\OHYHOVl86 6(17(1&,1* *8,'(/,1(6                 ERWKWKHSXUFKDVHRIWKHKDQGJXQLQFORVHWHPSRUDOSUR[LPLW\
 $E  ,Q WKH &RPPHQWDU\ DFFRPSDQ\LQJ WKH                WRWKHPDNLQJRIWKHWKUHDWVDQGWKHWRQHFRPPXQLFDWHGE\
$$SSOLFDWLRQ1RWHVWDWHV                                      WKH WKUHDWV WKHPVHOYHV FRQVWLWXWH FRQGXFW HYLGHQFLQJ DQ
                                                                         LQWHQWWRFDUU\RXWWKHWKUHDWV
    ,QGHWHUPLQLQJZKHWKHUVXEVHFWLRQ>@E>DSSOLHV@
    WKHFRXUWVKDOOFRQVLGHUERWKFRQGXFWWKDWRFFXUUHGSULRU                              $3XUFKDVHRIWKH+DQGJXQ
    WR WKH RIIHQVH DQG FRQGXFW WKDW RFFXUUHG GXULQJ WKH
    RIIHQVH KRZHYHU FRQGXFW WKDW RFFXUUHG SULRU WR WKH             )LUVW WKH &RXUW ILQGV WKDW WKH GLVWULFW FRXUW SURSHUO\
    RIIHQVHPXVWEHVXEVWDQWLDOO\DQGGLUHFWO\FRQQHFWHGWR              FRQFOXGHG DV D PDWWHU RI IDFW WKDW WKH  FDOLEHU VHPL
    WKHRIIHQVHXQGHUWKHIDFWVRIWKHFDVHWDNHQDVDZKROH           DXWRPDWLFKDQGJXQSXUFKDVHGE\1HZHOOZDVSUREDEO\QRW
    )RUH[DPSOHLIWKHGHIHQGDQWHQJDJHGLQVHYHUDODFWVRI             SXUFKDVHGIRUXVHLQWDUJHWSUDFWLFHEXWLQVWHDGZDVSXUFKDVHG
    PDLOLQJ WKUHDWHQLQJ OHWWHUV WR WKH VDPH YLFWLP RYHU D        LQFRQQHFWLRQZLWKWKHWKUHDWVPDGHDJDLQVWWKH+DPGHQV,Q
    SHULRGRI\HDUVLQFOXGLQJDFWVWKDWRFFXUUHGSULRUWRWKH           SHUIRUPLQJLWVUROHDVWKHIDFWILQGHUDWVHQWHQFLQJWKHGLVWULFW
    RIIHQVH WKHQ IRU SXUSRVHV RI GHWHUPLQLQJ ZKHWKHU             FRXUW FDUHIXOO\ ZHLJKHG HDFK RI WKH SLHFHV RI HYLGHQFH
    VXEVHFWLRQ>@E>DSSOLHV@WKHFRXUWVKDOOFRQVLGHU       SUHVHQWHGE\1HZHOOLQVXSSRUWRIKLVFODLPWKDWKHSXUFKDVHG
    RQO\WKRVHSULRUDFWVRIWKUHDWHQLQJWKHYLFWLPWKDWKDYH            WKHFDOLEHUKDQGJXQRQO\IRUXVHDWWDUJHWSUDFWLFHDQG
    DVXEVWDQWLDODQGGLUHFWFRQQHFWLRQWRWKHRIIHQVH                  SURSHUO\H[HUFLVHGLWVGLVFUHWLRQLQUHMHFWLQJWKDWHYLGHQFH
86 6(17(1&,1* *8,'(/,1(6 0$18$/$EFPW
Q                                                                       
                                                                               $OWKRXJK   WKH   GLVWULFW   FRXUW   GLG   QRW   H[SOLFLWO\   UHMHFW   1HZHOOjV

  7KHSLYRWDOLQTXLU\ZKHQGHWHUPLQLQJWKHDSSURSULDWHQHVV               HYLGHQFH SUHVHQWHG LQ VXSSRUW RI KLV FRQWHQWLRQ WKDW KH SXUFKDVHG WKH

RI D  $E HQKDQFHPHQW LV ZKHWKHU WKH GHIHQGDQW          KDQGJXQ VROHO\ IRU XVH DW WDUJHW SUDFWLFH LW GLG VR DW OHDVW LPSOLFLWO\ ZKHQ

LQWHQGHG WR FDUU\ RXW WKH WKUHDW DQG WKH OLNHOLKRRG WKDW KH   LW UHOLHG RQ WKH SXUFKDVH RI WKH KDQGJXQ LQ VXSSRUW RI WKH VL[OHYHO
                                                                         HQKDQFHPHQW