Parasoleil, LLC v. Artisan Panels, Inc.

United States District Court for the Central District of California

Parasoleil, LLC v. Artisan Panels, Inc.

Trial Court Opinion

Case 8:21-cv-01569-JVS-JDE Document 24 Filed 01/27/22 Page 1 of 14 Page ID #:116

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7 8 UNITED STATES DISTRICT COURT 9 CENTRAL DISTRICT OF CALIFORNIA 10 SOUTHERN DIVISION 11 PARASOLEIL, LLC, a Colorado limited liability company, Case No. 8:21-cv-01569-JVS-JDE 12

Plaintiff, STIPULATED PROTECTIVE 13 ORDER v. 14

ARTISAN PANELS, INC., a [Note Changes by the Court] 15 California corporation, 16 Defendant.

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18 Based on the parties’ Stipulation (Dkt. 23) and based on the Court’s own 19 independent assessment of the pleadings, the Court finds and orders as follows. 20 1. PURPOSES AND LIMITATIONS 21 Disclosure and discovery activity in this action are likely to involve production 22 of confidential, proprietary, or private information for which special protection from 23 public disclosure and from use for any purpose other than prosecuting this litigation 24 may be warranted. Accordingly, the parties hereby stipulate to and petition the court 25 to enter the following Stipulated Protective Order. The parties acknowledge that this 26 Order does not confer blanket protections on all disclosures or responses to discovery 27 and that the protection it affords from public disclosure and use extends only to the 28

STIPULATED PROTECTIVE ORDER Case 8:21-cv-01569-JVS-JDE Document 24 Filed 01/27/22 Page 2 of 14 Page ID #:117

1 limited information or items that are entitled to confidential treatment under the 2 applicable legal principles. The parties further acknowledge, as set forth in Section 3 12.3, below, that this Stipulated Protective Order does not entitle them to file 4 confidential information under seal; Civil Local Rule 79-5 sets forth the procedures 5 that must be followed and the standards that will be applied when a party seeks 6 permission from the court to file material under seal. There is a strong presumption 7 that the public has a right of access to judicial proceedings and records in civil cases. 8 In connection with non-dispositive motions, good cause must be shown to support a 9 filing under seal. See Kamakana v. City and County of Honolulu,

447 F.3d 1172

, 10 1176 (9th Cir. 2006), Phillips v. Gen. Motors Corp.,

307 F.3d 1206

, 1210-11 (9th Cir. 11 2002), Makar-Welbon v. Sony Electrics, Inc.,

187 F.R.D. 576, 577

(E.D. Wis. 1999) 12 (even stipulated protective orders require good cause showing), and a specific 13 showing of good cause or compelling reasons with proper evidentiary support and 14 legal justification, must be made with respect to Protected Material that a party seeks 15 to file under seal. The parties’ mere designation of Disclosure or Discovery Material 16 as CONFIDENTIAL does not— without the submission of competent evidence by 17 declaration, establishing that the material sought to be filed under seal qualifies as 18 confidential, privileged, or otherwise protectable—constitute good cause. 19 Further, if a party requests sealing related to a dispositive motion or trial, then 20 compelling reasons, not only good cause, for the sealing must be shown, and the relief 21 sought shall be narrowly tailored to serve the specific interest to be protected. See 22 Pintos v. Pacific Creditors Ass’n.,

605 F.3d 665, 677-79

(9th Cir. 2010). For each 23 item or type of information, document, or thing sought to be filed or introduced under 24 seal, the party seeking protection must articulate compelling reasons, supported by 25 specific facts and legal justification, for the requested sealing order. Again, competent 26 evidence supporting the application to file documents under seal must be provided by 27 declaration. 28 Any document that is not confidential, privileged, or otherwise protectable in - 2 - STIPULATED PROTECTIVE ORDER Case 8{21-cv-01569-JVS-JDE Document 24 Filed 01/27/22 Page3of14 Page ID #:118

1 | its entirety will not be filed under seal if the confidential portions can be redacted. If 2 | documents can be redacted, then a redacted version for public viewing, omitting only 3 | the confidential, privileged, or otherwise protectable portions of the document, shall 4 | be filed. Any application that seeks to file documents under seal in their entirety 5 | should include an explanation of why redaction is not feasible. 6 | 2. DEFINITIONS 7 2.1 Challenging Party: a Party or Non-Party that challenges the designation 8 | of information or items under this Order. 9 2.2. “CONFIDENTIAL” Information or Items: information (regardless of 10 | how it is generated, stored or maintained) or tangible things that qualify for protection 11 | under Federal Rule of Civil Procedure 26(c). 12 2.3 Counsel (without qualifier): Outside Counsel of Record and House 13 | Counsel (as well as their support staff). 14 2.4 Designating Party: a Party or Non-Party that designates information or 15 | items that it produces in disclosures or in responses to discovery as 16 | “CONFIDENTIAL.” 17 2.5. Disclosure or Discovery Material: all items or information, regardless 18 | of the medium or manner in which it is generated, stored, or maintained (including, 19 | among other things, testimony, transcripts, and tangible things), that are produced or 20 | generated in disclosures or responses to discovery in this matter. 21 2.6 Expert: a person with specialized knowledge or experience in a matter 22 || pertinent to the litigation who has been retained by a Party or its counsel to serve as 23 | an expert witness or as a consultant in this action. 24 2.7 House Counsel: attorneys who are employees of a party to this action. 25 | House Counsel does not include Outside Counsel of Record or any other outside 26 | counsel. 27 2.8 Non-Party: any natural person, partnership, corporation, association, or 28 | other legal entity not named as a Party to this action. _3- STIPULATED PROTECTIVE ORDER

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1 2.9 Qutside Counsel of Record: attorneys who are not employees of a party 2 | to this action but are retained to represent or advise a party to this action and have 3 | appeared in this action on behalf of that party or are affiliated with a law firm which 4 | has appeared on behalf of that party. 5 2.10 Party: any party to this action, including all of its officers, directors, 6 | employees, consultants, retained experts, and Outside Counsel of Record (and their 7 | support staffs). 8 2.11 Producing Party: a Party or Non-Party that produces Disclosure or 9 | Discovery Material in this action. 10 2.12 Professional Vendors: persons or entities that provide litigation support 11 | services (e.g., photocopying, videotaping, translating, preparing exhibits or 12 | demonstrations, and organizing, storing, or retrieving data in any form or medium) 13 | and their employees and subcontractors. 14 2.13 Protected Material: any Disclosure or Discovery Material that is 15 | designated as “CONFIDENTIAL.” 16 2.14 Receiving Party: a Party that receives Disclosure or Discovery Material 17 | from a Producing Party. 18 | 3. SCOPE 19 The protections conferred by this Stipulation and Order cover not only 20 | Protected Material (as defined above), but also (1) any information copied or extracted 21 | from Protected Material; (2) all copies, excerpts, summaries, or compilations of 22 | Protected Material; and (3) any testimony, conversations, or presentations by Parties 23 | or their Counsel that might reveal Protected Material. However, the protections 24 | conferred by this Stipulation and Order do not cover the following information: (a) 25 | any information that is in the public domain at the time of disclosure to a Receiving 26 | Party or becomes part of the public domain after its disclosure to a Receiving Party 27 | as a result of publication not involving a violation of this Order, including becoming 28 || part of the public record through trial or otherwise; and (b) any information known to -4- STIPULATED PROTECTIVE ORDER

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1 | the Receiving Party prior to the disclosure or obtained by the Receiving Party after 2 | the disclosure from a source who obtained the information lawfully and under no 3 | obligation of confidentiality to the Designating Party. This Order does not govern the 4 use of Protected Material at trial. Any use of Protected Material at trial shall be 5 | governed by the orders of the trial judge and other applicable authorities. 6 | 4. DURATION 7 Unless a contrary order is entered by the trial judge relating to the handling of 8 | Protected Material at trial, where the standard for sealing documents is heightened, 9 | after final disposition of this litigation, the confidentiality obligations imposed by this 10 | Order shall remain in effect until a Designating Party agrees otherwise in writing or a 11 | court order otherwise directs. Final disposition shall be deemed to be the later of (1) 12 | dismissal of all claims and defenses in this action, with or without prejudice; and (2) 13 | final judgment herein after the completion and exhaustion of all appeals, rehearings, 14 | remands, trials, or reviews of this action, including the time limits for filing any 15 | motions or applications for extension of time pursuant to applicable law. 16 | 5. DESIGNATING PROTECTED MATERIAL 17 5.1 Exercise of Restraint and Care in Designating Material for Protection. 18 | Each Party or Non-Party that designates information or items for protection under this 19 | Order must take care to limit any such designation to specific material that qualifies 20 | under the appropriate standards. The Designating Party must designate for protection 21 | only those parts of material, documents, items, or oral or written communications that 22 | qualify — so that other portions of the material, documents, items, or communications 23 | for which protection is not warranted are not swept unjustifiably within the ambit of 24 || this Order. 25 Mass, indiscriminate, or routinized designations are prohibited. Designations 26 | that are shown to be clearly unjustified or that have been made for an improper 27 | purpose (e.g., to unnecessarily encumber or retard the case development process or to 28 _5- STIPULATED PROTECTIVE ORDER

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1 | impose unnecessary expenses and burdens on other parties) expose the Designating 2 | Party to sanctions. 3 If it comes to a Designating Party’s attention that information or items that it 4 | designated for protection do not qualify for protection, that Designating Party must 5 | promptly notify all other Parties that it is withdrawing the mistaken designation. 6 5.2 Manner and Timing of Designations. Except as otherwise provided in 7 | this Order (see, e.g., second paragraph of section 5.2(a) below), or as otherwise 8 | stipulated or ordered, Disclosure or Discovery Material that qualifies for protection 9 | under this Order must be clearly so designated before the material is disclosed or 10 | produced. 11 Designation in conformity with this Order requires: 12 (a) for information in documentary form (e.g., paper or 13 electronic documents, but excluding transcripts of depositions or other 14 pretrial or trial proceedings), that the Producing Party affix the legend 15 “CONFIDENTIAL” to each page that contains protected material. If 16 only a portion or portions of the material on a page qualifies for 17 protection, the Producing Party also must clearly identify the protected 18 portion(s) (e.g., by making appropriate markings in the margins). 19 A Party or Non-Party that makes original documents or materials available for 20 | inspection need not designate them for protection until after the inspecting Party has 21 | indicated which material it would like copied and produced. During the inspection 22 | and before the designation, all of the material made available for inspection shall be 23 | deemed “CONFIDENTIAL.” After the inspecting Party has identified the documents 24 || it wants copied and produced, the Producing Party must determine which documents, 25 | or portions thereof, qualify for protection under this Order. Then, before producing 26 | the specified documents, the Producing Party must affix the “CONFIDENTIAL” 27 | legend to each page that contains Protected Material. If only a portion or portions of 28 | the material on a page qualifies for protection, the Producing Party also must clearly -6- STIPULATED PROTECTIVE ORDER

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1 | identify the protected portion(s) (e.g., by making appropriate markings in the 2 | margins). 3 (b) for testimony given in deposition that the Designating Party 4 identify on the record, before the close of the deposition, hearing, or 5 other proceeding, all protected testimony. 6 (c) for information produced in some form other than 7 documentary and for any other tangible items, that the Producing Party 8 affix in a prominent place on the exterior of the container or containers 9 in which the information or item is_ stored the legend 10 “CONFIDENTIAL.” If only a portion or portions of the information or 1] item warrant protection, the Producing Party, to the extent practicable, 12 shall identify the protected portion(s). 13 5.3. Inadvertent Failures to Designate. If timely corrected, an inadvertent 14 | failure to designate qualified information or items does not, standing alone, waive the 15 | Designating Party’s right to secure protection under this Order for such material. Upon 16 | timely correction of a designation, the Receiving Party must make reasonable efforts 17 | to assure that the material is treated in accordance with the provisions of this Order. 18 | 6. CHALLENGING CONFIDENTIALITY DESIGNATIONS 19 6.1 Timing of Challenges. Any Party or Non-Party may challenge a 20 | designation of confidentiality at any time that is consistent with the operative 21 | Scheduling Order. 22 6.2 Meet _and Confer. The Challenging Party shall initiate the dispute 23 | resolution process under Local Rule 37-1 et seq. 24 6.3 Joint Stipulation. Any challenge submitted to the Court shall be via a 25 || joint stipulation pursuant to Local Rule 37-2. The burden of persuasion in any such 26 | challenge proceeding shall be on the Designating Party. Frivolous challenges, and 27 | those made for an improper purpose (e.g., to harass or impose unnecessary expenses 28 | and burdens on other parties) may expose the Challenging Party to sanctions. Unless _7- STIPULATED PROTECTIVE ORDER

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1 | the Designating Party has waived or withdrawn the confidentiality designation, all 2 | parties shall continue to afford the material in question the level of protection to which 3 | it is entitled under the Producing Party’s designation until the Court rules on the 4 | challenge. 5 | 7. ACCESS TO AND USE OF PROTECTED MATERIAL 6 7.1 Basic Principles. A Receiving Party may use Protected Material that is 7 | disclosed or produced by another Party or by a Non-Party in connection with this case 8 | only for prosecuting, defending, or attempting to settle this litigation. Such Protected 9 | Material may be disclosed only to the categories of persons and under the conditions 10 | described in this Order. When the litigation has been terminated, a Receiving Party 11 | must comply with the provisions of section 13 below (FINAL DISPOSITION). 12 Protected Material must be stored and maintained by a Receiving Party at a 13 | location and in a secure manner that ensures that access is limited to the persons 14 | authorized under this Order. 15 7.2. Disclosure of “CONFIDENTIAL” Information or Items. Unless 16 | otherwise ordered by the court or permitted in writing by the Designating Party, a 17 Receiving Party may disclose any information or item designated 18 | “CONFIDENTIAL” only to: 19 (a) the Receiving Party’s Outside Counsel of Record in this 20 action, as well as employees of said Outside Counsel of Record to whom 21 it is reasonably necessary to disclose the information for this litigation 22 and who have signed the “Acknowledgment and Agreement to Be 23 Bound” that is attached hereto as Exhibit A; 24 (b) the officers, directors, and employees (including House 25 Counsel) of the Receiving Party to whom disclosure is reasonably 26 necessary for this litigation and who have signed the “Acknowledgment 27 and Agreement to Be Bound” (Exhibit A); 28 -8- STIPULATED PROTECTIVE ORDER

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1 (c) Experts (as defined in this Order) of the Receiving Party to 2 whom disclosure is reasonably necessary for this litigation and who have 3 signed the “Acknowledgment and Agreement to Be Bound” (Exhibit A); 4 (d) the court and its personnel; 5 (e) court reporters and their staff, professional jury or trial 6 consultants, mock jurors, and Professional Vendors to whom disclosure 7 is reasonably necessary for this litigation and who have signed the 8 “Acknowledgment and Agreement to Be Bound” (Exhibit A); 9 (f) during their depositions, witnesses in the action to whom 10 disclosure is reasonably necessary and who have signed the 11 “Acknowledgment and Agreement to Be Bound” (Exhibit A), unless 12 otherwise agreed by the Designating Party or ordered by the court. Pages 13 of transcribed deposition testimony or exhibits to depositions that reveal 14 Protected Material must be separately bound by the court reporter and 15 may not be disclosed to anyone except as permitted under this Stipulated 16 Protective Order. 17 (g) the author or recipient of a document containing the 18 information or a custodian or other person who otherwise possessed or 19 knew the information. 20 / / / 21 / / / 22 8. PROTECTED MATERIAL SUBPOENAED OR ORDERED PRODUCED IN 23 OTHER LITIGATION 24 If a Party is served with a subpoena or a court order issued in other litigation 25 that compels disclosure of any information or items designated in this action as 26 “CONFIDENTIAL,” that Party must: 27 (a) promptly notify in writing the Designating Party. Such 28 notification shall include a copy of the subpoena or court order; - 9 - STIPULATED PROTECTIVE ORDER Case 8:21-cv-01569-JVS-JDE Document 24 Filed 01/27/22 Page 10 of 14 Page ID #:125

1 (b) promptly notify in writing the party who caused the 2 subpoena or order to issue in the other litigation that some or all of the 3 material covered by the subpoena or order is subject to this Protective 4 Order. Such notification shall include a copy of this Stipulated Protective 5 Order; and 6 (c) cooperate with respect to all reasonable procedures sought 7 to be pursued by the Designating Party whose Protected Material may be 8 affected. 9 If the Designating Party timely seeks a protective order, the Party served with 10 the subpoena or court order shall not produce any information designated in this action 11 as “CONFIDENTIAL” before a determination by the court from which the subpoena 12 or order issued, unless the Party has obtained the Designating Party’s permission. The 13 Designating Party shall bear the burden and expense of seeking protection in that court 14 of its confidential material – and nothing in these provisions should be construed as 15 authorizing or encouraging a Receiving Party in this action to disobey a lawful 16 directive from another court. 17 9. A NON-PARTY’S PROTECTED MATERIAL SOUGHT TO BE PRODUCED 18 IN THIS LITIGATION 19 (a) The terms of this Order are applicable to information 20 produced by a Non-Party in this action and designated as 21 “CONFIDENTIAL.” Such information produced by Non-Parties in 22 connection with this litigation is protected by the remedies and relief 23 provided by this Order. Nothing in these provisions should be construed 24 as prohibiting a Non-Party from seeking additional protections. 25 (b) In the event that a Party is required, by a valid discovery 26 request, to produce a Non-Party’s confidential information in its 27 possession, and the Party is subject to an agreement with the Non-Party 28 - 10 - STIPULATED PROTECTIVE ORDER Case 8:21-cv-01569-JVS-JDE Document 24 Filed 01/27/22 Page 11 of 14 Page ID #:126

1 not to produce the Non-Party’s confidential information, then the Party 2 shall: 3 1. promptly notify in writing the Requesting Party and 4 the Non-Party that some or all of the information requested is 5 subject to a confidentiality agreement with a Non-Party; 6 2. promptly provide the Non-Party with a copy of the 7 Stipulated Protective Order in this litigation, the relevant 8 discovery request(s), and a reasonably specific description of the 9 information requested; and 10 3. make the information requested available for 11 inspection by the Non-Party. 12 (c) If the Non-Party fails to object or seek a protective order 13 from this court within 14 days of receiving the notice and accompanying 14 information, the Receiving Party may produce the Non-Party’s 15 confidential information responsive to the discovery request. If the Non- 16 Party timely seeks a protective order, the Receiving Party shall not 17 produce any information in its possession or control that is subject to the 18 confidentiality agreement with the Non-Party before a determination by 19 the court. Absent a court order to the contrary, the Non-Party shall bear 20 the burden and expense of seeking protection in this court of its Protected 21 Material. 22 10. UNAUTHORIZED DISCLOSURE OF PROTECTED MATERIAL 23 If a Receiving Party learns that, by inadvertence or otherwise, it has disclosed 24 Protected Material to any person or in any circumstance not authorized under this 25 Stipulated Protective Order, the Receiving Party must immediately (a) notify in 26 writing the Designating Party of the unauthorized disclosures, (b) use its best efforts 27 to retrieve all unauthorized copies of the Protected Material, (c) inform the person or 28 persons to whom unauthorized disclosures were made of all the terms of this Order, - 11 - STIPULATED PROTECTIVE ORDER Case □□□□□□□□□□□□□□□□□□□□□ Document 24 Filed 01/27/22 Page 12o0f14 Page #:127

1 | and (d) request such person or persons to execute the “Acknowledgment and 2 | Agreement to Be Bound” that is attached hereto as Exhibit A. 3] 11. INADVERTENT PRODUCTION OF PRIVILEGED OR OTHERWISE 4 PROTECTED MATERIAL 5 When a Producing Party gives notice to Receiving Parties that certain 6 | inadvertently produced material is subject to a claim of privilege or other protection, 7 | the obligations of the Receiving Parties are those set forth in Federal Rule of Civil 8 | Procedure 26(b)(5)(B). This provision is not intended to modify whatever procedure 9 | may be established in an e-discovery order that provides for production without prior 10 | privilege review. Pursuant to Federal Rule of Evidence 502(d) and (e), insofar as the 11 | parties reach an agreement on the effect of disclosure of a communication or 12 | information covered by the attorney-client privilege or work product protection, the 13 | parties may incorporate their agreement in the stipulated protective order submitted 14 | to the court. 15 | 12. MISCELLANEOUS 16 12.1 Right to Further Relief. Nothing in this Order abridges the right of any 17 | person to seek its modification by the court in the future. 18 12.2 Right to Assert Other Objections. By stipulating to the entry of this 19 | Protective Order no Party waives any right it otherwise would have to object to 20 | disclosing or producing any information or item on any ground not addressed in this 21 | Stipulated Protective Order. Similarly, no Party waives any right to object on any 22 | ground to use in evidence of any of the material covered by this Protective Order. 23 12.3 Filing Protected Material. A Party that seeks to file under seal any 24 | Protected Material must comply with Local Civil Rule 79-5. Protected Material may 25 || only be filed under seal pursuant to a court order authorizing the sealing of the specific 26 | Protected Material. If a Party’s request to file Protected Material under seal is denied 27 | by the court, then the Receiving Party may file the information in the public record 28 | unless otherwise instructed by the court. -12- STIPULATED PROTECTIVE ORDER

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1] 13. FINAL DISPOSITION 2 Within 60 days after the final disposition of this action, as defined above, each 3 | Receiving Party must return all Protected Material to the Producing Party or destroy 4 | such material. As used in this subdivision, “all Protected Material” includes all copies, 5 | abstracts, compilations, summaries, and any other format reproducing or capturing 6 | any of the Protected Material. Whether the Protected Material is returned or 7 | destroyed, the Receiving Party must submit a written certification to the Producing 8 | Party (and, if not the same person or entity, to the Designating Party) by the 60 day 9 | deadline that (1) identifies (by category, where appropriate) all the Protected Material 10 | that was returned or destroyed and (2) affirms that the Receiving Party has not 11 | retained any copies, abstracts, compilations, summaries or any other format 12 | reproducing or capturing any of the Protected Material. Notwithstanding this 13 | provision, Counsel are entitled to retain an archival copy of all pleadings, motion 14 | papers, trial, deposition, and hearing transcripts, legal memoranda, correspondence, 15 | deposition and trial exhibits, expert reports, attorney work product, and consultant 16 | and expert work product, even if such materials contain Protected Material. Any such 17 | archival copies that contain or constitute Protected Material remain subject to this 18 | Protective Order as set forth above (DURATION). 19 | /// 20 | /// 21 0 Based on the Parties’ Stipulation (Dkt. 23), and based on the Court’s own 93 | assessment and modification, IT IS SO ORDERED. 24 95 | DATED: January 27, 2022 26 "

27 United States Magistrate Judge 28 -13- STIPULATED PROTECTIVE ORDER

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1 EXHIBIT A 2 ACKNOWLEDGMENT AND AGREEMENT TO BE BOUND 3 4 I, _____________________________ [print or type full name], of 5 _________________ [print or type full address], declare under penalty of perjury that 6 I have read in its entirety and understand the Stipulated Protective Order that was 7 issued by the United States District Court for the Central District of California on 8 January 27, 2022 in Case No. 8:21-cv-01569-JVS-JDE. I agree to comply with and to 9 be bound by all the terms of this Stipulated Protective Order and I understand and 10 acknowledge that failure to so comply could expose me to sanctions and punishment 11 in the nature of contempt. I solemnly promise that I will not disclose in any manner 12 any information or item that is subject to this Stipulated Protective Order to any 13 person or entity except in strict compliance with the provisions of this Order. 14 I further agree to submit to the jurisdiction of the United States District Court 15 for the Central District of California for the purpose of enforcing the terms of this 16 Stipulated Protective Order, even if such enforcement proceedings occur after 17 termination of this action. 18 I hereby appoint __________________________ [print or type full name] of 19 _______________________________________ [print or type full address and 20 telephone number] as my California agent for service of process in connection with 21 this action or any proceedings related to enforcement of this Stipulated Protective 22 Order. 23 Date: ______________________________________ 24 City and State where sworn and signed: _________________________________ 25 Printed name: _______________________________ 26 27 Signature: __________________________________ 28 - 14 - EXHIBIT A ACKNOWLEDGMENT AND AGREEMENT TO BE BOUND

Reference

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