Vaughn v. Lawrenceburg Power
Vaughn v. Lawrenceburg Power
Opinion
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 DS
81,7('67$7(6&28572)$33($/6 )257+(6,;7+&,5&8,7 BBBBBBBBBBBBBBBBB
.(,7+ 9$8*+1 s(11,)(5 ; 9$8*+1 3ODLQWLIIV$SSHOODQWV 1R Y ! /$:5(1&(%85* 32:(5 6<67(0 'HIHQGDQW$SSHOOHH 1 $SSHDOIURPWKH8QLWHG6WDWHV'LVWULFW&RXUW IRUWKH0LGGOH'LVWULFWRI7HQQHVVHHDW&ROXPELD 1R n7KRPDV$+LJJLQV'LVWULFWsXGJH $UJXHG $XJXVW 'HFLGHGDQG)LOHG 2FWREHU %HIRUH %2**6DQG'$8*+75(<&LUFXLWsXGJHV DQG :(%(5'LVWULFWsXGJH
7KH +RQRUDEOH +HUPDQ s :HEHU 8QLWHG 6WDWHV 'LVWULFW sXGJH IRU 6RXWKHUQ 'LVWULFW RI 2KLR VLWWLQJ E\ GHVLJQDWLRQ
9DXJKQHWDOY 1R /DZUHQFHEXUJ3RZHU6\VWHP
BBBBBBBBBBBBBBBBB &2816(/ $5*8(' 'DQD&0F/HQGRQ,,,)UDQNOLQ7HQQHVVHHIRU $SSHOODQWV+5RZDQ/HDWKHUV,,,0$1,(5 +(52' 1DVKYLOOH7HQQHVVHHIRU$SSHOOHH21%5,() 'DQD& 0F/HQGRQ (UQHVW : :LOOLDPV )UDQNOLQ 7HQQHVVHH IRU $SSHOODQWV + 5RZDQ /HDWKHUV ,,, 7RGG & 0F.HH 0$1,(5 +(52'1DVKYLOOH7HQQHVVHHIRU$SSHOOHH BBBBBBBBBBBBBBBBB 23,1,21 BBBBBBBBBBBBBBBBB %2**6 &LUFXLW sXGJH 3ODLQWLIIV .HLWK 9DXJKQ DQG sHQQLIHU 9DXJKQ IRUPHU HPSOR\HHV RI GHIHQGDQW /DZUHQFHEXUJ 3RZHU 6\VWHP m/36l ILOHG DQ DFWLRQ LQ 7HQQHVVHH VWDWH FRXUW DOOHJLQJ WKDW WKHLU WHUPLQDWLRQV IURP /36LQ)HEUXDU\ YLRODWHGWKHLUULJKWVXQGHUWKH8QLWHG 6WDWHV&RQVWLWXWLRQSXUVXDQWWR86& DQGXQGHU WKH7HQQHVVHH+XPDQ5LJKWV$FW 7+5$ 7(11 &2'( $11 HW VHT 6SHFLILFDOO\ WKH 9DXJKQV REMHFWHG WR /36jVmDQWLQHSRWLVPlSROLF\ZKLFKUHTXLUHVWKHUHVLJQDWLRQ RIRQHVSRXVHLQWKHHYHQWWZRHPSOR\HHVPDUU\7KH\FODLP WKLVSROLF\LVXQFRQVWLWXWLRQDOXQGHUHLWKHUUDWLRQDOEDVLVRU VWULFWVFUXWLQ\UHYLHZ7KH\DOVRDVVHUWHGFODLPVRIUHWDOLDWRU\ GLVFKDUJHXQGHUWKH7+5$DQGWKH)LUVW$PHQGPHQW7KH PDJLVWUDWH MXGJH LQLWLDOO\ HYDOXDWLQJ WKHLU FRPSODLQW UHFRPPHQGHGGLVPLVVLQJDOOFODLPV7KH9DXJKQVREMHFWHG WRFHUWDLQDVSHFWVRIWKLVUHSRUW7KHGLVWULFWFRXUWDGRSWHGWKH PDJLVWUDWH MXGJHjV UHSRUW LQ IXOO DQG JUDQWHG VXPPDU\ MXGJPHQWWR/36LQDRQHSDJHRUGHULQ)HEUXDU\7KH 9DXJKQV ILOHG D PRWLRQ WR DOWHU RU DPHQG MXGJPHQW XQGHU )HG5&LY3 EDVHGRQRXUFRQWHPSRUDQHRXVGHFLVLRQLQ 6RZDUGVY/RXGRQ&RXQW\)G WK&LU 7KHGLVWULFWFRXUWZDVXQSHUVXDGHGDQGGHQLHGWKLVPRWLRQE\ PDUJLQDO RUGHU LQ 0DUFK 7KH 9DXJKQV KDYH WLPHO\ 9DXJKQHWDOY 1R 1R 9DXJKQHWDOY /DZUHQFHEXUJ3RZHU6\VWHP /DZUHQFHEXUJ3RZHU6\VWHP
RQHHPSOR\HHFRXOGQRWEHDWWULEXWHGWRDQRWKHU)XUWKHULI DSSHDOHGERWKGHFLVLRQV:HDIILUPLQSDUWEXWUHYHUVHDVWR .HLWKKDGEHHQILUHGDIWHUWKHPHHWLQJWKHUHZDVRQO\RQH RQHLVVXH 9DXJKQ ZRUNLQJ DW /36 PDNLQJ WKH DQWLQHSRWLVP SROLF\ DOVRLQDSSOLFDEOHDVDEDVLVWRWHUPLQDWHsHQQLIHU,WLVWUXH , WKDWXQGHU7HQQHVVHHODZsHQQLIHUJHQHUDOO\FRXOGKDYHEHHQ WHUPLQDWHGZLWKRXWFDXVHEXWWKHUHLVDWOHDVWDSODXVLEOHFDVH .HLWK9DXJKQEHJDQZRUNIRU/36LQ DQGKDVZRUNHG WR EH PDGH WKDW VKH ZDV WHUPLQDWHG RQO\ EHFDXVH VKH ZDV WKHUHLQVHYHUDOFDSDFLWLHVRYHUDWHQ\HDUSHULRG,Q KH H[HUFLVLQJKHUULJKWRILQWLPDWHPDULWDODVVRFLDWLRQZLWK.HLWK ZDVUHVSRQVLEOHIRUPDLQWDLQLQJ/36jVJURXQGVDQGEXLOGLQJV ZKLFK 6RZDUGV PDNHV SURWHFWHG FRQGXFW VXEMHFW WR )LUVW sHQQLIHU9DXJKQQpH3DLJHEHJDQZRUNLQJDW/36ZKLOHLQ $PHQGPHQWUHWDOLDWLRQDQDO\VLV6HH)GDW KLJKVFKRRODQGDIWHUKHUJUDGXDWLRQLQ VWDUWHGDIXOO WLPHMREDVDFDVKLHU'XULQJWKHVSULQJDQGVXPPHURI 8QIRUWXQDWHO\IRUWKHSODLQWLIIVWKHUHLVQRJOLPPHURIWKH .HLWK DQG sHQQLIHU EHFDPH URPDQWLFDOO\ LQYROYHG ,Q IRUHJRLQJ DUJXPHQW LQ WKHLU PRWLRQ RU HYHQ WKHLU FXUUHQW 6HSWHPEHU WKH\EHFDPHHQJDJHG EULHI<HWPRUHIDWDOO\WKHLUFRPSODLQWWKHIXQGDPHQWDOEDVLV RIWKHLUDFWLRQGRHVQRWDOOHJHD)LUVW$PHQGPHQWUHWDOLDWRU\ 8QIRUWXQDWHO\IRUWKH9DXJKQVWKHLUPDUULDJHZDVDJDLQVW GLVFKDUJHFODLPDVWRsHQQLIHU9DXJKQSURYLGLQJQRKRRNRQ SRZHUV\VWHPSROLF\7KHmHPSOR\PHQWRIUHODWLYHVlRUmDQWL ZKLFK WR KDQJ D SRWHQWLDOO\ YDOLG 6RZDUGV UHWDOLDWLRQ QHSRWLVPlSRUWLRQRIWKH/36PDQXDOZKLFKLWLVXQGLVSXWHG DUJXPHQW7KHUHKDVEHHQQRDPHQGPHQWRIWKHFRPSODLQW WKDWERWK9DXJKQVUHFHLYHGUHDGVDVIROORZV *LYHQ WKDW WKH RQO\ XVH RI 6RZDUGV WKDW ZDV OHJDOO\ FRJQL]DEOHDVSDUWRIWKH5XOH PRWLRQZDVRQHDWWDFNLQJ ,WLVWKHSROLF\RIWKH6\VWHPWRHPSOR\RQO\RQHPHPEHU WKHDQWLQHSRWLVPSROLF\LWVHOIZHPD\QRWILQGDOHJDOHUURU RI D IDPLO\ 1R LPPHGLDWH UHODWLYHV RI HPSOR\HHV LQ WKH PRWLRQjV GHQLDO 7KHUHIRUH WKHUH ZDV QR DEXVH RI RIILFHUVPHPEHUVRIWKHFLW\JRYHUQLQJERG\E\EORRG GLVFUHWLRQE\WKHGLVWULFWFRXUW PDUULDJHRUDGRSWLRQVKDOOEHHPSOR\HGIRUSHUPDQHQW SRVLWLRQV DW WKH /DZUHQFHEXUJ 3RZHU 6\VWHP )RU ,,, SXUSRVHV RI WKLV SROLF\ VDLG UHODWLYHV DUH DV IROORZV 6SRXVH SDUHQW FKLOG EURWKHU VLVWHU JUDQGSDUHQW )RUWKHIRUHJRLQJUHDVRQVZH5(9(56(DQG5(0$1' JUDQGFKLOG VRQLQODZ GDXJKWHULQODZ IDWKHULQODZ .HLWK9DXJKQjVUHWDOLDWRU\GLVFKDUJHFODLPXQGHUWKH)LUVW PRWKHULQODZEURWKHULQODZDQGVLVWHULQODZ $PHQGPHQW IRU IXUWKHU SURFHHGLQJV FRQVLVWHQW ZLWK WKLV RSLQLRQ 7KH GLVWULFW FRXUW VKDOO KDYH GLVFUHWLRQ WR DOORZ :KHQ WZR HPSOR\HHV ZRUNLQJ IRU WKH /DZUHQFHEXUJ UHWURDFWLYH DPHQGPHQW RI WKH SOHDGLQJV WR DOORZ sHQQLIHU 3RZHU V\VWHP DUH VXEVHTXHQWO\ PDUULHG RQH PXVW 9DXJKQWRPDNHD6RZDUGVUHWDOLDWLRQFODLP:H$)),50 WHUPLQDWHHPSOR\PHQW WKHGLVPLVVDORIDOORWKHUFODLPVRIWKHDSSHOODQWV (PSKDVLVDGGHG 7KH9DXJKQVUDQDIRXORIWKHVHFRQGSDUW RIWKLVVHFWLRQIRUELGGLQJPDUULDJHVZLWKLQWKHV\VWHPZKLFK PD\EHWHUPHG/36jVUXOHRImH[RJDP\l ,WVRRQEHFDPHFRPPRQNQRZOHGJHWKDWWKH9DXJKQVZHUH WREHPDUULHG,QODWH6HSWHPEHU/366XSHULQWHQGHQW5RQDOG &DWRPHWZLWK.HLWK9DXJKQDQGSRLQWHGRXWWKHUHOHYDQW 9DXJKQHWDOY 1R 1R 9DXJKQHWDOY /DZUHQFHEXUJ3RZHU6\VWHP /DZUHQFHEXUJ3RZHU6\VWHP
ODQJXDJHMXVWTXRWHG2YHUWKHFRXUVHRIWKDWDXWXPQ&DWR SRVVLEO\ GLIIHUHQW OHJDO RXWFRPHV FUHDWH JHQXLQH LVVXHV RI PHWZLWKWKH9DXJKQV VHYHUDOWLPHVWRLQIRUPWKHPRIWKH PDWHULDOIDFWZKLFKSUHFOXGHVXPPDU\MXGJPHQW SROLF\DQGWRUHTXHVWWKDWWKH\GHFLGHZKLFKRQHRIWKHPZDV JRLQJWROHDYH/36&DWRWROGWKHPKHZRXOGQHHGDGHFLVLRQ 0RWLRQWR$OWHURU$PHQG EHIRUHWKHPDUULDJHWRRNSODFH KHDOVRWROGWKHPWKDWLIWKH\ UHPDLQHGXQPDUULHGDQGPHUHO\OLYHGWRJHWKHUWKHUHZRXOGEH $OWKRXJKWKHGLVWULFWFRXUWGHQLHGWKHSODLQWLIIVjPRWLRQWR QR SUREOHP ZLWK WKH H[RJDP\ UXOH 7KH 9DXJKQV ZHUH DOWHURUDPHQGZLWKRXWJLYLQJUHDVRQVWKDWDOORZXVWRUHYLHZ UHOXFWDQWWRSXUVXHWKLVRSWLRQLQODUJHSDUWEHFDXVHsHQQLIHU HDVLO\LWVGHFLVLRQIRUHUURUWKHFU\SWLFQDWXUHRIWKHFRXUWjV KDGEHFRPHSUHJQDQWWKDWIDOOZLWK.HLWKjVVRQZKRZDVERUQ DFWLRQ LV WR D ODUJH H[WHQW SDUDOOHOHG E\ WKH PRWLRQ LWVHOI WKHIROORZLQJsXO\ $VLGHIURPORQJFLWDWLRQVIURP6RZDUGVVRPHRIZKLFKDUH KLJKOLJKWHG WKH PRWLRQ FRQWDLQV YHU\ OLWWOH LQ WKH ZD\ RI 7KH9DXJKQVGLVDJUHHGZLWKWKHSROLF\jVDSSOLFDELOLW\WR DUJXPHQW,WVRQO\VXEVWDQWLYHGLVFXVVLRQRIZKDWPHDQLQJLW WKHLUVLWXDWLRQ0U9DXJKQNQHZRIWKUHHRWKHUJURXSVRI WDNHV IURP 6RZDUGV FRQVLVWV RI RQH VHQWHQFH m7KH &RXUW UHODWLYHV ZRUNLQJ DW /36 WZR EURWKHULQODZVLVWHULQODZ ZHQWRQWRUHMHFWWKHYHU\DUJXPHQWPDGHE\WKHGHIHQGDQWLQ G\DGV DQG D IDWKHULQODZVRQLQODZ SDLU .HLWK 9DXJKQ WKLVFDVHoWKDWWKHUHZDVQR LQWHUIHUHQFHZLWKWKHULJKWRI LQWHUSUHWHG WKH RYHUDOO DQWLQHSRWLVP SROLF\ DV EHLQJ PDUULDJHEHFDXVHWKH9DXJKQjV VLF XOWLPDWHO\PDUULHGl$Q FRQWUDYHQHGE\WKHSUHVHQFHRIWKHVHUHODWHGFRZRUNHUV+H LQWHUSUHWDWLRQRIWKHPRWLRQEDVHGRQWKHFLWDWLRQVFKRVHQDQG VWDWHVWKDWKHVRLQIRUPHG0LFKDHO0HHNWKH$GPLQLVWUDWLYH KLJKOLJKWHGLQGLFDWHVWKDWWKHSODLQWLIIVZHUHDWWHPSWLQJWRXVH 6HUYLFHV0DQDJHUZKR9DXJKQFODLPVWROGKLPWKDWWKHRWKHU WKH 6RZDUGV GHFLVLRQ WR WULJJHU KHLJKWHQHG VFUXWLQ\ RI WKH HPSOR\HHV ZHUH mJUDQGIDWKHUHG LQl DQG WKDW 9DXJKQ DOVR H[RJDP\ UXOH E\ DUJXLQJ WKDW WKH EXUGHQ RQ WKH ULJKW RI mVKRXOG EHl JUDQGIDWKHUHG LQ 'HVSLWH XUJLQJ IURP &DWR PDUULDJH LV VXIILFLHQW WR GR VR $V GLVFXVVHG VXSUD WKLV QHLWKHURIWKH9DXJKQVLQGLFDWHGWKH\ZRXOGUHVLJQ,QVWHDG PLVLQWHUSUHWV6RZDUGV WKH\WRRNWKHLUFDVHWRDPHHWLQJRIWKH3RZHU%RDUGLQPLG 'HFHPEHU ZKHUH.HLWKDUJXHGKHVKRXOGEHmWUHDWHG $UJXDEO\ LQ WKH FLUFXPVWDQFHV RI WKLV FDVH RQH FRXOG OLNHHYHU\ERG\HOVHl7KH3RZHU%RDUGZDVQRWFRQYLQFHGE\ K\SRWKHWLFDOO\ XVH 6RZDUGV SURSHUO\ DV D SUHFHGHQW IRU D WKH 9DXJKQVj LQWHUSUHWDWLRQ DSSDUHQWO\ GLVWLQJXLVKLQJ UHWDOLDWLRQ FODLP 7KH GHIHQGDQWjV H[SODQDWLRQ IRU ZK\ EHWZHHQWKHILUVWSDUWRIWKHHPSOR\PHQWRIUHODWLYHVSROLF\ s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jV SRVWXUH .HLWK 9DXJKQjV LQVXERUGLQDWLRQ RUDWOHDVWWKHLQVXERUGLQDWLRQWKDWSURYLGHG WKH PDUJLQDO GLIIHUHQFH EHWZHHQ KLV UHWHQWLRQ DQG KLV WHUPLQDWLRQ RFFXUUHG LQ &DWRjV RIILFH RQ WKH PRUQLQJ RI 9DXJKQ SDUWLFXODUO\ IRFXVHG RQ WKH FDVH RI 'HOWRQ 3HUU\ DQG KLV )HEUXDU\ %XWsHQQLIHU9DXJKQKDGQRSDUWLQWKLVPDNLQJ VRQLQODZ 6WHYH ,QPDQ 3HUU\ ZDV D ORQJWLPH HPSOR\HH EXW ,QPDQ KDG VWDUWHG DW /36 RQO\ LQ DIWHU WKH DGRSWLRQ RI WKH SROLF\ LQ +H LWXQFOHDUZKDWDFWRIKHUVSURYLGHGWKHNH\LQVXERUGLQDWLRQ KDG PDUULHG 3HUU\jV GDXJKWHU $QLWD DOWKRXJK DSSDUHQWO\ DIWHU ,QPDQ KDG VLQFHWKHZKROHSUHPLVHRI&DWRjVFRPSODLQWWKDWmKHUHDOO\ DOUHDG\ EHJXQ KLV HPSOR\PHQW 9DXJKQ LQWHUSUHWHG WKH UXOH WKDW QR PRUH QHHGHGWRKHDUIURPKHUGLUHFWO\lZDVWKHLGHDWKDWWKHDFWVRI WKDQ RQH UHODWLYH EH mHPSOR\HGl DV LPSOLFLWO\ UHTXLULQJ ,QPDQ WR OHDYH 9DXJKQHWDOY 1R 1R 9DXJKQHWDOY /DZUHQFHEXUJ3RZHU6\VWHP /DZUHQFHEXUJ3RZHU6\VWHP
:\JDQW Y sDFNVRQ %G RI (GXF )G WK &LU sHQQLIHUDQG.HLWKjVZHGGLQJGD\ZDVsDQXDU\ ZKLFKKDGXSKHOGVXFKDSROLF\ 3ULRUWRDILQDOFRXUW .HLWKKDGPHWZLWK&DWRWKHSUHYLRXVGD\DQGVDLGmRND\lLQ GHWHUPLQDWLRQ EXW DIWHU WKH VFKRRO ERDUG UHMHFWV WKH UHVSRQVHWR&DWRjVUHTXHVWIRUDGHFLVLRQ%XW.HLWKGLGQRW HPSOR\HHVjFKDOOHQJHWRWKHSROLF\DQGDIWHUWKHGHSDUWXUHRI WKHQWHOO&DWRZKHWKHUKHRUsHQQLIHUZRXOGOHDYH/36:KHQ WKH IHOORZ HPSOR\HH WKH VXSHULQWHQGHQW LQWHUURJDWHV WKH WKHFRXSOHDUULYHGEDFNIURPWKHLUKRQH\PRRQWKH\IRXQGD SURWHVWLQJHPSOR\HHDVWRZKHWKHUKHFDQQRZmIXOO\DJUHHl OHWWHUVXVSHQGLQJERWKRIWKHPIRUPLQLXPRIWZRZHHNVXQWLO ZLWKWKHSROLF\7KHHPSOR\HHVWDWHVWKDWDOWKRXJKKHFDQ )HEUXDU\ RUXQWLOWKH\UHDFKHGDGHFLVLRQ ,IGXULQJ mDFFHSWlLWKHFDQQRWIXOO\DJUHHZLWKLW$VDFRQVHTXHQFH WKDWWLPHWKH\FDPHWRDGHFLVLRQWKH\ZHUHWROHW&DWRNQRZ RIWKLVGLVVHQWWKHJRYHUQPHQWWHUPLQDWHVWKHGLVVHQWHUIRU 2Q)HEUXDU\ .HLWK9DXJKQPHWZLWK5RQ&DWRDQG mLQVXERUGLQDWLRQl WROG KLP WKH FRXSOH SODQQHG WR KDYH .HLWK ZKR ZDV SDLG PRUHWKDQsHQQLIHUFRQWLQXHZRUNLQJDW/36ZKLOHsHQQLIHU )URPWKHFXUUHQWUHFRUGUHDGIDYRUDEO\WRDSSHOODQWVZH UHVLJQHG $FFRUGLQJ WR 0U 9DXJKQ &DWR UHVSRQGHG E\ DUH XQDEOH GHILQLWLYHO\ WR GLVWLQJXLVK .HLWK 9DXJKQjV DVNLQJIRUDOHWWHURIUHVLJQDWLRQIURP0UV9DXJKQZKLFK FLUFXPVWDQFHVIURPWKLVFRQVWLWXWLRQDOO\XQDWWUDFWLYHVFHQDULR DSSDUHQWO\KDGQRWSUHYLRXVO\EHHQUHTXHVWHG9DXJKQVWDWHV 0U 9DXJKQ PD\ KDYH LQ IDFW DGPLWWHG WKDW KH ZDV WRR WKDWKHWROG&DWRKHGLGQjWNQRZDQ\WKLQJDERXWDOHWWHUDQG GLVJUXQWOHGWRFDUU\RQKLVMREDVEHIRUHSURYLGLQJDEDVLVIRU KDGMXVWFRPHE\WRLQIRUP&DWRRIWKHORQJDZDLWHGGHFLVLRQ &DWRWRWHUPLQDWHKLP6HH&RQQLFN86DW KROGLQJ 7RWKLV&DWRDOOHJHGO\VDLGmRND\l WKDW WKH)LUVW$PHQGPHQWGRHVQRWUHTXLUHDQHPSOR\HUWR mWROHUDWHDFWLRQZKLFKKHUHDVRQDEO\EHOLHYHGZRXOGGLVUXSW 7KHIROORZLQJ0RQGD\)HEUXDU\ .HLWK9DXJKQEXWQRW WKHRIILFHXQGHUPLQHKLVDXWKRULW\DQGGHVWUR\FORVHZRUNLQJ sHQQLIHU 9DXJKQ DUULYHG DW /36 DW $0 WR EHJLQ ZRUN UHODWLRQVKLSVl /HDU\Y'DHVFKQHU)G+RZHYHU &DWR FDOOHG 9DXJKQ DQG 0LFKDHO 0HHN LQWR KLV RIILFH SURYLGHG WKDW RQH UHDGV WKH UHFRUG WR VKRZ WKDW 9DXJKQ )LIWHHQ WR WKLUW\ PLQXWHV ODWHU ZKHQ 9DXJKQ OHIW &DWRjV LQGLFDWHGWKDWKHZRXOGDFFHSWWKHSROLF\QRORQJHUDFWLYHO\ RIILFHKHKDGEHHQILUHG7KHSDUWLHVGLVSXWHH[DFWO\ZKDW RSSRVHLWDQGNHHSKLVRSSRVLWLRQSULYDWHLWLVGLIILFXOWWR ZDVVDLGGXULQJWKHIDWHIXOPHHWLQJ SHUFHLYHDOHJLWLPDWHVWDWHLQWHUHVWLQSXQLVKLQJKLPDV&DWR KLPVHOIVHHPVWRDFNQRZOHGJH $FFRUGLQJ WR 9DXJKQ &DWR DVNHG KLP IRU D OHWWHU IURP sHQQLIHUZKLFK9DXJKQGLGQRWKDYH9DXJKQVWDWHVWKDWKH &UHGLWLQJ9DXJKQjVDFFRXQWWKHFRQGXFWWKDWOHGWR.HLWK DVNHG&DWRZKHWKHUKHQHHGHGWKHOHWWHUmIRUSHUVRQDOUHDVRQV 9DXJKQjVILULQJZDVKLVXQZLOOLQJQHVVWRDJUHHIXOO\ZLWKWKH RUOHJDOUHDVRQVl&DWRUHVSRQGHG m,WDNHLW\RXGRQjWIXOO\ SROLF\8QGHUWKHUHDVRQLQJVXPPDUL]HGDERYHWKLVPHQWDO GLVVHQW FRXOG EH LQWHUSUHWHG DV SURWHFWHG E\ WKH )LUVW $PHQGPHQW 6LQFH WHUPLQDWLRQ ZRXOG EH HQRXJK WR FKLOO $W FHUWDLQ SRLQWV LQ LWV EULHI /36 DVVHUWV WKDW 0U 9DXJKQ )LUVW $PHQGPHQW ULJKWV DQG WKH WHUPLQDWLRQ ZDV D mYROXQWDULO\ TXLW KLV HPSOR\PHQW DW /36l /36 %U DW 7KH YHU\ QH[W FRQVHTXHQFHRIWKHSURWHFWHGFRQGXFWDSULPDIDFLHFDVHRI SDJH KRZHYHU QRWHV WKDW m0U 9DXJKQ ZDV WHUPLQDWHG IRU UHWDOLDWRU\ GLVFKDUJH KDV EHHQ VWDWHG 8QGHU DOWHUQDWLYH LQVXERUGLQDWLRQl /36 %U DW 7KHUH LV SHUVLVWHQW HTXLYRFDWLRQ LQ WKH
YHUVLRQVRIWKHIDFWVWKHDERYHFRQGLWLRQVPD\QRWKROGDQG &RPSDUH DSSHOOHHjV EULHI RQ WKLV SRLQW m0U 9DXJKQ YROXQWDULO\ TXLW KLV
ZLWK WKHEDVLVIRUWHUPLQDWLRQPD\KDYHEHHQOHJLWLPDWHEHFDXVH HPSOR\PHQWl /36 %U DW m0U &DWR WHUPLQDWHG 0U 9DXJKQ IRU
LQVXERUGLQDWLRQ l /36 %U DW $V ZH PXVW FRQVWUXH WKH IDFWV LQ
9DXJKQjV UHVSRQVHV PD\ QRW KDYH EHHQ DV KH QRZ IDYRU RI WKH 9DXJKQV DQG LQ OLJKW RI WKH GRFXPHQWDU\ HYLGHQFH DQG SDUW\
FKDUDFWHUL]HVWKHP+RZHYHUWKHVHDOWHUQDWHYHUVLRQVZLWK DGPLVVLRQV RI WHUPLQDWLRQ LW ZLOO EH DVVXPHG WKDW .HLWK 9DXJKQ LQ DQ\
HYHQW OHIW LQYROXQWDULO\ 9DXJKQHWDOY 1R 1R 9DXJKQHWDOY /DZUHQFHEXUJ3RZHU6\VWHP /DZUHQFHEXUJ3RZHU6\VWHP
DJUHHZLWKRXUSROLF\l9DXJKQFODLPVWKDWKHUHVSRQGHG GLVWLQJXLVKHG FRPPHQWDWRU KDV LQWHUSUHWHG PXFK RI WKH m1RVLU,GRQjWIXOO\DJUHHZLWKLWEXW,DFFHSWLWEHFDXVH KLVWRU\RI)LUVW$PHQGPHQWMXULVSUXGHQFHDVWKHSUHVHUYDWLRQ ,jYHJRWWRVXSSRUWo\RXNQRZ,jYHJRWWRZRUNDQGVXSSRUW RIIUHHGRPRIWKRXJKWLQYDULRXVFRQWH[WVm%\VSHDNLQJRI P\ IDPLO\l $IWHU WKLV VSHHFK &DWR WKHQ PHQWLRQHG WKH IUHHGRP RI WKRXJKW , ZLVK WR SXVK WR WKH IRUH H[DFWO\ WKDW 7HQQHVVHHULJKWWRZRUNODZDQGILUHG.HLWK9DXJKQ ZKLFK GHYHORSHG )LUVW $PHQGPHQW GRFWULQH VHHNV WR HVWDEOLVK WKDWWKHVWDWHKDVQREXVLQHVVVHHNLQJWRFRQWUROo &DWRjV FRQWUDVWLQJ YHUVLRQ LV WKDW ZKHQ WROG DJDLQ RQ WKDWLVWRSURKLELWRUFRPPDQGoWKHPLQGVRILWVFLWL]HQVl )HEUXDU\ RIWKHFRXSOHjVGHFLVLRQKHVDLGm,UHDOO\QHHGWR &KDUOHV)ULHG3HUIHFW)UHHGRP3HUIHFWsXVWLFH%8/ KHDULWIURPKHUl9DXJKQRIIHUHGWRFDOOKLVZLIHEXW&DWR 5 ' FLWLQJ%DUQHWWH %UDQGHQEXUJY VWDWHVWKDWKHUHIXVHGWRDFFHSWWKLVDQGVDLGm,jGUHDOO\UDWKHU 2KLR 86 9D6WDWH%GRI3KDUPDF\Y9D KDYH D OHWWHUl &DWR WKHQ FODLPV WR KDYH DVNHG 9DXJKQ &LWL]HQV &RQVXPHU &RXQFLO ,QF 86 m:RXOG\RXFRQVLGHU\RXUVHOIDGLVJUXQWOHGHPSOR\HH"l&DWR %XFNOH\Y9DOHR86 7H[DVYsRKQVRQ VWDWHV WKDW 9DXJKQ UHSOLHG LQ WKH DIILUPDWLYH &DWR WKHQ 86 DQG5$9Y&LW\RI6W3DXO86 DJUHHV WKDW KH PHQWLRQHG WKH ULJKWWRZRUN ODZ 9DXJKQ $V 3URIHVVRU WKHQ sXVWLFH )ULHG H[SODLQHG VXSSRVHGO\DVNHGLIKHZDVILUHG&DWRVWDWHVWKDWLWZDVRQO\ m>)@UHHGRP RI WKRXJKW LV WKH KLJKHVW RUGHU IUHHGRP DQG WKHQ WKDW KH VDLG m>,@I \RXjUH JRLQJ WR EH GLVJUXQWOHG DQG OLPLWDWLRQVRQWKDWIUHHGRPDUHWKHPRVWUDGLFDOLQFXUVLRQVDV XSVHW\RXDUHl9DXJKQVXSSRVHGO\UHVSRQGHGm,DPWKHQl WKH\ OLPLW WKH SURFHVV E\ ZKLFK ZH GHWHUPLQH ZKHWKHU WR 0LNH0HHNUHPHPEHUV&DWRjVXOWLPDWXPDVEHLQJm,I\RXjUH DFFHSWDQ\DQGDOORWKHUOLPLWDWLRQVl,GDW HPSKDVLV GLVJUXQWOHGWRWKHSRLQWWKDW\RXGRQjWIHHOOLNH\RXFDQFDUU\ DGGHG RXW\RXUGXWLHV\HV\RXjUHILUHGl :H KHVLWDWH WR DSSURYH D UXOH WKDW DOORZV D JRYHUQPHQW &DWRFODLPVWKDWZKHQKHPHQWLRQHG7HQQHVVHHODZKHZDV RIILFLDO WR LQWHUURJDWH LQGLYLGXDOV DERXW WKHLU PHQWDO WKLQNLQJ 9DXJKQ ZRXOG UHVSRQG GLIIHUHQWO\ $FFRUGLQJ WR DGKHUHQFHWRJRYHUQPHQWSROLFLHV$OWKRXJKJRYHUQPHQWDV &DWR m, WKRXJKW KH ZDV JRLQJ WR VD\ µ<HDK , FDQ SXW LW DQ HPSOR\HU KDV JUHDWHU SRZHUV RYHU LWV HPSOR\HHV WKDQ EHKLQGPHJRDQGGRP\MREjl&DWRKDGDSODQQHGUHVSRQVH JRYHUQPHQW DV VRYHUHLJQ KDV RYHU LWV FLWL]HQV :DWHUV Y m,ZDVVHWWLQJKLPXSWRVD\µ<HDKEXWZHDUHJRLQJWREH &KXUFKLOO 86 WKLV GRHV QRW IXOO\ ZDWFKLQJ\RXHYHU\GD\WRPDNHVXUH\RXDUHGRLQJ\RXUMRE PLWLJDWH WKH GDQJHU 6XSSRVH WKDW D SXEOLF VFKRRO WHDFKHU jl&DWRFODLPVWKDWKHGLGQRWZDQW9DXJKQWRTXLWEXW XQVXFFHVVIXOO\ ILJKWV D mGLYHUVLW\l SROLF\ WKDW UHTXLUHV WKDWm,JXHVV,KDGJRWWHQWRZKHUHKLVDWWLWXGHDERXWWKLV, WHUPLQDWLRQ RI D IHOORZ HPSOR\HH D SROLF\ WKDW D IHGHUDO WKRXJKWKHZDVMXVWWU\LQJWRSXVKPHRYHULW)HOWOLNH,GLG FRXUW XOWLPDWHO\ ILQGV WR EH FRQVWLWXWLRQDO &I :\JDQW Y ZKDW , KDG WR GRl &DWR H[SODLQHG WKDW WKH LVVXH ZDV WKDW sDFNVRQ%GRI(GXF86 UHYHUVLQJ .HLWK mKDG D SUREOHP ZLWK DXWKRULW\ +H KDG D SUREOHP DFFHSWLQJWKLVSROLF\l2XWVLGHRIWKHSROLF\&DWRKDGQR SUREOHPZLWKWKH9DXJKQV QRW KXUW DQG FRQWURO WKH ULJKW RI DQRWKHU l s 2+1 5(1&+$5' $1' 7
+20$6 25'21 $72 6 (77(56 9DXJKQKRZHYHUIODWO\GHQLHVWKDWKHHYHUVDLGKHZDVD 7 * & / 1R DW 5RQDOG +DPRZ\ HG
/LEHUW\ )XQG
mGLVJUXQWOHG HPSOR\HHl RU WKDW KH UHPHPEHUV WKLV SKUDVH EHLQJ XVHG XQWLO KH VDZ LW LQ D OHWWHU KH UHFHLYHG DIWHU KLV 7KLV DQDORJ\ LV QRW D SDUWLFXODUO\ VWUDLQHG RQH DV WKH GHIHQGDQW LQ
WHUPLQDWLRQ7KLVOHWWHUGDWHG)HEUXDU\ H[SODLQHGWKDWWKH WKLV FDVH WKH /DZUHQFHEXUJ 3RZHU 6\VWHP KDV DVSHFWV LQ FRPPRQ ZLWK
D PXQLFLSDO VFKRRO V\VWHP 9DXJKQHWDOY 1R 1R 9DXJKQHWDOY /DZUHQFHEXUJ3RZHU6\VWHP /DZUHQFHEXUJ3RZHU6\VWHP
RQDQGGRKLVMRELWZRXOGEHDOOULJKWl+RZHYHUEHFDXVH 9DXJKQVKDGQRWmIXOO\DFFHSWHGlWKHSROLF\DQGWHUPLQDWHG 9DXJKQKDVQRWFRQFHGHGWKDWKHDGPLWWHGRQ)HEUXDU\ WKDW .HLWK9DXJKQIRUmLQVXERUGLQDWLRQl)RUJRRGPHDVXUHLW KLVMRESHUIRUPDQFHZRXOGEHDIIHFWHGZHFDQQRWDVVXPHWKDW WHUPLQDWHG sHQQLIHU IRU WKH VDPH UHDVRQ &DWR ZULWLQJ WKDW &DWRjV FRQGXFW DW WKDW WLPH ZDV JRYHUQHG E\ WKH VDPH EHFDXVHKHGLGQRWm\HWKDYHDZULWWHQUHVLJQDWLRQ>@,KDYHQR UHDVRQDEOHDWWLWXGHKHH[SUHVVHGGXULQJKLVGHSRVLWLRQ FKRLFH>@l $VLVWKHFDVHZLWKWKHIUHHGRPRILQWLPDWHDVVRFLDWLRQWKH ,QsDQXDU\ VKRUWO\EHIRUHWKHLUILUVWDQQLYHUVDU\WKH FRQVWLWXWLRQDOEDVLVIRUWKHSURWHFWLRQRIIUHHGRPRIWKRXJKW 9DXJKQVILOHGDODZVXLWDJDLQVW/36LQWKH&LUFXLW&RXUWIRU KDVQHYHUEHHQIXOO\FODULILHG6HHVXSUDQ,WXQGHQLDEO\ /DZUHQFH&RXQW\ 7KHFRPSODLQWDOOHJHGYLRODWLRQVRI ILQGV LWV URRW LQ WKH )LUVW $PHQGPHQW DQG LV XQGHQLDEO\ 86& EDVHGRQmWKHIXQGDPHQWDOULJKWRIPDUULDJH SURWHFWHGEHFDXVHmDWWKHKHDUWRIWKH)LUVW$PHQGPHQWLVWKH DQGIUHHGRPRIDVVRFLDWLRQl7KHFRPSODLQWDOVRDOOHJHGWKDW QRWLRQWKDWDQLQGLYLGXDOVKRXOGEHIUHHWREHOLHYHDVKHZLOO WKH SROLF\ ZDV VHOHFWLYHO\ HQIRUFHG DJDLQVW WKH 9DXJKQV DQGWKDWLQDIUHHVRFLHW\RQHjVEHOLHIVVKRXOGEHVKDSHGE\KLV NQRZLQJWKDWDSUHJQDQWsHQQLIHUZRXOGEHWKHRQHWROHDYH PLQGDQGKLVFRQVFLHQFHUDWKHUWKDQFRHUFHGE\WKH6WDWHl DQGWKDWWKLVFRQVWLWXWHGGLVFULPLQDWLRQRQWKHEDVLVRIVH[ $ERRGY'HWURLW%GRI(GXF86 7KH FRPSODLQW PDGH VSHFLILF DOOHJDWLRQV UHJDUGLQJ WKH KROGLQJLPSHUPLVVLEOHWKHFRPSXOVLRQRISXEOLFHPSOR\HHWR WHUPLQDWLRQ RI .HLWK 9DXJKQ FODLPLQJ WKDW VXFK DFWLRQ JLYH ILQDQFLDO VXSSRUW WR LGHRORJLFDO FDXVHV $V sXVWLFH mFRQVWLWXH>G@ D GHQLDO RI ULJKWV SULYLOHJHV DQG LPPXQLWLHV sDFNVRQ IDPRXVO\ ZURWH m,I WKHUH LV DQ\ IL[HG VWDU LQ RXU LQFOXGLQJIUHHGRPRIVSHHFKXQGHUWKHFRQVWLWXWLRQDOODZVRI FRQVWLWXWLRQDOFRQVWHOODWLRQLWLVWKDWQRRIILFLDOKLJKRUSHWW\ WKH8QLWHG6WDWHVl &RPSO ,WDOVRDOOHJHGWKDW9DXJKQ FDQSUHVFULEHZKDWVKDOOEHRUWKRGR[LQSROLWLFVQDWLRQDOLVP KDGEHHQWHUPLQDWHGLQYLRODWLRQRIWKH7+5$IRUmRSSRVLQJ UHOLJLRQ RU RWKHU PDWWHUV RI RSLQLRQ RU IRUFH FLWL]HQV WR DSUDFWLFHGHFODUH>VLF@XQODZIXOE\WKH$FWl &RPSO FRQIHVV E\ ZRUG RU DFW WKHLU IDLWK WKHUHLQl :HVW 9LUJLQLD 6WDWH %G RI (GXF Y %DUQHWWH 86 /36UHPRYHGWKHFDVHWRIHGHUDOFRXUWDQGLWZDVUHIHUUHG HPSKDVLVDGGHG WR0DJLVWUDWHsXGJH*ULIILQ7KHPDJLVWUDWHMXGJHIRXQGWKH SROLF\QRWPDWHULDOO\GLVWLQJXLVKDEOHIURPWKHRQHXSKHOGLQ $FRQFHUQIRUIUHHGRPRIWKRXJKWZDVSUHVHQWDWWKHWLPH 0RQWJRPHU\Y&DUU)G WK&LU RIWKHDGRSWLRQRIWKH)LUVW$PHQGPHQWDQGWKLVSURYLVLRQLV DQGDOVRIRXQGWKDWm9DXJKQjVREMHFWLRQVWRWKHGHIHQGDQWjV FORVHO\DVVRFLDWHGKLVWRULFDOO\ZLWKWKDWFRQFHUQ,QGHHGRQH QRVSRXVHSROLF\ZHUHSHUVRQDOLQQDWXUHlDQGZHUHWKHUHIRUH QRWSURWHFWHGXQGHUWKH)LUVW$PHQGPHQW8QGHUWKHVDPH VXEVHFWLRQ RI WKH UHSRUW m' 5HWDOLDWLRQ &ODLPl WKH $V sHIIHUVRQ ZURWH LQ WR HQFRXUDJH WKH DGRSWLRQ RI WKH %LOO RI 5LJKWV m7KHUH DUH ULJKWV ZKLFK LW LV XVHOHVV WR VXUUHQGHU WR WKH JRYHUQPHQW DQG ZKLFK JRYHUQPHQWV KDYH \HW DOZD\V EHHQ IRXQG WR 'XULQJ GLVFRYHU\ SODLQWLIIV XQFRYHUHG D VHSDUDWH GUDIW RI WKLV OHWWHU LQYDGH 7KHVH DUH WKH ULJKWV RI WKLQNLQJ DQG SXEOLVKLQJ RXU WKRXJKWV E\ ,W GLIIHUV LQ GHVFULELQJ .HLWK 9DXJKQjV )HEUXDU\ mDWWHPSW WR FRPSO\ VSHDNLQJ DQG ZULWLQJ WKH ULJKW RI IUHH FRPPHUFH WKH ULJKW RI SHUVRQDO 7KRPDV sHIIHUVRQ /HWWHU WR 'DYLG +XPSKUH\V LQ 7+( ZLWK WKH SROLF\l DV KLV mJUXGJLQJ DWWHPSW WR FRPSO\ ZLWK WKH SROLF\l 5,7,1*6 2) 7+20$6 s())(56210(025,$/ (',7,21 /LSVFRPE IUHHGRPl HPSKDVLV DGGHG %HUJK HGV 6HH DOVR WKH LQIOXHQWLDO SUHUHYROXWLRQDU\ ZULWLQJV :
RI WKH SVHXGRQ\PRXV &DWR m:LWKRXW IUHHGRP RI WKRXJKW WKHUH FDQ EH QR 7KH9DXJKQVDSSHDUWRKDYHDEDQGRQHGWKLVDUJXPHQWRQDSSHDODQG VXFK WKLQJ DV ZLVGRP DQG QR VXFK WKLQJ DV SXEOLFN OLEHUW\ ZLWKRXW GLG QRW REMHFW WR WKH UHFRPPHQGDWLRQ RI LWV GLVPLVVDO E\ WKH PDJLVWUDWH IUHHGRP RI VSHHFK :KLFK LV WKH ULJKW RI HYHU\ PDQ DV IDU DV E\ LW KH GRHV MXGJH 9DXJKQHWDOY 1R 1R 9DXJKQHWDOY /DZUHQFHEXUJ3RZHU6\VWHP /DZUHQFHEXUJ3RZHU6\VWHP
PDJLVWUDWH MXGJH DOVR IRXQG WKDW .HLWK 9DXJKQ ZDV QRW mQRWKLQJ LQ WKHVH FLUFXPVWDQFHV VXJJHVWLQJ WKH SURWHFWHG E\ WKH 7+5$ EHFDXVH KH ZDV QRW RSSRVLQJ D GHIHQGDQWjVDFWLRQVZHUHDQDWWHPSWWRVXSSUHVVRUµFKLOOjWKH GLVFULPLQDWRU\SUDFWLFHEXWRQHWKDWZDVLQIDFWOHJLWLPDWH SODLQWLIIjV)LUVW$PHQGPHQWULJKWVl7KHPDJLVWUDWHMXGJH GRHVQRWGLVFXVVWKLVFRQFOXVLRQLQOLJKWRIWKHSRVVLELOLW\WKDW 7KH SODLQWLIIV REMHFWHG WR WKH PDJLVWUDWH MXGJHjV UHSRUW WKH SUR[LPDWH FDXVH RI 9DXJKQjV WHUPLQDWLRQ ZDV KLV 7KHLU mVSHFLILF REMHFWLRQVl ZHUH ODEHOHG m 7HQQHVVHH XQZLOOLQJQHVVWRmIXOO\DJUHHlZLWKWKHSROLF\,QGHHGWKH +XPDQ 5LJKWV $FW o 5HWDOLDWLRQ &ODLPl DQG m 7KH UHSRUW DQG UHFRPPHQGDWLRQ GRHV QRW GLVFXVV 9DXJKQjV &RQVWLWXWLRQDOLW\RIWKH1HSRWLVP3URYLVLRQl,QWKHILUVWRI GHSRVLWLRQ DFFRXQW RI WKH ILQDO PHHWLQJ DQ DFFRXQW WKDW WKHVHREMHFWLRQVWKH\DUJXHGWKDWWKHPDJLVWUDWHMXGJHKDG FHUWDLQO\SODFHVLQTXHVWLRQZKHWKHULWZDVLQGHHGKLVIDLOXUH HUUHGLQKHULQWHUSUHWDWLRQRIWKH7+5$EHFDXVHLWZDV RU WR EULQJ D OHWWHU WKDW FDXVHG KLV WHUPLQDWLRQ 9DXJKQjV PLJKWEH OHJDOO\VXIILFLHQWIRUDQmRSSRVLWLRQlFODLPLI.HLWK DFFRXQWZDVDSODXVLEOHSODLQWLIIIDYRUDEOHUHQGLWLRQRIWKH 9DXJKQEHOLHYHGWKHSROLF\ZDVXQODZIXO7KHSODLQWLIIVGLG NH\ LQFLGHQW ZKLFK WKH FRXUW ZDV UHTXLUHG WR FUHGLW IRU QRW GLVFXVV WKH PDJLVWUDWH MXGJHjV UHVROXWLRQ RI WKHLU SXUSRVHVRIGHIHQGDQWjVPRWLRQIRUVXPPDU\MXGJPHQW(YHQ DOWHUQDWLYH JURXQG IRU UHWDOLDWLRQ WKH )LUVW $PHQGPHQW DFFRUGLQJWR0U&DWRKDG9DXJKQUHSOLHGGLIIHUHQWO\GXULQJ +RZHYHU WKH\ GLG DVVHUW WKDW WKH PRWLRQ IRU VXPPDU\ WKHLUGLVFXVVLRQKHZRXOGQRWKDYHEHHQWHUPLQDWHGGHVSLWH MXGJPHQWRQmWKLVLVVXHlVKRXOGEHGHQLHGIRUmWKHUHDVRQV KLVIDLOXUHWREULQJDOHWWHUIURPKLVZLIH VWDWHGLQ3ODLQWLIIVj0HPRUDQGXPLQ2SSRVLWLRQWR6XPPDU\ sXGJHPHQW>@l$WWKHHQGRIWKHLUREMHFWLRQVWKH\DVNHGWKH ,IRQHUHDGVWKHGLVSXWHGIDFWVDERXWWKHPHHWLQJIDYRUDEO\ GLVWULFWMXGJHWRUHMHFWWKHUHSRUWDQGUHFRPPHQGDWLRQmWRWKH WR.HLWK9DXJKQWKHUHLVFHUWDLQO\DQDUJXPHQWWKDWZKHQ H[WHQWLWFRQFOXGHVWKHQHSRWLVPSROLF\LVFRQVWLWXWLRQDODV &DWRDOOHJHGO\DVNHGm,WDNHLW\RXGRQjWIXOO\DJUHHZLWKRXU DSSOLHGWRWKH3ODLQWLIIVj>VLF@DQGWKDWWKHUHWDOLDWLRQFODLPRI SROLF\"lKHZDVDWWHPSWLQJWRHOLFLWIURPKLVVXERUGLQDWHDQ .HLWK9DXJKQVKRXOGEHGLVPLVVHGl DGPLVVLRQWKDW9DXJKQDFWXDOO\EHOLHYHGWKHSROLF\WREHULJKW DV ZHOO DV DXWKRULWDWLYH $FFRUGLQJ WR 9DXJKQ KH KDG )ROORZLQJSODLQWLIIVjREMHFWLRQVWKHGLVWULFWFRXUWLQDRQH VXEVWDQWLYHO\ FRPSOLHG ZLWK WKH SROLF\ E\ VXEPLWWLQJ SDJH RUGHU DGRSWHG WKH PDJLVWUDWH MXGJHjV UHSRUW DQG sHQQLIHUjVRUDOUHVLJQDWLRQDVKHUDJHQWDQGKHKDGmDFFHSWHGl UHFRPPHQGDWLRQQRWLQJWKDWWKHm&RXUWKDVLQGHSHQGHQWO\ WKHSROLF\EXWKHUHIXVHGWRDVVHQWIXOO\EHFDXVHKHSULYDWHO\ UHYLHZHG WKH 0DJLVWUDWH sXGJHjV ILQGLQJV WKH REMHFWLRQV EHOLHYHGLWWREHXQIDLUDQGRULQFRQVLVWHQWO\DSSOLHG UHVSRQVHDQGWKHHQWLUHUHFRUGl7KH9DXJKQVDSSHDOHGDQG DOVRILOHGDPRWLRQWRDOWHURUDPHQGEDVHG RQ 6RZDUGVY 7KLV DSSHDUV WR LPSOLFDWH WKH OLQH RI )LUVW $PHQGPHQW /RXGRQ&RXQW\)G WK&LU LQZKLFK GRFWULQH GHDOLQJ ZLWK mFRPSHOOHG VSHHFKl ZKLFK LV ZHUHYHUVHGDJUDQWRIVXPPDU\MXGJPHQWDJDLQVWDSODLQWLII DVVRFLDWHGZLWKWKHSURWHFWLRQRIWKHIUHHGRPRIWKRXJKW6HH DOOHJLQJ UHWDOLDWLRQ LQ YLRODWLRQ RI KHU ULJKWV RI LQWLPDWH :RROH\Y0D\QDUG86 KROGLQJWKDW DVVRFLDWLRQ ZLWK KHU KXVEDQG D SROLWLFDO HQHP\ RI KHU mWKH ULJKW RI IUHHGRP RI WKRXJKW SURWHFWHG E\ WKH )LUVW HPSOR\HU7KH9DXJKQVDOVRDSSHDOWKHFRXUWjVGHQLDORIWKLV $PHQGPHQW DJDLQVW VWDWH DFWLRQ LQFOXGHV ERWK WKH ULJKW WR PRWLRQZKLFKRFFXUUHGE\PDUJLQDORUGHU VSHDNIUHHO\DQGWKHULJKWWRUHIUDLQIURPVSHDNLQJDWDOOl &DWR KDV GHQLHG WKDW 9DXJKQjV PHUH H[SUHVVLRQ WKDW mKH GLVOLNHGWKLVSROLF\lZDVWKHFDXVHRIKLVWHUPLQDWLRQ,QKLV GHSRVLWLRQ &DWR VWDWHG WKDW m>K@H FDQ GR WKDW >GLVOLNH WKH SROLF\@DVORQJDVKHFDQGRKLVMRE$VORQJDVKHFDQJR 9DXJKQHWDOY 1R 1R 9DXJKQHWDOY /DZUHQFHEXUJ3RZHU6\VWHP /DZUHQFHEXUJ3RZHU6\VWHP
PD\LPSRVHRQWKHPDULWDOUHODWLRQVKLSDTXHVWLRQWKDWKDV ,, QRW\HWEHHQIXOO\UHVROYHG 6WDQGDUGRI5HYLHZ ,W LV WKHUHIRUH DUJXDEOH WKDW WKH 9DXJKQV KDYH D mPL[HG VSHHFKFDVHl6HH%RQQHOOY/RUHQ]R)G WK 2QDSSHDOWKHFLUFXLWFRXUWUHYLHZVDJUDQW RIVXPPDU\ &LU ,Q%RQQHOOZHZURWHWKDWm>D@OWKRXJKDVSHFWVRI MXGJPHQWGHQRYRXVLQJWKHVDPH5XOH F VWDQGDUGDVWKH 3ODLQWLIIjVVSHHFKLQYROYHPDWWHUVRISHUVRQDOLQWHUHVWZKHUH GLVWULFWFRXUW+DQVDUGY%DUUHWW )G WK KHLVVSHDNLQJUHJDUGLQJDSHUVRQDOJULHYDQFHDVDQHPSOR\HH &LU 7KH PRYLQJ SDUW\ KDV WKH LQLWLDO EXUGHQ RI KLVVSHHFKDOVRLQYROYHVPDWWHUVRISXEOLFLQWHUHVWVXFKWKDW SURYLQJWKDWQRJHQXLQHLVVXHRIPDWHULDOIDFWH[LVWVDQGWKDW 3ODLQWLIILVVSHDNLQJDVDFRQFHUQHGFLWL]HQl,ELG ILQGLQJ WKHPRYLQJSDUW\LVHQWLWOHGWRMXGJPHQWDVDPDWWHURIODZ SURIHVVRUjV VSHHFK WR EH VXEMHFW WR 3LFNHULQJ DQDO\VLV EXW 6WUHHWYs&%UDGIRUG &R)G WK&LU RXWZHLJKHGE\LQWHUHVWRIWKHHPSOR\HU *HQHUDOO\PL[HG :HFRQVLGHUDOOIDFWVDQGLQIHUHQFHVGUDZQIURPWKH VSHHFKFDVHVDUHGLIILFXOWWRDGMXGLFDWHZLWKRXWH[WHQVLYHIDFW HYLGHQFHLQWKHOLJKWPRVWIDYRUDEOHWRWKHQRQPRYLQJSDUW\ ILQGLQJEHFDXVHJLYHQWKDWWKHmHPSOR\HHDGPLWWHGO\VSHDNV &LW\0DQDJHPHQW&RUSY86&KHPLFDO&R)G IURPPXOWLSOHPRWLYHVGHWHUPLQLQJZKHWKHU>WKHHPSOR\HH@ WK&LU +RZHYHULImWKHUHFRUGWDNHQDVDZKROH VSHDNV DV D FLWL]HQ RU HPSOR\HH UHTXLUHV D SUHFLVH DQG FRXOG QRW OHDG D UDWLRQDO WULHU RI IDFW WR ILQG IRU WKH IDFWXDOO\VHQVLWLYHGHWHUPLQDWLRQl,ELG FLWDWLRQDQGLQWHUQDO QRQPRYLQJ SDUW\ WKHUH LV QR µJHQXLQH LVVXH IRU WULDOjl TXRWDWLRQPDUNVRPLWWHG 0DWVXVKLWD (OHFWULF ,QGXVWULDO &R /WG Y =HQLWK 5DGLR &RUS86 ,QPDNLQJWKLVIDFWXDOGHWHUPLQDWLRQZHJHQHUDOO\ORRNWR ZKDW ZDV VDLG UDWKHU WKDQ ZK\ LW ZDV VDLG m:KHWKHU DQ :H UHYLHZ D WULDO FRXUWjV GHQLDO RI D PRWLRQ WR DOWHU RU HPSOR\HHjV VWDWHPHQW LV SUHGRPLQDWHG E\ µWKH HPSOR\HH V DPHQGWKHMXGJPHQWSXUVXDQWWR)HG5&LY3 H IRUDQ SHUVRQDOLQWHUHVWTXDHPSOR\HHjLVSULPDULO\DFRQWHQWEDVHG DEXVHRIGLVFUHWLRQ6HH:LONLQVY%DSWLVW+HDOWKFDUH6\V LQTXLU\QRWDQH[FOXVLYHO\PRWLYHEDVHGLQTXLU\l&KDSSHO ,QF)G WK&LU Y0RQWJRPHU\&RXQW\)LUH3URW'LVW1R)G WK&LU TXRWLQJ%URZQY&LW\RI7UHQWRQ 7KH&RQVWLWXWLRQDOLW\RIWKHm5XOHRI([RJDP\l )G WK&LU m7KHPRWLYHZKLFKXQGHUOLHV DQ HPSOR\HH V VWDWHPHQWV LV D UHOHYDQW EXW QRW QHFHVVDULO\ :HPXVWILUVWGHFLGHDWZKDWmOHYHORIVFUXWLQ\lWRHYDOXDWH GLVSRVLWLYHIDFWRUZKHQFRQVLGHULQJZKHWKHUDQHPSOR\HH V WKH FKDOOHQJHG SURYLVLRQ LQ WKH /36 PDQXDO ,Q RUGHU WR VWDWHPHQWV PD\ EH IDLUO\ FKDUDFWHUL]HG DV UHODWLQJ WR DQ\ WULJJHU KHLJKWHQHG FRQVWLWXWLRQDO VFUXWLQ\ WKH FKDOOHQJHG PDWWHU RI SROLWLFDO VRFLDO RU RWKHU FRQFHUQ WR WKH SRUWLRQ RI WKH DQWLQHSRWLVP SROLF\ WKH H[RJDP\ UXOH FRPPXQLW\l,GDW FLWDWLRQDQGLQWHUQDOTXRWDWLRQPDUNV UHTXLULQJWHUPLQDWLRQRIHPSOR\PHQWPXVWEHVKRZQWRSODFH RPLWWHG mDµGLUHFWDQGVXEVWDQWLDOjEXUGHQRQWKHULJKWRIPDUULDJHl 0RQWJRPHU\)GDW2XUDQDO\VLVRIWKHFDVHODZ 7KHPDJLVWUDWHMXGJHIRXQGWKDWLWZDVXQGLVSXWHGWKDWWKH LQ 0RQWJRPHU\ LQGLFDWHG WKDW ZH ZRXOG ILQG GLUHFW DQG 9DXJKQVKDGEHHQUHFDOFLWUDQWLQFRPSO\LQJZLWKWKHSROLF\ VXEVWDQWLDO EXUGHQV RQO\ ZKHUH D ODUJH SRUWLRQ RI WKRVH WKDW9DXJKQKDGEHHQDOORZHGWRVSHDNWRWKH%RDUGDQGWKDW DIIHFWHGE\WKHUXOHDUHDEVROXWHO\RUODUJHO\SUHYHQWHGIURP RQ)HEUXDU\ 9DXJKQmTXHVWLRQHGWKHQHFHVVLW\RIKLVZLIH PDUU\LQJRUZKHUHWKRVHDIIHFWHGE\WKHUXOHDUHDEVROXWHO\RU VXEPLWWLQJDZULWWHQUHVLJQDWLRQl7KHPDJLVWUDWHMXGJHIRXQG ODUJHO\ SUHYHQWHG IURP PDUU\LQJ D ODUJH SRUWLRQ RI WKH RWKHUZLVHHOLJLEOHSRSXODWLRQRIVSRXVHV6HHLGDW 9DXJKQHWDOY 1R 1R 9DXJKQHWDOY /DZUHQFHEXUJ3RZHU6\VWHP /DZUHQFHEXUJ3RZHU6\VWHP
TXRWLQJ =DEORFNL Y 5HGKDLO 86 WRXFKHV XSRQ PDWWHUV RI SXEOLF FRQFHUQ ,G DW %\ ZKLFK IRXQG VXFK EXUGHQV ZKHQ mµ>V@RPH RI WKRVH LQ WKH FRQWUDVWDSXEOLFHPSOR\HHjVVSHHFKGHDOLQJZLWKmPDWWHUV DIIHFWHG FODVV DUH DEVROXWHO\ SUHYHQWHG IURP JHWWLQJ RQO\ RI SHUVRQDO LQWHUHVWl LV JHQHUDOO\ QRW DIIRUGHG PDUULHG>@jl DQG FLWLQJ /RYLQJ Y 9LUJLQLD 86 FRQVWLWXWLRQDOSURWHFWLRQ,GDW7KH6XSUHPH&RXUWKDV IRU WKH SURSRVLWLRQ WKDW D EXUGHQ H[LVWV LI D UXOH HODERUDWHG RQ WKLV GHILQLWLRQ E\ FKDUDFWHUL]LQJ XQSURWHFWHG DEVROXWHO\SUHYHQWVLQGLYLGXDOVWRPDUU\PHPEHUVRIDQRWKHU VSHHFK DV WKDW mVSHHFK WKDW LQYROYHV QRWKLQJ PRUH WKDQ D UDFH FRPSODLQW DERXW D FKDQJH LQ WKH HPSOR\HHjV RZQ GXWLHV >ZKLFK@ PD\ JLYH ULVH WR GLVFLSOLQH ZLWKRXW LPSRVLQJ DQ\ $OO VRFLHWLHV VWUXFWXUH WKH IXQGDPHQWDO VRFLDO IDFW RI VSHFLDOEXUGHQRIMXVWLILFDWLRQRQWKHJRYHUQPHQWHPSOR\HUl PDUULDJH UHVWULFWLQJ WR D OHVVHU RU JUHDWHU H[WHQW ZKR PD\ 8QLWHG 6WDWHV Y 1DWLRQDO 7UHDVXU\ (PSOR\HHV 8QLRQ PDUU\ZKRPDQGWKHVHUHVWULFWLRQVRIWHQKDYHIRUFHRIODZ 86 FLWLQJ&RQQLFN86DW m0DUULDJHDVFUHDWLQJWKHPRVWLPSRUWDQWUHODWLRQLQOLIHDV KDYLQJPRUHWRGRZLWKWKHPRUDOVDQGFLYLOL]DWLRQRIDSHRSOH 0L[HGTXHVWLRQVRISULYDWHDQGSXEOLFFRQFHUQZKHUHWKH WKDQ DQ\ RWKHU LQVWLWXWLRQ KDV DOZD\V EHHQ VXEMHFW WR WKH HPSOR\HH LV VSHDNLQJ ERWK DV D FLWL]HQ DV ZHOO DV DQ FRQWURO RI WKH OHJLVODWXUH 7KDW ERG\ SUHVFULEHV WKH DJH DW HPSOR\HHFDQEHSURWHFWHG,ImDQ\SDUWRIDQHPSOR\HH V ZKLFKSDUWLHVPD\FRQWUDFWWRPDUU\WKHSURFHGXUHRUIRUP VSHHFKZKLFKFRQWULEXWHVWRWKH>GLVFLSOLQDU\DFWLRQ@UHODWHV HVVHQWLDOWRFRQVWLWXWHPDUULDJHWKHGXWLHVDQGREOLJDWLRQVLW WR D PDWWHU RI SXEOLF FRQFHUQ WKH FRXUW PXVW FRQGXFW D FUHDWHVLWVHIIHFWVXSRQWKHSURSHUW\ULJKWVRIERWKSUHVHQW EDODQFLQJRILQWHUHVWVWHVWDVVHWIRUWKLQ3LFNHULQJY%RDUGRI DQGSURVSHFWLYHDQGWKHDFWVZKLFKPD\FRQVWLWXWHJURXQGV (GXFDWLRQ 86 l5DKQY'UDNH&WU,QF IRU LWV GLVVROXWLRQl 0D\QDUG Y +LOO 86 )G WK&LU VHHDOVRsRKQVRQY8QLY VHHDOVR5H\QROGVY8QLWHG6WDWHV 86 RI &LQFLQQDWL )G WK &LU D m0DUULDJH ZKLOH IURP LWV YHU\ QDWXUH D VDFUHG FRPPXQLFDWLRQPDGHRQO\ZLWKLQDQRUJDQL]DWLRQGRHVQRW REOLJDWLRQLVQHYHUWKHOHVVLQPRVWFLYLOL]HGQDWLRQVDFLYLO SUHFOXGH VRPH DVSHFW RI LW IURP WRXFKLQJ XSRQ PDWWHUV RI FRQWUDFWDQGXVXDOO\UHJXODWHGE\ODZ8SRQLWVRFLHW\PD\EH SXEOLFFRQFHUQ VDLGWREHEXLOWDQGRXWRILWVIUXLWVVSULQJVRFLDOUHODWLRQVDQG VRFLDO REOLJDWLRQV DQG GXWLHV ZLWK ZKLFK JRYHUQPHQW LV .HLWK9DXJKQjVREMHFWLRQVWRWKHDQWLQHSRWLVPSROLF\ZHUH QHFHVVDULO\UHTXLUHGWRGHDOl REYLRXVO\ PDGH LQ WKH LQWHUHVW RI s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sFRQFXUULQJ QRWLQJ HQXPHUDWHGUHODWLYHV.HLWKWROGWKH%RDUGIRULQVWDQFHWKDW WKDWm>V@WDWHUHJXODWLRQKDVLQFOXGHGEDQVRQLQFHVWELJDP\ KH ZDQWHG WKHP WR EH mWUHDWHG OLNH HYHU\RQH HOVHl 7KH DQG KRPRVH[XDOLW\ DV ZHOO DV YDULRXV SUHFRQGLWLRQV WR TXHVWLRQRIKRZWKHSROLF\ZDVWRLQWHUSUHWHGDQGZKHWKHULW PDUULDJHlEXWUHO\LQJRQWKH'XH3URFHVVFODXVHWRUHTXLUH ZDV mIDLUl WR WUHDW WKH 9DXJKQV GLIIHUHQWO\ WKDQ WKH RWKHU mMXVWLILFDWLRQ µZKHQ WKH JRYHUQPHQW LQWUXGHV RQ FKRLFHV UHODWLYHV ZDV VRPHWKLQJ WKDW ZRXOG FHUWDLQO\ KDYH WKH FRQFHUQLQJIDPLO\OLYLQJDUUDQJHPHQWVjLQDPDQQHUZKLFKLV SRWHQWLDOWRDIIHFWRWKHUV0RUHEURDGO\LWmWRXFKHGRQlWKH FRQWUDU\WRGHHSO\URRWHGWUDGLWLRQVl TXRWLQJWKHSOXUDOLW\ LPSRUWDQW TXHVWLRQ RI ZKDW OHYHO RI LQWUXVLRQ DQ HPSOR\HU 9DXJKQHWDOY 1R 1R 9DXJKQHWDOY /DZUHQFHEXUJ3RZHU6\VWHP /DZUHQFHEXUJ3RZHU6\VWHP
86&DQGZHZLOOWUHDWLWDVLILWKDGQRWEHHQZDLYHG RSLQLRQLQ0RRUHY&LW\RI(DVW&OHYHODQG86 &I8QLWHG6WDWHVY'H[WHU)G WK&LU (YHQZLWKUHJDUGWRPDUULDJHVRIWKH DOWKRXJKWKHFULPLQDOGHIHQGDQWIDLOHGWRREMHFWSURSHUO\WR W\SH UHFRJQL]HG DW FRPPRQ ODZ WKH W\SH WKH 9DXJKQV WKHPDJLVWUDWHMXGJHjVUHVROXWLRQRIWKHLVVXHEHFDXVHmWKH XQGHQLDEO\VRXJKWJRYHUQPHQWZLOOQRWYLRODWHWKRVHLQWLPDWH JRYHUQPHQWGRHVQRWUDLVHWKHZDLYHULVVXHZHZLOOWUHDW DVVRFLDWLRQDOULJKWVRIPDUULDJHZHKDYHGHHPHGGHULYHGIURP 'H[WHU VDUJXPHQWVDVLIWKH\ZHUHQRWZDLYHGl WKH)LUVW$PHQGPHQWLILWVUHVWULFWLRQVLPSRVHRQO\DmQRQ 7KH&RPSHOOHG6SHHFKRI.HLWK9DXJKQ )RUDSXEOLFHPSOR\HHWRHVWDEOLVKDSULPDIDFLHFDVHRI )LUVW$PHQGPHQWUHWDOLDWLRQXQGHU86& KHPXVW :H UHFRJQL]H RI FRXUVH WKDW WKLV DUHD RI WKH ODZ LV KLJKO\ FRQWHVWHG
GHPRQVWUDWH WKDW KH ZDV HQJDJHG LQ D FRQVWLWXWLRQDOO\ DQG VRPHZKDW XQVHWWOHG 6HH 0RQWJRPHU\ )G DW H[SUHVVLQJ UHVHUYDWLRQV DERXW WKH FRQVLVWHQF\ RI 6XSUHPH &RXUWjV WLHUV RI SURWHFWHG DFWLYLW\ WKDW WKH GHIHQGDQWjV DGYHUVH DFWLRQ VHH 'DYLG ' 0H\HU FRQVWLWXWLRQDO UHYLHZ LQ WKLV DUHD 9$1' / 5(9 DUJXLQJ WKDW DOVR 7KH 3DUDGR[ FDXVHGKLPWRVXIIHUDQLQMXU\WKDWZRXOGOLNHO\FKLOODSHUVRQ GRFWULQDO FRQIXVLRQ KDV EHHQ H[DFHUEDWHG E\ mUHIXVDO WR DGKHUH RI )DPLO\ 3ULYDF\ RI RUGLQDU\ ILUPQHVV IURP FRQWLQXLQJ WR HQJDJH LQ WKDW DFWLYLW\ DQG WKDWWKHDGYHUVHDFWLRQZDVPRWLYDWHGDWOHDVW FRQVLVWHQWO\ WR DQ\ VLQJOH VWDQGDUG RI FRQVWLWXWLRQDO UHYLHZl $V YLHZHG LQ SDUW DV D UHVSRQVH WR WKH H[HUFLVH RI KLV FRQVWLWXWLRQDO E\ 3URIHVVRU 0H\HU mWKHUH LV EURDG DJUHHPHQW WKDW WKH 6XSUHPH &RXUWjV ULJKWV /HDU\ Y 'DHVFKQHU )G WK &LU µSULYDF\j FDVHV KDYH FUHDWHG D GRFWULQDO µTXDJPLUHjl DW 6\QWKHVL]LQJ FRPPHQWDU\ RQ WKH SUHVHQW VWDWH RI WKH ODZ KRZHYHU WKHUH ,G
DSSHDUV WR EH DW OHDVW HTXDOO\ EURDG DJUHHPHQW WKDW WKH FRQVLVWHQF\ RI D SUDFWLFH LQVLGH WKH GRPHVWLF VSKHUH ZLWK RXU VRFLDO DQG OHJDO WUDGLWLRQV )RU VSHHFK WR EH FRQVLGHUHG D FRQVWLWXWLRQDOO\ SURWHFWHG RIWHQ SURYHV WR EH WKH NH\ WR LWV FRQVWLWXWLRQDO SURWHFWLRQ DW DFNQRZOHGJLQJ WKDW WKH 6XSUHPH m&RXUW LV QRZ ILUPO\ FRPPLWWHG WR WKH 6HH LG
DFWLYLW\ WKH SXEOLF HPSOR\HH PXVW VKRZ WKDW KLV VSHHFK mWRXFKHGRQPDWWHUVRISXEOLFFRQFHUQlDQGmWKHHPSOR\HH V LGHD WKDW KLVWRULFDO FRQVHQVXV UHJDUGLQJ WKH SURSULHW\ RI UHJXODWLRQ LV LQWHUHVWLQFRPPHQWLQJXSRQPDWWHUVRISXEOLFFRQFHUQPXVW UHOHYDQW WR DQ DVVHVVPHQW RI LWV FRQVWLWXWLRQDOLW\l 521$/' ( 52781'$ s2+1 ( 12:$. 75($7,6( 21 &2167,787,21$/ /$: 6HH DOVR
EHIRXQGWRRXWZHLJKWKHLQWHUHVWRIWKH6WDWHDVDQHPSOR\HU G HG QRWLQJ IRFXV RI MXULVSUXGHQFH RQ mWUDGLWLRQDOl LQSURPRWLQJWKHHIILFLHQF\RIWKHSXEOLFVHUYLFHVLWSHUIRUPV IDPLO\ UHODWLRQVKLSV ZKLOH SRLQWLQJ RXW WKDW mWKH 6XSUHPH &RXUW WR GDWH WKURXJKLWVHPSOR\HHVl,ELG LQWHUQDOTXRWDWLRQRPLWWHG ,I KDV QRW UXOHG WKDW WUDGLWLRQDO IDPLO\ UHODWLRQVKLSV DUH SURWHFWHGl HPSKDVLV DGGHG RQO\
WKHSODLQWLIIFDQPDNHRXWDSULPDIDFLHFDVHWKHGHIHQGDQWV WKHQKDYHWKHEXUGHQRIVKRZLQJE\DSUHSRQGHUDQFHRIWKH HYLGHQFHWKDWWKH\mZRXOGKDYHWDNHQWKHVDPHDFWLRQHYHQ 7KH ULJKW RI PDUULDJH LV DOVR VRPHWLPHV GHULYHG IURP VXEVWDQWLYH LQ WKH DEVHQFH RI WKH SURWHFWHG FRQGXFWl ,ELG LQWHUQDO GXH SURFHVV )G DW ,Q RUGHU WR GHULYH VXFK D ULJKW IURP WKH WH[W RI )LUVW $PHQGPHQW VRPH FRPPHQWDWRUV KDYH 6HH 0RQWJRPHU\
TXRWDWLRQRPLWWHG SRLQWHG WR WKH 1LQWK $PHQGPHQW DV VHUYLQJ DV D UXOH RI FRQVWUXFWLRQ ZKLFK DOORZV D EURDG UHDGLQJ RI WKH FRQVWLWXWLRQDO WH[W LQ RUGHU WR SURWHFW m:KHWKHU DQ HPSOR\HH V VSHHFK DGGUHVVHV D PDWWHU RI RI ULJKWV VLPLODU LQ FKDUDFWHU WR WKRVH VSHFLILFDOO\ HQXPHUDWHG /$85(1&( + 75,%( $0(5,&$1 &2167,787,21$/ /$: G HG 6HH
SXEOLFFRQFHUQPXVWEHGHWHUPLQHGE\WKHFRQWHQWIRUPDQG FRQWH[W RI D JLYHQ VWDWHPHQW DV UHYHDOHG E\ WKH ZKROH ,W PD\ EH KRZHYHU WKDW WKH H[WHQW RI WKH UHDGLQJV DXWKRUL]HG E\
UHFRUGl &RQQLFN Y 0\HUV 86 WKH 1LQWK $PHQGPHQW LV OLPLWHG WR WKRVH VLPLODU ULJKWV WKDW ZHUH UHFRJQL]HG DV VLPLODU DW WKH WLPH WKH VSHFLILFDOO\ HQXPHUDWHG ULJKW ZDV 6SHHFKWKDWFDQEHmIDLUO\FRQVLGHUHGDVUHODWLQJWRDQ\PDWWHU HQVKULQHG $00 Q 8:57, 6LQFH WKH ULJKW DVVHUWHG E\ WKH 9DXJKQV LV RI SROLWLFDO VRFLDO RU RWKHU FRQFHUQ WR WKH FRPPXQLW\l XQGHQLDEO\ SURWHFWHG E\ WKH 6XSUHPH &RXUW DQG WKLV FLUFXLW ZH QHHG QRW LQTXLUH IXUWKHU LQWR WKH UDWLRQDOH EHKLQG WKDW SURWHFWLRQ 9DXJKQHWDOY 1R 1R 9DXJKQHWDOY /DZUHQFHEXUJ3RZHU6\VWHP /DZUHQFHEXUJ3RZHU6\VWHP
RSSUHVVLYHEXUGHQRQWKHGHFLVLRQWRPDUU\l0RQWJRPHU\ DSSHOODWHUHYLHZ PDNLQJVRPHREMHFWLRQVEXWIDLOLQJWRUDLVH )GDW RWKHUVZLOOQRWSUHVHUYHDOOWKHREMHFWLRQVDSDUW\PD\KDYHl 1HXPDQY5LYHUV)G WK&LU TXRWLQJ 7KLVFDVHLVSRWHQWLDOO\GLVWLQJXLVKDEOHIURP0RQWJRPHU\ .HOO\Y:LWKURZ)G WK&LU TXRWLQJ LQ WKDW /36jV H[RJDP\ UXOH UHTXLUHV WHUPLQDWLRQ DQG WKH 6PLWKY'HWURLW)HGHUDWLRQRI7HDFKHUV/RFDO )G SODLQWLIIWHDFKHUV LQ 0RQWJRPHU\ ZHUH PHUHO\ UHTXLUHG WR WK &LU LQWHUQDO TXRWDWLRQ PDUNV KDYH RQH VSRXVH WUDQVIHU WR D GLIIHUHQW VFKRRO ZLWKLQ WKH RPLWWHG VFKRROV\VWHP+RZHYHUWKLVGRHVQRWFKDQJHWKHHVVHQWLDO IDFWWKDWWKHSROLF\GLGQRWEDUs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sHQQLIHU DQG .HLWK GHFLGHG WR PDUU\ RQH DQRWKHU /36jV MXGLFLDOUHVRXUFHVDQGIRFXVWKHGLVWULFWFRXUWj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mHQWLUHUHFRUGlDQGUHSRUW:KHQWKHGLVWULFW 6RZDUGVUHOLHGRQE\WKHSODLQWLIIVGRHVQRWFKDQJHWKLV FRXUWGRHVQRWLWVHOIPDNHXVHRIWKHREMHFWLRQUXOHRUUHO\ UHVXOW6RZDUGVZDVQRWEDVHGRQDFKDOOHQJH WRDUXOHRU XSRQLWPXFKRIWKHMXVWLILFDWLRQEHKLQGHQIRUFHPHQWRIWKH GHFLVLRQEDVHGRQPDUULDJHSHUVHEXWWRDQDFWRISXUSRUWHG UXOHGLVVLSDWHV6HH2j1HDOY0RUULV)G UHWDOLDWLRQWKDWDIIHFWHGWKHULJKWRIPDUULDJH$VQRWHGE\ WK &LU UHYjG LQ SDUW RQ RWKHU JURXQGV 2 1HDO Y ERWK0RQWJRPHU\)GDWDQG6RZDUGV)G 0F$QLQFK 86 ,Q WKHLU REMHFWLRQV WKH DWWKHWZRW\SHVRIFDVHVDUHGLIIHUHQWEHFDXVHWKHILUVW SODLQWLIIVDWOHDVWDOHUWHGWKHFRXUWWKDWWKH\REMHFWHGWRWKH W\SH GHDOV ZLWK DQ DWWHPSW WR DGYDQFH OHJLWLPDWH UHSRUWWRmWKHH[WHQWLWFRQFOXGHVWKDWWKHUHWDOLDWLRQFODLP JRYHUQPHQWDOLQWHUHVWVZKLOHWKHODWWHUFRQFHUQVDQDOOHJHG RI.HLWK9DXJKQVKRXOGEHGLVPLVVHGl:KLOHZHKDYHLQWKH LQWUXVLRQ RQWR D SURWHFWHG ULJKW ZLWKRXW DQ\ SROLF\ SDVW DFFHSWHG DV VXIILFLHQW DUJXDEO\ LQDGHTXDWH REMHFWLRQV MXVWLILFDWLRQ6HH$GNLQVY%GRI(GXFRI0DJRIILQ&R XQGHUWKHVSHFLILFIDFWVRIWKHLQGLYLGXDOFDVHVHHHJ.HOO\ )G WK&LU GLVFXVVHGE\ERWK6RZDUGVDQG Y :LWKURZ )G WK &LU WKH VDPH 0RQWJRPHU\ 7KH SODLQWLIIVj GHVLUH WKDW ZH UHYLVLW DGPRQLWLRQDSSOLHVKHUHDVLQ.HOO\mWKDWDFRQFLVHVWDWHPHQW 0RQWJRPHU\ LV RI FRXUVH LPSRVVLEOH DW WKLV WLPH DQG ZH RI VSHFLILF KROGLQJV RI WKH PDJLVWUDWH MXGJH WR ZKLFK GHFOLQH WKHLU LQYLWDWLRQ WR DGRSW DQ mXQGXH LQWUXVLRQl WHVW H[FHSWLRQLVWDNHQLVWKHSUHIHUUHGDQGVDIHUFRXUVHl%HFDXVH 9DXJKQ%UDW QHLWKHUWKHGLVWULFWFRXUWQRUGHIHQGDQWXQWLOWKHGD\RIRUDO DUJXPHQWWUHDWHGWKHFODLPDVZDLYHGDQGEHFDXVHWKHUHZDV ,QRUGHUWRVDWLVI\UDWLRQDOEDVLVVFUXWLQ\DUXOHLQWHUIHULQJ D FRORUDEOH DWWHPSW DW DQ REMHFWLRQ ZH FRQFOXGH WKDW ZLWK WKH ULJKW RI PDULWDO DVVRFLDWLRQ XQGHU WKH )LUVW DFFHSWDQFH RI WKH LVVXH IRU DSSHOODWH UHYLHZ GRHV QRW $PHQGPHQWPXVWDGYDQFHDOHJLWLPDWHJRYHUQPHQWDOLQWHUHVW XQGHUPLQHWKHSROLF\RUSXUSRVHVRIWKH0DJLVWUDWHjV$FW 9DXJKQHWDOY 1R 1R 9DXJKQHWDOY /DZUHQFHEXUJ3RZHU6\VWHP /DZUHQFHEXUJ3RZHU6\VWHP
DSSHDO7RWKHH[WHQWWKHLUPRWLRQWRDOWHUDQGDPHQGDVVHUWHG DQG PXVW QRW EH DQ XQUHDVRQDEOH PHDQV RI DGYDQFLQJ WKDW DUHWDOLDWLRQFODLPIRUsHQQLIHU9DXJKQjVGLVFKDUJHEDVHGRQ OHJLWLPDWHJRYHUQPHQWDOLQWHUHVW6HH0RQWJRPHU\)G KHUULJKWRILQWLPDWHDVVRFLDWLRQLWZLOOEHDGGUHVVHGLQIUDEXW DW/36DVVHUWVWKDWLWVUXOHH[LVWVWR SUHYHQWRQH WKH IROORZLQJ IUHHVSHHFK DQDO\VLV ZLOO EH FRQILQHG WR WKH HPSOR\HHIURPDVVXPLQJWKHUROHRImVSRNHVSHUVRQlIRUERWK WHUPLQDWLRQRI.HLWK9DXJKQ WRDYRLGLQYROYLQJRUDQJHULQJDVHFRQGHPSOR\HHZKHQ DQHPSOR\HHLVUHSULPDQGHG DQGWRDYRLGPDULWDOVWULIHRU +RZHYHUZHPXVWILUVWFRQVLGHUZKHWKHUWKH9DXJKQVKDYH IUDWHUQL]DWLRQ LQ WKH ZRUNSODFH /36 %U DW 7KHVH SURSHUO\ SUHVHUYHG .HLWKjV FRQVWLWXWLRQDO UHWDOLDWLRQ FODLP LQWHUHVWV UHVHPEOH WKRVH SXW IRUZDUG E\ WKH GHIHQGDQW LQ 7KHDSSHOOHHGHVSLWHUHVSRQGLQJWRWKHDSSHOODQWVjEULHIKDV 0RQWJRPHU\DQGIRXQGVDWLVIDFWRU\6HH0RQWJRPHU\ DUJXHGRQO\DJDLQVWWKHLUFODLPVXQGHUWKH7+5$ /36%U )G DW :H VSHFLILFDOO\ QRWHG WKDW D JRYHUQPHQW DW ,W GLG QRW UHVSRQG LQ DQ\ IDVKLRQ WR SODLQWLIIVj HPSOR\HUPD\KDYHDOHJLWLPDWHFRQFHUQDERXWWKHLQKHUHQW FXUUHQW FODLPV WKDW WKH\ ZHUH HQJDJHG LQ mFRQVWLWXWLRQDOO\ OR\DOW\ WKDW RQH VSRXVH ZLOO VKRZ WR DQRWKHU PDNLQJ SURWHFWHGDFWLYLW\l 9DXJKQ%UDW ,QSDUWLFXODU/36GLG GLVFLSOLQHPRUHGLIILFXOW,ELG7KHUHIRUHZHFRQFOXGH/36 QRWLQLWVEULHIFODLPWKDWWKH9DXJKQVIRUIHLWHGWKHLUIHGHUDO KDV GHPRQVWUDWHG LWV H[RJDP\ UXOH DGYDQFHV D OHJLWLPDWH FODLPE\IDLOLQJWRLQFOXGHGLVFXVVLRQRILWLQWKHLUVSHFLILF JRYHUQPHQWDOLQWHUHVW REMHFWLRQV WR WKH UHSRUW DQG UHFRPPHQGDWLRQ $W RUDO DUJXPHQWKRZHYHUZKHQTXHVWLRQHGDERXWWKHIUHHVSHHFK 7KH 9DXJKQV FODLP WKDW WKH UXOH HYHQ LI DGYDQFLQJ D LVVXH GHIHQGDQWjV FRXQVHO DVVHUWHG WKDW WKH 9DXJKQV KDG OHJLWLPDWH LQWHUHVW LV DQ XQUHDVRQDEOH PHDQV RI GRLQJ VR IRUIHLWHG RU ZDLYHG WKLV FODLP DIWHU WKH LVVXDQFH RI WKH 7KH\SRLQWRXWWKDWWKHUXOHGRHVQRWDIIHFWWKRVHZLOOLQJWR PDJLVWUDWHMXGJHj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jV YDULDWLRQLQWKHQDWXUHDQGLQWHQVLW\RIWKHUHODWLRQVKLSVRQH EULHI ZKLFK ZRXOG KDYH DPRQJ RWKHU WKLQJV DOORZHG WKH ILQGVDPRQJERWKPDUULHGDQGXQPDUULHGFRXSOHV<HWWKHUH 9DXJKQV WR UHVSRQG WR WKLV GHIHQVH LQ WKHLU UHSO\ EULHI LV JRRG UHDVRQ WR EHOLHYH WKDW WKH OHYHO RI FRPPLWPHQW 1HYHUWKHOHVVZHPXVWDFNQRZOHGJHWKDWLIWKHGHIHQVHKDG VLJQLILHG E\ PDUULDJH o DQG LWV DWWHQGDQW OHJDO PRUDO DQG EHHQUDLVHGLWZRXOGKDYHKDGFRQVLGHUDEOHPHULW,QWKHLU ILQDQFLDOREOLJDWLRQVoPDUNVWKRVHUHODWLRQVKLSVLQZKLFKRQ REMHFWLRQV WR WKH PDJLVWUDWH MXGJHj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mRQO\ WKRVH VSHFLILF REMHFWLRQV WR WKH PDJLVWUDWHjV WKRVHDIIHFWLQJWKHFRXSOHLQWKH0RQWJRPHU\FDVH7KHUH UHSRUW PDGH WR WKH GLVWULFW FRXUW ZLOO EH SUHVHUYHG IRU RQHRIWKHPDUULHGHPSOR\HHVZDVWUDQVIHUUHG+HUHERWKWKH 9DXJKQHWDOY 1R 1R 9DXJKQHWDOY /DZUHQFHEXUJ3RZHU6\VWHP /DZUHQFHEXUJ3RZHU6\VWHP
9DXJKQVZHUHWHUPLQDWHGDQGWKHSROLF\PDQGDWHGWKLVIRU RIDQHPSOR\HUWRWHUPLQDWHDQDWZLOOHPSOR\HH6HHLELG DWOHDVWRQHRIWKHP$OWKRXJKWKH0RQWJRPHU\VZHUHIRUFHG $Q HPSOR\HHDWZLOO JHQHUDOO\ PD\ QRW EH GLVFKDUJHG IRU WR EHDU WKH HFRQRPLF FRVWV RI FRPPXWLQJ WKH LPPHGLDWH DWWHPSWLQJWRH[HUFLVHDVWDWXWRU\RUFRQVWLWXWLRQDOULJKWRUIRU HIIHFWWKHUHZDVOHVVWKDQWKHORVVRIRQHVSRXVHjVLQFRPH,Q RWKHUUHDVRQVWKDWYLRODWHDFOHDUSXEOLFSROLF\HYLGHQFHGE\ UHVSRQVH /36 SRLQWV RXW WKDW WKH\ VLPSO\ GR QRW KDYH WKH DQ XQDPELJXRXV FRQVWLWXWLRQDO VWDWXWRU\ RU UHJXODWRU\ RSWLRQ RI KDYLQJ D WUDQVIHU SROLF\ EHFDXVH /36 LV DQ SURYLVLRQ6HHLGDW RSHUDWLRQRIRQO\WRHPSOR\HHVDQGIXUWKHUVHSDUDWLRQ EHWZHHQ WKH VSRXVHV WKDQ DOUHDG\ H[LVWHG ZRXOG QRW EH ,Q FRQQHFWLRQ ZLWK HPSOR\PHQW WKH 7HQQHVVHH +XPDQ SRVVLEOH 5LJKWV$FWSUHYHQWVmGLVFULPLQDWLRQEHFDXVHRIUDFHFUHHG FRORU UHOLJLRQ VH[ DJH RU QDWLRQDO RULJLQl 7 & $SSDUHQWO\EHIRUHUHODWLRQVEHWZHHQ&DWRDQGWKH9DXJKQV $ 7KH$FWDOVRmPDNHVLWDGLVFULPLQDWRU\ GHWHULRUDWHGWKHUHKDGEHHQGLVFXVVLRQRISODFLQJRQHRIWKHP SUDFWLFHWRUHWDOLDWHDJDLQVWDSHUVRQEHFDXVHVXFKSHUVRQKDV RQ QRQSHUPDQHQW VWDWXV XQWLO WKH\ FRXOG REWDLQ ZRUN RSSRVHG D SUDFWLFH GHFODUHG GLVFULPLQDWRU\ E\l WKH $FW HOVHZKHUH7KH9DXJKQVGRQRWGHVFULEHKRZWKH\EHOLHYH 7 & $ ,WLVWKLVODWWHUmRSSRVLWLRQl /36FRXOGKDYHLPSOHPHQWHGLWVSROLF\LQDOHVVEXUGHQVRPH SURYLVLRQ WKDW KDV EHHQ DVVHUWHG E\ WKH 9DXJKQV $V WKH ZD\,QWKHVHFLUFXPVWDQFHVWKHUXOHRQFHDGPLWWHGQRWWR GHIHQGDQW SRLQWV RXW KRZHYHU WKLV SURYLVLRQ LV LQWHJUDOO\ LQWHUIHUHGLUHFWO\ZLWKWKHULJKWRIPDUULDJHDQGWRDGYDQFHD FRQQHFWHG WR WKH W\SHV RI GLVFULPLQDWLRQ WKH 7+5$ KDV OHJLWLPDWH LQWHUHVW GRHV QRW VHHP XQUHDVRQDEOH &I VSHFLILFDOO\IRUELGGHQ7HQQHVVHHKDVQRWLQFOXGHGPDULWDO 5RVHQEDUJHUY6KLSPDQ)6XSS 1',QG VWDWXVLQLWVOLVWRIIRUELGGHQHPSOR\PHQWFODVVLILFDWLRQVDQG XSKROGLQJ WHUPLQDWLRQ RI SUREDWLRQ RIILFHU ZKR ZLWKRXW DQ XQDPELJXRXV SURYLVLRQ LW LV XQOLNHO\ WKDW D PDUULHGDVKHULIIEXWOLPLWLQJDSSURYDOWRWKHVLWXDWLRQRID 7HQQHVVHH FRXUW ZRXOG DEURJDWH LWV HPSOR\PHQWDWZLOO VPDOOODZHQIRUFHPHQWDQGFRXUWV\VWHPLQDUXUDOFRXQW\ GRFWULQH7KH9DXJKQVKDYHQRWDOHUWHGWRXVWRDQ\DOWHUQDWH 7KHUHIRUHWKHUXOHRIH[RJDP\LQ/36jVDQWLQHSRWLVPSROLF\ EDVHV IRU WKH UHWDOLDWLRQ FODLP XQGHU WKH 7HQQHVVHH GRHV QRW YLRODWH WKH IXQGDPHQWDO ULJKW RI PDUULDJH DQG FRQVWLWXWLRQVWDWXWHVRUFDVHODZDQGZHWKHUHIRUHQHHGQRW VXPPDU\MXGJPHQWLVDSSURSULDWHDVWRWKH9DXJKQVjFODLPV DGGUHVV ZKHWKHU VXFK PLJKW H[LVW .HLWK 9DXJKQjV FODLP DGYDQFHGRQWKDWEDVLV XQGHU7+5$ZDVSURSHUO\GLVPLVVHG 5HWDOLDWRU\'LVFKDUJHo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j FDXVHRUQRFDXVHDWDOO6HH6WHLQY'DYLGVRQ+RWHO&R FRPSODLQW VKRZV WKDW LW DOOHJHV D YLRODWLRQ RI IUHH VSHHFK 6:G 7HQQ %\VWDWXWHDQGFDVHODZ ULJKWV RQO\ DV WR WKH WHUPLQDWLRQ RI .HLWK 9DXJKQ 7KH KRZHYHUVRPHUHVWULFWLRQVKDYHEHHQLPSRVHGXSRQWKHULJKW SODLQWLIIVPD\QRWZLWKRXWMXVWLILFDWLRQDUJXHQHZLVVXHVRQ
Reference
- Status
- Published