Sunteți pe pagina 1din 129

Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 1 of 129 Page ID #:1



 (GZDUG0$QGHUVRQ 6%1 
5HJLQD<HK 6%1 
 $1'(5621<(+3&
:LOVKLUH%RXOHYDUGWK)ORRU
 6DQWD0RQLFD&DOLIRUQLD
7HO  )D[  
 HGZDUG#DQGHUVRQ\HKODZFRP
UHJLQD#DQGHUVRQ\HKODZFRP
 

 $WWRUQH\VIRU3ODLQWLII
+$/(<&$0,//()5(('0$1
 

 81,7('67$7(6',675,&7&2857

 &(175$/',675,&72)&$/,)251,$


 +$/(<&$0,//()5(('0$1  &$6(12
DQLQGLYLGXDO 
  &203/$,17)25
3ODLQWLII 
    '(&/$5$725<-8'*0(17
Y $1'$&&2817,1*
  38568$17727+(
 &23<5,*+7$&7
 5<'(678',26//&GED5<'(   '(&/$5$725<-8'*0(17
678',26DQGGED.$7 %$5(D 38568$17727+(&$/
 &DOLIRUQLDOLPLWHGOLDELOLW\FRPSDQ\ 5(9,6('81,)250
1,&2/$6*,%%6DQLQGLYLGXDO 3$571(56+,3$&7
 5,&+$5''¶$/(66,2DQLQGLYLGXDO   %5($&+2)&2175$&7
%(&.<7$+(/%25'2DQ   %5($&+2),03/,('
 LQGLYLGXDODQG'2(6WKURXJK &29(1$172)*22')$,7+
 $1')$,5'($/,1*
 'HIHQGDQWV   3520,6625<(67233(/
  )5$8'$1'
   $&&2817,1*

 '(0$1')25-85<75,$/











 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 2 of 129 Page ID #:2

  3ODLQWLII+DOH\&DPLOOH)UHHGPDQ ³3/$,17,))´RU³)5(('0$1´ DOOHJHVDV


 IROORZV
 -85,6',&7,21$1'9(18(
 Subject Matter Jurisdiction
  7KH&RXUWKDVIHGHUDOTXHVWLRQVXEMHFWPDWWHUMXULVGLFWLRQRIWKHFDVHRU
 FRQWURYHUV\KHUHLQSXUVXDQWWR86&†† D  E DQGDQGRQ
 WKHJURXQGVWKDWWKLVLVDFLYLODFWLRQDULVLQJXQGHUWKH&RQVWLWXWLRQODZVRUWUHDWLHVRI
 WKH8QLWHG6WDWHV3/$,17,))¶6ILUVWFODLPIRUUHOLHILVIRUDGHFODUDWRU\MXGJPHQWDQG
 DFFRXQWLQJDULVLQJXQGHUinter alia,WKH8QLWHG6WDWHV&RS\ULJKW$FWRIDV
 DPHQGHG86&†et seq. WKH³&RS\ULJKW$FW´ DQG86&††DQG
  WKH'HFODUDWRU\-XGJPHQW$FW 
  7KH&RXUWKDVVXSSOHPHQWDOMXULVGLFWLRQSXUVXDQWWR86&†RYHU
 3/$,17,))¶6VHFRQGWKURXJKVHYHQWKFODLPVIRUUHOLHIDOORIZKLFKDULVHXQGHU
 &DOLIRUQLDVWDWHODZ$OOVHYHQRI3/$,17,))¶6FODLPVIRUUHOLHIDULVHIURPDFRPPRQ
 QXFOHXVRIRSHUDWLYHIDFWVVXFKWKDWWKHVWDWHODZFODLPVDUHVRUHODWHGWRWKHIHGHUDO
 TXHVWLRQFODLPVWKDWWKH\IRUPSDUWRIWKHVDPHFDVHRUFRQWURYHUV\XQGHU$UWLFOH,,,RI
 WKH8QLWHG6WDWHV&RQVWLWXWLRQ
 Personal Jurisdiction
  7KH&RXUWKDVSHUVRQDOMXULVGLFWLRQRYHUHDFKRIWKHGHIHQGDQWVLQWKDW
 HDFKRIWKHQRQ'RHGHIHQGDQWVUHVLGHVZLWKLQWKH6WDWHRI&DOLIRUQLDDQGZLWKLQWKLV
 GLVWULFWDQGRULVUHJXODUO\GRLQJEXVLQHVVZLWKLQWKH6WDWHRI&DOLIRUQLDDQGWKLV
 GLVWULFWDQGRUSXUSRVHO\GLUHFWHGZURQJIXODQGWRUWLRXVFRQGXFWWRZDUG3/$,17,))
 ZKRUHVLGHVLQWKLV6WDWHDQGWKLVGLVWULFW3/$,17,))LVLQIRUPHGDQGEHOLHYHVDQG
 WKHUHRQDOOHJHVWKDWGLVFRYHU\RUIXUWKHULQYHVWLJDWLRQZLOODOVRVKRZWKDWVRPHRUDOORI
 WKH'RHGHIHQGDQWVUHVLGHZLWKLQWKH6WDWHRI&DOLIRUQLDDQGZLWKLQWKLVGLVWULFWDQGRU
 DUHUHJXODUO\GRLQJEXVLQHVVZLWKLQWKH6WDWHRI&DOLIRUQLDDQGWKLVGLVWULFW)XUWKHU
 ZLWKUHVSHFWWRHDFKGHIHQGDQWLQFOXGLQJDOORIWKH'RHGHIHQGDQWVDVXEVWDQWLDO
 SRUWLRQRIWKHUHOHYDQWDFWVFRPSODLQHGRIRFFXUUHGZLWKLQWKH6WDWHRI&DOLIRUQLDDQG

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 3 of 129 Page ID #:3

 WKLVGLVWULFW:LWKUHVSHFWWR3/$,17,))¶6LQWHQWLRQDOWRUWFODLPVHDFKRIWKH
 GHIHQGDQWVWRWKRVHFODLPVHQJDJHGLQLQWHQWLRQDODFWVH[SUHVVO\DLPHGDWWKH6WDWHRI
 &DOLIRUQLDFDXVLQJKDUPWKDWGHIHQGDQWVNQHZZDVOLNHO\WREHVXIIHUHGLQWKH6WDWHRI
 &DOLIRUQLDDQG3/$,17,))¶6FODLPVDULVHRXWRIRUDUHUHODWHGWRWKHGHIHQGDQWV¶
 IRUXPUHODWHGDFWLYLWLHV7KHVSHFLILFIDFWVRISHUVRQDOMXULVGLFWLRQZLWKUHVSHFWWRHDFK
 GHIHQGDQWDUHGHWDLOHGIXUWKHUKHUHLQ
 Venue
  9HQXHLVSURSHULQWKH8QLWHG6WDWHV'LVWULFW&RXUWIRUWKH&HQWUDO'LVWULFW
 RI&DOLIRUQLD:HVWHUQ'LYLVLRQSXUVXDQWWR86&† D EHFDXVHDOO
 GHIHQGDQWVRUWKHLUDJHQWVHLWKHUUHVLGHRUPD\EHIRXQGZLWKLQWKLVGLVWULFWZLWKLQWKH
 PHDQLQJRIVDLGVWDWXWHDQGSXUVXDQWWR86&† E  EHFDXVHDVXEVWDQWLDO
 SDUWRIWKHHYHQWVRURPLVVLRQVJLYLQJULVHWRWKHFODLPVRFFXUUHGLQWKLVGLVWULFWDQGRUD
 VXEVWDQWLDOSDUWRISURSHUW\WKDWLVWKHVXEMHFWRIWKHDFWLRQLVVLWXDWHGKHUH
 
 1$785(2)7+($&7,21
  +ROO\ZRRG¶VFXOWXUHRIVH[XDOSUHGDWLRQKDVDOZD\VEHHQHQDEOHGE\WKH
 SUHGDWRUV¶WKUHDWVWRGHVWUR\DQ\GHILDQWYLFWLP¶VFDUHHU%XWMXVWDVFHUWDLQO\WKRVH
 WKUHDWVKDYHDOZD\VUHOLHGRQWKHFRPSOLFLW\RIWKHFUDYHQWKHFRYHWRXVRUVRPHWLPHV
 HYHQWKHFROGO\FDOFXODWLQJ±WKHLQGXVWU\¶VPHQDQGZRPHQZKRGLVWDQFHWKHPVHOYHV
 IURPVSHDNLQJYLFWLPVZKHWKHUIURPVSLQHOHVVQHVVJUHHGRUHYHQVKHHURSSRUWXQLVP
 WRHOLPLQDWHFRPSHWLWLRQWRWKHLURZQFOLPEXSWKHLQGXVWU\ODGGHU,QRQHRIWKH
 KDUVKHVW+ROO\ZRRGWUXWKVRIDOOLWLVRIWHQWKHYLFWLP¶VIDOVHIULHQGVUDWLRQDOL]LQJ
 EXVLQHVVSDUWQHUVDQGVWUDWHJL]LQJFROOHDJXHVZKRDFWXDOO\FDUU\RXWWKHFDUHHU
 GHVWUXFWLRQWKDWLVWKHSUHGDWRU¶VUHSULVDO7KDWLVZKDWWKHGHIHQGDQWVGLGKHUH$IWHU
 WKHGHIHQGDQWVHQFRXUDJHG3/$,17,))WRFRPHRXWWRDUHSRUWHUZLWKKHU0H7RR
 VWRU\RIDFHOHEULW\VH[XDODVVDXOWWKHGHIHQGDQWVUHVSRQGHGWRWKHUHVXOWLQJSUH
 SXEOLFDWLRQKHDWE\VKXQQLQJ3/$,17,))DQGFXWWLQJKHURXWRIWKHEXVLQHVVVKH
 KHOSHGWKHGHIHQGDQWVEXLOG

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 4 of 129 Page ID #:4

  3/$,17,))LVDWZHQW\WKUHH\HDUROGJLIWHGVW\OLVWIDVKLRQFRQVXOWDQW
 DQGEORVVRPLQJFUHDWLYHGLUHFWRUZKREXLOWKHUQDVFHQWDQGIRUPHUO\SURPLVLQJFDUHHU
 RQWKHVZHDWRIKHUEURZDQGXQGHQLDEOHQDWXUDOWDOHQW7RGRVR)5(('0$1KDGWR
 RYHUFRPHDQLQGXVWU\QLJKWPDUH:KHQVKHZDVWZHQW\\HDUVROGVKHVXIIHUHGD
 KRUULEOHPXOWLGD\ORQJVH[XDODVVDXOWE\RQHRI+ROO\ZRRG¶VVHULDOUDSLVWVZKR
 KDSSHQVDOVRWREHDIDPRXV\RXQJDFWRU:KHQVRPHRIWKLVKDELWXDOUDSLVW¶VRWKHU
 YLFWLPVFDPHIRUZDUGDVSDUWRI¶VDPSOLILHG0H7RRPRYHPHQW)5(('0$1
 GHFLGHGWKDWVKHPLJKWDOVR%XWILUVWVKHFKHFNHGZLWKWKHQDPHGGHIHQGDQWVKHUH±
 KHUEXVLQHVVSDUWQHUVLQ³.DW %DUH´DQHZ,QVWDJUDPEDVHGIDVKLRQPDJD]LQH
  0RQWKVHDUOLHUWKHGHIHQGDQWVKDGDFWLYHO\VROLFLWHG)5(('0$1WR
 DEDQGRQKHUEXUJHRQLQJFDUHHUDVDQLQGHSHQGHQWVW\OLVWDQGIDVKLRQFRQVXOWDQW±LQQR
 VPDOOSDUWE\WKHQRZGHHSLURQ\RISLWFKLQJWKHSODQQHGPDJD]LQHWR)5(('0$1DV
 DWUXPSHWIRUIHPDOHHPSRZHUPHQWDQGVRFLDOFRXUDJH,Q0D\)5(('0$1
 KDGDJUHHGWRMRLQWKHGHIHQGDQWVDQGVKHKDGJLYHQKHUDOOWRWKHYHQWXUHHYHUVLQFH
 WUXO\EHOLHYLQJLQWKHGHIHQGDQWVDVKHUWUXVWHGEXVLQHVVIDPLO\6REHIRUH
 )5(('0$1ZHQWWRWKHSUHVVWRWHOOKHUWHUULEOHVWRU\VKHFRQILGHGLQKHUSDUWQHUV,Q
 SDUWLFXODU)5(('0$1VRXJKWWKHVDJHDGYLFHRIGHIHQGDQW5,&+$5''¶$/(66,2
 ³'¶$/(66,2´ RQZKHWKHUWRVSHDNRUQRWDQGWKHUHDVVXUDQFHRIDOORIWKH
 GHIHQGDQWVWKDWLIVKHGLGWKHGHIHQGDQWVZRXOGQRWVKXQKHU
  7KHQDPHGGHIHQGDQWVDOOYRLFHGWR)5(('0$1WKDWWKH\ZHUH³´
 EHKLQGKHUDQGZRXOGQRWRQO\VXSSRUWKHULIVKHSXWKHUVWRU\RXWWRWKHSUHVVWKH\
 HYHQHQFRXUDJHGKHUWRGRVR$OORIWKHQDPHGGHIHQGDQWVDIILUPHGWKDWWKH\ZRXOG
 VWDQGEHVLGH)5(('0$1LQERWKHPRWLRQDOVROLGDULW\DQGKDQGLQKDQGZLWKKHULQ
 EXVLQHVVQRPDWWHUWKHIDOORXW'¶$/(66,2±DPDQZLWKIRXUGDXJKWHUVZKRNQHZ
 WKDW)5(('0$1YLHZHGKLPDVDIDWKHUILJXUHDQGPHQWRU±FRPPXQLFDWHGWR
 )5(('0$1KLVVWURQJVXSSRUWFKHHUOHDGLQJ³IHPDOHHPSRZHUPHQW´HQFRXUDJHPHQW
 WRKHUDOPRVWXSWRWKHYHU\KRXUWKDW)5(('0$1VWHHOHGKHUVHOIIRUWKHPDHOVWURP
 DQGZDONHGLQWRD/RV$QJHOHVKRWHOURRPWRWHOOKHUVWRU\WRDUHSRUWHU

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 5 of 129 Page ID #:5

  2Q1RYHPEHU)5(('0$1HQGXUHGDJUXHOLQJYLGHRWDSHG
 LQWHUYLHZZLWKDUHVSHFWHGPHGLDSXEOLFDWLRQ2YHUWKHFRXUVHRIVHYHUDOKRXUVRI
 SURELQJTXHVWLRQVDQGFURVVH[DPLQDWLRQLQIURQWRIDUHFRUGLQJYLGHRFDPHUD
 )5(('0$1GHVFULEHGLQJUDSKLFGHWDLOKRZLQ$XJXVWDFWRU(G:HVWZLFN
 ³:HVWZLFN´ OXUHG)5(('0$1WRKLVLVRODWHG*OHQGRZHU(VWDWHPDQVLRQQHDU
 *ULIILWK3DUNDQGNHSWKHUFDSWLYHWKHUHIRUDOPRVWWZRIXOOGD\VZKLOHKHUHSHDWHGO\
 UDSHGKHULQWHUUXSWHGE\LQWHUOXGHVRI:HVWZLFN¶VFUD]HGEHKDYLRUVXFKDVVWDQGLQJ
 IDFLQJKLVEHGURRPZDOOPXWWHULQJDQJULO\DQGLQFRKHUHQWO\WRKLPVHOILQWKHGDUN
  )ROORZLQJ)5(('0$1¶VLQWHUYLHZWKHSXEOLFDWLRQODXQFKHGLQWRLWVSUH
 SXEOLFDWLRQGLOLJHQFHSURFHVVLQFOXGLQJPDNLQJUHTXHVWVIRUFRPPHQWIURP:HVWZLFN
 DQGKLVUHSUHVHQWDWLYHV:HVWZLFN¶VLQGXVWU\PDFKLQHFDPHDIWHU)5(('0$1DQGWKH
 SXEOLFDWLRQIHURFLRXVO\7KH\ZHUHDLGHGLQQRVPDOOSDUWE\WKHDFWLYHDVVLVWDQFHRI
 :HVWZLFN¶VJLUOIULHQG-HVVLFD0LFKpO6HUIDW\ ³6HUIDW\´ 
  6HUIDW\LVDIDVKLRQPRGHOZKRKDGEXVLQHVVFRQQHFWLRQVZLWK
 )5(('0$1DQGODWHUWKHGHIHQGDQWV6HUIDW\VDZKHUSXEOLFUHODWLRQVKLSZLWK
 :HVWZLFNDVDJROGHQWLFNHWLQKHURZQLQGXVWU\FOLPE±DJROGHQWLFNHWWKDW6HUIDW\
 ZDVQRWJRLQJWROHWVOLSDZD\ZLWKRXWDQRKROGVEDUUHGILJKWDJDLQVW)5(('0$1¶6
 VWRU\HYHUVHHLQJSXEOLFDWLRQ
  :HVWZLFN¶VDQG6HUIDW\¶VWHDPVSRXWHGIDOVHGHQLDOV7KH\GHIDPHG
 )5(('0$17KH\VFRXUHGWKH,QWHUQHWDQG)5(('0$1¶6VRFLDODQGEXVLQHVV
 FRQQHFWLRQVIRUDQ\GLUWWKH\PLJKWILQGWRLPSXJQ)5(('0$1¶6FUHGLELOLW\RUHYHQ
 MXVWVLPSO\WRGHJUDGHKHU6HUIDW\JDYHGLVWRUWHGFKDUDFWHUL]DWLRQVRIKHURZQ
 FRPPXQLFDWLRQKLVWRU\ZLWK)5(('0$1WRSDLQW)5(('0$1IDOVHO\DV
 SURPLVFXRXVSV\FKRORJLFDOO\GLVWXUEHGDQGMHDORXVHYHQWKRXJK6HUIDW\NQHZWKDW
 )5(('0$1ZDVQRQHRIWKHVHWKLQJV
  :HVWZLFNDQGKLVODZ\HUVWKUHDWHQHGWKHSXEOLFDWLRQZLWKODZVXLWV
 LQFOXGLQJWKHWKUHDWRIH[SHQVLYHOHJDODFWLRQVLQIDUIOXQJIRUXPVPDNLQJFOHDUWKDW
 WKH\ZRXOGILOHWKHPDQGPDNHWKHPH[SHQVLYHDVDILQDQFLDOSXQLVKPHQWWRWKH

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 6 of 129 Page ID #:6

 SXEOLFDWLRQZKHWKHURUQRW)5(('0$1¶6VWRU\ZDVWUXHDQGZKHWKHURUQRWFODLPV
 DJDLQVWWKHSXEOLFDWLRQZRXOGKDYHDQ\PHULW
  $F\FOHGHYHORSHGDQGUHSHDWHGZLWKH[SHFWHGSXEOLFDWLRQGDWHV
 SRVWSRQHGE\IXUWKHUDOOHJDWLRQVIURP:HVWLFNDQG6HUIDW\DQGIXUWKHUURXQGVRI
 GLOLJHQFHIROORZHGE\QHZH[SHFWHGSXEOLFDWLRQGDWHVDQGWKHQQHZDOOHJDWLRQVDJDLQVW
 )5(('0$1DQGIXUWKHUSRVWSRQHPHQW7KHSXEOLFDWLRQ¶VRZQKDQGZULQJLQJ
 WUHSLGDWLRQEHJDQWRGR:HVWZLFNDQG6HUIDW\¶VZRUNIRUWKHP7KHSXEOLFDWLRQ¶V
 UHSHDWHGGHOD\VWKHPVHOYHVEXUQHGOLNHIODPHVDWWKHIRXQGDWLRQVRI)5(('0$1¶6
 LQGXVWU\FUHGLELOLW\UHSXWDWLRQDQGFDUHHUH[DFWO\DV:HVWZLFNDQG6HUIDW\LQWHQGHG
 %XWWKHFUHGLELOLW\RI)5(('0$1¶6VWRU\VXUYLYHGLWDOODQGWKHSXEOLFDWLRQZDVDERXW
 WRSXOOWKHWULJJHU
  ,QDILQDOGHVSHUDWHPRYH:HVWZLFNWKUHDWHQHGWRVXHXQGHUZKDWKHVDZ
 DVWKHSURWHFWLYHODZRI,UHODQGFODLPLQJWRKDYHWUDYHOUHFHLSWVIURPUHODWLYHVWKDW
 SXUSRUWHGWRVKRZWKDWWKH\KDGYLVLWHG/RV$QJHOHVDWWKHWLPHRIWKHUDSHVRPHKRZ
 SURYLQJLQDQRQVHTXLWXUWKDWWKHUDSHWKHUHIRUHFRXOGQRWKDYHKDSSHQHG:HVWZLFN
 UHIXVHGWRSURGXFHWKHDOOHJHGUHFHLSWVIRUSUHSXEOLFDWLRQUHYLHZWKUHDWHQLQJWREULQJ
 WKHPRXWRQO\LQSRVWSXEOLFDWLRQOLWLJDWLRQ±HIIHFWLYHO\GDULQJWKHSXEOLFDWLRQWRFDOO
 WKHEOXIIRUQRW7KHVWRU\¶VSXEOLFDWLRQZDVSXWLQDVWDWHRIRQJRLQJVXVSHQVLRQGXHWR
 IHDURI:HVWZLFN¶VWKUHDWVDVLPSURSHUDQGGHVSHUDWHDVWKH\ZHUH)5(('0$1ZDV
 OHIWZLWKKHUVWRU\XQWROGZKLOH:HVWZLFNDQG6HUIDW\¶VFRQILGHQFHJUHZWKDWWKH\
 PLJKWVXFFHHGLQVLOHQFLQJ)5(('0$1%\PLG-DQXDU\:HVWZLFNZDVEDFNLQ
 WKH+ROO\ZRRGQLJKWOLIHVFHQHVPXJO\WULXPSKDQWWKDWZLWKWKHKHOSRIDSKDODQ[RI
 ODZ\HUVDQG6HUIDW\:HVWZLFNKDGFUXVKHGDQRWKHUGHILDQWDFFXVHU
  ,QWKHVHGDUNPRPHQWVDOORIWKHGHIHQGDQWVFRXOGKDYHVWRRGE\
 )5(('0$1WKURXJKRXWDVWKH\KDGDVVXUHGKHUWKDWWKH\ZRXOG,QVWHDGWKH\EDVHO\
 EHWUD\HGKHU)5(('0$1KDGVWHSSHGLQWRWKH1RYHPEHUVWYLGHRWDSHGLQWHUYLHZ
 DQGLWVSRUWDORIQRUHWXUQEHOLHYLQJWKDWWKHGHIHQGDQWVZHUHKHUSDUWQHUVDQG
 VXSSRUWHUVDQGWKDW'¶$/(66,2ZKRKDGDFWLYHO\FKHHUHGKHUDFURVVWKHWKUHVKROG

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 7 of 129 Page ID #:7

 ZDVHYHQKHUIULHQGDQGDSDWHUQDOPHQWRU%XWWKHWUXHVLWXDWLRQDSSHDUVQRZWRKDYH
 EHHQWKDWDWOHDVWWZRRIWKHGHIHQGDQWV1,&2/$6*,%%6 ³*,%%6´ DQG%(&.<
 7$+(/%25'2 ³%25'2´ KDGHDFKEHHQDQJOLQJIRUPRQWKVLIQRWGXULQJWKH
 HQWLUHW\RI)5(('0$1¶VUHODWLRQVKLSZLWKWKHPWRUHGXFH)5(('0$1¶6UROHLQWKH
 SDUWQHUVKLSRUFXWKHURXWDOWRJHWKHU$OORIWKHQDPHGGHIHQGDQWVZLWKWKHLUQDPHVRQ
 VWDFNVRIFUHDWLYHGHFNVDQGVRFLDOPHGLDSRVWVWRXWLQJ³IHPDOHHPSRZHUPHQW´DQGWKDW
 WKH³IXWXUHLVIHPDOH´UHVSRQGHGWRWKH:HVWZLFNDQG6HUIDW\ILUHVWRUPE\DFWLYHO\
 H[FOXGLQJ)5(('0$1IURPSHUIRUPLQJVHUYLFHVRQWKHSDUWQHUVKLS¶VSURMHFWV
 LQFOXGLQJSURMHFWVWKDW)5(('0$1ZDVLQVWUXPHQWDOLQEULQJLQJWRWKHYHQWXUH
  $VVRRQDV%25'2OHDUQHGWKDW)5(('0$1KDGJLYHQWKHLQWHUYLHZ
 %25'2FXW)5(('0$1RXWRIDOOEXVLQHVVHPDLOFRPPXQLFDWLRQVHYHQZKLOH
 %25'2FRQWLQXHGWRXVH)5(('0$1¶6FRQWDFWVWRIXUWKHUWKH.DW %DUH9HQWXUH
 DQG%25'2¶6RZQHQGV*,%%6WKHQRPLQDO&KLHI([HFXWLYH2IILFHURIWKH
 SDUWQHUVKLSLQWHQWLRQDOO\FDXVHGWKHSDUWQHUVKLSWRZLWKKROG)5(('0$1¶6PRQWKO\
 SD\IDLOLQJDQGUHIXVLQJHYHQWRFRYHUDERXQFHGSD\FKHFNWR)5(('0$1IRU
 2FWREHU*,%%6FODLPHGWKDWWKHYHQWXUHODFNHGIXQGVDSSDUHQWO\XQDZDUHWKDW
 %25'2KDGDOUHDG\DGPLWWHGWR)5(('0$1WKDWWKHYHQWXUHKDGVRPHKRZPDQDJHG
 IXOO\WRSD\%25'2%25'2HYHQFRQWDFWHG6HUIDW\DQGEURXJKWKHURQWRMREVWKDW
 '¶$/(66,2KDGDOUHDG\SURPLVHGWRWKHILQDQFLDOO\VWUXJJOLQJ)5(('0$1ZLWK
 %25'2NQRZLQJWKDWWKHPRYHZRXOGEORFN)5(('0$1IURPZRUNXQOHVV
 '¶$/(66,2VWRRGXSIRU)5(('0$1
  '¶$/(66,2KLPVHOIEHFDPHDIUDLGRIDQ\GHOD\LQWKHVWRU\¶VSXEOLFDWLRQ
 PLJKWPHDQ$WWKHILUVWVLJQWKDWWKHVWRU\¶VRULJLQDOSXEOLFDWLRQGDWHZDVGHOD\HGIRU
 IXUWKHUIDFWFKHFNLQJ'¶$/(66,2ILUVWDEDQGRQHG)5(('0$1WKHQDFWLYHO\
 VKXQQHGKHUKLPVHOI'¶$/(66,2FRXOGKDYHFDXVHGWKHGHIHQGDQWVWRSD\
 )5(('0$1ZKDWVKHZDVRZHGDQGKHFRXOGKDYHEORFNHGRUUHYHUVHG%25'2¶6
 JDPHVPDQVKLSLQXVLQJ6HUIDW\WREORFN)5(('0$1IURPZRUN%XW'¶$/(66,2
 GLGQHLWKHU7KHQ'¶$/(66,2FXW)5(('0$1RXWRIDORQJSODQQHGEXVLQHVVWULSWR

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 8 of 129 Page ID #:8

 $VLDWKDW'¶$/(66,2DQG)5(('0$1KDGZRUNHGRQWRJHWKHUIRUPRQWKV
  $QGGXULQJDOORIWKLVLWDSSHDUVWKDWDWOHDVWRQHRIWKHGHIHQGDQWV
 IDFLOLWDWHG6HUIDW\OHDUQLQJ)5(('0$1¶6SULYDWHPHGLFDOLQIRUPDWLRQZKLFK6HUIDW\
 DQG:HVWZLFNWKHQWULHGWRXVHLQWKHSXEOLFDWLRQGLOLJHQFHSURFHVVWRSDLQW
 )5(('0$1IDOVHO\DVDGUXJDGGLFWLQUHKDELOLWDWLRQZKHQLQIDFW)5(('0$1KDV
 QHYHUEHHQHLWKHURQH
  :KHQ)5(('0$1REMHFWHGWRGHIHQGDQWV¶\HOORZEHKDYLRUDQG
 GHPDQGHGWKDWWKH\DWOHDVWKHUSD\IRUWKHZRUNDOUHDG\GRQHGHIHQGDQWVDWILUVW
 FRQWLQXHGWRVWDOODQGH[FOXGH)5(('0$1DQGVWLOOIDLOHGWRSD\KHU%XWDVWKH
 ZLQWHUKROLGD\VFDPHDQGZHQWDQGWKHVWRU\IDLOHGWRFRPHRXW'¶$/(66,2EHOLHYHG
 WKDWWKH:HVWZLFNDQG6HUIDW\KXUULFDQHKDGSDVVHGDQGWKDWWKHWKUHDWRISXEOLFDWLRQRI
 )5(('0$1¶6VWRU\KDGGLVDSSHDUHG'¶$/(66,2RIIHUHG)5(('0$1DFKDQFHWR
 UHWXUQWRWKHYHQWXUHDQGHYHQLPSORUHGKHUWRFRPHEDFN
  )5(('0$1ZDQWHGWREHZURQJWKDWWKHSHRSOHVKHKDGWUXVWHGZLWKVR
 PXFKFRXOGUHDOO\WUHDWKHUVRSRRUO\6RVKHHYHQWKRXJKWDERXW'¶$/(66,2¶6
 SURSRVDOWRIRUJLYHDQGIRUJHWDQGPRYHRQWREHWWHUWKLQJVWRJHWKHU%XWWKHQ*,%%6
 PDGHFOHDUZKDWWKHWUXHVLWXDWLRQZDV*,%%6FDXVHGWKHYHQWXUHWRFRQWLQXHWRIDLO
 DQGUHIXVHWRSD\)5(('0$1WKHPRQWKO\IHHVDOUHDG\RZHGWRKHURUHYHQWRFRYHU
 GHIHQGDQWV¶RZQERXQFHGFKHFNXQOHVV)5(('0$1DJUHHGWKDWVKHKDGDOZD\VEHHQ
 DPHUHLQGHSHQGHQWFRQWUDFWRUVW\OLVWZLWKGHIHQGDQWVDQGQRWDSDUWQHURUHTXLW\
 KROGHU*,%%6HYHQUHIXVHGWRSURYLGH)5(('0$1ZLWKFRSLHVRIGRFXPHQWVVR
 EDVLFDVWKHZULWWHQMREGHVFULSWLRQWKDWWKHGHIHQGDQWVKDGSUHYLRXVO\WHQGHUHGWRKHU
 DOOZKLOHGHQ\LQJWKDW)5(('0$1KDGEHHQDQ\WKLQJPRUHWKDQDPHUHLQGHSHQGHQW
 FRQWUDFWRUWRWKHSDUWQHUVKLSRUHYHQWKDWGHIHQGDQWVKDGHYHUPDGHDQ\SURPLVHVWR
 )5(('0$1DWDOO
  :KLOHWKH\QRPLQDOO\DQGWHQWDWLYHO\YRLFHWRKHUWKDWVKHFDQFRPHEDFN
 WKHGHIHQGDQWVKDYHPDGHFOHDUWKDWWKH\KDYHQRLQWHQWLRQRIUHFRJQL]LQJKHUDVWKH
 OHJDOSDUWQHULQWKHYHQWXUHWKDWVKHZDVDQGLV$VWKHGHIHQGDQWVZRXOGKDYHLW

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 9 of 129 Page ID #:9

 )5(('0$1FRXOGUHWXUQDQGZRUNZLWKWKHGHIHQGDQWVDJDLQEXWQRZVKHZRXOGEH
 UHTXLUHGWRUHQHJRWLDWHRQGHIHQGDQWV¶WHUPVZLWKWKHIUXLWVRI)5(('0$1¶6
 LQGHSHQGHQWVW\OLVWDQGIDVKLRQFDUHHUDQGPRQWKVRIKHUIXQGDPHQWDOFUHDWLYHZRUNIRU
 WKHPDOUHDG\LQWKHGHIHQGDQWV¶KDQGV)5(('0$1¶6OHYHUDJHZLWKWKHGHIHQGDQWVLV
 HYHQZRUVHEHFDXVH)5(('0$1¶6FDUHHUDQGUHSXWDWLRQKDVEHHQGHHSO\GDPDJHGE\
 KHUDFWRIVSHDNLQJWRWKHUHSRUWHUFRXSOHGZLWKWKHSXEOLFDWLRQ¶VIDLOXUHWRUXQWKHVWRU\
 DVLWXDWLRQLQZKLFKWKHGHIHQGDQWVSOD\HGDQDFWLYHSDUWE\HQFRXUDJLQJ
 )5(('0$1WRWHOOKHUQLJKWPDUHWDOHLQWKHILUVWSODFHDQGWKHQQRWRQO\VKXQQLQJ
 KHUEXWZLWKVRPHRIWKHPHYHQDFWLYHO\DVVLVWLQJ6HUIDW\LQGLJJLQJLQWRDQGGLVWRUWLQJ
 )5(('0$1¶6SULYDWHOLIHWRNLOORUVWDOOWKHVWRU\
  :KLOHWKHGHIHQGDQWVZDLWIRU)5(('0$1¶6GHFLVLRQRQZKHWKHUWR
 UHMRLQWKHPRUQRWRQUHQHJRWLDWHGWHUPV DVLIWKHUHZHUHUHDOO\DQ\WKLQJWRZHLJK WKH
 GHIHQGDQWVFRQWLQXHWRNHHSILQDQFLDOSUHVVXUHRQ)5(('0$17KH\VWLOOUHIXVHWR
 SD\KHUIRUDPRXQWVWKH\DJUHHWKDWWKH\RZHFRQWLQXLQJWRFODLPQRPRQH\HYHQ
 WKRXJKWKH\DSSHDUWRKDYHSDLGDOORWKHUVWDIIHYHU\WKLQJRZHGDQGKDYHSODFHGDGVIRU
 QHZKLUHV$WWKHVDPHWLPHWKHGHIHQGDQWVFRQWLQXHVKDPHOHVVO\WRH[SORLW
 )5(('0$1¶6FUHDWLYHZRUNDQGEXVLQHVVFRQWDFWVZLWKRXWDFFRXQWLQJWR
 )5(('0$1IRUWKDWLQDQ\ZD\
  7KHGHIHQGDQWV¶FRQGXFWWRZDUG)5(('0$1KDVEHHQWUXO\GHVSLFDEOH
 DQGVKHLVHQWLWOHGWRUHOLHIDJDLQVWHDFKDQGHYHU\RQHRIWKHP
 
 3$57,(6
 Plaintiff
  Haley Camille Freedman:3ODLQWLII+$/(<&$0,//()5(('0$1LV
 DQLQGLYLGXDODQGDWDOOWLPHVUHOHYDQWKHUHLQZDVDFLWL]HQDQGUHVLGHQWRIWKH6WDWHRI
 &DOLIRUQLDDQG&RXQW\RI/RV$QJHOHV%\WZHQW\WKUHH\HDUVROGEHIRUHVKHHYHUPHW
 DQ\RIWKHQDPHGGHIHQGDQWV)5(('0$1KDGOHYHUDJHGDGHJUHHLQ)DVKLRQ'HVLJQ
 IURPWKH)DVKLRQ,QVWLWXWHRI7HFKQRORJ\LQ1HZ<RUN&LW\DQGVKHHUKDUGZRUNDQG

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 10 of 129 Page ID #:10

 SRZHUKRXVHFUHDWLYHWDOHQWLQWRDUDSLGO\DFFHOHUDWLQJFDUHHU$IWHUJUDGXDWLQJIURP
 ),7)5(('0$1VHWDSHUVRQDOJRDOWREHFRPHDFUHDWLYHGLUHFWRUE\WKHWLPHVKHZDV
 WKLUW\3ULRUWRJRLQJLQWRSDUWQHUVKLSZLWKWKHQDPHGGHIHQGDQWVRUHYHQPHHWLQJDQ\
 RIWKHPVKHZDVZHOORQKHUZD\WRPDNLQJWKLVKDSSHQRQKHURZQ
  7KURXJKWKUHH\HDUVRIVZHDWULVNWDNLQJQHWZRUNLQJDQGGHGLFDWLRQ
 )5(('0$1EXLOWKHUVHOIIURPWKHJURXQGXSLQWRDGHVLUHGVW\OLVWDQGIDVKLRQYRLFH
 %\$SULO)5(('0$1KDGEHFRPHDVXFFHVVIXODQGGHVLUHGVW\OLVWDQGIDVKLRQ
 FRQVXOWDQWLQWKHHQWHUWDLQPHQWDQGIDVKLRQLQGXVWULHVZLWKDERRNRIFOLHQWVWKDW
 LQFOXGHG+ROO\ZRRGFHOHEULWLHVIDVKLRQPDJD]LQHSXEOLFDWLRQVKLJKIDVKLRQEUDQGV
 DQGDWOHDVWRQHPDMRUUHFRUGLQJODEHO)5(('0$1DOVRKDGEXLOWDQLPSUHVVLYHDQG
 YDOXDEOHQHWZRUNRIIDVKLRQLQGXVWU\FRQQHFWLRQVZLWKPRGHOVPRGHOLQJDJHQFLHV
 IDVKLRQUHWDLOHUVZKROHVDOHUVDQGVKRZURRPV,QGHHGE\$SULOZLWKLQWKH
 UHODWLYHO\FORVHNQLWIDVKLRQZRUOG)5(('0$1KDGEHJXQWRGHYHORSVRPHFHOHEULW\
 RIKHURZQDVDVW\OLVWKDYLQJEHHQIHDWXUHGLQDUWLVWLQWHUYLHZVDQGDPDVVLQJWHQVRI
 WKRXVDQGVRIIROORZHUVRIKHUVW\OLVWZRUNRQ,QVWDJUDP$QGE\$SULOVKHKDG
 DOVRFDXJKWWKHH\HRIWKHQDPHGGHIHQGDQWVZKRQHHGHGKHUWDOHQWVGHVSHUDWHO\
 Named Defendants
  Ryde Studios, LLC: 3/$,17,))LVLQIRUPHGDQGEHOLHYHVDQGWKHUHRQ
 DOOHJHVWKDWGHIHQGDQW5<'(678',26LVDOLPLWHGOLDELOLW\FRPSDQ\RUJDQL]HGXQGHU
 WKHODZVRIWKH6WDWHRI&DOLIRUQLDDQGZLWKLWVSULQFLSDOSODFHRIEXVLQHVVDW6RXWK
 6HSXOYHGD%RXOHYDUG/RV$QJHOHV&DOLIRUQLD3/$,17,))LVLQIRUPHGDQG
 EHOLHYHVDQGWKHUHRQDOOHJHVWKDWGHIHQGDQWV*,%%6DQG'¶$/(66,2IRUPHG5<'(
 678',26VRPHWLPHLQEXWWKDW5<'(678',26GLGQRWFRPPHQFHDQ\
 PHDQLQJIXORSHUDWLRQVRIDQ\NLQGXQWLOLQRUDERXW2FWREHUDWWKHHDUOLHVW5<'(
 678',26UHJXODUO\FRQGXFWVEXVLQHVVLQWKLVGLVWULFWLQFOXGLQJWKHGHYHORSPHQWDQG
 SURGXFWLRQRIVRFLDOPHGLDDQGGLJLWDOPHGLDFRQWHQW$FFRUGLQJWRSXEOLFUHFRUGV
 5<'(678',26KDVDUHJLVWHUHGDJHQWORFDWHGLQ/RV$QJHOHV&DOLIRUQLD
 

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 11 of 129 Page ID #:11

  Nicolas Gibbs: 'HIHQGDQW*,%%6LVDQLQGLYLGXDO3/$,17,))LV


 LQIRUPHGDQGEHOLHYHVDQGWKHUHRQDOOHJHVWKDWDWDOOWLPHVUHOHYDQWKHUHLQ*,%%6ZDV
 DFLWL]HQDQGUHVLGHQWRIWKH6WDWHRI&DOLIRUQLD&RXQW\RI/RV$QJHOHV3/$,17,))LV
 LQIRUPHGDQGEHOLHYHVDQGRQWKDWEDVLVDOOHJHVWKDW*,%%6LVDSSUR[LPDWHO\WKLUW\
 \HDUVRIDJHJUDGXDWHGIURPWKH&DOLIRUQLD6WDWH8QLYHUVLW\V\VWHPLQZLWKD
 EDFKHORU¶VGHJUHHLQFRPPXQLFDWLRQVDQGWKHQEHJDQZRUNLQJLQSXEOLFUHODWLRQVDQG
 VRFLDOPHGLDZLWKEULHIVWLQWVDW7KH$XGLHQFHDQG%3*,QWHUDFWLYHEHIRUHSDUWQHULQJ
 ZLWK'¶$/(66,2WRODXQFK5<'(678',26VRPHWLPHLQ
  *,%%6LVFXUUHQWO\DWOHDVWQRPLQDOO\WKH&KLHI([HFXWLYH2IILFHURU
 &(2RIGHIHQGDQW5<'(678',26DQGLVDQRZQHUGLUHFWRURIILFHUPDQDJHU
 DQGRUPDQDJLQJDJHQWRIGHIHQGDQW5<'(678',26*,%%6UHJXODUO\GRHVEXVLQHVV
 LQWKLVGLVWULFWLQFOXGLQJIURP5<'(678',26¶6SULQFLSDOSODFHRIEXVLQHVVLQ/RV
 $QJHOHV3/$,17,))LVLQIRUPHGDQGEHOLHYHVDQGRQWKDWEDVLVDOOHJHVWKDWE\$SULO
 *,%%6KDGDEDFNJURXQGLQVRPHIRUPVRIVRFLDOPHGLDIRUFHUWDLQHQWHUWDLQPHQW
 DQGPHGLDJHQUHVEXWKDGOLWWOHRUQRPHDQLQJIXOH[SHULHQFHZLWKWKHIDVKLRQRUVW\OH
 LQGXVWULHVZKHWKHUVRFLDOPHGLDUHODWHGRURWKHUZLVHQRUKDG*,%%6HYHUVXFFHVVIXOO\
 UXQDEXVLQHVVRIDQ\NLQGEH\RQGZKDWHYHU5<'(678',26KDGEHHQDEOHWR
 DFFRPSOLVKRUQRWEHIRUHEULQJLQJLQ)5(('0$1
  Richard D’Alessio:'HIHQGDQW'¶$/(66,2LVDQLQGLYLGXDODQG
 3/$,17,))LVLQIRUPHGDQGEHOLHYHVDQGWKHUHRQDOOHJHVWKDWDWDOOWLPHVUHOHYDQW
 KHUHLQ'¶$/(66,2ZDVDUHVLGHQWRIWKH6WDWHRI&DOLIRUQLDDQGWKH&RXQW\RI/RV
 $QJHOHV$FFRUGLQJWR'¶$/(66,2¶6GHVFULSWLRQRIKLPVHOIRQG¶DOHVVLRPH
 
5LFKDUG'¶$OHVVLRZDVERUQLQ-HUVH\DQGJUHZXSLQ7RURQWR
 ZHHQHGRQKRFNH\DQGEHHUODWHUKHZHQWRQWREHFRPHD
PDVWHUVWRU\WHOOHUZLWKDGHIWKDQGDWFDVWLQJFRPHG\DQG
 VXEWOHW\+HKDVVLQFHHDUQHGDSUHHPLQHQWUHSXWDWLRQDVDQ
LQWHUQDWLRQDOFRPPHUFLDOGLUHFWRU+H¶VGLUHFWHGRYHU
 FRPPHUFLDOVLQFRXQWULHV+HKDVIRXUWRSWHQUDWHGEXGOLJKW
6XSHU%RZOFRPPHUFLDOV+HFRQVLVWHQWO\FDSWXUHVLQVLJKWIXO
 KXPDQSHUIRUPDQFHVDQGHPSOR\VLQYHQWLYHWHFKQLTXHV+LV
ZRUNKDVZRQQXPHURXVLQWHUQDWLRQDODZDUGVLQFOXGLQJWKUHH
 /LRQVDW&DQQHVDQGKDVEHHQLQFOXGHGLQIRXUVHSDUDWH

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 12 of 129 Page ID #:12


WHOHYLVLRQVSHFLDOVKLJKOLJKWLQJWKHZRUOG¶VEHVWFRPPHUFLDOV
 +H¶VH[WUHPHO\ZHOONQRZQLQFRXQWULHV\RX¶YHSUREDEO\QHYHU
EHHQWROLNH,QGLD9LHWQDP/HEDQRQ5XVVLD.D]DNKVWDQDQG
 7KDLODQGWRQDPHDIHZ)RU86WHOHYLVLRQQHWZRUNVKHKDV
GLUHFWHGDQGFRQFHLYHGLPDJHFDPSDLJQVIRU6KDPHOHVV5D\
 'RQRYDQ-D\/HQR¶V*DUDJH:LWFKHVRI(DVW(QG/L]]LH
%RUGHQ&KURQLFOHVDQG6HFUHWVDQG/LHV+LVKLJKLPDSFW>sic
 LPSDFW@LGHDVKDYHKHOSHGODXQFKVKRZVFDSWXUHUHFRUG
EUHDNLQJDXGLHQFHVDQGVXVWDLQYLHZHUHQJDJHPHQW
 
  3/$,17,))LVLQIRUPHGDQGEHOLHYHVDQGRQWKDWEDVLVDOOHJHVWKDWWKH
 DERYHSURIHVVLRQDOGHVFULSWLRQRI'¶$/(66,2LVVXEVWDQWLDOO\DFFXUDWHDQGWKDWKHLV
 LQIDFWDKLJKO\VXFFHVVIXODQGWDOHQWHGFRPPHUFLDOGLUHFWRUZLWKSURYHQH[SHULHQFH
 DQGVXFFHVVLQPDQ\W\SHVRIPHGLDDQGNQRZVKRZWRHQJDJHVXFFHVVIXOO\ZLWKPDQ\
 W\SHVRIDXGLHQFHV+RZHYHU3/$,17,))LVLQIRUPHGDQGEHOLHYHVDQGRQWKDWEDVLV
 DOOHJHVWKDWE\$SULO'¶$/(66,2KDGOLWWOHRUQRPHDQLQJIXOH[SHULHQFHLQWKH
 IDVKLRQDQGVW\OHLQGXVWULHVDQGOLWWOHRUQRPHDQLQJIXOH[SHULHQFHLQVXFFHVVIXOO\
 HQJDJLQJDQDXGLHQFHRI\RXQJZRPHQLQWHUHVWHGLQIDVKLRQDQGVW\OH
  '¶$/(66,2FXUUHQWO\KROGVWKHWLWOHRI&KLHI&UHDWLYH2IILFHUDW5<'(
 678',26DQGLVDQRZQHUGLUHFWRURIILFHUPDQDJHUDQGRUPDQDJLQJDJHQWRI
 GHIHQGDQW5<'(678',26'HVSLWH*,%%6¶QRPLQDOO\VXSHULRUWLWOHRI&(2DV
 EHWZHHQ*,%%6DQG'¶$/(66,2'¶$/(66,2LVLQSUDFWLFDOUHDOLW\WKHPRUH
 SRZHUIXODQGDXWKRULWDWLYHRIWKHWZR$WOHDVWDVEHWZHHQWKHVHWZRPHQ'¶$/(66,2
 KDVWKHUHDOXOWLPDWHVD\LQQRWRQO\FUHDWLYHGHFLVLRQVEXWLQWKHEXVLQHVVGHFLVLRQVRI
 WKHFRPSDQ\,QSDUWLFXODULI'¶$/(66,2ZDQWHGWRVWRS5<'(678',26RUWKH
 .DW %DUH9HQWXUHRU*,%%6RU%25'2IURPWDNLQJDSDUWLFXODUEXVLQHVVFRXUVHRI
 DFWLRQRUWRFDXVHWKHPDIILUPDWLYHO\WRWDNHDSDUWLFXODUEXVLQHVVFRXUVHRIDFWLRQ
 '¶$/(66,2KDGDPSOHDXWKRULW\DQGSRZHUWRGRVR
  3/$,17,))LVLQIRUPHGDQGEHOLHYHVDQGRQWKDWEDVLVDOOHJHVWKDW
 '¶$/(66,2DOORZHG*,%%6WRKROGWKHWLWOHRI&(2DQGWRFRQGXFWVRPHRIWKHGD\WR
 GD\EXVLQHVVRI5<'(678',26DQGWKH.DW %DUH9HQWXUHEHFDXVH'¶$/(66,2
 ZRXOGUDWKHUVSHQGKLVWLPHRQRWKHUWKLQJVLQFOXGLQJFUHDWLYHZRUN±EXWWKDW
 XOWLPDWHO\DOOPHDQLQJIXOGHFLVLRQVE\*,%%6 DQG%25'2 UHTXLUHGDSSURYDORU

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 13 of 129 Page ID #:13

 UDWLILFDWLRQE\'¶$/(66,2LQSUDFWLFDOWHUPV3/$,17,))LVLQIRUPHGDQGEHOLHYHV
 DQGRQWKDWEDVLVDOOHJHVWKDW'¶$/(66,2UHJXODUO\GRHVEXVLQHVVLQWKLVGLVWULFW
 LQFOXGLQJIURP5<'(678',26¶6SULQFLSDOSODFHRIEXVLQHVVLQ/RV$QJHOHV
  Becky Tahel Bordo: 'HIHQGDQW%25'2LVDQLQGLYLGXDODQG3/$,17,))
 LVLQIRUPHGDQGEHOLHYHVDQGRQWKDWEDVLVDOOHJHVWKDWDWDOOWLPHVUHOHYDQWKHUHLQ
 %25'2ZDVDQGLVDUHVLGHQWRIWKH6WDWHRI&DOLIRUQLDDQGWKH&RXQW\RI/RV$QJHOHV
 3/$,17,))LVLQIRUPHGDQGEHOLHYHVDQGRQWKDWEDVLVDOOHJHVWKDW%25'2DXWKRUHG
 WKHIROORZLQJ³PLQLELR´GHVFULSWLRQRIKHUVHOIRQ,0'%

 ,VUDHOLERUQDQG3KLOO\EUHG%HFN\LVDQDFWUHVVDQGZULWHU6KHKDV
EHHQFODVVLFDOO\WUDLQHGLQ7KHDWUHYRLFHDQGSLDQRZLWKD6XPPD
 &XP/DXGHGHJUHHLQ&RPPXQLFDWLRQ 7KHDWHU6KHKDVDSSHDUHG
DV(WK\ORQWKH$%&
V0L[RORJ\DQG$OOLVRQRQWKHZHEVHULHV$QJU\
 <RXQJ:RPHQ6KHLVDOVRWKHFRFUHDWRUZULWHURI6K W,/HDUQHGLQ
P\V.HYLQ/RYHV%HFN\DQG7KRVH*X\V
 
  3/$,17,))LVLQIRUPHGDQGEHOLHYHVWKDW%25'2REWDLQHGDQ
 XQGHUJUDGXDWHGHJUHHIURP7HPSOH8QLYHUVLW\LQ&RPPXQLFDWLRQVLQRUDERXWDQG
 LVDQDVSLULQJDFWUHVVZULWHUDQGILOPPDNHU+RZHYHU%25'2¶6SULPDU\
 EUHDGZLQQLQJSURIHVVLRQXQWLOWKHHQGRIZDVLQIDFWDVDQDQQ\RU³IDPLO\
 SHUVRQDODVVLVWDQW´
  3/$,17,))LVLQIRUPHGDQGEHOLHYHVDQGWKHUHRQDOOHJHVWKDW%25'2
 UHJXODUO\GRHVEXVLQHVVLQWKLVGLVWULFWLQFOXGLQJIURP5<'(678',26¶VSULQFLSDO
 SODFHRIEXVLQHVVLQ/RV$QJHOHV3/$,17,))LVIXUWKHULQIRUPHGDQGEHOLHYHVDQGRQ
 WKDWEDVLVDOOHJHVWKDWDVRI$SULO%25'2KDGOLWWOHRUQRH[SHULHQFHRU
 FRQQHFWLRQVLQWKHIDVKLRQRUVW\OHLQGXVWULHVDQGOLWWOHRUQRVHQVHRIKRZWREXLOG
 DXGLHQFHHQJDJHPHQWZLWKIDVKLRQDQGVW\OHFRQVFLRXV\RXQJZRPHQRUWKHSURWRFROV
 RUVHQVLELOLWLHVLQYROYHGZLWKLQWHUDFWLQJVXFFHVVIXOO\ZLWKPRGHOVIDVKLRQ
 SKRWRJUDSKHUVDJHQFLHVIDVKLRQUHWDLOHUVZKROHVDOHUVVKRZURRPVDQGRWKHUIDVKLRQ
 DQGVW\OHLQGXVWU\SOD\HUVDQGUHVRXUFHV
  3/$,17,))LVLQIRUPHGDQGEHOLHYHVDQGRQWKDWEDVLVDOOHJHVWKDWSULRUWR
 -DQXDU\'¶$/(66,2KDGFRPHWRNQRZ%25'2E\YLUWXHRI%25'2ZRUNLQJ

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 14 of 129 Page ID #:14

 DVDWXWRUWR'¶$/(66,2¶6QLQHWHHQ\HDUROGGDXJKWHU&KDUORWWH,QRUDERXW-DQXDU\
 '¶$/(66,2KLUHG%25'2WRMRLQ5<'(678',26DQGVKHZDVJLYHQWKH
 QRPLQDOWLWOHRI+HDGRI&UHDWLYH3URGXFWLRQ%25'2LVDQRZQHUGLUHFWRURIILFHU
 PDQDJHUDQGRUPDQDJLQJDJHQWRIGHIHQGDQW5<'(678',263/$,17,))LVIXUWKHU
 LQIRUPHGDQGEHOLHYHVWKDWDOWKRXJK5<'(678',26DQGWKH.DW %DUH9HQWXUH
 H[SHFWHG%25'2WRVSHQGVXEVWDQWLDOO\DOORIKHUEXVLQHVVWLPHSHUIRUPLQJVHUYLFHV
 IRU5<'(678',26DQGWKH.DW %DUH9HQWXUHLQIDFW%25'2VSHQWVXEVWDQWLDO
 SRUWLRQVRIKHUEXVLQHVVWLPHIURP-DQXDU\WRWKHSUHVHQWZRUNLQJRQD
 GRFXPHQWDU\ILOPSURMHFWQRWDVVRFLDWHGZLWKRUIRUWKHEHQHILWRI5<'(678',26RU
 WKH.DW %DUH9HQWXUH0RVWRIZKDW%25'2GLGDQGGRHVIRUWKH9HQWXUHZDVDQG
 LVWKURXJKXVHRI)5(('0$1¶6URORGH[RUWKHHTXLYDOHQWDQGRWKHUUHVRXUFHV
 )5(('0$1EXLOWLQGHSHQGHQWO\DQGODWHUFRQWULEXWHGWRWKH9HQWXUH
 Doe Defendants
  3/$,17,))LVLQWKHSURFHVVRILGHQWLI\LQJDQGFRQILUPLQJWKHWUXHQDPHV
 DQGFDSDFLWLHVRIWKHGHIHQGDQWVGHVLJQDWHGDV'2(6WKURXJKLQFOXVLYH
 ³'2(6´ DQGWKHUHIRUHVXHWKHVHGHIHQGDQWVE\ILFWLWLRXVQDPHVDWWKLVWLPH7KH
 '2(6DUHLQGLYLGXDOVRUHQWLWLHVDIILOLDWHGRUUHODWHGWRVRPHRUDOORIWKHQRQ'RH
 QDPHGGHIHQGDQWVDQGRQLQIRUPDWLRQDQGEHOLHIDUHUHVLGLQJLQRURWKHUZLVHKDYHRU
 KDGUHOHYDQWFRQWDFWVLQDQGZLWKWKH6WDWHRI&DOLIRUQLDDQGWKLVGLVWULFWGXULQJWKHWLPH
 SHULRGVUHOHYDQWWRWKLV&RPSODLQWRUDUHRWKHUZLVHVXEMHFWWRWKHMXULVGLFWLRQRIWKLV
 &RXUWDQGYHQXHKHUH3/$,17,))ZLOODPHQGKHUSOHDGLQJWRLQFOXGHWKHQDPHRU
 QDPHVRIVDLGLQGLYLGXDOVDQGRUHQWLWLHVZKHQ3/$,17,))REWDLQVVXIILFLHQW
 LQIRUPDWLRQWRGRVR3/$,17,))LVLQIRUPHGDQGEHOLHYHVDQGWKHUHRQDOOHJHVWKDW
 HDFKRIWKH'2(GHIHQGDQWVLVLQVRPHPDQQHURUGHJUHHUHVSRQVLEOHDQGOLDEOHIRUWKH
 DFWVDQGRPLVVLRQVDOOHJHGKHUHLQ
 Agency
  3/$,17,))LVLQIRUPHGDQGEHOLHYHVDQGWKHUHRQDOOHJHVWKDWLQDOO
 PDWWHUVDQGFODLPVIRUUHOLHIDOOHJHGKHUHLQHDFKGHIHQGDQWZDVDQGRULVDFWLQJDVWKH

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 15 of 129 Page ID #:15

 DJHQWRIWKHRWKHUGHIHQGDQWVDQGZLWKWKHDXWKRUL]DWLRQRUUDWLILFDWLRQRIWKHRWKHU
 GHIHQGDQWVDQGLQWKHFRXUVHDQGVFRSHRIWKDWDJHQF\$VVHWIRUWKLQJUHDWHU
 SDUWLFXODULW\IXUWKHUKHUHLQHDFKGHIHQGDQWLVYLFDULRXVO\OLDEOHWR3/$,17,))
 LQFOXGLQJinter aliaXQGHUSULQFLSOHVRIDJHQF\LQDGGLWLRQWREHLQJGLUHFWO\OLDEOHIRU
 KLVKHURULWVRZQFRQGXFW
 Concert of Action/Aiding and Abetting Allegations
  3/$,17,))LVLQIRUPHGDQGEHOLHYHVDQGWKHUHRQDOOHJHVWKDWLQDOO
 PDWWHUVDQGFODLPVIRUUHOLHIDOOHJHGKHUHLQHDFKGHIHQGDQWHYHQLIWKH\GLGQRW
 WKHPVHOYHVSHUVRQDOO\FDXVHWKHKDUPWR3/$,17,))JDYHDGYLFHRUHQFRXUDJHPHQWWR
 WKHRWKHUGHIHQGDQWVWRDFWRSHUDWHGDVDPRUDOVXSSRUWIRUWKHRWKHUWRUWIHDVRU
 GHIHQGDQWVNQHZWKHDFWVHQFRXUDJHGWREHWRUWLRXVDQGVDLGDGYLFHHQFRXUDJHPHQW
 DQGRUPRUDOVXSSRUWDQGRUDVVLVWDQFHZDVDVXEVWDQWLDOIDFWRULQFDXVLQJWKHUHVXOWLQJ
 WRUWV)XUWKHUHDFKRIVDLGGHIHQGDQWVHLWKHUDFWLYHO\WRRNSDUWLQWKHWRUWLRXVDFWLYLW\
 RUIXUWKHUHGLWE\FRRSHUDWLRQRUUHTXHVWRUOHQWDLGRUHQFRXUDJHPHQWWRWKH
 ZURQJGRHUVRUUDWLILHGRUDGRSWHGWKHZURQJGRHUV¶DFWVGRQHIRUWKHLUEHQHILW(DFKRI
 VDLGGHIHQGDQWVWKXVHQJDJHGLQFRQFHUWRIDFWLRQZLWKWKHGLUHFWWRUWIHDVRUVDLGHGDQG
 DEHWWHGWKHGLUHFWWRUWIHDVRUVDQGRULVRWKHUZLVHDMRLQWWRUWIHDVRUZLWKWKHP$VVHW
 IRUWKLQJUHDWHUSDUWLFXODULW\IXUWKHUKHUHLQHDFKGHIHQGDQWLVYLFDULRXVO\OLDEOHWR
 3/$,17,))LQFOXGLQJinter aliaXQGHUSULQFLSOHVRIFRQFHUWRIDFWLRQDQGDLGLQJDQG
 DEHWWLQJLQDGGLWLRQWREHLQJGLUHFWO\OLDEOHIRUKLVKHURULWVRZQFRQGXFW
 Non-Party Persons of Interest
  Ed Westwick: &XUUHQWQRQSDUW\:HVWZLFNLVDQ(QJOLVKDFWRU
 DSSUR[LPDWHO\WKLUW\\HDUVROGEHVWNQRZQIRUKLVUROHDV&KXFN%DVVLQWKHWHHQ
 WHOHYLVLRQGUDPDVHULHVGossip GirlZKLFKUDQRQ7KH&:QHWZRUNIURPWR
 +HKDVKDGQXPHURXVRWKHUWHOHYLVLRQDQGPRWLRQSLFWXUHUROHVEHWZHHQDSSUR[LPDWHO\
 DQGWKHSUHVHQWLQFOXGLQJDWOHDVWXQWLOUHFHQWO\SOD\LQJWKHFKDUDFWHURI9LQFHQW
 6ZDQLQWKH%%&7ZRWHOHYLVLRQVHULHVWhite Gold3/$,17,))LVLQIRUPHGDQG
 EHOLHYHVWKDW:HVWZLFNFXUUHQWO\UHVLGHVLQWKLVGLVWULFWDQGLQDQ\HYHQW:HVWZLFN

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 16 of 129 Page ID #:16

 UHJXODUO\WUDYHOVWRDQGGRHVEXVLQHVVLQWKH6WDWHRI&DOLIRUQLDDQGWKLVGLVWULFW,QIDFW
 3/$,17,))LVLQIRUPHGDQGEHOLHYHVDQGRQWKDWEDVLVDOOHJHVWKDWIURPWLPHWRWLPH
 :HVWZLFNUHQWVDQGUHVLGHVIRUDWOHDVWDWZHHNVDWDWLPHLQUHVLGHQFHVLQWKLVGLVWULFW
 LQFOXGLQJDWDODUJHLVRODWHGPDQVLRQNQRZQDVWKH*OHQGRZHU(VWDWHORFDWHGQHDU
 *ULIILWK3DUN
  3/$,17,))LVLQIRUPHGDQGEHOLHYHVDQGRQWKDWEDVLVDOOHJHVWKDW
 :HVWZLFNLVRQHRI+ROO\ZRRG¶VVH[XDOSUHGDWRUVDQGVSHFLILFDOO\LVDQDOFRKROLFZKR
 EHFRPHVYLROHQWFUD]HGDQGDEXVLYHZKHQKHGULQNV3/$,17,))LVLQIRUPHGDQG
 EHOLHYHVDQGRQWKDWEDVLVDOOHJHVWKDWDWOHDVWDVRI:HVWZLFNKDGDSDWWHUQDQG
 SUDFWLFHRIVHGXFLQJ\RXQJZRPHQDQGWKHQUDSLQJWKHPRQFHJHWWLQJWKHPDORQH
 FRXQWLQJRQKLVVWDWXVSRZHUDQGUHSXWDWLRQWRNHHSWKHZRPHQVLOHQW,Q1RYHPEHU
 WKUHHGLIIHUHQWZRPHQ.ULVWLQD&RKHQ ³&RKHQ´ 5DFKHO(FN ³(FN´ DQG
 $XUpOLH:\QQ ³:\QQ´ ±HDFKVHSDUDWHO\DOOHJHGWKDW:HVWZLFNVH[XDOO\DVVDXOWHG
 WKHPLQ(DFKRIWKHVH:HVWZLFNYLFWLPVKDGUHPDLQHGVLOHQWXQWLOODWH
 ZKHQSXEOLFDWLRQRI+DUYH\:HLQVWHLQ¶VGHFDGHVRIVH[XDOSUHGDWLRQDPSOLILHGWKH
 0H7RR0RYHPHQW,Q1RYHPEHU&RKHQDQG:\QQDFFXVHG:HVWZLFNRIUDSH
 DQG(FNDFFXVHG:HVWZLFNRIVH[XDODVVDXOWZLWKDOOVXFKLQFLGHQWVDOOHJHGWRKDYH
 WDNHQSODFHLQDQGDWOHDVWRQHRIWKHPVSHFLILFDOO\DWWKH*OHQGRZHU(VWDWH
 3/$,17,))KDVQHYHUPHWRUKDGDQ\FRQWDFWZLWK&RKHQ(FNRU:\QQ+RZHYHU
 EDVHGRQKHURZQH[SHULHQFHVZLWK:HVWZLFN3/$,17,))LVLQIRUPHGDQGEHOLHYHV
 DQGRQWKDWEDVLVDOOHJHVWKDWWKHDFFRXQWVRI&RKHQ(FNDQG:\QQDVWKH\KDYHEHHQ
 UHSRUWHGLQWKHSUHVVDUHOLNHO\VXEVWDQWLDOO\DFFXUDWH
  Jessica Michél Sefarty: &XUUHQWQRQSDUW\6HUIDW\LVDQLQGLYLGXDO
 DSSUR[LPDWHO\WZHQW\VL[\HDUVROG3/$,17,))LVLQIRUPHGDQGEHOLHYHVDQGRQWKDW
 EDVLVDOOHJHVWKDW6HIDUW\LVDQGDWDOOWLPHVUHOHYDQWWRWKHDOOHJDWLRQVKHUHLQZDVD
 UHVLGHQWRIWKH6WDWHRI&DOLIRUQLDDQGWKH&RXQW\RI/RV$QJHOHVDQGLQDQ\HYHQW
 6HIDUW\UHJXODUO\VSHQGVWLPHLQDQGGRHVEXVLQHVVLQWKLVGLVWULFW6HUIDW\LVDPRGHO
 DQGRFFDVLRQDODFWUHVVZKRILUVWFDPHWRIDPHLQDVDFRQWHVWDQWRQAmerica’s Top

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 17 of 129 Page ID #:17

 ModelDQGZKRVLQFHDWOHDVWKDVZRUNHGDVDIDVKLRQPRGHODPRQJRWKHU
 SXUVXLWV$VLJQLILFDQWSRUWLRQRI6HUIDW\¶VRZQIDPHKDVFRPHIURPDWWDFKLQJKHUVHOI
 LQURPDQWLFRUVH[XDOUHODWLRQVKLSVZLWKPRUHIDPRXVPDOHFHOHEULWLHV6HUIDW\KDVD
 VLJQLILFDQWIROORZLQJRQVRFLDOPHGLDLQFOXGLQJ,QVWDJUDP
  Charlotte and Samantha D’Alessio: 1RQSDUWLHV&KDUORWWH'¶$OHVVLRDQG
 6DPDQWKD'¶$OHVVLRDUHLQGLYLGXDOVDQGUHVLGHQWVRIWKH6WDWHRI&DOLIRUQLDDQGWKH
 &RXQW\RI/RV$QJHOHVDJHGDSSUR[LPDWHO\QLQHWHHQDQGHDUO\WZHQWLHVUHVSHFWLYHO\
 7KH\DUH'¶$/(66,2¶6DGXOWGDXJKWHUV&KDUORWWH'¶$OHVVLRLVEHVWNQRZQIRU
 EHFRPLQJLQVWDQWO\IDPRXVDQGREWDLQLQJSURIHVVLRQDOUHSUHVHQWDWLRQZKHQSKRWRJUDSKV
 RIKHUDWWHQGLQJWKH&RDFKHOOD0XVLF)HVWLYDOLQVSRQWDQHRXVO\ZHQWYLUDORQ
 ,QVWDJUDPZKHUHVKHFRQWLQXHVWRKDYHDIROORZLQJRIVHYHUDOKXQGUHGWKRXVDQGXVHUV
 6DPDQWKD'¶$OHVVLRLVDFROOHJHVWXGHQWDQGDVSLULQJDFWUHVVDQGZULWHU
 )$&76
 2014 and Earlier
  )5(('0$1JUHZXSLQ$JRXUD+LOOV&DOLIRUQLD6KHZDVILUVW
 LQWURGXFHGWRWKHHQWHUWDLQPHQWLQGXVWU\DVDFKLOGZKHUHVKHPRGHOHGLQWHOHYLVLRQ
 FRPPHUFLDOV(YHQIURPWKLVHDUO\DJH)5(('0$1GLVSOD\HGDSDVVLRQDQGIODUHIRU
 WKHDUWVDQGHVSHFLDOO\IDVKLRQDQGGHVLJQDQGGUHDPHGRISXUVXLQJDFDUHHULQIDVKLRQ
 PHGLDDQGHQWHUWDLQPHQW
  ,Q)5(('0$1JUDGXDWHGIURPKLJKVFKRRODQGPRYHGWR1HZ
 <RUN&LW\WRDWWHQGWKHSUHVWLJLRXV)DVKLRQ,QVWLWXWHRI7HFKQRORJ\ ),7 ,QRUDERXW
 HDUO\VXPPHU)5(('0$1JUDGXDWHGIURP),7ZLWKDGHJUHHLQ)DVKLRQ'HVLJQ
 )5(('0$1UHWXUQHGWR6RXWKHUQ&DOLIRUQLDDFWLYHO\WRSXUVXHKHUFUHDWLYHDQGFDUHHU
 GUHDPV6KHFRPPHQFHGZRUNDVDIDVKLRQVW\OLVWZLWKDVSHFLILFSHUVRQDOJRDORI
 EHFRPLQJDFUHDWLYHGLUHFWRUE\WKHDJHRIWKLUW\
  $VRIHDUO\VXPPHU)5(('0$1KDGQHYHUPHWDQ\RIWKHQDPHG
 GHIHQGDQWVRUWKHSHUVRQVRILQWHUHVWDERYH%HWZHHQWKHQDQGQRZHDFKRIWKHPFDPH
 LQWR)5(('0$1¶6OLIHLQZD\VWKDWXOWLPDWHO\OHGWRWKHFODLPVKHUHLQ

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 18 of 129 Page ID #:18

  %\IDUWKHPRVWRYHUWO\PRQVWURXVZDV:HVWZLFN,QWKHVXPPHURI
 RQRUDERXW7XHVGD\$XJXVWRQHRI)5(('0$1¶VIHPDOHIULHQGV$VKO\QQ
 LQYLWHG)5(('0$1RXWWR2DNDQLJKWFOXELQ:HVW+ROO\ZRRGZKLFKDWWKHWLPH
 ZDVUHJXODUO\IUHTXHQWHGE\FHOHEULWLHV)5(('0$1OHIWKHURZQYHKLFOHSDUNHGLQ
 IURQWRI$VKO\QQ¶VKRPHDQGWKHWZRZHQWIURPWKHUHWR2DN7KHUH)5(('0$1
 DQG$VKO\QQVRFLDOL]HGZLWKDQXPEHURIUHJXODUVDQGRUIULHQGVRIRZQHUVRIWKDW
 QLJKWFOXE:KHQWKHYHQXHFORVHGIRUWKHQLJKW)5(('0$1DQG$VKO\QQZHUH
 LQYLWHGWRFRQWLQXHWKHHYHQLQJZLWKVHYHUDORWKHUVIURPWKHQLJKWFOXEDWDSULYDWHKRXVH
 LQWKH+ROO\ZRRG+LOOV$WWKLVVPDOODIWHUSDUW\)5(('0$1WKHQWZHQW\\HDUVROG
 PHW:HVWZLFN
  )5(('0$1UHFRJQL]HG:HVWZLFNDVDQDFWRUIURP7KH&:WHHQ
 WHOHYLVLRQVHULHVGossip Girl:HVWZLFNGLVSOD\HGDQLPPHGLDWHDWWUDFWLRQWR
 )5(('0$1IOLUWLQJZLWKKHURSHQO\)5(('0$1UHFLSURFDWHGDQGWKHWZR
 FRQWLQXHGWRIOLUWHVFDODWLQJWRNLVVLQJ,QWKHHDUO\KRXUVRI:HGQHVGD\PRUQLQJ
 $XJXVW:HVWZLFNLQYLWHG)5(('0$1DQGRWKHUVWRFRPHEDFNWR
 :HVWZLFN¶VUHQWHGKRXVHDPDQVLRQLQWKH*ULIILWK3DUNDUHDNQRZQDVWKH³*OHQGRZHU
 (VWDWH´)5(('0$1DJUHHGDQGWRJHWKHUZLWK:HVWZLFNDQGWZRRWKHULQGLYLGXDOV
 )5(('0$1VKDUHGDFDUULGHWR:HVWZLFN¶VKRXVH,WZDVFOHDUWKDW:HVWZLFNZDV
 VH[XDOO\LQWHUHVWHGLQ)5(('0$1$VK\OQQGHPXUUHGWKHLQYLWDWLRQOHDYLQJ
 )5(('0$1ZLWK:HVWZLFNDQGWKHWZRRWKHUVWKLQNLQJ)5(('0$1ZDVLQQR
 GDQJHUEXWUDWKHUZRXOGEHLQIRUDPHPRUDEOHDQGHQMR\DEOHH[SHULHQFHZLWK
 :HVWZLFN±DEHOLHIWKDW)5(('0$1KHOGDVZHOO
  $W:HVWZLFN¶V*OHQGRZHU(VWDWHKRPH)5(('0$1:HVWZLFNDQG
 RWKHUVEULHIO\VRFLDOL]HGLQWKHNLWFKHQDURXQGWKHNLWFKHQ¶VLVODQGFRXQWHU
 $SSUR[LPDWHO\KDOIDQKRXUDIWHUDUULYLQJDW:HVWZLFN¶VKRXVHWKHRWKHUJXHVWVOHIW
 OHDYLQJ)5(('0$1DQG:HVWZLFNDORQH)5(('0$1DQG:HVWZLFNVRRQZHQWWR
 :HVWZLFN¶VEHGURRPZKHUHWKH\SURFHHGHGWRKDYHZKDWEHJDQDVFRQVHQVXDOVH[XDO
 LQWHUFRXUVH

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 19 of 129 Page ID #:19

  +RZHYHUGXULQJWKHLUILUVWLQWHUFRXUVH:HVWZLFNEHFDPHYLROHQWDQG
 DJJUHVVLYHGHPDQGLQJWKDW)5(('0$1VWUDQJOHKLPRUVODSKLVIDFHDQGZKHQ
 )5(('0$1GHFOLQHGSXWWLQJKLVKDQGVDURXQGKHUQHFNDQGVODSSLQJKHUDQG
 VWUDQJOLQJKHUDJDLQVWKHUZLOO:HVWZLFNDOVRDVNHG)5(('0$1WRVSLWRQKLP
 GXULQJVH[:KHQ)5(('0$1OLNHZLVHUHIXVHGKHZRXOGVSLWRQKHU:KHQWKHLU
 ILUVWLQWHUFRXUVHHQGHG)5(('0$1NQHZVKHQHYHUZDQWHGWRKDYHVH[ZLWK
 :HVWZLFNHYHUDJDLQDQGZDQWHGWROHDYHDQGJREDFNWRKHURZQFDUDQGOLIH
  :HVWZLFNDQG)5(('0$1IHOODVOHHSDQGQHLWKHUDZRNHXQWLOODWHLQWKH
 GD\RQ:HGQHVGD\$XJXVW:KHQ)5(('0$1DZRNHVKHZDVLQ
 :HVWZLFN¶VEHGZLWK:HVWZLFNVOHHSLQJEHVLGHKHU)5(('0$1JRWXSDQGWULHGWR
 XVHKHUFHOOSKRQH±EXWVKHKDGQRUHFHSWLRQDQGGLGQRWHYHQNQRZVSHFLILFDOO\ZKHUH
 VKHZDVUHODWLYHWR$VKO\QQ¶VKRPHZKHUHVKHKDGOHIWKHUFDURUKRZWRJHWEDFNWRLW
  :KHQ)5(('0$1ZHQWRXWWRWKHEHGURRPEDOFRQ\DJDLQWU\LQJWRJHW
 UHFHSWLRQ:HVWZLFNDZRNH)5(('0$1WKHQWROGKLPWKDWVKHZDQWHGWRJRKRPH
 DQGUHTXHVWHGHLWKHUWRXVHKLVSKRQHRUWKDWKHSURYLGHKHUZLWKD:L)LSDVVZRUGDV
 KHURZQSKRQHGLGQ¶WVHHPWRKDYHDQ\UHOLDEOHRUUHDOO\XVDEOHVHUYLFHDWKLVKRXVH
  :HVWZLFNLJQRUHG)5(('0$1¶VUHTXHVWVWKDWKHIDFLOLWDWHKHU
 FRPPXQLFDWLQJZLWKWKHRXWVLGHZRUOG+HDVVXUHGKHUWKDWKHZRXOGGULYHKHUEDFNWR
 KHUFDUHYHQWXDOO\)LUVWWKRXJK:HVWZLFNZDQWHGPRUHVH[ZLWK)5(('0$1
 )5(('0$1GHFOLQHGDQGDVNHGWRXVHWKHVKRZHULQVWHDG:HVWZLFNDOORZHGKHUWR
 XVHWKHVKRZHUEXWVRRQFDPHLQWRWKHVKRZHUKLPVHOIDQGEHJDQVH[XDOO\LQWHUDFWLQJ
 ZLWK)5(('0$1DJDLQRYHUKHUREMHFWLRQV%XWWKHPRUH)5(('0$1GLVSOD\HG
 DQGH[SUHVVHGWKDWVKHGLGQRWZDQWPRUHVH[ZLWK:HVWZLFNWKHPRUHDURXVHGKH
 EHFDPHSXVKLQJIRUZDUGWRWDNH)5(('0$1HYHQWKRXJK:HVWZLFNFOHDUO\NQHZ
 VKHGLGQRWZDQWDQ\PRUHVH[ZLWKKLP
  $IWHUWKHVKRZHU)5(('0$1XSVHWDQGIULJKWHQHGGUHVVHGDQGDVNHGWR
 OHDYH:HVWZLFNDJDLQWROGKHUWKDWZKHQKHZDVUHDG\KHZRXOGWDNH)5(('0$1WR
 KHUYHKLFOH%XWKHGLGQ¶WDQGLQVWHDGEHFDPHPRUHIULJKWHQLQJGLVWXUELQJDQGDQJU\

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 20 of 129 Page ID #:20

 WKHPRUH)5(('0$1WDONHGDERXWZDQWLQJWROHDYH:HVWZLFNLQVLVWHGRQPRUH
 LQWHUFRXUVHZLWK)5(('0$1ZKRFOHDUO\H[SUHVVHGWKDWVKHGLGQRWZDQWDQ\PRUH
 VH[EXWZDQWHGWROHDYH:HVWZLFNLJQRUHGKHUUHPRYLQJKHUFORWKHVDQGWDNLQJKHU
 VH[XDOO\DQ\ZD\'XULQJRQHRUPRUHRIWKHLUERXWVRILQWHUFRXUVH:HVWZLFNVDLGWKDW
 KHZDQWHGWRSHQHWUDWH)5(('0$1DQDOO\DQGVKHUHIXVHGILUPO\WHOOLQJ:HVWZLFN
 WKDWVKHGLGQRWZDQWWKDW:HVWZLFNSHQHWUDWHG)5(('0$1DQDOO\GHHSO\ZLWKKLV
 ILQJHUVDQ\ZD\KROGLQJKHUGRZQWRGRVRRYHUKHUSURWHVWV
  )5(('0$1EHFDPHRYHUZKHOPHGZLWKFRQIXVLRQIHDUDQGVKRFN6KH
 EHFDPHGLVWDQWOHWWLQJKHUPLQGOHDYHKHUERG\ZKLOH:HVWZLFNKDGKLVZD\ZLWKKHU
 SK\VLFDOVHOIKRSLQJIRULWWRHQG(YHQWXDOO\HDFKVHVVLRQRILQWHUFRXUVHIURP
 :HVWZLFNZRXOGHQGEXWZKHQ)5(('0$1ZRXOGDVNDJDLQWROHDYH:HVWZLFN
 UHSHDWHGWKHVDPHUHIUDLQWKDWKHZRXOGWDNHKHUEDFNWRKLVFDUZKHQKHZDVUHDG\
 EHFRPLQJVFDU\DQGWKUHDWHQLQJWKHPRUH)5(('0$1LQVLVWHGRQOHDYLQJUDLVLQJKLV
 YRLFHDQGRWKHUZLVHSK\VLFDOO\LQWLPLGDWLQJ)5(('0$1LQWRREH\LQJKLVZLOO
 )5(('0$1IRUFHGKHUVHOIWRVOHHSIURPVKRFNDQGIRUHPRWLRQDOGLVWDQFH
  2YHUDSSUR[LPDWHO\WKHQH[WWZHQW\IRXUKRXUVIURPWKHODWHDIWHUQRRQRU
 HYHQLQJRI:HGQHVGD\$XJXVWWRWKHODWHDIWHUQRRQRUHYHQLQJRI7KXUVGD\
 $XJXVWWKHSDWWHUQUHSHDWHGZLWK:HVWZLFNWDNLQJ)5(('0$1IRUVH[ZKHQ
 KHGHVLUHGHYHQWKRXJKKHNQHZ)5(('0$1ZDQWHGQRPRUHVH[ZLWKKLPDQGZLWK
 )5(('0$1KRSLQJIRULWWRHQG
  'XULQJDOORIWKLVWLPHDQGHDUOLHU:HVWZLFNZDVFOHDUO\DZDUHWKDW
 )5(('0$1GLGQRWZDQWPRUHVH[ZLWKKLPDQGLQVWHDGZDQWHGWROHDYH:HVWZLFN
 UHSHDWHGO\DVVXUHG)5(('0$1WKDWKHZRXOGWDNHKHUWRKHUFDUKLPVHOIEXWZKHQKH
 ZDVUHDG\:HVWZLFNXVHGIHDUDQGLQWLPLGDWLRQWRNHHS)5(('0$1FDSWLYHIXUWKHU
 IDFLOLWDWHGE\GHSULYLQJKHUIURPXVLQJDSKRQHZLWKDQ\UHOLDEOHVHUYLFHRUXVLQJDQ\
 :L)LFRQQHFWLRQWRWKHLQWHUQHWWRNHHSDQGGLVFRXUDJH)5(('0$1IURPOHDYLQJ
 XQWLO:HVWZLFNZDVGRQHZLWKUDSLQJKHUDQGUHDG\WROHDYHKLPVHOI:HVWZLFN
 LQWHQWLRQDOO\XVHGIHDUDQGLQWLPLGDWLRQWRPDNH)5(('0$1DIUDLGWRJRDQ\ZKHUH

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 21 of 129 Page ID #:21

 H[FHSWWKHEHGEDWKURRPRUEHGURRPEDOFRQ\DQGVKHGLGQRW:HVWZLFN¶VLQWHQWLRQDO
 FRQGXFWRIIHDUDQGLQWLPLGDWLRQZDVPDGHDOOWKHPRUHKRUULILFDQGQLJKWPDULVKE\
 VSRUDGLFPRPHQWVZKHUH:HVWZLFNVHHPHGFUD]HGRUSV\FKRORJLFDOO\GLVWXUEHG$V
 MXVWRQHH[DPSOHGXULQJWKHHQWLUHH[SHULHQFHIURPEHLQJDORQHZLWK:HVWZLFNIURP
 WKHHDUO\PRUQLQJKRXUVRI$XJXVWXQWLOWKHODWHDIWHUQRRQRUHYHQLQJRI$XJXVW
 :HVWZLFNZRXOGKDYHERXWVRIVWDQGLQJFORVHO\IDFLQJWKHEHGURRPZDOOLQWKH
 GDUNPXPEOLQJDQJULO\DQGLQFRKHUHQWO\WRKLPVHOI
  (YHQWXDOO\LQWKHODWHDIWHUQRRQRUHDUO\HYHQLQJRI$XJXVW
 :HVWZLFNILQDOO\OHW)5(('0$1OHDYHWKHEHGURRPDQGGURYHKHUWKHVHYHUDOPLOHVWR
 ZKHUHKHUFDUKDGEHHQSDUNHGLQIURQWRI$VKO\QQ¶VKRXVHZLWK)5(('0$1DZDUH
 WKDW:HVWZLFNZDVWDNLQJKHUWKHUHRQKLVZD\WRD5LKDQQDDQG(PLQHP³0RQVWHU´
 7RXUFRQFHUWDWWKH5RVH%RZOWKDWVDPHQLJKW$XJXVW)5(('0$1¶VFDU
 KDGEHHQWRZHGDQGLPSRXQGHGLQWKHWZRGD\VWKDW:HVWZLFNKDGNHSWKHUFDSWLYH
 )5(('0$1JRWRXWRI:HVWZLFN¶VFDUUHJDUGOHVVDQGIRUWXQDWHO\$VKO\QQZDVKRPH
 WROHWKHULQ
  )LQDOO\RXWRI:HVWZLFN¶VFRQWURO)5(('0$1WROGKHUIULHQG$VKO\QQ
 WKDWWKHH[SHULHQFHZLWK:HVWZLFNKDGEHHQDEDGRQHEXWNHSWWKHGHWDLOVDQGWKDW
 :HVWZLFNKDGDFWXDOO\UDSHG)5(('0$1WRKHUVHOIDVWR$VKO\QQ
  7KHQH[WGD\$XJXVWDIWHUJHWWLQJKHUFDURXWRILPSRXQGPHQW
 DQGILQDOO\JRLQJKRPH)5(('0$1LQDGGLWLRQWREHLQJWUDXPDWL]HGDQGH[KDXVWHG
 IHOWIHYHULVK6KHVFKHGXOHGDQDSSRLQWPHQWZLWKDJ\QHFRORJLVW
  $WWKHDSSRLQWPHQWZKLFKWRRNSODFHRQRUDERXW$XJXVWGD\V
 DIWHUWKHHYHQWVZLWK:HVWZLFN)5(('0$1¶6J\QHFRORJLVWH[DPLQHG)5(('0$1
 DQGIRXQGKHUVWLOOSK\VLFDOO\EUXLVHGEOHHGLQJDQGLQWHUQDOO\WRUQDQGLQIHFWHGLQKHU
 JHQLWDODUHDDQGGRFXPHQWHGWKLVDWWKHWLPH)5(('0$1KDGQRLQWHUFRXUVHRU
 VH[XDOFRQWDFWZLWKDQ\RQHHOVHEHWZHHQEHLQJVH[XDOO\DVVDXOWHGE\:HVWZLFNDQGWKH
 $XJXVWPHGLFDOH[DPLQDWLRQWKHSK\VLFDOGDPDJHDQGVLJQVRIUDSHRQWKH
 $XJXVWPHGLFDOUHSRUWDUHIURPWKHHQFRXQWHUZLWK:HVWZLFN

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 22 of 129 Page ID #:22

  :LWKLQVHYHUDOGD\VRIEHLQJUDSHGE\:HVWZLFN)5(('0$1DOVR
 UHFRXQWHGWKHH[SHULHQFHWRKHUIULHQG$YDDQG$YD¶VPRWKHU
  ,QWKHGD\VDQGZHHNVIROORZLQJ)5(('0$1VWUXJJOHGWRSURFHVVZKDW
 VKHKDGXQGHUJRQHZLWK:HVWZLFNVRXJKWVXSSRUWIURPFORVHIULHQGVDQGIDPLO\DQG
 FRQVLGHUHGUHSRUWLQJWKHHQFRXQWHUWRWKHSROLFHRUSXUVXLQJRWKHUOHJDODFWLRQ
 8OWLPDWHO\KRZHYHU)5(('0$1GHFLGHGQRWWRUHSRUWWKHHQFRXQWHUIHDULQJWKDWVKH
 ZRXOGVXIIHUEDFNODVKDQGWKDWKHUHQWLUHFDUHHUPLJKWEHWKZDUWHGLIVKHGLG
  )5(('0$1PDGHDFRQVFLRXVGHFLVLRQWRVWD\VLOHQW
 August 2014 to April 2017
  2YHUWKHQH[WWKUHH\HDUV)5(('0$1WKUHZKHUVHOILQWRKHUZRUN
 FRQWLQXLQJWRIRFXVRQKHUFDUHHU'XULQJWKRVHWKUHH\HDUV)5(('0$1PHW6HUIDW\
 &KDUORWWH'¶$OHVVLRDQG6DPDQWKD'¶$OHVVLR
  )5(('0$1ILUVWPHW6HUIDW\VRPHWLPHLQRUDERXWRQDVKRRWIRU
 FDWDORJSKRWRJUDSKVRIPRGHOVZHDULQJFORWKLQJDQGDFFHVVRULHVIRURUWKURXJK
 +DXWH/RRNDPHPEHUVRQO\IDVKLRQMHZHOU\DQGDFFHVVRULHVRQOLQHVKRSSLQJVLWHDQG
 DJRRGVRXUFHRIZRUNIRU\RXQJVW\OLVWVDQGPRGHOV)5(('0$1ZRUNHGDVDVW\OLVW
 RQD+DXWH/RRNVKRRWZKHUH)5(('0$1VHUYHGDVDVW\OLVWDQG6HUIDW\ZDVDPRGHO
 )URPWKHUHDOWKRXJKWKHWZRGLGQRWKDYHDQ\PHDQLQJIXOFRQWDFWRYHUWKHQH[WIHZ
 \HDUVHDFKUHPDLQHGDZDUHRIWKHRWKHULQWKHUHODWLYHO\VPDOOIDVKLRQDQGVW\OHZRUOG
 LQZKLFKERWKZHUHVXFFHVVIXOO\FOLPELQJ
  %HWZHHQDQGHDUO\)5(('0$1EHFDPHIULHQGVZLWK
 &KDUORWWH'¶$OHVVLRDVWKHWZRIUHTXHQWHGWKHVDPHVRFLDOFLUFOHVDQGWKHQODWHU
 )5(('0$1DOVREHFDPHIULHQGVZLWK&KDUORWWH¶VVLVWHU6DPDQWKD'¶$OHVVLR%RWK
 &KDUORWWH'¶$OHVVLRDQG6DPDQWKD'¶$OHVVLRNQHZ)5(('0$1QRWRQO\DVWKHLU
 IULHQGEXWDOVRWKDW)5(('0$1ZDVDQXSDQGFRPLQJVW\OLVWDQGIDVKLRQFRQVXOWDQW
 ZLWKUDUHWDOHQW
  )URPKHUJUDGXDWLRQIURP),7LQWKURXJKDQGXQWLO$SULO
 WKURXJKIUHHODQFHMREVDQGUHJXODUZRUNZLWKPDJD]LQHSXEOLFDWLRQVDQGODEHOV

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 23 of 129 Page ID #:23

 )5(('0$1EHFDPHDVRXJKWDIWHUVW\OLVWDQGIDVKLRQFRQVXOWDQWIRUIDVKLRQSKRWR
 VKRRWVDQGRWKHUSURMHFWV%\HDUO\DQGDWWKHDJHRIRQO\WZHQW\WKUHH
 )5(('0$1KDGGHYHORSHGDQLPSUHVVLYHFOLHQWHOHLQFOXGLQJ+ROO\ZRRGFHOHEULWLHV
 IDVKLRQPDJD]LQHSXEOLFDWLRQVKLJKIDVKLRQEUDQGVDQGDWOHDVWRQHPDMRUUHFRUGODEHO
 )5(('0$1KHUVHOIEHJDQJDLQLQJVRPHRIKHURZQFHOHEULW\DVDVW\OLVWEHLQJ
 IHDWXUHGLQDUWLVWLQWHUYLHZVDQGDPDVVLQJWKRXVDQGVRIIROORZHUVRQWKHVRFLDOPHGLD
 SODWIRUP,QVWDJUDP
  ,QWKHFRXUVHRIKHUZRUNDVDVW\OLVWDQGIDVKLRQFRQVXOWDQW)5(('0$1
 DOVREHFDPHDFTXDLQWHGZLWKQXPHURXVIDVKLRQPRGHOVDQGRWKHUWDOHQWZKRZRXOGEH
 SDUWRIFUHDWLQJSKRWRVKRRWVDQGRWKHUZRUNVDQGKDGDQH[FHOOHQWZRUNLQJUHSXWDWLRQ
 DQGUHODWLRQVKLSVZLWKPRGHOVDQGPRGHOLQJDJHQFLHV)5(('0$1KDGDOVR
 GHYHORSHGDVWHUOLQJUHSXWDWLRQDQGFUHGLELOLW\ZLWKIDVKLRQUHWDLOHUVZKROHVDOHUVDQG
 VKRZURRPVDOORZLQJ)5(('0$1VLJQLILFDQWERUURZLQJSULYLOHJHVNH\WRVW\OLQJ
 VKRRWVRQDEXGJHW
  %\WKHILUVWKDOIRI)5(('0$1ZDVLQKLJKGHPDQGUHJXODUO\
 ERRNLQJDQGSHUIRUPLQJZHOOSD\LQJVW\OLVWDQGIDVKLRQFRQVXOWLQJMREVVXFKWKDW
 )5(('0$1ZDVHDUQLQJDVPXFKDVDZHHNRUPRUHRQKHURZQDQGZLWKKHU
 HDUQLQJSURVSHFWVDQGFDUHHUJHQHUDOO\ORRNLQJH[WUHPHO\EULJKW
  0HDQZKLOH3/$,17,))LVLQIRUPHGDQGEHOLHYHVDQGRQWKDWEDVLVDOOHJHV
 WKDWLQRUDERXWODWH*,%%6DQG'¶$/(66,2KDGIRUPHG5<'(678',26DQG
 KLUHG%25'2LQRUDERXW-DQXDU\3/$,17,))LVLQIRUPHGDQGEHOLHYHVDQGRQ
 WKDWEDVLVDOOHJHVWKDWE\DERXW$SULOWKHQDPHGGHIHQGDQWVKDGREWDLQHGD
 VXEVWDQWLDORXWVLGHLQYHVWPHQWIRU5<'(678',26DQGVSHFLILFDOO\IRUDQHZ
 ,QVWDJUDPEDVHGVRFLDOPHGLDIDVKLRQPDJD]LQHDLPHGDW\RXQJIHPDOHV$PRQJRWKHU
 PRWLYDWLRQV'¶$/(66,2LQSDUWLFXODUZDQWHGWRHQWHUWKLVVRFLDOPHGLDIDVKLRQVSDFH
 DVDZD\WRFRQQHFWZLWKKLVDGXOWGDXJKWHUV&KDUORWWHDQG6DPDQWKDDQGLQKRSHVWKDW
 WKH\ZRXOGEHFRPHDQDFWLYHSDUWRIWKHEXVLQHVV%XW3/$,17,))LVLQIRUPHGDQG
 EHOLHYHVDQGRQWKDWEDVLVDOOHJHVWKDWE\$SULOZKLOHWKHQDPHGGHIHQGDQWVKDGD

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 24 of 129 Page ID #:24

 VLJQLILFDQWDPRXQWRIPRQH\WRZRUNZLWKDQGDYDJXHLGHDWKH\KDGQRPHDQLQJIXO
 H[SHULHQFHRUVNLOOVDERXWKRZWRH[HFXWHLWVXFFHVVIXOO\7KHQ'¶$/(66,2IRXQG
 )5(('0$1
 April to June 2017
  3/$,17,))LVLQIRUPHGDQGEHOLHYHVDQGRQWKDWEDVLVDOOHJHVWKDWE\LQRU
 DERXW$SULO'¶$/(66,2*,%%6DQG%25'2ZHUHRSHUDWLQJ5<'(678',26
 DVDQHQWLW\ZDQWHGWRODXQFKDVRFLDOPHGLDGLVWULEXWHGIDVKLRQDQGVW\OHPDJD]LQH
 NQHZWKDWWKH\ZDQWHGWRFDOOWKHPDJD]LQH³.DW %DUH´EXWKDGGRQHOLWWOHRUQR
 PHDQLQJIXOGHYHORSPHQWRIWKHSURMHFWEH\RQGWKLVDQGZHUHDWDORVVIRUKRZWRGRVR
 3/$,17,))LVLQIRUPHGDQGEHOLHYHVDQGRQWKDWEDVLVDOOHJHVWKDW'¶$/(66,2¶6
 GDXJKWHUV&KDUORWWHDQG6DPDQWKDZHUHDZDUHRIWKH.DW %DUHSURMHFWDQGWKHQDPHG
 GHIHQGDQWV¶VHDUFKIRUUHVRXUFHVWRGHYHORSDQGLPSOHPHQWLW3/$,17,))LVLQIRUPHG
 DQGEHOLHYHVDQGRQWKDWEDVLVDOOHJHVWKDW&KDUORWWHDQG6DPDQWKD'¶$OHVVLRERWK
 VXJJHVWHGWKDW'¶$/(66,2FRQWDFW)5(('0$1ZKRKDGSURYHQWDOHQWDQGH[SHUWLVH
 LQWKHDUHD
  3/$,17,))LVLQIRUPHGDQGEHOLHYHVDQGRQWKDWEDVLVDOOHJHVWKDWDVD
 UHVXOWRIWKHVXJJHVWLRQVIURPKLVGDXJKWHUV6DPDQWKDDQG&KDUORWWH'¶$/(66,2
 GLUHFWHGVWDIIDW5<'(678',26WRPDNHFRQWDFWZLWK)5(('0$12QRUDERXW
 $SULOD)ULGD\)5(('0$1UHFHLYHGDQHPDLOIURP$OH[LV/R\DD5<'(
 678',2HPSOR\HHLQWURGXFLQJ)5(('0$1WR5<'(678',26DQGWKH³QHZO\
 IXQGHG,QVWDJUDPIDVKLRQPDJD]LQH.DWDQG%DUHVHWWRODXQFKWKLV-XQH´DQGLQTXLULQJ
 ZKHWKHU)5(('0$1ZRXOGEHLQWHUHVWHGLQVW\OLQJRQHRIWKHLUFRYHUSKRWRVKRRWV
 7KH$SULOHPDLODOVRQRWHGWKDW'¶$/(66,2ZDVWKHFRPSDQ\¶V&KLHI
 &UHDWLYH2IILFHUDQGSRLQWHG)5(('0$1WR'¶$/(66,2¶VGDOHVVLRPHVLWHZLWKKLV
 DFKLHYHPHQWV
  )5(('0$1KDGDEXV\VFKHGXOHGLGQRWUHFRJQL]H5<'(678',26RU
 '¶$/(66,2DQGGLGQRWUHVSRQGWRWKHLQLWLDO$SULOHPDLO2QRUDERXW
 :HGQHVGD\$SULOWKHQDPHGGHIHQGDQWVVHQW)5(('0$1DQRWKHUHPDLO

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 25 of 129 Page ID #:25

 IROORZLQJXSRQWKHILUVWLQTXLU\VXSSO\LQJGHWDLOVDERXWWKHSURSRVHGVKRRWDVNLQJ
 DJDLQLI)5(('0$1ZRXOGEHLQWHUHVWHGDQGSURSRVLQJDWHOHSKRQHFDOOWRGLVFXVV
  )5(('0$1UHVSRQGHGWKHQH[WGD\7KXUVGD\$SULOZLWKDQ
 HPDLODSRORJL]LQJIRUGHOD\HGUHVSRQVHH[SUHVVLQJLQWHUHVWLQDWOHDVWDWHOHSKRQH
 FRQYHUVDWLRQDQGSURSRVLQJWLPHV,QRUDERXWWKLVVDPH$SULOWR$SULOWLPH
 IUDPH'¶$/(66,2WHOHSKRQHG)5(('0$1GLUHFWO\DQGLQWURGXFHGKLPVHOIERWKDV
 &KLHI&UHDWLYH2IILFHURI5<'(678',26DQGDVWKHIDWKHURI)5(('0$1¶6
 IULHQGV&KDUORWWHDQG6DPDQWKD'¶$OHVVLR
  '¶$/(66,2WROG)5(('0$1KHZRXOGEHFRRNLQJIRU)5(('0$1
 WKDWFRPLQJZHHNHQG ZKLFKZHHNHQGZDVOLNHO\HLWKHU$SULODQGRU$SULO
 DQG DVKHNQHZWKDW6DPDQWKD'¶$OHVVLRKDGLQYLWHG)5(('0$1DQG
 RWKHU\RXQJZRPHQWRWKH'¶$/(66,2KRPHIRUDZRPHQ¶VGLQQHU)5(('0$1
 WKHQPDGHWKHFRQQHFWLRQIRUWKHILUVWWLPHEHWZHHQ'¶$/(66,2DQG6DPDQWKDDQG
 &KDUORWWHDQGWKH5<'(678',26LQTXLU\
  )5(('0$1DWWHQGHGWKHGLQQHUDWWKH'¶$/(66,2KRXVHKROGWKDW
 ZHHNHQGZKHUH'¶$/(66,2GLVFXVVHG5<'(678',26DQGWKH.DW %DUHLGHD
 ZLWK)5(('0$1EULHIO\LQSHUVRQ)5(('0$1DOVRKDGIXUWKHUFRPPXQLFDWLRQV
 ZLWK'¶$/(66,2DQG%25'2DQGRWKHUVDW5<'(678',26E\HPDLODQGWHOHSKRQH
 DQGZLWK'¶$/(66,2LQSHUVRQDWWKHGLQQHU LQODWH$SULODQGHDUO\0D\
  ,QWKHVHFRPPXQLFDWLRQV'¶$/(66,2DQG%25'2H[SUHVVHGWKDWWKH\
 ZDQWHGWRKLUH)5(('0$1IRUDSDUWLFXODUSKRWRVKRRW .DW %DUH¶VILUVW VFKHGXOHG
 IRU0D\ ODWHUUHVFKHGXOHGWR0D\ ,QWKHVHFRPPXQLFDWLRQV
 '¶$/(66,2DOVREULHIO\GHVFULEHGWKH.DW %DUHFRQFHSWDVKHVDZLWLQEURDG
 VWURNHV
  0RUHVSHFLILFDOO\'¶$/(66,2LQIRUPHG)5(('0$1RIWKHIROORZLQJ
 D '¶$/(66,2ZDVWKH&KLHI&UHDWLYH2IILFHURI5<'(678',26D
 SURGXFWLRQFRPSDQ\WKDWFUHDWHGFRQWHQW ODUJHO\FRPPHUFLDOVRU
 DGYHUWLVHPHQWV IRUVRFLDOPHGLDSODWIRUPV

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 26 of 129 Page ID #:26

 E 5<'(678',26ZDVSODQQLQJWRODXQFKDSKRWRIDVKLRQPDJD]LQHRU
 FKDQQHOWREHFDOOHG³.DW %DUH´ZKLFKZRXOGEHVKRZFDVHGRQ
 ,QVWDJUDP
 F .DW %DUHZRXOGEHPDUNHWHGWRDIHPDOHPLOOHQQLDODXGLHQFHDQG
 '¶$/(66,2ZDVORRNLQJIRUDVW\OLVWWKDWZDVVDYY\ZLWKWKLVDXGLHQFHDQG
 FRXOGDVVLVWLQWKLVILUVWSKRWRVKRRW
 G '¶$/(66,2KDGDVNHGKLVWZRROGHUGDXJKWHUVIRUUHFRPPHQGDWLRQVDQG
 ERWKRIWKHPNQHZ)5(('0$1DVDZHOOFRQQHFWHGSURIHVVLRQDOVW\OLVWLQ
 WKHIDVKLRQLQGXVWU\+LVGDXJKWHUVKDGWKHQVXJJHVWHG)5(('0$1DQG
 KDGUHIHUUHGKLPWR)5(('0$1¶VRZQ,QVWDJUDPDFFRXQWZKLFK
 VKRZFDVHGERWKKHUSHUVRQDOVW\OHDQGVRPHRIKHUZRUNDVDVW\OLVW DQG
 ZKLFKKDGRYHUWZHQW\WKRXVDQGIROORZHUVZKLOH.DW %DUHKDG]HUR 
 DQG
 H '¶$/(66,2EHOLHYHGWKDW)5(('0$1FRXOGEHDJRRGILWIRUWKHVKRRW
 DQGSRVVLEO\IRUDODUJHUUROH
  ,QWKHVHFRPPXQLFDWLRQV)5(('0$1SURYLGHGWR'¶$/(66,2DQG
 5<'(678',26KHUIUHHODQFHGD\UDWH DQGKDOIGD\UDWH IRUWKHSURMHFWWRZKLFKWKH
 QDPHGGHIHQGDQWVDJUHHGZLWKRXWDQ\QHJRWLDWLRQ)5(('0$1WKHQDFFHSWHGWKHMRE
  ,QWKHVHODWH$SULODQGHDUO\0D\FRPPXQLFDWLRQVDQGLQ
 FRPPXQLFDWLRQVDIWHUZDUG'¶$/(66,2DOVRVSHFLILFDOO\H[SODLQHGWKDWHVSHFLDOO\DVD
 IDWKHUWRIRXUGDXJKWHUVKHZDVLQFUHGLEO\LQVSLUHGE\WKHZRPHQLQKLVOLIH
 '¶$/(66,2VDLGWKDWKHZDQWHGWRFUHDWHVRPHWKLQJWKDWFRXOGERWKLQVSLUHDQG
 SURPRWHZRPHQWKDWKLVGDXJKWHUVFRXOGEHSURXGRIDQGWKDWDOVRSHUKDSVPRVW
 VSHFLILFDOO\ZRXOGRILQWHUHVWWRKLVPRGHOGDXJKWHU&KDUORWWHZLWKZKRPKHZDVWKH
 PRVWLPPHGLDWHO\FRQFHUQHGDERXWFRQQHFWLQJDQGDVVLVWLQJLQKHUOLIHDQGFDUHHU
  ,QGHHGLQDGHHSLURQ\'¶$/(66,2*,%%6%25'2DQGDOORIWKH
 QDPHGGHIHQGDQWVSLWFKHGDQGRUUDWLILHGWKH.DW %DUHFRQFHSWWR)5(('0$1 DQG
 RWKHUV DVIXQGDPHQWDOO\DERXWIHPDOHHPSRZHUPHQWIHPDOHFRQWURORIWKHLURZQ

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 27 of 129 Page ID #:27

 VH[XDOLW\ODFNRIIHDURIHVWDEOLVKPHQWDQGFRQYHQWLRQDQGIUHHLQJZRPHQIURPDQHHG
 WRDSRORJL]HRUEHVLOHQW6RPHRIWKHSKUDVHVWKDWWKHQDPHGGHIHQGDQWVXVHGWR
 GHVFULEHWKH.DW %DUHSURMHFWLQFOXGHG
 x ³/LIHVW\OHIDVKLRQQHZZRUOGHGLWRULDOWKDWLVH[FOXVLYHWR
 ,QVWDJUDP´
 x ³,W¶VDZD\RIOLIHDQGDVWDWHRIPLQG´
 x ³,W¶VDERXW\RXQJZRPHQRIWRGD\KRZWKH\LQWHUSUHWEHDXW\FUHDWH
 LQIOXHQFHDQGDVVXPHDFKDQJLQJUROHLQVRFLHW\´
 x 7KHILFWLRQDOIHPDOHDYDWDURIWKHSURMHFW³.DW´ZDVGHVFULEHGDV
 ³VH[\DQGVH[XDO´³FRQILGHQW´³HPSRZHUHG´DQG³QRW3&´
 x ,QWKH.DW %DUH³ZKRDUHZH´PDWHULDOV\RXQJZRPHQZHUH
 VSHFLILFDOO\HQFRXUDJHGWR³KDYHQRIHDUWRTXHVWLRQ´³KDYHIHPDOH
 HPSRZHUPHQW´DQG³GRQ¶WEHµ3&¶´
 x ³:H¶UHUXQE\\RXQJHPSRZHUHGZRPHQZKRDUHIXHOHGE\UDZ
 EHDXW\ XQWDPHGH[SUHVVLRQ´
 x ³:HIRFXVRQWKHLGHQWLW\SROLWLFVFUHDWLYHDQGVH[XDOH[SUHVVLRQRI
 EHLQJD\RXQJZRPHQ>sicZRPDQ@WRGD\´
  )5(('0$1H[SUHVVHGKHUHQWKXVLDVPDERXWWKHFRQFHSWRI.DW %DUH
 DQGDOVRKHUZLOOLQJQHVVWRZRUNRQWKHSKRWRVKRRW+RZHYHULWTXLFNO\EHFDPHFOHDU
 WR)5(('0$1WKDWWKHQDPHGGHIHQGDQWVKDGOLWWOHRUQRH[SHULHQFHLQIDVKLRQRUZLWK
 IDVKLRQVKRRWVQRUGLGWKHQDPHGGHIHQGDQWVXQGHUVWDQGKRZWRFRQQHFWZLWKWKHLU
 WDUJHWDXGLHQFHRUZKDWZRXOGUHVRQDWHZLWKWKDWDXGLHQFHDQGZKDWZRXOGQRW
  $VMXVWRQHH[DPSOHRIWKHQDPHGGHIHQGDQWV¶IXQGDPHQWDOODFNRI
 NQRZOHGJHRIWKHIDVKLRQSKRWRJUDSK\EXVLQHVVDVSDUWRIKHURUGLQDU\SUHSDUDWLRQVIRU
 DVKRRW)5(('0$1UHTXHVWHGWKDW.DW %DUHSURYLGHDQ³/25´IRU)5(('0$1
 WRXVHWRJDWKHUZDUGUREHPDWHULDOVDQGRWKHUPDWHULDOVIURPOHQGLQJEUDQGVUHWDLOHUV
 DQGRUZKROHVDOHUV,WLVFXVWRPDQGSUDFWLFHLQWKHLQGXVWU\IRUIDVKLRQVKRRWVWR
 ERUURZFORWKLQJDFFHVVRULHVDQGRWKHULWHPVIURPUHWDLOHUVRUZKROHVDOHUVSXUVXDQWWR

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 28 of 129 Page ID #:28

 ³/HWWHUVRI5HVSRQVLELOLW\´RU³/25V´ZKLFKVHWXSDEDVLFEDUJDLQZKHUHLQH[FKDQJH
 IRUWKHULJKWWR³SXOO´RUERUURZFORWKLQJMHZHOU\RUDFFHVVRULHVWKHIDVKLRQVKRRW
 DJUHHVWRWDNHFDUHRIWKHSURSHUW\DQGUHWXUQLWLQJRRGRUGHUDQGDOVRWRIHDWXUHDQGRU
 FUHGLWWKHOHQGHULQSXEOLVKLQJWKHVKRRWLPDJHV+RZHYHUWKHHIIHFWLYHQHVVRIDQ\
 /25WRREWDLQORDQRXWPDWHULDOVLVIXQGDPHQWDOO\GHSHQGHQWRQWKHUHSXWDWLRQRIWKH
 SUHVHQWHURIWKH/25DQGWKHLUUHODWLRQVKLSZLWKWKHDFWXDODQGSRWHQWLDOOHQGHUV
  3/$,17,))LVLQIRUPHGDQGEHOLHYHVDQGRQWKDWEDVLVDOOHJHVWKDWSULRUWR
 )5(('0$1UHTXHVWLQJDQ/25IURPWKHQDPHGGHIHQGDQWVWKH\GLGQRWKDYHRQH
 DQGZHUHXQIDPLOLDUZLWKEDVLFVRI/25FXVWRPDQGSUDFWLFHLQWKHIDVKLRQLQGXVWU\
 )5(('0$1SURYLGHGWKHQDPHGGHIHQGDQWVZLWKDIRUP/252QRUDERXW0D\
 %25'2HPDLOHG)5(('0$1D5<'(678',26DQG.DW %DUH/25WRXVH
 IRUWKHVKRRWEXWZKHQ)5(('0$1SUHVHQWHGLWWRSRWHQWLDOPDWHULDOVOHQGHUVWKH
 OHQGHUVJDYHWKH/25HVVHQWLDOO\QRZHLJKWDVWKHQDPHGGHIHQGDQWVKDGQR
 UHODWLRQVKLSZLWKWKHOHQGHUVDQGQRLQGHSHQGHQWUHSXWDWLRQRQZKLFKWRUHO\+RZHYHU
 )5(('0$1KDGERWKDQGVKHXVHGKHURZQUHSXWDWLRQDQGUHODWLRQVKLSVWRREWDLQ
 PDWHULDOVIRUWKHYHU\ILUVW.DW %DUHVKRRW
  2QRUDERXW0D\DQGDIWHUKDYLQJUHYLHZHGWKHFUHDWLYHPDWHULDOV
 WKDWWKHQDPHGGHIHQGDQWVKDGSURYLGHGWRKHU)5(('0$1VKRZHGXSRQORFDWLRQIRU
 WKHYHU\ILUVW.DW %DUHVKRRWZLWKWKHJDUPHQWVDFFHVVRULHVDQGSURSVVKHKDG
 VHOHFWHGIRUWKHFUHDWLYHFRQFHSWDQGZKLFKVKHKDGXVHGKHURZQUHSXWDWLRQDQG
 UHODWLRQVKLSVWRREWDLQ7KHUH)5(('0$1PHW*,%%6IRUWKHILUVWWLPHHYHUDQGDOVR
 PHW%25'2IRUWKHILUVWWLPHLQSHUVRQ'¶$/(66,2ZDVDOVRSUHVHQWLQSHUVRQ
  7KH0D\VKRRWZHQWZHOODQGKLJKOLJKWHGWKHLPPHQVHJDS
 EHWZHHQ)5(('0$1¶6VNLOOVHWDQGH[SHUWLVHDQGWKHGHHSODFNRIWKHVHVDPHVNLOOV
 DQGH[SHUWLVHDPRQJWKHQDPHGGHIHQGDQWV$OWKRXJKQRPLQDOO\KLUHGRULJLQDOO\DVD
 VW\OLVW)5(('0$1LQIDFWFRQWULEXWHGWRWKHVKRRWQRWRQO\WKURXJKKHUVW\OLQJRIWKH
 PRGHOVEXWDOVRE\FROODERUDWLQJZLWKDQGGLUHFWLQJWKHSHUVRQQHORQVHWGXULQJWKH
 SURGXFWLRQDQGVSHFLILFDOO\FROODERUDWLQJZLWK'¶$/(662WRSURYLGHRYHUDOODUWLVWLF

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 29 of 129 Page ID #:29

 GLUHFWLRQWKURXJKRXWWKHVKRRW,QSUDFWLFDOUHDOLW\)5(('0$1QRWRQO\VW\OHGWKH
 VKRRWEXWDOVRJDYHVXEVWDQWLDOGLUHFWLRQ'¶$/(66,2DQGRWKHUVUHPDUNHGWKDW
 )5(('0$1¶VYLVLRQDQGWDOHQWVDSSHDUHGWREHDSHUIHFWPDWFKIRU.DW %DUHDQGLW
 ZDVFOHDUWKDWVKHKDGDVNLOOVHWWDOHQWH[SHULHQFHDQGVHWRIFRQQHFWLRQVWKDWQRQHRI
 WKHRWKHUQDPHGGHIHQGDQWVKDGDQGWKDWZHUHFULWLFDOWRDIDVKLRQIRFXVHGYHQWXUHOLNH
 .DW %DUH
  'XULQJDQGDIWHUWKHVKRRWDQGRULQWKHGD\VIROORZLQJ'¶$/(66,2
 *,%%6DQG%25'2HDFKH[SUHVVHGWR)5(('0$1WKDWWKH\ZDQWHG)5(('0$1
 WREHDQRQJRLQJSDUWRI5<'(678',26DQG.DW %DUHDQGQRWMXVWDVDQ
 LQGHSHQGHQWIUHHODQFHVW\OLVW6KRUWO\DIWHUWKH0D\VKRRWWKH\LQYLWHG
 )5(('0$1WRFRPHWRWKHLUZRUNLQJKHDGTXDUWHUVZKLFKZDVDW,PDJLQDU\)RUFHVD
 SURGXFWLRQVWXGLRLQ9HQLFH&DOLIRUQLD
  7KHUHDWDQLQSHUVRQPHHWLQJRQDGD\LQRUDERXWWKHZHHNRI0D\
 '¶$/(66,2*,%%6%25'2WKHQDVVLVWDQW$OH[LV/R\DDQG)5(('0$1
 VSHQWVHYHUDOKRXUVWRJHWKHUGLVFXVVLQJWKHRYHUDOOFUHDWLYHDQGEXVLQHVVYLVLRQRI
 5<'(678',26LQFOXGLQJSULPDULO\WKH.DW %DUHYHQWXUH'¶$/(66,2*,%%6
 DQG%25'2H[SODLQHGWR)5(('0$1WKDWWKURXJKWKH.DW %DUH9HQWXUHWKH\
 ZHUHVHHNLQJWRFUHDWHDQLQQRYDWLYHDYHQXHIRUFRPPHUFLDODGYHUWLVLQJDQGOLFHQVLQJ
 5<'(678',26LQWHQGHGWRGHYHORSDSRUWIROLRRI,QVWDJUDPDFFRXQWVZKLFKZRXOG
 LQFOXGHWKH.DW %DUH9HQWXUH¶V,QVWDJUDPDFFRXQW#NDWDQGEDUH
 KWWSVZZZLQVWDJUDPFRPNDWDQGEDUH DQGDOVRLQFOXGHDFFRXQWVKHOGE\FHOHEULWLHV
 DQGRWKHUVLQFOXGLQJKRSHIXOO\)5(('0$1¶67KHQDPHGGHIHQGDQWVDOVRKRSHGWR
 OHYHUDJHWKHVRFLDOPHGLDIROORZLQJVRISKRWRJUDSKHUV7RJHWKHUDVWKHQDPHG
 GHIHQGDQWVKDGVFKHPHGLWWKHVHDFFRXQWVZRXOGKDYHDQDJJUHJDWHGDXGLHQFHRI
 PLOOLRQVRIXVHUVRUIROORZHUVZKLFKWKHYHQWXUHFRXOGWKHQPRQHWL]H
  7KHQDPHGGHIHQGDQWVKRSHGWROHYHUDJHWKHLUSODQQHGDXGLHQFHRI
 IROORZHUDVDQDOWHUQDWLYHLQWHUDFWLYHDQGVSHFLDOO\WDUJHWHGSODWIRUPIRUOX[XU\EUDQGV
 DQGPDMRUODEHOVLQWKHIDVKLRQLQGXVWU\WRXVHIRUDGYHUWLVLQJDQGRWKHUSURPRWLRQ,Q

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 30 of 129 Page ID #:30

 HVVHQFHWKHQDPHGGHIHQGDQWVKRSHGWKDWWKH.DW %DUH9HQWXUHFRXOGPDUNHWLWVHOI
 DVDQHZNLQGRIFKDQQHOIRUEUDQGVDQGRWKHUSRWHQWLDOFOLHQWVIRUWKHLUDGYHUWLVLQJ
 PDUNHWLQJDQGSURPRWLRQLQDGGLWLRQWREHLQJDFUHDWLYHDQGHGLWRULDOYRLFHUHVRQDQW
 ZLWK\RXQJIHPDOHV,QWXUQWKH.DW %DUH9HQWXUHZRXOGOLNHZLVHEULQJLQPRUH
 FRPPHUFLDOSURMHFWVIRUWKHODUJHU5<'(678',26
  )5(('0$1TXLFNO\GHPRQVWUDWHGKHURZQFOHDUFUHDWLYHYLVLRQDQG
 VHQVHRIKRZWRGHYHORSWKHYHQWXUHVXFFHVVIXOO\LQFOXGLQJWRUHDFKWKHWDUJHWDXGLHQFH
 RI\RXQJIHPDOHVDQGWRGRVRRQDEXGJHW
  %HJLQQLQJDWWKLV0D\PHHWLQJDW,PDJLQDU\)RUFHVDQGFRQWLQXLQJLQ
 WKHLUH[SUHVVDQGLPSOLHGFRPPXQLFDWLRQVRYHUWKHQH[WVHYHUDOZHHNVDQGE\WKHLU
 FRQGXFWWKHQDPHGGHIHQGDQWVDOOSURSRVHGWKDW)5(('0$1EHFRPHDSHUPDQHQW
 IXOOWLPHPHPEHURIWKH5<'(678',26DQG.DW %DUH9HQWXUHWHDPFRQWULEXWH
 PRVWRUDOORIKHUEXVLQHVVWLPHDVDVW\OLVWIDVKLRQFRQVXOWDQWDQGDUWGLUHFWRUWR5<'(
 678',26DQGWKH.DW %DUHSURMHFWFRQWULEXWHKHULQGXVWU\FRQWDFWVFRQQHFWLRQV
 H[SHUWLVHFUHDWLYHWDOHQWDQGKHURZQHVWDEOLVKHGJRRGZLOOLQFOXGLQJKHUVRFLDOPHGLD
 IROORZLQJWRWKHYHQWXUHDOOIRUWKHEHQHILWRI5<'(678',26DQGLQSDUWLFXODUWKH
 .DW %DUHSURMHFW,QH[FKDQJHDPRQJRWKHUFRQVLGHUDWLRQ)5(('0$1ZRXOGEHD
 IXOOSDUWQHURI5<'(678',26¶.DW %DUHYHQWXUH WKH³.DW %DUH9HQWXUH´RUWKH
 ³9HQWXUH´ DQGZRXOGDOVRKDYHWKHFKDQFHIRUHTXLW\LQWKH5<'(678',26
 FRUSRUDWHHQWLW\
  7KHQDPHGGHIHQGDQWVDOVRSURPLVHGWKDWLI)5(('0$1DJUHHGWR
 EHFRPHWKHQDPHGGHIHQGDQWV¶SDUWQHUVKHZRXOGVSHFLILFDOO\KROGWKHWLWOHRI$UW
 'LUHFWRUDW5<'(678',26ZKHUHVKHZRXOGZRUNRQWKHODXQFKLQJRIWKH.DW 
 %DUH9HQWXUHDQGDOVRZRUNRQRWKHUFRPPHUFLDOSURMHFWVWKDWFDPHLQWR5<'(
 678',26DQGWKDWZHUHXQUHODWHGWR.DW %DUHDQGVSHFLILFDOO\ZRXOGJHWWRZRUN
 FORVHO\ZLWK'¶$/(66,2DQGEHPHQWRUHGE\KLP7KHQDPHGGHIHQGDQWVDOVRDOO
 VSHFLILFDOO\RIIHUHGDQGSURPLVHGWR)5(('0$1WKDWVKHZRXOGEHWKHDUWGLUHFWRUIRU
 5<'(678',26DQGWKH.DW %DUH9HQWXUHQRWRQO\LQWLWOHEXWLQDFWXDOIDFWDQG

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 31 of 129 Page ID #:31

 ZRXOGEHLQGLYLGXDOO\FUHGLWHGDVVXFKRQKHUZRUN±WKXVRIIHULQJ)5(('0$1WKH
 FKDQFHWRDFFHOHUDWHKHUSHUVRQDOJRDORIEHFRPLQJDFUHDWLYHGLUHFWRUE\WKLUW\E\
 DERXWVHYHQ\HDUV
  ,QWKHVHFRPPXQLFDWLRQVZLWK)5(('0$1LQ0D\DQGDIWHUDOORI
 WKHQDPHGGHIHQGDQWVDQG'¶$/(66,2LQSDUWLFXODUVSHFLILFDOO\SURPLVHGWR
 )5(('0$1WKDWWKHQDPHGGHIHQGDQWVZRXOGSURYLGHKHUZLWKHQRXJKSURIHVVLRQDO
 KRXUVDVDQDUWGLUHFWRULQFOXGLQJXQGHU'¶$/(66,2¶6PHQWRULQJDQGDFWLYHWXWHODJH
 WRTXDOLI\)5(('0$1IRUPHPEHUVKLSLQWKH'LUHFWRU¶V*XLOGRI$PHULFDQ ³'*$´ 
 DQGDFFRPSDQ\LQJEHQHILWVHVSHFLDOO\KHDOWKEHQHILWV)RU)5(('0$1WKHSURPLVHG
 KRXUVDVDQDUWGLUHFWRUDQGTXDOLILFDWLRQIRU'*$PHPEHUVKLSDQGKHDOWKEHQHILWVZDV
 SDUWLFXODUO\NH\LQFOXGLQJEHFDXVH)5(('0$1VXIIHUVIURPDSUHH[LVWLQJPHGLFDO
 FRQGLWLRQWKDWUHTXLUHVRQJRLQJDQGH[SHQVLYHPHGLFDOWUHDWPHQW
  8QGHUWKHSDUWLHV¶DJUHHPHQWDQGXQGHUVWDQGLQJWKHQDPHGGHIHQGDQWV
 DOVRDJUHHGLQDGGLWLRQWRDOORIWKHRWKHUWHUPVWRFRPSHQVDWH)5(('0$1ZLWK
 LQLWLDOPRQWKO\SD\RIIRUWKHUHPDLQGHURI0D\ODWHUPRYLQJXSWR
 SHUPRQWKIRU-XQH-XO\DQG$XJXVW)RUFRPSDULVRQDQGUHIHUHQFH
 )5(('0$1¶6HVWDEOLVKHGUDWHIRUDVLQJOHGD\VKRRWDVRI$SULOZDV
 IRUDSKRWRVKRRWDQGIRUDRQHGD\PXVLFYLGHR7KHPRQWKO\IHH
 RUVWLSHQGWKXVZRXOGKDYHSDLGIRUOHVVWKDQWKUHHGD\VRI)5(('0$1¶6WLPHDWKHU
 HVWDEOLVKHGUDWHV%\VKRUWO\DIWHUWKH0D\PHHWLQJDQGFRQWLQXLQJWR1RYHPEHU
 WKHQDPHGGHIHQGDQWVDVNHGIRUUHFHLYHGDQGDFFHSWHGHVVHQWLDOO\DOORI
 )5(('0$1¶6EXVLQHVVWLPHDQGRYHUWLPH H[FHSWIRUWKHRFFDVLRQDODFWLQJDXGLWLRQ
 ZKLFK'¶$/(66,2DOORZHGDQGDSSURYHG)5(('0$1WRGR 7KLVZDVZHOOLQ
 H[FHVVRIWZHQW\GD\VDPRQWKHYHU\VLQJOHPRQWK ZLWKWKHSRVVLEOHH[FHSWLRQRI
 $XJXVWZKHQ)5(('0$1WRRNDSUHVFKHGXOHGPHGLFDOOHDYHIRUVHYHUDOGD\V IURP
 LQRUDERXW0D\DQGWKURXJKDWOHDVWDOORI2FWREHUDQGLQWR1RYHPEHU
 
 

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 32 of 129 Page ID #:32

  ,QWKH0D\DQG-XQHFRPPXQLFDWLRQVDQGDIWHUZDUGWKHQDPHG
 GHIHQGDQWVDOVRUHSUHVHQWHGWKDWWKH\ZRXOGSURYLGH)5(('0$1ZLWKDZULWWHQ
 DJUHHPHQWGRFXPHQWLQJDQGGHWDLOLQJWKHUHODWLRQVKLS
  ,QWKHFRXUVHRIDOORIWKHDERYHFRPPXQLFDWLRQVIURPODWH$SULOWR
 HDUO\-XQHWKHQDPHGGHIHQGDQWVLQFOXGLQJ*,%%6DQG'¶$/(66,2VSHFLILFDOO\
 DOOUHSUHVHQWHGWR)5(('0$1WKDWDWVRPHSRLQWSULRUWRWKHILUVW0D\VKRRW
 *,%%6DQG'¶$/(66,2KDGREWDLQHGDVXEVWDQWLDOLQLWLDOLQYHVWPHQWIURPRQHRUPRUH
 LQYHVWRUVLQ5<'(678',26DQGRUWKH9HQWXUH
  )5(('0$1DFFHSWHGDOORIWKHDERYHWHUPVDQGFKDQJHGKHUSRVLWLRQWR
 KHUGHWULPHQWLQUHDVRQDEOHUHOLDQFHRQWKHQDPHGGHIHQGDQWVSHUIRUPLQJDOORIWKH
 DERYHWHUPV)5(('0$1SHUIRUPHGKHUHQGRIWKHEDUJDLQLQHYHU\PDWHULDOZD\
 FRQWULEXWLQJKHURZQODERUUHVRXUFHVDQGDVVHWVWRWKH9HQWXUHDVLGHQWLILHGDERYH$W
 WKHQDPHGGHIHQGDQWV¶H[SUHVVUHTXHVW)5(('0$1DOVRVSHFLILFDOO\IRUHZHQWZRUN
 IRURWKHUFOLHQWVRQRWKHUSURMHFWVDQGSRWHQWLDOSURMHFWV$OORIWKHQDPHGGHIHQGDQWV
 NQHZWKDW)5(('0$1ZDVGRLQJDOORIWKHVHWKLQJVDQGWKDWVKHZDVGRLQJVRZLWK
 WKHVSHFLILFH[SHFWDWLRQRISDUWQHUVKLSDQGRURWKHUHTXLW\LQWHUHVWVDQGWKHRWKHU
 SURPLVHGWHUPV±DQGVSHFLILFDOO\notPHUHO\DVDQLQGHSHQGHQWFRQWUDFWRUVW\OLVWZKR
 ZRXOGEHWXUQLQJRYHUKHUYDOXDEOHEXVLQHVVFRQQHFWLRQVDQGDEDQGRQLQJKHU
 HVWDEOLVKHGLQGHSHQGHQWFOLHQWHOHWRZRUNPRUHWKDQIXOOWLPHIRUWKHQDPHGGHIHQGDQWV
 IRUDEHORZPDUNHWPRQWKO\VDODU\
  %\QRODWHUWKDQ-XQHGXHWRWKHQHHGVRIWKHSRVLWLRQDQGDW
 GHIHQGDQWV¶UHTXHVWDQGZLWKGHIHQGDQWV¶NQRZOHGJHDQGHQFRXUDJHPHQW)5(('0$1
 KDGFHDVHGDOORIKHULQGHSHQGHQWVW\OLVWDQGIDVKLRQFRQVXOWDQWZRUNDQGZDVZRUNLQJ
 RQO\IRUGHIHQGDQWV)5(('0$1GHYRWHGKHUIXOOEXVLQHVVWLPHDVDVW\OLVWIDVKLRQ
 FRQVXOWDQWDQGDUWGLUHFWRUWRZRUNLQJZLWK'¶$/(66,2*,%%6DQG%25'2WR
 ODXQFKGHYHORSDQGSURPRWHWKH.DW %DUH9HQWXUHDQG5<'(678',26JHQHUDOO\
 )5(('0$1RQUDUHRFFDVLRQVVWLOOZHQWRQDFWLQJDXGLWLRQVDV'¶$/(66,2NQHZ
 DQGDSSURYHG )5(('0$1DOVRZRUNHGFORVHO\ZLWK'¶$/(66,2RQVSHFLILFDFWXDO

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 33 of 129 Page ID #:33

 DQGSRWHQWLDOFRPPHUFLDOSURMHFWDVVLJQPHQWVWKDW5<'(678',26UHFHLYHGRUKRSHG
 WRJHWRXWVLGHRIWKH.DW %DUH9HQWXUH
 The Shadow of Westwick
  $IWHUWKHHDUO\0D\PHHWLQJDW,PDJLQDU\)RUFHV)5(('0$1
 ZRUNHGUHJXODUO\DVDVW\OLVWDQGDUWGLUHFWRURQ.DW %DUHSKRWRVKRRWVLQFOXGLQJD
 VKRRWWKDWWRRNSODFHRQRUDERXW0D\DW7KLV:DUHKRXVHLQ(DVW/RV$QJHOHV
 7KHVKRRW¶VGHVLJQDWHGSKRWRJUDSKHUZDVWKHZHOONQRZQIDVKLRQSKRWRJUDSKHU0LNH
 5RVHQWKDODQG6HUIDW\ZDVRQHRIIRXUVHOHFWHGPRGHOV6HUIDW\DUULYHGWRWKH
 VFKHGXOHGVKRRWODWHWKHODVWRIWKHPRGHOVWRDUULYHWKDWGD\$V)5(('0$1
 ZHOFRPHG6HUIDW\DQGFKDWWHGZLWKKHU6HUIDW\WROG)5(('0$1ZK\VKHZDVODWH
 6HUIDW\KDGMXVWEHJXQWRGDWHDKDQGVRPHFHOHEULW\ZKRKDGIORZQKHUWR/RQGRQDQG
 VKHKDGRQO\MXVWUHWXUQHGWR/RV$QJHOHVVKRUWO\SULRUWRWKHVKRRW,QLWLDOO\FR\DERXW
 KLVLGHQWLW\DQGDOWKRXJK)5(('0$1GLGQRWDVN6HUIDW\FRXOGQRWFRQWDLQKHUVHOI
 DQGVRRQLGHQWLILHGKHUQHZFHOHEULW\ORYHUWR)5(('0$1(G:HVWZLFN
  )5(('0$1ZDVVWXQQHGDQGZRUULHGIRU6HUIDW\DQGLPPHGLDWHO\WROG
 6HUIDW\WKDWVKHVKRXOG³EHFDUHIXO´:KHQ6HUIDW\DVNHGZK\)5(('0$1FRQWLQXHG
 WREHVLOHQWDERXWKHURZQUDSHH[SHULHQFHZLWK:HVWZLFN,QVWHDG)5(('0$1
 FRPPXQLFDWHGWR6HUIDW\MXVWWKDWVKHKDGKHDUGWKDW:HVWZLFNZDVDQDOFRKROLFDQGDQ
 DQJU\RQHVXFKWKDW6HUIDW\VKRXOGEHFDUHIXOZLWKKLPRUZRUGVVXEVWDQWLDOO\WRWKLV
 HIIHFW6HUIDW\DGPLWWHGWKDWVKHKDGVHHQWKDWVLGHRI:HVWZLFNKHUVHOIEXWWKDWVKH
 EHOLHYHGLWZDVRQO\ZKHQKHZDVGULQNLQJDQGKHKDGSURPLVHG6HUIDW\WRVWRS
 )5(('0$1ZDVLQWHUQDOO\XSVHWDQGGLVWXUEHGEXWUHPDLQHGSURIHVVLRQDODQGVLOHQW
 DERXWKHURZQLQWLPDWHNQRZOHGJHWKDW:HVWZLFNZDVDUDSLVW
  'XULQJWKLVVW\OLQJVHVVLRQZLWK6HUIDW\RQRUDERXW0D\LQ
 GLVFXVVLQJWKHWRSLFRIDOFRKROLVP)5(('0$1GLGKRZHYHUFRQILGHLQ6HUIDW\WKDW
 )5(('0$1KDGUHFHQWO\HQGHGDUHODWLRQVKLSZLWKDQDOFRKROLFDQGDEXVLYH
 ER\IULHQGLQFOXGLQJKDYLQJWRREWDLQDSURWHFWLYHUHVWUDLQLQJRUGHUDJDLQVWKLP
 )5(('0$1DOVRFRQILGHGLQ6HUIDW\WKDW)5(('0$1¶6H[ZDVGLVFXVVLQJWKH

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 34 of 129 Page ID #:34

 GLVSXWHRQVRFLDOPHGLDDQG)5(('0$1KDGSRVWHGDUHVSRQVLYHYLGHRRQ<RX7XEH
 DERXWLW6HUIDW\ZRXOGODWHUGLVFORVH)5(('0$1¶6FRQILGHQFHWR:HVWZLFNDQGKLV
 WHDPDVSDUWRIWKHLUIHYHULVKDWWHPSWVWRGLVFUHGLWDQGGHJUDGH)5(('0$1WRVTXHOFK
 KHUVWRU\DQGIXUWKHUHQDEOH:HVWZLFNWRNHHSWKHLQGXVWU\IURPIXOO\UHFRJQL]LQJKLV
 VHULDOUDSLVWQDWXUH
  $IWHUVSHDNLQJZLWK6HUIDW\)5(('0$1OHIWWKHVHWIRUVHYHUDOPLQXWHV
 WRJDWKHUKHUVHOIDQGWKHQUHWXUQHGDQGFRPSOHWHGDOORIKHUSURIHVVLRQDOGXWLHVLQ
 H[HPSODU\IDVKLRQDVXVXDO)5(('0$1ZDVWRUQDERXWZKHWKHUWRZDUQ6HUIDW\
 IXUWKHU)5(('0$1ZDVXQFHUWDLQKRZWRYRLFHWR6HUIDW\GLUHFWO\ RUDWDOO KRZ
 :HVWZLFNKDGUDSHG)5(('0$1HVSHFLDOO\FRQVLGHULQJWKHHOHPHQWVRIWKHLUPXWXDO
 ZRUNDQG)5(('0$1¶6SURIHVVLRQDOLVPDQGEHFDXVH)5(('0$1VSHFLILFDOO\
 IHDUHGVWLUULQJWKHSRWRIDSRZHUIXOLQGXVWU\SOD\HU)5(('0$1DOVRVSHFLILFDOO\
 IHDUHGORVLQJKHUMREDQGFDUHHU)5(('0$1UHVROYHGDJDLQWROHDYHWKH:HVWZLFN
 PDWWHUWRKHUSDVWDVPXFKDVVKHFRXOGDQGWRVWD\VLOHQWDQGFDUU\RQSURIHVVLRQDOO\
  7KH0D\VKRRWFRPSOHWHGVXFFHVVIXOO\DQGRQHRI0LNH
 5RVHQWKDO¶VSKRWRJUDSKVRIWKHIRXUPRGHOVLQFOXGLQJ6HUIDW\EHFDPH.DW %DUH¶V
 YHU\ILUVWSRVWWR,QVWDJUDPRQ-XQH6HUIDW\LVWKHPRGHOIDUWKHVWWRWKHULJKW
 June to July 2017
  )RUWKHQH[WVHYHUDOPRQWKVDQGLQWRDWOHDVW1RYHPEHUDQGZLWKWKH
 H[FHSWLRQRIDVPDOOQXPEHURILQGHSHQGHQWVW\OLVWDQGIDVKLRQFRQVXOWDQWSURMHFWVWKDW
 )5(('0$1FRPSOHWHGE\-XQH)5(('0$1GHYRWHGVXEVWDQWLDOO\DOORIKHU
 EXVLQHVVWLPHDVDVW\OLVWIDVKLRQFRQVXOWDQWDQGDUWGLUHFWRULQFOXGLQJODWHQLJKWV
 ZHHNHQGVDQGKROLGD\VWRZRUNRQWKH.DW %DUH9HQWXUHDQGRQRWKHUDFWXDODQG
 SURVSHFWLYHSURMHFWVIRU5<'(678',26DQGRU'¶$/(66,2 SRVVLEO\RQUDUH
 RFFDVLRQVWLOOJRLQJRQDFWLQJDXGLWLRQVZLWK'¶$/(66,2¶6NQRZOHGJHDQGDSSURYDO 
 ,QDGGLWLRQWRFRQWULEXWLQJKHUWDOHQWH[SHULHQFHDQGODERUDWWKHQDPHGGHIHQGDQWV¶
 H[SUHVVUHTXHVW)5(('0$1DOVRFRQWULEXWHGKHUYDOXDEOHFRQWDFWVLQWKHIDVKLRQDQG
 HQWHUWDLQPHQWZRUOG)5(('0$1FRQQHFWHGWKHQDPHGGHIHQGDQWVDQGWKH.DW 

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 35 of 129 Page ID #:35

 %DUH9HQWXUHZLWKPRGHOVWDOHQWUHSUHVHQWDWLYHVFORWKLQJDQGDFFHVVRU\PDQXIDFWXUHUV
 DQGUHWDLOHUVDQGRWKHUUHVRXUFHVWRZKLFKWKHQDPHGGHIHQGDQWVRWKHUZLVHKDGQR
 DFFHVVRUUHDVRQDEOHKRSHRIDFFHVVDOOIRUWKHSXUSRVHRIGHYHORSLQJDQGDGYDQFLQJ
 WKH.DW %DUH9HQWXUHDQG5<'(678',26JHQHUDOO\)5(('0$1DOVRKHOSHG
 GHIHQGDQWVILQGDQGFRQQHFWWRWKHYHQWXUH¶VVRPHWLPHVSXUSRUWHG DOWKRXJKQRWDFWXDO 
 QDPHVDNHIDVKLRQSKRWRJUDSKHU.DW,UOLQ KHU,QVWDJUDPDFFRXQW#NDWBLQBQ\F
 FXUUHQWO\KDVRYHUPLOOLRQIROORZHUV )5(('0$1DVVLVWHGGHIHQGDQWVLQLQWHUHVWLQJ
 ,UOLQLQZRUNLQJZLWKGHIHQGDQWVDQG3/$,17,))LVLQIRUPHGDQGEHOLHYHVDQGRQWKDW
 EDVLVDOOHJHVWKDW,UOLQZRXOGQRWOLNHO\KDYHZRUNHGZLWKGHIHQGDQWVZLWKRXW
 )5(('0$1¶6VSHFLILFLQSXWVWRGHVLJQLQJWKHEUDQG¶VORRNIHHOVW\OHDQGPHVVDJLQJ
  '¶$/(66,2LQSDUWLFXODUFRQVLVWHQWO\UHDIILUPHGWR)5(('0$1WKDWVKH
 ZDVDFUHDWLYHDQGEXVLQHVVSDUWQHULQWKHYHQWXUHZRXOGJHWWKHFKDQFHWREHDQHTXLW\
 KROGHULQ5<'(678',26DQGZDVDOVRVSHFLILFDOO\'¶$/(66,2¶6FUHDWLYHSDUWQHU
 LQWKHLUFUHDWLYHZRUNIRUERWKWKH.DW %DUH9HQWXUHIRU5<'(678',26DQGZLWK
 '¶$/(66,2KLPVHOI
  :KLOH)5(('0$1KHOGXSKHUHQGRIWKHEDUJDLQLQFOXGLQJLQGHYRWLQJ
 KHUVHOIIXOO\WR5<'(678',26¶DQGWKH9HQWXUH¶VFUHDWLYHDQGEXVLQHVVHQGHDYRUV
 DQGKHOSLQJEXLOGWKH.DW %DUHEUDQG DQGVRPHRI'¶$/(66,2¶6SRWHQWLDOO\
 LQGHSHQGHQWSURMHFWV RQWKHRWKHUHQGWKHQDPHGGHIHQGDQWVRIWHQIDLOHGWROLYHXSWR
 WKHLUREOLJDWLRQVDQGGXWLHVWR)5(('0$1HYHQEHIRUH:HVWZLFNDQG6HUIDW\¶VODWHU
 VPHDUWDFWLFV
  2QFHWKHGHIHQGDQWVKDGLQGXFHG)5(('0$1WRJLYHWKHPKHUFRQWDFWV
 DQGJLYHXSKHULQGHSHQGHQWFDUHHUWRZRUNZLWKWKHPRQWKH9HQWXUHDOORIWKHQDPHG
 GHIHQGDQWVDQG*,%%6LQSDUWLFXODUVWDOOHGDQGGLVVHPEOHGRQSURYLGLQJ)5(('0$1
 ZLWKDZULWLQJIXOO\PHPRULDOL]LQJKHUUHODWLRQVKLSZLWKWKH9HQWXUHDQGWKH
 GHIHQGDQWV7KHQDPHGGHIHQGDQWVNHSWSURPLVLQJ)5(('0$1LWZDVFRPLQJ7KH\
 QRQHWKHOHVVFRQVLVWHQWO\IDLOHGWRSURYLGHLW$WWKHVDPHWLPHSULRUWRWHQVLRQV
 H[SORGLQJZKHQ)5(('0$1ZHQWWRWKHSUHVVDERXW:HVWZLFNWKHQDPHGGHIHQGDQWV

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 36 of 129 Page ID #:36

 DOVRQHYHUGHQLHG)5(('0$1¶6VWDWXVDVDSDUWQHULQWKH.DW %DUH9HQWXUHRUWKH
 SURPLVHVRIHTXLW\LQ5<'(678',26,QGHHGLQVWHDGWKH\FRQVLVWHQWO\UHDIILUPHG
 WR)5(('0$1WKDWVKHZRXOGHQMR\WKHEHQHILWVRIWKHIXWXUHVXFFHVVRI.DW %DUH
 DQG5<'(678',26PHDQLQJDVWKHLUSDUWQHURURWKHUHTXLW\VWDNHKROGHU
  3/$,17,))LVLQIRUPHGDQGEHOLHYHVDQGRQWKDWEDVLVDOOHJHVWKDWWKH
 QDPHGGHIHQGDQWVEXUQHGWKURXJKWKHLUIXQGLQJLQYHVWPHQWDWDUDSLGSDFHEHFDXVHWKH
 QDPHGGHIHQGDQWV¶EXGJHWLQJDQGPDQDJHPHQWVNLOOVZHUHSRRU6RPHRUDOORIWKH
 QDPHGGHIHQGDQWVDQGSDUWLFXODUO\'¶$/(66,2DQG*,%%6PDGHH[WUDYDJDQW
 H[SHQGLWXUHVPDQ\RIZKLFKZHUHLQWKHLURZQSHUVRQDOLQWHUHVWVDWWKHH[SHQVHRI
 5<'(678',26WKH9HQWXUH)5(('0$1DQGRUWKHLQYHVWRUV
  ,QDGGLWLRQDQGDJDLQLQDGHHSLURQ\GHVSLWHVHOOLQJWKHPVHOYHVDQGWKH
 .DW %DUH9HQWXUHDVDERXWWKHHPSRZHUPHQWRI\RXQJIHPDOHV*,%%6LQSDUWLFXODU
 HQJDJHGLQH[WUHPHO\GLVSDUDWHDQGSUHMXGLFLDOILQDQFLDOWUHDWPHQWRI\RXQJIHPDOH
 ZRUNHUVUHODWLYHWRRWKHUZRUNHUVDQGVHUYLFHSURYLGHUVLQWKH.DW %DUH9HQWXUHIRU
 H[DPSOH'¶$/(66,2DQG*,%%6PLJKWSD\DQROGHUPDOHSKRWRJUDSKHUDQGKLVWHDP
 WHQVRIWKRXVDQGVRIGROODUVRXWRIWKH.DW %DUH9HQWXUH¶VILQDQFHGIXQGVRQWKHRQH
 KDQGEXW*,%%6ZRXOGOHDGWKHQDPHGGHIHQGDQWVLQUHFUXLWLQJ\RXQJIHPDOHPRGHOV
 WRDVKRRWDQGWKHQWU\WRSD\WKHPQRWKLQJ$WRWKHUWLPHV*,%%6ZRXOGH[SUHVVKLV
 EHOLHIVWKDWWKHPRGHOVVKRXOGEHKDSS\WREHSDLGZLWKDSDLURIVKRHVRUVLPSO\E\WKH
 IRRGSURYLGHGDWWKHVKRRWDQGIUHHDGPLVVLRQWRDQLQWHUHVWLQJYHQXH
  7KHQDPHGGHIHQGDQWVSDUWLFXODUO\*,%%6DVQRPLQDO&(2VLPSO\KDG
 OLWWOHRUQRH[SHULHQFHLQDFWXDOO\UXQQLQJDQGRSHUDWLQJDQ\RQJRLQJEXVLQHVV
 HVSHFLDOO\RQHGHSHQGHQWRQW\LQJDFWXDOGROODUVDYDLODEOHWREXGJHWUHODWLYHWRSRWHQWLDO
 UHWXUQRQWKHFUHDWLYHSURGXFW)RUH[DPSOHERWK*,%%6DQG'¶$/(66,2ZLOGO\
 RYHUVSHQWRQSKRWRVKRRWVKLULQJ³QDPHEUDQG´SKRWRJUDSKHUVDQGWKHLUHQWLUHWHDPV
 EXWZLWKRXWFRQVLGHUDWLRQDVWRYDOXHDGGHGWRWKHHQGSURGXFWRIWKHSKRWRVKRRWRUWKH
 YDOXHDGGHGIRUWKH9HQWXUHRULWVLQYHVWRUV
 

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 37 of 129 Page ID #:37

  %RWKDVDFUHDWLYHFRQWULEXWLRQDQGLQDQHIIRUWWRPD[LPL]HWKHXVHRIWKH
 EXGJHWIRUHDFKVKRRW)5(('0$1RIIHUHGKHUUHFRPPHQGDWLRQVWRWKHQDPHG
 GHIHQGDQWVDVWRFUHDWLYHSHUVRQQHOIRUSURMHFWVDQGWKHXVHRI)5(('0$1¶6SHUVRQDO
 FRQQHFWLRQVLQWKHIDVKLRQLQGXVWU\,WUDSLGO\EHFDPHFOHDUWKDW)5(('0$1¶6
 FRQQHFWLRQVZHUHKLJKO\YDOXDEOHDQG*,%%6LQSDUWLFXODUHYHQGHPDQGHGDQG
 UHTXLUHGWKDW)5(('0$1SURYLGH*,%%6ZLWK)5(('0$1¶6HQWLUHVHWRISHUVRQDO
 LQGXVWU\FRQWDFWVDVWRPRGHOVLQIOXHQFHUVDQGRWKHUUHVRXUFHVVRWKDWWKHQDPHG
 GHIHQGDQWVDQG*,%%6LQSDUWLFXODUFRXOGDVVHVVWKHPDQGXVHWKHPIRUWKH9HQWXUH
 3URPLVHGWKDWVKHKDGDSHUPDQHQWSRVLWLRQDQGZRXOGVKDUHLQWKH9HQWXUH¶VVXFFHVV
 DQGZDQWLQJWKH9HQWXUHWRVXFFHHG)5(('0$1SURYLGHGWKHLQIRUPDWLRQWR*,%%6
 DQGWKHQDPHGGHIHQGDQWV7KHQDPHGGHIHQGDQWVRIWHQDFFHSWHG)5(('0$1¶V
 UHFRPPHQGDWLRQVDQGHYHQUHTXLUHGWKHPDQGWKXVUHJXODUO\DQGNQRZLQJO\UHOLHGRQ
 )5(('0$1¶VFRQQHFWLRQVDQGJRRGZLOOWREXLOGERWK5<'(678',26DQGWKH
 9HQWXUH
  +RZHYHUWKHQDPHGGHIHQGDQWVDQGHVSHFLDOO\*,%%6DQG%25'2
 VLPSO\GLGQRWNQRZZKDWWKH\ZHUHGRLQJDQGRUZHUHLQWHQWLRQDOO\UHFNOHVVRUJURVVO\
 QHJOLJHQWZLWK)5(('0$1¶6FRQWDFWVDQGEXUQWPRUHRI)5(('0$1¶6JRRGZLOO
 ZLWKKHURZQFRQQHFWLRQVDQGUHVRXUFHVWKDQQHHGHGWRKDSSHQ)RUH[DPSOH
 3/$,17,))LVLQIRUPHGDQGEHOLHYHVDQGWKHUHRQDOOHJHVWKDWHDFKPRQWKWKHQDPHG
 GHIHQGDQWVGLUHFWHGLQWKHILUVWLQVWDQFHE\*,%%6NQRZLQJO\FDXVHGSD\PHQWVWR
 HPSOR\HHVFRQWUDFWRUVYHQGRUVPRGHOVDQGRWKHUWDOHQWDQGVXSSOLHUVWREHLVVXHGODWH
 RUWRJRXQSDLGDOWRJHWKHU
  (VSHFLDOO\LI'¶$/(66,2ZDVDEVHQWRUQRWSD\LQJDWWHQWLRQ*,%%6
 ZRXOGDOVRLPSRVHKLVRZQFUHDWLYHVHQVHLQFOXGLQJLQGHILDQFHRIVXFKEDVLFVDV
 DSSURYDOV±IRULQVWDQFHLQWHQWLRQDOO\FUHDWLQJSRVWVIHDWXULQJXQGHUDJHPRGHOVKROGLQJ
 DOFRKRORYHUWKHREMHFWLRQVRIWKHPRGHOV¶UHSUHVHQWDWLYHVFDXVLQJ.DW %DUHWR
 SURSRVHRSHQLQJDYLGHRRIRQHRI)5(('0$1¶6\RXQJIHPDOHPXVLFLDQFOLHQWVZLWK
 WKHPXVLFLDQSURFODLPLQJWKDWVKHZDVD³VH[DGGLFW´HYHQWKRXJKWKHPXVLFLDQ¶V

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 38 of 129 Page ID #:38

 UHSUHVHQWDWLYHVDQGODEHOZRXOGFOHDUO\QHYHUDSSURYHLWDQGZRXOGEHVKRFNHGWRVHHLW
 HYHQSURSRVHGDQGRYHU)5(('0$1¶6REMHFWLRQDQGFDXVLQJ.DW %DUHWRSRVW RU
 SURSRVHGWRWDOHQWUHSUHVHQWDWLYHV LPDJHVRIDQGWH[WDERXW)5(('0$1¶6FOLHQWV
 ZLWKRXWFKHFNLQJZLWK)5(('0$1RUOLVWHQLQJWRKHUMXGJPHQW$VDUHVXOWRIWKLV
 XQQHFHVVDU\DQGXQSURIHVVLRQDOFRQGXFWE\WKHQDPHGGHIHQGDQWVDQGHVSHFLDOO\
 *,%%6)5(('0$1¶6UHODWLRQVKLSZLWKDWOHDVWRQHLPSRUWDQWVRXUFHRIEXVLQHVVIRU
 )5(('0$1ZDVLUUHYRFDEO\GDPDJHGDIWHU)5(('0$1KDGVSHQW\HDUVHDUQLQJLW
  )URP-XQHWRDWOHDVW$XJXVW)5(('0$1FRQWLQXHGWRUHTXHVWD
 ZULWLQJGRFXPHQWLQJWKHDJUHHGWHUPVRIKHUUHODWLRQVKLSZLWKWKHQDPHGGHIHQGDQWV
 DQGWKHQDPHGGHIHQGDQWVFRQWLQXDOO\UHSUHVHQWHGWKDWWKH\ZHUHZRUNLQJRQVXFKD
 GRFXPHQW$WWKHVDPHWLPHWKH\FRQWLQXDOO\IDLOHGWRGHOLYHUDQ\VXFKZULWLQJ
  )URP-XQHWRDWOHDVW$XJXVW)5(('0$1FRQWLQXHGWRSHUIRUP
 VHUYLFHVIRUWKHQDPHGGHIHQGDQWVDQGWKH9HQWXUHRQPRUHWKDQDIXOOWLPHEDVLV
 ZRUNLQJODWHQLJKWVDQGZHHNHQGVFRQFHLYLQJVW\OLQJDQGGLUHFWLQJVKRRWVDXWKRULQJ
 .DW %DUHVW\OHJXLGHVDQGFUHDWLYHGHFNVPDNLQJPDWHULDOFUHDWLYHLQSXWWRWKH
 RYHUDOOORRNIHHODQGFRPSRVLWLRQRIWKH.DW %DUH,QVWDJUDPIHHGDQGJHQHUDOO\
 GRLQJHYHU\WKLQJVKHUHDVRQDEO\FRXOGGRWRVXSSRUWWKH9HQWXUH)5(('0$1DOVR
 GLGVXEVWDQWLDOZRUNRQ5<'(678',26¶ DQG'¶$/(66,2¶6 RWKHUDFWXDODQG
 SRWHQWLDOFRPPHUFLDOSURMHFWVLQGLUHFWFUHDWLYHSDUWQHUVKLSZLWK'¶$/(66,2
  $OPRVWIURPWKHRXWVHW'¶$/(66,2DQG)5(('0$1ZHUHQDWXUDO
 FUHDWLYHSDUWQHUV(DFKVHHPHGWRUHFRJQL]HWKHWDOHQWVDQGVNLOOVHWWKDWWKHRWKHU
 EURXJKWWRWKHSDUWQHUVKLSDQG3/$,17,))LVLQIRUPHGDQGEHOLHYHVDQGWKHUHRQ
 DOOHJHVWKDW'¶$/(66,2VDZDQGFUHDWLYHO\DSSUHFLDWHG)5(('0$1¶6FUHDWLYHWDOHQW
 ZRUNHWKLFWRXJKQHVVDQGGHWHUPLQDWLRQ,WVRRQEHFDPHFOHDUZLWKLQWKH9HQWXUHWKDW
 DVDPRQJ'¶$/(66,2*,%%6%25'2DQG)5(('0$1LWZDV'¶$/(66,2DQG
 )5(('0$1DVDWHDPZKRZHUHWKHUHDOFUHDWLYHIRUFHDQGGLUHFWLRQ'¶$/(66,2
 DQG)5(('0$1ZRXOGVSHQGPDQ\KRXUVZRUNLQJWRJHWKHUFUHDWLYHO\RIWHQZLWKRXW
 *,%%6DQG%25'2'¶$/(66,2RIIHUHGDQGSURPLVHGWRWHDFK)5(('0$1DQG

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 39 of 129 Page ID #:39

 SURYLGHKHURSSRUWXQLWLHVWREHFRPHDFUHDWLYHGLUHFWRULQDUHDVEH\RQGIDVKLRQ
 LQFOXGLQJLQJHQHUDOFRPPHUFLDOGLUHFWLQJDQGJHQHUDOO\FDVWKLPVHOIWR)5(('0$1
 DQG)5(('0$1VDZKLPDVDPHQWRUDQGHYHQIDWKHUILJXUH
  3/$,17,))LVLQIRUPHGDQGEHOLHYHVDQGRQWKDWEDVLVDOOHJHVWKDWWKH
 FORVHQHVVRIWKHFRQQHFWLRQEHWZHHQ)5(('0$1DQG'¶$/(66,2DQG
 '¶$/(66,2¶VDSSUHFLDWLRQDQGUHFRJQLWLRQRI)5(('0$1¶VFUHDWLYHWDOHQWV
 LPSOLFLWO\RUH[SOLFLWO\DVEHLQJJUHDWHUWKDQHLWKHU*,%%6¶RU%25'2¶6 SDUWLFXODUO\
 FRXSOHGZLWKWKHFRPELQDWLRQRI)5(('0$1¶6FRPSHWHQFHDWVXFKD\RXQJDJH
 SODQWHGVHHGVRIUHVHQWPHQWLQERWK*,%%6DQG%25'2WRZDUG)5(('0$1DQG
 WKRVHVHHGVIHVWHUHGDQGJUHZ
  )URPWLPHWRWLPH'¶$/(66,2ZRXOGEHDEVHQWIURPWKH9HQWXUHIRU
 H[WHQGHGVWUHWFKHVZRUNLQJRQFRPPHUFLDOGLUHFWLQJSURMHFWVQRWRVWHQVLEO\UHODWHGWR
 .DW %DUH RUDERXWZKLFKUHODWLRQVKLSWR5<'(678',26DQGWKH9HQWXUH
 '¶$/(66,2ZDVYDJXHRUXQFOHDU ,QWKHVH'¶$/(66,2DEVHQFHV*,%%6ZRXOG
 RIWHQDWWHPSWWRVHL]HWKHFUHDWLYHUHLQVIURP)5(('0$1LQFOXGLQJLQZD\VWKDWERWK
 KXUWWKH9HQWXUHDQGWKDWVHHPHGLQWHQGHGDVSHWW\VWULNHVE\*,%%6DW)5(('0$1
 $VMXVWRQHH[DPSOH'¶$/(66,2DQG*,%%6GHFLGHGWKDWWKH\ZDQWHGWREULQJLQ
 GLUHFWRU&KULV$SSOHEDXPIDPRXVIRUKLV³($76´YLGHRVZKLFKIHDWXUHVFDQWLO\FODG
 PRGHOVLQWHUDFWLQJZLWKIRRGLQDKLJKO\VH[XDOL]HGZD\)5(('0$1SRLQWHGRXWWKDW
 ZKLOH$SSOHEDXP¶VZRUNZDVXQGHQLDEO\SRSXODUDQGJRWORWVRIVRFLDOPHGLDKLWVLW
 ZDVRIIEUDQGIRU.DW %DUHDQGLQPDQ\ZD\VFRQYH\HGWKHRSSRVLWHRIWKHW\SHRI
 PHVVDJHWKDW.DW %DUHZDVWU\LQJWRDGYDQFHZLWKLWVLQWHQGHGIHPDOHDXGLHQFH
  )5(('0$1SURSRVHGDQGFRQFHLYHGD.DW %DUHYLGHRVHULHVWKDWVKH
 ODEHOHG³0RGHOV(DW´ZKLFKZRXOGKDYH$SSOHEDXPZRUNZLWKWKHPRGHOVDQGIRRG
 WKDWZHUHKLVWUDGHPDUNVEXWFRQYH\LQJDPRUHIHPDOHSRVLWLYHPHVVDJHDQGWKDWZRXOG
 EHRQEUDQGIRU.DW %DUH6SHFLILFDOO\)5(('0$1¶60RGHOV(DWFRQFHSWZDV
 GHVLJQHGDQGLQWHQGHGWREHIHPDOHHPSRZHULQJVKRZLQJPRUHIXOO\FORWKHGPRGHOV
 DFWXDOO\HDWLQJKHDUWLO\WRFRXQWHUSUHVVXUHVDQGVWHUHRW\SHVRI\RXQJDWWUDFWLYH

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 40 of 129 Page ID #:40

 ZRPHQQRWHDWLQJIRUIHDURIJDLQLQJZHLJKWDQGEHLQJOHVVDWWUDFWLYHRUSKRWRJHQLF
 '¶$/(66,2DSSURYHGWKHVKRRWDV)5(('0$1FRQFHLYHGLWDVGLG*,%%6
 RVWHQVLEO\DOVRDVGLG$SSOHEDXP ZKRZDVEHLQJSDLGKDQGVRPHO\IRUWKHVKRRW 
 7KLQJVZHQWIRUZDUGWRKROGWKHVKRRWRQRUDERXW-XQHDWDWLPHZKHQ
 '¶$/(66,2ZRXOGEHDQGZDVDEVHQW
  7KH-XQHVKRRWZHQWIRUZDUGEXWWKURXJKLQWHUDFWLRQVZLWK
 $SSOHEDXPDQG*,%%6ZKRRYHUURGHDQGRWKHUZLVHVWHSSHGKHDYLO\RQ
 )5(('0$1¶6FUHDWLYHDXWKRULW\DQGMXGJPHQWLQWKHDEVHQFHRI'¶$/(66,2WKH
 VKRRWEHFDPHDOPRVWWKHRSSRVLWHRIZKDW)5(('0$1KDGLQWHQGHG2YHU
 )5(('0$1¶6YHKHPHQWREMHFWLRQV*,%%6FDXVHG.DW %DUHWRDFFHGHWRDQGHYHQ
 HQFRXUDJH$SSOHEDXPWRVKRRWWKHPRGHOVLQELNLQLVDQGRWKHUZLVHVFDQWLO\FODGXVLQJ
 IRRGWRKHDYLO\VH[XDOL]HWKHPRGHOVDQGZLWKOLWWOHRUQRFRQQHFWLRQWRDQ\IDVKLRQ
 UHODWHGPLVVLRQRUPHVVDJHOHWDORQHDQ\IHPDOHHPSRZHULQJRUVRFLDOO\FRQVFLRXVRQH
 )5(('0$1ZDVVRRIIHQGHGE\WKHFRQWRUWLRQRIWKHVKRRWWKDWVKHUHTXHVWHGWKDWKHU
 QDPHQRWEHDVVRFLDWHGZLWKLW*,%%6IUHTXHQWO\DVNHGRUHYHQFDXVHG)5(('0$1
 notWREHLQGLYLGXDOO\FUHGLWHGRQSRVWVHYHQZKHQVKHVKRXOGKDYHEHHQ%XWIRUWKH
 0RGHOV(DWVKRRW*,%%6GLGWKHRSSRVLWHDVDVOLJKWWR)5(('0$1KHFDXVHGRU
 DOORZHG$SSOHEDXPWRSXW)5(('0$1¶6QDPHRQWKHSRVWVNQRZLQJWKDWZDV
 H[DFWO\ZKDW)5(('0$1KDGDVNHGQRWKDSSHQ
  *,%%6JHQHUDOO\KDGGLIILFXOW\LQWHUDFWLQJDSSURSULDWHO\ZLWKWKHPRGHOV
 $VMXVWRQHH[DPSOH*,%%6FDPHSHUVRQDOO\ DQGXQQHFHVVDULO\ WRDVKRRWSURYLGLQJ
 VLJQLILFDQWDPRXQWVRIDOFRKROVDWGRZQLQWKHVHWDUHDDQGSURFODLPHGKLPVHOIDV³WKH
 ERR]HJX\´DQGHQFRXUDJHGWKHPRGHOVWRGULQNGXULQJWKHVKRRW±HQWLUHO\
 XQSURIHVVLRQDODQGQRWWKHLQGXVWU\FXVWRPDQGSUDFWLFHE\DQ\PHDQV$VGLVFXVVHGLQ
 SULRUH[DPSOHVDERYH*,%%6DOVRIUHTXHQWO\EHWUD\HGDGHVLUHDQGLQWHQWWRSXVK
 SRUWUD\DORIPRGHOVLQWRKHLJKWHQHGVH[XDOL]DWLRQDQGVH[XDODYDLODELOLW\DQGDV
 HQJDJLQJLQFRQVXPSWLRQRIDOFRKROIRUH[DPSOHDQXQGHUDJHPRGHOKROGLQJDIXOO
 ZLQHJODVVRYHUWKHREMHFWLRQRIWKHPRGHO¶VUHSUHVHQWDWLYH$QG*,%%6DOVRMXVW

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 41 of 129 Page ID #:41

 JHQHUDOO\EHOLHYHGWKDWWKH\RXQJIHPDOHPRGHOVGLGQRWGHVHUYHWREHSDLGIRUWKHLU
 ZRUNDQGZRXOGEHKDSS\WRZRUNIRUPLQRUEDUWHUJLIWVZKLFK)5(('0$1
 UHSHDWHGO\H[SODLQHGZDVQRWWUXHDQGZRXOGGDPDJHWKH9HQWXUH¶VUHSXWDWLRQLQWKH
 LQGXVWU\LQDGGLWLRQWREHLQJWKHZURQJWKLQJWRGROHJDOO\DQGPRUDOO\
  )5(('0$1H[SUHVVHGWR'¶$/(66,2KHUIUXVWUDWLRQZLWK*,%%6¶6
 FRQGXFWZLWKWKHPRGHOVDQGWKDWLWZDVKXUWLQJWKH9HQWXUH3/$,17,))LVLQIRUPHG
 DQGEHOLHYHVDQGRQWKDWEDVLVDOOHJHVWKDWRWKHUVGLGDOVRDQGWKDW'¶$/(66,2DOVR
 VDZLWIRUKLPVHOI'¶$/(66,2HYHQWXDOO\ODLGGRZQQHZUXOHVSXUVXDQWWRZKLFK
 *,%%6ZDVQRWWRKDYHFRQWDFWZLWKWKHPRGHOVRUWKHLUUHSUHVHQWDWLYHVDQGWKRVHUXOHV
 ZHUHLQIDFWLPSRVHG7R3/$,17,))¶6NQRZOHGJHWKH\ZHUHIROORZHGDQG*,%%6
 ZDVLQIDFWUHPRYHGE\'¶$/(66,2IURPGLUHFWFRQWDFWZLWKWKHPRGHOVDQGWKHLU
 UHSUHVHQWDWLYHV3/$,17,))LVLQIRUPHGDQGEHOLHYHVDQGRQWKDWEDVLVDOOHJHVWKDWWKLV
 H[DFHUEDWHG*,%%6¶6JURZLQJJUXGJHDJDLQVW)5(('0$1
  0HDQZKLOH6HUIDW\FRQWLQXHGWRKDYHJURZLQJFRQQHFWLRQVZLWKWKH
 9HQWXUH6HUIDW\ZDVKLUHGIRUDQGDSSHDUHGDVRQHRIWKHPRGHOVRQWKH-XQH
 ³0RGHOV(DW´VKRRWZLWKGLUHFWRU&KULV$SSOHEDXPLQDVW\OHGVFHQHVLWWLQJDQG
 ZHDULQJDIDVKLRQDEOHGUHVVVDYDJHO\FRQVXPLQJDEXWWHUHGOREVWHUWDLO RQHRIWKHIHZ
 VFHQHVIRUWKH³0RGHOV(DW´VKRRWWKDWUHPDLQHGUHODWLYHO\WUXHWR)5(('0$1¶6
 RULJLQDOFRQFHSWLRQ $YLGHRRIWKH6HUIDW\OREVWHUVFHQHVKRWRQRUDERXW-XQH
 DSSHDUVRQWKH.DW %DUH,QVWDJUDPIHHG SRVWHGDWDODWHUGDWH 
  6HUIDW\FRQWLQXHGKHUUHODWLRQVKLSZLWK:HVWZLFNEXW)5(('0$1FRXOG
 ZRUNZLWK6HUIDW\ZLWKRXWDQ\FRQWDFWZLWK:HVWZLFN)5(('0$1GLGVR
 SURIHVVLRQDOO\DQGHYHQLQDIULHQGO\ZD\DVWR6HUIDW\LQFOXGLQJFRQWLQXLQJWRVWD\
 VLOHQWWKDW)5(('0$1KDGKDGDQ\GLUHFWH[SHULHQFHZLWK:HVWZLFNDQGWKDW
 :HVWZLFNKDGUDSHG)5(('0$1)5(('0$1ZRXOGDOVRRFFDVLRQDOO\VHH6HUIDW\
 DWVRFLDOHYHQWVDVWKHWZRPRYHGLQVRPHRIWKHVDPHRURYHUODSSLQJVRFLDOFLUFOHV
 )5(('0$1DQG6HUIDW\ZHUHERWKPXWXDOO\SRVLWLYHDQGIULHQGO\WRHDFKRWKHU
 

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 42 of 129 Page ID #:42

  3/$,17,))LVLQIRUPHGDQGEHOLHYHVDQGRQWKDWEDVLVDOOHJHVWKDWGXULQJ
 WKHVXPPHURI%25'2EHFDPHGD]]OHGE\6HUIDW\¶VSHUFHLYHG$OLVWOLIHVW\OH
 DQG%25'2VRXJKWRXWDQGGHYHORSHGDSHUVRQDOIULHQGVKLSZLWK6HUIDW\)RU
 LQVWDQFHUDWKHUWKDQVHQGLQJSKRWRVDPSOHVWR6HUIDW\E\HPDLORUPHVVHQJHU%25'2
 ZRXOGYROXQWHHUWRPDNHDORQJGULYHDFURVVWKHFLW\WRWDNHWKHPSHUVRQDOO\WR
 6HUIDW\¶VUHVLGHQFHDVDQH[FXVHWRLQWHUDFWIXUWKHUDQGEXLOGDUHODWLRQVKLSZLWK
 6HUIDW\$WWKHVDPHWLPH%25'2FRQWLQXHGWREHFRPHPRUHUHVHQWIXODQGGLVPLVVLYH
 RIWKHSUHFRFLRXVDQGWDOHQWHG)5(('0$1
  3/$,17,))LVLQIRUPHGDQGEHOLHYHVDQGRQWKDWEDVLVDOOHJHVWKDW*,%%6
 DQG%25'2ERWKHYHQWXDOO\XVHGWKHWHQVLRQRI)5(('0$1¶6VSHDNLQJRXWDERXW
 EHLQJUDSHGE\:HVWZLFNWRSXVKDQGPDQLSXODWH'¶$/(66,2LQWRRXVWLQJ
 )5(('0$1DQGIDLOLQJKHUDVWRPRVWRUDOORI'¶$/(66,2¶6SURPLVHVWRKHU
 Late July to Early October 2017
  ,QRUDERXWODWH-XO\DQG$XJXVW'¶$/(66,2ZDVDJDLQDEVHQWIRUD
 VLJQLILFDQWVWUHWFKRIWLPH,QRUDERXWODWH-XO\DQG$XJXVWDVSDUWRIKHU
 ³0RGHOV(DW´LGHD)5(('0$1FRQFHLYHGDQGGHYHORSHGDVKRUWYLGHRSURMHFWZKHUH
 DPRGHOZRXOGGUHVVUHPLQLVFHQWO\RI0DULO\Q0RQURHDQGVLQJ³+DSS\%LUWKGD\0U
 3UHVLGHQW´ZKLOHVWDQGLQJEHKLQGDSUHVLGHQWLDOSUHVVSRGLXPZLWKDELUWKGD\FDNHDOO
 WREHUHOHDVHGE\.DW %DUHRQ%DUDFN2EDPD¶VWKELUWKGD\$XJXVW
  .DW %DUHDQGWKHQDPHGGHIHQGDQWVDOODSSURYHGWKHSURMHFWDQG
 )5(('0$1ZDVWKHSRLQWSHUVRQRQH[HFXWLRQLQFOXGLQJDUWGLUHFWLQJVXEVWDQWLDOO\
 WKHHQWLUHSURMHFW7KHUHVXOWZDVDKLJKO\SURIHVVLRQDODQGFUHDWLYHO\VXFFHVVIXOYLGHR
 IRUZKLFK)5(('0$1ZDVWRUHFHLYHLQGLYLGXDOFUHGLWLQFOXGLQJLQDWDJRQWKHSRVW
 LWVHOI+RZHYHULQ'¶$/(66,2¶6DEVHQFH*,%%6FDXVHGWKHYLGHRWREHSRVWHG
 ZLWKRXWDQ\LQGLYLGXDOFUHGLWWR)5(('0$1:KHQ)5(('0$1REMHFWHG*,%%6
 WROG)5(('0$1WKDWVKHGLGQRWQHHGDQGZRXOGQRWUHFHLYHDQLQGLYLGXDOFUHGLW
 EHFDXVH.DW %DUHZDVWDNLQJWKHRYHUDOOFUHDWLYHFUHGLWDQGWKDW)5(('0$1ZDV
 SDUWRIWKH.DW %DUHWHDPDQGFRXOGFRXQWRQHQMR\LQJ.DW %DUH¶VIXWXUHVXFFHVV

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 43 of 129 Page ID #:43

 $IWHU)5(('0$1FRPSODLQHGWR'¶$/(66,2*,%%6XOWLPDWHO\DGGHG
 )5(('0$1¶6SURPLVHGLQGLYLGXDOFUHGLWDVDWDJRQWKHSLHFH6XFKFRQGXFWE\WKH
 QDPHGGHIHQGDQWVDQG*,%%6LQSDUWLFXODUZDVQRWLVRODWHG*,%%6UHJXODUO\H[FXVHG
 IDLOLQJWRFUHGLW)5(('0$1RURWKHUZLVHIDLOLQJWRPDNHSURPLVHGSHUIRUPDQFHVWR
 KHURQWKHH[SODQDWLRQDQGMXVWLILFDWLRQWR)5(('0$1WKDW)5(('0$1ZDVDSDUW
 RIWKH9HQWXUHDQGZRXOGHQMR\LWVODUJHUVXFFHVV PHDQLQJRUVWURQJO\LPSO\LQJDVD
 SDUWQHURURWKHUHTXLW\VWDNHKROGHURURWKHUZLVHDVVRPHRQHZLWKDJXDUDQWHHGFDUHHU
 DQGSRVLWLRQ 
 Westwick Comes
  ,QRUDERXW$XJXVW)5(('0$1FRQFHLYHGDQGGHYHORSHGD%RQQLH
 &O\GH5XQDZD\/RYHUVWKHPHGSKRWRHGLWRULDOIRUWKH9HQWXUHWRIHDWXUHDPDOHDQG
 IHPDOHFRXSOHDQGWREHSURGXFHGLQODWH$XJXVWRUHDUO\6HSWHPEHU7KHQDPHG
 GHIHQGDQWVDQGSKRWRJUDSKHU.DW,UOLQZHUHDOOHQWKXVHGDERXWWKHSURSRVHGHGLWRULDO
 DQGWKHJURXSEHJDQFRQVLGHULQJPRGHOV%25'2VXJJHVWHGWKDWLIWKH9HQWXUHFKRVH
 6HUIDW\WKDWWKH\PLJKWDOVRJHW:HVWZLFNZKRE\WKLVWLPHKDGEHHQGDWLQJ6HUIDW\
 UHJXODUO\IRUVRPHPRQWKV)5(('0$1GLGQRWZDQWWRZRUNZLWK:HVWZLFNEXWGLG
 QRWREMHFW)5(('0$1HYHQSOD\HGDORQJWKDW:HVWZLFNDQG6HUIDW\ZHUHDSRWHQWLDO
 FKRLFHLQFOXGLQJEHFDXVH)5(('0$1GLGQRWEHOLHYHWKDW:HVWZLFNZRXOGDJUHH DV
 KHKDGQHYHUGRQHWKLVW\SHRIVRFLDOPHGLDVKRRWQRUKDGKHGRQHDIRUPDOVKRRWDVD
 FRXSOHZLWK6HUIDW\ EHFDXVH)5(('0$1ZDVQRWSUHSDUHGWRGLVFORVHDQGH[SODLQ
 WKDW:HVWZLFNKDGUDSHGKHUDQGDOVREHFDXVH)5(('0$1ZDVWU\LQJVLPSO\WRGR
 KHUMRE%25'2E\WKLVWLPHKDGHVWDEOLVKHGDWOHDVWDZRUNIULHQGVKLSZLWK6HUIDW\
 DQGSLWFKHGWKHLGHDWR6HUIDW\%25'2UHSRUWHGEDFNVKRUWO\WKHUHDIWHUWKDWERWK
 6HUIDW\DQG:HVWZLFNKDGDJUHHGWRGRWKH)5(('0$1FRQFHLYHG%RQQLH 
 &O\GH5XQDZD\/RYHUVVKRRWZLWK.DW %DUH
  )5(('0$1FRQWLQXHGWRSHUIRUPKHUGXWLHVIRU.DW %DUHGXWLIXOO\DQG
 SURIHVVLRQDOO\LQFOXGLQJSUHSDUDWLRQVIRUWKHVKRRWZLWK6HUIDW\DQG:HVWZLFN
 

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 44 of 129 Page ID #:44

  7KH5XQDZD\/RYHUVVKRRWWRRNSODFHRQRUDERXW6HSWHPEHU
 ZLWK6HUIDW\DQG:HVWZLFNVHUYLQJDVOHDGVDQGUHVXOWLQJLQ)5(('0$1EHLQJ
 UHTXLUHGWRVHUYHDVVW\OLVWWRERWKDQGDUWGLUHFWRUIRUWKHVKRRW$OWKRXJKGHHSO\
 GLVWXUEHGE\DJDLQEHLQJLQFORVHSK\VLFDOSUR[LPLW\WRWKHUDSLVW:HVWZLFN
 )5(('0$1FRQWLQXHGWRVWD\VLOHQWDERXWWKHLQFLGHQWDQGSHUIRUPHGDOORIKHU
 GXWLHVSURIHVVLRQDOO\$QGDWWKHVKRRWLWVHOI:HVWZLFNIDLOHGWRUHFRJQL]HRU
 UHPHPEHU)5(('0$1RUGLVSOD\HGQRLQGLFDWLRQWKDWKHGLG
  $IWHUWKH5XQDZD\/RYHUVVKRRWZDVFRPSOHWHG6HUIDW\WKHQDPHG
 GHIHQGDQWVDQG)5(('0$1WRMRLQ6HUIDW\DQG:HVWZLFNWKDWQLJKW RQRUDERXW
 6HSWHPEHU IRUGULQNLQJDQGNDUDRNHDWDORFDOYHQXH7KHHYHQWZDVDFWXDOO\
 RULQSUDFWLFDOHIIHFWDEXVLQHVVHYHQWIRU.DW %DUHDQG)5(('0$1GXWLIXOO\
 DWWHQGHGFRQWLQXLQJWRPDLQWDLQKHUVLOHQFH+RZHYHUGXULQJWKHHYHQW:HVWZLFN
 SULYDWHO\GLVFORVHGWR)5(('0$1WKDWKHUHFRJQL]HGKHUVD\LQJLQLQWLPLGDWLQJ
 IDVKLRQWR)5(('0$1ZRUGVWRWKHHIIHFWWKDWWZRRIWKHP :HVWZLFNDQG
 )5(('0$1 KDGDVHFUHWDQGWKDW:HVWZLFNH[SHFWHG)5(('0$1WRNHHSLWWKDW
 ZD\:HVWZLFN¶VUHPDUNVZHUHLQWHQGHGE\KLPDQGXQGHUVWRRGE\)5(('0$1
 VSHFLILFDOO\WRPHDQWKDW:HVWZLFNUHFRJQL]HGWKDWKHKDGUDSHG)5(('0$1DQGD
 VWURQJZDUQLQJWR)5(('0$1WKDW:HVWZLFNH[SHFWHGKHUQHYHUWRVD\DQ\WKLQJ
 DERXWLW3/$,17,))LVLQIRUPHGDQGEHOLHYHVDQGRQWKDWEDVLVDOOHJHVWKDW6HUIDW\
 HLWKHUGLGQRWVHHRUQRWLFHWKHH[FKDQJHRUZDVREOLYLRXVWRLWVGDUNPHDQLQJ
  'XULQJWKHNDUDRNHQLJKWZLWK:HVWZLFNRQRUDERXW6HSWHPEHU
 :HVWZLFNFRQVXPHGVLJQLILFDQWDPRXQWVRIDOFRKRODQGGLVSOD\HGVRPHRIKLV
 SHUVRQDOLW\DVDGLVWXUELQJDQGDQJU\GUXQNWRWKHJURXSLQDWWHQGDQFH
 Defendants Use Freedman’s Contacts and Resources to Build the Venture and
 Obtain Financing and They Stall and Dissemble on Formalizing her Partner
 Relationship Status with Them
  ,QRUDERXWODWH$XJXVWDQGHDUO\6HSWHPEHU'¶$/(66,2WDONHG
 ZLWK)5(('0$1DERXWKRZKHDQG*,%%6ZHUHZRUNLQJRQDEXVLQHVVSLWFKGHFNIRU

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 45 of 129 Page ID #:45

 5<'(678',26DQGRUWKH9HQWXUHWRSLWFKWRLQYHVWRUVDWDPHHWLQJWRWDNHSODFHLQ
 RUDURXQG1HZ<RUN&LW\RQRUDERXW6HSWHPEHURU
  3/$,17,))LVLQIRUPHGDQGEHOLHYHVDQGRQWKDWEDVLVDOOHJHVWKDW
 '¶$/(66,2DQG*,%%6LQIDFWPHWZLWKRQHRUPRUHSRWHQWLDOLQYHVWRUVLQ1HZ<RUN
 &LW\RQRUDERXW6HSWHPEHUDQG3/$,17,))LVIXUWKHULQIRUPHGDQG
 EHOLHYHVDQGRQWKDWEDVLVDOOHJHVWKDWWKHSLWFKZDVVXFFHVVIXODQGDWOHDVWRQHZHDOWK\
 LQYHVWRU ³,QYHVWRU/´ DJUHHGWRVLJQLILFDQWIXUWKHUIXQGLQJRI5<'(678',26DQGRU
 WKH9HQWXUH3/$,17,))LVIXUWKHULQIRUPHGDQGEHOLHYHVDQGRQWKDWEDVLVDOOHJHVWKDW
 DVXEVWDQWLDOSDUWRIWKHSLWFKHGYDOXHRIWKH9HQWXUHZDVLQWKHIDVKLRQLQGXVWU\
 EXVLQHVVFRQWDFWVWKDW)5(('0$1KDGGHYHORSHGLQGHSHQGHQWO\DQGKDGFRQWULEXWHG
 WRWKH9HQWXUHDVZHOODVLQWKHORRNDQGIHHORIWKHSRVWVWKDW)5(('0$1KDGMRLQWO\
 DXWKRUHGDQGWKHRYHUDOO.DW %DUH,QVWDJUDPIHHGRIZKLFK)5(('0$1ZDVDOVRD
 MRLQWDXWKRU
  $WDERXWWKLVWLPH'¶$/(66,2DQG)5(('0$1GLVFXVVHGDUDLVHLQ
 )5(('0$1¶6PRQWKO\FDVKSD\PHQWIURPWR'¶$/(66,2
 LQLWLDOO\WROG)5(('0$1WKDWKHZDVUDLVLQJKHUPRQWKO\FDVKSD\PHQWWRWKDWILJXUH
 LQFOXGLQJEHFDXVHKHH[SHFWHGPRQH\IURPLQYHVWRUVVKRUWO\DQGWKDW)5(('0$1KDG
 EHHQDQGFRQWLQXHGWREHLQVWUXPHQWDOLQWKH9HQWXUH+RZHYHU'¶$/(66,2VRRQ
 EDFNWUDFNHGDQGWROG)5(('0$1WKDWDIWHUVSHDNLQJZLWK*,%%6WKHUDLVHGPRQWKO\
 IHHZRXOGEHRQO\
  ,QRUDERXWWKLVVDPH6HSWHPEHUWLPHIUDPHWKHQDPHGGHIHQGDQWV
 VSHFLILFDOO\*,%%6 SURYLGHG)5(('0$1XQLODWHUDOO\ZLWKDRQHSDJHGRFXPHQWRQ
 5<'(678',26OHWWHUKHDGHQWLWOHG³$UW'LUHFWRU±&RQWUDFW´7KHGRFXPHQWLVYDJXH
 DQGFRQIXVLQJDQG*,%%6ODWHUFKDUDFWHUL]HGLWDV³QRWDFRQWUDFWEXWDMRE
 GHVFULSWLRQ´,WQRZKHUHPHQWLRQV)5(('0$1¶6QDPHRUKDVDQ\OLQHIRUKHU
 VLJQDWXUHRUDQ\RQHHOVH¶VDQGLWLVQRWVLJQHGE\DQ\LQGLYLGXDO7KHGRFXPHQWVHWV
 IRUWKDSXUSRUWHGMREGHVFULSWLRQRIWKHH[SHFWHGGXWLHVRIDQ$UW'LUHFWRUIRU5<'(
 678',26DQGFKDUDFWHUL]HVWKHSRVLWLRQDVD³FRQWUDFWHPSOR\HH´SRVLWLRQLQFOXGLQJ

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 46 of 129 Page ID #:46

 ZLWKH[SHFWHGZRUNLQJUHVWULFWLRQVWKDWPLJKWDSSO\WRDQHPSOR\HHPRUHWKDQDQ
 LQGHSHQGHQWFRQWUDFWRU
  7KHGRFXPHQWDOVRLGHQWLILHV³&RPSHQVDWLRQ´DV³SHUPRQWKIRU
 WKUHHPRQWKV7REHUHDVVHVVHG-DQ´DQGHQGVZLWKDVWDWHPHQWUHIHUULQJWR
 ³(TXLW\3RWHQWLDO8SRQFRPSOHWLRQRIWKLVPRQWKHQJDJHPHQWZHZLOODVVHVV
 SHUIRUPDQFHDQGPD\SUHVHQWDQHTXLW\SDFNDJHLQ. %´7KHGRFXPHQWFRQWDLQVQR
 FRS\ULJKWZRUNPDGHIRUKLUHSURYLVLRQVZKDWVRHYHURUDQ\RWKHUUHIHUHQFHWR
 RZQHUVKLSRILQWHOOHFWXDOSURSHUW\
  3/$,17,))LVLQIRUPHGDQGEHOLHYHVDQGRQWKDWEDVLVDOOHJHVWKDWWKH
 LQWHQWRIWKHGRFXPHQWDQGWKHQDPHGGHIHQGDQWV¶SURYLVLRQRILWWR)5(('0$1ZDV
 PDGHLQWHQWLRQDOO\XQFOHDUE\WKHQDPHGGHIHQGDQWV3/$,17,))LVLQIRUPHGDQG
 EHOLHYHVDQGRQWKDWEDVLVDOOHJHVWKDWWKHQDPHGGHIHQGDQWV¶SURYLVLRQRIWKHGRFXPHQW
 ZDVDKHGJLQJDWWHPSWWRDFFRPSOLVKWKHGXDOSXUSRVHVRI DSSHDVLQJ)5(('0$1¶6
 UHSHDWHGUHTXHVWVIRUDZULWWHQPHPRULDOL]DWLRQRIWKHUHSUHVHQWDWLRQVPDGHWRKHULQRU
 DERXW0D\DQGHDUO\-XQH DQGDIWHUZDUG DQGXSRQZKLFKVKHKDGUHOLHGLQ
 PDWHULDOO\FKDQJLQJKHUSRVLWLRQWRKHUGHWULPHQWDQG VHWWLQJWKHVWDJHIRUDQ
 XQGLVFORVHGLQWHQWE\WKHQDPHGGHIHQGDQWVDFWXDOO\RUSRWHQWLDOO\WRJREDFNRQWKHLU
 YDULRXVSURPLVHVWR)5(('0$1QRZWKDWVKHZDVFRPPLWWHGDQGKDGHVVHQWLDOO\
 LUUHYRFDEO\FRQWULEXWHGWKHEXLOWXSYDOXHRIKHUSULRUFDUHHUWRWKH9HQWXUH
 )5(('0$1QHYHUDJUHHGRUFRQVHQWHGWRDQ\UHGXFWLRQLQWKHVFRSHRISURPLVHV
 REOLJDWLRQVDQGSHUIRUPDQFHVIURPWKHQDPHGGHIHQGDQWVWKDWFDXVHG)5(('0$1WR
 JLYHXSKHULQGHSHQGHQWFDUHHUDQGZRUNZLWKWKHP0RUHRYHUE\WKHWLPHRIWKH
 QDPHGGHIHQGDQWV¶GHOLYHU\RIWKH³$UW'LUHFWRU±&RQWUDFW´GRFXPHQWWR
 )5(('0$1)5(('0$1KDGDOUHDG\LUUHYRFDEO\FKDQJHGKHUSRVLWLRQWRKHU
 GHWULPHQWLQUHDVRQDEOHDQGMXVWLILDEOHUHOLDQFHRQWKHQDPHGGHIHQGDQWV¶
 UHSUHVHQWDWLRQVDQGSURPLVHVDQGWKHQDPHGGHIHQGDQWVKDGNQRZLQJO\DFFHSWHGWKH
 IUXLWVRI)5(('0$1¶6ODERUDQGRWKHUFRQWULEXWLRQV
 

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 47 of 129 Page ID #:47

  $WDOOWLPHVLQFOXGLQJDIWHUGHOLYHU\WR)5(('0$1RIWKH³$UW'LUHFWRU
 ±&RQWUDFW´GRFXPHQWWKHQDPHGGHIHQGDQWVUHTXHVWHGDQGUHTXLUHGWKDW)5(('0$1
 LVVXHLQYRLFHVWR5<'(678',26IRUKHUPRQWKO\FDVKFRPSHQVDWLRQDQGWRWKH
 H[WHQWWKDWWKHQDPHGGHIHQGDQWVSDLGWKHVHLQYRLFHVWKH\SDLGWKHPZLWKRXWDQ\WD[
 ZLWKKROGLQJVRUGHGXFWLRQV
 Paris Fashion Week
  )URPDSSUR[LPDWHO\6HSWHPEHUWR2FWREHUDW
 '¶$/(66,2¶6UHTXHVWDQGGLUHFWLRQ)5(('0$1WUDYHOHGWR3DULV)UDQFHZLWKD
 JURXSFRPSRVHGRI'¶$/(66,2)5(('0$1'¶$/(66,2¶VZLIHDQGVRPHRIWKHLU
 GDXJKWHUVWKHLUQDQQ\SKRWRJUDSKHU.DW,UOLQDQGDWOHDVWRQHRWKHU5<'(678',26
 VWDIIPHPEHU 6N\OHU0DUNKDP WRGRFUHDWLYHDQGEXVLQHVVZRUNLQFOXGLQJPXOWLSOH
 IDVKLRQVKRRWVGXULQJDQGVXUURXQGLQJ3DULV)DVKLRQ:HHN*,%%6DQG%25'2GLG
 QRWFRPHRQWKHWULS3/$,17,))LVLQIRUPHGDQGEHOLHYHVDQGRQWKDWEDVLVDOOHJHV
 WKDW'¶$/(66,2DIILUPDWLYHO\GLGQRWLQYLWH*,%%6DQG%25'2WRDWWHQGDQG
 LQVWUXFWHGWKHPWKDWWKH\ZRXOGQRWDWWHQGDQGWKDWWKLVFDXVHG%25'2 DQGSRVVLEO\
 *,%%6 IXUWKHUWRUHVHQW)5(('0$1
  'XULQJWKH3DULV)DVKLRQ:HHNWULS'¶$/(66,2DQG)5(('0$1
 ZRUNHGH[FHSWLRQDOO\FORVHO\WRJHWKHUDVFUHDWLYHSDUWQHUVERWKRQFRQWHQWIRU.DW 
 %DUHDQGDOVRRQPXOWLSOHFUHDWLYHGHFNVIRUSRWHQWLDOO\OXFUDWLYHFRPPHUFLDOGLUHFWLQJ
 SURMHFWVIRU5<'(678',26DQGRU'¶$/(66,2¶6LQGLYLGXDOSURMHFWV'¶$/(66,2
 UHSHDWHGO\UHSUHVHQWHGDQGDVVXUHG)5(('0$1WKDWVKHZRXOGVHUYHDVDUWGLUHFWRU
 DQGRUVW\OLVWIRUWKHVHSURMHFWVDQGWKDWWKLVZRXOGEHILQDQFLDOO\UHZDUGLQJIRUKHUDQG
 ZRXOGDOVRKHOSKHUDFKLHYHSURIHVVLRQDOKRXUVWRZDUG'*$PHPEHUVKLS
  $PRQJWKHSURMHFWVWKDW)5(('0$1KHOSHGGHYHORSFUHDWLYHO\ZLWK
 '¶$/(66,2DQGMRLQWO\DXWKRUHGZLWKKLPGXULQJWKLVDSSUR[LPDWHO\ODWH6HSWHPEHUWR
 HDUO\2FWREHUWLPHIUDPHZHUHFUHDWLYHGHFNVDQGGLUHFWLRQVIRUFRPPHUFLDO
 SURMHFWVIRU-RFNH\LQ,QGLDDPDMRUDXWRPRELOHEUDQGLQ6RXWKHDVW$VLD9LYRLQ.XDOD
 /XPSXUDQG7RPRUURZ1HWZRUNV'¶$/(66,2UHSUHVHQWHGWR)5(('0$1WKDW

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 48 of 129 Page ID #:48

 '¶$/(66,2ZRXOGVRRQPDNHRQHRUWULSVWR$VLDWRSLWFKVRPHRUDOORIWKHVH
 SURMHFWVWRFOLHQWVDQGRUWRZRUNRQWKHPRQFHVHFXUHG'¶$/(66,2VSHFLILFDOO\
 LQGXFHG)5(('0$1WRZRUNZLWKKLPRQWKHSURMHFWVE\UHSUHVHQWDWLRQVDQG
 SURPLVHVWRKHUWKDW'¶$/(66,2ZRXOGWDNH)5(('0$1ZLWKKLPRQWKH$VLDWULSRU
 WULSVDFWLYHO\PHQWRU)5(('0$1DQGWKDW)5(('0$1ZRXOGHQMR\VLJQLILFDQW
 ILQDQFLDOUHZDUGVIURPJRLQJRQWKH$VLDWULSVDQGRWKHUZLVHFRQWLQXLQJWRZRUNDV
 '¶$/(66,2¶6FUHDWLYHSDUWQHULQFOXGLQJIHHVUHODWHGWRFRPPHUFLDOGLUHFWLQJSURMHFWV
  %\WKLVWLPH)5(('0$1KDGVLJQLILFDQWUHVSHFWDQGDGPLUDWLRQIRU
 '¶$/(66,2DQGORRNHGXSWRKLPIURPDSURIHVVLRQDOVWDQGSRLQW±WREHDEOHWRZRUN
 ZLWKKLPFORVHO\RQVRPHWKLQJOLNHWKH$VLDWULSVDQGUHODWHGSURMHFWVDQGWKHUHSHDWHG
 SURPLVHVIURP'¶$/(66,2WKDWWKLVZRXOGKDSSHQZDVDVLJQLILFDQWIDFWRULQ
 )5(('0$1QRWUDLVLQJPRUHYRFDOREMHFWLRQVZLWKWKHGHIHQGDQWVDERXWQXPHURXV
 LVVXHVLQFOXGLQJEHLQJXQGXO\WROHUDQWDERXWWKHLUSUDFWLFHVRIIDLOLQJWRSD\KHUWLPHO\
 RUDWDOODQGDERXWWKHLUUHFNOHVVQHVVZLWKKHUEXVLQHVVFRQWDFWV
  )5(('0$1ZRXOGQRWKDYHGHYRWHGKHUWLPHDQGFUHDWLYHHQHUJLHVWR
 MRLQWO\DXWKRULQJWKHVHSURMHFWPDWHULDOVZLWK'¶$/(66,2LI'¶$/(66,2KDGLQIRUPHG
 KHUWKDWVKHZRXOGQRWEHDOORZHGWRSDUWLFLSDWHLQWKHSURMHFWVDQGWKDW'¶$/(66,2
 ZRXOGH[FOXGHKHUIURPWKH$VLDWULSRUWULSV3ULRUWR:HVWZLFNDQG6HUIDW\¶VLQWHQVH
 VPHDUFDPSDLJQLQUHVSRQVHWR)5(('0$1¶6LQWHUYLHZWRWKHUHSRUWHU'¶$/(66,2
 QHYHUHYHQLQWLPDWHGWKDWWKHUHZDVDQ\RWKHUSODQ5DWKHU'¶$/(66,2DIILUPDWLYHO\
 UHDIILUPHGDQGUHSUHVHQWHGWR)5(('0$1WKDW'¶$/(66,2DQG)5(('0$1ZHUH
 FUHDWLYHDQGEXVLQHVVSDUWQHUVRQWKHSURMHFWVDQGWKDW)5(('0$1ZRXOGSLWFKDQG
 H[HFXWHWKHSURMHFWVZLWK'¶$/(66,2LQFOXGLQJWUDYHOLQJWR,QGLDDQG6RXWKHDVW$VLD
 ZLWK'¶$/(66,2IRUWKH-RFNH\9LYRWKHDXWRPRELOHSURMHFWDQGRWKHUV
 October 2017
  6RPHWLPHGXULQJWKHWZRPRQWKSHULRGEHWZHHQ6HSWHPEHUDQG
 1RYHPEHU6HUIDW\LQYLWHG%25'2DQG)5(('0$1WRDQRWKHUQLJKWRI
 VRFLDOL]LQJDQGNDUDRNHZLWK6HUIDW\DQG:HVWZLFN)5(('0$1GHPXUUHG

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 49 of 129 Page ID #:49

 H[SODLQLQJWR%25'2WKDWLWZDVLPSRUWDQWWR)5(('0$1WRWU\DQGDYRLGEHLQJ
 DURXQGDOFRKROLFEHKDYLRUVXFKDV:HVWZLFNKDGEHJXQWRVKRZDWWKH6HSWHPEHU
 NDURDNHHYHQW
  3/$,17,))LVLQIRUPHGDQGEHOLHYHVDQGRQWKDWEDVLVDOOHJHVWKDWE\LQRU
 DERXW2FWREHUWKHQDPHGGHIHQGDQWVKDGEORZQWKURXJKQHDUO\DOORIWKHLULQLWLDO
 LQYHVWPHQWDQGKDG\HWWRUHFHLYHWKHH[SHFWHGPRQLHVSURPLVHGE\,QYHVWRU/LQRU
 DERXW6HSWHPEHUDQGZHUHKRSLQJWRUHFHLYHLWE\HDUO\1RYHPEHU
  2QRUDERXW2FWREHUDQGWKHNew York TimesDQGWKHNew
 YorkerSXEOLVKHGVWXQQLQJDFFRXQWVRIGHFDGHVRIVH[XDOSUHGDWLRQE\+ROO\ZRRG
 SURGXFHU+DUYH\:HLQVWHLQ7KH:HLQVWHLQVWRULHVDQGUHDFWLRQVWRWKHPEHFDPHSDUW
 RIDQGLQWHQVHO\PDJQLILHGWKH0H7RR0RYHPHQWVRPHWLPHVDWWULEXWHGDVRULJLQDOO\
 LQLWLDWHGE\7DUDQD%XUNHLQ:RPHQDQGPHQEHJDQJRLQJSXEOLFZLWK
 DOOHJDWLRQVRIVH[XDOKDUDVVPHQWDQGDVVDXOWDJDLQVWQXPHURXVSRZHUIXODQGIDPRXV
 PHQLQ+ROO\ZRRGDQGHOVHZKHUHZLWKWKHSDWWHUQVRISUHGDWLRQIDFLOLWDWHGE\WKUHDWV
 DQGIHDUVRIFDUHHUGHVWUXFWLRQ
  $VPHQWLRQHGLQIRUHJRLQJSDUDJUDSKVPRQWKVSULRUWR2FWREHU
 *,%%6KDGEHHQUHPRYHGE\'¶$/(66,2IURPZRUNLQJGLUHFWO\ZLWKPRGHOVRUWKHLU
 UHSUHVHQWDWLYHVDQGJHQHUDOO\UHPRYHGIURPSODQQLQJFUHDWLYHSURMHFWVZLWKWKHPRGHOV
 +RZHYHULQRUDERXWODWH6HSWHPEHURUHDUO\2FWREHU*,%%6LQIRUPHG
 )5(('0$1%25'2DQGRWKHUVDW5<'(678',26WKDW,QYHVWRU/¶VGDXJKWHUZDV
 DVKRHGHVLJQHUDQGKDGDVDOHVVWDQGIRUKHUVKRHVDWWKH'HO0DUKRUVHUDFLQJWUDFN
 *,%%6IXUWKHULQIRUPHG)5(('0$1%25'2DQGRWKHUVWKDW,QYHVWRU/DQGKLV
 GDXJKWHUZDQWHGWKH9HQWXUHWRSODQDQGFRQGXFWDQHYHQWDWWKH'HO0DUWUDFNDQGWKH
 VKRHVWDQGGXULQJWKH1RYHPEHUDQG%UHHGHU¶V&XSERWKWRVKRZZKDWWKH
 9HQWXUHFRXOGGRDQGWRKHOS,QYHVWRU/¶VGDXJKWHULQFUHDVHVDOHV3/$,17,))LV
 LQIRUPHGDQGEHOLHYHVDQGRQWKDWEDVLVDOOHJHVWKDWE\WKLVSRLQWWKHSURPLVHGPRQH\
 IURP,QYHVWRU/ZDVRYHUGXH3/$,17,))LVLQIRUPHGDQGEHOLHYHVDQGRQWKDWEDVLV
 DOOHJHVWKDW,QYHVWRU/ZDVDWOHDVWLQWLPDWLQJWR'¶$/(66,2DQG*,%%6WKDWWKH'HO

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 50 of 129 Page ID #:50

 0DUHYHQWZRXOGEHDWHVWDQGWKDWSHUKDSVGHOLYHU\RIWKHLQYHVWPHQWURGHRQLWV
 VXFFHVV*,%%6DQG%25'2WROG'¶$/(66,2DQG)5(('0$1WKDW*,%%6DQG
 %25'2ZHUHWDNLQJFKDUJHRIWKH%UHHGHU¶V&XSHYHQW
  *,%%6DQG%25'2LQIDFWWRRNFKDUJHRIPXFKRUDOORIWKHSODQQLQJIRU
 WKH%UHHGHU¶V&XSHYHQWEXWDJDLQGHPRQVWUDWHGWKHLUODFNRIWKHUHTXLUHGVNLOOVHWIRU
 IDVKLRQFUHDWLYHZRUNRUZRUNLQJZLWKPRGHOVDQGSURGXFWLRQ)RUH[DPSOH*,%%6
 DJDLQLQVLVWHGRQVXFKSUREOHPDWLFFRQGXFWDVQRWSD\LQJWKHPRGHOVLQIOXHQFHUVDVNHG
 WRSDUWLFLSDWHEXWUDWKHUH[SHFWLQJWKDWWKH\ZRUNIRUPLQLPDOEDUWHUFRPSHQVDWLRQ
 e.g.DSDLURIVKRHVDQGIUHHDGPLVVLRQWRWKHUDFHWUDFN 
  5<'(678',26DQGWKH.DW %DUH9HQWXUHDSSHDUHGDQGSURGXFHGWKH
 HYHQWDW,QYHVWRU/¶VGDXJKWHU¶V'HO0DUWUDFNVKRHVWDQGGXULQJWKH%UHHGHU¶V&XS
 ZHHNHQGRQ1RYHPEHUDQGEXWWKHHYHQWZDVQHDUO\GLVDVWURXVLQFOXGLQJ
 EHFDXVH*,%%6DQG%25'2KDGIDLOHGWRDUUDQJHIRUQXPHURXVEDVLFORJLVWLFV
 QHFHVVDU\IRUWKHSURGXFWLRQ e.g.SDUNLQJSDVVHVDQGVHFXULW\FOHDUDQFHVIRUEULQJLQJ
 LQODUJHSKRWRJUDSKLFSURSVDQGSKRWRJUDSK\HTXLSPHQW 7KHLQIOXHQFHUV¶PDQDJHU
 DFFRPSDQLHGKHUFOLHQWVWRWKHHYHQWDQGKDGHYHQLQYLWHGIULHQGVDQGRURWKHUEXVLQHVV
 FRQWDFWVH[SHFWLQJWRKDYHDVKRZFDVHHYHQW7KHPRGHOLQIOXHQFHUVDQGWKHLU
 UHSUHVHQWDWLRQZHUHGHHSO\XQKDSS\ZLWK*,%%6¶DQG%25'2¶6FRPSHQVDWLRQDQG
 RWKHUDUUDQJHPHQWVUHJDUGLQJWKHLUVHUYLFHV,QGHHGWKHLQIOXHQFHUV¶PDQDJHUZDVVR
 OLYLGDWWKHZD\WKDW*,%%6DQG%25'2KDGSODQQHGWKHHYHQW RUIDLOHGWRSODQLW 
 WKDWWKHPDQDJHUEHUDWHG*,%%6E\HPDLODQGFKHZHGRXW%25'2LQSHUVRQ
  '¶$/(66,2DQG)5(('0$1ZHUHOHIWWRVFUDPEOHWRDGMXVWDQGPRGLI\
 WKHHYHQWLQUHDOWLPHWKHGD\RI'¶$/(66,2DQG)5(('0$1ZHUHDEOHWRLPSURYH
 WKHHYHQWVXEVWDQWLDOO\RQWKHIO\IURP*,%%6¶6DQG%25'2¶6HIIRUWV+RZHYHU
 *,%%6DQG%25'2DJDLQFDXVHGIXUWKHUXQQHFHVVDU\GDPDJHWR)5(('0$1¶6
 LQGXVWU\UHSXWDWLRQDQGFDUHHU DQGWKH9HQWXUH¶V'¶$/(66,2GHVFULEHGWKH*,%%6
 DQG%25'2OHGHYHQWDVKDYLQJ³V> @WWKHEHG´ 3/$,17,))LVDOVRLQIRUPHGDQG
 EHOLHYHVDQGRQWKDWEDVLVDOOHJHVWKDWWKHQHHGIRU*,%%6DQG%25'2WREHVDYHGE\

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 51 of 129 Page ID #:51

 )5(('0$1DQG'¶$/(66,2IXUWKHUH[DFHUEDWHG*,%%6¶6DQG%25'2¶6
 UHVHQWPHQWRI)5(('0$1
 November 2017
  2QRUDERXW1RYHPEHURUDQGLQVSLUHGE\WKH:HLQVWHLQ
 VFDQGDODPSOLILHG0H7RR0RYHPHQWDFWUHVV.ULVWLQD&RKHQSXEOLFO\SRVWHGRQ
 )DFHERRNDGHWDLOHGVWRU\RIKRZ:HVWZLFNKDGUDSHGKHULQ)HEUXDU\DWDODUJH
 LVRODWHGUHVLGHQFHLQWKHKLOOV2QRUDERXWWKHQH[WGD\RQ1RYHPEHURU
 DQRWKHUDFWUHVV$XUpOLH&DR VWDJHQDPH$XUpOLH:\QQ SXEOLFO\SRVWHGKHURZQ
 HQFRXQWHUZLWK:HVWZLFNLQZKLFKVKHVLPLODUO\DOOHJHGWKDW:HVWZLFNKDGUDSHGKHU
 LQ$XJXVWDQGVSHFLILFDOO\DWWKH*OHQGRZHU(VWDWHPDQVLRQ
  1HZVSXEOLFDWLRQVLQFOXGLQJThe Hollywood Reporter, The Huffington
 PostDQGTime UHSRUWHGRQWKHVH)DFHERRNSRVWVTXLFNO\:LWKLQDGD\RUVRDQGYLD
 KLVRZQVRFLDOPHGLDDFFRXQWV:HVWZLFNUHVSRQGHGZLWKFRPSOHWHGHQLDORIWKH
 ZRPHQ¶VVWRULHV2QRUDERXW1RYHPEHU:HVWZLFNSRVWHGRQ7ZLWWHUDSKRWR
 ZLWKWKHPHVVDJHZKLFKSURYLGHVLQSDUW

 ,WLVGLVKHDUWHQLQJDQGVDGWRPHWKDWDVDUHVXOWRIWZR
XQYHULILHGDQGSURYDEO\XQWUXHVRFLDOPHGLDFODLPVWKHUHDUH
 VRPHLQWKLVHQYLURQPHQWZKRFRXOGHYHUFRQFOXGH,KDYHKDG
DQ\WKLQJWRGRZLWKVXFKYLOHDQGKRUULILFFRQGXFW
 
  :KHQVKHOHDUQHGDERXW&RKHQ¶VDQG:\QQ¶VVWRULHV)5(('0$1
 H[SHULHQFHGDVWURQJHPRWLRQDOUHVSRQVH)5(('0$1KDGGRQHKHUEHVWWRPRYH
 EH\RQGKHUPXOWLGD\UDSHE\:HVWZLFN%XWWKHDFFRXQWVIURPWKHRWKHUZRPHQ
 EURXJKWEDFNKRUULEOHPHPRULHV5HDGLQJWKHRWKHUZRPHQ¶VVWRULHVZDVHVSHFLDOO\


 1.ULVWLQD&RKHQ)DFHERRN 1RY 

 KWWSVZZZIDFHERRNFRPNULVWLQDNUX]SRVWV
 $XUHOLH:\QQ)DFHERRN 1RY 
2

KWWSVZZZIDFHERRNFRPPVDXUHOLHSRVWV"SQUHI VWRU\
 3
(G:HVWZLFN #(G:HVWZLFN 7ZLWWHU 1RY$0 
 KWWSVWZLWWHUFRP(G:HVWZLFNVWDWXV

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 52 of 129 Page ID #:52

 GLVWXUELQJEHFDXVHFHUWDLQGHWDLOVZHUHKRUULEO\VLPLODUWR)5(('0$1¶VRZQ
 LQFOXGLQJ:HVWZLFN¶VHIIHFWLYHZHDSRQL]DWLRQRIWKH*OHQGRZHU(VWDWHVSHFLILFDOO\
 ZLWKLWVUHODWLYHLVRODWLRQDQGSRRUFHOOSKRQHUHFHSWLRQDQG:HVWZLFN¶VXVHRISK\VLFDO
 LQWLPLGDWLRQIHDUDQGIRUFHWRNHHSWKHZRPHQIURPOHDYLQJ
  0HDQZKLOHRQRUDERXW1RYHPEHU)5(('0$1GLVFRYHUHGWKDW
 KHUVHPLPRQWKO\FDVKFRPSHQVDWLRQFKHFNIURPGHIHQGDQWVIRUWKHVHFRQGKDOIRI
 2FWREHUKDGERXQFHG:KHQ)5(('0$1LQIRUPHG*,%%6WKDWVKHKDGQRW
 EHHQSDLG*,%%6DSRORJL]HGDQGVDLGWKDWLWZRXOGEHWDNHQFDUHEXW*,%%6LQIDFW
 GLGQRWKLQJQRUGLGDQ\RIWKHRWKHUQDPHGGHIHQGDQWV)5(('0$1KDVQHYHUEHHQ
 SDLGDQ\DPRXQWVE\WKHQDPHGGHIHQGDQWVVLQFHDERXWPLG2FWREHUDQGWKH\
 KDYHQHYHUHYHQFRYHUHGWKHERXQFHGFKHFNGHVSLWHQXPHURXVGHPDQGVIURP
 )5(('0$1WKDWWKH\GRVR
  $WDERXWWKHVDPHWLPHDVWKHERXQFHGFKHFNFRPPXQLFDWLRQVZLWK
 *,%%6)5(('0$1DVNHG'¶$/(66,2DERXWWKHERXQFHGFKHFNDQGWKHFRPSDQ\¶V
 ILQDQFHVJHQHUDOO\'¶$/(66,2H[SODLQHGWR)5(('0$1WKDW5<'(678',26DQG
 WKH9HQWXUHZHUHGHSHQGLQJRQWKHPRQH\IURP,QYHVWRU/$V'¶$/(66,2IUDPHGLW
 WKHFRPSDQ\ZRXOGQRWKDYHDQ\PRQH\WRSD\DQ\RQHXQWLO,QYHVWRU/¶VIXQGVFDPH
 LQEXWWKDW'¶$/(66,2KDG³JLJZRUN´ '¶$/(66,2¶6FRPPHUFLDOGLUHFWLQJ
 SURMHFWV LQFOXGLQJWKH$VLDWULSRUWULSVWKDW)5(('0$1ZRXOGEHDEOHWRZRUNRQ
 '¶$/(66,2VSHFLILFDOO\VWDWHGDQGHYHQSURPLVHGWKDWKHZRXOGSURYLGH)5(('0$1
 ZLWKVXFKJLJZRUNLQFOXGLQJGXULQJWKH$VLDWULSRUWULSVWRJHQHUDWHIXQGVIRU
 )5(('0$1WREHDEOHWRXVHRQVXFKEDVLFVDVSD\LQJKHUUHQWDQGEX\LQJIRRG ZLWK
 )5(('0$1RQO\LQVXFKDSUHFDULRXVILQDQFLDOVWDWHLQWKHILUVWSODFHEHFDXVHVKHKDG
 JLYHQXSKHULQGHSHQGHQWVW\OLVWDQGIDVKLRQFRQVXOWDQWFDUHHULQUHOLDQFHRQ
 GHIHQGDQWV¶UHSUHVHQWDWLRQVDQGSURPLVHV 
  %\PLG1RYHPEHUQHLWKHU'¶$/(66,2QRU*,%%6KDGVDLG
 DQ\WKLQJWR)5(('0$1WKDWKHURYHUDOOSHUIRUPDQFHZDVDQ\WKLQJEXWH[HPSODU\RU
 DQ\WKLQJHOVHLQDQ\ZD\WRWKHHIIHFWWKDWVKHZRXOGEHRXVWHGIURPWKHEXVLQHVVRUWKDW

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 53 of 129 Page ID #:53

 WKHUHZDVDQ\UHDOFKDQFHWKDWVKHZRXOGQRWEHJXDUDQWHHGDSDUWRILWLILWFRQWLQXHG
 ZLWKWKHSRVVLEOHH[FHSWLRQRI*,%%6¶VKDG\DQGYDJXH³$UW'LUHFWRU±&RQWUDFW´
 GRFXPHQW 0RUHRYHU'¶$/(66,2DQG*,%%6FRQWLQXHGWRDVVXUH)5(('0$1WKDW
 LIVKHFRQWLQXHGWRSURYLGHVHUYLFHVDQGUHVRXUFHVWR5<'(678',26DQGWKH9HQWXUH
 DQGWR'¶$/(66,2RQKLVLQGLYLGXDOSURMHFWVLIWKDWLVZKDWWKH\ZHUH WKDW
 )5(('0$1ZRXOGUHDSIXWXUHUHZDUGV'¶$/(66,2LQSDUWLFXODUFRQWLQXHGWRDVVXUH
 )5(('0$1WKDW'¶$/(66,2DQG)5(('0$1ZHUHORQJWHUPFUHDWLYHSDUWQHUVDQG
 WKDW'¶$/(66,2ZRXOGEULQJ)5(('0$1LQWRKLVFRPPHUFLDOGLUHFWLQJZRUNPRUH
 IXOO\ZLWKWKHJRDODQGSURPLVHRIWUDLQLQJKHUWREHDIXOOIOHGJHGFUHDWLYHGLUHFWRULQ
 WKHFRPPHUFLDOFRQWH[WDQGZRXOGRWKHUZLVHPHQWRU)5(('0$1
  )5(('0$1KDYLQJORQJQRWLFHGWKHVLJQVRIPLVPDQDJHPHQWZDV
 FRQFHUQHGDERXW5<'(678',26DQGWKH.DW %DUH9HQWXUH1HYHUWKHOHVV
 )5(('0$1FRQWLQXHGZRUNLQJGXULQJWKLVWLPHDQGLQGHHGZDVGHHSO\FRPPLWWHG
 QRWOHDVWE\KDYLQJJLYHQXSKHULQGHSHQGHQWVW\OLVWDQGIDVKLRQFRQVXOWDQWFDUHHU
 )XUWKHUPRUHWKHSURPLVHG$VLDWULSRUWULSVZLWK'¶$/(66,2DSSHDUHGLPPLQHQWDQG
 )5(('0$1KDGZRUNHGYHU\KDUGRQWKH$VLDSURMHFWV'XULQJWKHPRQWKRI
 1RYHPEHUXQWLODWOHDVW1RYHPEHU)5(('0$1FRQWLQXHGZRUNLQJ
 ZLWKWKHQDPHGGHIHQGDQWVDQG'¶$/(66,2LQSDUWLFXODUWRSLWFKPXOWLSOHSRWHQWLDO
 FRPPHUFLDOSURMHFWVLQFOXGLQJIRU-RFNH\LQ,QGLDDPDMRUDXWRPRELOHEUDQGLQ
 6RXWKHDVW$VLD9LYRLQ.XDOD/XPSHUDQGDQRWKHUDZRPHQ¶VDSSDUHOODEHODQGRU
 VHUYLFH &DEL RSHUDWLQJORFDOO\LQ/RV$QJHOHV$JDLQ)5(('0$1FRQWLQXHGWR
 SHUIRUPIRUWKHQDPHGGHIHQGDQWVLQWKLVZD\GHVSLWHKDYLQJQRWEHHQSDLGVLQFHPLG
 2FWREHUDQGGHVSLWHKDYLQJQRWEHHQUHLPEXUVHGIRUVLJQLILFDQWZRUNH[SHQVHVVKHKDG
 LQFXUUHG
  )5(('0$1DFWHGDV'¶$/(66,2¶6SDUWQHULQGHYHORSLQJWKHPDWHULDO
 IRUDOORIWKHDERYHSLWFKHV,QHDUO\1RYHPEHUVKHSOD\HGDVXEVWDQWLDODQGDFWLYHUROH
 LQSUHVHQWLQJ5<'(678',26DQGRUWKH9HQWXUHDVDSURGXFWLRQFRPSDQ\ZLWKWKH
 ULJKWFUHDWLYHVHQVHDQGILWIRUZRPHQ¶VDSSDUHOEUDQGVDQGODEHOVLQWKHSLWFKWR&DEL

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 54 of 129 Page ID #:54

 *,%%6DQG'¶$/(66,2DWWHPSWHGWROHDGWKHSLWFKWR&DELZLWKRXWVLJQLILFDQWLQSXW
 IURP)5(('0$1EXWGLGQRWKDYHWKHFUHDWLYHVHQVHQHFHVVDU\WRFRQQHFWWR&DEL¶V
 GHFLVLRQPDNLQJH[HFXWLYH DIDVKLRQFRQVFLRXVIHPDOH )5(('0$1KRZHYHUZDV
 DEOHVSRQWDQHRXVO\GXULQJWKHSLWFKWRFDXVHWKH3DULV)DVKLRQ:HHNZRUNWREH
 SUHVHQWHGDQGXVHGVXFFHVVIXOO\WRFRQYLQFH&DELWKDW5<'(678',26DQGWKH
 9HQWXUHFRXOGEHWKHULJKWYRLFHDQGPDWFKIRU&DEL*,%%6'¶$/(66,2DQG
 %25'2DOODFNQRZOHGJHGWR)5(('0$1RULQKHUSUHVHQFHWKDW)5(('0$1ZDV
 LQVWUXPHQWDOLQGHYHORSLQJDQGGHOLYHULQJWKHSLWFKPDWHULDOVWR&DEL
  ,QWKHSDUNLQJORWDIWHUWKH&DELSLWFK)5(('0$1DVNHGGHIHQGDQWV
 ZKHQVKHZRXOGEHSDLG$WWKDWSRLQWGHIHQGDQWVVWLOOKDGQRWFRYHUHGWKHLURZQ
 ERXQFHGFKHFNIRU2FWREHUDQGKDGQRWSDLG)5(('0$1DQ\WKLQJIRU
 1RYHPEHUPHDQLQJ)5(('0$1KDGE\WKDWSRLQWEHHQZRUNLQJIRUDWOHDVWD
 PRQWKIRUQRSD\ZKDWVRHYHU*,%%6DJDLQUHSUHVHQWHGWKDWWKHUHZDVQRPRQH\WR
 SD\DQ\RQHHYHQWKRXJK%25'2KDGDOUHDG\VHSDUDWHO\LQIRUPHG)5(('0$1WKDW
 %25'2KDGLQIDFWEHHQSDLGIRUDOORI2FWREHU
  7KHJURXSZHQWWKHLUVHSDUDWHZD\VIRUWKHHYHQLQJ%25'2WKHQWH[WHG
 RUHPDLOHG)5(('0$1GHPDQGLQJWKDW)5(('0$1VSHQGKHUHYHQLQJDQGQLJKW
 VHUYLFLQJ%25'2¶6UHTXHVWVWKDW)5(('0$1SURYLGH%25'2ZLWKYDULRXVFRQWDFW
 OLVWVIRUPRGHOVDQGLQIOXHQFHUVLQ1HZ<RUNWR\HWDJDLQVHUYLFH,QYHVWRU/¶V
 GDXJKWHU)5(('0$1GHFOLQHGDQGFRPPXQLFDWHGWR'¶$/(66,2WKDWVKHFRXOGQR
 ORQJHUFRQWLQXHWRGR%25'2¶6MREIRUKHUIRUQRSD\'¶$/(66,2UHVSRQGHGWKDWKH
 XQGHUVWRRGDQGWKDWKHZRXOGWHOOKLVRZQGDXJKWHUVWRGHFOLQHLQWKHVDPHZD\LILQWKH
 VDPHVLWXDWLRQ3/$,17,))LVLQIRUPHGDQGEHOLHYHVWKDW%25'2EHFDPHHYHQ
 IXUWKHUUHVHQWIXORI)5(('0$1
 Freedman Tells Her Westwick Rape Experience to a Reporter, with Defendants’
 Prior Knowledge, Approval and Express Support
  )5(('0$1¶VFRZRUNHUVDW5<'(678',26ZLWKRXWNQRZLQJRI
 )5(('0$1¶VVWRU\UHDFWHGWRWKHHDUO\1RYHPEHUUHYHODWLRQVE\&RKHQDQG:\QQ

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 55 of 129 Page ID #:55

 WKDW:HVWZLFNZDVDVH[XDOSUHGDWRU,QOLJKWRI6HUIDW\¶VDQG:HVWZLFN¶VDWOHDVW
 RFFDVLRQDOFRQQHFWLRQWRWKH9HQWXUHDQGQRWOHDVWEHFDXVHDOORIWKHQDPHGGHIHQGDQWV
 KDGVHHQDWOHDVWVRPHVLJQVRI:HVWZLFN¶VDOFRKROLVPDWWKH6HSWHPEHU
 NDUDRNHQLJKWWKHWRSLFRIWKH:HVWZLFNUDSHDQGVH[XDODVVDXOWVWRULHVFDPHXS
 ZLWKRXW)5(('0$1UDLVLQJWKHP
  7RWKHFRQWUDU\XSWRWKLVSRLQW)5(('0$1KDGQRWVKDUHGKHU
 HQFRXQWHUZLWKDQ\RQHHYHUH[FHSWIRUDIHZYHU\FORVHIULHQGVDQGIDPLO\DQGKHU
 GRFWRUDQGDWOHDVWRQHODZ\HU ERWKLQLQWKHLPPHGLDWHDIWHUPDWKRIWKH
 LQFLGHQW +RZHYHULQWKHFRQWH[WRIWKHQHZO\DPSOLILHG0H7RR0RYHPHQWDQG
 DIWHUZLWQHVVLQJ&RKHQDQG:\QQ¶VEUDYHU\)5(('0$1EHJDQWRWKLQNWKDWVKHWRR
 QHHGHGWRRYHUFRPHKHUIHDUVZDUQRWKHUVDJDLQVW:HVWZLFNDQGVKDUHKHUVWRU\%XW
 )5(('0$1ZDVVWLOODOVRIHDUIXODERXWLQGXVWU\UHSULVDOVDQGZDQWHGJXLGDQFHIURP
 VRPHRQHROGHUDQGWUXVWHG
  ,QRUDURXQGPLG1RYHPEHU)5(('0$1OHW'¶$/(66,2NQRZ
 WKDWVKHZDQWHGWRWDONZLWKKLPDERXW:HVWZLFN,QRUDURXQGPLG1RYHPEHU
 WKURXJKLQSHUVRQDQGRUWHOHSKRQHDQGWH[WFRPPXQLFDWLRQV)5(('0$1FRQILGHGLQ
 '¶$/(66,2DVDIULHQGPHQWRUFRZRUNHUEXVLQHVVSDUWQHUDQGIDWKHUILJXUHWKDW
 :HVWZLFNKDGUDSHGKHULQDWWKHVDPH*OHQGRZHU(VWDWHKRPHWKDWZDVDOVRWKH
 VFHQHRIDWOHDVWRQHRIWKHRWKHU:HVWZLFNYLFWLPV¶QLJKWPDUH
  )5(('0$1DOVRH[SODLQHGWR'¶$/(66,2KRZVKHKDGQRWUHSRUWHGWKH
 HQFRXQWHUDQGWKDWVKHKDGQRWVKDUHGKHUVWRU\ZLWKDQ\RQHHYHUH[FHSWDYHU\VPDOO
 FLUFOH
  )5(('0$1DOVRLQIRUPHG'¶$/(66,2WKDWLQ0D\GXULQJD.DW 
 %DUH9HQWXUHSKRWRVKRRWZKHQ6HUIDW\KDGLQIRUPHGKHUWKDW6HUIDW\DQG:HVWZLFN
 KDGVWDUWHGGDWLQJ)5(('0$1KDGKHOGEDFNRQWHOOLQJ6HUIDW\DERXWKHU:HVWZLFN
 HQFRXQWHULQVWHDGRQO\WHOOLQJ6HUIDW\WR³EHFDUHIXO´DERXW:HVWZLFN¶VNQRZQ
 DOFRKROLVP
 

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 56 of 129 Page ID #:56

  '¶$/(66,2H[SUHVVHGVKRFNDWWKHVHUHYHODWLRQVEXWDOVRLPPHGLDWHO\
 YRLFHGKLVVXSSRUWWR)5(('0$1DQGKHUEUDYHU\LQVKDULQJWKHHQFRXQWHUZLWKKLP
 ,QWKHGD\VWKDWIROORZHG'¶$/(66,2FRQWLQXHGWREHVXSSRUWLYH±LQGHHGPRUHWKDQ
 WKDW'¶$/(66,2HYHQDFWLYHO\HQFRXUDJHG)5(('0$1WRVSHDNSXEOLFO\DERXW
 :HVWZLFNLIVKHZDVUHDG\
  2QRUDERXW1RYHPEHU'¶$/(66,2DIILUPDWLYHO\WH[WHGDOLQN
 WRWKHVWRU\RIRQHRIWKHZRPHQZKRKDGFRPHRXWDERXWDVH[XDODVVDXOWE\
 :HVWZLFN)5(('0$1UHVSRQGHGE\DJDLQFRQILGLQJLQDQGFRQVXOWLQJZLWK
 '¶$/(66,2WKDW\HV)5(('0$1ZDVFRQVLGHULQJJRLQJIRUZDUGZLWKWHOOLQJKHU
 VWRU\WRRLQWKHPLGVWRIWKH0H7RR0RYHPHQW+RZHYHU)5(('0$1DOVR
 H[SUHVVHGWR'¶$/(66,2WKDW)5(('0$1ZDVFRQFHUQHGDERXWWKHSRWHQWLDOLPSDFW
 WKDWKHU0H7RRVWRU\PLJKWKDYHRQWKHQDPHGGHIHQGDQWVDQGWKHLUFDUHHUV
  '¶$/(66,2VDLGWR)5(('0$1WKDWKHZDV³´EHKLQGZKDWHYHU
 VKHFKRVHWRGRLQWHUPVRIVKDULQJWKHVWRU\'¶$/(66,2DOVRVDLGWR)5(('0$1
 WKDWKHZRXOGLQIRUP*,%%6DQG%25'2EXWWKDWKHNQHZWKDWWKH\ZRXOGOLNHZLVH
 VWDQGEHVLGHKHUDQGVXSSRUWKHU1RWORQJDIWHU'¶$/(66,2LQIRUPHG)5(('0$1
 WKDWKHKDGWROG*,%%6DQG%25'2DERXW)5(('0$1¶6:HVWZLFNVWRU\DQGWKDW
 ERWK*,%%6DQG%25'2KDGFRPPXQLFDWHGWR'¶$/(66,2WKDWWKH\ZHUHOLNHZLVH
 IXOO\VXSSRUWLYHLI)5(('0$1GHFLGHGWRJRIRUZDUGDQGWHOOLW
  )5(('0$1ZDVHQFRXUDJHGE\'¶$/(66,2¶6VKRZRIXQFRQGLWLRQDO
 VXSSRUWDQGE\KLVUHSRUWWKDWWKHRWKHUQDPHGGHIHQGDQWVDOVRVXSSRUWHGKHU$IWHU
 IXUWKHUGHOLEHUDWLRQ)5(('0$1UHDFKHGRXWWRFRQWDFWVWKDWVKHKDGLQWKHPHGLDDQG
 SXEOLFUHODWLRQVLQGXVWU\WRGHWHUPLQHWKHEHVWFRXUVHRIDFWLRQLQWHUPVRIKRZWRVKDUH
 KHUVWRU\2QHRIKHUFRQWDFWVUHDFKHGRXWWRDQXPEHURIPHGLDVRXUFHVRQ
 )5(('0$1¶VEHKDOIDQGFDXJKWWKHLQWHUHVWRIDZHOOHVWDEOLVKHGPDMRUQHZV
 SXEOLFDWLRQ ³3XEOLFDWLRQ;´ ZKLFKDVNHG)5(('0$1WRVLWIRUDQLQWHUYLHZ
  )5(('0$1DJUHHG2QRUDERXW1RYHPEHUDQGDJDLQ
 FRPPXQLFDWLQJZLWK'¶$/(66,2MXVWSULRUWRJLYLQJWKHLQWHUYLHZDQGDJDLQUHFHLYLQJ

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 57 of 129 Page ID #:57

 KLVVXSSRUWDQGHQFRXUDJHPHQW)5(('0$1ZHQWWRDKRWHOLQ/RV$QJHOHVWRPHHW
 ZLWKDUHSRUWHUIRUDYLGHRWDSHGLQWHUYLHZ&ORVHLQWLPHWRFRPPHQFHPHQWRIWKH
 LQWHUYLHZ'¶$/(66,2WH[WHG)5(('0$1WKDWKHZDV³´VXSSRUWLYHRIKHU
 GHFLVLRQWRWHOOWKH:HVWZLFNUDSHVWRU\WRWKHSUHVVDQGWKDWKHWKRXJKWLWZRXOGEH
 JRRGIRU)5(('0$1WRJHW³FORVXUH´LQDGGLWLRQWRRWKHUVWURQJDIILUPDWLRQVWR
 )5(('0$1RI'¶$/(66,2¶6SHUVRQDODQGEXVLQHVVFRPPLWPHQWWRVWDQGE\KHU
  )5(('0$1ZHQWLQWRWKHLQWHUYLHZEHOLHYLQJWKDW'¶$/(66,2*,%%6
 DQG%25'2DOOZHUHHPRWLRQDOO\VXSSRUWLYHRIKHUDQGDOVRZHUHFRPPLWWHGWR
 VWDQGLQJE\)5(('0$1LQEXVLQHVV3/$,17,))LVLQIRUPHGDQGEHOLHYHVDQGRQ
 WKDWEDVLVDOOHJHVWKDWWKHWUXHIDFWVZHUHWKDW*,%%6DQG%25'2VDZWKDW
 )5(('0$1ZRXOGEHYXOQHUDEOHDQGHDFKUHVSHFWLYHO\LQWHQGHGWRDGYDQFHWKHLURZQ
 LQWHUHVWVLQ)5(('0$1¶6WLPHRIQHHGDW)5(('0$1¶6H[SHQVH
  ,QWKHODWHDIWHUQRRQRUHDUO\HYHQLQJRQRUDERXW1RYHPEHU
 )5(('0$1VDWLQDKRWHOURRPLQ/RV$QJHOHVLQSHUVRQZLWKDMRXUQDOLVWIURP
 3XEOLFDWLRQ;ZKHUHWKHMRXUQDOLVWLQWHUYLHZHG)5(('0$1LQFOXGLQJRQYLGHRWDSH
 RYHUWKHFRXUVHRIVHYHUDOKRXUVDERXW)5(('0$1¶6HQFRXQWHUZLWK:HVWZLFN
  $IWHUWKHLQWHUYLHZWKHMRXUQDOLVWLQIRUPHG)5(('0$1WKDWWKHVWRU\
 ZRXOGEHSXEOLVKHGRQ0RQGD\1RYHPEHU7KHQLQWKHRUGLQDU\FRXUVH
 3XEOLFDWLRQ;FRQWDFWHG:HVWZLFNRUKLVUHSUHVHQWDWLYHVIRUFRPPHQWDQGWKH
 GLOLJHQFHSURFHVVFRPPHQFHG)5(('0$1EUDFHGIRUZKDWVKHEHOLHYHGZRXOGEHD
 VL[GD\ZDLW
 Bordo Begins to Exclude Freedman and D’Alessio Becomes Skittish
  2Q1RYHPEHUWKHPRUQLQJDIWHUWKHLQWHUYLHZ'¶$/(66,2
 WH[WHG)5(('0$1WRDVNKHUKRZLWZHQW)5(('0$1WH[WHGEDFNWKDWLWZDVWKH
 VFDULHVWWKLQJVKHKDGHYHUGRQHDQG'¶$/(66,2UHPDLQHGVXSSRUWLYHDQGHYHQ
 H[FLWHG8QEHNQRZQVWWR)5(('0$1%25'2KDGDOUHDG\EHJXQKHUPDQHXYHUVWR
 FXW)5(('0$1RXWRIWKH9HQWXUHLQ)5(('0$1¶6ZLQGRZRIYXOQHUDELOLW\
 

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 58 of 129 Page ID #:58

  )5(('0$1GLGQRWOHDUQLWIRUFHUWDLQXQWLOODWHUEXWZKHQ%25'2
 OHDUQHGWKDW)5(('0$1ZDVDERXWWREHFRPHYXOQHUDEOHE\WHOOLQJKHUVWRU\
 %25'2PRYHGDJDLQVW)5(('0$1ZLWKLQWKHSDUWQHUVKLS2QRUDERXW1RYHPEHU
 DQGFRQWLQXLQJWKHUHDIWHU%25'2ZKRODUJHO\FRQWUROOHGZRUNHPDLOVDVWKH
 HIIHFWLYHVZLWFKERDUGIRUWKH9HQWXUHEHJDQLQWHQWLRQDOO\VWULSSLQJDQGH[FOXGLQJ
 )5(('0$1IURPZRUNHPDLOVRQZKLFK)5(('0$1ZRXOGXVXDOO\EHLQFOXGHG
 3/$,17,))LVLQIRUPHGDQGEHOLHYHVDQGRQWKDWEDVLVDOOHJHVWKDWDVDGPLWWHGWR
 3/$,17,))ODWHUE\'¶$/(66,2XSRQOHDUQLQJWKDW)5(('0$1ZDVH[SRVLQJ
 KHUVHOIE\JRLQJWRWKHSUHVVZLWKWKH:HVWZLFNUDSHVWRU\%25'2DOVREHJDQWREDG
 PRXWK)5(('0$1WR'¶$/(66,2
  ,QFOXGLQJEDVHGRQODWHUDGPLVVLRQVE\'¶$/(66,23/$,17,))LV
 LQIRUPHGDQGEHOLHYHVDQGWKDWEDVLVDOOHJHVWKDW%25'2DWWHPSWHGWRFRQYLQFH
 '¶$/(66,2WKDW)5(('0$1ZDVQRWZRUNLQJKDUGHQRXJKKDGRWKHUZLVHIDLOHGWKH
 9HQWXUHLQYDULRXVZD\VSURIHVVLRQDOO\DQGVKRXOGEHH[FOXGHGIURPXSFRPLQJ
 SURMHFWV$WWKHVDPHWLPH%25'2FRQWLQXHGWRXVH)5(('0$1¶6FRQWDFWOLVWVDQG
 WKHRWKHUEXVLQHVVUHVRXUFHVWKDW)5(('0$1KDGFRQWULEXWHGWRWKH9HQWXUHWR
 FRQWDFWPRGHOVDJHQFLHVDQGKDLUDQGPDNHXSWHDPVDQGRWKHUUHVRXUFHVPRVWRUDOO
 RIZKLFKZHUH)5(('0$1¶6LQWKHILUVWLQVWDQFH
  8QDZDUHWKDWKHUWUXVWHGEXVLQHVVSDUWQHUVKDGDOUHDG\EHJXQWRWXUQRQ
 KHU)5(('0$1FRQWLQXHGWRORRNWRWKHPIRUVXSSRUW2QRUDERXW1RYHPEHU
  WKH)ULGD\DIWHU7KDQNVJLYLQJ )5(('0$1VRXJKWRXW'¶$/(66,2¶6IXUWKHU
 FRPIRUWDQGUHDVVXUDQFHDVVKHZDLWHGIRUWKHGLOLJHQFHSURFHVVWRFRPSOHWHDQGIRUWKH
 :HVWZLFNVWRU\WREUHDN'¶$/(66,2OHDUQHGIURP)5(('0$1WKHQWKDWWKH
 LQWHUYLHZKDGEHHQYLGHRWDSHGDQGWKHIUDJLOLW\RIKLVRZQUHVROYHWRVXSSRUW
 )5(('0$1LQWKHVLWXDWLRQKHKDGFKHHUHGKHULQWREHJDQWRVKRZ
  '¶$/(66,2VXGGHQO\EHFDPHVNLWWLVKWKDWWKHLQWHUYLHZKDGEHHQ
 YLGHRWDSHG+HZDUQHG)5(('0$1WKDWVKHVKRXOGQRWWUXVWDQ\RQHVKHZDVWDONLQJ
 ZLWKH[FHSW'¶$/(66,2DQGKLVZLIH+RZHYHUDIWHUPRPHQWDU\VKRFNWKDWWKH

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 59 of 129 Page ID #:59

 LQWHUYLHZKDGEHHQYLGHRWDSHG'¶$/(66,2DSSHDUHGWRJDWKHUKLPVHOIDQGDJDLQ
 UHDVVXUHG)5(('0$1RQRUDERXW1RYHPEHURIDOORIWKHIROORZLQJWKDWKH
 ZRXOGDOZD\VKDYHKHUEHVWLQWHUHVWVDWKHDUWWKDWKHKDGDJDLQFKHFNHGZLWK%25'2
 DQG*,%%6DQG'¶$/(66,2*,%%6DQG%25'2ZHUHDOOVWLOOILUPO\FRPPLWWHGWR
 VXSSRUWLQJ)5(('0$1HPRWLRQDOO\DQGDVDEXVLQHVVSDUWQHUDQGZRXOGQRWVKXQKHU
 '¶$/(66,2FRQWLQXHGWRWH[WZLWK)5(('0$1WKDWGD\ 1RYHPEHU DQG
 RIIHUHGWRFRQWLQXHWRIDFLOLWDWH)5(('0$1WHOOLQJKHU:HVWZLFNUDSHVWRU\DQG
 PHVVDJHRIFRXUDJHLQVSHDNLQJRXWLQFOXGLQJE\DUUDQJLQJIRU)5(('0$1WRZRUN
 ZLWKSXEOLVKHUVRQDERRNLI)5(('0$1ZDQWHGWRGRLW
  )5(('0$1KDVQHYHUUHTXHVWHGEHHQRIIHUHGRUWDNHQDQ\PRQH\IURP
 DQ\RQHIRUWHOOLQJKHU:HVWZLFNUDSHVWRU\WR3XEOLFDWLRQ;RURWKHUZLVHSXEOLVKLQJLW
 QRUKDVVKHHYHUGHPDQGHGDQ\PRQH\RUDQ\WKLQJHOVHIURP:HVWZLFN
  1RYHPEHUDQGZHUHWKH6DWXUGD\DQG6XQGD\RI
 7KDQNVJLYLQJZHHNHQG0DQ\ZHHNVRUHYHQPRQWKVHDUOLHU)5(('0$1KDGSUH
 VFKHGXOHGWREHRXWRIWKHRIILFHWKHILYHGD\VIURP1RYHPEHUWR'HFHPEHU
 IRUPHGLFDOWUHDWPHQWVIRUDSUHH[LVWLQJFRQGLWLRQZKLFKWUHDWPHQWVZRXOGWDNHVHYHUDO
 KRXUVHDFKGD\)5(('0$1DQGWKRVHFORVHWRKHUH[SHFWHGWKHVWRU\WREUHDNWKDW
 0RQGD\1RYHPEHUWKHEHJLQQLQJRI)5(('0$1¶6PHGLFDOWUHDWPHQW
 ZHHN7U\LQJWRJRDERXWKHUOLIHDVQRUPDOO\DVSRVVLEOHDQGQRWNQRZLQJWKDW
 %25'2ZDVDOUHDG\SHHOLQJDZD\)5(('0$1¶6SODFHLQWKHEXVLQHVV)5(('0$1
 ZHQWWRKHUWUHDWPHQWVLQVWHDGRIJRLQJLQWRWKHRIILFH
  )5(('0$1QRQHWKHOHVVFRPPXQLFDWHGWR'¶$/(66,2WKDWVKHFRXOG
 FRPHLQWRWKHRIILFHGXULQJWKLVWLPHLIDQ\WKLQJDURVHZKHUHVKHZDVQHHGHGWRVXSSRUW
 WKH9HQWXUHRULIWKHUHZDV³JLJZRUN´ZKHUH)5(('0$1FRXOGHDUQPRQH\DVVKH
 ZDLWHGIRUWKHQDPHGGHIHQGDQWVWRUHFHLYHWKH,QYHVWRU/IXQGVWKDWZHUHGHIHQGDQWV¶
 H[FXVHIRUQRWSD\LQJ)5(('0$1ZKDWWKH\DOUHDG\RZHGKHU'¶$/(66,2
 FRQWLQXHGWRUHDVVXUH)5(('0$1WKDWVFDUFLW\RIIXQGVQRWZLWKVWDQGLQJWKH
 GHIHQGDQWVZRXOGDEVROXWHO\SD\)5(('0$1IRUWKHZRUNVKHKDGDOUHDG\GRQH

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 60 of 129 Page ID #:60

 7KH\GLGQRWDQGWKH\QHYHUKDYH
  7KHVWRU\GLGQRWEUHDNRQ0RQGD\1RYHPEHU,WQHYHUZRXOG
 The Westwick and Serfaty Tempest – Late November 2017
  ,QWKHDIWHUQRRQRI0RQGD\1RYHPEHUWKHVWRU\KDGQRWFRPH
 RXW$WRUDERXWWKLVWLPH3XEOLFDWLRQ;FRPPXQLFDWHGWR)5(('0$1WKDWWKH\ZHUH
 VWLOOIDFWFKHFNLQJDQGWKDW:HVWZLFN¶VWHDPKDGUHTXHVWHGDKRXUKROGWRDWOHDVW
 1RYHPEHUWRSURGXFHHYLGHQFHWRGLVFUHGLW)5(('0$1
  7KDWHYHQLQJDIWHUKHUILUVWGD\RIWUHDWPHQWV)5(('0$1GXO\FKHFNHG
 LQZLWK'¶$/(66,2RQZRUNPDWWHUVE\WH[W8QXVXDOO\ DQGGXHWR%25'2¶6
 LQWHQWLRQDOH[FOXVLRQDU\HIIRUWV )5(('0$1KDGUHFHLYHGIHZRUQRZRUNHPDLOV
 VLQFHOHWWLQJ'¶$/(66,2NQRZWKDW)5(('0$1ZRXOGEHJLYLQJWKH:HVWZLFNUDSH
 LQWHUYLHZ
  '¶$/(66,2GLGQRWUHVSRQGWKDWHYHQLQJ3/$,17,))LVLQIRUPHGDQG
 EHOLHYHVDQGRQWKDWEDVLVDOOHJHVWKDWWKHVNLWWLVKQHVV'¶$/(66,2KDGVKRZQXSRQ
 OHDUQLQJWKHLQWHUYLHZKDGEHHQYLGHRWDSHGZDVJURZLQJIXUWKHUDQGJHWWLQJWKHEHWWHU
 RIKLPDVKHIDLOHGWRVHHWKHVWRU\SXEOLVKHGRQ1RYHPEHU
  2QRUDERXWWKHQH[WPRUQLQJRI1RYHPEHU'¶$/(66,2
 UHVSRQGHGWR)5(('0$1¶6TXHU\RIWKHGD\EHIRUH'¶$/(66,2LQIRUPHG
 )5(('0$1YLDWH[WWKDWWKH&DELSLWFKLQZKLFK)5(('0$1KDGEHHQLQVWUXPHQWDO
 KDGEHHQVXFFHVVIXODQG&DELKDGFRQILUPHGWKDWWKH\ZDQWHGWRKLUHWKH9HQWXUH
 '¶$/(66,2LQIRUPHG)5(('0$1WKDWWKH&DELVKRRWZRXOGOLNHO\EHRQRUDERXW
 'HFHPEHURUDIWHU)5(('0$1UHWXUQHG)5(('0$1H[SUHVVHG
 H[FLWHPHQWDQGRIIHUHGWRFRPHLQWRWKHRIILFHLPPHGLDWHO\LQEHWZHHQKHUWUHDWPHQW
 VHVVLRQVLIQHHGHGWRSUHSIRUWKHVKRRW
  '¶$/(66,2UHVSRQGHGE\DVNLQJLIWKH)5(('0$1¶6:HVWZLFNUDSH
 VWRU\KDGEHHQSXEOLVKHG\HW)5(('0$1FRQILUPHGWR'¶$/(66,2WKDWLWKDGQRW
 EXWZDVQRZVFKHGXOHGWREHSXEOLVKHG1RYHPEHU DIWHU3XEOLFDWLRQ;
 KRQRUHG:HVWZLFN¶VUHTXHVWIRUDKRXUKROG $VLWZRXOGWXUQRXWWKHGLOLJHQFH

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 61 of 129 Page ID #:61

 SURFHVVKDGRQO\MXVWEHJXQDQG6HUIDW\KDGGHFLGHGWRJDPEOHWKDWVKHFRXOGKHOSNLOO
 WKHVWRU\LIVKHKHOSHG:HVWZLFNVPHDU)5(('0$1
  2QWKDWVDPHPRUQLQJ1RYHPEHU)5(('0$1UHFHLYHGDWH[W
 IURP6HUIDW\,QWKHWH[W6HUIDW\DVNHG)5(('0$1³>:@KDW¶VJRLQJRQZLWK(G"
 :K\GLGQ¶W\RXWDONWRPHDERXWWKLV"""´)5(('0$1GLGQRWUHVSRQGWRWKLVWH[W
 IURP6HUIDW\QRUGLGVKHLQIRUPDQ\RIWKHQDPHGGHIHQGDQWVRILWVH[LVWHQFH
  3/$,17,))LVLQIRUPHGDQGEHOLHYHVRQDQGWKDWEDVLVDOOHJHVWKDWIURP
 WKH6HUIDW\WH[WDQGEDVHGRQFRPPXQLFDWLRQVZLWKWKHMRXUQDOLVWIURP3XEOLFDWLRQ;
 E\QRODWHUWKDQWKHPRUQLQJRI1RYHPEHU6HUIDW\KDGEHFRPHDZDUHWKDW
 )5(('0$1KDGEHHQUDSHGE\:HVWZLFNLQWKDW)5(('0$1KDGWROGKHU
 VWRU\WRWKHSUHVVDQGWKDW3XEOLFDWLRQ;ZDVSODQQLQJWRSXEOLVKWKHVWRU\LPPLQHQWO\
 XQOHVV:HVWZLFNFRXOGUHIXWHLW%DVHGRQWKHVDPHDQGVLPLODUFRPPXQLFDWLRQV
 3/$,17,))LVIXUWKHULQIRUPHGDQGEHOLHYHVDQGRQWKDWEDVLVDOOHJHVWKDWE\RQRU
 DERXW1RYHPEHU6HUIDW\ZDVDFWLYHO\DVVLVWLQJ:HVWZLFNDQGKLVWHDPRI
 UHSUHVHQWDWLYHVLQDFWLYHO\WU\LQJWRGLVFUHGLWDQGGHIDPH)5(('0$1IRUWKHSXUSRVH
 RILQWLPLGDWLQJDQGRWKHUZLVHGLVFRXUDJLQJ3XEOLFDWLRQ;IURPHYHUUXQQLQJWKH
 )5(('0$1:HVWZLFNUDSHVWRU\
  3/$,17,))LVLQIRUPHGDQGEHOLHYHVDQGRQWKDWEDVLVDOOHJHVWKDW
 6HUIDW\¶VFRQGXFWLQDFWLYHO\DVVLVWLQJ:HVWZLFNWRNLOOWKHVWRU\LQFOXGHG6HUIDW\
 SURYLGLQJRUGHVFULELQJ RIWHQIDOVHO\ SXUSRUWHGWH[WVIURP)5(('0$1WR6HUIDW\
 %HJLQQLQJRQRUDERXWWKHPRUQLQJRI1RYHPEHU DQGXOWLPDWHO\FRQWLQXLQJ
 IRUVHYHUDOZHHNVWKHUHDIWHU )5(('0$1ILHOGHGQXPHURXVGLUHFWRULQGLUHFWIROORZXS
 FRPPXQLFDWLRQVIURPWKH3XEOLFDWLRQ;UHSRUWHUZKHUHWKHUHSRUWHUUHOD\HG6HUIDW\¶V
 DQG:HVWZLFN¶VFODLPVDQGIDOVHVWRULHVDERXW)5(('0$1DQGDVNHGIRU
 )5(('0$1¶6DQVZHUH[SODQDWLRQGHQLDORURWKHUUHVSRQVH
  :HVWZLFNDQG6HUIDW\ZHUHVKDPHOHVVLQWKHGHSWKVRIWKHLUGLVKRQHVW\LQ
 WKHSURFHVV)RUH[DPSOHDPRQJ:HVWZLFN¶VLQLWLDOUHVSRQVHVLQWKHGLOLJHQFHSURFHVV
 ZHUHWKDW:HVWZLFNKDGQHYHUHYHQPHW)5(('0$1SULRUWRGRLQJWKH5XQDZD\

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 62 of 129 Page ID #:62

 /RYHUVVKRRWZLWK.DW %DUHDQGKDGFHUWDLQO\QHYHUKDGVH[RIDQ\NLQGZLWKKHU
 3/$,17,))LVLQIRUPHGDQGEHOLHYHVDQGRQWKDWEDVLVDOOHJHVWKDW:HVWZLFN
 PDLQWDLQHGWKDWFRPSOHWHO\IDOVHDQGGLVKRQHVWSRVLWLRQIRUDOPRVWWZRZHHNVGXULQJ
 WKHGLOLJHQFHSURFHVVEHIRUHILQDOO\DGPLWWLQJWR3XEOLFDWLRQ;LQWKHIDFHRI
 RYHUZKHOPLQJHYLGHQFHWKDW:HVWZLFNKDGLQGHHGKDGVH[ZLWK)5(('0$1LQ
 %XW:HVWZLFNVDLGKHFRXOGQRWUHPHPEHUDQ\WKLQJDERXWLW EXWGHQLHGWKDWLWZDV
 UDSHQRQHWKHOHVV 
  6HUIDW\IRUKHUSDUWSURYLGHGKHUWH[WPHVVDJHVZLWK)5(('0$1WR
 :HVWZLFN¶VWHDP6HUIDW\¶VWH[WKLVWRU\ZLWK)5(('0$1ZDVPLVUHSUHVHQWHG
 WZLVWHGDQGGLVWRUWHGWR3XEOLFDWLRQ;WRWU\WRSDLQW)5(('0$1IDOVHO\DVXQVWDEOH
 GLVWXUEHGMHDORXVDQGSURPLVFXRXV)RULQVWDQFH6HUIDW\IRXQGDSKRWRVKRRWIRU.DW
 %DUHWKDWLQYROYHGDPDOHPRGHOWLHGWRDEHGZKLFK6HUIDW\GLUHFWO\RULQGLUHFWO\
 SXVKHGWR3XEOLFDWLRQ;DVVRPHKRZHYLGHQFHWKDW)5(('0$1LVSURPLVFXRXV DQG
 WKXVLPSOLFLWO\WKDWHYHQLI)5(('0$1ZDVSURPLVFXRXVZKLFKVKHLVQRWWKDW
 SURPLVFXLW\ZRXOGVRPHKRZPHDQWKDW:HVWZLFNZRXOGEHIUHHWRUDSHKHU 
  (YHU\WLPHQHZGLUWZDVWKURZQE\:HVWZLFNDQG6HUIDW\DW
 )5(('0$13XEOLFDWLRQ;ZRXOGFRQWDFW)5(('0$1WRH[SODLQDQGDQVZHUZKLFK
 )5(('0$1GLG
  )5(('0$1ZHQWWKURXJKWKHVHVOHD]\DQGRIWHQULGLFXORXVDWWDFNVDQG
 GHQLDOVDQGWKHVHHPLQJO\HQGOHVVF\FOHRIOLVWHQLQJDQGUHVSRQGLQJWR3XEOLFDWLRQ;¶V
 TXHVWLRQVDERXWWKHPZLWKRXWWHOOLQJ'¶$/(66,2RUDQ\RIWKHRWKHUQDPHG
 GHIHQGDQWVDQ\WKLQJDERXW:HVWZLFN¶VDQG6HUIDW\¶VVSHFLILFXJOLQHVVWRZDUG
 )5(('0$1LQWKHSURFHVVRUHYHQPXFKRIDQ\WKLQJDERXWLWDWDOO
  3/$,17,))LVLQIRUPHGDQGEHOLHYHVDQGRQWKDWEDVLVDOOHJHVWKDW
 :HVWZLFNDQG6HUIDW\¶VVWUDWHJ\ZDVLQSDUWVLPSO\WRGHOD\WKHVWRU\¶VSXEOLFDWLRQIRU
 DVORQJDVSRVVLEOHEHFDXVHWKHGHOD\LWVHOILQVXFKPDWWHUVEHJLQVWREHFRPHLWVRZQ
 VHOISHUSHWXDWLQJZHDSRQDJDLQVWWKHGHILDQWYLFWLP7KDWSKHQRPHQRQWRRNHIIHFW
 KHUH

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 63 of 129 Page ID #:63

  3/$,17,))LVLQIRUPHGDQGEHOLHYHVDQGRQWKDWEDVLVDOOHJHVWKDWWKLV
 SXEOLFDWLRQGHOD\SKHQRPHQRQVWURQJO\DIIHFWHG'¶$/(66,2HYHQDIWHURQO\VHYHUDO
 GD\V'¶$/(66,2KDGSDLQWHGKLPVHOIWR)5(('0$1DVDEDVWLRQRIPRUDOFRXUDJH
 DQGVWUHQJWK+RZHYHUE\WKHVHFRQGWLPHWKHVWRU\¶VSXEOLFDWLRQZDVSRVWSRQHGIRU
 IXUWKHUIDFWFKHFNLQJ'¶$/(662ORVWKLVFRXUDJH:KDWHYHUOR\DOW\WR)5(('0$1
 WKDW'¶$/(66,2KDGFUXPEOHGDQGKHZHQWWRWKHVWDQGDUGLQGXVWU\SOD\ERRNRI
 VHHNLQJGLVWDQFHIURPWKHGRXEWHGRUWKHDOUHDG\GHVWUR\HGDQG'¶$/(66,2VKXQQHG
 DQGDEDQGRQHG)5(('0$1WRWU\WRVDYHKLPVHOI
 D’Alessio Abandons and Shuns Freedman
  3/$,17,))LVLQIRUPHGDQGEHOLHYHVDQGRQWKDWEDVLVDOOHJHVWKDWRQRU
 DERXWWKHPRUQLQJRI1RYHPEHURUVRPHWLPHVKRUWO\SULRUWRWKDW
 '¶$/(66,2UHFHLYHGDFRQWDFWIURPDSRWHQWLDOFOLHQWLQ,QGLDDERXWDUHODWLYHO\VPDOO
 YHU\ORZEXGJHWMREWRVKRRWRQ'HFHPEHUZKHQ)5(('0$1ZRXOGEHEDFN
 LQWKHRIILFHLQWKHRUGLQDU\FRXUVH WKH³'HFHPEHU,QGLDQ-RE´ 
  ,QWH[WVRQWKHPRUQLQJRI1RYHPEHU)5(('0$1DQG
 '¶$/(66,2H[FKDQJHGWKHIROORZLQJLQIRUPDWLRQZLWKHDFKRWKHU
 D 7KHDUWLFOHKDGEHHQSRVWSRQHGEXWZDVH[SHFWHGWRFRPHRXWRQ1RYHPEHU
 
 E )5(('0$1DVNHGLIWKH$VLDWULSZDVVWLOORQDQG'¶$/(66,2DIILUPHG
 WKDWLWZDV
 F '¶$/(66,2UHIHUHQFHGWKH'HFHPEHU,QGLDQ-REWR'¶$/(66,2LQD
 WH[WWKDWPHDQW)5(('0$1ZRXOGZRUNRQWKHVKRRWIRUWKHMREEXWWKDW
 '¶$/(66,2ZRXOGKDYHRWKHUVDW.DW %DUHKDQGOHWKHSUHSDUDWLRQZRUN
 IRUWKHVKRRW ZKLFKQHHGHGWREHGRQHZKLOH)5(('0$1ZDVRXWIRUKHU
 WUHDWPHQWV ZLWKRXWERWKHULQJ)5(('0$1
  3/$,17,))LVLQIRUPHGDQGEHOLHYHVDQGRQWKDWEDVLVDOOHJHVWKDWRQRU
 DERXWWKHPRUQLQJRI1RYHPEHU'¶$/(66,2GLUHFWHGD5<'(678',26
 VWDIIPHPEHU 6HDQ0LOOHU DQG%25'2WRKDQGOHVRPHRIWKH'HFHPEHU,QGLDQ-RE

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 64 of 129 Page ID #:64

 SUHSDUDWLRQGXWLHVWKDW)5(('0$1ZRXOGRUGLQDULO\GR3/$,17,))LVLQIRUPHGDQG
 EHOLHYHVDQGRQWKDWEDVLVDOOHJHVWKDW'¶$/(66,2VSHFLILFDOO\GLUHFWHG0LOOHUWRILQGD
 VW\OLVWDQGGLUHFWHG%25'2WRFDVWDPRGHODXGLWLRQIRU1RYHPEHUDOOIRUWKH
 'HFHPEHU,QGLDQ-REZKLFK)5(('0$1ZRXOGWDNHRYHUDQGUXQZKHQKHU
 WUHDWPHQWVFRPSOHWHG
  ,QWKHRUGLQDU\FRXUVHHYHQLIDEVHQWIURPWKHRIILFH)5(('0$1ZRXOG
 KDYHEHHQDZDUHRIWKHDFWLYLW\VXUURXQGLQJWKH1RYHPEHUDXGLWLRQSUHSE\EHLQJ
 FRSLHGRQHPDLOFKDLQVEXW%25'2ZDVLQWHQWLRQDOO\VWULSSLQJDQGRWKHUZLVH
 H[FOXGLQJ)5(('0$1IURPWKHFKDLQV6RZKDWKDSSHQHGQH[WKDSSHQHGPRVWO\LQ
 WKHGDUNDVWR)5(('0$1EXWRQLQIRUPDWLRQDQGEHOLHILQFOXGLQJDVODUJHO\
 DGPLWWHGWR)5(('0$1ODWHUE\'¶$/(66,2)5(('0$1DOOHJHVWKHIROORZLQJ
 2QRUDERXW1RYHPEHURU1RYHPEHU%25'2ZLWKRXWFRQVXOWLQJ
 '¶$/(66,2RU)5(('0$1LQWHQWLRQDOO\FRQWDFWHG6HUIDW\%25'2WROG6HUIDW\
 DERXWWKH1RYHPEHUDXGLWLRQDQGWKHFKDQFHWRFRPHLQWR.DW %DUH¶V
 RIILFHVWKDWGD\3/$,17,))LVLQIRUPHGDQGEHOLHYHVDQGRQWKDWEDVLVDOOHJHVWKDW
 %25'2RQO\FRQWDFWHGRQHRWKHUPRGHOIRUWKH1RYHPEHUDXGLWLRQDQGWKDWZDVD
 PRGHOWKDW%25'2NQHZZRXOGQHYHUGRWKH'HFHPEHU,QGLDQ-REEHFDXVHWKH
 EXGJHWZDVWRRORZ
  $WWKDWWLPHDOORIWKHQDPHGGHIHQGDQWVNQHZWKDW)5(('0$1KDGWROG
 KHU:HVWZLFNUDSHVWRU\WR3XEOLFDWLRQ;WKH\DOONQHZWKDW6HUIDW\ZDV:HVWZLFN¶V
 RQJRLQJJLUOIULHQGDQGORYHUDQGWKH\DOONQHZWKDWWKHVWRU\¶VSXEOLFDWLRQZDVGHOD\HG
 EHFDXVH:HVWZLFNKDGDVNHGIRUPRUHWLPHWRJDWKHUHYLGHQFHDJDLQVW)5(('0$1
 3/$,17,))LVLQIRUPHGDQGEHOLHYHVDQGRQWKDWEDVLVDOOHJHVWKDWDVRI1RYHPEHU
 '¶$/(66,2ZDVXQDZDUHWKDW%25'2ZDVDFWLYHO\WU\LQJWREULQJ6HUIDW\LQWR
 WKH'HFHPEHU,QGLDQ-RERUWKDWWKH:HVWZLFNVWRU\ZRXOGDJDLQEHSRVWSRQHG
 EH\RQGWKHDOUHDG\GHOD\HG1RYHPEHUGDWH7KXVDVRI1RYHPEHU
 '¶$/(66,2VWLOOLQWHQGHGWRKROGRXWWKH'HFHPEHU,QGLDQ-REWR)5(('0$1DV
 RQHRIWKHJLJVWKDWZRXOGDOORZ)5(('0$1WRVXUYLYHILQDQFLDOO\WKURXJKWKH

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 65 of 129 Page ID #:65

 KROLGD\VDQGRWKHUZLVHZHDWKHUWKHVHYHUHILQDQFLDOVWUDLWVLQWRZKLFKWKHGHIHQGDQWV
 KDGSODFHG)5(('0$1E\WKHLURZQFRQGXFW
  ,QWKHHYHQLQJRI1RYHPEHUZLWKDQRWKHUGD\JRQHE\ZLWKRXW
 UHFHLYLQJDQ\EXVLQHVVXSGDWHV)5(('0$1WH[WHG'¶$/(66,2DQGDVNHGZKHQWKH
 GHIHQGDQWVH[SHFWHGWRKDYHPRQH\WRSD\)5(('0$1)5(('0$1H[SUHVVO\WROG
 '¶$/(66,2WKDWVKHZDVKDYLQJDKDUGWLPHSD\LQJKHUUHQWDQGELOOVLQFOXGLQJ
 EHFDXVHVKHKDGEHHQDGYDQFLQJH[SHQVHVIRUGHIHQGDQWVZLWKRXWUHLPEXUVHPHQW DQG
 DV'¶$/(66,2DOVRDOUHDG\NQHZGHIHQGDQWV¶FKHFNWR)5(('0$1IRU2FWREHUKDG
 ERXQFHGDQGGHIHQGDQWVKDGQRWPDGHJRRGRQWKHERXQFHGFKHFNRUSDLG
 )5(('0$1DQ\WKLQJIRU1RYHPEHU 
  '¶$/(66,2WKHQUHVSRQGHGWR)5(('0$1DVIROORZV
 D '¶$/(66,2WROG)5(('0$1³ZHFDQSD\\RXZKDWZHRZH\RXIRU
 VXUH´EXWWKDWEH\RQGWKDW '¶$/(66,2VDLG ,QYHVWRU/ZDVVWLOO
 ZLWKKROGLQJIXQGVDQGVRGHIHQGDQWVZRXOGQRWSD\)5(('0$1KHU
 DJUHHGPRQWKO\FDVKIHHEXWZRXOGSURYLGH)5(('0$1ZLWK³JLJZRUN´
 VRVKHFRXOGSD\KHUUHQWDQGHDW
 E '¶$/(66,2IXUWKHUWROG)5(('0$1WKDWKHDOUHDG\KDGDWOHDVWWZR
 ³JLJV´IRU)5(('0$1WRZRUNRQIRUPRQH\LQ'HFHPEHUDQGPRUH
 FRPLQJWKH'HFHPEHU,QGLDQ-REWKH&DELMREDQGRWKHUVLQWKHSLSHOLQH
 LQFOXGLQJD³&KLQDJLJ´
  3/$,17,))LVLQIRUPHGDQGEHOLHYHVDQGRQWKDWEDVLVDOOHJHVWKDW0LOOHU
 IRUXQNQRZQUHDVRQVGLGQRWIROORZWKURXJKRQRUZDVXQDEOHWRILQGDUHSODFHPHQW
 VW\OLVWIRUWKH1RYHPEHUDXGLWLRQIRUWKH'HFHPEHU,QGLDQ-RE%\WKHPRUQLQJRI
 1RYHPEHUWKHUHZDVQRVW\OLVWDUUDQJHGDQG'¶$/(66,2EHJDQWRVWUHVV
 2QWKHPRUQLQJRI1RYHPEHUDWDP'¶$/(66,2WH[WHG)5(('0$1
 XUJHQWO\ZDQWLQJKHUWRFDOOKLPWRKHOS'HFHPEHU,QGLDQ-RELQFOXGLQJVWDUWLQJZRUN
 LPPHGLDWHO\ZLWKWKH1RYHPEHUDXGLWLRQVFKHGXOHGIRUWKDWGD\$WDERXW
 WKLVVDPHWLPHRQ1RYHPEHU0LOOHUDOVRWH[WHG)5(('0$1DERXWWKH

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 66 of 129 Page ID #:66

 'HFHPEHU,QGLDQ-REIRUWKHSXUSRVHRIDUUDQJH)5(('0$1ZRUNLQJDVDVW\OLVW
 IRULW)5(('0$1WH[WHGEDFNHQWKXVLDVWLFDOO\WR'¶$/(66,2WKDWVKHZRXOGFDOO
 KLPDWDERXWDPDQGRWKHUZLVHFHOHEUDWLQJWKHMREZLWKWH[WHGFDSLWDOOHWWHUV
 DQGH[FODPDWLRQSRLQWV,WZDVFU\VWDOFOHDUIURP)5(('0$1¶6WH[WHGUHVSRQVHWR
 '¶$/(66,2WKDW)5(('0$1ZDVRQERDUGDQGUHDG\DQGDQ[LRXVWRZRUN±DQGWKDW
 VKHZDVWKULOOHGDQGUHOLHYHGIRUWKHFRQILUPDWLRQWKDWKHUZRUVWIHDUVKDGQRWFRPHWUXH
 DQGKHUSDUWQHUVZHUHQ¶WDFWXDOO\VKXQQLQJKHU+HUUHOLHIYDQLVKHGLQDPDWWHURI
 PLQXWHV
  %DVHGRQVXEVHTXHQWWH[WFRPPXQLFDWLRQVIURP0LOOHUDQG'¶$/(66,2
 DQGODWHUH[SODQDWLRQVDQGDGPLVVLRQVE\'¶$/(66,2WR)5(('0$1DQGWKHSDWWHUQ
 RI6HUIDW\¶VDWWDFNVRQ)5(('0$1LQWKHSXEOLFDWLRQGLOLJHQFHSURFHVV3/$,17,))
 LVLQIRUPHGDQGEHOLHYHVDQGRQWKDWEDVLVDOOHJHVWKDWZKDWKDSSHQHGQH[WZDVWKLV
 D 6HUIDW\WROG%25'2WKDW6HUIDW\KDGGHFLGHGWRFRPHWRWKH.DW %DUH
 RIILFHVDQGDXGLWLRQIRULW DOOH[DFWO\DV%25'2KDGKRSHG 
 E $IWHU'¶$/(66,2KDGUHDFKHGRXWWR)5(('0$1WRFRPHLQIRU
 HPHUJHQF\SUHS%25'2LQIRUPHG'¶$/(66,2IRUWKHILUVWWLPHWKDW
 %25'2KDGDVNHG6HUIDW\WRDXGLWLRQDQGWKDW6HUIDW\KDGDJUHHGDQGZDV
 DERXWWRFRPHLQWRWKHRIILFHV RUSRVVLEO\6HUIDW\DUULYHGDQG'¶$/(66,2
 VDZKHU 
 F '¶$/(66,2LPPHGLDWHO\UHFRJQL]HGWKDWIRU%25'2WRKDYHHYHQLQYLWHG
 6HUIDW\WRDXGLWLRQZDVVHYHUHO\SUREOHPDWLFDEHWUD\DORI)5(('0$1
 DQGWKDW%25'2³VKRXOGKDYHNQRZQEHWWHU´
 G '¶$/(66,2NQHZWKDWLWZDVQRWWRRODWHWRFKDQJHWKHDXGLWLRQFDVWLQJ
 SURFHVVDQGQRWLQYROYH6HUIDW\DQGWKDWLIKHGLGVRLWZRXOGVDYHWKH
 'HFHPEHU,QGLDQ-REIRU)5(('0$1DQGWKDWLIKHGLGVHQG6HUIDW\
 DZD\LWZRXOGEHFUXVKLQJWR)5(('0$1DQGOLNHO\EHWKHEHJLQQLQJRI
 WKHHQGRIKHUSODFHLQWKHSDUWQHUVKLS
 

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 67 of 129 Page ID #:67

 H '¶$/(66,2ZDVWKXVIDFHGZLWKDPRPHQWZKHUHKHZRXOGKDYHWRFKRRVH
 VRPHVPDOOULVNWRRQHDXGLWLRQRQRQHYHU\ORZEXGJHWMREDQGPLQRU
 WHQVLRQZLWKKLVVXERUGLQDWH%25'2WRVLPSO\VWDQGXSIRU)5(('0$1
 DQGWHOO%25'2WRFDQFHO6HUIDW\IRUWKLVRQHDXGLWLRQ
 I %XWWKHVWRU\KDGQRWFRPHRXW\HWDQGLWNHSWEHLQJGHOD\HGDQG
 '¶$/(66,2¶6IUDJLOHPRUDOFRXUDJHFROODSVHGFRPSOHWHO\
  '¶$/(66,2GHFLGHGWRVLGHZLWK%25'2DQG6HUIDW\DQGVKXQ
 )5(('0$1DQGEHJDQDFWLYHO\H[HFXWLQJWKDWGHFLVLRQ)LUVW'¶$/(66,2ZHQWWR
 0LOOHUDQGLQIRUPHG0LOOHUWKDW)5(('0$1ZDVQRWWREHXVHGRQWKH'HFHPEHU
 ,QGLDQ-REDQG3/$,17,))LVLQIRUPHGDQGEHOLHYHVDQGRQWKDWEDVLVDOOHJHVRQDQ\
 IXUWKHUMREVZLWKRXWFRQVXOWLQJ'¶$/(66,21H[W'¶$/(66,2WH[WHG)5(('0$1
 DQGWROGKHU IDOVHO\ WKDWWKH\KDG³ERRNHG6HUIDW\´ FRPPLWWHGWR6HUIDW\ IRUWKH
 'HFHPEHU,QGLDQ-REDQGWKDW'¶$/(66,2ZDVWKHUHIRUHH[FOXGLQJ)5(('0$1
 IURPQRWRQO\WKH1RYHPEHUDXGLWLRQZRUNEXWIURPWKH'HFHPEHU,QGLDQ-RE
 DOWRJHWKHU'¶$/(66,2IXUWKHUIDOVHO\VWDWHGWR)5(('0$1WKDWKHZDVH[FOXGLQJ
 )5(('0$1³IRUKHURZQJRRG´RUZRUGVWRWKDWHIIHFW
  )5(('0$1IHOWVKRFNHGDQGEHWUD\HGE\'¶$/(66,2¶6WXUQDERXW
 )5(('0$1UHPDLQHGSURIHVVLRQDODQGUHVROXWHQRQHWKHOHVVEXWGLGWH[WRQHUHTXHVW
 WR'¶$/(66,2³:KHQ\RXJX\VDUHRQVHWZLWK-HVVLFDSOHDVHGRQ¶WOHWP\QDPHEH
 EURXJKWXS6KH¶VDOUHDG\ZRUNLQJZLWKKLV>:HVWZLFN¶V@ODZ\HUVLQGHIHQVHRIKLP
 DQGWU\LQJWRPDNHPHORRNEDG´'¶$/(66,2DQGWKHGHIHQGDQWVIDLOHGWRKRQRUHYHQ
 WKDWKXPEOHUHTXHVWIURP)5(('0$1
  :LWK:HVWZLFNDQG6HUIDW\¶VWHDPDFWLYHO\UDJLQJDJDLQVW)5(('0$1WR
 3XEOLFDWLRQ;6HUIDW\FDPHLQWR)5(('0$1¶65<'(678',26.DW %DUH
 EXVLQHVVRIILFHVLQSHUVRQRQERWK1RYHPEHUDQG'HFHPEHULQYLWHG
 ILUVWE\%25'2ZLWK'¶$/(66,2¶6UDSLGDFTXLHVFHQFHDQGUDWLILFDWLRQ%DVHGRQ
 YDULRXVFRPPXQLFDWLRQVLQWKHGLOLJHQFHSURFHVVDQGWKHLUWLPLQJUHODWLYHWR6HUIDW\¶V
 SUHVHQFHDW.DW %DUHDQGODWHUDGPLVVLRQVWR)5(('0$1E\'¶$/(66,2WKH

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 68 of 129 Page ID #:68

 IROORZLQJRFFXUUHGDURXQG6HUIDW\¶V%25'2PDQLSXODWHG1RYHPEHU
 ³DXGLWLRQ´DQGWKURXJKDQGLQFOXGLQJWKH'HFHPEHU,QGLDQ-REVKRRWLWVHOI
 D 3XUSRUWHGO\LQFRQQHFWLRQZLWKWKH1RYHPEHUDXGLWLRQDQGRUWKH
 'HFHPEHU,QGLDQ-RE6HUIDW\EHJDQDFWLYHO\TXHU\LQJYDULRXVVWDIIIRU
 IDFWVDERXW)5(('0$1LQFOXGLQJ)5(('0$1¶6WKHQFXUUHQW
 ZKHUHDERXWVDQGVLWXDWLRQ
 E 9HU\IHZSHRSOHNQHZWKDW)5(('0$1ZDVLQPHGLFDOWUHDWPHQWEHWZHHQ
 1RYHPEHUDQG'HFHPEHUDQG6HUIDW\DQG:HVWZLFNDQGWKHLUWHDPV
 GLGQRWNQRZ
 F '¶$/(66,2VDZ6HUIDW\DVN%25'2ZKHUH)5(('0$1ZDVDQGDOVR
 VDZWKDW%25'2ZDVJLYLQJ6HUIDW\DQVZHUV
  :KHWKHU%25'2JDYHWKHLQIRUPDWLRQWR6HUIDW\RUZKHWKHU6HUIDW\
 FDPHDZD\ZLWKLWLQVRPHRWKHUPDQQHU3/$,17,))LVLQIRUPHGDQGEHOLHYHVDQGRQ
 WKDWEDVLVDOOHJHVWKDW6HUIDW\¶VLQWHUDFWLRQVZLWKGHIHQGDQWVLQFRQQHFWLRQZLWKWKH
 1RYHPEHUDXGLWLRQDQGWKH'HFHPEHU,QGLDQ-REUHVXOWHGLQ6HUIDW\
 OHDUQLQJWKDW)5(('0$1ZDVVSHQGLQJRUKDGVSHQWWKHILYHGD\VEHWZHHQ1RYHPEHU
 DQG'HFHPEHULQPHGLFDOWUHDWPHQWLQFOXGLQJWKHQDPHRI)5(('0$1¶6
 WUHDWPHQWIDFLOLW\6HUIDW\SDVVHGWKHLQIRUPDWLRQWRWKHWHDPWDVNHGZLWKFUXVKLQJ
 )5(('0$1WR3XEOLFDWLRQ;ZKRXVHGLWWRFDVW)5(('0$1IDOVHO\DVDGUXJ
 DGGLFWHLWKHULQUHKDELOLWDWLRQRUMXVWRXWQRQHRIZKLFKZDVRUHYHUKDVEHHQUHPRWHO\
 WUXH$OWKRXJK)5(('0$1ZDVDEOHUHDGLO\WRUHIXWHLWRQFHDVNHGDERXWLWE\
 3XEOLFDWLRQ;3/$,17,))LVLQIRUPHGDQGEHOLHYHVDQGRQWKDWEDVLVDOOHJHVWKDWWKH
 IDOVHGUXJDGGLFWUHKDELOLWDWLRQ³IDFW´FRQWULEXWHGWRWKHRYHUDOODYDODQFKHRIFRQWULYHG
 PXGWKDW:HVWZLFNDQG6HUIDW\GHVSHUDWHO\SXVKHGWR3XEOLFDWLRQ;WRVWDOOWKHVWRU\
  :HHNVODWHU'¶$/(66,2ZRXOGDGPLWWR)5(('0$1WKDWKHKDGVHHQ
 %25'2DQG6HUIDW\WDONLQJWRHDFKRWKHUDERXW)5(('0$1DQGKHUZKHUHDERXWVLQ
 FRQQHFWLRQZLWKHLWKHUWKH1RYHPEHUDXGLWLRQRUWKH'HFHPEHU,QGLDQ-RELWVHOI
 +RZHYHULQWKHDIWHUQRRQRI1RYHPEHU'¶$/(66,2WH[WHG)5(('0$1WKDWKH

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 69 of 129 Page ID #:69

 ZDQWHGWRH[SODLQWR)5(('0$1³WKLVVLWXDWLRQZLWK-HVVLFD´'¶$/(66,2IDOVHO\
 LQIRUPHG)5(('0$1WKDWKHKDGGHFLGHGWRNHHS6HUIDW\RQWKHMREEHFDXVHWKH
 FOLHQW³KDGIDOOHQLQORYH´ZLWK6HUIDW\ DVDSRWHQWLDOPRGHOIRUWKHVKRRW  DOWKRXJK
 3/$,17,))LVLQIRUPHGDQGEHOLHYHVDQGRQWKDWEDVLVDOOHJHVWKDWWKHFOLHQWLQIDFWKDG
 QRW\HWPDGHDQ\VXFKGHFLVLRQ '¶$/(66,2WKXVFRQILUPHGWKDWSXUSRUWHGO\DVD
 UHVXOWRIWKH³FOLHQW¶V´GHFLVLRQ'¶$/(66,2ZDVHQWLUHO\H[FOXGLQJ)5(('0$1
 IURPWKH'HFHPEHU,QGLDQ-RE±IRU)5(('0$1¶6RZQJRRGWR³SURWHFW´
 )5(('0$1
  ,QEHODWHGUHVSRQVHWR)5(('0$1¶6HDUOLHUUHTXHVWWR'¶$/(66,2WREH
 FDUHIXOQRWWRVKDUHDQ\LQIRUPDWLRQDERXW)5(('0$1ZLWK6HUIDW\'¶$/(66,2DOVR
 GLVLQJHQXRXVO\VWDWHGLQWKHODWHDIWHUQRRQRUHDUO\HYHQLQJRI1RYHPEHUWKDWKHGLG
 QRWWKLQN6HUIDW\NQHZDQ\WKLQJDERXWWKH:HVWZLFNUDSHVWRU\DQGWKHQWH[WHG³$QG
 RIFRXUVH\RXUEXVLQHVVLV\RXUEXVLQHVVDQGZHZRXOGQHYHUEULQJXSSHUVRQDOLVVXHV
 ZLWKDQ\RQH´±HYHQWKRXJKKHKDGSRVVLEO\MXVWZDWFKHG%25'2GRVRZLWK6HUIDW\
 DQGKHNQHZWKDWKHKDGVHHQVRPHWKLQJRIWKLVQDWXUH
  '¶$/(66,2ODWHUDGPLWWHGWR)5(('0$1WKDWKHNQHZ%25'2KDG
 GRQHVRPHWKLQJWHUULEO\ZURQJWR)5(('0$1E\LQYROYLQJ6HUIDW\DQGJLYLQJ6HUIDW\
 LQIRUPDWLRQDERXW)5(('0$1EXWH[FXVHGKLVRZQODFNRIIRUWLWXGHLQEHWUD\LQJ
 )5(('0$1IRUWKHWLQ\DVVLJQPHQWDVD³QHFHVVDU\FDVXDOW\´RIWKHVLWXDWLRQ±DQ
 H[FXVHDQGFKDUDFWHUL]DWLRQKHDOVRDSSOLHGWRRWKHUGHVSLFDEOHDFWLRQVKHWRRNDVKH
 IXUWKHUDEDQGRQHGDQGEHWUD\HG)5(('0$1DVWKHVWRU\¶VSXEOLFDWLRQUHPDLQHG
 VORJJHGE\:HVWZLFNDQG6HUIDW\¶VGHVSHUDWHPXGVOLGH
 The Storm Continues – December 2017
  $V:HVWZLFNDQG6HUIDW\FRQWLQXHGWRWKURZXSIDOVHDOOHJDWLRQDIWHUIDOVH
 DOOHJDWLRQDQGDV:HVWZLFNERXJKWWLPHE\VZLWFKLQJOHJDOWHDPVDQGDVNLQJIRUPRUH
 WLPHIRUQHZODZ\HUVWRSUHSDUHDQGUHVSRQGDOORI'HFHPEHUFDPHDQGZHQWZLWKWKH
 VWRU\¶VSXEOLFDWLRQVWLOOLQDIDFWFKHFNLQJGLOLJHQFHSXUJDWRU\
 

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 70 of 129 Page ID #:70

  ,QDVXUUHDOVHOIIXOILOOLQJF\FOHRILQGHFLVLRQ3XEOLFDWLRQ;¶VRZQGHOD\
 DQGLQWHUQDOKDQGZULQJLQJDERXWSXEOLVKLQJWKHVWRU\RUQRWLWVHOIFDVWDFKLOORQ
 )5(('0$1¶6VWDQGLQJZLWKKHUEXVLQHVVSDUWQHUVIULHQGVLQGXVWU\FROOHDJXHVDQG
 RWKHUVDOORIZKRPZDLWHGIRU3XEOLFDWLRQ;¶VGHFLVLRQDVDQLPSOLFLWVWDPSRQ
 )5(('0$1RQHZD\RUWKHRWKHU,I3XEOLFDWLRQ;KDGWKHIRUWLWXGHWRSULQWLW
 )5(('0$1ZRXOGLPSOLFLWO\EHDUWKHVWDPSRIFRXUDJHDQGKRQHVW\DYDOLGDWHG
 KHUDOGRIWKH0H7RRPRYHPHQWEXWDVWLPHFRQWLQXHGWRSDVVDQG3XEOLFDWLRQ;
 IUHWWHGDQGVKXIIOHGLWVIHHWDERXWSXOOLQJWKHWULJJHULQWKHIDFHRI:HVWZLFN¶VOLWLJDWLRQ
 WKXQGHULQJDQGPRUHDQGPRUHGD\VSDVVHGDQGQRVWRU\FDPHWKHVSHFWUHRIWKH
 RSSRVLWHVWDPSVWDUWHGWRORRPLQLPDJLQDWLRQVWKDW3XEOLFDWLRQ;KDGGHWHUPLQHG
 )5(('0$1ZDVDOLDUDQGDWWHQWLRQVHHNHU2UWKDWVKHZDVHYHQMXVWDVXFFHVVIXOO\
 FUXVKHGYLFWLPUHJDUGOHVVRIZKDWWKHWUXWKDERXW:HVWZLFNPLJKWRUPLJKWQRWEH,Q
 DQ\FDVHWKHPRUHWKHVWRU\¶VSXEOLFDWLRQZDVGHOD\HGWKHPRUH)5(('0$1ZDVD
 SDULDKWREHDYRLGHGE\DQ\LQGXVWU\SOD\HUZKRYDOXHGWKHLURZQFDUHHU
  )RUPRVWRI'HFHPEHUGHIHQGDQWVEHKDYHGDVLIWKH\WKRXJKWRI
 )5(('0$1LQWKHVHWHUPVORRNLQJIRUZD\VWRFXWWLHVZLWKKHUDQGHYDGLQJWKHLU
 REOLJDWLRQVWRZDUGVKHU'¶$/(66,2VSHFLILFDOO\NQHZWKDW)5(('0$1KDGOLWWOHRU
 QRPRQH\ EHFDXVHGHIHQGDQWVKDGQRWSDLGKHU DQGZDVVWUXJJOLQJHYHQWRSD\KHU
 UHQW(YHQWKRXJK'¶$/(66,2KDGSURPLVHG)5(('0$1LQZULWLQJDVUHFHQWO\DV
 1RYHPEHUWKDW³ZHFDQSD\\RXZKDWZHRZH\RXIRUVXUH´LQIDFWGHIHQGDQWVGLG
 QRWSD\)5(('0$1ZKDWWKH\RZHKHUIRUXQSDLGPRQWKO\IHHV7KH\GLGQRWHYHQ
 FRYHUWKHLURZQERXQFHGFKHFNWR)5(('0$1IRU2FWREHUDQGLQGHHGWKH\VWLOO
 KDYHQ¶W$V'¶$/(66,2VDLGWR)5(('0$1LQKLV1RYHPEHUWH[WWKHWUXWKZDV
 WKDWWKHGHIHQGDQWVFHUWDLQO\FRXOGKDYHSDLG)5(('0$1DWOHDVWZKDWWKH\RZHGKHU
 ³IRUVXUH´,QGHHGDVRWKHU5<'(678',26VWDIIZHUHWHOOLQJ)5(('0$1DWWKH
 WLPHDQGVLQFHWKHGHIHQGDQWVZHUHSD\LQJWKRVHRWKHUVWDII-XVWQRW)5(('0$1
  3/$,17,))LVLQIRUPHGDQGEHOLHYHVDQGRQWKDWEDVLVDOOHJHVWKDWDIWHU
 WKH1RYHPEHULQFLGHQWZLWK6HUIDW\DQGZLWKWKHVWRU\SXEOLFDWLRQFRQWLQXLQJWR

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 71 of 129 Page ID #:71

 KDQJZLWKLWVFRUUHVSRQGLQJXQFHUWDLQW\DVWRZKHWKHU)5(('0$1ZRXOGEHD
 UHFRJQL]HG0H7RRKHUDOGRUEURNHQSDULDK'¶$/(66,2GLVFXVVHGWKHVLWXDWLRQ
 ZLWK*,%%63/$,17,))LVLQIRUPHGDQGEHOLHYHVDQGRQWKDWEDVLVDOOHJHVWKDW
 *,%%6FRQYLQFHG'¶$/(66,2QRWWRSD\)5(('0$1)XUWKHU3/$,17,))LV
 LQIRUPHGDQGEHOLHYHVDQGRQWKDWEDVLVDOOHJHVWKDW*,%%6DQG'¶$/(66,2IXUWKHU
 DJUHHGWRJHWKHUWRWHOO)5(('0$1WKDWWKHGHIHQGDQWVKDGQRPRQH\WRSD\
 +RZHYHU)5(('0$1ZDVDQGLVDZDUHIURPFRPPXQLFDWLRQVZLWKRWKHU5<'(
 678',2ZRUNHUVWKDWLQIDFWHYHQDVRI1RYHPEHUGHIHQGDQWVZHUHSD\LQJRWKHU
 VWDII3/$,17,))LVLQIRUPHGDQGEHOLHYHVDQGRQWKDWEDVLVDOOHJHVWKDWDVRIWKH
 ILOLQJRIWKLV&RPSODLQWGHIHQGDQWVKDYHSDLGDOORWKHUVWDIIH[FHSW)5(('0$1DOO
 DPRXQWVGXHLQFOXGLQJEDFNSD\
  '¶$/(66,2DOVRWKURWWOHGWKHVKXQQLQJPDFKLQHLQWRIXOOIRUFHDJDLQVW
 )5(('0$16LQFH1RYHPEHUDVDGGUHVVHGDERYH%25'2KDGH[FOXGHG
 )5(('0$1IURPDOO RUDOOPHDQLQJIXO HPDLOFRPPXQLFDWLRQVDERXWWKHEXVLQHVV
 ZKLOHDWWKHVDPHWLPHFRQWLQXLQJWRXVH)5(('0$1¶6FRQWDFWOLVWVWRILQGUHVRXUFHV
 DQGWDOHQWIRUVKRRWV3/$,17,))LVLQIRUPHGDQGEHOLHYHVDQGRQWKDWEDVLVDOOHJHV
 WKDWIURPDWOHDVW1RYHPEHUIRUZDUG'¶$/(66,2UDWLILHGDQGHYHQLQVWUXFWHG
 WKHHPDLOEODFNRXWWR)5(('0$1WRFRQWLQXHDQGWKDWKHKDVQHYHUOLIWHGLW
  $VWKHQH[WVWHSLQWKHVKXQQLQJSOD\ERRN'¶$/(66,2VWUXFN
 )5(('0$1RIIRIWKHPHWDSKRULFDOEXVLQHVVFKDONERDUGRIIXWXUHZRUN$OWKRXJK
 '¶$/(66,2NQHZWKDWWKH'HFHPEHU³JLJZRUN´IRU&DELDQGWKH'HFHPEHU,QGLDQ
 -REPLJKWEH)5(('0$1¶6RQO\VRXUFHRILQFRPHLQDWLPHRIGHVSHUDWHQHHGIRUKHU
 LQFOXGLQJRYHUWKHKROLGD\V'¶$/(66,2DFWLYHO\H[FOXGHG)5(('0$1IURPERWK
 MREV3/$,17,))LVLQIRUPHGDQGEHOLHYHVDQGRQWKDWEDVLVDOOHJHVWKDW'¶$/(66,2
 WROGWKHRWKHUGHIHQGDQWVDQGRWKHU5<'(678',26VWDIIWKDW)5(('0$1ZDVRXW
 RIWKHSLFWXUH QRWWREHXVHGIRUZRUNSURMHFWV XQWLOIXUWKHUQRWLFH
  2QRUDERXW'HFHPEHUWKH3XEOLFDWLRQ;MRXUQDOLVWLQIRUPHG
 )5(('0$1WKDWWKHVWRU\KDGEHHQ³FOHDUHG´E\WKHSXEOLFDWLRQ¶VDWWRUQH\VDQGWKDW

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 72 of 129 Page ID #:72

 WKHVWRU\ZDVQRZEHLQJSURYLGHGWR:(67:,&.¶VDWWRUQH\VWRJLYH:(67:,&.RQH
 ODVWFKDQFHWRFRPPHQW
  ,QRUDURXQG'HFHPEHU0LOOHUUHDFKHGRXWWR)5(('0$1WR
 LQIRUPKHUWKDW5<'(678',26FRXOGFXWKHUDUHLPEXUVHPHQWFKHFNIRUKHULQFXUUHG
 H[SHQVHVDQGDVNHGKHUWRFRPHWR5<'(678',26WRSLFNLWXSEXW)5(('0$1
 UHTXHVWHGWKDWLWEHPDLOHG)5(('0$1GLGUHFHLYHWKLVUHLPEXUVHPHQWFKHFN%XW
 3XEOLFDWLRQ;GHOD\HG\HWDJDLQDQGLQWKHQRZIDPLOLDUSDWWHUQDQ\PRUHFKHFNVWR
 )5(('0$1ZHUHDOVRGHOD\HG\HWDJDLQ DQGLQGHHGKDYHQHYHUFRPH 
  $IHZGD\VODWHURQRUDERXW'HFHPEHUWKH3XEOLFDWLRQ;
 MRXUQDOLVWLQIRUPHG)5(('0$1WKDWWKHHGLWRUIRU3XEOLFDWLRQ;ZDVQRZKROGLQJWKH
 VWRU\RIIKDYLQJUHFHLYHGWKUHDWVIURP:(67:,&.¶V8QLWHG.LQJGRPDWWRUQH\VWRVXH
 LIWKH\SXEOLVKHG)5(('0$1¶VVWRU\7KH3XEOLFDWLRQ;MRXUQDOLVWH[SUHVVHGWR
 )5(('0$1WKDWKHVWLOOEHOLHYHGWKDWWKHVWRU\ZRXOGEHSXEOLVKHGVRRQ
  2QRUDERXW'HFHPEHUWKH3XEOLFDWLRQ;MRXUQDOLVWIROORZHGXS
 ZLWK)5(('0$1DQGH[SUHVVO\UHDIILUPHGWKDW6HUIDW\KDGEHHQDQGZDV VWLOO 
 ZRUNLQJZLWK:HVWZLFNDQGKLVWHDPRQGLVFUHGLWLQJ)5(('0$1DQGJHQHUDOO\
 VPHDULQJKHUWRDWWHPSWWRNLOOWKHVWRU\:HVWZLFN¶VODZ\HUVZHUHVWLOOPDNLQJWKUHDWV
 DQGWKHHGLWRUZDVFRQWLQXLQJWRKROGWKHVWRU\EDFNIURPEHLQJSXEOLVKHGRXWRIIHDURI
 H[SHQVLYHOLWLJDWLRQGHIHQVHHYHQLIWKHVWRU\ZHUHWUXHDQGHYHQLIDQ\VXLWE\
 :HVWZLFNZRXOGXOWLPDWHO\EHGRRPHGWRIDLO
  3/$,17,))LVLQIRUPHGDQGEHOLHYHVDQGRQWKDWEDVLVDOOHJHVWKDW
 EHWZHHQRQRUDERXW'HFHPEHUDQG'HFHPEHUZLWK3XEOLFDWLRQ;
 VWLOOXQGHULQWHQVHSUHVVXUHDQGWKUHDWVIURP:HVWZLFNDQG6HUIDW\DQGSXEOLFDWLRQRI
 WKHVWRU\VWLOOKDQJLQJ'¶$/(66,2PDGHSODQVWRWDNHWKHILUVWRIWKH$VLDWULSVWKDWKH
 KDGSURPLVHGWRWDNHZLWK)5(('0$1$QGGHHSQRZLQWKHSDJHVRIWKHVKXQQLQJ
 SOD\ERRNDQGZLWKKLVLQWHUQDOQHHGOHSRLQWLQJPRUHVWURQJO\WR)5(('0$1DVD
 SRVVLEOHSDULDKKHOHIW)5(('0$1RXWRIWKHWULSWKDWKHNQHZVKHKDGZRUNHGVR
 KDUGIRUDQGKDGSLQQHGVRPDQ\KRSHVRQ

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 73 of 129 Page ID #:73

  3/$,17,))LVLQIRUPHGDQGEHOLHYHVDQGWKHUHRQDOOHJHVWKDWE\WKHWLPH
 WKHZLQWHUKROLGD\VDUULYHGZLWKWKHVWRU\VWLOOXQSXEOLVKHGGHIHQGDQWVFDPHWREHOLHYH
 WKDWLWQHYHUZRXOGEH%XWDWWKHVDPHWLPHQRYLVLEOHLQGXVWU\WKXQGHUEROWRI
 FRQGHPQDWLRQKDGKLW)5(('0$1HLWKHU DWOHDVWQRWIURPDQ\RQHRWKHUWKDQ
 :HVWZLFN6HUIDW\DQGWKHGHIHQGDQWVWKHPVHOYHV $VWKHLQIRUPDWLRQQRZORRNVWR
 3/$,17,))DQGDVVKHQRZDOOHJHVRQLQIRUPDWLRQ'¶$/(66,2EHJDQWRWKLQNLWZDV
 DOORYHUDQGWKDW)5(('0$1PLJKWQRORQJHUEHWKHLQGXVWU\HTXLYDOHQWRI
 UDGLRDFWLYH
  %HWZHHQ'HFHPEHUDQGZKLOHRQRQHRIWKH$VLDWULSV QRZ
 ZLWKRXW)5(('0$1 DQGZLWKWKHEXIIHURIOLWHUDOO\KDOIDZRUOGRIDFWXDO
 JHRJUDSKLFDOGLVWDQFHEHWZHHQKLPVHOIDQG)5(('0$1'¶$/(66,2DWWHPSWHGWRUH
 HVWDEOLVKFRPPXQLFDWLRQZLWK)5(('0$1E\WH[W'¶$/(66,2XSGDWHG
 )5(('0$1WKDWVHYHUDORIWKHSURMHFWVWKDW)5(('0$1KDGZRUNHGWRGHYHORSDQG
 SLWFKZHUHHLWKHUDIILUPDWLYHO\JRLQJIRUZDUGRUOLNHO\WRFRPHWRIUXLWLRQVRRQ
 '¶$/(66,2IXUWKHUDWWHPSWHGWRHOLFLW)5(('0$1¶6UHVSRQVHDQGILQGKHUPRRGE\
 WHOOLQJ)5(('0$1WKDW%25'2ZRXOGEHDZD\LQ,VUDHOIRUVHYHUDOPRQWKV
 VKRRWLQJKHUGRFXPHQWDU\ILOP 
  2QRUDERXW'HFHPEHU'¶$/(66,2DQG)5(('0$1HQJDJHG
 LQDQH[WHQGHGEDFNDQGIRUWKE\WH[WZLWK'¶$/(66,2LQ$VLDDQG)5(('0$1KHUH
 LQ6RXWKHUQ&DOLIRUQLD'¶$/(66,2HVVHQWLDOO\DGPLWWHGWKDWKHKDGVKDGHGPXOWLSOH
 WKLQJVWR)5(('0$1DQGKDGH[FOXGHGKHULQWHQWLRQDOO\DQGZDVIHHOLQJEDGO\DERXW
 WKDW+HEODPHGPXFKRILWRQ%25'2DVWKHWUXHYLOODLQLQKHOSLQJ6HUIDW\FODZDW
 )5(('0$1DQGLQ%25'2KHUVHOIGHQLJUDWLQJ)5(('0$1WR'¶$/(66,2$QG
 '¶$/(66,2UDWLRQDOL]HGKLVRZQEHKDYLRUDVWRDGHJUHHLQHYLWDEOH±WKDWLQDVLWXDWLRQ
 OLNH)5(('0$1¶6WKHUHZRXOG³DOZD\VEHFDVXDOWLHV´'¶$/(66,2DWOHDVWSDUWLDOO\
 DSRORJL]HGWR)5(('0$1HVVHQWLDOO\DVNHGKHUIRUJLYHQHVVDQGHQFRXUDJHGKHUWR
 UHVXPHZRUNDVKLVSDUWQHULQ³.DW %DUH´ZKHQ'¶$/(66,2UHWXUQHGIURP$VLD
 LQPLG-DQXDU\RUVR

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 74 of 129 Page ID #:74

  )5(('0$1JDYH'¶$/(66,2H[WHQGHGDQGFDQGLGUHVSRQVHVOHWWLQJ
 KLPNQRZWKDW'¶$/(66,2KDGOHWKHUGRZQGHHSO\EXWWHOOLQJKLPWKDWVKH
 DSSUHFLDWHGWKHDSRORJ\)5(('0$1FRQIHVVHGWR'¶$/(66,2WKDWIRUDORQJWLPH
 ZKDWVKHKDGUHDOO\PRVWZDQWHGWRGRUHODWHGWRWKH.DW %DUH9HQWXUHZDVWRZRUN
 ZLWK'¶$/(66,2DVKLVFUHDWLYHSDUWQHUDQGWROHDUQKRZWRGRZKDWKHGRHVLQWKH
 FRPPHUFLDOGLUHFWLQJZRUOGZKHUH'¶$/(66,2LVLQGHHGDWUXHPDVWHURIWKHPHGLXP
 )5(('0$1WROG'¶$/(66,2VKHZRXOGDWOHDVWWKLQNDERXWLW
  7KHQ)5(('0$1MXVWDVNHGDJDLQIRUWKHGHIHQGDQWVWRSD\KHUWKH
 RXWVWDQGLQJSD\PHQWVWKDWVKHZDVRZHG$QGWKH\GLGQ¶WHYHQDV)5(('0$1NQHZ
 WKH\ZHUHSD\LQJRWKHUV LQGHHG3/$,17,))LVLQIRUPHGDQGEHOLHYHVDQGWKHUHRQ
 DOOHJHVWKH\ZHUHSD\LQJHYHU\RQHH[FHSW)5(('0$1 $QGZRUVH*,%%6PDGH
 FOHDUWKDWWKHGHIHQGDQWVZHUHQHYHUJRLQJWRDFNQRZOHGJHWKDW)5(('0$1ZDVWKHLU
 SDUWQHURUPRUHWKDQDPHUHLQGHSHQGHQWFRQWUDFWRU,QGHHG*,%%6DQGWKHGHIHQGDQWV
 VRRQPDGHFOHDUWKDWWKH\LQWHQGHGWRFRQWLQXHWREHGLVKRQHVWZLWK)5(('0$1DERXW
 EDVLFLVVXHV
 2018
  7KHKROLGD\VZHQWRQDQGIRUDOLWWOHZKLOHSHRSOHWKRXJKWOHVVDERXW
 KDQJLQJ0H7RRVWRULHV$QGWKHQWKHKROLGD\VHQGHGDQGFDPH$QG
 VXUSULVLQJO\SHUKDSVIRUDZLQGRZIURPDERXW-DQXDU\WR-DQXDU\
 3XEOLFDWLRQ;OHW)5(('0$1NQRZWKDWLWVWLOOPLJKWSXEOLVKWKHVWRU\±LWZDVVWLOO
 DOLYH
  $QGFRLQFLGHQWDOO\RUQRWWKHVKXQQLQJSOD\ERRNZDVVWLOORQE\WKH
 GHIHQGDQWVRUEDFNRQDQGWKH\ZHUHRWKHUZLVHEDFNWRWKHLUVKDG\EHKDYLRUWRZDUG
 )5(('0$1%\-DQXDU\)5(('0$1VWLOOKDGQRWUHFHLYHGDQ\RIKHU
 RXWVWDQGLQJDQGRZHGPRQWKO\SD\FKHFNVJRLQJEDFNE\WKHQPRUHWKDQWKUHHPRQWKV
 DOOWKHZD\WRDQGLQFOXGLQJKDOIRI2FWREHU DQGVKHQHYHUKDVUHFHLYHGWKHP 
 'HIHQGDQWVKDGVWLOOQRWHYHQFRYHUHGWKH2FWREHUERXQFHGFKHFNWR)5(('0$1
 DQGWKH\VWLOOQHYHUKDYH 6RRQ-DQXDU\)5(('0$1WH[WHG*,%%6ZLWK

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 75 of 129 Page ID #:75

 WKHVLPSOHTXHVWLRQDVWRZKDWWKH(7$ZDVRQWKHFKHFNV:KHQDGD\ZHQWE\DQG
 *,%%6GLGQRWUHVSRQG)5(('0$1WH[WHGKLPDJDLQDQGDVNHG³FRXOG\RXSOHDVH
 VHQGPHDFRS\RIP\HPSOR\HHFRQWUDFW>PHDQLQJWKHYDJXH³$UW'LUHFWRU±&RQWUDFW´
 GRFXPHQWWKDW*,%%6KDGSURYLGHG)5(('0$1LQRUDERXW6HSWHPEHU@"7KDQNV´
  *,%%6ILQDOO\UHVSRQGHGDSRORJL]LQJIRUWKHGHOD\DQGLQIRUPLQJ
 )5(('0$1WKDW5<'(678',26ZDVVWLOO³ZRUNLQJRQLW´DVWRWKHFKHFNVDQGWKDW
 )5(('0$1ZDV³DWWKHWRSRIWKHOLVW´WREHSDLGZKHQPRQH\FDPHLQ HYHQWKRXJK
 3/$,17,))LVLQIRUPHGDQGEHOLHYHVWKDWRWKHUVWDIIZHUHDOUHDG\EHLQJSDLGE\WKDW
 WLPHLIWKH\HYHUVWRSSHGEHLQJSDLG $VWR)5(('0$1¶6UHTXHVWIRUDFRS\RIKHU
 ³HPSOR\HHFRQWUDFW´*,%%6WH[WHGEDFN³:KDWZHSUHVHQWHG\RXZDVQ¶WDFRQWUDFWEXW
 DMREGHVFULSWLRQZLWK\RXUUDWH´*,%%6WKHQIDLOHGDQGUHIXVHGWRVHQG)5(('0$1
 WKHGRFXPHQWDWDOOZKDWHYHUKHZDQWHGWRVD\LWPLJKWRUPLJKWQRWEH
  1RSD\FKHFNVFDPHDQGLQRUDURXQGODWH-DQXDU\)5(('0$1
 OHDUQHGWKDW5<'(678',26ZDVVROLFLWLQJPRGHOVDQGRWKHUWDOHQWIRUXSFRPLQJ
 VKRRWV$WRUDURXQGWKLVWLPH)5(('0$1DOVRGLVFRYHUHGDMRESRVWLQJRQ
 ,QGHHGFRPE\5<'(678',26VHHNLQJDVDOHVUHSUHVHQWDWLYH±WKHGHIHQGDQWVZHUH
 PDNLQJQHZKLUHV6WLOOQRSD\FKHFNVFDPHWR)5(('0$1IURPWKHGHIHQGDQWV$QG
 WKHHPDLOEODFNRXWZDVVWLOORQWRR([FHSWIRUWZRQHZHPDLOVHPDLOVIURP*,%%6WR
 )5(('0$1WHOOLQJKHUWKDWVKHKDGRQO\everEHHQDPHUHLQGHSHQGHQWFRQWUDFWRUIRU
 GHIHQGDQWVDQGFRXOGVKHSOHDVHVLJQDFNQRZOHGJHWKDWE\VLJQLQJDQGUHWXUQLQJD:
 HYHQWKRXJKGHIHQGDQWVDOUHDG\KDGDVLJQHG: IRU)5(('0$1,I)5(('0$1
 FRXOGDJUHHWRDOOWKDWDQGDFNQRZOHGJHLW*,%%6PD\EHFRXOGVHQGKHUWKHEDFN
 SD\FKHFNVVRRQ
  )5(('0$1VLPSO\UHPDLQHGVLOHQW1RSD\FKHFNVFDPH'¶$/(66,2
 WH[WHG)5(('0$1RQRUDERXW-DQXDU\WROHWKHUNQRZWKDWKHKDGILQDOO\
 UHWXUQHGIURP$VLD'¶$/(66,2FRXOGKDYHFDXVHG*,%%6DQGGHIHQGDQWVWRSD\
 )5(('0$1WKHPRQH\WKDWVKHKDGEHHQUHTXHVWHGIRUPRQWKV%XW'¶$/(66,2
 

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 76 of 129 Page ID #:76

 GLGQ¶W6WLOOQRSD\FKHFNVFDPHDQGVWLOO)5(('0$1ZDVRQHPDLOEODFNRXWRQ
 SURMHFWFDVWLQJV
  2QRUDERXW)HEUXDU\)5(('0$1QRWLFHGWKDWWKHUHZDVDQHZ
 SRVWRQWKH.DW %DUH9HQWXUH¶V,QVWDJUDPSDJH±WKHILUVWSRVWLQZKLFK
 )5(('0$1KDGQRLQYROYHPHQW&OHDUO\ZRUNZDVKDSSHQLQJDW.DW %DUH
 %XVLQHVVZDVEHLQJGRQH%XWVWLOOQRSD\FKHFNVFDPH
  %\WKLVWLPHWKH3XEOLFDWLRQ;MRXUQDOLVWKDGFRPPXQLFDWHGWR
 )5(('0$1WKDWWKHVWRU\KDGJRQHLQWRZKDWHYHU\RQHQRZNQHZZDVDOLNHO\
 SHUPDQHQWGHHSIUHH]HDQGZRXOGSUREDEO\QHYHUEHSXEOLVKHG$VWKHDFFRXQWZDV
 UHODWHGWR)5(('0$1RYHUWKHKROLGD\V:HVWZLFNKDGUHWDLQHGDQ,ULVKODZ\HU
 KRSLQJWROHYHUDJHZKDW:HVWZLFNSHUFHLYHGWREHPRUHSURKLELWLYH,ULVKSULYDF\ODZV
 WRPDJQLI\KLVDWWHPSWVWRGLVFUHGLW)5(('0$1$QG:HVWZLFN¶VWHDPFODLPHGWKDW
 WKH\KDG³IRXQG´WUDYHOUHFHLSWVSXUSRUWLQJWRVKRZWKDWLQ$XJXVWWKHWLPHRIWKH
 UDSHVRPHRI:HVWZLFN¶VUHODWLYHVKDGWUDYHOHGWR/RV$QJHOHVIURPDEURDG±
 VRPHKRZSURYLQJWKDWLI:HVWZLFNKDGUHODWLYHVLQWRZQLQ$XJXVWKHVRPHKRZ
 FRXOGQRWKDYHUDSHG)5(('0$1WKHQ)LQDOO\:HVWZLFN¶VWHDPGHFOLQHGWRSURYLGH
 WKHDOOHJHGUHFHLSWVIRUDQ\SUHSXEOLFDWLRQUHYLHZVD\LQJWKH\ZRXOGKROGWKHPWRXVH
 DJDLQVW3XEOLFDWLRQ;LQSRVWSXEOLFDWLRQOLWLJDWLRQLQ,UHODQG±GDULQJ3XEOLFDWLRQ;WR
 FDOOWKHEOXIIRUQRW
  $QGWKHUHWKH:HVWZLFN3XEOLFDWLRQ;VWDOHPDWHUHPDLQVIUR]HQWKHVWRU\
 VWLOOXQSXEOLVKHG3/$,17,))LVLQIRUPHGDQGEHOLHYHVDQGRQWKDWEDVLVDOOHJHVWKDW
 HLWKHUQRVXFKSXUSRUWHGO\H[FXOSDWRU\WUDYHOUHFHLSWVH[LVWDWDOORULIWKH\GRH[LVW
 WKH\GRQRWLQDQ\ZD\DFWXDOO\H[FXOSDWH:HVWZLFNUHJDUGLQJUDSLQJ)5(('0$1
 LQGHHGWKH*OHQGRZHU(VWDWHLVYHU\ODUJHZLWKPDQ\URRPVDQG:HVWZLFNNHSW
 3/$,17,))FDSWLYHLQKLVEHGURRPIRUDOPRVWWKHHQWLUHW\RIWKHWLPH3/$17,))ZDV
 DWWKHUHVLGHQFH±:HVWZLFNUHODWLYHVFRXOGKDYHEHHQLQRWKHUSDUWVRIWKHUHVLGHQFHRU
 QRWDQG3/$,17,))ZRXOGQRWQHFHVVDULO\NQRZQRUZRXOGWKHUHODWLYHVNQRZRI
 3/$,17,))¶6SUHVHQFH 3/$,17,))LVLQIRUPHGDQGEHOLHYHVDQGRQWKDWEDVLV

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 77 of 129 Page ID #:77

 DOOHJHVWKDW3XEOLFDWLRQ;QHYHUPDGHDQ\GHWHUPLQDWLRQWKDW)5(('0$1ZDVQRW
 FUHGLEOHRUDEVROYLQJ:HVWZLFNEXWUDWKHU:HVWZLFN¶VDQG6HUIDW\¶VHIIRUWVKDGMXVW
 PDGHWKLQJVWDNHVRORQJDQGWDNHXSVRPDQ\RI3XEOLFDWLRQ;¶VUHVRXUFHVWKDWWKH
 HGLWRUDQGSXEOLVKHUKDGMXVWPRYHGWKHVWRU\EDFNRXWRIDFWLYHFRQVLGHUDWLRQDVWDNLQJ
 PRUHWLPHHIIRUWWKDQWKHVWRU\ZDVZRUWK$QGRQFHWKHVWRU\PRYHGRIIRIDFWLYH
 FRQVLGHUDWLRQLWZDVXQOLNHO\HYHUWREHSULQWHG7KLVZDV:HVWZLFN¶VDQG6HUIDW\¶V
 VWUDWHJ\DOODORQJDQGQRZWKH\KDGZRQ
 Freedman’s Partnership, Authorship, and Ownership in the Kat & Bare Venture
  $VWRWKHGHIHQGDQWV3/$,17,))LVLQIRUPHGDQGEHOLHYHVDQGRQWKLV
 EDVLVDOOHJHVWKDWWKH\LQIDFWGLGUHFHLYHLQYHVWPHQWIXQGLQJRURWKHUZLVHKDYH
 UHODWLYHO\DPSOHIXQGVRUFHUWDLQO\HQRXJKWRSD\)5(('0$1 DQGLQGHHGWKDWWKH\
 KDYHSDLGHYHU\RQHHOVHH[FHSWKHU 3/$,17,))LVIXUWKHULQIRUPHGDQGEHOLHYHVDQG
 RQWKDWEDVLVDOOHJHVWKDWGHIHQGDQWVDUHXVLQJWKHLUOLTXLGLW\WRPRYHIRUZDUGRQ.DW 
 %DUHDQGRQRWKHUSURMHFWVEXWZLWKRXW)5(('0$1
  $VIRU)5(('0$1OHVVWKDQD\HDUDJRVKHZDVDULVLQJVWDULQWKH
 VW\OLVWDQGIDVKLRQFRQVXOWDQWFRPPXQLW\PDNLQJDJRRGOLYLQJRQKHURZQDQG
 PRYLQJVWHDGLO\WRZDUGUHDOL]DWLRQRIKHUGUHDPRIEHFRPLQJDFUHDWLYHGLUHFWRUE\WKH
 DJHRIWKLUW\1RZDIWHUWUXVWLQJWKHGHIHQGDQWVLQEXVLQHVVDQGWUXVWLQJWKHLUDGYLFH
 DQGSXUSRUWHGVXSSRUWDERXWWHOOLQJKHU0H7RRVWRU\)5(('0$1GRHVQ¶WKDYHDMRE
 DWDOO8QOHVVVKHZDQWVWRDJUHHWKDWVKHZDVQHYHUDSDUWQHULQWKH9HQWXUHRUDQ\WKLQJ
 PRUHWKDQDPHUHLQGHSHQGHQWFRQWUDFWRUWKDWZRUNHGIRUWKHGHIHQGDQWVIRUWKHEHWWHU
 KDOIRIWKDWVKHJDYHXSKHUHQWLUHSURPLVLQJVW\OLVWDQGIDVKLRQFRQVXOWDQWFDUHHU
 DQGWKDWVKHJDYHDOORIKHUYDOXDEOHEXVLQHVVFRQWDFWVWRWKHGHIHQGDQWVDQGGLGDOOWKDW
 MXVWIRUDPRQWKO\FDVKIHHWKDWZDVDIUDFWLRQRIZKDW)5(('0$1ZDVDEOHWRPDNH
 RQKHURZQEHIRUHVKHHYHUPHWWKHGHIHQGDQWV
  )5(('0$1GHFOLQHVWRDEDQGRQKHUSDUWQHUVKLSDQGRURWKHULQWHUHVWVLQ
 WKH9HQWXUHLQWKDWZD\DQGWKHGHIHQGDQWVDUHJRLQJWRKDYHWRGHDOZLWKKHUDERXWWKH
 IDFWWKDWQRWRQO\LVVKHDSDUWQHUDQGQRWRQO\LVVKHRZHGWKHPRQWKO\IHHVVKHZDV

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 78 of 129 Page ID #:78

 SURPLVHGDQGSD\PHQWIRUWKHERXQFHGFKHFNVEXWHVSHFLDOO\LI)5(('0$1ZDV
 QHYHUGHIHQGDQWV¶HPSOR\HHWKHQVKHLVDWOHDVWDSDUWRZQHURIDOORUPRVWRIWKH
 9HQWXUH¶VDQGVRPHRIWKHODUJHU5<'(678',26¶LQWHOOHFWXDOSURSHUW\$QGPD\EH
 VRPHRI'¶$/(66,2¶6FRPPHUFLDOGLUHFWLQJSURMHFWVWRR%HFDXVHVKHLVDWOHDVWD
 MRLQWDXWKRURIDOORIWKHVHZRUNVXQGHUFRS\ULJKWODZ
  3/$,17,))LVLQIRUPHGDQGEHOLHYHVDQGRQWKDWEDVLVDOOHJHVWKDWWKH
 QDPHGGHIHQGDQWVDOOFRQWHQGWKDW3/$,17,))ZDVQRWDQHPSOR\HHRIDQ\RIWKH
 QDPHGGHIHQGDQWVDWDQ\WLPHDQG3/$,17,))KHUHLQDOOHJHVWKDW LQWKHDOWHUQDWLYHWR
 KHUDOOHJDWLRQVWKDWVKHZDVDQHPSOR\HHRIVRPHRUDOORIWKHQDPHGGHIHQGDQWV WKDW
 3/$,17,))ZDVQRWDQHPSOR\HHRIDQ\RIWKHQDPHGGHIHQGDQWVDWDQ\WLPH
  7KHUHZDVQHYHUDQ\FRS\ULJKWZRUNIRUKLUHDJUHHPHQWEHWZHHQ
 )5(('0$1DQGDQ\RIWKHQDPHGGHIHQGDQWVDWDQ\WLPH
  $VGLVFXVVHGWKURXJKRXW)5(('0$1PDGHPDWHULDOFUHDWLYH
 FRQWULEXWLRQVWRWKHFUHDWLYHZRUNVWKDWVKHJHQHUDWHGIRUDQGZLWKWKHQDPHG
 GHIHQGDQWV2QDOOFUHDWLYHSURMHFWVERWKIRUSURMHFWVXQGHUWKH.DW %DUH9HQWXUH
 DQGIRURWKHUFRPPHUFLDOSURMHFWV'¶$/(66,2DQG)5(('0$1WRRNWKHFUHDWLYH
 OHDGDQGZRUNHGWRJHWKHUDVFUHDWLYHSDUWQHUV,WZDVFOHDUEHWZHHQERWKRI
 '¶$/(66,2DQG)5(('0$1WKDWWKH\ZHUHFUHDWLYHSDUWQHUVDQGDOORIWKH
 GHIHQGDQWVVRXQGHUVWRRG)5(('0$1ZDVLQYROYHGLQDQGKDGDFUHDWLYHOHDGHUVKLS
 DQGDXWKRUVKLSUROHLQDOPRVWHYHU\SURMHFWXQGHUWKH.DW %DUH9HQWXUHIURP0D\
 WR1RYHPEHUDQGFRQWULEXWHGLQPDWHULDOFUHDWLYHZD\VWRDOORUPRVWSDUWV
 RIWKHSURFHVVIURPFUHDWLQJWKHGHYHORSPHQWGHFNVDQGFRORUVWRULHVWKURXJKWR
 ZRUNLQJRQDVKRRW¶VSRVWSURGXFWLRQSURFHVVLQJ
  $FFRUGLQJO\)5(('0$1ZDVDWOHDVWDFRDXWKRURUFRFUHDWRUXQGHU
 FRS\ULJKWODZIRUDVXEVWDQWLDOQXPEHURIFRS\ULJKWDEOHZRUNVGRQHLQFRQQHFWLRQZLWK
 WKH.DW %DUH9HQWXUHDQGRUZLWK'¶$/(66,2IURP0D\WR1RYHPEHU
 )5(('0$1ZDVDQGLVDFUHDWRURUFRFUHDWRUDQGDXWKRURUFRDXWKRUXQGHU
 FRS\ULJKWODZIRUDVXEVWDQWLDOQXPEHURIHGLWRULDOSURMHFWVGRQHIRUWKH.DW %DUH

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 79 of 129 Page ID #:79

 9HQWXUHLQFOXGLQJIRUPDQ\ HYHQPRVW RIWKHSKRWRVDQGYLGHRVSRVWHGRQ


 #NDWDQGEDUHIURP-XQH ZKHQ5<'(678',26XSORDGHGLWVILUVWSRVW WR
 'HFHPEHUDQG)5(('0$1KROGVLQWHOOHFWXDOSURSHUW\ULJKWVLQFOXGLQJ
 FRS\ULJKWVLQDVXEVWDQWLDOQXPEHURIZRUNVFUHDWHGXQGHUWKH.DW %DUH9HQWXUH
  $WWDFKHGKHUHWRDV([KLELW$DQGLQFRUSRUDWHGKHUHLQE\UHIHUHQFHLVD
 VFUHHQVKRWRIWKH#NDWDQGEDUH,QVWDJUDPSDJHDVRIRQRUDERXW)HEUXDU\
 )5(('0$1ZDVDQGLVDFRDXWKRURIHDFKDQGHYHU\YLGHRSKRWRJUDSKDQGSRVW
 VSHFLILFDOO\PDUNHGDVIXUWKHUGHWDLOHGEHORZLQ)5(('0$1¶6ILUVWFODLPIRUUHOLHI
  ,QDGGLWLRQ)5(('0$1PDGHPDWHULDOFUHDWLYHFRQWULEXWLRQVDVDMRLQW
 DXWKRUWRWKHORRNIHHODQGRUJDQL]DWLRQRIWKHHQWLUHRYHUDOO#NDWDQGEDUH,QVWDJUDP
 SDJHRUIHHG DWWKHYHU\OHDVWDVLWDSSHDUHGWKURXJKDQGXQWLO1RYHPEHU DQG
 )5(('0$1LVWKXVDFRDXWKRUDQGFRRZQHURIWKHFRS\ULJKWLQWKH,QVWDJUDPSDJH
 RUIHHGDVDFRPSLODWLRQZRUN
  7KURXJKRXWKHUWLPHZRUNLQJZLWKWKHQDPHGGHIHQGDQWV)5(('0$1
 QRWRQO\ZRUNHGRQFRPPHUFLDOSURMHFWVIRUFOLHQWVRUIRULQGLYLGXDO.DW %DUHVKRRWV
 EXWVKHDOVRZRUNHGZLWK'¶$/(66,2RQEXLOGLQJWKHRYHUDUFKLQJ.DW %DUHFKDQQHO
 FRQFHSWSDVVLQJEDFNDQGIRUWKEHWZHHQWKHPDPDVWHUFUHDWLYHGHFNWKDWWKH\GHYHORS
 RQDQRQJRLQJEDVLVZLWKDJRDORIHYHQWXDOO\XVLQJLWWRSLWFKWKH.DW %DUH9HQWXUH
 WRFOLHQWV)5(('0$1LVDFRDXWKRURUMRLQWDXWKRUDQGWKXVFRS\ULJKWFRRZQHU
 ZLWK'¶$/(66,2RIWKH.DW %DUHPDVWHUFUHDWLYHGHFNDQGRIPDQ\RWKHUFUHDWLYH
 GHFNVWKDWGHIHQGDQWVXVHGRUDUHVWLOOXVLQJ
  'HIHQGDQWVKDYHDGXW\WRDFFRXQWWR3/$,17,))ZLWKUHVSHFWWRWKHLU
 H[SORLWDWLRQRIDOORIWKHVHZRUNVDQGWKH\KDYHIDLOHGWRGRVR
  8QGHU&DOLIRUQLDSDUWQHUVKLSODZDQGWKHIDFWVKHUH)5(('0$1ZDVDQG
 LVDOVRDJHQHUDOSDUWQHURIWKH.DW %DUH9HQWXUHDQGWKHGHIHQGDQWVDVKHUFR
 SDUWQHUVRZH)5(('0$1YDULRXVGXWLHVLQFOXGLQJDILGXFLDU\GXW\WRDFFRXQWWRKHU
 DERXWWKH9HQWXUH¶VEXVLQHVVDQGILQDQFHVJHQHUDOO\7KH\KDYHQ¶W
 ///

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 80 of 129 Page ID #:80

  ,QWKHDOWHUQDWLYHLI3/$,17,))ZDV³MXVW´WKHGHIHQGDQWV¶HPSOR\HH
 WKHQDOORIWKHGHIHQGDQWVRUFHUWDLQO\DWOHDVWVRPHRIWKHPKDYHFRPPLWWHGQXPHURXV
 HJUHJLRXVRQJRLQJYLRODWLRQRIYDULRXVODZVDQGUHJXODWLRQVLQSODFHIRUWKHSURWHFWLRQ
 RIHPSOR\HHVLQFOXGLQJSURYLVLRQVRIWKH&DOLIRUQLD/DERU&RGHDQG*RYHUQPHQW
 &RGH
  ,WDOVRDSSHDUVOLNHO\QRZWKDWGHIHQGDQWVPD\KDYHVLPSO\GHIUDXGHG
 3/$,17,))IURPWKHRXWVHWRUWKDWVRPHRIWKHPLQWHQGHGWRVRIURPWKHRXWVHWDQG
 WKHRWKHUVXOWLPDWHO\UDWLILHGWKDWIUDXGXOHQWFRQGXFW
  8QGHUDQ\VFHQDULRGHIHQGDQWVKDYHDORWWRDQVZHUIRUWR)5(('0$1
 DQGWKH\GRQ¶WVHHPWRZDQWWR3/$,17,))WKXVQRZVHHNVUHOLHIIURPWKLV&RXUW

 ),567&/$,0)255(/,()
 '(&/$5$725<-8'*0(17$1'$&&2817,1*38568$17727+(
 &23<5,*+7$&7
 (Against All Defendants)
  3/$,17,))UHDOOHJHVDQGLQFRUSRUDWHVKHUHLQE\UHIHUHQFHDOORIWKH
 IRUHJRLQJDQGIROORZLQJSDUDJUDSKVRIWKLV&RPSODLQWDVLIIXOO\VHWIRUWK
  7RWKHH[WHQWDQ\RIWKHDOOHJDWLRQVRUWKHRULHVLQWKLV)LUVW&ODLPIRU
 5HOLHIDUHLQFRQVLVWHQWZLWKRWKHUDOOHJDWLRQVRUWKHRULHVSOHDGLQWKLV&RPSODLQWWKH\
 DUHSOHDGLQWKHDOWHUQDWLYH
  $WWDFKHGKHUHWRDV([KLELW$LVDWUXHDQGFRUUHFWFRS\RIDVFUHHQFDSWXUH
 RIWKH,QVWDJUDPIHHGRUSDJHIRU#NDWDQGEDUHDVWKDWIHHGRUSDJHDSSHDUHGRQRU
 DERXW)HEUXDU\$VFDSWXUHGLQ([KLELW$WKH#NDWDQGEDUH,QVWDJUDPSDJHRU
 IHHGLQFOXGHVSKRWRJUDSKVSKRWRJUDSKLFDOEXPV RU³VZLSHSRVWV´i.e.PXOWL
 SKRWRSRVWV DQGYLGHRVWKDWWKH.DW %DUH9HQWXUHSRVWHGWR,QVWDJUDPEHWZHHQRQRU
 DERXW-XQHDQG)HEUXDU\LQFOXVLYH
  (DFKRIWKHSKRWRJUDSKVGHSLFWHGLQ([KLELW$LQFOXGLQJHDFKRIWKH
 LQGLYLGXDOSKRWRJUDSKVZLWKLQHDFKRIWKHSKRWRJUDSKLFDOEXPVRUVZLSHSRVWVLV

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 81 of 129 Page ID #:81

 ZLWKLQWKHGHILQLWLRQRI³SLFWRULDOJUDSKLFRUVFXOSWXUDOZRUNV´XQGHU86&VHFWLRQ
 DQGHDFKLVDFRS\ULJKWDEOHDQGFRS\ULJKWHGZRUN ³.DWDQG%DUH3RVWHG
 3KRWRJUDSKV´ )RUPRVWRUDOORIWKH.DWDQG%DUH3RVWHG3KRWRJUDSKVWKHUHH[LVW
 DGGLWLRQDOSKRWRJUDSKVWDNHQDWWKHVDPHSKRWRJUDSKLFVKRRWEXWZKLFKKDYHQRWEHHQ
 SRVWHGRQ#NDWDQGEDUHDQGRUKDYHEHHQDUFKLYHGRQ,QVWDJUDPRUVXEVHTXHQWO\
 GHOHWHGIURPWKH#NDWDQGEDUH,QVWDJUDPSDJHVXFKWKDWWKHSKRWRJUDSKVDUHQRW
 GHSLFWHGRQ([KLELW$ WKH³8QSXEOLVKHG.DWDQG%DUH3KRWRJUDSKV´ 3/$,17,))LV
 HLWKHUWKHVROHDXWKRURUDWOHDVWDMRLQWDXWKRURIHDFKRIWKH.DWDQG%DUH3RVWHG
 3KRWRJUDSKVDQGWKHFRUUHVSRQGLQJ8QSXEOLVKHG.DWDQG%DUH3KRWRJUDSKVIRUWKRVH
 SKRWRJUDSKVPDUNHGRQ([KLELW$ZLWKDEOXH;3/$,17,))LVDMRLQWDXWKRURIHDFK
 RIWKH.DWDQG%DUH3RVWHG3KRWRJUDSKVDQGWKHFRUUHVSRQGLQJ8QSXEOLVKHG.DWDQG
 %DUH3KRWRJUDSKVPDUNHGRQ([KLELW$ZLWKDEOXH;ELVHFWHGE\D\HOORZOLQH
 7RJHWKHUWKHPDUNHG.DWDQG%DUH3RVWHG3KRWRJUDSKVDQGWKHFRUUHVSRQGLQJ
 8QSXEOLVKHG.DWDQG%DUH3KRWRJUDSKV WKHSKRWRJUDSKVLQZKLFK3/$,17,))FODLPV
 VROHRUMRLQWDXWKRUVKLS DUHUHIHUUHGWRKHUHLQDVWKH³&ODLPHG3KRWRJUDSKV´
  (DFKRIWKHYLGHRVGHSLFWHGLQ([KLELW$LVZLWKLQWKHGHILQLWLRQRI
 ³DXGLRYLVXDOZRUN´XQGHU86&VHFWLRQDQGHDFKLVDFRS\ULJKWDEOHDQG
 FRS\ULJKWHGZRUN ³.DWDQG%DUH3RVWHG9LGHRV´ )RUPRVWRUDOORIWKH.DWDQG%DUH
 3RVWHG9LGHRVWKHUHH[LVWDGGLWLRQDOYLGHRIRRWDJHHGLWVRUFXWVWDNHQDWWKHVDPH
 YLGHRVKRRWEXWZKLFKKDYHQRWEHHQSRVWHGRQ#NDWDQGEDUHDQGRUKDYHEHHQ
 DUFKLYHGRQ,QVWDJUDPRUVXEVHTXHQWO\GHOHWHGIURPWKH#NDWDQGEDUH,QVWDJUDPSDJH
 VXFKWKDWWKHYLGHRVDUHQRWGHSLFWHGRQ([KLELW$ ³8QSXEOLVKHG.DWDQG%DUH
 9LGHRV´ 3/$,17,))LVHLWKHUWKHVROHDXWKRURUDWOHDVWDMRLQWDXWKRURIHDFKRIWKH
 .DWDQG%DUH3RVWHG9LGHRVDQGWKHFRUUHVSRQGLQJ8QSXEOLVKHG.DWDQG%DUH9LGHRV
 IRUWKRVHYLGHRVPDUNHGRQ([KLELW$ZLWKDEOXH;3/$,17,))LVDMRLQWDXWKRURI
 HDFKRIWKH.DWDQG%DUH3RVWHG9LGHRVDQGWKHFRUUHVSRQGLQJ8QSXEOLVKHG.DWDQG
 %DUH9LGHRVPDUNHGRQ([KLELW$ZLWKDEOXH;ELVHFWHGE\D\HOORZOLQH7RJHWKHU
 WKHPDUNHG.DWDQG%DUH3RVWHG9LGHRVDQGWKHFRUUHVSRQGLQJ8QSXEOLVKHG.DWDQG

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 82 of 129 Page ID #:82

 %DUH9LGHRV WKHYLGHRVLQZKLFK3/$,17,))FODLPVVROHRUMRLQWDXWKRUVKLS DUH


 UHIHUUHGWRKHUHLQDVWKH³&ODLPHG9LGHRV´
  7KHHQWLUH,QVWDJUDPSDJHRUIHHGRI#NDWDQGEDUHLVD³FRPSLODWLRQ´
 ZLWKLQWKHGHILQLWLRQRI86&VHFWLRQDQGLVDFRS\ULJKWDEOHDQGFRS\ULJKWHG
 ZRUN ³([KLELW$.DWDQG%DUH,QVWDJUDP)HHG´ 3/$,17,))LVDMRLQWDXWKRURIWKH
 .DWDQG%DUH,QVWDJUDP)HHG
  (DFKQHZLWHUDWLRQRIWKH,QVWDJUDPSDJHRUIHHGRI#NDWDQGEDUHDVSRVWV
 DUHDGGHGLVD³GHULYDWLYHZRUN´RIWKH([KLELW$.DWDQG%DUH,QVWDJUDP)HHGDQG
 DOVRLWVHOID³FRPSLODWLRQ´DOOZLWKLQVDLGGHILQLWLRQVXQGHU86&VHFWLRQDQG
 LVDFRS\ULJKWDEOHDQGFRS\ULJKWZRUN ³.DWDQG%DUH,QVWDJUDP3DJH,WHUDWLRQV´ 
 3/$,17,))LVDMRLQWDXWKRURIWKH.DWDQG%DUH,QVWDJUDP3DJH,WHUDWLRQVRU
 RWKHUZLVHHQWLWOHGWRDQDFFRXQWLQJUHJDUGLQJWKHPDVGHULYDWLYHZRUNVRIZRUNVLQ
 ZKLFK3/$,17,))LVWKHVROHRUDMRLQWDXWKRU
  9LVXDOSUHVHQWDWLRQGHFNV e.g.3RZHU3RLQWRU.H\QRWHGHFNV DUH
 FRS\ULJKWHGRUFRS\ULJKWDEOHZRUNVZLWKLQRQHRUPRUHFDWHJRULHVRI³ZRUNV´DV
 GHILQHGLQ86&VHFWLRQ3/$,17,))LVWKHVROHDXWKRURUDWOHDVWDMRLQW
 DXWKRURIDWOHDVWWKHIROORZLQJGHFNV DOORIWKHWRJHWKHUKHUH³)UHHGPDQ'HFNV´ 
 D ³.DW %DUH1R-XQH,VVXH&UHDWLYH%ULHI´ DQGLWHUDWLRQVWKHUHRI 
 E ³.DW %DUH1R-XO\,VVXH&UHDWLYH%ULHI´ DQGLWHUDWLRQVWKHUHRI 
 F ³.DW %DUH0RGHOV(DW´ DQGLWHUDWLRQVWKHUHRI 
 G ³.DW %DUH1R$XJXVW,VVXH&UHDWLYH%ULHI´ DQGLWHUDWLRQVWKHUHRI 
 H ³.DW %DUH1R6HSWHPEHU&UHDWLYH%ULHI´ DQGLWHUDWLRQVWKHUHRI 
 I ³.DW %DUH1R,VVXH&UHDWLYH%ULHI´ 2FWREHU&UHDWLYH%ULHI  DQG
 LWHUDWLRQVWKHUHRI 
 J ³7RPRUURZ1HWZRUNV2FWREHU´ DQGLWHUDWLRQVWKHUHRI 
 K ³.DW %DUH1R;,VVXH&UHDWLYH%ULHI´ 1RYHPEHU&UHDWLYH%ULHI  DQG
 LWHUDWLRQVWKHUHRI 
 L ³9LYR3OXV´

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 83 of 129 Page ID #:83

  7RJHWKHUWKH)UHHGPDQ'HFNVWKH&ODLPHG3KRWRJUDSKV&ODLPHG
 9LGHRV([KLELW$.DWDQG%DUH,QVWDJUDP)HHGDQGWKH.DWDQG%DUH,QVWDJUDP3DJH
 ,WHUDWLRQVDUHUHIHUUHGWRKHUHLQDVWKH³&ODLPHG:RUNV´
  3/$,17,))GLGQRWFUHDWHWKHDERYHZRUNVDVWKHHPSOR\HHRIDQ\SHUVRQ
 RUHQWLW\RUDVZRUNVPDGHIRUKLUH3/$,17,))KDVQHYHUDVVLJQHGRUWUDQVIHUUHGWR
 DQ\SHUVRQDQ\RIKHURZQHUVKLSLQWHUHVWLQDQGWRDQ\RIWKH&ODLPHG:RUNV
 7KHUHIRUHSXUVXDQWWRWKH&RS\ULJKW$FW3/$,17,))LVWKHRZQHURUFRRZQHURIWKH
 FRS\ULJKWVLQDQGWRWKH&ODLPHG:RUNVDVDFRQVHTXHQFHRIKHUVROHDXWKRUVKLSRUMRLQW
 DXWKRUVKLS,QWKHDOWHUQDWLYH3/$,17,))LVWKHFRRZQHURIWKHFRS\ULJKWLQDQGWR
 WKH&ODLPHG:RUNVE\RSHUDWLRQRIODZLQWKDWHDFKVXFKFRS\ULJKWLVDSDUWQHUVKLS
 DVVHW
  3/$,17,))LVLQIRUPHGDQGEHOLHYHVDQGRQWKDWEDVLVDOOHJHVWKDWHDFKRI
 WKHGHIHQGDQWVGLVSXWHVWKDW3/$,17,))LVWKHRZQHURUFRRZQHURIVRPHRUDOORIWKH
 &ODLPHG:RUNV
  7KHUHH[LVWVDUHDOFRQWURYHUV\EHWZHHQ3/$,17,))DQGGHIHQGDQWVDVWR
 WKHWUXHRZQHUVKLSRYHUWKH&ODLPHG:RUNVDQGWKLVFRQWURYHUV\LVGHSHQGHQWRQDQ
 LQWHUSUHWDWLRQRI†RIWKH&RS\ULJKW$FWRIDQGWKHGHFLVLRQODZLQWHUSUHWLQJ
 WKDWVWDWXWH
  %\WKLVDFWLRQ3/$,17,))SUD\VWKDWVKHEHDGMXGLFDWHGDVWKHVROHDXWKRU
 DQGVROHRZQHURIDRQHKXQGUHGSHUFHQW  LQWHUHVWRUFRDXWKRUDQGFRRZQHURI
 DQXQGLYLGHGSDUWLDOLQWHUHVWLQDQGWRWKHFRS\ULJKWLQHDFKRIWKH&ODLPHG:RUNV,Q
 DGGLWLRQWRWKHH[WHQWWKDWDQ\GHIHQGDQWVKDYHUHFHLYHGDQ\SURFHHGVRUUHYHQXHVIURP
 WKH&ODLPHG:RUNV3/$,17,))VHHNVDQDFFRXQWLQJRIVDLGSURFHHGVRUUHYHQXHVLQ
 WKHHYHQWWKDWDQ\GHIHQGDQWVKDYHUHFHLYHGDQ\RI3/$,17,))¶6VKDUHRIWKHIUXLWVRU
 SURFHHGVRIHDFKRIWKH&ODLPHG:RUNV
 
 
 

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 84 of 129 Page ID #:84

 6(&21'&/$,0)255(/,()
 '(&/$5$725<-8'*0(1781'(57+(&$/,)251,$5(9,6('
 81,)2503$571(56+,3$&7&$/&253&2'(†et seq.
 (Against Defendants Nicolas Gibbs, Richard D’Alessio, Becky Tahel Bordo, Ryde
 Studios, LLC and Does 1-10)
  3/$,17,))UHDOOHJHVDQGLQFRUSRUDWHVKHUHLQE\UHIHUHQFHDOORIWKH
 IRUHJRLQJDQGIROORZLQJSDUDJUDSKVRIWKLV&RPSODLQWDVLIIXOO\VHWIRUWK
  7RWKHH[WHQWDQ\RIWKHDOOHJDWLRQVRUWKHRULHVLQWKLV6HFRQG&ODLPIRU
 5HOLHIDUHLQFRQVLVWHQWZLWKRWKHUDOOHJDWLRQVRUWKHRULHVSOHDGLQWKLV&RPSODLQWWKH\
 DUHSOHDGLQWKHDOWHUQDWLYH
  3XUVXDQWWR&DO&RUS&RGH† WKH³&DOLIRUQLD5HYLVHG8QLIRUP
 3DUWQHUVKLS$FWRI´RU³WKH&DOLIRUQLD3DUWQHUVKLS$FW´ WKHEXVLQHVVDUUDQJHPHQW
 RI3/$,17,))*,%%6'¶$/(66,2DQG%25'2 DQGSRVVLEO\5<'(678',26 
 FRQVWLWXWHVDSDUWQHUVKLSZKLFKLVWKH.DW %DUH9HQWXUH:KLOHWKHSDUWQHUVKLSGLG
 QRWKDYHDGHILQLWLYHWHUPWKHSDUWQHUVDJUHHGWKDWWKH.DW %DUH9HQWXUHZRXOG
 UHPDLQLQH[LVWHQFHDWOHDVWDVORQJDV5<'(678',26FRXOGVXSSRUWLWDQGDVLWZDV
 FDUU\LQJRQWKHEXVLQHVVRI.DW %DUHLQFOXGLQJZLWKRXWOLPLWDWLRQWKH,QVWDJUDPSDJH
 RUPDJD]LQH#NDWDQGEDUH
  3/$,17,))KDVSHUIRUPHGDOOFRQGLWLRQVFRYHQDQWVDQGSURPLVHV
 UHTXLUHGWREHSHUIRUPHGE\KHULQDFFRUGDQFHZLWKWKHSDUWQHUVKLSDJUHHPHQWDQGRU
 WKH&DOLIRUQLD3DUWQHUVKLS$FW
  3/$,17,))DWWKLVWLPHUHPDLQVDSDUWQHURIWKH.DW %DUH9HQWXUH
 EHFDXVHWKHUHKDVEHHQQRHYHQWWKDWZRXOGFDXVH3/$,17,))¶6GLVDVVRFLDWLRQIURP
 WKH.DW %DUH9HQWXUHXQGHU&DO&RUS&RGH†DQGVSHFLILFDOO\WKH
 DWWHPSWHGH[SXOVLRQRI3/$,17,))ZDVQRWSXUVXDQWWRWKHSDUWQHUVKLSDJUHHPHQW
 XQGHU&DO&RUS&RGH†  
  )XUWKHUPRUHWKHUHKDVEHHQQRHYHQWXQGHU†WKDWZRXOGFDXVHWKH
 SDUWQHUVKLSWREHGLVVROYHGRUZRXQGXS

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 85 of 129 Page ID #:85

  7KHUHIRUH3/$,17,))VHHNVDMXGLFLDOGHFODUDWLRQWKDWVKHUHPDLQVD
 SDUWQHURIWKH.DW %DUH9HQWXUHDQGLVHQWLWOHGWRVKDUHLQWKHSURILWVRIWKH
 SDUWQHUVKLSLQFOXGLQJEXWQRWOLPLWHGWRDOOSURILWVIURPWKHDVVHWVRIWKHSDUWQHUVKLS
 WKDWKDYHEHHQFUHDWHGVRIDU$GHFODUDWRU\MXGJPHQWIURPWKLV&RXUWLVQHFHVVDU\
 EHFDXVH3/$,17,))PDLQWDLQVVKHLVDIXOOSDUWQHURIWKH.DW %DUH9HQWXUHZKLOH
 'HIHQGDQWVKDYHWDNHQWKHSRVLWLRQWKDW3/$,17,))LVQRWDSDUWQHUDQGQRWHQWLWOHGWR
 DQ\VXFKSURILWVRUSURFHHGVEXWUDWKHULVDPHUHLQGHSHQGHQWFRQWUDFWRUZLWKQR
 SDUWQHUVKLSRUHTXLW\LQWHUHVWV
 7+,5'&/$,0)255(/,()
 %5($&+2)&2175$&7
 (Against Defendant Ryde Studios, LLC dba Ryde Studios and dba Kat & Bare,
 Richard D’Alessio and Doe 1)
  3/$,17,))UHDOOHJHVDQGLQFRUSRUDWHVKHUHLQE\UHIHUHQFHDOORIWKH
 IRUHJRLQJDQGIROORZLQJSDUDJUDSKVRIWKLV&RPSODLQWDVLIIXOO\VHWIRUWK
  7RWKHH[WHQWDQ\RIWKHDOOHJDWLRQVRUWKHRULHVLQWKLV7KLUG&ODLPIRU
 5HOLHIDUHLQFRQVLVWHQWZLWKRWKHUDOOHJDWLRQVRUWKHRULHVSOHDGLQWKLV&RPSODLQWWKH\
 DUHSOHDGLQWKHDOWHUQDWLYH
  ,QRUDERXW0D\DQGDVVXEVHTXHQWO\PRGLILHGE\WKHSDUWLHV
 3/$,17,))HQWHUHGLQWRDYDOLGDQGHQIRUFHDEOHRUDOFRQWUDFWRULPSOLHGLQIDFW
 FRQWUDFWZLWKGHIHQGDQW5<'(678',26 DQGRUZLWKWKHRWKHUGHIHQGDQWVWRWKLV
 FODLPIRUUHOLHIHLWKHUDVWKHDOWHUHJRVRI5<'(678',26RUDVWKHPVHOYHVWKH
 FRQWUDFWLQJSDUW\RUSDUWLHVZLWK3/$,17,)) ZLWKDWOHDVWWKHIROORZLQJHVVHQWLDO
 WHUPV
 D 3/$,17,))ZRXOGPDNHKHUVHOIDYDLODEOHWRSHUIRUPDQGZRXOGVHUYLFHV
 IRUGHIHQGDQWVDVDVW\OLVWDUWGLUHFWRUDQGRWKHUFUHDWLYHDQGEXVLQHVV
 VHUYLFHVRQHVVHQWLDOO\DWOHDVWDIXOOWLPHEDVLVLQFOXGLQJ3/$,17,))
 FHDVLQJWRSXUVXHKHULQGHSHQGHQWVW\OLVWDQGIDVKLRQFRQVXOWDQWZRUNIRU
 RWKHUFOLHQWVDIWHUILQLVKLQJDVPDOOVHWRISURMHFWVIRUVXFKFOLHQWV

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 86 of 129 Page ID #:86

 E 3/$,17,))ZRXOGFRQWULEXWHKHUEXVLQHVVFRQWDFWVIRUGHIHQGDQWV¶XVHLQ
 WKHZRUNRIWKH9HQWXUHLQFOXGLQJDWOHDVW3/$,17,))¶6FRQWDFWVZLWK
 PRGHOVLQIOXHQFHUVPRGHODQGLQIOXHQFHUUHSUHVHQWDWLYHVDQGKDLUDQG
 PDNHXSWHDPV
 F 3/$,17,))ZRXOGOHYHUDJHRUIDFLOLWDWHGHIHQGDQWVLQOHYHUDJLQJ
 3/$,17,))¶6HVWDEOLVKHGJRRGZLOOLQWKHLQGXVWU\DQGZLWKWKHSXEOLF
 LQFOXGLQJ3/$,17,))¶6,QVWDJUDPIROORZLQJRIWHQVRIWKRXVDQGVRI
 IROORZHUVIRUWKHGHYHORSPHQWDQGEHQHILWRIWKH9HQWXUH
 G 3/$,17,))ZRXOGIDFLOLWDWHGHIHQGDQWV¶LQHVWDEOLVKLQJEXVLQHVV
 UHODWLRQVKLSVZLWKPRGHOVLQIOXHQFHUVSKRWRJUDSKHUVWDOHQW
 UHSUHVHQWDWLYHVKDLUDQGPDNHXSWHDPVDQGRWKHUUHVRXUFHVIRUWKH
 SXUSRVHRIEXLOGLQJ5<'(678',26DQGWKH9HQWXUH
 H 5<'(678',26ZRXOGKLUH3/$,17,))RQDIXOOWLPHEDVLV
 I $VDSRUWLRQRIKHUFRPSHQVDWLRQGHIHQGDQWVZRXOGSD\3/$,17,))D
 PRQWKO\FDVKIHHWKDWVWDUWHGDVIRUDSRUWLRQRI0D\
 LQFUHDVHGWRDPRQWKIRU-XQH-XO\DQG$XJXVWDQGODWHU
 LQFUHDVHGWRSHUPRQWKVWDUWLQJ6HSWHPEHUDQGJXDUDQWHHG
 WKURXJKDWOHDVW'HFHPEHU
 J 'HIHQGDQWVZRXOGQRWWHUPLQDWH3/$,17,))RUH[FOXGHKHUIURPWKH
 EXVLQHVVZLWKRXWJRRGFDXVH
 K 3/$,17,))ZDVWRUHFHLYHDQHTXLW\LQWHUHVWLQ5<'(678',26DQGRU
 WKH9HQWXUHDQG5<'(678',26SURPLVHGWRSURYLGHDQHTXLW\SDFNDJH
 IRU3/$,17,))¶VUHYLHZ
 L $VLJQLILFDQWSDUWRI3/$,17,))¶VGXWLHVDV$UW'LUHFWRUZDVWRODXQFK
 WKH.DW %DUH9HQWXUHDQGEXLOG.DW %DUHDVDEUDQGFKDQQHODQG
 SODWIRUPDQGLQFOXGLQJLQFRQVLGHUDWLRQRIWKHSHUIRUPDQFHRIWKHVHGXWLHV
 )5(('0$1ZDVWREHDIXOOSDUWQHUZLWK*,%%6'¶$/(66,2DQGRU
 %25'2LQWKH.DW %DUH9HQWXUH

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 87 of 129 Page ID #:87

 M 3/$,17,))ZDVWRKROGWKHWLWOHRI$UW'LUHFWRUIRU5<'(678',26
 DQGWKH9HQWXUHDQGWKHWLWOHZDVWREHQRWPHUHO\QRPLQDOEXW
 3/$,17,))ZDVLQIDFWWRVHUYHDV$UW'LUHFWRUIRU5<'(678',26DQG
 WKH9HQWXUH
 N 7KHFRQWUDFWFRQWDLQHGQRZRUNPDGHIRUKLUHSURYLVLRQUHODWLQJWR
 LQWHOOHFWXDOSURSHUW\DQGQRQHZDVHYHUGLVFXVVHG
 O 'HIHQGDQWVZHUHWRSURYLGH3/$,17,))ZLWKRSSRUWXQLWLHVWRZRUN
 FORVHO\ZLWK'¶$/(66,2RQSURMHFWVLQFOXGLQJZLWKRXWOLPLWDWLRQRQ
 FRPPHUFLDOGLUHFWLQJSURMHFWVRXWVLGHWKHIDVKLRQLQGXVWU\VRWKDW
 3/$,17,))FRXOGOHDUQWKHFRPPHUFLDOGLUHFWLQJSURIHVVLRQTXDOLI\IRU
 '*$PHPEHUVKLSDQGFRUUHVSRQGLQJKHDOWKEHQHILWVHDUQFUHGLWVRQ
 FRPPHUFLDOGLUHFWLQJSURMHFWVDQGHDUQIHHVVSHFLILFWRFRPPHUFLDO
 SURMHFWV
 P3/$,17,))ZDVWRUHFHLYHLQGLYLGXDOFUHGLWIRUKHUFUHDWLYHZRUN
 LQFOXGLQJLQRQSRVWWDJV
 Q 'HIHQGDQWVZRXOGWUHDW3/$,17,))DVDSDUWQHUDQGNHHSKHULQIRUPHG
 DQGDFFRXQWWRKHUDVWRWKHVWDWHRIWKHEXVLQHVVILQDQFLDOSHUIRUPDQFH
 EXVLQHVVRSSRUWXQLWLHVDQGRWKHUDVSHFWVRIWKHEXVLQHVVDQGZRXOGQRW
 H[FOXGH3/$,17,))RUNHHSVXEVWDQWLDOEXVLQHVVVHFUHWVIURPKHU
 R 'HIHQGDQWVZRXOGWUHDW3/$,17,))¶6SUHH[LVWLQJEXVLQHVVUHODWLRQVKLSV
 ZLWKFDUHVXFKWKDW3/$,17,))¶6UHODWLRQVKLSVDQGUHSXWDWLRQZRXOGQRW
 EHXQGXO\GDPDJHGE\3/$,17,))FRQQHFWLQJ'HIHQGDQWVZLWK
 3/$,17,))¶6FRQWDFWVDQGUHVRXUFHV
  7RWKHH[WHQWDQ\SRUWLRQRIWKHFRQWUDFWLVRUZDVLQYDOLGRU
 XQHQIRUFHDEOHWKHUHPDLQLQJSRUWLRQVRIWKHFRQWUDFWDUHVHYHUDEOHVXFKWKDW
 3/$,17,))KDGDQGKDVDYDOLGDQGHQIRUFHDEOHFRQWUDFWZLWK5<'(678',26
  3/$,17,))FRPSOHWHO\RUVXEVWDQWLDOO\SHUIRUPHGDOOFRQGLWLRQV
 FRYHQDQWVDQGSURPLVHVUHTXLUHGRQKHUSDUWWREHSHUIRUPHGLQDFFRUGDQFHZLWKWKH

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 88 of 129 Page ID #:88

 FRQWUDFWH[FHSWWRWKHH[WHQWWKDWVXFKREOLJDWLRQVKDYHEHHQH[FXVHGRUGHIHQGDQWV
 SUHYHQWHG3/$,17,))IURPSHUIRUPLQJWKHPDQGDOOFRQGLWLRQVSUHFHGHQWWR
 GHIHQGDQW¶VREOLJDWLRQVWKDW3/$,17,))VHHNVWRHQIRUFHKHUHLQKDYHHLWKHUEHHQ
 VDWLVILHGH[FXVHGRUZDLYHG
  :LWKLQWKHODVWWZR\HDUVGHIHQGDQWVPDWHULDOO\EUHDFKHGWKHFRQWUDFWZLWK
 3/$,17,))LQDWOHDVWWKHIROORZLQJZD\V
 D )DLOLQJDQGUHIXVLQJWRSD\3/$,17,))KHUPRQWKO\FDVKFRPSHQVDWLRQRI
 PRQWKVLQFHPLG2FWREHUDQGWKURXJKDWOHDVW'HFHPEHU
 ZLWKDPRXQWVRZLQJIRUWKLVLWHPRIFRPSHQVDWLRQWRWDOLQJDW
 OHDVW
 E )DLOLQJWRSURYLGH)5(('0$1ZLWKZRUNRQFRPPHUFLDOGLUHFWLQJ
 SURMHFWVERWKWRTXDOLI\IRU'*$PHPEHUVKLSDQGIRUIHHVFUHGLWVDQG
 H[SHULHQFH
 F )DLOLQJWRSURYLGH)5(('0$1ZLWKDQ\HTXLW\SDFNDJHLQ5<'(
 678',26DQGRUWKH9HQWXUH
 G $FWXDOO\RUFRQVWUXFWLYHO\WHUPLQDWLQJ)5(('0$1¶VFRQWUDFWXDO
 UHODWLRQVKLSZLWK5<'(678',26ZLWKRXWJRRGFDXVHDQGZRUVHGXHWR
 3/$,17,))¶VDFWRIGLVFORVHKHUIHORQ\UDSHDQGIDOVHLPSULVRQPHQWE\
 :HVWZLFN
 H $FWXDOO\RUFRQVWUXFWLYHO\WHUPLQDWLQJ)5(('0$1¶VSDUWQHUVKLS
 UHODWLRQVKLSZLWKWKH.DW %DUH9HQWXUHDQGGHQ\LQJKHUSDUWQHUVKLS
 VWDWXVLQWKH.DW %DUH9HQWXUH
 I )DLOLQJRUUHIXVLQJWRFUHGLW)5(('0$1DSSURSULDWHO\IRUKHUFUHDWLYH
 ZRUN
 J ([FOXGLQJ)5(('0$1IURPEXVLQHVVRSSRUWXQLWLHVRI5<'(678',26
 DQGRUWKH9HQWXUHDQG
 K )DLOLQJWRH[HUFLVHDSSURSULDWHDQGUHDVRQDEOHFDUHLQUHODWLQJWR
 )5(('0$1¶6EXVLQHVVFRQWDFWVSURYLGHGWRWKH9HQWXUH

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 89 of 129 Page ID #:89

  3/$,17,))LVLQIRUPHGDQGEHOLHYHVDQGWKHUHRQDOOHJHVWKDWGHIHQGDQWV¶
 EUHDFKHVGDPDJHG)5(('0$1LQDQDPRXQWWREHSURYHQDWWULDOEXWEHOLHYHGWREH
 LQH[FHVVRI
  3/$,17,))LVLQIRUPHGDQGEHOLHYHVDQGWKHUHRQDOOHJHVWKDWGXULQJWKH
 RSHUDWLRQRI5<'(678',26WKH9HQWXUH'RHDQG'¶$/(66,2¶6FRPPHUFLDO
 GLUHFWLQJZRUNWKHVHWKUHH RUIRXU EXVLQHVVHQWLWLHV WRWKHH[WHQWWKH\DUHDWDOOHYHQ
 FODLPHGWREHVHSDUDWH VKDUHGPDQ\UHVRXUFHVVXFKDVRIILFHVSDFHVXSSOLHVDQG
 XWLOLWLHV7KHHPSOR\HHVRI5<'(678',26SURYLGHGVHUYLFHVWRWKH9HQWXUHDQGWR
 '¶$/(66,2DQG'RHDQGYLFHYHUVD3/$,17,))LVLQIRUPHGDQGEHOLHYHVDQG
 WKHUHRQDOOHJHVWKDWDWDOOWLPHV'¶$/(66,2KHOGVXEVWDQWLDORZQHUVKLSLQWHUHVWVLQ
 HDFKRIWKHVHHQWLWLHVDQGZDVDQRIILFHUGLUHFWRUDQGRUPDQDJLQJPHPEHURIHDFKRI
 WKHPVXFKWKDW'¶$/(66,2KDVKDGWKHHIIHFWLYHSRZHUDQGDXWKRULW\WRFRQWURODOO
 WKUHH RUIRXU HQWLWLHV
  3/$,17,))LVLQIRUPHGDQGEHOLHYHVDQGWKHUHRQDOOHJHVWKDW
 '¶$/(66,2DQGRU'RHFDXVHGWKHILQDQFHVDQGRWKHUUHVRXUFHVRIDOOWKUHH RUIRXU 
 HQWLWLHVWREHLQWHUPLQJOHGDQGWUHDWHGDVRQHHQWLW\ZLWKWKHSXUSRVHRIVHUYLQJWKH
 QHHGVLQWHUHVWVDQGGHVLUHVRI'¶$/(66,2LQFRQVLVWHQWDQGRQJRLQJGLVUHJDUGIRUWKH
 FRUSRUDWHIRUPVRIWKHHQWLWLHV3/$,17,))LVLQIRUPHGDQGEHOLHYHVDQGWKHUHRQ
 DOOHJHVWKDW'¶$/(66,2FDXVHGRUUDWLILHGEXVLQHVVSUDFWLFHVZKHUHE\WKHWKUHH RU
 IRXU HQWLWLHVIDLOHGWRREVHUYHFRUSRUDWHIRUPDOLWLHVLQFOXGLQJZLWKRXWOLPLWDWLRQIDLOLQJ
 WRNHHSPLQXWHVIURPERDUGPHHWLQJVDQGIDLOLQJWRQRWLI\VKDUHKROGHUVDQGRWKHUHTXLW\
 KROGHUVRIERDUGPHHWLQJVDQGIDLOLQJWRUHFRUGWKHHTXLW\LQWHUHVWVRIERWKDFWXDODQG
 SURPLVHGHTXLW\KROGHUVLQFOXGLQJ3/$,17,))3/$,17,))LVLQIRUPHGDQGEHOLHYHV
 DQGWKHUHRQDOOHJHVWKDW'¶$/(66,2DQG'RHFRQGXFWHGWKHEXVLQHVVRIWKHWKUHH RU
 IRXU HQWLWLHVIRUWKHLURZQSHUVRQDOEHQHILWDQGDWWKHH[SHQVHRIWKHHQWLWLHVDQGWKH
 HQWLWLHV¶HTXLW\KROGHUV7KHVHDFWVGHPRQVWUDWHDXQLW\RILQWHUHVWEHWZHHQ
 '¶$/(66,2DQGRU'RHRQWKHRQHKDQGDQG5<'(678',26DQGWKH9HQWXUHRQ
 WKHRWKHUKDQGRUDPRQJDOORIWKHPVXFKWKDWWKHOHJDOILFWLRQRIWKHVHEXVLQHVV

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 90 of 129 Page ID #:90

 HQWLWLHVDVVHSDUDWHOHJDOHQWLWLHVFHDVHVWRH[LVW$FFRUGLQJO\DQ\OLDELOLW\RI
 '¶$/(66,25<'(678',26WKH9HQWXUHDQGRU'RHVKRXOGEHERUQHMRLQWO\DQG
 HTXDOO\E\HDFKRIWKHPDVLIWKH\ZHUHWKHVDPH
  $FFRUGLQJO\HLWKHU'¶$/(66,2WKH9HQWXUHDQGRU'RHDUHWKHWUXH
 FRQWUDFWLQJSDUWLHV RUDGGLWLRQDOFRQWUDFWLQJSDUWLHV WRWKHDERYHGHVFULEHGFRQWUDFWRU
 WKH\DUHOLDEOHIRUWKHFRQWUDFWXDOREOLJDWLRQVDQGEUHDFKHVRI5<'(678',26DVLI
 WKH\ZHUHSXUVXDQWWRDOWHUHJRGRFWULQH
  $VDUHVXOWRIGHIHQGDQWV¶FRQGXFWGHIHQGDQWVDUHOLDEOHWR3/$,17,))
 IRUJHQHUDOGDPDJHVVSHFLDOGDPDJHVSUHMXGJPHQWLQWHUHVWFRVWVRIVXLWDQGVXFK
 RWKHUUHOLHIDVPD\EHMXVW
 )2857+&/$,0)255(/,()
 %5($&+2)7+(,03/,('&29(1$172)*22')$,7+$1')$,5
 '($/,1*
 (Against Defendants Ryde Studios, LLC, Richard D’Alessio and Doe 1)
  3/$,17,))UHDOOHJHVDQGLQFRUSRUDWHVKHUHLQE\UHIHUHQFHDOORIWKH
 IRUHJRLQJDQGIROORZLQJSDUDJUDSKVRIWKLV&RPSODLQWDVLIIXOO\VHWIRUWK
  7RWKHH[WHQWDQ\RIWKHDOOHJDWLRQVRUWKHRULHVLQWKLV)RXUWK&ODLPIRU
 5HOLHIDUHLQFRQVLVWHQWZLWKRWKHUDOOHJDWLRQVRUWKHRULHVSOHDGLQWKLV&RPSODLQWWKH\
 DUHSOHDGLQWKHDOWHUQDWLYH
  ,QRUDERXW0D\DQGDVVXEVHTXHQWO\PRGLILHGE\WKHSDUWLHV
 3/$,17,))HQWHUHGLQWRDYDOLGDQGHQIRUFHDEOHRUDOFRQWUDFWRULPSOLHGLQIDFW
 FRQWUDFWZLWKGHIHQGDQW5<'(678',26 DQGRUZLWKWKHRWKHUGHIHQGDQWVWRWKLV
 FODLPIRUUHOLHIHLWKHUDVWKHDOWHUHJRVRI5<'(678',26RUDVWKHPVHOYHVWKH
 FRQWUDFWLQJSDUW\RUSDUWLHVZLWK3/$,17,)) ZLWKDWOHDVWWKHIROORZLQJHVVHQWLDO
 WHUPV
 D 3/$,17,))ZRXOGPDNHKHUVHOIDYDLODEOHWRSHUIRUPDQGZRXOGVHUYLFHV
 IRUGHIHQGDQWVDVDVW\OLVWDUWGLUHFWRUDQGRWKHUFUHDWLYHDQGEXVLQHVV
 VHUYLFHVRQHVVHQWLDOO\DWOHDVWDIXOOWLPHEDVLVLQFOXGLQJ3/$,17,))

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 91 of 129 Page ID #:91

 FHDVLQJWRSXUVXHKHULQGHSHQGHQWVW\OLVWDQGIDVKLRQFRQVXOWDQWZRUNIRU
 RWKHUFOLHQWVDIWHUILQLVKLQJDVPDOOVHWRISURMHFWVIRUVXFKFOLHQWV
 E 3/$,17,))ZRXOGFRQWULEXWHKHUEXVLQHVVFRQWDFWVIRUGHIHQGDQWV¶XVHLQ
 WKHZRUNRIWKH9HQWXUHLQFOXGLQJDWOHDVW3/$,17,))¶6FRQWDFWVZLWK
 PRGHOVLQIOXHQFHUVPRGHODQGLQIOXHQFHUUHSUHVHQWDWLYHVDQGKDLUDQG
 PDNHXSWHDPV
 F 3/$,17,))ZRXOGOHYHUDJHRUIDFLOLWDWHGHIHQGDQWVLQOHYHUDJLQJ
 3/$,17,))¶6HVWDEOLVKHGJRRGZLOOLQWKHLQGXVWU\DQGZLWKWKHSXEOLF
 LQFOXGLQJ3/$,17,))¶6,QVWDJUDPIROORZLQJRIWHQVRIWKRXVDQGVRI
 IROORZHUVIRUWKHGHYHORSPHQWDQGEHQHILWRIWKH9HQWXUH
 G 3/$,17,))ZRXOGIDFLOLWDWHGHIHQGDQWV¶LQHVWDEOLVKLQJEXVLQHVV
 UHODWLRQVKLSVZLWKPRGHOVLQIOXHQFHUVSKRWRJUDSKHUVWDOHQW
 UHSUHVHQWDWLYHVKDLUDQGPDNHXSWHDPVDQGRWKHUUHVRXUFHVIRUWKH
 SXUSRVHRIEXLOGLQJ5<'(678',26DQGWKH9HQWXUH
 H 5<'(678',26ZRXOGKLUH3/$,17,))RQDIXOOWLPHEDVLV
 I $VDSRUWLRQRIKHUFRPSHQVDWLRQGHIHQGDQWVZRXOGSD\3/$,17,))D
 PRQWKO\FDVKIHHWKDWVWDUWHGDVIRUDSRUWLRQRI0D\
 LQFUHDVHGWRDPRQWKIRU-XQH-XO\DQG$XJXVWDQGODWHU
 LQFUHDVHGWRSHUPRQWKVWDUWLQJ6HSWHPEHUDQGJXDUDQWHHG
 WKURXJKDWOHDVW'HFHPEHU
 J 'HIHQGDQWVZRXOGQRWWHUPLQDWH3/$,17,))RUH[FOXGHKHUIURPWKH
 EXVLQHVVZLWKRXWJRRGFDXVH
 K 3/$,17,))ZDVWRUHFHLYHDQHTXLW\LQWHUHVWLQ5<'(678',26DQGRU
 WKH9HQWXUHDQG5<'(678',26SURPLVHGWRSURYLGHDQHTXLW\SDFNDJH
 IRU3/$,17,))¶VUHYLHZ
 L $VLJQLILFDQWSDUWRI3/$,17,))¶VGXWLHVDV$UW'LUHFWRUZDVWRODXQFK
 WKH.DW %DUH9HQWXUHDQGEXLOG.DW %DUHDVDEUDQGFKDQQHODQG
 SODWIRUPDQGLQFOXGLQJLQFRQVLGHUDWLRQRIWKHSHUIRUPDQFHRIWKHVHGXWLHV

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 92 of 129 Page ID #:92

 )5(('0$1ZDVWREHDIXOOSDUWQHUZLWK*,%%6'¶$/(66,2DQGRU
 %25'2LQWKH.DW %DUH9HQWXUH
 M 3/$,17,))ZDVWRKROGWKHWLWOHRI$UW'LUHFWRUIRU5<'(678',26
 DQGWKH9HQWXUHDQGWKHWLWOHZDVWREHQRWPHUHO\QRPLQDOEXW
 3/$,17,))ZDVLQIDFWWRVHUYHDV$UW'LUHFWRUIRU5<'(678',26DQG
 WKH9HQWXUH
 N 7KHFRQWUDFWFRQWDLQHGQRZRUNPDGHIRUKLUHSURYLVLRQUHODWLQJWR
 LQWHOOHFWXDOSURSHUW\DQGQRQHZDVHYHUGLVFXVVHG
 O 'HIHQGDQWVZHUHWRSURYLGH3/$,17,))ZLWKRSSRUWXQLWLHVWRZRUN
 FORVHO\ZLWK'¶$/(66,2RQSURMHFWVLQFOXGLQJZLWKRXWOLPLWDWLRQRQ
 FRPPHUFLDOGLUHFWLQJSURMHFWVRXWVLGHWKHIDVKLRQLQGXVWU\VRWKDW
 3/$,17,))FRXOGOHDUQWKHFRPPHUFLDOGLUHFWLQJSURIHVVLRQTXDOLI\IRU
 '*$PHPEHUVKLSDQGFRUUHVSRQGLQJKHDOWKEHQHILWVHDUQFUHGLWVRQ
 FRPPHUFLDOGLUHFWLQJSURMHFWVDQGHDUQIHHVVSHFLILFWRFRPPHUFLDO
 SURMHFWV
 P3/$,17,))ZDVWRUHFHLYHLQGLYLGXDOFUHGLWIRUKHUFUHDWLYHZRUN
 LQFOXGLQJLQRQSRVWWDJV
 Q 'HIHQGDQWVZRXOGWUHDW3/$,17,))DVDSDUWQHUDQGNHHSKHULQIRUPHG
 DQGDFFRXQWWRKHUDVWRWKHVWDWHRIWKHEXVLQHVVILQDQFLDOSHUIRUPDQFH
 EXVLQHVVRSSRUWXQLWLHVDQGRWKHUDVSHFWVRIWKHEXVLQHVVDQGZRXOGQRW
 H[FOXGH3/$,17,))RUNHHSVXEVWDQWLDOEXVLQHVVVHFUHWVIURPKHU
 R 'HIHQGDQWVZRXOGWUHDW3/$,17,))¶6SUHH[LVWLQJEXVLQHVVUHODWLRQVKLSV
 ZLWKFDUHVXFKWKDW3/$,17,))¶6UHODWLRQVKLSVDQGUHSXWDWLRQZRXOGQRW
 EHXQGXO\GDPDJHGE\3/$,17,))FRQQHFWLQJ'HIHQGDQWVZLWK
 3/$,17,))¶6FRQWDFWVDQGUHVRXUFHV
  7RWKHH[WHQWDQ\SRUWLRQRIWKHFRQWUDFWLVRUZDVLQYDOLGRU
 XQHQIRUFHDEOHWKHUHPDLQLQJSRUWLRQVRIWKHFRQWUDFWDUHVHYHUDEOHVXFKWKDW
 3/$,17,))KDGDQGKDVDYDOLGDQGHQIRUFHDEOHFRQWUDFWZLWK5<'(678',26

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 93 of 129 Page ID #:93

  ,QDGGLWLRQWRDOORIWKHDERYHWHUPVWKHFRQWUDFWDOVRFRQWDLQHGDQGZDV
 VXEMHFWWRWKHLPSOLHGFRYHQDQWRIJRRGIDLWKDQGIDLUGHDOLQJDSSOLFDEOHWRDOOFRQWUDFWV
 JRYHUQHGE\&DOLIRUQLDODZDVWKLVFRQWUDFWZDVDQGLV
  3/$,17,))FRPSOHWHO\RUVXEVWDQWLDOO\SHUIRUPHGDOOFRQGLWLRQV
 FRYHQDQWVDQGSURPLVHVUHTXLUHGRQKHUSDUWWREHSHUIRUPHGLQDFFRUGDQFHZLWKWKH
 FRQWUDFWH[FHSWWRWKHH[WHQWWKDWVXFKREOLJDWLRQVKDYHEHHQH[FXVHGRUGHIHQGDQWV
 SUHYHQWHG3/$,17,))IURPSHUIRUPLQJWKHPDQGDOOFRQGLWLRQVSUHFHGHQWWR
 GHIHQGDQW¶VREOLJDWLRQVWKDW3/$,17,))VHHNVWRHQIRUFHKHUHLQKDYHHLWKHUEHHQ
 VDWLVILHGH[FXVHGRUZDLYHG
  :LWKLQWKHODVWWZR\HDUVGHIHQGDQWVPDWHULDOO\EUHDFKHGWKHFRQWUDFW¶V
 LPSOLHGFRYHQDQWRIJRRGIDLWKDQGIDLUGHDOLQJLQDWOHDVWWKHIROORZLQJZD\V
 D )DLOLQJDQGUHIXVLQJWRSD\3/$,17,))KHUPRQWKO\FDVKFRPSHQVDWLRQRI
 PRQWKVLQFHPLG2FWREHUDQGWKURXJKDWOHDVW'HFHPEHU
 ZLWKDPRXQWVRZLQJIRUWKLVLWHPRIFRPSHQVDWLRQWRWDOLQJDW
 OHDVW
 E )DLOLQJWRSURYLGH)5(('0$1ZLWKZRUNRQFRPPHUFLDOGLUHFWLQJ
 SURMHFWVERWKWRTXDOLI\IRU'*$PHPEHUVKLSDQGIRUIHHVFUHGLWVDQG
 H[SHULHQFH
 F )DLOLQJWRSURYLGH)5(('0$1ZLWKDQ\HTXLW\SDFNDJHLQ5<'(
 678',26DQGRUWKH9HQWXUH
 G $FWXDOO\RUFRQVWUXFWLYHO\WHUPLQDWLQJ)5(('0$1¶VFRQWUDFWXDO
 UHODWLRQVKLSZLWK5<'(678',26ZLWKRXWJRRGFDXVHDQGZRUVHGXHWR
 3/$,17,))¶VDFWRIGLVFORVHKHUIHORQ\UDSHDQGIDOVHLPSULVRQPHQWE\
 :HVWZLFN
 H $FWXDOO\RUFRQVWUXFWLYHO\WHUPLQDWLQJ)5(('0$1¶VSDUWQHUVKLS
 UHODWLRQVKLSZLWKWKH.DW %DUH9HQWXUHDQGGHQ\LQJKHUSDUWQHUVKLS
 VWDWXVLQWKH.DW %DUH9HQWXUH
 I )DLOLQJRUUHIXVLQJWRFUHGLW)5(('0$1DSSURSULDWHO\IRUKHUFUHDWLYH

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 94 of 129 Page ID #:94

 ZRUN
 J ([FOXGLQJ)5(('0$1IURPEXVLQHVVRSSRUWXQLWLHVRI5<'(678',26
 DQGRUWKH9HQWXUHDQG
 K )DLOLQJWRH[HUFLVHDSSURSULDWHDQGUHDVRQDEOHFDUHLQUHODWLQJWR
 )5(('0$1¶6EXVLQHVVFRQWDFWVSURYLGHGWRWKH9HQWXUH
  3/$,17,))LVLQIRUPHGDQGEHOLHYHVDQGWKHUHRQDOOHJHVWKDWGHIHQGDQWV¶
 EUHDFKHVGDPDJHG)5(('0$1LQDQDPRXQWWREHSURYHQDWWULDOEXWEHOLHYHGWREH
 LQH[FHVVRI
  3/$,17,))LVLQIRUPHGDQGEHOLHYHVDQGWKHUHRQDOOHJHVWKDWGXULQJWKH
 RSHUDWLRQRI5<'(678',26WKH9HQWXUH'RHDQG'¶$/(66,2¶6FRPPHUFLDO
 GLUHFWLQJZRUNWKHVHWKUHH RUIRXU EXVLQHVVHQWLWLHV WRWKHH[WHQWWKH\DUHDWDOOHYHQ
 FODLPHGWREHVHSDUDWH VKDUHGPDQ\UHVRXUFHVVXFKDVRIILFHVSDFHVXSSOLHVDQG
 XWLOLWLHV7KHHPSOR\HHVRI5<'(678',26SURYLGHGVHUYLFHVWRWKH9HQWXUHDQGWR
 '¶$/(66,2DQG'RHDQGYLFHYHUVD3/$,17,))LVLQIRUPHGDQGEHOLHYHVDQG
 WKHUHRQDOOHJHVWKDWDWDOOWLPHV'¶$/(66,2KHOGVXEVWDQWLDORZQHUVKLSLQWHUHVWVLQ
 HDFKRIWKHVHHQWLWLHVDQGZDVDQRIILFHUGLUHFWRUDQGRUPDQDJLQJPHPEHURIHDFKRI
 WKHPVXFKWKDW'¶$/(66,2KDVKDGWKHHIIHFWLYHSRZHUDQGDXWKRULW\WRFRQWURODOO
 WKUHH RUIRXU HQWLWLHV
  3/$,17,))LVLQIRUPHGDQGEHOLHYHVDQGWKHUHRQDOOHJHVWKDW
 '¶$/(66,2DQGRU'RHFDXVHGWKHILQDQFHVDQGRWKHUUHVRXUFHVRIDOOWKUHH RUIRXU 
 HQWLWLHVWREHLQWHUPLQJOHGDQGWUHDWHGDVRQHHQWLW\ZLWKWKHSXUSRVHRIVHUYLQJWKH
 QHHGVLQWHUHVWVDQGGHVLUHVRI'¶$/(66,2LQFRQVLVWHQWDQGRQJRLQJGLVUHJDUGIRUWKH
 FRUSRUDWHIRUPVRIWKHHQWLWLHV3/$,17,))LVLQIRUPHGDQGEHOLHYHVDQGWKHUHRQ
 DOOHJHVWKDW'¶$/(66,2FDXVHGRUUDWLILHGEXVLQHVVSUDFWLFHVZKHUHE\WKHWKUHH RU
 IRXU HQWLWLHVIDLOHGWRREVHUYHFRUSRUDWHIRUPDOLWLHVLQFOXGLQJZLWKRXWOLPLWDWLRQIDLOLQJ
 WRNHHSPLQXWHVIURPERDUGPHHWLQJVDQGIDLOLQJWRQRWLI\VKDUHKROGHUVDQGRWKHUHTXLW\
 KROGHUVRIERDUGPHHWLQJVDQGIDLOLQJWRUHFRUGWKHHTXLW\LQWHUHVWVRIERWKDFWXDODQG
 SURPLVHGHTXLW\KROGHUVLQFOXGLQJ3/$,17,))3/$,17,))LVLQIRUPHGDQGEHOLHYHV

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 95 of 129 Page ID #:95

 DQGWKHUHRQDOOHJHVWKDW'¶$/(66,2DQG'RHFRQGXFWHGWKHEXVLQHVVRIWKHWKUHH RU
 IRXU HQWLWLHVIRUWKHLURZQSHUVRQDOEHQHILWDQGDWWKHH[SHQVHRIWKHHQWLWLHVDQGWKH
 HQWLWLHV¶HTXLW\KROGHUV7KHVHDFWVGHPRQVWUDWHDXQLW\RILQWHUHVWEHWZHHQ
 '¶$/(66,2DQGRU'RHRQWKHRQHKDQGDQG5<'(678',26DQGWKH9HQWXUHRQ
 WKHRWKHUKDQGRUDPRQJDOORIWKHPVXFKWKDWWKHOHJDOILFWLRQRIWKHVHEXVLQHVV
 HQWLWLHVDVVHSDUDWHOHJDOHQWLWLHVFHDVHVWRH[LVW$FFRUGLQJO\DQ\OLDELOLW\RI
 '¶$/(66,25<'(678',26WKH9HQWXUHDQGRU'RHVKRXOGEHERUQHMRLQWO\DQG
 HTXDOO\E\HDFKRIWKHPDVLIWKH\ZHUHWKHVDPH
  $FFRUGLQJO\HLWKHU'¶$/(66,2WKH9HQWXUHDQGRU'RHDUHWKHWUXH
 FRQWUDFWLQJSDUWLHV RUDGGLWLRQDOFRQWUDFWLQJSDUWLHV WRWKHDERYHGHVFULEHGFRQWUDFWRU
 WKH\DUHOLDEOHIRUWKHFRQWUDFWXDOREOLJDWLRQVDQGEUHDFKHVRI5<'(678',26DVLI
 WKH\ZHUHSXUVXDQWWRDOWHUHJRGRFWULQH
  $VDUHVXOWRIGHIHQGDQWV¶FRQGXFWGHIHQGDQWVDUHOLDEOHWR3/$,17,))
 IRUJHQHUDOGDPDJHVVSHFLDOGDPDJHVSUHMXGJPHQWLQWHUHVWFRVWVRIVXLWDQGVXFK
 RWKHUUHOLHIDVPD\EHMXVW
 ),)7+&/$,0)255(/,()
 3520,6625<(67233(/
 (Against Defendants Ryde Studios, LLC, Richard D’Alessio and Doe 1)
  3/$,17,))UHDOOHJHVDQGLQFRUSRUDWHVKHUHLQE\UHIHUHQFHDOORIWKH
 IRUHJRLQJDQGIROORZLQJSDUDJUDSKVRIWKLV&RPSODLQWDVLIIXOO\VHWIRUWK
  7RWKHH[WHQWDQ\RIWKHDOOHJDWLRQVRUWKHRULHVLQWKLV)LIWK&ODLPIRU
 5HOLHIDUHLQFRQVLVWHQWZLWKRWKHUDOOHJDWLRQVRUWKHRULHVSOHDGLQWKLV&RPSODLQWWKH\
 DUHSOHDGLQWKHDOWHUQDWLYH
  ,QRUDERXW0D\DQGDVVXEVHTXHQWO\PRGLILHGE\WKHSDUWLHV
 '¶$/(66,2*,%%6 DFWLQJRQEHKDOIRIRQHRUPRUHRIWKHGHIHQGDQWVWRWKLVFODLP
 IRUUHOLHI DQG%25'2 DFWLQJRQEHKDOIRIRQHRUPRUHRIWKHGHIHQGDQWVWRWKLVFODLP
 IRUUHOLHI PDGHFOHDUDQGXQDPELJXRXVSURPLVHVWR3/$,17,))LQSUHVHQWLQJWKH
 IROORZLQJSURSRVHGEDUJDLQ

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 96 of 129 Page ID #:96

 D 3/$,17,))ZRXOGPDNHKHUVHOIDYDLODEOHWRSHUIRUPDQGZRXOGVHUYLFHV
 IRUGHIHQGDQWVDVDVW\OLVWDUWGLUHFWRUDQGRWKHUFUHDWLYHDQGEXVLQHVV
 VHUYLFHVRQHVVHQWLDOO\DWOHDVWDIXOOWLPHEDVLVLQFOXGLQJ3/$,17,))
 FHDVLQJWRSXUVXHKHULQGHSHQGHQWVW\OLVWDQGIDVKLRQFRQVXOWDQWZRUNIRU
 RWKHUFOLHQWVDIWHUILQLVKLQJDVPDOOVHWRISURMHFWVIRUVXFKFOLHQWV
 E 3/$,17,))ZRXOGFRQWULEXWHKHUEXVLQHVVFRQWDFWVIRUGHIHQGDQWV¶XVHLQ
 WKHZRUNRIWKH9HQWXUHLQFOXGLQJDWOHDVW3/$,17,))¶6FRQWDFWVZLWK
 PRGHOVLQIOXHQFHUVPRGHODQGLQIOXHQFHUUHSUHVHQWDWLYHVDQGKDLUDQG
 PDNHXSWHDPV
 F 3/$,17,))ZRXOGOHYHUDJHRUIDFLOLWDWHGHIHQGDQWVLQOHYHUDJLQJ
 3/$,17,))¶6HVWDEOLVKHGJRRGZLOOLQWKHLQGXVWU\DQGZLWKWKHSXEOLF
 LQFOXGLQJ3/$,17,))¶6,QVWDJUDPIROORZLQJRIWHQVRIWKRXVDQGVRI
 IROORZHUVIRUWKHGHYHORSPHQWDQGEHQHILWRIWKH9HQWXUH
 G 3/$,17,))ZRXOGIDFLOLWDWHGHIHQGDQWV¶LQHVWDEOLVKLQJEXVLQHVV
 UHODWLRQVKLSVZLWKPRGHOVLQIOXHQFHUVSKRWRJUDSKHUVWDOHQW
 UHSUHVHQWDWLYHVKDLUDQGPDNHXSWHDPVDQGRWKHUUHVRXUFHVIRUWKH
 SXUSRVHRIEXLOGLQJ5<'(678',26DQGWKH9HQWXUH
 H 5<'(678',26ZRXOGKLUH3/$,17,))RQDIXOOWLPHEDVLV
 I $VDSRUWLRQRIKHUFRPSHQVDWLRQGHIHQGDQWVZRXOGSD\3/$,17,))D
 PRQWKO\FDVKIHHWKDWVWDUWHGDVIRUDSRUWLRQRI0D\
 LQFUHDVHGWRDPRQWKIRU-XQH-XO\DQG$XJXVWDQGODWHU
 LQFUHDVHGWRSHUPRQWKVWDUWLQJ6HSWHPEHUDQGJXDUDQWHHG
 WKURXJKDWOHDVW'HFHPEHU
 J 'HIHQGDQWVZRXOGQRWWHUPLQDWH3/$,17,))RUH[FOXGHKHUIURPWKH
 EXVLQHVVZLWKRXWJRRGFDXVH
 K 3/$,17,))ZDVWRUHFHLYHDQHTXLW\LQWHUHVWLQ5<'(678',26DQGRU
 WKH9HQWXUHDQG5<'(678',26SURPLVHGWRSURYLGHDQHTXLW\SDFNDJH
 IRU3/$,17,))¶VUHYLHZ

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 97 of 129 Page ID #:97

 L $VLJQLILFDQWSDUWRI3/$,17,))¶VGXWLHVDV$UW'LUHFWRUZDVWRODXQFK
 WKH.DW %DUH9HQWXUHDQGEXLOG.DW %DUHDVDEUDQGFKDQQHODQG
 SODWIRUPDQGLQFOXGLQJLQFRQVLGHUDWLRQRIWKHSHUIRUPDQFHRIWKHVHGXWLHV
 )5(('0$1ZDVWREHDIXOOSDUWQHUZLWK*,%%6'¶$/(66,2DQGRU
 %25'2LQWKH.DW %DUH9HQWXUH
 M 3/$,17,))ZDVWRKROGWKHWLWOHRI$UW'LUHFWRUIRU5<'(678',26
 DQGWKH9HQWXUHDQGWKHWLWOHZDVWREHQRWPHUHO\QRPLQDOEXW
 3/$,17,))ZDVLQIDFWWRVHUYHDV$UW'LUHFWRUIRU5<'(678',26DQG
 WKH9HQWXUH
 N 7KHFRQWUDFWFRQWDLQHGQRZRUNPDGHIRUKLUHSURYLVLRQUHODWLQJWR
 LQWHOOHFWXDOSURSHUW\DQGQRQHZDVHYHUGLVFXVVHG
 O 'HIHQGDQWVZHUHWRSURYLGH3/$,17,))ZLWKRSSRUWXQLWLHVWRZRUN
 FORVHO\ZLWK'¶$/(66,2RQSURMHFWVLQFOXGLQJZLWKRXWOLPLWDWLRQRQ
 FRPPHUFLDOGLUHFWLQJSURMHFWVRXWVLGHWKHIDVKLRQLQGXVWU\VRWKDW
 3/$,17,))FRXOGOHDUQWKHFRPPHUFLDOGLUHFWLQJSURIHVVLRQTXDOLI\IRU
 '*$PHPEHUVKLSDQGFRUUHVSRQGLQJKHDOWKEHQHILWVHDUQFUHGLWVRQ
 FRPPHUFLDOGLUHFWLQJSURMHFWVDQGHDUQIHHVVSHFLILFWRFRPPHUFLDO
 SURMHFWV
 P3/$,17,))ZDVWRUHFHLYHLQGLYLGXDOFUHGLWIRUKHUFUHDWLYHZRUN
 LQFOXGLQJLQRQSRVWWDJV
 Q 'HIHQGDQWVZRXOGWUHDW3/$,17,))DVDSDUWQHUDQGNHHSKHULQIRUPHG
 DQGDFFRXQWWRKHUDVWRWKHVWDWHRIWKHEXVLQHVVILQDQFLDOSHUIRUPDQFH
 EXVLQHVVRSSRUWXQLWLHVDQGRWKHUDVSHFWVRIWKHEXVLQHVVDQGZRXOGQRW
 H[FOXGH3/$,17,))RUNHHSVXEVWDQWLDOEXVLQHVVVHFUHWVIURPKHU
 R 'HIHQGDQWVZRXOGWUHDW3/$,17,))¶6SUHH[LVWLQJEXVLQHVVUHODWLRQVKLSV
 ZLWKFDUHVXFKWKDW3/$,17,))¶6UHODWLRQVKLSVDQGUHSXWDWLRQZRXOGQRW
 EHXQGXO\GDPDJHGE\3/$,17,))FRQQHFWLQJ'HIHQGDQWVZLWK
 3/$,17,))¶6FRQWDFWVDQGUHVRXUFHV

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 98 of 129 Page ID #:98

  3/$,17,))FRPSOHWHO\RUVXEVWDQWLDOO\SHUIRUPHGDOOFRQGLWLRQV
 FRYHQDQWVDQGSURPLVHVUHTXLUHGRQKHUSDUWWREHSHUIRUPHGLQDFFRUGDQFHZLWKWKH
 FRQWUDFWH[FHSWWRWKHH[WHQWWKDWVXFKREOLJDWLRQVKDYHEHHQH[FXVHGRUGHIHQGDQWV
 SUHYHQWHG3/$,17,))IURPSHUIRUPLQJWKHPDQGDOOFRQGLWLRQVSUHFHGHQWWR
 GHIHQGDQW¶VREOLJDWLRQVWKDW3/$,17,))VHHNVWRHQIRUFHKHUHLQKDYHHLWKHUEHHQ
 VDWLVILHGH[FXVHGRUZDLYHG
  :LWKLQWKHODVWWZR\HDUVGHIHQGDQWVPDWHULDOO\EUHDFKHGWKHLUSURPLVHVWR
 3/$,17,))LQDWOHDVWWKHIROORZLQJZD\V
 D )DLOLQJDQGUHIXVLQJWRSD\3/$,17,))KHUPRQWKO\FDVKFRPSHQVDWLRQRI
 PRQWKVLQFHPLG2FWREHUDQGWKURXJKDWOHDVW'HFHPEHU
 ZLWKDPRXQWVRZLQJIRUWKLVLWHPRIFRPSHQVDWLRQWRWDOLQJDW
 OHDVW
 E )DLOLQJWRSURYLGH)5(('0$1ZLWKZRUNRQFRPPHUFLDOGLUHFWLQJ
 SURMHFWVERWKWRTXDOLI\IRU'*$PHPEHUVKLSDQGIRUIHHVFUHGLWVDQG
 H[SHULHQFH
 F )DLOLQJWRSURYLGH)5(('0$1ZLWKDQ\HTXLW\SDFNDJHLQ5<'(
 678',26DQGRUWKH9HQWXUH
 G $FWXDOO\RUFRQVWUXFWLYHO\WHUPLQDWLQJ)5(('0$1¶VFRQWUDFWXDO
 UHODWLRQVKLSZLWK5<'(678',26ZLWKRXWJRRGFDXVHDQGZRUVHGXHWR
 3/$,17,))¶VDFWRIGLVFORVHKHUIHORQ\UDSHDQGIDOVHLPSULVRQPHQWE\
 :HVWZLFN
 H $FWXDOO\RUFRQVWUXFWLYHO\WHUPLQDWLQJ)5(('0$1¶VSDUWQHUVKLS
 UHODWLRQVKLSZLWKWKH.DW %DUH9HQWXUHDQGGHQ\LQJKHUSDUWQHUVKLS
 VWDWXVLQWKH.DW %DUH9HQWXUH
 I )DLOLQJRUUHIXVLQJWRFUHGLW)5(('0$1DSSURSULDWHO\IRUKHUFUHDWLYH
 ZRUN
 J ([FOXGLQJ)5(('0$1IURPEXVLQHVVRSSRUWXQLWLHVRI5<'(678',26
 DQGRUWKH9HQWXUHDQG

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 99 of 129 Page ID #:99

 K )DLOLQJWRH[HUFLVHDSSURSULDWHDQGUHDVRQDEOHFDUHLQUHODWLQJWR
 )5(('0$1¶6EXVLQHVVFRQWDFWVSURYLGHGWRWKH9HQWXUH
  '¶$/(66,2DOVRVSHFLILFDOO\SURPLVHGWKDWLI3/$,17,))WROGKHU
 DFFRXQWRIEHLQJUDSHGE\:HVWZLFNLQWRDUHSRUWHURURWKHUZLVHSXEOLFL]HGLW
 WKDW'¶$/(66,2*,%%6%25'25<'(678',26DQGWKH9HQWXUHZRXOGERWK
 VXSSRUW3/$,17,))HPRWLRQDOO\DQGVSHFLILFDOO\ZRXOGQRWH[FOXGH3/$,17,))IURP
 WKHEXVLQHVVLQDQ\ZD\RURWKHUZLVHDFWWRKHUGHWULPHQWZLWKUHVSHFWWRWKHEXVLQHVVRU
 KHUFDUHHUDQGUHSXWDWLRQEXWLQVWHDGZRXOGVXSSRUWKHUDQGEHOR\DOWRKHU
  3/$,17,))DFWXDOO\UHOLHGRQGHIHQGDQWV¶SURPLVHVLQFKDQJLQJKHU
 SRVLWLRQWRKHUGHWULPHQWLQFOXGLQJE\JLYLQJXSKHUHVWDEOLVKHGDQGJURZLQJ
 LQGHSHQGHQWVW\OLVWDQGIDVKLRQFRQVXOWDQWFDUHHUIRUHJRLQJRWKHURSSRUWXQLWLHVDQGLQ
 SURYLGLQJKHUYDOXDEOHEXVLQHVVFRQWDFWVDQGLQGXVWU\DQGDXGLHQFHJRRGZLOOWR
 GHIHQGDQWV3/$,17,))DOVRVSHFLILFDOO\UHOLHGRQWKHSURPLVHVRI'¶$/(66,2
 UHJDUGLQJVXSSRUWLQJDQGQRWVKXQQLQJ3/$,17,))LQ3/$,17,))¶6GHFLVLRQWRWHOO
 KHU:HVWZLFNUDSHVWRU\WRDUHSRUWHUDQGRURWKHUZLVHWRSXEOLFL]HLWDQGWKHGHFLVLRQ
 WRGRVRPDWHULDOO\FKDQJHG3/$,17,))¶6SRVLWLRQWRKHUGHWULPHQWLQFOXGLQJZLWK
 UHVSHFWWRKHUFDUHHUDQGUHSXWDWLRQLQWKHLQGXVWU\DQGKHUYXOQHUDELOLW\ZLWKLQWKH
 EXVLQHVVZLWKGHIHQGDQWV
  3/$,17,))¶6UHOLDQFHRQWKHDOORIWKHDERYHSURPLVHVIURPGHIHQGDQWV
 ZDVUHDVRQDEOHDQGIRUHVHHDEOHDQGLQGHHGGHIHQGDQWVPDGHWKHSURPLVHVWR
 3/$,17,))IRUWKHLQWHQGHGSXUSRVHRIFDXVLQJ3/$,17,))WRUHO\RQWKHSURPLVHV
 VXEVWDQWLDOO\LQWKHPDQQHUWKDWVKHGLG
  3/$,17,))¶6UHOLDQFHRQGHIHQGDQWV¶SURPLVHVFDXVHGKHUVXEVWDQWLDO
 GHWULPHQWLQFOXGLQJZLWKRXWOLPLWDWLRQLQWKHIRUPRIJLYLQJXSKHULQGHSHQGHQWVW\OLVW
 DQGIDVKLRQFRQVXOWDQWFDUHHUDVZHOODVKHUYDOXDEOHEXVLQHVVFRQWDFWVDQG
 UHODWLRQVKLSVDQGLQWHOOLQJKHUDFFRXQWRIWKH:HVWZLFNUDSHWRWKHSUHVV+DG
 3/$,17,))QRWDFWHGLQUHOLDQFHRQGHIHQGDQWV¶SURPLVHV3/$,17,))LVLQIRUPHG
 DQGEHOLHYHVDQGWKHUHRQDOOHJHVWKDW3/$,17,))ZDVRQWUDFNLQKHULQGHSHQGHQW

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 100 of 129 Page ID #:100

 FDUHHUVXFKWKDWVKHZRXOGKDYHHDUQHGDWOHDVW DWOHDVWSHUZHHN 
 RYHUDWZR\HDUSHULRGEHJLQQLQJRQRUDERXW-XQHDQGFRQWLQXLQJWKURXJKRQ
 RUDERXW0D\ DQGZRXOGKDYHHDUQHGHYHQKLJKHUDPRXQWVJRLQJIRUZDUG 
 %\UHO\LQJRQGHIHQGDQWV¶SURPLVHV3/$,17,))JDYHXSWKRVHFDUHHURSSRUWXQLWLHV
 DQGWKDWYDOXHDQGPD\QHYHUEHDEOHWRUHFRYHUWKHP
  8QGHUWKHVHFLUFXPVWDQFHVLQMXVWLFHFDQRQO\EHDYRLGHGE\HQIRUFHPHQW
 RIGHIHQGDQWV¶SURPLVHVWR3/$,17,))
  3/$,17,))LVLQIRUPHGDQGEHOLHYHVDQGWKHUHRQDOOHJHVWKDWGXULQJWKH
 RSHUDWLRQRI5<'(678',26WKH9HQWXUH'RHDQG'¶$/(66,2¶6FRPPHUFLDO
 GLUHFWLQJZRUNWKHVHWKUHH RUIRXU EXVLQHVVHQWLWLHV WRWKHH[WHQWWKH\DUHDWDOOHYHQ
 FODLPHGWREHVHSDUDWH VKDUHGPDQ\UHVRXUFHVVXFKDVRIILFHVSDFHVXSSOLHVDQG
 XWLOLWLHV7KHHPSOR\HHVRI5<'(678',26SURYLGHGVHUYLFHVWRWKH9HQWXUHDQGWR
 '¶$/(66,2DQG'RHDQGYLFHYHUVD3/$,17,))LVLQIRUPHGDQGEHOLHYHVDQG
 WKHUHRQDOOHJHVWKDWDWDOOWLPHV'¶$/(66,2KHOGVXEVWDQWLDORZQHUVKLSLQWHUHVWVLQ
 HDFKRIWKHVHHQWLWLHVDQGZDVDQRIILFHUGLUHFWRUDQGRUPDQDJLQJPHPEHURIHDFKRI
 WKHPVXFKWKDW'¶$/(66,2KDVKDGWKHHIIHFWLYHSRZHUDQGDXWKRULW\WRFRQWURODOO
 WKUHH RUIRXU HQWLWLHV
  3/$,17,))LVLQIRUPHGDQGEHOLHYHVDQGWKHUHRQDOOHJHVWKDW
 '¶$/(66,2DQGRU'RHFDXVHGWKHILQDQFHVDQGRWKHUUHVRXUFHVRIDOOWKUHH RUIRXU 
 HQWLWLHVWREHLQWHUPLQJOHGDQGWUHDWHGDVRQHHQWLW\ZLWKWKHSXUSRVHRIVHUYLQJWKH
 QHHGVLQWHUHVWVDQGGHVLUHVRI'¶$/(66,2LQFRQVLVWHQWDQGRQJRLQJGLVUHJDUGIRUWKH
 FRUSRUDWHIRUPVRIWKHHQWLWLHV3/$,17,))LVLQIRUPHGDQGEHOLHYHVDQGWKHUHRQ
 DOOHJHVWKDW'¶$/(66,2FDXVHGRUUDWLILHGEXVLQHVVSUDFWLFHVZKHUHE\WKHWKUHH RU
 IRXU HQWLWLHVIDLOHGWRREVHUYHFRUSRUDWHIRUPDOLWLHVLQFOXGLQJZLWKRXWOLPLWDWLRQIDLOLQJ
 WRNHHSPLQXWHVIURPERDUGPHHWLQJVDQGIDLOLQJWRQRWLI\VKDUHKROGHUVDQGRWKHUHTXLW\
 KROGHUVRIERDUGPHHWLQJVDQGIDLOLQJWRUHFRUGWKHHTXLW\LQWHUHVWVRIERWKDFWXDODQG
 SURPLVHGHTXLW\KROGHUVLQFOXGLQJ3/$,17,))3/$,17,))LVLQIRUPHGDQGEHOLHYHV
 DQGWKHUHRQDOOHJHVWKDW'¶$/(66,2DQG'RHFRQGXFWHGWKHEXVLQHVVRIWKHWKUHH RU

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 101 of 129 Page ID #:101

 IRXU HQWLWLHVIRUWKHLURZQSHUVRQDOEHQHILWDQGDWWKHH[SHQVHRIWKHHQWLWLHVDQGWKH
 HQWLWLHV¶HTXLW\KROGHUV7KHVHDFWVGHPRQVWUDWHDXQLW\RILQWHUHVWEHWZHHQ
 '¶$/(66,2DQGRU'RHRQWKHRQHKDQGDQG5<'(678',26DQGWKH9HQWXUHRQ
 WKHRWKHUKDQGRUDPRQJDOORIWKHPVXFKWKDWWKHOHJDOILFWLRQRIWKHVHEXVLQHVV
 HQWLWLHVDVVHSDUDWHOHJDOHQWLWLHVFHDVHVWRH[LVW$FFRUGLQJO\DQ\OLDELOLW\RI
 '¶$/(66,25<'(678',26WKH9HQWXUHDQGRU'RHVKRXOGEHERUQHMRLQWO\DQG
 HTXDOO\E\HDFKRIWKHPDVLIWKH\ZHUHWKHVDPH
  $FFRUGLQJO\HLWKHU'¶$/(66,2WKH9HQWXUHDQGRU'RHDUHWKHWUXH
 FRQWUDFWLQJSDUWLHV RUDGGLWLRQDOFRQWUDFWLQJSDUWLHV WRWKHDERYHGHVFULEHGFRQWUDFWRU
 WKH\DUHOLDEOHIRUWKHREOLJDWLRQVDQGEUHDFKHVRI5<'(678',26DVLIWKH\ZHUH
 SXUVXDQWWRDOWHUHJRGRFWULQH
  $VDUHVXOWRIGHIHQGDQWV¶FRQGXFWGHIHQGDQWVDUHOLDEOHWR3/$,17,))
 IRUJHQHUDOGDPDJHVVSHFLDOGDPDJHVSUHMXGJPHQWLQWHUHVWFRVWVRIVXLWDQGVXFK
 RWKHUUHOLHIDVPD\EHMXVW
 6,;7+&/$,0)255(/,()
 )5$8'
 (Against Defendants Ryde Studios, LLC, Nicolas Gibbs, Richard D’Alessio, Becky
 Tahel Bordo, and Does 1 through 4)
  3/$,17,))UHDOOHJHVDQGLQFRUSRUDWHVKHUHLQE\UHIHUHQFHDOORIWKH
 IRUHJRLQJDQGIROORZLQJSDUDJUDSKVRIWKLV&RPSODLQWDVLIIXOO\VHWIRUWK
  7RWKHH[WHQWDQ\RIWKHDOOHJDWLRQVRUWKHRULHVLQWKLV6L[WK&ODLPIRU
 5HOLHIDUHLQFRQVLVWHQWZLWKRWKHUDOOHJDWLRQVRUWKHRULHVSOHDGLQWKLV&RPSODLQWWKH\
 DUHSOHDGLQWKHDOWHUQDWLYH
  :LWKLQWKHODVWWKUHH\HDUV'HIHQGDQWV5<'(678',26*,%%6
 '¶$/(66,2%25'2DQG'RHVWKURXJKPDGHDIILUPDWLYHPLVUHSUHVHQWDWLRQVWR
 3/$,17,))DQGRUVXSSUHVVHGDQGFRQFHDOHGIDFWVIURP3/$,17,))ZKLFKWKH\KDGD
 GXW\WRGLVFORVHWR3/$,17,))XQGHUDOOWKHFLUFXPVWDQFHVDQGRUPDGHSURPLVHV
 ZLWKRXWDQ\LQWHQWLRQRISHUIRUPLQJWKHPDWOHDVWDVIROORZV

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 102 of 129 Page ID #:102

  ,QRUDERXW0D\LQFOXGLQJLQRUDERXWWKHZHHNRI0D\DWDQ
 LQSHUVRQPHHWLQJDW,PDJLQDU\)RUFHVLQ9HQLFH&DOLIRUQLDDQGLQVXEVHTXHQWRUDO
 WH[WDQGHPDLOFRPPXQLFDWLRQVEHWZHHQ0D\DQGLQWR'HFHPEHU
 '¶$/(66,2*,%%6 DFWLQJRQEHKDOIRIRQHRUPRUHRIWKHGHIHQGDQWVWRWKLVFODLP
 IRUUHOLHI DQG%25'2 DFWLQJRQEHKDOIRIRQHRUPRUHRIWKHGHIHQGDQWVWRWKLVFODLP
 IRUUHOLHI PDGHFOHDUDQGXQDPELJXRXVSURPLVHVWR3/$,17,))LQSUHVHQWLQJWKH
 IROORZLQJSURSRVHGEDUJDLQ
 D 3/$,17,))ZRXOGPDNHKHUVHOIDYDLODEOHWRSHUIRUPDQGZRXOGVHUYLFHV
 IRUGHIHQGDQWVDVDVW\OLVWDUWGLUHFWRUDQGRWKHUFUHDWLYHDQGEXVLQHVV
 VHUYLFHVRQHVVHQWLDOO\DWOHDVWDIXOOWLPHEDVLVLQFOXGLQJ3/$,17,))
 FHDVLQJWRSXUVXHKHULQGHSHQGHQWVW\OLVWDQGIDVKLRQFRQVXOWDQWZRUNIRU
 RWKHUFOLHQWVDIWHUILQLVKLQJDVPDOOVHWRISURMHFWVIRUVXFKFOLHQWV
 E 3/$,17,))ZRXOGFRQWULEXWHKHUEXVLQHVVFRQWDFWVIRUGHIHQGDQWV¶XVHLQ
 WKHZRUNRIWKH9HQWXUHLQFOXGLQJDWOHDVW3/$,17,))¶6FRQWDFWVZLWK
 PRGHOVLQIOXHQFHUVPRGHODQGLQIOXHQFHUUHSUHVHQWDWLYHVDQGKDLUDQG
 PDNHXSWHDPV
 F 3/$,17,))ZRXOGOHYHUDJHRUIDFLOLWDWHGHIHQGDQWVLQOHYHUDJLQJ
 3/$,17,))¶6HVWDEOLVKHGJRRGZLOOLQWKHLQGXVWU\DQGZLWKWKHSXEOLF
 LQFOXGLQJ3/$,17,))¶6,QVWDJUDPIROORZLQJRIWHQVRIWKRXVDQGVRI
 IROORZHUVIRUWKHGHYHORSPHQWDQGEHQHILWRIWKH9HQWXUH
 G 3/$,17,))ZRXOGIDFLOLWDWHGHIHQGDQWV¶LQHVWDEOLVKLQJEXVLQHVV
 UHODWLRQVKLSVZLWKPRGHOVLQIOXHQFHUVSKRWRJUDSKHUVWDOHQW
 UHSUHVHQWDWLYHVKDLUDQGPDNHXSWHDPVDQGRWKHUUHVRXUFHVIRUWKH
 SXUSRVHRIEXLOGLQJ5<'(678',26DQGWKH9HQWXUH
 H 5<'(678',26ZRXOGKLUH3/$,17,))RQDIXOOWLPHEDVLV
 I $VDSRUWLRQRIKHUFRPSHQVDWLRQGHIHQGDQWVZRXOGSD\3/$,17,))D
 PRQWKO\FDVKIHHWKDWVWDUWHGDVIRUDSRUWLRQRI0D\
 LQFUHDVHGWRDPRQWKIRU-XQH-XO\DQG$XJXVWDQGODWHU

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 103 of 129 Page ID #:103

 LQFUHDVHGWRSHUPRQWKVWDUWLQJ6HSWHPEHUDQGJXDUDQWHHG
 WKURXJKDWOHDVW'HFHPEHU
 J 'HIHQGDQWVZRXOGQRWWHUPLQDWH3/$,17,))RUH[FOXGHKHUIURPWKH
 EXVLQHVVZLWKRXWJRRGFDXVH
 K 3/$,17,))ZDVWRUHFHLYHDQHTXLW\LQWHUHVWLQ5<'(678',26DQGRU
 WKH9HQWXUHDQG5<'(678',26SURPLVHGWRSURYLGHDQHTXLW\SDFNDJH
 IRU3/$,17,))¶VUHYLHZ
 L $VLJQLILFDQWSDUWRI3/$,17,))¶VGXWLHVDV$UW'LUHFWRUZDVWRODXQFK
 WKH.DW %DUH9HQWXUHDQGEXLOG.DW %DUHDVDEUDQGFKDQQHODQG
 SODWIRUPDQGLQFOXGLQJLQFRQVLGHUDWLRQRIWKHSHUIRUPDQFHRIWKHVHGXWLHV
 )5(('0$1ZDVWREHDIXOOSDUWQHUZLWK*,%%6'¶$/(66,2DQGRU
 %25'2LQWKH.DW %DUH9HQWXUH
 M 3/$,17,))ZDVWRKROGWKHWLWOHRI$UW'LUHFWRUIRU5<'(678',26
 DQGWKH9HQWXUHDQGWKHWLWOHZDVWREHQRWPHUHO\QRPLQDOEXW
 3/$,17,))ZDVLQIDFWWRVHUYHDV$UW'LUHFWRUIRU5<'(678',26DQG
 WKH9HQWXUH
 N 7KHFRQWUDFWFRQWDLQHGQRZRUNPDGHIRUKLUHSURYLVLRQUHODWLQJWR
 LQWHOOHFWXDOSURSHUW\DQGQRQHZDVHYHUGLVFXVVHG
 O 'HIHQGDQWVZHUHWRSURYLGH3/$,17,))ZLWKRSSRUWXQLWLHVWRZRUN
 FORVHO\ZLWK'¶$/(66,2RQSURMHFWVLQFOXGLQJZLWKRXWOLPLWDWLRQRQ
 FRPPHUFLDOGLUHFWLQJSURMHFWVRXWVLGHWKHIDVKLRQLQGXVWU\VRWKDW
 3/$,17,))FRXOGOHDUQWKHFRPPHUFLDOGLUHFWLQJSURIHVVLRQTXDOLI\IRU
 '*$PHPEHUVKLSDQGFRUUHVSRQGLQJKHDOWKEHQHILWVHDUQFUHGLWVRQ
 FRPPHUFLDOGLUHFWLQJSURMHFWVDQGHDUQIHHVVSHFLILFWRFRPPHUFLDO
 SURMHFWV
 P3/$,17,))ZDVWRUHFHLYHLQGLYLGXDOFUHGLWIRUKHUFUHDWLYHZRUN
 LQFOXGLQJLQRQSRVWWDJV
 Q 'HIHQGDQWVZRXOGWUHDW3/$,17,))DVDSDUWQHUDQGNHHSKHULQIRUPHG

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 104 of 129 Page ID #:104

 DQGDFFRXQWWRKHUDVWRWKHVWDWHRIWKHEXVLQHVVILQDQFLDOSHUIRUPDQFH
 EXVLQHVVRSSRUWXQLWLHVDQGRWKHUDVSHFWVRIWKHEXVLQHVVDQGZRXOGQRW
 H[FOXGH3/$,17,))RUNHHSVXEVWDQWLDOEXVLQHVVVHFUHWVIURPKHU
 R 'HIHQGDQWVZRXOGWUHDW3/$,17,))¶6SUHH[LVWLQJEXVLQHVVUHODWLRQVKLSV
 ZLWKFDUHVXFKWKDW3/$,17,))¶6UHODWLRQVKLSVDQGUHSXWDWLRQZRXOGQRW
 EHXQGXO\GDPDJHGE\3/$,17,))FRQQHFWLQJ'HIHQGDQWVZLWK
 3/$,17,))¶6FRQWDFWVDQGUHVRXUFHV
  ,QFOXGLQJLQRUDERXWODWH6HSWHPEHUDQGWKURXJKWRDWOHDVW
 1RYHPEHULQFOXGLQJZKLOH'¶$/(66,2DQG3/$,17,))ZHUHWRJHWKHULQ
 3DULVGXULQJ3DULV)DVKLRQ:HHNIURPRQRUDERXW6HSWHPEHUWRRQRUDERXW
 2FWREHU'¶$/(66,2VSHFLILFDOO\SURPLVHGDQGUHSUHVHQWHGWR3/$,17,))
 WKDWLIVKHFRQWLQXHGWRZRUNDV'¶$/(66,2¶6FUHDWLYHSDUWQHUDQGDVVLVWKLPZLWK
 DFWXDODQGSURVSHFWLYHFRPPHUFLDOGLUHFWLQJSURMHFWVLQFOXGLQJZLWKRXWOLPLWDWLRQIRU
 -RFNH\LQ,QGLD9LYRLQ.XDOD/XPSHU7RPRUURZ1HWZRUNVDQGDPDMRUDXWRPRELOH
 EUDQGLQ6RXWKHDVW$VLDWKHQ'¶$/(66,2ZRXOGEULQJ3/$,17,))ZLWKKLPRQRQH
 RUPRUHWULSVWR$VLDWRSLWFKWKHSURMHFWVDQGRUSHUIRUPWKHPWKDW'¶$/(66,2ZRXOG
 SD\3/$,17,))IHHVIRUWKHSURMHFWVDQGRUIDFLOLWDWH3/$,17,))UHFHLYLQJIHHVIURP
 WKHFXVWRPHUVRUDJHQFLHVIRUVXFKSURMHFWV'¶$/(66,2ZRXOGFDXVH3/$,17,))WR
 EHFUHGLWHGRQWKHSURMHFWV'¶$/(66,2ZRXOGFDXVHHQDEOHVXSSRUWDQGRUPHQWRU
 3/$,17,))LQSHUIRUPLQJDUWGLUHFWLQJDQGRWKHUVHUYLFHVRQWKHSURMHFWVLQFOXGLQJ
 VXFKWKDW3/$,17,))ZRXOGEXLOGWRZDUGTXDOLI\LQJIRU'*$PHPEHUVKLSDQGZRXOG
 RWKHUZLVHPHQWRU3/$,17,))LQDFRPPHUFLDOGLUHFWLQJFDUHHU
  ,QRUDERXW$XJXVWLQFOXGLQJLQWH[WVDQGRUDOO\*,%%6DOVR
 VSHFLILFDOO\SURPLVHGDQGUHSUHVHQWHGWR3/$,17,))WRWKHHIIHFWWKDWLI3/$,17,))
 ZDVDWHDPSOD\HUZLWKGHIHQGDQWVDVWRFUHDWLYHFUHGLWVRQ3/$,17,))¶6FUHDWLYH
 ZRUN LQFOXGLQJIRUHJRLQJVDPH DQGLI3/$,17,))RWKHUZLVHZDVWROHUDQWDQGOHQLHQW
 ZLWKGHIHQGDQWVZLWKUHVSHFWWRGHIHQGDQWV¶SURPLVHGREOLJDWLRQVWRKHUDVWRFUHGLWV
 PRQWKO\IHHVH[SHQVHUHLPEXUVHPHQWVDQGRWKHUPDWWHUVWKHQGHIHQGDQWVZRXOG

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 105 of 129 Page ID #:105

 UHZDUG3/$,17,))ZLWKDVKDUHRIWKHIUXLWVRIVXFFHVVRIWKHEXVLQHVVDQGZRXOGEH
 EURXJKWDORQJZLWKGHIHQGDQWVLQWKHEXVLQHVVDVLWFRQWLQXHGZKLFK*,%%6LQWHQGHG
 3/$,17,))WRXQGHUVWDQGDQGZKLFK3/$,17,))GLGXQGHUVWDQGDVPHDQLQJDVDQ
 HTXLW\KROGHUSDUWQHUDQGRUSHUPDQHQWRUJXDUDQWHHGHPSOR\HH3/$,17,))LV
 LQIRUPHGDQGEHOLHYHVDQGRQWKDWEDVLVDOOHJHVWKDW*,%%6%25'2DQG5<'(
 678',26HLWKHUDXWKRUL]HGRUUDWLILHGWKHVHSURPLVHVDQGUHSUHVHQWDWLRQVIURP
 '¶$/(66,2WR3/$,17,))
  %HWZHHQLQRUDERXW1RYHPEHUDQGFRQWLQXLQJWRDWOHDVW
 1RYHPEHU'¶$/(66,2DOVRVSHFLILFDOO\SURPLVHGDQGUHSUHVHQWHGWR
 3/$,17,))LQFOXGLQJLQPXOWLSOHWH[WPHVVDJHVWKDWLI3/$,17,))WROGKHUDFFRXQW
 RIEHLQJUDSHGE\:HVWZLFNLQWRDUHSRUWHURURWKHUZLVHSXEOLFL]HGLWWKDW
 '¶$/(66,2*,%%6%25'25<'(678',26DQGWKH9HQWXUHZRXOGERWKVXSSRUW
 3/$,17,))HPRWLRQDOO\DQGVSHFLILFDOO\ZRXOGQRWH[FOXGH3/$,17,))IURPWKH
 EXVLQHVVLQDQ\ZD\RURWKHUZLVHDFWWRKHUGHWULPHQWZLWKUHVSHFWWRWKHEXVLQHVVRUKHU
 FDUHHUDQGUHSXWDWLRQEXWLQVWHDGZRXOGVXSSRUWKHUDQGEHOR\DOWRKHU3/$,17,))LV
 LQIRUPHGDQGEHOLHYHVDQGRQWKDWEDVLVDOOHJHVWKDW*,%%6%25'2DQG5<'(
 678',26HLWKHUDXWKRUL]HGRUUDWLILHGWKHVHSURPLVHVDQGUHSUHVHQWDWLRQVIURP
 '¶$/(66,2WR3/$,17,))
  7KHDERYHPLVUHSUHVHQWDWLRQVDFWVRIVXSSUHVVLRQDQGFRQFHDOPHQWDQGRU
 IDOVHSURPLVHVZHUHPDWHULDOWR3/$,17,))HVVHQWLDOWRWKHDQDO\VLVXQGHUWDNHQE\
 KHUDQGVKHZRXOGQRWKDYHDFWHGDVVKHGLGKDG'HIHQGDQWVQRWPDGHWKHVWDWHPHQWVRU
 HQJDJHGLQWKHDFWVRIVXSSUHVVLRQDQGFRQFHDOPHQWDQGRUIDOVHSURPLVHV
  '¶$/(66,2*,%%6DQG%25'2NQHZDWWKHWLPHWKDWWKH\PDGHWKH
 DIILUPDWLYHPLVUHSUHVHQWDWLRQVDQGIDOVHSURPLVHVWKDWWKH\ZHUHIDOVHDQGNQHZDWWKH
 WLPHWKDWWKH\VXSSUHVVHGRUFRQFHDOHGWKHPDWHULDOIDFWVWKHHIIHFWVXFKVXSSUHVVLRQRU
 FRQFHDOPHQWZRXOGKDYH,QWKHDOWHUQDWLYH3/$,17,))LVLQIRUPHGDQGEHOLHYHVDQG
 RQWKDWEDVLVDOOHJHVWKDW'¶$/(66,2¶6PDGHDWOHDVWVRPHRIKLVUHSUHVHQWDWLRQVDQG
 SURPLVHVWR3/$,17,))ZLWKWKHLQWHQWWRSHUIRUPWKHPEXWWKDW*,%%6DQGRU

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 106 of 129 Page ID #:106

 %25'2DOZD\VNQHZDWWKHWLPHWKDW'¶$/(66,2ZDVPDNLQJWKHUHSUHVHQWDWLRQVDQG
 SURPLVHVWR3/$,17,))WKDW*,%%6%25'25<'(678',26DQGRU'RHV
 WKURXJKQHYHULQWHQGHGWRSHUIRUPVDLGSURPLVHVDQGDOVRDOZD\VLQWHQGHGWR
 LQIOXHQFHRURWKHUZLVHFDXVH'¶$/(66,2QRWWRDOORZVDLGSURPLVHVWR3/$,17,))WR
 EHSHUIRUPHG3/$,17,))LVIXUWKHULQIRUPHGDQGEHOLHYHVDQGRQWKDWEDVLVDOOHJHV
 WKDW*,%%6%25'2DQGRU'RHVWKURXJKLQIDFWLQWHQWLRQDOO\FDXVHGRURWKHUZLVH
 LQIOXHQFHG'¶$/(66,2WREUHDNKLVSURPLVHVDQGUHSUHVHQWDWLRQVWR3/$,17,))DQG
 FDXVHWKHPWREHIDOVH
  '¶$/(66,2*,%%6%25'2DQG'RHVWKURXJKPDGHWKHDIILUPDWLYH
 UHSUHVHQWDWLRQVIDOVHSURPLVHVDQGDFWVRIVXSSUHVVLRQDQGFRQFHDOPHQWRIPDWHULDO
 IDFWV DQGRUDOORZHG'¶$/(66,2WRPDNHWKHPNQRZLQJWKDWWKH\ZRXOGEHIDOVHDQG
 ZRXOGQRWEHSHUIRUPHG ZLWKWKHLQWHQWDQGIRUWKHSXUSRVHRIFDXVLQJ3/$,17,))WR
 FKDQJHKHUSRVLWLRQWRKHUGHWULPHQW
  3/$,17,))DFWXDOO\DQGMXVWLILDEO\UHOLHGRQWKHDIILUPDWLYH
 PLVUHSUHVHQWDWLRQVIDOVHSURPLVHVDQGWKHIDFWVDVWKH\VWRRGJLYHQWKHVXSSUHVVLRQDQG
 FRQFHDOPHQWRIRWKHUPDWHULDOIDFWVLQFKDQJLQJKHUSRVLWLRQWRKHUGHWULPHQW
  3/$,17,))¶6UHOLDQFHRQWKHDIILUPDWLYHPLVUHSUHVHQWDWLRQVIDOVH
 SURPLVHVDQGWKHIDFWVDVWKH\VWRRGJLYHQWKHVXSSUHVVLRQDQGFRQFHDOPHQWRIRWKHU
 PDWHULDOIDFWVZDVDSUR[LPDWHFDXVHRIDFWXDOGDPDJHWR3/$,17,))
  3/$,17,))DFWXDOO\UHOLHGRQGHIHQGDQWV¶SURPLVHVDQGUHSUHVHQWDWLRQVLQ
 FKDQJLQJKHUSRVLWLRQWRKHUGHWULPHQWLQFOXGLQJE\JLYLQJXSKHUHVWDEOLVKHGDQG
 JURZLQJLQGHSHQGHQWVW\OLVWDQGIDVKLRQFRQVXOWDQWFDUHHUIRUHJRLQJRWKHU
 RSSRUWXQLWLHVDQGLQSURYLGLQJKHUYDOXDEOHEXVLQHVVFRQWDFWVDQGLQGXVWU\DQG
 DXGLHQFHJRRGZLOOWRGHIHQGDQWV3/$,17,))DOVRVSHFLILFDOO\UHOLHGRQWKHSURPLVHV
 RI'¶$/(66,2UHJDUGLQJVXSSRUWLQJDQGQRWVKXQQLQJ3/$,17,))LQ3/$,17,))¶6
 GHFLVLRQWRWHOOKHU:HVWZLFNUDSHVWRU\WRDUHSRUWHUDQGRURWKHUZLVHWRSXEOLFL]HLW
 DQGWKHGHFLVLRQWRGRVRPDWHULDOO\FKDQJHG3/$,17,))¶6SRVLWLRQWRKHUGHWULPHQW


 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 107 of 129 Page ID #:107

 LQFOXGLQJZLWKUHVSHFWWRKHUFDUHHUDQGUHSXWDWLRQLQWKHLQGXVWU\DQGKHUYXOQHUDELOLW\
 ZLWKLQWKHEXVLQHVVZLWKGHIHQGDQWV
  3/$,17,))¶6UHOLDQFHRQWKHDOORIWKHDERYHSURPLVHVIURPGHIHQGDQWV
 ZDVUHDVRQDEOHDQGIRUHVHHDEOHDQGLQGHHGGHIHQGDQWVPDGHWKHSURPLVHVWR
 3/$,17,))IRUWKHLQWHQGHGSXUSRVHRIFDXVLQJ3/$,17,))WRUHO\RQWKHSURPLVHV
 VXEVWDQWLDOO\LQWKHPDQQHUWKDWVKHGLG
  3/$,17,))¶6UHOLDQFHRQGHIHQGDQWV¶SURPLVHVFDXVHGKHUVXEVWDQWLDO
 GHWULPHQWLQFOXGLQJZLWKRXWOLPLWDWLRQLQWKHIRUPRIJLYLQJXSKHULQGHSHQGHQWVW\OLVW
 DQGIDVKLRQFRQVXOWDQWFDUHHUDVZHOODVKHUYDOXDEOHEXVLQHVVFRQWDFWVDQG
 UHODWLRQVKLSVDQGLQWHOOLQJKHUDFFRXQWRIWKH:HVWZLFNUDSHWRWKHSUHVV+DG
 3/$,17,))QRWDFWHGLQUHOLDQFHRQGHIHQGDQWV¶SURPLVHV3/$,17,))LVLQIRUPHG
 DQGEHOLHYHVDQGWKHUHRQDOOHJHVWKDW3/$,17,))ZDVRQWUDFNLQKHULQGHSHQGHQW
 FDUHHUVXFKWKDWVKHZRXOGKDYHHDUQHGDWOHDVW DWOHDVWSHUZHHN 
 RYHUDWZR\HDUSHULRGEHJLQQLQJRQRUDERXW-XQHDQGFRQWLQXLQJWKURXJKRQ
 RUDERXW0D\ DQGZRXOGKDYHHDUQHGHYHQKLJKHUDPRXQWVJRLQJIRUZDUG 
 %\UHO\LQJRQGHIHQGDQWV¶SURPLVHV3/$,17,))JDYHXSWKRVHFDUHHURSSRUWXQLWLHV
 DQGWKDWYDOXHDQGPD\QHYHUEHDEOHWRUHFRYHUWKHP
  '¶$/(66,2*,%%6DQG%25'2DUHWKXVOLDEOHWR3/$,17,))IRU
 JHQHUDOGDPDJHVDQGVSHFLDOGDPDJHVDVZHOODVFRVWVDQGRWKHUUHOLHIDOOLQDPRXQWV
 WREHSURYHQDWWULDOEXWQRWOHVVWKDQ
  3/$,17,))LVLQIRUPHGDQGEHOLHYHVDQGWKHUHRQDOOHJHVWKDWGXULQJWKH
 RSHUDWLRQRI5<'(678',26WKH9HQWXUH'RHDQG'¶$/(66,2¶6FRPPHUFLDO
 GLUHFWLQJZRUNWKHVHWKUHH RUIRXU EXVLQHVVHQWLWLHV WRWKHH[WHQWWKH\DUHDWDOOHYHQ
 FODLPHGWREHVHSDUDWH VKDUHGPDQ\UHVRXUFHVVXFKDVRIILFHVSDFHVXSSOLHVDQG
 XWLOLWLHV7KHHPSOR\HHVRI5<'(678',26SURYLGHGVHUYLFHVWRWKH9HQWXUHDQGWR
 '¶$/(66,2DQG'RHDQGYLFHYHUVD3/$,17,))LVLQIRUPHGDQGEHOLHYHVDQG
 WKHUHRQDOOHJHVWKDWDWDOOWLPHV'¶$/(66,2KHOGVXEVWDQWLDORZQHUVKLSLQWHUHVWVLQ
 HDFKRIWKHVHHQWLWLHVDQGZDVDQRIILFHUGLUHFWRUDQGRUPDQDJLQJPHPEHURIHDFKRI

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 108 of 129 Page ID #:108

 WKHPVXFKWKDW'¶$/(66,2KDVKDGWKHHIIHFWLYHSRZHUDQGDXWKRULW\WRFRQWURODOO
 WKUHH RUIRXU HQWLWLHV
  3/$,17,))LVLQIRUPHGDQGEHOLHYHVDQGWKHUHRQDOOHJHVWKDW
 '¶$/(66,2DQGRU'RHFDXVHGWKHILQDQFHVDQGRWKHUUHVRXUFHVRIDOOWKUHH RUIRXU 
 HQWLWLHVWREHLQWHUPLQJOHGDQGWUHDWHGDVRQHHQWLW\ZLWKWKHSXUSRVHRIVHUYLQJWKH
 QHHGVLQWHUHVWVDQGGHVLUHVRI'¶$/(66,2LQFRQVLVWHQWDQGRQJRLQJGLVUHJDUGIRUWKH
 FRUSRUDWHIRUPVRIWKHHQWLWLHV3/$,17,))LVLQIRUPHGDQGEHOLHYHVDQGWKHUHRQ
 DOOHJHVWKDW'¶$/(66,2FDXVHGRUUDWLILHGEXVLQHVVSUDFWLFHVZKHUHE\WKHWKUHH RU
 IRXU HQWLWLHVIDLOHGWRREVHUYHFRUSRUDWHIRUPDOLWLHVLQFOXGLQJZLWKRXWOLPLWDWLRQIDLOLQJ
 WRNHHSPLQXWHVIURPERDUGPHHWLQJVDQGIDLOLQJWRQRWLI\VKDUHKROGHUVDQGRWKHUHTXLW\
 KROGHUVRIERDUGPHHWLQJVDQGIDLOLQJWRUHFRUGWKHHTXLW\LQWHUHVWVRIERWKDFWXDODQG
 SURPLVHGHTXLW\KROGHUVLQFOXGLQJ3/$,17,))3/$,17,))LVLQIRUPHGDQGEHOLHYHV
 DQGWKHUHRQDOOHJHVWKDW'¶$/(66,2DQG'RHFRQGXFWHGWKHEXVLQHVVRIWKHWKUHH RU
 IRXU HQWLWLHVIRUWKHLURZQSHUVRQDOEHQHILWDQGDWWKHH[SHQVHRIWKHHQWLWLHVDQGWKH
 HQWLWLHV¶HTXLW\KROGHUV7KHVHDFWVGHPRQVWUDWHDXQLW\RILQWHUHVWEHWZHHQ
 '¶$/(66,2DQGRU'RHRQWKHRQHKDQGDQG5<'(678',26DQGWKH9HQWXUHRQ
 WKHRWKHUKDQGRUDPRQJDOORIWKHPVXFKWKDWWKHOHJDOILFWLRQRIWKHVHEXVLQHVV
 HQWLWLHVDVVHSDUDWHOHJDOHQWLWLHVFHDVHVWRH[LVW$FFRUGLQJO\DQ\OLDELOLW\RI
 '¶$/(66,25<'(678',26WKH9HQWXUHDQGRU'RHVKRXOGEHERUQHMRLQWO\DQG
 HTXDOO\E\HDFKRIWKHPDVLIWKH\ZHUHWKHVDPH
  $FFRUGLQJO\HLWKHU'¶$/(66,2WKH9HQWXUHDQGRU'RHDUHWKHWUXH
 FRQWUDFWLQJSDUWLHV RUDGGLWLRQDOFRQWUDFWLQJSDUWLHV WRWKHDERYHGHVFULEHGIDOVH
 SURPLVHFRQWUDFWRUWKH\DUHOLDEOHIRUWKHREOLJDWLRQVDQGEUHDFKHVRI5<'(
 678',26DVLIWKH\ZHUHSXUVXDQWWRDOWHUHJRGRFWULQH
  3ODLQWLIILVLQIRUPHGDQGEHOLHYHVDQGRQWKDWEDVLVDOOHJHVWKDW5<'(
 678',26DQG'RHVWKURXJKNQHZE\QRODWHUWKDQRQRUDERXW1RYHPEHU
 WKDW'¶$/(66,2*,%%6DQG%25'2ZHUHHQJDJHGLQWKHPLVFRQGXFWGHVFULEHG
 DERYHDQGWKDWLWZDVZURQJIXO3ODLQWLIILVLQIRUPHGDQGEHOLHYHVDQGRQWKDWEDVLV

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 109 of 129 Page ID #:109

 DOOHJHVWKDWZLWKVXFKNQRZOHGJH5<'(678',26DQGRU'RHVWKURXJKDJUHHGWR
 DVVLVWDQGGLGDVVLVW'¶$/(66,2*,%%6DQG%25'2LQFRQVXPPDWLQJWKHLUIUDXG
 DJDLQVW3/$,17,))LQFOXGLQJZLWKRXWOLPLWDWLRQE\DFWLYHO\DVVLVWLQJ'¶$/(66,2
 *,%%6DQG%25'2LQVWULSSLQJ3/$,17,))RISURPLVHGMREUHVSRQVLELOLWLHVDQG
 RSSRUWXQLWLHVSXUSRUWLQJWRFKDQJHWKHWHUPVRI3/$,17,))¶6EXVLQHVVUHODWLRQVKLS
 ZLWKGHIHQGDQWVLQZD\VDGYHUVHWR3/$,17,))DQGFRQWUDU\WRWKHSURPLVHVDQG
 UHSUHVHQWDWLRQVRIGHIHQGDQWVDQGE\DFWLYHO\DVVLVWLQJ'¶$/(66,2*,%%6DQG
 %25'2LQGHSULYLQJ3/$,17,))RIKHUHDUQLQJVDQGRWKHUFRPSHQVDWLRQERWKHDUQHG
 DQGSURVSHFWLYH3ODLQWLIILVLQIRUPHGDQGEHOLHYHVDQGRQWKDWEDVLVDOOHJHVWKDWDWD
 PLQLPXP5<'(678',26DQGRU'RHVWKURXJKDLGHGDQGDEHWWHGWKHIUDXGXOHQW
 FRQGXFWRI'¶$/(66,2*,%%6DQG%25'2E\JLYLQJVXEVWDQWLDODVVLVWDQFHDQGRU
 HQFRXUDJHPHQWWR'¶$/(66,2*,%%6DQG%25'25<'(678',26DQGRU'RHV
 WKURXJKDUHWKXVOLDEOHIRUWKHWRUWLRXVFRQGXFWRI'¶$/(66,2*,%%6DQG%25'2
 WKDWWKH\VRDLGHGDQGDEHWWHGDVLIVDLGDLGLQJDQGDEHWWLQJ'HIHQGDQWVKDGHQJDJHGLQ
 VDLGFRQGXFWWKHPVHOYHVRUDUHRWKHUZLVHYLFDULRXVO\OLDEOHWR3/$,17,))IRUVXFK
 FRQGXFWLQFOXGLQJZLWKRXWOLPLWDWLRQXQGHUSULQFLSOHVRIDJHQF\DQGRUFRQVSLUDF\
  'HIHQGDQWVDQGHDFKRIWKHPGLGWKHWKLQJVKHUHLQDOOHJHGPDOLFLRXVO\
 NQRZLQJO\ZLOOIXOO\DQGZLWKWKHGHOLEHUDWHLQWHQWLRQRILQMXULQJDQGRSSUHVVLQJ
 3/$,17,))DQGZLWKFRQVFLRXVDQGUHFNOHVVGLVUHJDUGRIKHUULJKWV'HIHQGDQWV¶
 FRQGXFWZDVIUDXGXOHQWPDOLFLRXVDQGRSSUHVVLYHDQGE\UHDVRQWKHUHRI3/$,17,))
 LVHQWLWOHGWRH[HPSODU\DQGSXQLWLYHGDPDJHVLQDQDPRXQWDFFRUGLQJWRSURRIDWWULDO
 6(9(17+&/$,0)255(/,()
 $&&2817,1*
 (Against Defendants Ryde Studios, LLC, Richard D’Alessio and Doe 1)
  3/$,17,))UHDOOHJHVDQGLQFRUSRUDWHVKHUHLQE\UHIHUHQFHDOORIWKH
 IRUHJRLQJDQGIROORZLQJSDUDJUDSKVRIWKLV&RPSODLQWDVLIIXOO\VHWIRUWK
  7RWKHH[WHQWDQ\RIWKHDOOHJDWLRQVRUWKHRULHVLQWKLV6HYHQWK&ODLPIRU
 5HOLHIDUHLQFRQVLVWHQWZLWKRWKHUDOOHJDWLRQVRUWKHRULHVSOHDGLQWKLV&RPSODLQWWKH\

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 110 of 129 Page ID #:110

 DUHSOHDGLQWKHDOWHUQDWLYH
  $UHODWLRQVKLSH[LVWVDPRQJ3/$,17,))DQGWKHGHIHQGDQWVWRWKLVFODLP
 WRUHOLHIVXFKWKDWHVSHFLDOO\XQGHUDOOWKHFLUFXPVWDQFHVOHJDOUHPHGLHVDUHLQDGHTXDWH
 WRSURWHFW3/$,17,))¶6ULJKWVDQGDQDFFRXQWLQJLQHTXLW\LVQHFHVVDU\
  $QXQNQRZQEDODQFHLVGXHIRUWKHYDOXHRI3/$,17,))¶6RZQHUVKLS
 LQWHUHVWVLQ5<'(678',26WKH9HQWXUH'¶$/(66,2¶6FRPPHUFLDOGLUHFWLQJ
 EXVLQHVVDQGRU'RHLQFOXGLQJZLWKRXWOLPLWDWLRQWKHIDLUPDUNHWYDOXHRI
 3/$,17,))¶6RZQHUVKLSLQWHUHVWVDQGDQ\GLVWULEXWLRQVWKDWDPRXQWFDQQRWEH
 DVFHUWDLQHGZLWKRXWDQDFFRXQWLQJDQGWKHPHDQVRIVXFKDFFRXQWLQJDUHZLWKLQWKH
 NQRZOHGJHRIGHIHQGDQWVRUWKHLUDJHQWV
  3/$,17,))LVIXUWKHULQIRUPHGDQGEHOLHYHVDQGRQWKDWEDVLVDOOHJHVWKDW
 WKHDFFRXQWVDUHVRFRPSOLFDWHGWKDWDQRUGLQDU\OHJDODFWLRQGHPDQGLQJDIL[HGVXPLV
 LPSUDFWLFDEOH
 

 35$<(5)255(/,()
 :+(5()25(3/$,17,))SUD\VMXGJPHQWEHHQWHUHGLQKHUIDYRUDQGDJDLQVW
 'HIHQGDQWVDQGHDFKRIWKHPDVIROORZV
 
 First Claim for Relief
 (Declaratory Judgment and Accounting pursuant to the Copyright Act)
  )RUDGHFODUDWRU\MXGJPHQWWKDW3/$,17,))EHDGMXGLFDWHGDVWKHVROH
 DXWKRUDQGVROHRZQHURIDRQHKXQGUHGSHUFHQW  LQWHUHVWRUFRDXWKRUDQGFR
 RZQHURIDQXQGLYLGHGSDUWLDOLQWHUHVWLQDQGWRWKHFRS\ULJKWLQHDFKRIWKH&ODLPHG
 :RUNV
  7RH[WHQWWKDWDQ\GHIHQGDQWVKDYHUHFHLYHGDQ\SURFHHGVRUUHYHQXHV
 IURPWKH&ODLPHG:RUNV3/$,17,))VHHNVDQDFFRXQWLQJRIVDLGSURFHHGVRU
 UHYHQXHVLQWKHHYHQWWKDWDQ\GHIHQGDQWVKDYHUHFHLYHGDQ\RI3/$,17,))¶6VKDUHRI
 WKHIUXLWVRUSURFHHGVRIHDFKRIWKH&ODLPHG:RUNV

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 111 of 129 Page ID #:111

 
 Second Claim for Relief
 (Declaratory Judgment under the California Revised Uniform Partnership Act, Cal.
 Corp. Code §§ 16100, et seq.)
  )RUDMXGLFLDOGHFODUDWLRQWKDW3/$,17,))ZDVLVDQGUHPDLQVDSDUWQHURI
 WKH.DW %DUH9HQWXUHDQGLVHQWLWOHGWRVKDUHLQWKHSURILWVRIWKHSDUWQHUVKLS
 LQFOXGLQJEXWQRWOLPLWHGWRDOOSURILWVIURPWKHDVVHWVRIWKHSDUWQHUVKLSWKDWKDYHEHHQ
 FUHDWHGVRIDU
 
 Third Claim for Relief
 (Breach of Contract)
  )RUJHQHUDOGDPDJHVLQDPRXQWWREHSURYHGDWWULDOEXWEHOLHYHGWREHDW
 OHDVW
  )RUVXFKRWKHUJHQHUDODQGVSHFLDOGDPDJHVDVPD\EHVKRZQE\SURRIDW
 WULDO
  )RUSUHMXGJPHQWLQWHUHVWDWWKHOHJDOUDWH
  )RU3/$,17,))¶6FRVWVRIVXLW
  )RUVXFKIXUWKHUUHOLHIDVWKH&RXUWGHHPVMXVWDQGSURSHU
 
 Fourth Claim for Relief
 (Breach of the Covenant of Good Faith and Fair Dealing)
  )RUJHQHUDOGDPDJHVLQDPRXQWWREHSURYHGDWWULDOEXWEHOLHYHGWREHDW
 OHDVW
  )RUVXFKRWKHUJHQHUDODQGVSHFLDOGDPDJHVDVPD\EHVKRZQE\SURRIDW
 WULDO
  )RUSUHMXGJPHQWLQWHUHVWDWWKHOHJDOUDWH
  )RU3/$,17,))¶6FRVWVRIVXLW
  )RUVXFKIXUWKHUUHOLHIDVWKH&RXUWGHHPVMXVWDQGSURSHU

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 112 of 129 Page ID #:112

 Fifth Claim for Relief


 (Promissory Estoppel)
  )RUJHQHUDOGDPDJHVLQDPRXQWWREHSURYHGDWWULDOEXWEHOLHYHGWREHDW
 OHDVW
  )RUVXFKRWKHUJHQHUDODQGVSHFLDOGDPDJHVDVPD\EHVKRZQE\SURRIDW
 WULDO
  )RUSUHMXGJPHQWLQWHUHVWDWWKHOHJDOUDWH
  )RU3/$,17,))¶6FRVWVRIVXLW
  )RUVXFKIXUWKHUUHOLHIDVWKH&RXUWGHHPVMXVWDQGSURSHU
 
 Sixth Claim for Relief
 (Fraud)
  )RUJHQHUDOGDPDJHVVXEMHFWWRSURRIDWWULDOEXWEHOLHYHGWREHQROHVVWKDQ
 
  )RUSXQLWLYHGDPDJHV
  )RUSUHMXGJPHQWLQWHUHVWDWWKHOHJDOUDWH
  )RULPSRVLWLRQRIDFRQVWUXFWLYHWUXVWXSRQDOOPRQLHVRURWKHU
 FRQVLGHUDWLRQUHFHLYHGRUWREHUHFHLYHGE\GHIHQGDQWVWRWKLVFODLPIURPH[SORLWDWLRQ
 RIWKHEXVLQHVVFRQWDFWVDQGRWKHUUHVRXUFHVDQGDVVHWVZKLFK3/$,17,))SURYLGHGWR
 GHIHQGDQWVLQUHOLDQFHRQWKHLUIDOVHUHSUHVHQWDWLRQVDQGIDOVHSURPLVHV
  )RU3/$,17,))¶6FRVWVRIVXLW
  )RUVXFKIXUWKHUUHOLHIDVWKH&RXUWGHHPVMXVWDQGSURSHU
 
 Seventh Claim for Relief
 (Accounting)
  )RUDQDFFRXQWLQJEHWZHHQ3/$,17,))DQGGHIHQGDQWV
  )RUSD\PHQWRYHUWR3/$,17,))RIWKHDPRXQWGXHIURPHDFKRIWKH
 GHIHQGDQWVDVDUHVXOWRIWKHDFFRXQWDQGLQWHUHVWRQWKDWDPRXQWIURPDQGDIWHUWKHGDWH

 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 113 of 129 Page ID #:113

 WKDWHDFKDPRXQWZDVGXH
  )RU3/$,17,))¶6FRVWVRIVXLW
  )RUVXFKIXUWKHUUHOLHIDVWKH&RXUWGHHPVMXVWDQGSURSHU
 


'DWHG0DUFK $1'(5621<(+3&
  
  %\ 
  (GZDUG0$QGHUVRQ
$WWRUQH\VIRU3ODLQWLII+$/(<&$0,//(
 )5(('0$1
 



















 &203/$,17
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 114 of 129 Page ID #:114

 '(0$1')25-85<75,$/
 2QKHU&RPSODLQWDJDLQVWGHIHQGDQWV5<'(678',26//&1,&+2/$6
 *,%%65,&+$5''¶$/(66,2%(&.<7$+(/%25'2DQG'2(6WR
 LQFOXVLYHSODLQWLII+$/(<&$0,//()5(('0$1KHUHE\GHPDQGVDWULDOE\MXU\RI
 DOOPDWWHUVWULDEOHWRDMXU\
 
 'DWHG0DUFK $1'(5621<(+3&
 

 %\ 
  (GZDUG0$QGHUVRQ
 $WWRUQH\VIRU3ODLQWLII+$/(<&$0,//(
)5(('0$1









      

       














 '(0$1')25-85<75,$/
Case 2:18-cv-01913 Document 1 Filed 03/07/18 Page 115 of 129 Page ID #:115

EXHIBIT A
2/2/2018 Kat&Bare1(@katandbare)
Case 2:18-cv-01913 Document • InstagramPage
Filed 03/07/18 photos and
116videos
of 129 Page ID #:116

Search Search

katandbare Follow

159 posts 17.3k followers 43 following

Kat&Bare Fashion Films

https://www.instagram.com/katandbare/ 1/14
2/2/2018 Kat&Bare1(@katandbare)
Case 2:18-cv-01913 Document • InstagramPage
Filed 03/07/18 photos and
117videos
of 129 Page ID #:117

https://www.instagram.com/katandbare/ 2/14
2/2/2018 Kat&Bare1(@katandbare)
Case 2:18-cv-01913 Document • InstagramPage
Filed 03/07/18 photos and
118videos
of 129 Page ID #:118

https://www.instagram.com/katandbare/ 3/14
2/2/2018 Kat&Bare1(@katandbare)
Case 2:18-cv-01913 Document • InstagramPage
Filed 03/07/18 photos and
119videos
of 129 Page ID #:119

https://www.instagram.com/katandbare/ 4/14
2/2/2018 Kat&Bare1(@katandbare)
Case 2:18-cv-01913 Document • InstagramPage
Filed 03/07/18 photos and
120videos
of 129 Page ID #:120

https://www.instagram.com/katandbare/ 5/14
2/2/2018 Kat&Bare1(@katandbare)
Case 2:18-cv-01913 Document • InstagramPage
Filed 03/07/18 photos and
121videos
of 129 Page ID #:121

https://www.instagram.com/katandbare/ 6/14
2/2/2018 Kat&Bare1(@katandbare)
Case 2:18-cv-01913 Document • InstagramPage
Filed 03/07/18 photos and
122videos
of 129 Page ID #:122

https://www.instagram.com/katandbare/ 7/14
2/2/2018 Kat&Bare1(@katandbare)
Case 2:18-cv-01913 Document • InstagramPage
Filed 03/07/18 photos and
123videos
of 129 Page ID #:123

https://www.instagram.com/katandbare/ 8/14
2/2/2018 Kat&Bare1(@katandbare)
Case 2:18-cv-01913 Document • InstagramPage
Filed 03/07/18 photos and
124videos
of 129 Page ID #:124

https://www.instagram.com/katandbare/ 9/14
2/2/2018 Kat&Bare1(@katandbare)
Case 2:18-cv-01913 Document • InstagramPage
Filed 03/07/18 photos and
125videos
of 129 Page ID #:125

https://www.instagram.com/katandbare/ 10/14
2/2/2018 Kat&Bare1(@katandbare)
Case 2:18-cv-01913 Document • InstagramPage
Filed 03/07/18 photos and
126videos
of 129 Page ID #:126

https://www.instagram.com/katandbare/ 11/14
2/2/2018 Kat&Bare1(@katandbare)
Case 2:18-cv-01913 Document • InstagramPage
Filed 03/07/18 photos and
127videos
of 129 Page ID #:127

https://www.instagram.com/katandbare/ 12/14
2/2/2018 Kat&Bare1(@katandbare)
Case 2:18-cv-01913 Document • InstagramPage
Filed 03/07/18 photos and
128videos
of 129 Page ID #:128

https://www.instagram.com/katandbare/ 13/14
2/2/2018 Kat&Bare1(@katandbare)
Case 2:18-cv-01913 Document • InstagramPage
Filed 03/07/18 photos and
129videos
of 129 Page ID #:129

ABOUT US SUPPORT BLOG PRESS API JOBS

PRIVACY TERMS DIRECTORY PROFILES LANGUAGE

© 2018 INSTAGRAM

https://www.instagram.com/katandbare/ 14/14

S-ar putea să vă placă și