02a0326p.06

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

5(&200(1'(' )25 )8//7(;7 38%/,&$7,21
3XUVXDQW WR 6L[WK &LUFXLW 5XOH
(/(&7521,& &,7$7,21 )(' $SS 3 WK &LU
)LOH 1DPH DS
81,7('67$7(6&28572)$33($/6
)257+(6,;7+&,5&8,7
BBBBBBBBBBBBBBBBB
81,7(' 67$7(6 2) $0(5,&$
3ODLQWLII$SSHOOHH
Y
/$'$55</ .,0%/(
'HIHQGDQW$SSHOODQW
;!

1
1R
$SSHDOIURPWKH8QLWHG6WDWHV'LVWULFW&RXUW
IRUWKH:HVWHUQ'LVWULFWRI0LFKLJDQDW*UDQG5DSLGV
1R²5REHUW+ROPHV%HOO&KLHI'LVWULFW-XGJH
$UJXHG$XJXVW
'HFLGHGDQG)LOHG6HSWHPEHU
%HIRUH0225(DQG&2/(&LUFXLW-XGJHV0$5%/(<
'LVWULFW-XGJH
BBBBBBBBBBBBBBBBB
&2816(/
$5*8(' 'DQLHO 5 )DJDQ '$1,(/ 5 )$*$1
$662&,$7(6 *UDQG 5DSLGV 0LFKLJDQ IRU $SSHOODQW
%ULDQ . 'HODQH\ $66,67$17 81,7(' 67$7(6

-- 1 of 6 --

8QLWHG6WDWHVY.LPEOH 1R
$77251(< *UDQG 5DSLGV 0LFKLJDQ IRU $SSHOOHH
21 %5,() 'DQLHO 5 )DJDQ '$1,(/ 5 )$*$1
$662&,$7(6 *UDQG 5DSLGV 0LFKLJDQ IRU $SSHOODQW
%ULDQ . 'HODQH\ $66,67$17 81,7(' 67$7(6
$77251(<*UDQG5DSLGV0LFKLJDQIRU$SSHOOHH
BBBBBBBBBBBBBBBBB
23,1,21
BBBBBBBBBBBBBBBBB
5 *8< &2/( -5 &LUFXLW -XGJH /DGDUU\O .LPEOH
DSSHDOVKLVVHQWHQFHUHVXOWLQJIURPDMXGJPHQWRIFULPLQDO
FRQWHPSWWKDWDURVHRXWRIKLVUHIXVDOWRWHVWLI\DWWKHFULPLQDO
WULDORIWZRGHIHQGDQWV.LPEOHDUJXHVWKDWWKHGLVWULFWFRXUW
LPSURSHUO\ DSSOLHG D 8QLWHG 6WDWHV 6HQWHQFLQJ *XLGHOLQHV
³866*´RU³*XLGHOLQHV´ FURVVUHIHUHQFHSURYLVLRQLQWKH
FDOFXODWLRQ RI KLV VHQWHQFH UHVXOWLQJ LQ D PXFK OHQJWKLHU
VHQWHQFHWKDQKHZRXOGKDYHUHFHLYHGDEVHQWDSSOLFDWLRQRI
WKHSURYLVLRQ.LPEOHQRZDSSHDOVIURPWKHGLVWULFWFRXUW¶V
VHQWHQFH RI VHYHQW\ PRQWKV LQFDUFHUDWLRQ IRU FULPLQDO
FRQWHPSW
7KLVDSSHDOSUHVHQWVRQHLVVXHIRURXUUHYLHZ ZKHWKHU
WKH GLVWULFW FRXUW SURSHUO\ DSSOLHG WKH *XLGHOLQHV † ;
$FFHVVRU\ $IWHU WKH )DFW FURVVUHIHUHQFH SURYLVLRQ LQ
† - F ZKHUH WKH GHIHQGDQW SOHDGHG JXLOW\ WR
REVWUXFWLQJ MXVWLFH XQGHU 86& † E\ UHIXVLQJ WR
WHVWLI\DWDFULPLQDOWULDO%HFDXVHWKHDSSOLFDWLRQRIWKH
† ; FURVVUHIHUHQFH SURYLVLRQ ZDV PDQGDWRU\ ZH
$)),50WKHMXGJPHQWRIWKHGLVWULFWFRXUW
%$&.*5281'
$)DFWXDO%DFNJURXQG
2Q0DUFKZKLOHVHUYLQJDVWDWHSULVRQVHQWHQFH
IRUDGUXJUHODWHGKRPHLQYDVLRQ.LPEOHZDVFDOOHGWRWHVWLI\
EHIRUHDJUDQGMXU\LQYHVWLJDWLQJ.ZDQ$QGUHZ:LQVWRQDQG
7LUUHOO/DVKRQH&OHPPRQVIRUDGUXJFRQVSLUDF\DQGDGUXJ
UHODWHGKRPLFLGH,QH[FKDQJHIRUKLVWHVWLPRQ\EHIRUHWKH

-- 2 of 6 --

1R 8QLWHG6WDWHVY.LPEOH
JUDQGMXU\.LPEOHZDVRIIHUHGLPPXQLW\IURPSURVHFXWLRQ
IRU DQ\ HYLGHQFH JDUQHUHG DJDLQVW KLP LQ WKH JUDQG MXU\
SURFHHGLQJV.LPEOHDFFHSWHGWKHRIIHUDQGWHVWLILHGEHIRUH
WKHJUDQGMXU\UHVXOWLQJLQDQLQGLFWPHQWDJDLQVW:LQVWRQDQG
&OHPPRQV 7KH 8QLWHG 6WDWHV WKHQ ILOHG D PRWLRQ LQ WKH
GLVWULFW FRXUW WR FRPSHO .LPEOH¶V WHVWLPRQ\ DW WKH WULDO RI
:LQVWRQ DQG &OHPPRQV 7KH GLVWULFW FRXUW JUDQWHG WKH
PRWLRQ
3ULRUWRWULDO.LPEOHLQIRUPHGWKHJRYHUQPHQWWKDWKHZDV
QRWZLOOLQJWRWHVWLI\DWWKHWULDOEHFDXVHIHOORZLQPDWHVKDG
OHDUQHGRIKLVJUDQGMXU\WHVWLPRQ\ZKLFKSODFHGKLVZHOIDUH
DWSHULO,QLQWHUYLHZVZLWKSURVHFXWRUVDQGODWHUGXULQJWKH
SUHVHQWHQFHLQWHUYLHZ.LPEOHH[SUHVVHGKLVGLVVDWLVIDFWLRQ
ZLWKWKHJRYHUQPHQW¶VIDLOXUHWRSURYLGHKLPDGGLWLRQDOVDIHW\
SUHFDXWLRQVDWWKHSULVRQDQGWRKRQRUKLVUHTXHVWIRUWUDQVIHU
WRDGLIIHUHQWFRUUHFWLRQDOIDFLOLW\.LPEOHEDVHGKLVFRQFHUQV
RQWKHDGGLWLRQDOIDFWWKDW:LQVWRQ¶VEURWKHUZDVLQFDUFHUDWHG
LQWKHVDPHVWDWHIDFLOLW\WKHUHE\SUHVHQWLQJDFUHGLEOHWKUHDW
WR.LPEOH¶VVDIHW\
7KHWULDORI:LQVWRQDQG&OHPPRQVEHJDQRQ2FWREHU
.LPEOHZDVFDOOHGWRWHVWLI\RQ2FWREHU+H
ZDV SODFHG XQGHU RDWK UHPLQGHG RI KLV LPPXQLW\ IURP
SURVHFXWLRQDQGZDUQHGRIWKHFRQVHTXHQFHVIRUUHIXVLQJWR
WHVWLI\,QH[SODLQLQJKLVUHIXVDOWRWHVWLI\.LPEOHVDLGKH
UHIXVHG³EHFDXVH,GRQ¶WZDQWWR´7KHGLVWULFWFRXUWRUGHUHG
WKHDSSRLQWPHQWRIFRXQVHOIRU.LPEOHDQGWKHQGLVPLVVHG
.LPEOHIRUWKHEDODQFHRIWKHGD\7KHQH[WGD\2FWREHU
.LPEOHZDVDJDLQEURXJKWEHIRUHWKHGLVWULFWFRXUWDQG
DJDLQRUGHUHGWRWHVWLI\8SRQKLVFRQWLQXHGUHIXVDOWKHFRXUW
IRXQGKLPLQFLYLOFRQWHPSWDQGVHQWHQFHGKLPWRWKLUW\GD\V
LQFDUFHUDWLRQWREHVHUYHGIROORZLQJWKHFRPSOHWLRQRIKLV
VWDWH VHQWHQFH 7KH GLVWULFW FRXUW WKHQ JUDQWHG WKH
JRYHUQPHQW¶V UHTXHVW WR LPPHGLDWHO\ TXHVWLRQ .LPEOH LQ
RUGHU WR HVWDEOLVK D UHFRUG IRU D SRVVLEOH IXWXUH FULPLQDO
FRQWHPSW SURFHHGLQJ :LQVWRQ DQG &OHPPRQV ZHUH
FRQYLFWHGRIILUVWGHJUHHPXUGHUQRWZLWKVWDQGLQJWKHDEVHQFH
RI.LPEOH¶VWHVWLPRQ\

-- 3 of 6 --

8QLWHG6WDWHVY.LPEOH 1R
86& † 3RZHU RI &RXUW SURYLGHV
$ FRXUW RI WKH 8QLWHG 6WDWHV VKDOO KDYH SRZHU WR SXQLVK E\ ILQH
RU LPSULVRQPHQW DW LWV GLVFUHWLRQ VXFK FRQWHPSW RI LWV DXWKRULW\
DQG QRQH RWKHU DV

'LVREHGLHQFH RU UHVLVWDQFH WR LWV ODZIXO ZULW SURFHVV RUGHU
UXOH GHFUHH RU FRPPDQG
6HFWLRQ DOVR SURYLGHV WKH GLVWULFW FRXUW ZLWK EURDG GLVFUHWLRQ LQ
UHDFKLQJ D VHQWHQFH SURYLGLQJ IRU QR PLQLPXP RU PD[LPXP VHQWHQFH
7KH 3OHD $JUHHPHQW LQ UHOHYDQW SDUW SURYLGHV
3XUVXDQW WR † % RI WKH 6HQWHQFLQJ *XLGHOLQHV WKH 8QLWHG
6WDWHV DQG WKH 'HIHQGDQW DJUHH DQG VWLSXODWH DV IROORZV

F 6HFWLRQ - 2EVWUXFWLRQ RI -XVWLFH LV WKH PRVW
DQDORJRXV RIIHQVH JXLGHOLQH IRU 'HIHQGDQW¶V FULPLQDO
FRQGXFW 7KLV VHFWLRQ SURYLGHV IRU D EDVH RIIHQVH OHYHO
RI 6HH &RPPHQWDU\ $SSOLFDWLRQ 1RWH WR † -

H 'HIHQGDQW¶V WRWDO RIIHQVH OHYHO VKRXOG EH FDOFXODWHG
DV

7KH &RXUW LV QRW ERXQG E\ WKH VWLSXODWLRQV FRQWDLQHG LQ
%3URFHGXUDO+LVWRU\
2Q'HFHPEHU.LPEOHZDVLQGLFWHGE\DJUDQG
MXU\XQGHU 86&†IRUFULPLQDOFRQWHPSWIRUKLV
UHIXVDO WR WHVWLI\ DW WKH WULDO RI :LQVWRQ DQG &OHPPRQV
&RXQWRQHFKDUJHG.LPEOHZLWKGLVREH\LQJDQRUGHURIWKH
FRXUWIRUUHIXVLQJWRJLYHWHVWLPRQ\DWWULDOUHJDUGLQJ:LQVWRQ
&RXQWWZRFKDUJHG.LPEOHZLWKGLVREH\LQJDQRUGHURIWKH
FRXUWIRUKLVJHQHUDOUHIXVDOWRWHVWLI\DWWULDO.LPEOHSOHDGHG
JXLOW\WRFRXQWRQHRIWKHLQGLFWPHQWRQ)HEUXDU\
7KH *XLGHOLQHV PDNH QR VHQWHQFH UHFRPPHQGDWLRQ IRU
FULPLQDO FRQWHPSW FRQYLFWLRQV VHH † - LQVWHDG
HQFRXUDJLQJ WKH VHQWHQFLQJ MXGJH WR DSSO\ ³WKH PRVW
DQDORJRXVRIIHQVHJXLGHOLQH´†;.LPEOHFRQFHGHGLQ
KLVSOHDDJUHHPHQWWKDWWKHPRVWDQDORJRXVRIIHQVHJXLGHOLQH
LV † - 2EVWUXFWLRQ RI -XVWLFH 6HFWLRQ - DOVR
1R 8QLWHG6WDWHVY.LPEOH
PDQGDWRU\0LOOHU)GDWVHHDOVR6KDED]]
)G DW UHFRJQL]LQJ WKH DXWKRULW\ RI DQG FLWLQJ WR
0LOOHU .LPEOH¶VFODLPWKDWKHZDVQRWDFWXDOO\DQDFFHVVRU\
DIWHUWKHIDFWWRWKHKRPLFLGHDWLVVXHKHUHLVQRWUHOHYDQWDV
LWGRHVQRWPDWWHUZKHWKHUWKHGHIHQGDQWLVDFWXDOO\JXLOW\RI
WKH FULPH UHIHUHQFHG LQ † ; LQ RUGHU IRU WKH KLJKHU
VHQWHQFHUHFRPPHQGDWLRQWREHLPSRVHG6HH$ULDV)G
DW5XVVHOO)GDW%UHQVRQ)GDW
&21&/86,21
)RUWKHIRUHJRLQJUHDVRQVZH$)),50WKHMXGJPHQWRI
WKHGLVWULFWFRXUW

-- 4 of 6 --

8QLWHG6WDWHVY.LPEOH 1R
%$QDO\VLV
.LPEOHDUJXHVWKDWWKHGLVWULFWFRXUWHUUHGE\DSSO\LQJWKH
† ; FURVVUHIHUHQFH SURYLVLRQ IRXQG LQ WKH *XLGHOLQH
UHFRPPHQGDWLRQ IRU 2EVWUXFWLRQ RI -XVWLFH † - 3XW
GLIIHUHQWO\.LPEOHDVVHUWVWKDWKLVVHQWHQFHVKRXOGKDYHEHHQ
FDOFXODWHGZLWKUHIHUHQFHWRWKHSURYLVLRQVRI†-DQGQRW
†;
:KHQ VHQWHQFLQJ D GHIHQGDQW XQGHU † - WKH GLVWULFW
FRXUWLV³UHTXLUHGWRFDOFXODWHWKHEDVHRIIHQVHOHYHOIRUWKH
RIIHQVHRIFRQYLFWLRQXQGHUERWKWKHμ2EVWUXFWLRQRI-XVWLFH¶
JXLGHOLQH 866* † - DQG WKH μ$FFHVVRU\ $IWHU WKH
)DFW¶ JXLGHOLQH † ; DQG DSSO\ WKH JUHDWHU RI WKH WZR
VHQWHQFHV´0LOOHU)GDW HPSKDVLVDGGHG 6HH
DOVR8QLWHG6WDWHVY6KDED]])G WK&LU
³%HFDXVH6KDED]]¶VRIIHQVHLQYROYHGREVWUXFWLQJWKH
SURVHFXWLRQRIDFULPLQDORIIHQVHWKHFRXUWZDVWKHQUHTXLUHG
WR GHWHUPLQH WKH RIIHQVH OHYHO XQGHU WKH FURVVUHIHUHQFHG
$FFHVVRU\$IWHUWKH)DFWJXLGHOLQH866*†;,I
WKHRIIHQVHOHYHOUHVXOWLQJIURPWKLVFDOFXODWLRQLVJUHDWHUWKDQ
WKH RIIHQVH OHYHO FDOFXODWHG SXUVXDQW WR 866*
† - E WKHQ WKH JUHDWHU RIIHQVH OHYHO PXVW EH
DSSOLHG´ ,WLVQRWQHFHVVDU\IRUWKHJRYHUQPHQWWRSURYH
IDFWV VXIILFLHQW WR HVWDEOLVK D GHIHQGDQW¶V JXLOW DV DQ
³$FFHVVRU\ $IWHU WKH )DFW´ LQ RUGHU WR LPSRVH D VHQWHQFH
XQGHU†;WKHVHFWLRQPHUHO\VHUYHVDVDWRROWRFDOFXODWH
WKH EDVH RIIHQVH OHYHO ³IRU SDUWLFXODUO\ VHULRXV REVWUXFWLRQ
RIIHQVHV´8QLWHG6WDWHVY5XVVHOO)G WK
&LU $FFRUG8QLWHG6WDWHVY%UHQVRQ)G
WK &LU ,Q IDFW SURRI RI WKH XQGHUO\LQJ
RIIHQVHLVLPPDWHULDOVLQFHWKHSRLQWRIWKHFURVVUHIHUHQFHLV
WR³SXQLVKPRUHVHYHUHO\REVWUXFWLRQRISURVHFXWLRQV
ZLWKUHVSHFWWRPRUHVHULRXVFULPHV´8QLWHG6WDWHVY$ULDV
)G WK&LU
.LPEOH¶V DUJXPHQW WKDW WKH GLVWULFW FRXUW VKRXOG KDYH
DSSOLHGWKH†-2EVWUXFWLRQRI-XVWLFH*XLGHOLQHZLWKRXW
DOVR DSSO\LQJ WKH † ; FURVVUHIHUHQFH SURYLVLRQ IDLOV
$SSOLFDWLRQ RI WKH † ; FURVVUHIHUHQFH SURYLVLRQ LV
1R 8QLWHG6WDWHVY.LPEOH
SDUDJUDSK DERYH EXW PD\ ZLWK WKH DLG RI WKH SUHVHQWHQFH UHSRUW
GHWHUPLQH WKH IDFWV UHOHYDQW WR VHQWHQFLQJ
7KH FRPPHQWDU\ WR † - SURYLGHV VRPH LQVLJKW LQWR WKLV FURVV
UHIHUHQFH ,W VWDWHV
7KH VSHFLILF RIIHQVH FKDUDFWHULVWLFV UHIOHFW WKH PRUH VHULRXV
IRUPV RI REVWUXFWLRQ %HFDXVH WKH FRQGXFW FRYHUHG E\ WKLV
JXLGHOLQH LV IUHTXHQWO\ SDUW RI DQ HIIRUW WR DYRLG SXQLVKPHQW IRU
DQ RIIHQVH WKDW WKH GHIHQGDQW KDV FRPPLWWHG RU WR DVVLVW DQRWKHU
SHUVRQ WR HVFDSH SXQLVKPHQW IRU DQ RIIHQVH D FURVVUHIHUHQFH WR
† ; $FFHVVRU\ $IWHU WKH )DFW LV SURYLGHG 8VH RI WKLV
FURVVUHIHUHQFH ZLOO SURYLGH DQ HQKDQFHG RIIHQVH OHYHO ZKHQ WKH
REVWUXFWLRQ LV LQ UHVSHFW WR D SDUWLFXODUO\ VHULRXV RIIHQVH
ZKHWKHU VXFK RIIHQVH ZDV FRPPLWWHG E\ WKH GHIHQGDQW RU DQRWKHU
SHUVRQ
FRQWDLQVDVHQWHQFLQJFURVVUHIHUHQFHWR†; $FFHVVRU\
$IWHUWKH)DFW ZKLFKLVWREHDSSOLHGLIWKH³RIIHQVHLQYROYHG
REVWUXFWLQJ WKH LQYHVWLJDWLRQ RU SURVHFXWLRQ RI D FULPLQDO
RIIHQVH´6HFWLRQ;SURYLGHVIRUDEDVHRIIHQVHOHYHOVL[
OHYHOVORZHUWKDQWKHRIIHQVHOHYHORIIRUWKHXQGHUO\LQJ
RIIHQVHRIKRPLFLGH
$W WKH VHQWHQFLQJ KHDULQJ .LPEOH REMHFWHG WR WKH
DSSOLFDWLRQ RI † ; DUJXLQJ WKDW WKH SOHD DJUHHPHQW
FRQWHPSODWHGDEDVHRIIHQVHOHYHORIDVVHWIRUWKLQ†-
7KHGLVWULFWFRXUWGLVDJUHHGQRWLQJWKDWLWZDVERXQGE\WKH
*XLGHOLQHVWRDSSO\WKH†;FURVVUHIHUHQFH,QKDQGLQJ
GRZQWKHVHQWHQFHWKHGLVWULFWFRXUWMXGJHVWDWHG
7KLV &RXUW LV QRW XQPLQGIXO RI WKH IDFW WKDW WKLV LV D
UHIXVDOWRWHVWLI\7KLVDSSDUHQWO\LQYROYHVDPDWWHURID
VWDWHPHQW DQG D UHWUDFWLRQ RI DQ HDUOLHU VWDWHPHQW D
WHVWLPRQ\JLYHQJUDQGMXU\DUHWUDFWLRQDQGUHIXVDOWR
WHVWLI\EHIRUHD8QLWHG6WDWHVGLVWULFWMXGJHLQWULDOZKHQ
VR DGYLVHG WKDW FRQWHPSW ZDV FRPLQJ IRU D IDLOXUH WR
WHVWLI\ 2EYLRXVO\ DQ H[WUHPHO\ VHULRXV XQGHUO\LQJ
RIIHQVHWKHQHFHVVLW\RIWHVWLPRQ\IURPWKLVGHIHQGDQW
EHLQJDEVROXWHO\PDQLIHVWIRUWKHGHOLYHU\RIMXVWLFH$QG
WKHGHIHQGDQW¶VUHIXVDOWRWHVWLI\EHFDXVHTXRWH³,GRQ¶W

-- 5 of 6 --

8QLWHG6WDWHVY.LPEOH 1R
ZDQWWR´HQGRITXRWHWKLV&RXUWEHOLHYHVJLYHVULVHWR
WKDWFURVVUHIHUHQFH
&HUWDLQO\ WKLV &RXUW KDV ZLWKLQ WKH UXEULF RI WKH
JXLGHOLQHV VRPH GLVFULPLQDWLRQ VRPH GLVFUHWLRQ WR
PRYHDOLWWOHELWRQWKLV%XWWKLV&RXUWEHOLHYHVWKDWWR
GUDZWKHGLVWLQFWLRQRIDVWLSXODWLRQLQZKLFKWKHSDUWLHV
DUHDWWHPSWLQJWRSHUVXDGHWKH&RXUWWRGURSDZD\IURP
D FURVVUHIHUHQFH WKLV &RXUW EHOLHYHV LV QRW JRRG
SUHFHGHQWQRWDJRRGSUHFHGHQWIRUIXWXUHFDVHVDQGGRHV
QRW DFFXUDWHO\ UHIOHFW WKH H[WUHPH VHULRXVQHVV RI WKLV
SDUWLFXODUPDWWHU
7KLVGHIHQGDQWNQHZRIWKHDEVROXWHVHULRXVQHVVRIWKH
SURFHHGLQJ+HNQHZRIWKHQHFHVVLW\RIWUXWKWHOOLQJ
+HNQHZRIWKHQHFHVVLW\RIKLVJHWWLQJRIIKLVFKHVWZKDW
KH NQHZ WR EH WUXH DQG DFFXUDWH DW WKH WLPH +H ZDV
ZDUQHGE\D8QLWHG6WDWHVGLVWULFWMXGJHWKDWKHZDVWR
DQVZHUWKHTXHVWLRQV+HDGDPDQWO\UHIXVHGWRGRVR
7KHUHIRUHWKLV&RXUWEHOLHYHVWKDWWKDWLVDVXEVWDQWLDO
REVWUXFWLRQ RI MXVWLFH XQGHU WKH FLUFXPVWDQFHV DQG
WKHUHIRUHZRXOGQRWHWKHREMHFWLRQVZRXOGSUHVHUYHWKHP
IRUSXUSRVHVRI3DUDJUDSKDQGLWVFURVVUHIHUHQFLQJ
DQGLWVDXWRPDWLFHQKDQFHPHQW
/HW PH VD\ RQFH DJDLQ WKDW WKLV LV EXW WKH WKRXVDQGWK
H[DPSOH RI WKH XQZRUNDELOLW\ RI WKHVH VRFDOOHG
JXLGHOLQHVWKDWWKHVRFDOOHG*XLGHOLQHV&RPPLVVLRQKDV
VWUDSSHGWKLV&RXUWLQWRWKHSRVLWLRQRI5HSHDWHGO\WKH
*XLGHOLQHV&RPPLVVLRQKDVVDLGWRWKHWULDOFRXUWOHWXV
NQRZZKHUHWKHVHVRFDOOHGJXLGHOLQHVGRQ¶WZRUNDQG
WKLVLVEXWDQH[DPSOHRIDQDWWHPSWWRPDWKHPDWLFDOO\
FDOFXODWHWKHLQQXPHUDEOHLQVWDQFHVRIKXPDQEHKDYLRU
WKDWJLYHULVHWRFULPLQDOFRQGXFWLQZKLFKLWLVOLWHUDOO\
DQGILJXUDWLYHO\LPSRVVLEOHWRTXDQWLI\$QDWWHPSWWRGR
VRDOEHLWFOXPV\OLNHWKLVXQGHUWKHFRPSXOVLRQRIWKH
MXGJHWRKDYHWRHPSOR\LWPD\RUPD\QRWEHLQWKHH\HV
RIVRPHMXVWLFH%XWLQIDFWLQWKLV&RXUW¶VYLHZDQGLWV
ILGHOLW\WRWKHODZDQGWRWKHIDLUDSSOLFDWLRQRIWKHODZ
1R 8QLWHG6WDWHVY.LPEOH
.LPEOH¶V RULJLQDO EDVH RIIHQVH OHYHO ZDV GHWHUPLQHG WR EH VL[ OHYHOV
ORZHU WKDQ WKH RIIHQVH OHYHO RI IRU WKH XQGHUO\LQJ RIIHQVH +RZHYHU
† ; SURYLGHV WKDW WKH RIIHQVH OHYHO PD\ QRW H[FHHG
7KH GLVWULFW FRXUW QRWHG WKDW WKLV GHSDUWXUH ZDV QHFHVVDU\ EHFDXVH
³WKH QDWXUH RI WKH LQFDUFHUDWLRQ ERWK DW WKH VWDWH DQG QRZ IHGHUDO OHYHO
ZRXOG EH XQZDUUDQWHG ZLWKRXW WKLV PLQRU DGMXVWPHQW´
JLYHVWKLV &RXUWQRDOWHUQDWLYHEXWWRDSSO\WKH
FURVVUHIHUHQFH
7KHMXGJHWKHQGHWHUPLQHGWKDW.LPEOHKDGDEDVHRIIHQVH
OHYHO RI SXUVXDQW WR † ; DQG WKH FURVVUHIHUHQFH
SURYLVLRQLQ†- F )ROORZLQJDGRZQZDUGGHSDUWXUH
RIWZROHYHOVSXUVXDQWWR†.DQGDWKUHHOHYHOUHGXFWLRQ
IRUDFFHSWDQFHRIUHVSRQVLELOLW\.LPEOH¶VRIIHQVHOHYHOZDV
GHFUHDVHG WR ZKLFK UHVXOWHG LQ D *XLGHOLQHV VHQWHQFH
UDQJH RI VHYHQW\ WR HLJKW\VHYHQ PRQWKV .LPEOH ZDV
VHQWHQFHGWRDWHUPRIVHYHQW\PRQWKVRILQFDUFHUDWLRQWREH
VHUYHG FRQVHFXWLYHO\ ZLWK KLV VWDWH SULVRQ VHQWHQFH 6HH
† * D UHTXLULQJ WKDW .LPEOH¶V VHQWHQFH UXQ
FRQVHFXWLYHO\ZLWKDQ\XQGLVFKDUJHGVWDWHVHQWHQFH
.LPEOHWLPHO\ILOHGDQRWLFHRIDSSHDORIKLVVHQWHQFHRQ
-XQH
',6&866,21
$6WDQGDUGRI5HYLHZ
:HUHYLHZIRUFOHDUHUURUDGLVWULFWFRXUW¶VIDFWXDOILQGLQJV
ZLWKUHVSHFWWRWKH*XLGHOLQHV8QLWHG6WDWHVY/HGH]PD
)G WK&LU :HUHYLHZGHQRYRDGLVWULFW
FRXUW¶VOHJDOFRQFOXVLRQVDQGWKHDSSOLFDWLRQRIWKH*XLGHOLQHV
WRDVHWRIXQGLVSXWHGIDFWV8QLWHG6WDWHVY0LOOHU)G
WK&LU 8QLWHG6WDWHVY*RUW'L'RQDWR
)G WK&LU :HUHYLHZIRUDEXVHRI
GLVFUHWLRQZKHWKHUDSULVRQWHUPIRUFULPLQDOFRQWHPSWZDV
SURSHUO\LPSRVHG*UHHQY8QLWHG6WDWHV86

-- 6 of 6 --