Lloyd Copenbarger vs. Morris Cerullo World Evangelism

Opposition

Cal. Super. - 4th Dist.October 17, 2012

~N O Y a B A W 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 2 28 Louis A. Galuppo, Esq., SBN 143266 Steven W. Blake, Esq., SBN 235502 Andrew E. Hall, Esq., SBN 257547 ELECTROHICALLY FILED GALUPPO & BLAKE Superior Court of California, A Professional Law Corporation County of Orange 2792 Gateway Road, Suite 102 03/25/2046 at 11:38:00 Al Carlsbad, California 92009 alas: . Clerk of the Superior Court Phone: (760) 431-4575 By Amy Man Arkel, Deputy Clerk Fax: (760) 431-4579 Attorneys for Defendants and Cross-Complainants, MORRIS CERULLO WORLD EVANGELISM, INC., and ROGER ARTZ, as Trustee of PLAZA DEL SOL REAL ESTATE TRUST SUPERIOR COURT OF THE STATE OF CALIFORNIA COUNTY OF ORANGE, CENTRAL JUSTICE CENTER LLOYD COPENBARGER, an individual, AS Case No.: 30-2012-00605730-CU-BC-CJC TRUSTEE OF THE HAZEL I. MAAG Consolidated With: 30-2011-00485656 OPPOSITION TO PLAINTIFF’S MOTION Plaintiff, IN LIMINE NO. 4 V. MORRIS CERULLO WORLD fudee: Hon. Deborah Servi EVANGELISM, INC., a California uggs. Hon, LUO. BEryine ion: Dept: C-22 gorporation; and DOES 1 through 100, Filed: October 17, 2012 Trial: March 28, 2016 Defendants. AND ALL RELATED CROSS-ACTIONS. OPPOSITION TO PLAINTIFFS MIL #4 OO 0 J A N Ln BA W N = N N N N N N N N N E m e m e m e m e m e m pe e m 0 NN O N Ln kA W I N D = OO VD N N N N R E W N = O MEMORANDUM OF POINTS AND AUTHORITIES L Specific Acts Of Dishonesty Are Admissible To Impeach A Witness’s Credibility. Plaintiff LLOYD COPENBARGER, an individual, AS TRUSTEE OF THE HAZEL I. MAAG TRUST (“MAAG”)’s Motion in Limine No. 4 asks to exclude from trial “any proffer of evidence of Lloyd Copenbarger’s prior acts as Trustee of the Hazel I. Maag trust that are unrelated to the claims at issue here.” The memorandum of points and authorities mentions, but does not produce, an L.A. Times newspaper article from 1993 which Defendants “had in their possession...calling into question the propriety of certain actions” Copenbarger took as trustee. These dishonest acts, MAAG argues, have no relevance to the issues in this action, would unduly consume time, and create a “danger of undue prejudice to Mr. Copenbarger’s credibility as a witness.” That last part about Copenbarger’s “credibility” is the focus of this opposition. Though MAAG declined to attach a copy of the 1993 article he is talking about, and no mention of any article appears in the deposition transcript, we obtained a copy of what is possibly the article to which MAAG refers. This article states that Copenbarger’s billings to MAAG “have been questioned by an independent court-appointed attorney, Michael D. Pursell of Orange, who states bluntly that Copenbarger ‘overcharged the estate for his services and (the services) of people he employed’ —several of whom were his family members.” According to the Times, “Pursell’s report, filed on May 6, 1992, in Orange County Superior Court, paints a picture of an attorney-trustee who benefited tremendously from his client’s estate by writing hefty checks to himself and his family members. Apart from receiving ‘exorbitant’ compensation for his own services, Pursell said, Copenbarger paid at least $360,000 in legal fees and expenses submitted by his brother, Paul Copenbarger of Irvine.” Copenbarger billed attorney rates to the trust for menial tasks like inspecting orange groves and packing boxes of documents. He “acknowledged in documents sent to the attorney general that he billed the [Maag] estate twice for the same services,” and billed the trust for fees incurred by his brother who “claimed to have worked almost 24 hours in one day.” These dishonest acts strain credulity and cast doubt on the credibility of both Copenbarger brothers. Evidence of a witness’s prior dishonest acts, as well as evidence of their dishonest character, can be used to attack a witness’s credibility. Cal. Evid. Code §§785, 786. In addition to “his character 1 OPPOSITION TO PLAINTIFFS MIL #4 ~N O Y a B A W 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 2 28 2 for honest or veracity or their opposites,” the jury may evaluate Copenbarger’s credibility by considering “the existence or nonexistence of a bias, interest, or other motive” and “statement[s] made by him that [are] inconsistent with any part of his testimony at the hearing.” Cal. Evid. Code §780 subd. (e), f), (h). These acts are particularly relevant and important since Mr. Copenbarger testified that he will be seeking his trustee’s fees in this case. As part of those fees, Mr. Copenbarger has expressed his intent to seek fees at an hourly rate of $500—a rate that Mr. Copenbarger knowingly acknowledges is too high. In other words, the conduct identified in the LA Times article is similar, if not identical, to Mr. Copenbarger’s express intent to seek his trustee’s fees at an exorbitant rate. The article, and any similar evidence not specifically mentioned in MAAG’s motion, is admissible to impeach a witness’s credibility. II. Evidence Of A Witness’s Prior Acts And Statements Is Exempt From The Hearsay Rule When Used As Evidence Of Prior Inconsistent Statements Or Declarations Against Interest. “Evidence of a statement made by a witness is not made inadmissible by the hearsay rule if the statement is inconsistent with his testimony at the hearing and is offered in compliance with Section 770.” Evid. Code, § 1235. “Where the purpose is to impeach the credibility of the [witness’s] testimony his out of court opinion evidence, to the contrary, may be introduced. The statement once admitted may be used for the truth of the matter stated therein. It is not material that the statement is out-of-court and hearsay because the declarant was in court available for cross-examination....” People v. Moreno (1973) 32 Cal.App.3d Supp. 1, 7 (citing California v. Green, (1970) 399 U.S. 149, 161). Here, the newspaper article, as well as similar documentary evidence, becomes admissible if Copenbarger’s testimony contradicts his prior inconsistent statements as reflected in the document. Whether Copenbarger’s testimony will open the door for this hearsay exception cannot be determined until he actually testifies, so this Court should deny the motion in limine without prejudice to MAAG raising an objection at the appropriate time during trial. Documentary evidence of Copenbarger’s prior statements is also admissible despite its alleged character as hearsay when it consists of “declarations against pecuniary or proprietary interest,” or “penal interest.” People v. Spriggs (1964) 60 Cal.2d 868, 874-75. This type of statement “has a high 2 OPPOSITION TO PLAINTIFFS MIL #4 ~N O Y a B A W 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 2 28 degree of trustworthiness” and is “unlikely to be false,” negating the historical justifications for excluding hearsay. Id. The L.A. Times article, for example, quotes Copenbarger as admitting he paid himself for hundreds of hours of work at an attorney’s hourly rate for examining avocado groves, a startling admission of borderline fraud, and one which prompted an investigation by the State Bar of California, according to the same article. If a tacit admission of fraud and embezzlement is not a statement against interest, it is hard to imagine what would be. Aside from these hearsay exceptions, hearsay is trustworthy — and admissible — if the circumstances surrounding its utterance assure its reliability. For example, in Dallas County v. Commercial Union Assurance Co., 286 F.2d 388, 397 (5th Cir. 1969), a fifty-six-year-old newspaper was admitted because the circumstances of its writing guaranteed its accuracy. The reporter had no motive to lie; in fact an error would cause him embarrassment or punishment, and would have been detected by readers and corrected. The court admitted the newspaper in evidence as a matter of judicial discretion. Other courts have upheld the admissibility of newspaper articles against hearsay objections in a variety of circumstances, typically to prove damages. See, e.g., Miller v. Lee (1944) 66 Cal. App.2d 778, 785 (“It has been held that newspaper articles are admissible in an action for malicious prosecution to prove damages.”); Burke v. Watts (1922) 188 Cal. 118, 127 (upholding trial court’s decision that “articles were admitted for the sole purpose of proving the damage caused by the prosecution”); People v. London (1988) 206 Cal.App.3d 896, 909 (“[ Whether a particular newspaper or magazine article should be read to the jury [in closing argument], is a matter that is addressed to the sound discretion of the trial court.) (quoting People v. West (1983) 139 Cal.App.3d 606, 610-611); People v. London (1988) 206 Cal.App.3d 896, 909 (“courts have held that particular magazine and newspaper articles were appropriate subjects for closing argument.”) (citing as examples, People v. Guzman (1975) 47 Cal.App.3d 380, 392 and People v. Woodson (1964) 231 Cal.App.2d 10, 15)). Determinations of reliability are necessarily made on a case-by-case basis, so Plaintiff’s motion in limine to exclude all evidence of Copenbarger’s prior acts or statements is premature and should be denied. 1" 1" 3 OPPOSITION TO PLAINTIFFS MIL #4 s w © 0 NN O N Wn 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 III. Evidence Of A Witness’s Prior Bad Acts Is Admissible When Used For A Non- Hearsay Purpose. An out-of-court statement is only hearsay if it is used to prove its truth. Nothing prevents a party from using an out-of-court statement for a different, non-hearsay purpose, like showing the state of mind of the declarant, the mere fact that the statement was uttered, or its effect on a person who read the statement. Determining whether a party is using a particular piece of evidence for a non-hearsay purpose depends on what happens at trial, so MAAG’s motion in limine to exclude al// evidence of Copenbarger’s prior acts or statements is premature and should be denied. CONCLUSION Plaintiffs Motion in Limine No. 4 should be denied without prejudice to MAAG raising objections to hearsay evidence at the appropriate time during trial. Dated: March 25, 2016 GALU PO & BLAKE Professional Law Corporation LOUIS A. GALUPPO, ESQ. STEVEN W. BLAKE, ESQ. ANDREW E. HALL, ESQ. Attorneys for Defendants and Cross- Complainants, MORRIS CERULLO WORLD EVANGELISM, INC., and ROGER ARTZ, as Trustee of PLAZA DEL SOL REAL ESTATE TRUST 4 OPPOSITION TO PLAINTIFF’S MIL #4 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 DECLARATION OF ANDREW HALL I, Andrew Hall, declare the following matters to be true and correct and based in my own personal knowledge: 1. My name is Andrew Hall, and 1 am an associate at the firm of Galuppo & Blake, attorneys for Defendants in this case. The matters stated in this declaration are true and correct and based in my personal knowledge, or gained from the business records of Galuppo & Blake, which were kept and created during the ordinary course of business by people with personal knowledge of the matters reflected in those records. If called upon, I could testify to the matters in this declaration truthfully. 2. Attached hereto is a copy of the Los Angeles Times article from 1993 which fits the somewhat vague description in Plaintiff’s motion. This article discusses Lloyd Copenbarger’s and Paul Copenbarger’s mismanagement of the assets of the Hazel I. Maag Trust. A true and correct copy of the Los Angeles Times article is attached to this declaration as Exhibit A. 3. Attached hereto and incorporated by reference as Exhibit B is a true and correct copy of excerpted deposition transcripts. Under penalty of perjury of the laws of the State of California, I affirm that the foregoing is true and correct and based in my personal knowledge. Executed on this 25™ day of March, 2016 in Carlsbad, California. Dated: March 25, 2016 GALUPPO & BLAKE © i aw Corporation NDREW E. HALL, ESQ. 5 OPPOSITION TO PLAINTIFF’S MIL #4 EXHIBIT A I.loyd Copenbarger | Lawyer Collected Big Fees From Estate : ... Page 1 of 3 ADVERTISEMENT } Subscribe/Manage Account Place AnAd LAT Store Jobs Cars Real Estate Rentals More Classifieds Custom Publishing Los Angeles Times LOCAL U.S. WORLD BUSINESS SPORTS ENTERTAINMENT HEALTH LIVING TRAVEL OPINION BREAKING CRIME L.A. APPS WEATHER TRAFFIC QBITS COMMUNITY CROSSWORDS COMICS YOU ARE HERE: LAT Home — Collections — Investigations ADS BY GOOGLE Lawyer Collected Big Fees From Estate : ~~ fecommend : Lloyd G. Copenbarger allegedly 5 0 overcharged his client for tasks suchas ~~ = +! packing her belongings and inspecting Ted her orange groves and properties. February 07, 1993 | DAVAN MAHARAJ and DAN WEIKEL | TIMES STAFF WRITERS Lloyd G. Copenbarger comes close to being a jack-of-all-trades, court records show. During the past six years, he has received substantial fees from the Hazel I. Maag estate for serving not only as her attorney and trustee, but also as a packer, construction supervisor, building superintendent and even inspector of orange groves, ADS BY GOOGLE ADVERTISEMENT Affordable Attorneys NEWS FROM ARGUND THE WES 13 Family Law Criminal Civil Federal Probate Immigration, 714 667 1038 Ea . GithestandMartowe.Con AE f Power of Atterncy Online Grant Power of Attorney in 48 Hrs. We Have Everything You Need. LegalZoom.cam/POA Mains Law Office Wills, Trusts, and Estate Planning Employment and Securities Law www. MainsLawQffice. con) Protect Your Family Don't sign a living trust until you read this free report, www, PrivateCounsd.com Cost of Medicare's Part D drug plan drops 2 Desf education ewoiving with implants The Irvine lawyer's billings, both small and large, have been questioned by an independent court- appointed attorney, Michael D. Pursell of Orange, who states bluntly that Copenbar ger "overcharged the estate for his services and (the services) of people he employ ed"--several of who were his family 3 Anaheim hospital fed for wrong-side surgery FROM THE ARCHIVES members. Mined Wealth Said to Be Nearly Gone ; Cows: Copenbar ger recently submitted 1,500 pages of documents to the state attorney general, calling the During... allegations “spurious in nature and without foundation in fact." December 1, 199 But Copenbarger’s stewardship of the Maag trust is now under scrutiny by the State Bar of California, Bankruptces and Bloated Legal Fees : 3 ; ) which is also trying to determine whether he violated the rules of professional conduct while handling the February 16, 1992 i . tate octogenarian’s $24-mitlion estate, MORE STORIES ABOUT Pursell's repott, filed on May 6, 1992, in Orange County Superior Court, paints a picture of an attorney- — trustee who benefited tremendously from his client's estate by writing hefty checks to himself and his levestigatians family members. Attorneys Apart from receiving "exorbitant" compensation for his own services, Pursell said, Copenbarger paid at least $360,000 in legal fees and expenses submitted by his brother, Paul Copenbarger of Irvine; and at Estates least $100,000 in wages “and reimbursements" to his son and daughter-in-iaw, Larry and Judi Copenbar ger, both students at Western State University College of Law in Irvine. Professional Misconduct http://articles.Jatimes.com/1993-02-07/news/mn-1714 1 estate 1/9/2012 Iloyd Copenbarger | Lawyer Collected Big Fees From Estate : ... Page 2 of 3 Among the accounting entries questioned by Pursell in Maag's estate are: 47 hours in 1989 by Lloyd Copenbarger for packing Maag's personal belongings so that her Anaheim Hills house could be renovated; 216 hours in 1990 for "reviewing ranch property" and another 131 hours in 1991 for "reviewing properties.” Pursell also questioned the “excessive” legal fees paid to Paul Copenbarger, including $288,000 in 1990. According to Pursell, Paul Copenbarger billed the estate for working 21.9 hours in a single day. And, in a separate aceou nting entry, both Paul and Lloyd Copenbarger billed the estate 10.5 hours twice for performing the same services. The court-appointed attorney's report noted that Lloyd Copenbarger, who operates a busy law practice with offices in Pasadena and Irvine, spent an “extraordinary number of hours per month” on the Maag trust. In another four-month period in 1991, Copenbarger claimed that he worked an average 82 hours a month on the Maag estate. Pursell also said he found it unusual that an attorney would spend huge amounts of time performing tasks that others were already paid to do. For example, Copenbar ger billed the estate for inspecting orange groves when a farmer was already hired for that purpose. One of Lloyd Copenbarger's entries describes some of his tasks: "Review of ranch property, check oranges to see if suckered, check pruning of dead branches, check for foreign tree growth in grove, check avocado trees, check windbreak trees for beetle infestation, check rose garden, flower beds and grounds. Check Hazel's care, visit vegetable garden with Hazel, check buildings and fences." ADS BY GOOGLE Matthew C Yu Law Office Full Service Probate Services Free Consultation; We Make It Easy wwv.matthewyulaw.com Trust being disputed? Top-AV rated Law Firm will help to restore your rights! www.deckardlaw.com In an interview with The Times, Copenbarger defended his billings for walking through the orange groves. “1 was like the owner of the orange groves," he said. "I wanted to make suve that the workmen did what we paid them to da... . I would not say I'm an expert on citrus, but I can recognize some of the diseases, and I) would know when it requires an expert to step in." Copenbar ger has filed voluminous responses to what Pursell identified as “discrepancies.” He said he found it necessary to pack Maag's personal belongings because at that time her house was being renovated and "it required the expertise of someone who would recognize which papers were important and which were not.” Some of the 216 hours billed in 1990 for reviewing ranch property included, am ong other things, supervising "the re-roofing of Maag’s commercial warehouse. . . replacement of four commercial air- conditioning units . . . repainting of the com mercial warehouse building . . . (and) replacement of four overhead dooxs in the truck loading area.” Copenbar ger acknowledged in documents sent to the attorney general that he billed the estate twice for the same services on one occasion, but he said it was an “inadvertent error in his billing process and the account will be adjusted accordingly.” But he took issue with Pursell for questioning the legal fees paid to his brother. "Pursell was just taking cheap shots," he said. Those fees were no higher than the fees he agreed to pay two opposing attorneys in the case, he said. The estate was involved in a "hotly contested” court action with Maag's relatives and it made sense to hire Paul Copenbarger because he was very familiar with the issues, Lloyd Copenbarger said. ADS BY GOOGLE Affordable Attorneys Family Law Criminal Civil Federal Probate Immigration, 714 667 1038 GilbertandMarlowe.Comn 1) 2§Next Email Print Digg Twitter Facebook StumbleUpon Share http://articles.latimes.com/1993-02-07/news/mn-1714 1 estate 1/9/2012 Lloyd Copenbarger | Lawyer Collected Big Fees From Estate : ... Page 3 of 3 FEATURED & samy fos Angeles Tintes Copyright 2012 Los Angeles Time: SF Raia B { ‘Terms of Service £1 = & d | Index by Date The TOPS weight-loss Taking the bang out of Russians are leaving the program shows modest pressure cooking country in droves success for those who stick with the program MORE: 2012 Honda CR-V sports all-new looks inside and out Brutal Murder by Teen-Age Girls Adds to Britons’ Shock Consumer Electronics Show lacks the Next Big Thing http://articles.Jatimes.com/1993-02-07/mews/mn-1714 1 estate 1/9/2012 + Lloyd Copenbarger | Lawyer Collected Big Fees From Estate : ... Page I of2 Subscribe/Manage Actount Place AnAd LAT Slore Jobs Cars Real Eslate Rertals More Classifieds Custom Publishing Los Angeles Times LOCAL TLS. WORLD BUSINESS SPORTS ENTERTAINMENT HEALTH LIVING TRAVEL OPINION BREAKING CRIME LA. APPS WEATHER TRAFFIC OBITS COMMUNITY CROSSWORDS COMICS YOU ARE HERE: LAT Home ~ Collections — Investigations ADS BY GOOGLE (Page 2 of 2) © Recommend Lawyer Collected Big Fees From Estate: |’ | 0 Lloyd G. Copenbarger allegedly wep de overcharged his client for tasks suchas _ ™* ADVERTISEMENT ] 57-Year-Old Mom Looks 25 dg Dana Point: Local... TE Dana Point: Acai Diet Exposed Is Acai the secret to... Mom 58, Looks 39 +7 Discover Her Secret & To Wrinkles and Time. x] continue Reading.. FROM THE ARCHIVES Menendez Wealth Said to Be Nearly Gone : Courts: During... December 1, 199 Bankruptcies and Bloated Legal Fees Febniary 16, 1992 MORE STORIES AROUT Investigations Attorneys Professional Misconduct Estates http://articles.latimes.com/1993-02-07/news/mn-1714 1 _estate/2 packing her belongings and inspecting her orange groves and properties. February 07, 1993 | DAVAN MAHARAJ and DAN WEIKEL | TIMES STAFF WRITERS "It saved time, money and effort to hire him," Lloyd Copenbarger said. In response to Pursell's query about the billing in which Paul Copenbarger claimed to have worked almost 24 hours in one day, Lloyd Copenbarger said that his brother “stands behind his time and the trustee knows from personal observation that not infrequently Paul Copenbarger and others in this firm have and do work that number of hours in a single day." ADS BY GOOGLE Affordable Attorneys Family Law Criminal Civil Federal Probate Immigration, 714 667 1038 GilhedaxdMarlowa.Com Power Of Attorney Sample Save Time & Money with LegalZoom@®! Featured on CNN and in USA Today. LegalZoom. con /POA LA Immigration Lawyers Call us about your intmigration and visa needs ~ 626-228-0638 wavlawversdimmigration.com West Coast Law Evictions Experienced Attomey; Free Consult. Eviction Only $2991; (714) 886-9252 wwvaveleavictionscom Lloyd Copenbar ger claims that the records of expenditures have been reviewed repeatedly during the case, and only four invoices could not be found to justify the billings in question. With respect to his son and daughter-in-law, Copenbar ger said, hiring them was cheaper than hiring professional care providers and that Maag had placed them on the payroll. "She approached me about hiring them," he said, "1 wouldn't do it this way again, but it was the best possible solution to the problem at the time. Lloyd Copenbarger's case records sent to the attorney general repeatedly questioned Pursell’s “misleading information” about the manage ent of Maag's assets. In one response, Copenbarger asked: "As in the case with her estate plan, why shouldn't Mrs. Maag's wishes be honored and her money spent on her, rather than used for the benefit of others." ADS BY GOOGLE Are You Writinga Book? Get a free guide to professional editing & publishing options, wwiv.iUnjverse.com National Aviation Lawyer Joseph Michael Lamonaca, Esq, ATP FAA Lead Safety Rep, ATP Jet Rated 1/9/2012 Lloyd Copenbarger | Lawyer Collected Big Fees From Estate : ... Page 2 of 2 wwawaviawus Prev|1]2 Email Print Digg Twitter Facebook StumbleUpon Share FEATURED ‘The TOPS weight-loss Taking the bang out of Russians are leaving the program shows modest pressure cooking country in droves success for those who stick with the program MORE: Consumer Electronics Show lacks the Next Big Thing Donald Trump breaks with GOP, changes party registration Brock Lesnar retires after losing at UFC 141 The DASH diet ranks best overall in U.S. News Best Diets 2012 Ed "Big Daddy’ Roth, creator of Rat Fink: A son remembers fos Angeles Times Copyright 2012 Los Angeles Times Index by Keyword | Index by Date | Privacy Policy | Terms of Service http://articles.latimes.com/1993-02-07/news/mn-1714_1_estate/2 1/9/2012 EXHIBIT B SUPERIOR COURT OF THE STATE OF CALIFORNIA COUNTY OF ORANGE LLOYD COPENBARGER, an individual, AS TRUSTEE OF THE HAZEL I. MAAG TRUST, No. 30-2012-00605730 Plaintiff, vs. INC. A California corporation; and DOES 1 through 100, inclusive, Defendants. ) ) ) ) ) ) ) ) MORRIS CERULLO WORLD EVANGELISM, ) ) ) ) ) ) ) AND RELATED CROSS-ACTIONS. ) ) DEPOSITION OF LLOYD G. COPENBARGER VOLUME IX CARLSBAD, CALIFORNIA FRIDAY, MARCH 18, 2016 Reported by: Kristine B. Jones CSR No. 3508 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 SUPERIOR CQURT OF THE STATE OF CALIFORNIA COUNTY OF ORANGE LLOYD COPENBARGER, an individual, AS TRUSTEE OF THE HAZEL I. MAAG TRUST, Plaintiff, vs. INC. A California corporation; and DOES 1 through 100, inclusive, Defendants. ) ) ) ) ) ) ) ) MORRIS CERULLO WORLD EVANGELISM, ) ) ) ) ) ) ) AND RELATED CROSS-ACTIONS. ) ) DEPOSITION OF LLOYD G. COPENBARGER, VOLUME II, TAKEN ON BEHALF OF THE DEFENDANTS, AT 2792 GATEWAY ROAD, CARLSBAD, CALIFORNIA, COMMENCING AT 9:02 A.M. AND ENDING AT 12:15 P.M. ON FRIDAY, MARCH 18, 2016, BEFORE KRISTINE B. JONES, CSR NO. 3508. No. 30-2012-00605730 156 JONES REPORTING SERVICE * 866.698.DEPO 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 APPEARANCES For the Plaintiff: HAMPTON HOLLEY, LLP BY: COLIN C. HOLLEY, ESQ. 2101 E. Coast Highway, Suite 100 Corona Del Mar, California 92625 949.718.4550 For the Defendants and Cross-Claimants: GALUPPO & BLAKE BY: LOUIS A. GALUPPO, ESQ. ANDREW E. HALL, ESQ. 2792 Gateway Road, Suite 102 Carlsbad, California 820095 760.431.4575 TIFFANY JENSEN, GENERAL COUNSEL MORRIS CERELLC WORLD EVANGELISM 3545 Aero Court San Diego, California 92123 858.277.2200 Also Present: Roger Artz 157 JONES REPORTING SERVICE * 866.698.DEPO 10 11 12 13 14 15 16 17 18 18 20 21 22 23 24 25 INDEX EXAMINATION By Mr. Galuppo: Page 159 EXHIBITS (None) INSTRUCTED NOT TO ANSWER Page Line 194 7 196 11 292 22 293 9 INFORMATION REQUESTED (None) 158 JONES REPORTING SERVICE * 866.698.DEPO 09:02AM 09:02AM 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 CARLSBAD, CALIFORNIA, FRIDAY, MARCH 18, 2016 9:02 A.M. LLOYD G. COPENBARGER, having been first duly sworn, was examined and testified as follows: EXAMINATION BY MR. GALUPPO: Q. Good morning. A. Good morning. Q. Round two. This isn't nearly as much of a battle. So I appreciate it. Last time we were talking about the settlement agreement, Lloyd. I think we'll do something a little bit different. Based on what your attorney said to me the last time you were here, they haven't made the decision -- By the way, is it okay if I call you Colin? MR. HOLLEY: Yes. That's fine. MR. GALUPPO: Last time we were here, George had mentioned that you haven't made up your mind whether it was going to be specific performance or breach of contract. I wonder if that's the same today 159 JONES REPORTING SERVICE * 866.698.DEPO 09:18AM 09:19AM 10 1. 12 13 14 1:5 16 17 18 119 20 21 2:2 73 24 25 Anyway, I've already given you my answer, which is more than necessary or appropriate. a: I like your response that it says "it's more than." Because what I want to do is, if we keep the questions -- or at least the answers to the questions, then we'll get through a lot faster. A Well, IT want to make it clear that I am intending to either get what I'm entitled to by law either by settlement or by trial. I don't have any flexibility in that regard. And so it's real easy for us to sit here and for you to know whether we're going to trial or not and for me to be prepared to go to trial, because this has left the station of sitting down and putting settlement figures and trying to determine percentage of winning and losing and all the other things that we as lawyers do. I'm past that. I'm either prepared to go into court and lose or I'm prepared to go into court and win. And the only way to avoid that is for somebody to sit down and come up with a provision to make me whole, period. (6) So $250,000 in attorney's fees, what you're saying, starts that process. What's the value of your services? 171 JONES REPORTING SERVICE * 866.698.DEPO 09:20AM 09:20AM 10 La. 12 13 14 15 16 17 18 19 20 21 22 23 24 25 p n How many hours? Do you think you can put 50 in, at least 507? A. Oh, much more than that. Probably a hundred. Maybe more than that. This has been going on for three years. So. Okay. So to ultimately calculate it and © 172 JONES REPORTING SERVICE * 866.698.DEPO 10 1.1. 12 13 14 15 16 17 18 19 20 21 22 23 24 REPORTER'S CERTIFICATE I, Kristine B. Jones, a Certified Shorthand Reporter for the State of California, do hereby certify: That prior to being examined, LLOYD G. COPENBARGER, the witness named in the foregoing deposition, was by me duly sworn to testify to the truth, the whole truth and nothing but the truth. That said deposition was taken before me at the time and place set forth herein and was taken by me in shorthand and thereafter transcribed into typewriting using computer-aided transcription, and I hereby certify that the said deposition is a full, true and correct transcript of my shorthand notes so taken. I further certify that I am neither counsel for nor related to any party to said action nor in any way interested in the outcome thereof. IN WITNESS WHEREOF, I have subscribed my name this 21st day of March, 2016. Ho BQ KRISTINE B. JONEM, CSR No. 3508 299 JONES REPORTING SERVICE * 866.698.DEPO