Cas@ 2:12-cv-08333-ODW-JC Document 189 Filed 06/17/13 Page1of3 Page ID #:3367

I O
2

3

4

5

6

7

8 UNITED STATES DISTRICT COURT

9 CENTRAL DISTRICT OF CALIFORNIA
10
11 | INGENUITY 13 LLC, Case Nos. 2:12-cv-8333-ODW(JCx)
12 Plaintiff, ORDER RE SUPERSEDEAS-BOND

Vv. REQUIREMENT AND MAY 21, 2013

13 SANCTIONS ORDER [178], [180],
v JOHN DOE, [181]
ie Defendant.
16 The Court issues this order to resolve several pending issues and requests.

17 || These include the following:

18 e Stipulation Between Movant Brett L. Gibbs and Attorney Morgan E. Pietz
19 (ECF No. 178);

20 e Paul Hansmeier’s Emergency Motion for Clarification and Reconsideration
aI of the Court’s June 6 Order, or in the Alternative, for an Order Staying
22 Imposition of the June 6 Order Pending Appeal (ECF No. 180);

23 e Prenda Law’s Notice of Appeal and Emergency Motion to the Ninth Circuit
24 Court of Appeal Re: the District Court’s Amended Order Denying in Part
25 and Conditionally Granting in Part Respondent Paul Duffy’s Motion for
26 Approval of Bond and Order Staying Enforcement of May 6 and May 21
27 Orders Imposing Sanctions and Penalties (ECF No. 181).

28] ///

Cas

Oo wo nn a fF WO NO

Oo NO NY NY NY WN WN NO NO Ke Re Re HR HF Rr Fr Re RR
oN ON BR We NF OO Oo WON DH an FR Ww NY KF OS

2:12-cv-08333-ODW-JC Document 189 Filed 06/17/13 Page 2 o0f3 Page ID #:3368

On June 11, 2013, the Court issued its Amended Order concerning the
supersedeas-bond requirement. (ECF No. 177.) The order imposed additional
conditions, including terms upon which the bond may be executed and an additional
bond in the amount of $135,933.66. The order allowed the Prenda parties seven days
to acknowledge these conditions and fourteen days to post the additional bond.' Upon
reconsideration, the Court hereby extends both deadlines to July 15, 2013. Failure to
meet this new deadline will result in the imposition of monetary sanctions. The Court
will not consider any further motions to reconsider or stay enforcement in this matter.

Further, although the Prenda parties’ bond was not posted with the Court until
May 22, 2013—two days after the deadline—the Court finds that there was a good-
faith effort on their part to obtain the bond. The bond was obtained on May 16, 2013.
(ECF No. 174.) Therefore, the Court hereby VACATES its May 21, 2013 Order
imposing sanctions of $1,000 per day, per person or entity as to each of the Prenda
parties.

To the extent Paul Hansmeier’s Emergency Motion and Prenda Law’s
Emergency Motion seeks relief not mentioned above, those Motions are DENIED.
(ECF Nos. 180, 181.)

Finally, the Court notes that the posted bond conspicuously omits Gibbs as an
obligee. The Court also recognizes Gibbs’ inability to pay and his dissociation with
the Prenda parties. But the Court cannot grant his stipulation with Defendant Doe as
to the applicability of the bond: the Court cannot compel the Prenda parties to post a
bond on Gibbs’s behalf. (See ECF No. 178.)

In light of Gibbs’ circumstances, the Court hereby VACATES its May 21,
2013 Order imposing sanctions as to Gibbs and waives the Rule 62(d) bond

requirement as to Gibbs. Nevertheless, the Court notes that Gibbs remains jointly and

' The “Prenda parties” refer to the parties named as obligees on the bond posted on May 23, 2013:
Ingenuity 13 LLC, John Steele, Paul Hansmeier, Paul Duffy, AF Holdings LLC, and Prenda Law,
Inc. (ECF No. 174.)

Cas@ 2:12-cv-08333-ODW-JC Document 189 Filed 06/17/13 Page 3of3 Page ID #:3369

—

severally liable with the Prenda parties for the May 6, 2013 sanctions and takes no
position with respect to the enforceability of the Prenda parties’ bond in the event
Gibbs is the sole party ultimately found liable on appeal.

IT IS SO ORDERED.

June 17, 2013

_ Gti ——

OTIS D. WRIGHT, II
UNITED STATES DISTRICT JUDGE

Oo Oa nN Dn Hn F&F WO WN

Oo NO NY NY NHN NY WN NO NO KR Ke HR Fe Rr Fr Rr Rl
oN ON BR We NY KF OD Oo WON DH an FBP WOW NY KF OS