United States District Court, C.D. California
Greene LOCKE LORD LLP Jamie M. Cheng F. Phillip Hosp FOLEY
& LARDNER LLP Attorneys for Plaintiff Pacific Recovery
[PROPOSED] ORDER RE
INJUNCTION, ASSIGNMENT, AND DISMISSAL OF REMAINING
CHRISTINA A. SNYDER UNITED STATES DISTRICT COURT JUDGE.
considered the stipulation between Plaintiff Pacific Recovery
Partners, LLC (“Plaintiff”) and
Defendant David T. Smith
“Smith”), and for good cause
appearing, the Court hereby orders as follows:
following additional definitions shall apply to the Orders
set forth herein:
(a) “Judgment” shall mean that
certain judgment in favor of Holbrook Properties, Inc., JRM
Interim Investors, LP, Muse Children's GS Trust, Muse
Family Enterprises, Ltd., Oak Stream Investors II, Ltd.,
Strongback Holdings, Limited (f/k/a Strongback Holdings), TTM
Note Holdco, LLC, and Wood Luxembourg Properties, Sarl, and
against Defendant and his alter ego, BTM Funding, Inc., in
the principal amount of $21, 061, 219.19 entered by the
Superior Court of the State of California for the County of
Los Angeles on January 25, 2013.
(b) “Other Fraudulent Transfer
Defendants” shall mean the named defendants in
the related action captioned Pacific Recovery Partners,
LLC v. David T. Smith, et al., No. 2:18-cv-06291-CAS
(the “Fraudulent Transfer
Action”), other than David Smith, and
specifically are (i) Swisspartners Marcuard Heritage AG; (ii)
Swisspartners Group; (iii) Fiduciary Administrative Services
(Pacific) Ltd., individually and as Trustee for the Cicladian
Trust; (iv) Christian Walter Rockstroh; (v) Christ Johann
Collenberg; (vi) Martin Egli; (vii) Randall K. Barton; (viii)
Gordon Spinks; (ix) Douglas P. Preudhomme; (x) Andrew R.
Lamb; (xi) Ebsworth Holding & Finance Ltd.; (xii) Mark
Holding & Finance Ltd.; (xiii) SPWM Management Limited;
and (xiv) AMF Investments Limited.
(c) “Other Trusts” means all
trusts and Entities (defined below) other than the Cicladian
Trust that contain or received funds or assets transferred,
directly or indirectly, by or for the benefit of Defendant
since July 20, 2011, which were created or administered by,
or with the help or participation of, any of the Other
Fraudulent Transfer Defendants, acting jointly or separately.
Trusts or Entities created or administered by, or with the
help or participation of, Randall Barton shall be included in
the definition of “Other Trusts” only if one or
more of the Other Fraudulent Transfer Defendants in addition
to Mr. Barton were also involved in the creation or
administration of such trusts or Entities or helped with or
participated in such activities. For the avoidance of doubt,
“Other Trusts” does not include the Marguerita
Trust, the Highground Trust, or the Connie Trust.
“Entities” shall mean any corporation,
partnership, limited liability company or joint venture
formed under the laws of the U.S. or any other country that
received or transferred, directly or indirectly, an asset, or
an interest in an asset, traceable to the Cicladian Trust.
Defendant is enjoined from taking any action, directly or
indirectly (including through any of his agents), that, to
the best of his knowledge, will cause the disbursement or
dissipation of the assets of the Cicladian Trust and the
Other Trusts other than to satisfy the Judgment, unless and
until the clerk of the Superior Court of the State of
California for the County of Los Angeles enters satisfaction
of the Judgment pursuant to California Civil Procedure Code
Section 724.020 or any similar successor provision.
the extent Defendant has any rights, title, or interests in
or to the Cicladian Trust and the Other Trusts, his
assignment of those rights, title, and interests to
Plaintiff, subject to the terms and limitations set forth in
the Assignment Agreement, is valid and enforceable for
purposes of satisfying the Judgment, and any restrictions on
transferability, including without limitation any
“spendthrift” provisions, are void and
unenforceable against Plaintiff.
the exception of the issuance of the above Orders, the
remainder of this action is hereby dismissed with prejudice
with respect to the relief requested therein relating to the
Cicladian Trust and the Other Trusts and without prejudice
with respect to any alter ego claims and claims relating to
other trusts and entities to which Smith's assets have
been diverted or in which Smith has an interest. Nothing
herein is intended to waive, or otherwise affect,
Plaintiff's rights to pursue claims against parties other
than Smith, including claims against the Other Fraudulent
Transfer Defendants in the Fraudulent Transfer Action.
Plaintiff and Defendant shall each bear their own respective
attorneys' fees and costs ...