07-12-07 Samaan v Zernik (SC087400) LA Superior Court: Attorney David Pasternak's Ex Parte Application for Indemnity Agreement for Mara Escrow, for Gag Orders, for fraudulent Grant

8/14/2019 07-12-07 Samaan v Zernik (SC087400) LA Superior Court: Attorney David Pasternak's Ex Parte Application for Indemnity Agreement for Mara Escrow, for Ga

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1 II David J. Pasternak, Bar No. 72201Receiver2111875 Century Park East, Suite 2200Los Angeles, California 90067-252331lTelephone: 310.553.1500Facsimile: 310.553.154041IE-Mail: [email protected]

678 SUPERIOR COURT OF THE STATE OF CALIFORNIA9 COUNTY OF LOS ANGELES, WEST DISTRICT

1111NIVIE SAMAAN, an individual , CASE NO. SC 087 40012 II Pla in t i f f , Hon. Patricia L. Col l ins13 II vs. NOTICE OF RULING RE RECEIVER'SEX PARTE APPLICATION FOR14 II JOSEPH ZERNIK, an individual ISSUANCE OF ORDER:and DOES 1 through 10,

II inclus ive, (1 ) APPROVING ESCROWDOCUMENTATION (INCLUDING16 II Defendants. GRANT DEED) SIGNED ANDSUBMITTED TO ESCROW BY17 RECEIVER;

(2 ) AUTHORIZING RECEIVER TO18 SIGN AND SUBMIT TAXDOCUMENTATION TO ESCROW;19 (3) AUTHORIZING RECEIVER TOENTER INTO MARA ESCROWCOMPANY INDEMNITYAGREEMENT; AND21 (4) PROHIBITING DEFENDANTJOSEPH ZERNIK FROM22 COMMUNICATING DIRECTLYWITH ESCROW, TITLE23 INSURER, OR BUYER'SLENDER24 DATE: DECEMBER 7, 2007TIME: 8:30 A.M.DEPT. B2627 II On December 7, 2007 a t approximately 11: 00 a.m., a hearing2811was held in Department B of the above-ent i t led Court before the

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1 II Honorable Patr ic ia L. Col l ins , Judge pres id ing regarding the21lReceiver ' s Ex Parte Appl icat ion Tor the Issuance of an Order (1)3 II Approving the escrow documentation (including grant deed) s igned411and submit ted to escrow by the Receiver; (2) Authorizing the511Receiver to sign and submit tax documentat ion to escrow so as to611 avoid withholding of sa le proceeds; (3) Author iz ing the Receiver711to enter in to an Indemnity Agreement with Mara Escrow Company;811and (4) Prohibi t ing Defendant Joseph Zernik from c o r r ~ u n i c a t i n g 911direc t ly with Mara Escrow Company, United Ti t l e Insurance

10 II Company, United Ti t le Company, and Washington Mutual regarding1111the sa le of the receivership rea l proper ty and re la ted mat te r s .1211 Defendant Joseph Zernik, Receiver David J . Pasternak,13 II Richard Ormond of Buchal ter Nemer specia l ly appeared on behalf of14 II in te res ted par ty Mara Escrow, Inc . , and Moe Keshavarzi of15 II Sheppard, Mullin, Richter & Hampton appeared by te lephone on1611behalf of Pla in t i f f Nivie Samaan.1711 Upon considering the Receiver ' s Ex Parte Appl icat ion, the18 II support ing Declarat ion of David J . Pasternak and a l l exhib i t s1911attached there to , a l l of the pleadings and other documents in the201lCourt 's f i l e fo r th i s case, and a l l other ora l and documentary21 II evidence presented to the Court in connection with the Receiver ' s22 II Ex Parte Applicat ion, the Court issued the at tached Ex Parte23110rder which was served on Defendant Joseph Zernik in the24 II courtroom immediately a f t e r the hearing.25

DATED: Q Itl.&A)vl t W , ~ ~ ~ __avid J. Pasternak27 Receiver28

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Exh p 285 EXHIBITS VOL V - RECEIVERSHIPZERNIK V CONNOR ET AL


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I , . V- , . I lI n \",I IV '- I I VV"V L ~ v w D C ' C ~ L T n ~ L L ~ ~ V V l l V V "

111 David J . Pasterr1::1k, Bar N:J. 72201Receiver2111875 century ~ a r k Cast, Suite 2200Los Angeles, C a l i f o r ~ i a 90067-2523 CONl'''''OR1\'!, r. l COpy31lTelephone: 310.553.1500 OF OR Ie'; , ; - 1 ' ~ E DFacsimile: 310.553.1540 Los Angel!'" :., . ." -v Conn41IE-Mail: [email protected]

DEC 07Z0015John A. Clarke. ExecuDve Officer/Cle6 BY- ,Depu

7~ ~ c ~ 1 ~ O SUPERIOR COURT OF THE STATE OF CALIFORNIA\ ) t . ~ (l 1 ~ ~ 1

COUNTY OF LOS ANGELES, WEST DISTRICTot 1 10I111N1VIE SKMAAN, an individual , CASE NO. SC 087 40012 Plainti i f , Hon. Lisa Bart Cole13 II vs. " _ . I I i l ~ X PARTE ORDER:(1) APPR.OVING ESCROW1411J8SCPH ZERNIK, an individual DOCUMENTATION (INCLUDINGand DOES 1 through 10, GRANT DEED) SIGNED AND15/1 inc':"usive, SUBMITTED TO ESCROW BY

RECEIVER;16 Defenc.ants. (2 ) AUTHORIZING RECEIVER TOSIGN AND SUBMIT TAX17 DOCUMENTATION TO ESCROW;

(3 ) AUTHORIZING RECEIVER TO18 ENTER INTO MARA ESCROWCOMPANY INDEMNITY19 AGREEMENT; AND

(4) P R O H ! B I ' 1 ' n ~ G DEFEND.M:T20 JOSEPH ~ E R N I K FROMCOMMUNICATING n ~ R E C T L Y 21 WITH ESCROW, TITLEINSURER, OR BUYER'S22 LENDER23 DATE: DECEMBER 7, 2007TIME: 8:30 A.M.24 DEPT. X25 The Court having considered the Ex ParLe Appl.ication of26 Receiver David J. Pasternak for the i ssuance of an Order: (1)27

A p p ~ o v j n g the e s c r o ~ documentation (including grant deed) sisned28ii : \ 73235 \ L l c " d ~ f I t ) ! . \>.",ce':'ver ' sExPclo r\.eOrduil2. 1

PA$'Ti'RNAK. joePAS 1t:RI'IAK&PATTON 'Ul EX PARTE ORDPR : ~ APPROVING eSCROW ~ O C J M N T ~ r T O N ( I N C L U C 1 ~ C eRr.NTIII ) ~ F : D ) SI3NED AND SnOMITTEL '10 ESCROW BY RECF.TVF.R, ETC.Exh p 287 EXHIBITS VOL V - RECEIVERSHIPZERNIK V CONNOR ET AL


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, ... ,V"" ' ... VI I I V .. Irtl\ ,jlV ' - I I .;;J..:t .. " L ~ ~ v C ~ V t ~ L T M ! L L ~ un/UG:3

llland submitted to escrow by the Receive=; (2 ) Authorizing the211Receiver to sign and submit tax documentation to escrow so as to311avoid w i t h h o l d ~ n g of sale proceeds; (3) AUlh8rizing ~ h Receiver411to ente r into an Indemr.ity A g r e e r n e ~ t with Mara Escrow Compuny;Slland (4) Prohibi:. ing :JefendanL Joseph Zernik from communicating611 d i rEc t ly with Mara Escrow Company, lln:"teci. Tit le Insurance71lCompany, United T i t l e Company, and Washir.gton Mutual regarcing811the sale of the receivership real property and related m a t t e ~ s ; 911the s u p p o r t i ~ g D e c ~ a r a t i o n of David J. Fasternak and a l l attached

101lexhlbits; a ll of the pleadings and o the r s documents in the111lCourt 's f i le for th i s case; and a l l other oral and documentary1211evidence presented to the Court in connection with the R e c e ~ v e r ' s 1311Ex Parte Appl icat ion ; and qood c a u ~ e appearing therefor;1411 1'1' IS HERF.BY O::


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, _ ( y , /Co . v . I l . Y " " In, . , vlV t: .11 vurat" L ~ ~ ~ ~ t V t ~ L Y H ! L L ~ OU;J/UU:J

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l l lprohibi:-ed ~ r o r n communicating with Mara ~ s c r o w Company, United2 l 1 T ~ t l e :;:nsurance Company, U ~ i t e d Ti t l e Company, ftJashington Mutual,31land a l l ~ the i r respective ernplcyee5, off icers , directors , and41lrepre::enLatives about th is laWsli t , lIle :


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PASTERNAK,PASTERNAK& PATTON

PROOF OF SERVICE2 II STATE OF CALIFORNIA, COUNTY OF LOS ANGELES3 II I am employed in the County of Los Angeles, State of California. I am over the age ofeighteen years and not a party to the within action; my business address is 1875 Century Park4 II East, Suite 2200, Los Angeles, California 90067-2523.

II On December 10,2007, I served the foregoing document described as NOTICE OFRULING RE RECEIVER'S EX PARTE APPLICATION FO R ISSUANCE OF ORDER:6 (1) APPROVING ESCROW DOCUMENTATION (INCLUDING GRANT DEED)7 SIGNED AND SUBMITTED TO ESCROW BY RECEIVER;(2) AUTHORIZING RECEIVER TO SIGN AND SUBMIT TAX8 DOCUMENTATION TO ESCROW;(3) AUTHORIZING RECEIVER TO ENTER INTO MARA ESCROW COMPANY9 INDEMNITY AGREEMENT; AND(4) PROHIBITING DEFENDANT JOSEPH ZERNIK FROM COMMUNICATING

DIRECTLY WITH ESCROW, TITLE INSURER, OR BUYER'S LENDER11 lion all interested parties in this action by placing true copies thereof enclosed in sealed envelopesaddressed as follows:12 SEE ATTACHED LIST13 l!J BY MAIL: I caused such envelope to be deposited in the mail at Los Angeles, California.The en-;elope was mailed with postage thereon fully prepaid. I am "readily familiar" with14 this firm's practice of collection and processing correspondence for mailing. It isdeposited with the u.s. Postal Service on that same day in the ordinary course of business.I am aware that on motion of the party served, service is presumed invalid if postalcancellation date or postage meter date is more than I day after date of deposit for mailing16 in affidavit.17110 BY FACSIMILE: At or before 5:00 p.m., I caused said document(s) to be transmitted byfacsimile. The telephone number of the sending facsimile machine was (310) 553-1540.18 The name(s) and facsimile machine telephone number(s) of the person(s) served are setforth in the service list. The document was transmitted by facsimile transmission, and the19 sending facsimile machine properly issued a transmission report confirming that thetransmission was complete and without error.

0 BY OVERNIGHT DELIVERY: I deposited such document(s) in a box or other facility21 " regularly maintained by the overnight service carrier, or delivered such document(s) to acourier or driver authorized by the overnight service carrier to receive documents, in an22 envelope or package designated by the overnight service carrier with delivery fees paid orprovided for, addressed to the person(s) being served.23 0 BY PERSONAL SERVICE: I delivered such envelope(s) by hand to the office of the24 " person(s) being served.

0 BY PERSONAL SERVICE: I personally delivered such envelope(s) directly to theperson(s) being served.26

/ I I27 "

/ I I28 "

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ZERNIK V CONNOR ET AL


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12 II I declare under penalty of perjury under the laws of the State of California that theforegoing is true and correct.3

Executed ou December 10,2007, at ~ 56 ~ 789101112131415161718192021222324

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Nivie Samaan v. Joseph Zernik, etc., et al.Los Angeles County Superior Court Case No. SC 087400

Service List4

6789

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John W. Amberg, Esq.Jenna Moldawsky, Esq.Bryan Cave LLP120 Broadway, Suite 300Santa Monica, CA 90401-2386Telephone: 310.576.2100Facsimile: 310.576.2200Sanford Shatz, Esq.Todd A. Boock, Esq.Countrywide Home Loans, Inc.5220 Las Virgenes Road, MS: AC-llCalabasas, CA 91302Telephone: 818.871.6045Facsimile: 818.871.4669

Counsel for Non-Party.Countrywide Home Loans, Inc.

Counsel for Non-Party,Countrywide Home Loans, Inc.

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Joseph ZemikIn Pro Per2415 Saint George StreetLos Feliz, CA 90027

Defendant in Pro Per

16171819

21222324

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1118avid J. P a s t e r ~ a k , Bar ~ o 72201Receiver2111375 Century P a ~ k East , Sui te 2200Los Angeles, C a ~ i f o r n i a 90067-2523 FILED/-//311':'elep!'"'.cne: 310.553.1500 Los ,\.\'CELES ';LPERIOR Cor;RTFacsimile: 310.553.154041IE-jvluil: [email protected], DEC 0 7 20075 J O ~ . A t f L A A K ~ 1 :I.ERK6 BY ERIN ! = l ' 4 ~ oS:",un"78 SUPERIOR COURT OF THE STATE OF CALIFORNIA9 COUNTY OF LOS ANGELES, WEST DISTRICT

101111NIVIE SAMAAN, an ind iv idcal , CASE NO. SC 087 40012 II ? l a i n t i f f , Hon. Lisa Har t Cole13 II vs. RECEIVER 1 S EX PARTE APPLICATIONFOR ISSUANCE OF ORDER:14 IIJCSEPH ZERNIK, an indivir lual (1) APPROVING ESCROWand DOES 1 through 10, DOCUMENTATION (INCLUDING1511 i nc lus ive , GRANT DEED) SIGNED ANDSUBMITTED TO ESCROW BY16 II Defendants . RECEIVER;(2) AUTHORIZING RECEIVER TO17 SIGN AND SUBMIT TAXDOCUMENTATION TO ESCROW;18 (3) AUTHORIZING RECEIVER TOENTER INTO MARA ESCROW19 COMPANY INDEMNITYAGREEMENT; AND20 (4) PROHIBITING DEFENDANT

JOSEPH ZERNIK FROM21 COMMUNICATING DIRECTLYWITH ESCROW, TITLE22 INSURER, OR BUYER'SLENDER;23 DECLARATION OF DAVID J .PASTERNAK24 DATE: DECEMBER 7, 200725 TIME : 8:30 A.M.DEPT. X262728 II ',';: "3 ' > ,,', :, " s \ '" : ;- v , >: :: " : ',c'L : c,:, : 1

," - r - ~ - - ' . : ' > ; ~ ? ~ ' T , . - = : ~ ; ~ ? - ~ ~ ~ - : ~ : ; 'S 2'.:-: ~ , 2 . . P : ~ _ : ' ~ : : F ~ = = _ ; - = - = ~ ' : ~ ~ ?C'r< =::3 - J j : ~ : ' J C E , '--' ='_::'-::-< ---, S ( ': ~ ~ =. = - . ~ . . i , : : : ~ C . ; ~ ~ = ~ ..; ; . K . . : ' ~ l : c ~ ~ r ~ ~ ; " - " :--r_,---: _ . : : . . . . ~ , . .-. tL/Exh p 294 EXHIBITS VOL V - RECEIVERSHIPZERNIK V CONNOR ET AL
mailto:[email protected]:[email protected]


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1 Rece ive r ~ a v i d J. Pas te rnak hereby a p p ~ i e s ex p a r t e fo r th e2 1 1 ~ s s u a n c e of an Order : (l) Approving ~ h escrow dOCumentat ion3 II (inclcldir. : j q r a n t deed) sigr:.ed and suomi t t ed to escro ' l i by tr .e411 Rece ive r ; (2 ) Author iz ing the Rece ive r to s i g n and s c . b m i ~ ta x51/documenta t ion to escrow so as to avoid wi thhold ing of s a l e6 II proceeds ; (3) Author i z i:J.q ~ h Rece i ve r to en ~ r in to an I ndemni ty7 II Agreemen t "II i th Nara Escrow Company; and (4 ) P reh ib i t ing De f endan t811Joseph Zern ik from communicat ing d i r e c t l y wi th Mara Escrow9 II Company, Uni ted T i t l e =nsurance Company, Uni ted T i t l e Company,

10 [land Washington Nutual rega rd ing the sa l e o f th e r e c e i v e r s h i o r e a l11 II p ro p e r ty and r e l a t e d m a t t e r s .12 II This ex p a r t e a p p l i c a t i c n i s made on th e qrounds t h a t th e13 II Rece iver was appoin ted t o c lo se t h e pending escrow fo r the sa l e14110 the Rece ive rsh ip Proper ty by Defendant Joseph Zernik to1 5 1 l P ~ a i n t i f f as soon as p o s s i b l e ; t h a t th e Rece ive r has s igned (and1611expects to s ign) o t h e r necessa ry documentat ion i n o r d e r t o c lo se1711the escrow ( inc lud ing the g ran t deed) ; t h a t th e Rece ive r needs to1811sign escrow ta x documents i n o rde r to avoid having a pp r ox im a te ly1911$250,000 o f sa l e proceeds pa id to s t a t e and f e d e r a l t ax in g20 II a u t h o r i t i e s as wi thho ld ing ; t h a t Z e r n i k ' s communica t ions to Mara2111Escrow have n e c e s s i t a t e d th e proposed Indemni ty Agreement in22110rder ~ c l e se t h i s escrew; and t h a t based en h is p r i o r conduc t ,231l the Rece ive r f e a r s t h a t unless Zernik i s r e s t r a ~ n e d from f u r t h e r

. +- - --24 C C ~ L L T ( i . l : - - l ' = - , ' = a : = ' i r - ' l g Ttlith ~ .. e escr:;,r.Jll :--.older , t:-le L . . l - . ~ . . l - . e = c ~ r p a ~ .. y , ?!r.::i tr ,e+- ',...., -, ......25 bu je r ' : 3 lJ?;. jer, f u r t h e r c c m p l i c a t i o ~ s >Jil1. e n s ~ e _ l ~ e t '- ' t i = - ~ J - ,aeJ-ay:,

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111Declaraticn of David J . Pasternak, a l l of t ~ pleadings and2 I l o ~ ~ e r s d o c ~ m e n t s in the Cour t ' s f i l e fo r t ~ i s case, and SJch31lother and fur ther ora l and documentary evidence as may be4 I lpresented to the Court a t or in connect ion with the ex par te511hearing of th i s appl ica t ion .6

J'\

'\--J(\ ), C(,J'N\December7 II D.Z\.TED: 6, 2007 David J . Pasternak8 Receiver9

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~ , S = L - = \ - ~ ; , I 2 EX 2.:"'?::= . : ; ' ? ? : _ = C ; ' ~ T = , , ~ : ~ ~ ' ( ~ ~ : : : 3 S ~ - , ' _ : : : ' . : \ " C ~ ~ C ? < ~ : : : ? I L : : ~ : : = f ~ . = : ~ , : ; ~ ~ : ; : : ? C - A ~ ~ ~ C j ~ r ] > 1 : = ~ ~ I ; ' . ' = " - : : 0 J I ~ ~ = ~ C C = : \ : ~ ' ~ ? ; . . n , = , ~ ' , ~ : t : s :31 : ; n ~ : - ' = . , : ~ - , 2 - ~ : ' ' ' I = ' T : E L , -=-c = = 5 - = ? ' ~ ! 7 L',,"S:=C:,=-:=T,,-EP, : : : - ~ \ ~ . ; = ~ r : ~ . ; ' ; R = - - ' : = > ~ ~ ~ ~ r = - ; ' . ' / = ~ :.::.5 = - ~ ? ; ~ L : ' - L ~ - < Exh p 296 EXHIBITS VOL V - RECEIVERSHIPZERNIK V CONNOR ET AL


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1 DECLARATION OF DAVID J. PASTERNAK2 , David J . P a s t e r ~ a k , de c l a r e as fo l lows :

~ . f = T v have pe r sona l knowledge .... : 'he f a c t s s e t f o r t h

411hereiG, and if c a l l e d upon as a wi tne s s to t e s t i f y t h e r e t o , I511cculd a ~ wculd competen t ly and t r u t h f u ~ l y do so . 6 2 . 8n o r abou t November 9, 2007, Los A nge les Supe r i c r711Court Judge John A. Sega l i s sue d an Order a ppo i n t i ng me as8 l lRece iver h ere in ( the " R e c e ive r s h ip Or de r " ) , a t r u e and c o r r e c t911copy o f which i s a t t a c h e d he r e t o as E xh i b i t 1. The R e c e ive r s h ip

10 IIOrder d i r e c t s me t c t a ke posse s s i on of the r e a l p ro p er ty l o ca t ed1111 a t 320 South Peck Drive, Bever ly H i l l s , Cal i fo rn i a 90212 ( the12 II "Rece i ve r sh i p Proper ty" ) [Paragraph 3. b . of the R e c e ive r s h ip13 I l0 rder ] , " to t ake a l l ne c e s sa r y s t ep s to s e l l the [Rece iver sh ip]14 II Proper ty to [ P l a in t i f f ] th rough th e r e a c t i v a t e d Escrow No. 1151134S00-GH ( the "Escrow") a t Mara Escrow Co." [Paragraph 3 . g . o f1611the R e c e ive r s h ip Or de r ] , and to s ign escrow documents fo r17 II D efendan t Joseph Zern ik if he f a i l s to do so wi th in t h r ee1811bus iness days a f t e r th e escrow ho lde r submits them to Zern ik fo r1911s igna tu re [Parag raph 3 . h . o f th e R e c e ive r s h ip Or de r ] .20 3. On or about November 13, 2007, I pos t e d my bond and2111f i l ed my ca tn and began se r v i ng as th e Rece iver in t h i s m a t t e r .22 4. = ex p ec t Escrow to c lo se nex t week if th e Ccur t g ran t s2311the ex p a r t e Crders t h a t am now r eq u es t in g . I i",a'le ce er .2 4 1 I i ~ = ~ r ~ e j cy P i a i r ~ ~ : f ' s c ~ u n s e l ~ G a t h is c ~ i e n ~ ~ a a f ~ ~ a ~ c i 0 g 2 5 1 l c c ~ K i t x e n t f e r the purchase of th e ~ e c e i v e r s h i p 2 rcp e r ty t h a t2627

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C ~ l ~ " : ~ l ~ : : ~ ; : ' . T I C : : ' , I r ~ : L : ; S = : ~ G ~ S . : ' . \ ' = ' SF.?: S = ( : ; ~ \ i ~ = , J = . + ~ ' : C . 3 . _ - ~ : - ~ : : ~ - = - : : : : ' ~ 2 , = ? \ ~ - : : ~ ' . ; 2 ' ~ ' ?E:CEI",-:=? f ~ ~ = . ; ~ ~ , ~ ~ ; ' . ? j . . ~ ' = - : : : : : = : ' ~ ~ , - ~ ? = ' ~ : . - == P . : ' . S : S . ? , L ; ' _ ~ Exh p 297 EXHIBITS VOL V - RECEIVERSHIPZERNIK V CONNOR ET AL


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111will exp i re In mid December, and t h a t th e f inanc ing corrmitment2 Ilcan no t be extended a t its cur r en t favorab le r a te 0: i n t e r e s t .3 s. Cn or aboe t November 14, 200 7 , I s en t a l e t t e r to411Zernik in fo rming him t h a t had q u a l i f i e d fo r my appointment as5 IIReceiver and t h a t I had t aken p o s s es s io n , ces tody and c o n t r o l of611the Receiver sh ip Proper ty . In t h a t l e t t e r , I a l so asked Zernik7 lito vaca te th e Receiver sh ip Proper ty by th e c lo s e of bus iness on81lMonday, November 19, 2007, and t h a t if he d id not do so , I would9 II appea r on Wednesday, November 21, 2007 fo r t he hear ing of my ex

101lpar te app l i ca t ion fo r t he i s suance o f an o rd e r (1 ) Order ing11 II Defendan t Joseph Zern ik and a l l o the r occupan ts to immedia te ly12 [ lvacate t he Rece iver sh ip Proper ty and d i r e c t i n g the ~ o Angeles13 II County S h e r i f f ' s Department to en f o r ce t h a t o rd e r in th e same1411manner as t hey enfo rce a wr i t o f execu t ion i s sued a f t e r an15 I lunlawful d e t a i n e r judgment, or a l t e rna t i ve l y (2 ) Author i z ing me1611to f i l e an unlawful d e t a i n e r l aws u i t to e v i c t Defendant Joseph17 IIZernik and a l l o th e r occupan ts from th e Receiver sh ip Proper ty .18 6. A f t e r Zernik f a i l e d to respond to my i n q u i r i e s abou t1911whether he had vaca ted the Rece iver sh ip Proper ty , and201lcoITIDunicated a l a s t minute equ ivoca l re sponse , I f i l e d th e2111referenced ex par t e app l i ca t ion and appeared fo r t he ~ l o v e m b e r 21,22112007 t e a r i n g . At th e hear ing , Zernik informed me and th e Ccurt2311that he had vaca ted the Rece iver sh ip Proper ty a few days e a r l i e r .24 , ' = r ~ t ~ J . e a f t e r r , . c c ~ o f ~ J c \ l e f : " l b e r 21, 2: , := :--. ad ~ ~ l : JCKS25/ lctanged and t cok possess ion of the ~ e c e i v e r s h i p ? ro p e r ty .2627

ii: " :.->-t==- ;]=--:-.]2 ?,PC,:"'=--TIP: I : = : < ? G - : : : - : i = ~ : ' l c - _ ' - ~ ~ : : - . : f : = c::'-'28 II . ~ ( ; - ..:: ' ? ~ , . : . ~ - : : ' ~ ' ; ~ \F-?=.=.-.:- ,-.::,.: 1 " - : : E . - : ? , - ; , : t : c ~ ' - : ' : : : ' ' ' ' : : ' : : n . t t ~ . =:.-::"':"

? ~ ~ ~ = ; ~ ~ l S EX ? A R T ~ A ? ~ ~ I = A ~ I C N ?G ? I S S C A ~ : E ~ C ; = E ~ : - : ' . ? : : ; , C ~ v ~ = : ~ G : : : : S ' = ? < : - : : ~ ~ j ' L C : : ~ > ~ = = : ~ T ; . ~ ~ I '-' ~ (.= ::C=-. r..,: : ~ I:;PP\. ~ ~ ~ ~ =- ,3:= ~ , , ~ ~ =. ~ . . : . ~ : " . - ~ - ~ > : : = : - = - ~ =., ~ 2 : ~ ? ~ ~ T / : cv? E ' - - " ~ =: ~ . ~ ~ F, : : = ~ C ; : E ~ ' = : : : ' . h ? , p , : r :. - t: ~ :=-'.2.: ..-: = . .3 ~ ? , ~ : ' : : . L < Exh p 298 EXHIBITS VOL V - RECEIVERSHIPZERNIK V CONNOR ET AL


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1 [I Approval o f Escrow Documents (Including Grant Deed) Signed and2 [[Submitted To Escrow By Receiver 3 s. Cn o r abou t F r i d a y , Noveffiber :6 , 2 J O ~ , I r e c e i v e d f i n a l4 II Escrew docuIT,ents by e m a i l frem Mara EscrYd COIT"pany ("fv1ara5 II Escr:Jw") . I was in f e r med and b e l i e v e t h a t those escrew documents611also Nere ~ r a ~ s ~ i t t e d a t ~ h saffiE t ime to Zern ik and P l a i n t i f f7 II fo r t h e i r s i g n a t u r e . Cn Monday, November 19, 2007, I r e c e i v e d811the "hard" c op ie s o f thos e f i n a l escrow documents from Mara9 II Escrow. A f t e r I was in f o r med t h a t Zern ik had no t s ubm i t t e d t h o se10 II s igned documents to Escrow, I s i g n e d them on o r abou t November111127, 2007, and submi t ted them to Escrow. True and c o r r e c t c op ie s12 I lof t hos e documents , which i nc lude a n o t a r i z e d g r a n t deed , a re1 3 1 1 c o l l e c t iv e l y a t ta c h e d h e r e t o as E x h i b i t 2.14 9. Cn Monday, December 3, 2007, I r e c e ive d two pa yo f f15 II demands by c u r r e n t l ie n h o l d e r s a g a i n s t t he R e c e ive r s h ip P r ope r ty1611from Escrow, r e q u i r i n g s i g n a t u r e a p p r o v a l by th e s e l l e r fo r1711payment a t c l o s e of Escrow, t r u e and c o r r e c t c op ie s o f which a re1 8 1 1 c o l l e c t iv e l y a t ta c h e d h e r e t o as E x h i b i t 3. I am in f o r med and1911be l ieve t h a t Escrow a l s o t r a n s m i t te d t h e se two pa yo f f demands to201lZern ik f e r h i s s i g n a t u r e on th e same d a t e . I f Escrow does n o t21 I l r ece ive th e s igned pa yo f f demands from Zern ik by th e end of th e22 Iiday t e da y , = i n t e n d to s ign them and subffiit t ~ e m t o Sscrew23 II to:T,cr r:J'd .? r i day , :::;ecember 7, 200"7 i 24 II Tax Withholding Escrow Documentation25 ~ ~ d c c ~ ~ e ~ t a ~ i c n t r a ~ s ~ i t ~ e j to ~ a ~ Z e r ~ i k by Mara261lEscrcN in mid-No7ember i n c l ~ d e s ~ t t a x w i thho ld ing documen ta t ion27

',';: ' _ - : . ; ' = : : " ~ . i : : : : : ~ ' ' ' > - - ' ~ " : - ' . - , ' : : : Z ~ , - 1 : : : - - ' ' : ' < V : ' - ~ - ' : : : ' ' ' ' . 4 = - E281\ . "lee'I,: - : ~ ~ ' F ~ p c : 1 ~ : _ r : TS ? 7 ' C ~ : : . . . - ; { : : : : - I : ~ : : : ; , . : : c . : : ? ' ~ ' : C ~ - . = : ~ . .:; _ -J , ~

~ _ : : : = t = = T J : = ? I 2 ~ ? ; . ? ~ : = ; ' ~ ? - ? ~ = > ~ ~ : : - , ~ = C t ~ t S ~ : = S S ~ j ~ ~ ~ n c c : : ::? C;:,r:S . L . _ : : F S . C ~ / - = ~ ~ ' ~ E . s ~ ? / ~ ' i J = r ~ , ~ . = = l \ J ~ ; : ' , ~ ' ~ : t ~ := ~ , r = :.J;= ~ ~ ~ ~ :?,_;..\ =:'E:E =- , S ::: ' ~ l : : = r.>.':= ..=: ~ - ' ~ 3 > ~ : = 1 ~ : : - " l ~ : : : C ; . ' : ~ ~ , \ - ; ::yS : E > ~ ~ : : : : ' , , ~ ~ ? , E T ' ~ . ; = , : = C ~ A S ~ ~ ~ = - C : ~ ' J ~ = ~ _ . ; = = '--' ?: '. . 3 ~ : = ? > ; ~ ; : ~ Exh p 299 EXHIBITS VOL V - RECEIVERSHIPZERNIK V CONNOR ET AL


17/79

1 1 I c o l ~ e c t i v e ~ y a t tached hereto as EXr.lbit 4. To date , I ~ a v e ~ o 2 Ilccmpleted t t a t d o c u m e ~ t a t i c n , and I am ~ u f o r m e d ar.d ce l ieve t h a t3 1 1 ~ a r a Escrow t a s not received t t a t c o ~ p l e t e d tax d o c ~ m e u ~ a t l o n 411from Zernik .5 :1. I f th e documentat ion a t t a c t e d ~ e r e t o as Exhibi t 4 i s6 1 1 ~ o t oompleted aud subffiitted to Escrow, 13.33% of the sa le7 II proceeds w i l l be t r ansmi t ted to the IRS and the Cal i fo rn ia811Franchise Tax Board as withholding. I am informed and bel ieve911that w i l l t o t a l approximately $250,000, and rep re sen t

10 II approximately 25 of t ~ sa le proceeds due to Zernik from t h i s11 Ilsale t r an s ac t i o n (a f t e r payiug the ex i s t ing l i ens anG cos t s of12 II sale) .13 12. The Receivership Order provides t t a t th e ne t sa le14 II proceeds due ~ Zernik are to be paid to me from Escrow. IlS l l an t i c ipa te tha t those funds wil l be necessary to pay the16 II receivership cos ts of admin i s t ra t ion , as well as var ious cla ims1711that are asse r ted by P l a i n t i f f (and cla ims which may oe asse r ted1811by othe rs as the r e s u l t of t h i s l i t i ga t ion and sa le ) .19 II 13. I f the tax withholding funds are paid to the tax ing201lagencies , I do not know if the funds t ha t I rece ive wil l be2111adequate to pay a l l of the cos ts of a d m i ~ i s t r a t i c n of t h i s2 2 1 1 ~ e c e i v e r s h i p and t t e cla ims asser ted by Pl a i n t i f f (and o ~ a i m s 2311wtict ~ a ce asse r ted by e t t e r s as the r e s ~ : ~ of th i s i i t i ga t ion2411a[;d S3-,-E:.25 --L '-i - 3ff i i D f c ~ f f i e d aDd b e ~ i E : v e ~ t 3 t Z E : ~ ~ l ~ reffialns a

~ + 26 re s i-,:::1el. the Sta te oE C a l i f c r ~ i a a f te r r,e ','a:::a te d Lr,e27

--,I",';: - - : ~ ~ ~ ~ \ . t - ~ 7 " ' - - - : r . : : : i _ : - : " F F ~ : , , = , _ ~ " : ' - T : r : : : : ' " ~ i : ' : > : F ' a : - : " : : ~ : : . 1 r : : - l G : - . # ' : : : 28 II . :,::. ' _ ' . ~ : ' . - ; c : . : : ~ : . t ' : ' : ( . ~ ~ I. =t __ ,.:::=,.-.

:/= ~ ~ ~ , ~ ~ ? C ; ~ " J = > = : , = T ~ ~ ~ < : : : ~ ~ l . 2 . ~ ' = c ~ ; ' - = ~ ' ~ C L r ' = : : : : \ G : ; ; ; . ~ t ' : : ' D E ~ C S ~ r " ' ~ ~ ? __ ~ : = [ S - ~ ' 2 > ~ - = - = - - = - ~ = ~ " : : : . ~ ~ ? C C / ; :?-'::'

? E : / = ~ : : : : T , ' E E , ~ - = ' : . ; C E = = - ' " " : : ' . F j : _ 7 1 > ~ ~ , : ? = ~ : " - , - ; J ~ ' :;;'. . s ~ E S ~ ; ; ' . ? \ Exh p 300 EXHIBITS VOL V - RECEIVERSHIPZERNIK V CONNOR ET AL


18/79

1 II Receivership Property a few weeks ago, t ~ a t the Receivership211?roperty was Zcrnik ' s p r i ~ c i p a l place ef residence, a ~ t ha t 3 1 l Z e r n i ~ is ~ c a fc re ign persen . A c c c r d i ~ g l y , I bel ieve tha t 411Zernik qua l i f i e s to avoid both the federa l and s t a t e tax Sl lwi thhelding fo r th i s sa le ~ r a n s a c t i o n . 6 II Mara Escrow Indemnity Agreement:

ro, r,7 15. O Tuesday morning, l';ovember L. u' , 2C07, Zernik and I had811an email exchange, a t rue and cor rec t cepy of which i s at tached911hereto as Exhibi t S, in which, among other th ings , Zernik

101linstructerl Mara Escrow to cancel the Escrow and re fe rences11 II "outrageous conduct" by a tJ:ara Escrow of f ice r . I responded,12 Ilarrong o ther th ings , t ha t Zernik does not have the author i ty to1311cancel the Escrow.14 16. On Monday, December 3, 2007, I received a package of1511documents by messenger from Zernik, t rue and cor rec t copies of1611which are col lec t ive ly a t tached here to as Exhibi t 6. I also17 Ilreceived those documents by email from Zernik on or about1811November 30, 2007. The e ~ a i l s and hard documents r e f l e c t1911transmit tals to ~ a r a Escrow as well .20 17. As the r e s u l t of these communications, I have had a21 I iser ies ~ c e r r m u n i c a t i o ~ s with counsel for Mara Escrow, who has22 Ilinfermed ~ t ha t Mara Escrow requi res an Indemnif ica t i n2 3 1 I A g r e e ~ e ~ ~ to be signea by me in my capaci ty as Receiver and oy2 4 1 I P : a ~ ~ ~ i f f i crder ~ G t ~ e ~ ~ p ~ G c E e d ~ ~ ~ ~ c h ~ s ~ r a G s a c ~ ~ c n as2511Escrow hc:der . A ~ ~ G e a n , = c r ~ e ( : t ccpy ~ ~ h rrcpcsed2 6 1 l I n d e m n i ~ i c a t i c n A g r e e ~ e n t i s a t tac ted ~ e r e t c as E x h i b i ~ 727

' ~ : ' \ ~ f ' ': f- _ -,-:' I " : : : : : : : - . ~ : " : : : : : - \ < " ; ' : : > ' : : : - : . . . . c : _ : t . _~ - - - 3. ~ j ~ ~ . , l S ? f - - ; ~ - : " : , . : . : r l . . . ) : : : Z : r - n : : : : : : r : > ~ r : : - _2 8 I I . l:' t. :

' = : ~ . : f : = . J.C::~ ~ , r . : = = \ ? = = ? " '-' 2.,:< t ? ; : . ; ~ ? : F . ? : : ~ = C ~ : " : = ' : = , \ J F ' . r ~ ? , . = S S ~ _ - ; : . . ~ ~ r = r = , ~ : : - ,=:'?=:.:=?, ~ : : . ? ~ C < : : ' - l - = ~ J ( : ; ~ . : : : , " - - ' P 8 : ~ ~

- - ' n r - . - - ~ ' ~ ~ ~ . ' ; " l - = c ~ , J ' = t ; : = , ~ ' = : T \ J ~ I , : ; ; ~ ~ ~ ~ = : : ~ ~ = : s: ~ : : ~ ~ . = . . ~ : = . : : ' ~ ~ ~ . ~ - = ~ ~ L : : = - ~ , r - ~ . : : : ~ _ ' ? ( ' : : ~ ? r = , = , ~ = ~ : ~ ; , ~ - = - ~ = . ; ~ ~ C ~ ; " _ ? ~ . - ~ ~ ( _ ~ T ~ ~ . , : - - ~ / - - = ~ ? ; : . s - = - c : : ? , ~ ~ ; . ~ Exh p 301 EXHIBITS VOL V - RECEIVERSHIPZERNIK V CONNOR ET AL


19/79

1 ~ E I have b e e ~ ~ n f o r m e d and b e : i ev e t h a t in l i g h t of th e2 I Ih i s to ry c f t h i s ac t ion and the conduct o f Sefendant Zern ick and3 Ilhis co n t in u in g t h r ea t s and a t t empts to i n t e r f e r e i n the o rd e r l y4 l l sa le of the R e c e i v e r s ~ i p Pr ope r t y , t h a t the terms of the proposed5 II In d emn i f i ca t io n Agreement a re r e a s o n a b ~ e and a re accep tab le to6 II P l a : n t i f f . I t a ~ s o i s accep tab le t o me as Rece :ver . Among o t h e r71l th ings , t h a t I nde m ni f i c a t i on Agreement prov ides t h a t s o l e l y In my8 I lcapaci ty as Rece iver , I agree to re imburse Mara Escrow fo r a l l911expenses i n cu r red ( inc lud ing its reasonab le a t t o r n e y ' s fees)

101l r egard ing th e n eg o t i a t i o n s l ead ing up to and t he execu t ion o f th e11 II I nde m ni f i c a t i on Agreement, as we l l as any such expenses i n cu r red12 [lin th e c lo se of Escrow or subsequent ly a r i s i n g out of the c lo se13 II o f Escrow. The I nde m ni f i c a t i on Agreement a l so prov ides t h a t1 4 1 1 Pla in t i f f and I (again only in my cap ac i ty as Rece ive r ) , w i l l1511defend and indemnify Mara Escrow from and ag a i n s t any c la ims ,16 II demands or l i a b i l i t i e s ( inc lud ing a t t o rn e y s ' f ee s ) , asse r t ed by171lZernik, th e title company or th e P l a i n t i f f ' s l e nde r , o r t h e i r18 II r e sp ec t i v e suc c e s so r s and ass i g n s , a r i s i n g out o f o r r e l a t ed to1911Mara Escrow se rv in g as Escrow a ge n t in connec t ion wi th t h i s201lEscrow or the c lo se of Escrow upon th e w r i t t en i n s t ru c t i o n s of211land u t i l i z i n g documents executed by me and P l a i n t i f f as22 I l au thc r i zea by th e Judgment and t he Rece ive rsh ip Grder in t h i s23 II c a se .24252627

'0"1" : \ - ~ ~ , 1 _ : - J..:; \ ; '-: ' _ _ - _ ~ : . : ~ - : : : . ' : : - = - E - : ' ~ ( ; - = ~ : 928 II .: :,-',; \ - ~ ' " ~ : _ ~ , J S ? ' c : " , ~ - , - ~ ' " : > . ? n : ~ ~ ~ l c c : " -:-.4_ . -" _'-

? S C ~ ~ \ ' ~ F ' 2 EX F ~ ~ : ~ A F ? ~ = : ~ ~ = C ~ ~ G ~ S S J A ~ : ~ C? C ? : ~ R _, ~ ? P ~ O ' J = ~ : ~ ~ S C F C ~ ~ C ' - - - ~ < E ~ \ ~ T . ; r : = C - ~ : \ =:::lr-==l::; ~ ~ ~ ~ . \ : i : , E ~ C < S = ( ~ : ~ E [ : ; . . ~ : ~ 3 - / - ? t v , : ~ ~ - - , : , r - = - i ~ ~ 2 r ' ? r ' , / ; : : < ~ : ? ~ ' = : : : - = ~ , , - : : : ? ' , E ~ : . ; = ~ ' : l ~ ; ' . ? j : . .. ~ I : = : ~ J ' :;? =;..-/== ~ : : I - _ ~ ~ ~ : : : R ~ ~ . : : ' . ~ Exh p 302 EXHIBITS VOL V - RECEIVERSHIPZERNIK V CONNOR ET AL


20/79

1 II Res t ra in ing Zernik From Further Communications With Mara, the2 II Ti t l e Company, and P la in t i f f ' s Lender3 9. Zern ik has c o n s i s t e n t l y ~ h r e a : e n e d and i n t i m i d a t e d4 I l i n d iv i cu a l s and e n t i t i e s i n v o l v e d with ~ h i s l i t i g a t i o n and5 II t r a n s a c t i o n . I r ece i v ed a s t ream of t h r e a t e n i n g emai l s from him61lbe fore I was a p p o i n t e d as th e R e c e ~ v e r in t h i s m a t t e r . Among7 I lo ther t h i n g s , Zernik asked f e r th e i d e n ~ i t y o f my m alp rac t i ce8 l 1 c a r r i e r , which i s an i n q u i ry he has renewed s in ce my appoin tment911as R e c e i v e r . My p r ed eces so r , a fo rmer P r e s i d e n t o f t h e

10 II C a l i f o r n i a Judges A sso c i a t i o n , r e s i g n ed . I am in fo rme d and1111believe t h a t a number o f Judges recused t hemse lves from h ea r i n g12 I i t h i s c a s e a f t e r s i m i l a r t h r e a t s were Made to them. A n o n -p a r t y1311lender (Count rywide HOMe Loans , I n c . ) has o b t a i n ed an o r d e r i n1411 tl'-'.is m a t t e r r e s t r a i n i n g Zern ik from communica t ing with its s e n i o r1 5 1 1 0 f f i ce r s , and has a pending mot ion fo r moneta ry s an c t i o n s a g a i n s t1611Zernik fo r v i o l a t i n g t h a t o rd e r , a l l e g i n g among o t h e r t h i n g s t h a t17 I IZern ik has c o m m u n i c a ~ e d with th e Rabbi of th e t e m p ~ e of one o f18 I l i t s s e n i o r o f f i c e r s .19 20. Z e r n i k ' s communica t ions wi th Mara Escrow n e c e s s i t a t e s20 l i the r eq u es t ed In d e mn i ty Agreement .

') lL.. 1 HCC0rd"lncJLy, in o r d e r t o t i me l y c io s e t h i s Escrow22 I I ~ i t ~ c ~ t ~ u r t h e r d i s r ~ p t i o n , I am r eq u es t i n g th e i s s J an ce of an2311 c u i e r ~ h a t t I i : : p r o h i b i t Zer:--.ik from c o m r r , ~ ~ n i c a t i r . : j d . i rec t ly ' t I i th2 4 1 1 ~ a r 3 ::"scrc'tI, t ~ . e t iL: .e corr:pa:-::/ and i n s : J . r e r ~ n i , = e d ~ i t ~ e 2511 In s u ra n c e Companj and Uni ted ~ i t l e Companj ; , an d / o r P l a i n t i f f ' s26111ender IXash ing ton ~ u t u a l ) a t o u t ttis t r a ~ s 3 c t i o n and r e l a t e d27

h: ~ - ' _ t ~ : ' : ' : - . \ ; : _ C I . : . ( - : : J _ : E : ' : : : : - l : : . t r : : < , : - : : . : - ( : ~ . : : t : 1 (\ V28 . _ ~ ' _ \ : ' l ~ : \ - 3 . ~ ' C" j::...:-. - s' ?p -.>':- ',-12 ':: : > : ~ r . : : - , ~ r v : , . : , f.':" : r ; ~ : . ~ ~

? ~ : : E : I C / : : : ? _ ' 2 ~ : ? ; d \ - = : ' ~ . : ' , . ? ? ~ = , = h . - = , ~ C ; t : ?C:? = 5 3 ~ ; : ' J j = E c::' = ? , = ~ : ; .. : . . ~ ? ; : ~ , - - = ~ 1 - : ; E . : 3 ~ ? _ 8 r l j = C = ~ _ ~ t " 1 ? , ~ J ~ ~ . : - = " ' ~ : = ~ - ; ' - ' = = - - ~ ; C = : ~ ' ~ 2 ~ - , ~ ~ ~ ~ - = ' =:::::==.:' S J : : - ~ t ~ ~ S ; : ' . ~ l : 8 C ~ 2 > : = ~ ' ~ 2 r - : - - ~ . : : ; ( " S _ C ~ " . ] 3':"2.2: ~ = -= ' j ' : ' - ~ . , S ~ ; - ' ; =', E : ~ ~ ~ : ; ? _ ; ' . T I :? = h ~ ; : = ~ ? A 3 ~ ~ ; ~ 0 h K Exh p 303 EXHIBITS VOL V - RECEIVERSHIPZERNIK V CONNOR ET AL


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1 I l m a ~ ~ e r s , e x c e p t fo r p ermi t t i n g him to r e t u r n any documents t h a t2 I I ~ a r a Escrow asks him to s ig n . Any cC:lunt.;ni=ati::::ns t h a t he wants311to t r a n s m i t to any o f t h ese e n t i t i e s should be forwarded oy

4 I I Z e r n ~ k t:::: me, and if I b e l i e v e it i s w a r r a n t e d t h a t th e5 1 I c o 0 ~ u ~ i c a t i o n be passed on to Escrow, th e title company, o r

T ' " l6 P l a i n t i f f ' s l e n d e r , W l ~ ~ do so . ~ I b e l i e v e t h a t th e7 II communicat ion i s improper or unwarran ted , in view o f th e8 II p ro v i s io n s o f the Judgment and the Rece ive r sh ip Or de r I w i l l n o t911pass ~ on .

10 ' ) ') I r e q u e s t t h i s f i n a l o r d e r r e l u c t a n t l y , bu t b e l i ev e. . L . . .11 I i tha t it i s e s s e n t i a l in or de r fo r me to fulfill my d i r e c t i o n to12 I lc lose t h i s escrow as soon as p o s s i b l e .1311Ex Parte Necess i ty and Notice

~ ":)14 L...J. These o r d e r s a re ne c e s s a r y on an ex p a r t e b a s i s in15110rder t o c lo se t h i s Escrow t i m e l y . As p r e v i o u s l y s t a t e d ,1 6 1 1 P la in t i f f has advised me t h a t she w i l l l o se h e r f i n a n c i n g if t h i s17 IIEscrow does n o c l o se soon . Consequent ly , t h e r e i s i na de qua t e1811time t o r e q u e s t t h e se o r d e r by n o t i c e d or even s ho r t e ne d n o t i ce1911mot ion.20 24. On December 5, 2007 a t app rox imate ly 3:3) p . m. , = s e n t

, l21 an emal..L to Zerr , ik , :vTara's c o u n s e l (:Vlichael ' l Jach te l l a t B uc ha l t e r221INemer ' , ? i a i n t i ~ f ' s c c ~ n s e l Moe Keshava r z i a t Sheppard M ul l in ) ,2311and ~ c l d w e l l Banker ' s counse l !Rober t Sh u l k i n ; , a t r ue and2411ccr rec t : epy : : : : ~ which i s a t t a c h e d he r e to as E x h i b i : 2, i n ~ c r m i n g 2 5 J l t ~ e ~ t ~ a ~ I ~ o G l , j t e a p p e a r ~ ~ g f c t t e n e a r ~ ~ g s f t h ~ s ex p a r t e26 appli:::a;:.icr. a t 8: 3,'J a.:TL. en F ~ i d a y , ~ e C e f : i l C e r 2 C ~ ' " " ' - = - ~ ~ 27

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1 1 l u e p a r t ~ e n t X 8f th i s Court ( e f f i p h a s i z i ~ g the new c 8 ~ r t h o u s e and2 I I ~ e p a r t ~ e n t fo r th i s case) and de ta i l ing the requested orders .

? 3 . i have received a response email f ~ o m Z e ~ n i k inquir ing~ ~ 411about the di f fe ren t c o u r t r o o ~ for t h i s hearing, demonstra t ing511that DR yeceived my ex par te no t ice .6 I 1eclare under pena l ty of per jury under the }aws of the711State of C a ~ i f o r n i a t ha t the foregoing i s t rue and cor rec t and811that t h i s Declarat ion was executed on December 6, 2007, a t Los91lAngcles, Cal i fo rn ia .

10 'I

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1 II SHEPPARD MULLIN RICHTER & HAMPTON LLP q A Limited Liability Partnership < o ~ , 0 ~ ~ L2 II Including Professional Corporations -1/j .' ~ ; ~ , 1 ? ' ~ II PHILLIP A. DAVIS, Cal. Bar No. 110430 ;S;1'.1 . n ' i \', " 'u, , , . , , ~ 3 : MOE KESHAVARZI, Cal. Bar No. 223759 ./. -1.1 iJ'.,s' . a333 South Hope Street, 48th Floor o ~ 'IVp ' . ' Z ~ < . p ; b .-1. Q, 0 OrO r4 " Los Angeles, California 90071-1448 .,fc, ( - ' ~ ~ / o ~ / ) 'Telet'hone: 213-620-1780 ePA Ceq/:"


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4

IT IS HEREBY ORDERED THAT David 1. Pasternak ("Receiver") shall be2 " appointed as Receiver to take possession, custody and control of the real property located3 II at 320 South Peck Drive, Beverly Hills, California 90212, legally described as:

I5 ;i6Lot 252 of Tract 7710, in the Ci!y of Beverlv Hills,County of Los Angeles, State ofCalifornia, "as per maprecorded in book g3 PAGE (S) 94 and 95 of maps in theoffice of the recorder of said county (the "PROPERTY").

7 1. Before perfonning his duties, the Receiver shall execute a Receiver's8 oath and file a bond in Department 0 with surety thereon approved by this Court, in the9 sum of $] 0.000.00, conditioned upon the faithful perfonnance of the Receiver's duties.1011 2. Within seven (7) days of his appointment, the Receiver is to disclose12 II to all parties any financial relationship between the Receiver and any company he hires to13 II assist in the management of the estate.14 3. The Receiver shall have the power and the authority (a) to exclude15 Defendant and any agents, attorneys, employees or representatives thereof, or anyone16

claiming under any of them, from the Property; (b) to take possession of the Property; (c)17 to use, operate, manage and control the Property; (d) to care for, manage, preserve, protect18 and maintain the Property, and incur the expenses necessary for such care, management,19 preservation, protection and maintenance (e) to pay appropriate expenses for the Property;20 (f) to take such other steps as are reasonably necessary to care for, manage, preserve,21 protect and maintain the Property, subject to the contract for sale of the Property between22

26 Camden Driver, Beverly HiJls, California 90210-4409 (the "Escrowholder), for a price of27 $1,718,000 reduced by the setoffs hereinaf ter described; (h) if within three business daysI , /4:."1"- 'r.-2W02-WEST:JMMKI\4004922111 [PROPOSED] ORDER APPOINTING RECEIVER

28



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7. The Receiver shall be paid his usual hourly billable rate, not to exceed2 II $475.00. All costs incurred by the Receiver and his attorneys in the perfonnance of their3 /I duties, including, but not limited to, their fees, shall be paid from the sale proceeds4 8. Any and all expenses of the operation of the Estate are the risk of the5 Receivership. and not the personal obligation of the Receiver.67 Ii 9. The Receiver may issue Receivership Certificates in increments of8 /I $10,000.00 bearing interest at eight percent (8%) per annum for up to $50,000.00 to any9 II person or parties. All funds loaned to the Receiver pursuant to such Receivership

10 II Certificate(s) shall be deemed to be a lien of first priority which shall be repaid prior to all11 II other encumbrances and claims, other than costs of administration.12 10. The Receiver and the parties to this case may, at any time, apply to13 this Court for further or other instructions or orders and for further powers necessary to14 enable the Receiver to perfonn the Receiver's duties properly.151611 11. Upon close of escrow, the Receiver shall hold the net proceeds of the17 II sale of the Property and before distributing it to Zernik, deduct from that amount (1) any18 /I attorney's fees or costs granted to Samaan by this Court, (2) any damages incidental to the19// decree of specific perfonnance granted to Samaan and (3) the Receiver's fees and expenses20 II incurred as described herein.21 12. The parties, and each of them, on receipt of this Order shall provide22 the Receiver with the tax identification numbers utilized by the PROPERTY. The23 Receiver shall also be entitled to utilize the tax Identification numbers during his operation24 of the receivership estate.2526 13. The Receiver shall determine upon taking possession of the estate27 whether in the Receiver's judgment there is sufficient insurance coverage. With respect to28 any insurance coverage, the Receiver shall be named as an additional insured on theI . I -4- , - -. -- -

W02-WEST:J MMK I14004922 I J : [PROPOSED] ORDER APPOINTING RECEIVERExh p 309 EXHIBITS VOL V - RECEIVERSHIPZERNIK V CONNOR ET AL


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1 II policies for the period that the Receiver shall be in possession of the estate. If sufficient2 I insurance coverage does not exist, the Receiver shall immediately notify the parties to this3 II lawsuit and shall have thirty (30) calendar days to procure sufficient all-risk and liability4 II insurance on the estate (including earthquake and flood insurance) provided, however, that5 if the Receiver does not have sufficient funds to do so. the Receiver shall seek instructions6 from the Court with regard to whether insurance shall be obtained and how it is to be paid7 II for. If consistent with existing law, the Receiver shall not be responsible for claims arising8 II from the lack of procurement or inability to obtain insurance.9 14. The Receiver shall be authorized to pay all legal obligations of the

10 PROPERTY outstanding and coming due.1112/1 ]5. Zernik and his respective agents, employees, representatives and13 1/ anyone acting in concert with them are ordered forthwith to take all steps reasonably14 1/ necessary to enable the Receiver to administer the receivership estate and to exercise15 1/ management and control over the PROPERTY, including but not limited to:16

(a) Forthwith providing the Receiver with all keys, books of accounts,17 records, operating statements, budgets, real estate tax and other bills, notices and all18 documentation relating to the PROPERTY1920 (b) Cooperating with the Receiver to enable him to sell PROPERTY to21 Ir Samaan.22232425262728 1-5- 17

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16. The parties and their respective agents, employees, representatives2 II and anyone acting in concert with them are hereby enjoined and restrained from engaging3 I in any action which interferes with or frustrates the Receiver's ability to administer the4 I) receivership estate and exercise management and control over the PROPERTY.

: I Dated N o v e m ~ , 2007 ~ : ' _7!1 .90;> I / J 1 f t > G ~ P E R I O R ~ O U R T

'" . ..8 _i..9

10111213141516171819202122

232425262728

-6- -" I ' . I gW02WESTJMMK 1,40049221 J.J [PROPOSED] ORDER APPOINTING R E C ~ I ~ E R "1Exh p 311 EXHIBITS VOL V - RECEIVERSHIP



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PROOF OF SERVICE2 STATE OF CALIFORNIA, COUNTY OF LOS ANGELES3 I am employed in the County of Los Angeles; I am over the age of eighteenyears and not a party to the within entitled action; my business address is 333 South Hope411 Street, 48th Floor, Los Angeles, California 90071-1448.5 liOn October 26, 2007, I served the following document(s) described as [PROPOSED]ORDER APPOINTI!\G DAVID J. P A S T E R ~ A K AS RECEIVER on the interested61/ party(ies) in this action by placing true copies thereof enclosed in sealed envelopes and/orpackages addressed as follows:7/ Robert J. Shulkin, Esq. Joseph Zernik8 The Law Department 320 S. Peck DriveColdwell Banker Residential Beverly Hills, California 902129, Brokerage Company jz [email protected]! 11611 San Vicente Blvd., Ninth Floor10 Los Angeles, CA 9 0 0 4 9 ~ 6 5 I 0Facsimile: (310) 447-190211 [email protected]

12/10 BY MAIL: I am "readily familiar" with the finn's practice of collection andprocessing correspondence for mailing. Under that practice it would be deposited13 with the U.S. postal service on that same day with postage thereon fully prepaid atLos Angeles, California in the ordinary course of business. I am aware that on14 motion of the party served, service is presumed invalid if postal cancellation date orpostage meter date is more than one day after date of deposit for mailing in15 affidavit.16110 BY OVERNIGHT DELIVERY: I served such envelope or package to bedelivered on the same day to an authorized courier or dnver authorized by the17 overnight service carrier to receive documents, in an envelope or packagedesignated by the overnight service carrier.18 BY HAND DELIVERY: I caused such envelope(s) to be delivered by hand to the19 office of the addressee(s).

20110 BY ELECTRONIC MAIL: I caused to be prepared and sent an email to the partylisted below at the e-mail address shown on the service list.21 STATE: I declare under penalty of peIjury under the laws of the State of22 California that the foregoing is true and correct.23 Executed on October 26,2007, at Los Angeles, California.

//;1'24 , / ,/ ! !. I '

1 / . , --; )25 \ .-/'1 \ J;;; 'S !f;1::::;:::::> iJ . C>David ZasJoff262728

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RECORDING REQUESTED BY:United Title Company

Title #: 80701422-77APN #: 4328-0024-023WHEN RECORDED MAIL TO

Nivie Samaan

SPACE ABOvE THIS liNE FOR RECORDERS USCGrant DeedThe undersigned grantor(s) declare(s):Documentary transfer tax is $1,889.80(X) computed on full value of property conveyed, or( ) computed on full value less of liens and encumbrances remaining at time of sale.( ) Unincorporated area: () City of Beverly HillsFOR A VALUABLE CONS1DERATlON, receipt of which is hereby acknowledged,Joseph H. Zernik, an unmarried manhereby GRANT{S) toNivle Samaan, a married woman, as her sole and separate propertythat property in The City of Beverly Hills, Los Angeles County, State of California, described as follows:Lot 252 of Tract 7710, in the Oty of Beverly Hills, County of los Angeles, State of California, as per Map recorded inBook 83, Pages 94 and 95 of maps, in the office of the County Recorder of said County.Together with all of Grantor's right, title and interest in and to that certain Oil and Gas lease, executed by andbetween sammy Narens and Lylyan Narens, as Lessor, and Standard Oil Company of California, as Lessee, recordedSeptember 23, 1964, as Instrument No. 3156, Official Records, Los Angeles County, CatiforlaMail Tax Statements to G r a = n ~ t e e = : . . - " a - , - - t - " a - = c d d - , - - r ~ e s s = : . . - - = a - , - - b o - , - - v - , - - e = - , _Dare November 27, 2007

2J 2;Q



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State of / '___ ) 1 T ~ ) ( , ' r __County of , ft I ' ~ i f ' ~ I David J. Pasternak, ReceiverOn - ;.:: . 1 -

I "'--- 'f> =1 \ J .t ,I. before me,1--\ v _____ (Solely In that capacity)

a Notary P u b l i c , ~ r s o n a l l y appeared :.)~ ' , " ' ' ' ; , i -J- :- ) : . ~ - . ~ .. ,)

At"">,ersonally known to me (or proved to me on the basis of 'r A ,0" - cO t l - ~ ~ ~ : : ~ " ~ : . ' ~ ~ ' : ~ ~ ' ~ ~ ~ ~ ; : ~ , ~ : ~ r . : . ~ ' . , ~ ~ , c : - . C : ' ~ . ~ ~ , ' : ~ ~ . ~ ; A ()instrument the person(s), or the entity upon behalf of which "


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433 N. Camoen Drive, S U I ~ 510 B e " , ~ r 1 y Hili CA 90210' (310) 550-7400 FA)( (310) 55(>-7531

ESCROW INSTRUCTIONS(For PAYMENT of seller's California income tax at close of escrow)

MARA ESCROW COMPANY Date: November 26, 2007433 N. Camden Drive, Suite 510 Escrow No.: 13450G-LCBeverly Hills, CA 90210 Sale Price: $1,718,000.00The undersigned buyer(s) and seller(s) acknowledge that California law requires the withholding ofincome tax in an amount equill to three and one third percent (3 1/3%) of the sales price or, ifapplicilble, three and one third percent (3 1/3%) of the gross percentage ot ownership for nonexempt seller(s), or an amount based upon the applicable tax rate as applied to estimated gain onthe Si3le of the property described in your ilbove numbered escrow.You are instructed to Withhold California income tax from the seller(s) in the amount of $57,270.00,which amount equals three and one third percent (3 1/3%) of the sales price, and pay said amount tothe Franchise Tax Board. Forward your check for silid tax, the Real Estate Withholding TaxStatement and the Real Estilte Withholding Installment Sale Agreement, if appliCi3ble, to the FranchiseTilx Board at close of escrow.The undersigned buyer(s) and seller(s) acknowledge thilt the fee charged by Milril Escrow Companyfor this service pursuant to Section 18662 of the California Revenue and Taxation Code is $45.00 perReal Estate Withholding Tax Statement submitted to Franchise Tax Board. You are hereby authorizedand instructed to charge the account of seller for said service fees.The undersigned seller(s) and buyer(s) hereby acknowledge that these instructions are irrevocableand therefore cannot be modified or changed.

BUYER(S)t\J\l David J. Pasternak, Receiver (Solely in that Nivie SamaanCapacity)

ORT180Lelle Page 1of 1

2 zz..Exh p 316 EXHIBITS VOL V - RECEIVERSHIPZERNIK V CONNOR ET AL


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433 N Camden Drive. Surte 510' Beverly HillS GA, 90210 (3101550-7400 FAX (310) 550-7531

SUPPLEMENTAL ESCROW INSTRUCTIONSTo: Mara Escrow Company Date: November 26, 2007433 N. Camden Drive, Suite 510 Escrow No.: 134500-LCBeverly Hills, CA. 90210

Mara Escrow Company is hereby authorized and requested to forward funds by its check in tile amount ofwithholding tax due in connection with the transfer of real property under the above referencec escrow, togetherwith the required forms described below to the Internal Revenue Service on the close of escrow or within twentydays thereafter. Said funds shall be deducted from the proceeds otherwise due the undersigned Transferor/Seller.We, the undersigned parties, jointly and severally, acknowledge that Mara Escrow Company, its agents and/oremployees, are NOT acting as agents for us. Rather, Mara Escrow Company is merely forwarding IRS Forms8288, 8288-A and W-7 if applicable, together with a check equal to ten (10) percent of the sales price to theInternal Revenue Service, Philadelphia, PA 19255, as a courtesy.We further acknowledge that Mara Escrow Company, its agents and/or employees, have not given any adVice norrendered any opinion in connection with the withholding tax or the preparation of any forms and hereby relievesame of any responsibility and/or liability regarding the veracity and/or completeness of the information providedon these forms.We further warrant that the information set forth on IRS Form 8288, 8288-A and W-7 if applicable, which wereprepared and signed by us, IS true and correct to the best of our knOWledge.

TRANSFEREE/BUYERI \ ; I \ ~ ~ David J. Pasternak. Receiver Nivie Samaan(solely in thBtcapac1ty) _Address: \,'"\S ( J . > 1 ~ H " ) P...-h. W\', Address: _~ . ) ~ 1.."\> , 6 ....... _If\ ~ , ~ \ , " " _ ~ 1 . S L _ , ; ~ J

[COMPLETION OF I.R.S. FORM 8288, 828B-A, BAND C, and W-7 i f applicable IS REQUIRED.]

z. ~ : Exh p 317 EXHIBITS VOL V - RECEIVERSHIP



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... "JI V\.I'- 111 ' - " \.IIIV,-1 \ , 11 ' -" U I JVV \ - o I r U l l l U ~ I ' ; ; ; U ~ . ; J I \ . . ' V V V I

Commission to: Coldwell Banker $42,950.00166 North Canon DriveBeverly Hills, CA 90210

Agent: Michael J. LibowPhone: (310)273-3113Fax: (310) 278-4934

Commission to: Gilleran Griffin Company $42,950.001333 Westwood Boulevard Suite 101Los Angeles, CA 90024

Agent: Nivie SamaanPhone:Fax:

November 15, 2007said broker(s) heretofore was employed by me to effect a sale of the property described

to said broker(s) as their commission forto said employment they have produced the purchaser named therein.

be amended or revoked without the writtenof Broker(s) herein.

of their sale proceeds equal to commissionas set forth above. Said commission to be paid at close of this escrow.

ll 1.C'Cf\;A, H. Zernik

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Nivie SamaanJoseph H. Zernik

fornia Residential Purchase Agreement and Joint Escrow Instructions dated September 4, 2004, and CounterOffer No. 1 dNo.2 dated September 11. 2007, by and between the buyer and seller referenced abYou are authorized to act in accordance with these instructions and

You are not to be concerned with, or liable for, any memoranda or other agreements between the pacontained in the attached document, except those relating to the transfer of title. I/we acknowledge receipt of your PriNotice, and prior to close of escrow, the parties to this transaction will cause any balance of funds due and/or documof them to be deposited with you.

following additional terms and conditions shall apply in this escrow:SUMMARY

Outside Escrow $ 0.00Through Escrow $ 172,500.00$ 0.00$ 0.00$ 1,288,500.00$ 257,000.00$ 0.00$ 1,718,000.00

Special Sale Instructions are intended as a supplement to the Residential Purchase Agreement and Joint Escrow

of escrow shall be on or before 12/14/2007 and thereafter in the event no written demand is made for cancellation.undersigned Buyer(s) shall cause to be handed you:

cashier's check or wired funds in the amount reqUired to close escrowPreliminary Change of Ownership Reportcalifornia Income Tax Withholding NoticeBuyer's Estimated Closing StatementSupplemental InstructionsExecuted loan documentsRead and approved inspection and/or completion report(s)

e undersigned Seller(s) shall cause to be handed you:Grant Deed in favor of the Buyer(s)Seller(s) Estimated Closing Statementcalifornia Income Tax Withholding NoticeIRS Reporting forms, as applicableRead and approved demand(s)Read and approved bill(s)

DESCRIPTION: The complete legal description of subject property shall be proVided in the Preliminary Report issued b

is hereby instructed and authorized to complete the vesting on the Grant Deed, over Seller(s) signatures theredirected by Buyer(s). 2- r : . " , , - , ~ ;.; ' : ' ~ h i h t t

PageExh p 319 EXHIBITS VOL V - RECEIVERSHIPZERNIK V CONNOR ET AL


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supp emen a axes w c may e e a er c o s ng y e ce o e oun y ax o ec or as a resu o an even pr obe handled solely between the buyer and seller outside of this escrow.of GENERAL property taxes is due November 1st and a penalty will be assessed if noby December 10th. The second installment is due February 1st and a penalty will be assessed if not paid by April 10th.

********* PLEASE NOTE********FUNDS LAW

of funds by a Titleany prior to distribution. Depending upon the type of check(s) deposited, this holding period could delay the closing of y In the event you wish to wire funds, rather than deposit a Cashier's Check, you may instruct your bank to wire the fun

Comerica Bank-California 10900 Wilshire Blvd.Los Angeles, CA 90024121137522Further Credit to: Mara Escrow Company No. 1891023507Liz Cohen134500

********************

of all matters of record that Ipay through this escrow. A current demand is defined as a written demand for payment that is not expired or that will not by its terms prior to the close of escrow or whose date of issuance is not more than 30 days prior to close of escrow. Inevent a demand submitted to escrow is determined not to be current within this definition, you are further authorized, at yan updated demand and to pay said updated demand as submitted without further written or verbal

and instructed to disburse the proceeds due the undersigned Seller(s) as per separate instructions hereto and made a part hereof.

is executed in counterpart for the purpose of facilitating its execution by the parties hereto. Thebe construed and interpreted as a single document.

is amended as follows:as her sole and separate property

OF BEVERLY HILLS NOTIFICATION: In the event the property is in the City of Beverly Hills, you shall obtain and submitof Sale/Exchange of Real Property on behalf of Seller and Buyer as reqUired by the City of Beverly Hills Municipal Cns 9-3.1501,9-1.102 &9-2.112, which notification shall also conform to the reqUirements of the City of Beverly Hills relathe reqUiring of smoke detectors in residential bUildings. Seller will hand you a properly executed Notification indicating tis in compliance with said requirements. Escrow Holder's responsibility shall be limited to filing the Notification with t

Building and Safety at the close of escrow.OF THE PURCHASE: The terms of the Purchase Price are hereby amended to be as follows:Earnest Money Deposit $30,000.00Balance of Down Payment $142,500.00New 1st Loan $1,288,500.00New 2nd Loan $257,000.00TOTAL CONSIDERATION $1,718,000.00

CLOSING COSTS: At the close of escrow, Escrow Holder is hereby authorized and instructed to debit the Seller andthe Buyer an amount not to exceed $34,360.00, which amount Buyer shall apply towards Buyer's Closing Costs.' : " v ~ - ; h l ~ 2.- "',.,.,,", Z(.p PageExh p 320 EXHIBITS VOL V - RECEIVERSHIPZERNIK V CONNOR ET AL


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The law concerning the disbursement of funds requires that all funds must be available for withdrawal of the escrow entity prior to the disbursement of any such funds. Only cash or wire transferred funds cconsidered immediately available on deposit. cashiers checks, tellers checks and certified checks may be available one

All other funds are subject to mandatory holding periods which may cause delays in closing thisof funds. In order to avoid delays, please consider that all fundings and/or deposits should bewire transfer. Outgoing wire transfers will be authorized only upon confirmation of the respective incoming wire

or of the immediate availability of any deposited checks.

No Interestfunds received in this escrow will be commingled and deposited with other funds from other escrows in a general escrowin the name of Mara Escrow Company with any state or national bank or saVings anand may be transferred to any other such general account or accounts. The paracknOWledge and agree that the maintenance of such escrow accounts with certain depository institutions may

in the receipt by Mara Escrow Company of various bank services, accommodations and/or other benefits from thetory institutions. Mara Escrow Company or its affiliates may elect to enter into other business arrangements or transacor to obtain loans for investment or other purposes from such depository institutions. All such services, accommodations

of such services, accommodations or other benefits.Option For Interest Bearing Account

an interest bearing account. Upon receipt of such fully executed instructions along with anin a

of Mara Escrow Company as Trustee for the escrow in question (134S00-LC) with ComeLos Angeles, CA 90024. Until such time as escrow is in a position to disburse or closeas proVided herein, any accrued interest shall be credited to the account of the Buyer herein. Buyer acknowledges th

of said interest bearing account. In addition, the within partiesawareness of the fact that the Federal Deposit Insurance Corporation (FDIC) only insures depositor

be given or proVided reasonable notice and time to comply with any instructions for bank wires toess and complete this escrow. Accordingly, Escrow Holder's sole duty and responsibility shall be to place said wire transfof (1) satisfaction of conditions precedent or (2) document recordation atescrow. Escrow holder will NOT be held responsible for lost interest due to wire delays caused by any bank or the Federal

of banking regulations with regard to placement o

the event there is insufficient time to place a wire upon any such confirmation or the wires have closed for the day, the paan alternative method of disbursement. WITHOUT AN ALTERNATIVE DISBURSEMENFUNDS WILL BE HELD IN TRUST IN A NON-INTEREST BEARING ACCOUNT UNTIL THE NEXT OPPORTUNITYPLACEMENT.

follOWing general provisions shall apply in this escrow:Deposit and Disbursement of Funds. Disbursements are ordinarily made by check of Escrow Holder. Escrow Holder

Use of a wire transfer may offer bento more qUickly satisfy an obligation and stop the accrual of additional interest. Escrow Holder will chaPlease let your escrow officer know should you require a wire

of any portion of the escrow proceeds.Prorations and Adjustments. All prorations and/or adjustments called for in this escrow are to be made on the basis

that may change based on the recording date. In all acts relating, but not limited to fire/hazardEscrow Holder by the parties to this escrow, or their agent(s), is correct and that insurance premiums have been paid.

,"" 2- ..., --,v""""""" . '-""';1-' ' - - ' , PageExh p 321 EXHIBITS VOL V - RECEIVERSHIPZERNIK V CONNOR ET AL


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conr ng ns ruc ons. upon rece p or any con c ng ns ruc ons o er an cance a on ns ruc ons , scrow ono longer obligated to take any further action in connection with this escrow until further consistent instructions are receiveis authorized to hold all monies and/or instruments in this escrow until otherwise directed, eit

or by final order of a court of competent jurisdiction. In the event of conflicting claimor other documents, Escrow Holder shall have the absolute right, at Escrow Holder's discretion, to file an action i

of the state of California in this regard.Disclosure. Escrow Holder shall have no duty to disclose to any party to this escrow any information, which may come

so by any party.Right of Cancellation. This escrow shall be deemed canceled upon Escrow Holder's receipt of any party's instruction to

of a party's instructions to cancel the escrow, Escrow Holder shall distribute Cancellationto the parties or to their agents regarding the disbursement of funds in the escrow. Escrow Holder then is no longto take any further action in connection with this escrow until receipt of mutual non-conflicting instructions from the

of mutual, non-conflicting instructions regarding the disbursement of funds in the escrow, Escrow Holderin accordance with the instructions, less fees and other costs incurred in connection with the escrow.

of non-conflicting instructions regarding the disbursement of funds in the escrow, Escrow Holder is authorized anin accordance with the terms of Paragraph 6 above, but Escrow Holder may distribin excess of earnest money to the depositors of the funds or their assignees at Escrow Holder's sole discretion.Entire Agreement and Indemnification. These General Provisions and the joint escrow instructions received and accep

(i f applicable), shall be the whole and only agreement between the parties regarding the obligations of Escror not such agreement(s) have bee

of this escrow. To the extent of any conflicts between these General Provisions (including joint escrow instructionjoint escrow instructions, if

Compliance with Regulatory Matters. Escrow Holder is not responsible or liable for determining that there has beenbe issued in conjunction withof this escrow including, but not limited to, county or municipal ordinances and state, county or municipal subdivision or

or laws. Reference is made to the policy form on file with the Insurance Commissioner of the State oof such exclusions.

Licensee Status. Escrow Holder is not responsible or liable for determining that any person or entity receiving aor other compensation from escrow is currently and regularly licensed, nor for communicating the license status oor enti ty receiving a commission or other compensation from escrow to the parties herein.

. Unclaimed Funds. After three (3) years from the deposit of funds into escrow, any amounts thereafter remainingbe escheated to the State of California in compliance with the State of California's Unclaimed Property Law and

Fees and Charges. The parties to this escrow agree to pay all charges, billings, advances and expenses, includingor shortagesin connection with these instructions.

Payments From Escrow. Escrow Holder is acting as the disbursing agent of the parties to this escrow for all paymentsas, but not limited to, commissions, signing service proViders, notary fees and termite inspections and/or reports, owed a

Inspections. Escrow Holder is relieved of any obligation to order or obtain any of the inspections or reports required b

Contingencies. Escrow Holder is relieved of any obligation to monitor, schedule the timing of, or obtain any party'sof the contingencies reqUired by this transaction.

have read, understand, and agree to the above, acknowledge receipt of a copy of your Privacy Policy Notice and, furtherthat the title company named herein may not disburse funds received in this escrow except in accordance with

in Section 12413.1 of the Insurance Code of the State of California.- : v p - . ~ k . ~ ' Page2 - ~ ~ . : , . ~ Z Exh p 322 EXHIBITS VOL V - RECEIVERSHIPZERNIK V CONNOR ET AL


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433 N. Camden Drive, Suite 510 Beverly Hills CA' 90210' (310) 550-7400 FAX (310) 550-7531

SPECIAL SALE INSTRUCTIONSTO MARA ESCROW COMPANY

ty Address: 320 So. Peck Drive Escrow No.: 134500-LCBeverly Hills, CA 90212-3715 Escrow Officer: Liz Cohen---------Date: November 16, 2007IS UCENSED BY THE STATE OF CAUFORNIA, DEPARTMENT OF CORPORATIONS,

963-1155.Nivie SamaanJoseph H. Zernik

4. 2004. and CounterOffer No.1No.2 dated September 11. 2007, by and between the buyer and seller referenced aYou are authorized to act in accordance with these instructions and

You are not to be concerned with, or liable for, any memoranda or other agreements between the pcontained in the attached document, except those relating to the transfer of title. I/we acknowledge receipt of your PNotice, and prior to close of escrow, the parties to this transaction will cause any balance of funds due and/or documof them to be deposited with you.

e follOWing additional terms and conditions shall apply in this escrow:SUMMARY

Outside Escrow $ 0.00Through Escrow $ 172,500.00$ 0.00$ 0.00Encumbrances $ 1,288,500.00$ 257,000.00$ 0.00$ 1,718,000.00

Special Sale Instructions are intended as a supplement to the Residential Purchase Agreement and Joint Escrow


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of escrow shall be on or before 12/14/2007 and thereafter in the event no written demand is made for cancellation.e undersigned Buyer(s) shall cause to be handed you:

Cashier's check or wired funds in the amount required to close escrowPreliminary Change of Ownership ReportCalifornia Income Tax Withholding NoticeBuyer's Estimated Closing StatementSupplemental InstructionsExecuted loan documentsRead and approved inspection and/or completion report(s)

e undersigned Seller(s) shall cause to be handed you:Grant Deed in favor of the Buyer(s)Seller(s) Estimated Closing StatementCalifornia Income Tax Withholding Notice

IRS Reporting forms, as applicable Read and approved demand(s) Read and approved bill(s)

DESCRIPTION: The complete legal description of subject property shall be provided in the Preliminary Report issued

is hereby instructed and authorized to complete the vesting on the Grant Deed, over Seller(s) signatures theredirected by Buyer(s).

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433 N. Camden Drive. Suite 510' Beverly Hills CA 90210' (310) 550-7400 FAX (310) 550-7531

ESCROW COMMISSION INSTRUCTIONS

To: Mara Escrow Company Escrow No.: 134500-LC433 N. Camden Drive, Suite 510 Property: 320 So. Peck Drive, Beverly Hills, CABeverly Hills, CA 90210 90212-3715

At the close of escrow, Escrow Holder is hereby authorized and instructed to pay the following licensed RealEstate Broker(s) as a Commission for services rendered, which amount you are authorized to deduct from thefunds due me under the above numbered escrow.Pay Commission to: Coldwell Banker $42,950.00166 North Canon DriveBeverly Hills, CA 90210

Agent: Michael J. LibowPhone: (310)273-3113Fax: (310) 278-4934

Pay Commission to: Gilleran Griffin Company $42,950.001333 Westwood Boulevard Suite 101Los Angeles, CA 90024

Agent: Nivie SamaanPhone:Fax:


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Date: November 15, 2007I acknowledge that said broker(s) heretofore was employed by me to effect a sale of the property describedunder the above escrow number, that I have agreed to pay said sum to said broker(s) as their commission forsaid services, and that pursuant to said employment they have produced the purchaser named therein.Seller herein qgrees that Escrow Commission Instructions may not be amended or revoked without the writtenconsent of Broker(s) herein.

The undersigned hereby irrevocably assigns to Broker herein a portion of their sale proceeds equal to commissiamounts as set forth above. Said commission to be paid at close of this escrow.SELLER(S):i l l 1.('C1\;J\ ,kJoseph H. Zernik


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Officer: Liz Cohen ES1 ~ ' ' ' ' ' No.: 134500-LCAddress: 320 So. Peck Drive Date: November 16, 2007Beverly Hills, CA 90212-3715

in favor of the newof the terms and conditions therein. Escrow Holder is authorized to comply with the

of the lender.

of hazard insurance acceptable to lender. Escrow Holder is authorized andto pay from Buyer(s) funds the premium for same unless a paid receipt is deposited into escrow. In the event sub

is covered under a master policy, Escrow Holder is authorized and instructed to obtain a certification on behalf of

of ownership. A supplemental tax bill will be receivedan increase or decrease in taxes based upon the values assessed by the county.

y supplemental taxes which may be billed after closing by the Office of the County Tax Collector as a result of an event priof this escrow.

of GENERAL property taxes is due November 1st and a penalty will be assessed if nby December 10th. The second installment is due February 1st and a penalty will be assessed if not paid by April 10th.********* PLEASE NOTE********

FUNDS LAWof funds by a Titleany prior to distribution. Depending upon the type of check(s) deposited, this holding period could delay the closing of

In the event you wish to wire funds, rather than deposit a Cashier's Check