Undue Influence Cases

February 17, 2019 | Author: thinkkim | Category: Guarantee, Law Of Obligations, Contract Law, Banks, Legal Concepts
Share Embed Donate


Short Description

Contract Law notes...

Description

$VLI7XIDO

&$6(62181'8(,1)/8(1&( &/$66$&78$/81'8(,1)/8(1&(

:LOOLDPVY%DLOH\  /5+/  $ VRQ IRUJHG KLV IDWKHUV VLJQDWXUH RQ SURPLVVRU\ QRWHV DQG JDYH WKHP WR WKHLUEDQNHUV$WDPHHWLQJRIDOOWKHSDUWLHVDWWKHEDQNRQHRIWKHEDQNHUV VDLGWRWKHIDWKHU³,IWKHELOOVDUH\RXUVZHDUHDOOULJKWLIWKH\DUHQRWZH KDYH KDYH RQO\ RQO\ RQH RQH FRXU FRXUVH VH WR SXUV SXUVXH XH  ZH FDQQ FDQQRW RW EH SDUWL SDUWLHV HV WR FRPSR FRPSRXQ XQGL GLQJ QJ D IHORQ\´7KHEDQNVVROLFLWRUVDLGLWZDVDVHULRXVPDWWHUDQGWKHIDWKHUVRZQ VROLFLWRUDGGHG³DFDVHRIWUDQVSRUWDWLRQIRUOLIH´$IWHUIXUWKHUGLVFXVVLRQDVWR WKHVRQVILQDQFLD WKHVRQVILQDQFLDOOLDELOLW\WKHEDQ OOLDELOLW\WKHEDQNVVROLF NVVROLFLWRUVDLGWKDW LWRUVDLGWKDWWKH\FRXOGRQO\ORRN WKH\FRXOGRQO\ORRNWR WR WKHIDWKHU7KHIDWKHUWKHQDJUHHGWRPDNHDQHTXLWDEOHPRUWJDJHWRWKHEDQN LQFRQVLGHUDWLRQRIWKHUHWXUQRIWKHSURPLVVRU\QRWHV7KHIDWKHUVXFFHHGHG LQDFWLRQIRUFDQFHOODWLRQRIWKHDJUHHPHQW ,WZDVKHOGE\/RUG:HVWEXU\WKDWWKHVHFXULW\JLYHQIRUWKHGHEWRIWKHVRQE\ WKHIDWKHUXQGHUVXFKFLUFXPVWDQFHVZDVQRWWKHVHFXULW\RIDPDQZKRDFWHG ZLWK WKDW WKDW IUHHG IUHHGRP RP DQG DQG SRZH SRZHU U RI GHOLE GHOLEHU HUDW DWLR LRQ Q WKDW WKDW PXVW PXVW EH FRQV FRQVLG LGHU HUHG HG DV QHFHVVDU\WRYDOLGDWHDFRQWUDFWWRJLYHVHFXULW\IRUWKHGHEWRIDQRWKHU

&/$6635(680('81'8(,1)/8(1&( &/$66$

 $OOFDUGY6NLQQHU   $OOFDUGY6NLQQHU   ,Q DQ XQPDUULHGZRPDQDJHG XQPDUULHGZRPDQDJHG  VRXJKW VRXJKW D FOHUJ\PDQ UJ\PDQ DV D FRQIHVVRU FRQIHVVRU  7KH 7KH IROORZ IROORZLQJ\HDUVKH LQJ\HDUVKH EHFDPH EHFDPH DQDVVRFLDW DQDVVRFLDWH H RI WKH VLVWHUK VLVWHUKRRG RRG RIZKLFK KH ZDV ZDV VSLULWX VSLULWXDO DO GLUHFW GLUHFWRU RU DQG LQ   VKH ZDV ZDV DGPLWWH DGPLWWHG G D IXOO IXOO PHPEHU PHPEHU  WDNLQJ WDNLQJ YRZV YRZV RI SRYHUW\ SRYHUW\ FKDVWLW\ FKDVWLW\ DQGREHGLHQFH :LWKRXW :LWKRXW LQGHSHQGHQW LQGHSHQGHQW DGYLFH DGYLFH VKH PDGH PDGH JLIW JLIWV V RI PRQH PRQH\ \ DQG DQG VWRF VWRFN N WR WKH WKH PRWK PRWKHU HU VXSH VXSHUL ULRU RU RQ EHKD EHKDOI OI RI WKH WKH VLVWHUKRRG6KHOHIWWKHVLVWH VLVWHUKRRG6KHOHIWWKHVLVWHUKRRG UKRRGLQDQGLQFODLPH LQDQGLQFODLPHGWKHUHWXUQRI GWKHUHWXUQRI WKHVWRFN3URFHHGLQJVWRUHFRYHUWKHVWRFNZHUHFRPPHQFHGLQ ,W ZDV ZDV KHOG KHOG E\ WKH WKH &RXU &RXUW W RI $SSH $SSHDO DO WKDW WKDW DOWKR DOWKRXJ XJK K WKH WKH SODL SODLQWL QWLII IIV V JLIW JLIWV V ZHUH ZHUH YRLGDEOHEHFDXVHRIXQGXHLQIOXHQFHEURXJKWWREHDUXSRQWKHSODLQWLIIWKURXJK WKHWUDLQLQJVKHKDGUHFHLYHGVKHZDVGLVHQWLWOHGWRUHFRYHUEHFDXVHRIKHU FRQGXFWDQGWKHGHOD\

&/$66%

/OR\GV%DQNY%XQG\ >@4% /OR\GV%DQNY%XQG\  >@4%  $ JXDUDQWHH ZDV JLYHQ WR WKH EDQN E\ DQ HOGHUO\ IDUPHU D FXVWRPHU RI WKH EDQN EDQN  IRU IRU KLV KLV VRQ VRQV V GHEW GHEWV V 7KH 7KH JXDU JXDUDQ DQWHH WHH ZDV ZDV VHFXU VHFXUHG HG E\ D PRUWJ PRUWJDJ DJH H RI %XQG\VKRXVH %XQG\VKRXVHLQIDYRXURIWKHEDQ LQIDYRXURIWKHEDQN$QDVVLVWDQWPDQD N$QDVVLVWDQWPDQDJHURIWKHEDQ JHURIWKHEDQNZLWK NZLWK WKHVRQODWHUWROG WKHIDWKHUWKDW WKH\ZRXOGRQO\FRQWLQXHWRVXSSRUW WKHVRQV FRPSDQ FRPSDQ\LI \LI KHLQFUHDV KHLQFUHDVHGWKHJXDUD HGWKHJXDUDQWH QWHHDQG HDQG FKDUJH FKDUJH  7KH IDWKHU IDWKHU GLG VR WKH DVVL DVVLVW VWDQ DQW W PDQD PDQDJH JHU U DSSU DSSUHF HFLD LDWL WLQJ QJ WKDW WKDW WKH WKH IDWKH IDWKHU U UHOLH UHOLHG G RQ KLP KLP LPSOL LPSOLFL FLWO\ WO\ WR DGYL DGYLVH VH KLP KLP DERX DERXW W WKH WKH WUDQ WUDQVD VDFW FWLR LRQ Q 7KH 7KH &RXU &RXUW W RI $SSH $SSHDO DO VHW VHW DVLGH VLGH WKH WKH JXDUDQWHHDQGFKDUJH /RUG'HQQLQJKHOGWKDWWKHUHODW /RUG'HQQLQJKHOGWKDWWKHUHODWLRQVKL LRQVKLSEHWZHH SEHWZHHQWKHEDQNDQGWKHIDWKHUZDV QWKHEDQNDQGWKHIDWKHUZDV RQH RIWUXVW DQG FRQILG FRQILGHQF HQFH H 7KH EDQNNQHZWKDWWKHIDWK EDQNNQHZWKDWWKHIDWKHUUHOLH HUUHOLHG G RQWKHP LPSOLFLWO\ LPSOLFLWO\ WR DGYLVH KLP DERXW DERXW WKH WUDQVDFWLRQ WUDQVDFWLRQ 7KH IDWKHU WUXVWHG WUXVWHG WKH EDQN 7KLVJDYHWKHEDQNPXFKLQIOXHQFHRQWKHIDWKHU@$OO(5  $KXVEDQGDQG ZLIHRZQHGDKRPHM RLQWO\ 7KHKXVEDQGZDVXQDEOH WRPHHW KLV PRUWJDJH FRPPLWPHQWV DQG WKH EXLOGLQJ VRFLHW\ WKUHDWHQHG WR VHHN SRVVHVVLRQIRUXQSDLGGHEWV7KHKXVEDQGPDGHUHILQDQFLQJDUUDQJHPHQWV ZLWK WKH EDQN VHFXUHG E\ D PRUWJDJH LQ IDYRXU RI WKH EDQN RYHU WKH PDWULPRQLDOKRPH7KHEDQNPDQDJHUFDOOHGDWWKHKRPHWRJHWWKHZLIHWR H[HFXWH WKH FKDUJH 6KH GLG QRW ZLVK WKH FKDUJH WR FRYHU KHU KXVEDQGV EXVLQHVV OLDELOLWLHV 7KH EDQN PDQDJHU DVVXUHG KHU LQ JRRG IDLWKEXW LQFRUUHFWO\ WKDW LW GLG QRW ,W ZDV LQ IDFW XQOLPLWHG LQ H[WHQW DQG FRXOG WKHUHIRUHH[WHQGWRDOOWKHKXVEDQGVOLDELOLWLHVWRWKHEDQNWKRXJKLWZDVWKH EDQNVLQWHQWLRQWRFRQILQHLWWRWKHDPRXQWQHHGHGWRUHILQDQFHWKHPRUWJDJH 7KH ZLIH KDG QRW UHFHLYHG LQGHSHQGHQW OHJDO DGYLFH EHIRUH H[HFXWLQJ WKH PRUWJDJH7KHKXVEDQGDQGZLIHIHOOLQWRDUUHDUVZLWKWKHLUSD\PHQWVDQGWKH EDQNREWDLQHGDQRUGHUIRUSRVVHVVLRQRIWKHKRPH6KRUWO\DIWHUZDUGVWKH KXVEDQGGLHGZLWKRXWRZLQJWKHEDQNDQ\EXVLQHVVGHEWV7KHZLIHDUJXHG WKDWWKHEDQNPDQDJHUH[HUFLVHGXQGXHLQIOXHQFHRYHUKHUDQGWKDWDVSHFLDO UHODWLRQVKLSH[LVWHGEHWZHHQKHUDQGWKHEDQNZKLFKUHTXLUHGLWWRHQVXUHWKDW VKH UHFHLYHG LQGHSHQGHQW OHJDO DGYLFH EHIRUH HQWHULQJ LQWR D IXUWKHU  PRUWJDJH6KHDOVRVRXJKWWRUHO\XSRQ/OR\GV%DQNY%XQG\  /RUG6FDUPDQFDPHWRWKHIROORZLQJFRQFOXVLRQV 

  



$WUDQVDFWLRQZRXOGQRWEHVHWDVLGHRQWKHJURXQGVRIXQGXHLQIOXHQFHXQOHVV LWFRXOG EHVKRZQWKDWLW ZDVPDQLIHVWO\ GLVDGYDQWDJHRXVWR WKHSDUW\ DOOHJHG WREHLQIOXHQFHG 7KHEDVLFSULQFLSOHZDVQRWDYDJXHSXEOLFSROLF\DVIRUPXODWHGLQ  $OOFDUGY 6NLQQHU EXWWKHSUHYHQWLRQRIYLFWLPLVDWLRQRIRQHSDUW\E\DQRWKHU 7KHWUDQVDFWLRQLQWKHLQVWDQWFDVHZDVQRWXQIDLUWRWKHZLIH $OWKRXJK WKH GRFWULQH RI XQGXH LQIOXHQFH FRXOG H[WHQG WR FRPPHUFLDO WUDQVDFWLRQV LQFOXGLQJ WKRVH EHWZHHQ EDQNHU DQGFXVWRPHU LW FRXOGQRW EH PDLQWDLQHG RQWKH SUHVHQW IDFWV WKDW WKH UHODWLRQVKLS ZDV RQH LQ ZKLFKWKH EDQNHUKDGDGRPLQDWLQJLQIOXHQFH 7KH EDQN WKHUHIRUH ZDV QRW XQGHU D GXW\ WR HQVXUH WKDW WKH ZLIH KDG LQGHSHQGHQWDGYLFH

0$1,)(67',6$'9$17$*(

1DWLRQDO:HVWPLQVWHU%DQNY0RUJDQ >@ 6HHSRLQWDERYH/RUG6FDUPDQVWDWHG ³$ PHWLFXORXVH[DPLQDWLRQ RIWKH IDFWV RI WKHSUHVHQWFDVHUHYHDOVWKDW >WKH [email protected]QHYHUµFURVVHGWKHOLQH¶1RUZDVWKHWUDQVDFWLRQXQIDLUWRWKHZLIH7KH EDQN ZDV WKHUHIRUH XQGHU QR GXW\ WR HQVXUH WKDW VKH KDG LQGHSHQGHQW DGYLFH ,W ZDV DQ RUGLQDU\EDQNLQJ WUDQVDFWLRQZKHUHE\ WKH ZLIH VRXJKW WR VDYHKHU KRPHDQGVKHREWDLQHGDQKRQHVWDQGWUXWKIXOH[SODQDWLRQRIWKH EDQNVLQWHQWLRQZKLFKQRWZLWKVWDQGLQJWKHWHUPVRIWKHPRUWJDJHGHHGZKLFK LQ WKH FLUFXPVWDQFHV WKH WULDO MXGJH ZDV ULJKW WR GLVPLVV DV µHVVHQWLDOO\ WKHRUHWLFDO¶ZDVFRUUHFWIRU QRRQHKDGVXJJHVWHGWKDW «WKHEDQNVRXJKWWR PDNHWKH ZLIHOLDEOHRU WRPDNH KHU KRPHWKHVHFXULW\ IRU DQ\ GHEWRI KHU KXVEDQGRWKHUWKDQWKHORDQDQGLQWHUHVWQHFHVVDU\WRVDYHWKHKRXVHIURP EHLQJWDNHQDZD\IURPW KHPLQGLVFKDUJHRIW KHLULQGHEWHGQHVVWRWKHEXLOGLQJ VRFLHW\´

 ZZZODZWHDFKHUFRXN

$VLI7XIDO

%&&,Y$ERRG\ >@:/5  $KXVEDQG DQGZLIH RZQHGDIDPLO\FRPSDQ\ DQGWKH FRPSDQ\VOLDELOLWLHV WR LWV EDQNZHUHVHFXUHGDPRQJ RWKHU WKLQJV E\FKDUJHVRI WKHZLIHV KRXVH 7KHEDQN VRXJKWWR HQIRUFHWKH VHFXULWLHVDQG WKHZLIHSOHDGHG DFWXDOXQGXH LQIOXHQFHE\WKHKXVEDQG$OWKRXJKWKHMXGJHIRXQGWKDWVXFKLQIOXHQFHKDG EHHQ HVWDEOLVKHG KH UHIXVHG WR VHW DVLGH WKH FKDUJHV DV LW KDG QRW EHHQ SURYHGWKDWWKH\ZHUHPDQLIHVWO\GLVDGYDQWDJHRXVWRWKHZLIHDSRLQWVLQFH RYHUUXOHGE\WKH+RXVHRI/RUGVLQ&,%&0RUWJDJHVY3LWW >@ ,W ZDV KHOG E\ WKH &RXUW RI $SSHDO WKDW PDQLIHVW GLVDGYDQWDJH IRU WKH SXUSRVHVRIWKHGRFWULQHRIXQGXHLQIOXHQFHKDGWREHDGLVDGYDQWDJHZKLFK ZDV REYLRXV DV VXFK WR DQ\ LQGHSHQGHQW DQG UHDVRQDEOH SHUVRQ ZKR FRQVLGHUHGWKHWUDQVDFWLRQDWWKHWLPHZLWKNQRZOHGJHRIDOOWKHUHOHYDQWIDFWV 7KHIDFWWKDWWKHFRPSODLQLQJSDUW\KDGEHHQGHSULYHGRIWKHSRZHURIFKRLFH HJ EHFDXVH KLV ZLOO KDG EHHQ RYHUERUQH WKURXJK WKH IDLOXUH WR GUDZ KLV DWWHQWLRQ WR WKH ULVNV LQYROYHG ZDV QRW RI LWVHOI D PDQLIHVW GLVDGYDQWDJH UHQGHULQJWKHWUDQVDFWLRQXQFRQVFLRQDEOH)XUWKHUPRUHVLQFHWKHJLYLQJRID JXDUDQWHH RU FKDUJH DOZD\V LQYROYHG WKH ULVN WKDW WKH JXDUDQWHH PLJKW EH FDOOHGLQRUWKHFKDUJHHQIRUFHGWKHTXHVWLRQZKHWKHUWKHDVVXPSWLRQRIVXFK DULVNZDVPDQLIHVWO\GLVDGYDQWDJHRXVWRWKHJLYHURIWKHJXDUDQWHHRUFKDUJH GHSHQGHG RQ EDODQFLQJ WKH VHULRXVQHVV RI WKH ULVN RI HQIRUFHPHQW WR WKH JLYHULQSUDFWLFDOWHUPVDJDLQVWWKHEHQHILWVJDLQHGE\WKHJLYHULQDFFHSWLQJ WKHULVN 7KHUH ZHUH QR JURXQGV IRU GLVDJUHHLQJ ZLWK WKH MXGJH¶V FRQFOXVLRQ WKDW RQ EDODQFHDPDQLIHVWGLVDGYDQWDJHKDGQRWEHHQVKRZQE\WKHZLIHLQUHVSHFW RIDQ\RI WKHVL[WUDQVDFWLRQVVLQFHDOWKRXJKWKHUHZHUHVXEVWDQWLDOSRWHQWLDO OLDELOLWLHVDQGWKHIDPLO\KRPHZDVDWULVNDV DUHVXOWRIWKHWUDQVDFWLRQVWKDW ZDV FRXQWHUEDODQFHG E\ WKH IDFW WKDW WKH ORDQV JDYH WKH FRPSDQ\ D UHDVRQDEO\JRRGFKDQFHRIVXUYLYLQJLQZKLFKFDVHWKHSRWHQWLDOEHQHILWVWR WKH ZLIH ZRXOG KDYHEHHQ VXEVWDQWLDO 0RUHRYHUWKH HYLGHQFH HVWDEOLVKHG WKDWRQEDODQFHWKHZLIHZRXOGKDYHHQWHUHGLQWRWKHWUDQVDFWLRQVLQDQ\HYHQW DQGDFFRUGLQJO\LWZRXOGQRWEHULJKWWRJUDQWKHUHTXLWDEOHUHOLHIDVDJDLQVWWKH EDQN7KHZLIH¶VDSSHDOZDVWKHUHIRUHGLVPLVVHG

%DUFOD\V%DQNY&ROHPDQ 7KH7LPHV-DQXDU\ 7KH &RXUWRI $SSHDOKHOGWKDW PDQLIHVW GLVDGYDQWDJH LQWKHVHQVHRI FOHDU DQG REYLRXV GLVDGYDQWDJH UHPDLQHG D QHFHVVDU\ LQJUHGLHQW RI D ZLIH¶V FKDOOHQJHRQWKHJURXQGRISUHVXPHGXQGXHLQIOXHQFHRI KHUKXVEDQGWR WKH YDOLGLW\ RI D EDQN¶V FKDUJH RYHU WKH PDWULPRQLDO KRPH %XW WKH +RXVH RI /RUGV KDG VLJQDOOHGWKDW LW PLJKW QRW FRQWLQXHWR EHDQ HVVHQWLDOLQJUHGLHQW LQGHILQLWHO\6HHSKRWRFRS\RI/DZ5HSRUW

81'8(,1)/8(1&($1'7+,5'3$57,(6

%DUFOD\V%DQNY2%ULHQ >@$OO(5 7KH KXVEDQG ZDV D VKDUHKROGHU LQ D FRPSDQ\ DQG DUUDQJHG DQ RYHUGUDIW IDFLOLW\RIIRUWKHFRPSDQ\ 7KHKXVEDQGVOLDELOLW\WRWKHEDQNZDV WREHVHFXUHGE\DVHFRQGFKDUJHRYHUWKHPDWULPRQLDOKRPHMRLQWO\RZQHG E\WKHKXVEDQGDQGKLV ZLIH 7KH KXVEDQG SHUVXDGHG WKH ZLIHWR VLJQ WKH VHFXULW\ GRFXPHQWV E\ PLVUHSUHVHQWLQJ WKH VLWXDWLRQVD\LQJ WKH IDFLOLW\ ZDV VKRUWWHUPDQGWKHFKDUJHZDVOLPLWHGWR:KHQWKHFRPSDQ\VGHEWV LQFUHDVHGWKHEDQNEURXJKWSURFHHGLQJVDJDLQVWWKH 2%ULHQVWR HQIRUFHWKH JXDUDQWHH 7KHMXGJHJDYHMXGJPHQWIRUWKHEDQNILQGLQJWKDWWKHKXVEDQGKDGQRW XQGXO\LQIOXHQFHGWKHZLIHDQGWKDWWKHKXVEDQGKDGPLVUHSUHVHQWHGWKH HIIHFW RI WKH FKDUJH EXW WKDW WKH EDQN ZDV QRW UHVSRQVLEOH IRU WKDW PLVUHSUHVHQWDWLRQ7KH&RXUWRI$SSHDOKHOGWKDWWKHEDQNZDVXQGHUDGXW\ ZKLFKLWKDGQRWVDWLVILHGWRWDNHUHDVRQDEOHVWHSVWRHQVXUHWKDWWKHZLIHKDG DQDGHTXDWHXQGHUVWDQGLQJRIWKHWUDQVDFWLRQVRWKDWLWZDVQRWHQIRUFHDEOH

 ZZZODZWHDFKHUFRXN

$VLI7XIDO

DJDLQVWKHUH[FHSWWRWKHH[WHQWRI7KHEDQNVDSSHDOWRWKH+RXVH RI/RUGVZDVGLVPLVVHGDQGWKH\VHWDVLGHWKHFKDUJH 7KH+RXVHRI/RUGVKHOGWKDWDZLIHZKRVWRRGVXUHW\IRUKHUKXVEDQG¶VGHEW DQGZKRKDG EHHQLQGXFHGE\XQGXH LQIOXHQFHPLVUHSUHVHQWDWLRQRU VLPLODU ZURQJ KDG DULJKW WRKDYH WKH WUDQVDFWLRQVHWDVLGHLI WKH WKLUGSDUW\ LQWKLV FDVH WKH EDQN KDG DFWXDO RU FRQVWUXFWLYH NQRZOHGJH 8QOHVV UHDVRQDEOH VWHSV ZHUH WDNHQ WR DVFHUWDLQ D ZKHWKHU WKH WUDQVDFWLRQ ZDV RI ILQDQFLDO DGYDQWDJHWRWKHZLIHDQGELIWKHUHZHUHUHDVRQVWRVXVSHFWWKDWWKHGHEWRU KDGFRPPLWWHGDOHJDORUHTXLWDEOHZURQJZKLFKKDGLQGXFHGWKHZLIHLQWRWKH WUDQVDFWLRQWKHQWKHUHZRXOGEHDWOHDVWFRQVWUXFWLYHNQRZOHGJH7KHEDQN KDYLQJIDLOHGWRWDNHDQ\VXFKVWHSVWRYHULI\WKHVLWXDWLRQKDGFRQVWUXFWLYH NQRZOHGJH RI WKH KXVEDQGV ZURQJIXO PLVUHSUHVHQWDWLRQ 7KH ZLIH ZDV HQWLWOHGWRKDYHWKHFKDUJHVHWDVLGH 7KH+RXVHDOVRH[WHQGHGWKHSULQFLSOHVDSSOLFDEOHWRKXVEDQGDQGZLIHWR DOO FDVHV ZKHUH WKHUH LV DQ HPRWLRQDO UHODWLRQVKLS EHWZHHQ WKH FRKDELWHHV ZKHWKHUKRPRVH[XDORUKHWHURVH[XDOSURYLGHGWKDWWKHFUHGLWRULVDZDUHWKDW WKHVXUHW\LVFRKDELWLQJZLWKWKHSULQFLSDOGHEWRUDQGWRRWKHUUHODWLRQVKLSV IRUH[DPSOHSDUHQWDQGFKLOGLQZKLFKWKHFUHGLWRULVDZDUHWKDWWKHVXUHW\ UHSRVHVWUXVWDQGFRQILGHQFHLQUHODWLRQWRKLVILQDQFLDODIIDLUV

&,%&0RUWJDJHVY3LWW >@$OO(5  $ KXVEDQG ZDQWHG WR ERUURZ PRQH\ RQ WKH PDWULPRQLDO KRPH WR EX\ VWRFN PDUNHWVKDUHV7KHZLIHZDVXQKDSS\DERXWWKLVEXWHYHQWXDOO\DJUHHGXQGHU SUHVVXUH7KH\MRLQWO\DSSOLHGIRUD ORDQVWDWLQJWKDWWKHSXUSRVHRIWKHORDQ ZDVWRSD\RIIWKHH[LVWLQJPRUWJDJHDQGSXUFKDVHDKROLGD\KRPH7KHZLIH UHFHLYHGQRLQGHSHQGHQWDGYLFHDQGQRRQHVXJJHVWHGWRKHUWKDWVKHVKRXOG 6KH GLG QRW UHDG WKH GRFXPHQWVEHIRUHVLJQLQJWKHPDQGGLG QRW NQRZWKH DPRXQW EHLQJ ERUURZHG :KHQ WKH VWRFN PDUNHW FROODSVHG WKH KXVEDQG GHIDXOWHG RQ WKH ORDQ UHSD\PHQWV DQG WKH SODLQWLII DSSOLHG IRU DQ RUGHU IRU SRVVHVVLRQRIWKHKRXVH 7KH MXGJH KHOG WKDW WKH ZLIH KDG EHHQ LQGXFHG WR VLJQ E\ WKH KXVEDQGV PLVUHSUHVHQWDWLRQIUDXGDQGGXUHVVEXWVLQFHKHKDGQRWDFWHGDVWKHEDQNV DJHQWDQGWKLVZDVQRWDFDVHRIWKHZLIHVWDQGLQJVXUHW\IRUWKHKXVEDQGV GHEW EXW D ORDQ MRLQWO\ WR KXVEDQG DQG ZLIH WKH ZLIHV FODLP IDLOHG 7KLV GHFLVLRQZDVXSKHOGRQDSSHDO 7KH+RXVHRI/RUGVKHOGWKDWZKLOHDFODLPDQWZKRFRXOGSURYHDFWXDOXQGXH LQIOXHQFH ZDV HQWLWOHG WR KDYH WKH FKDOOHQJHG WUDQVDFWLRQ VHW DVLGH WKH SODLQWLIIVZRXOGRQO\EHDIIHFWHGLILWFRXOGEHHVWDEOLVKHGWKDWWKH\KDGDFWXDO RULPSOLHG QRWLFH RIWKH XQGXH LQIOXHQFH ,QWKLVFDVHWKHUH ZDV QRWKLQJ WR LQGLFDWHWKDWWKLVZDVDQ\WKLQJRWKHUWKDQDQRUPDOORDQWRKXVEDQGDQGZLIHV  MRLQW EHQHILW $FFRUGLQJ WR /RUG %URZQH:LONLQVRQ ZKDW GLVWLQJXLVKHV WKH FDVHRIWKHMRLQWDGYDQFHIURPWKHVXUHW\FDVHLVWKDWLQWKHODWWHUWKHUHLVWKH LQFUHDVHGULVNRIXQGXHLQIOXHQFHKDYLQJEHHQH[HUFLVHGEHFDXVHDWOHDVWRQ LWVIDFHWKHJXDUDQWHHE\ DZLIHRIKHUKXVEDQGV GHEWVLVQRWIRUKHUILQDQFLDO EHQHILW ,WLV WKH FRPELQDWLRQRI WKHVHWZR IDFWRUV WKDW SXWV WKH FUHGLWRU RQ LQTXLU\

5(%877,1*7+(35(68037,21

,QFKH1RULDKY%LQ2PDU >@$OO(5 7KHDSSHOODQWEURXJKWDQ DFWLRQDJDLQVWWKHUHVSRQGHQWFODLPLQJWKDW DGHHG RIJLIWPDGHEHWZHHQWKHSDUWLHVVKRXOGEHVHWDVLGHRQWKHJURXQGWKDWWKH UHODWLRQVKLSEHWZHHQWKHSDUWLHVDWWKHWLPHZKHQWKHGHHGZDVH[HFXWHGZDV VXFK DV WRUDLVHD SUHVXPSWLRQ RIXQGXH LQIOXHQFH DJDLQVW WKH UHVSRQGHQW DQGWKDWWKHSUHVXPSWLRQKDGQRWEHHQUHEXWWHG /RUG+DLOVKDP/&VWDWHG³%XWWKHLU/RUGVKLSVDUHQRWSUHSDUHGWRDFFHSWWKH YLHZWKDWLQGHSHQGHQWOHJDODGYLFHLVWKHRQO\ZD\LQZKLFKWKHSUHVXPSWLRQ FDQEHUHEXWWHGQRUDUHWKH\SUHSDUHGWRDIILUPWKDWLQGHSHQGHQWOHJDODGYLFH

 ZZZODZWHDFKHUFRXN

$VLI7XIDO

ZKHQ JLYHQ GRHV QRW UHEXW WKH SUHVXPSWLRQ XQOHVV LW EH VKRZQ WKDW WKH DGYLFHZDVWDNHQ,WLVQHFHVVDU\IRUWKHGRQHHWRSURYHWKDWWKHJLIWZDVWKH UHVXOWRIWKHIUHHH[HUFLVHRILQGHSHQGHQWZLOO7KHPRVWREYLRXVZD\WRSURYH WKLVLVE\HVWDEOLVKLQJWKDWWKHJLIWZDVPDGHDIWHUWKHQDWXUHDQGHIIHFWRIWKH WUDQVDFWLRQKDGEHHQIXOO\H[SODLQHGWRWKHGRQRUE\VRPHLQGHSHQGHQWDQG TXDOLILHGSHUVRQVRFRPSOHWHO\DVWRVDWLVI\WKHFRXUWWKDWWKHGRQRUZDVDFWLQJ LQGHSHQGHQWO\ RI DQ\ LQIOXHQFH IURPWKH GRQHHDQG ZLWK IXOO DSSUHFLDWLRQ RI ZKDWKHZDVGRLQJ«´

5H&UDLJGHFHDVHG >@&K & DQ ROG PDQ RI  \HDUV ZKRVH ZLIH KDG GLHG HPSOR\HG 0UV 0 DV VHFUHWDU\FRPSDQLRQ )URPWKH EHJLQQLQJ VKH RFFXSLHGD SRVLWLRQ RI WUXVW DQGLQDGGLWLRQWRUXQQLQJWKH KRXVHVKHWRRNDFRQILGHQWLDOSDUWLQUXQQLQJ&¶V DIIDLUV)URPWKH WLPHRI0UV0¶V HPSOR\PHQWDQG&¶VGHDWK -DQXDU\±  $XJXVW  KH JDYH KHU JLIWV ZRUWK  IURP KLV WRWDO DVVHWV RI  ,WZDVKHOGE\WKH&KDQFHU\'LYLVLRQWKDW$OO WKHJLIWVFRPSODLQHGRIZHUH VXFK DV WR VDWLVI\ WKH UHTXLUHPHQWV WR UDLVH WKH SUHVXPSWLRQ RI XQGXH LQIOXHQFHQDPHO\WKDWWKH\FRXOGQRWEHDFFRXQWHGIRURQWKHJURXQGRIWKH RUGLQDU\ PRWLYHV RQ ZKLFK RUGLQDU\ PHQ DFW DQG VHFRQGO\ WKDW WKH UHODWLRQVKLS EHWZHHQ&DQG0UV0LQYROYHGVXFKFRQILGHQFHE\&LQ0UV0DV WRSODFH KHU LQD SRVLWLRQWR H[HUFLVHXQGXH LQIOXHQFHRYHU KLP  0UV 0 IDLOHG WR GLVFKDUJH WKH RQXV RQ KHU RI HVWDEOLVKLQJWKDW WKH JLIWV ZHUH RQO\ PDGHDIWHUµIXOOIUHHDQGLQIRUPHGGLVFXVVLRQ¶VRDVWRUHEXWWKHSUHVXPSWLRQ RIXQGXHLQIOXHQFH7KHJLIWVZRXOGWKHUHIRUHEHVHWDVLGH

5H%URFNOHKXUVWGHFHDVHG >@&K %URFNOHKXUVWZDVDVWURQJPLQGHGDXWRFUDWLFDQGHFFHQWULFROGPDQZKRZDV XVHG WR FRPPDQGLQJ RWKHUV DQG KDG VHUYHG LQ WKH DUP\ LQ SRVLWLRQV RI FRPPDQG +HZDVLPSXOVLYHO\JHQHURXV :KHQ KHZDVLQ KLV HLJKWLHV KH OLYHGDORQHDQGEHFDPHIULHQGO\ZLWKWKHRZQHURIDORFDOJDUDJH7KH\KDGD FRPPRQLQWHUHVWLQVKRRWLQJDQG%SHUPLWWHGWKHGHIHQGDQWWRVKRRWUDEELWV RQWKHHVWDWH%ZURWHWRWKHGHIHQGDQWVD\LQJWKDWKHZLVKHGWRJLYHKLPWKH VKRRWLQJULJKWVRYHUKLVHVWDWHDQGSUHVVHGWKHGHIHQGDQWWRLQVWUXFWDVROLFLWRU WRGUDZXSDOHDVH%H[HFXWHGWKHOHDVH$IWHU%GLHGKLVH[HFXWRUVEURXJKW DQDFWLRQDJDLQVWWKHGHIHQGDQWWRKDYHWKHOHDVHVHWDVLGHRQWKHJURXQGRI XQGXHLQIOXHQFH7KH&RXUWRI$SSHDOXSKHOGWKHOHDVH 7KH &RXUW RI $SSHDO KHOG WKDW WKH QDWXUH RI WKH UHODWLRQVKLS EHWZHHQ WKH GHFHDVHG DQG WKH GHIHQGDQW ZDV QRWRQH RI FRQILGHQFH DQG WUXVWVXFK DV ZRXOG JLYH ULVH WR D SUHVXPSWLRQ RI XQGXH LQIOXHQFH RQ WKH SDUW RI WKH GHIHQGDQW IRU WKH HYLGHQFH HVWDEOLVKHG WKDW WKH UHODWLRQVKLS ZDV RQH RI IULHQGVKLSDQGGLGQRWLQGLFDWHWKDWLWZDVVXFKWKDWWKHGHIHQGDQWKDGEHHQ XQGHUDGXW\WRDGYLVHWKHGHFHDVHGRUKDGEHHQLQD SRVLWLRQRIGRPLQDQFH RYHUKLPRQWKHFRQWUDU\LWZDVWKHGHFHDVHGZKRKDGWHQGHGWRGRPLQDWH WKHGHIHQGDQW %XWHYHQLIWKHUHODWLRQVKLSKDGEHHQRQHWKDWJDYHULVHWRDSUHVXPSWLRQRI XQGXH LQIOXHQFH WKH GHIHQGDQW KDG UHEXWWH G WKH SUHVXPSWLRQ IRU LQ WKH FLUFXPVWDQFHV WKH SUHVXPSWLRQ ZDV UHEXWWDEOH QRW RQO\ E\ SURRI WKDW WKH GHFHDVHGKDGEHHQLQGHSHQGHQWO\DGYLVHGDERXWWKHOHDVHVEXWDOVRE\SURRI WKDWWKHJLIWRIWKHOHDVHVKDGEHHQWKHVSRQWDQHRXVDQGLQGHSHQGHQWDFWRI WKH GHFHDVHG

5R\DO%DQNRI6FRWODQGY(WULGJH1R >@$OO(5 6HHSKRWRFRS\RI/DZ5HSRUW

 ZZZODZWHDFKHUFRXN

$VLI7XIDO

5(0(',(6

76%%DQNY&DPILHOG  >@$OO(5 0U&DPILHOGZDVDSDUWQHULQDPRWRUEXVLQHVV7KHSDUWQHUVUHTXHVWHGWKH EDQNWRSURYLGHWKHEXVLQHVVZLWKDQRYHUGUDIWIDFLOLW\RI7KHEDQN DJUHHG SURYLGHG WKH SDUWQHUV H[HFXWHG D FKDUJH RYHU WKHLU KRXVHV 0UV &DPILHOGGXO\H[HFXWHG WKH FKDUJH EXW GLG VRXQGHU WKH LPSUHVVLRQDV WKH UHVXOW RI DQ LQQRFHQW PLVUHSUHVHQWDWLRQ E\ WKH KXVEDQG WKDW WKH PD[LPXP OLDELOLW\XQGHUWKHFKDUJHZRXOGEH7KDWPLVDSSUHKHQVLRQZDVQRW FRUUHFWHG E\ WKH SHUVRQ DGYLVLQJ KHU HYHQ WKRXJK WKH HIIHFW RI WKH OHJDO FKDUJH ZDV WRFKDUJH KHU EHQHILFLDOLQWHUHVW LQWKH KRXVHZLWK DQXQOLPLWHG OLDELOLW\ WRPHHW WKH GHEWV RIWKH SDUWQHUVKLS LQ ZKLFK VKH KDG QR ILQDQFLDO LQWHUHVW 7KHEXVLQHVVIDLOHGDQGWKH EDQNFRPPHQFHGSURFHHGLQJVDJDLQVW WKH&DPILHOGV 7KH&RXUWRI$SSHDOKHOGWKDWZKHUHDZLIHZDVLQGXFHGWRH[HFXWHDFKDUJH RYHU WKH PDWULPRQLDO KRPH WR PHHW WKH KXVEDQG¶V GHEWV E\ KLV LQQRFHQW PLVUHSUHVHQWDWLRQ WKDW WKH OLDELOLW\ XQGHU WKH FKDUJH ZRXOG QRW H[FHHG D VSHFLILHG DPRXQW ZKHUHDV WKH FKDUJH LQ IDFW SURYLGHG VHFXULW\ IRU DQ XQOLPLWHG OLDELOLW\ DQG WKH FUHGLWRU ZDV IL[HG ZLWK FRQVWUXFWLYH QRW LFH RI WKH KXVEDQG¶VPLVUHSUHVHQWDWLRQEHFDXVHLWKDGIDLOHGWRWDNHUHDVRQDEOHVWHSVWR HQVXUHWKDWWKHZLIHXQGHUVWRRGWKHFKDUJHWKHFKDUJHZRXOGEHVHWDVLGHLQ LWVHQWLUHW\DQGFRXOGQRWEHSDUWLDOO\VHWDVLGHRUVHWDVLGHRQWHUPVWKDWLWZDV DYDOLGVHFXULW\IRUWKHVSHFLILHGDPRXQWIRUZKLFKWKHZLIHWKRXJKWVKHZDVDW ULVN6LQFHRQWKHHYLGHQFHWKHZLIHZRXOGQRWKDYHHQWHUHGLQWRWKHFKDUJH LIVKHKDGNQRZQLWVWUXHQDWXUHDQGVLQFHKHULJQRUDQFHRIWKHWUXHQDWXUHRI WKH FKDUJH UHVXOWHG IURP WKH EDQN¶V IDLOXUH WR WDNHUHDVRQDEOH VWHSVWR VHH WKDWVKHZDVSURSHUO\DGYLVHGLWIROORZHGWKDWWKHFKDUJHZRXOGEHVHWDVLGH LQLWVHQWLUHW\

'XQEDU%DQNY1DGHHP >@$OO(5 6HH/DZ5HSRUW

26XOOLYDQY0DQDJHPHQW$JHQF\0XVLF/WG  >@4% 7KHSODLQWLIIVRXJKWWRVHWDVLGHIRUXQGXHLQIOXHQFHDQXPEHURIPDQDJHPHQW VROHDJHQF\UHFRUGLQJDQGSXEOLVKLQJDJUHHPHQWVDQGWUDQVIHUVRIFRS\ULJKW 7KH GHIHQGDQW DUJXHG WKDW WKH DSSURSULDWH UHPHG\ QDPHO\ UHVWLWXWLR LQ LQWHJUXPZDVLQDSSOLFDEOHLQWKHFLUFXPVWDQFHVEHFDXVHWKHDJUHHPHQWVKDG DOOEHHQSHUIRUPHGDQGWKHSDUWLHVKDGLUUHYRFDEO\DOWHUHGWKHLUSRVLWLRQVDQG WKDW WKHUHIRUH WKH SODLQWLII ZDV OLPLWHG WR REWDLQLQJ GDPDJHV LQVWHDG RI UHFRQYH\DQFHRIWKHFRS\ULJKWVDQGGHOLYHU\XSRIWKHPDVWHUWDSHV 7KH &RXUW RI $SSHDO KHOG WKDW WKH SODLQWLII ZDV QRW EDUUHG IURP KDYLQJ WKH FRQWUDFWV VHW DVLGH E\ WKH IDFW WKDW UHVWLWXWLR LQ LQWHJUXP ZDV LPSRVVLEOH EHFDXVH WKH FRQWUDFWV KDG EHHQ SHUIRUPHG $ FRQWUDFW HQWHUHG LQWR E\ D SHUVRQLQEUHDFKRIDILGXFLDU\UHODWLRQVKLSFRXOGEHVHWDVLGHLQHTXLW\HYHQ WKRXJKLWZDVLPSRVVLEOHWRSODFHWKHSDUWLHVLQWKHSUHFLVHSRVLWLRQLQZKLFK WKH\KDGEHHQEHIRUHSURYLGHGWKHFRXUWFRXOGDFKLHYHZKDWZDVSUDFWLFDOO\  MXVW EHWZHHQWKH SDUWLHV E\REOLJLQJ WKHZURQJGRHUWR JLYHXS KLVSURILWV DQG DGYDQWDJHVZKLOHDWWKHVDPHWLPHFRPSHQVDWLQJKLPIRUDQ\ZRUNKHKDG DFWXDOO\SHUIRUPHGXQGHUWKHFRQWUDFW

&KHHVHY7KRPDV >@$OO(5 7KH\HDU ROGSODLQWLIISDLGWRWKHGHIHQGDQWKLV \HDUROGJUHDW QHSKHZWRILQDQFHWKHSXUFKDVHRID KRXVHLQZKLFKWKHSODLQWLIIZDVWROLYH 7KH GHIHQGDQW ERUURZHG  IURP D EXLOGLQJ VRFLHW\ WR PDNH XS WKH SXUFKDVHSULFHRIDQGWKHKRXVHZKLFKLWZDVDJUHHGZDVWREHORQJ WR WKH GHIHQGDQW RQ WKHSODLQWLIIV GHDWK ZDVFRQYH\HG LQWRWKH GHIHQGDQWV QDPHDQGWKHSODLQWLIIPRYHGLQ7KHSODLQWLIIGLVFRYHUHGWKDWWKHGHIHQGDQW KDG DOORZHG WKH PRUWJDJH SD\PHQWV WR IDOO LQWR DUUHDUV DQG GHFLGHG WR

 ZZZODZWHDFKHUFRXN

$VLI7XIDO

ZLWKGUDZ +HFODLPHG UHSD\PHQWRI WKH  7KH KRXVHZDVVROG IRU  DQG  ZDV OHIW DIWHU UHGHPSWLRQ 7KH MXGJH KHOG WKDW WKH WUDQVDFWLRQVKRXOG EHVHW DVLGH EHFDXVHRI WKHGHIHQGDQWVXQGXHLQIOXHQFH DQGWKDWWKHORVVEURXJKWDERXWE\WKHIDOOLQWKHYDOXHRIWKHKRXVHVKRXOGEH VKDUHG EHWZHHQ WKHSDUWLHV LQ SURSRUWLRQV RI WKHSXUFKDVHLH  7KH GHIHQGDQWDSSHDOHGDJDLQVWWKHGHFLVLRQWKDWWKHWUDQVDFWLRQZDVDIIHFWHGE\ XQGXH LQIOXHQFH WKH SODLQWLII DSSHDOHG DJDLQVW WKH GHFLVLRQ WKDW KH VKRXOG VKDUHDSURSRUWLRQRIWKHORVV 7KH &RXUW RI $SSHDO KHOG WKDW MXVWLFH UHTXLUHG WKDW HDFK SDUW\ VKRXOG EH UHWXUQHG DV QHDU WR KLV RULJLQDO SRVLWLRQ DV ZDV SRVVLEOH DQG WKDW WKH GHIHQGDQWVKRXOGQRWEHUHTXLUHGWRVKRXOGHUWKHZKROHRIWKHORVVEURXJKW DERXWE\WKHIDOOLQWKHPDUNHWYDOXH$FFRUGLQJO\HDFKSDUW\VKRXOGJHWEDFN D SURSRUWLRQDWH VKDUHRI WKH QHW SURFHHGV RI WKH KRXVH DQG WKH MXGJHKDG FRUUHFWO\ GHFLGHG WKDW WKH SURFHHGV RI VDOH VKRXOG EH GLYLGHG EHWZHHQ WKH SDUWLHV LQ WKH SURSRUWLRQV RI  7KH DSSHDOV ZRXOG WKHUHIRUH EH GLVPLVVHG

0DKRQH\Y3XUQHOO  >@$OO(5 7KHSODLQWLII 0RSHUDWHGD KRWHO EXVLQHVV LQ SDUWQHUVKLS ZLWK3 KLVVRQLQ ODZ3ZDQWHGWRUXQWKHKRWHORQKLVRZQ0ZDVUHOXFWDQWWRVHOOKLVVKDUHV HYHQ WKRXJK KLV ILQDQFLDO SRVLWLRQ ZDVSUHFDULRXV EXW HYHQWXDOO\ KH DQG 3 DJUHHGDSULFHRIFDOFXODWHGRQWKHEDVLVRIDQDVVHVVPHQWRIWKH FRPSDQ\¶VDVVHWVDQGOLDELOLWLHV7KHPRQH\ZDVWREHSDLGRYHUWHQ\HDUV 7KHDJUHHPHQWVZHUHH[HFXWHGLQ0DUFK3ODWHUVROGWKHKRWHOLQ IRU P DQG 0 FRPPHQFHG SURFHHGLQJV EDVHG RQ XQGXH LQIOXHQFH %HIRUHWULDORIWKHDFWLRQWKHFRPSDQ\ZHQWLQWROLTXLGDWLRQDQGWKHSD\PHQWV GXHWR0XQGHUWKHDJUHHPHQWVFHDVHGZLWKVRPHRXWVWDQGLQJ0¶V FODLPVRIXQGXHLQIOXHQFHDJDLQVW3VXFFHHGHGDQGWKHTXHVWLRQDURVHDVWR WKH DSSURSULDWH HTXLWDEOH UHPHG\ LQ FLUFXPVWDQFHV ZKHUH WKH SDUWLHV FRXOG QRWEHUHVWRUHGWRWKHLUIRUPHUSRVLWLRQ 7KH&RXUWRI$SSHDOKHOGWKDWVLQFHWKHFRPSDQ\ZDVLQOLTXLGDWLRQWKHFRXUW ZDV HQWLWOHGLQ WKRVH FLUFXPVWDQFHV WR DZDUG FRPSHQVDWLRQ LQ HTXLW\ WR 0 HTXDO WR WKH 0DUFK  YDOXH RI ZKDW KH KDG VXUUHQGHUHG XQGHU WKH DJUHHPHQWV ZLWK DSSURSULDWH FUHGLW EHLQJ JLYHQ IRU ZKDW KH KDG UHFHLYHG XQGHU WKHP 0 ZDV DFFRUGLQJO\ HQWLWOHG WR WKH VXP RI  LQ FRPSHQVDWLRQIURP3

%DUFOD\V%DQNY&DSODQ 7KH7LPHV'HFHPEHU ,WZDVKHOGLQWKH&KDQFHU\'LYLVLRQWKDWDWFRPPRQODZZKHUHDQLQVWUXPHQW FRQWDLQHG OHJDOO\ REMHFWLRQDEOH IHDWXUHV ZKLFK ZHUH XQHQIRUFHDEOH DJDLQVW RQH SDUW\ WKH\ PLJKW EHVHYHUHG IURP WKH UHVW RI WKH LQVWUXPHQW LI  WKH XQHQIRUFHDEOH IHDWXUH ZDV FDSDEOH RI EHLQJ UHPRYHG E\ WKH H[FLVLRQ RI ZRUGV ZLWKRXWWKH QHFHVVLW\ RIDGGLQJ WRRU PRGLI\LQJWKH ZRUGLQJ RIZKDW UHPDLQHGDQGLWV UHPRYDOGLG QRWDOWHUWKHFKDUDFWHURIWKHLQVWUXPHQWRU WKHEDODQFHRIULJKWVDQGREOLJDWLRQVFRQWDLQHGLQLW 6HH/DZ5HSRUW

 ZZZODZWHDFKHUFRXN

View more...

Comments

Copyright ©2017 KUPDF Inc.
SUPPORT KUPDF