Allied World National Assurance Co., et al. v. SK PM Corp. et al.

Filing 155

STIPULATION and ORDER Continuing Deadlines re 154 , signed by Magistrate Judge Jennifer L. Thurston on 11/20/2013. (Hall, S)

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TROUTMAN SANDERS LLP
Terrence R. McInnis, Bar No. 155416
[e-mail]
Kevin F. Kieffer, Bar No. 192193
[e-mail]
Peter R. Lucier, Bar No. 246397
[e-mail]
5 Park Plaza, Suite 1400
Irvine, CA 92614-2545
Telephone: [phone]
Facsimile: 949.622.2739
Attorneys for Plaintiffs Allied World National
Assurance Company and Allied World Assurance
Company (U.S.) Inc.
Please see continuation page for a complete list
of parties and their counsel

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UNITED STATES DISTRICT COURT

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EASTERN DISTRICT OF CALIFORNIA

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ALLIED WORLD NATIONAL
ASSURANCE COMPANY, a New
Hampshire corporation, and ALLIED
WORLD ASSURANCE COMPANY (U.S.)
INC., a Delaware corporation,

STIPULATION AND ORDER
CONTINUING DEADLINES
(Doc. 154)

Plaintiffs,

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Case No. 1:10–CV–01262–LJO–JLT

v.

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SK PM CORP., a California corporation aka
“S.K. Foods PM Corp.,” SK FOODS, L.P., a
California limited partnership, FREDERICK
SCOTT SALYER, an individual,
BLACKSTONE RANCH, a California
corporation aka “Blackstone Ranch Calif ‘S’
Corp,” SCOTT SALYER REVOCABLE
TRUST, a trust, THE CAROLINE GAZELLE
SALYER IRREVOCABLE TRUST, a trust,
THE STEFANIE ANN SALYER
IRREVOCABLE TRUST, a trust, SS FARMS,
LLC, a California limited liability company,
SK FOODS, LP

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(caption continued on next page)

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STIPULATION AND [PROPOSED] ORDER
CONTINUING DEADLINES

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401K PLAN, an ERISA plan aka “SK Foods
L.P. Blackstone Ranch & SK Foods L.P. 401K
Plan,” SARS, LLC, a California limited
liability company, CSSS LP, a California
limited partnership d/b/a Central Valley
Shippers, SK FOODS LLC, a Nevada limited
liability company, S.K. FOODS PM CORP., an
entity or a d/b/a of unknown legal capacity,
SKF AVIATION, LLC, a California limited
liability company, SSC FARMING, LLC, a
California limited liability company, RHM
INDUSTRIAL/SPECIALTY FOODS, INC., a
California corporation d/b/a Colusa County
Canning Company and d/b/a SK Foods –
Colusa Canning, CARMEL WINE
MERCHANTS LLC, a California limited
liability company, CIRCLE PACIFIC LTD., a
New Zealand company, SUNRISE COAST
JAPAN, an entity or a d/b/a of unknown legal
capacity, SSC FARMS I, LLC, a California
limited liability company, SSC FARMS II,
LLC, a California limited liability company,
SK FARM SERVICES, LLC, a California
limited liability company, SK FROZEN
FOODS, LLC, a California limited liability
company, SALYER AMERICAN
INSURANCE SERVICES, a California limited
liability company, SSC FARMS III, LLC, a
California limited liability company, SALYER
AMERICAN COOLING, a general
partnership, , and SALYER AMERICAN
FRESH FOODS, a California corporation,

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Defendants.
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STIPULATION AND [PROPOSED] ORDER
CONTINUING DEADLINES

Continuation Page

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Gregory C. Nuti (CSBN 151754)
[e-mail]
Kevin W. Coleman (CSBN 168538)
[e-mail]
Kathryn N. Richter (CSBN 100129)
[e-mail]

Attorneys for Bradley D. Sharp, Chapter 11
Trustee

SCHNADER HARRISON SEGAL & LEWIS LLP

One Montgomery Street, Suite 2200
San Francisco, California 94104-5501
Telephone: [phone]
Facsimile: 415.364.6785
LAW OFFICES OF DAVID C. WINTON
David C. Winton, Bar No. 152417
[e-mail]
2 Ranch Drive, Suite 8
Novato, CA 94945
415.421.5800 Tel
415.358.4122 Fax
Kimberly Anne Wright
Law Office Of Kimberly A Wright Esq.
2118 Wilshire #918
SANTA MONICA, CA 90403
310-980-2380
Email: [e-mail]

Counsel for SARS, LLC, SK Foods LLC, SKF
Aviation, LLC, and SK Frozen Foods, LLC

Counsel for Frederick Scott Salyer individually
and as trustee for the Scott Salyer Revocable
Trust, SK PM Corp., aka “S.K. Foods PM
Corp.,” Blackstone Ranch, aka “Blackstone
Ranch Calif ‘S’ Corp,” SS Farms, LLC, CSSS
LP, d/b/a Central Valley Shippers, S.K. Foods
PM Corp., SSC Farming LLC, SSC Farms I,
LLC, SSC Farms II, LLC, SSC Farms III, LLC,
and SK Farm Services, LLC
Counsel for Robert Pruett, Trustee for the
Caroline Gazelle Salyer 1999 Irrevocable
Trust, the Caroline Gazelle Salyer 2007
Irrevocable Trust, the Stefanie Ann Salyer 1999
Irrevocable Trust and the Stefanie Ann Salyer
2007 Irrevocable Trust

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Stephanie J. Finelli
Law Office of Stephanie J. Finelli
1007 Seventh Street,
Suite 500
Sacramento, CA 95814
916-443-2144
Fax: [phone]
Email: [e-mail]

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STIPULATION AND ORDER CONTINUING
DEADLINES

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As the parties have previously reported to the Court, all parties to this action were

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involved in extensive settlement discussions earlier this year. Although a settlement in principle

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was reached as to all parties, that settlement ultimately fell through when certain defendants

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unexpectedly backed out of the agreement. Since that time, plaintiffs and all but a few defendants

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have continued their efforts to reach a resolution of this matter that would not necessitate

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additional discovery and motion practice.

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The parties’ efforts to reach a settlement have been slow going for a number of reasons.

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First, in April 2013, then counsel for the “Salyer Parties” (all defendants except for the Chapter

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11 Trustee) moved and received approval from the Court to withdraw as counsel as to all but four

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considerable confusion as to what persons have authority to enter into a settlement agreement on

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defendants. New counsel then needed to get up to speed. Second, there has, at times, been

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behalf of certain entities – even by those entities’ own counsel. Third, defendant Scott Salyer,

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who controls a number of other entity defendants, now resides in prison, and therefore

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communications with Mr. Salyer are necessarily slower than they might otherwise be.
Finally, on or about October 4, 2013, the Bankruptcy Court for the Eastern District of

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California entered a judgment in the action captioned Sharp v. Salyer, et al., Adversary

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Proceeding No. 10-02014, ordering that certain of the defendants in this action, the “Sub-Con

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Parties,” among others, are substantively consolidated with the Chapter 11 bankruptcy estate for

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SK Foods, L.P. (“SK Foods”) and RHM Industrial/Specialty Foods, Inc. (“RHM”) (collectively

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the “Debtors”).1 The order provides that all legal or equitable interests in property held by the

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Sub-Con Parties as of May 5, 2009, the proceeds, product, offspring, rents, or profits from such

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property, and property acquired by the Sub-Con Parties after May 5, 2009 (collectively the

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“Assets”) now constitute property of the Debtors’ Estate under 11 U.S.C. § 541(a), and title to the

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assets is vested in the Chapter 11 Trustee, who is solely authorized to dispose of the Assets,

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subject only to the requirements of the Bankruptcy Code and the Bankruptcy Court. The

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The “Sub-Con Parties” include SK PM Corp., aka “S.K. Foods PM Corp.,” Blackstone Ranch,
aka “Blackstone Ranch Calif ‘S’ Corp,” SS Farms, LLC, SSC Farming LLC, SSC Farms I, LLC,
SSC Farms II, LLC, and SSC Farms III, LLC.
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Bankruptcy Court’s order is being appealed. The parties have had to address this development in

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their settlement plans.
Despite the complications discussed above, plaintiffs and all but four of the defendants

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have reached what they believe will be a mutually agreeable settlement and have made substantial

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progress towards documenting that settlement. Plaintiffs remain hopeful that they will be able to

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resolve this matter as to the other four defendants as well.
On April 19, 2013, the Court entered an Order Amending Scheduling Order amending the

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trial date and scheduling deadlines for this action.

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good cause exists to continue certain deadlines in this action. In particular, the parties believe

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remaining defendants without any additional discovery or motion practice, the parties believe that

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In light of the fact that this action can likely be resolved as to most if not all of the

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that good cause exists to continue the deadlines below appearing in bold font in the following

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chart, which contains all of the dates from the Order Amending Scheduling Order:

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Deadline/Event

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Initial disclosures:
Non expert discovery:
Expert disclosure:
Rebuttal expert disclosure:
Expert discovery:
Non-dispositive motions:
Filing deadline:
Hearing deadline:
Dispositive motions:
Filing deadline:
Hearing deadline:
Pretrial conference
Trial

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Current Date

Proposed Date

6/21/13
11/29/13
12/13/13
1/3/14
1/24/14

passed
1/29/14
2/12/14
3/5/14
3/26/14

2/7/14
3/7/14

4/16/14
5/14/14

3/21/14
5/6/14
6/25/14 at 8:30 a.m.
8/26/14 at 8:30 a.m.

unchanged
unchanged
unchanged
unchanged

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//

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//

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//

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//

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//
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STIPULATION AND ORDER CONTINUING
DEADLINES

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NOW THEREFORE, the parties, through counsel, hereby STIPULATE and REQUEST

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that the Court enter an Order that the scheduling order’s deadlines are further amended as

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follows:

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1.
2.
3.
4.
5.
6.

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7.

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8.
9.

Initial disclosures:
Non expert discovery:
Expert disclosure:
Rebuttal expert disclosure:
Expert discovery:
Non-dispositive motions:
Filing deadline:
Hearing deadline:
Dispositive motions:
Filing deadline:
Hearing deadline:
Pretrial conference:
Trial:

6/21/13
1/29/14
2/12/14
3/5/14
3/26/14
4/16/14
5/14/14
3/21/14
5/6/14
6/25/14 at 8:30 a.m.
8/26/14 at 8:30 a.m.

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Dated: November 20, 2013

TROUTMAN SANDERS LLP

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By: /s/ Peter R. Lucier
Terrence R. McInnis
Kevin F. Kieffer
Peter R. Lucier

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Attorneys for Plaintiffs Allied World National
Assurance Company and Allied World Assurance
Company (U.S.) Inc.

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Dated: November 20, 2013

LAW OFFICES OF DAVID C. WINTON

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By: /s/ David C. Winton (as authorized 11/18/13)
David C. Winton

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Counsel for SARS, LLC, SK Foods LLC, SKF
Aviation, LLC, and SK Frozen Foods, LLC

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Dated: November 20, 2013

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SCHNADER HARRISON SEGAL & LEWIS LLP

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By: /s/ Kathryn N. Richter (as authorized 11/15/2013)
Gregory C. Nuti
Kevin W. Coleman
Kathryn N. Richter

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Counsel for Bradley D. Sharp, Chapter 11 Trustee

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STIPULATION AND ORDER CONTINUING
DEADLINES

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Dated: November 20, 2013

LAW OFFICE OF KIMBERLY A WRIGHT ESQ.

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By: Kimberly Anne Wright (as authorized 11/18/2013)
Kimberly Anne Wright

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Counsel for Frederick Scott Salyer individually
and as trustee for the Scott Salyer Revocable Trust,
SK PM Corp., aka “S.K. Foods PM Corp.,”
Blackstone Ranch, aka “Blackstone Ranch Calif
‘S’ Corp,” SS Farms, LLC, CSSS LP, d/b/a Central
Valley Shippers, S.K. Foods PM Corp., SSC
Farming LLC, SSC Farms I, LLC, SSC Farms II,
LLC, SSC Farms III, LLC, and SK Farm Services,
LLC

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Dated: November 20, 2013

LAW OFFICE OF STEPHANIE J. FINELLI

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By: Stephanie J. Finelli (as authorized 11/18/2013)
Stephanie J. Finelli

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Counsel for Robert Pruett, Trustee for the Caroline
Gazelle Salyer 1999 Irrevocable Trust, the
Caroline Gazelle Salyer 2007 Irrevocable Trust,
the Stefanie Ann Salyer 1999 Irrevocable Trust
and the Stefanie Ann Salyer 2007 Irrevocable
Trust

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CERTIFICATION
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Pursuant to Local Rule 131(e), I, PETER R. LUCIER, certify that on November 15, 2013
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Kathryn N. Richter, and on November 18, 2013, Stephanie J. Finelli, Kimberly Anne Wright, and
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David C. Winton, authorized me to submit this Stipulation and [Proposed] Order Continuing
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Deadlines on their behalf.
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STIPULATION AND ORDER CONTINUING
DEADLINES

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ORDER

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Pursuant to the foregoing, this Court hereby ORDERS:

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1.

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The scheduling order is amended as follows:
1.
2.
3.
4.
5.

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Non expert discovery:
Expert disclosure:
Rebuttal expert disclosure:
Expert discovery:
Non-dispositive motions:2
Filing deadline:
Hearing deadline:

1/29/14
2/12/14
3/5/14
3/26/14
4/16/14
5/14/14

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2.

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SHALL file a joint report detailing the status of the settlement efforts;
3.

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Within 45 days of the date of this order and every 45 days thereafter, the parties

The parties are advised that absolutely no further amendments to the

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scheduling order will be authorized absent a showing of exceptional good cause.

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Exceptional good cause does not include ongoing settlement efforts.

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IT IS SO ORDERED.
Dated:

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November 20, 2013

/s/ Jennifer L. Thurston
UNITED STATES MAGISTRATE JUDGE

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The Court presumes the parties appreciate that under this amended scheduled they will be forced
to file dispositive motions without the completion of expert discovery and without the results of
any non-dispositive motions.
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DEADLINES