United States of America v. Real property located at 3110 Morgan Hill Road, Hayfork, California, Trinity County, APN: 017-430-25

Filing 28

STIPULATION and ORDER signed by Judge William B. Shubb on 06/27/11 ORDERING that this Stipulation for Expedited Settlement is hereby APPROVED. (Michel, G)

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BENJAMIN B. WAGNER
United States Attorney
KEVIN C. KHASIGIAN
Assistant U.S. Attorney
501 I Street, Suite 10-100
Sacramento, CA 95814
Telephone: [phone]

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Attorneys for the United States

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IN THE UNITED STATES DISTRICT COURT

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FOR THE EASTERN DISTRICT OF CALIFORNIA

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UNITED STATES OF AMERICA,

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IT IS HEREBY STIPULATED by and between the United States and

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Plaintiff,
v.
REAL PROPERTY LOCATED AT 3110
MORGAN HILL ROAD, HAYFORK,
CALIFORNIA, TRINITY COUNTY,
APN: 017-430-25, INCLUDING
ALL APPURTENANCES AND
IMPROVEMENTS THERETO,

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Defendant.

2:10-CV-01894-WBS-JFM
STIPULATION FOR EXPEDITED
SETTLEMENT BETWEEN UNITED
STATES AND LIEN HOLDER
TRUEMAN E. VROMAN

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claimant Trueman E. Vroman (hereafter “Claimant”) appearing in

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propria persona, that Claimant has a valid pre-existing mortgage

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lien on the defendant real property described in this

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Stipulation, which is not contested by the United States.

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The United States and Claimant further stipulate that:

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1.

Any violation of 21 U.S.C. §§ 841 et seq. involving the

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defendant real property located at 3110 Morgan Hill Road,

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Hayfork, California, Trinity County, APN: 017-430-25, (hereafter

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"defendant real property") occurred without Claimant’s knowledge
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Stipulation for Expedited Settlement

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and consent.

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as:

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The defendant real property is more fully described

That real property in the County of Trinity, State of
California, described as follows:

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The West half of the Southeast quarter of the Northeast
quarter of the Southwest quarter of Section 8, Township
31 North, Range 11 West, M.D.B. & M., according to the
official plat thereof.

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EXCEPTING THEREFROM all minerals and mineral materials
as reserved in the Patent recorded May 26, 1971 in book
147 of Official Records page 250.

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2.

The United States agrees that upon entry of a Final

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Judgment of Forfeiture in favor of the United States, the U.S.

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Marshals Service or its agent(s), shall undertake to sell the

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defendant real property in a commercially reasonable manner and

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to sell said property for fair market value (the "Purchase

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Price").

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deducted from the Purchase Price and paid directly out of escrow

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in the following order:

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(a)

The following costs and expenses of sale shall be

First, the costs incurred by the U.S. Marshals

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Service to the date of close of escrow, including the cost of

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posting, service, advertising, and maintenance;

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(b)

Second, to the Trinity County Tax Collector for

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all real property taxes assessed and unpaid against the defendant

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real property prorated to the date of entry of the Final Judgment

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of Forfeiture;

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(c)

Third, the costs and expenses associated with the

sale of the defendant real property.

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(d)

Fourth, any county transfer taxes.

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(e)

Fifth, to Claimant as the lender on the deed of

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trust encumbering the defendant real property, as follows:
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Stipulation for Expedited Settlement

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(i)

all unpaid principal due to Claimant under

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the Optional Advance Note (“Note”) dated October 24, 2007, in the

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original principal amount of $225,000.00, which is secured by a

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Deed of Trust With Assignment of Rents dated October 24, 2007,

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recorded October 26, 2007, as instrument number 200704318 ("Deed

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of Trust"), in the Official Records of Trinity County,

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California.

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Claimant pursuant to the Note was $189,816.78.

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As of June 20, 2011, the principal amount owed to

(ii)

all unpaid interest due as of the date of

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the closing of the sale of the defendant real property at the

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contractual (not default) rate under the above-referenced Note

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and Deed of Trust until the date of payment.

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continue to accrue at the current rate of 15% per annum ($79.09

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per diem);

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(iii)

Interest will

all fees, costs, and advances, including

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but not limited to reasonable attorney fees, prepayment fees,

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taxes and hazard insurance as provided under the terms of the

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Note and Deed of Trust.

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owed was $189,816.78 plus interest thereon at a rate of 15% per

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annum from May 26, 2011.

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3.

As of June 20, 2011, the total amount

The payment to Claimant shall be in full settlement and

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satisfaction of any and all claims by Claimant to the defendant

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real property and all claims resulting from the incidents or

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circumstances giving rise to this lawsuit.

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4.

Upon payment in full as set forth above in ¶ 2(e)(i)-

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(iii), Claimant agrees to reconvey his interest in the defendant

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real property via recordable documents and cause those to be

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recorded, and to release and hold harmless the United States, and
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Stipulation for Expedited Settlement

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any agents, servants, and employees of the United States, (or any

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state or local law enforcement agency) acting in their individual

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or official capacities, from any and all claims by Claimant and

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their agents which currently exist or which may arise as a result

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of the government’s action against the real property.

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5.

In the event it is determined that the proceeds from

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the sale of the defendant real property would be insufficient to

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pay Claimant in full as set forth above in ¶ 2(e)(i)-(iii), after

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the disbursements described above are made in ¶ 2 (a)-(d), the

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United States agrees to release its interest in the defendant

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real property and consent to the exercise of Claimant’s state law

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rights to foreclose upon its deed of trust which secures the

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obligation to Claimant.

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binding agreement to sell the defendant real property unless the

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proceeds of such sale are sufficient to pay Claimant in full as

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set forth above in ¶ 2(e)(i)-(iii), unless Claimant otherwise

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consents in writing.

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6.

The United States shall not enter into a

Claimant agrees not to pursue against the United States

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any other rights that he may have under the mortgage instrument,

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including, but not limited to, the right to initiate a

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foreclosure action without the consent of the U.S. Attorney’s

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Office or this Court.

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7.

Claimant agrees to notify the U.S. Attorney at the end

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of the first payment cycle in which a payment is not made under

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the terms specified in the Note.

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to immediately notify the U.S. Attorney of any late, skipped or

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missed payments, Claimant will not be in breach of the within

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Stipulation, nor shall Claimant face any consequences as the

However, should Claimant fail

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Stipulation for Expedited Settlement

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result of such failure.

Claimant further agrees to join any

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government motions for interlocutory or stipulated sale of the

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defendant real property if the proceeds of such sale will be

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sufficient to pay Claimant in full as set forth in paragraph

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2(e)(i)-(iii), and agrees to either join or not oppose, at his

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discretion, any motions to remove occupants from the property for

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nonpayment of mortgage or rent, destruction of property, or other

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just cause.

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8.

Claimant understands and agrees that by entering into

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this Stipulation regarding his interest in the defendant real

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property, he waives any rights to further litigate against the

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United States concerning his interest in the defendant real

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property and to petition for remission or mitigation of the

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forfeiture.

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specifically directed by order of this Court, Claimant is hereby

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excused and relieved from further participation in this action.

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9.

Unless otherwise provided by this Stipulation or

Claimant understands and agrees that the United States

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reserves the right to void the expedited settlement agreement if,

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before payment of the mortgage or lien, the U.S. Attorney obtains

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new information indicating that the mortgagee or lien holder is

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not an "innocent owner" or "bona fide purchaser" pursuant to

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applicable forfeiture statutes.

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the right, in its discretion, to terminate the forfeiture at any

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time and release the subject property.

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United States shall promptly notify the mortgagee or lien holder

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of such action.

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not be a basis for any award of fees under 28 U.S.C. § 2465.

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10.

The U.S. Attorney also reserves

In either event, the

A discretionary termination of forfeiture shall

The parties agree to execute further documents, to the
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Stipulation for Expedited Settlement

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extent necessary, to convey clear title to the defendant real

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property to the United States and to further implement the terms

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of this Stipulation.

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11.

The terms of this Stipulation are contingent upon

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forfeiture of the defendant real property to the United States

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and the Court’s entry of a Final Judgment of Forfeiture.

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12.

There are no other terms or conditions other than

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those specified within.

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Dated: 6/24/11

BENJAMIN B. WAGNER
United States Attorney

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By:

/s/ Kevin C. Khasigian
KEVIN C. KHASIGIAN
Assistant U.S. Attorney

By:

/s/ Trueman E. Vroman
TRUEMAN E. VROMAN
Claimant appearing in
propria persona
(Original signature retained by
attorney)

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Dated: June 22, 2011

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ORDER
This Stipulation for Expedited Settlement is hereby

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APPROVED.

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Dated:

June 27, 2011

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Stipulation for Expedited Settlement