Shaev v. Baker, II et al

Filing 252

STIPULATION AND ORDER re (51 in 3:18-cv-02866-JST) (251 in 3:16-cv-05541-JST) STIPULATION WITH PROPOSED ORDER Regarding the Feuer Complaint filed by The City of Birmingham Retirement and Relief System, Fire & Police Pension Association of Colorado. Signed by Judge Jon S. Tigar on September 7, 2018. (wsn, COURT STAFF) (Filed on 9/7/2018)

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Richard M. Heimann (063607)
[e-mail]
Katherine C. Lubin (259826)
[e-mail]
Michael K. Sheen (288284)
[e-mail]
LIEFF CABRASER HEIMANN & BERNSTEIN, LLP
275 Battery Street, 29th Floor
San Francisco, CA 94111-3339
Telephone: [phone]
Facsimile: [phone]
Attorneys for Plaintiff Fire & Police Pension
Association of Colorado and Co-Lead Counsel
Maya Saxena (Pro hac vice)
[e-mail]
Joseph E. White, III (Pro hac vice)
[e-mail]
Lester R. Hooker (241590)
[e-mail]
SAXENA WHITE P.A.
150 East Palmetto Park Road, Suite 600
Boca Raton, FL 33432
Telephone: [phone]
Facsimile: [phone]
[Additional Counsel on Signature Page]
Attorneys for Plaintiff The City of Birmingham
Retirement and Relief System and Co-Lead Counsel

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UNITED STATES DISTRICT COURT

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NORTHERN DISTRICT OF CALIFORNIA

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IN RE WELLS FARGO & COMPANY
SHAREHOLDER DERIVATIVE
LITIGATION
This Document Relates to:
ALL ACTIONS.

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Case No. 3:18-cv-02866-JST
R.A. FEUER,
Plaintiff

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STIPULATION AND [PROPOSED]
ORDER REGARDING THE FEUER
COMPLAINT

v.

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Lead Case No. 3:16-cv-05541-JST

WELLS FARGO & COMPANY et al.,

The Honorable Jon S. Tigar

Defendants.

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1593692.5

STIPULATION AND [PROPOSED] ORDER RE
THE FEUER COMPLAINT
CASE NO. 3:16-CV-05541-JST

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WHEREAS, in September 2016, several shareholder derivative actions were filed in the

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United States District Court for the Northern District of California, seeking relief under federal

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and state law for the alleged misconduct by current and former Wells Fargo & Company (“Wells

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Fargo” or the “Company”) officers and directors arising from the opening of customer accounts

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without customer knowledge or authorization (the “Unauthorized Sales Practices”);

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WHEREAS, the Court consolidated those related actions, and on January 12, 2017, the

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Court appointed the Fire and Police Pension Association of Colorado and the City of Birmingham

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Retirement and Relief System as Lead Plaintiffs in In re Wells Fargo & Co. Shareholder

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Derivative Litigation, No. 3:16-cv-05541-JST (the “Lead Action”) (Lead Action, ECF No. 70);

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WHEREAS, in the Lead Action, the Court granted in part and denied in part Defendants’

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motion to dismiss Lead Plaintiffs’ Consolidated Amended Verified Stockholder Derivative

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Complaint (the “Consolidated Complaint”) for failure to plead demand futility (Lead Action, ECF

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No. 129) on May 4, 2017; the Court granted in part and denied in part Defendants’ motion to

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dismiss the Consolidated Complaint for failure to state a claim (Lead Action, ECF No. 174) on

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October 4, 2017; Defendants filed answers to the Consolidated Complaint on January 8, 2018

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(Lead Action, ECF Nos. 187–92); and the Court entered a Scheduling Order providing for a trial

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to commence December 2, 2019 (Lead Action, ECF No. 199);

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WHEREAS, on May 16, 2018, Plaintiff R.A. Feuer filed a Verified Derivative Complaint

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in Feuer v. Wells Fargo & Co., No. 3:18-cv-02866-JST (the “Feuer Action”) (Feuer Action, ECF

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No. 1);

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WHEREAS, on June 13, 2018, the Court related the Feuer Action with the Lead Action
(Lead Action, ECF No. 230);

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WHEREAS, on June 20, 2018, Plaintiff Feuer filed an Amended Complaint (Feuer
Action, ECF No. 19) (the “Feuer Complaint”);

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WHEREAS, the Feuer Complaint alleges certain background information referencing the

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Unauthorized Sales Practices at issue in the Lead Action (see, e.g., Feuer Compl. ¶¶ 3–4, 80–106,

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148–59, 175–262);

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WHEREAS, the allegations in the Feuer Complaint referencing the Unauthorized Sales
1593692.5

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STIPULATION AND [PROPOSED] ORDER RE
THE FEUER COMPLAINT
CASE NO. 3:16-CV-05541-JST

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Practices—including Plaintiff Feuer’s initial demand on the Company’s Board of Directors, dated

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December 12, 2016 (Feuer Compl. ¶ 176, Ex. A)—are intended to provide background

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information only, and Plaintiff Feuer does not base his claims for relief on allegations related to

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the Unauthorized Sales Practices;

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NOW THEREFORE, IT IS HEREBY STIPULATED AND AGREED, between the
undersigned parties, by and through their counsel, as follows:

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The Feuer Complaint does not, and shall not be construed to, assert claims for

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breach of fiduciary duty, breach of duty of loyalty, and breach of the duty of candor to the extent

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such claims involve the Unauthorized Sales Practices or have been asserted in the Lead Action,

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and Plaintiff Feuer will not seek and expressly waives his right to assert claims for any relief

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involving the Unauthorized Sales Practices, including damages, in connection with the Feuer

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Action.

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Dated: September 6, 2018

LIEFF CABRASER HEIMANN & BERNSTEIN, LLP

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By:

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/s/ Richard M. Heimann

Richard M. Heimann (063607)
[e-mail]
Katherine C. Lubin (259826)
[e-mail]
Michael K. Sheen (288284)
[e-mail]
LIEFF CABRASER HEIMANN & BERNSTEIN, LLP
275 Battery Street, 29th Floor
San Francisco, CA 94111-3339
Telephone: [phone]
Facsimile: [phone]

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1593692.5

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STIPULATION AND [PROPOSED] ORDER RE
THE FEUER COMPLAINT
CASE NO. 3:16-CV-05541-JST

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Steven E. Fineman (CA Bar No. 140335)
[e-mail]
Daniel P. Chiplock (Pro hac vice)
[e-mail]
Nicholas Diamand (Pro hac vice)
[e-mail]
Michael J. Miarmi (Pro hac vice)
[e-mail]
LIEFF CABRASER HEIMANN & BERNSTEIN, LLP
250 Hudson Street, 8th Floor
New York, NY 10013-1413
Telephone: [phone]
Facsimile: [phone]

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Attorneys for Plaintiff Fire & Police Pension Association
of Colorado and Co-Lead Counsel

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Maya Saxena (Pro hac vice)
[e-mail]
Joseph E. White, III (Pro hac vice)
[e-mail]
Lester R. Hooker (241590)
[e-mail]
Adam D. Warden (Pro hac vice)
[e-mail]
Dianne M. Anderson (286199)
[e-mail]
SAXENA WHITE P.A.
150 East Palmetto Park Road, Suite 600
Boca Raton, FL 33432
Telephone: [phone]
Facsimile: [phone]

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Steven B. Singer (Pro hac vice)
[e-mail]
Kyla Grant (Pro hac vice)
[e-mail]
SAXENA WHITE P.A.
10 Bank Street, 8th Floor
White Plains, NY 10606
Telephone: [phone]
Facsimile: [phone]

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Attorneys for Plaintiff The City of Birmingham
Retirement and Relief System and Co-Lead Counsel

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1593692.5

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STIPULATION AND [PROPOSED] ORDER RE
THE FEUER COMPLAINT
CASE NO. 3:16-CV-05541-JST

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GREENFIELD & GOODMAN, LLC
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By:

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Richard D. Greenfield
[e-mail]
Marguerite R. Goodman
Ann M. Caldwell
Ilene F. Brookler
GREENFIELD & GOODMAN LLC
250 Hudson Street, 8th Floor
New York, NY 10013
Telephone: [phone]

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/s/ Richard D. Greenfield

Betsy Carol Manifold (182450)
[e-mail]
Rachele R. Rickert (190634)
[e-mail]
Marisa C. Livesay (223247)
[e-mail]
Brittany Nicole DeJong (258766)
[e-mail]
WOLF HALDENSTEIN ADLER FREEMAN & HERZ
LLP
750 B Street, Suite 2770
San Diego, CA 92101
Telephone: [phone]
Facsimile: [phone]

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Fred Taylor Isquith
[e-mail]
WOLF HALDENSTEIN ADLER FREEMAN & HERZ
LLP
270 Madison Avenue
New York, NY 10016
Telephone: [phone]
Facsimile: [phone]

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Attorneys for Plaintiff R.A Feuer

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1593692.5

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STIPULATION AND [PROPOSED] ORDER RE
THE FEUER COMPLAINT
CASE NO. 3:16-CV-05541-JST

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SULLIVAN & CROMWELL LLP
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By:

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Brendan P. Cullen (SBN 194057)
([e-mail])
Sverker K. Hogberg (SBN 244640)
([e-mail])
Ryan J. McCauley (SBN 264913)
([e-mail])
SULLIVAN & CROMWELL LLP
1870 Embarcadero Road
Palo Alto, California 94303
Telephone: [phone]
Facsimile: [phone]

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/s/ Brendan P. Cullen

Attorneys for Nominal Defendant Wells Fargo & Co.

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GOODWIN PROCTER LLP
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By:

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Richard M. Strassberg (pro hac vice forthcoming)
[e-mail]
Daniel P. Roeser (pro hac vice forthcoming)
[e-mail]
GOODWIN PROCTER LLP
620 8th Avenue
New York, NY 10018
Telephone: [phone]
Facsimile: [phone]

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/s/ Grant P. Fondo

Grant P. Fondo
[e-mail]
GOODWIN PROCTER LLP
135 Commonwealth Drive
Menlo Park, CA 94025
Telephone: [phone]
Facsimile: [phone]

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Attorneys for Defendant John G. Stumpf

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1593692.5

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STIPULATION AND [PROPOSED] ORDER RE
THE FEUER COMPLAINT
CASE NO. 3:16-CV-05541-JST

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CLARENCE DYER & COHEN LLP
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By:

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Nanci L. Clarence
[e-mail]
Josh A. Cohen
[e-mail]
CLARENCE DYER & COHEN LLP
899 Ellis Street
San Francisco, CA 94109
Telephone: [phone]
Facsimile: [phone]

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Attorneys for Defendant Timothy J. Sloan

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/s/ Josh A. Cohen

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RAMSEY & EHRLICH LLP
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By:

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Miles Ehrlich
[e-mail]
Ismail Ramsey
[e-mail]
RAMSEY & EHRLICH LLP
803 Hearst Avenue
Berkeley, CA 94710
Telephone: [phone]
Facsimile: [phone]

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/s/ Miles Ehrlich

Attorneys for Defendant John R. Shrewsberry
(Consolidated Action only) and Franklin Codel (Feuer
Action only)

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1593692.5

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STIPULATION AND [PROPOSED] ORDER RE
THE FEUER COMPLAINT
CASE NO. 3:16-CV-05541-JST

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SKAGGS FAUCETTE LLP
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By:

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Jeffrey E. Faucette
[e-mail]
SKAGGS FAUCETTE LLP
One Embarcadero Center
Suite 500
San Francisco, CA 94111
Telephone: [phone]
Facsimile: [phone]

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/s/ Jeffrey E. Faucette

Enu A. Mainigi (pro hac vice forthcoming)
[e-mail]
WILLIAMS & CONNOLLY LLP
725 Twelfth Street, N.W.
Washington D.C. 20005
Telephone: [phone]
Facsimile: [phone]
Attorneys for Defendant Carrie Tolstedt

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FARELLA BRAUN + MARTEL LLP

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By:

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C. Brandon Wisoff
[e-mail]
FARELLA BRAUN + MARTEL LLP
235 Montgomery Street
17th Floor
San Francisco, CA 94104
Phone [phone]
Fax [phone]
Attorneys for Defendant Avid Modjtabai

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/s/ C. Brandon Wisoff

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COVINGTON & BURLING LLP

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By:

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/s/ Carolyn Kubota

Carolyn Kubota
Monica Ramirez Almadani
[e-mail]
COVINGTON & BURLING LLP
1999 Avenue of the Stars
Los Angeles, CA 90067-4643
Telephone: [phone]

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Attorneys for Defendant Dawn Martin Harp
1593692.5

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STIPULATION AND [PROPOSED] ORDER RE
THE FEUER COMPLAINT
CASE NO. 3:16-CV-05541-JST

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SHEARMAN & STERLING LLP
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By:

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John F. Cove, Jr.
[e-mail]
Jaculin Aaron
[e-mail]
SHEARMAN & STERLING LLP
599 Lexington Avenue
New York, NY 10022
Telephone: [phone]
Facsimile: [phone]

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/s/ John F. Cove, Jr.

Attorneys for Defendants John D. Baker II, Elaine L.
Chao, John S. Chen, Lloyd H. Dean, Elizabeth A. Duke,
Susan E. Engel, Enrique Hernandez, Jr., Donald M.
James, Cynthia H. Milligan, Federico F. Peña, James H.
Quigley, Stephen W. Sanger, Susan G. Swenson and
Suzanne M. Vautrinot

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1593692.5

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STIPULATION AND [PROPOSED] ORDER RE
THE FEUER COMPLAINT
CASE NO. 3:16-CV-05541-JST

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ATTESTATION

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I, Richard M. Heimann, in compliance with General Order 45, Section X(B),
hereby attest that I obtained the concurrence of all of the above-listed counsel in filing this
document.

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DATED: September 6, 2018

/s/ Richard M. Heimann
Richard M. Heimann

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1593692.5

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STIPULATION AND [PROPOSED] ORDER RE
THE FEUER COMPLAINT
CASE NO. 3:16-CV-05541-JST

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ORDER

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UNIT
ED

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R NIA

DERED
SO OR JON S. TIGAR
THEIT IS
HONORABLE

Dated: September 7, 2018

UNITED STATES DISTRICT JUDGE

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THE FOREGOING STIPULATION IS APPROVED AND IT IS SO ORDERED.
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1593692.5

STIPULATION AND [PROPOSED] ORDER RE
THE FEUER COMPLAINT
CASE NO. 3:16-CV-05541-JST