Morgan Stanley High Yield Securities Inc v. Jecklin

Filing 367

ORDER Granting 366 Motion to Vacate the settlement conference set for June 17, 2013, at 10:00 a.m. Signed by Magistrate Judge Cam Ferenbach on 4/15/2013. (Copies have been distributed pursuant to the NEF - SLR)

Case 2:05-cv-01364-LDG-VCF Document 366 Filed 04/12/13 Page 1 of 3

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GORDON SILVER
ERIC D. HONE (NV Bar No. 8499)
[e-mail]
JOEL Z. SCHWARZ (NV Bar No. 9181)
[e-mail]
3960 Howard Hughes Parkway, 9th Floor
Las Vegas, NV 89169
Telephone: [phone]
Facsimile: [phone]
Attorneys for Defendant Haeberling

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UNITED STATES DISTRICT COURT

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DISTRICT OF NEVADA

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MORGAN STANLEY HIGH YIELD
CASE NO. 2:05-cv-01364-LDG-VCF
SECURITIES INC.; MORGAN STANLEY
DEAN WITTER HIGH INCOME
ADVANTAGE TRUST; MORGAN STANLEY DEFENDANTS' JOINT REQUEST TO
DEAN WITTER HIGH INCOME
VACATE SETTLEMENT CONFERENCE
ADVANTAGE TRUST II; MORGAN
STANLEY DEAN WITTER HIGH INCOME
ADVANTAGE TRUST III; MORGAN
STANLEY VARIABLE INVESTMENT
SERIES; MORGAN STANLEY DIVERSIFIED
INCOME TRUST; and MORGAN STANLEY
SELECT DIMENSIONS INVESTMENT
SERIES,

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Plaintiff,

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vs.

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HANS JECKLIN; CHRISTIANE JECKLIN;
GEORGE HAEBERLING; JOHN TIPTON;
SWISS LEISURE GROUP AG; and JPC
HOLDING AG,

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Defendants.
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Defendants Hans Jecklin, Christiane Jecklin, George Haeberling, John Tipton, Swiss

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Leisure Group AG and JPC Holding AG, by and through their respective counsel, hereby request

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that the Court vacate the pending Settlement Conference scheduled to commence at 10:00 a.m.,

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June 17, 2013, pursuant to the Court's Order [Dkt #365]. For the following reasons, defendants

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do not believe that a settlement conference is logistically feasible nor that such a settlement
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102851-001/1881726_2.doc

Case 2:05-cv-01364-LDG-VCF Document 366 Filed 04/12/13 Page 2 of 3

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conference would be productive at this point:
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All but one of the four individual defendants, including the principals for the

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business entity defendants, reside in Switzerland and are unable to travel to the United States and

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Las Vegas on the proposed date. One of the Swiss defendants, George Haeberling, presently has

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pending a motion to dismiss for lack of personal jurisdiction based on, among other things, his

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limited contact with the forum in particular, and the United States in general [Dkt #237].
2.

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All parties have long-pending motions for summary judgment. Each of the

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defendants filed separate motions for summary judgment on February 17, 2010 [Dkt ## 231,

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236, and 239]. Plaintiffs moved for an extended period of time to file their own motion for

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summary judgment, which was granted on September 15, 2010 [Dkt # 311]. Briefing has been

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completed on all of the motions for summary judgment since March 31, 2011, more than two

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years ago. Defendant George Haeberling's renewed motion to dismiss for lack of personal

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jurisdiction was filed February 17, 2010 [Dkt #237]. Briefing on that motion was completed on

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June 23, 2010.
3.

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The parties have previously, on several occasions, discussed the potential for

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settlement. None of these discussions have resulted in positive movement towards resolution.

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Generally, none of the parties have been willing to compromise on terms during the pendency of

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the cross-motions for summary judgment. Nor, given the extremely large amount of damages

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sought, have the parties been within any reasonable range of resolution on monetary terms.

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Plaintiffs' claims are, in essence, claims to pierce the corporate veil and to hold the individual

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and corporate defendants responsible for a $38,489,055 judgment already in place against Seven

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Circle Gaming Corporation entered in favor of the Morgan Stanley plaintiffs on December 18,

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2003, in the United States District Court for the Southern District of New York.

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102851-001/1881726_2.doc

Case 2:05-cv-01364-LDG-VCF Document 366 Filed 04/12/13 Page 3 of 3

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For these reasons, including (i) the unavailability of the Swiss defendants, (ii) the

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pendency of the motions for summary judgment and motion to dismiss, and (iii) the inability to

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make settlement progress during prior settlement discussions, the defense parties respectfully

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request the Court vacate the settlement conference set for June 17, 2013, at 10:00 a.m.

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DATED this 12th day of April 2013

DATED this 12th day of April 2013

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BROWNSTEIN HYATT FARBER
SCHRECK, LLP

GORDON SILVER

/s/ Eric D. Hone
ERIC D. HONE (NV Bar No. 8499)
[e-mail]
JOEL Z. SCHWARZ (NV Bar No. 9181)
[e-mail]
3960 Howard Hughes Parkway, 9th Floor
Las Vegas, NV 89169
Telephone: [phone]
Facsimile: [phone]
Attorneys for Defendant Haeberling

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/s/ Tamara Beatty Peterson
TAMARA BEATTY PETERSON, ESQ.
Nevada Bar No. 5218
100 North City Parkway
Suite 1600
Las Vegas, Nevada 89106
Telephone: [phone]
Facsimile: 702.382.8135
Email: [e-mail]
Attorneys for Hans Jecklin, Christiane Jecklin,
Swiss Leisure Group AG, and JPC Holding AG

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DATED this 12th day of April 2013

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KLEINBARD BELL & BRECKER

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/s/ Steven J. Engelmyer
Steven J. Engelmyer
Eric J. Schreiner
1900 Market Street, Suite 700
Philadelphia, Pennsylvania 19103
McDONALD CARANO WILSON LLP
2300 West Sahara Avenue, Suite 1200
Las Vegas, Nevada 89102
Telephone: [phone]
Facsimile: [phone]
Attorneys for Defendant John Tipton

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4-15-2013

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