Consolidated Electrical Distributors, Inc. v. Mt. Grant Electric et al

Filing 119

ORDER GRANTING ACIC's 113 Motion for Summary Judgment. Clerk shall enter judgment accordingly. Signed by Judge Brian E. Sandoval on 2/10/2009. (Copies have been distributed pursuant to the NEF - DRM) (Additional attachment(s) added on 2/11/2009: # 1 Main Document) (DRM).

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Curenty b f r t e Gour i Def ndantcr ss l i an hid Pary Pl i t; Am ercan r l e oe h ts e / o ca m G r t ani i

2 Co tador Ide nt compan ' ( CI * Mo inf r u m ar lu g ent#ll l i donMay nr s n m i y ys ' C ) t o s m y d m t 3 fl ' A o e 3 27,20 8. Deen an / r s de en an Mt Gr n Elc r (M t Gs n ' and Thr Pary 0 f d tc o s f d t . a t e ti ' . a f) c' id t 4 De e dans MernJ.Halan Ka h Th n ( olc iel r f re t her i a t e ' t Gr n fn t l i l d ty y e c l t y e e rd o en s h M . a t ev 5 De e dans'fld an Opp sto t Ame ian Co tacor ldem ni Compan ' Mo i nf r f n tp i )e oi no i rc nr t s n t y ys to o 6 Su mar J dg en ( 11 )onJ ne25, 8, dACI flda Repl ( 11 )onJ l 9, 08. m y u m t# 6 u 200 an Ci e y# 7 uy 20
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BACKG RO UN D
Thi cas i voles a cl i f ri dem nii aton br ughtby ACI agai stt e Mt Gr nt s en v am o n fc i o C nh .a

9 Def ndant . OnAprl12,2005,Mt G r n subm it d an el d rcal e sl i . at te e i cons r cton bi t Day & tu i do

1 . Zi m er anHa t or eCor or t nCDZHC' t pedor anelc r aloba t e Unt dSt t s 0mm wh n p ai o 'o ) m e ti j t h c i e ae 1 ar y bas i Ha t or e,Nev da. ( ppost n t ACI ' Mo in f rSum m ar J dg en ' 1m e n wh n a O io o C S to o i yu m t 1 ( 11 )at .DZHC ac eped t e Mt Gr n bi f r h prj d .Ho ev r b c u et e ar y 2 # 6 2) c t h . a t d o t e oe w e, e a s h m
1 base was owneibyt e f der l 3 h e a gover m ent Mt G r ntwas r quied t obt i bot a paym ent n ,.a e r o an h 1 bond and a peror ance bond bef r i coul be awar ed t e contad t peror t e wor . 4 fm oe t d dh r o fm h kz 1 As a r suloft i r quiem ent Mt Gr ntcont d ed ACI t obt i t e necessar bonds,and 5 e t hs e r ,.a a C o an h y 1 ACI isued t e bonds as sur t f rMt G r nt 4 . 3. As pad oft e tans ci n f rt e 6 Cs h e y o . a . # at = h r a to o h
.

1 b n s onJu e 1 ,2 05, C f x d a Gene al n em n' Agr emen (G l ' t Mt Gr n . 7 od, n 3 0 ACI a e r Id l te y t ' A' o . a t $) ls y . undert e GI , .Gr n agr edt 'ndem ni , end and hol ACI har ls f raI = h A Mt a t e o ' i f def y d C me s o I 1 Is esandcoss,ncldigatoreys'eesandcoss. ( otonf rsum m ar Judgment( 113) 9 os ti un ln f t'M i o ' y #
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2 a 3) 0 t.
21 Accor i g t t e Mt Gr ntDef ndant ,att e tm e t ey execut d t e G I ,t ey wer dn o h .a e s hi h eh Ah e 22 undera tm e cons r i tfom DZHC,The Mt G r ntDef ndan s s at t at' ZH C was gr w i g i ta n r .a e t teh ' D on 23 extem el i patent and had idiat d t Mt G r ntt atiw oul cancelt e contactunl ss r ym i , nce o . a h t d h r e
24

25

1The i iilc m pli twa fld i t i m a tron M a 9.2006,by Cons ldaed El crc l n ta o a n s ie n h s te y oi t e tia

oiti uor (' ED' a ans vaiusdee da t.( omplit(/ ).I Aprl2008 astlm e twa srb t s ' C ' g i t ro ) fn n s C an /1) n i ete n s 26 rac e amongcrai patesa daStpultona dOr e ofDim is l( 1l )wase trdonJ ne9. e hd et n ri n i ai n d r s sa # 4 n ee u 2x s.Thei de ni a on cam b)ACI ag i s t eM t Gr nt e dmusi t eonl ca s ofa ton n m f - ii ' C a n t h . a Def n kd sh y u e ci
27 r m ani g i t ec s . e i n n h ae

22
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atr lon.o r paro a ) publc buidl g olpublc '.r oft e Fe e.lGo 'nune t ape.on n us le a i r e i f n . i l n . l wo k h d l a Ae n. l s at f na s t t e Gm zl m e - a pc f r a c bond a d a pal e tbond. u ih o h em m ' r o m n e n 'n m
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2 40 U.. .j 31 3( )pr'iqst a beqr a l co ta li a ade - ort e c nsr cin. SC 3 b oîd h t f e n ' nr c s w r d - h o tu to r f

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1 Mt Gr n i m eda eys c r d t e bon s. ( p o ion t ACI ' Mot nt Dim is ( 11 ) . a tm it l e u e h d ' O p st o C S i o s s # 6 ' i o 2 at3 . As a r s l,t e o n rofMt Gr n ,Meri J Hal(Hal' ' uc l sgned't e Gl ) e ut h w e . a t l . l ' l) ' iky i ' h A n ' 'q
3 ' ihout r adi g i,had i not rzed,and Fed Ex' 't e G l back t ACl . l . Hal had 't w e nt t ai d' h A o C3 d l 4 obt ied bonds i t e pastdurng hi t n year i t e el c rcalbusi es ;however ' e had an nh i se s n h e ti ns ,h

5 n v r e n o be n r qur dt en erit an id m ni a r em en . L .Ac or igt t e Mt e e s e r e e i o t no n e t g e e y t' d c d n o h . '=
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6 Gr ntDef ndant ,as a r sul.fHals 'ack ofexperenc , Hal bel ved t atx e G l fom a e s e to l' 'I i e' l i e ht h Ar

7 ACI ' as si i rt an isur nc agr em ent'and t att e G I ' oul obl at t e sur t t . Ci w ml o n a e e a , ' h h A' d i eh w g eyo
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8 def nd is cust m er i t e event ofa diput and t ati woul ' lo r quie t e sur t . et o snh se ht d as e r h eyt o 9 pr t d i cust m er 'bond r tng. .1 . oe t s os ai ' . 'I

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1 0 OnJun 20, 5, . an b g nwor ont eprj d f rDZHC.Ho ev r bec us e 200 Mt Gr t e a k h oe o w e, a e 11 ofa pr blm wiht e eldlcal r , kwashal d i Nov m ber2005.J.at4.Asa r sul o e t h e i wie wor tn e e # et
.

1 oft i pr bl m ,u iput s ar se as t who caused t e dam age t t e wie and w ho was 2 hs o e ds e o o h oh r

13 r sponsi l f rr pl cig t e def d i e wie. 1 . t o ghMt Gr n r maie ont epr j d e be o e a n h e v r ' . Al u '1 h . a t e n d h oe
.

1 h pig t c n iu wor ,n J n 20 6,Mt Gr n ' f t e DZHC j b st t fn ot erj bs. 4 o n o o tn e k i u e 0 . a t' t h I e o i o id h o ' e 15 Lwat6.OnNovem ber27, d. 2006,DZHC notfedACI t atMt Gr n ' con r c wih DZHC f r ii Ch . a ts ta t t o
1 wo ka t e a m yba e wa c nc l d.L. 6 r th r s s a el d e.
17 On M ay 9, 2006,CED assered a cl i agai stt e paymentbond isued t Mt Gr nt t am nh s o .a

1 b ACI a t rMtGr n f i dt is e p ymen f rmaer l an lbor t e DZHC prj c . 8 y Cf e . a t al o s u a e t o t i s d a on h a oe t4
19 ( oton f rSummar Judgment ( 113)at4) DZHC alo asseded a cli agaistt e Mi o y # . s am nh
20 peHbr ance bond isued by ACI t Mt Gr ntaferDZHC t r i at d is contactwih M t m s Co . a t em n e t r t. 21 Gr nt Accor i g t ACI ,i r sponse t t e cl i s subm it d by CED and DZHC,AC I a. dn o C ne o h am te C

22 soughtt enf ret e Gl agaistMt Gr nticldig t e idem niycl use.L= o oc h A n . a nun h n ta d.

23
24

Th duyt idemnf i t e GI saest a 'i c nsdertonofteex cuin an e t on iy n h A tt h t') o i a i (n h et od
3 A C I f xedt eG1 t t eM t Cr ntDe e d nt on J ne 1 .2005.( pposton t ACI , Ca h A oh . za fn a s u 3 O ii o Cs

25

26 M oinf rSummayJ dgme t( 116)a ExhiiA . 2) DZHC ha idiatdt Halt a i woul to o ru n# t bt p. r d n c e o lh tt d c nc 1hec nta t e sMtGr m s c rdt gbondsoralte ofitntfom ACI byJ ne20, a e t o r c unls a e ue h etr n e r Cu 2005.

27 L . to g Hal lh v ilpeë rdt sg teG1 i n dael. jh dsv rl a'thedte d Alh u h lma'a e et rsue o ln l A z e itl'h'y s ea d l cra h = l m s
G1 orc ns l wi s m e ner g r l g t em e ni gofist r sbe or sgnl g 1. A o ut t o o e a dn h h an t em f el n t 28
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4CED had s ppie M t Gr m u'h Bi e f 1t e p.i c. ( pposton t ACI . M o i n f r u id . a i r o. h l e t O t o ii o C s to o Sum m a ' udg e t ( l1 ) :3) n. m n # 6a . l F ,

1 del er .y( CI)o a Bon oran Bon son b halo I t Gr n) I t Gr n)agrest i yb A C f v d yd e f f M . a t, M . a t e o 2 id m nf an hodI CI J r ls fom a dag is a yandaId man s,ibit s,o s s,. n e i d l A C ham e s r n an t n y I e d l li Is e a ie
3 cost ,damages,ator eys'f es and expenses ofwhat verki d ornat r 'whi h arse by s th e e n u e' c i

4 r a on o 'h e e u in b I CI I fanyBon o b halofI t Gr n ). .'i . tEx i i2. e s f' e x c to y A C o t d n e f M . a t . ..= a h bt #
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5 The GI al o con ai s a pr vii n t ati f dher nce. fsuch i dem niy, C i halhave t e As tn o so h n u a o n t ACI ' l s h
6 rghti is sol andx bsol t di cr ton t det r i e whet erany cl i s underâny. ond. r i nt e a ue s e i o e m n h am B o
.

7 Bondssh lb p i,c mprmied,adu td,d fnd d,pr s c td ora p ald. I .at al e ad o o s jse e e e o e ue pe e ' d '
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8 Exhi i. . M or over t e pr vii n st t s t atACI ' hal hake t e. i htt i qur such . bt 2. e ,h o so a e h C' l s h rg o n .
9 expenses i handl g a cl i as i shal deem necessar ,i cl di g . ut not l ied t t e n i n am t l ynunb it oh m 1 expenses f ri vestgatve,ac ountng,engi eerng and I galser ies. 1 . Exhii2. 0 on ii c i ni e vc ' . at '1 bt
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11 .
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As not d i t e f r goi g, t ough t e ot ercl i s i t i case have been setl d, he e n h o e n alh h h am n hs tt e

1 i dem niiaton cl i byACI agai s t e Mt Gr ntDef ndant i stlpendi g.ACI ar ues 2n fc i a m C n th .a e ss i l n Cg

1 t a ii en ie t j d m en a ama t ro Iw ont i cai bas dont e idem ni pr vsi n 3 h tts t ld o u g t s t te fa hs l m e hn t o io y 1 i t eGI .M o inf r 4 n h A ( t o Summar Ju gm en ( 11 )a 2) Specf al , C sat st at h Mt o yd t# 3 t . ic l ACI t e h t e . iy
1 Gr ntDef ndan s ' xecut d t e GI i consi er ton f rACI isui g t o bonds as sur t 5 a e t' e e h An d ai o Cs n w ey

1 f rMt Gr n Elcrc' I . Mor o er 'th Gl un mbiuou l s t f dht a Ih Mt Gr n 6 o . a t e ti. d ' e M ,'l e A a g sy e s o h t t e . a t l 1 Def ndans ar I bl t ACI f ran an aI Is es icu ig a t r ey ' ee an c s s 7 e t ) e i e o C o y d Io s , n ld n to n s f s d o t a
18 i cured byACI i consequenc ofAC I ' executon oft e bonds. I .Thus,because t e nr Cn e CS i h 'd ' h
19 M t G r ntDef ndant ' r cl ary cont act al obl at d t i dem niy A C I pur uantt t e .a e s' e e l a r ul y i e on g f C s oh

2 Gl ,ACI ar u statii eniedt su m ayjdgmen . 0 A ' C g e h ts tl o m r u ' t t
21 I r spons ,t e M t G r ntDef ndant ar ue t att e i dem niy pr vi i n shoul not ne eh .a e sg hhn t o so d

2 b en ored a an tt em b c u e ( )t e GI i an a h sin c n r d '( )t e GI i 2 e f c g is h eas 1 h A s d e o o ta , 2 h A s

2 un on co a l' nd ( )j s ie an equi r qui t a t e Gl b s tasde. ( pp st n t 3 c s in be, a 3 ut c d t e r h t h A e e i O o io o y e i
2 ACI ' Mo inf rSummar J d m e t( 1 6). 4 CS t o o y ug n #1 ) 2 5 AMAL SI YS

2 6

Su m a yj d m en i h lb r nder df rhwi it epla igs, ost ns, wer m r u g t' a l e e e o t t f h e d n dep io ans s s h i

27 t i t rogat res,and adm isi ns on fl ,t get erwih t e afi avis,i any,show t att er o ne r o i so ioh e t h fd t f h he

28 i no g nun is e ast an ma eralac an t a t e m o ig p ry i en ie t j d m en s e ie s u o y t i f t t h th vn a t s t id c u g t t
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1 as a ma t rofIw. Fed. , i. .5 () A ma eralisu o f c i on t ata f c s t e te a' ' R C vP 6 c. t i s e f a t s e h fe t h 2. outome of he liatonand r quiesati lo r solet e dif rngker i nsoft etut .Lvnn 'c l ig i t er ra t e v h fe i so h rh 3 v She tMe a W orer It As ' ,8O F. d 1 72,1 8 ( t Ci.1 8 ) Th bu den of ' . e t l k s n ' sn 4 2 4 l 4 3 9h r 9 6 . e r
4 dem onstatng t e absence ofa genui e isue ofm at ralac I s wih t e m ovi g pary,and ri h ns e i f ti e th n t

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5 f rt i pur ose, he m at rall dged by t e m oki g pary m us bq vi w ed i t e I htm ost o .hs p t ei o h n t t e nh i g

6 f v r bl t t e n nm o ig pary.Adik sv,S. .Kr s & Co. 39 U. .1 4,1 7 ( 9 0 . a o a e o h o vn t ce . H e s , 8 S 4 5 j7 ) ,

7 Marie v. t o L sAn els, 41F.d 1 73,1 78(t Ci.1 98) t z Ci f o o e 1 n y 33 3 9h r 9 .
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Anydi put r gar i g a m at ralssue off ctm us be genui e- t e evi enc m us be . s e e dn ei . i a t n h de t

9 s c t a 1 r a on bl j r c ul r t r a v r i f rt e n n ovn pary' .. Thu , u h h t ' e s a e u y o d e u n e dd o h o m ig t, ( . a '4 s
.

1 ' l er t e r c r t k n as a wh l c ul no I a a rton lti ro f c t fn f rt e 0 I h e h e od a e w oe o d t e d a i a r f a t o id o h e 1 n nm o ig pa y ' er i n g n ie isu f rtir a d s m mar j d m en i pr per 1 o vn d ,t e s o e un s e o r n u h a y u g ts o .
1 Ma s s i Elc.n us Co. Zent Ra i Cor .4 5U. . 4, ( 986 . ' mer s itl 2 t u ht e Id , v. ih do p , 7 S 57 587 1 ) ' a A e cn ia l

1 o e ien ewi n td ,f raj r i p r ie t drw o l t os if rnc so whih te 3 f vd c l o o o u y s e m t d o a ny h e ne e e f c h l t
1 evienc i r as nabl susc ptbl ;i m ay notr sor t specul ton. Brtsh Ai avs Bd.v. 4 d ese o y e ie t e to a i ' ii ' r w

1 Boeic C0.58 F.d 9 6, 2 ( t Ci. 9 8) Theevd n em u tb sinic nt pr b t e, 5 n , 5 2 4 95 9 h r 1 7 . ie c s e g f a l o a i iy v 1 a d c n otb mer l c lr bl .And r onv. b rvL b v l cv477 U. . 6 n a n e ey oo a e es Lie t o b . n , S 242, 0 ( 98 ) 25 1 6 .
.

1 Conci sor al gatons t at ar unsuppoded by f d ualdat cannot def at a m oton f r 7 uyl i e h e a a e io

1 s mm ar j d m e t Ta irv Lit 880 F.d 1 40,1 45 ( t Ci.1 89 . 8u y u g n . vo . s , 20 0 9h r 9 ) 19 l a contac cas ,isl m m ar j dgm enti appr prat when t e contactt r s ar n rt e'u I yu s o ie h r em e
20 cl arand unam bi uous,even i t e pari s diagr e as t t ei m eani g. Kassbaum v. e g fh t ese ohr n' '
21 St nnenw ol Pr d. l c., 236 F.d 48 , e f o ,n 3 7 491 ( t Ci. 00 .Un erNe a a Iw, c n r c i 9 h r 20 ) d v d a a o ta t s
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22 clarand unam bi uous i i 's notr asonabl susc ptbl t m or t an one i t r r t ton. e g ft i e y e ie o eh ne p e a i ' '

2 Unv. fNev da.Renov. ac v,1 6 Nev. 431, 7 P.d 81 , 4 ( ev. 00 . 3 io a St e 1 428, 99 2 2 81 N 20 )
24 I dem ni agr em ent by a sur t seeki g r i bur em entf rpaym ent made on a n t ye s ey n em s o s

25 bond orf rc s s i cured i consequence ofexecuton ofa bond ' ave been c nsit nty o ot n r n i ' h o se l
26 uphel as v l and enf r eabl . Em ni v r I s.ofW ausau v. e G r en.I c.749 F. upp. d ai d oc e' ' o es n Abl e n, s

27 1 00 11 3 ( . , l 1 9 ) Nev da Iw h s uph l id m ni a r em en s i t e s r t 1 , 0 S D Fa 9 0 . aaa ed n e t g e y t n h uey : c n ex. Se Tr n amer a Pr m irI s Co,v Nelon.11 Nev. ,8 8 P.d 31 ( ev : ot t e a s 8 i e e n. c .s 0 951 7 2 4 N . 1994)satng t a a GI holig a s r t har iss f raI ex enses conseguentalt t e ! (t i h t A dn uey m e o I p i ch
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1 is anc o ab n i anenor e bl a r emen l s e as i s Co. t eW es v. bs nTi su e f o ds f c a e ge t' e lo n . of h , t Gi o l e
.

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2 Comn n .n . 1 2 Ne . 1 4 P.d 69 ( ev zot lholigt at su et .a x e r h t a y Ic, 2 v 455, 3 3 8 N . f t dn h a r yh st i t o hg 3 puru i ide nic toncai sun ertepli t r so ag n rlid m ni age menls ' s e t n m f a i l m d ' an e m f e e a n e t re t. s i h y

4 l t eirs on et ACI ' moinf rsu mar jdgmen,h MtGr n Deenda t dono' n h re p s o C S to o m y u tte . a t f ns t '
5. ar ue t atidem niy agr em ent i gener lar unenf r eabl . Rat er as not d,t e M t ghn t e sn ae oc e h, eh .
6 G r ntDef ndant ar ue t att q Gl shoul notbe enf r ed agai stt em becaus i i an a e sg hh A d oc nh e t; 7 adhesi n con r d ,i uncôns i nabl ,and shoul be setasi e underprnci l s ofequiy@nd o ta s co e d d i pe t

8 jsie. ut c
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1 Adhesi n Contacl . o r
Nevada Iw defnes an adhesi n contad as a ' t ndar ied contactf r ofer d t a i o r 'a s dz r om f e o

11 consum er o goods and ser i es essental on a ' k i orl ave i' s, t outafnr i g sf vc il y t et e a t basi wih f dn 1 t e consumera r al tcoppoduniyt bar ai , undersuch condii ns t att e consum er 2h e ii s t o g n and to h h
1 cannotobt i t edesi d pr dud orser ie ex eptby ac ui sci g t t ef r oft e contad . 3 an h r eo vc c q e n o h om h r' '

1 Obse rc an Gvn c lgssv PeDD r 1 1Ne . 05, 0 , P. d1 5 , 260( ev 1 85 . 4 t tis d e oo it . e , O v 1 1 7 693 2 2 9 1 N .9 )
1 Accor i g t t e Nevada Supr m e Cour,t e ' itnd ie f at r ofan adhesi n contad i 5 dn o h e t h ' si v e ue d o rs 1 t att e weakerpady has no choi e ast ist r s. I .Howev r an ' dhesi n con r ctneed 6hh c o t em ' d ' e, ' a o ta 1 no be unen or eabl i if l wihi t e r as nabl exped atons oft e weakeror' dherng' 7 t f c e ftal t n h e o s e i h a i
1 pary and i notundul oppr ssie. I . 8 t s y e v 'd '
1 9 Her ,t e M t G r ntD ef ndant ar ue t att e G l i an adhesi n cont ac because eh .a e sg hh As o rt

20 t ey wer r quied t ent r it i bef r t ey c ul obt i a bond u hi h,i t r ,was a h e e r o e n o t o e h o d an w c n un

21 pr r quii t obt iigt econtad wihDZHC. ( pposiint ACI ' Motonf rSummar e e st o an n h e r t 'O ' to o C S i o y

2 Ju gmen ( 1 6)a 1 ) Mor o er t e Mt Gr nt De en an s s ae t a 'th r i n 2d t # 1 t 0. e v ,h .a f d t t t h t 'l e e s o l
23 evi ence't a t ey ' now i gl cons nt d t t e t r s' t e GI , I . I st ad,accor i g t d 'h t h ' k ny e e o h e m 'of h A d n e dn o
2 t e Mt Gr ntDef ndant 'he onl evi ence est bl hes t att ey si ned't e GI . ( . l 4h .a e s' t yd ai s hh g 'h Adn

25 r spons ,ACI s at s t at t e Mt G r n Def ndant cannot be r l ved of ' on r c ual e e C te h h . at e s ei e ' ta t c
26 obl atons whi h t ey feel as um ed' as a busi ess entt engaged i a busi ess ii g ch ry s ' n iy n n
27

26 1

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1 o l c . n m i a i n i h s u r g i l l t n i l o s s l e e h u e l- i k n fc le t l de m fc to r g t g a d a a ns lo c ta l s e .he p r duc t e s r T 's r s .a d ke p e .pr m i m sr t tAel.l v .. l s. Co.oft e '.es .13u p.j a ,(y. eu e a ir ) o . n ' -h h. t ; y: y y. j
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i e tte t i cg m ii a i n be a s -s r tes unlkei s r r .pr fts ll' r m t epr m i l st e. s n ild o n ln fc îo c u e u e i . i n u e s o i o el fo h e u- h ) n '
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1 ta s ci n.( e l ( 11 )a 4) Mor o erACI n t st a t e Mt Gr n Def nd n sc ul r n a to R py # 7 t . e v , C o e h t h . a t e a t o d

2 ha eobaie te 'equii bon s fom an numberofsuey c mpa is, an . a j s v t n d h ' st r e dr y rt o ne ' d t t u t ' h
'

3 because t e G I wàs a s andàr ied con r ctdoes notm ean t ati coul nothave been h A t dz ta ht d

4 m odii d t m eett e i t ntoft e padi s. I . fe o h ne h ed
' 5 I t i m ater t e Cour fndst att e G I i no an adhesi n contad . The Mt Gr nt n hs t ,h ti h h As t o r .a

6 Def ndant hav notpr vi ed any evi ence t att ey di nothave an opporuni t bar ai e se od d hh d tto gn y
' .

.

7 wih ACI overt e t r soft e agr em entort att ey wer . quied t ent ri t t e G I on t C h em h e .h h e r r o e no h A e 8 a 'ake i or I av i basi .6 Not bl ,Mt Gr nt i a busi ess a ntt and t e M t G r nt ' t t e et s' ' ay . a s n e iy h .a 9 Def ndant conc de t atHal ' ad ob ai ed bonds i t e pas durng hi t n year i t e e s eh l' h tn nh ti se snh

..

1 ee tial sies . ( p o iont ACI ' Mot nf rSu m ar J dgm en ( 11 )a 3) Th 0 lc r bu n s' O p st o C S i o m y u c ' i o t# 6 t . e
.

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1 f ct hatHalonl had ' hi h school 1 at ly 'g a educaton'and t ad neverseenan i dem niyagr em ent' i' h n t e '
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1 does nott r whe GI i t an adhesi n con r ct As a r sul,t e G I cannotbe setasi e 2 unt A no o ta . e th A d 1 bas d on t i ar um en . 3 e hs g t 1 4 15 . I. Unconsci nabiiy I o lt The Mt Gr n Def ndant alo ar ue t att e GI cannotbe enf r ed agai stt em . at e ss g h h A oc nh

1 bec u eiwa un on con bl .( pp stont ACI ' Mo inf r um m ar l d m en ( 11 ) 6 a s t s c s i a e O o i o C S to o s i y u g t# 6
1 at1 ) Ac or igt t eMt Gr n Def nd n s t e Gl i b t pr c dur l ands b t n iel 7 0 . c dn o h . a t e a t,h A s oh o e al y u sa t y v
18 unconsci nabl because i i an adhesi n contad and because ACI r t i ed t e sol o e ts o r C e an h e
1 di cr ton t det r i e w het e r any cl i s shoul be pai undert e bond. I . at 11. l 9 s ei o em n h am d d h d n

20 r sponse, I not st atsi i ri dem niyagr em ent have been r utnel enf r ed i bot e AC C e h m l n a t e s o i y oc n h

21 Nev daandot e j rs iton .( epl ( 11 )a 5) l ad iin, C a gu st a t e Gl i a h r u idci s R y # 7 t . n dto ACI r e h t h A s
22 notan adhesi n con r c and t ati i alo notsubst ntvel unconsci nabl . I t i r gar , o ta t h ts s aiy o e n hs e d

2 ACI sat st a 'a l ou h t e GI do s p ovd br ad c v r g t ACI , het r s o t e 3 C t e h t' l h g h A e r ie o o e a e o C t e m f h It
24 Gl ar notoppr ssie. I , AC I alo s at s t att e rghtt setl cl use not d by t e Mt Ae e v'd ' C s te h h i o t a e e h .
25 Gr n Def ndant i c m m on i i dem niy agr em ent and r utnel enf r ed by cours, at e ss o nn t e s o i y oc t
26 11 17

6The M t Gr ntDef nda t a gu t a t e e t r d i t t e G1 on a t ke i orl a e i ba i .a e n s r e h t h y n ee no h A a t e v t ss

be a s ACI fxe tg a e m e tt t e onl' ysbeor aJ ne20ldea inei pos db)DZHC. c u r C a d le p l n o h m lda f e u b dl m e . ' * *
.'

28 ( p o lo t ACI sMolnfrS mma)Iu-me t(o1 )an0) lld.ell.teMtr ty O p st n o C i to o u r'Ado d1 n1 6 tt1he Asa- sdtHo erGrl . ht CJ.jr qd #îo a t. c' r u. hw N .as ) bi I1 e
.

Dee da t sqet a Haletersgne te r fy n s tt h t l ih i d h d j lnewasl pos d b) DZHC a d 10 ACI . hl r oAqs s c a a s np n doe n tpr Ai e a ) et l d me' n 1 : C o e 'r u h n s e o s o o 'a n. '
e ' z c t a t etnnsoft eGl u'ui na bznega il c b ' C . 'l n e h t h e yd h A od : la e ) ACI
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Nevada l w pr vi est ata cour m ayi val at an unconsci nabl contact rcontact a od h t n ie d o e ro r

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2 ca s . D. .Horon.Ic v Gr en,1 0 Nev 549,5 3,9 , . d 11 9,11 2 ( ev 200 ) lu e. R t n.. e 2 . 5 6P3 5 6 N . 4.
3 ' ener l ,bot pr cedur l subst ntve unconsci nabii m us be pr senti or erf ra ' G al y ho a ànd ai è ly t t e nd o
4 c ur t ex r i e is di cr ton and r f se t enf r e a ,..cl use as unconsci nabl . l . o t o e cs t B e i e u o oc a o e' d '

.

5 ( u tng Bu c v Dit Ct,11 Nev. q oi rh , s. . 8 438,/ 2, P, d 647, ( ev 20 2). A clus i # 49 3 650 N . 0 ) a es
6 ' r cedur l unconsci nabl when a pady lck a m eani gf lopporuni t agr e t t e 'o p al y oe as nu t t o e oh y
7 cl use t r B ei er because .funequalbar ai i g power as i an adhesi n c ntac ,or a em t h o g nn ,n o ort
.

8 because t e cl us and i efed sar notr adi ascerai abl upon a r vi w oft e contad , h ae tf s e el y tn e ee h r' ' 9 I .a 554, P. d at1162.i r cedur lunconsci nabit ofen i volest e use offne prnt dt 49 3 io p a o ly t n v h i i i 10 orcom pl at d,i com pl t orm i l adi g I nguage t atf i t i f r a r asonabl per on ie n c ee se n a h al o n o m e s es
.

11 o t ec n r d u lan ua esc n equ n es'l .ctn Am / iies.nc. W oen , 3U . . f h o ta a I g g ' o s e c . d ( i g ' i A r n l v. l s 51 S l

1 21 , d9( 99 )O' onn rJ, on u rn l.Su s a t e u c n cona it , nt eot er d, 2 9 2 1 5 ( C e , .c c rig ) b t n i n o s i b ly o h h han v i
13 'ocuses on t e one- i edness oft e contactt r s. I . ' f h sd h r em ' d ' 1 4 I t i case,t e Cour fnds t at t e GI i neiherpr c dur l norsubs antvel n hs h ti hh As t o e al y t iy

15 unconsci nabl .As not d i t e f r goi g,t e GI i notan adhesi n c n r ct Mor over o e e n h oe n h A s o o ta . e ,
1 t e Mt Gr nt Def ndant have not ar ued t at t e t r s of t e GI wer not r adi 6h .a e s g h h em h A e el y 17 aBcedai abl upon a r viw oft e contad . Rat er t e M t G r ntDef ndant concede t at ne ee h r h ,h .a e s h

1 t ey si pl di notr ad t e t r s oft e agr em ent However t e Mt G r nt Def ndan s' 8h myd e h em h e . ,h .a e t
1 f j r t r ad t e agr em entdoes not m ak t e t r s oft e agr em ent unconsci nabl . 9 al e o e u h e e h em h e o e?

20 I addion, he GI i notsubst ntvel unconsci nabl . A l ough ACI conc des t att e n tt i As aiy o et h C e hh
21 G 1 pr vi es iwi br ad cover ge,t e M t Gr ntDef ndant have notar ued t att e G l A od t t o h a h .a e s g hh A 22 wasentr l one- i ed.M or over si i rsetl m entcl usesast e onef und i t eG l have ie y sd e ,ml a t e a h o nh A 23 been r peat dl uphel by couds. See Em nlver I s.ofW ausau,749 F. upp.at1100. e ey d o sn s 24 11 Equiy and Justce 1. t i

2 5 Fn l ,h Mt Gr n De end n sar u t a pr cpeso equi andj sie r qur t a ia l t e . a t f a t g e h t i il f t y n y u t e ie h t c 26 t e Gl b s ta ie, ( ppost nt ACI ' Mo in f rSu m ar J d m en ( 1 6)a 11 . h A e e sd O io o C S t o m y u g t # 1 t ) i o
27

'g a 7 Ac or i gt t eNi t Cic i.- pa '' sgnsawrte a r e a ntye e all i bo ndb) c d n o h n h r u t - r)who i at it n g e n e n r l's u ' - ist nns e 'nt oug henet e r a si nolc nsde st elgal ons quelc sofsgni gi. One a i t t e . Ae h h ih r e d t . o i r h e c e l e l n :- r tn
Enzne r Penso Tr s h.Gila l ï 7F. d 4 l.1 1 ( t Ci.l) ') l o e Ae . no ed i t e i es i n u l ' li n . ? 2 5(1 5( 9 h r C8- . d r o 'r as l n h 4 # . f r g i g. he :1 .Gr n:D e el a t ha s Ae a da ' t r ad t e G1 pr o l . i ni g i . o e on l :a f ld n s d e 'r l l o e h A i r c s g n t s '
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1 The Mt G r ntDef ndant not t atsoon aferbegi ni g wor ' alf und hi selenm eshed .a e s eh t nn k ' Io H mf 2 i a chai ofev nt over whih he had no contol f rwhi h be bor no f ul,and whi h n n es c r ,o c e at c

3 utm ael f r ed hi , o t e frttme,t I av a p oed un i ihe . . .The Mt Gr nt l t y oc i m f r h is i o e e rj fns d ' 1 . 1 .a
4 Def ndant f dher st t t at whi t ey ' r i no way sugges i g t atACI has been e su ae h l h de n e a tn h C
.

5 negl entand shoul notr coveras a r sul, he Mt G r ntDef ndant ar Ik w ie notatf ul i g d e e tt .a e s e ie s at 6 f rt e event t athave occured and t e r sulig fnanci lat t athas bef l n t em . I . oh sh r h e tn i af e h al h ' d e ' 7 at12.As a r sul, he Mt Gr ntDef ndant ar ue t att e G 1 be s tasi e. e tt .a e sg hh A e d 8 Alhough t e Cour. cogniest e har shi pl ced ont e Mt Gr ntDef ndant byt e t h tr e zh d pa h .a e sh

9 ev nst a oc u r d du ig t e DZHC prj c ,h Cou t a no s t i ea c ntac ' er l e t h t c re rn h oe t t e r c n t e asd o r ti e y m
10 because . .peror anc becomesmor di culorexpensiet anantci at d byt e padi s. . fm e el t vh ip e h e' '
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.

11 Cion v. As oc,68 A.d 92, ( ..19 6) Asn t d byt e Mt Gr ntDef n an s t e SNJ s . 2 2 r 95 R I 9 . oe h .a e d l,
1 ACI was notatf ul f r any o t e event t atoccured. Rat er t e entr t ofACI ' 2 C a to fh sh r h ,h ie y CS 1 obl aton ar se fom i undedakig on behaloft e Mt G r ntDef ndant .As a r sul, hi 3 ii g ort s n fh .a e s e tt s 1 Coud c nnotBetasi et e agr em entMt G r ntezecut d wi ACI .SeeTr nsam erca,110 4 a dh e .a et h C a i

1 Nev a 9 6, 78P. dat 7 (t tn t a asm i r A en iedt e s r t t af lr c v r o 5 .t 5 8 2 31 sa ig h t i l GI t l h u e y o ule o e y f a t
1 expenses i cured i def ndi g t e ad i n on a bond because 'n t e case ofa sur t sued 6 nrn enh o 'h i ey

17 on a bond, t e sur t gener l has no cul abit what oever and t e entr t of is h ey al y p ly i s , h ie y t

1 obl a insa iesfom i un eda ig on beh lo t e id m ni rand prn i al ior) 8 it g o rs r t d kn s af f h n e t o icp obl r. g
1 9 C O N C L U SI N O

20

For he f r goi g r asons,T I HEREBY ORDERED t atA c l ' M otonf rSum m ar t oe n e IS h cs i o y

21 Judgmen ( 113)i GRANTED. t# s 2 2 Th Clr o t e Cour sh lenerudg enta c r igl. e ek fh t al t j m c odn y
23
24

Dat d t i 10t day ofFebr ar ,2009. e hs h uy

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