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Case 3:08-cv-O0590-RCJ-VPC Document 81 Filed 09 7/2009 of 22

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UNITED STATES DISTW CT COURTDISTRICT OF NEVADA

FEDERAL TRADE COM M ISSION and STATE OF NEVADA,Case No.

Plaintiffs, 3:O8-CV-590-RCJ-W C

STIPIJLATEDCASH TODA X

. .Y LTD..Sa United Kingdom corporation; TI-IE FINAL JUDGM ENT

I'IEATHM IT.I . VILLAGE, LTD., a United Kingdom corporation; ANll ORDER FORLEADS GLOBALS

-INC., a Nevada corporation; W ATERFRONT PERM ANENT

INVESTM ENTS, m C., a Nevada corporation; ACH CASH. m C.: INJUNCTION ANDa Nevada corporation; I'IBS SERVICES, INC.. a Nevada OTHER .

coporation; LOTUS LEADS, m C., a Delaware corporation (now EQUITABLEdissolsped); ROVINGE INTERNATIONAL, fNC., a Nevada RELIE wl?n AS T6 Alafw

ratlon; FN ST4LEADS, INC a Delaware corporation (now CORPORATEcorpodissolved); and THE S HOYDINGS, LTD., a Guernsey DEFENDANTS,comoration, each also doing business as Cash Today, Route 66 AARONFunding, Global Financial Services International, Ltd., Interim GERSHFIELD, ANllCash, Ltd., and BIG-INT, Ltd.; AARON GERSITRELD, IVORindividually and as a clirector and officer of Cash Today, Ltd., Tbe GEWSHFIELDHeathmill Village, Ltd., and The Hanis Holdings, Ltd.; IVORGERSHFIELD, individually and as an officer and/or director ofCash Today, Ltd. and The Hanis Holdings, Ltd., and .11M HANNIS,individually and as an ofticer and director of taeads Global. In o.W aterfront Invcstments, In wc ACH Cash, Inc.. HBS Services, Inc.,d Rovinge International, Inc.,an

Defendants.

Perm. lrjunct. M To A!l Comorztt Defendtmts crd Gufsllfiulds - Page l

FEDERAL TItADB COMMISSIONq $.$ Srcolïd Ava. Su. :!891Xtauk, Wxlèlgloll 9 B11 4

(206) 3J 0.635 n

Case 3:08-cv-00590-RCJ-VPC Document 84 Filed 10/27/2009 Page 1 of 23

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Case 3:08-cv-00590-RCJ-VPC Document 81

UNITED STATES DISTRICT COURT DISTRICT OF NEVADA

FEDERAL TRADE COMMISSION and STATE OF NEVADA.

Plaintiffs.

v.

CASH TODAY. LTD .• a United Kingdom corporation; THE HEATHMILL VILLAGE. LTD., a United Kingdom corporation; LEADS GLOBAL, INC., a Nevada corporation; WATERFRONT INVESTMENTS, INC., a Nevada corporation; ACH CASH, INC., n Nevada corporation; HBS SERVICES, INC., a Nevada corporation; LOTUS LEADS, INC., a Delaware corporation [now disSL11 v"d]; ROVINGE INTERNATIONAL, INC., a Nevada corporatIOn; FIRST4LEADS, INC., a Delaware corporation [now dissolved]; and THE HARRIS HOLDINGS, LTD., a Guernsey corporation, each also doing business as Cash Today, Route 66 Funding, Global Financial Services International, Ltd., Interim Cash, Ltd., and BIG-INT, Ltd.; AARON GERSHFIELD, individually and as a director and officer of Cash Today, Ltd., The Heathmill Village, Ltd., and The Harris Holdings, Ltd.; IVOR GERSHFIELD, individually and as an officer and/or director of Cash Today, Ltd. and The Harris Holdings, Ltd., and JIM HARRIS, indi vidually and as an officer and director of Leads Global, Inc., Waterfront Investments, Inc., ACH Cash, Inc., HBS Services, Inc., and Rovinge International, Inc.,

Defendants.

Perm. Injunct. As To All Corporale Defendants and Gershfields - Page 1

Case No. 3:08-CV-590-RCJVPC

STIPULATED FINAL JUDGMENT AND ORDER FOR PERMANENT INJUNCTION AND OTHER EQUITABLE. RELIEF AS TO ALL CORPORATE DEFENDANTS, AARON GERSHFIELD, AND IVOR GERSHFIELD

FEDEItAl. TRADE COMMISSION 91!i S~nlU.l Ave., S~. 21196 Sc~I1\1!, WtlShilllllOll <JIII7.f

(106) l:!O-6350

Case 3:O8-cv-O0590-RCJ-VPC Document 81 Filed 09/17/2009 of 22

1 'This matter comes before the Court on the stipulation of Plaintiffs, Federz Trade

2Commission (ucommission'' or '$FI'C''), and the State of Nevada (çtNevada''), and Defendants

3Cash Today, Ltd., The Heathm ill Villagez Ltd., The Hanis Holdings, Ltd., Aaron Gershfield, Ivor

4 'Gershfield (hereafter :W on-U.S. Defendants''l', Leads Global, Inc., W aterfront Investments, lnc.,

5ACH Cash, lnc., I'IBS Services, Inc., Lotus Leads, Inc. (now dissolvedq, Rovinge International,

6Inc.. and First4t-eads. Inc. gnow dissolvedl (hereafter ttU.S. Defendants'').

7On November 6, 2008, Plaintiffs jointly filed a Complaint for Injunctive and Other

8Enuitable Relief t'Ecomolaint''l Dursuant to Section 131) of the Federal Trade Commission Act

9 * - * - * - 'I'<FI'C Act''), 15 U.S.C. â 53(b), the Truth in Lending Act (ttTILA''), 15 U.S.C. jj 1601-1666j,

10and Chapter 598 of the Nevada Revised Statutes, charging that Defendants Cash Today, Ltd., The

1 1Heathmill Village. Ltd., Leads Global, Inc., W aterfront Investments. Inc., ACH Cash. Inc., H BS

12Selwices. lnc., Lotus Leads, lnc-, Rovinge International lnc., Firstzœ eads Inc., The Hanis' &

13Holdings, Ltd., Aaron Gershfield, lvor Gershfizld, and Jim Harris engaged in violations of

14Section 5 of the FI'C Act, 15 U.S.C. j 45& TILA, 15 U.S.C. jj 1601-1666j, and its implementing

15 'Regulation Z, i2 C.F.R. Part 226, and Chapter 598 of the Nevada Revised Statutes, in connection

1 6 'with their exttnsion and collection C)lr payday loans to'c'onstlm ers in the United States. On

l 7January 6, 2009, the Court entered a stipulated prelimina:'y injunction against the U.S. comorate

l 8Defendants and, on January 12, 2009, the Court entered a stipulated preliminary injunction

19against Defendant Jim Hanis.

20Now Plaintif'fs and Defendants Cash Today, Ltd., The Heathmill Village, Ltd., Leads

2 lGlobal, lnc., W aterfront Investmertts, Inc-, ACH Cash, Inc.. HBS Services, Inc-, Lotus Leads, Inc.

22gnow dissolvcd), Rovinge International, Inc., Firstzmeads, lnc. gnow dissolvedq, The Hanis

23Holdings, Ltd., Aaron Gershticld, and Ivor Gershfield (hereafter, collectively, t'Defendants'')

24negotiating through their respective counsel, have agreed to settlement of this action and consent

25to entry of this Stipulated Final Judgment and Order for Permanent Injunction (''Order'') without

26a tHZLI or adjudication of any issue of fact or law, and entry of this Order shall constitute a full,

27complete, and final settlement of ?111 matters in dispute arising from the Complaint in this action

28to the date of entry of this Order. The parties further agree that cntry of this Order in the docket

Perm. Injunct. As To Al1 Corporate Dcfcndants and Gershfitlds - Page 2


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This matter comes before the Court on the stipulation of Plaintiffs, Federiu Trade

Commission ("Commission" or "FTC"), and the State of Nevada ("Nevada"), and Defendants

Cash Today, Ltd., The Heathmill Village, Ltd., The Hams Holdings, Ltd., Aaron Gershfield, Ivor

Gershfield (hereafter "Non-U.S. Defendants"); Leads Global, Inc., Waterfront Investments, Inc.,

ACH Cash, Inc., HBS Services, Inc., Lotus Leads, Inc. [now dissolved], Rovinge International, 6

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Inc., and First4Leads, Inc. [now dissolved] (hereafter "U.S. Defendants").

On November 6, 2008, Plaintiffs jointly filed a Complaint for Injunctive and Other

Equitable Relief ("Complaint") pursuant to Section l3(b) of the Federal Trade Commission Act 9

("FTC Act"), 15 U.S.c. § 53(b), the Truth in Lending Act ("TILA"), 15 U.S.c. §§ 1601-1666j, 10

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and Chapter 598 of the Nevada Revised Statutes, charging that Defendants Cash Today, Ltd., The

Heathmill Village, Ltd., Leads Global, Inc., Waterfront Investments, Inc., ACH Cash, Inc., HBS

Services, Inc., Lotus Leads, Inc., Rovinge International, Inc., First4Leads, Inc., The Hams

Holdings, Ltd., Aaron Gershfield, Ivor GershfieJd, and Jim Hams engaged in violations of

Section 5 of the FTC Act, 15 U.S.C. § 45, TILA, 15 U.S.C. §§ 1601-1666j, and its implementing 15

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Regulation Z, 12 C.F.R. Part 226, and Chapter 598 of the Nevada Revised Statutes, in connection

with their extension and collection of payday loans to· consumers in the United States. On

January 6, 2009, the Court entered a stipulated preliminary injunction against the U.S. corporate

Defendants and, on January 12, 2009, the Court entered a stipulated preliminary injunction

against Defendant Jim Hams.

Now Plaintiffs and Defendants Cash Today, Ltd., The Heathraill Village, Ltd., Leads

Global, Inc., Waterfront Investments, Inc., ACH Cash, Inc., HBS Services, Inc., Lotus Leads, Inc.

[now dissolved], Rovinge International, Inc., First4Leads, Inc. [now dissolved], The Hams

Holdings, Ltd., Aaron Gershfield, and Ivor Gershfield (hereafter, collectively, "Defendants"),

negotiating through their respective counsel, have agreed to settlement of this action and consent

to entry of this Stipulated Final Judgment and Order for Permanent Injunction ("Order") without

a trial or adjudication of any issue of fact or law, and entry of this Order shall constitute a full,

complete, and final settlement of all matters in dispute arising from the Complaint in this action

to the date of entry of this Order. The parties further agree that entry of this Order in the docket

Perm. Injunct. As To All Corporate Defendants and Gershfields - Page 2

FEDERAL TRADE COMMISSION 91S Sel'OuLl t'v~ .• 511.1896 Setlltl~, W""~hinJ:[,,n 98174

(206) 220·6350

Case 3:08-cv-O0590-RCJ-VPC Docum ent 81 Filed 09/17/2009 of 22

1.by the Court will constitute notice to them of the terms and conditions of the Order

. Plaintiffs2

and Defkndants, having requested the Court to enter this Order:3

IT IS ORDERED, ADJUDGED, Ae DECREED as follows:4

FINDINGS OF FACT51. This Cou!'t has jurisdiction over the subject matter of this case and the parties hereto. The

6Non-U.S. Defendants do not contestjurisdiction, but only insofar as the tinding of julisdiction is

7applicable to this matter and the enforcement of this Order.

82. The U.S. Defendants were properly served with the Complaint and Summ ons in this

9matter. The Non-U.S. Defendants do not contest service of process in this matter.

103. The Complaint states a claim upon which relief m ay be granted against Defendants under

1 1Sections 5(a) and 13(b) of the FFC Act, 15 U.S.C. jj 45(a) and 53(b)., the Truth ln Lending Act

12(''T1LA''), 15 U.S.C. sj 1601-1666j, as aznended, and its implementing Regulation Z, 12 C.F.R.13

j 226, as amended', and the deceptive trade provisions of the Nevada Revised Statutes, Chapter14

598.15

4. Venue in this district is proper under 28 U .S.C. â1391(b), (c), and (d) and 15 U.S.C.16

j 53(b). The Non-U.S. Defendants do not contest that venue is proper in this case.17

5. Defendants are 'kreditors'' who extend t'closed-end credit'' to consumers, as those terms

18are defined respectively in TILA and Regulation Z,12 C.ILR . 'jâ 226.2(a)(10)y (a)(17), and19

(a)(20).20

6. The activities of Defendants are 'tîn or affecting commerce,'' as ttcorrtmerce'' is defined in2 1

Section 4 of the FI'C Act, 15 U.S.C. j 44.22

7. Defendants have read and fully understand the Complaint against them and the provisions23

of this Order. and they enter into this Order f'reely and without coercion, and acknowledge that

24they understand the provisions of this Order and are preparcd to abide by its terms

.

258. This Order is for settlement pup oses only, and does not constitute and shall not be

26interpreted to constitute an admission by Defendants or a finding that the 1aw has been violated as

27alleged in the Complaint, or that the facts alleged in the Complaint, other than thejurisdictional28facts, aro true.

Ptrm. Injunct. As To Ml Corporate Dufendants and Gtrshfields - Pcge 3

FEDERAL TRADE COMMISSIIDN9l5 Secutl; Ake.. S$s. 2:95seattlw. WeuggloB 98174

(20) 220.635:


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by the Court will constitute notice to them of the terms and conditions of the Order. Plaintiffs

and Defendants, having requested the Court to enter this Order:

IT IS ORDERED, ADJUDGED, AND DECREED as follows:

FINDINGS OF FACT

1. This Court has jurisdiction over the subject matter of this case and the parties hereto. The

Non-U.S. Defendants do not contestjUIisdiction, but only insofar as the finding of jurisdiction is

applicable to this matter and the enforcement of this Order.

2. The U.S. Defendants were properly served with the Complaint and Summons in this

matter. The Non-U.S. Defendants do not contest service of process in this matter.

3. The Complaint states a claim upon which relief may be granted against Defendants under

Sections 5(a) and I3(b) of the FTC Act, 15 U.S.C. §§ 45(a) and 53(b); the Truth In Lending Act

('lILA"), 15 U.S.C. §§ 160I-1666j, as amended, and its implementing Regulation Z, 12 C.F.R.

§ 226, as amended; and the deceptive trade provisions of the Nevada Revised Statutes, Chapter

598.

4. Venue in this district is proper under 28 U.S.C. §1391(b), (c), and (d) and 15 U.S.C.

§ 53(b). The Non-U.S. Defendants do not contest that venue is proper in this case.

5. Defendants are "creditors" who extend "closed-end credit" to consumers, as those terms

are defined respectively in TILA and Regulation Z,12 C.F.R. §§ 226.2(a)(1O), (a)(I7), and

(a)(20).

6. The activities of Defendants are "in or affecting commerce," as "commerce" is defined in

Section 4 of the FTC Act, 15 U.S.C. § 44.

7. Defendants have read and fully understand the Complaint against them and the provisions

of this Order, and they enter into this Order freely and without coercion, and acknowledge that

they understand the provisions of this Order and are prepared to abide by its terms.

8. This Order is for settlement purposes only, and does not constitute and shall not be

interpreted to constitute an admission by Defendants or a finding that the law has been violated as

alleged in the Complaint, or that the facts alleged in the Complaint, other than the jurisdictional

facts, are true.

Penn. Injuncl. As To All Corporate Defendants and GershfieJds - Page 3

FEDI!RAL TRADE COMMISSION 915 S..aUl<i A\t:., 5u.1896 Sentll", WlIShillClOn ?S17-1

(106)220-6350

Case 3:08-cv-0059O-RCJ-VPC Docum ent 81 Filed 09/17/2009 of 22

l 9. Defendants waive all rights to seelt appellate rôview or otherwise challenge or contest the

2 validity of this Order.

3 10. Defendants waive any claim that they may hold against the FI'C and Nevada, and their

4 employees, rtpresentatives, or agents.

5 1 1. Dcfendants waive any claim that they may hold under the Equal Access to Justice Act, 28

6 U.S.C. j 2412, as c??lc?7#e# by Pub. L. 104-121, 110 Stat. 847, 863-64 (1996) concerning the

7 prosecution of tlzis actiou to the date of this Order, and any rights to attorneys' fees that m ay arise

8 under said provision of law.

9 12. A1l parties shall bear their own costs and attorneys' fees.

10 13. This Order is remedial in nature and shall not be construed as the paym ent of a fine,

11 penalty, punitive assessment, or forfeiture.

12 14. This Order is in addition to, and not in lieu of, any other civil or criminal remedies that

13 m ay be provided by law.

14 15. Entry of this Order is in the public interest.

15 DEFINITIONS

16 For purposes of this Order, the following définitions shall apply:

17 1. ffclosed-end credit'' means consumer credit other than open-end credit, and Llopen-end

18 credit'' means çxconsumer credit extended by a creditor under a plan in which: (i) the creditor

19 reasonably contemplates repeated transactions; (ii) the creditor may impose a finance charge from

20 time to time on an outstanding unpaid balance; and (iii) the amount of credit that may be

21 extended to tLe consumwr during the term of the plan (up to any limit set by the creditor) is

22 generally m ade availablc to the extent that any outstanding balance is repaid.'' 12 C.F.R.

23 jj 226.2(a)(10) and (a)(20).

24 2. ttcollection of debts'' means any activity the principal purpose of which is to collect or

25 attempt to collect, directly or indirectlyv debts owed or due or asserted to be owed or due.

26 3. idconsumer'' means an actual or potential purchaser, customer, or borrower.

27 4. ççcorporate Defendants'' m eans Cash Today, Ltd-, The Heathm ill Village, Ltd., Leads

28 Global, Inc., W aterfront Investments, Inc., ACH Cash, Inc-, I'IBS Services, Inc., Lotus Leadsy

Pefm. lojurtct. As To All Corporate Dufznöatltq lnd Gershfielös - Page 4

FEDERAL 'FRADB'

COMMISSION9l5 Secontl IhN4.I Sn. 786)6Sratîlr Wlkqiéqloq 71174

(2 86) 220.:350



1 9. Defendants waive all rights to seek appellate review or otherwise challenge or contest the

2 validity of this Order.

3 10. Defendants waive any claim that they may hold against the FTC and Nevada, and their

4 employees, representatives, or agents.

5 11. Defendants waive any claim that they may hold under the Equal Access to Justice Act, 28

6 U.S.C. § 2412, as amended by Pub. L. 104-121, 110 Stat. 847, 863-64 (1996) concerning the

7 prosecution of this action to the date of this Order, and any rights to attorneys' fees that may arise

8 under said provision of law.

9 12. All parties shall bear their own costs and attorneys' fees.

10 13. This Order is remedial in nature and shall not be construed as the payment of a fine,

11 penalty, punitive assessment, or forfeiture.

12 14. This Order is in addition to, and not in lieu of, any other civil or criminal remedies that

13 may be provided by law.

14 15.

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17 1.

Entry of this Order is in the public interest.

DEFINITIONS

For purposes of this Order, the following definitions shall apply:

"Closed-end credit" means consumer credit other than open-end credit, and "open-end

18 credit" means "consumer credit extended by a creditor under a plan in which: (i) the creditor

19 reasonably contemplates repeated transactions; (ii) the creditor may impose a finance charge from

20 time to time on an outstanding unpaid balance; and (iii) the amount of credit that may be

21 extended to the consumer during the term of the plan (up to any limit set by the creditor) is

22 generally made available to the extent that any outstanding balance is repaid." 12 C.P.R.

23 §§ 226.2(a)(10) and (a)(20).

24 2. "Collection of debts" means any activity the principal purpose of which is to collect or

25 attempt to collect, directly or indirectly, debts owed or due or asserted to be owed or due.

26 3. "Consumer" means an actual or potential purchaser, customer, or borrower.

27 4. "Corporate Defendant~" means Cash Today, Ltd., The Heathmill Village, Ltd., Leads

28 Global, Inc., Waterfront Investments, Inc., ACH Cash, Inc., HBS Services, Inc., Lotus Leads,

Perm. Injunct. As To All Corporale Defendants and Gershfields - Page 4

FEDEIt.\L TRADE COMMISSION 915 5eaJnl! A~l:" Suo 28% S~UIlJe, WlLShiullhHl !)~174

(2116) 220.G)SO

Case 3:08-cv-O0590-RCJ-VPC Document 81 Filed 09/1 7/2009 of 22

t lnc., Rovinge International, Inc., Firstzllaeads, Inc,, and The Hards Holdings, Ltd., and their

2 successors and assigns.

3 5. dlclearly and Conspicuously'' means:

4 a. if presented in writing, the information shall be in a type size and location

5 sufficient for an ordinary consumer to read and comprchend it, and shall be

6 disclosed in a m anner that would be easily recognizable and understandable in

1 language and synt:tx to an ordinary consumer. If the information is contained in a

s multi-page print docum ent, the disclosure shall appear on the first page;

9 b. if presented orally, the irtformation shall be disclosed in a volum e, cadencev and

10 syntitx sufficient for an ordina:y consumer to hear and comprehend; and

11 c. nothing contrary to any inform ation disclosed shall be imparted at or near the time

12 of disclosure. Further, a sktbsequent disclosure m ade orally or în writing only

13 lirnits or qualifies a prior disclosure and cannot cure a false claim .

14 6. fscreditor'' means a person who regularly sxtends consumer credit that is subject to a

15 finance charge or is payable by writte,n agreement in more than four installments (not including a

16 down payment). and to whom the obligation is initially payable, either on the face of the note orII

17 contract, or by agreement when there is no contract. 12 C.F.R. j226.2 (a)(17).

is 7. ço efendants'' m eans tbt Corporate Defendants and Individual Defendants, individually,

19 collectively: or in any combination.

20 8. tsllebt'' means any obligation or alleged obligation of a consumer to pay m oney arising

21 out of a transaction in which the money, property, or services that are the subject of the

22 transaction are prim arily for personal, family, or houschold purposes, whether or not such

23 obligation has been reduced to judgment.

24 9. E* ocumenf' is synonymous in meaning and equal in scope to the usage of the tenn in

25 Federal Rule of Civil Procedure 34(a), and includes wlitings, drawings, graphs, charts,

26 photop aphs, audio and video recordings, computer records, and other data com pilations from

27 which information can b; obtained and translated, if necessary, through detection devices into

28 reasonably usable fonn. A (11-a.f4 or non-identic:tl copy is a separate document within the m eaning

of the term.

Perm. Injunct. M To Al! Coporafe Defendants and Gershfielös - Page 5

ICEDBRAL TRZNDE COMMISSION9 15 seulntl AM<. Su 289652 zI&l1!e Tl/llxlTi n gltlll B : l 7 .$

(206) 220.*550



1 Inc., Rovinge International, Inc., First4Leads, Inc., and The Harris Holdings, Ltd., and their

2 successors and assigns.

3 5. "Clearly and Conspicuously" means:

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a.

b.

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if presented in writing, the information shall be in a type size and location

sufficient for an ordinary consumer to read and comprehend it, and shall be

disclosed in a manner that would be easily recognizable and understandable in

language and syntax to an ordinary consumer. If the information is contained in a

multi-page print document, the disclosure shall appear on the first page;

if presented orally, the information shall be disclosed in a volume, cadence, and

syntax sufficient for an ordinary consumer to hear and comprehend; and

nothing contrary to any information disclosed shall be imparted at or near the time

of disclosure. Further, a subsequent disclosure made orally or in writing only

limits or qualifies a prior disclosure and cannot cure a false claim.

"Creditor" means a person who regularly extends consumer credit that is subject to a

15 finance charge or is payable by written agreement in more than four installments (not including a

16 I down payment), and to whom the obligation is initially payable, either on the face of the note or I

17 contract, or by agreement when there is no contract. 12 C.P.R. §226.2 (a)(17).

18 7. ''Defendants'' means the Corporate Defendants and Individual Defendants, individually,

19 collectively, or in any combination.

20 8. "Debt" means any obligation or alleged obligation of a consumer to pay money arising

21 out of a transaction in which the money, property, or services that are the subject of the

22 transaction are primarily for personal, family, or household purposes, whether or not such

23 obligation has been reduced to judgment.

24 9. ''Document'' is synonymous in meaning and equal in scope to the usage of the term in

25 Ftdcral Rule of Civil Procedure 34(a), and includes writings, drawings, graphs, charts,

26 photographs, audio and video recordings, computer records, and other data compilations from

27 which information can be obtained and translated, if necessary, through detection devices into

28 reasonably usable form. A draft or non-identical copy is a separate document within the meaning

of the term.

Perm. Injunct. As To All Corp orale Defendants and Gershfields - Page 5

FEDERAL TRADE COMMISSION 915 S~1."1lIl A~~ .• Su, 2RCJ6 SO<U/J(c. Wlul1inl!wn 98 17.1

(206) 220·6..150

Case 3:08-cv-00590-RCJ-VPC Docum ent 81 Filed 09/17/2009 of 22

1 10. Gllndividual Defendants'' means Aaron Gershtield, lvor Gershfield, and each of them , by

2 whatever names each m ight be known.

3 l 1. lTerson'' means any individual, p-otzp, unincorporated association, limited or general

4 paltnership, corporation, or other business cntity.

5 12. ç'Regulation r' means the regulation the Federal Reserve Board ($'FRB'') promulgated to

6 implement TILA, 12 C.F.R. Part 226, as currently promulgated or as it m ay hereafter be

7 amended. The term also includes the IRRB Official Staff Cornmontary on Regulation Z, 12 C.F.R.

8 P:A 226, Supp. 1, as currently promulgated or as it m ay hereafter be amended. The terms

9 ttannual percentage rate,'' ttconsumer credita'' and 'tfinance charge'' are detined as set forth in

10 Sections 226.2, 226.4, and 225.22 of Regulation Z, 12 C.F.R. jj 226.2, 226.4, and 226.22.

11 13. f<rrhird Part-y'' means any person or entity that is not a consum er including, but not

12 limited to, any parent of a non-minor consumer, or any child, relative, neighbor. ceworker, or

13 employer of a consumer.

14 ORDER

15 1. Prohibition Against Deceptive Collcction Practicea

16 IT IS THEREFORE ORDERED that, in connedtion with the collection of a debt from

17 any consumer, Defendants, and their ofiicers. agents, servants, employees, and attonleys, and a11

18 other persons in active concert or participation with them who receive actual notice of this Order

19 by personal service or otherwise, whether acting directly or through any corporation, subsidiary,

20 division or other (levice are hereby permanently restrained and enjoined from making any

21 misrepresentation to any consumer or third party in violation of Section 5(a) of the FT'C Act,

22 including but not lirnited to misrepresenting that:

23 A. Consumers can be arrested or imprisoned for failing to pay a debt to the

24 Defendants;

25 B. Consumers have a legal obligation to pay the Defendants the full am ount

26 the Defendants claim they are owed; and

27 C. lf consumers do not pay the Defendants, the Defendants will or can take

28 fonnal Iegal acdon against consumers, including but not limited to, filing suit,

seizing or attaching property, or garnishing wages.

Penn. lnjunct. As To All Corpurute Defendants and Gershfietds - Page (i



1 10. "Individual Defendants" means Aaron Gershfield, Ivor Gershfield, and each of them, by

2 whatever names each might be known.

3 11. "Person" means any individual, group, unincorporated association,limited or general

4 partnership, corporation, or other business entity.

5 12. "Regulation Z" means the regulation the Federal Reserve Board ("FRB") promulgated to

6 implement TILA, 12 C.F.R. Part 226, as currently promulgated or as it may hereafter be

7 amended. The term also includes the FRB Official Staff Commentary on Regulation Z, 12 C.F.R.

8 Part 226, Supp. I, as currently promulgated or as it may hereafter be amended. The terms

9 "annual percentage rate," "consumer credit," and "finance charge" are defined as set forth in

10 Sections 226.2, 226.4, and 226.22 of Regulation Z, 12 C.F.R. §§ 226.2, 226.4, and 226.22.

11 13. "Third Party" means any person or entity that is not a consumer including, but not

12 limited to, any parent of a non-minor consumer, or any child, relative, neighbor, coworker, or

13 employer of a consumer.

14

15 1.

ORDER

Prohibition Against Deceptive Collection Practices

16 IT IS THEREFORE ORDERED that, in connection with the collection of a debt from

17 any consumer, Defendants, and their officers, agents, servants, employees, and attomeys, and all

18 other persons in active concert or participation with them who receive actual notice of this Order

19 by personal service or otherwise, whether acting directly or through any corporation, subsidiary,

20 diVision, or other device, are hereby permanently restrained and enjoined from making any

21 misrepresentation to any consumer or third party in violation of Section 5(a) of the FTC Act,

22 including but not limited to misrepresenting that:

23

24

25

26

27

28

A. Consumers can be arrested or imprisoned for failing to pay a debt to the

Defendants;

B. Consumers have a legal obligation to pay the Defendants the full amount

the Defendants claim they are owed; and

C. If consumers do not pay the Defendants, the Defendants will or can take

formal legal action against consumers, including but not limited to, filing suit,

seizing or attaching property, or gamishing wages.

Penn. Injunct. As To All Corporule Defendants and Gershfields - Page 6

FEDERAL TRADECOMr.llSSJON 915 S~rond Me., Suo ~a96 Sl:lllll~, Wiullinlllnn !lgl7-1

(206) 1l0-6350

Case 3:O8-cv-O059O-RCJ-VPC Document 81 Filed 09/17/2009 of 22

1 l1. Prohibition Against Unfair Collection Practices

2 IT IS FURTHER ORDERED that in connection with the collection of a debt from any

3 consumer, Dcfendants, and their officers, agents, servants, employees, and atlorneys, and all other

4 persons in active concert or participation with thern who receive actual notice of this Order by

5 personal servico or othenvise, whether acting directly or tbrough any corporation, subsidiary,

6 division, or other device, are hereby pennanently restrained and enjoined from engaging in any

7 unfair act or practice in violation of Section 5(a) of the FI'C Act. including btzt not limited to:

8 A. Continuously and repeatedly calling consum ers and third parties at

9 consumers' places of employment,'

10 B. Using obscene, profane, threatcning, or othenvise abusive languagc

11 towards consumers and third parties; and

12 Disclosing the existence of consum ers' purported debts to coworkers,

13 employers, and other third parties.

14 IH. Prohibition Against Violations of the Truth In Lending Act and Regulation Z

15 IT IS Ftqrf Hlirlt ORDERED that Defendants, and their officers, agents, servanîs,

16 employees, and attorneys. ancl a11 other persocs in active concert or participation with them who

17 rcceive actual notice of this Order by personal service or othem ise, whether acting directly or

18 through any cofporation, subsidiary, division, or other device, are hereby permanently restrained

19 and enjoined from:

20 A. In the course of extending closed-end credit to consum ers. failing to make

21 the required TILA disclosures, clearly and conspicuotlsly in writing, in a form that

22 consumers can keep. before consummating a consumer credit transaction,

23 including failing to disclose the amount t'inanced, itemization of the am ount

24 financed: the finance charge, the annual percentage rate. the payment schedule, the

25 total of payments, and any latc parfment fegs, in violaticm of Sections 12l and 128

26 of TILA , 15 U.S.C. jj 1631 and 1638, as amended, and Scctions 226.17(a)(1), (b)

27 and 226.18 (b)-(e), (g)-(h), and (1) of Regulation Z, 12 C.F.R.jS 226.17(a)(1), (b)

28 and 226. 18 (b)-(e), (g)-(h), and (1), as amended; and

Perm. Injulwt. As To A1: Corporklte Defendants znd Gershfields - Pue 7



1 II. Prohibition Against Unfair Collection Practices

2 IT IS FURTHER ORDERED that in connection with the collection of a debt from any

3 consumer, Defendants, and their officers, agents, servants, employees, and attorneys, and all other

4 persons in active concert or participation with them who receive actual notice of this Order by

5 personal service or otherwise, whether acting directly or through any corporation, subsidiary,

6 division, or other device, are hereby permanently restrained and enjoined from engaging in any

7 unfair act or practice in violation of Section Sea) of the FTC Act, including but not limited to:

8

9

10

11

12

13

A. Continuously and repeatedly calling consumers and third parties at

consumers' places of employment;

B. Using obscene, profane, threatening, or otherwise abusive language

towards consumers and third parties; and

C. Disclosing the existence of consumers' purported debts to coworkers,

employers, and other third parties.

14 III. Prohibition Against Violations of the Truth In Lending Act and Regulation Z

15 IT IS FURTHER ORDERED that Defendants, and their officers, agents, servants,

16 employees,and attorneys, and all other persol'.s in active concert or participation with them who

17 receive actual notice of this Order by personal service or otherwise, whether acting directly or

18 through any corporation, subsidiary, division, or other device, are hereby permanently restrained

19 and enjoined from:

20

21

22

23

24

25

26

27

28

A. In the course of extending closed-end credit to consumers, failing to make

the required TILA disclosures, clearly and conspicuously in writing, in a form that

consumers can keep, before consummating a consumer credit transaction,

including failing to disclose the amount financed, itemization of the amount

financed, the finance charge, the annual percentage rate, the payment schedule, the

total of payments, and any latc payment fees, in violation of Sections 121 and 128

of TIL A, 15 U.S.C. §§ 1631 and 1638, as amended, and Sections 226.l7(a)(1), (b)

and 226.18 (b)-(e), (g)-(h), and (I) of Regulation Z, 12 C.P.R.§§ 226. 17(a)(l), (b)

and 226.18 (b)-(e), (g)-(h), and (I), as amended; and


FEDERAL TRADE-COMMISSION 915 S~';lJnd ,,\'~ .• s". :11196 S"UIIJ~. W,uhulgton 911174

(:106) :!:!O·6350

Case 3:O8-cv-0O59O-RCJ-VPC Document 81 Filed 09/17/2009 of 22

1 B. Failing in any other manner to meet the requirements of TIA A, 15 U.S.C.

2 jj 1601-1666j, as amended, and its implementing Regulation Z, 12 C.F.R. j 226.3 as amended, and the Regulation Z Com mentary, 12 C.F.R. ë 226,'Supp. 1, as4 am ended.

5 W . Prohibition Against Violations of Nevada State Laws

6 IT IS FURTHER ORDERED that Defendants, and their officers, agents, selwants:

7 employees, and attorneys, and a11 other persons in active concert or participation with them who

8 receive actual notice of this Order by personal service or'othenvise whether acting directly or

9 through any corporation. subsidiary, division, or other device, are hereby perm anently restrained

10 and enjoined from violating any provision of Chapter 598 of the Nevada Revised Statutes and, ia

li particular, when conducting business from the State of Nevada or when engaging in tbe sale of

12 goods or services to Nlvada residents, permanerttly restrained aud enjoined from f'ailing to:13 A. Obtain a11 required state

, county or city licenses for doing business in

14 Nevada, irk compliance with NRS 598.0923(1))

15 B. Provide notice and disclosure of a1l material facts, in com pliance with

16 I'IRS 598.0923(2)', and

17 Comply with a11 state and federal statutes and regulations relating to the

1S sale of goods or sra ices, in compliance with NRS 598.0923(3).

19 V. Additional Disclosures and Other Requirements

20 IT IS FIJRTHER ORDERED that Defendants, and their officers, agents, servants,

21 employees. and attolmeys. and a11 other perscms in active concert or participation wit.h them who

22 receive actual notice of this Order by personal Service or otherwise, whether acting directly or

23 throtzgh any com oration, subsidiary, division, or other device. are hereby perm anently restrained

24 and enjoined from failing to:

25 A , In the course of extending credit to consumeTs, disclose, clearly and

26 conspicuously in writing, in a form that consumers can keep, and before

27 consummating a consumer credit transaction, the following:

28 The material terms of the transaction, including the disclosures

required by Section III herein, the interest rate. and a repayment schedule

Purm. Injunct. As To Xll Comorate Detkrdlmts and Gershf-ields - Pcgo S


1

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5


IV.

B. Fruling in any other manner to meet the requirements of TjLA, 15 U.S.C.

§§ 1601-1666j, as amended, and its implementing Regulation Z, 12 C.F.R. § 226,

as amended, and the Regulation Z Commentary, 12 C.F.R. § 226,Supp. 1, as

amended.

Prohibition Against Violations of Nevada State Laws


7 employees, and attorneys, and all other persons in active concert or participation with them who

8 receive actual notice of this Order by personal service orotherwise, whether acting directly or


10 and enjoined from violating any provision of Chapter 598 of the Nevada Revised Statutes and, in

11 particular, when conducting business from the State of Nevada or when engaging in the sale of

12 goods or services to Nevada residents, permanently restrained and enjoined from failing to:

13

14

15

16

17

18

19 V.

A. Obtain all required state, county or city licenses for doing business in

Nevada, in compliance with NRS 598.0923(1);

B. Provide notice and disclosure of all material facts, in compliance with

NRS 598.0923(2); and

C. Comply with all state and federal statutes and regulations relating to the

sale of goods or services, in compliance with NRS 598.0923(3).

Additional Disclosures and Other Requirements





24 and enjoined from fruling to:

26

27

28

A. In the course of extending credit to consumers, disclose, clearly and

conspicuously in writing, in a form that consumers can keep, and before

consummating a consumer credit transaction, the following:

I. The material terms of the transaction, including the disclosures

required by Section ill herein, the interest rate, and a repayment schedule

Penn. Injunct. As To All Corporate Defendants and Gershtields - Page 8

FEDERAL TRADE cm1M1SStoN 915 S~~~I0~ ltv ..... Suo :!H% Se~lIl ... , Wl1lhinl1tno ~SIN

(206) 210-6350

Case 3:()8-cv-00590-RCJ-VPC Document 81 Filed 09/17/2009 of 22

' ..' t . i showing the dates upon whicb consum ers' bank aqcounts will be debited

2 for papnent, if applicable',

3 Penalties for late or non-paymznt, including an item ization of all

4 associated fees and charges; and

5 3- A statcment that payday loans may be'limited or prohibited in some

6 states', and

7 B. Obtain written confirm ation from consumors for each consumer creclit

8 trangactîon acknowledging that the consumer has received tho required disclosures

9 in Subsection V.A before consumm ating tbe consumer credit transaction, and such

10 wlitten confirmation may be delivered via electronic mail or facsimile; and

11 W hen collecting a debt from consumersy provide consumers. upon oral or

12 written request, no less often than 30 days after any previous request for the same

13 information, a written itemization of amounts paid and.amounts due, inciucling a

14 separate written itemization for fees paid and fees due, which m ay be in the form

15 of a statement dellvered to consumers via electronic mail or facsimile.

16 V1. Em ployee M onitoring by Defendants

17 IT 1S FIJRTHER ORDERED that Defendants, and their officers, agents, servants,1.8, employees, and attorneys, and all other persons in active concert or participaéon with them who

19 rcceive actual notice of this Order by personal service or othem ise, whether acting clirectly or

20 through any corporation, subsidiary, division, or other device, in connection with extending

21 consum er credit and collecting debts, are hereby permanently restrained and enjoined from:22 A. Failing to take reasonable steps sufticient to monitor and ensure that all

23 ernployees and independent contractors engaged in m arketing or extending

24 consumer credit, the collection of debts, or other customer service functions,

2,5 comply with SecYons J tlu-ough V of this Order. Such stcp: shall inciudlz adequate

26 monitoring of calls with custœm ers, and shall also includc, at a minimum , the

27 following'. (1) listening to oral representations made by persons engagyd in

28 m arketing or extending consumer loans and/or the collection of debts, or other

customer service functions; (2) providing a customer response center available by

Perm. Injunct. As To All Corporate Defandants and Gershtields - Page 9


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showing the dates upon which consumers' bank accounts will be debited

for payment, if applicable;

2. Penalties for late or non-payment, including an itemization of all

associated fees and charges; and

3. A statement that payday loans may be limited or prohibited in some

states; and

B. Obtain written confirmation from consumers for each consumer credit

transaction acknowledging that the consumer has received the required disclosures

in Subsection V.A before consummating the consumer credit transaction, and such

written confirmation may be delivered via electronic mail or facsimile; and

c. When collecting a debt from consumers, provide consumers, upon oral or

written request, no less often than 30 days after any previous request for the same

information, a written itemization of amounts paid and. amounts due, including a

separate written itemization for fees paid and fees due, which may be in the form

nf a statement delivered to consumers via electronic mail or facsimile.

VI. Employee Monitoring by Defendants




20 through any corporation, subsidiary, division, or other device, in connection with extending

21 consumer credit and collecting debts, are hereby permanently restrained and enjoined from:

22

23

24

25

26

27

28

A. Failing to take reasonable steps sufficient to monitor and ensure that all

employees and independent contractors engaged in marketing or extending

consumer credit, the collection of debts, or other customer service functions,

comply with Sections I through V of this Order. Such steps shall include adequate

monitoring of caUs with customers, and shall also include, at a minimum, the

following: (1) listening to oral representations made by persons engaged in

marketing or extending consumer loans and/or the collection of debts, or other

customer service functions; (2) providing a customer response center available by

Perm. Injunct. As To All Corporate Defendants and GershfieJds - Page 9

FEDERAL TRADE CO~IMI5S10N 9\5 Sccnml A.'c., Su, 28% S~nlll~. WWlhiu!lI"fI iJ811.1

(20G) 220·6350

Case 3:O8-cv-OO59O-RCJ-VPC Document 81 Filed 09/17/2009 of 22

toll-free number or by email that will receive and respond to customer complaints

and inquiries within a reasonable and specified time period; and (3) ascertaining

the num ber and nature of customer complaints regarding transactions in which

each em ployee or independent contractor is involved; provided that this Section

does not autholize or rcquire Defendants to take any steps that violate any federal

state, or local law ',

B. Failing to investigate promptly and fully any customer complaint received

by any business to which this Section applies; and

Failing to take conective action with respect to any m arketing person or

debt collector whom Defendants determ ine is not complying with this Order,

which m ay include training, disciplining, and/or terminating such person.

VII. M onetary Judgment

IT IS FLJRTHER ORDERED that:

A. Judgment is entered against Defendants jointly and severally in the amotmt

of $ 1 million dollars ($1,000,000.00) (hereafter the ''judgment amount''). Of the

funds collected pursuant to this Section, the Commïssion shall be paid $970,125.00.

and the Stat: of Nevada shall be paid $ 29,875.00, to reimburse the fees and

expenses the State of Nevada expended in its investigation and litigation of this

matter. Judgment shall be paid to the Commission and the State olr Nevada within

ten (10) days of ent:y of this Order.

B. A11 funds paid to the Commission pursuant to this Section: other than the

funds paid to tlle State of Nevada, shall be deposited into a fund administered by

the Commission or its agent to bc used for equitable relief, including but not limited

to consumer restitution and any attendant expenses for the administration of any

restitution fund. lf the Connn-zissioll determines in its sole discrstion that rcstitutton

to consumers is wholly or partially impracticable or funds remain after restitution is

completed, the Comm ission m ay apply any rem aining funds fbr such other

equitable relief, including consumcr infonnation remedies, as it determines to be

reasonably ralated to the Defendants' practices alleged in the Cofnplaint. Any

Pcrm. lnjunct. As To Xll Coporate Dtfenclants anll Gershthelds - Page 10


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9


toll-free number or by email that will receive and respond to customer complaints

and inquiries within a reasonable and specified time period; and (3) ascertaining

the number and nature of customer complaints regarding transactions in which

each employee or independent contractor is involved; provided that this Section

does not authorize or require Defendants to take any steps that violate any federal,

state, or local law;

B. Failing to investigate promptly and fully any customer complaint received

by any business to which this Section applies; and

C. Failing to take corrective action with respect to any marketing person or

10 debt collector whom Defendants determine is not complying with this Order,

11 which may include training, disciplining, andlor terminating such person.

12 VII. Monetary Judgment

13 IT IS FURTHER ORDERED that:

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15

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18

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20

21

22

23

24

25

26

27

28

A. Judgment is entered against Defendants jointly and severally in the amount

of $ 1 million dollars ($1,000,000.00) (hereafter the "judgment amount"). Of the

funds collected pur~uant to this Section, the Commission shall be paid $970,125.01),

and the State of Nevada shall be paid $ 29,875.00, to reimburse the fees and

expenses the State of Nevada expended in its investigation and litigation of this

matter. Judgment shall be paid to the Commission and the State of Nevada within

ten (10) days of entry of this Order.

B. All funds paid to the Commission pursuant to this Section, other than the

funds paid to the State of Nevada, shall be deposited into a fund administered by

the Commission or its agent to be used for equitable relief, including but not limited

to consumer restitution and any attendant expenses for the administration of any

restitution fund. If the ComrrJssioll determines in its sole discretion that restitution

to consumers is wholly or partially impracticable or funds remain after restitution is

completed, the Commission may apply any remaining funds for such other

equitable relief, including consumer information remedies, as it determines to be

reasonably related to the Defendants' practices alleged in the Complaint. Any

Penn. Injunct. As To All Corporate Defendants and Gershfields - Page lO

FEDERAL l'JL.\DE COMMISSION 915 Sn.,md r\v~., Suo 21196 Sellttl", Wn.lhjlJ~toli 91117-1

(206) 220·GJSO

Case 3:08-cv-00590-RCJ-VPC Docum ent 81 Filed 09/17/2009 Page 1 1 of 22

l funds not used for such equitable relief shall be deposited in the United States

2 Treasury as disgorgement. Defendants shall have no right to challenge the

3 Commission's choice of remedies under this Section.

4 C. If Defendants fail to pay the Conunission or the State of Nevada the

5 judgment amount as set forth above, intorest computed at the rate prescribed under

6 28 U.S.C. # 1961, as amended. shall immediately begin to accrue.on the unpaid

7 balance.

8 D. In accordance with 31 U.S.C. j 7701, each Defendant is hereby required,

9 unless that Defendant has done so already. to fum ish to the Contmission and the

10 Stùte of Nevada the Defendant's taxpayer identifying number (social security

11 number or employer identification number), which shall be usedTfor purposes of

12 collecting and reporting on any delinquent am ount arising out oflthat Defendant's

13 relationship with the federal government and the State of Nevada.

14 E. Defendants relinquish al1 dominion, control, and title to the funds paid to the

15 fullest extent pennitled by law. Defendants shall make no claim to or demand

16 retum of the funds. directly or indirectly, through counsel t:r othem ise.

17 F. Defendants agree that the facts as alleged in the Complaint filed in this

18 action shall be taken as true without further proof in any bankruptcy case or

19 subsequent civil litigation purstled by tho Commission or the State of Nevada to

20 enforce their rights to any payment or moneyjudgment pursuant to this Order,

21 including but not limitcd to a nondischargeability compfaint in any bankruptcy

22 case. Defendants further stipulate and agree that the facts alleged in the Com plaint

23 establish 1111 elements necessary to sustain an action pursuant to, and that this Order

24 shall have collateral estoppel effect for pum oses of, Section 523(a)(2)(A) of the

25' Banlkruptcy Code, 11 U.S. C. j 523(a)(2)(A).

26 VI1I. Compliance M onitering

27 IT IS FURTHER ORDERED that, for the purpose of monitoling and investigating

28 com pliance with any provision of this Order:

Perm. Injunct. Xs To Alt Corporate Defendants ancl Gershfields - Page l L

FEDERAL 'IXADB COMMISSIONIJ 15 Svtzltxl Ave.. 5u. 789:Seuttle. Wtulklngllsrs 88 !74

(M ) 220.6350

Case 3:08-cv-00590-RCJ-VPC Document 84 Filed 10/27/2009 of 23

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funds not used for such equitable relief shall be deposited in the United States

Treasury as disgorgement. Defendants shall have no right to challenge the

Commission's choice of remedies under this Section.

C. If Defendants fail to pay the Commission or the State of Nevada the

judgment amount as set forth above, interest computed at the rate prescribed under

28 U.S.c. § 1961, as amended, shall immediately begin to accrue'on the unpaid

balance.

D. In accordance with 31 U.S.C. § 7701, each Defendant is hereby required,

unless that Defendant has done so already, to furnish to the Commission and the

State of Nevada the Defendant's taxpayer identifying number (social security

number or employer identification number), which shall be used:for purposes of

collecting and reporting on any delinquent amount arising out orthat Defendant's

relationship with the federal govemment and the State of Nevada.

E. Defendants relinquish all dominion, control, and title to the funds paid to the

fullest extent permilted by law. Defendants shall make no claim to or demand

return of the funds, directly or indirectly, through counselor otherwise,

F. Defendants agree that the facts as alleged in the Complaint filed in this

18 action shall be taken as true without further proof in any bankruptcy case or

19 subsequent civil litigation pursued by the Commission or the State of Nevada to

20 enforce their rights to any payment or money judgment pursuant to this Order,

21 including but not limited to a nondischargeability complaint in any bankruptcy

22 case. Defendants further stipulate and agree that the facts alleged in the Complaint

23 establish all elements necessary to sustain an action pursuant to, and that this Order

24 shall have collateral estoppel effect for purposes of, Section 523(a)(2)(A) of the

25 Bankruptcy Code, 11 U.S, C. § 523(;)(2)(A).

26 VIII. Compliance Monitoring

27 IT IS FURTHER ORDERED that, for the purpose of monitoring and investigating

28 compliance with any provision of this Order:

Perm, Injunct. As To All Corporate Defendants and Gershfields - Page 11

FEDI:.RAL TRAOECOMM1SSION '115 S~C\IIJJ Ave •• SI!, 1896 SCllule. WWlhiulllnll 98 [7.1

(206) J.:!.O·6350

Case 3;O8-cv-OO59O-RCJ-VPC Document 81 Filed 09/17/2009 of 22

1 W ithin ten (10) days of receipt of written notice from a representati vq of :he .

2 Commission, Defendants each shall submit additional written reports, which are

3 true and accurate and swom to under penalty of perjury; produce documents for

4 inspection and copying; appear for deposition-, and provide entry duling normal

5 business hours to any business location in each Defendant's possession or direct or

' 6 indirect control to inspect the business operation.

7 B. In addition, the Commission is authodzed to use a11 other lawful means.

8 including but not limited to:

9 1. obtaining discovery from any person, without further Ieave of court.

1'0 using the procedures prescribed by Fed. R. Civ. P. 30, 31,.33, 34, 36, 45,

1 1 and 69*,

12 2. posing as consumers and suppliers to Defendants, their employees,

1.3 or any other entity m anaged or controlled in whole or in part by any

14 Defendant. without the necessity of identification or prior notice; and

15 Defendants each shall pennit representatives of the Commission to interview

15 any ernployer, coltsuitant, independent contractor, representative, qgent, or employee

17 who has agreed to such an interview, relating in any way to any conduct subject to

18 this Order. The person interviewed m ay have counsel present.

19 Proyided ltowever, that nothing in this Order shall lim it the Com mission's lawful use of

20 ompulso:y process, pursuant to Sections 9 and 20 of thc FFC Act, 15 U.S.C. jj 49, 57b-1, to

21 obtain any documentary material, tangible things, testim onyy or information relevant to unfair or

22 deceptive acts or practices in or affecting commerce (within the meaning of 15 U.S.C. j 45(a)(1)).

23 lX. Com pliance Reporting

24 IT IS FIJRTHER ORDERED that, in order that compliance with the provisions of this

25 (Jt'déi- Itkay L,tz I-j-fonikoîiicl:

26 For a period of three (3) years from the date of entry of this Order,

27 Each lndividual Delkndant shall notify the Comm ission of the

28 following:

Perm. lrjunct. As To A$l Coporate Defendacts and Gtrshfitlds - Pagp 12

FEDPJSAL TRADE CCIMMISSIOS;l5 Sxund Ave.. Stu 2296Srultlr Wahirlglon 48 174

(206) 220.635!)


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A. Within ten (10) days of receipt of written notice from a representati v~ of the

Commission, Defendants each shall submit additional written reports, which are

true and accurate and sworn to under penalty of perjury; produce documents for

inspection and copying; appear for deposition; and provide entry during normal

business hours to any business location in each Defendant's possession or direct or

indirect control to inspect the business operation.

B. In addition, the Commission is authorized to use all other lawful means,

including but not limited to:

C.

1. obtaining discovery from any person, without further leave of court,

using the procedures prescribed by Fed. R. Civ. P. 30, 31,33, 34, 36, 45,

and 69;

2. posing as consumers and suppliers to Defendants, their employees,

or any other entity managed or controlled in whole or in part by any

Defendant, without the necessity of identification or prior notice; and

Defendants each shall permit representatives of the Commission to interview

l'i any employer, cOHsultant, independent contractor, representative, ~gent, or employee

17 who has agreed to such an interview, relating in any way to any conduct subject to

18 this Order. The person interviewed may have counsel present.

19 Provided however, that nothing in this Order shall limit the Commission's lawful use of

20 ompulsoryprocess, pursuant to Sections 9 and 20 of the FTC Act, 15 U.S.C. §§ 49, 57b-l, to

21 obtain any documentary material, tangible things, testimony, or information relevant to unfair or

22 deceptive acts or practices in or affecting commerce (within the meaning of 15 U.S.C. § 45(a)(1)).

23 IX. Compliance Reporting

24 IT IS FURTHER ORDERED that, in order that compliance with the provisions of this

2'; Ordbr In.ly Ul:; iTiunitur-eLi:

26

27

28

A. For a period of three (3) years from the date of entry of this Order,

1. Each Individual Defendant shall notify the Commission of the

following:


FEDmtAL. TRADE COMMISSION 915 S=.md Ave., 511. 2S!l6 S~ultl", Wil5hin!!llml)SI74

(206) :UO-(,3S0

Case 3:08-cv-0O590-RCJ-VPC Docum ent 81 Filed 09/17/2009 of 22

Any changes in such Individual Defendant's residcnce,

mailing addresses. and telephone numbers, within ten (10) days of the

date of such change',

Any changes in such lndividual Defendant's employm ent

status (including self-employment), and any change in such

Jndividual Defendant's ownership in any business entity, within ten

(10) days of the date of such change. Sucb notice shall include the

name and address of each business that such Individual Defendant is

affiliated with, employed by. creates or forms, or perform s services

for; a detailed description of the nature of the business', and a detailed

description of such Individual Defendant's duties and responsibilities

in connection with the business or employment; and

Any changes in such lndividual Defendant's name or use of

any aliases or tictitious names.

Defendants shall notify the Comm ission of any changcs in structure

of any Corporate Defendant or any business entity that any Defendant

directly or indirectly controls, or has an ownership interest in, that may affcct

compliance obligations arising under this Order, including but not Iimited to:

incop oration or other organization', a dissolution, assignment, sale, nnerger,

or other action; the creation or dissolutlon of a subsidiazy, parent, or affiliate

that engages in any acts or practices subject to this Order; or a change in the

business name or address, at least thirty (30) days prior to such change,

provided that, with respect to any proposcd change in the business entity

about which a Defendant learns less than thirty (30) days prior to the date

' such actit')ll is to take place, such Defendant shall notify the Comm issicn as

soon as is practicable after obtaining such knowledge.

B. One hundred eighty (180) days after the datc of cntry of this Order and

annually tbereafter for a period of three (3) years, Defendants each shall provide a

written report to the FT'C which is true and accurate and sworn to under penalty of

Perm. lnjunct. As Tll A1l Corporate Defendartt.s and Gershfield: - Page 13

FPDERAL TRADE CO51MISSION915 Setzltgl Au,, Su. 289:5Tal11r svaslûllglell 98174

(2p6) 120.6350


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B.

2.

a. Any changes in such Indi vidual Defendant's residence,

mailing addresses, and telephone numbers, within ten (10) days of the

date of such change;

b. Any changes in such Individual Defendant's employment

status (including self-employment), and any change in such

Individual Defendant's ownership in any business entity, within ten

(10) days of the date of such change. Such notice shall include the

name and address of each business that such Individual Defendant is

affiliated with, employed by, creates or forms, or performs services

for; a detailed description of the nature of the business; and a detailed

description of such Individual Defendant's duties and responsibilities

in connection with the business or employment; and

c. Any changes in such Individual Defendant's name or use of

any aliases or fictitious names.

Defendants shall notifythe CDmmission Df any changes in structure

Df any Corporate Defendant or any business entity that any Defemlant

directJyor indirectly controls, Dr has an ownership interest in, that may affect

compliance obligations arising under this Order, including but not limited to:

incorporation or other organization; a dissolution, assignment, sale, merger,

or other action; the creation or dissolution of a subsidiary, parent, or affiliate

that engages in any acts or practices subject to this Order; or a change in the

business name or address, at least thirty (30) days prior to such change,

provided that, with respect to any proposed change in the business entity

about which a Defendant learns less than thirty (30) days prior to the date

. such actioll is tD take place, such Defendant shall nDtify the CommiE~icn as

sDon as is practicable after Dbtaining such knDwledge.

One hundred eighty (180) days after the date of entry of this Order and

annually thereafter for a period of three (3) years, Defendants each shall provide a

written report to the FfC, which is true and accurate and sworn to under penalty of


f.EDERAL TRADE COMMISSION 915 Secnnd A.'c .. Su. 2896 S~nttl". Wl15hi:I~lI.m 9g17-l

(206) 220·6350

Case 3:O8-cv-OO59O-RCJ-VPC Docum ent 81 Filed 09/17/2009 of 22

perjul'y, setting forth in detail the manner and form in which they have complicd and

are complying with this Order, This report shall include, but not be Iimited to:

For each lndividual Defendant:

such Individual Defendant's then-current residence address,

m ailing addresses, and telephone num bers;

such Individual Defendant's then-current employment status

(including self-zmployment), including the name, addresses, and

telephone numbers of each business that such Individual Defendant is

affiliated with, employed by, or perfonns services for; a detailed

description of the nature of the business; and a detailed description of

such Individual Defendant's duties and responsibilities in connection

with the business or employment; and

Any other changes Tequired to be rzpoz-ted under Subsection A

of this Section.

2. For all Defendants:

A copy of each ackllowledgment of receipt of this Order,

obtained pursuant to the Section titled 'D istribution of Orderi'' and

Any othzr changes required to be reported under Subsection A

of this Section.

Each Defcndant shall notify the Commission of the tiling of a bankruptcy

petition by such Detkndant within fifteen (15) days of t'iling.

For thc purposes of' this Order, Defendants shall, unless otherwise directed

by the Commission's authorized representatives, send by overnight courier a11

reports and notifications required by this Order to the Comrnission, to the following

addfess:

Associate Director for EnforcementFederal Trade Cornmission6Q0 Ponnsylvania Avenue, N .W ., Room NJ-2122W aghington. D .C. 20580RE: FFC !?. Cash Today, et al.

Porm. Injtmct. As To All Corporate Dtfendants arz Gcrshfielös - Page t4


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peIjury, setting forth in detail the manner and form in which they have complied and

are complying with this Order. This report shall include, but not be limited to:

c.

1.

2.

For each fudividual Defendant:

il. such Individual Defendant's then-current residence address,

mailing addresses, and telephone numbers;

b. such fudividual Defendant's then-current employment status

(including self-employment), including the name, addresses, and

telephone numbers of each business that such Individual Defendant is

affiliated with, employed by, or performs services for; a detailed

description of the nature of the business; and a detailed description of

such Individual Defendant's duties and responsibilities in connection

with the business or employment; and

c. Any other changes required to be rep0l1ed under Subsection A

of this Section.

For all Defendants:

a. A copy of each acknowledgment of receipt of this Order,

obtained pursuant to the Section litled "Distribution of Order;" and

b. Any other changes required to be reported under Subsection A

of this Section.

Each Defendant shaIl notify the Commission of the filing of a bankruptcy

petition by such Defendant within fifteen (15) days of filing.

D. For the purposes of this Order, Defendants shall, unless otherwise directed

by the Commission's authorized representatives, send by overnight courier all

reports and notifications required by this Order to the Commission, to the following

address:

Associate Director for Enforcement Federal Trade Commission 600 Pennsylvania Avenue, N.W., Room NJ-2122 Washington, D.C. 20580 RE: FTC v. Cash Today, el at.

Penn. Injunct. Ai; To All Corporate Defendant.<; and Gershfields - Page 14

FEDE.RAl. TRADE. CO"'tMISSION 915 S~cl1l11l/wc .• Su. 2896 Se~nk. Wu.~hill!!ll1n!lBn"

(206) 210-6350

Case 3:08-cv-0O590-RCJ-VPC Document 81 Filed 09/17/2009 of 22

1Provided that, in Iieu of overnight courier, Degendant.s m ay send such reports o1'

2notifications by first-class mail, but only if Defendants contemporaneously send an

3electronic version of such report or notification to the Comm ission at:

4 'DEBrief@ Rc.zov.

5For purposes of the com pliance reporting and m onitoring required by this

6Order. the Comm ission is authorized to communicate directly with each Defendant.

7W here notice to Defendants and/or their counsel is required, such notice shall be

8provided to:

9lName of Defendantj

10 c/o John DeQ. BriggsAxinn Veltrop & Harkrider

11 1330 Connecticut Avenue, N.W .W ashington, D .C. 20030

12 Jdb@ avhlaw-com(202) 721-5400

13

14 Provided Flt/&ptdvt?l-, nothing in this provision shall lim it the Comrnission's authority

15 to pose as a consumer or supplier pursuant to Subsection B .2 of the Section titled

16 ''Cctm pliance M onitoring.''

1.7 X. Record Keeping Provisions

18 IT IS FURTHF!R ORDERED that, for a period of six (6) years from the date of entry of

19 this Ordcr, in connection with the extension of consumer credit and the collection of a debt from

20 any consumer, Dofendants, and their agents, employees, ofticers. corporations, and those persons in

21 active conce:t or participatiort with them who receive actual notice of this Order by personal service

22 or othenvise, are hereby restrained and enjoined from failing to create, retain. and secure as

23 ccessary the following records:

24 A. Accounting rccords that reflect the monies loaned and collected, revenues

.0-*5 gellcrated: and tlle disburscment of such revenues;

26 Personnel rccords accurately reflecting the name, address, and telephone

27 number of each person employed in any capacity by such business, including as an

28 independent contractor; that person's job title or position; the date upon which the

Perm. Injulmt. As To XIl Corporate Defeudants (mcl Gershfielös - Page t5


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x.

Provided that, in lieu of overnight courier, DeFendants may send such reports or

notifications by first-class mail, but only if Defendants contemporaneously send an

electronic version of such report or notification to the Commission at:

DEBrief@ftc.!!ov.

E. For purposes of the compliance reporting and monitoring required by this

Order, the Commission is authorized to communicate directly with each Defendant.

Where notice to Defendants and/or their counsel is required, such notice shall be

provided tu:

[Name of Defendantl cIa John DeQ. Briggs Axinn Veltrop & Harkrider 1330 Connecticut Avenue, N.W. Washington, D.C. 20030 [email protected] (202) 721-5400

Provided however, nothing in this provision shall limit the Commission's authority

to pose as a consumer or supplier pursuant to Subsection B.2 of the Section titled

"Cempliance Monitoring."

Record Keeping Provisions

18 IT IS FURTHER ORDERED that, for a period of six (6) years from the date of entry of

19 this Order, in connection with the extension of consumer credit and the collection of a debt from

20 any consumer, Defendants, and their agents, employees, officers, corporations, and those persons in

21 active concert or participation with them who receive actual notice of this Order by personal service

22 or otherwise, are hereby restrained and enjoined from failing to create, retain, and secure as

23 ecessary the following records:

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27

28

A. Accounting records that reflect the monies loaned and collected, revenues

gbllCliited, al1d tile disbursement of such revenues;

B. Personnel records accurately reflecting the name, address, and telephone

number of each person employed in any capacity by such business, including as an

independent contractor; that person's job title or position; the date upon which the

Penn. Injunct. As To All Corpomte DeFendants and Gershfields· Page 15

FEDI!RAL TRADE COMMISSION 915 SeconLi A"",. Su. 2!!96 S~U1llc, Ww;hi1l1l1l1U 9B IN

(106) 120·6]50

Case 3:O8-cv-O0590-RCJ-VPC Document 81 Filed 09/17/2009 of 22

1person com menced work; and the date and reason for the person's tefnlination, if2

applicable;3

Custom er files containing the names, addresses, phone numbers, dollar4

amounts paid, amount of monies loaned arld collected, to the extent such information5

is obtained in the ordinary course of business;6

D. Complaints and refund requests (whether received directly, indirectly, or7

through any third palty) and any responses to tlnose complaints or requests;8

E. Copies of alI sales sclipts, training materials. advertisem ents. or other9

marketing materials, including copies of lnternet web sites and em ail solicitations-,10 .

and1 1

F. A1l records and docum ents necessary to demonstrate full compliance with12

each provision of this Order, including but not lirnited to, copies of13

acknowledgments of reccipt of this Order required by the Sections titled14

tr istlibution of Order'' and 'tAclm owledgment of Receipt of Order'' and all reportsl 5

submitted to the FT'C pursuant to the Section titled 'C ompliance Reporting-''

16X1. Distribution of Order

17IT IS FURTHER ORDERED that. for a period of three (3) years from the date of entry of

18this Order, Ddendants shall deliver copies of the Order as directed below:

19Corporate Defendant: Each Corporate Defendant must deliver a copy of this

20Order to (1) a1l of its principals, officers, directors, and managers; (2) all of its

2 1

employees, agents, and rGpresentatives who engage in conduct related to the subject22

matter of the Order; and (3) any business entity resulting from any change in23

structure set forth in Subsection A.2 of the Section fitled t'Compliance Reporting.''

24For current personnel, dclivery shall be within five (5) days of servico of this Order25 11upon such Defendant. For new personnel, delivery skall occur prior to them

26assuming their responsibilities. Fbr any businzss entity resulting from any change in

27structurc set forth in Subsection A.2 of tbe Section titled ttcompliance Reporting

z''

28delivery shall be at least ten (10) days prior to the change in structure.

Perm. lrjunct. As Te Alt Copocate Defendznts nnd Gershfields - Page 16


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XI.

person commenced work; and the date and reason for the person's tennination, if

applicable;

C. Customer files containing the names, addresses, phone numbers, dollar

amounts paid, amount of monies loaned and collected, to the extent such information

is obtained in the ordinary course of business;

D. Complaints and refund requests (whether received directly, indirectly, or

through any third party) and any responses to those complaints or requests;

E. Copies of all sales scripts, training materials, advertisements, or other

marketing materials, including copies of Internet web sites and email solicitations;

and

F. All records and documents necessary to demonstrate full compliance with

each provision of this Order, including but not limited to, copies of

acknowledgments of receipt of this Order required by the Sections titled

"Distribution of Order" and "Aclmowledgment of Receipt of Order" and all reports

submitted to the FTC pursuant to the Section titled "ComjJliance Reporting."

Distribution of Order

IT IS FURTHER ORDERED that, for a period of three (3) years from the date of entry of

this Order, Defendants shall deliver copies of the Order as directed below: 19

20

21

22

23

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26

27

28

A. Corporate Defendant: Each Corporate Defendant must deliver a copy of this

Order to (1) all of its principals, officers, directors, and managers; (2) all of its

employees, agents, and representatives who engage in conduct related to the subject

matter of the Order; and (3) any business entity resulting from any change in

structure set forth in Subsection A.2 of the Section titled "Compliance Reporting."

For current personnel, delivery shall be within five (5) days of service of this Order

upon such Defendant. For new personnel, deli very shall occur prior to them

assuming their responsibilities. For any business entity resulting from any change in

structure set forth in Subsection A.2 of the Section titled "Compliance Reporting,"

delivery shall be at least ten (10) days prior to the change in structure.


FEDERAL TRADu COM'fUSSION 915 Secmlll Aw., !ilL 1896 S"UllJ~, W"-.hill!ll"~ 9817-1

(2!)(i) 220-6350

Case 3:O8-cv-OO590-RCJ-VPC Document 81 Filed 09/17/2009 of 22

lB. Individual Defendant as control person: For any business that an Individual

2Defendant controls, directly or indirectly, or in which such Defendant has a majorit'y

3ownership interest, such Dcfendant must deliver a copy of this Order to (1) a11

4. principals, officers, directors, and managers of that business; (2) a11 employees,

5agents, and representatives of that business who engage in conduct related to the

6subject matter of the Order; and (3) any business entity resulting from any change in

7structure set forth in Subsection A.2 of the Section titled ltcomplianoe Reporting.''

8For current personnel, delivery shall be within tive (5) days of service of this Order

9upon such Defendant. For new personnel, delivery shall occur prior to them

10assum ing their responsibilities. For any business entit'y resulting from any change in

1 1structure set forth in Subsection A.2 of the Section titled L'Compliance Reporting,''

12delivet'y shall be at least ten (10) days prior to the change in structure.

13C. Individual Defendant as employee or non-control person: For any business

14where an Individual Defendant is not a controlling person of a business but

15otherwise engages in conduct related to the subject matler of this Order, such

16 . .Dçfendant must deliver a copy of this Order to a11 plincipals and m anagers of such

17business before engaging in such conduct.

1 8Defendants m ust secure a signed and dated statemtnt acknowledging receipt

19of the Order, within thilt'y (30) days of dclivery, from a11 persons receiving a copy of

20the Order pursuant to this Section.

2 1XlI. Acknowledgm ent of Receipt or Order

22IT IS FURTI'IER ORDERED that each Defcndant, within five (5) business days of reccipt

23of this Order as entered by the Court, rnust submit to the Commission a truthful swolm statement

24acknowledging receipt of this Order.

25

26

27

28

Purm, lnjunct. As To A1I Corporatc Defendants and Gershfields - Page 17


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B. Individual Defendant as control person: For any business that an Individual

Defendant controls, directly or indirectly, or in which such Defendant has a majority

ownership interest, such Defendant must deliver a copy of this Order to (1) all

principals, officers, directors, and managers of that business; (2) all employees,

agents, and representati ves of that business who engage in conduct related to the

subject matter of the Order; and (3) any business entity resulting from any change in

structure set forth in Subsection A.2 of the Section titled "Compliance Reporting."

For current personnel, delivery shall be within five (5) days of service of this Order

upon such Defendant. For new personnel, delivery shall occur prior to them

assuming their responsibilities. For any business entity resulting from any change in

structure set forth in Subsection A.2 of the Section titled "Compliance Reporting,"

delivery shall be at least ten (10) days prior to the change in structure.

C. Individual Defendant as employee or non-control person: For any business

where an Individual Defendant is not a controlling person of a business but

otherwise engages in conduct related to the subject matter of this Order, such

Defendant must deliver a copy of this Order to all principals and managers of such

business before engaging in such conduct.

D. Defendants must secure a signed and dated statement acknowledging receipt

of the Order, within thirty (30) days of delivery, from all persons receiving a copy of

the Order pursuant to this Section.

XII. Acknowledgment of Receipt of Order

IT IS FURTHER ORDERED that each Defendant, within five (5) business days of receipt

of this Order as entered by the Court, must submit to the Commission a truthful sworn statement 24

acknowledging receipt of this Order. 25

26

27

28

Perm. Injunct. As To All Corporate Defendants and GershfJelds - Page 17

FEDERAL. TRADE COMMISSION 9U S"cuDll Ave., Suo :!B% Seuule, WUlhin1'1(\n 1)8 IN

(:?Q(i) 120-6350

Case 3208-cv-O0590-RCJ-VPC Docum ent 81 Filed 09/17/2009 of 22

1XIII. Retention of Jurisdiction

2IT IS FURTHER ORDERED that this Court shall retain julisdiction of this matter for

3urposes of construction, modification, and enforcement of this Order.

4

5 ) os gsjjq.IT IS SO ORDERED this day of ,6

7

8) .T1. HONORA E ROBERT C. JONES

9 UNITED STAT d DISTRICT JUDGE

10SO AGREED Ae STD ULATED :

11

12

13 FOR PLAINTHTS:

14sm adine S. Samter

15 NADINE S. SAM TERJLTLX K.M AYER

16 915 8econd Avenue Suite 2896Seaitle, W A 98174 '

17Attomeys for Plaintiff Federal Trade Comm ission

18

19CATHERINE CORTEZ M ASTO

20 Attorney General of Nevada

21 s/lohn R . M cGlamervBy: JO1!N R. M CGLAM ERY

22 Senior Deputy Attorney GeneralBureau of Consumer Protection

23 Office of the Attom ey General100 North Carson Streot

24 Carson City, N'V 89701

25 Attuincy for Plaintiff SLate of Nevada

26 FOR DEFENDANTS:

27By: JIM S, President

28 Leads Global, Inc., W atcrfront Investments, Inc.,ACH Cash, lnc., TTRS Servicesy Inc., andRovinge Intem ational, Inc.

Pcrm. lnjunct. As To A!1 Corporate Defendants and Gershsetds - Paze l 8



I XIII. Retention of Jurisdiction

2 IT IS FURTHER ORDERED that this Court shall retain jurisdiction of this matter for

3 urposes of construction, modification, and enforcement of this Order.

4

5

6

7

8

9

IT IS SO ORDERED this J 7 day of ()~f)J3eI2-; 2009.

10

11

12

SO AGREED AND STIPULATED:

13 FOR PLAINTIFFS:

14 slNadine S. Samter

NADINE S. SAMTER JULlli K. MAYER 915 Second Avenue Suite 2896 Seattle, WA 98174

,

15

16

17

18

19

Attorneys for Plaintiff Federal Trade Conunission

CATHERINE CORTEZ MASTO 20 Attorney General of Nevada

21 s/John R. McGlamery By: JOHN R. MCGLAMERY

22 Senior Deputy Attorney General Bureau of Consumer Protection

23 Office of the Attorney General 100 North Carson Street

24 Carson City, NV 89701

25 Attull1cy for Plaintiff State of Nevada

26 FOR DEFENDANTS:

27 By: JIM HARRIS, President

28 Leads Global, Inc., Waterfront Investments, Inc., ACH Cash, Inc., fIBS Services, Inc., and Rovinge International, Inc.

Perm. Injunct. As To All Corporate Defendants nnd Gershfields - Page 18

E ROBERT C. JONES DISTRICT JUDGE

FEDERAL TRADE COMMISSION 915 S~"und A\'~ .. SII. 2~96 Scuule, \V1I.<hir:l!l"n9817J

(206}2JO·6350


DANV L .G BOGDENXn m ERLY H.ALBROM cDonald Carano W ilson LLP100 W est Libert'y Street, ioth FloorReno, NV 89501

Attorneys for Defendant Jim Hanis

AARON GERSHFIELD inclividually

IVOR GERSHFIELD individually and as adirecto ar officer, or controlling person of CashToday, Lt sd ; The Heathmill Village,Ltd.; and the Hanis Holdings, Ltd.

JO14N DeQ. BRIGGSROBERT GREENBAIJMM in ?n Veltrog & Harkrider I.I.P1330 Connectlcut Avenue, N .W .W ashington, DC 20036

Steve L. M onis, Esq.M orris Peterson6100 Neil Road, Suite 555Reno, NV 89511

Atlorneys for Defendants Cash Today, Ltd.. The Heathmill Village, Ltd-,Leads Global, Inc., W aterfront Investments, Inc., ACH Cash, Inc.,H BS Services, Inc., Iuotus Leads, Inc., Rovinge International, Inc,,Firstzlt-eads, lnc., The Hanis Holdings, Ltdv, Aaron Gershfield, and Ivor Gershficld

Perm. Injunct. A.s To A1I Cerporûte Dufendants and Gerstltields - Page 19


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DANIEL G. BOGDEN KIMBERLY H. ALBRO McDonald Carano Wilson LLP 100 West Liberty Street, 10th Floor Reno, NY 89501

Attorneys for Defendant Jim Harris

Filed 09/17/2009 Page 19 of 22

9 AARON GERSHF1ELD individually

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IVOR GERSHFlEW individually and as a director, officer, or controlling person of Cash Today, Ltd.; The Heathmill Village, Ltd.; and the Harris Holdings, Ltd.

JOHN DeQ. BRIGGS ROBERT GREENBAUM Axinn,Veltrop & Harkrider LLP 1330 Connecticut Avenue, N.W. Washington, DC 20036

Steve L. Morris, Esq. Morris Peterson 6100 Neil Road, Suite 555 Reno, NY 89511

Attorneys for Defendants Cash Today, Ltd., The Heathmill Village, Ltd., Leads Global, Inc., Waterfront Investments, Inc., ACH Cash, Inc., HBS Services, Inc., Lotus Leads, Inc., Rovinge International, Inc., First4Leads, Inc., The Harris Holdings, Ltd., Aaron Gershfield, and Ivor Gershfield

Penn. Injunct. As To All Corporate Defendants and Gershlields - Page 19

fTIDERAL TRADIl COMMISSION 1)15 S"~'uJl<l Av.!., Suo 28% Scnn!.:, Ww;hiul!tnn98J74

j~06) 1~O·G)50

Case 3:08-cv-00590-RCJ-VPC Docum ent 81 Filed 09/17/2009 of 22

1M II. Retentlon of Jurisdlction

2IT IS FURTHER ORDERED ttlat this Court shali retainjurisdiction of thfs matter for

3urposr.s of construction, rnodifcation, and enforcement ofthis Order

.4

5IT IS SO ORDERED tlds (Iay of . 2(jB9.

6

7

THF. HONORA.B E BRIAN EUSANDOVAL9 UNITED STATES DISTRICT JUDGE

10:0 AGREED AND STD ULATED:

11

12

13 FOR PLAINTISTS:

14

1 5 NADINE .S SAMTEJULIE K. M AYER

16 915 Second Avenue Suite 2896Seattle, W A 98174

1 7Atlorueys for PlaintifFederal Trade Commlsion

1 8

1 9CATHEIUNE CORTEZ M ASTO

20 Attomey Genel'al of Nevada

21By: JOHN R. M CGLAM ERY

22 Seaior Deputy Attomey GeneralBuzeau of Consumcr Protection

23 OKce of the Attomey General100 North Carson Street

24 Carson City NV 89701

25 Attorney for Plaintx state ofNevada

26 FOR DEFE ANT .

27By: J S,- r ent

28 Le Globa)a Inc, eegnt Investments, Inc.,A Cash, Inc., S Servlces, Inc., m:d

Rovinge International, Inc.

Pçrm. lttjutwt. As To All Corplrlte Dlftmdlmt'i artd Gershfields - PAg,e l 8

FEDERALITtM ECOMMIXSIDN,' 9 I : s = au A m. s e . 2* M

slxlth Wuhëlra: 916:4fze DH D



I XIII. Retention of JurisdIction

2 IT IS FURTHER ORDERED that this Court shall retain jurisdiction ofthis matter for

urposes of construction, modification, and enforcement oftbis Order. 3

4

5

6

7

IT IS SO ORDERED thIs __ day of _____ -', 2009.

8

9 THE HONORABLE BRIAN E. SANDOVAL UNITED STATES DISTRICT JUDGE

10

11

12

SO AGREED AND STIPULATED:

13 FOR PLAINTIFFS:

14

15 NADINE S. SAMTER JULIE K. MAYER

16 915 Second Avenue Suite 2896 Seattle, WA 98174

17

18

19

Attorneys for Plaintiff Federal Trade Commission

CATHERINE CORTEZMASTO 20 Attorney General of Nevada

21 By: JOHN R. MCGLAMERY

22 Senior Deputy Attorney General Bureau of Consumer Protection

23 Office of the Attorney General 100 North Carson Street

24 Carson City, NY 89701

25 Attorney for Plaintiff State of Nevada

26

27

28 ent

emont Investments, Inc.,

Perm. Jnjum::t. As To All Corporate Dcfcndllnts Rnd Gersbficlds ~ Page 18

fEDERAL lJlAOECOMMlSS10N 9 IJ Sa:olld AIIl::., Su.2196 SI:O.ltle. WuhiftllDn ~fl7<4

{l06} nG-6JSO

Case 3:08-cv-OO590-RCJ-VPC Document 81 Filed 09/17/2009 of 22

DANN L .G BOGDENKBJBERLY H.ALBROM cDonald Carano W ilson LLP100 W est Liberty Street, 10th FloorReno, NV 89501

Attomeys for Defendant JH Harris

AARON GERSHF LD M ividuat y

IVOR GERSHFWLD hldlvidually and as adirector, ofGcer, or controlllny person of CashToday, Ltd-; The Heaèhrnlll Vlllage,Ltd.; and the Han'is Holdingss Ltd.

JOI.IN D e .Q BRIGGSROBERT GREENBAUMAxi ?nn Veltroy & Harkzider LLP1330 Connect:cut Avenue, N,W .W ashlngton, DC 20036

Stevr L. Morris, Esq.Morrls Pgtersort6100 Nell Road, Suite 555Renoz NV 8951 l

Attorneys for Delbndants Cash Todaya Ltd., The Heathmill Village, Ltd..Leids Global, Ilw., W sterfront Jnvrstamnt-s, Jnc., ACH Cash

, Inc.,HBS Serdces, Inc., Lotus Leads, Inc., Rovinge International, Jnc.,Fizstzieads, Inc., The Harris Holdings, Ltd.: Aaron Oershseld, and Ivor Gersv eld

Psïm. Injunct. As To All Corporate Deftntlants and Gershfields - Pag: k9

FEDEW TRADE L'Uo tllos,1J Seee:d Avm. n. MIôs=ulw Wublrcn 9:174

(2M) .'l'18.K10


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KIMBERLY H. ALBRO McDonald Carano Wilson LLP 100 West Liberty Street, lOth Floor Reno, NY 89501

Attorneys for Defendant Jim Harris

Filed 09/17/2009 Page 21 of 22

9 AARON GERSHFIELD individually

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IVOR GERSHFIELD individually and as a director, officer, or controllin/l person of Cash Today, Ltd.; The Heatbmill VIllage, Ltd,; and the Harris Holdings, Ltd.

JOHN DeQ, BRIGGS ROBERT GREENBAUM Axinn,Veltrop & Harkrider LLP 1330 Connecticut Avenue, N,W. Washington, DC 20036


Attorneys for Defendants Cash Today, Ltd., The Heatbmill Village, Ltd., Leads Global, Inc., Waterfront Investments, Inc., ACH Cash, Inc., HBS Services, Inc., Lotus Leads, Inc., Rovinge International, Inc., First4Leads, Inc., The Harris Holdings, Ltd., Aaron Gershfield, and Ivor Gershfield

Perm. Injunct. As To All Corporate Defendnnts nnd Gcrshficlds - Page 19

FEOEIlAl. TIlAOE COMMISsrON '" Scccmd An ... Sij. 28;6 5=-nl=. Wublnl,g'l19!17~

(l06) 110·6l'lJ

Case 3:08-cv-0059O-RCJ-VPC Document 81 Filed 09/17/2009 of 22

DANIEL .G B O GDENKIM BERLY H. AT.IRROM cDonald Cnrano W ilsoati.p100 W est Liberty Streetz 10t1l FloorReno, FIV 89501

tto s forDerendantlizw anis

AARON #SHFIELD dlvidually

.A

IVOR GERSHFIELD in 'vidtmlly an ms adirector, om cer, or coatrolling person of Cash

!Aml'll vmye,Today, Ltd.; ne HoatLtd.; and the Han'is Holdings. Lt .

t 'Joilhl De .Q BRIGGSROBERT GREENBAUMAvln ,n veltrop & Har 'krlder LLP1330 Conncc-dcut Avenue, N.W .w aqbington, Dc 20036

Stevq L. Morris, Esq.Morns Pytzrsoa6 100 Nml Road, Suite 555Reno, NV 89511

Attomeys for Defendants Cash Today, Ltd., n e Heathmill Village, Ltd.,Leads Global, Inc., W aterfront Hvestmeats, II1c., ACH Casll, Inc.,HBS Serviccs, 11lc., Lotus Leads, H c., Rovinge Htcnzational 1nc.,Firstc eads, Iuc., n e Harris Holdings, Ltd., Aaron Gershseldv and Ivor Gersv eld

Plnn. Injunsm A.s To AM Comorata Deftrdants nn; Grnbfillîly - Palp t;

FK FAALTKADEM IDN91J t- z Avm. Fm >Ms<xlsk Wulûno n 9:174

(1K =M 354


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DANIEL G. BOGDEN KIMBERLY H. ALBRO McDonald Carano Wilson UP 100 West Liberty Street, 10lb Floor Reno, NY 89501

anis

dividually

lVOR GERSHFIELD in 'vidually no as a director, officer, or controlling person of Cash Today, Ltd.; The Heatbmill Village, Ltd.; and lbe Harris Holdings, Ltd.

Filed 09/17/2009 Page 22 of 22

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15~~~~ JOHN DeQ. BRlGGSR7= ROBERT GREENBAUM

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Axinn,Veltrop & Harkrider LLP 1330 Connecticut Avenue, N.W. Washington, DC 20036


Attorneys for Defendants Cash Today, Ltd., The Heathmill Village, Ltd., Leads Global, Inc., Waterfront Investroents, Inc., ACH Cash, Inc., HBS Services, Inc., Lotus Leads, Inc., Rovinge International, Inc., First4Leads, Inc., The Hanis Holdings, Ltd., Aaron Gershfield, and Ivor Gershfield

Perm. IojuncL As To All Corporate Defendants nod Gershfie!ds - Page 19

FEDERAL TlVJlE COMMlSSlDH 9USc=ldAvc..'u.U96 SClJIk. WuhlPlijhln ~1174

(lIl6) llO-6JSO

Case 3:08-cv-0059O-RCJ-VPC Docum ent 81-2 Filed 09/17/2009 Page 1 of 1

CERTIFICATE OF SERVICE

l hereby certify that on September l 6, 2009, 1 electronically tiled the fbregoingSTIPULATED FINAL JUDGM ENT AND ORDER FOR PERM ANENT INJUNCTIONAND OTHER EQUITABLE RELIEF AS TO ALL CORPORATE DEFENDANTS,AARON GERSHFIELD AND IVOR GERSHFIELD and STIPULATED DISM ISSAL OFJlM I-lxltms with the cferk of the cqurt using the cM/Ecy system, which will sendnotification of such fi ling to the followlng:

John DeQ. Briggs, Esq.Axinn, Veltrop & Harkrider, LLP1330 Connecticut Avenue, N.W .W ashington, DC 20036(202) 721 -5400i bd (a' av 11 1 a S.N . con)

James K. Kaleigh, Esq.Eric S. Berman, Esq.Howrey LLP

1 l 1299 Pennsylvania Avenue, N.W .W ashington, DC 20004-2402(202) 383-6821k a l e i t:s h 1 klszï h o w re v . c (3 l'nbe l'lleltitl'lel'-kàl' I,1tl'$.k

'

rev .c oln

Steve L. M orris, Esq.M orris Peterson6 l 00 Neil Road, Suite 555Reno, N V 895 1 l(702) 474-9400sI1'lI'?i) I'norri s lan urotln.con'l

Pat Lundvall, Esq.Daniel G. Bogden, Esq.Kimberly 1-1. Albro, Esq.M cllonald Carano W ilson LLPl 00 W . Liberty Street, l 0th FloorReno, NV 89501(775) 788-2000

2 1 [email protected]

Dated: September l 6, 2009

sm adine SamterNadine Samter


Case 3:08-cv-00590-RCJ-VPC Document 81-2 Filed 09/17/2009 Page 1 of 1

CERTIFICATE OF SERVICE

2 I hereby certify that on September 16, 2009, I electronically filed the foregoing STIPULATED FINAL JUDGMENT AND ORDER FOR PERMANENT INJUNCTION

3 AND OTHER EQUITABLE RELIEF AS TO ALL CORPORATE DEFENDANTS, AARON GERSHFIELD, AND IVOR GERSHFIELD and STIPULATED DISMISSAL OF

4 JIM HARRIS with the Clerk of the Court using the CMIECF System, which will send notification of such filing to the following:

5

6 John DeQ. Briggs, Esq. Axinn, Veltrop & Harkrider, LLP

7 1330 Connecticut Avenue, N.W. Washington, DC 20036

8 (202) 721-5400 jbd'il avhla\\ .com

9 James K. Kaleigh, Esq.

10 Eric S. Berman, Esq. Howrey LLP

II 1299 Pennsylvania Avenue, N.W. Washington, DC 20004-2402

12 (202) 383-6821 kalcie:hj({Dhowrcv.com

13 bcrmanc(d'ho\Hcv.com

14 Steve L. Morris, Esq. Morris Peterson

15 6100 Neil Road, Suite 555 Reno, NV 895 I I

16 (702) 474-9400 sll1(c/'lllorrisia\\ urotlp.com

17 Pat Lundvall, Esq.

18 Daniel G. Bogden, Esq. Kimberly H. Albro, Esq.

19 McDonald Carano Wilson LLP 100 W. Liberty Street, 10th Floor

20 Reno, NV 89501 (775) 788-2000

21 [email protected]

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Dated: September 16, 2009

slNadine Samter Nadine Samter

FEDERAL TRADE CO\tMISSION 915 Second Ave., Sle. 2896 S~a1lIe, Was!ungton 98174

(206) 220-6350

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