Below Are The Findings Of Fact And Conclusions Of Law Of-Books Pdf

Below are the Findings of Fact and Conclusions of Law of
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Below are the Findings of Fact and Conclusions of Law of. Introduction, 2 JZK sued Coverdale in Thurston County Superior Court for violating the terms of a. 3 confidentiality provision in a contract and Coverdale mounted an ultimately unsuccessful. 4 defense raising counterclaims and affirmative defenses JZK prevailed in its lawsuit against. 5 Coverdale and was awarded 600 021 00 in attorney s fees and costs pursuant to an attorney s. 6 fees provision in its contract When Coverdale filed a voluntary Ch 7 petition for bankruptcy. 7 relief JZK s entire debt stood to be discharged pursuant to 11 U S C 727. 8 In an effort to avoid the discharge of its attorney s fee award JZK has attempted to recast. 9 Coverdale s conduct during its lawsuit as an abuse of process which could potentially form. 10 the basis of a willful and malicious injury pursuant to 11 U S C 523 a 6 The tort of abuse. 11 of process arises in litigation when a party misuses litigation primarily for the purpose of. 12 achieving another inappropriate end Sea Pac Co v United Food Commercial Workers. 13 Local Union 44 103 Wash 2d 800 699 P 2d 217 1985 It requires a showing of extreme. 14 conduct a form of extortion Batten v Abrams 28 Wash App 737 746 626 P 2d 984 1981. 15 JZK has not demonstrated that Coverdale s conduct in the lawsuit it filed against her rises to. 16 the level of extreme conduct required to show an abuse of process While ultimately. 17 unsuccessful Coverdale s defenses and counterclaims were not devoid of merit and no court. 18 found any of her arguments frivolous The Court also finds that Coverdale did not have an. 19 improper motive in pursuing her defense nor were her actions in defending the claim improper. 20 Therefore JZK failed to show that Coverdale caused a willful and malicious injury. 21 Furthermore JZK has not demonstrated that 11 U S C 523 a 7 applies in this case. 22 because one of the contempt sanctions was reversed and remanded and the second contempt. 23 sanction was both payable to JZK and compensatory in nature Section 523 a 7 only. 24 discharges a debt to the extent that such debt is for a fine penalty or forfeiture payable to and. 25 for the benefit of a governmental unit and is not compensation for actual pecuniary loss. FINDINGS OF FACT AND CONCLUSIONS OF LAW 2, Below are the Findings of Fact and Conclusions of Law of. emphasis added Therefore the Court holds that Coverdale s entire debt to JZK is. 2 dischargeable, 3 This Court has jurisdiction pursuant to 28 U S C 1334 This is a core proceeding under. 4 28 U S C 157 b 2 A and I Having heard the testimony of the witnesses reviewed the. 5 evidence submitted and heard the argument of counsel the Court makes the following Findings. 6 of Fact and Conclusions of Law under Fed R Bankr P 7052 and Fed R Civ P 52. 7 Findings of Fact, 8 1 JZK is an entity formed by Judith Darlene Knight a k a J Z Knight J Z Knight. 9 2 J Z Knight asserts that she channels Ramtha an alleged 35 000 year old. 10 warrior spirit, 11 3 J Z Knight and JZK operate Ramtha s School of Enlightenment RSE which.
12 was founded over 20 years ago Through RSE J Z Knight teaches spiritual principles allegedly. 13 provided to her by Ramtha RSE is based in Yelm Washington in Thurston County Since its. 14 founding the RSE claims to have had approximately 90 000 students. 15 4 J Z Knight purports to own certain copyright protections relating to the teachings. 16 and teaching methods of RSE which she licenses to JZK JZK provides instructions in the. 17 teachings of Ramtha for profit, 18 5 Defendant Virginia Coverdale began attending classes at RSE in 2006. 19 Coverdale s mother and brother David Champagne were already students of RSE. 20 6 As part of attending RSE Coverdale was required to sign a document titled the. 21 Conditions of Participation CoP Coverdale signed two such documents the latest of which. 22 was dated November 6 2007 Ex D4 The CoP contained a non disclosure clause. 23 The information and techniques taught here are for your knowledge only. You are licensed to use this information and techniques for your personal. 24 use only By signing these Conditions of Participation you agree not to. teach or otherwise disseminate through speeches books articles media. interviews or other forms of mass or group distribution collectively to. Teach or Disseminate any information or techniques that you learn or are. FINDINGS OF FACT AND CONCLUSIONS OF LAW 3, Below are the Findings of Fact and Conclusions of Law of. taught at the School and for teachers that you teach at the School nor will. you assist or facilitate other persons in doing so without the prior written. 2 consent of the School You further agree not to Teach or Disseminate. anything you BELIEVE you received from Ramtha in a dream a vision or. discipline or any other source, 4 7 In 2007 or 2008 Coverdale had an affair with J Z Knight s then boyfriend James. 5 Flick J Z Knight became aware of the liaison and became upset with Coverdale. 6 8 RSE expelled Coverdale from the school in an email from J Z Knight As a result. 7 Coverdale became estranged from the RSE community and did not participate as a student for. 8 some time, 9 9 Later Coverdale returned to RSE and attended several events In February 2012. 10 at an event at RSE where J Z Knight was allegedly channeling Ramtha in front of a gathering. 11 of RSE students J Z Knight made statements that Coverdale and others interpreted as. 12 referring to Coverdale as a whore Ex P2 p 3 While Coverdale did not attend this event. 13 she received calls from other members of RSE informing her of J Z Knight s statements. 14 10 After this event Coverdale became disillusioned with RSE and began criticizing. 15 RSE and J Z Knight to local officials Coverdale claimed that J Z Knight JZK and RSE. 16 engaged in a number of practices that were injurious to RSE s students alleged fire code. 17 violations at RSE s compound in Yelm financial scams instructing students to take the. 18 pharmaceutical Prozac and encouraging them to ingest a concoction that involved sea water. 19 and Red Devil lye Coverdale believes that RSE is a religious cult and has concerns that RSE s. 20 followers could be harmed by J Z Knight JZK and RSE Michael Wright the JZK legal affairs. 21 liaison admitted in testimony that there had been a fire in the JZK assembly hall when an. 22 amplifier caught fire and that the JZK fire suppression system did not use smoke detectors He. 23 also admitted that JZK had been involved in a Limited Offering for investment in an effort to. 24 develop international RSE schools, 25 11 When local officials failed to take any affirmative actions against RSE after.
Coverdale made several complaints Coverdale believed that her concerns were being ignored. FINDINGS OF FACT AND CONCLUSIONS OF LAW 4, Below are the Findings of Fact and Conclusions of Law of. because RSE had made donations to the campaigns of various public officials in Thurston. 3 12 As a result Coverdale sought to expose some of J Z Knight s potentially harmful. 4 teachings in the hope that public officials would distance themselves from RSE and reconsider. 5 Coverdale s complaints In October 2012 Coverdale received video footage from a third party. 6 showing J Z Knight allegedly channeling Ramtha Coverdale edited the video footage down to. 7 a short clip and posted the video on YouTube on October 18 2012 The video posted by. 8 Coverdale showed J Z Knight disparaging various groups including Mexicans Jews Catholics. 9 and homosexuals among others, 10 13 JZK became aware of the video Coverdale had posted online and on October 28. 11 2012 sent Coverdale a cease and desist letter demanding that Coverdale take the video down. 12 from YouTube Ex P12,13 JZK Initiates Litigation against Coverdale. 14 14 When Coverdale did not voluntarily remove the video JZK filed a lawsuit on. 15 October 29 2012 against her and John Does and Jane Does 1 20 the Doe Defendants in. 16 the Superior Court of the State of Washington for Thurston County Ex P14 The Complaint. 17 alleged claims for breach of contract and an injunction under the terms of the confidentiality. 18 clause contained in the CoP The Doe Defendants were alleged to be members of a group to. 19 which Coverdale belonged referred to as Enlighten Me Free EMF consisting of former. 20 students of RSE The group maintained an online messaging board where ex RSE students. 21 could discuss their concerns with JZK J Z Knight and RSE As discussed below in the course. 22 of the state court litigation JZK attempted to serve discovery upon some of the group and. 23 Michael Wright the legal liaison officer for JZK contacted members of the group He also sent. 24 a general email to former students including members of EMF announcing the litigation with. 25 Coverdale Wright was disingenuous about the reason for these efforts which the Court finds. FINDINGS OF FACT AND CONCLUSIONS OF LAW 5, Below are the Findings of Fact and Conclusions of Law of. were attempts to intimidate and suppress individuals who might oppose J Z Knight and JZK. 2 In the JZK Lawsuit JZK sought reimbursement for expenses of 42 319 for a private. 3 investigator Linda Montgomery Ex P77 p 52 17 18,4 JZK Moves for a Temporary Restraining Order TRO.
5 15 The day after filing the JZK Lawsuit JZK filed a Motion for a TRO seeking to. 6 require Coverdale to take down the video she posted and to prevent her from posting additional. 8 16 Coverdale opposed the TRO on the grounds that she did not breach the CoP and. 9 that the CoP was 1 unconscionable 2 adhesive 3 contrary to public policy and 4 a. 10 Strategic Lawsuit Against Public Participation suit S L A P P Ex P1 Coverdale s argument. 11 that she did not breach the CoP was based inter alia upon the fact that she was not attending. 12 RSE at the time she received the videos from a third party who had received the video from a. 13 livestreamed online broadcast and the CoP only banned dissemination of information or. 14 techniques that you learn or are taught at the School emphasis supplied Ex D4 The Court. 15 finds that her belief and arguments were in good faith and while unsuccessful not an. 16 unreasonable position, 17 17 On November 1 2012 the Superior Court granted JZK s TRO which prohibited. 18 the dissemination of JZK s information or materials including video footage Ex P16 The. 19 Superior Court set a preliminary injunction hearing for November 14 2012. 20 JZK Takes Action to Discredit Coverdale, 21 18 In late October 2012 JZK also began to orchestrate a media effort to disparage. 22 Coverdale and enlisted her brother David Champagne to send a letter to a reporter who was. 23 thought to be sympathetic with J Z Knight and JZK disparaging Coverdale To encourage. 24 Champagne to write the letter JZK put pressure on him and induced him to make a statement. 25 by offering him three tickets to a Ramtha feast for his mother his wife and him A feast is a. FINDINGS OF FACT AND CONCLUSIONS OF LAW 6, Below are the Findings of Fact and Conclusions of Law of. special event where Ramtha purportedly channels through J Z Knight for an elaborate dinner. 2 with a small number of invitees The charge for attending a feast with Ramtha is normally. 3 5 000 per person but the invitation to Champagne and his guests was free of charge So. 4 Champagne obtained a benefit of 15 000 at the same time that they were attempting to get. 5 him to write a letter to a local paper disparaging his sister Ex D3 p 2. 6 19 JZK s legal liaison officer Michael Wright offered the explanation at trial in this. 7 case that JZK was only helping Champagne tell his story but the Court finds this explanation. 8 not credible JZK attempted to help Champagne with the language of the letter Champagne. 9 was reluctant to make some of the statements and an email exchange between JZK legal. 10 officer Michael Wright and JZK s public relations representative Robert Wynne demonstrates. 11 JZK s efforts to enlist Champagne in their plan for disparaging Coverdale Ex D3 Mr Wright. 12 wrote in an email dated November 11 2012 that, 13 yesterday he expressed a lot of misgivings about speaking things that he did not. have personal knowledge about or interest in His main concern was that most of. 14 the words were not his and he did not want to appear to have become a. mouthpiece for the school Id p 2, 16 20 Then after Champagne agreed to the final form Mr Wright wrote he was.
17 dangling by thread sic yesterday morning when we spoke He will bounce back though and I. 18 trust the timing will be perfect Id, 19 JZK Obtains a Preliminary Injunction against Coverdale. 20 21 On November 14 2012 the Superior Court granted JZK s preliminary injunction. 21 over Coverdale s objection Ex P34 The preliminary injunction order barred Coverdale from. 22 assisting in or facilitating the copying reproducing or otherwise disseminating RSE information. 23 or materials including without limitation audio footage or video recordings of any events at. 24 RSE Id at p 3, 25 22 On November 16 2012 Coverdale filed an Amended Answer through her. counsel in which Coverdale admitted that she signed the CoP but denied the allegations that. FINDINGS OF FACT AND CONCLUSIONS OF LAW 7, Below are the Findings of Fact and Conclusions of Law of. she breached the terms of that agreement Ex P26 Coverdale asserted several affirmative. 2 defenses 1 lack of capacity to sue because the trademark and copyrights for the information. provided to her by Ramtha RSE is based in Yelm Washington in Thurston County Since its founding the RSE claims to have had approximately 90 000 students 4 J Z Knight purports to own certain copyright protections relating to the teachings and teaching methods of RSE which she licenses to JZK JZK provides instructions in the teachings of Ramtha for profit 5 Defendant Virginia

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