Professional Documents
Culture Documents
With introduction by
Jason Whitney
Caveat
NON-ATTORNEY:
The author(s) of the following publication is/are not a
licensed aorney(ies) and thus is/are not qualied to
practice law nor dispense legal advice. Furthermore, the
following publication shall not constitute legal advice and
is not intended as such. If the reader is in need of legal
advice the reader should consult a legal professional.
DISCLAIMER OF WARRANTIES:
This information is provided AS IS without warranty of
any kind, either expressed or implied, including, but not
limited to, the implied warranties of tness for a particular
purpose.
TYPOGRAPHIC ERRORS:
This publication is provided AS IS without warranty of
any kind, either expressed or implied, including, but not
limited to, the implied warranty of tness for a particular
purpose.
INDEMNIFICATION BY USER:
User agrees to indemnify, defend and hold LAW
RESEARCH GROUP, LLC harmless from any liability,
loss, claim and expense, including aorneys fees related
to a users violation of these terms and conditions.
Introduction
Lightbringer, the author of the following work, Life, Law
and the UCC, is by far one of the most eloquent writers
on the legal theory/philosophy commonly referred to
as Commercial Redemption. Lightbringer has an
exceptionally diverse educational background, well beyond
the legal realm and at one point in life shared a home with
legendary Buddhist scholar Allan Was. However, with
regard to law, Lightbringer has studied directly under such
legendary legal minds as John Nelson and Hartford Van
Dyke. Furthermore, Lightbringer is largely responsible
for the somewhat infamous Cracking the Codei books
as he personally contributed wrien material, as well as
trained the one man particularly responsible for compiling
the nished work.
Nowadays, Lightbringer functions outside the scope of the
public, rarely rising to surface. However, on rare occasion,
he may be available for a lecture or two in random
locations throughout the country, and upon conclusion,
retreating ever so clandestinely until his next desire to
communicate his various philosophical understandings,
historical perspective, legal theories, fact, and associated
technology.
Even aer almost four years, I still nd the information
in this book to be rather enjoyable, as it reads much in
the nature of a philosophy book. If you, the reader, are
yourself philosophically minded then you shall certainly
enjoy this work, in addition to the historical references
included as well.
There is one important point we would like to make in
the nature of a caveat with respect to a particular process
that is encouraged in the later portion of this publication;
6
Underlying Principles
-- Jason Whitney
___________________
i
/LIH/DZDQGWKH8&&
8QGHUO\LQJ3ULQFLSOHV
E\%ULDQ/XFDV
3DUW
7KLVDUWLFOHLVDERXWIUHHGRPLHKRZWROLYHIUHHRIWKHVFRXUJHRIJRYHUQPHQWXVXUSDWLRQDQG
LPPXQL]H \RXUVHOI DJDLQVW WKH SODJXH RI WKH OHJDO V\VWHP ZLWK LWV DWWRUQH\V FRXUWV MXGJHV
DJHQFLHVSROLFHHWF 7RHVWDEOLVKWKLVVLWXDWLRQHIIHFWLYHO\\RXPXVWKDYHDEDVLFXQGHUVWDQGLQJ
RI IXQGDPHQWDO SULQFLSOHV WKDW RSHUDWH LQ OLIH LQ JHQHUDO DQG LQ ODZ LQ SDUWLFXODU DV ZHOO DV
XQGHUVWDQGSUDFWLFDOPHDQVIRUXWLOL]LQJWKHNQRZOHGJHLQDPDQQHUWKDWLVHDVLO\FRPSUHKHQVLEOH
DQGGRDEOH
7KHUHDVRQIRUFRQFHQWUDWLQJRQODZLVWKDWLWLVXQLTXHDPRQJDOORIPDQVGRPDLQVRIDFWLYLW\
1DPHO\ ODZ LV IRUFHRIILFLDO H[HUFLVHV RI GHDGO\ YLROHQFHDQG LV WKHUHIRUH QRW PHUHO\
DQRWKHUDFDGHPLFGLVFLSOLQH ,QGHHGODZFDQEHGHILQHGDVWKHUXOHVXWLOL]HGE\DJRYHUQPHQW
LQYROYLQJWKHXVHRIGHDGO\IRUFH %HFDXVHODZLQYROYHVOLIHDQGGHDWKDSSOLFDWLRQVRILGHDVDQG
SULQFLSOHV LW LV HVVHQWLDO IRU VXUYLYDO DQG ZHOO EHLQJ WKDW ZH XQGHUVWDQG ZKDW WKHVH LGHDV DQG
SULQFLSOHV DUH DQG KRZ WKH\ PXVW EH XVHG IRU VDIHJXDUGLQJ RQHV OLIH IRUWXQH DQG VDFUHG
KRQRU
,7KH&XUUHQW6WDWHRIWKH/DZLQ$PHULFD
6HYHUDO \HDUV DJR WKLV DXWKRU FRQWDFWHG :HVW/DZ /H[XV DQG VHYHUDO RWKHU LVVXHUV DQG
SXEOLVKHUVRIPDWHULDOVEHDULQJRQODZUHTXHVWLQJWKHSXUFKDVHRIVHYHUDO&'VLQYROYLQJ6WDWH
DQG )HGHUDO ODZ 7KH XQLIRUP DQVZHU IURP DOO LVVXHUV ZDV WKDW WKH\ ZRXOG UHQW WKH &'V EXW
QRW VHOO WKHP 8SRQDVNLQJWKHUHDVRQIRUWKHLUXQZLOOLQJQHVVWRVHOOWKHPDWHULDOWKHLUDQVZHU
ZDVVWDUWOLQJWKHODZFKDQJHVVRIUHTXHQWO\DQGGUDPDWLFDOO\WKDWFRQWLQXDOXSGDWHVDUHQHHGHG
IRUWKH&'V ,QIDFWWKHUHSUHVHQWDWLYHVVWDWHGWKDWDWWRUQH\VPXVWGHWHUPLQHWKHFXUUHQWVWDWXV
RIWKHODZEHIRUHJRLQJWRFRXUWWKDWGD\LQRUGHUWRNQRZZKDWWKHODZLVWKDWFDQEHXVHGDQG
UHOLHGRQ
7KHUHVSRQVHWRDOORIWKHVHUHSUHVHQWDWLYHVZDV6XSSRVHQDWXUDOODZEHKDYHGLQVXFKDQHUUDWLF
PDQQHU" $OO DJUHHG WKDW WKH UHVXOW ZRXOG EH FKDRV DQG SHUSHWXDO XQUHOLDELOLW\ 'RHV WKDW
DQVZHU QRW OLNHZLVH UHIOHFW WKH VWDWH RI WKH OHJDOFRXUW V\VWHP LQ WKH 8QLWHG 6WDWHV WRGD\"
$Q\RQHZLWKDFWXDOH[SHULHQFHZLWKWKHFRXUWVNQRZVWKDWWKHODZVDUHFRPSOH[HYHUFKDQJLQJ
XOWLPDWHO\ XQNQRZDEOH LQ WRWDOLW\ RI VFRSH DQG GHSHQGDELOLW\ DQG JHQHUDOO\ XQUHOLDEOH $OO RI
WKLVRFFXUVZLWKSHRSOHVOLYHVDQGGHVWLQLHVDWWDFKHG
3DJH RI
/LIH/DZDQGWKH8&&
8QGHUO\LQJ3ULQFLSDOV
,W LV ZHOONQRZQ WKDW WKH 8QLWHG 6WDWHV /LEUDU\ RI &RQJUHVV QRZ KDV EHWZHHQ DQG
ERRNV RQ ODZ $Q\ ODZ OLEUDU\ LV D GDXQWLQJ SODFH SRVVHVVLQJ URZ DIWHU URZ RI
VKHOYHVZLWKERRNVIXOORIILQHSULQW 0DNLQJNQRZOHGJHRIVXFKODZHYHQPRUHXQDWWDLQDEOH
LV QRW RQO\ WKDW ZKDW SDVVHV IRU ODZ WRGD\ SHUSHWXDOO\ FKDQJHV DOWHUHG E\ HYHU\ QHZ FRXUW
FDVHRSLQLRQOHJLVODWLYHHQDFWPHQWDQGDOORIWKHHYHUFKDQJLQJSROLFLHVUXOHVDQGUHJXODWLRQV
RI DGPLQLVWUDWLYH DJHQFLHV EXW DQ LPPHQVH DPRXQW RI WKH ZRUOGV ODZ WRGD\ DV DFWXDOO\
LPSOHPHQWHGLVXQZULWWHQDQGLQDFFHVVLEOH 7KLVLVQRWRQO\EHFDXVHMXGJHVRSHUDWHLQJHQHUDO
HTXLW\ LQ ZKLFK WKH XOWLPDWH DUELWHU RI D PDWWHU LV WKH FRQVFLHQFH RI WKH FRXUW LH KRZ WKH
MXGJH IHHOVDERXWVRPHWKLQJWKDWGD\EXWEHFDXVHDOPRVWDOORI WKH ZRUOGVODZLV WKH SULYDWH
/DZ0HUFKDQWRIWKH&UHGLWRUVLQEDQNUXSWF\RIWKHZRUOGVQDWLRQVHVVHQWLDOO\DOORIZKLFKDUH
LQVROYHQW DQG LQ UHFHLYHUVKLS WR WKH %DQNHUV>@>@ 7KLV SULYDWH /DZ 0HUFKDQW LV RI DQFLHQW
RULJLQDQGLVLPSOHPHQWHGWRGD\E\PHQZKRVHLGHQWLWLHVDUHXQNQRZQWRWKHPDVVRIPDQNLQG
,Q WKH IDFH RI WKLV XQGHSHQGDELOLW\ RI ODZ ZH PD\ DVN VRPH IXQGDPHQWDO DQG LQJHQXRXV
TXHVWLRQV
,VWKHUHVXFKDWKLQJDVJHQXLQHODZWKDWLVWLPHOHVVVWDEOHDQGGHSHQGDEOH"
,IVRFDQVXFKXQLYHUVDOODZEHHIIHFWLYHO\LQYRNHGDQGXWLOL]HGLQSUDFWLFHWRGD\"
,IJHQXLQHODZH[LVWVZK\LVLWQRWWDXJKWDQGXQLIRUPO\XWLOL]HGLQVWHDGRIWKHFKDRWLFDQG
FRORUDEOHFKDUDGHWKDWGRPLQDWHVWKHOHJDOILHOGWRGD\"
&DQZHLQWHJUDWHVDLGXQLYHUVDOODZZLWKWKHHSKHPHUDOGHVXOWRU\ODZWKDWQRZHQVODYHV
WKHRYHUZKHOPLQJPDMRULW\RISHRSOHRQWKLVSODQHW"
)RUWXQDWHO\DIILUPDWLYHDQVZHUVUHDOORIWKHDERYHTXHVWLRQV $QVZHULQJWKHPDQGSURYLGLQJ
FOHDUXQGHUVWDQGLQJDQGHIIHFWLYHSUDFWLFDOZD\VIRUXWLOL]LQJJHQXLQHODZLVWKHVXEMHFWRIWKLV
DUWLFOH
,,)XQGDPHQWDO3ULQFLSOHV
3UHFHGLQJ DQG PRUH IXQGDPHQWDO WKDQ DQ\ FRGLILFDWLRQV RI PDQPDGH ODZ LV WKH XQGHUO\LQJ
FRQWH[WZLWKLQZKLFKDOOVXFKODZH[LVWVDQGLVUHQGHUHGRSHUDWLRQDO 7KHVHSUHODZSULQFLSOHV
FRQVLVWRIYDULRXVLQWULQVLFDQGWLPHOHVVWUXWKVWKDWDUHXQLYHUVDODQGLQYLRODEOHUHJDUGOHVVRIWKH
SDUWLFXODUVRIDQ\ODZFRQFRFWHGE\JRYHUQPHQWVWKDWPLJKWEHVXSHULPSRVHGRYHUDJDLQVWDQG
RQWRSRIVXFKLQQDWHDVSHFWVRIOLIH 7KHVHH[LVWHQWLDOHWKLFDOSULQFLSOHVDQGWUXWKVDUH
All existence originates and emerges from, and consists and expresses the essence,
substance, nature, character, reality, and laws of being of, the prior, originating Source of itself
,Q RWKHU ZRUGV LW LV D[LRPDWLF WKDW HYHU\WKLQJ LV DQ H[SUHVVLRQ RI DQG RQH ZLWK WKDW ZKLFK
FDXVHG JHQHUDWHG DQG EHJHWV LW DQG DOVR WKDW DOO WKDW H[LVWV IXQFWLRQV LQ DFFRUGDQFH ZLWK WKH
ODZVWKDWPDNHLWZKDWLWLV :KDWVRPHWKLQJLVDQGWKHODZV E\ZKLFKLWVXEVLVWVDQGIXQFWLRQV
DUHPHUHO\GLIIHUHQWDVSHFWVRIRUSHUVSHFWLYHVRQWKHVDPHUHDOLW\ 7KHXQLYHUVHLVDFRVPRV
3DJH RI
/LIH/DZDQGWKH8&&
8QGHUO\LQJ3ULQFLSDOV
3DJH RI
/LIH/DZDQGWKH8&&
8QGHUO\LQJ3ULQFLSDOV
2QH PD\ UHDVRQDEO\ SRVWXODWH WKDW WKH JUHDWHVW VRXUFH RI PDQV VXIIHULQJ DQG SUREOHPV LQ
LQGLYLGXDO DQG VRFLDOLQVWLWXWLRQDOOLIHLVQRWUHDOL]LQJWKLVFUXFLDOFHQWUDOIDFW ,QVWHDGSHRSOH
EODPHSURMHFWEHOLHYHDQGDWWULEXWHWKHUHVSRQVLEOHJHQXLQHVRXUFHRIWKHLURZQWKRXJKWVDQG
DFWLRQVIDOVHO\RQDQXQOLPLWHGQXPEHURIWKLQJVRXWVLGHRIDQGRWKHUWKDQWKHPVHOYHV 0DQ\
SHRSOH HYHQ EHOLHYH WKDW PDQ LV VRPH NLQG RI VWLPXOXVUHVSRQVH WURSLVP GHYRLG RI DXWRQRP\
VHOIRULJLQDWLQJFKRLFHDQGFDSDFLW\IRUFUHDWLQJ
6RPHRIWKHFRQVHTXHQFHVDQGUDPLILFDWLRQVRIWKLVIRXQGDWLRQDOSUHPLVHDUHDVIROORZV
D
One can accurately and ethically speak only for oneself. 2QO\ HDFK XQLTXH DQG
XQIDWKRPDEOH VHQWLHQW EHLQJ NQRZV WKDW EHLQJV RZQ XQLTXH WUXWK DQG SRVVHVVHV WKH
UHVSRQVLELOLW\ DQG ULJKW IRU SURFODLPLQJ LW LQ DFFRUGDQFH ZLWK KLV XQLTXH SULRULWLHV DQG
SHUVSHFWLYHLQWLPHDQGVSDFH
E
One can experience the behavior, actions, and appearance of another being but not that
beings inner experience, feelings, and sensations ,QWKHZRUGVRIWKH%LEOH0DQORRNHWKXSRQ
WKH RXWZDUG DSSHDUDQFH EXW WKH /RUG ORRNHWK XSRQ WKH KHDUW ,Q KLV ERRN The Politics of
Experience & ' /DLQJ EULOOLDQWO\ HODERUDWHV RQ WKLV DVSHFW RI PDQ DQG KLV UHODWLRQVKLS ZLWK
RWKHUV
F
The prime cause of all events and actions in the life of man is the free-will
thought/decision/act of some unique man or woman +XPDQHYHQWVGRQRWFDXVHWKHPVHOYHV
LQGLYLGXDO SHRSOH FDXVH WKHP 'RFXPHQWV GR QRW ZULWH WKHPVHOYHVVRPH SDUWLFXODU EHLQJ
ZULWHVWKHPDVZHOODVDFWVRQWKHPRUQRWDVHDFKSDUWLFXODUDFWRUGHFLGHVRIKLVKHURZQIUHH
ZLOO ,QGLYLGXDO IUHHZLOO WKRXJKWDFWLRQ LV WKH FDXVH UHIHUHQFHG LQ WKH SKUDVH QDWXUH DQG
FDXVHLQWKH6L[WK$PHQGPHQWRIWKH&RQVWLWXWLRQRIWKH8QLWHG6WDWHV
G
Man can act in a win/win or win/lose manner $ZLQZLQLQWHUDFWLRQLVDQH[SUHVVLRQRI
SHDFHGLJQLW\ORYHXQLW\KDUPRQ\PXWXDOJRRGIDLWKDEVHQFHRIPDOLFHDQGGHFHLWDQGDOORI
WKH RWKHU LQJUHGLHQWV LQ FRQWUDFW ODZ UHTXLUHG IRU D YDOLG FRQWUDFW HQIRUFHDEOH DW ODZ )UHH
FRQVHQW RI DOO FRQWUDFWLQJ SDUWLHV LV HVVHQWLDO $ ZLQORVH LQWHUDFWLRQ LV DQ H[SUHVVLRQ RI
VHSDUDWLRQFRQIOLFWDQGGLVKDUPRQ\DQGQHYHUUHVXOWVLQDJHQXLQHFRQWUDFWWKHZLQQHUFODLPV
H[LVWV ,QDFWXDOLW\DZLQORVHLQWHUDFWLRQLVQRQH[LVWHQWVLQFHHYHQWKHZLQQHUORVHVLQWKH
HQG 6XFK DQ DSSDUHQW YLFWRU FDXVHV KDUP WR RWKHUV FUHDWLRQ DQG KLPVHOI +H PD\ WKLQN KH
ZLQVEXWLQDFFRUGDQFHZLWKWKHLQH[RUDEOHODZVRIH[LVWHQFHKH UHDSV ZKDW KH VRZV LQFXUV
WKH FRUUHVSRQGLQJ NDUPD DFWLRQUHDFWLRQ RU FDXVHHIIHFW FRQVHTXHQFHV RI HYHU\ GHHG E\ KLV
KDUPIXO DFWV 7KH *ROGHQ 5XOH LQ H[LVWHQWLDO WHUPV PLJKW EH H[SUHVVHG 2QH ZKR KDUPV
RWKHUV KDUPV KLPVHOI RU 7KDW ZKLFK VRPHRQH GRHV XQWR VRPHRQH HOVH VKDOO EH GRQH XQWR
KLP +HZKROLYHVE\WKHVZRUGGLHVE\WKHVZRUG
Manifest existence is the interplay of opposites :KDW ZH FDOO FUHDWLRQ LH VRPHWKLQJ
PDQLIHVW DQG SHUFHSWLEOH DV RSSRVHG WR WKH QRWKLQJQHVV RI WKH HWHUQDO XQFUHDWHG QRQGXDO
DEVROXWHLVUHODWLYHHYHUFKDQJLQJGXDOLW\ 'XDOLW\LPSOLHVDVSOLWDVLWZHUHLQWKH2QHVR
3DJH RI
/LIH/DZDQGWKH8&&
8QGHUO\LQJ3ULQFLSDOV
WKDW ZKDW FDQ EH SHUFHLYHG LV ZKDW LW LV E\ YLUWXH RI LWV UHODWLRQVKLSV ZLWK RWKHU DVSHFWV RI
PDQLIHVWDWLRQ 7KDW ZKLFK LV FDOOHG XS LV VR RQO\ LQ UHODWLRQ WR ZKDW LV FDOOHG GRZQ
6LPLODUO\GDUNLVWKHDEVHQFHRIOLJKW 5LJKWLVZKDWLWLVE\YLUWXHRISHUFHLYLQJLWVRSSRVLWH
ZKLFK LV OHIW *RRG LV FRQVLGHUHG DV EHLQJ VR EDVHG XSRQ FRQWUDVWLQJ LW ZLWK DQ RSSRVLWH
YDOXHZKLFKIURPVRPHUHODWLYHSHUVSHFWLYHLVFRQVLGHUHGDVOHVVJRRGRUQRWJRRGLHHYLO
$OOFRLQVKDYHDKHDGVDQGWDLOVVLGHMXVWDVHYHU\PDQLIHVWWKLQJKDVWZRVLGHV 7KHERWWRPDQG
WRSRIDQ\JLYHQWKLQJH[LVWVLPXOWDQHRXVO\
7KHUHIRUH LQ PDQLIHVW H[LVWHQFH LH WKH HYHUFKDQJLQJ 5HODWLYH ZKDW VRPHWKLQJ LV DQG
ZKDWHYHUYDOXHVPLJKWEHDWWDFKHGWRLWDUHDIXQFWLRQRIWKHSHUVSHFWLYHDQGHYDOXDWLRQRIWKH
SDUWLFXODUSHUFHLYHUHYDOXDWRU 7RDJLDQWZKRLVWDOODPDQWDOOLVDPLGJHWWRDPLGJHW
WDOOWKHPDQLVDJLDQW $OOWKLQJVDUHLQUHODWLRQDQGLQGHHGWKH\DUHZKDWWKH\DUH
E\YLUWXHRIWKHLUUHODWLRQVKLSZLWKRWKHUWKLQJVDVVXEMHFWLYHO\SHUFHLYHGDQGHYDOXDWHGE\VRPH
XQLTXH REVHUYHUNQRZHU LQ D PDWUL[ RI PDQLIHVWDWLRQ IURP ZKLFK WKDW SDUWLFXODU DVSHFW RI
FUHDWLRQPD\EHREVHUYHG
%HFDXVH HYHU\RQH LV QRW RQO\ SURIRXQGO\ XQLTXH LQ QDWXUH EXW QHFHVVDULO\ FDQQRW RFFXS\ DQ\
RUGHU DQG SRVLWLRQ LQ WKH WRWDO VFKHPH RI WKLQJV RWKHU WKDQ ZKDWZKHUH KH LV DQG FDQQRW EH
LGHQWLFDOFRQFHUQLQJWKHVHSDUDPHWHUVZLWKDQ\RQHHOVHHYHU\RQHQHFHVVDULO\SHUFHLYHVH[LVWHQFH
GLIIHUHQWO\WKDQDQ\RQHHOVH 7KDWZKLFKVRPHRQHVHHVRQHZD\DQRWKHUZLOOYLHZLQDGLIIHUHQW
PDQQHU :KDWRQHFRQVLGHUVDVULJKWZLOOEHWKRXJKWRI DVZURQJE\DQRWKHU 7KDWZKLFKVRPH
FRQVLGHUJRRGZLOOEHUHJDUGHGDVHYLOE\RWKHUV 7KLVUHODWLYLVPHQJHQGHUV6KDNHVSHDUHV
FRPPHQWLQ+DPOHW7KHUHVQRWKLQJJRRGRUEDGEXWWKLQNLQJPDNHVLWVR 7KHUHLVQRSRLQW
LQUDLOLQJDJDLQVWWKLVDVSHFWRIOLIHDVPRUDOUHODWLYLVPRUFRQFOXGLQJWKDWDVDUHVXOWDQ\WKLQJ
JRHVVLQFHZKLOHYDOXHVDUHSRVVLEOHRQO\IURPWKHSRLQWRIYLHZRIDJLYHQSHUVSHFWLYHWKHUH
DUHIXQGDPHQWDOHOHPHQWVRIPDQDQGOLIHWKDWDOOKDYHLQFRPPRQ 2QO\IURPWKLVYDQWDJHSRLQW
FDQ DQ\ EDVLV EH SUHVXPHG IRU DVVLJQLQJ XQLYHUVDO YDOXHV WR SDUWLFXODU PRGHV RI EHKDYLRU
3HUKDSVWKHPRVWIXQGDPHQWDORIWKHVHYDOXHVLVGHULYHGIURPWKHYHU\QDWXUHRIPDQDQGOLIHDV
GHVFULEHGE\WKHQH[WSULQFLSOH
The nature of life is to grow, progress, and evolve towards its fulfillment, towards everfuller realization of its own unbounded divinity and infinity ,QRUGHUWREHDEOHWROLYHWRIXUWKHU
OLIHVRPHWKLQJPXVWILUVWDQGIRUHPRVWEHDEOHWROLYH 7KLVLVZK\VXUYLYDO LVWKHILUVWODZRI
OLIH :LWK WKDW FRPHV DEVROXWH ULJKW WR HQJDJH LQ DQ\ MXVW ODZIXO RU QHFHVVDU\ PHDVXUHV IRU
VHOIGHIHQVHDVWKHVWHZDUGRIRQHVRZQOLIH 6XUYLYDOKRZHYHULVG\QDPLF ,WLVQRWVWDJQDQW
EXW HPERGLHV GLUHFWLRQ FRQVLVWLQJ RI D GULYH IRU PRUH GLIIHUHQW DQG EHWWHU 7KLV LV ZK\
SUREOHPVDUHQRWVROYHGRQWKHOHYHORIWKHSUREOHPDQGVXUYLYDOWKULYHVRQSURJUHVVZKLFKLQ
WXUQWKULYHVRQVROXWLRQV 'ZHOOLQJRQDQGZDOORZLQJLQSUREOHPVFUHDWHVDQGUHLQIRUFHVWKHP
ZKLOHQRWFUHDWLQJVROXWLRQV
$OO OLIH VHHNV ILHOGV RI JUHDWHU KDSSLQHVV 1R RQH PXVW EH WDXJKW WKDW KH ZLVKHV KDSSLQHVV RU
WKDW KH SUHIHUV VXFK D FRQGLWLRQ LQ FRPSDULVRQ ZLWK LWV UHODWLYH RSSRVLWH XQKDSSLQHVV DQG
3DJH RI
/LIH/DZDQGWKH8&&
8QGHUO\LQJ3ULQFLSDOV
VXIIHULQJ &RQVHTXHQWO\LIRQHXQGHUVWDQGVWKLVXQLYHUVDOQDWXUHLVLQQDWHLQDOOSHRSOHRQHPD\
OLYHWKH*ROGHQ5XOHDQGWKHUHIRUHH[SHULHQFHDOLIHRIKDUPRQ\JRRGUDWKHUWKDQGLVVRQDQFH
HYLO
The map is not the territory; the name is not the thing named; the symbol/idea/word is not
the substantive thing being abstractly expressed 2QHFDQQRWVSHQGWKHZRUGPRQH\QRUHDW
WKHZRUGSL]]D 7KLVLVWKHHVVHQFHDQGSULPHSULQFLSOHRIVHPDQWLFV $OWKRXJKWKLVSULQFLSOH
PD\EHVHOIHYLGHQWLWGRHVQRWSUHYHQWPDQ\SHRSOHIURPPLVWDNLQJWKHWZR 6RPHSHRSOHHDW
WKHPHQXDQGOHDYHWKHGLQQHUDVWKHODWH*UHJRU\%DWHVRQSKUDVHGWKHPDWWHU
All truth is subjective 7KH QDWXUH GHSWK VWUXFWXUH DQG FRPSOH[LW\ RI HDFK PDQ DQG
ZRPDQ LV XQIDWKRPDEOH DQG HDFK PDQ DQG ZRPDQ H[SHULHQFHV OLIH LQ D XQLTXH PDQQHU ,Q
DGGLWLRQ PDQLIHVW H[LVWHQFH LV SURFHVV LQ SDWWHUQIORZV LQWHUDFWLRQV DQG WUDQVIRUPDWLRQV RI
LQVFUXWDEOHHQHUJ\PRYLQJDWDVWURQRPLFDOVSHHGVLQWKHYDVWQHVVRIHPSW\VSDFHHPHUJLQJIURP
DQG UHPHUJLQJ EDFN LQWR WKH DEVROXWH XQPDQLIHVW 7KH HWHUQDO XQERXQGHG DEVROXWH LV
XQPDQLIHVW DQG SRVVHVVHV QR SURSHUWLHV DVFHUWDLQDEOH DQG GHILQDEOH E\ DQG LQ WHUPV RI WKH
UHODWLYHPDQLIHVWLWEHJHWV %RWKVRXUFHDQGPDQLIHVWDWLRQDUHWKHUHE\LQILQLWHDQGXQIDWKRPDEOH
DQGHDFKPDQDQGZRPDQLVDXQLTXHDVSHFWH[SUHVVLRQRIERWK 7KHPDQLIHVWLVXQLTXHLQH[DFW
FRQILJXUDWLRQDWHDFKSUHFLVHPRPHQWDQHZZLWKHDFKFRQILJXUDWLRQXQUHSHDWDEOHLHQHYHUWKH
VDPH DV LW HYHU ZDV DW DQ\ WLPH QHLWKHU LQWR WKH XQOLPLWHG SDVW QRU DV LW HYHU ZLOO DJDLQ EH
WKURXJKRXWWKHXQHQGLQJQHVVRIWLPH ,QDVPXFKDVHDFKPDQDQGZRPDQLVDXQLTXHH[SUHVVLRQ
RIERWKWKHXQERXQGHGXQIDWKRPDEOHDEVROXWHDQGWKHHYHUFKDQJLQJQRQUHSHDWLQJPDQLIHVWWKH
SDUWLFXODUSHUVSHFWLYHDQGH[SHULHQFHRIHDFKPDQDQG ZRPDQLHKLVKHUWUXWKZLOOOLNHZLVHEH
XQLTXH IRU HDFK FRQVFLRXV XQLW RI H[SHULHQFH DQG SHUFHLYHG DQG XQGHUVWRRG LQ D PDQQHU DQG
SHUVSHFWLYHWKDWLVXQLTXHDQGVXEMHFWLYHIRUHDFK
0RUHRYHUEHFDXVHPDQVLQKHUHQWQDWXUHLVWKHNQRZHUDQGH[SHULHQFHUHYHU\RQHVXEMHFWLYHO\
FRQVLGHUVWKDWZKDWKHLVGRLQJWKLQNLQJRUIHHOLQJLVMXVWLILHGIURPKLVRZQSHUVSHFWLYH 7KLV
SHUVSHFWLYHLVXQLTXHWRKLPDQGFDQQRWEHLGHQWLFDOO\VKDUHGE\DQ\RQHHOVH 7KLVVKRXOGEHD
VRXUFHRIWROHUDQFHDQGGHIHUHQFHEHWZHHQSHRSOH
Man is a goal-oriented being (YHU\WKLQJPDQGRHVLVIRUVRPHSXUSRVHLHIRUDFKLHYLQJ
VRPH REMHFWLYH 7KLV LV ERUQH RI WKH DERYHGHVFULEHG GULYH LQ DOO OLIH IRU PRUH KDSSLQHVV
DEXQGDQFHDFKLHYHPHQWSRZHUSHDFHDQGEOLVV ,WLVVHOIHYLGHQWWKDWDWDQ\JLYHQLQVWDQWDQ
LQILQLWHQXPEHURIWKRXJKWVIHHOLQJVSHUVSHFWLYHVSULRULWLHVDQGDFWLRQVDUHSRVVLEOHIRUPDQ ,W
LVHTXDOO\VHOIHYLGHQWWKDWQRRQHFDQDFWRQPRUHWKDQDUHODWLYHO\VPDOOILQLWHQXPEHURIWKHVH
LQILQLWHSRVVLELOLWLHVDWWKHVDPHWLPH 7KHLQQDWHWKUXVWHQHUJ\RIOLIHKRZHYHULVIRUPRUH
WRZDUGVIXOOUHDOL]DWLRQRILWVRZQLQILQLWHDQGGLYLQHQDWXUH
%HFDXVH HYHU\RQH LV XQLTXH LQ QDWXUH VWUXFWXUH H[SHULHQFHV SRVLWLRQ LQ VSDFHWLPH HWF WKH
SHUVSHFWLYHVQHHGVGHVLUHVDQGSULRULWLHVRIHYHU\RQHDUHOLNHZLVHXQLTXHDQGWKHUHE\IXQFWLRQ
WR FKDQQHO OLIHV LQQDWH GULYH IRU PRUH LQWR GLUHFWLRQV WKDW HDFK EHLQJ FRQVLGHUV DV EHLQJ PRVW
3DJH RI
/LIH/DZDQGWKH8&&
8QGHUO\LQJ3ULQFLSDOV
EHQHILFLDO IRU IXUWKHULQJ WKH JURZWK SURJUHVV DQG IXOILOOPHQW RI WKDW XQLTXH EHLQJ $OO
DFKLHYHPHQWV LQ WKH OLIH RI PDQ DUH WKHUHIRUH VWHSV RU HYHQ PLOHVWRQHV RQ WKLV SDWK WRZDUGV
IXOILOOPHQW 7KH XOWLPDWH JRDO LV SDYHG E\ LQQXPHUDEOH ILQLWH JRDOV UHDOL]HG RQ RQHV OLIHV
FRXUVH DOO RI ZKLFK DUH FKRVHQ IRU WKH SXUSRVH RI PD[LPL]LQJ DFKLHYHPHQW SURJUHVV DQG
KDSSLQHVV 1R RQH NQRZLQJO\ EHKDYHV LQ ZD\V WKDW UHWDUG DQG WKZDUW WKH LQKHUHQW OLIHGULYH
ZLWKLQ KLP IRU KLV RZQ VXFFHVV DQG XOWLPDWH IXOILOOPHQW 0DQ DFWV LQ DFFRUGDQFH ZLWK KLV
VLWXDWLRQ DQG VWDWH RI EHLQJ DW DQ\ JLYHQ WLPH LQ WKH PDQQHU WKDW KH GHHPV EHVW IXUWKHU KLV
LQWHUHVWV DQG ZRXOG FRQVLGHU DOWHUQDWLYH FRXUVHV RI DFWLRQ DV DW EHVW XVHOHVV DQG DW ZRUVW
GHVWUXFWLYHRIKLVRZQGHVLUHGHQGV ,QRWKHUZRUGVLIRQHNQHZDQDOWHUQDWLYHWKDWZDVVXSHULRU
UHREWDLQLQJDQREMHFWLYHKHZRXOGDGRSWLW
In every living being is to be observed supreme self-love 7KLVLVVLPSO\OLIHORYLQJLWVHOI
SURYLGLQJWKHLPSHWXVIRUVDIHJXDUGLQJDQGIXUWKHULQJLWVLQQDWHGULYHIRUJURZWKDQGIXOILOOPHQW
:LWKRXWVHOIORYHOLIHZRXOGORQJDJRKDYHGLVDSSHDUHGIRUZDQWRILPSHWXVWRSUHVHUYHLWVHOI
3ULPDOVHOIORYHPDNHVVHQVHRIWKHZRUOG
All law is contract. or Contract makes the law. $OOODZRIHYHU\NLQGLQFOXGLQJWKH
ODZVRIEHLQJODZVRIWKRXJKWQDWXUDOODZDQGHYHU\VSHFLHVRIPDQPDGHODZWKDWLVZDVDQG
HYHU ZLOO EH RU FRXOG EH LV FRQWUDFW 7KH HVVHQFH DQG IRXQGDWLRQ RI D FRQWUDFW LV DJUHHPHQW
3HRSOHWKLQJVDQGSURFHVVHVUHODWHLQPXWXDODJUHHPHQWWKDWFHUWDLQWKLQJVDUHWUXHRSHUDWLRQDO
H[SHFWHGFRPPLWWHGDQGLIWKLVRUWKDWKDSSHQVVXFKDQGVXFKZLOORFFXU (DFKRIWKHWHQ
$UWLFOHVRI$PHQGPHQWRIWKH&RQVWLWXWLRQLHWKHVRFDOOHG%LOORI5LJKWVH[SUHVVSULQFLSOHV
RIFRPPHUFLDOODZ )RULQVWDQFHWKHWHUPQDWXUHLQWKHSKUDVHQDWXUHDQGFDXVHLQWKH6L[WK
$PHQGPHQW RI WKH &RQVWLWXWLRQ UHIHUV WR WKH XQGHUO\LQJ FRQWUDFW ZKHWKHU FLYLO PHDQLQJ
PRQH\VSHFLILFSHUIRUPDQFHRUFULPLQDOPHDQLQJDFRQWUDFWRILQGHEWHGQHVVRIDQDJJUHVVRUWR
KLVYLFWLPIRUWKHZURQJVRUGDPDJHVGRQHDORQJZLWKWKHSURRIRIGHIDXOWRQWKHFRQWUDFWRU
FRPPLVVLRQ RI WKH FULPLQDO DFWV 0RUHRYHU HYHU\ GRFXPHQW RU LQVWUXPHQW LQYROYHG PXVW EH
H[HFXWHGE\LGHQWLILHGIUHHZLOOEHLQJVHDFKWDNLQJSHUVRQDOUHVSRQVLELOLW\IRUWKHWUXWK DFFXUDF\
UHOHYDQFH DQG YHULILDELOLW\ RI HDFK DQG HYHU\ WKLQJ DOOHJHG WKDW FDQ DGYHUVHO\ DIIHFW DQRWKHU
XQGHURDWKE\DIILGDYLWFHUWLILHGDQGVZRUQRQWKHFRPPHUFLDOOLDELOLW\RIWKHDIILDQWVZRUQWUXH
FRUUHFWDQGFRPSOHWH 7KLVLVWKHQDWXUHWRZKLFKWKHWHUPUHIHUV
3HUKDSVWKHIRXQGDWLRQDOSUHVXPSWLRQDQGSRVVLEO\WKHRQO\YDOLGRQHLVWKDWHYHU\LQGLYLGXDO
IUHHZLOOEHLQJLVWKHXQLWRIUHVSRQVLELOLW\DFFRXQWDELOLW\DQGVRYHUHLJQW\ :HUHWKLVSUHPLVH
QRWUHJDUGHGDVD[LRPDWLFQREDVLVIRUDQ\ODZFRXOGH[LVWLQVRFLHW\DVQRRQHFRXOGEHKHOG
OLDEOH IRU DQ\WKLQJ 0RVW RI WKH UHPDLQGHU RI WKH SUHVXPSWLRQV RI ODZ RQ ZKLFK WKH V\VWHP
IXQFWLRQVDUHVHOIVHUYLQJDQGVSHFLRXV
$OOJRYHUQPHQWDOODZRSHUDWHVRQSUHVXPSWLRQVVXFKDVWKHSUHVXPSWLRQWKDW\RXIUHHO\DVVHQW
WR LH UDWLI\ LPSOLHG DGKHVLRQ FRQWUDFWV LQ ZKLFK WKH WHUPV DQG FRQGLWLRQV DUH FUHDWHG DQG
HQIRUFHG E\ WKH JRYHUQPHQW ZLWKRXW UHDOLVWLF FDSDFLW\ RI WKH UXOHG WR SUHYDLO DJDLQVW WKH
VWURQJHUSDUW\ $GKHVLRQFRQWUDFWLVGHILQHGLQODZDV
3DJH RI
/LIH/DZDQGWKH8&&
8QGHUO\LQJ3ULQFLSDOV
6WDQGDUGL]HGFRQWUDFWIRUPRIIHUHGWRFRQVXPHUV>FLWL]HQV@RIJRRGVDQGVHUYLFHV>JRYHUQPHQW
ODZVVWDWXWHVDQGEHQHILWV@RQHVVHQWLDOO\WDNHLWRUOHDYHLWEDVLVZLWKRXWDIIRUGLQJFRQVXPHU
UHDOLVWLF RSSRUWXQLW\ WR EDUJDLQ DQG XQGHUVXFK FRQGLWLRQVWKDWFRQVXPHU FDQQRWREWDLQ GHVLUHG
SURGXFWRUVHUYLFHVH[FHSWE\DFTXLHVFLQJLQIRUPFRQWUDFW>LHZKDWWKHJRYHUQPHQWVD\VWKLQJV
DUH@ 'LVWLQFWLYHIHDWXUHRIDGKHVLRQFRQWUDFWLVWKDWZHDNHUSDUW\KDVQRUHDOLVWLFFKRLFHDVWRLWV
WHUPV Blacks Law DictionaryWK(GLWLRQSDJH
2QH WKLQJ WKDW UHQGHUV WKH V\VWHP KRSHOHVVO\ SUREOHPDWLF XQOHVV RQH XQGHUVWDQGV WKH JDPH LV
WKDWRQHRIWKHV\VWHPVSUHVXPSWLRQVRIODZLVWKDWQRRQHLQWKHV\VWHPLVUHTXLUHGWRGLYXOJH
WKH SUHVXPSWLRQV XQGLVFORVHG XQGHU ZKLFK WKH V\VWHP IXQFWLRQV 5HEXWWLQJ PHUH ODZ DQG
IDFWV GRHV QRW DFFHVV QRU GRHV LW QHXWUDOL]H WKH SUHVXPSWLRQV RI ODZ WKDW FRQVWLWXWH WKH
V\VWHPVSRZHURYHU\RX 7KHVHSUHVXPSWLRQVPXVWEHQHJDWHGLI\RXDUHWRKDYHDQ\FKDQFHRI
SUHYDLOLQJDJDLQVWWKHV\VWHP
Love is the realization in consciousness of the eternal and innate unity/harmony of all
manifest things with each other and their common source %\GHILQLWLRQWKDWZKLFKZHUHJDUG
DVWKHRSSRVLWHRIORYHLHKDWHLVWKHUHVXOWRIQRQUHDOL]DWLRQRIWKLVXQLW\KDUPRQ\ +DWHLV
WKHUHIRUHERUQHRIDQGFKDUDFWHUL]HGE\FRQVFLRXVDEVRUSWLRQLQWKHLOOXVLRQRIVHSDUDWLRQ )URP
WKLV IXQGDPHQWDO LOOXVLRQ RI VHSDUDWLRQ DOO RI PDQV LOOV DQG FRQIOLFWV HPHUJH LH WKH ZKROH
JDPXWRIKXPDQSUREOHPVGLVFRUGVDQGVXIIHULQJQHHGDQGODFNIDLOXUHGLVXQLW\LQVXIILFLHQF\
UHTXLUHPHQWMXGJPHQWGLYLQHFRQGHPQDWLRQFRQGLWLRQDOLW\VXSHULRULW\DQGLJQRUDQFH
2QHV KDSSLQHVV DQG JULHI DUH D IXQFWLRQ RI WKH H[WHQW WKDW RQH XQGHUVWDQGV DQG OLYHV LQ
DFFRUGDQFHZLWKWKHDERYHWHQXQLYHUVDOSULQFLSOHVWUXWKV ,QGHHGYLUWXDOO\DOORIOLIHFDQEH
UHVROYHGGRZQWRDVLQJOHGXDOLW\FRQFHUQLQJOLIHLHZKHWKHURQHORYHVRUGRHVQRWORYH 7KH
FRUUHVSRQGLQJ HWKLFDO FKRLFH FRQFHUQLQJ RQHV GHDOLQJ ZLWK RQHV IHOORZ PDQ LV DFFRUGLQJO\
ZKHWKHURQHUHODWHVVLQFHUHO\IURPWKHKHDUWWRZDUGVRWKHUVLQDFFRUGDQFHZLWKWKHJHQXLQHLQWHQW
RI LQWHUDFWLQJRQ DZLQZLQEDVLVRUZKHWKHU RQH DWWHPSWV WR IXUWKHURQHVLQQDWHOLIHGULYH IRU
PRUHE\UHODWLQJLQDZLQORVHPDQQHU
7KH DOOHJHG QHFHVVLW\ IRU UHOLJLRQV LV D IXQFWLRQ RI QRQUHDOL]DWLRQ RI WKH VLPSOH WUXWK WKDW
ZKDWHYHUOLIHH[LVWHQFHFRQVFLRXVQHVVDQGWKHLU6RXUFHDQGHVVHQFHDUHRQHLVDQH[SUHVVLRQRI
DQG LV LQKHUHQWO\ DQG XQDOWHUDEO\ RQH ZLWK WKDW 6RXUFH DQG HVVHQFH DQG FDQQRW EH RWKHUZLVH
1RRQHFDQHYHUQRWH[LVW 6LPLODUO\WKHSXUSRUWHGQHFHVVLW\IRUJRYHUQPHQWVLVIRXQGHGRQ
WKHIDFWWKDWVRPHPHQLQWHUDFWZLWKRWKHUVRQDZLQORVHEDVLVDQGJRYHUQPHQWPXVWILJKWILUH
ZLWK ILUH E\ IXQFWLRQLQJ E\ VLPLODU ZLQORVH PHDQV 7KRVH RFFXS\LQJ SRVLWLRQV LQ D
JRYHUQPHQW FRQVLGHU ZLQQLQJ YLVjYLV WKH JRYHUQHG DV GRPLQDWLQJ SHRSOHV OLYHV E\
HQIRUFLQJZLQORVHH[FKDQJHV ,QRWKHUZRUGVDJRYHUQPHQWLQRUGHUWRWUHDWWKHV\PSWRPVRI
PDQVDOOHJHGHWKLFDODQGH[LVWHQWLDOGHILFLHQFLHVGHDOVZLWKVXSSRVHGZURQJGRHUVE\DSSOLFDWLRQ
RI GHVWUXFWLYH SK\VLFDO IRUFH 7KH IDFW WKDW JRYHUQPHQWV SXUSRUWHGO\ H[LVW IRU WKH SXUSRVH RI
SURWHFWLQJSHRSOHSURSHUW\DQGULJKWV IURPDVVDXOWDQGGHVWUXFWLRQE\WKRVHZKRSOD\ZLQORVH
JDPHVDQGUHVROYHGLVSXWHVEHWZHHQSHRSOHE\EHLQJDQLPSHUVRQDOLQGHSHQGHQWDQGIDLUDUELWHU
3DJH RI
/LIH/DZDQGWKH8&&
8QGHUO\LQJ3ULQFLSDOV
RIFRQIOLFWVLVDOODIXQFWLRQRIWKHIDFWWKDWSHRSOHGRQWUHDOL]HWKHLUXQLW\ZLWKHDFKRWKHULQDQG
IURPWKHLUFRPPRQ6RXUFHDQGWKHUHE\GRQRWORYHHDFKRWKHUHQRXJKQRWWRWUDQVJUHVVDJDLQVW
HDFKRWKHULQWKHILUVWSODFH>@>@
$ JRYHUQPHQWV QDWXUH DV DQ RUJDQL]DWLRQ WKDW IXQFWLRQV IRU WKH SXUSRVH RI SUHYHQWLQJ DQG
UHFWLI\LQJ ZURQJGRLQJ JLYHV ULVH WR DOO RI PDQV ODZ DQG WKH SULQFLSOH RQ ZKLFK WKDW ODZ LV
DGMXGLFDWHG The court is the substitute for the dueling field $QDUELWUDWLRQWULEXQDOLVLQWHQGHG
DVEHLQJDFLYLOL]HGPHDQVIRUUHVROYLQJGLVSXWHVLQDQRUGHUO\DQGGLJQLILHGPDQQHULQVWHDGRI
OHWWLQJGLVSXWDQWVUHVRUWWRYLROHQFHEHWZHHQWKHPVHOYHVIRUVHWWOLQJGLIIHUHQFHV
7KH DOOHJHG MXVWLILFDWLRQ IRU WKH H[LVWHQFH RI JRYHUQPHQWV DQG WKHLU DXWKRULW\ IRU HVWDEOLVKLQJ
ODZVFRXUWVSROLFHDUPLHVDQGOHJDOV\VWHPVLVEDVHGRQSUHVXPSWLRQVVXFKDVWKHIROORZLQJ
D
0DQVFXOWXUDOVRFLDODQGFRPPXQDOOLIHLVKRSHOHVVO\DGYHUVDULDOUHQGHULQJWKHH[LVWHQFH
RIVRPHNLQGRIJRYHUQPHQWQHFHVVDU\
E
0RVW SHRSOH KDYH QHLWKHU WKH DELOLW\ QRU IXQGDPHQWDO SULRULW\ IRU UHVROYLQJ GLVSXWHV
KDUPRQLRXVO\DPRQJHDFKRWKHU
F
:KHQ OHIW DORQH PDQNLQG LV LQFDSDEOH RI GHYHORSLQJ IUHH PHDQV IRU XSKROGLQJ ODZ DQG
RUGHU DQG UHVROYLQJ GLVSXWHV UHQGHULQJ DQ LQGHSHQGHQW DQG RYHUDUFKLQJ FRHUFLRQ PRQRSRO\
QHFHVVDU\
G
$ QRQLQYROYHG WKLUG SDUW\ SRVVHVVHV DXWKRULW\ IRU H[SURSULDWLQJ WKH ULJKW RI DUELWUDWLQJ
GLVDJUHHPHQWVDQG
H
6XFKDWKLUGSDUW\DUELWUDWRUFDQVXFFHVVIXOO\DFKLHYHMXVWUHVROXWLRQRIWKHGLVSXWH
2QFHWKHD[LRPDWLFSUHVXPSWLRQWKDWJRYHUQPHQWVDUHQHFHVVDU\LVDGRSWHGXVXDOO\LPSOLFLWO\
DQG XQFRQVFLRXVO\ ZLWKRXW WKRURXJK VLQFHUH DQG UDWLRQDO WKRXJKW WKDW DQDO\]HV ZKHWKHU WKH
SUHPLVHLVVRXQGRUQRWDOORIWKHJDPHIURPWKDWSRLQWRQLVZKDW NLQG RIJRYHUQPHQWVKRXOG
H[LVW DQG KRZ LW VKRXOG EH VWUXFWXUHG PDQQHG ILQDQFHG DQG RSHUDWHG 'LVFXVVLRQ DQG
DGYRFDF\RIWKHYDULRXVVKDSHVIRUPVDQGIXQFWLRQVRIJRYHUQPHQWDUHSHUIHFWO\DFFHSWDEOHLH
SROLWLFDOO\ FRUUHFW :KHQHYHU RQH SRLQWV RXW WKDW WKH HPSHURU KDV QR FORWKHV KRZHYHU
DQG QR JRYHUQPHQWVVKRXOGH[LVWDWDOOEHFDXVHDOORIWKHPDUHRUJDQL]DWLRQVWKURXJKZKLFKVRPH
PHQ UXOH H[SORLW SOXQGHU GRPLQDWH DQG HQVODYH RWKHUV E\ GHDGO\ SK\VLFDO IRUFHZLWKRXW
HWKLFDO DXWKRULW\ GHYRLG RI DGHTXDWH NQRZOHGJH DQG LQ WKH DEVHQFH RI FDSDFLW\ IRU DFKLHYLQJ
JHQXLQH VHOIH[LVWLQJ UHVXOWVDOO KHOO EUHDNV ORRVH 6XFK SULPDO VDQLW\ WULJJHUV GHHSVHDWHG
FRJQLWLYHGLVVRQDQFHDQGLVLQVWDQWO\EUDQGHGDVDQDUFK\H[WUHPHDQGXQZRUNDEOH ,QWKH
ZRUGVRIWKHSV\FKRORJLVW'DYLG9LVFRWW:KHQWUXWKLVSURFODLPHGLQDKRVWLOHHQYLURQPHQWLWLV
ODEHOHGLQVDQH &OHDUSHUFHSWLRQDQGXQGHUVWDQGLQJRIWKHWUXWKKRZHYHULVWKHRSSRVLWHRI
LQVDQLW\ $QGWRSDUDSKUDVH*HUWUXGH6WHLQWKHWUXWKLVWKHWUXWKLVWKHWUXWK
3DJH RI
/LIH/DZDQGWKH8&&
8QGHUO\LQJ3ULQFLSDOV
,IPDQERWKLQGLYLGXDOO\DQGFROOHFWLYHO\GRHVQRWHVWDEOLVKOLIHDQGODZRQWKHWUXWKWKHUHDO
ZD\ WKLQJV DUH WKHQ PDQ LV HQJDJLQJ LQ WKH IXWLOH HIIRUW RI DWWHPSWLQJ WR DFKLHYH VRXQG DQG
HQGXULQJUHVXOWVE\DFWXDOL]LQJSULQFLSOHVWKDWDUHQHLWKHUUHDOQRUHWKLFDO 7KHUHVXOWRIWKHIROO\
LV IRUHJRQH GLVLQWHJUDWLRQ DQG GHVWUXFWLRQ 7KH SRLQW RI WKLV DUWLFOH LV WKDW EHFDXVH RXU FXUUHQW
FLYLOL]DWLRQDQGHVSHFLDOO\LWVODZIXQFWLRQVRQWKHEDVLVRIODUJHO\VSHFLRXVSULQFLSOHVLWLVRQ
LWVZD\WRUXLQ 2XUWDVNLIZHZRXOGHVWDEOLVKRXUDIIDLUVRQDILUPIRXQGDWLRQDQGQRWEHVZHSW
DORQJ ZLWKWKHKHUGOLNHOHPPLQJVWRWKHVHDLVIRUXQGHUVWDQGLQJ WUXH SULQFLSOHV DQG VHFXULQJ
RXUIDWHE\VWUXFWXULQJRXUOLYHVDQGDIIDLUVE\FRUUHFWDFWXDOL]DWLRQRIWKRVHSULQFLSOHV
3DUW
)RU PDQ\ SHRSOH LW PLJKW FRPH DV D VXUSULVH LQ PDQ\ FDVHV D SOHDVDQW RQH LI WKH\ ZHUH
LQIRUPHG WKDW HVVHQWLDOO\ DOO RI WKH ODZ RI WKH ZRUOG LV IRXQGHG RQ GHULYHG IURP DQG LV D
IXQFWLRQ RI WHQ VLPSOH HVVHQWLDO DQG IXQGDPHQWDO &RPPHUFLDO 0D[LPVVHYHQ EDVLF RQHV
SOXV WKUHH FRUROODULHV 7KHVH IRXQGDWLRQDO SULQFLSOHVD[LRPV XQGHUOLH DOO RI PDQV ODZ
1RWZLWKVWDQGLQJ WKH YDVWQHVV DQG FRPSOH[LW\ RI WKH ODZ WRGD\ LW LV VDIH WR VD\ WKDW DOO RI WKH
ZRUOGVODZLVIXQGDPHQWDOO\DIXQFWLRQRIWKHWHQ&RPPHUFLDO0D[LPV $OWKRXJKWKHGD]]OLQJ
FRPSOH[LW\DQG HYHUFKDQJLQJIRUPV SDUDPHWHUV DQG ODEHOV REIXVFDWH WKLV IDFW WKH HVVHQFHRI
WKHPDWWHUUHPDLQVLQWDFW
7KH &RPPHUFLDO 0D[LPV FRQVWLWXWH WKH EDVLF UXOHV LQYROYHG LQ SUHYHQWLQJ DQG UHVROYLQJ
GLVSXWHVLQFOXGLQJUHODWLQJLQOLIHDQGFRPPHUFLDODIIDLUVDVLIGLVSXWHVPLJKWDULVHDQGZULWWHQ
SURRIRIRQHVSRVLWLRQLQWLPHDQGFRQWHQWPXVWEHVHFXUHO\HVWDEOLVKHG $OWKRXJKFRPPHUFH
LVXVXDOO\WKRXJKWRIDVEX\LQJVHOOLQJDQGWUDGLQJDOORIPDQVLQWHUDFWLRQVZLWKKLVIHOORZ
PDQ DUH FRQVLGHUHG DV EHLQJ FRPPHUFH &RPPHUFH HQFRPSDVVHV DOO UHODWLRQVKLSV EHWZHHQ
SHRSOH Blacks Law Dictionary)LIWK(GLWLRQIRULQVWDQFHGHILQHVFRPPHUFHDVIROORZV
Commerce7KHH[FKDQJHRIJRRGVSURGXFWLRQVRUSURSHUW\RIDQ\NLQGWKHEX\LQJVHOOLQJ
DQGH[FKDQJLQJRIDUWLFOHV,QWHUFRXUVHE\ZD\RIWUDGHDQGWUDIILFEHWZHHQGLIIHUHQWSHRSOHV
RU VWDWHVLQFOXGLQJ QRW RQO\ WKH SXUFKDVH VDOH DQG H[FKDQJH RI FRPPRGLWLHV EXW DOVR WKH
LQVWUXPHQWDOLWLHVDQGDJHQFLHVE\ZKLFKLWLVSURPRWHGDQGWKHPHDQVDQGDSSOLDQFHVE\ZKLFKLW
LV FDUULHG RQ DQG WUDQVSRUWDWLRQ RI SHUVRQV DV ZHOO DV RI JRRGV ERWK E\ ODQG DQG VHD $OVR
LQWHUFKDQJHRILGHDVVHQWLPHQWVHWFDVEHWZHHQPDQDQGPDQ3DJH
7KH&RPPHUFLDO0D[LPVFRGLI\WKHIXQGDPHQWDOSULQFLSOHVPD[LPVRIODZDQGFRPPHUFHXSRQ
ZKLFKPDQVODZDQGJRYHUQPHQWVKDYHRSHUDWHGRQWKLVSODQHWIRUDWOHDVWWKHSDVWWKRXVDQG
\HDUV 7KH\FRQVWLWXWHDVLWZHUHWKHUXOHVRIWKHJDPH 3DUWRIWKHJULHIRIPDQNLQGWRGD\LV
WKDW WKH YDVW RYHUZKHOPLQJ SHUFHQWDJH RI WKH SRSXODFH GRHV QRW NQRZ WKH EDVLF UXOHV RI WKH
JDPHWKH\DUHSOD\LQJDQGDUHKHQFHLQFDSDEOHRISOD\LQJLW ,IRQHZKRGRHVQRWNQRZWKHUXOHV
RI D JDPH LV SOD\LQJ WKDW JDPH ZLWK RWKHUV ZKR DUH PDVWHUV RI WKH UXOHV WKH RXWFRPH LV D
3DJH RI
/LIH/DZDQGWKH8&&
8QGHUO\LQJ3ULQFLSDOV
3DJH RI
/LIH/DZDQGWKH8&&
8QGHUO\LQJ3ULQFLSDOV
H[KLODUDWLQJWRXQGHUVWDQGWKDWWKHHYHUFKDQJLQJ PRQVWURXVYDVWQHVVRIODZFDQEHGLVWLOOHG
LQWRDKDQGIXORIXQLYHUVDOSULQFLSOHVWKDWFDQEHFRQWDLQHGRQD;FDUGDQGWKDWDOORIWKH
OHJDOGRFXPHQWVDQGLQVWUXPHQWVIXQFWLRQLQJWRGD\FDQEHPDVWHUHGE\QHDUO\DQ\RQH
$WWRUQH\V DQG -XGJHV GHOLEHUDWHO\ FRQFHDO WKH IDFW WKDW WKH RQO\ VLJQLILFDQFH LQKHULQJ LQ FRXUW
FDVHVDQGVWDWXWHVFRQVLVWVRIWKHVLPSOHDQGXQLYHUVDOSULQFLSOHVRIFRPPHUFLDOODZFRGLILHGE\
WKH 0D[LPV $OO OHJDO GRFXPHQWV SURFHHGLQJV DQG SURFHVVHV DUH REVFXUHG E\ UHQDPLQJ DQG
PLVODEHOLQJVDLGGRFXPHQWVDQGSURFHVVHVLQDFFRUGDQFH ZLWKZKDWHYHUGHJUHHVRIPXOWLSOLFLW\
DQG FRPSOH[LW\ DUH QHHGHG IRU SUHVHUYLQJ LWV LQDFFHVVLEOH DORRIQHVV /DZ LV PDGH GLIIXVH
HQRUPRXVO\FRPSOH[DQGDOOHJHGO\IDUEH\RQGWKHNHQRIUHJXODUIRONV :LWKNQRZOHGJHRIWKH
WUXWK XQGHUO\LQJ DOO RI WKDW PLVGLUHFWLRQ DQG GHFHSWLRQ LH VHHLQJ WKURXJK WKH :L]DUGV /LJKW
6KRZ\RXFDQXQGHUVWDQGZKDWLVKDSSHQLQJDQGSODFH\RXUVHOILQDSRVLWLRQRIPDVWHU\RIWKH
VLWXDWLRQLQVWHDGRIEHLQJUHOHJDWHGWRWKHVWDWXVRIDFRQIXVHGKHOSOHVVYLFWLPIRUHYHULQWKHGDUN
DQGDWWKHPHUF\RIWKRVHZKRH[SORLW\RXULJQRUDQFHRIWKHUXOHVDQGSURFHVVHVE\ZKLFKODZ
LH RUJDQL]HG GHDGO\ IRUFHRSHUDWHV ,QVKRUW.QRZWKHWUXWKDQGWKHWUXWKVKDOOPDNH \RX
IUHH
$V PHQWLRQHG DERYH WKH ZRUG FRPPHUFH HQFRPSDVVHV DOO LQWHUDFWLRQV DQG LQWHUFKDQJHV
EHWZHHQ SHRSOH LQFOXGLQJ H[FKDQJHV RI VXFK QRQFRPPHUFLDO WKLQJV DV LGHDV VHQWLPHQWV
HWF 7KH IXQGDPHQWDO SULQFLSOHV DQG SUHFHSWV RI XQLYHUVDO FRPPHUFLDO ODZ WKDW KDYH IRU
PLOOHQQLD IRUPHG WKH XQGHUSLQQLQJV RI FLYLOL]HG ODZ RQ WKLV SODQHW DUH ERWK ELEOLFDO DQG QRQ
ELEOLFDOLHWKHLUWUXWKDQGYDOLGLW\LVDIXQFWLRQRIWKHPVHOYHVDQGWKHORQJDFFHSWHGXVDJHDQG
SUDFWLFHE\PDQ\FXOWXUHVDQGSHRSOHVLQGLYHUVHIRUPVWKURXJKRXWWKHZRUOGIRUWKRXVDQGVRI
\HDUV 7KHVH IXQGDPHQWDOMaxims of Commerce ZKLFK XQGHUOLH DOO FRPPHUFLDO GRFXPHQWV
LQVWUXPHQWVDQGSURFHVVHV DUHHQXPHUDWHGKHUHZLWKZLWKELEOLFDOUHIHUHQFHVLQSDUHQWKHVLV
A workman is worthy of his hire ([RGXV /HY 0DWW /XNH ,,
7LP /HJDO PD[LP,W LV DJDLQVW HTXLW\ IRU IUHHPHQ QRW WR KDYH WKH IUHH GLVSRVDO RI WKHLU
RZQSURSHUW\
All are equal under the Law *RG
V /DZ(WKLFDO DQG 1DWXUDO /DZ ([RGXV
/HY 'HXW 0DWW /XNH&RO /HJDOPD[LPV 1R
RQHLVDERYHWKHODZ&RPPHUFHE\WKHODZRIQDWLRQVRXJKWWREHFRPPRQDQGQRWWREH
FRQYHUWHGLQWRDPRQRSRO\DQGWKHSULYDWHJDLQRIDIHZ
In Commerce truth is sovereign ([RGXV3V0DWW-RKQ,,&RU
/HJDO PD[LP 7R OLH LV WR JR DJDLQVW WKH PLQG 2ULHQWDO SURYHUE 2I DOO WKDW LV JRRG
VXEOLPLW\LVVXSUHPH
Truth is expressed by means of an affidavit /HY/HY/HY1XP
0DWW-DPHV
3DJH RI
/LIH/DZDQGWKH8&&
8QGHUO\LQJ3ULQFLSDOV
An unrebutted affidavit stands as the truth in Commerce 3HW+HE/HJDO
PD[LP+HZKRGRHVQRWGHQ\DGPLWV
An unrebutted affidavit becomes the judgment in Commerce +HE $Q\
SURFHHGLQJ LQ D FRXUW WULEXQDO RU DUELWUDWLRQ IRUXP FRQVLVWV RI D FRQWHVW RU GXHO RI
FRPPHUFLDODIILGDYLWVZKHUHLQWKHSRLQWVUHPDLQLQJXQUHEXWWHGLQWKHHQGVWDQGDVWKHWUXWKDQG
WKHPDWWHUVWRZKLFKWKHMXGJPHQWRIWKHODZLVDSSOLHG
A matter must be expressed to be resolved +HE 3KLO (SK /HJDO
PD[LP+HZKRIDLOVWRDVVHUWKLVULJKWVKDVQRQH
He who leaves the field of battle first loses by default %RRNRI-RE0DWW /HJDO
PD[LP+HZKRGRHVQRWUHSHODZURQJZKHQKHFDQRFFDVLRQVLW
Sacrifice is the measure of credibility 2QHZKRLVQRWGDPDJHGSXWDWULVNRUZLOOLQJWR
VZHDUDQRDWKWKDWKHFRQVHQWVWRFODLPDJDLQVWKLVFRPPHUFLDOOLDELOLW\LQWKHHYHQWWKDWDQ\RI
KLVVWDWHPHQWVRUDFWLRQVLVJURXQGOHVVRUXQODZIXOKDVQREDVLVWRDVVHUWFODLPVRUFKDUJHVDQG
IRUIHLWV DOOFUHGLELOLW\DQGULJKWWRFODLPDXWKRULW\$FWVOLIHGHDWKRI6WHSKHQPD[LP+H
ZKREHDUVWKHEXUGHQRXJKWDOVRWRGHULYHWKHEHQHILW
A lien or claim can be satisfied only through rebuttal by Counteraffidavit point-for-point,
resolution by jury, or payment *HQ0DWW5HYHODWLRQ/HJDOPD[LP,IWKHSODLQWLIIGRHV
QRWSURYHKLVFDVHWKHGHIHQGDQWLVDEVROYHG
3HUKDSV WKH VLPSOHVW ZD\ RI H[SRXQGLQJ RQ WKH QDWXUH DQG YDOLGLW\ RI &RPPHUFLDO /DZ LV WR
FRPPHQWRQHDFKRIWKH0D[LPVLQWKHRUGHUJLYHQ
A workman is worthy of his hire ([RGXV/HY0DWW/XNH,,7LP
7KHHLJKWK&RPPDQGPHQW7KRXVKDOWQRWVWHDO([RGXVVLJQLILHVWKHDEVROXWHULJKWRI
HYHU\PDQWRDOOKRQRUDEO\DFTXLUHGSURSHUW\ 7KLVEDVLFKXPDQULJKWRULJLQDWHVIXQGDPHQWDOO\
IURPWKHLQKHUHQWXQDOLHQDEOHULJKWRIVHOIRZQHUVKLSDQGWKHIUHHZLOOQDWXUHRIPDQ ,IDPDQ
LVWKHVRYHUHLJQRZQHUVWHZDUGRIKLPVHOIDQGH[HUFLVHVKLVIUHHZLOOIRUHQJDJLQJLQHWKLFDOXVH
RIIDFXOWLHVWKDWUHVXOWLQKLVDFFXPXODWLRQRISURSHUW\VDLGSURSHUW\RZQHUVKLSLVHWKLFDOO\DQG
H[LVWHQWLDOO\ LQYLRODEO\ WKH PDQ
V RZQ DV GLVWLQJXLVKHG IURP WKH SURSHUW\ RI DQ\RQH HOVH 1R
RQHKDVDKLJKHUFODLPRQVDLGSURSHUW\QRUDQ\ULJKWWRVWHDOLWE\DQ\PHDQVZKHWKHUE\IRUFH
RUIUDXG
:HUH WKLV IXQGDPHQWDO SURSHUW\ ULJKW QRW XQLYHUVDO DQG LQYLRODWH QR FRKHUHQW EDVLV IRU
LQWHUUHODWLQJFRXOGH[LVWLQWKHVRFLHW\RIPDQ 0DQLVDSXUSRVHIXOJRDORULHQWHGEHLQJFDSDEOH
RIDEVWUDFWWKRXJKWDQGIUHHFKRLFH 3HRSOHHQJDJHLQWKLQNLQJXVHRIIDFXOWLHVDQGH[SHQGLWXUH
RI WLPH DQG OLIHGLPLQLVKLQJ HQHUJ\ IRU WKH SXUSRVH RI DFKLHYLQJ UDWLRQDOO\ FRJQL]HG UHVXOWV
7KHUHDUHDQLQILQLWHQXPEHURISRVVLELOLWLHVRIWKRXJKWDQGDFWLRQ ,QDVPXFKDVPDQ
VPDQLIHVW
3DJH RI
/LIH/DZDQGWKH8&&
8QGHUO\LQJ3ULQFLSDOV
H[LVWHQFHLVILQLWHLHFRQWDLQHGZLWKLQERXQGDULHVPDQPXVWXVHKLVPDFKLQHU\RIWKRXJKWDQG
EHLQJLQWKHZD\VWKDWKHFRPSUHKHQGVDVEHVWIXUWKHUKLVZHOOEHLQJOLIHSURJUHVVFRQVFLRXVO\
FKRVHQGXW\ DQGSULRULWLHVERUQRIKLVZRUOGYLHZ 7KH I Ching FRPPHQWVRQWKLVSULQFLSOHLQ
+H[DJUDP/LPLWDWLRQ
7KHUHIRUHZKDWFRQFHUQVXVKHUHLVWKHSUREOHPRIFOHDUO\GHILQLQJWKHVHGLVFULPLQDWLRQVZKLFK
DUHVRWRVSHDNWKHEDFNERQHRIPRUDOLW\ 8QOLPLWHGSRVVLELOLWLHVDUHQRWVXLWHGWRPDQLIWKH\
H[LVWHGKLVOLIHZRXOGRQO\GLVVROYHLQWKHERXQGOHVV 7REHFRPHVWURQJDPDQ
VOLIHQHHGVWKH
OLPLWDWLRQV RUGDLQHG E\ GXW\ DQG YROXQWDULO\ DFFHSWHG 7KH LQGLYLGXDO DWWDLQV VLJQLILFDQFH DV D
IUHH VSLULW RQO\ E\ VXUURXQGLQJ KLPVHOI ZLWK WKHVH OLPLWDWLRQV DQG E\ GHWHUPLQLQJ IRU KLPVHOI
ZKDWKLVGXW\LV>@>@
,I VRPHRQH GRHV QRW WKLQN DFW DQG H[HUW OLIHGLPLQLVKLQJ WLPH DQG HQHUJ\ IRU WKH SXUSRVH RI
DFKLHYLQJ VSHFLILFDOO\ FRJQL]HG JRDOV KH FDQQRW OHJLWLPDWHO\ H[SHFW WR UHDOL]H WKH HQGV KH
GHVLUHV ,W LV ERWK D ELEOLFDO DQG =HQ PD[LP WKDW +H ZKR GRHV QRW ZRUN VKDOO QRW HDW
7KH Bhagavad-Gita VWDWHVLQ&KDSWHU9HUVH
'R \RXU DOORWWHGGXW\ $FWLRQLVLQGHHG VXSHULRUWRLQDFWLRQ (YHQWKH VXUYLYDORI \RXUERG\
ZRXOGQRWEHSRVVLEOHZLWKRXWDFWLRQ>@>@
$ &KLQHVH SURYHUE SKUDVHV WKH PDWWHUPRUHFDXVWLFDOO\6RPHSHRSOHVLWDURXQG ZDLWLQJ IRU D
URDVWHGFKLFNHQWRIO\LQWRWKHLUPRXWKV
1HJDWLQJ WKH OHJLWLPDF\ RI SURSHUW\ RZQHUVKLS E\ FODLPLQJ WKDW VRPHRQH ZKR ZRUNV LV QRW
WKHUHE\ HQWLWOHG WR WKH DQWLFLSDWHG UHZDUGVRIKLVHIIRUWVPDNHVDPRFNHU\ RIPDQ
VQDWXUHDQG
OLIHDVZHOODVHWKLFDODQGQDWXUDOODZ $PDQ HQJDJHVLQDSDUWLFXODUFRXUVHRIDFWLRQIRUWKH
SXUSRVH RIDFKLHYLQJ DQWLFLSDWHG UHVXOWVDQGLI KHGLGQRWWKXVH[SHFWKLVHIIRUWVWRDFFRPSOLVK
WKHGHVLUHGJRDOVKHZRXOGQRWDFWLQWKHPDQQHUKHFRQVLGHUVWREHWKHEHVWDQGPRVWHIILFLHQW
SRVVLEOHPHDQVIRUDFKLHYLQJWKHP ,IKLVDFWLRQVGLGQRWH[SUHVVKLVEHVWSRVVLEOHMXGJPHQWLWLV
VDIHWRDVVXPHWKDWKHZRXOGEHLQGXOJLQJLQDOWHUQDWLYHVWKDWKHFRQVLGHUHGDVEHLQJVXSHULRU
0RUHRYHUPDQXWLOL]HVFDXVHHIIHFWQDWXUDOODZWKURXJKRXWDOOKLVJRDORULHQWHGDFWLRQVLHWKH
RQHDFWLQJDWWHPSWVWRGLVFHUQWKHPRVWHIIHFWLYHDQGHIILFLHQWPHDQVSRVVLEOHWRDFFRPSOLVKKLV
JRDOV ,QYRNLQJ SDUWLFXODU QDWXUDOODZ SURFHVVHV EULQJV DERXW WKH SUHFLVH FRQVHTXHQFHV RI
ZKDWHYHUSURFHVVHVDUHXVHG
,WLVVHOIHYLGHQWWKDWVWHDOLQJLVDYLRODWLRQRIHWKLFDOODZLQDVPXFKDVWKHRQHZKRSHUIRUPVWKH
OLIHGLPLQLVKLQJ ODERU IRU DFTXLULQJ WKH SURSHUW\ QHFHVVDULO\ KDV WKH KLJKHVW LI QRW H[FOXVLYH
FODLPWKHUHRQ +HLVWKHRQHZKRGHFLGHGWKRXJKWDFWHGDQGXWLOL]HGKLVIDFXOWLHVQRWVRPHRQH
HOVH :KRFDQFODLPDJUHDWHUULJKWWRVRPHRQH
VSURSHUW\WKDQWKHRQHZKRDFTXLUHGRZQHUVKLS
E\ H[SHQGLWXUH RI WKRXJKW HIIRUW WLPH DQG HQHUJ\" 6WHDOLQJ D PDQ
V SURSHUW\ LV OLWHUDOO\
VWHDOLQJ D SDUW RI KLV OLIH VLQFH WKH WLPH HQHUJ\ DQG HIIRUW WKH PDQ H[SHQGHG LQ HDUQLQJ WKH
SURSHUW\LVLUUHWULHYDEO\JRQHDQGQRWWKHHIIRUWVRIJRGVRUPHQFDQUHWXUQWKHOLIHGLPLQLVKLQJ
3DJH RI
/LIH/DZDQGWKH8&&
8QGHUO\LQJ3ULQFLSDOV
ODERUKHH[SHQGHGLQDFTXLULQJWKHSURSHUW\HYHQLIWKHVDPHRUVLPLODUSURSHUW\LVVXEVHTXHQWO\
EHVWRZHGXSRQWKHPDQ ,QWKHZRUGVRID=HQPDVWHU$QHYLOGRQHFDQQHYHUEHXQGRQH
$OOJRYHUQPHQWVH[LVWE\YLUWXHRISURPXOJDWLQJDQHQGOHVVSDQRSO\RIDOOHJHGKLJKHUUHDVRQV
ZK\WKHJRYHUQPHQWLVHQWLWOHGWRWKHIUXLWVRISHRSOH
VHDUQLQJVLQVWHDGRIWKHHDUQHUVWKHUHRI
7KHWHUVH/LEHUWDULDQPD[LPLVFRUUHFW7D[DWLRQLVWKHIW $VHORTXHQWO\H[SUHVVHGE\%DVWLDW
LQ The Law ZKHQ WKH ODZ ZKLFK LV IRUFH DQGFDQEHOHJLWLPDWHO\ XVHGRQO\LQGHIHQVHRI MXVW
ULJKWV WR OLIH DQG SURSHUW\ LV SHUYHUWHG LQWR DQ LQVWUXPHQW RI DJJUHVVLRQ VODYHU\ WKHIW DQG
SOXQGHULWKDVGHVWUR\HGLWVRZQREMHFW 0DQVKLVWRU\RQWKLVSODQHWKDVXQLYHUVDOO\VKRZQWKDW
WKH JRYHUQPHQWDO DSSURDFK WR ODZ LV D FDWDVWURSKH VLQFH LW WUDVKHV HWKLFDO DQG QDWXUDO ODZ
VWUXFWXUHV GHJHQHUDF\ WKURXJK SHUSHWUDWLQJ IUDXG GHFHLW YLROHQFH OLHV DQG HYHU\ PDQQHU RI
FULPH LQ WKH QDPH RI ODZ DQG MXVWLFH WKHUHE\ REYLDWLQJ DOO KRSH IRU FRKHUHQFH LQWHJULW\ DQG
SHDFHLQWKHVRFLDORUGHU $OORIWKLVLVERUQHRIHIIRUWVWRVWUXFWXUHRUJDQL]HGDQGUHVSHFWDEOH
ZD\VWRDEURJDWHWKH)LUVW0D[LPDQGH[SURSULDWHWKHIUXLWVRIWKHODERURIRWKHUV
7KHFRQXQGUXPRIFRXUVHLVWKDWZKLOHRQWKHRQHKDQGDVXEVWDQWLDOSRUWLRQRIPDQNLQGPD\EH
LQFDSDEOH RI VHOIJRYHUQPHQW D K\SRWKHVLV WKDW LV RQO\ DQ DUELWUDU\ SRVWXODWH QR H[WHUQDOO\
LPSRVHG JRYHUQPHQW FDQ FRPSHQVDWH IRU WKH ODFN 7KH EHVW WKDW FDQ UHVXOW IURP D PDQPDGH
JRYHUQPHQW LH D OHJDOIRUFH LQVWLWXWLRQ LV WKDW UHVWUDLQWV RQ KXPDQ DFWLRQ LQWHUIHUHQFH LQ
SHRSOHV H[HUFLVHV RI IUHH ZLOO DUH XVHG IRU WKH SXUSRVH RI SURWHFWLQJ OLIH DQG SURSHUW\ ,Q GR
GRLQJKRZHYHUDJRYHUQPHQWXVHVRUJDQL]HGIRUFHIRULPSRVLQJVRPHFRQWULYHGDEVWUDFWILQLWH
DQGDUELWUDU\RUGHURQWRWKHQDWXUDOFRQGLWLRQWKDWZRXOGRWKHUZLVHH[LVWLISHRSOHZHUHOHIWIUHH
7KURXJKVWDWHUXOHUVKLSDUWLILFLDOSDOOLDWLYHVVXSHUILFLDOEHKDYLRUFRQGLWLRQVERUQHRIFRHUFLYHO\
UHFRQILJXULQJWKHPDQLIHVWH[SUHVVLRQRIOLIHDUHSURIIHUHGHLWKHUDVVROXWLRQVZKLFKWKH\DUH
QRWDQGQHYHUFDQEHRUDWOHDVWVXSHULRUWROHDYLQJSHRSOHIUHH
:KHQHYHU VRFLHW\ KDV D JRYHUQPHQW ZLWK VRPH DOOHJHG RYHUDUFKLQJ ULJKW WR VWHDO ZHDOWK
LQVWHDG RI HYHU\RQH LQ WKH FXOWXUH KRQRUDEO\ JDLQLQJ WKURXJK FRQVWUXFWLYHSURGXFWLYH XVH RI
IDFXOWLHV DQG TXLGSURTXR KRQRUDEOH H[FKDQJHV WKH VRFLHW\ LV OHJDOO\ VWUXFWXUHG RQ D
KRSHOHVVO\VHOIFRQWUDGLFWRU\XQHWKLFDODQGVFKL]RSKUHQLFEDVLV 2UJDQL]LQJOLIHLQVXFKDZD\
SUHRUGDLQVWKHFLYLOL]DWLRQWRGLVLQWHJUDWLRQE\V\VWHPDWLFDOO\UXSWXULQJERWKQDWXUDODQGHWKLFDO
ODZ 2QO\ WKH UHDO WKLQJ LV WKH UHDO WKLQJ 3ODVWLF PRGHOV RI KRZ WKLQJV VKRXOG EH
VXSHULPSRVHGE\IRUFHQHLWKHUDUHWKHUHDOWKLQJQRUFDQFDXVHLWVVSRQWDQHRXVPDQLIHVWDWLRQ
$PDQPDGHJRYHUQPHQWLVWKHUHIRUHDQRXWVLGHLQWRSGRZQDUWLILFLDORUGHUDQGVHWRISURFHVVHV
LPSRVHGE\SK\VLFDOIRUFHRYHUDQGDJDLQVWWKHVHOIH[LVWLQJWUDQVFHQGHQFHRIDQRUJDQLFLQVLGH
RXWJURXQGXSKROLVWLFXQIROGLQJRIOLIH $VVWDWHGWKHFDWFKRIPDQVFRQGLWLRQLVWKDWZKLOH
DVXEVWDQWLDOSURSRUWLRQRIWKHSRSXODFHRIWKLVSODQHWKDVQRWDZDNHQHGDQGVSLULWXDOO\HYROYHG
WR WKH SODFH WKDW WKH\ DUH QDWXUDOO\ DEOH WR JRYHUQ WKHPVHOYHV DQ\ NLQG RI RWKHU JRYHUQLQJ
RUJDQL]DWLRQ WKDW PLJKW EH VWUXFWXUHG DV FRPSHQVDWLRQ IRU WKH ODFN LV D IUDXGXOHQW LQYDVLYH
GLVWRUWLQJ IDOVLI\LQJ DQG D GLVUXSWLYH IDLOXUH PHWKRG $Q\ VXFK RWKHUJRYHUQLQJ XWLOL]HG DV
FRPSHQVDWLRQ IRU ODFN RI VXIILFLHQW LQQHUH[LVWHQWLDO GHYHORSPHQW QRW RQO\ FDQQRW EULQJ DERXW
3DJH RI
/LIH/DZDQGWKH8&&
8QGHUO\LQJ3ULQFLSDOV
ZKDWFDQHQVXHRQO\E\YLUWXHRIVHOIH[LVWLQJVXFKQHVVVSRQWDQHRXVO\PDQLIHVWLQJWUDQVFHQGHQFH
LQLWVQDWXUDOIXOOQHVVDQGLQWHJULW\EXWDOOVXFKDSSURDFKHVQHFHVVDULO\VWLIOHGHVWUR\VXSSUHVV
DQGREYLDWHWKHSRVVLELOLW\IRUWKHGHVLUHGVLWXDWLRQWRPDQLIHVW 7KHERWWRPOLQHRIWKHPDWWHULV
WKDW WKH SUREOHP DQG LWV VROXWLRQ LV LQQHUVSLULWXDODQGH[LVWHQWLDOQRWSROLWLFDO 1DPHO\ WKH
FDXVH RI WKH SUREOHP LV LQVXIILFLHQW FRQVFLRXVQHVVGHYHORSPHQWDQGORYHWKHFXUHLVPRUHRI
WKRVH WKLQJV 2QO\ WKH DFWXDO UHDOLW\ FDQ EH DQG HQJHQGHU D WUXH VHOIH[LVWLQJ FRQGLWLRQ WKDW
VDWLVILHVWKHKHDUWDQGVRXORIPDQDQGIXOILOOVOLIH
6LQFH DOO JRYHUQPHQWV H[LVW E\ QRQGLVFORVXUH WKHUH LV WKHUHIRUH QR WUXH PHHWLQJ RI WKH PLQGV
EHWZHHQ WKH SHRSOH DQG WKH JRYHUQPHQW LH WKHUH LV QR DFWXDO DJUHHPHQW 6XFK D VLWXDWLRQ LV
LQVWLWXWLRQDOL]HGO\LQJSHUMXU\E\RPLVVLRQDQGPLVUHSUHVHQWDWLRQ 1R JRYHUQPHQWHYHUGRHV
RUFDQSURYLGHIXOOGLVFORVXUHRIDOORIWKHULJKWVSULYLOHJHVDQGLPPXQLWLHVWKHSHRSOHIRUIHLWLQ
H[FKDQJHIRUVXEPLWWLQJWRJRYHUQPHQWUXOHQRUGRHVRUFDQDQ\JRYHUQPHQWDUWLFXODWHZKDW
KRQRUDEOHJRRGVDQGVHUYLFHVDUHSURYLGHGE\WKHJRYHUQPHQWDVYDOXDEOHFRQVLGHUDWLRQVRWKDW
WKH UHVXOWLQJ LQWHUDFWLRQ FDQ FRQVWLWXWH D bona fide FRQWUDFW HQIRUFHDEOH DW ODZ ,I QR JHQXLQH
DJUHHPHQWH[LVWVRUFDQH[LVWIURPWKHRXWVHWQRYDOLGFRQWUDFWFDQH[LVW 7KHVLWXDWLRQLVD
IUDXGXOHQW FULPLQDO FRQ JDPH WKDW HVWDEOLVKHV D FRQGLWLRQ RI PL[HG ZDU ZKHUHE\ WKH
JRYHUQPHQWLVLQKHUHQWO\DQGSHUPDQHQWO\DWZDUZLWKWKHJRYHUQHG *RYHUQPHQWVFDQ H[LVW
RQO\ E\ GHFHLW PLVUHSUHVHQWDWLRQ DQG FRQFHDOPHQW RI PDWHULDO IDFW LQ FRQWUDFW DQG FDQQRW
RWKHUZLVH H[LVW DW DOO (VWDEOLVKLQJ DQ\NLQGRI KXPDQJRYHUQPHQWLHDQRUJDQL]DWLRQRQWKH
EDVLV RI ZKLFK VRPH PHQ WKRVH RFFXS\LQJ SRVLWLRQV RI DXWKRULW\ LQ WKH LQVWLWXWLRQ PD\
OHJDOO\ WDNH WKLQJV RI YDOXH IURP RWKHUV ZLWKRXW RSHQ KRQRUDEOH JRRGIDLWK TXLGSURTXR
H[FKDQJH LH ZLQZLQ LQWHUDFWLRQV LQKHUHQWO\ DEURJDWHV WKH )LUVW 0D[LP $OO JRYHUQPHQWDO
SRZHULVGLVFUHWLRQDU\DQGPXVWEHRULWLVQRWSRZHU 'LVFUHWLRQDU\SRZHULVSULYLOHJHZKLFKLV
IUDXG
7KHSRLQWRIWKLVGLVFRXUVHLQFOXGLQJZKDWPLJKWEHFRQVLGHUHGDGLJUHVVLRQLQWRWKHQDWXUHRI
ODZDQGJRYHUQPHQWLVWKDWWKLV)LUVW0D[LPLVLQDVHQVHWKHIRXQGDWLRQRIHYHU\WKLQJ ,WLVWKH
HVVHQFHRIWKH*ROGHQ5XOHWKHHQWLUHEDVLVRIODZDQGMXVWLFHWKHFRUHDQGSRLQWRIDFRQWUDFW
DQGDOOFRQWUDFWODZ DQGWKHEDVLVLQ VRFLHW\ RI SHDFH VWDELOLW\FRKHUHQFHDQGVDQLW\ :KHQ
WKDW ZKLFK SRVHV DV ODZ LV WKH LQVWLWXWLRQDOL]HG DEURJDWLRQ RI WKLV )LUVW 0D[LP FRQIXVLRQ
IUXVWUDWLRQIXWLOLW\DQGXOWLPDWHUXLQDUHWKHLQHYLWDEOHUHVXOWV 6XFKDSDWWHUQFKDUDFWHUL]HVWKH
KLVWRU\RIPDQVFLYLOL]DWLRQVRQWKLVSODQHW
All are equal under the Law *RG
V/DZ0RUDODQG1DWXUDO/DZ 'HXW/XNH
&RO
,WVKRXOGEHVHOIHYLGHQWWKDWHYHU\PDQE\YLUWXHRIVLPSO\H[LVWLQJLVVXEMHFWWRWKHODZV E\
ZKLFK KH H[LVWV (YHU\RQH LV REYLRXVO\ HTXDOO\ WKH SURGXFW RI DQG LQKHUHQWO\ REHGLHQW WR WKH
ODZVRIEHLQJWKRXJKWDQGQDWXUH 1RWKLQJFDQH[LVWZLWKRXWH[SUHVVLQJWKHODZVWKURXJKZKLFK
DQGRQWKHEDVLVRILWH[LVWVDQGIXQFWLRQV
3DJH RI
/LIH/DZDQGWKH8&&
8QGHUO\LQJ3ULQFLSDOV
,
PDQDULVWRFUDW
,
PDSDUWRIWKHUXOLQJHOLWH 0\QDWXUHDQGGHVWLQ\LVWRUXOH
,
PEHWWHUHJVPDUWHUZLVHUKROLHUPRUHQREOHPRUHGHVHUYLQJWKDQ\RX
,UHSUHVHQW*RG
,UHSUHVHQWKLJKHU WUXWK
,UHSUHVHQWQDWXUDOODZ
,
P DFWLQJ IRU WKH JRRG RI VRFLHW\ RU WKH *HQHUDO :LOO RU ODZ DQG RUGHU RU WKH
JUHDWHVWJRRGIRUWKHJUHDWHVWQXPEHUHWF
,
PDXWKRUL]HGE\ODZZKDWHYHUWKDWLV
,
PDXWKRUL]HGE\JRYHUQPHQWHJ,KDYHDOLFHQVHWRNLOO
,SURFODLPWKDWPLJKWLVULJKWMXVWLFHWKHLQWHUHVWRIWKHVWURQJHU3ODWRLHPLJKWPDNHV
ULJKWDQG,
YHJRWWKHJXQV
,
P DXWKRUL]HG E\ WUHDW\ %HWZHHQ ZKRP" :LWK ZKDW DXWKRULW\" :LWK ZKDW ELQGLQJ
UHOHYDQFHWRWKHYLFWLPL]HGSDUW\"
,
PSRRUDQGQHHG\VR,GHVHUYHLW
2QFH DJDLQ RQH EHJLQV ZLWK D FRJQL]HG DQG FRQFRFWHG HQG WKH GHVLUH IRU SRZHU DQG WKHQ
SURYLGHV WKH DOOHJHG MXVWLILFDWLRQ DIWHU WKH IDFW IRU YDOLGDWLQJ KLV DFWLRQV ,Q WKLV FDVH WKH
HVVHQFHRIWKHPDWWHULV,ZDQWWRVWHDO\RXUSURSHUW\RUULJKWVLQVWHDGRISURGXFWLYHO\HDUQLQJ
ZKDW,ZDQWRUQHHG 7KHUHDVRQVSURIIHUHGIRUOHJLWLPL]LQJWKHFULPHFDQEHDQ\RIDQLQILQLWH
QXPEHURIKLJKVRXQGLQJQRQVHTXLWXUV ,IPDQKDGH[WHQGHGDIUDFWLRQRIWKHWKRXJKWHQHUJ\
3DJH RI
/LIH/DZDQGWKH8&&
8QGHUO\LQJ3ULQFLSDOV
FUHDWLYLW\DQGLQJHQXLW\LQZRUNLQJIRUWKHSXUSRVHRIVXFFHHGLQJE\KRQRUDEOHPHDQVLQVWHDGRI
E\FKHDWLQJRIKLVIHOORZPDQZHZRXOGQRWEHLQWKHPHVVZHDUHLQWRGD\
In Commerce truth is sovereign ([RGXV3V-RKQ,,&RU
7KHZRUGWUXWKFDQEHGHILQHGLQWZRGLVWLQFWZD\V
7KH DFWXDO VWDWH RI H[LVWHQFH LH ZKDW WKLQJV DUH DQG WKH ZD\ WKH\ IXQFWLRQ LQ DQG DV
WKHPVHOYHV LQ WKHLU DFWXDO UHDOLW\WKH WKLQJ LQ LWVHOI :HEVWHU
V American Dictionary of
the English LanguageGHILQHVZKDWPLJKWEHGHVLJQDWHGDV7UXWK
7UXHVWDWHRIIDFWVRUWKLQJV
$Q DEVWUDFW UHSUHVHQWDWLRQ RU PDSSLQJ RI VRPH DVSHFW RI UHDOLW\ WKDW FDQ EH REMHFWLYHO\
GLVFHUQHGDQGYHULILHGDVDFFXUDWHDVSHU:HEVWHU
VVXSUD
&RQIRUPLW\ WR IDFW RU UHDOLW\ H[DFW DFFRUGDQFH ZLWK WKDW ZKLFK LV RU KDV EHHQ RU VKDOO EH
7KH truth RI KLVWRU\ FRQVWLWXWHV LWV ZKROH YDOXH :H UHO\ RQ WKH truth RI WKH VFULSWXUDO
SURSKHFLHV 7KH GXW\ RI D FRXUW RI MXVWLFH LV WR GLVFRYHU WKH truth :LWQHVVHV DUH VZRUQ WR
GHFODUHWKH truthWKHZKROH truthDQGQRWKLQJEXWWKH truth
2QH RI WKH PRVW LPSRUWDQW RI DOO SKLORVRSKLFDO DQG HSLVWHPRORJLFDO TXHVWLRQV ZDV DVNHG E\
3RQWLXV3LORW:KDWLVWUXWK" ,HZKDWLVWKHUHODWLRQVKLSWKHFRUUHODWLRQEHWZHHQUHDOLW\DVLW
DFWXDOO\LV DQGWKDWZKLFKWUDQVSLUHVZLWKLQDSDUWLFXODUKXPDQPLQG" *LYHQWKHVWDWHRIPDQRQ
WKLVSODQHWWKHTXHVWLRQKDVDYDVWVSHFWUXPRIDQVZHUVDQGSRVVLELOLWLHV 6RPHSHRSOHDWWHPSWWR
EHVFUXSXORXVO\DFFXUDWHLQZKDWWKH\WKLQNDQGEHOLHYHFRQFHUQLQJUHDOLW\ 2WKHUSHRSOHDUHVR
GHOXGHGWKDWDSRLQWLVUHDFKHGZKHUHE\WKH\DUHODEHOHGLQVDQHGXHWRYDVWJXOIEHWZHHQZKDW
WKH\FRQVLGHUDVEHLQJUHDODQGWKHZD\RWKHUSHRSOHH[SHULHQFHH[LVWHQFH
&RQVHTXHQWO\QRWZLWKVWDQGLQJWKHGHJUHHWKDWZKDWHYHUVRPHRQHWKLQNVIHHOVEHOLHYHVVD\VRU
DFWVXSRQPD\EHREMHFWLYHO\YHULILDEOHE\RWKHUSHRSOHZLWKRUZLWKRXWWHFKQLFDOLQVWUXPHQWV
XVHG DV H[WHQVLRQVVXUURJDWHV RI WKH VHQVHV WUXWK PXVW EH FRQVLGHUHG DV VXEMHFWLYH FRQFHUQLQJ
PDQ
VLQWHUDFWLRQVZLWKRWKHUV (YHU\RQHSHUFHLYHVDQGH[SHULHQFHVH[LVWHQFHWKURXJKWKHVWDWH
DQG IXQFWLRQLQJ RI KLV XQLTXH QDWXUH PLQG ERG\ QHUYRXV V\VWHP VWDWH RI GHYHORSPHQW DQG
ZRUOGYLHZ
,WLVVXSUHPHO\HVVHQWLDOWKDWPDQDFWWUXWKIXOO\DVWKHEDVLVXSRQZKLFKKHOLYHVDFWVDQGUHODWHV
ZLWK RWKHUV $V WKH UHTXLUHPHQW LQYROYHV RQHVHOI RQO\ WKH WUXWK LH DFWXDO UHDOLW\ DV LW LV
SURYLGHVDGHSHQGDEOHEDVLVIRUOLYLQJRQH
VOLIH ,IVRPHRQHIDOVHO\EHOLHYHVWKHUHLVDIRUWXQHLQ
JROG EXULHG LQ VRPH VSHFLILF ORFDWLRQ DQG VSHQGV PRQH\ RQ WKDW EDVLV KH FRXOG EH ILQDQFLDOO\
UXLQHGWKURXJKKDYLQJVSHQWDOOKLVPRQH\RQFKDVLQJDGHOXVLRQ ,IRQHUHODWHVZLWKRWKHUVRQ
WKHEDVLVRIIDOVHLQIRUPDWLRQVSHDNLQJRWKHUWKDQRQHVDFWXDOSHUVSHFWLYHDQGLQWHQWKDUPFDQ
DFFUXHWRDOOFRQFHUQHG ,QRWKHUZRUGVWKHPDSWUXWKPXVWEHDIDLWKIXOUHSUHVHQWDWLRQRIWKH
WHUULWRU\7UXWK
3DJH RI
/LIH/DZDQGWKH8&&
8QGHUO\LQJ3ULQFLSDOV
([RGXV WKH QLQWK &RPPDQGPHQW VWDWHV 7KRX VKDOW QRW EHDU IDOVH ZLWQHVV DJDLQVW WK\
QHLJKERU /LHVDUHZHDSRQVDQGFDQGHVWUR\OLYHV 3HRSOHFDQEHOLHYHDQGDFWRQZKDWWKH\DUH
WROGDQGERWKNLOODQGEHNLOOHGRQDIDOVHEDVLVVXFKDVE\PDUFKLQJRIIWRZDURQWKHEDVLVRI
ZKDWWKHLUOHDGHUVWHOOWKHP 7KH%LEOHLVHVSHFLDOO\KDUVKRQWKRVHZKREHDUIDOVHZLWQHVV ,Q
,VUDHOWKHSHQDOW\LQ2UWKRGR[FLUFOHVIRUEHDULQJIDOVHZLWQHVVLVGHDWK ,QWKH8QLWHG6WDWHVWKH
SHQDOW\FDQEHVRFLDODQGFRPPHUFLDORVWUDFLVPIRUOLIH :KRZDQWVWRGHDOZLWKVRPHRQHZKR
OLHV" 0XOWLELOOLRQ GROODU GLDPRQG GHDOV FORVH ZLWK D KDQGVKDNH DQG D IHZ ZRUGV H[FKDQJHG
/\LQJLQVXFKDFRQWH[WLVLPSOLFLWO\XQGHUVWRRGDVXWWHUO\XQWKLQNDEOH
7KHFRUHRIWKHPDWWHULVWKDWLIWUXWKZHUHQRWVRYHUHLJQLQ&RPPHUFHFRPPHUFHPHDQLQJDOO
KXPDQ LQWHUFRXUVH RI DQ\ NLQG LH PRQH\ SURSHUW\ DQG RWKHUZLVH WKHUH ZRXOG EH QR ZD\
VRFLHW\FRXOGH[LVWDQGIXQFWLRQ 7KHUHZRXOGEHQRGHSHQGDELOLW\LQKXPDQUHODWLRQVQRUDQ\
UXOHV QRU EDVLV RI HWKLFV QRU JURXQGV IRU DQ\ UHPHG\ DQG UHFRXUVH 1R FRQWUDFWV FRXOG EH
H[HFXWHGQRUDQ\WHUPVDQGFRQGLWLRQVVHWIRUWKRQZKLFKDQ\RQHFRXOGUHO\ $OOVRFLHW\ZRXOG
GLVLQWHJUDWHIRUZDQWRIDQ\IXQGDPHQWDOEDVLVIRULQWHUUHODWLQJ
7KLVWKLUG0D[LPLVLQDYHU\UHDOVHQVHWKHPRVWIXQGDPHQWDORIDOOWKHSULQFLSOHVRIODZDQG
FRQVWLWXWHVWKHIRFDOSRLQWDURXQGZKLFKHYHU\WKLQJHOVHUHYROYHV ,WLVWKHIXOFUXPXSRQZKLFK
DOOHOVHKLQJHVLQRUGHUWRIXQFWLRQDQGSRVVHVVYDOLGLW\ ,WLVHQWLUHO\UHDVRQDEOHWRUHJDUGWUXWK
DVWKHPRVWLPSRUWDQWRIDOOWKLQJV 7UXWKLVH[WROOHGLQDOOYDOLGV\VWHPVRISKLORVRSK\UHOLJLRQ
DQGODZ /DRW]XIRULQVWDQFHSKUDVHGWKHPDWWHUDVIROORZV
0DQDWKLVEHVWOLNHZDWHU
6HUYHVDVKHJRHVDORQJ
/LNHZDWHUKHVHHNVKLVRZQOHYHO
7KHFRPPRQOHYHORIOLIH
/RYHVOLYLQJFORVHWRWKHHDUWK
/LYLQJFOHDUGRZQLQKLVKHDUW
/RYHVNLQVKLSZLWKKLVQHLJKERUV
7KHSLFNRIZRUGVWKDWWHOOWKHWUXWK
7KHIDLUSURILWRIDEOHGHDOLQJ
7KHULJKWWLPLQJRIXVHIXOGHHGV
$QGIRUEORFNLQJQRRQH
VZD\
1RRQHEODPHVKLP>@>@>(PSKDVLVDGGHG@
3DJH RI
/LIH/DZDQGWKH8&&
8QGHUO\LQJ3ULQFLSDOV
,W LV SRVVLEOH WKDW PRUH FRXUW FDVHV UHYROYH DURXQG ZKHWKHU VRPHRQH LV WHOOLQJ WKH WUXWK WKDQ
HYHU\WKLQJ HOVH SXW WRJHWKHU 7KH UHPDLQGHU RI WKH 0D[LPV SHUWDLQV ODUJHO\ WR SUDFWLFDO
DSSOLFDWLRQKRZ DQG ZKHQ WR VSHDN RQH
V WUXWK DQG DSSURSULDWH UHPHGLHV DQG UHFRXUVHV
DYDLODEOHLQWKHHYHQWRIVRPHRQHGRHVQRWWHOOWKHWUXWK
Truth is expressed by means of an affidavit /HY/HY/HY1XP
0DWW-DPHV
$VVWDWHGDERYHPDQ
VWUXWKLVVXEMHFWLYH (DFKLQGLYLGXDOSHUFHLYHVH[LVWHQFHIURPWKHLQVLGH
RXW DV LW ZHUH H[SHULHQFLQJ ZKDWHYHU KH GRHV WKURXJK KLV XQLTXH QDWXUH DQG PDFKLQHU\ RI
FRQVFLRXVQHVVIURPKLVRZQSDUWLFXODUSHUVSHFWLYHLQWLPHDQGVSDFH 7UXWKOLNHEHDXW\LVLQ
WKHH\HRIWKHEHKROGHU
,IVRPHRQHH[SUHVVHVKLVVXEMHFWLYHWUXWKDQGRWKHUVYHULI\WKHVDPHWUXWKLQWKHLURZQVXEMHFWLYH
WHUPVWKHWUXWKLVODEHOHGDVDQREMHFWLYHIDFWLHWKHDEVWUDFWPDSLVSHUFHLYHGE\RWKHUVDV
DFFXUDWHO\ UHSUHVHQWLQJ WKH WHUULWRU\ 7KDW ZKLFK LV XWWHUHG FRQFHSWXDOO\ PD\ EH GHSHQGDEO\
DFWHGXSRQFRQFUHWHO\DQGWKHUHVXOWVDUHUHDOL]HGDVWKH\DUHV\PEROLFDOO\UHSUHVHQWHG
,QDVPXFK DV HYHU\RQH KDV IUHH ZLOO DQG LV WKH QRQUHGXFLEOH XQLW RI H[SHULHQFH FKRLFH
UHVSRQVLELOLW\DQGVHOIJRYHUQPHQWRQO\HDFKSDUWLFXODUEHLQJFDQVSHDNKLVKHURZQWUXWKDQG
KDV WKH ULJKWDQGREOLJDWLRQWRGRVR 1R RQHLVREOLJDWHG RU TXDOLILHGWRH[SUHVVWKHWUXWK RI
DQRWKHU DV SHU WKH IDPRXV OLQH LQ 7HQQ\VRQV ERRN The Courtship of Miles Standish :K\
GRQW\RXVSHDNIRU\RXUVHOI-RKQ
/DZUHTXLUHVDXQLYHUVDOO\DFFHSWHGPHDQVZKHUHE\VRPHRQHPD\DVVHUWKLVVXEMHFWLYHWUXWKLQD
PDQQHU WKDW DOO XQGHUVWDQG LV LQWHQGHG DV EHLQJ XWWHUHG ZLWKRXW HTXLYRFDWLRQ FRQFHDOPHQW
GHFHSWLRQ RU LQVLQFHULW\ $Q DIILGDYLW HVSHFLDOO\ DQ DIILGDYLW VZRUQ WUXH FRUUHFW DQG
FRPSOHWHKDVHYROYHGRYHUWLPHDVWKHDFFHSWHGSURFHVVE\ZKLFKVRPHRQHH[SUHVVHVKLVWUXWK
LQ WKH PRVW VROHPQ DEVROXWH FHUHPRQLDO PHDQV SRVVLEOH SDVW ZKLFK QRWKLQJ H[LVWV $Q
DIILGDYLWDVDVROHPQDQGVZRUQVWDWHPHQWRIWUXWKDXWRPDWLFDOO\UHQGHUVWKHDIILDQWVXEMHFWWR
FKDUJHVRISHUMXU\LIDQ\WKLQJFRQFHUQLQJZKLFKKHVZHDUVLQKLVDIILGDYLWLVIDOVH
Black's Law DictionaryWK HGLWLRQGHILQHV$IILGDYLWDQG2DWKDVIROORZV
Affidavit $ ZULWWHQ RU SULQWHG GHFODUDWLRQ RU VWDWHPHQW RI IDFWV PDGH YROXQWDULO\ DQG
FRQILUPHG E\ WKH RDWK RU DIILUPDWLRQ RI WKH SDUW\ PDNLQJ LW WDNHQ EHIRUH D SHUVRQ KDYLQJ
DXWKRULW\WRDGPLQLVWHUVXFKRDWKRUDIILUPDWLRQSS
Oath $Q\ IRUP RI DWWHVWDWLRQ E\ ZKLFK D SHUVRQ VLJQLILHV WKDW KH LV ERXQG LQ FRQVFLHQFH WR
SHUIRUPDQDFWIDLWKIXOO\DQGWUXO\$QDIILUPDWLRQRIWUXWKRIDVWDWHPHQWZKLFKUHQGHUVRQH
ZLOOIXOO\ DVVHUWLQJ XQWUXH VWDWHPHQWV SXQLVKDEOH IRU SHUMXU\ $Q RXWZDUG SOHGJH E\ WKH SHUVRQ
WDNLQJ LW WKDW KLV DWWHVWDWLRQ RU SURPLVH LV PDGH XQGHU DQ LPPHGLDWH VHQVH RI UHVSRQVLELOLW\ WR
*RG $VROHPQDSSHDOWRWKH6XSUHPH%HLQJLQDWWHVWDWLRQRIWKHWUXWKRIVRPHVWDWHPHQW $Q
3DJH RI
/LIH/DZDQGWKH8&&
8QGHUO\LQJ3ULQFLSDOV
H[WHUQDOSOHGJHRUDVVHYHUDWLRQPDGHLQYHULILFDWLRQRIVWDWHPHQWVPDGHRUWREHPDGHFRXSOHG
ZLWK DQ DSSHDO WR D VDFUHG RU YHQHUDWHGREMHFWLQHYLGHQFHRIWKHVHULRXVDQGUHYHUHQWVWDWHRI
PLQGRIWKHSDUW\RU ZLWKDQLQYRFDWLRQWRDVXSUHPHEHLQJWRZLWQHVVWKHZRUGVRIWKHSDUW\
DQGWRYLVLWKLPZLWKSXQLVKPHQWLIWKH\EHIDOVHS
6R WKDW D GRFXPHQW FDQ EH UHJDUGHG DV DQ DIILGDYLW LW PXVW FRQWDLQ WKH FKDUDFWHULVWLFV DQG
SURSHUWLHVLWHPL]HGEHORZ ,HDQDIILGDYLW
6WDWHVIDFWVWUXWKRQWKHEDVLVRIILUVWKDQGSHUVRQDONQRZOHGJHQRWFRQMHFWXUHWKHRU\RU
KHDUVD\ 7KH IDFWV VWDWHG PXVW H[SUHVV GLUHFW NQRZOHGJH RI WKH DIILDQW QRW LQIRUPDWLRQ DQG
EHOLHIZKLFKLVKHDUVD\
&DQQRWEHDUJXPHQWDWLYH
0XVWQRWGUDZFRQFOXVLRQVRIODZ
&DQ EHH[HFXWHG DQGVHUYHG DWDQ\WLPHZLWKRXWQRWLFH WR WKHDGYHUVH SDUW\ %HFDXVHDQ
DIILGDYLWLVQRWVXEMHFWWRFURVVH[DPLQDWLRQLWLVDQ ex parte SURFHHGLQJ
0XVW EH FHUWLILHG ZLWQHVVHG E\ VRPHRQH DXWKRUL]HG WR WDNH RDWKV XVXDOO\ D QRWDU\
SXEOLF>@>@ ,I LW LV QRW VZRUQ EHIRUH VRPHRQH DXWKRUL]HG WR DGPLQLVWHU RDWKV LW ZLOO QRW EH
FRQVLGHUHGDVEHLQJDQDIILGDYLW
&RQVWLWXWHVRQHRIWKUHHNLQGVRIWHVWLPRQ\WKHRWKHUWZREHLQJGHSRVLWLRQDQGGLUHFWRUDO
H[DPLQDWLRQ DQG VWDQGV DV XQFRQWURYHUWHG HYLGHQFH LI QRW WLPHO\ UHEXWWHG SRLQWIRUSRLQW E\
SURSHUFRXQWHUDIILGDYLWH[HFXWHGE\WKHDGYHUVHSDUW\
0XVWEHH[HFXWHGE\EHLQJVZRUQWUXHFRUUHFWDQGFRPSOHWHLHXQGHURDWKGHILQLQJWKH
GHJUHH DQG QDWXUH RI WKH FRPPHUFLDO OLDELOLW\ EHLQJ VWDNHG E\ WKH DIILDQW IRU WKH YHUDFLW\
DFFXUDF\UHOHYDQFHDQGYHULILDELOLW\RIHYHU\WKLQJVWDWHGLQWKHDIILGDYLW
&DQ EH LQYDOLGDWHG RU QXOOLILHG RQO\ E\ EHLQJ UHEXWWHG SRLQWIRUSRLQW E\ FRXQWHUDIILGDYLW
VZRUQWUXHFRUUHFWDQGFRPSOHWH
6WDQGVDVWKHWUXWKFRQFHUQLQJHDFKSRLQWWKDWLVQRWUHEXWWHGE\FRXQWHUDIILGDYLWDVDERYH
WKHHQWLUHDIILGDYLWVWDQGVDVWKHWUXWKLIQRWDQVZHUHGDWDOOsee 0D[LP)LYH
6WDQGV LQ IXOO DV WKH MXGJPHQW DSSOLFDWLRQ RI WKH ODZ LI FRPSOHWHO\ XQUHEXWWHG E\
FRXQWHUDIILGDYLWDVDERYHLQYRNHVH[HFXWLRQRIWKHODZFRQFHUQLQJWKHSRLQWVLQWKHDIILGDYLWWKDW
DUHQRWH[SUHVVO\UHEXWWHGE\WKHFRXQWHUDIILDQWsee 0D[LP6L[
:LWKRXW D FRPSHWHQW ZLWQHVV LH SHUVRQDO WHVWLPRQ\ QR FRXUW KDV DQ\ SRZHU WR DFW
-XGJPHQWVPD\EHPDGHVROHO\RQHYLGHQFHEXWDOOHYLGHQFHUHTXLUHVFRPSHWHQWZLWQHVVHVIRU
DWWHVWLQJ WR LWV YDOLGLW\ LH IRU WKH SXUSRVH RI YHULI\LQJ WKH HYLGHQFH VXEPLWWHG :LWKRXW D
FRPSHWHQWZLWQHVVDMXGJPHQWLVYRLG
3DJH RI
/LIH/DZDQGWKH8&&
8QGHUO\LQJ3ULQFLSDOV
,Q FRXUW DQ DGYHUVH SDUW\ KDV WKH ULJKW RI FURVVH[DPLQDWLRQ :KHQ WHVWLPRQ\ LV LVVXHG YLD
DIILGDYLWWKHDGYHUVHSDUW\KDVWKHULJKWDQGREOLJDWLRQLIKHVKHGHVLUHVQRWWRKDYHWKHDIILDQWV
DIILGDYLWVWDQGDVWKHWUXWKDQGMXGJPHQWRIWKHODZWRUHVSRQGWRWKHDIILGDYLWSRLQWIRUSRLQWYLD
FRXQWHUDIILGDYLWVZRUQWUXHFRUUHFWDQGFRPSOHWH
5HJDUGOHVV RI WKH IRUP LQ ZKLFK WHVWLPRQ\ LV LQWURGXFHG LQWR D SURFHHGLQJ RU GLVSXWH RQFH D
FRPSHWHQWZLWQHVVKDVVXEPLWWHGWHVWLPRQ\E\DIILGDYLWRURWKHUZLVHWKHDGYHUVHSDUW\PXVW
'LVSURYHVWDWHGIDFWVRUSURYHDOWHUQDWLYHIDFWV
3URYHDSSOLFDWLRQRIODZWRVWDWHGRUDOWHUQDWLYHIDFWV
,Q WKH HYHQW WKDW WKH DGYHUVH SDUW\ IDLOV WR FRPSO\ ZLWK WKH DERYH WZR HVVHQWLDOV WKH
WHVWLPRQ\RIWKHFRPSHWHQWZLWQHVVEHFRPHVHVWDEOLVKHGDVXQFRQWURYHUWHGHYLGHQFH
)RU WKH PRVW SDUW DOPRVW DOZD\V QRDWWRUQH\ FDQEHDFRPSHWHQWZLWQHVVHVEHFDXVH KH
GRHVQRWKDYHILUVWKDQGNQRZOHGJHRIIDFWVDQGKHGRHVQRWVXEPLWZKDWHYHUKHVD\VXQGHU
RDWK LH YLD DIILGDYLW VZRUQ WUXH FRUUHFW DQG FRPSOHWH $WWRUQH\V DFW XQGHU DXWKRULW\ RI WKH
FRUSRUDWH OLPLWHGOLDELOLW\ V\VWHP QRW LQ WKHLU RZQ ULJKW DV XQOLPLWHGOLDELOLW\ EHLQJV
)XUWKHUPRUH WKH\ UHODWH VHFRQGKDQG LQIRUPDWLRQ LH ZKDW LV WROG WKHP E\ RWKHUV /HJDOO\
WKHUHIRUH ZKDW DWWRUQH\V VWDWH LV KHDUVD\ 7KHLU XWWHUDQFHV DUH QRW WKH UHVXOW RI ZKDW WKH\
H[SHULHQFH GLUHFWO\ DQG FRQFHUQLQJ ZKLFK WKH\ FDQ DWWHVW RQ WKH EDVLV RI GLUHFW ILUVWKDQG
SHUVRQDONQRZOHGJH>@>@
,QDGGLWLRQWRWKHDERYHDQDIILGDYLWPXVWRUWRWKHJUHDWHVWH[WHQWVSRVVLEOHVKRXOG
%HDVHYHQSRLQWLQVWUXPHQWLHLQFOXGHDOORI WKHVHYHQSRLQWVWKDWDUHHVVHQWLDOIRUDQ\
OHJDOFRPPHUFLDOGRFXPHQWWREHFRPSOHWHDQGYDOLGDQGWKHUHIRUHLQYLQFLEOH
+DYH DOO SDUDJUDSKV QXPEHUHG IRU WKH SXUSRVH RI inter alia LGHQWLI\LQJ SDUWLFXODU
SRLQWVSDVVDJHVIRUIXWXUHUHIHUHQFH
+DYH D IRUP QXPEHU RQ WKH ERWWRP XQLTXH WR HDFK DIILGDYLW FRQVWLWXWLQJ D EDVLV RI
XQDPELJXRXVIXWXUHUHIHUHQFHDQGHQKDQFLQJLWVDGPLVVLELOLW\DVHYLGHQFHLQFRXUW
%HZULWWHQLQFOHDQFOHDUPDWWHURIIDFWPLQLPDOLVWVW\OHMXVWWKHIDFWVPDDP
%HZULWWHQLQWKHSUHVHQWWHQVH
$YRLG XVLQJ SURQRXQV DQG WKH ZRUGV WR DQG RU ZKLFK DUH DPELJXRXV 7KH OHVV
DPELJXLW\WKHOHVVQHHGH[FXVHH[LVWVIRUDWKLUGSDUW\VXFKDVDMXGJHWRLQWHUYHQHLQWKHPDWWHU
WRLQWHUSUHWWKHWH[W
3DJH RI
/LIH/DZDQGWKH8&&
8QGHUO\LQJ3ULQFLSDOV
8VH DV IHZ DGMHFWLYHV DQG DGYHUEV DV SRVVLEOH VLQFH WKH\ FRORU PDWWHUV DQG WU\ WR WHOO
SHRSOH ZKDW WR WKLQN 2IWHQ WKH PRUH QDNHGO\ ZRUGV DQG WHUPV DUH H[SUHVVHG WKH PRUH
GHILQLWLYHDQGLURQFODGWKHUHVXOW
%H VLJQHG LQ UHG LQN VLJQLI\LQJ EORRG 6LJQLQJ LQ UHG LQN GHPRQVWUDWHV WKDW \RX DV WKH
DIILDQW DUH SOHGJLQJ \RXU XQOLPLWHG OLDELOLW\ WKH WUXWK WKH ZKROH WUXWK DQG QRWKLQJ EXW WKH
WUXWK RQ WKH YHUDFLW\ UHOHYDQFH DFFXUDF\ DQG YHULILDELOLW\ RI HYHU\WKLQJ WKDW \RX DVVHUW ,W
SURFODLPVWKDW \RXDUHVWDWLQJ \RXUWUXWKLQWKHFDSDFLW\RIEHLQJDOLYLQJELRORJLFDOEHLQJDQG
QRW DV D FRUSRUDWH ILFWLRQ IXQFWLRQLQJ LQ OLPLWHG OLDELOLW\ DFRPPHUFLDO ODZIXO DQG H[LVWHQWLDO
IUDXGEHFDXVHLWDUELWUDULO\OLPLWV WKHDOOHJHGOLDELOLW\RIDOHJDOSHUVRQE\ILDWDQGIRUFH
%HQRWDUL]HGZLWKWKHQRWDU\FRQVWLWXWLQJWKLUGSDUW\ZLWQHVVRQHRIWKHHVVHQWLDOVHYHQ
SRLQWVUHIHUHQFHGDERYH
+DYH DV PXFK FRPPHUFLDO SDSHUZRUN LH H[KLELWV DQG DWWDFKPHQWV VXSSRUWLQJ WKH
DIILDQWV DVVHUWLRQV DV SRVVLEOH 2EYLRXVO\ WKH PRUH LQFRQWURYHUWLEOH WKH VXEVWDQWLDWLRQ WKH
EHWWHU
An unrebutted affidavit stands as the truth in commerce 3HW +HE /HJDO
PD[LP+HZKRGRHVQRWGHQ\DGPLWV
,QFRXUWZKHQRUDOWHVWLPRQ\LVJLYHQWKHDGYHUVHSDUW\PXVWGLVSURYHWKHIDFWVWKDWKDYHEHHQ
VWDWHG XQGHU RDWK RU SURYH DOWHUQDWLYH IDFWV DQG OLNHZLVH SURYH WKH DSSOLFDWLRQ RI ODZ UH WKH
VWDWHG IDFWV :KHQ WHVWLPRQ\ LV SURYLGHG E\ DOO DGYHUVH SDUWLHV LH E\ DOO GLVSXWDQWV XQGHU
DIILGDYLW VZRUQ WUXH FRUUHFW DQG FRPSOHWH WKHQ ZKDW LV DFWXDOO\ RFFXUULQJ LV D GXHO RI
FRPPHUFLDODIILGDYLWV
$SURSHUO\H[HFXWHGDIILGDYLWVZRUQWUXHFRUUHFWDQGFRPSOHWHLVRQHRIWKHHVVHQWLDOLQJUHGLHQWV
WKDW PXVW EH LQFOXGHG ZLWKLQ D SRLQW LQVWUXPHQW VR WKDW WKH UHVXOWLQJ GRFXPHQW FDQ EH
LQYLQFLEOH 2QHPXVWDOZD\VNHHSLQPLQGWKHIROORZLQJHVVHQWLDOVRIWKHFRPPHUFLDOSURFHVV
$OO FRPPHUFLDO GRFXPHQWV PXVW EH H[HFXWHG E\ DIILGDYLW VZRUQ WUXH FRUUHFW DQG
FRPSOHWHDOWKRXJKIRUWKHVDNHRIVWUHDPOLQLQJFRPPHUFLDOSDSHUZRUNWKLVSURFHVVLVUHQGHUHG
LPSOLHG DQG QRW H[SUHVV 7KH IRUFH DQG HIIHFW UHPDLQ WKH VDPH VLQFH WKRVH ZKR H[HFXWH
FRPPHUFLDOSDSHUZRUNFDQEHKHOGOLDEOHIRUWKHDFFXUDF\YDOLGLW\DQGYHULILDELOLW\RIZKDWLV
VWDWHGLQWKHGRFXPHQW
(YHU\ GRFXPHQW RQH VHQGV DQG UHFHLYHV LQ ODZ DQG FRPPHUFH LV D SDSHU VROGLHU LH D
GXHOLQJFRPEDWDQWLQWKHMXGLFLDODUHQDWKDWLVDQDEVWUDFWDQGYHUEDOVXEVWLWXWHIRUDUHDOGXHOLQJ
ILHOG 6ROGLHUVGREDWWOHIRUWKHSXUSRVHRIZLQQLQJYLVjYLVDQRSSRVLQJVLGH /DZLQYROYHVD
ZLQQHUDQGDORVHUFRPPHUFHLQYROYHVVRPHRQHSD\LQJDQGVRPHRQHEHLQJSDLG ,QERWKFDVHV
WKHOLYHVULJKWVDQGSURSHUW\RISHRSOHDUHLQYROYHGLQWKHLQWHUDFWLRQVLJQLI\LQJWKDWDQ\WKLQJ
WKDWDQ\RQHH[HFXWHVWKDWFDQDGYHUVHO\DIIHFWVRPHERG\HOVHPXVWEHDVVHUWHGZLWKOLDELOLW\DQG
3DJH RI
/LIH/DZDQGWKH8&&
8QGHUO\LQJ3ULQFLSDOV
DFFRXQWDELOLW\ 2WKHUZLVHDQ\RQHFDQPDNHDQ\DOOHJDWLRQVFODLPVDQGFKDUJHVDJDLQVWDQ\RQH
IRUDQ\WKLQJDQGQRSHQDOWLHVDFFUXHIRUDQ\VSHFLRXVDFWLRQ
,IRQHVSDSHUVROGLHUVZRXOGEHLQYLQFLEOHFRPEDWDQWVDQGQRWSDSHUWLJHUVWKH\PXVWEH
VHYHQSRLQWLQVWUXPHQWVDOORIZKLFKPXVWEHSUHVHQWLQRUGHUWKDWWKHUHVXOWEHVRXQGDQGGHYRLG
RI ZHDNQHVVHV 2QH RI WKHVH HVVHQWLDO VHYHQ SRLQWV LV WKH QHFHVVLW\ IRU EHLQJ H[HFXWHG YLD
DIILGDYLWVZRUQWUXHFRUUHFWDQGFRPSOHWHZLWKWKHVLJQHUVFRPPHUFLDOOLDELOLW\VWDNHGRQWKH
YDOLGLW\YHUDFLW\UHOHYDQFHDQGYHULILDELOLW\RIHYHU\WKLQJWKDWWKHVLJQHUFODLPVFKDUJHVDOOHJHV
WKDWPLJKWUHVXOWLQVRPHRQHHOVHH[SHULHQFLQJORVV
$V PHQWLRQHG DERYH QHLWKHU DWWRUQH\V QRU JRYHUQPHQW DJHQWVXQOHVV VSHDNLQJ IRU
WKHPVHOYHVZLWKILUVWKDQGSHUVRQDONQRZOHGJHFDQHYHUH[HFXWHDGRFXPHQWE\DIILGDYLWVZRUQ
WUXHFRUUHFWDQGFRPSOHWH 7KLVLVEHFDXVHVXFKSHUVRQVGHDOLQKHDUVD\DQGDVDJHQWVRIRWKHU
SHRSOH DQG WKH V\VWHP QRW IRUDV WKHPVHOYHV 7KLV LV D IXQGDPHQWDO ZHDNQHVVGHIHFW LQ DOO RI
WKHLUSDSHUZRUNZKLFKWKRVHZKRDUHQRWHQFXPEHUHGE\DFWLQJDVDJHQWVRIWKHSXEOLFDUHQRW
LQIOLFWHG 1RWKLQJSUHYHQWVDSULYDWHSDUW\LIKHLVVSHDNLQJIRUDQGDVKLPVHOIIURPH[HFXWLQJ
DOO KLV SDSHUZRUN E\ DIILGDYLW VZRUQ WUXH FRUUHFW DQG FRPSOHWH DQG WKHUHE\ E\ VXFK PHDQV
DORQH RYHUFRPLQJ WKH SDSHU VROGLHUV RI WKRVH ZKRVH SDSHUZRUN LV GHIHFWLYH E\ YLUWXH RI WKH
RPLVVLRQ
$OO DWWRUQH\V DQG DJHQWV RI WKH JRYHUQPHQW H[HFXWHG SDSHUZRUN E\ GHFODULQJ WUXH DQG
FRUUHFW XQGHU SHQDOW\ RI SHUMXU\ 7UXH DQG FRUUHFW LV QRW WUXH FRUUHFW DQG FRPSOHWH ,Q
IDFWGHFODULQJWUXHDQGFRUUHFWLVSHUMXU\E\RPLVVLRQJUDQWLQJWKHDOOHJLQJSDUW\FDUWHEODQFKH
IRUDVVHUWLQJRIISRLQWLUUHOHYDQFLHV ,QGHHGDOODWWRUQH\VWKHZKROHV\VWHPDQGHYHU\WKLQJWKDW
SDVVHVIRUODZWRGD\IXQFWLRQVE\WKLVPHDQV 7KHJDPHLVDOOHJLQJDQ\ROGWKLQJQRPDWWHU
KRZXQWUXHDEVXUGDQGEL]DUUHDQGWKHQWULFNLQJWKHUHFHLYHURIWKHQRQVHQVHLQWRGHQ\LQJLH
WUDYHUVLQJDQGWKHUHE\HQMRLQLQJWKHDUJXPHQWRQWKHDOOHJLQJSDUW\VJURXQGDQGGHSDUWLQJIURP
WKHDIIHFWHGSDUW\VJURXQGRIWUXWK
,QFRPPHUFHZKHQVRPHRQHH[HFXWHVDQDIILGDYLWVZRUQWUXHFRUUHFWDQGFRPSOHWHWKDWDIIHFWV
VRPHRQH HOVH WKH DIIHFWHG SDUW\ PXVW UHEXW SRLQWIRUSRLQW E\ FRXQWHUDIILGDYLW VZRUQ WUXH
FRUUHFWDQGFRPSOHWH :KDWHYHUSRLQWVDUHXQUHEXWWHGVWDQGDVWKHWUXWK :KHQWKLVRFFXUVLQD
FRXUW WULDO WKHUH PLJKW EH IRU LQVWDQFH WHQ FRXQWV OHYHOHG DJDLQVW WKH GHIHQGDQW ,I WKH
GHIHQGDQW VXFFHVVIXOO\ UHEXWV LH QHXWUDOL]HV VHYHQ RI WKH FRXQWV LW LV WKH WKUHH WKDW
UHPDLQ WKDW VWDQG DV WKH WUXWK )URP WKLV VFHQDULR WKH IROORZLQJ &RPPHUFLDO 0D[LP ORJLFDOO\
IROORZV
An unrebutted affidavit becomes the judgment in Commerce +HE
7KLVSRLQWLVQRZUHQGHUHGVHOIHYLGHQW $WWKHHQGRIWKHGXHOZKHQWKHWUXWKKDVEHHQGHFLGHG
RQ WKHEDVLVRIWKHORVHUKDYLQJQRWUHEXWWHGSDUWLFXODUDFFXVDWLRQVFODLPVFKDUJHVDQGWKHOLNH
ZKDW VWDQGV DV WKH WUXWK LV WKDW FRQFHUQLQJ ZKLFK WKH MXGJPHQW RI WKH ODZ LV DSSOLHG 7KH
3DJH RI
/LIH/DZDQGWKH8&&
8QGHUO\LQJ3ULQFLSDOV
GHIHQGDQWPXVWWKHQSD\WKHDSSURSULDWHSULFHIRUZKDWHYHUZURQJVGHEWVDUHGHWHUPLQHGDVYDOLG
E\KLVKDYLQJQRWVXFFHVVIXOO\UHEXWWHGWKHP
A matter must be expressed to be resolved +HE3KLO(SK/HJDOPD[LP
+HZKRIDLOVWRDVVHUWKLVULJKWVKDVQRQH
7KLV 0D[LP DQG WKH IROORZLQJ RQH DUH FRUROODULHV %\ PHDQV RI XWLOL]LQJ WKHP RQH PD\
DFFRPSOLVKYLUWXDOO\ DQ\WKLQJLQWKHZRUOG RI ODZDQG FRPPHUFH FHUWDLQO\LQWKHZD\RIVHOI
GHIHQVH 6XFK VXFFHVV LV DFKLHYHG E\ NQRZLQJ WKH SULQFLSOHVUXOHV DQG DSSO\LQJ WKHP LQ
SUDFWLFH
2QHPXVWILUVWRI DOOQHYHUIRUJHWWKDWDOOODZLVFRQWUDFW )XUWKHUPRUHFRQWUDFWVDUHYHU\RIWHQ
LQIDFWSUREDEO\PRUHRIWHQWKDQQRWUDWLILHGE\VD\LQJDQGGRLQJQRWKLQJLHGHIDXOWWKDQE\
DQ\ H[SUHVV ZRUGV DQG DFWLRQ ,I \RX VSHDN \RXU PLQG FRQWUDFWXDOO\ LQ WKH SURSHU PDQQHU D
FRQWUDFWEHWZHHQ\RXDQGDQ\SDUW\FRPLQJDIWHU\RXFDQEHILQDOL]HGLQZKLFKWKHWDEOHVKDYH
EHHQ WXUQHG DQG ZKDW EHJDQ ZLWK \RX RQ WKH GHIHQVLYH DQG \RXU RSSRQHQW DV WKH DJJUHVVRU LV
UHYHUVHG R DQG \RX DUH WKH FRPPHUFLDO DQG ILQDQFLDO YLFWRU ZLWK \RXU RSSRQHQW UHQGHUHG
LPSRWHQW LQ ODZ DQG REOLJDWHG FRQWUDFWXDOO\FRPPHUFLDOO\ IRU SD\LQJ \RX WKH VXPV RI PRQH\
HVWDEOLVKHG LQ WKH WHUPV DQG FRQGLWLRQV RI WKH ILQDOL]HG FRQWUDFW 7KLV LV DFFRPSOLVKHG E\ WKH
PHDQVRXWOLQHGXQGHUWKHIROORZLQJ0D[LP
He who leaves the field of battle first loses by default %RRN RI -RE 0DWW /HJDO
PD[LP+HZKRGRHVQRWUHSHODZURQJZKHQKHFDQRFFDVLRQVLW
$VH[DPSOHRIWKHQDWXUHDQGSRZHURIWKH&RPPHUFLDO0D[LPVZHFDQPDNHDQDQDORJ\ RID
FRXUW WULDO DQG D WHQQLV PDWFK %RWK RFFXU LQ D FRQWH[W FDOOHG D FRXUWD WHQQLV FRXUW DQG D
FRXUWRIODZ ,QDWULDOLIRQHVWDQGVPXWHDQGGRHVQRWDQVZHUUHEXWWKHFKDUJHVRIZKLFKKHLV
DFFXVHG WKHQ DOO FKDUJHV OHYHOHG DJDLQVW KLP VWDQG DV WKH WUXWK 6LOHQFH LV GHHPHG DV
DFTXLHVFHQFHFRQVHQW 7KLVFRXUVHRIDFWLRQLVDNLQWRVWDQGLQJRQDWHQQLVFRXUWDQGQRWKLWWLQJ
DQ\RI\RXURSSRQHQWVEDOOVEDFN
,IKRZHYHU \RXDUHLQFRXUWDQGEHFRPHLQYROYHGLQWKHWULDOLHDGXHOLQYROYLQJDQVZHULQJ
GHQ\LQJ UHEXWWLQJ DQG H[SODLQLQJ \RX DUH WUDYHUVLQJ ZKLFK LV LQ WHQQLV WKH HTXLYDOHQW RI
HQGHDYRULQJWRUHWXUQDOORI\RXURSSRQHQWVYROOH\VLQDPDQQHUWKDWKHFDQQRWWKHQUHWXUQWKH
EDOO WR \RX &HUWDLQO\ WKH SRVVLELOLW\ H[LVWV WKDW RQH FDQ ZLQ VXFK D PDWFK EXW QHYHU ZLWKRXW
H[HUWLRQDQGWKHORVVRIPDQ\SRLQWV
$ WKLUG VWUDWHJ\ H[LVWV ZKLFK ZRXOG EH GLVDOORZHG LQ WHQQLV EXW FDQ EH LQYRNHG ZKHQ GHDOLQJ
ZLWKWKHV\VWHP 7KDWVWUDWHJ\ZRXOGFRQVLVWLQWHQQLVRISODFLQJDKLJKZDOODORQJWKHIXOO
OHQJWK RI WKH WHQQLV QHW SURKLELWLQJ \RXU RSSRQHQW IURP HYHU KLWWLQJ DQ\ EDOO LQWR \RXU FRXUW
ZKDWVRHYHU (YHU\WKLQJKHKLWQRPDWWHUKRZKDUGRUVNLOOIXOO\ZRXOGVLPSO\UHERXQGEDFN
RQKLPDQG\RXZRXOGUHPDLQXQVFDWKHGWKHZLQQHUZLWKRXWQHHGLQJWRKLWDVLQJOHEDOO
3DJH RI
/LIH/DZDQGWKH8&&
8QGHUO\LQJ3ULQFLSDOV
,QDVLWXDWLRQRIGHDOLQJZLWKWKHODZEXLOGLQJDKLJKZDOOLVDFFRPSOLVKHGE\WKHIROORZLQJ
VWUDWHJ\ E\ PHDQV RI ZKLFK \RX PD\ UHPDLQ LPPXQH IURP WKH SODJXH RI WKH OHJDOMXGLFLDO
V\VWHPDQGJRDERXW\RXUOLIHZLWKRXWWKHREOLJDWLRQIRUEHFRPLQJHPEURLOHGLQOHJDOJDPHVWKDW
\RXPLJKWQRWZLVKWRSOD\
&RS\ULJKW \RXU QDPH E\ SXEOLVKLQJ D &RS\ULJKW 1RWLFH IRXU WLPHV LQ D QHZVSDSHU RI
JHQHUDOFLUFXODWLRQWKDWSXEOLVKHVOHJDOQRWLFHV 7KHSXEOLVKLQJVKRXOGEHGRQHRQFHDZHHNIRU
IRXUZHHNV 7KLV&RS\ULJKW1RWLFHLQIRUPVDQ\SRWHQWLDO8VHURIDQ\QDPHWKDWLVLQWHQGHG
DV SHUWDLQLQJ WR \RX WKDW DQ\ XQDXWKRUL]HG XVH WKHUHRI ZLWKRXW \RXU H[SUHVV SULRU ZULWWHQ
SHUPLVVLRQ VLJQLILHV WKH 8VHUV FRQVHQW IRU EHFRPLQJ WKH GHEWRU RQ D VHOIH[HFXWLQJ 8&&
)LQDQFLQJ6WDWHPHQWLQWKHDPRXQWRISHUXQDXWKRUL]HGXVHRIDQ\QDPHXVHGZLWKWKH
LQWHQWRIREOLJDWLQJ\RXSOXVFRVWVSOXVWULSOHGDPDJHV>@>@
([HFXWHD3ULYDWH$JUHHPHQWE\DQGEHWZHHQWKHUHDO\RXDVWKH&UHGLWRUZLWK\RXUQDPH
LQ XSSHU DQG ORZHUFDVH OHWWHUV -RKQ +HQU\ 'RH DQG \RXU DOOFDSLWDOOHWWHU QDPH -2+1
+(15<'2(DVWKH'HEWRU 7KLVGRFXPHQWLVSULYDWHDQGLVQRWILOHGEXWUHWDLQHGE\\RX
)LOH D SURSHUO\ H[HFXWHG 8&& )LQDQFLQJ 6WDWHPHQW ZLWK 6HFXULW\ $JUHHPHQW DQG +ROG
+DUPOHVVDQG ,QGHPQLW\$JUHHPHQWERWKRIZKLFKDUHFRQWUDFWVEHWZHHQWKHDEVWUDFW\RXLH
WKH DOOFDSV QDPH DQG WKH UHDO \RX LH \RXU XSSHU DQG ORZHUFDVH QDPH LQ WKH 8&&
'HSDUWPHQWRIWKH6HFUHWDU\RI6WDWHSUHIHUDEO\LQWKH6WDWHLQZKLFK\RXOLYH
,QWKHHYHQWWKDWDQ\SHUVRQLQWKHV\VWHPOHYHOVDFFXVDWLRQVFODLPVFKDUJHVELOOVILQHV
VXPPRQV LQGLFWPHQWVHWFDJDLQVW\RXKLVSUHVHQWPHQWFRQVWLWXWHVDQRIIHUIRUFRQWUDFWLQJZLWK
\RXLHIRUGRLQJEXVLQHVV $VDFRXQWHURIIHUVHWWLQJIRUWK\RXUWHUPVDQGFRQGLWLRQVIRUGRLQJ
EXVLQHVV ZLWK KLP VHQG KLP DQ DIILGDYLW VZRUQ WUXH FRUUHFW DQG FRPSOHWH FRQWDLQLQJ WKH
IROORZLQJLWHPVQRWLFHVDQGUHTXLUHPHQWV
D
1RWLI\KLPRI\RXUSDUDPRXQWFODLPRQ\RXUVWUDZPDQDQGSURYLGLQJKLPZLWKWKHGHWDLOV
RIZKDWWKHFRVWLVWRWKDWSHUVRQIRUGRLQJEXVLQHVVZLWK\RXLHE\XVLQJ\RXUDOOFDSVQDPHLQ
FRPPHUFHZLWKRXW\RXUSHUPLVVLRQIRUKLVXQMXVWFRPPHUFLDOHQULFKPHQW
E
5HTXLUH WKDW KH YDOLGDWHYHULI\ WKH DOOHJHG GHEW XQGHU RDWK LQ DFFRUGDQFH ZLWK WKH )DLU
'HEW&ROOHFWLRQ3UDFWLFHV$FWDW86&J
F
5HTXLUH WKDW KH SURYLGH SURRI RI KLV DXWKRULW\ IRU FROOHFWLQJ WKH DOOHJHG GHEW ZLWK
FHUWLILHGWUXHFRSLHVRIDOODJHQF\DJUHHPHQWVIURPZKDWHYHUSULQFLSDOVDUHDOOHJHGO\SURYLGLQJ
KLPZLWKDXWKRULW\IRUDFWLQJDJDLQVW\RX
G
5HTXLUHWKDWKHSURYLGHDFRS\RI WKH XQGHUO\LQJ FRQWUDFW LQZKLFK \RXDUH DOOHJHGO\ LQ
GHIDXOWLQFOXGLQJDQDFFRXQWLQJRIDOOJRRGVDQGVHUYLFHVZLWKZKLFK\RXZHUHSURYLGHGDQGIRU
ZKLFK\RXKDYHQRWSDLGLHDOOWKHSURSHUFRPPHUFLDOSDSHUZRUN
3DJH RI
/LIH/DZDQGWKH8&&
8QGHUO\LQJ3ULQFLSDOV
H
5HTXLUHWKDWKHSURYLGHWKHFRQWUDFWXDO DQG VWDWXWRU\ VRXUFHRIKLVDXWKRULW\IRULVVXLQJ
FXUUHQF\WKDWQHYHUEHIRUHH[LVWHGLQWKHKLVWRU\RIWKHXQLYHUVHE\FUHDWLQJDSURPLVVRU\QRWH
ZLWK\RXUDOOFDSVQDPHDVGHEWRUDQGUHTXLULQJWKDW\RXWKHUHDOEHLQJEHFRPHWKHVXUHW\IRU
WKHDOOHJHGGHEW
I
3URYLGH KLP ZLWK D 3ULYDF\ $FW 1RWLFH LQIRUPLQJ KLP WKDW KH LV IRUHFORVHG IURP
LPSDUWLQJDQ\LQIRUPDWLRQDERXW\RXDQG\RXUDIIDLUVIRUWKHEHQHILWRIDQ\WKLUGSDUWLHV
J
5HTXLUHWKDWKHUHVSRQGWR\RXZLWKLQDVSHFLILHGSHULRGRIWLPHYLDFRXQWHUDIILGDYLWVZRUQ
WUXHFRUUHFWDQGFRPSOHWHQRWLI\LQJKLPWKDWKLVIDLOXUHWRUHVSRQGZLWKLQWKHGHVLJQDWHGWLPH
YLDSRLQWIRUSRLQWUHEXWWDOXQGHURDWKVZRUQWUXHFRUUHFWDQGFRPSOHWHLQYRNHVWKHGRFWULQHRI
FRQVHQWDFTXLHVFHQFHE\VLOHQFHDQGFRQVWLWXWHVKLVWDFLWDJUHHPHQWWKDW\RXUSRVLWLRQLVFRUUHFW
LQWRWDOLW\DQGWKDWDOORIKLVDOOHJDWLRQVDQGDFWLRQVDUHERJXVQXOODQGYRLGDQGRIQRIRUFHDQG
HIIHFW
K
,QIRUPKLPIXUWKHUWKDWDOOFRQWLQXHGDFWLRQDJDLQVW\RXLQWKHDEVHQFHRIIXOOFRPSOLDQFH
ZLWK DOO RI \RXU SXW XS RU VKXW XS GHPDQGV FRQVWLWXWH KLV DJUHHPHQW DQG FRQVHQW LH
FRQIHVVLRQDQGFRQVHQWRIMXGJPHQWWKDWKHJUDQWV\RXIXOODXWKRUL]DWLRQIRUFROOHFWLQJDJDLQVW
KLPLQKLVSHUVRQDOFDSDFLW\E\VXFKPHDQVDVILOLQJD8&&)LQDQFLQJ6WDWHPHQWDJDLQVWDOORI
KLV SURSHUW\ ZKLFK PD\ EH QRQMXGLFLDOO\ VHL]HG VWULFW IRUHFORVXUH IRU WKH SD\PHQW RI KLV
REOLJDWLRQ
,I KH GRHV QRW ZLWKGUDZ KLV RIIHQGLQJ FODLPV FKDUJHV SUHVHQWPHQW HWF ZLWKLQ WKH
VSHFLILHG WLPHIUDPHIRUKLPWRGRVRWKHQKLVGHIDXOWFRQVWLWXWHVDILQDOL]HGFRQWUDFWEHWZHHQ
\RXDQGKLP %\WKHWHUPVRIWKLVFRQVXPPDWHGUDWLILHGFRQWUDFWKHLVQRZLQGHEWHGWR\RXIRU
WKHDPRXQWVWKDW \RXLQIRUPHGKLPKHZRXOGRZHVKRXOGKHSURFHHG DV KHZDVGRLQJZLWKRXW
VXEVWDQWLDWLQJKLVSRVLWLRQDQGQHJDWLQJ\RXUV +HKDVWKHQORVWWKHJDPHRISXWXSRUVKXWXS
OHIW WKH ILHOG RI EDWWOH DQG ORVW E\ GHIDXOW 7KH WUDQVDFWLRQ WKDW KH LQLWLDWHG DV D SRVLWLRQ RI
ZRXOGEHFUHGLWRUDWWHPSWLQJWRPDNH\RXDGHEWRUKDVEHHQUHYHUVHGDQG\RXDUHHVWDEOLVKHGLQ
WKHHQGDVWKHFUHGLWRUDQGKHLVSODFHGLQWKHSRVLWLRQRIEHLQJ\RXUGHEWRU 6XFKLVWKHSRZHURI
WUXWKFRPELQHGZLWKXQGHUVWDQGLQJDQGXVHRIWKHDSSURSULDWHSULQFLSOHV
Sacrifice is the measure of credibility 2QH ZKR LV QRW GDPDJHG SXW DW ULVN RU ZLOOLQJ WR
VZHDUDQRDWKWKDWKHFRQVHQWVWRFODLPDJDLQVWKLVFRPPHUFLDOOLDELOLW\LQWKHHYHQWWKDWDQ\RI
KLVVWDWHPHQWVRUDFWLRQVLVJURXQGOHVVRUXQODZIXOKDVQREDVLVWRDVVHUWFODLPVRUFKDUJHVDQG
IRUIHLWV DOOFUHGLELOLW\DQGULJKWWRFODLPDXWKRULW\$FWVOLIHGHDWKRI6WHSKHQPD[LP+H
ZKR EHDUV WKH EXUGHQ RXJKW DOVR WR GHULYH WKH EHQHILW ,Q WKH YHUQDFXODU WKH SULQFLSOH
HPERGLHG LQWKLV0D[LPLVHQFDSVXODWHG LQ WKH DGPRQLWLRQV7DONVFKHDS 3XW \RXU PRQH\
ZKHUH\RXUPRXWKLVDQG3XWXSRUVKXWXS
)RULQVWDQFHLIVRPHRQHDWWHPSWVWRMRLQDKLJKVWDNHVSRNHUJDPHEXWZLOOQRWSODFHDQ\VWDNHV
ZKLOHZLVKLQJWRWDNHWKHSRWZLWKRXWHYHUULVNLQJDQ\ORVVKHZRXOGSUREDEO\EHWKURZQRXWRI
WKH EXLOGLQJ -XGJHV DQG DWWRUQH\V KRZHYHU IXQFWLRQ IURP WKHLU DORRI VWUDWD RI WUXH DQG
3DJH RI
/LIH/DZDQGWKH8&&
8QGHUO\LQJ3ULQFLSDOV
FRUUHFW SHUMXU\ E\ RPLVVLRQ DQG LUUHOHYDQF\ ZKLOH UHTXLULQJ WKDW DOO RI WKH GLVSXWDQWV ELQG
WKHPVHOYHVE\VZHDULQJWRWHOOWKHWUXWKWKHZKROHWUXWKDQGQRWKLQJEXWWKHWUXWKZKLFKLVWKH
MXGLFLDO HTXLYDOHQW RI VZHDULQJ WUXH FRUUHFW DQG FRPSOHWH :KLOH QHDUO\ DQ\ GRFXPHQW WKH
V\VWHP ZRXOG KDYH SHRSOH VLJQ UHTXLUHVH[HFXWLRQXQGHUSHQDOW\ RI SHUMXU\ WUXH FRUUHFWDQG
FRPSOHWH VHH IRU LQVWDQFH DQ ,56 )RUP DSSOLFDWLRQ IRU 6RFLDO 6HFXULW\ HWF WKH
FKDQFHV RI DQ\RQHUHFHLYLQJDGRFXPHQWIURPDQ\RQHLQWKHV\VWHPHJDQ ,56DJHQWWKDW LV
VZRUQ XQGHU SHQDOW\ RI SHUMXU\ WUXH FRUUHFW DQG FRPSOHWH DUH HVVHQWLDOO\ QRQH[LVWHQW ,Q
86&WKRVHZLWKLQWKH8QLWHG6WDWHVUHOLHYHGWKHPVHOYHVRIDQ\VXFKHQFXPEUDQFH
7KLV XQZLOOLQJQHVV IRU VDFULILFLQJ WKHUHIRUH LH VWDNLQJ VRPH ULVN RQ WKH YDOLGLW\ YHUDFLW\
UHOHYDQFHDQGYHULILDELOLW\RIHYHU\WKLQJDJHQWVDQG RIILFLDOVRIWKHV\VWHPVD\DQGGRUHQGHUV
WKHWRWDOLW\RIWKHLUXQGHUWDNLQJVVKDPV 1RVDFULILFHQRFUHGLELOLW\
A lien or claim can be satisfied only through rebuttal by Counteraffidavit point-for-point,
resolution by jury, or payment *HQ0DWW5HYHODWLRQ/HJDOPD[LP,IWKHSODLQWLIIGRHV
QRWSURYHKLVFDVHWKHGHIHQGDQWLVDEVROYHG
$V ZDV VWDWHG HDUOLHU WKH WRWDO QXPEHU RI FRPPHUFLDODQG KHQFH OHJDOGRFXPHQWV LV TXLWH
VPDOO 7HFKQLFDOO\ DOO RI WKH GRFXPHQWV PXVW EH DIILGDYLWV H[HFXWHG E\ EHLQJ VZRUQ WUXH
FRUUHFWDQGFRPSOHWH 7KHVHFDWHJRULHVRIGRFXPHQWVE\ZKLFKDOORIWKHODZDQGFRPPHUFHRI
WKHZRUOGIXQFWLRQDUHDVIROORZV
&RPPHUFLDOSDSHUZRUNDIILGDYLWRIDFFRXQWLQJ
&RQWUDFWDIILGDYLWRIDJUHHPHQW
1RWLFHRILQWHUHVWWKUHHZHHNXQERQGHGGLVWUHVV
'LVWUHVVDIILGDYLWRIGLVWUDLQWLPSRXQG
&ULPLQDOFRPSODLQWDIILGDYLWRILQIRUPDWLRQ
/LHQDIILGDYLWRIREOLJDWLRQ
$OLHQLVDSDSHUGHEWFROOHFWRUDQGVKRXOGEHWKHFXOPLQDWLQJGRFXPHQWERUQHRIDQDGHTXDWH
SDSHU WUDLO LH DFFXPXODWLRQ RI GRFXPHQWV LQWHUFKDQJHG EHWZHHQ WKH SDUWLHV UHVXOWLQJ LQ D
ILQDOL]HGFRQVHQVXDOSULYDWHFRQWUDFWWKDWJUDQWVRQHSDUW\DXWKRULW\IRUVHL]LQJDQRWKHUSDUW\V
SURSHUW\WKDWZDVFRQWUDFWXDOO\ SOHGJH IRU WKH SXUSRVH RI FROODWHUDOL]LQJ DQREOLJDWLRQ ,W LV RI
XWPRVWLPSRUWDQFHWKDWRQHXQGHUVWDQGWKDWLQODZDQGFRPPHUFH WKHUHDOLW\LVWKHUHFRUG $VD
UHVXOWWKHERRNNHHSHULVNLQJ ,I\RXZRXOGKRSHWRVXFFHHG\RXPXVWNHHSFRPSOHWHERRNV
DQGUHFRUGV $OZD\VJHWLWLQZULWLQJ 2WKHUZLVH\RXKDYHRQO\WKLQDLUXSRQZKLFKWREDVH
DQ\FODLPV\RXPLJKWZLVKWRDVVHUW
3DJH RI
/LIH/DZDQGWKH8&&
8QGHUO\LQJ3ULQFLSDOV
7KH IRXQGDWLRQ RI HYHU\ UHFRUG LV WKH FRPPHUFLDO SDSHUZRUN FRQVLVWLQJ RI WZR HVVHQWLDO
HOHPHQWV
$ OHGJHU RI DFFRXQWLQJ FRQVLVWLQJ RI DQ LWHPL]HG OLVW RI JRRGV DQG VHUYLFHV SURYLGHG E\
ZKRPWRZKRPZLWKFRUUHVSRQGLQJPRQHWDU\YDOXHVLQGLFDWHGIRUHDFKHQWU\
5HFRUG RI UHVSRQVLELOLW\ LGHQWLI\LQJ WKH SDUW\ ZKR WDNHV FRPPHUFLDO OLDELOLW\ DQG
UHVSRQVLELOLW\IRUWKHDFFXUDF\UHOHYDQFHDQGYHULILDELOLW\RIHDFKERRNNHHSLQJHQWU\
$OWKRXJK WHFKQLFDOO\ HYHU\ GRFXPHQWLQ FRPPHUFHPXVWEH H[HFXWHGE\XQGHUDIILGDYLWVZRUQ
WUXHFRUUHFWDQGFRPSOHWHWKHFRPPHUFHRIWKHZRUOGFRQVLVWVRIELOOLRQVRISHRSOHHQJDJLQJLQ
FRXQWOHVV FRPPHUFLDO WUDQVDFWLRQV D GD\ 2EYLRXVO\ WKHQ LW LV LPSUDFWLFDO IRU WKH WULOOLRQV RI
GRFXPHQWVLQYROYHGLQDFWXDOFRPPHUFHWREHGRQHE\KDYLQJWR WDNHHDFKRQHWRDQRWDU\WREH
FHUWLILHG DQG VZRUQ DV EHLQJ WUXH FRUUHFW DQG FRPSOHWH &RPPHUFH WR EH SUDFWLFDO PXVW EH
HIILFLHQW VWUHDPOLQHG DQG PLQLPDOLVW 7KH IRUFH DQG HIIHFW RI HYHU\ GRFXPHQW KRZHYHU LV
XOWLPDWHO\ LWV DFFXUDF\ UHOHYDQFH DQG YHULILDELOLW\ FRPELQHG ZLWK VRPH OLYLQJ VHQWLHQW EHLQJ
ZKR WDNHV UHVSRQVLELOLW\ IRU WKH YDOLGLW\ RI WKH GRFXPHQW DQG WKH LQIRUPDWLRQ WKDW LW FRQWDLQV
7KLV PXVW EH VR EHFDXVH HYHU\ OHJDO DQG FRPPHUFLDO GRFXPHQW LQYROYHV VRPHRQH SD\LQJ DQG
VRPHRQHUHFHLYLQJJDLQ 6LQFHHYHU\VXFKGRFXPHQWWKXVLQYROYHVDSRWHQWLDOORVVWRVRPHRQH
HOVH DFFXUDF\ DQG UHVSRQVLELOLW\DFFRXQWDELOLW\OLDELOLW\ PXVW EH LQKHUHQW LQ HYHU\WKLQJ
7KHUHIRUHDOWKRXJKQRWLQ DFWXDOLW\ VZRUQWUXHFRUUHFWDQGFRPSOHWHDOOFRPPHUFLDOGRFXPHQWV
DUHHQIRUFHGDVLIWKH\ZHUH 5HDOLW\FDQQRWEHFKHDWHG 1RPDWWHUKRZIDQWDVWLFDQGUHPRYHG
IURPUHDOLW\DQGVDQLW\PDWWHUVEHFRPHXOWLPDWHO\HYHU\WKLQJPXVWEHJURXQGHGLQDQGEHDEOH
WR EH WUDFHG EDFN WR WKH JURXQG OHYHO ZKLFK LV WKH FRPELQDWLRQ RI DFFXUDF\ WUXWK DQG
LQGLYLGXDOUHVSRQVLELOLW\DFFRXQWDELOLW\
:KLOHWKH7HQWK0D[LPSURYLGHVDQRSWLRQRIGHDOLQJZLWKDOLHQYLDFRXQWHUDIILGDYLWVZRUQWUXH
FRUUHFWDQGFRPSOHWHLI\RXKDYHGHYHORSHG\RXUOLHQSURSHUO\UHEXWWDOE\WKHDGYHUVHSDUW\LV
LPSRVVLEOH 7KLVLVEHFDXVHILQDOL]DWLRQRIWKHFRQWUDFWLVGHULYHGIURPDVHULHVRIGHIDXOWVE\WKH
DGYHUVHSDUW\LHFRQWUDFWXDOUDWLILFDWLRQVE\LQYRNLQJWKHGRFWULQHRIFRQVHQWDQGDFTXLHVFHQFH
E\ VLOHQFH ,Q VKRUW \RX JLYH WKH DGYHUVH SDUW\ ; QXPEHU RI GD\V WR SURYH KLV SRVLWLRQ RU
DEDQGRQLWLHSXWXSRUVKXWXSDQGQRWLI\KLPWKDWLIKHIDLOVWRGRHLWKHUZLWKLQWKHUHTXLUHG
WLPHIUDPHKLVQRQGRLQJVLJQLILHVIXOODJUHHPHQWZLWKDOORIWKHDVVHUWLRQV\RXKDYHQRWLFHG KLP
E\DIILGDYLWVZRUQWUXHFRUUHFWDQGFRPSOHWH
%\ WKH WLPH D OLHQ LV H[HFXWHG \RXU SDSHU WUDLO LH UHFRUG RI SURSHUW\ H[HFXWHG FRPPHUFLDO
SDSHUZRUNLVVLJQLILFDQWDQGWKDWRIWKHGHIDXOWLQJSDUW\LVHLWKHUZRHIXOO\LQDGHTXDWHRUQRQ
H[LVWHQW VLQFH WKHLU QRUPDO SHQFKDQW LV WR LJQRUH \RX ,Q WKH HQG WKHQ WKH RQO\ ZD\ WKH
DGYHUVHSDUW\FDQUHEXW\RXUOLHQLVE\SURYLQJRQWKHUHFRUGVRPHWKLQJWKDWQHYHUKDSSHQHGDQG
GRHV QRW H[LVW ZKLFK LV WKDW KH VXFFHVVIXOO\ UHEXWWHG YLD FRXQWHUDIILGDYLW VZRUQ WUXH FRUUHFW
DQGFRPSOHWHHDFKDQGHYHU\DIILGDYLW\RXQRWLFHGKLP 6LQFHKHFDQQRWSURYHWKHLPSRVVLEOH
3DJH RI
/LIH/DZDQGWKH8&&
8QGHUO\LQJ3ULQFLSDOV
\RXUSRVLWLRQVWDQGVXQUHEXWWHGDVWKHWUXWKDQGMXGJPHQWRIWKHODZJUDQWLQJ\RXDXWKRULW\IRU
VHL]LQJKLVSURSHUW\DVSD\PHQWRIKLVREOLJDWLRQ
'HDOLQJ ZLWK D FODLP ZKLFK LV HVWDEOLVKHG RQ WKH UHFRUG E\ PHDQV RI ILOLQJ D 8&& )LQDQFLQJ
6WDWHPHQW ZLWK D SURSHU 6HFXULW\ $JUHHPHQW DQG +ROG +DUPOHVV DQG ,QGHPQLW\ $JUHHPHQW LV
HYHQPRUHLURQFODG
)LUVW RI DOO LQ \RXU SDSHUZRUN \RX GR QRW UHIHUHQFH VXFK ZRUGV DV OLHQ GLVWUHVV QRU DQ\
WHUPV ZLWK OHJDO LPSOLFDWLRQV WKDW FDQ EH FRQVWUXHG DV JUDQWLQJ DXWKRULW\ IRU FRPPHQFLQJ D
MXVWLFLDEOH FRQWURYHUV\ OHJDO GLVSXWHFRXUW FDVH 5HVWULFW DOO \RXU WHUPV WR VWULFW
FRPPHUFH8&&HJ)LQDQFLQJ6WDWHPHQWVHFXULW\LQWHUHVW6HFXULW\$JUHHPHQWFODLP
HWF
%\VXFKPHDQV\RXKDYHQHXWUDOL]HGWKHSRVVLELOLW\IRUDQDGYHUVHSDUW\WRQHXWUDOL]H\RXUFODLP
E\WKHILUVWWZRPHDQVUHIHUHQFHGLQWKH7HQWK0D[LPLHUHEXWWDODQGDUELWUDWLRQOHDYLQJKLP
ZLWKRQO\WKHWKLUGRSWLRQZKLFKLVSD\PHQW
)RUWXQDWHO\QRQMXGLFLDOVHL]XUHRIDVVHWVLHVWULFWIRUHFORVXUHLVDYLDEOHSURFHVVUHFRJQL]HG
DQGGLVFXVVHGLQWKHQHZ$UWLFOHRIWKH8&&DQGDFWHGXSRQZLGHO\WKURXJKRXWWKHZRUOG $
SURSHUO\ H[HFXWHG OLHQ DQG QRQMXGLFLDO FROOHFWLRQ WKHUHRQ LV WKH WHHWK DQG FXOPLQDWLRQ RI
VHFXULQJ\RXUOLIHULJKWVDQGSURSHUW\RXWVLGHRIWKHOHJDOMXGLFLDOJRYHUQPHQWDOV\VWHP
3DUW
$3ULQFLSOHV
$OO RI FUHDWLRQ FDQ EH WKRXJKW RI DV PXVLF %RWK FRQVLVW RI YLEUDWLRQV UK\WKP KDUPRQ\
SRWHQWLDOGLVVRQDQFHDQGIRUPVPHORGLHV &UHDWLRQOLNHPXVLFLVFKDUDFWHUL]HGE\DW\SHRI
FRQVWUXFWLRQZLWKZKLFKHYHU\PXVLFLDQLVIDPLOLDUWKHPHDQGYDULDWLRQV $VH[DPSOHVRQHPD\
FLWHWUHHVSHRSOHELUGVVH[HVVHQWLDOO\DQ\WKLQJLQFUHDWLRQ %DVHGRQVRPHWKLQJVRVLPSOHDV
PDOHDQGIHPDOHIRULQVWDQFHORRNDWWKHYDULDWLRQVDQGFRPSOH[LWLHVWKDWHQVXH
7KHVDPHVLWXDWLRQSHUWDLQVLQODZDQGFRPPHUFHZKHUHHYHU\WKLQJLVDIXQFWLRQRIEDVLFWKHPHV
SULQFLSOHVZLWKYDULDWLRQVSDUWLFXODUH[SUHVVLRQVFRQWH[WVVHW RI IDFWV HYHQWV FRPELQDWLRQV
DQG QXDQFHV 5DOSK :DOGR (PHUVRQ DUWLFXODWHO\ H[SUHVVHG WKH SDUDPRXQW LPSRUWDQFH RI
XQGHUVWDQGLQJDQGDSSO\LQJSULQFLSOHVLQDQ\JLYHQVLWXDWLRQ
:LWKRXWDPELWLRQRQHVWDUWVQRWKLQJ
3DJH RI
/LIH/DZDQGWKH8&&
8QGHUO\LQJ3ULQFLSDOV
:LWKRXWZRUNRQHILQLVKHVQRWKLQJ
7KHSUL]HZLOOQRWEHVHQWWR\RX
$VWRPHWKRGVWKHUHPD\EHDPLOOLRQDQGWKHQVRPH
%XWWKHSULQFLSOHVDUHIHZ
7KHPDQZKRJUDVSVSULQFLSOHVFDQVXFFHVVIXOO\VHOHFWKLVRZQPHWKRGV
7KHPDQ ZKRWULHVPHWKRGVLJQRULQJSULQFLSOHVLVVXUHWRKDYHWURXEOH
,Q WKH FDVH RI ODZ DQG FRPPHUFH WKH EDVLF WKHPHV DUH WKH IXQGDPHQWDO SULQFLSOHV DQG
&RPPHUFLDO 0D[LPV KHUHWRIRUH GLVFXVVHG LQ 3DUWV 2QH DQG 7ZR UHVSHFWLYHO\ 7KH EULGJH
EHWZHHQ WKH ILUVW VHW RI XQLYHUVDO SULQFLSOHV ZKLFK PD\ EH FRQVLGHUHG DV D[LRPDWLF LQ RXU
XQLYHUVH DQG WKH &RPPHUFLDO 0D[LPV WKDW DSSO\ LQ ODZ DQG FRPPHUFH LV WKH DFWLYDWLRQ RI D
VLQJOH VLPSOH HWKLFDO FKRLFH LH D VLQJOH SULQFLSOH One may play either win/win or win/lose
games in interacting with others
7KLV HWKLFDO FKRLFH UHJDUGOHVV RI ZKLFK FKRLFH LV DGRSWHG DV D EDVLV IRU DFKLHYLQJ LV
LPSOHPHQWHGIRUWKHSXUSRVHRIDFWXDOL]LQJDQRWKHUIXQGDPHQWDOSULQFLSOHGLVFXVVHGDERYH The
nature of life is to grow, progress, and evolve towards its fulfillment, towards ever-fuller
realization of its own unbounded divinity and infinity ,QRWKHUZRUGVOLIHLVDIRXUOHWWHUZRUG
VSHOOHGPRUH (YHU\OLYLQJWKLQJZDQWVPRUH 7KLVLQFOXGHVJRRGJX\VLHSHRSOHZKROLYH
E\ ZLQZLQ LQWHUDFWLRQV DQG EDG JX\V LH WKRVH ZKR IXQFWLRQ LQ OLIH RQ D ZLQORVH EDVLV
(YHU\RQH WKHUHE\ PDNHV DQ HWKLFDO FKRLFH FRQFHUQLQJ ZKLFK DSSURDFK KH ZLOO DGRSW IRU
IXUWKHULQJ KLV LQKHUHQW OLIHGULYH IRU PRUH (YHU\RQH ZLVKHV WR VXFFHHG :KDW UHPDLQV LV WKH
FKRLFHVRQHPDNHVDVWRWKHPHDQVLHZKHWKHUWRSXUVXHKRQRUDEOHRUGLVKRQRUDEOHDFWLRQ
$QRWKHUSULQFLSOHKHUHWRIRUHGLVFXVVHGWKDWRSHUDWHVZKHQHYHUVRPHRQHDFWVRQKLVLQQDWHGULYH
IRUPRUHLVWKHIXQGDPHQWDOVRXUFHRIPDQVSUREOHPV the illusion of separation :KHQRQHKDV
FRQVFLRXVDZDUHQHVVWKDWKHOLNHDOODQGHYHU\WKLQJLVDQH[SUHVVRIWKH2QHDQGLVWKHUHIRUH
RQHZLWKHYHU\WKLQJDQGHYHU\RQHSOD\LQJZLQORVHJDPHVLVSHUFHLYHGDVOXGLFURXVVLQFHRQHLV
LQYROYHGLQDWWHPSWLQJWRFKHDWRQHVHOILHDQRWKHUDVSHFWRIRQHVHOI 7KLVLVOLNHDKDQGWU\LQJ
WRJUDVSLWVHOI
*HRUJH *LOGHU LQ KLV ERRN Wealth and Poverty DUWLFXODWHV WKLV SULQFLSOH HORTXHQWO\ LQ WKH
FRQWH[WRIHFRQRPLFV
7KH EHOLHI WKDW WKH JRRG IRUWXQH RI RWKHUV LV DOVR ILQDOO\ RQH
V RZQ GRHV QRW FRPH HDVLO\ RU
LQYDULDEO\WRWKHKXPDQEUHDVW ,WLVKRZHYHUWKHJROGHQUXOHRIHFRQRPLFVDNH\WRSHDFHDQG
SURVSHULW\DVRXUFHRIWKHJLIWVRISURJUHVV
:H QRZ DUULYH DW ZKDW LV VLPXOWDQHRXVO\ WKH DOOHJHG QHFHVVLW\ IRU WKH H[LVWHQFH RI
JRYHUQPHQWVDQGWKHZD\LQZKLFKDOOJRYHUQPHQWVIXQFWLRQDQGPXVWIXQFWLRQLQRUGHUIRUWKH
3DJH RI
/LIH/DZDQGWKH8&&
8QGHUO\LQJ3ULQFLSDOV
LQVWLWXWLRQ WR EH FODVVLILHG DV D JRYHUQPHQW 1DPHO\ VRPH SHRSOH UHODWH ZLWK RWKHUV E\
GLVKRQRUDEOHPHDQVLHE\ZLQORVHLQWHUDFWLRQVZKHUHE\VRPHRQHDWWHPSWVWRJDLQWKHUHZDUGV
RIVRPHUHODWLRQVKLSZLWKRXWJLYLQJVRPHWKLQJRIHTXDORUJUHDWHUYDOXHLQH[FKDQJH $WKLHIIRU
LQVWDQFHWDNHVSURSHUW\WKDWLVWKHIUXLWRIWKHODERURIVRPHRQHHOVHLHWKHFDXVHHIIHFWUHVXOWRI
WKH ULJKWIXO RZQHUV ODERU ZLWKRXW HQJDJLQJ LQ DQ\ ZLQZLQ DFWLRQV WKDW JHQHUDWH WKH UHZDUGV
WKDWWKHWKLHIH[SURSULDWHV %HFDXVHDOPRVWHYHU\RQHKDVWKHSUHVHQFHRIVRPHELWRIODUFHQ\LQ
KLV KHDUW WKRVH ZKR KDYH QRQH DUH RIWHQ FDOOHG VDLQWV VDJHV DQG WKH OLNH PDQ\ SHRSOH
HQJDJHLQDFWLRQVWKDWWKH\WKLQNZLOOEHDVKRUWFXWLQIXOILOOLQJWKHLUOLIHGULYHIRUPRUHWKH\OLH
FKHDW VWHDO WDNH E\ IRUFH IUDXG GXUHVV HWF %\ VXFK PHDQV SHRSOH ZKR DFW LQ D ZLQORVH
PDQQHU WKLQN WKDW WKH\ KDYH WDNHQ D VKRUWFXW LQ IXOILOOLQJ WKHLU OLIHGULYH IRU PRUH :KDW VXFK
SHRSOHGRQRWUHDOL]HLVWKDWVXFKDVKRUWFXWWDNHVORQJHULQWKHHQG
(YHUVLQFH(GHQWKHZD\VFRQWH[WVQXDQFHVDQGDVSHFWVRIPDQVHIIRUWVDWZLQQLQJE\SOD\LQJ
ZLQORVH JDPHV KDYH EHHQ LQILQLWH LQ YDULHW\ FUHDWLYLW\ DQG VXEWOHW\ 7KH HQG UHVXOW RI DOO RI
WKHPKRZHYHULQFOXGHVXFKFRQVHTXHQFHVDVWKHIROORZLQJ
6LQFHPDQUHDSVZKDWKHVRZVLHWKHLQYLRODEOHODZRINDUPDDFWLRQUHDFWLRQLQWKHOLIH
RI PDQ IXQFWLRQV E\ YLUWXH RI QDWXUDO ODZ WKH DOOHJHG ZLQQHU FDXVHV KDUP QRW RQO\ WR KLV
YLFWLPWKHODUJHUFRPPXQLW\DQGSHUKDSVDOORIFUHDWLRQEXWDOVRXOWLPDWHO\WRKLPVHOI )RUWKLV
UHDVRQWKHUHLVH[LVWHQWLDOO\QRVXFKWKLQJDVZLQORVHVXFFHVVRYHUWLPHDOOVXFKDSSURDFKHVWR
DFWLRQ HYHQWXDOO\ JHQHUDWH ORVHORVH FRQVHTXHQFHV LH HYHU\RQH ORVHV DQG QR RQH ZLQV
LQFOXGLQJWKHSXUSRUWHGZLQQHU
'LVFRUGDQGGLVKDUPRQ\DUHJHQHUDWHGLQWKHIDEULFRIVRFLDOOLIH
7KHFRQIOLFWVWKDWQHFHVVDULO\UHVXOWUHTXLUHE\WKHLQQDWHGULYHRIOLIHIRUPRUHKDSSLQHVV
DQGKDUPRQ\UHVROXWLRQRIWKHHQVXLQJGLVSXWHLHUHVWRUDWLRQRIFRKHUHQFH
*RYHUQPHQWVH[LVWSULPDULO\IRUWKHDOOHJHGUHDVRQRISUHYHQWLQJSHRSOHIURPHQJDJLQJLQ
ZLQORVH DFWLYLWLHV DQG HYHQ PRUH IRU SXUVXLQJ PHDQV IRU DFKLHYLQJ UHFWLILFDWLRQ YLD
SXQLVKPHQW DQG RWKHU DSSOLFDWLRQV RI GHVWUXFWLYH SK\VLFDO IRUFH DJDLQVW WKH SHUSHWUDWRUV RI
ZLQORVHJDPHV
)XUWKHUDVZHKDYHVHHQ the map is not the territory; the name is not the thing namedDQGDll
law is contract $OO FRXUWV GHDO ZLWK ZRUGVDEVWUDFWLRQVPDSV LH OHJDO SHUVRQV DQG FRQWUDFWV
EHWZHHQWKHP 7KXVWKHO\QFKSLQEHWZHHQWKHXQLYHUVDOH[LVWHQWLDOSULQFLSOHVDQGWKHDFWLYDWLRQ
RIWKHWHQ&RPPHUFLDO0D[LPVFRQVLVWVRIWKHSULQFLSOH The Fourt is the substitute for the
dueling field7KHFRXUWV\VWHPLVLQWHQGHGDVEHLQJDIRUXPZKHUHLQDQGZKHUHE\GLVSXWHVFDQ
EHDUELWUDWHGLQDFLYLOL]HGDQGREMHFWLYHPDQQHUWKHUHE\REYLDWLQJWKHDOOHJHGQHFHVVLW\IRU
WKHGLVSXWDQWVWDNLQJUHWULEXWLRQILJKWLQJLWRXWHQJDJLQJLQGXHOVHWF1HLWKHUGXHOVQRUFRXUWV
QRUJRYHUQPHQWVZRXOGH[LVWLIHYHU\RQHSOD\HGRQO\ZLQZLQJDPHV
3DJH RI
/LIH/DZDQGWKH8&&
8QGHUO\LQJ3ULQFLSDOV
%\FUHDWLQJDFHUHPRQLDOIRUXPIRUGLVSXWHUHVROXWLRQFDOOHGDFRXUWWKHGXHOLVVKLIWHGIURP
WKHGLUHFWSK\VLFDOSODQHDQGLQWRDVWUXFWXUHGVHWWLQJZKHUHLQGLVSXWHUHVROXWLRQPD\RFFXULQ
DFFRUGDQFH ZLWK DOOHJHGO\ NQRZQ DQG PXWXDOO\ DJUHHGXSRQ UXOHV DUELWUDWHG E\ DQ DOOHJHG
LPSDUWLDOUHIHUHHFDOOHGDMXGJH &RXUWVGHDOLQZRUGVDEVWUDFWV\PEROVDQGLGHDV ,QGHHG
WKHOHJLVODWLYHEUDQFKRIDWULSDUWLWHJRYHUQPHQWDFWXDOL]HVWKHWKUHHIDFLOLWLHVE\ZKLFKPDQ
IXQFWLRQVWKRXJKWOHJLVODWLYHEUDQFKLHDJURXSRISHRSOHZKRGUHDPXSWKHODZVZRUG
MXGLFLDOEUDQFKZKHUHZRUGVDUHXVHGIRUDUJXPHQWVDQGDUELWUDWLRQIRUWKHSXUSRVHRIDUULYLQJ
WKHUHVROXWLRQRIDGLVSXWHDQGGHHG H[HFXWLYH EUDQFK WKDWFDUULHVRXWWKHUHVXOWVRI FRXUW
GHFLVLRQV LQ WKH UHDOP RI FRQFUHWH DFWLRQ LH UHLPSRVHV WKH DEVWUDFW UHVXOW DUULYHG DW LQ FRXUW
EDFNXSRQUHDOLW\LQWKHIRUPRIILQHVDQGSXQLVKPHQWV
%3UHVXPSWLRQV
6RPHUHPDUNDEOHFRQFOXVLRQVIURPWKHDERYHGHVFULEHGJHVWDOWEHFRPHVHOIHYLGHQW
7KHFRXUWVGHDOLQJZLWKZRUGVDQGFRQWUDFWVQHLWKHUGHDOZLWKQRUDFWGLUHFWO\XSRQUHDO
EHLQJVWKH\LQYROYHWKHPVHOYHVH[FOXVLYHO\ZLWKDEVWUDFWOHJDOSHUVRQV>@>@
2QFH RQH LV FOHDU FRQFHUQLQJ WKH DERYH IDFW TXHVWLRQV LPPHGLDWHO\ DULVH FRQFHUQLQJ WKH
DEVWUDFWHQWLW\WKDWLVSXUSRUWHGO\XQLWHGZLWKWKHUHDOEHLQJLQVRPHPDQQHU
D
:KDW NLQG RI OHJDO SHUVRQ LV WKH FRXUW GHDOLQJ ZLWK WKDW LV DOOHJHGO\ VRPH DEVWUDFW
UHSUHVHQWDWLRQRI\RX"
E
:KDWLVWKHUHODWLRQVKLSEHWZHHQWKHUHDO \RXDQGWKHDEVWUDFWYHUVLRQRI \RXZLWKZKLFK
WKHFRXUWVGHDO"
F
+RZGLGWKDWDOOHJHGXQLILFDWLRQEHWZHHQWKHUHDO\RXDQGWKHDEVWUDFW\RXFRPHDERXW"
G
:KDWLVWKHQDWXUHRIWKHDOOHJHGQH[XVEHWZHHQWKHUHDO\RXDQGWKHDEVWUDFWUHSUHVHQWDWLRQ
RI\RXUVHOI"
H :KDWHYHUWKHDERYHUHIHUHQFHQH[XVLVSUHVXPHGE\WKHFRXUWVDVEHLQJFDQ\RXVHYHUWKH
DOOHJHG QH[XV LQ D PDQQHU WKDW IRUHFORVHV WKH FRXUWV DQG OHJDO V\VWHP IURP WU\LQJ WKH DEVWUDFW
UHSUHVHQWDWLRQRI\RXDQGWKHQKDYLQJWKHH[HFXWLYHVKHULIISROLFHZDUGHQVHWFUHLPSRVHWKH
DEVWUDFWVHQWHQFLQJEDFNRQ\RXUHLPSRVHWKHPDSEDFNRQWRWKHWHUULWRU\"
2I WKHVH TXHVWLRQV OHW XV GHDO ILUVW ZLWK WKH QDWXUH RI WKH DOOHJHG QH[XV EHWZHHQ WKH DEVWUDFW
UHIOHFWLRQPLUURULPDJHRI\RXDQGWKHUHDOVXEVWDQWLYHOLYLQJ\RX ,QDVPXFKDVDOOODZLV
FRQWUDFWWKHQDWXUHRIWKHQH[XVFDQWKHUHIRUHEHRQO\RQHWKLQJ FRQWUDFW 0RUHDFFXUDWHO\WKH
FRXUWVDQGOHJDOV\VWHPIXQFWLRQRQWKHEDVLVRI D SUHVXPSWLRQRIFRQWUDFW ,QRWKHUZRUGVWKH
V\VWHPGHDOVZLWKFRQFRFWHGSUHVXPSWLRQVZKLFKDUHDVLIRUZKDWLILHLQWKHVXEMXQFWLYH
PRGHRI(QJOLVKJUDPPDU $OORIWKLVWUDQVSLUHVLQDQLPDJLQDU\UHDOPDQ$OLFHLQ:RQGHUODQG
ZRUOGRIPHQWDODEVWUDFWLRQVSOD\LQJDJDPHWKDWPLJKWEHFDOOHGOHWVSUHWHQG>@>@ )URP
3DJH RI
/LIH/DZDQGWKH8&&
8QGHUO\LQJ3ULQFLSDOV
WKHSULPDOSUHPLVHWKDWRQHFDQSOD\OHWVSUHWHQGJDPHVDQGUHLPSRVHWKHPRQWKHUHDOZRUOG
GHULYHV RXU FXUUHQW FRORUDEOH PDOOHDEOH HSKHPHUDO PLUDJHOLNH LQIXULDWLQJ V\VWHP ,Q WKLV
PDNHEHOLHYHZRUOGDQ\WKLQJJRHVIRUUHDVRQVWKDWLQFOXGHWKHIROORZLQJ
*RYHUQPHQWV H[LVW DQG IXQFWLRQ H[FOXVLYHO\ E\ ZLQORVH LQWHUDFWLRQV (YHQ ZKHQ D
JRYHUQPHQWDSSHDUVWREHJLYLQJVRPHWKLQJRUHQJDJLQJLQVRPHFRQVWUXFWLYHDFWLRQLWLVDWWKH
H[SHQVHRIUHPRYLQJULJKWVDQGUHVRXUFHVIURPWKHSHRSOHWRVHFXUHLWVDXWKRULW\DQGILQDQFLQJ
0RUHRYHU ZKDWHYHUJRRGD JRYHUQPHQWPD\ DSSHDUWRGRLVVXSHUILFLDOV\PSWRPWUHDWPHQW
DQG GRHV QRWKLQJ WR FUHDWH JHQXLQH VROXWLRQV ZKLFK GR QRW UHVLGH ZLWK DQ\ JRYHUQPHQW EXW
ZLWKLQWKHKHDUWVDQGPLQGVRIWKHSHRSOH
,Q WKH 8QLWHG 6WDWHV WRGD\ WKH VLWXDWLRQ LV IDU ZRUVH :KDW LV FDOOHG WKH 8QLWHG 6WDWHV
*RYHUQPHQWLVDEDQNUXSWFRUSRUDWLRQXQGHUZULWWHQE\LQUHFHLYHUVKLSLQIDYRURIDQGDPHUH
IURQW IRU WKH )HGHUDO 5HVHUYH ,QWHUQDWLRQDO 0RQHWDU\ )XQG ,0) HW DO 7KLV SULYDWH
JRYHUQPHQWIXQFWLRQVLQLWVRZQFRPPHUFLDOPLOLWDU\LQWHUQDWLRQDOMXULVGLFWLRQXQGHUWKHODZ
RIQHFHVVLW\FKDUDFWHUL]LQJWKHVWDWHRIHPHUJHQF\WKDWKDVSUHYDLOHGVLQFHWKH&LYLO:DU 7KH
ODZRIQHFHVVLW\LVDFWXDOO\QRODZLHWKHVXVSHQVLRQRIODZIRUWKHSXUSRVHRIGHDOLQJZLWK
WKH HPHUJHQF\ ,Q WKH ODZ RI QHFHVVLW\ WKH ODZ RI WKH MXQJOH SUHYDLOV LQ ZKLFK DQ\WKLQJ
JRHVLHRQHPD\VXUYLYHDWWKHH[SHQVHRIWKH OLYHVULJKWVDQGSURSHUW\RIRWKHUV 7KLVLVD
VWDWHRIZDUDQGWUXWKHWKLFVDQGFRPSDVVLRQDUHWKHPRVWVHULRXVFDVXDOWLHV $OOWKDWPDWWHUVLV
ZLQQLQJE\DQ\PHDQVWKHUHDUHQRUXOHVH[FHSWMXVWHDWEDE\ $OOVIDLULQORYHDQGZDU
DQG DOO JRYHUQPHQWV QR PDWWHU KRZ VWUXFWXUHG GUHVVHG XS DQG GLVJXLVHG IXQFWLRQ LQ D
SHUSHWXDOVWDWHRIZDUEHWZHHQWKHJRYHUQPHQWDQG WKHSHRSOH 7KLVLVQRZH[SUHVVO\FRGLILHGLQ
ODZ ZKHUHE\ HYHU\ FLWL]HQ RI WKH 8QLWHG 6WDWHV LV FODVVLILHG DV DQ HQHP\ RI WKH SULYDWH
FRPPHUFLDO FRUSRUDWH JRYHUQPHQW 86 ,QF EDVHG XSRQ WKH $PHQGDWRU\ $FW UH WKH 7UDGLQJ
:LWK7KH(QHP\$FWRI0DUFK
7KLV SHUSHWXDO VWDWH RI HPHUJHQF\ ZKLFK ZDV FUHDWHG E\ WKH YHU\ *RYHUQPHQW WKDW LV WKH
EHQHILFLDU\ RI LWV VHOIFDXVHG HPHUJHQF\ LV FRGLILHG inter alia DW 86& DQG LQ WKH
$SSHQGL[ RI 7LWOH 7KH ILUVW DFW RI HYHU\ QHZ 86 3UHVLGHQW LV WKH UHDIILUPDWLRQ RI KLV
DXWKRULW\ XQGHU WKH :DU 3RZHUV 86& LQDVPXFK DV WKDW DXWKRUL]DWLRQ LV QRW
RQO\ KLVH[FOXVLYH VRXUFH RI SRZHU EXW WKH VRXUFH RI DXWKRULW\ IRU WKH HQWLUH V\VWHP LQFOXGLQJ
&RQJUHVVDOODGPLQLVWUDWLYHDJHQFLHVODZHQIRUFHPHQWDQGFRXUWVLHDOORI86,QF 7KHSRZHU
RI DOO RI WKHVH HQWLWLHV LH HYHU\ DVSHFW RI WKH VRFDOOHG JRYHUQPHQW DQG OHJDO V\VWHP WRGD\
GHULYHVIURPWKLVSULYDWHPLOLWDU\FRPPHUFLDOLQWHUQDWLRQDODGPLUDOW\HTXLW\MXULVGLFWLRQRIWKH
DOOHJHG&UHGLWRUVRIWKHEDQNUXSW86,QF
7KH &RPPHUFLDO 0D[LPV EHFRPH RSHUDWLRQDOO\ GRPLQDQW PRVW HVSHFLDOO\ 0D[LPV
IRXU WKURXJK VHYHQ EHFDXVH SHRSOH QHYHU UHEXW WKH SUHVXPSWLRQ WKDW WKH\ YROXQWDULO\
DJUHHG WR SOD\ WKH OHWV SUHWHQG JDPH :KHQ RQH HQJDJHV LQ WDQJLEOH UHEXWWDO KRZHYHU D
FDWFKSUHYDLOV
3DJH RI
/LIH/DZDQGWKH8&&
8QGHUO\LQJ3ULQFLSDOV
,I \RX GLUHFWO\ UHEXW WKH SUHVXPSWLRQ \RX HQMRLQ WKH DUJXPHQW JUDQW FUHGHQFH WR \RXU
RSSRQHQWV FDXVH DQG MXULVGLFWLRQ DQG DUH QRZ PHUHO\ KDJJOLQJ DERXW WKH SDUWLFXODUV LH WKH
SULFH DQG WUDYHUVH Blacks Law Dictionary WK (GLWLRQ GHILQHV WUDYHUVH DQG WUDYHUVHU DV
IROORZV
Traverse ,Q FRPPRQ ODZ SOHDGLQJ D WUDYHUVH VLJQLILHV D GHQLDO 7KXV ZKHUH D GHIHQGDQW
GHQLHVDQ\PDWHULDODOOHJDWLRQRIIDFWLQWKHSODLQWLIIVGHFODUDWLRQKHLVVDLGWRWUDYHUVHLWDQG
WKHSOHDLWVHOILVWKHQFHIUHTXHQWO\WHUPHGDWUDYHUVH 3DJH
Traverser ,Q SOHDGLQJ RQH ZKR WUDYHUVHV RU GHQLHV $ SULVRQHU RU SDUW\ LQGLFWHG VR FDOOHG
IURP KLV WUDYHUVLQJ WKH LQGLFWPHQW 3DJH >%\ WKLV GHILQLWLRQ HYHU\RQH LQ MDLO LV WKHUH
EHFDXVHKHWUDYHUVHGLHHQMRLQHGWKHDUJXPHQW@
3DJH RI
/LIH/DZDQGWKH8&&
8QGHUO\LQJ3ULQFLSDOV
0DQLVWKHVRXUFHRIVRYHUHLJQW\H[SHULHQFHIUHHZLOODQGJRYHUQPHQWSRVVLEO\WKHRQO\
DFFXUDWHDQGQREOHSUHVXPSWLRQLQWKHHQWLUHOHJDOV\VWHPWRGD\ 7KLVIRXQGDWLRQDOSUHVXPSWLRQ
LV HVVHQWLDO EHFDXVH RWKHUZLVH QR RQH FRXOG EH KHOG OLDEOH IRU DQ\WKLQJ QR RQH ZRXOG EH
DFFRXQWDEOHDQGQRODZZRXOGWKHUHIRUHEHSRVVLEOH 7KHILUVWWKLQJDMXGJHDVNVDGHIHQGDQWDW
DQDUUDLJQPHQWLV'R\RXXQGHUVWDQGWKHFKDUJHV" ,QRWKHUZRUGV'LG\RXDVDFRQVFLRXV
VHQWLHQWDXWRQRPRXVEHLQJZLWKIUHHZLOODQGHWKLFDOGLVFHUQPHQWNQRZLQJO\DQGLQWHQWLRQDOO\
YLRODWHWKHODZ"
:HLQWKHV\VWHPDOZD\VZLQDQG\RXDOZD\VORVH
:HDUHXQGHUQRFRPSXOVLRQQRREOLJDWLRQWRUHYHDOWKHSUHVXPSWLRQVRIODZXQGHUZKLFK
ZHIXQFWLRQ
,WLVSUHVXPHGWKDW\RXNQRZLQJO\LQWHQWLRQDOO\DQGYROXQWDULO\FRQWUDFWHGLQWRWKHV\VWHP
DQGDUHERXQGE\DOORIWKHWHUPVDQGFRQGLWLRQVRIWKHFRQWUDFWLH\RXFRQWUDFWHG\RXUVHOILQWR
WKHSRVLWLRQRIEHLQJRXUVXEMHFWVODYHDQGFKDWWHOSURSHUW\VRZKDWV\RXUEHHI"
7KHNH\HOHPHQWVRIWKHHQWLUHVFHQDULRVWDUWEHFRPLQJFOHDUDWWKLVSRLQWLH
<RX PXVW UHEXWWKHSUHVXPSWLRQVRIODZDOPRVWHQWLUHO\XQUHYHDOHGRQWKHEDVLVRIZKLFK
WKH V\VWHP IXQFWLRQV VLQFH LW LV WKH SUHVXPSWLRQV QRW ZKDW SRVVHV DV ODZ DQG IDFWV WKDW
FRQVWLWXWHWKHVRXUFHRIWKHV\VWHPVSRZHURYHU\RX 'HDOLQJZLWKWKHODZDQGWKHIDFWVLV
WDNLQJWKHEDLWDQGIDOOLQJLQWRDWUDS ,WLVIROORZLQJUDEELWWUDLOVWKDWOHDGDZD\IURP\RXRZQ
WXUIDQGLQWRWKHLUKRVWLOHMXQJOHLQWKHGDUN 7KHV\VWHPGHDOVHQWLUHO\ZLWKIDEULFDWHGRIISRLQW
LUUHOHYDQFLHVDQGOXUHVSHRSOHLQWRWUDYHUVLQJLHHQMRLQLQJWKHDUJXPHQWZKLFKLVOLNHMRLQLQJ
WKHLULPDJLQDU\JDPHRIFRSVDQGUREEHUVLQWKLVFDVHDJDPHRIV\VWHPYVVXFNHUV 7KLVLV
DNLQWRMRLQLQJLQWKHSORWRIDQRYHORQHLVUHDGLQJLVLILWZHUHUHDO :KDWWKRVHLQWKHV\VWHP
VD\ DQG GR LV WKHLU WUXWK WKHLU EXVLQHVV WKHLU SULRULWLHVQRW \RXUV :K\ DUH \RX LQYROYLQJ
\RXUVHOIZLWKZKDWLVQRW\RXUEXVLQHVVDQGIRUZKLFK\RXFDQQRWVSHDN" 6SHDNIRU\RXUVHOIDQG
UHFRJQL]HWKDWWKH\DUHVSHDNLQJIRUWKHPVHOYHV
7KHFHQWUDOIRXQGDWLRQDOSUHVXPSWLRQWKDW\RXPXVWUHEXWLVWKHSUHVXPSWLRQWKDW\RXDUH
FRQWUDFWXDOO\XQLWHGZLWKWKHFRUSRUDWHDEVWUDFWDOOFDSVQDPHWKDWWKH*RYHUQPHQWFUHDWHVDQG
WULFNVGHFHLYHV\RXLQWRLGHQWLI\LQJ\RXUUHDOEHLQJZLWKWKHILFWLWLRXVQDPH
,W LV FOHDU WKDW LI WKH *RYHUQPHQW FUHDWHV D FRUSRUDWH HQWLW\ LQ WKLV FDVH \RXU DOOFDSLWDOOHWWHU
QDPH ZKLFK WKH *RYHUQPHQW RZQV DQG FDQ WKHUHIRUH DFW RQ DQG DJDLQVW LQ DQ\ PDQQHU WKH
*RYHUQPHQWZLVKHVDQGLI\RXDUHSUHVXPHGDVEHLQJFRQWUDFWXDOO\ERXQGZLWKWKDWHQWLW\WKHQ
\RXDUHUHQGHUHGDSHUPDQHQWVODYHDQG\RXUOLIHLVRQHRISHUSHWXDOFRQIOLFWDQGWHQVLRQ 7KH
*RYHUQPHQW GHVLUHV D PRXQWDLQ RI FRPSOLDQFH IURP \RX UH WKH WD[HV \RX PXVW SD\ WKH
UHJXODWLRQV\RXPXVWFRPSO\ZLWKDQGWKHODZV\RXPXVWREH\ %HFDXVHDOORIWKHVHWKLQJVDUH
GHVLJQHGDQGHQIRUFHGIURPWKH*RYHUQPHQWVSHUVSHFWLYHDQGLQDFFRUGDQFHZLWKLWVZKLPVDQG
SULRULWLHV DQG \RXU QDWXUDO OLIH QHFHVVDULO\ FRQVLVWV RI D FRQWUDU\ VHW RI XQGHUVWDQGLQJV JRDOV
3DJH RI
/LIH/DZDQGWKH8&&
8QGHUO\LQJ3ULQFLSDOV
3DJH RI
/LIH/DZDQGWKH8&&
8QGHUO\LQJ3ULQFLSDOV
DXWKRULW\RIWKH3UHVLGHQWDFWLQJLQFDSDFLW\RIEHLQJ&RPPDQGHU,Q&KLHIRIWKH$UPHG)RUFHV
XQGHUHPHUJHQF\ZDUSRZHUVUXOHLHODZRIQHFHVVLW\LHQRODZsee 6WDWZKLFKKDV
QHYHUEHHQUHSHDOHGDQGH[LVWVLQ7LWOH86&$SSHQGL[&)5&KDSWHU
DDQG&)5&KDSWHU3HQDOWLHV
6LQFHWKHDERYHUHIHUHQFHGGDWH0DUFK$PHULFDQVKDYHEHHQXQGHU)DVFLVWUXOH
YLDSUHVLGHQWLDOH[HFXWLYHRUGHUXQGHUWKHDIRUHPHQWLRQHG(PHUJHQF\:DU3RZHUV86&D
E (YHU\ FLWL]HQ RI WKH 8QLWHG 6WDWHV LV QRZ OHJDOO\ HVWDEOLVKHG DV DQ HQHP\ YLD WKH
$PHQGDWRU\$FWRI0DUFK6WDWDPHQGLQJ7UDGLQJ:LWK(QHP\$FWRI2FWREHU
+53XEOLF/DZ1R
'HFHPEHUWKWKHWK $PHQGPHQWZDVSURFODLPHGDVUDWLILHGHYHQWKRXJKLWQHYHU
SURSHUO\ZDV see EHORZ 7KHWK $PHQGPHQWZKLFKLVSULYDWH5RPDQ&DWKROLF(FFOHVLDVWLFDO
7UXVW/DZFRQVWLWXWHVDFRQVWUXFWLYH cestui que WUXVWDSXEOLFFKDULWDEOHWUXVW3&7WKDWZDV
H[SUHVVO\ GHVLJQHG WR EULQJ HYHU\ FRUSRUDWH IUDQFKLVH DUWLILFLDO SHUVRQ FDOOHG D FLWL]HQ RI WKH
8QLWHG 6WDWHVLQWRDQLQVHSDUDEOH PHUJLQJZLWKWKHJRYHUQPHQWXQWLOWKH WZRDUHXQLWHG ZLWK
WKH SRZHU LQKHULQJ LQ WKH JRYHUQPHQW QRW WKH SHRSOH $ cestui que WUXVW LV IXQGDPHQWDOO\
GLIIHUHQWIURPDUHJXODUWUXVWZKLFKLVH[SUHVVLQQDWXUHDQGFRQVLVWVRIDFRQWUDFWXDOLQGHQWXUH
LQYROYLQJ WKUHH SDUWLHV *UDQWRU &UHDWRU RU 7UXVWRU 7UXVWHH DQG %HQHILFLDULHV ,Q DQ
H[SUHVVWUXVWOHJDORZQHUVKLSLVWUDQVIHUUHGE\ZULWWHQFRQWUDFWEHWZHHQ*UDQWRUDQG7UXVWHHLQ
ZKLFKWKH*UDQWRUVXUUHQGHUVRZQHUVKLSRISURSHUW\WRWKHOHJDOSHUVRQWKH7UXVWWREHPDQDJHG
E\ WKH 7UXVWHH RQ EHKDOI RI WKRVH ZKR DUH WR EHQHILW IURP WKH DUUDQJHPHQW WKH %HQHILFLDULHV
$ cestui que WUXVWRQWKHRWKHUKDQGGLIIHUVIURPDQH[SUHVVWUXVWLQVHYHUDOFUXFLDOZD\V
D
,WLVQRWIRUPHGE\H[SUHVVFRQWUDFWLHRYHUWDJUHHPHQWH[SUHVVHGLQZULWLQJEXWE\
OHJDOFRQVWUXFWLRQLHILDW
E
$ cestui que WUXVWKDVQR*UDQWRUEXWEHLQJDFRQVWUXFWLYHWUXVWFUHDWHGE\RSHUDWLRQ
RI ODZ LHE\PDNHEHOLHYHKDVRQO\ FRWUXVWHHVDQGFREHQHILFLDULHV 7KHFRWUXVWHHVDUH WKH
SDUWLHVZLWKWKHGXWLHVIRUPDQDJLQJSURSHUW\IRUWKHSXEOLFJRRGLHIRUWKHEHQHILWRIWKRVH
GHVLJQDWHGDVFREHQHILFLDULHV
7KH /HJLVODWLYH $FW RI )HEUXDU\ )RUW\ILUVW &RQJUHVV 6HVVLRQ ,,, &KDSWHU
SDJHFKDUWHUHGD)HGHUDOFRPSDQ\HQWLWOHG8QLWHG6WDWHVDND86,QFD&RPPHUFLDO
$JHQF\ RULJLQDOO\ GHVLJQDWHG DV :DVKLQJWRQ '& LQ DFFRUGDQFH ZLWK WKH VRFDOOHG
WK $PHQGPHQW ZKLFK WKH UHFRUG LQGLFDWHV ZDV QHYHU UDWLILHG see 8WDK 6XSUHPH &RXUW
&DVHV '\HWWY7XUQHU3G 6WDWHY3KLOOLSV3GDVZHOO
DV &ROHPDQ Y 0LOOHU 86 6 &W 7XODQH /DZ 5HYLHZ 6RXWK
&DUROLQD /DZ 4XDUWHUO\ Congressional Record -XQH SS $
FLWL]HQRIWKH8QLWHG6WDWHVLVDFLYLOO\GHDGHQWLW\RSHUDWLQJDVDFRWUXVWHHDQGFREHQHILFLDU\
RI WKH 3&7 WKH FRQVWUXFWLYH cestui que WUXVW RI 86 ,QF XQGHU WKH WK $PHQGPHQW ZKLFK
XSKROGVWKHGHEWRIWKH86$DQG86,QFLQ6HFWLRQ
3DJH RI
/LIH/DZDQGWKH8&&
8QGHUO\LQJ3ULQFLSDOV
,Q FRQIRUPLW\ ZLWK WKH DERYHUHIHUHQFHG FUHDWLRQ RI 8QLWHG 6WDWHV DQG WKH
WK
$PHQGPHQWWKH/HJLVODWXUHRIHDFK6WDWHFUHDWHGDOLPLWHGOLDELOLW\ FRUSRUDWLRQFKDUWHUHG
LQ D SULYDWH PLOLWDU\ LQWHUQDWLRQDO FRPPHUFLDO DGPLUDOW\PDULWLPH MXULVGLFWLRQ HQWLWOHG
67$7(2)HJ67$7(2)&$/,)251,$DVHYLGHQFHGE\ inter aliaWKHFKDQJHLQWKH
VHDO DQG WKH FUHDWLRQ RI D QHZ FRQVWLWXWLRQ HJ &RQVWLWXWLRQ RI WKH 6WDWH RI &DOLIRUQLD
FRQFHUQLQJZKLFKUH&DOLIRUQLD
D
$ JHQHUDO SDUWQHUVKLS DJUHHPHQW KHUHLQDIWHU *HQHUDO 3DUWQHUVKLS H[LVWV EHWZHHQ WKH
&DOLIRUQLD 5HSXEOLF DQG 67$7( 2) &$/,)251,$ ZLWK 67$7( 2)
&$/,)251,$DFWLQJDVJRYHUQPHQWDOFRQWUROOHU
E
67$7( 2) &$/,)251,$ QRZ DFWV DV DQ DJHQWLQVWUXPHQWDOLW\ RI 8QLWHG 6WDWHV
FROOHFWLQJ ZKROH OLIH LQVXUDQFH SUHPLXPV NQRZQ DV WD[HV IRU WKH ,QWHUQDWLRQDO 0RQHWDU\
)XQG EDVHGinter alia XSRQ WKH /LPLWHG /LDELOLW\ $FW RI DQG WKH EDQNUXSWF\ RI 8QLWHG
6WDWHV RI see +RXVH -RLQW 5HVROXWLRQ RI -XQH 3XEOLF /DZ 3HUU\ Y
86 86/(G86&
,QDVPXFKDVDOOODZLVFRQWUDFWWKHFRQWUDFWLQYROYHGLQDFRQVWUXFWLYHWUXVWLVDQLPSOLHG
FRQWUDFW $QLPSOLHGFRQWUDFWFDQEHUDWLILHGE\WZRPHDQV
D
$FTXLHVFHQFHE\VLOHQFHLHWKHJRYHUQPHQWDVVHUWVLWVLQWHQWLRQVFRQFHUQLQJ\RXU
OLIHULJKWV DQGSURSHUW\DQG \RX DVVHQWGRQWUHEXWDQGFRPSOLDQWO\JR DORQJZLWKZKDWWKH\
FODLP ,QWKH*RYHUQPHQWFKDQJHGWKHQDWXUHRILWVFRQWUDFWZLWKWKHSHRSOHIURPODZDV
GHILQHG E\ WKH RULJLQDO &RQVWLWXWLRQ RI WKDW UHFRJQL]HV ODZ FRPPRQ ODZ DGPLUDOW\ RQ
WKH VHD RQO\ DQG HTXLW\ IXQFWLRQLQJ E\ YROXQWDU\ FRQWUDFW EHWZHHQ DOO SDUWLFLSDWLQJ SDUWLHV
DQG EHJDQ UHODWLQJ WR SHRSOH DV LI WKH\ ZHUH FLWL]HQV RI WKH 8QLWHV 6WDWHV ZLWKLQXQGHU WKH
SULYDWH FRPPHUFLDOLQWHUQDWLRQDOPLOLWDU\MXULVGLFWLRQRIWKH QHZ de facto FRUSRUDWLRQ LH 86
,QF 7KH\ RIIHUHG SHRSOH D QHZ GHDO DQG DOPRVW HYHU\RQH ERXJKW LW EDVHG RQ QDwYH DQG
IRROLVKWUXVWDQGDVVXPLQJWKDWHYHU\WKLQJZDV2.>@>@
7KHSHRSOHZHUHWKHUHE\VZLQGOHGRXWRIDFFHVVWRODZDQGSODFHGRQWKHVKLSRIVWDWHRI86,QF
ZKHUHWKHFDSWDLQVZRUGLVODZDQGQRRQHKDVDQ\ULJKWV 6KDGHVRIWKH$UDELDQ1LJKWVVWRU\RI
$ODGGLQDQG+LV0DJLF/DPS1HZODPSVVKLQ\ZRUWKOHVVRQHVIRUROGPDJLFDOEXWGXOODQG
GXVW\
7KH SRLQW LV WKDW LQ LPSOHPHQWLQJ WKLV ZLQORVH SURJUHVVLRQ RI HYHULQFUHDVLQJ JRYHUQPHQW
SRZHUHYHU\WKLQJXQGHUWDNHQE\WKHZRXOGEHZLQVLGHLVDWWKHH[SHQVHRIORVVWRWKHORVH
VHJPHQW $V-HIIHUVRQSKUDVHGWKHPDWWHU$VJRYHUQPHQWJURZVOLEHUW\UHFHGHV
E
<RX H[SUHVVO\DFFHSWEHQHILWVRIIHUHGE\ WKH JRYHUQPHQW DQG WKHUHE\ ILQDOL]HWKH
FRQWUDFWE\ GHHG 7KLVLVVLPLODUWRILQDOL]LQJDFRQWUDFWZLWKD UHVWDXUDQWE\VLWWLQJ GRZQDWD
WDEOHUHDGLQJDPHQXDQGWKHQRUGHULQJDQGFRQVXPLQJDPHDO %\\RXUGHHGV\RXDIILUPWRWKH
3DJH RI
/LIH/DZDQGWKH8&&
8QGHUO\LQJ3ULQFLSDOV
UHVWDXUDQWWKDW \RX ZLOOSD\ IRUWKH PHDO LQ DFFRUGDQFH ZLWK WKHSULFHVWDWHGRQWKHPHQX 1R
ZULWWHQFRQWUDFWLVVLJQHGEXWDFRQWUDFWLVIRUPHGQHYHUWKHOHVV
%\WKHDERYHWZRPHDQVSHRSOHJLYHLPSOLHGDVVHQWWKDWWKH\DUHERXQGE\DQDOOHJHG
FRQWUDFW ZLWK 86 ,QF D OHWV SUHWHQG JDPH LQ DFFRUGDQFH ZLWK WKH WHUPV DQG FRQGLWLRQV WKDW
LQKHUH LQ EHLQJ WUHDWHG DV D FLWL]HQ RI WKH 8QLWHG 6WDWHV XQGHU WKH WK $PHQGPHQW DQG DUH
WKHUHIRUHSODFHGLQWRSHUPDQHQWLQGHQWXUHGVHUYLWXGH ,QVXFKDSRVLWLRQSHRSOHOHDYHWKHJURXQG
RIVRYHUHLJQW\DQGDOOFDSDFLW\IRUDVVHUWLQJWKHLUXQDOLHQDEOHULJKWVLQIDYRURIEHLQJSUHVXPHG
DVKDYLQJH[HUFLVHG WKHLUVRYHUHLJQW\DQGIUHHZLOODXWRQRP\IRUWKHSXUSRVHRIJRLQJDORQJZLWK
WKHJRYHUQPHQWVDVVHUWLRQWKDWWKH\VDFULILFHHYHU\WKLQJIRUWKHSXEOLFJRRGLHWKH3&7 %\
VR GRLQJ SHRSOH ORVH WKHLU VWDQGLQJ LQ ODZ LH WKH\ GLH D FLYLO GHDWK LQ WKH ODZ 7KH\ DUH
SODFHG LQ WKH OHJDO SRVLWLRQ RI PRUWPDLQ LH DV LI GHFHDVHG DQG DUH VKRUQ RI FDSDFLW\ IRU
DVVHUWLQJ WKHLU ULJKWV VLQFH WKH SUHVXPSWLRQ LVWKDW WKH\ KDYH DOUHDG\ H[HUFLVHG WKRVH ULJKWV IRU
WKH SXUSRVH RI EHLQJ SODFHG LQ WKH SRVLWLRQ WKH\ DUH LQ LH SOD\LQJ WKH LPDJLQDU\ JDPH 7KH
SULYDWH EHLQJ WKH UHDO LQGLYLGXDO LV VDFULILFHG IRU WKH JRRG RI WKH SXEOLF WKH LPDJLQDU\
FROOHFWLYH
:KHQSHRSOHGLHVXFKDFLYLOGHDWKLQWKH\ODZWKH\DUHOLNHJKRVWVDQGWKHUHE\LQFDSDEOH
RI PDQDJLQJ WKHLU RZQ DIIDLUV DQG HQMR\LQJ WKHLU XQDOLHQDEOH ULJKWV /LNH WKH HVWDWH RI D
GHFHGHQWWKH\DUHWKHQPDQDJHGE\WKHH[HFXWRUVDGPLQLVWUDWRUVRIWKHHVWDWHLQSUREDWH 6XFK
LV WKH FRQGLWLRQ RI HYHU\ FLWL]HQ RI WKH 8QLWHG 6WDWHV WRGD\ PDQDJHG E\ WKH JRYHUQPHQW
DJHQFLHV DFWLQJ DV H[HFXWRUVDGPLQLVWUDWRUVRIWKHLUHVWDWHVLQEDQNUXSWF\OHJDOLQFDSDFLW\ DQG
FLYLOGHDWKDVDVVHWVRIWKHEDQNUXSW86 7KH86LVDPHUHIURQWIRUWKHSULYDWH5HDO3DUWLHVRI
,QWHUHVWWKH&UHGLWRUVLQEDQNUXSWF\LHWKHIDPLOLHVZKRRZQWKH)HGHUDO5HVHUYH
7KHWK $PHQGPHQWZDVDOOHJHGO\HVWDEOLVKHGIRUWKHSXUSRVHRIFUHDWLQJDFLWL]HQVKLSIRU
WKHOLEHUDWHGEODFNVDQGRWKHUGLVHQIUDQFKLVHGSHRSOHZKRRWKHUZLVHKDGQRFLWL]HQVKLSEHFDXVH
WKH\FRXOGQRWFRPSO\ZLWKWKHUHTXLUHPHQWVIRUVWDWHFLWL]HQVKLS :KDWDFWXDOO\KDSSHQHGZDV
WKDW WKH EODFNV ZHUH WDNHQ RII RI WKH 6RXWKHUQ VODYH SODQWDWLRQV DQG SODFHG LQWR WKH VODYH
SODQWDWLRQRI86,QFDIDUZRUVHORW>@>@ 7KHJRYHUQPHQWWKHQJUDGXDOO\DEVRUEHGHYHU\RQH
HOVHLQFOXGLQJVWDWHFLWL]HQVLQWRWKHVDPHFRQGLWLRQ
2IILFHUVRIWKHDFWXDOJRYHUQPHQWKHOGRIILFHLQGXDOFDSDFLW\LHLQERWK86$
DQG86,QFVWDWXV
%RQGVLVVXHGE\86,QFFDPHGXHEXW86,QFGLGQRWKDYHWKHUHVRXUFHVIRUSD\LQJ
WKHLUFUHGLWRUVWKHVHYHQIDPLOLHVWKDWIRXQGHGWKH)HGHUDO5HVHUYH%DQNVR86,QFVRZQHU
WKH DFWXDO JRYHUQPHQW ZDV UHTXLUHG WR SD\ WKH EDODQFH 7KH QDWLRQDO JRYHUQPHQW ZDV DOVR
ZLWKRXWVXIILFLHQWIXQGVWRPHHW86,QFVREOLJDWLRQVVRWKHFUHGLWRUVVHWWOHGIRUDOORIWKHDVVHWV
RI ERWK 86 ,QF DQG WKH QDWLRQDO JRYHUQPHQW LQVWHDG RI IRUHFORVXUH RQ DQG OLTXLGDWLRQ RI WKH
HQWLUH FRXQWU\ %\ VR GRLQJ WKH\ H[SURSULDWHG WKH QDWLRQERWK 86$ DQG 86 ,QF Sic
transit $PHULFD
3DJH RI
/LIH/DZDQGWKH8&&
8QGHUO\LQJ3ULQFLSDOV
3DJH RI
/LIH/DZDQGWKH8&&
8QGHUO\LQJ3ULQFLSDOV
3DVVDJH RI WKH )HGHUDO 5HVHUYH $FW ZDV D PDMRU PLOHVWRQH RQ WKH URDG WR VHUIGRP WKDW WKLV
HQWLUHSURJUHVVLRQRXWOLQHV 7KHFRQVSLUDWRULDOQDWXUHRIPDWWHUVLVH[HPSOLILHGLQFRPPHQWVE\
RQHRIWKHPDMRUDFWRUVLQWKHWULXPSKRIWKH)HGHUDO5HVHUYH(GZDUG0DQGHOO+RXVHZKRKDG
WKLVWRVD\LQDSULYDWHPHHWLQJZLWK3UHVLGHQW:RRGURZ:LOVRQ
>9HU\@VRRQHYHU\$PHULFDQZLOOEHUHTXLUHGWRUHJLVWHUWKHLUELRORJLFDOSURSHUW\LQDQDWLRQDO
V\VWHP GHVLJQHG WR NHHS WUDFN RI WKH SHRSOH DQG WKDW ZLOO RSHUDWH XQGHU WKH DQFLHQW V\VWHP RI
SOHGJLQJ %\ VXFK PHWKRGRORJ\ ZH FDQ FRPSHO SHRSOH WR VXEPLW WR RXU DJHQGD ZKLFK ZLOO
HIIHFWRXUVHFXULW\DVDFKDUJHEDFNIRURXUILDWSDSHUFXUUHQF\ (YHU\$PHULFDQZLOOEHIRUFHGWR
UHJLVWHURUVXIIHUEHLQJDEOHWRZRUNDQGHDUQDOLYLQJ 7KH\ZLOOEHRXUFKDWWHODQGZHZLOOKROG
WKH VHFXULW\ LQWHUHVW RYHU WKHP IRUHYHU E\ RSHUDWLRQ RI WKH ODZ PHUFKDQW XQGHU WKH VFKHPH RI
VHFXUHGWUDQVDFWLRQV $PHULFDQVE\XQNQRZLQJO\RUXQZLWWLQJO\GHOLYHULQJWKHELOOVRIODGLQJWR
XVZLOOEHUHQGHUHGEDQNUXSWDQGLQVROYHQWIRUHYHUWRUHPDLQHFRQRPLFVODYHVWKURXJKWD[DWLRQ
VHFXUHG E\ WKHLU SOHGJHV 7KH\ ZLOO EH VWULSSHG RI WKHLU ULJKWV DQG JLYHQ D FRPPHUFLDO YDOXH
GHVLJQHGWRPDNHXVDSURILWDQGWKH\ZLOOEHQRQHWKHZLVHUIRUQRWRQHPDQLQDPLOOLRQFRXOG
HYHUILJXUHRXUSODQVDQGLIE\DFFLGHQWRQHRUWZRVKRXOGILJXUHLWRXWZHKDYHLQRXUDUVHQDO
SODXVLEOHGHQLDELOLW\ $IWHUDOOWKLVLVWKHRQO\ORJLFDOZD\WRIXQGJRYHUQPHQWE\IORDWLQJOLHQV
DQGGHEWWRWKHUHJLVWUDQWVLQWKHIRUPRIEHQHILWVDQGSULYLOHJHV 7KLVZLOOLQHYLWDEO\UHDSWRXV
KXJH SURILWV EH\RQG RXU ZLOGHVW H[SHFWDWLRQV DQG OHDYH HYHU\ $PHULFDQ D FRQWULEXWRU WR WKLV
IUDXGZKLFKZHZLOOFDOO6RFLDO,QVXUDQFH :LWKRXWUHDOL]LQJLWHYHU\$PHULFDQZLOOLQVXUHXV
IRUDQ\ORVVZHPD\LQFXUDQGLQWKLVPDQQHUHYHU\$PHULFDQZLOOXQNQRZLQJO\EHRXUVHUYDQW
KRZHYHU EHJUXGJLQJO\ 7KH SHRSOH ZLOO EHFRPH KHOSOHVV DQG ZLWKRXW DQ\ KRSH IRU WKHLU
UHGHPSWLRQDQGZHZLOOHPSOR\ WKHKLJKRIILFH RIWKH3UHVLGHQWRIRXUGXPP\FRUSRUDWLRQWR
IRPHQWWKLVSORWDJDLQVW$PHULFD
&RUSRUDWHRQO\ 6HQDWRUV EHJLQ SDUWLFLSDWLQJ LQ DOO PDWWHUV ZLWK WKRVH 6HQDWRUV ZKR
VWLOO KDG RULJLQDO MXULVGLFWLRQ JRYHUQPHQW FDSDFLW\ DV D UHVXOW RI ZKLFK DOO DFWLYLWLHV RI WKH
JRYHUQPHQWZHUHSHUIRUPHGLQFRUSRUDWHFDSDFLW\RQO\
3UHVLGHQW:LOVRQZDVUHHOHFWHGE\WKH(OHFWRUDO&ROOHJHEXWRQO\86,QFV6HQDWH
SHUIRUPHG WKH 6HQDWH FRQILUPDWLRQ QHFHVVDU\ IRU VHDWLQJ WKH QDWLRQDO 3UHVLGHQW 7KHUH ZDV QR
QDWLRQDOJRYHUQPHQW6HQDWHFRQILUPDWLRQQRQDWLRQDOVHDWVZHUHVHDWHGDQGDOOUHPDLQHGYDFDQW
1RWHWKHQDWLRQDO3UHVLGHQWLVDOVRWKH0LOLWDU\V&RPPDQGHULQ&KLHIDQGXQGHUWKHQDWLRQV
VWDWXV RI EHLQJ UXOHG E\ WKH SULYDWH FRPPHUFLDO PDUWLDOODZ UXOH RI WKH %DQNHUV DQG (QJOLVK
&URZQ WKH EXVLQHVV QHHGV RI WKH QDWLRQ KDYH UHPDLQHG XQGHU 86 ,QF FRQWURO VLQFH LH
HYHUVLQFH86,QFZDVLQFRUSRUDWHGDQGPDGHRSHUDWLRQDORYHUVXFKPDWWHUV
$OO QDWLRQDO JRYHUQPHQW VHDWV DUH DQG UHPDLQ YDFDQW DQG 86 ,QF FRQWLQXHV
PDLQWDLQLQJWKHEXVLQHVVQHHGVRIWKHJRYHUQPHQWXQGHUPDUWLDOODZUXOH
-XQH 86,QFGHFODUHVEDQNUXSWF\XQGHU+RXVH-RLQW5HVROXWLRQ+-5
7KH6RFLDO6HFXULW\$FWLVSDVVHG
3DJH RI
/LIH/DZDQGWKH8&&
8QGHUO\LQJ3ULQFLSDOV
3DJH RI
/LIH/DZDQGWKH8&&
8QGHUO\LQJ3ULQFLSDOV
6WDWH QDPH DQG WKHQ YDFDWHG WKHLU RULJLQDO MXULVGLFWLRQ JRYHUQPHQW VHDWV LQ IDYRU RI IRUHLJQ
RZQHUVKLSDQGFRQWUROXQGHUWKHPDQGDWHRI86,QF
,W DSSHDUV WKDW WKLV ZDV DOO GRQH VR D *HQHUDO 3DUWQHUVKLS FRXOG EH SUHVXPHG DV H[LVWLQJ
EHWZHHQ 7KH 6WDWH RI WKH QDWLRQDO 8QLRQ RI 6WDWHV DQG 67$7( 2) ; D SULYDWH
FRUSRUDWLRQ 6DLG 67$7( 2) ; DV *HQHUDO 3DUWQHU WKHQ DVVXPHV WKH UROH RI JRYHUQPHQWDO
RSHUDWRUFRQWUROOHU 7KLV VFHQDULR LV IXUWKHU SURYHQ E\ WKH IDFW WKDW WKHVH FRUSRUDWH HQWLWLHV
FDQQRWKDQGOH JROGDQG VLOYHUFRLQRIWKH8QLWHG6WDWHVRI$PHULFDLQ FRPPHUFLDOWUDQVDFWLRQV
ZLWKRXWYLRODWLQJWKH3DU9DOXH0RGLILFDWLRQV$FWDQGWKH)RUHLJQ&XUUHQF\([FKDQJH$FW
6HSWHPEHU 86 3DWHQW 7UDGHPDUN 2IILFH DSSOLFDWLRQ QXPEHU LV ILOHG
FRQVLVWLQJRIDSODQIRUPDUNLQJWKHDOOHJHGKXPDQSURSHUW\RI86,QFLHHYHU\FLWL]HQRI
WKH8QLWHG6WDWHVUHPLQLVFHQWRIWKH%LEOLFDOUHIHUHQFHLQWKHQDWXUHRIWKH0DUNRIWKH%HDVW
7KLVSODQLVDYLRODWLRQRIIRXQGDWLRQDOODZDQGLV/XFLIHULDQLQQDWXUH
$SULOWK 7KH5XE\5LGJH0DVVDFUHRFFXUVFDUULHGRXWE\)%,DJHQWV
$SULOWK )HGHUDODJHQWVHQGGD\VLHJHRIWK 'D\$GYHQWLVWV%UDQFK'DYLGLDQV
FRPSRXQGNLOOLQJVHYHUDORIWKHPHPEHUVRIWKHVHFWLQ:DFR7H[DV 1RODZIXOFDXVHH[LVWHG
IRUWKHVLHJHDQGDWWDFN $OOHVFDSLQJFKLOGUHQDUHVKRW
$SULOWK )HGHUDODJHQWVDWWDFNEXUQDQGUD]HWKHFRPSRXQGNLOOLQJDSSUR[LPDWHO\
RIWKHPHPEHUVRIWKHVHFWZLWKRXWDQ\ODZIXOFDXVHIRUWKHDFWLRQ
$SULO WK )HGHUDO %XLOGLQJ LQ 2NODKRPD ZDV EORZQ XS 7KHUH ZHUH WKUHH VHWV RI
H[SORVLRQVUHFRUGHGRQVHLVPRJUDSKVWKHOHDVWHIIHFWLYHRIZKLFKZDVLQWKH5\GHUWUXFN 7KH
VWURQJHVWRIWKHH[SORVLRQVZKLFKFUHDWHGWKHFUDWHUZDVFDXVHGE\DVXEQXFOHDUGHYLFH 7KH
H[SORVLRQV WKDW GHPROLVKHG WKH EXLOGLQJ ZHUH VHW ZLWK PLOVSHF & ERPEV DWWDFKHG WR WKH
FROXPQVLQWKHEDVHPHQWDQGRQWKHWKLUGIORRU 2QO\86,QFRIILFLDOVFRXOGKDYHRUFKHVWUDWHG
WKLVVHTXHQFHRIHYHQWV
86& HW VHT GHPRQVWUDWHV WKDW WKHUH H[LVWV DQ DJHQGD IRU XVLQJ $PHULFDQV
6RYHUHLJQDQGRWKHUZLVHDVELRORJLFDOWHVWVXEMHFWV 7KLVLVDIXQGDPHQWDOEUHDFKRIDQDOOHJHG
&RQVWLWXWLRQDOFRQWUDFW
3UHVLGHQW &OLQWRQ SXVKHV IRU D PDQGDWRU\ KHDOWK FDUH ELOO IRU WKH SXUSRVH RI SODFLQJ WKH
SK\VLFDO ERGLHV RI DOO $PHULFDQV XQGHU FRQWURO RI 86 ,QF ZLWK LQWHUQDWLRQDO LGHQWLILFDWLRQ
DWWDFKHGIRUWKHSXUSRVHRIWDJJLQJWKHSRSXODFHDVSHUWKH%LEOLFDOSURSKHV\RIWKH0DUNRIWKH
%HDVW 7KH FRPSXWHU WKDW ZRXOG KDQGOH WKH WUDFNLQJ LV HYHQ LGHQWLILHG ZLWK WKH DFURQ\P
%($67
:KDWWKHDERYHSURJUHVVLRQGHSLFWVLVWKHV\VWHPDWLFJURZWKRIWKHSRZHUVFRSHDQGSHUYDVLYH
FRQWURORI*RYHUQPHQW H[HUFLVHGDJDLQVW WKH$PHULFDQSHRSOHE\IRUHLJQFULPLQDODQGKRVWLOH
SRZHUV 7KH LQKHUHQW ZLQORVH QDWXUH RI WKRVH ZKR EHOLHYH LQ DQG RSHUDWH JRYHUQPHQWV LV
3DJH RI
/LIH/DZDQGWKH8&&
8QGHUO\LQJ3ULQFLSDOV
DFWXDOL]HG GULYHQ E\ WKH OLIHGULYH IRU PRUH ZLWK WKH RQH DQG RQO\ VLQJOH UHVXOW WKDW DOZD\V
RFFXUV ZKHQ WKH IODZHG SUHPLVHV XSRQ ZKLFK JRYHUQPHQWV DUH IRXQGHG EHFRPH HVWDEOLVKHG LQ
UXOLQJ D QDWLRQ WKH FXOWXUH ULVHV JURZV WR LWV ]HQLWK DQG WKHQVORZO\ RU VXGGHQO\GHFD\V
GLVLQWHJUDWHVDQGGLVDSSHDUV 7KLVVDPHGUHDU\JHVWDOWFRQVWLWXWHVWKHQDWXUHRIPDQVKLVWRU\RQ
WKLVSODQHWDVIDUEDFNDVWKHH\HFDQVHH &LYLOL]DWLRQVULVHIDOODQGGLVDSSHDUUHSODFHGE\QHZ
RQHV WKDWEDVHG XSRQ EHLQJ IRXQGHG RQ DQG IXQFWLRQLQJ LQ DFFRUGDQFH ZLWK ZURQJ
SULQFLSOHVDUH IRUHGRRPHG IRU H[WLQFWLRQ DV ZHUH DOO RI WKHLU SUHGHFHVVRUV DQG DV DOO IXWXUH
FLYLOL]DWLRQVZLOOEHXQWLOPDQNLQGILQDOO\OHDUQVDQGFHDVHVEHDWLQJDGHDGKRUVHE\VWUXFWXULQJ
ODZ FRPPHUFH UHOLJLRQ DQG VRFLDO RUJDQL]DWLRQ LQ JHQHUDO RQ SULQFLSOHV WKDW DUH H[LVWHQWLDOO\
LPSRVVLEOHDQGHWKLFDOO\ZURQJ
7KHDERYHSURJUHVVLRQKDVSURFHHGHGLQ$PHULFDE\LPSOHPHQWLQJVXFKVWUDWHJ\DV
5HOHQWOHVVO\ LQVWLOOLQJ LQ SHRSOH WKH IRXQGDWLRQDO LGHD WKDW JRYHUQPHQWV LQ JHQHUDO DUH
DEVROXWHO\ HVVHQWLDO LQ WKH VRFLHW\ RI PDQ DQG WKDW WKH *RYHUQPHQW LQ $PHULFD LV WKH SHRSOHV
IULHQGDQGVHUYDQWLHDJRYHUQPHQWRIWKHSHRSOHE\WKHSHRSOHDQGIRUWKHSHRSOH 7KHVH
SUHPLVHVDUHXQWUXHVHOIVHUYLQJFRQVE\WKRVHZKRZDQWWKHSRZHU
&UHDWLQJ JRYHUQPHQWDOO\ RZQHG FRUSRUDWH IUDQFKLVHV VXFK DV D FLWL]HQ RI WKH 8QLWHG
6WDWHVDQGRQHVDOOFDSLWDOOHWWHUQDPHZLWKZKLFKSHRSOHDUHGHFHLYHGLQWRLGHQWLI\LQJ
5HJDUGLQJHYHU\FLWL]HQRIWKH8QLWHG6WDWHVDVFRQWUDFWXDOO\EHLQJ
D
$FRUSRUDWHFLWL]HQLHDFRUSRUDWHIUDQFKLVH
E
$ FRWUXVWHH ZLWK GXWLHV DQG FREHQHILFLDU\ ZLWK SULYLOHJHV RI WKH WK $PHQGPHQW
3XEOLF&KDULWDEOH cestui que 7UXVW
F
3OHGJHGDVDQDVVHWLQWKHEDQNUXSWF\RI86,QFDQGWKHUHIRUHDFRVXUHW\IRUWKHGHEWVRI
86,QF
G
$QHQHP\RIWKH&UHGLWRUV
H
&KDWWHOSURSHUW\RIWKH%DQNHUVDQG3RZHU(OLWH
I
$VODYHZLWKQRFDSDFLW\IRUDVVHUWLQJDQ\ULJKWVQRVWDQGLQJLQODZDQGQRFDSDFLW\IRU
FRQWUDFWLQJ
)XQFWLRQLQJ RQ WKH SUHVXPSWLRQ WKDW WKH LQGLYLGXDO EHLQJ ZLWK DXWRQRP\ DQG IUHH ZLOO
NQRZLQJO\ LQWHQWLRQDOO\ DQG YROXQWDULO\ FRQWUDFWHG LQWR WKH VLWXDWLRQ RI EHLQJ XQLWHGOLNH
KHDGVDQGWDLOVRIDFRLQZLWKDFRUSRUDWHHQWLW\FUHDWHGDQGRZQHGE\WKH*RYHUQPHQW
$VSHUWKHHVWDEOLVKHGPD[LPRIODZ$VDWKLQJLVERXQGVRLWLVXQERXQGWKHZD\RXWRIWKH
SUREOHP LV ZLWKLQ DQG WKURXJK WKH SUREOHP 7KLV LV DFFRPSOLVKHG E\ XQGHUVWDQGLQJ ZKDW WKH
SUREOHP LV LH LWV VWUXFWXUH DQG FKDUDFWHU MXVW DV VROYLQJ WKH SUREOHP RI D SOXJJHG GUDLQ LV
3DJH RI
/LIH/DZDQGWKH8&&
8QGHUO\LQJ3ULQFLSDOV
DFFRPSOLVKHGE\UHDOL]LQJWKDWWKHSUREOHPLVWKHSOXJJHGGUDLQZKHUHE\WKHVROXWLRQFRQVLVWVRI
XQSOXJJLQJWKHGUDLQ .QRZWKHWUXWKDQGWKH WUXWKVKDOOPDNH \RXIUHH 8QGHUVWDQGLQJ WKH
SUREOHPDQGKRZLWDURVHLVWKHSXUSRVHRIDOORIWKHIRUHJRLQJ
'3UDFWLFH
$VUHSHDWHGO\ QRWHGDOOODZLVFRQWUDFWZKHUHE\VROYLQJWKHSUREOHPLVDFKLHYHGE\LQYRNLQJ
FRQWUDFWODZ $OOFRQWUDFWVERWKH[SUHVVDQGLPSOLHGPXVWEHIRUPXODWHGLQDFFRUGDQFHZLWKWKH
XQLYHUVDO HVVHQWLDOV RI FRQWUDFW ODZ FRQFHUQLQJ WKH LQWHUDFWLRQ EHWZHHQ WKH SDUWLHV 7KHVH
IXQGDPHQWDOVDUHZHOOFRGLILHGLQPDQ\SODFHVHJWKH&DOLIRUQLD&LYLO&RGH6HFWLRQVHW
VHT
&RQWUDFWZKDW
$FRQWUDFWLVDQDJUHHPHQWWRGRRUQRWWRGRDFHUWDLQWKLQJ
(VVHQWLDOHOHPHQWVRIFRQWUDFW
,WLVHVVHQWLDOWRWKHH[LVWHQFHRIDFRQWUDFWWKDWWKHUHVKRXOGEH
3DUWLHVFDSDEOHRIFRQWUDFWLQJ
7KHLUFRQVHQW
/DZIXOREMHFWDQG
$VXIILFLHQWFDXVHRUFRQVLGHUDWLRQ
:KRPD\FRQWUDFW
$OO SHUVRQV DUH FDSDEOH RI FRQWUDFWLQJ H[FHSW PLQRUV SHUVRQV RI XQVRXQG PLQG DQG SHUVRQV
GHSULYHGRIFLYLOULJKWV
(VVHQWLDOVRIFRQVHQW
7KHFRQVHQWRIWKHSDUWLHVWRDFRQWUDFWPXVWEH
)UHH
0XWXDODQG
&RPPXQLFDWHGE\HDFKWRWKHRWKHU
$QDSSDUHQWFRQVHQWLVQRWUHDORU IUHHZKHQREWDLQHGWKURXJK
'XUHVV
0HQDFH
3DJH RI
/LIH/DZDQGWKH8&&
8QGHUO\LQJ3ULQFLSDOV
)UDXG
8QGXHLQIOXHQFHRU
0LVWDNH
:KHQFRQWUDFWZKROO\YRLG
:KHUH D FRQWUDFW KDV EXW D VLQJOH REMHFW DQG VXFK REMHFW LV XQODZIXO ZKHWKHU LQ ZKROH RU LQ
SDUW RU ZKROO\ LPSRVVLEOH RI SHUIRUPDQFH RU VR YDJXHO\ H[SUHVVHG DV WR EH ZKROO\
XQDVFHUWDLQDEOHWKHHQWLUHFRQWUDFWLVYRLG
(IIHFWRILWVLOOHJDOLW\
,I DQ\ SDUW RI VLQJOH FRQVLGHUDWLRQ IRU RQH RU PRUH REMHFWV RU RI VHYHUDO FRQVLGHUDWLRQV IRU D
VLQJOHREMHFWLVXQODZIXOWKHHQWLUHFRQWUDFWLVYRLG
([SUHVVFRQWUDFWZKDW
$QH[SUHVVFRQWUDFWLVRQHWKHWHUPVRIZKLFKDUHVWDWHGLQZRUGV
,PSOLHGFRQWUDFWZKDW
$QLPSOLHGFRQWUDFWLVRQHWKHH[LVWHQFHDQGWHUPVRIZKLFKDUHPDQLIHVWHGE\FRQGXFW
,PSRVVLEOHRUXQODZIXOFRQGLWLRQVYRLG
$FRQGLWLRQLQDFRQWUDFWWKHIXOILOOPHQWRIZKLFKLVLPSRVVLEOHRUXQODZIXOZLWKLQWKHPHDQLQJ
RIWKHDUWLFOHRQWKHREMHFWRIFRQWUDFWVRUZKLFKLVUHSXJQDQWWRWKHQDWXUHRIWKHLQWHUHVWFUHDWHG
E\WKHFRQWUDFWLV YRLG
&RQWUDFWVKRZWREHLQWHUSUHWHG
$ FRQWUDFW PXVW EH VR LQWHUSUHWHG DV WR JLYH HIIHFW WR WKH PXWXDO LQWHQWLRQ RI WKH SDUWLHV DV LW
H[LVWHGDWWKHWLPHRIFRQWUDFWLQJVRIDUDVWKHVDPHLVDVFHUWDLQDEOHDQGODZIXO
&HUWDLQFRQWUDFWVXQODZIXO
$OO FRQWUDFWV ZKLFK KDYH IRU WKHLU REMHFW GLUHFWO\ RU LQGLUHFWO\ WR H[HPSW DQ\RQH IURP
UHVSRQVLELOLW\ IRU KLV RZQ IUDXG RU ZLOOIXO LQMXU\ WR WKH SHUVRQ RU SURSHUW\ RI DQRWKHU RU
YLRODWLRQRIODZZKHWKHUZLOOIXORUQHJOLJHQWDUHDJDLQVWWKHSROLF\RIWKHODZ
)UDXGXOHQWGHFHLW
2QHZKRZLOOIXOO\GHFHLYHVDQRWKHUZLWKLQWHQWWRLQGXFHKLPWRDOWHUKLVSRVLWLRQWRKLVLQMXU\RU
ULVNLVOLDEOHIRUDQ\GDPDJHZKLFKKHWKHUHE\VXIIHUV
3DJH RI
/LIH/DZDQGWKH8&&
8QGHUO\LQJ3ULQFLSDOV
$PDMRU$FKLOOHVKHDORIWKHV\VWHPLVWKDWLWLVIRXQGHGRQOLHVGHFHLWFRQFHDOPHQWRIPDWHULDO
IDFW PLVUHSUHVHQWDWLRQ GXUHVV PHQDFH IUDXG XQGXH LQIOXHQFH PLVWDNH DEVHQFH RI YDOXDEOH
FRQVLGHUDWLRQDQGQRIUHHPXWXDOFRQVHQWLHWKHDEVHQFHRIHVVHQWLDOO\HYHU\UHTXLUHGHOHPHQW
IRUWKHH[LVWHQFHRIDYDOLGFRQWUDFW ,QVKRUWWKHDOOHJHG SUHVXPSWLRQ RIDQH[LVWLQJFRQWUDFWLVD
OLHQRFRQWUDFWH[LVWVEDVHGRQWKHDEVHQFHRIWUXHDJUHHPHQWGHULYHGIURPIXOOGLVFORVXUHRIDOO
WHUPV DQG FRQGLWLRQV LH QR PXWXDO XQGHUVWDQGLQJ E\ DOO LQYROYHG SDUWLHV RI HYHU\WKLQJ ZLWK
ZKLFKWKHSDUWLHVDUHDOOHJHGO\DJUHHLQJ
$VZHKDYHQRWHGZHPXVWUHEXWWKHUHEXWWDEOHSUHVXPSWLRQRIWKHSUHVXPHGFRQWUDFWXDOQH[XV
WKDW SODFHV XV LQ VXFK GLUH VWUDLWV E\ DQ DIILUPDWLYH DFW LH QRW GHQLDO DQG DUJXPHQW ZKLFK
FRQVWLWXWH WUDYHUVLQJ :H PXVW HQJDJH LQ H[SUHVV DFWLRQ WKDW E\ LWV YHU\ QDWXUH UHEXWV WKH
SUHVXPSWLRQVWKDWDUHRWKHUZLVHWKHVRXUFHRIDOOWKHPLVFKLHIEHLQJSHUSHWUDWHGDJDLQVWXV 7KH
LVVXHLVWKHQKRZDQGLQZKDWIRUXPWKLVQRQUHEXWWLQJUHEXWWDOLVH[HUFLVHG
1RQUHEXWWLQJ UHEXWWDO ILUVW RI DOO RFFXUV E\ HVWDEOLVKLQJ RQ WKH UHFRUG WKH XQGHUO\LQJ
FRPPHUFLDOSDSHUZRUNJRYHUQLQJWKHVLWXDWLRQLQWKLVFDVHSDSHUZRUNEHDULQJXSRQWKHYLUWXDO
WRWDOLW\ RI \RXU OLIH ,Q FRPPHUFH DQG ODZ WKH UHDOLW\ LV WKH UHFRUG 3URSHU FRPPHUFLDO
SDSHUZRUNLVGRQHE\DIILGDYLWVZRUQWUXHFRUUHFWDQGFRPSOHWHZKHWKHUH[SUHVVRULPSOLHG
DQG VHWV IRUWK ZKR RZHV ZKRP ZKDW RQ ZKDW EDVLV LH WKH XQGHUO\LQJ FRQWUDFW DQG ZKR LV
WDNLQJ OLDELOLW\UHVSRQVLELOLW\ IRU HYHU\ ERRNNHHSLQJ HQWU\ FODLP FKDUJH DFFXVDWLRQ DQG
DQ\WKLQJDVVHUWHGWKDWPLJKWLQDQ\ZD\DIIHFWWKHOLIHRIVRPHRQHHOVH
,QWKLVFDVHWKHXQGHUO\LQJFRPPHUFLDOSDSHUZRUNRI\RXUOLIHFRQVLVWVRIWKHJHQXLQHH[SUHVV
ELODWHUDOFRQWUDFWVE\DQGEHWZHHQWKHUHDOEHLQJDQGWKHDUWLILFLDOFRUSRUDWHHQWLW\LH\RXUDOO
FDSLWDOOHWWHU QDPH &RUUHVSRQGLQJO\ WKH QDPH LH V\PEROLF UHSUHVHQWDWLRQ WKDW SRUWUD\V
\RXUVHOIDVDUHDOEHLQJLVVHWIRUWKLQDFFRUGDQFHZLWKWKHUXOHVRI(QJOLVKJUDPPDULQXSSHU
DQG ORZHUFDVH OHWWHUV 7KH GLIIHUHQFH LV WKHQ EHWZHHQ -2+1 +(15< '2( ILFWLWLRXV QDPH
FRUSRUDWHHQWLW\DQG-RKQ+HQU\'RHUHDOEHLQJ
:KDW LV WKH EDVLV DQG QDWXUH RI WKLV FRQWUDFW EHWZHHQ WKH UHDO EHLQJ DQG WKH ILFWLWLRXV HQWLW\"
(DFKSHUIRUPVLQGLVSHQVDEOHIXQFWLRQVIRUDQGRQEHKDOIRIWKHRWKHU :KDWWKHDUWLILFLDOHQWLW\
GRHVLVVHUYHDVDWUDQVPLWWLQJXWLOLW\LQFRPPHUFHDQGODZZKLFKLVDVXEVHWRIFRPPHUFH
VLQFHDOOODZFRPPHUFHFRQWUDFWDQGJRYHUQPHQWVIXQFWLRQLQWKHDEVWUDFWUHDOPLQ ZKLFKWKH
UHDO EHLQJ FDQQRW HQWHU DQG QHHGV D GXPP\ LH VWUDZ PDQ WKDW FDQ EH WKH FRQGXLW IRU WKH
IORZRIHQHUJ\JRRGVDQGVHUYLFHVEDFNDQGIRUWKEHWZHHQWKHZRUOGRIFRPPHUFHDQGWKHUHDO
EHLQJ /LNHZLVH WKH VWUDZ PDQ FDQQRW HQWHU WKH ZRUOG RI UHDOLW\ ZKLFK LV DQ LQDFFHVVLEOH
GRPDLQ IRU LPDJLQDU\ HQWLWLHV 5HDOLW\ DQG DEVWUDFWLRQ DUH WZR GLIIHUHQW PHWDOHYHOV UH HDFK
RWKHUMXVWDVDUHWKHZDNLQJDQGGUHDPLQJVWDWHVRIDZDUHQHVV 2QHFDQQRWDVLWZHUHNLOOWKH
WLJHURIWKHZDNLQJVWDWH ZLWKWKHJXQRIWKHGUHDPVWDWH )XUWKHU\HWDVDQLPDJLQDU\FRQFRFWLRQ
LQDEVWUDFWLRQWKHVWUDZPDQFDQQHLWKHUWKLQNQRUDFWQRUHYHQVLJQLWVQDPH
3DJH RI
/LIH/DZDQGWKH8&&
8QGHUO\LQJ3ULQFLSDOV
7KHUHIRUHWKHVHFUHWRIWKHV\VWHPLVWKLV6RORQJDVWKHUHEXWWDEOHSUHVXPSWLRQRIFRQWUDFWXDO
ERQGDJHLVQRWHOLPLQDWHGIURPWKHHTXDWLRQE\QRQUHEXWWDOUHEXWWLQJHYHU\WLPHVRPHRQHVLJQV
KLVQDPHKHLVVLJQLQJDVDVXUHW\DFFRPPRGDWLRQSDUW\DQGJXDUDQWRUIRUWKHVWUDZPDQDQGLV
WKHUHIRUHJXDUDQWHHLQJWKDWKHZLOO
3D\ZKDWHYHUGHEWV WKHVWUDZPDQLH'HEWRULQFXUV
%LQG WKH 'HEWRU FRQWUDFWXDOO\ DQG ZLOO DQVZHU RQ EHKDOI RI WKH 'HEWRU IRU ZKDWHYHU
FKDUJHVDUHOHYHOHGDJDLQVWWKH'HEWRUERWKFULPLQDODQGFLYLO
,WLVWKHUHIRUHRIXWPRVWLPSRUWDQFHWKDWD bona fide FRQWUDFWEHHVWDEOLVKHGRQWKHUHFRUG
LQDPDQQHUWKDWWKHV\VWHPUHFRJQL]HVDVWKHXOWLPDWHIRUXPIRUQRWLFHRIVXFKFRQWUDFWV
H[SUHVVO\SURFODLPLQJ inter aliaWKDWXQGHUQRFLUFXPVWDQFHVLVWKHUHDOEHLQJDVXUHW\IRU
WKH'HEWRUQRUDQDFFRPPRGDWLRQSDUW\ DQGWKHUHIRUHLVQRWOLDEOHIRUDQ\GHEWVLQFXUUHG
E\QRUIRUDQ\FKDUJHVOHYHOHGDJDLQVWWKH'HEWRU
:KHQ VXFK D FRQWUDFW LV H[HFXWHG LW LV D JHQXLQH H[SUHVV FRQWUDFW WKDW LV HQIRUFHDEOH ODZ ,W
IXOILOOV DOO RI WKH FULWHULD RI FRQWUDFW ODZ IRU VXFK D YDOLG FRQWUDFW XQOLNH WKH
SKRQ\ SUHVXPSWLRQ RIFRQWUDFWRQWKHEDVLVRIZKLFKWKHV\VWHPRWKHUZLVHIXQFWLRQVDQGRQWKH
EDVLV RI ZKLFK RYHU VL[ ELOOLRQ SHRSOH RQ WKLV SODQHW DUH VODYHV DQG FKDWWHO SURSHUW\ %\
UHFRUGLQJWKLVFRQWUDFWLQWKHSURSHUSXEOLFIRUXPRQHHVWDEOLVKHVRQWKHUHFRUGIRUSXEOLFQRWLFH
WKDWWKH'HEWRULVWKHSURSHUW\RIDQGDOORIWKHSURSHUW\RIWKH'HEWRULVSOHGJHDVWKHDVVHWVIRU
FROODWHUDOL]LQJWKHFRQWUDFWZLWKWKHUHDOEHLQJ 7KLVIRUXPRIFRXUVHLVWKH8&&'HSDUWPHQW
LQWKHRIILFHRIHDFK6HFUHWDU\RI6WDWH ,Q8&&WHUPLQRORJ\WKHUHDOEHLQJLQWKLVHTXDWLRQLV
FDOOHGWKH6HFXUHG3DUW\DQGWKHFRQWUDFWRIREOLJDWLRQDQGLQGHEWHGQHVVRIWKH'HEWRULQIDYRU
RI WKH 6HFXUHG 3DUW\ LV FDOOHG D )LQDQFLQJ 6WDWHPHQW 7KH SDUWLFXODUV RI WKH )LQDQFLQJ
6WDWHPHQWDUHGHOLQHDWHGLQDQRWKHUFRQWUDFWE\DQGEHWZHHQWKH'HEWRUDQG6HFXUHG3DUW\FDOOHG
D6HFXULW\$JUHHPHQWLQZKLFKHYHU\FRQFHLYDEOHLWHPRISURSHUW\WKDWWKH'HEWRUQRZRZQV
DQGPLJKWHYHUDFTXLUHLVSOHGJHGDVDQDVVHWIRUFROODWHUDOL]LQJWKH'HEWRUVREOLJDWLRQLQIDYRU
RIWKH6HFXUHG3DUW\
$WWKLVSRLQWERWKWKH'HEWRUDQGWKH'HEWRUVSURSHUW\KDYHEHHQZUHVWHGDZD\IURPEHLQJWKH
SUHVXPHG SURSHUW\ DQG IDLU SRDFKLQJ SUHVHUYH RI WKH V\VWHP DQG SODFHG VHFXUHO\ E\ SULYDWH
FRQWUDFWLQWRWKHGRPDLQRIWKH6HFXUHG3DUW\ 7KH6HFXUHG3DUW\DVDUHDOEHLQJLVQRWDVWKH
'HEWRULVSUHVXPHGE\WKHV\VWHPXQOHVVRQHILOHVDSURSHUO\H[HFXWHG)LQDQFLQJ6WDWHPHQWDV
EHLQJ
7KHSURSHUW\RIWKH*RYHUQPHQW
)DLU JDPH IRU DVVXPLQJ DQG EHFRPLQJ REOLJDWHG IRU IXOILOOLQJ DOO RI WKH GHEWV WKH
*RYHUQPHQW PLJKW SLOH RQ WKH 'HEWRU DV ZHOO DV DQVZHULQJ IRU DOO RI WKH FKDUJHV WKH
*RYHUQPHQWPLJKWOHYHODJDLQVWWKH'HEWRU
3DJH RI
/LIH/DZDQGWKH8&&
8QGHUO\LQJ3ULQFLSDOV
$QDEVWUDFWFRUSRUDWHHQWLW\IXQFWLRQLQJLQFRPPHUFHLQOLPLWHGOLDELOLW\>@>@
7KH 8&& 'HSDUWPHQW WKHUHIRUH LV WKH SURSHU IRUXP DQG LQ WKH 8QLWHG 6WDWHV WKH VXSUHPH
IRUXP IRU HVWDEOLVKLQJ RQ WKH UHFRUG WKH SULYDWH FRQWUDFWXDO UHODWLRQVKLS EHWZHHQ WKH 6HFXUHG
3DUW\ DQG WKH 'HEWRU 6XFK D 8&& ILOLQJ FRQVWLWXWHV SXEOLF UHFRUG RI SULYDWH FRQWUDFW 7KH
VWUHQJWKSRZHUYDOLGLW\DQGWHHWKRIWKLVVLWXDWLRQLVQRWWKH8&&UHFRUGDWLRQ per se $8&&
RIILFH LV PHUHO\ D FRQYHQLHQW IRUXP IRU ILOLQJ )LQDQFLQJ 6WDWHPHQWV FRQVWLWXWLQJ D FHQWUDO
ORFDWLRQZKHUHE\DQ\RQHLQWHUHVWHGLQGRLQJEXVLQHVVZLWKWKH'HEWRUPD\GHWHUPLQHZKDWSULRU
FODLPVH[LVWDJDLQVWWKDW'HEWRULHZKRPLJKWKDYHD SULRUFODLPDQGEHILUVWLQWLPHDQGILUVW
LQ OLQH 7KH UHDOLW\ RI WKH PDWWHU LV ZKDW LV UHFRUGHG QRW WKH SODFH RI UHFRUGDWLRQ DQG WKLV
UHDOLW\LVWKHSULYDWHFRQWUDFWEHWZHHQWKH'HEWRUDQG6HFXUHG3DUW\
7KH &RQVWLWXWLRQ DW $UWLFOH , 6HFWLRQ &ODXVH SURKLELWV DQ\ VWDWH IURP SDVVLQJ DQ\ ODZ
LPSDLULQJWKHREOLJDWLRQRIFRQWUDFWV 7KLVLVVXHLHLPSDLULQJWKHREOLJDWLRQRIFRQWUDFWVLV
DOOHJHGO\ WKH PRVW DGMXGLFDWHG RI DOO LVVXHV LQ WKH 6XSUHPH &RXUW :K\" %HFDXVH DOO ODZ LV
FRQWUDFW DQG FRQWUDFW LV DERYH WKH &RQVWLWXWLRQ ,QGHHG WKH &RQVWLWXWLRQ KDV YDOLGLW\ RQO\
LQVRIDUDVD bona fideELQGLQJFRQWUDFWH[LVWVLQYROYLQJWKH&RQVWLWXWLRQ
7KHNH\WKHUHIRUHLVWKHFUHDWLRQRIDFOHDUFRPSOHWHDQGLURQFODGVHWRIFRQWUDFWVEHWZHHQWKH
'HEWRU DQG 6HFXUHG 3DUW\ :KHQ WKLVLVGRQHWKHFRQWUDFW FDQQRWEHLPSDLUHGLHLQWUXGHG
XSRQ UHYLVHG QHJDWHG DQG RWKHUZLVH LQIOXHQFHG E\ WKLUG SDUWLHV 6XFK D FRQWUDFW LV WKXV
LQYLRODEOH DQG HQWLUHO\ RXWVLGH WKH MXGLFLDO V\VWHP 6LQFH WKH HQWLUH JRYHUQPHQW DQG OHJDO
V\VWHP FRQVWLWXWH WKLUG SDUWLHV UH WKH SULYDWH FRQWUDFW E\ DQG EHWZHHQ WKH 'HEWRU DQG 6HFXUHG
3DUW\ WKRVH LQ WKH V\VWHP DUH LQ WKHLU GRPDLQ GRLQJ WKHLU EXVLQHVV DOO ZLQORVH ULSRII JDPHV
DQG \RX DUH LQ \RXU GRPDLQ PLQGLQJ \RXU EXVLQHVV ZKLFK KRSHIXOO\ LV RQO\ ZLQZLQ
WUDQVDFWLRQV 3UHVXPSWLRQRIDQDPDOJDPDWLRQEHWZHHQ \RXDQGWKHV\VWHPLVHOLPLQDWHGDQG
RQH PD\ OLYH IUHH RI WKH MXGLFLDO V\VWHP DQG LQYRNH QRQMXGLFLDO UHPHGLHV IRU LQWUXVLRQ DQG
WUHVSDVVE\DQ\DJHQWVRI*RYHUQPHQW
7KH ZKROH MXGLFLDO V\VWHP LV WKXV D YDVW RIISRLQW V\VWHP RI GRPLQDWLRQ DQG XVXUSDWLRQ WKDW
GHDOVZLWKWKHREOLYLRXVPDVVHVZKRKDYHQRWSURSHUO\SURWHFWHGWKHPVHOYHVE\ILOLQJ)LQDQFLQJ
6WDWHPHQWV IRXQGHG RQ DQG FRQVLVWLQJ RI SULYDWH FRQWUDFWV RXWVLGH WKH OHJDO V\VWHP $OO VXFK
SHRSOH LHWKHYDVWPDMRULW\RIWKHSRSXODFHKDYHQRWUHEXWWHG KDYH QRW DVVHUWHG WKHLU ULJKWV
DQG WKHUHE\ DXWRPDWLFDOO\ KDYH /HIW WKH ILHOG RI EDWWOH DQG ORVW E\ GHIDXOW ,I RQH LV QRW
SURSHUO\HVWDEOLVKHGDVEHLQJRXWVLGHWKHOHJDOV\VWHPE\SURSHUO\H[HFXWHGDQGILOHGFRPPHUFLDO
SDSHUZRUN LH SULYDWH FRQWUDFWV RQH LV DXWRPDWLFDOO\ ZLWKLQ WKH OHJDO V\VWHP DQG KDV HQWHUHG
WKURXJKWKHGRRURI'DQWHV Inferno WKDWVD\V$EDQGRQKRSHDOO\HZKRHQWHUKHUH
:HKDYHVWDWHGWKDWDFLWL]HQRIWKH8QLWHG6WDWHVLVGHYRLGRIVWDQGLQJLQODZDQGSRVVHVVHVQR
FDSDFLW\ IRU FRQWUDFWLQJ +RZ WKHQ FDQ WKH 'HEWRU FRQWUDFW ZLWK WKH 6HFXUHG 3DUW\" 7KH
DQVZHULVIRXQGHGXSRQWKHIROORZLQJSULQFLSOHV
3DJH RI
/LIH/DZDQGWKH8&&
8QGHUO\LQJ3ULQFLSDOV
1R bona fideFRQVFLRQDEOHFRQWUDFWHYHUH[LVWHGE\DQGEHWZHHQWKH6HFXUHG3DUW\DQGWKH
*RYHUQPHQWLQWKHILUVWSODFHEDVHGRQWKHDEVHQFHRIVXFKHVVHQWLDOVRIFRQWUDFWODZDVJHQXLQH
DJUHHPHQWWUXHPHHWLQJRIWKHPLQGVIUHHFRQVHQWIXOOGLVFORVXUHDQGWKHRWKHUFULWHULDWKDWDUH
HVVHQWLDO IRU WKH H[LVWHQFH RI D YDOLG FRQWUDFW 7KH *RYHUQPHQW IXQFWLRQV RQO\ DQ
XQUHEXWWHG SUHVXPSWLRQ RIFRQWUDFWLHEDVHGRQOHWVSUHWHQGFRXSOHGZLWKVXFKPD[LPVRI
ODZDQGFRPPHUFHDV+HZKRIDLOVWRDVVHUWKLVULJKWVKDVQRQH$PDWWHUPXVWEHH[SUHVVHG
WREHUHVROYHG+HZKROHDYHVWKHILHOGRIEDWWOHILUVWORVHVE\GHIDXOW
%\QRWVSHDNLQJ\RXUPLQGE\GUDIWLQJDQGH[SUHVVFRQWUDFWE\DQGEHWZHHQ\RXUVHOIDQG \RXU
DOOFDSVQDPH\RXIDLOWRDVVHUW\RXUULJKWVDQGORVHE\GHIDXOW 7KHSUDFWLFDOFRQVHTXHQFH
RI WKLV IDLOXUH LV WKDW EHFDXVH \RX KDYH QRW DVVHUWHG LW \RXU SRVLWLRQ LV QRW RQ WKH WDEOH DQG
WKHUHIRUHFDQQRWEHGHDOWZLWK 0RUHRYHUQHLWKHUDQ\MXGJHQRUDQ\*RYHUQPHQWDJHQWQRUDQ\
RWKHUWKLUGSDUW\LQH[LVWHQFHFDQVSHDNIRU\RXDQGDVVHUW\RXUULJKWVDQGSRVLWLRQLI\RXGRQRW
7KH\FRXOGGRVRHYHQLIWKH\VRZLVKHGDQGLWLVVHOIHYLGHQWWKDWWKH\SRVVHVVQRVXFKGHVLUH
7KHLUGHVLUHLVIRUJDLQLQJXQMXVWHQULFKPHQWLQFRPPHUFHDW\RXUH[SHQVHE\SLOLQJRQGHEWVDQG
FKDUJHVDJDLQVW\RXUDOOFDSVQDPHDQGVHQGLQJ\RXWKHELOOVDQGVXPPRQVIRUDQVZHULQJWKHP
<RXPXVWIRUHFORVHWKHPIURPH[HUFLVLQJWKLVRSWLRQE\ZUHVWLQJWKH'HEWRUIURPWKHGRPDLQRI
SUHVXPHG*RYHUQPHQWRZQHUVKLSDQGHVWDEOLVKLQJ\RXUVWUDZPDQLQWKHUHDOPRIFOHDUDQGVROLG
RZQHUVKLS E\ \RX UH DOO RI WKH 'HEWRUV SURSHUW\ SOHGJHG DV FROODWHUDO VHFXULQJ WKH 'HEWRUV
REOLJDWLRQWRWKH6HFXUHG3DUW\ 7KLVLVDFFRPSOLVKHGE\H[HFXWLQJDSURSHUO\GUDIWHG)LQDQFLQJ
6WDWHPHQW VXSSRUWHGE\ LURQFODGSULYDWHFRQWUDFWVDQGOHWWLQJHYHU\RQHLQWKHV\VWHPNQRZRI
WKHUHVXOWE\ILOLQJLWLQWKH8&&'HSDUWPHQW
/DZLVDWZRZD\VWUHHWDGRXEOHHGJHGVZRUG ,WIORZVDQGFXWVERWKZD\V ,IWKH*RYHUQPHQW
UHJDUGVWKHUHDOEHLQJ DVSRVVHVVLQJWKHFDSDFLW\DQGULJKWZKHUHE\ WKDWEHLQJFDQVLJQIRUWKH
'HEWRULQDPDQQHUWKDWIRUIHLWVWKHUHDOEHLQJVULJKWVE\WKHVDPHWRNHQWKDWEHLQJUHWDLQVWKH
ULJKWIRUHQWHULQJLQWRDFRQWUDFWWKDW VHFXUHV WKHUHDOEHLQJVULJKWLQHVVHQFHVWDWLQJ
([FXVHPH*RYHUQPHQWEXWLI,KDYHWKHULJKWWRVLJQEOLQGO\IRUWKH'HEWRULQDQRSHQHQGHG
PDQQHU WKDW LV D RQHZD\ VWUHHW IURP ZKLFK P\ OLIH VXEVWDQFH ULJKWV DQG ODERU IORZ RXW RI
PHDW P\ H[SHQVH DQG GLPLQLVKPHQWIRU \RXU EHQHILW E\ WKH VDPH WRNHQ , KDYH WKH
HTXLYDOHQWULJKWRIVLJQLQJIRUWKH'HEWRUDVDQDXWKRUL]HGUHSUHVHQWDWLYHQRWDVXUHW\DQGQRW
DQDFFRPPRGDWLRQSDUW\LQDFRQWUDFWZKHUHE\,KDYHSDUDPRXQWFODLPRQWKH'HEWRUDQGDOO
RI WKH 'HEWRUV SURSHUW\ LV FRQWUDFWXDOO\ SOHGJHG DV FROODWHUDO IRU WKH SXUSRVH RI VHFXULQJ WKH
'HEWRUVREOLJDWLRQWKDWLVGXHPHIRUP\VHUYLFHRIDFWLQJDVWKH'HEWRUVEDVLVRIDSUHH[LVWLQJ
FODLPDQGEHLQJWKHOLYLQJEHLQJZKRLVDXWKRUL]HGIRUVLJQLQJRQEHKDOIRIWKH'HEWRU
,IDQGWRWKHH[WHQWWKDWWKHDVVHPEODJHRIDOOFDSLWDOOHWWHUV\RXKDYHFUHDWHGWKDWPLJKWDSSHDU
DVSRVVHVVLQJVLPLODULW\ZLWKP\WUXHQDPHKDVQRWKLQJWRGRZLWKPHLHLVQRWORDGHGZLWKDQ\
SUHVXPSWLRQVRIREOLJDWLQJPHWKHQQRQH[XVH[LVWVEHWZHHQPHDQGWKDWDOOFDSV QDPH ,IWKDW
DOOFDSVQDPHLVQRWLQWHQGHGDVLQYROYLQJPHLQDQ\ZD\WKHQ,GRQWFDUHZKDW\RXGRZLWKLW
7RWKHH[WHQWKRZHYHUWKDWWKHDOOFDSVQDPHLVSUHVXPHGDVEHDULQJRQPHLQVRPHPDQQHU,
3DJH RI
/LIH/DZDQGWKH8&&
8QGHUO\LQJ3ULQFLSDOV
SRVVHVV WKH H[FOXVLYH ULJKW RI VWDWLQJ RWKHUZLVH DQG GHILQLQJ ZKDW LI DQ\ UHODWLRQVKLS H[LVWV
EHWZHHQP\VHOIDQGWKDWDOOFDSVQDPH :K\LVWKLVVR" %HFDXVH,DORQHDPWKHRQHWKDWZRXOG
EHH[SHFWHGWREHWKHVXUHW\IRUWKDWQDPHQRWDQ\RI\RXWKLUGSDUWLHV
0DQ\ WLPHV 5HGHPSWLRQW\SH ILOLQJV DUH UHMHFWHG RQ WKH EDVLV WKDW WKH 6HFXUHG 3DUW\ DQG WKH
'HEWRUDUHWKHVDPHSHUVRQ 7KLVLVRIFRXUVHQRWWUXHDQGLVVHOIHYLGHQWE\YLUWXHRIWKHIDFW
WKDWWKH'HEWRUVQDPHLVLQDOOFDSLWDOOHWWHUVZKLOHWKHQDPHRIWKH6HFXUHG3DUW\LVLQXSSHU
DQGORZHUFDVHOHWWHUVDQGDOVRWKDWWKH'HEWRUQRWEHLQJDOLYLQJVHQWLHQWEHLQJFDQQRWVLJQ
IRUKLPVHOIZKLOHWKH6HFXUHG3DUW\EHLQJUHDODQGQRWDEVWUDFWLQQDWXUHFDQQRWIXQFWLRQDVD
WUDQVPLWWLQJXWLOLW\LQWKHZRUOGRIFRPPHUFHZKHUHHYHU\WKLQJLVFRQWUDFWEHWZHHQDEVWUDFWOHJDO
SHUVRQVRIYDULRXVNLQGV>@>@
6LQFH H[SODLQLQJ WKHVH PDWWHUV LV XVXDOO\ IXWLOH ZKHQ HQJDJLQJ LQ WKH DFWXDO SURFHVV RI JHWWLQJ
\RXUSDSHUZRUNILOHGLQWKH6WDWH8&&'HSDUWPHQWDVZHOODVLQWKHRIILFHRIDFRXQW\UHFRUGHU
YDULRXVVWUDWHJLHVPD\EHUHTXLUHG 6RPHRIWKHVHLQFOXGH
&URVVILOHZLWKRWKHUVHJIULHQGVIDPLO\PHPEHUVHWFDQGWKHQGRD8&&DPHQGPHQW
VZLWFKLQJ6HFXUHG3DUWLHVVRWKDWHDFK6HFXUHG3DUW\LVPDWFKHGZLWKKLVRZQDOOFDSVQDPHDV
'HEWRU
,I UHDO HVWDWH LV LQYROYHG ILOH D VLPSOH 8&& ZLWK QR DWWDFKPHQWV LQ WKH RIILFH RI WKH
FRXQW\UHFRUGHUDQGWKHQVHQGDWUXHDQGDFFXUDWHFRS\E\GRFXPHQWFXVWRGLDQRIWKHFHUWLILHG
WUXHFRS\RIWKHILOLQJWKDW\RXREWDLQIURPWKHFRXQWU\UHFRUGHUWRWKH6WDWHZKHUHEHFDXVHLWLV
DOUHDG\ILOHGZLWKWKHFRXQW\UHFRUGHUILOLQJLQWKH6WDWHLVPDQGDWRU\
7KH ERWWRP OLQH RI WKLV HQWLUH PDWWHU LV WKDW E\ PHDQV RI NQRZLQJ DQG XWLOL]LQJ WKH ODZ
IXQGDPHQWDOO\FRQWUDFWODZDQGWKH&RPPHUFLDO0D[LPVRQHFDQQRWRQO\OLYHRXWVLGHWKHOHJDO
MXGLFLDOFRXUWV\VWHPEXWDOVRDFWLYDWHQRQMXGLFLDOUHPHG\VXFKDVVWULFWIRUHFORVXUHDJDLQVW
YLRODWRUV RI \RXU ULJKWV SROLFH MXGJHV DJHQWV DQG WKH OLNH ZLWKRXW LQYROYLQJDQG WKHUHE\
EHLQJ DW WKH PHUF\ RIWKH YHU\ OHJDOMXGLFLDOJRYHUQPHQWDO V\VWHP IURP ZKLFK RQH ZRXOG EH
IUHH
$OO RI WKLV LV DFFRPSOLVKHG E\ XQGHUVWDQGLQJ DQG DFLQJ XSRQ WKH IXQGDPHQWDO SULQFLSOHV
LQYROYHG 2QFHDJDLQ(PHUVRQZDVFRUUHFWZKHQKHZURWH
1RWKLQJEULQJVSHDFHDWODVWEXWWULXPSKRISULQFLSOHV
Footnotes:
3DJH RI
/LIH/DZDQGWKH8&&
8QGHUO\LQJ3ULQFLSDOV
[1][1] All wars of the 20th Century, in fact the last 100 years or so, are the result of the losing
countrys not having had an articles of agreement with the International Bankers. Phrased
another way, before a war the country that was the eventual loser of the war did not have such
agreement and after the country was defeated, it did.
[2][2] It is self-evident that if people restricted all of their interactions with others to win/win
games, peace and harmony would reign and not even an excuse for governments could exist.
[3][1] I Ching, Wilhelm/Baynes, Princeton University Press, Princeton, 1969, p. 232.
[4][2] Maharishi Mahesh Yogi on The Bhagavad-Gita, Penguin Books, Baltimore, 1969, p. 191.
[5][3] Lao-tzu, op. cit., Aphorism 8.
[6][4] Certification of an affidavit, i.e. third party witness, has been universally necessary
from inception, probably for thousands of years. The process began with someone who
personally knew an affiant, affirming that the name of an affiant was truly his and not that of an
imposter. This was to prevent fraud and forgery that would occur if someone other than the one
whose name was being signed was actually signing the affidavit.
[7][5] Attorneys, and those in the system, do not swear true, correct, and complete that
everything they state is the truth, the whole truth, and nothing but the truth. Rather, they
declare under penalty of perjury true and correct. By such means attorneys and officials have
self-granted authority for committing perjury by omission, i.e. uttering off-point irrelevancies
that may be deemed fictitious. Their intent is to trick, deceive, and intimidate people into
traversing, i.e. joining issue with the fiction, and thereby leaving their ground of truth,
sovereignty, and relevance and entering into the colorable, make-believe world of the legal
system where anything goes and the owners of the private law can make it up as they go.
The lives and destinies of the people are attached to this scenario.
[8][6] Remember that the system can deal only with abstract persons, e.g. your all-caps name,
so if no one can go against your all-caps name they cannot reach you.
[9][1] There are basically only four (4) categories of legal persons; all the rest are variations on
a theme of these. These legal persons are 1) corporations, 2) partnerships, 3) sole
proprietorships, and 4) trusts. The IRS Code at 7701(a)(2) lists seven (7), the additional three
(3) being 5) estate, 6) association, and 7) company.
[10][2] What is not well known is that Lewis Carroll wrote Alice In Wonderland as a satire on
the legal system.
[11][3] The entire governmental, legal, court system today is colorable, i.e. phony. It is a
domain of make believe, much like childrens games. In grade school, for instance, a group of
children might decide to spend their lunch recess playing such games as cops and robbers, or
3DJH RI
/LIH/DZDQGWKH8&&
8QGHUO\LQJ3ULQFLSDOV
cowboys and Indians. Such a scenario is characterized by fake shootings and feigned deaths,
together with arguments such as Gotcha, No, you missed, and other imaginary disputes.
The point is that once you agree to play the game by joining in the lets pretend, you have left the
real world and cannot invoke the rights and truth that obtain there. The point of the UCC
process is for staying out of the make-believe game. It is like sitting on the sideline and saying,
Thanks anyway, guys, but I dont feel like playing today. Mom fixed a great lunch and I think
Ill just sit this one out. Have fun.
[12][4] Never assume, especially when interacting in any manner with the Government. To
assume makes and ass out of u and me. Assuming that an interaction with the
Governmenta colossal win/lose Beastis bona fide and undertaken in good faith is delusion.
If one would assume, better one assume that the entirety of the system and all its interactions
with people are for increasing the scope of governmental power, control, plunder, and
enslavement at the expense of the people. Place the burden of proving good faith on the
Government; never assume that such good faith already exists or that anything in the systems
Alice-in-Wonderland world of make-believe is as it appears.
[13][5] By being placed in the jurisdiction of the colorable law of the 14th Amendment, the
blacks became colored. This term has nothing to do with skin pigmentation, only legal
characterization.
[14][6] The Secured Party is, in fact, an unlimited-liability being, and therefore outside the
domain of accessibility of the courts, government agencies, and legal system, all of which are
contractually confined within the domain of corporate limited liability, and must be insured and
bonded. In accordance with the 9th Commercial Maxim, Sacrifice is the measure of
credibility, whoever risks the most establishes the greatest credibility. The Secured Party is
thereby paramount over the entire third-party, limited-liability domain of laws, governments,
and courts.
[15][7] The Secured Party and Debtor are no more the same person than ones real self and
ones reflection in a mirror. If the Government is presumed as owning the Debtor, and thereby
possessing carte blanche capacity for doing as it wishes with its property, the mirror is a greatly
distorted one re the genuine nature of the real being, much like warped and wavy carnival
mirrors. Furthermore, the situation itself is warped inasmuch as a condition now exists by
which the reflection is presumed as the dominating entity, whereby the endlessly changing and
distorted image of the Debtor is re-imposed by force of law back onto the real being who is
therefore perpetually bent out of shape.
This scenario is reminiscent of an old joke concerning a man who desired a new suit but could
not afford one of his choosing, and went into a discount store. There was a suit of exquisite
material, but improperly made. One sleeve was considerably shorter than the other, while
3DJH RI
/LIH/DZDQGWKH8&&
8QGHUO\LQJ3ULQFLSDOV
likewise the pants legs were of different lengths. Other irregularities also existed. When he
tried it on it did not fit and looked terrible.
A clerk, however, pointed out that if he hunched up one shoulder, twisted his body, and leaned
sideways the irregularities were compensated for. The man bought the suit and walked out
dressed in it. As he was walking down the sidewalk in his highly distorted posture two ladies
pass by the other way. One says, My, look at that poor, deformed man. What a shame he is so
contorted.
Yes, replied the other lady, but dont his clothes fit him beautifully?
3DJH RI
/LIH/DZDQGWKH8&&
8QGHUO\LQJ3ULQFLSDOV