Cifuentes et al v. Regions Bank, No. 1:2011cv23455 - Document 43 (S.D. Fla. 2012)

Court Description: ORDER denying 18 Defendant's Motion to Dismiss. Defendant's Answer due by 7/11/2012. Signed by Chief Judge Federico A. Moreno on 6/19/2012. (mmz)
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Cifuentes et al v. Regions Bank Doc. 43 UNI TED STATES DI STRI COURT FOR THE CT SO UTH ERN D I STRI T OF FLO RI A C D M i miDi son a vii Cas Num be 11e r: 23455 CI M ORENO - VLAU RA YELI TZA CI EN TES a M EM E FU nd D E LA S M ERCED ES SI A CA STR O, LV Pl i if , a ntf s V S. REGI ONS BANK, De e nt f nda . O R DER DEN Y I G D EFEN D AN T' M O TI N TO D I I N S O SM SS Thi c s se sfom as c ii fau c i i c s br s a e tm r e urtes r d rm nal a e oughtbyt Se rte a Exc nge he cu iis nd ha Comm ison a i tt Def nt Re onsBa a ispa t r ,U. Penson Tr tCor a s i gans he enda , gi nk nd t rne s S. i us p. nd U. 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F1.Se . , . .525One y arlt r o oft De e ntsbusne spa t r ,USPT,wa f e a e , ne he f nda ' i s rne s s ound g ly ofunl uly uit awf l e agi i t s eofs c ii a a unr gitr ddeaera trac i na ti lbe or J ng ng n he al e urtes s n e se e l fe rmi l ra f e udgeJ éE. os M a tne i Se e r201 U S. c and Exc Comm ' v.U S.Pe i Tr s Co p. etal, ri z n pt mbe 0. Se . h. n nson u t r , . No. 0 -25 0 CI M ARTl ( D. a S p . 0 2 0 (f W U S Se . d Ex h Co n v U S 7 2 7 - VNEZ S. Fl. e t 3 , 01 )JJ . c an c . mm' . . Pe i Tr s Cor , al, 1 1 095( 1hCi. t26, 1)Asar uloft sr lng, udge nson u t p.et .No. 0- 5 1 t rOc. 201 ). es t hi ui J M a tne o de e U. Pe i ri z r r d S. nsonTnzt p. ndU. Coleg Tr tCor t digor $ m ilona s Cor a S. l e us p.o s ge 62 li nd pa $50m ilon i ci l li .d.Bas d on t sr i t ei nodiput t tUSPT a t d a a y li n vi penates I e hi ulng her s s e ha ce s n unrgitr dbr rde lrunderf dea lw, chha pr sonssmia t Fl Sttj51 1 1 e se e oke - ae e rl a whi s ovii i lr o a. a. 7.2() ( 1.Compl! 1 201 ) . 3. Anot r ye r lt ,i Septm be 2011 t Pli if fld t s one c he a aer n e r , he antf s ie hi - ount s tagans ui i t Dee d n fr i lto o Fl. ttj51 .2 1 ( 01 ) e urn s l r of e u iisob r gsee fn a to v oain f a Sa. 7 1 4 ) 2 1 rq iig el s s c rte t e e itrd e wih t saeofFl i ThePli if s ekr cisonoft i sm e plnst ypu cha e fom t he t t orda. antfs e es s i he nve t nt a he r s d r teDee d n, ln wi itrs a datn e sfe a p n te b Fl. a. 51 . 1 ()( 01 ) h fn a tao g t n ee t n to ay e s s e nitd y a Stt j 72 1 1 2 1. h Thepli if ' antfs compl ntaleg t i USPT' a tonsc tt edt s l ofs cu ii sasdefned ai l es hat f S ci onsiut he ae e rte i byFl i l t De e orda aw, he f ndanti t sc ewa as s li s urte a t r f evi aedt 1w n hi as s lo elng ec iis nd he e or olt he a by no r git i asa s cu ii s s l wih t sa e ofFl i The Cour hol t tt ne t e serng e rte eler t he t t orda. t ds ha he w pl i if have s a ng t as e tt s a ton a t tt s a ut oflm ia i doe no ba t ss t a ntf s t ndi o s r hi c i nd ha he t t e i t tons s t r hi ui f om pr e ng. r oc edi LEGAL DI SCUSSI ON 1 St ut ofLi iatt s W he Shoul Pl ntf s H ave D i co r Thei C l m . at e m t im : n d ai i f s ve ed r ai TheDef nda a gue t t hePli if' cto i bare byt t ye rsaut oflm iai ns e nt r s ha t a ntfs a i n s r d he wo a t t e i t to t ta i st t r s ison ofs c iis. hehe t Pli if ' es i so a ton i ba r d by t ha pple o he e cs i e urte W t r he antfs r c s i n c i s re he saut oflm ia i de ndsonwhe t Pl i if coul ors dha dic r dt f csgi ng t t e i ttons pe n he antfs d houl ve s ove e he a t vi rs t t sa i na e y,t tRe onss d ha be n r git r d asa s cu ii s s lrunde ie o hi cton, m l ha gi houl ve e e se e e rte ele r Fl i lw but not Unde t Fl i Se urte a l sorPr ec i Actapl ntf ha t orda a was . r he orda c ii s nd nve t ot ton , ai if s wo ye r fo t daeofdic yt fl isco ai .Fl Stt j95. 14)e ( 1.Thecoc o a s r m he t sover o ie t mpl nt a. a . 1 ( () 201 ) l kn a r cison c am sa t nlmi 'fom t tme t f t gi ng rs t t ca e ofa ton wer es s i l i t rs l ng 'r he i he acs vi ie o he us ' ci e dicove e ors d ha b n dic r wih t exe c s ofduedii nce.' K L. v Fou s r d houl ve ee s ove ed t he r i e lge ' GL ' P. . r Se s Hot Lt 22 So.3d 635,637( a.d DCA 2009) Unde Fl i lw,'helmiatons a ons el d, Fl 3 . r orda a ' i t i t pe i b nst r n a s as' pl i ifha a ualorc tu tve knowldge ofonl t f c s rod egi o u s oon a antf s ct onsr c i e y he a t f mi t bassofhi c eofaci a notha oft ca eofa tonis f'I ( otngBe k or ng he i s aus ton nd t t he us ci tel ' d qu i c s ' v Emey- c ds I . 1 W L 303548 * ( D.Fl.Dec. 1 1 0). . r Rihar on, nc, 990 9 S. a 2 , 99 ) ThePl ntfspr et ditnc da e f ai if opos wo si t t s orwhe t l be nr nni n hecock ga u ngont i es s i herr cison cli .The Pli if pr e eiher Se embe 21 2009 whe t SEC e er d i o a c e am a ntfs opos t pt r , n he nt e nt ons nt j d me t t Re in f r iiga da et gi tes l o s c rte b a u e itrdd ae, r u g n wih go s o adn n b ti n h ae f e u iis y n nrgsee e lr o n Se embe 30, 0 whenJ pt r 201 udgeM a tne r l d t tUSPT ha be n doi busne sa as u ii s ri z u e ha d e ng i s s ec rte s le ndwasr quie t ber git e unde ordalw. t natvey,heDef nda pr pos st t e lra e r d o e ser d rFl i a Aler i l t e nt o e ha t c oc be n r ng on t l t da e t i t e pl ns w e e s d t t m e be s oft he l k ga unni he as t he nvesm nt a r ol o he m r he pr e Pl i ifcls . r a et pos i ltesf t sls da eofs e bot ofwhih pr c opos d antf a s The e r wo sbiii or hi a t t al, h c e ede t Pl n if ' opos da es The Def nt opos eihe hel tda eon whi h i s m e pl ns he ai tf s pr ed t . enda pr es t rt as t c nve t nt a - 3- we es d t ne i t s J nu y2008,o t l tdat on whi Re onsac e e c rbutons r ol o w nvesor , a ar r he as e ch gi c ptd onti i t t pl ofc r nti t s Augus 2009.I t sCour a e sone oft Pl i if ' o e o he ans ure nvesor , t f hi t cc pt he antfs pr pos d da e ,he t s t stme ywhe iwasfldon Se e be 21 2011 buti t sCour a e sone t s t n he uiwa i l nt ie pt m r , , f hi t cc pt oft Def nt da e t n t s tw a not he enda ' t s he he ui s . s l s n uppor ofis pr t t opos d da e ,t D e e anta gue t tt f t oft sc ear a n t e t s he f nd r s ha he ac s hi as e ki o t ei GLK L. v Fou Se onsHotlLt 22 So.3d635,637( a 3d DCA 2009)i whih hos n P. . r as e d, Fl. n c bu r o co m i u u t s ught or s i t i c esf ye s f ndo ni m nis o t e cnd herpur has ourye r lt rba e upont s le ' as ae s d he e lrs f l e t r git t unisas ' e ii ' a r quied by Fl i lw .The sa e a lt c t aiur o e ser he t ' curtes' s e r s orda a t t ppela e our a fr d t dim is loft c pli t hol ng t tt f c sgi ng rs t t tr cison cli fime he s s a he om a n , di ha he a t vi ie o ha es s i am oc ure ont daeof a ebe aus t l c ofr gitatoncoul ha be ndicove e byt buye s c r d he t s l c e he a k e sr i d ve e s r d he r on t tda The c tf ha y. our ound t tt s lr c d notc ea t f tt t unis we e not ha he ele oul onc l he ac hat he t r r gitr ass urte , t c d notc ea t ca eofaci fom t pl i if . eFou e se ed ec iis and hus oul onc l he us ton r he antfs Se r S a o s 2 S . da 6 7'wlt tee ecs o d ed l e c ,plitfs c ul h v d s o rd e s n , 2 o 3 t 3 ' ih h x r ie f u ii n e ( an if) o d a e ic vee l g t aleg s cu ii svi atonsa t tme oft ta a ton a / wihi t t y rsaut of he l ed e rte ol i t he i he r ns c i nd or t n he wo- ea t t e lmi to s'. ec u t ee tdt panif' r u n ta i wa d fiutf rt m t a c ran i t in .) Th o r rj ce he litfsa g me t h t t s ifc l o he o s e ti a ' whatc tt es a s curt sa i t tt pl ntfs coul ha e c s due dii e a onsiut e iy, ttng ha he ai if d ve xer ied lgenc nd dic r d t tt c s ove e ha he ondom i um swer s c ii and t e or r r d t ber git r d wiht ni e e urtes her f e equie o e se e t he sae.FourSe ons 22 So.3 a 637- TheDe e nti t i t ntcas pr s t sCour t tt as , d t 38. f nda n he nsa e es es hi to i e e FourSe onst havec e t d abrghtlner l t tnon-egita i cai sbe n t nm a nt mr t as o rae i i u e ha r sr ton l m gi o t t tm e ofs e oft s iy. he i al he ecurt TheD e e nta s t t ta t tm et Pl i if pur ha e t i s m en pl ns t y ha f nda s ers ha t he i he a ntf s c s d he nve t t a , he d al t i or a i nec s r t de e m i i t e pl ns w e e s c ii a i R e ons w as l he nf m ton es a y o t r ne f hes a r e urtes nd f gi - 4- r git r d a as curte s le . cor ngl t De e e se e s e iis e lr Ac di y, he f ndantur st sCour t a yt a l i of ge hi t o ppl he nayss Four Sea onskt a t tm e of s l t Pl ntfs c d ha e r ie d dii nc a s hat t he i ae, he ai if oul ve xe c s d ue lge e nd dicove e t t hei sment a we es c ii a t ther f eRegi wasas c ii s le s r d ha t nve t plns r e urtes nd ha t e or ons e urtes e lr t ts d ha bee r git e wiht sae. ha houl ve n e ser d t he t t Anal ogoust t FourSe onsdef ntwhocoul o he as enda d no c e t tt c t onc al ha he ondom i um swe e unr gitr d a s urtes De enda a gue t ti co d ni r e se e s ec ii , f nt r s ha t ul no c e t f tt ti wa notr git r d asa s lrofs curte wih t sat ofFl i . t onc al he ac ha t s e se e ele e iis t he t e orda ThePli if ditng s t rr c s i c am i t i t ntc efom t ti Fou Se ons antfs s i uih hei es i son l i n he nsa as r ha n r as f t r a ons Fis ,heyr y o t FourSea onsr lng t tadim is ba e on t saut of or wo e s . r t t el n he s ui ha s s al s d he t t e lmia i i pr peronl i t Pl ntfs a e d c pli a fr a i y pl f t c l i y i t tons s o y f he ai if' m nde om a nt fim tvel ed ac s oncusvel esabls ngt saut oflm ia i asade e e andt i c t ihi he t t e i ttons f ns , her ompli doesnot Se ond,he a gue ant . c t y r t te c i Pl ntfst havebe a et detr i t Re onss dha bee r se e a ha xpe tng ai if o en bl o e m ne hat gi houl ve n egit r d s a s c ii s le goe be e urtes e lr s yond t due dii nc t tc d be e he lge e ha oul xpeced ofPli tfs t a n if . A.Pl ntf s af i m atve y pl d t t y w er una ar oft f s gi ng r s t ai if f r i l e hat he e w e he act vi i e o t r cause ofact on hei i l dimisn teFo rSe s n p an if'e cs incam,h t o r sae t t'a c u t n s s ig h u a o s litfs rs iso li ta c u t ttd ha ' 1 o r ( ma g an amotont dimi sba e ont sa ut oflmia i ' yi e r or na ycic sa e y r t i o s s s d he tt e i ttons onl n xta di r r um t ne s whe e t f d s cons iutng t de e e a fr a i l a a on t f c of t com pl i a r he a tt i he f ns f im tve y ppe r he a e he a nt nd esa ih concusvel t tt sa ut of lm ia i ba s t a on as a m at rofl w.'Four t bls l i y ha he tt e i ttons r he di te a ' ' Se ons 22So.3 a 63 37( tngSal dsCon As nv.Mc y,972So. 230,231( a as , 4 t 6- cii t pon do. s' co 2d Fl. 3 DCA 2007).ThePli if ditng s t ra ndedcompli fom t c 4 ) antfs si uih hei me ant r he ompli i Four ant n Se on o t ba i t tt i com pl ntpr ry pl a t tt y di not as s n he s s ha he r ai ope l e ds ha he d know t f c sgi ng r s he a t vi i e t t i c us ofa i att tm e ofs e oft i s m e pl ns By con r t t Four Se on o he r a e cton he i al he nve t nt a . t as , he as s - 5- c twa hn snmg b t f c t tt compl nti t c e al ge t tt pl ntfs' t our s m t y he a t ha he ai n hat as le d ha he ai if ' he had doc e sc ani t nec s r f c ua i or a i t f m t ba i oft i c us ofaci n by um nt ont i ng he es a y a t l nf m ton o or he ss her a e to t e tm e oft J y 23,2004 tans to 'See Four Se ons 22 So.3d at637.Si e t Four h i he ul r aci n. ' as , nc he Se ons pl ntfsha pl di t i c as ' ai if d e n her ompl ntt tt ypos e s a l a ualnf nna i a t tm e ai ha he s s ed l f ct i o ton t he i ofs l t de e nts sat e oflm ia i de e e wa a fr i l pr s nti t pl di . ae, he f nda ' t ut i ttons f ns s fimatvey e e n he ea ngs The e or t Four Se ons c pli pr de t nec s a y f c s f a sat e of lm ia i r f e he as om a nt ovi d he e s r a t or t ut i ttons de e eby t FourSea onsde e nt Bycontas, hePl ntfsi t i t ntca ea fnnai y f ns he s f nda . r tt ai if n he nsa s fi tvel pld i t rco aitt tt y di notknow t f c sgi ng rs t t rca e ofa i be or e n hei mpl n ha he d he a t vi ie o hei us cton f e J dgeM a tnezsr i i Septm be 201 The e or t Pl i if ar uenosa ut oflm ia i u ri ' ulng n e r 0. r f e,he antfs g tt e i ttons d fn e'fimai eya p all i terc mplita i ddi t eFou S a o sc s . ee s ' fr tv l p e rs' n h i o an s t i n h a ' r e s n ae B. Pl ntf sc d notha know n t R egi w as e ai if oul ve hat ons ngagi i bus nes as a s le ng n i s e lr ofs c i i s att tm e ofs e o t i s m ent pl e ur t e he i al f he nve t ans The Pl i if c edet ta de e m i ton ofwhehe a pa tc a i sme i tu e antfs onc ha t r na i t r riul r nve t nt nsr m nt f lsu rt defnii ofas cu iyc nnor a l b deenni dbyr e e t t docu e aton a l nde he i ton e rt a m ly e t ne ef r nce o he m nt i pr de t e f ct t t tans ton.FourSe s ,22 So.3d a 637 38. Thi docu e a i ovi d o fe ua e he r ac i a ons t s m nt ton pr de t Fou Se son pli if wih t ne es a y i or i a ovi d he r a s antfs t he c s r nf maton boutt i s urte t i or her ec iis o nf m t hem oft i c am ,butPli if 'a gue t docume ai i t i t ntc e c d notha her l i antfs r he nt ton n he nsa as oul ve pr ded s fcinti or ton r ga di Re ons c a sfc i a a s urtesde l r Pl ntfs ovi ufi e nf ma i e r ng gi ' l s iiaton s ec ii a e . ai if con e t atdue dii e c d notha 1 d t m t a c rai t tRegi wa e t nd h lgenc oul ve e he o s e t n ha ons s ngagi i ng n busnessasan unr s er selerofsecurtesbecaus t cl ii i dependsupon a m yrad of i egit ed l ii e hat ass fcaton i f t be ac s yond t docum e a i oft i s m ent a t s ves ThePl ntf s a g e hi s he nt ton he nve t pl ns hem el . ai if ' r um nt nge o t t or t ta t n he he y ha lhough t i ntfca i ofa i t e i t um en a a s urt c be m ade he de ii ton n nvesm nt ns r t s ec iy an ba ed on isdoc e a i t i ntfcai ofac por t entt asa s le ofs c ii c nnot s t um ntton, he de ii ton or a e iy el r e urtes a . The Pl i if a gue t ti ntf ng Re onsasa s c ii ss le r quie a c antfs r ha de iyi gi e urte e lr e r d omplc t d ia e lgaldee m i ton i vi i o m a i a e tr na i nvol ng nf r ton boutRe o t whi h t Pl ntfshadno a ce sa gi ns o c he ai if c s nd t r f ewa be he e or s yondt Pli if 'e ht a c ran. Pli if poi t t lngt tilbe or he a ntfs r ac o s e ti The antfs nt o he e hy ra f e J udgeM a tne on wheherUSPT,De e ntspa t r wa a s c ii ss le ase de e oft ri z t f nda ' rne , s e urte e lr vi nc he co plc t d a yss r quie t i ntf wheheran entt i ori note m i a e nal i e r d o de iy t iy s s ngag i t s e of ed n he al s urte .The Pl i if ditng s t i cl m fo Fou Se ons on t ba i t tt y had no ec ii s antfs si uih her ai r m r as he ss ha he r s oknow t t ea ont ha Regi wasa tngasas le s c ii suntl udgeM a tne is dhi r lng ons ci e lrof e urte iJ ri z s ue s u i t tU SPT wasdoi busne sa ade e enga d i t s eofs curtes orale nai l whe ha ng i s s alr ge n he al e ii , tr tvey, n te S e trd it a c n e tj d me twih Re insf radn a a etn US J d e h EC n ee n o o s n u g n t go o iig nd b tig PT. u g M a tne r l dt tUSPT wa e age i t s l ofs urtes t r puti Pli if on notce ri z u e ha s ng d n he ae ec ii , he eby tng a ntfs i ta Re in mih b ca sfe lk wie o l a tr r smo in f r u r u me t n af l h t go s g t e lsiid ie s , ny fe cos- to s o s mmayj dg n a d ul ti lThePl ntfsa guet e ra . ai if r hat xpeci t m t ha c tng he o ve ondu e t s m ea yssasJ ctd he a nal i udgeM a tnez ri di f USPT goesbe d or yond t duedii ncesa r f a r s ison cli . he lge tnda d or e c s i a m The Cour a e wih Pl ntfs a ysst t sa u e oflm ia i doe notba t i t gr es t ai if ' nal i hat he t t t i ttons s r her ca e ofa ton be aus t Pl i if c d nothav be n a r oft i cai on t dae ofs l us ci c e he antfs oul e e wa e her l m he t ae oft i t e pl . The e ri tpos i e a iabl dat f t sat e oflm iato wa he nvesm nt ans a les sbl pplc e e or he t ut i t i ns s S pe e 21 2 0 wh n t eSEC fl s i a an t a d e tr d it a c n e tj d me twih e tmb r , 0 9 e h ie ut g i s, n nee n o o sn u g n t , Re ons f ai ng a abetng i t s l of s urte by a unr se e deaer USPT. gi or di nd ti n he ae ec ii s n egit r d l , Ac r ngl t Pl ntfs flng oft ss twastm ey. co di y, he ai if' ii hi ui i l I .St ng I s ofN e l N am e Pl nt fs:W he her Subs iuton i Per it d 1 andi s ue wy d ai i f t tt i s m t e N a e Pl i if a e bot r i nt ofCol bi a a e t o s v vi f m iy m e be sof m d a ntf s r h es de s um a nd r w ur i ng a l m r Gui E.Ciue eswho opene an i t e pln wih Regi durng t tme i q ton. do f nt d nvesm nt a t ons i he i n uesi Compl ! 2 n..M r Ciue espa s a i esat on Dec mbe 7,2009.I The orgi l . 1 . f nt sed way nt t e e r d i na c ompl n na e t sblngsoft de ea e M r Ciue e asPli if be us Pl i if ' ouns l ait m d he i i he c s d . f nt s antfs ca e antfs c e beleve t tt s i vi s i rt M r Ciuen e 'cli unde Col bin i e t c lw. i d ha he e ndi dual nhe ied . f t s a ms r um a nt sa y a Howe r Pl i if ' ve , antfscouns ls e ntyc m et a ec aet tt ri e pr t tonofCol e ubs que l a o ppr i t ha hei nt r e a i umbi n a lw ha be n m itke The deer ned t tM r Ciue e 's vvi s a d e sa n. y t mi ha . f nt s ur i ng pous a da ht r ha e nd ug e s d il ie hi cai a Pl ntfs c elha fl a amende c r td s l ms nd ai if ' ouns her s ied n d ompli r feci t s ne ant e l tng he e w n d Pli if a a m oton t pe mi t s s tt i A sandi i s a ies fom t s ame a ntfs nd i o r t hi ubsiuton. t ng s ue rs r hi s tt to ofn Pl i if i t a e d c pl ntbec us t new Pl i if do noti ude ubsiu i n ew antfs n he m nde om ai a e he antfs ncl a y me be st twe epa t t orgi c n m r ha r r of he i nal ompli . Def nta guest tt sa ngis ant The enda r ha he tndi s ue rs st t l lofaf iur unde Ari e I1oft U. Consiuton,whiet Pl i ifc e ie o he eve al e r tcl I he S. tt i l he antf ontnds t t mit en i nttca i c n be e sl core t d wih s tt i underFed.R. v.P.1 hat he sak de ii ton a a iy r c e t ubs iuton Ci 7. The Def da a guest att pr vi l name Pl ntfs lc sa ng bec us t en nt r h he e ousy d ai if a ked t ndi a e hey nev nhe ie t lga cl msoft de de . eri rt d he e l ai he ce nt Oncet t orgi Pli if a er m ove f a he wo i nal antfs r e d orlck of sa ng,De e nta gues no orgi lPl ntfs r i who ca m a t a dm e t tndi f nda r i na ai if ema n n ke he men nt o s tt et new Pli if . f ndant ar um e hi ubsiut he antfs De e ' g nt ngesonwhehe a e e oft c pli s t r m ndm nt he om a nt rq ie t a teo iia Plitfsh dsa igt i o et ec u t j rs ito o i oh rwo d , e urs h th rgn l anif a tndn o nv k h o r' u idcin, rn te r s s whehe s tt i u t r ubs iuton nderFe R.Ci P.1 i av l e onl whe t orgi lpl ntfsha d. v. 7 s aiabl y n he i na ai if ve sa ng. ai if 'es t ndi Pl ntfsr pondt tt ne yna e Pl ntfsha acl ei iyofi e e t t t ha he wl m d ai if ve os dentt nt r s wih he pr ornnm e pl ntf s bec us t y a1 r pr s ed t r ght of t e t t of M r Ciue e a i d ai i f a e he 1 e e ent he i s he s a e . f nt s nd t r f e t c ts d pe m i t s tt i n. he e or he our houl r t he ubs iuto A . he he Fe R. i P.1 s tt i ofparte i a l eonl w he t or gi W f r d. C v. 7 ubs iuton i s s vaiabl y n he i nal - 8- pl nt f has s andi ai i f t ng TheDee d n ag e t t t l llsa dn i aj rs ito a rq rme tta mu tb fn a t r u s ha Ari e I tn ig s u idcin l e uie n h t s e c s tsi dbyt orgi c pli , b t a e a ife he i nal om a ntnot y he m ndedc ompl n , t tt e se ofsandi ait and ha he xit nce t ng i d tr n da o ted t as ii tld fua v Dee d r o l l , 0 U. 5 5 5 0( 9 2 . s eemie s f h ae ut sie . j n . f n e s fWidfe 5 4 S. 5 , 7 1 9 ) Ac r ng t Def nda ,t onl r c s f t ne y na e Pl i ifi t fl a ne s t The co di o e nt he y e our e or he wl m d antf s o ie w ui. De e nta gue t t c mon t me i Fe R.Ci P.1 c e 1 i t ts tt i i f nda r s hat he om he n d. v. 7 as aw s ha ubsiuton s pe m itdwhe et r hasbe n no ga i Aril llsandi I t i t ntc e, f nda aleg r te r he e e p n tce I t ng.n he nsa as De e nt l es a ga e se bewe n t flng oft s tby t orgi ly name Pl i if a t at m ptd p xit d t e he ii he ui he i na l d antfs nd he te e s tt i ofne Pli if .The De e nta guest tFe R.Ci P.1 ca ubs iuton w antfs f nda r ha d. v. 7 nnotbe us d t e o E x n t es b e tmatr u idcino fd r l o rs' n t a t eRul S s b ra wiht e k pa d h u j c te j rs ito f e ea c u t'a d h t h e t t e e d t h e mu lmiain ta t sc u tmus a a mi mu h v s be tmatrj rs ito o e t o ii a i tt h t hi o r t t ni m a e u j c te u id cin v r he rg n l o cai 'fieEnt tv Di x,I .300F.Supp. 1 1 ( D.Fl 2003) l ms. v m' . ge nc, ' 2d 273,279 S. a. . TheDee a tc aa trz st efcsi t i c s a smia t t s i Su t x c Pa k fnd n h rceie h a t n h s a e s i lr o ho e n mmiO e r , I .v US.Ste Cop.63 F. 1 ( hCi.Marh 1 1 1,i whihadecsonbyt U. nc . e l r , 9 2d 278 5t r c 9, 98 ) n c ii he S. Supr me Cour e l e t xcuded c ti pli if ,s h a Sum mi Ofs e Pa k,fom ha ng a c us of era n antfs uc s t tc r r vi a e a ton unde f de a a ir tlws a c nge t c us of a ton a ia e t o he pli if . ci r e r l nttus a nd ha d he a e c i val bl o t r antfs S mmiO /c Pa k 63 F.da 1 8 .Reyngo t eU. S p e Co r'r ln ,h dsrc c u t u t f lc r , 9 2 t 2 0 li n h S. u r me u t uig te itit o r s dim is d t c s I a fr ng t dim is l t a lt c tnot t u que s oft s s e he a e. n fimi he s s a , he ppelae our ed he ni nes he pr e al sor oft sc s i whi h 'heorgi lpl i ifwasl twih no c us ofa tonupon oc dur hit y hi a e n c ' t i na antf ef t a e ci whih i coul r c r a t r ul of a i e v ng Supr m e Cour de son. 1 at l . c t d e ove s he es t n ntr eni e t cii ' d. ' 282 N on t l s t Fi t Cic t d t t' he e apl ntf ne rhad s a ngt as e t c ai a i t e he es , he fh r ui hel ha ' r w ai i f ve t ndi o s r a l m ga ns t def nt ,i does not ha s a ng t am e t c pl nt a c r t ltga i by he enda s t ve t ndi o nd he om ai nd ontol he ii ton - 9 - / s tt i ne pl i if , ne cls , nd ane c eofa ton. f a 1 ubsiutng w antfs a w a s a w aus c i ' #. t 283. c t e oned ' The our r as t tt dimis loft prorpli tfsmea 'her wa no pl i ifbe or t c twih avai ha he s s a he i a n if nt ' e s t antf f e he our t ld c us ofa ton, a t e or 'he ewasnopr a e ci ' nd her f e ' r ' t operpa t aval bl t amendt compli . I a ry ia e o he ant' d t ' 1282. Th Plitfsi t isa tc s ag ta S mmi O/c Pa ki ia pia eb c u e e an if n he n tn a e rue h t u t / e r s n p lc bl e a s t a he mende c d ompli i t tc enotonl s tt e ne pa tesbu i ve 'he ant n ha as y ubsiutd w ri t nvol d ' t s tt i ofa en iel ne ca eofa ton, ne cas ,a ne pli if by t o i na ubsiuton n tr y w us c i a w l s nd w antfs he rgi l pli if'1 a 1 antf. d. t 280. Pl i if ur t sCour t ditnguih t lmie s tt ton ofnew ' The antfs ge hi t o si s he i t d ubsiu i plitfsi t ei sa t a efo wh t h ylb lh tio y o c a g sf u di Su tO/c an if n h n tn c s r m a t e a e te rlg f h n e o n n mmi / c Par new cls , w aci a ne pli if.d a 1 (' onl prpe wa acam c d k: a s ne ton nd w antfs I t 284.' The y o r y li oul bem a wast fl ane c de o ie w ompli wih ne pl i if ,ane c a s a ane ca eof ant t w antfs w l s , nd w us a ton.)l tad,hePli if postt tt mor r e ntElve h Cic tca ei Det Coal ci '.nse t antfs i ha he e elva e nt rui s s la ' Pr gr v Li o am . bman,7 F. 85 ( 1hCi.1 i whiht orgi pl ntfswe e 43 2d 2 1 t r 984) n c he i nal ai if r s tt t d, t c a s ca eofa ton a u ryi f dsr m anedt s m e. l Det Coal ubsiu e but he l s , us c i nd nde l ng a e i he a n la , t i vi lpli if a a lm iedpa t r hi fl s twiht pa t r hi r pr s ntngt wo ndi dua antfs nd i t rne s p ied ui t he rne s p e e e i he i e e t ofo he sno i vi ly na e t c t mit t i vi lpa t r t be nt r ss t r t ndi dual m d; he our per ted he ndi dua rne s o s tt e i f t pm ne s p oncet cour de e m i d t tt pa t r hi eoul nota s r ubsiutd n or he r hi he t t r ne ha he rne s p d se t a ca mso isownbeha f Dela Coal 7 F. a 852. Dela Coalc te iil ny li n t l. t , 43 2d t The t our xplc ty n ro dt ea p iaino S mmiO/ ePa kt i sa c si whihaplitf wh lc s ar we h p lc to f u t /c r o n tn e n c anif o a k sa ng s e t s tt enotonl new pli if ,butalo ane cls a anew ca e of t ndi e ks o ubsiut y antfs s w a s nd us aci l a 857n. ' r by co r s,t ope a i f csa t ca eofa ton a enot ton. d t 6.' e, He nta t he r tve a t nd he us ci r c ng butonl t f m al na e pl i if Fe R. v. . 1 a)wasi e dt e e t ha ed, y he or ly m d antf . d. Ci P 7( ntnde o xtnd o pr ciel t ski ofst ton, o e ur t tt s ti pr e e by t onepos e sngt e s y hi nd iuai t ns e ha he ui s os cutd he s s i he rg s tt be e or e '1 i ht ough o nf c d. d. ' TheDef nda a tmpt t ditng s Dela Coalfom t i t n ca e ont g ounds e nt te s o si uih t r he ns a t s wo r . Fis,i De t Coalt oft org na pl i if ha sa ng e n bef et s tt i a r t n la wo he i i l antfs d t ndi ve or he ubsiuton nd t u h dsa dn t iv k tec u f j rs ito t ma etes bsi to TheDe e d n h s a tn ig o n o e h o rs u idcin o k h u tt in. u fn a t a g t tDet Coallmiss tt i t c esi whih a l s oneorgi pl ntf ar ad r ues ha la i t ubs iuton o as n c t ea t i nal ai if le y ha sa ngt brng t a ton a t r f et a k f as tt i . l at85 l t i tnt d tndi o i he c i nd he e or o s or ubsiuton d 2. n he nsa ca e, hene Pl i if c e t tt orgi lPli if lcke sandi l vi no o fo s t w antfs one de ha he i na antfs a d t ng,ea ng ne r m t org na c pli wih sa ng t fl a a he i i l om a nt t t ndi o ie n mendme .Howe , a or la gum e Pl i if nt ver t a r nt a ntf a gue t tt rcai s tsi st ir duci er r m e sofco tt i sa ng, and w hat r d ha hei l m a ife he re bl equie nt nsiutonal tndi i i diput i me ey pr nta sa ng.The ir duci e r quieme sf c tt i l s n s e s r l ude il t ndi re bl e r nt or onsiutona sa i gaea t a o i n n ij r , a aina dr d e s blt Hol o Mo ieEsatsv tndn r cu l r mmi e t nu y c usto n e r s a ii y. l ywo d bl t e . Semi eTrb 641F. 1 9,1 ( 1h Ci.2011.Pnz nta sa ngis a iewhe a nol ie, 3d 25 265 1 t r ) de il tndi sues rs n pa t s tsi t c tt i lelm e sbutt r a ea tonalf t spr s ntt tdic a ry aites he onsiutona e nt he e r ddii acor e e ha s our ge tec u tr m a s migj rs i o o rtea to FDI I s Cop. . re 8 7F. 1 8 , h o r fo su n u id di n ve h cin. C n . r v Mo ly, 6 2d 3 1 1 6( 1hCi.1 . oft s fcor,f ndi t prs ntca e i t ase tonoft r 38 1 t r 989)One he e a t s ou n he e e s , s he s ri hid pa t rg si t d ofi vi ll lrg s The Pli tf a g t tt st ofpr nta ry i ht nsea ndi dua ega i ht . a n if r ues ha hi ype ude i l sa nge r c bec r ctd t r tndi ror an ore e h ough s tt i a doesnotr quie rs t t lvelofa ubsiuton, nd e r ie o he e de e ti c tt tonalsa ng. f c n onsiu i t ndi Se nd, heDe e nta gue t tt ne pli if i Dela Coalwe et i vi l co t f nda r s ha he w antf s n t r he ndi dua pa t r t thadbee r pr e e by t parne s p and t t ewa a i iy ofi e ess rne s ha n e es nt d he t r hi hus her s n dentt ntr t be we n t ol a ne pli if .l t i t ntca e t Def nta gue t tt o i nal t e he d nd w antfs n he nsa s , he enda r s ha he rgi Pl n if di notr e e t i e e t oft ne Pl i if ,a t e or t r i no i ntt of aitfs d epr s nt he nt r ss he w antfs nd her f e he e s de iy i e es be wee t ol a new pl i if .Howe r t Pl ntfs convi ngl r butt s ntr t t n he d nd antfs ve , he ai if ' nci y e hi a gume by s iyi t tt rght t tbot t o1 a ne pl ntfss k t as e tbeongt r nt pecf ng ha he i s ha h he d nd w ai if ee o s r l o t esa eofM r Ciue e ,a t r f ea i ntt ofi e e t e ss I ot rwor ,bo h t he tt . f nt s nd he e or n de iy nt r s s xit . n he ds t he orgi a a e d c pl n sa ea t i nal nd m nde om ait r tempt t adva et rgh soft s dec den ;t so nc he i t he ame e t he onl dif r nc se sfom t i ntfc ton ofwho a t ly i rtd t powe t a s tt e y fe e e t m r he de ii a i c ua l nhe ie he r o s er hos rg su rColm bi lw . iht nde u an a Fi l t De e naly, he f ndants ubmisanot rElvent Cic tc s Par s Cr aton ,I v t he e h r ui a e, adie e i s nc. . Uvsals I ,31 F.d 1 1 07 0(11hCi. e, nc. 5 3 304, 3 -1 t r 2003) i whiha admi srtvel dis v ,n c n nitai y soled c por ton fl s tf pa e i rnge t The c por ton a it d t ti l c d sa ng a or a i ied ui or t nt nfi men . or a i dm te ha t a ke t ndi t t tm et s twasfld, a gue t Fl i sr valsa ut r toa tvel c e r d he i he ui ie but r d hat orda' evi t t e e r c i y onf r e sa ng. abl t sc e di noti ves tt i n unde Rul 1 butr t ra tndi Not y, hi as d nvol ubsiuto r e 7s a he n i e pr t to ofsandi f r i t t cor a i u rFl i lw . c tr e a ntr e ai n t ng or e nsaed por tons nde orda a The our uld sa ng de e unde t e cr m sa escoul notbec e ' trt i e i oft lws t' t ndi f ct r hes icu tnc d ur d ' e he nc pton he a ui' af a dp e l d dtes be tmatr u idcin o tec u t v rt ep tn s i.d a 1 0(' e n rcu e h u j c- te j rs ito f h o r o e h ae t u tI t 31 'h t a lnti t sc e hed no enf r a erght wha s ri t pa e a t tme i fld s t ppela n hi as l o ce bl i s toeve n he t nt t he i t ie ui, a dte eo elc e ac g z beij r n c sayt a s r sa dn u e Aril 1I ft e n h rf r a k d o nia l nu y e e s r o se t tn ig nd r t e l o h c Consiuton.) Howeve,t Elve hCic tsr lngi Par s Cr aton ha lmie tt i '. ' r he e nt r ui' ui n adie e i s s i td ap iabiiyt t c s be or t sc t t Elve h Cicui famed t ' ol is on plc lt o he a e f e hi our as he e nt r t r he ' e s ue s a al t be ' he he a s a e com or t r vals a ut ca r t oa tvel conf rA ri e I I ppe ' o ' t r t t ' w a e evi t t e n e r c i y e tcl l sa ng whe ei di note s a t tmet compl ntwastld. 1 a 1 t ndi r t d xit t he i he ai ie ' d. t 309. ' B.W het s t t i shoul be perm it w hen an honestm i ake i m ade and her ubs i uton d t ed st s t edee da i n tp eudie b s h s bsiu in h f n nt s o r j c d y uc u tt to Putn a ieDet Co l n Su tO/c Pa k a lato ec s i t i d srd ha h l ti g sd la a a d mmi / e r , t e s n a e n h s iti s ed t ne pli tfsc dbe s tt e f orgi lpl i if who lc sa ng i t hat w a n if oul ubsiut d or i na antfs a ked t ndi f he ew ne de i ton wasan ' l ous sgnai ' hones mit ke. J s Vent e ,L. v Ti Avi i Ser . t sa ' ame ' ur s P. . mco aton v l .2008W L 89571 *4( . zoo8lde i s tt i ofpli ifwhoha bee a sg nc, 4 Apr 2, t nyng ubsiuton antf d n s ined rghtt i mnii a i be us ' de e mi ton oft pa t wih sandi t s wasnot i o nde fc ton ca e a t r nai he ry t t ng o ue difc t'.'M ode de sonsaei i t belnintwhe anhone tmitkeha be nma fiul.) ' ' ' m cii r nclned o e e n s sa s e de i c i t pa t i whos na et a ton i t befld' nd ' pr ventf f iur whe n hoosng he ry n e m he c i s o ie a t e o ore t e n deer i ton oft p operpa t t s i difc torwhe e a unde sanda e mit hasbe n t m na i he r ry o ue s fi ul r n r t bl sake e ma 'I (ii Fed.R.Ci P.l ( s yCo teeNoes 1 Amendme l. de.'d ctng ' v. 7 Advior mmit t , 966 nt) Dititc t ele x ha a s ' lowe f s tt i whe amit kehasbee src ours s whe e ve lo ' l d or ubsiuton a n sa n m a ast t pe s n e il t brngs ta s h s tt i wilnotat rt s t nc of de o he r o ntted o i ui nd uc ubsiuton l le he ubsa e t a ton. Par B.Smih v.CHF I s I . 81 F. he ci ' k ' t ndu ', nc , 1 Supp. 766, 2d 773-4 ( D. Y. 1 7 S. N. 201 ) ( r ti s tt i oftueowne ofpae twhe orgna plitf dic r idi no own pemitng ubsiuton r r tn n ii l anif s oveed t d t i) Se alo I r ViendiUnie s ,S. Se s Lii ,605F.Supp. 570,584( D. Y. t. e s n e v v r al A. c . tg. 2d S. N. 2009) ( r ti s tt i oforgi pli if wholc d sa ngont basst tasa ng pemitng ubsiuton i nal antfs a ke tndi he i ha tndi dee ta t c fc t he omme eme ofs tdoesnotr r dimis loft a i .M oea nt t nc nt ui equie s sa he cton) r ki o he fcso ti c s i Cr w o dSu pl Gr v La al Ba k 2 1 U. Dit L xs4 91*1 ( D a t f h s a e s a f r p y p. . s l n , 0 0 S. s. e i 6 e 1 N. . 11J n.2l 201 )i whiht dititc tpemit t pli if t s tt et na oft 1. a , 0 n c he src our r ted he antfs o ubsiut he me he e c o ofa e t t whe t co pl nthad e r ous y na e t e t t di e ty, hol ng t t xe ut r n s a e n he m ai r one l m d he s a e r c l di ha a' sa oft snaur i ge r lyte tda asmpl ' s rs j c t co r ton,not ' tke hi t e s ne al rae s i e minome ub e t o reci mi di m i s l' s s a .' ' Anot rca ei t sditi a es i t hone tm it ke a gumen i Li Ent ' I v he s n hi srd ddr sng he s sa r t s ve m t nc. . , Di x,I .300F.Supp. 1 ( D.Fl.2003)i whi Li Ent t nme ,I atmptd ge nc, 2d 273 S. a n ch ve erai nt nc. te e t fl a br c ofc r c s ta tri wasas i ne t con r c ua rght by oneoft orgi o ie ea h onta t ui fe t s g d he ta t l i s he i nal c r c sg t is. we r t as i nm e wasdone i ope l a asar ul Li onta t i na ore Ho ve , he sg nt mpr ry nd es t ve Ent ra nme ,l di no pos e a con r c ualrght,a t r f e lcke sa ng,a t e ti nt nc. d t s s ny ta t i s nd he e or a d tndi t he tmei flds t TheLieEntrai ntCour satdt tFe R.Ci P.1 a s tt in i i t ie ui. v e t nme t t e ha d. v. 7() ubsiuto s a opra ewhe fnt nde t pr ve f f t ewhen deer i ton oft core tpa t t s i ppr it n i e d o e nt oreiur i t m na i he r c ry o ue s difcul orwhe a unde sanda em it ha be m a '1 . a 1 (ii Fe R. v. fi t n n r t bl sake s en de. d t 276 ctng d. Ci P. ' 1 Advior Commitenoe( 966). 7 sy te t 1 ) Howeve,t LieEntrai ntcour f r he v e t nme t oundnohones or t unde sanda em it keha l t t wr pl i ifbengna r t bl sa d ed o he ong antf i medbe a et ye r prort t c us wo a s i o he flng oft s taBr r Coun y Cic tCour ha r edt tt as i nm e ha f ie asa ii he ui owa d t r ui t d ul ha he sg nt d a ld m atrofl w. d.a 1 77.Thus Li Entranm e ,l .a t orgna sg t y t t te a I t 276, ve e ti nt nc nd he i i l i naor o he c r ctha be n puton notc t tLi Ent rai onta d e i e ha ve e t nment l wa nott pr rpa t t brngt , nc. s he ope ry o i he b e c ofc r c s t I a 1 r a h onta t ui. d. t 277. co di y,t f c soft sEl ve h Cic tca e c d be Ae r ngl he a t hi e nt r ui s oul ditnguihe fom t Pli if i t i tntc eon t ba i t ta i ntfc ton oft si s d r he antfs n he nsa as he ss ha n de ii a i he co rd Pli if unde Col bin i esa y lw wa difcul t m a ort tt Pl ntfs re antfs r um a nt t c a s fi t o ke ha he ai if ' m it ke i ntfcai oft dec de ' sblng wa u rt ndabl . sa n de ii ton he e nts i i s s nde sa e CO N C LU SI N O THI CAUSEca beor t Cou t S me f e he r upont Deenda 'M otont Dimis( E. 1 , he f nts i o s s D. NO. 8) tld on M ar 1 201 . ie ch 3. 2 THE COURT ha c i r t moton, es ea t pe tne pori oft r co d, s onsde ed he i r pons nd he ri nt tons he e r a be ngot m i ef l a s d i t pr m ie ,i i nd i he s uly dvie n he e s s t s - 1 4- ADJUDG ED t tt moton i DENI ha he i s ED.The Def nts mus fl is Ans rt t enda ' t ie t we o he Am e d Compli byJul 11.2 nde ant y 812. D N A DO D R DiCabraMi Fl i ,t s oday ofJune,2012. O E N R E E n hm est a orda hi y mi , FED A .M o No CHt E/> I TATESDITMCTD DGE TEDS S Copi spr de t e ovi d o: Couns lofRe d e cor