ELECTRONICALLY FILED 9/21/2012 3:52 PM CV-2012-900266.00 CIRCUIT COURT OF HOUSTON COUNTY, ALABAMA CARLA H.

WOODALL, CLERK

IN THE CIRCUIT COURT OF HOUSTON COUNTY, ALABAMA

STATE OF ALABAMA by and through Attorney General Luther Strange Petitioner, vs. $283,657.68 U.S. Currency, et al Defendants

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Case Number CV-2012-900266

STATE OF ALABAMAS OPPOSITION TO MOTION TO STAY COMES NOW the State of Alabama and states the following in opposition to HEDAs motion to stay: The gambling promoters in Houston County have always maintained, in the media and in court, that they believe Center Stage is legal, and they can prove it. This is the lawsuit that these gambling promoters have been asking for; it will determine is whether the gambling devices at the Center Stage casino are illegal contraband or lawful bingo. HEDAs motion to stay this action for an indefinite period of time can only mean one thing. Despite what they have said in the press and in court, the gambling promoters in Houston County already know their operations are illegal. They are just buying time until a court tells them so. HEDAs motion to stay this case should be denied for two reasons. First, HEDAs motion is untimely; it is both too late and too soon. HEDAs motion is too late because it could have, and should have, been filed immediately after Judge Conaway ruled on HEDAs first motion to recuse on September 7, 2012. Instead, HEDA has waited until just five days before the first hearing in this case to ask for an indefinite stayprejudicing the parties and the court. HEDAs motion is too early because HEDA is asking this court to stay this
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case because of a mandamus petition that HEDA has not even filed. After HEDA files its mandamus petition (if it does) and after the Supreme Court orders briefing on that petition (if it does), then this Court can evaluate whether it should stay these proceedings. As of nowwith no mandamus petition pending and no order from the Supreme Courtthis Court cannot make an educated decision as to whether to stay the case. Second, HEDA cannot meet the standard for a stay pending appeal and has not even tried. Four factors govern the Courts disposition of a motion to stay pending appeal: (1) Whether the movant can show a likelihood of success on the merits; (2) Whether the movant will suffer irreparable injury if the stay is not granted; (3) Whether the stay will harm the other parties; and (4) Whether the granting of the stay would serve the public interest. Ruiz v. Estelle, 650 F.2d 555, 565 (5th Cir. Unit A. 1981) (applying FED. R. APP. P. 8(b)). None of those factors support a stay in this case. HEDA has not even attempted to show that it is likely to succeed on the merits of its as-yet-unwritten mandamus petition. Nor will HEDA suffer irreparable injury if the stay is not granted. And a stay would most assuredly be against the public interest. It is the policy of the constitution and laws of Alabama [to prohibit] the vicious system of lottery schemes and the evil practice of gaming, in all their protean shapes. Barber v. Jefferson County Racing Ass'n, Inc., 960 So. 2d 599, 614 (Ala. 2006) (internal quotation marks omitted and second alteration in original). This lawsuit will determine whether the gambling devices at the Center Stage casino are illegal contraband or lawful bingo. It is in the best interest of the parties and the people of Houston County that this lawsuit expeditiously proceed to a final and conclusive judgment.

Respectfully submitted, LUTHER STRANGE (STR003) ATTORNEY GENERAL By: /s/ Jess R. Nix Jess R. Nix (NIX014) Deputy Attorney General Counsel for the State of Alabama

OF COUNSEL: Henry T. Sonny Reagan (REA021) Jess R. Nix (NIX014) Office of the Attorney General 501 Washington Avenue Post Office Box 300152 Montgomery, AL 36130-0152 (334) 242-7300 Office (334) 242-4890 FAX sreagan@ago.state.al.us jnix@ago.state.al.us

CERTIFICATE OF SERVICE
I hereby certify that I have served all counsel of record by electronic notice via AlaFile system and placed a copy of the same via U.S. Mail to all other listed parties not registered with AlaFile on this 21st day of September 2012.

/s/ Jess R. Nix OF COUNSEL