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LAW OFFICES OF DOUGLAS SLAIN

Douglas Slain (State Bar No. 048686)


Jonathan Matthews (State Bar No. 232157)
755 Baywood Drive, 2nd Floor
Petaluma, California 94954
Telephone: (707) 658-4437
Facsimile: (707) 658-4401

Attorneys for Plaintiff

SUPERIOR COURT OF CALIFORNIA


COUNTY OF HUMBOLDT
Maureen Catalina ) Case No.
an individual. )
Plaintiff ) COMPLAINT FOR:
vs. )
) 1. FRAUD AND INTENTIONAL
Suzanne L. Bowser, ) MISREPRESENTATION
an individual ) 2. FRAUD AND NEGLIGENT
) MISREPRESENTTION
Suza Lambert Bowser, LLC, and ) 3. SALE OF UNREGISTERE
Does-1-50 ) SECURITIES UNDER SECTION 10(b)
Defendants ) OF THE SECURITIES ACT OF 1933
) AND 25110 OF THE CALIFORNIA
) CORPORATIONS CODE
) 4. FRAUD IN THE OFFER OR SALE OF
) SECURITIES UNDER 17(a) OF THE
) SECURITIES ACT OF 1933
) 5. VIOLATION OF SECTION 10(B) OF
) THE EXCHANGE ACT OF 1934 AND
) RULE 10B-5 THEREUNDER
) 6. VIOLATION OF CALIFORNIA
) CORPORATIONS CODE SECTIONS
) 25401 AND 25501
) 7. BREACH OF WRITTEN CONTRACT
) 8. UNJUST ENRICHMENT
) 9. BREACH OF FIDUCIARY DUTY
) 10.RESCISSION
) 11.REFORMATION
) 12.UNFAIR BUSINESS PRACTICES IN
) VIOLATION OF 17200 OF THE
) CALIFORNIA BUSINESS AND
__________________________________________) PROFESSIONS CODE

Date Filed:
Plaintiff, an individual, hereby alleges as follows:

JURISDICTION

1. This court has jurisdiction over this matter, and venue is proper in

part pursuant to 17 U.S.C. 77v, and Cal. Code Civ. Proc. Sections 395 and 395.5

in that at all times relevant hereto defendant Suzanne L. Bowser and defendant

Suzanne Lambert Bowser LLC (“the defendants”) conducted business in California,

including Humboldt County. The defendants as well as DOES 1 through 50 engaged

in substantial, systematic, and continuous activities in California in order to

effectuate the sale of movie investment securities in Humboldt County. The

amount in controversy among the parties exceeds the jurisdictional minimum of

this Court.

2. Plaintiff was induced to make the investment alleged herein in part

pursuant to personal meetings between plaintiff and defendant Suzanne L Bowser,

for her own account and in her capacity as an member of defendant Suza Lambert

Bowser LLC, occurring in Humboldt County, California. The letter agreement

dated August 10, 2009, establishing a partnership, is attached hereto as Exhibit

A-1 (hereinafter “the Letter Agreement”) alleged herein was entered into by

plaintiff in Humboldt County, California.

3. E-mails from defendant Suzanne L. Bowser, many of which are

attached as print outs in Exhibit B, as well as the Letter Agreement, establish

that:

a) defendant Suzanne L. Bowser held herself out as possessing professional

knowledge of the movie production industry;

b) defendant Suzanne L. Bowser solicited plaintiff to invest in a

partnership investment that would produce movies with defendant Suzanne L

Bowser running the partnership business; and,

c) defendant Suzanne L. Bowser sold a security interest, without

registration or Federal or state securities exemption, to the plaintiff to


help finance one or more movies. Plaintiff is informed and believes and

thereon alleges that defendant Suzanne L. Bowser continues to offer

similar equity interests to others.

4. On or about August 10, 2009, defendant Suzanne L. Bowser made the

following representation to the plaintiff: In exchange for $50,000,

defendant Suzanne L. Bowser agreed to make plaintiff a 50% equity owner in a

movie production company styled “Sheep Ranch Productions” to be managed by

defendant Suzanne L. Bowser, who was perceived to have the professional

qualifications and experience described in her own communications and in

newspaper interviews.

5. This representation made by the defendant was in fact false. The true

facts were defendant Suzanne L. Bowser intended to thereafter form a limited

liability corporation to give herself control of virtually the same movie

production company, which she did, re-styling it “Suza Lambert Bowser LLC.”

6. When defendant Suzanne L. Bowser made this representation she knew to

be false and made this representation with the intention to deceive and

defraud plaintiff and to induce the plaintiff to act in reliance on this

representation in the manner hereafter alleged, or with the expectation that

the plaintiff would so act.

7. The plaintiff, at the time this representation was made and at thetime

the plaintiff took the actions herein alleged, was ignorant of the falsity of

defendant Suzanne L. Bowser’s representation and believed it to be true. In

reliance on this representation, the plaintiff was induced to and did invest

$50,000 plus other consideration. Had the plaintiff known the actual facts,

she would not have taken such action. The plaintiff’s reliance on defendant

Suzanne L. Bowser’s representations was justified because defendant Suzanne


L. Bowser led plaintiff to believe that plaintiff would be a passive

investor/partner in an ongoing movie production business.

8. As a approximate result of the fraudulent conduct of defendants as

herein alleged, the plaintiff was induced to spend over 100 hours of her time

and effort in an attempt to derive a profit from the security interest sold

to her by defendant Suzanne L. Bowser but has received no profit or other

compensation, by which plaintiff has been and will be damaged in the sum of

$50,000 plus interest and expenses.

9. The aforementioned conduct of defendant Suzanne L. Bowser was an

intentional misrepresentation, deceit, or concealment of a material fact

known to defendant with the intention on the part of the defendant of thereby

depriving the plaintiff of property or legal rights or otherwise causing

injury, and was despicable conduct that subjected plaintiff to cruel and

unjust hardship in conscious disregard of the plaintiff’s rights, so as to

justify an award of exemplary and punitive damages.

PARTIES

10. Plaintiff Maureen Catalina is an individual whose principal

residence in Humboldt County, California.

11. Defendant Suza Lambert Bowser LLC is a California corporation

organized and existing under the laws of the State of California with its

principal place of business unknown, and which regularly conducts business, and

at all times relevant hereto regularly conducted business, in Humboldt County,

California.

12. Defendant Suzanne L. Lambert is an individual, whose principal

residence is in Humboldt County, California, and who regularly travels to and

conducts business, and at all times relevant hereto regularly conducted

business, in Humboldt County, California.


13 At all times relevant to the allegations of this complaint, the

defendant Suza Lambert Bowser LLC was acting in concert with, or under the

direction and control of the defendant Suzanne L. Bowser.

14. Plaintiff is unaware of the true names, identities or capacities of

Defendants DOES 1 through 50, or any of them, and for this reason said

defendants are sued herein by such fictitious names. When Plaintiff ascertains

the true names, identities and capacities, whether corporate, individual,

associate or otherwise, of Defendants DOES 1 through 50, or any of them,

Plaintiff will amend this complaint to allege the same. Plaintiff is informed

and believes and thereon alleges that at all times relevant to the facts alleged

herein, each such fictitiously named defendant was responsible in some manner

for the acts, occurrences, happenings and/or omissions hereinafter alleged.

15. Plaintiff is informed and believes and thereon alleges that at all

times relevant to the facts alleged herein, each defendant was the agent,

servant or employee of each of the other defendants, and as such was acting

within the course and scope of such agency and employment, and with the express

permission of, consent to and ratification by each of the other defendants.

MOVIE INVESTMENT SCHEME

16. As set forth in the Letter Agreement and elsewhere, defendant

Suzanne L. Bowser sought to raise to raise money and did raise money to produce

movies.

17. Prior to plaintiff’s investment in approximately August 10, 2009,

defendant Suzanne L. Bowser provided plaintiff with e-mails and other

communications as alleged herein. Plaintiff relied upon these communications and

the same had a material influence upon plaintiff and induced plaintiff to make

the investment alleged herein.

18. As part of the investment scheme, defendant Suzanne L. Bowser

represented to plaintiff that she would own 50% of a start-up movie production

company to be managed by her partner, defendant Suzanne L. Bowser.


19. On or about August 10, 2009 plaintiff invested the sum of $50,000

cash in the investment scheme.

20. As part of the investment scheme, defendant Suzanne L. Bowser

offered and issued to plaintiff a partnership interest in exchange for $50,000.

A true and correct copy of the partnership agreement is attached hereto as

Exhibit “A-1” and made a part hereof.

FIRST CAUSE OF ACTION

FRAUD AND INTENTIONAL MISREPRESENTATION

(Against All Defendants)

21. Plaintiff re-alleges and reincorporates each and every allegation

contained in the General Allegations and all previous paragraphs of all previous

sections and Causes of Action this Complaint, inclusive, as though fully set

forth herein.

22. At the time that plaintiff was induced to make the investment

alleged herein, and continuing thereafter, plaintiff was led to believe that the

representations in emails sent to plaintiff by defendant Suzanne L. Bowser as

alleged herein, were true, namely: plaintiff would own 50% of an start-up movie

production company.

23. When defendant Suzanne L. Bowser made the above representations, she

knew them to be false and made these representations with the intention to

deceive and defraud plaintiff and to induce plaintiff to act in reliance on

these representations in the manner herein alleged and invest in the movie

investment scheme.

24. Plaintiff, at the time these representations were made by

defendants, and each of them, and at the time plaintiff took the actions herein

alleged, was unaware of the falsity of defendants’ representations and believed

them to be true. In reliance on these representations, plaintiff was induced to

and did invest in the movie investment scheme.


25. Had plaintiff known the actual facts, plaintiff would not have

invested in the movie investment scheme.

26. Plaintiff’s reliance on the representations of defendant Suzanne L.

Bowser was justified because defendant Suzanne L. Bowser represented that she

possessed creative talents and was technically and financially capable with

lucrative business prospects.

27. As a proximate result of the fraudulent conduct as herein alleged,

plaintiff has incurred damages in that plaintiff was induced to invest in the

movie investment scheme, all by reason of which plaintiff has been damaged in at

least the sum in excess of the jurisdictional amount of this Court, and

additional amounts according to proof at time of trial.

28. The aforementioned conduct of defendants, and each of them, was an

intentional misrepresentation, deceit, or concealment of a material fact known

to each of the defendants with the intention on the part of the defendants of

thereby depriving plaintiff of property or legal rights or otherwise causing

injury, and was despicable conduct that subjected plaintiff to a cruel and

unjust hardship and conscious disregard of plaintiff’s rights, so as to justify

an award of exemplary and punitive damages.

SECOND CAUSE OF ACTION

FRAUD AND NEGLIGENT MISREPRESENTATION

(Against All Defendants)

29. Plaintiff re-alleges and reincorporates each and every allegation

contained in the General Allegations and all previous paragraphs of all previous

sections and Causes of Action this Complaint, inclusive, as though fully set

forth herein.

30. Plaintiff alleges on information and belief that each of the

representations described above was false or misleading when made by defendants

(as described above), was made without a reasonable basis for believing it to be

true, and was made with intent to mislead and deceive plaintiff. The
representations were made with the intent to induce plaintiff's reliance and to

invest in the movie investment scheme as herein alleged.

31. Defendant Suzanne L. Bowser had a duty to disclose the true

information on the grounds that the information was material to the investment

alleged herein and the investment required the disclosure of all material facts.

Defendants' failure to disclose these material facts to plaintiff, therefore,

constitutes fraud and/or negligent misrepresentation.

32. Had plaintiff known of the true facts; to wit, defendants intended

to take plaintiff’s money, using some of the money for purposes of the

partnership while using the bulk of the money to develop other projects,

excluding plaintiff from participating in such other projects, she would not

have invested in the movie investment scheme.

33.. As a proximate result of the fraudulent conduct of defendant as

herein alleged, plaintiff has incurred damages in that plaintiff was induced to

invest in the movie investment scheme, by reason of which plaintiff has been

damaged in at least the sum in excess of the jurisdictional amount of this

Court, and additional amounts according to proof at time of trial, including

interest, attorneys’ fees and costs.

THIRD CAUSE OF ACTION

UNREGISTERED OFFER AND SALE OF SECURITIES

Violations of Sections 12(a) of the Securities Act

and Section 25110 of the California Corporations Code

(Against All Defendants)

34. Plaintiff re-alleges and reincorporates each and every allegation

contained in the General Allegations and all previous paragraphs of all previous

sections and Causes of Action this Complaint, inclusive, as though fully set

forth herein.

35. The defendants, and each of them, by engaging in the conduct

described above, directly or indirectly, made use of means or instruments of


transportation or communication in interstate commerce or of the mails, to offer

to sell or to sell securities, or to carry or cause such securities to be

carried through the mails or in interstate commerce for the purpose of sale or

for delivery, in the movie investment scheme. which constituted the offer and

sale of securities and is an offering as that term is used in regard to the

Securities Act of 1933, the Exchange Act of 1934, and the California

Corporations Code.

36. Plaintiff is informed and believes, and on that basis alleges, that

no registration statement has been filed with the United States Securities and

Exchange Commission (“SEC”) or has been in effect with respect to the offering

alleged herein.

37. Plaintiff is informed and believes, and on that basis alleges, that

no qualification statement has been filed with the California Commissioner of

Corporations or has been in effect with respect to the offering alleged herein.

38. By engaging in the conduct described above, each of the defendants

violated Sections 5(a) and 5(c) of the Securities Act, 15 U.S.C. §§ 77e(a) and

77e(c), and thereby violated Section 12(a) of the Securities Act, 15 U.S.C. §§

77l(a), and defendants violated section 25110 of the California Corporations

Code.

39. As a proximate result of the conduct of defendant as herein alleged,

plaintiff has incurred damages in that plaintiff was induced to invest in the

movie investment scheme, by reason of which plaintiff has been damaged in at

least the sum in excess of the jurisdictional amount of this Court, plus

attorneys fees and costs, and additional amounts according to proof at time of

trial, including interest, attorneys’ fees and costs.

40. The aforementioned conduct of defendants, and each of them, was an

intentional misrepresentation, deceit, or concealment of a material fact known

to each of the defendants with the intention on the part of the defendants of

thereby depriving plaintiff of property or legal rights or otherwise causing


injury, and was despicable conduct that subjected plaintiff to a cruel and

unjust hardship and conscious disregard of plaintiff’s rights, so as to justify

an award of exemplary and punitive damages.

FOURTH CAUSE OF ACTION

FRAUD IN THE OFFER OR SALE OF SECURITIES

Violations of Section 17(a) of the Securities Act

(Against All Defendants)

41. Plaintiff re-alleges and reincorporates each and every allegation

contained in the General Allegations and all previous paragraphs of all previous

sections and Causes of Action this Complaint, inclusive, as though fully set

forth herein.

42. Defendants, and each of them, by engaging in the conduct described

above, directly or indirectly, in the offer or sale of securities by the use of

means or instruments of transportation or communication in interstate commerce

or by use of the mails: (1) with scienter, employed devices, schemes, or

artifices to defraud; (2) obtained money or property by means of untrue

statements of a material fact or by omitting to state a material fact necessary

in order to make the statements made, in light of the circumstances under which

they were made, not misleading; or (3) engaged in transactions, practices, or

courses of business which operated or would operate as a fraud or deceit upon

the purchaser.

43. By engaging in the conduct described above, defendants, and each of

them, violated, and unless restrained and enjoined will continue to violate,

Section 17(a) of the Securities Act, 15 U.S.C. § 77q(a).

44. As a proximate result of the fraudulent conduct of defendant as

herein alleged, plaintiff has incurred damages in that plaintiff was induced to

invest in the YYY investment scheme, all by reason of which plaintiff has been

damaged in at least the sum in excess of the jurisdictional amount of this


Court, plus attorneys fees and costs, and additional amounts according to proof

at time of trial, including interest, attorneys’ fees and costs.

FIFTH CAUSE OF ACTION

FRAUD IN CONNECTION WITH THE PURCHASE OR SALE OF SECURITIES

Violations of Section 10(b) of the Exchange Act and Rule 10b-5

(Against All Defendants)

45. Plaintiff re-alleges and reincorporates each and every allegation

contained in the General Allegations and all previous paragraphs of all previous

sections and Causes of Action this Complaint, inclusive, as though fully set

forth herein.

46. Defendants, and each of them, by engaging in the conduct described

above, directly or indirectly, in connection with the purchase or sale of a

security, by the use of means or instrumentalities of interstate commerce, of

the mails, or of the facilities of a national securities exchange, with

scienter: (1) employed devices, schemes, or artifices to defraud; (2) made

untrue statements of a material fact or omitted to state a material fact

necessary in order to make the statements made, in the light of the

circumstances under which they were made, not misleading; or (3) engaged in

acts, practices, or courses of business which operated or would operate as a

fraud or deceit upon other persons.

47. By engaging in the conduct described above, defendants, and each of

them, violated, and unless restrained and enjoined will continue to violate,

Section 10(b) of the Exchange Act, 15 U.S.C. § 78j(b), and Rule 10b-5

thereunder, 17 C.F.R. § 240.10b-5.

48. As a proximate result of the fraudulent conduct of defendant as

herein alleged, plaintiff has incurred damages in that plaintiff was induced to

invest in the movie investment scheme, all by reason of which plaintiff has been

damaged in at least the sum in excess of the jurisdictional amount of this


Court, plus attorneys fees and costs, and additional amounts according to proof

at time of trial, including interest, attorneys’ fees and costs.

SIXTH CAUSE OF ACTION

DAMAGES FOR SALE OF SECURITIES BY MEANS OF COMMUNICATIONS

CONTAINING FALSE STATEMENTS AND OMISSIONS

Violations of Section 25401 and 25501 of California Corporations Code

(Against All Defendants)

49. Plaintiff re-alleges and reincorporates each and every allegation

contained in the General Allegations and all previous paragraphs of all previous

sections and Causes of Action this Complaint, inclusive, as though fully set

forth herein.

50. Defendants, and each of them, by engaging in the conduct described

above, offer and sold a security in the state of California by means of a both

written and oral communications which included an untrue statement of material

fact and omitted to state material facts necessary in order to make the

statements made, in light of the circumstances under which they were made, not

misleading.

51. As a proximate result of the fraudulent conduct of defendant as

herein alleged, plaintiff has incurred damages in that plaintiff was induced to

invest in the movie investment scheme, all by reason of which plaintiff has been

damaged in at least the sum in excess of the jurisdictional amount of this

Court, plus attorneys fees and costs, and additional amounts according to proof

at time of trial, including interest, attorneys’ fees and costs.

52. The aforementioned conduct of defendants, and each of them, was an

intentional misrepresentation, deceit, or concealment of a material fact known

to each of the defendants with the intention on the part of the defendants of

thereby depriving plaintiff of property or legal rights or otherwise causing

injury, and was despicable conduct that subjected plaintiff to a cruel and
unjust hardship and conscious disregard of plaintiff’s rights, so as to justify

an award of exemplary and punitive damages.

SEVENTH CAUSE OF ACTION

BREACH OF WRITTEN CONTRACT

(Against Defendant Suzanne L. Bowser)

53. Plaintiff re-alleges and reincorporates each and every allegation

contained in the General Allegations and all previous paragraphs of all previous

sections and Causes of Action this Complaint, inclusive, as though fully set

forth herein.

54. The written contract between plaintiff and defendant Suzanne L.

Bowser is evidenced by the handwritten partnership agreement, Exhibit A-1.

55. Pursuant to the above written contract, defendant Suzanne L. Bowser

agreed to give plaintiff a 50% interest in an ongoing movie production company.

56. Plaintiff fully performed all conditions, covenants, and promises to

be performed on the part of plaintiff under the written contract between

plaintiff and defendant Suzanne L. Bowser.

57. As a proximate result of the fraudulent conduct of defendant as

herein alleged, plaintiff has incurred damages in that plaintiff was induced to

invest in the movie investment scheme, all by reason of which plaintiff has been

damaged in at least the sum in excess of the jurisdictional amount of this

Court, plus attorneys fees and costs, and additional amounts according to proof

at time of trial, including interest, attorneys’ fees and costs.

EIGHTH CAUSE OF ACTION

UNJUST ENRICHMENT

(Against All Defendants)

58. Plaintiff re-alleges and reincorporates each and every allegation

contained in the General Allegations and all previous paragraphs of all previous

sections and Causes of Action this Complaint, inclusive, as though fully set

forth herein.
59. Defendants, and each of them jointly and severally, through their

wrongful conduct as described in this Complaint, have reaped substantial profits

from the monies and investment belonging to plaintiff, and in so doing has

caused plaintiff, to suffer substantial monetary losses, as well as emotional

stress, and physical injury, all of which damages and costs were not only

foreseeable but were the intended consequences of defendants’ collective

actions.

60. Based on the facts as alleged herein and as proven at trial, in

equity and good conscience, it would be unconscionable and otherwise unjust for

defendants to enrich themselves at the expense of plaintiff.

61. As a proximate result of the fraudulent conduct of defendant as

herein alleged, plaintiff has incurred damages in that plaintiff was induced to

invest in the movie investment scheme, all by reason of which plaintiff has been

damaged in at least the sum in excess of the jurisdictional amount of this

Court, plus attorneys fees and costs, and additional amounts according to proof

at time of trial, including interest, attorneys’ fees and costs.

NINTH CAUSE OF ACTION

BREACH OF FIDUCIARY DUTY

(Against Defendant Suzanne L. Bowser)

62. Plaintiff re-alleges and reincorporates each and every allegation

contained in the General Allegations and all previous paragraphs of all previous

sections and Causes of Action in this Complaint, inclusive, as though fully set

forth herein.

63. Plaintiff is a partner with defendant Suzanne L. Bowser and was

owed, and continues to be owed, fiduciary responsibilities and duties.

64. Defendant Suzanne L. Bowser breached her fiduciary obligations by

making the misrepresentations alleged above and by otherwise engaging in the

course of conduct alleged herein.


65. The above course of conduct was pursued without due regard for and

in reckless and conscious disregard of the financial circumstances of plaintiff

and resulting damage to plaintiff.

66. Defendants pursued such course of conduct intentionally and

maliciously while unconscionably disregarding of the rights of plaintiff and

with a fraudulently and/or with reckless disregard of the likelihood of causing

plaintiff economic damage and/or at all times to further their own economic

interest at the expense of plaintiff’s economic interest.

67. As a proximate result of the fraudulent conduct as herein alleged,

plaintiff has incurred damages in that plaintiff was induced to invest in the

movie investment scheme, all by reason of which plaintiff has been damaged in at

least the sum in excess of the jurisdictional amount of this Court, plus

attorneys fees and costs, and additional amounts according to proof at time of

trial, including interest, attorneys’ fees and costs.

TENTH CAUSE OF ACTION

RESCISSION

Under Section 25501 of the California Corporations Code and Common Law

(Against All Defendants)

68. Plaintiff re-alleges and reincorporates each and every allegation

contained in the General Allegations and all previous paragraphs of all previous

sections and Causes of Action this Complaint, inclusive, as though fully set

forth herein.

69. Section 25501 of the California Corporations Code provides that any

person who violates Section 25401 shall be liable to the person who purchases a

security from him or sells a security to him, and the purchaser may sue either

for rescission or for damages. Section 25501 further provides that upon

rescission, a purchaser may recover the consideration paid for the security plus

interest at the legal rate.


70. The partnership interest in this case is unlawful because it was

made and issued contrary to both an express provision of law and contrary to the

policy of express law in that it was offered and sold in violation of section

25401 of the California Corporations Code, and constitutes the offer and

issuance of unregistered securities in violation of sections 5(a) and 5(c) of

the Securities Act of 1933.

71. The public interest will be prejudiced if the above instruments are

permitted to stand in that public confidence in the issuance of securities and

the dealings between corporate issuers and their shareholders requires that any

contract in contravention of express provisions of law and contrary to the

policy of express law be voided.

72. Plaintiff will suffer substantial harm and injury under the letter

agreement attached as Exhibit A-1 and incorporated herein if it is not rescinded

in that as a result of defendants’ fraudulent course of conduct as herein

alleged, plaintiff would be deprived of its bargain and investment.

73. Plaintiff intends service of the summons and complaint in this

action to serve as notice of rescission of this letter agreement and hereby

demands that defendant restore to plaintiff the consideration furnished by

plaintiff, specifically the sum of $50,000.00 plus interest, attorney fees and

costs as may be allowed by law or equity and determined at time of trial.

74. As a result of the movie investment scheme and entering into the

letter agreement plaintiff has incurred expenses in addition to those alleged

above. Plaintiff seeks such additional expenses as may be allowed by law or

equity and determined at time of trial.

75. As a proximate result of the fraudulent conduct of defendant as

herein alleged, plaintiff has incurred damages in that plaintiff was induced to

invest in the movie investment scheme, all by reason of which plaintiff is

entitled to Rescission of the Contract and return of all consideration paid by

plaintiff thereon.
76. As a further proximate result of the fraudulent conduct of defendant

as herein alleged, plaintiff has incurred damages in that plaintiff was induced

to invest in the YYY investment scheme, all by reason of which plaintiff has

been damaged in at least the sum in excess of the jurisdictional amount of this

Court, plus attorneys fees and costs, and additional amounts according to proof

at time of trial, including interest, attorneys’ fees and costs.

ELEVENTH CAUSE OF ACTION

REFORMATION

(Against All Defendants)

77. Plaintiff re-alleges and reincorporates each and every allegation

contained in the General Allegations and all previous paragraphs of all previous

sections and Causes of Action this Complaint, inclusive, as though fully set

forth herein.

78. The Letter Agreement fails to reflect the true intent and bargain relied

upon by plaintiff in that it provides

79. The above-described failure of the Letter Agreement to reflect the true

intent and bargain relied upon by plaintiff resulted from defendant's false

representation to plaintiff that the above-mentioned written instruments

embodied the true intent and bargain relied upon by plaintiff in making its

investment in the movie investment scheme.

80. Without knowledge of the true facts and in reliance on defendants’

false representations, plaintiff was deceived and misled into signing writings

that differed materially from the true intent and bargain relied upon by

plaintiff in making its investment in the movie investment scheme.

81. Plaintiff prays that the Letter Agreement be reformed to reflect the

intention of the parties that the $50,000 investment be returned to plaintiff if

there is a breach of contract such as occurred in the instant case.

TWELFTH CAUSE OF ACTION

UNFAIR BUSINESS PRACTICES


In Violation of Section 17200 et seq. of the California Business and Professions

Code

(Against All Defendants)

82. Plaintiff re-alleges and reincorporates each and every allegation

contained in the General Allegations and all previous paragraphs of all previous

sections and Causes of Action this Complaint, inclusive, as though fully set

forth herein.

83. On or about August 10, 2009, and continuing thereafter, defendants,

as a part of their business practices, fraudulently induced plaintiff to invest

in a movie investment scheme in violation of section 17(a) of the Securities Act

of 1933, section 10(b) of the Exchange Act of 1934 and Rule 10b-5 thereunder,

and sections 25401 and 25501 of the California Corporation Code, and issued

plaintiff unregistered securities in violation of section 5(a) and 5(c) of the

Securities Act of 1933.

84. Defendants have a business practice of fraudulently inducing

investors to invest in a movie investment scheme in violation of section 17(a)

of the Securities Act of 1933, section 10(b) of the Exchange Act of 1934 and

Rule 10b-5 thereunder, and sections 25401 and 25501 of the California

Corporation Code, and the issuance of unregistered securities in violation of

section 5(a) and 5(c) of the Securities Act of 1933. The business practice of

defendants is unlawful and fraudulent and violates Federal law and California

law as alleged herein. Further, defendants, and each of them, knew that their

business practice were unlawful and fraudulent.

85. Pursuant to Sections 17200 et seq. of the California Business and

Professions Code, unfair business practices include any unlawful, unfair or

fraudulent business practice. The fraudulent and unlawful conduct of defendants

as alleged herein is an unlawful and fraudulent practice within the provisions

of Sections 17200 et seq. of the California Business and Professions Code, and,
accordingly, constitutes a violation of Sections 17200 et seq. of the California

Business and Professions Code.

86. As a direct and proximate result of the unfair business practices of

defendants as herein alleged, plaintiff has incurred damages in that plaintiff

was induced to invest in the movie investment scheme, all by reason of which

plaintiff has been damaged in at least the sum in excess of the jurisdictional

amount of this Court, plus attorneys fees and costs, and additional amounts

according to proof at time of trial, including interest, attorneys’ fees and

costs. Accordingly, plaintiff is entitled to restitution in a sum of not less

than $50,000 plus interest, attorneys’ fees and costs.

87. As a further direct and proximate result of the unfair business

practices of defendants, and each of them, plaintiff is entitled to an order

directing defendants, and each of them, to return plaintiff’s investment plus

interest and costs.

PRAYER FOR RELIEF

WHEREFORE, plaintiff prays for judgment as follows on all claims for relief:

UNDER THE FIRST CAUSE OF ACTION

1. For general damages in an amount according to proof at time of

trial;

2. For exemplary and punitive damages;

3. For interest in an amount according to proof at time of trial;

4. For attorneys’ fees and costs;

UNDER THE SECOND CAUSE OF ACTION

5. For general damages in an amount according to proof at time of

trial;

6. For interest in an amount according to proof at time of trial;

7. For attorneys’ fees and costs;

UNDER THE THIRD CAUSE OF ACTION

8. For general damages in an amount according to proof at time of


trial;

9. For interest in an amount according to proof at time of trial;

10. For attorneys’ fees and costs;

UNDER THE FOURTH CAUSE OF ACTION

11. For general damages in an amount according to proof at time of

trial;

12. For exemplary and punitive damages;

13. For interest in an amount according to proof at time of trial;

14. For attorneys’ fees and costs;

UNDER THE FIFTH CAUSE OF ACTION

15. For general damages in an amount according to proof at time of

trial;

16. For exemplary and punitive damages;

17. For interest in an amount according to proof at time of trial;

18. For attorneys’ fees and costs;

UNDER THE SIXTH CAUSE OF ACTION

19. For general damages in an amount according to proof at time of

trial;

20. For exemplary and punitive damages;

21. For interest in an amount according to proof at time of trial;

22. For attorneys’ fees and costs;

UNDER THE SEVENTH CAUSE OF ACTION

23. For general damages in an amount according to proof at time of

trial;

24. For interest in an amount according to proof at time of trial;

25. For attorneys’ fees and costs;

UNDER THE EIGHTH CAUSE OF ACTION

26. For general damages in an amount according to proof at time of

trial;
27. For interest in an amount according to proof at time of trial;

28. For attorneys’ fees and costs;

UNDER THE NINTH CAUSE OF ACTION

29. For general damages in an amount according to proof at time of

trial;

30. For interest in an amount according to proof at time of trial;

31. For attorneys’ fees and costs;

UNDER THE TENTH CAUSE OF ACTION

32. For rescission as determined according to proof at time of trial;

33. For general damages in an amount according to proof at time of

trial;

34. For interest in an amount according to proof at time of trial;

35. For attorneys’ fees and costs;

UNDER THE ELEVENTH CAUSE OF ACTION

36. For reformation as determined according to proof at time of trial;

37. For general damages in an amount according to proof at time of

trial;

38. For interest in an amount according to proof at time of trial;

39. For attorneys’ fees and costs;

UNDER THE TWELFTH CAUSE OF ACTION

40. For restitution in an amount according to proof at time of trial;

42. For a preliminary and permanent injunction prohibiting defendants

from

43. For interest in an amount according to proof at time of trial;

44. For attorneys’ fees and costs;

UNDER ALL CAUSES OF ACTION

45. For costs of suit incurred herein; and

46. For such other and further relief as this court may deem just and

proper.
DATED:

Law Offices of Douglas Slain

By: _________________________
Douglas Slain

Attorneys for Plaintiff

CERTIFICATION BY CLIENT

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