IN THE SUPERIOR COURT OF THE STATE OF WASHINGTON IN AND FOR KING COUNTY VINCENT SEWELL, Patricia A. Sewell, and Sober Solutions Transitional Housing, LLC, et a1, Plaintiff, v. ROSEMARY A. HIBBLER a/k/a Rosemary Pargoud a/k/a Rosemary Barnes dba Sober Solutions and or dba Sober Solutions Transitional Housing, or dba N-Side Out Defendant. NO.: 15-2?15975-5 KNT DEFAULT JUDGMENT (PROPOSED) ACTION REQUIRED) JUDGMENT SUMMARY Judgment Creditor: VINCENT SEWELL, Patricia A. Sewell, and Sober Solutions Transitional Housing, LLC, et a1, Attorney for Judgment Creditor: BRIDGET BOURGETTE SHAW, OF COUNSEL BARRAZA LAW, PLLC Judgment Debtor: ROSEMARY A. HIBBLER a/k/a Rosemary Pargoud a/k/a Rosemary Barnes dba Sober Solutions and or dba Sober Solutions Transitional Housing, or dba N?Side Out Principal Amount: $200,000.00 ORDER OF DEFAULT JUDGMENT Page 1 of 3 JUDGE VERONICA GALVAN King County Superior Court, Dept. 21 401 Fourth Ave N, 2D Kent, WA 98032 (206) 477-1453 Interest to Date of Judgment: 3 Cost - Filing Fees: 386.00 Attomey?s Fees: 26,500.00 ($25,000 plus $1500 previously ordered) TOTAL JUDGMENT: 3 226,886.00 Post Judgment interest accrues at the rate of 12.00% per annum on the total judgment. IT IS HEREBY ORDERED, ADJUDGED, AND DECREED that plaintiffs shall have judgment against the defendant, ROSEMARY A. HIBBLER, for the sum of $200,000.00 together with interest to date in the sum of together with plaintiff's costs of $386.00 and the sum of $26,500.00 attorney?s fees ($25,000 plus $1500 previously ordered) and said Judgment shall bear interest at 12% per annum. IT IS FURTHER ORDERED, ADJUDGED, AND DECREED as follows: That N-Side Out, UBI 0. 603-395-461, a Washington non-profit corporation is hereby dissolved. The Washington Secretary of State, Corporations Division and the Washington Department of Revenue, and all other applicable state agencies shall take all necessary steps to immediately dissolve and complete said dissolution process. Any costs or taxes shall be the reSponsibility of Defendant Hibbler. Said agencies shall seek taxes or other liabilities as a result of the dissolution from Defendant directly. IT IS FURTHER ORDERED, ADJUDGED, AND DECREED as follows: That Defendant is permanently enjoined from using the SOBER SOLUTIONS name and trademark for her business, website, or in other related displays or media; ENTERED this Qday of January, 2017, at Kent, Washington. ORDER OF DEFAULT JUDGMENT Page 2 of 3 King County Superior Court, Dept. 21 401 Fourth Ave N, 20 Kent, WA 98032 (206) 477-1453 Presented by: Bridget Bourgette Shaw Bridget B. Shaw, Of Counsel Barraza Law, PLLC WSBA 28850 Attorney for Plaintiff ORDER OF DEFAULT JUDGMENT Page 3 of 3 JUDGE VERONICA GALVAN King County Superior Court, Dept. 21 401 Fourth Ave N, 20 Kent, WA 98032 (206) 477 1453 l?ll-ll-il?ll-ll??l-IHI?IH IN THE SUPERIOR COURT OF THE STATE OF WASHINGTON IN AND FOR KING COUNTY VINCENT SEWELL, Patricia A. Sewell, and NO.: 15-2-15975-5 KNT Sober Solutions Transitional Housing, LLC, et a1, FINDINGS OF FACT AND CONCLUSIONS OF LAW Plaintiff, v. ROSEMARY A. HIBBLER a/k/a Rosemary Pargoud a/k/a Rosemary Barnes dba Sober Solutions and or dba Sober Solutions Transitional Housing, or dba N-Side Out Defendant. This matter came before the Court on Plaintiff?s motion for entry of default judgment against Defendant Rosemary A. Hibbler afk/a Rosemary Pargoud a/k/a Rosemary Barnes dba Sober Solutions and/or dba Sober Solutions Transitional Housing, and/or dba N-Side Out. Plaintiff?s claims against Defendants are stated in the complaint that was ?led with the Court on July 01, 2015. Those claims are as follows: I) For Common Law Trade Name Infringement; 2) For Tortious Interference with Business Expectancy; FINDINGS OF FACT AND CONCLUSIONS OF LAW JUDGE VERONICA Page 1 0f 18 King County Superior Court, Dept. 21 401 Fourth Ave N, 2D Kent. WA 98032 (206) 477-1453 3) For Corrunon Law Fraud; and 4) For Unjust Enrichment. Notwithstanding Plaintiff?s demands, Defendant has not complied pursuant to Court Order. On July 01, 2015, Defendant was personally served with the summons and complaint and Order Setting Civil Case Schedule. The summons personally served upon Defendant clearly stated that an answer was due within 20 days of service. Defendant failed to answer, appear, or otherwise defend this action within 20-days following the date of service. On September 15, 2015, upon motion ?led by the Plaintiff, the Court entered an Order of Default against Defendant Rosemary A. Hibbler a/s/a Rosemary Pargoud a/k/a Rosemary Barnes d/b/a/ Sober Solutions and/or d/b/a Sober Solutions Transitional Housing. The order states that a default judgment may be presented for entry without further notice to Defendants. On January 16, 2016 Plaintiffs Vincent Sewell, Patricia Sewell and Sober Solutions Transitional Housing Serviced ?led a Motion for a Preliminary Injunction enjoining Defendant Rosemary A. Hibbler a/k/a Rosemary Pargoud a/k/a Rosemary Barnes d/b/a/ Sober Solutions and/or d/b/a Sober Solutions Transitional Housing from infringing on Plaintiff?s trademark rights. On February 01, 2016 a court Order Granting Plaintiff?s Motion for a Preliminary Injunction was entered to: 1) Preliminarily enjoined Defendant from using the Sober Solutions trade name and mark for her business, website, or in other related displays until this litigation is resolved; 2) require Defendant to assign the state trademark number 57517 to Vincent Sewell within 14 days of the order; FINDINGS OF FACT AND CONCLUSIONS OF LAW JUDGE VERONICA Page 2 0f 13 King County Superior Court. Dept. 21 401 Fourth Ave N, 2D Kent, WA 98032 (206) 477-1453 to 3) If defendant failed to assign the trademark to Vincent Sewell pursuant to the order Court may enter an appropriate order upon hearing and declaration of counsel assigning trademark number 57517 to the Plaintiff. On July 15, 2016 Plaintiff?s ?led a Motion for Supplemental Relief Pursuant to Previous Order and Injunctive Relief and moved the Court for an order granting Motion for Injunction, seeking permanent injunctive relief from continued infringement of trademark SOBER SOLUTIONS transitional housing, and requesting the Court order the Washington Secretary of State to assign the trademark number 57417 to Vincent Sewell. Plaintiff further moved the Court to award an attachment for contempt against Defendant for will?illy disobeying the Court Order entered February 1, 2016 and to issue terms against the Defendant to pay plaintiffs? expenses as a result of having to bring a motion to enforce the Court?s prior Order. On July 15, 2016 a Court Order was granted for a Motion for Supplemental and enforcing injunctive relief as follows: 1) Defendant Rosemary A. Hibbler a/k/a Rosemary Pargoud a/k/a Rosemary Barnes dba Sober Solutions and or dba Sober Solutions Transitional Housing, or dba N-Side Out (?Defendant?) must comply with the Order entered February 1, 2016, and must permanently dissolve N-Side Out; 2) Defendant is permanently enjoined from using the SOBER SOLUTIONS mark for her business, website, or in other related displays or media; 3) Defendant Rosemary A. Hibbler a/k/a Rosemary Pargoud a/k/a Rosemary Barnes dba Sober Solutions and/or dba Sober Solutions Transitional Housing, and/or dba N-Side Out is hereby held in contempt for violating the Court?s order and law enforcement shall be used to enforce this Order; 4) Fees are awarded against Defendant in the amount of $1500 for having to bring this Motion to enforce the Order. A payment shall be made to Vincent Sewell in do Barraza Law, PLLC, and FINDINGS OF FACT AND CONCLUSIONS OF LAW JUDGE Page 3 0f 18 King County Superior Court, Dept. 21 40] Fourth Ave N, 213 Kent, WA 98032 (206) 477-1453 delivered to Barraza Law, PLLC, 14245-F Ambaum SW, Burien, WA 98166, within 7 days of the date of this Order; 5) It is further ordered that the Washington Secretary of State immediately assign said trademark number 57517 to Vincent Sewell or take other action as appropriate. On August 4, 2016, the Washington Secretary of State assigned said trademark munber 57517 and issued a new Certi?cate as appropriate per Court Order. Upon motion of Plaintiff for entry of default judgment; based on the pleadings and papers filed herein, the Court?s previous Order of Default, and the sworn declaration of Vincent Sewell, the Court makes the following ?ndings of fact. 1. FINDINGS OF FACT 1) Pursuant to RCW 2.08.010, the Superior Court of Washington has personal and subject matter jurisdiction over this case. 2) Pursuant to RCW 4.12.010. and/or RCW 4.12.020, King County, Washington, constitutes the proper venue for this action as the wrongful acts occurred and continue to occur primarily in King County, Washington. 3) Vincent K. Sewell founded Sober Solutions in September of 2010. Sober Solutions was incorporated on November 2, 2010 as "Sober Solutions Transitional Housing Services, under Washington UBI 603061446. Vincent Sewell founded Sober Solutions to provide homeless veterans and formerly incarcerated addicts a transitional residential-living environment in which individuals live together as a single family housekeeping unit with common cooking facilities. At that time, Vincent transferred the title of all three of the rental properties he owns to Sober Solutions Transitional Housing Services, LLC. Vincent is the sole owner of the limited liability corporation and it remains active. FINDINGS OF FACT AND CONCLUSIONS OF LAW JUDGE VERONKHR Page 4 0f 13 King County Superior Court, Dapt. 21 401 Fourth Ave N, 20 Kent, WA 98032 (206) 477-1453 Patricia Sewell, Vincent's mother, leased most of the rental units she owns to Vincent. Although Patricia does not have a legal interest in the corporation, she remains heavily involved in the day-to?day Operations of Sober Solutions in its various iterations. Patricia and Vincent Sewell have authorized each other to act as his or her respective agent. This Complaint refers to them as the ?Sewells.? 5) Vincent Sewell created and has exclusively and continuously owned and utilized the "Sober Solutions" trade name since at least September of 2010. In addition to forming Sober Solutions Transitional Housing Services, LLC as a legal entity to operate Sober Solutions, Vincent opened Sober Solutions, a nonpro?t corporation, under UBI 603286597, in March of 2013 and dissolved it on March 31, 2014. 6) In March of 2014, Vincent founded Sober Solutions Transitional Housing, a nonpro?t corporation under UBI 603395461. Vincent was listed as the President in the Articles of Incorporation and the only initial director. At incorporation and pursuant to the amended articles of incorporation, the initial board of directors included Vincent Sewell, President; Amelia Williams (Sewell); Patricia Sewell, Chair Person; and June Lu (who subsequently resigned). Vincent and Pat Sewell indicated an initial capital contribution of $250,000 each consisting of their respective investments in deve10ping the brand and housing over the course of the four years leading up to the formation of the non-pro?t. As of November 25, 2014, the IRS recognized Vincent as the sole corporate member of Sober Solutions Transitional Housing. 7) From 2010 forward, Vincent Sewell continuously and exclusively used the Sober Solutions trade name in corporate names; correspondence; letterhead; signage; brochures; invoices; receipts; websites; email addresses; contracts with third-parties; advertising; media communications; client agreements, applications, contracts, rules, regulations, communications, and correspondence; utility billing; FINDINGS OF FACT AND CONCLUSIONS OF LAW JUDGE VERONICA GALVAN Page 5 0f 18 King County Superior Court, Dept. 21 401 Fourth Ave N, ZD Kent, WA 93032 (206) 477-1453 HI?lh-lI?ll?It-ll?II-lt-Il?l 26 27 property titles, (for Vincent Sewell's properties); banking; and federal, state, and local govemment communications and licensure. All three Sober Solutions entities re?ected in Washington records, including Sober Solutions Transitional Housing Services, LLC, Sober Solutions, and Sober Solutions Transitional Housing, were established by Vincent Sewell. 8) In September of 2013, Defendant Vincent Sewell contracted Plaintiff Rosemary Hibbler to serve as an independent contractor providing services for Sober Solutions. At that time, Sober Solutions operated as Sober Solutions Transitional Housing Services, LLC, under Washington UBI 603061446. When Vincent founded the nonpro?t Sober Solutions Transitional Housing, he appointed Rosemary Hibbler as executive director. Vincent Sewell terminated Ms. Hibbler's contract by letter dated December 23, 2014. 9) Sober Solutions in its three legal iterations always endeavored to serve persons with criminal histories. Thus, it was no surprise to the Sewells that Ms. Hibbler had served time in prison for theft. The Sewells conducted reference checks and received a positive reference from an employee of the Department of Corrections. However, Ms. Hibbler failed to disclose that she had been convicted of three felony counts of forgery and four felony counts of theft. Defendant Hibbler was sentenced to 43 months in prison and was released in June 2013. See Pierce County Superior Court Cause Nos 09?1- 03816-5 and 09-1-03815-7 verifying her felony convictions. 10) In December of 2013, Ms. Hibbler acknowledged her limited role as Program Director for Sober Solutions Transitional Housing. 11) The Sewells have used the website sobersolutionshousing.com since 2010. In September of 2014, Rosemary Hibbler convinced the Sewells to authorize her to purchase a new website domain for sobersolutionshousing.org. Ms. Hibbler utilized funds belonging to the Plaintiffs to purchase the web domain sobersolutionshousing.org. Ms..Hibeer continued to use the web domain FINDINGS OF FACT AND CONCLUSIONS OF LAW VERONICA GALVM Page 6 of 18 King County Superior Court, Dept. 21 401 Fourth Ave N, 2D Kent, WA 98032 (206) 477-1453 sobersolutionshousing.org even after Vincent Sewell terminated her af?liation with Sober Solutions on or about December 23, 2014. 12) In an email message, dated November 13, 2014, Rosemary Hibbler acknowledged Vincent Sewell as Chairman, Patricia Sewell as Treasurer, and Amelia Williams as Secretary of the Board of Directors of Sober Solutions Transitional Housing. On November 24, 2014, Ms. Hibbler emailed the Sewells and Ameila Williams and requested a meeting of the Board to make some Operational decisions. 13) Throughout 2014, the Sewells ?nancial situation worsened due to high vacancy rates. As a result of a sharp decline in revenue under Ms. Hibbler?s watch, Patricia Sewell was forced to re-open her Chapter 11 bankruptcy to save her properties from foreclosure. 14) On December 5, 2014, Rosemary Hibbler sent an email to the Sewells stating that she was "?nancially prepared to meet the immediate needs required to satisfy Washington Federal in order to obtain the use of 2301 Street." That same day, Rosemary Hibbler sent another email to the Sewells stating that she "would like to discuss having the Opportunity to Master Lease the following: 1734 82nd St, 1736 82nd St, 905 18th St, 925 18th St, 19 St, 2301 St, 537 37th St. I would also like to keep the Sober Solutions name. With that, I would like to discuss purchasing the Sober Solutions Program.? Defendant sent the Sewells a third email that day informing them that she "would also like to include 2410 St units. A, C, as well as 2406". 15) In response, on December 12, 2014, the Sewells met with Rosemary Hibbler about leasing their properties. On December 13, 2014, Ms. Hibbler sent an email to the Sewells stating, have attached the draft for master lease agreements for the buildings only. I have not received the other drafts from attorney. I will forward when I receive. We are submitting a separate agreement for the operation of Sober FINDINGS OF FACT AND CONCLUSIONS OF LAW JUDGE VERONICA 63m? Page 7 of 18 King County Superior Court. Dept. 21 401 Fourth Ave N, Kent, WA 98032 (206) 477-1453 NHHI?lI-ll-ll-II?ll-ll-ll-d 21 Solutions non-pro?t. I also need to get a signed contract which outlines the scope of (sic) to be performed by me for the remainder of the year." 16) In December of 2014, the Sewells' accountant, Patrick J. Halligan, identi?ed a pattern of ?nancial discrepancies indicating that Ms. Hibbler misappropriated funds from the bank accounts that she managed for Sober Solutions Transitional Housing; including a failure to pay taxes, mortgages, contractors, and utility bills. By letter dated December 23, 2014, Vincent Sewell terminated Rosemary Hibbler's relationship with Sober Solutions. On or about December 24, 2014, Auburn, Washington police escorted Rosemary Hibbler from the Sewells prOperty. That same month, the Federal Way Police Department initiated an investigation of Ms. Hibbler. Although the Federal Way Police declined to prosecute the case, the Sewells believe that at least $116,000 in checks plus an unknown amount of unauthorized cash was mis-appropriated from Sober Solutions by Rosemary Hibbler. Mr. Halligan subsequently reported Ms. Hibbler to the Internal Revenue Service in January of 2015. 17) On or about December 8, 2014, Ms. Hibbler applied for a Washington trademark for the name "Sober Solutions." On December 9, 2014, the Washington Secretary of State issued trademark 57517 to Rosemary Hibbler based on her representation that she had ?rst used it beginning in November of 2012. Ms. Hibbler had no relationship with the Sewells or Sober Solutions until September of 2013. Indeed, all of the materials she submitted in support of her trademark application belonged to the Sewells and were misrepresented as materials she utilized in trade. 18) The Board of Directors of Sober Solutions Transitional Housing, including Vincent Sewell, Patricia Sewell, Amelia Williams, never authorized Ms. Hibbler to apply for a state or federal trademark on behalf Sober Solutions Transitional Housing nor licensed the name to her for use or registration. Nor did Vincent Sewell authorize Ms. Hibbler to apply for a state or federal trademark under the name Sober Solutions, or ever license the name to her for use or registration. FINDINGS OF FACT AND CONCLUSIONS OF LAW JUDGE VERONICA GALVM Page 3 Of 13 King County Superior Court. Dept. 21 401 Fourth Ave N, 20 Kent, WA 98032 (206) 477-1453 Nt?lI-IHl?lh?lt-ll-IHt?IH 19) On December 16, 2014, Rosemary Hibbler made unauthorized changes to Patricia Sewell's City of Tacoma business licenses when she executed a City of Tacoma Application for Certi?cate of Registration and Licensing wherein she characterized the name of the LLC as Sober Solutions LLC operating under UBI 603395461 and located at 1736 S. 82nd Street in Tacoma, Washington. Technically, the name of the corporation operating as UB1 60339546 is Sober Solutions Transitional Housing. Neither Patricia Sewell, who owns 1736 S. 82nd Street in Tacoma, Washington, nor the Board of Directors of Sober Solutions Transitional Housing authorized Rosemary Hibbler to apply for a business license in Tacoma. 20) Also on December 16, 2014, the Sewells had a conversation with of?cials from Catholic Community Services of?cials regarding a partnership between Catholic Community Services' Housing Essential Needs program and Sober Solutions. On December 18, 2014, Rosemary Hibbler wrote a letter to Catholic Community Services, asserting the following: We have recently discovered that your business is accepting documentation for housing from Kenneth Moultry using the mark Sober Solutions Transitional Housing. Kenneth Moultry is not authorized to sign on behalf of Sober Solutions or make decisions in regard to Sober Solutions. Any documentation received on behalf of Sober Solutions Transitional Housing should bear the signature of Rosemary Hibbler only. Rosemary Hibbler is the only authorized individual to sign for your service or product for Sober Solutions Transitional Housing. Payments for individuals on the Hen program should be forwarded to 1402 Auburn Way 303 Auburn, Washington 98002. We believe we have the exclusive right to use this trademark for the following reasons: 1. We have registered Sober Solutions with the Washington State Trademark Of?ce, Register No. 57517 on December 8. 2014. While the purpose of this letter is to open a dialogue between us, please be advised that we are prepared to take all actions necessary to protect our mark. If you have questions about this letter, please feel free to contact me. FINDINGS OF FACT AND CONCLUSIONS OF LAW JUDGE VERONICA Page 9 Of 13 King County Superior Court, Dept. 21 401 Fourth Ave N, 20 Kent, WA 98032 (206) 477-1453 21 Ms. Hibbler attached a copy of the Secretary of State Certi?cate number 57517 that had been issued on December 8, 2014 purportedly granting her a state trademark for Sober Solutions. As a result of the confusion, Catholic Community Services cancelled a tour that had been scheduled for January 5, 2015 for possibly relocating approximately 20 residents from a CCS facility that was closing. While CCS ultimately moved forward with its partnership with Sober Solutions in the spring of 2015, Sober Solutions lost the opportunity to house the 20 individuals and potential placements between December of 2014 and the Spring of 2015. 21) On or about December 22, 2014, Rosemary Hibbler ?led a Trademark/Service Mark Application with the United States Patent and Trademark Of?ce (serial number 86487949} purporting to register the mark "Sober Solutions." Ms. Hibbler identi?ed herself as the owner of the trademark and listed the legal entity g. herself) as a corporation, declaring: The signatory believes that: if the applicant is ?ling the application under 15 U.S.C. Section 1051(a), the applicant is the owner of the trademark/service mark sought to be registered; the applicant or the applicant's related company or licensee is using the mark in commerce on or in connection with the goods/ services in the application, and such use by the applicant?s related company or licensee inures to the bene?t of the applicant; the Specimen( 5) shows the mark as used on or in connection with the goods/services in the application; and/or if the applicant ?led an application under 15 U.S.C. Section 1051(b), Section 1 126(d), and/or Section 1126(e), the applicant is entitled to use the mark in commerce; the applicant has a bona ?de intention to use or use through the applicant's related company or licensee the mark in commerce on or in connection with the goods/ services in the application. The signatory believes that to the best of the signatory's knowledge and belief, no other person has the right to use the mark in commerce, either in the identical form or in such near resemblance as to be likely, when used on or in connection with the goods/services of such other person, to cause confusion or mistake, or to deceive. The signatory being warned that will?rl false statements and the like are punishable by ?ne or imprisomnent, or both, under 18 U.S.C. Section 1001, and that such willful false statements and the like mayjeopardize the validity of the application or any registration resulting therefrom, declares that all statements made of his/her own knowledge are true and all statements made on information and belief are believed to be true. FINDINGS OF FACT AND CONCLUSIONS OF LAW JUDGE VERONICA GALVM Page 10 0f 18 King County Superior Court. Dept. 21 401 Fourth Ave N, 2D Kent. WA 98032 (206) 477-1453 i?II?Ii?ti?tt?tn?It?In?an?al?I 23 24 26 27 Signature: /Rosemary Hibbler! Date Signed: 12/22/2014 Signatory?s Name: Rosemary Hibbler Signatory's Position: Owner 22) Following her termination on December 23, 2014, Rosemary Hibbler attempted to convince Puget Sound Energy to disconnect electrical service for approximately forty-?ve units, and began threatening third-parties with whom the Sewells had contractual relationships. Although Ms. Hibbler never owned anything related to Sober Solutions, Sober Solutions Transitional Housing Services, LLC or Sober Solutions Transitional Housing, she publicly and wrongfully assumed control of Sober Solutions Transitional Housing. 23) On December 23, 2014, Ms. Hibbler contacted the Sewell?s insurance agent regarding cancellation of their insurance for all of the pr0perties and stated, Good Afternoon Nancy, Effective immediately, please remove all Patricia Sewells and Vincent Sewells properties from the Sober Solutions insurance contract that I entered. Under no circumstances are Patrica Sewell and or Vincent Sewell to make changes to the policy that covers the program under the name Sober Solutions. Rosemary Hibbler Executive Director Sober Solutions 24) Amelia Williams, Vincent's sister and Patricia's daughter, opened a Sprint cellular telephone account for use by Vincent Sewell and Patricia Sewell. On November 2, 2010 the Sewells opened and established the telephone number 253-344-83 66 for the purpose of his business Sober Solutions. Upon her termination, Hibbler failed to return the mobile devices Opened and used for the purpose of Sober Solutions Transitional Housing. On December 26, 2014, Amelia Williams reported the telephone and tablet as stolen. Ms. Hibbler then accused Amelia Williams of "burglary" of the phone, number and equipment related to 253-344-8366 in an effort to seize control of the phone FINDINGS OF FACT AND CONCLUSIONS OF LAW VERONICA GALVAN Page 1 1 0f 13 King County Superior Court, Dept. 21 401 Fourth Ave N, 2D Kent, WA 98032 (206) 477-1453 NNl?ll-dl-II-lI-IHI-ll-ll?lt?l number and related equipment. Ms. Hibbler utilized the phone number on her advertising after her termination. 25) Notwithstanding her termination on December 23, 2014, Ms. Hibbler sent a letter dated December 22, 2014 to Vincent Sewell and his contract web designer demanding that they "cease and desist" using the Sober Solutions name. 26) On December 26, 2014, Ms. Hibbler submitted a "Nonpro?t Corporation Amended Annual Report" to the Washington Secretary of State changing the Board of Directors of Sober Solutions Transitional Housing from Vincent Sewell, Amelia Williams, and June Lu to Rosemary Hibbler, Christopher Gomez, and Rosa Remedios. The actual Board of Directors of Sober Solutions Transitional Housing never authorized this amendment. 27) On December 26, 2014, Rosemary Hibbler sued Vincent Sewell and Patricia Sewell in King County District Court small claims court for items they allegedly failed to return to Hibbler. The Small Claims Court denied Hibbler's claim and dismissed her case on February 11, 2015. 28) On December 29,. 2014, Rosemary Hibbler and "Sober Solutions" ?led a federal lawsuit against Vincent Sewell, Patricia Sewell, Amelia Williams (Vincent Sewell's sister and Patricia Sewell's daughter), and Kenneth Moultry (site leader (contract manager) for the Sewells' Sober Solutions program at that time), for trademark infringement and moved the court to issue a temporary restraining order barring them from using the Sober Solutions name. On January 20, 2015, the federal court Ordered Hibbler to provide proof of service of the TRO. When Hibbler failed to comply with the Court's January 20, 2015 order, it denied Hibbler's motion for a temporary restraining order on January 30, 2015. After again denying a second TRO motion ?led by Hibbler, the Court ultimately granted the Sewell's Motion to Dismiss on April 9, 2015. In her April 9, 2015 Order, United States District Judge FINDINGS OF FACT AND CONCLUSIONS OF LAW JUDGE. VERONICA Page 12 of 18 King County Superior Court, Dept. 21 401 Fourth Ave N, 2D Kent, WA 98032 (206) 477-1453 no HI?lI-IHI?ll-ll?ll-ll-ll-l Marsha J. Pachman granted the Sewells' Motion to Dismiss as to Ms. Hibbler?s federal trademark infringement claim with prejudice and declined to exercise jurisdiction over Ms. Hibbler?s remaining state law claims against the Sewells and dismissed Hibbler's state law claims without prejudice. Throughout the Sewell' defense, they consistently asserted that they are the true owners of the Sober Solutions name and put Hibbler on notice of this fact. 29) On January 23, 2015, someone acting on behalf of Hibbler contacted George Brummell of George Brummel Counseling, a business partner of the Sewells, and informed him that the Sewells had been sued and "that to Operate under Sober Solutions would be against the law." . 30) On or around January 24, 2015, Rosemary Hibbler and/or agents acting on her behalf visited all of the Sewell properties and posted notices stating; ATTENTION RESIDENTS SOBER SOLUTIONS is a Federal and State registered trademark owned by Rosemary Hibbler Kenneth Moulrty is NOT a representative of SOBER SOLUTIONS and SHOULD NOT use the name in any capacity A FEDERAL LAWSUIT has been filed against Kenneth Moultry, Vincent Sewell, Patricia Sewell and Amelia Williams for ILLEGAL use of the SOBER SOLUTIONS ?brand. There IS NOT an ongoing investigation against Rosemary Hibbler with the Federal Way Police department. All accusations against Rosemary Hibbler are false and unfounded. FINDINGS OF FACT AND CONCLUSIONS OF LAW JUDGE VERONICA GALVAN Page 13 0f 18 King County Superior Court, Dept. 21 401 Fourth Ave N, 2D Kent. WA 98032 (206) 477?1453 HHI?li-ll-lb-ll-ll-II?lr?I All documents distributed by Kenneth Moultry or ANY of his representatives using the name SOBER SOLUTIONS in any capacity is ILLEGAL and FRAUDULENT. Deryl Jones, Aubrey Mathis, Renae Bollard, Elizabeth Mannino, Robin (last name unknown), Carl McMahon, Jeff Barrett and any other house managers, site managers, support staff mentors, and or anyone under the employ and direction of Kenneth Moultry, Vincent Sewell, Patricia Sewell and Amelia Williams using the name Sober Solutions does so ILLEGALY and FRAUDULENTLY. 31) On or about January 28, 2015, Rosemary Hibbler called one of the Sewell's residents to ask that he serve as a site manager for her "Sober Solutions" program. 32) On February 2, 2015, Vincent Sewell learned that Rosemary Hibbler requested a new user access for the Sewell's account with Labor and Industries rescinded her access in response to Vincent Sewell's request. That same day, Rosemary Hibbler or persons acting on her behalf posted "notices" on real property owned by the Sewells. 33) In February of 2015, Vincent Sewell filed a federal trademark application for "Sober Solutions Transitional Housing Services" and a state trademark reservation for "Sober Solutions Transitional Housing" and "Sober Solutions Transitional Housing Services, LL 34) On February 27, 2015, Vincent Sewell terminated Sober Solutions Transitional Housing Services (EIN 90-0633298) tax exempt status with the Internal Revenue Service effective December 31, 2014. According to the Washington Secretary of State, as of June 29, 2015, Rosemary Hibbler continues to operate "her" nonprofit as "Sober Solutions Transitional Housing Services" as a tax exempt entity operating under EIN 90-0633298. FINDINGS OF FACT AND CONCLUSIONS OF LAW JUDGE VERONICA GALVAN Page 14 of 18 King County Superior Court, Dept. 21 401 Fourth Ave N, 2D Kent, WA 98032 (206) 477-1453 35) In or around April of 2015, Hibbler began renting 2302 0 St. NE, Auburn, Washington to provide transitional housing under the Sober Solutions trade name. This property is three buildings from the Sewells rental property located at 2212 St. NE, Auburn, Washington. 36) In May of 2015, employees of ACE Cash Express contacted the Sewells to question them about checks drawn on a bank account for Sober Solutions Transitional Housing that apparently were returned for nonpayment. According to an email sent on May 22, 2015 from Kenneth W. Odum, Check Collections Specialist for ACE Cash Express to the Sewells, Hibbler claimed: [T]he reason she couldn't pay for the 2 outstanding checks, was because her account had been compromised by your business, and had taken all the funds available and closed the account. I asked her how that was possible? Since she had to be the only one to approve that transaction? She said: because (sic) you all share the same name, and everything was identical there was no problem to do that 6: she is working closely with legal counsel regarding this matter. She asked me to call back for more information after lunch, but when I called back, it just went straight to voice mail. That's why I called (the Sewells) to validate any of that ?Story' because it sounded kind of fishy. 37) On June 11, 2015, Rosemary Hibbler sent an email asserting that the Sewells Sober Solutions garage sale fundraiser was unlawfully using the Sober Solutions trade name because the trademark belongs to her. 38) According to internet website information for the Washington State Women Veterans Advisory Committee as of June 4, 2015, Rosemary Hibbler serves on the Washington State Women Veterans Advisory Committee as the program director of "Sober Solutions Transitional Housing." FINDINGS OF FACT AND CONCLUSIONS OF LAW JUDSE VERONICA GALVM Page 15 0f 18 King County Superior Court, Dept. 21 401 Fourth Ave N, 20 Kent, WA 98032 (206) 477-1453 39) On June. 16, 2015,. Rosemary Hibbler sent an email to the Washington Department of Corrections requesting a meeting with the Superintendent of the Department of Corrections to challenge the Department of Corrections' refusal to authorize her as an eligible housing vendor under the Sober Solutions name. Her email, sent under the email tag "Sober Solutions, asserts, parted ways with Patricia Sewell, Vincent Sewell and their Sober Solutions company and formed my own company Ms. Hibbler closes her email by asserting that she is the "Executive Director" of "Sober Solutions Supportive Services" with an internet web address of The Department of Corrections is a major source of housing funding for the Seweils because they house inmates upon their release from DOC facilities. 40) On June. 19, 2015, Hibbler sought an antiharassment order in King County District Court against Patricia Sewell and Vincent Sewell. The Court refused to enter an emergency order and set the matter over for hearing on July 1, 2015. 41) Defendant Rosemary A. Hibbler a/k/a Rosemary Pargoud a/k/a Rosemary Barnes is an owner and as an original of?cer of N-Side Out, UBI 603-395-461, a Washington non-pro?t corporation and the Defendant in this cause of action. 42) Defendant Hibbler failed to assign trademark 57517 to Vincent Sewell pursuant to Court Order. 43) Upon failure of Defendant to comply with the Court Order, attorney for the Plaintiff contacted the Washington Secretary of State requesting transfer of the assigned trademark number 57517 pursuant to Court Order. FINDINGS OF FACT AND CONCLUSIONS OF LAW JUDGE VERONICA GALVAN Page 16 Of 18 King County Superior Court, Dept. 21 401 Fourth Ave N, 20 Kent, WA 93032 (206) 477-1453 44) On August 4, 2016, Washington Secretary of State assigned trademark number 57517 to Sober Solutions Transitional Housing Services for Vincent Sewell pursuant Court Order. 45) Defendant Hibbler has failed to permanently dissolved N-Side Out pursuant to Court Order Order entered July 15, 2016, and has violated the Court?s order. 46) Defendant failed to make payment of $1500.00 in fees awarded to Plaintiff per Court Order Based on the above ?ndings of fact, the Court makes the following conclusions of law 11. CONCLUSIONS OF LAW 1. Rosemary A. Hibbler a/k/a Rosemary Pargoud a/k/a Rosemary Barnes is an owner and as an original of?cer of N-Side Out, a Washington non-pro?t corporation and the Defendant in this cause of action and has a duty to comply with Court ordered action. 2. Defendant has failed and re?ised to cease or refrain from using the SOBER SOLUTIONS mark for her business, website, or in other related displays or media; 3 Defendant has failed to permanently dissolve N-Side Out in violation of previous Court Orders. 4. Defendant is liable for Common Law Trade Name Infringement. 5. Defendant is liable Tortious Interference with Business Expectancy. 6. Defendant is liable for Common Law Fraud. 7. Defendant has been unjustly enriched. Plaintiffs have been damaged as result of defendant?s violations Plaintiffs are entitled to a judgement in the amount of 226,886.00. Judgment should be entered in the amount of $200,000.00, plus attorney fees and costs in the amount of $26,886.00 in favor of Plaintiff against Defendants on Plaintiff?s claim that Defendants should be FINDINGS OF FACT AND CONCLUSIONS OF LAW VERONICA GALVAN Page 17 of 18 King County Superior Court, Dept. 21 401 Fourth Ave N, 2D Kent, WA 98032 (205) 477-1453 liable for all costs and reasonable attorney fees and costs in prosecuting its case of action pursuant to RCW 64.34.455. DATED this 2 th day of January, 2017. OURT CO IONER Presented by: BARRAZA LAW, PLLC Bridget Bourgette Shaw Vicente Omar Barraza, WSBA 43589 Bridget B. Shaw, Of Counsel, WSBA 28850 Attorney for Plaintiffs FINDINGS OF FACT AND CONCLUSIONS OF LAW JUDGE VERONICA GALVM Page 18 Of 18 King County Superior Court, Dept. 21 401 Fourth Ave N, ZD Kent, WA 98032 (206) 477 1453 SUPERIOR COURT OF THE STATE OF WASHINGTON, KING COUNTY VINCENT SEWELL, et al, v. ROSEMARY HIBBLER CAUSE NO.: 15-2-15975?5 KNT Itemized list for the amount requested in the FFCL and default judgement. AMOUNT Settlement and attorney costs, etc. that 1 had to pay for Rosemary misappropriating insurance funds due to construction contractor $15,000.00 Costs related to resolving trademark dispute $2,600.00 Attorney fees Pat Sewell paid to Barraza Law, PLLC, Grass Law, and Shaw Law Group, P.L.L.C. related to this action and to defend frivolous federal lawsuit, small claims action, and restraining order $26,500.00 Attorney's fees paid by Vincent Sewoll to Barraza Law PLLC to attempt to negotiate a resolution of mortgage arrears caused by misappropriation of funds and to file Chapter 13 bankruptcy $4,192.00 Attorney?s fees paid to Matt [wama for Pat Sewell BK $25,000.00 Vincent Sewell Chapter 11 court and trustee fees $2,500.00 Patricia Sewell Chapter 11 court and trustee fees $2,500.00 Attorney?s fees paid to Matt iwama for Vincent Sewell BK $23,247.99 Lost revenue resulting from foreclosure of six-plex resulting from misappropriation of funds $100,000.00 Estimated lost rent revenues that Urban League, CSC HEN program, DOC, etc. paid to Rosemary Hibbler?s "Sober Solutions? due to confusion with stolen ident?ty over three plus years. $50,000 Share of accountant costs attributable to forensic accounting to investigate misappropriated funds $25,000 Unauthorized payroll to Rosemary Hibbler in the amount of $116,000 in the year 2013 and 2014, diverting suspected $15,000 rental deposits to herself, paying out $52,000 to family and friends, $10,000 unauthorized travel and related expenses, $175,000 unaccounted cash related, $25,000 unauthorized pay for workers and unsupported material costs. See attached declarations from former CPA Patrick Halligan $393,000.00