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USET files lawsuit in NJ Court against Alan Balch July 9

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  • USET files lawsuit in NJ Court against Alan Balch July 9

    I do not have th details of the lawsuit, yet, but, I do know this was filed as the USAEq was having their Board meeting - and graciously SEATED the USET Board members who were not eligible to be seated due to non-payment of dues. (see the post on the Meeting thread.)

    I am starting a new thread about this because it is important. Here is what Julie Montgomery posted on the subject:

    <BLOCKQUOTE class="ip-ubbcode-quote"><font size="-1">quote:</font><HR> Well, now that the subject of the original lawsuit has been broached.....

    The rumor that Caruso heard is not a rumor.

    It is fact.

    On July 9, as the USET group (Leone, et al) was attending the USAE board meeting in Lexington, a countersuit was filed by the USET in response to the original suit filed by Alan Balch (as a USET trustee) so that the financial info would be made available.

    I do not know the exact contents of the countersuit, but a part of it concerns removing Alan Balch as a USET Trustee.

    For what? Demanding to see USET financial info that he is entitled to see anyway? Info that all of us are entitled to see?

    I believe that John Strassburger has a copy of this suit (a/k/a "the latest USET antic").

    Perhaps he can have Erin confirm this, and I certainly hope he will write another commentary about this latest silliness.

    So let this be clear...... as the USET folks sat at the July 9 meeting, their minions "back at home" were filing yet another suit - a countersuit.

    How they must have giggled at filing it on the very day of the July 9 USAE meeting. Giggling like, ah, children.

    I feel sorry for the USET at what it has become, and sorry for the board members behind this bunch - who obviously care not a whit or are too stupid to know that they are being led like lemmings to the sea. <HR></BLOCKQUOTE>

    Found the view, just a-lookin' fer some $$$$ [img]/infopop/emoticons/icon_wink.gif[/img] ...
    co-author of 101 Jumping Exercises & The Rider's Fitness Program; Soon to come: Dead Ringer - a tale of equine mystery and intrique! Former Moderator!
  • Original Poster

    #2
    I do not have th details of the lawsuit, yet, but, I do know this was filed as the USAEq was having their Board meeting - and graciously SEATED the USET Board members who were not eligible to be seated due to non-payment of dues. (see the post on the Meeting thread.)

    I am starting a new thread about this because it is important. Here is what Julie Montgomery posted on the subject:

    <BLOCKQUOTE class="ip-ubbcode-quote"><font size="-1">quote:</font><HR> Well, now that the subject of the original lawsuit has been broached.....

    The rumor that Caruso heard is not a rumor.

    It is fact.

    On July 9, as the USET group (Leone, et al) was attending the USAE board meeting in Lexington, a countersuit was filed by the USET in response to the original suit filed by Alan Balch (as a USET trustee) so that the financial info would be made available.

    I do not know the exact contents of the countersuit, but a part of it concerns removing Alan Balch as a USET Trustee.

    For what? Demanding to see USET financial info that he is entitled to see anyway? Info that all of us are entitled to see?

    I believe that John Strassburger has a copy of this suit (a/k/a "the latest USET antic").

    Perhaps he can have Erin confirm this, and I certainly hope he will write another commentary about this latest silliness.

    So let this be clear...... as the USET folks sat at the July 9 meeting, their minions "back at home" were filing yet another suit - a countersuit.

    How they must have giggled at filing it on the very day of the July 9 USAE meeting. Giggling like, ah, children.

    I feel sorry for the USET at what it has become, and sorry for the board members behind this bunch - who obviously care not a whit or are too stupid to know that they are being led like lemmings to the sea. <HR></BLOCKQUOTE>

    Found the view, just a-lookin' fer some $$$$ [img]/infopop/emoticons/icon_wink.gif[/img] ...
    co-author of 101 Jumping Exercises & The Rider's Fitness Program; Soon to come: Dead Ringer - a tale of equine mystery and intrique! Former Moderator!

    Comment


    • #3
      <BLOCKQUOTE class="ip-ubbcode-quote"><font size="-1">quote:</font><HR>Originally posted by Weatherford:
      but, I do know this was filed as the USAEq was having their Board meeting - and graciously SEATED the USET Board members who were not eligible to be seated due to non-payment of dues. (see the post on the Meeting thread.)

      <HR></BLOCKQUOTE>


      So it's true! No good deed goes unpunished.

      Comment


      • #4
        Whaddyabet AL left the meeting so he could catch a plane that would get him home before the news of the lawsuit broke?

        I'd love to see the pleadings. Julie Montgomery, do you know of a place where the complaint might make it online?
        "I'm a lumberjack, and I'm okay."
        Thread killer Extraordinaire

        Comment


        • #5
          Fine.

          Bring it on. I can't wait to read the reasons AB can't see the financials. Is this also why Mrs. Johnson wasn't sent them? Will she now be added to the suit? Why weren't they sent to her? Will everybody who asks for them be counter-sued? Cool.

          How embarrassing, indeed, Julie, for these board members to find themselves behind these leaders. To be an EQUESTRIAN among EQUESTRIANS, a proud and noble group, to be such at that Board mtg. on 7/9 and listen to AL respond to Mrs. J and never even mention this countersuit. Did the USET folks all know and nobody said anything? Well, aren't they just peachy.

          To not have the common decency to say, in response to Mrs. Johnson's query, that as a matter of fact, a counter suit was in the works and currently being filed. How nice.

          I hold to the hope that our Olympians will act like OLYMPIANS and say enough is enough.

          [This message was edited by Anne FS on Jul. 11, 2002 at 02:07 PM.]

          Comment


          • #6
            Delivered to USAEq offices on July 10.
            [i]\"He is your friend, your partner, your defender, your dog. You are his life, his love, his leader. He will be yours, faithful and true, to the last beat of his heart. You owe it to him to be wo

            Comment


            • #7
              I think JulieMontgomery might work for the NJ Courts, not the USET.

              I don't believe the current management of that group ARE her leaders.
              "I'm a lumberjack, and I'm okay."
              Thread killer Extraordinaire

              Comment


              • #8
                vineyridge, I wasn't for a moment making a comment to Julie Montgomery about herself. Please don't think that. I was agreeing with what Julie wrote: <<I feel sorry for the USET at what it has become, and sorry for the board members behind this bunch - ...>>

                and saying that yes, I feel sorry for these Board members, too, who are really, I believe, talented, productive, knowledgeable people who have the ability to proudly lead our WONDERFUL sport, and please, please, Board members, DO IT!

                [I edited my earlier post so as to be clearer (I hope)]

                [This message was edited by Anne FS on Jul. 11, 2002 at 02:08 PM.]

                Comment


                • #9
                  nor do I work for the USET. Nor do I live in NJ.

                  Take the time to read this (hope I link it correctly):

                  www.horses.about.com/cs/english/a/eqalanmeet2433.htm.
                  [i]\"He is your friend, your partner, your defender, your dog. You are his life, his love, his leader. He will be yours, faithful and true, to the last beat of his heart. You owe it to him to be wo

                  Comment


                  • #10
                    and no, Alan is not my cousin. [img]/infopop/emoticons/icon_razz.gif[/img]

                    All kidding aside..... read Nancy Jaffer's article carefully. Pay particular attention to the quotes from those of the USET contingent.

                    Even as they spoke concerning the meeting, they knew that a countersuit was being filed. They planned it to coincide with the day of the USAEq meeting.

                    Anyone who thinks that the filing date was a coincidence, raise you hand!

                    And these are adults?
                    [i]\"He is your friend, your partner, your defender, your dog. You are his life, his love, his leader. He will be yours, faithful and true, to the last beat of his heart. You owe it to him to be wo

                    Comment


                    • #11
                      <BLOCKQUOTE class="ip-ubbcode-quote"><font size="-1">quote:</font><HR>Originally posted by vineyridge:

                      I'd love to see the pleadings. Julie Montgomery, do you know of a place where the complaint might make it online?<HR></BLOCKQUOTE>


                      I would imagine that the USAEq will make it a part of their website, since they like things to be open and aboveboard.

                      Or, perhaps someone could call the USET and ask them to send an attachment containing the countersuit info ..... naturally, then you should wait right by the computer holding your breath! [img]/infopop/emoticons/icon_rolleyes.gif[/img]
                      [i]\"He is your friend, your partner, your defender, your dog. You are his life, his love, his leader. He will be yours, faithful and true, to the last beat of his heart. You owe it to him to be wo

                      Comment


                      • #12
                        I can't comprehend why this has gone on as long as it has. Personally I am tired of hearing about it and perhaps if we have to sit out an Olympics, the outcry of the equestrian community will motivate these childish brats to work on a solution.

                        Comment


                        • #13
                          [img]/infopop/emoticons/icon_mad.gif[/img]

                          Comment


                          • #14
                            Anybody can file a lawsuit in this country. All it takes is a piece of paper and a $100 filing fee. That doesn't mean it has any merit.

                            I hope what they filed is a counterclaim in the existing New Jersey action. If so, it will be heard by the same judge who last year ruled that, while AB's motivations in filing the action may not have been solely to vindicate his duties and rights as a USET Trustee and may have been to benefit USA Eq in the challenge, every one of his complaints about the USET's failure to comply with New Jersey corporate law and failing to allow its trustees access to information to which they have an absolute right was completely justified and valid under the law. The judge ruled against the USET on every one of the claims on the merits.

                            I haven't seen the suit and don't know what allegations or alleged claims the USET is asserting. I'm guessing (and this is pure speculation, so take it for what it's worth), that they are arguing something along the lines that with the operating agreement being gone and them having changed the USET constitution, they no longer have to keep the USA Eq president on their board.

                            Maybe they don't have to keep him on their board, but I doubt it matters much at this point whether AB is on the USET board or not. USA Eq is going to go forward with being the NGB in every respect, and the USET can either participate or not. If they don't want to try to work something out, then USA Eq is going to file the arbitration, and whether or not the USOC's order is legally valid will be a question for 3 neutral arbitrators to decide (in a proceeding that is required by law to be public).

                            Or they may be contending that AB has breached his fiduciary duty of "undivided loyalty" to the USET and therefore should be removed as a USET trustee. Except, Armand Leone, Eric Straus, and some of other USET board members who are also on the USA Eq board solely by virtue of their direct appointment by the USET will have exactly the same problem. As USA Eq board members, Leone and Straus owe a duty of undivided loyalty to USA Eq.

                            If AB has breached a fiduciary duty by defending USA Eq's position as NGB, then AL and Straus and some others have breached their fiduciary duty of loyalty to USA Eq in exactly the same way, or worse in fact, since they are the have been the aggressors and were the ones who filed the Challenge in the first place. And they have continued to vote at USA Eq board meetings on NGB issues, while AB has abstained from all of the USET board votes on NGB issues, except perhaps one. (I believe he voted against the USET filing the Challenge on the basis of its expense to the USET, but given that they had already filed the Challenge and the USET board was consulted only after the fact, I think his vote was appropriate.)
                            "I don't want to sound like a broken record here, but why is it that a woman will forgive homicidal behavior in a horse, yet be highly critical of a man for leaving the toilet seat up?" Dave Barry

                            Comment


                            • #15
                              <BLOCKQUOTE class="ip-ubbcode-quote"><font size="-1">quote:</font><HR>Originally posted by Coreene:
                              Mr. Bonaparte, I presume?<HR></BLOCKQUOTE>
                              Yep, Coreene. He could do with a good dose of old fashioned Willem Wisdom. [img]/infopop/emoticons/icon_wink.gif[/img]
                              "I don't want to sound like a broken record here, but why is it that a woman will forgive homicidal behavior in a horse, yet be highly critical of a man for leaving the toilet seat up?" Dave Barry

                              Comment


                              • #16
                                Portia, will the upcoming Arbitration decision be binding on the parties?
                                In Honor of dublin aka Dee Dee 07/24/53-02/07/03
                                ~~~~~
                                \"Of course, that\'s just my opinion. I could be wrong.\" - Dennis Miller
                                *Go Bruins - Go Niners*

                                Comment


                                • #17
                                  I think they thought they had it in the bag, it was a done deal and Alan Balch was going to be exiled from the industry.

                                  Tom Struzzerri assured them he had the votes. The program was orchestrated and the scripts were written. The people to take his place were all in the wings waiting to go on stage. Jane Clark flew in her minions of the old guard on her private jet for the celebration which had been planned and afterall there was no point not to file to have Alan Balch removed from their Board once he was exiled.

                                  Then a little thing happened on the way to court, Alan had the loyalty of his Board Members who refused to give in to the arm twisting. The USAE did not capitulate! The script had changed and what to do? The law suit was filed and their case collapsed because Alan was not yet exiled so what grounds were available.

                                  No doubt Sheila Johnson was next to get dumped. No doubt that those athletes who had not been loyal subjects were to be chastised. The plans were all in place for a complete victory.

                                  But, then by 3 PM it became clear that Struzzerri had overestimated his capacity to stage manage the meeting. The votes were just not there.

                                  Too late, the suit had been filed it couldn't be re-called and the cat was out of the bag.

                                  Now the world will know that the USET is not an honorable association of gentlemen and ladies.
                                  http://www.usAHSA.org and http://www.noreinstatement.org

                                  Comment


                                  • #18
                                    I think she has so much to offer the future of equestrian governance -- she's smart, savvy, and knows something about marketing and building a business.... and fiscal responsibility! Shame, shame on USET if they bounce her off the board because she stood up to AL (and pissed him off) while exercising her fiduciary responsibility!

                                    I think AL picked the wrong woman to argue with. BET has been a very generous sponsor, and USET can ill afford those sponsorship $$$$ from walking out the door.

                                    Something is sooooo wrong when those who have fiduciary responsibility have to sue to exercise it!

                                    Just my $0.02

                                    Comment


                                    • #19
                                      <BLOCKQUOTE class="ip-ubbcode-quote"><font size="-1">quote:</font><HR>Originally posted by dublin:
                                      Portia, will the upcoming Arbitration decision be binding on the parties?<HR></BLOCKQUOTE>
                                      Just about absolutely, positively. [img]/infopop/emoticons/icon_smile.gif[/img] There are some defined bases for challenging an arbitration award in court, but they are very limited and rarely successful.

                                      We have to be prepared, however, that the arbitration award may not finally resolve everything. If the panel were to affirm the USOC ruling, then the two orgs would still have to work out how to consolidate to implement that ruling.

                                      If the panel were to rule (as is my very strong belief) that the USOC exceeded its statutory authority in making that ruling (by trying to order things other than the 4 specific things it is allowed by statute to order, or by trying to convert a challenge into a grievance) and/or otherwise failed to follow the law in either its final order or any of its preliminary rulings, then USA Eq would remain the NGB, for now.

                                      However, if it wanted to, the USET could file a grievance (as opposed to a challenge) with the USOC, or the USOC on its own could pursue one, and start over. After a properly conducted grievance proceeding, the USOC could declare a vacancy if it found that USA Eq did not meet the requirements to remain the NGB. My personal opinion is that is very unlikely to happen, as the last thing the USOC wants is an actual vacancy under which it would have to try to govern the sport. (Can you imagine the chaos that would cause?)

                                      Alternatively, the USET could try to pursue another challenge proceeding to become the NGB. However, I believe that is highly unlikely. Among the grounds that USA Eq would likely raise in arbitration for reversing the USOC action is that the USOC should have dismissed the USET challenge early on as a matter of law on various grounds, including that the USET did not and cannot meet the express requirements for sustaining such a challenge. If the arbitral panel ruled to that effect in its award, the USET would have no basis to pursue another challenge.

                                      My personal belief, however, is that the above is very much a worse case scenario. I think the arbitration award, one way or the other, will be the end of it.
                                      "I don't want to sound like a broken record here, but why is it that a woman will forgive homicidal behavior in a horse, yet be highly critical of a man for leaving the toilet seat up?" Dave Barry

                                      Comment


                                      • #20
                                        Snowbird, think about what you said. You said that "Jane Clark flew in her minions for the celebration that had been planned." Do you really mean that? I dunno, there's something about that sentence that sticks in my throat. Do you really think she flew in a private jet so she could gloat, and now you are the one gloating.

                                        Sorry, I don't mean to give offense & I, too, are very irritated at all this stuff, but somehow that crosses a line for me.

                                        Also, think about this sentence:

                                        <<Now the world will know that the United States Equestrian Team is not an honorable association of gentlemen and ladies.>>

                                        I'm not saying you don't mean this, or that it's not how you truly feel, but think about it. The UNITED STATES EQUESTRIAN TEAM is not honorable.

                                        How awful.

                                        I guess I keep thinking that some people in a worthwhile organization are not being honest, but that the organization itself is valuable and most of the people aren't self-serving & nasty, just most of the people don't have the means/courage/gumption to stand up and be counted.

                                        So people, is it true? Is the United States Equestrian Team a group of not honorable men and women? I can't go that far.

                                        Comment

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