The Cost?

How much is in the budget for this?  Aside from the money spent, do you realize how this looks? The attorneys are doing o.k. aren’t they? Thanks a lot.

1:10-cv-01263-JES-BGC Balensiefen v. Princeton National Bancorp d/b/a Citizens National Bank

James E. Shadid, presiding
Byron G. Cudmore, referral
Date filed: 08/19/2010
Date of last filing: 12/16/2011

Deadlines/Hearings

Doc.
No.

Deadline/Hearing

Event
Filed

Due/Set

Satisfied

Terminated

7  Response to Motion Deadline 12/02/2010 12/20/2010 12/02/2010
8  Response to Motion Deadline 12/16/2010 01/03/2011 12/17/2010
10  Response to Motion Deadline 01/31/2011 02/17/2011 02/18/2011
13  Objections to R&R Deadline 03/30/2011 04/18/2011 04/20/2011
14  Response to Motion Deadline 04/13/2011 05/02/2011 04/14/2011
19  Response to Motion Deadline 06/28/2011 07/15/2011 06/28/2011
9  Answer due 12/23/2010 08/09/2011 08/09/2011
20  Response to Motion Deadline 07/26/2011 08/12/2011 07/27/2011
 Rule 16 Scheduling Conference 08/17/2011 09/26/2011
at 03:00 PM
09/26/2011
 Settlement Conference 09/26/2011 11/08/2011
at 09:30 AM
11/04/2011
 Settlement Conference 11/04/2011 11/08/2011
at 10:00 AM
11/07/2011
 Miscellaneous Deadline 11/07/2011 11/18/2011 11/21/2011
23  Response to Motion Deadline 11/18/2011 12/05/2011 11/21/2011
 Status Conference 12/05/2011 12/15/2011
at 04:30 PM
12/07/2011
25  Initial Disclosure Deadline 12/02/2011 12/16/2011 12/16/2011
 Status Conference 12/07/2011 12/16/2011
at 12:00 PM
12/16/2011
25  Amended Pleadings Deadline 12/02/2011 02/06/2012
25  Joinder of Parties Deadline 12/02/2011 02/06/2012
25  Discovery Deadline 12/02/2011 08/30/2012
25  Plaintiff’s Expert Disclosure 12/02/2011 09/14/2012
25  Defendant’s Expert Disclosure 12/02/2011 10/31/2012
25  Expert Discovery Deadline 12/02/2011 10/31/2012
25  Motions Deadline 12/02/2011 11/15/2012
25  Final Pretrial Conference 12/02/2011 02/22/2013
at 11:00 AM
25  Jury Trial 12/02/2011 04/01/2013
at 09:00 AM

9 comments on “The Cost?

  1. Here’s an interpretation of what’s going on. The bank’s attorneys will soon run up their bill, if they haven’t already, to more than the $200,000 demanded in the suit. The plaintiff’s attorney’s, who are presumably on a contingent-fee arrangement will poor-boy it (as evidenced by their rather poorly written filings so far). After the bank’s lawyers think they have milked the bank for as much as they can, then they will recommend a settlement – at which time the $200K demand may be jacked up considerably.

    • Very astute observation. Defendant/employer attorneys operate similarly to divorce attorneys. They drag out the process and do everything they can to rile their client and they are able to rack up guargantuan attorney fees. Add that senior management and the board of directors use the bank’s money to pay the attorney fees and you have a prolonged, and unnecessary legal battle that not only siphons from net income but also severely impairs the bank’s reputation. If senior management and the board were footing the bill for the attorney fees themselves they would not be so ambivalent about the costs. It is easy for them to turn it into a personal contest when it’s not their money on the line.

  2. Companies usually put a blurb in their annual financial report – saying that various routine lawsuits are pending, but are not considered by management to be “material” to the financial statements. With PNBC’s market cap less than $5 milllion, and with the bank under the gun from the feds to increase its capitalization, it’s hard to think that even $200K would not be material.

    The annual report will be interesting.

    • Every penny the bank pays to defend or settle this suit is paid for by us, the stockholders – which is totally unfair to us. The bank should consider counter-suing its former or current employees, officers, and directors who were behind this scandal or covered it up. If the bank is truely representing its owners, that’s what they would do. Otherwise, they are spending our money to protect themselves.

        • If, as you suggest, this is covered by the bank’s liability insurance, the insurance company will be the one hiring the defense lawyers and calling the shots (not the bank). Kind of depends upon the insurance policy’s deductible – if less than $200K, I would assume the bank is on its own. (Or, should I say, the shareholders are on their own?)

      • Are you suggesting that the board of directors choose to sue themselves?? Most of the board are the same people that have been entrenched with senior management for years. You’re not likely to see a lawsuit unless there is some serious house cleaning over at Citizens.

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