2007-11-02 dennis montgomery declaration (montgomery v etreppid)

4
Case 3:06-cv-00056-PMP-VPC Document 321 Filed 11/05/07 Page 11 of 22 I DECLARATION OF DENNIS MONTGOMERY 2 I, Dennis Montgomery, declare as follows: 3 I.. I am a plaintiff in this action and, along with my wife, a co-trustee of the 4 Montgomery Family Trust, the other plaintiff in this action I have personal knowledge of the facts 5 set forth herein, and if called as a witness, I could and would testify competently thereto. 6 2 I have been a member of eTreppid Technologies, LLC ("eTreppid" or the 7 "Company"), since its formation (under the name Intreppid Technologies, LLC) in 1998. In all of 8 that time, I have never been permitted to inspect the Company's books and records, though I have 9 been asking to do so for years I would like to do so for reasons that are directly related to my I 0 Membership Interest in e I reppid 11 3. I was originally introduced to Wan en Trepp by Steve Sands, one of his close 12 business associates, in 1998. Irepp saw my data compression technology and agreed with me that 13 it could form the basis for a profitable commercial venture. Our original agreement was that Irepp 14 and I would be the only two members of the Company, and we would share ownership 50-50 .. 15 Irepp was to contribute $1,300,000 in cash, and I was to contribute the technology contained on a 16 particular compact disc that we referred to as CD- I However, even though the Company was I 7 formed in September 1998, I have never seen confirmation that Trepp followed through on his 18 commitment to contribute any cash, much less $1,300,000 19 4. Shortly after we created the Company, Irepp left for six months Trepp told me that 20 in his absence, Doug Frye would run the Company. 21 5. Frye provided me with the Company's original Operating Agreement in or about 22 November 1999 I understood that he had drafted it, and when he presented it to me, he insisted 23 that I sign it on the spot I was not represented by counsel, and I understood from Frye that if I did 24 not sign the document then and there, he would terminate the Company's payments to me The 25 same pattern repeated itself over the years - Frye would present me with a document with no 26 warning and even though I was not represented by counsel, he would insist that I sign it on the 27 spot, with the implicit or explicit threat that my payments from the Company would be cut off if I 28 10 DEClARA TION OF DENNIS MONTGOMERY 003964110011 368662v0 I

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Montgomery v eTreppidD.nev._3-06-Cv-00056Nov. 2, 2007 Declaration of Dennis Montgomery [filed in support of Plaintiffs' Motion to Enforce Right to Inspection of Records] Montgomery v. eTreppid ECF 321 at 11-14 (filed Nov. 5, 2007)

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Page 1: 2007-11-02 Dennis Montgomery Declaration (Montgomery v eTreppid)

Case 3:06-cv-00056-PMP-VPC Document 321 Filed 11/05/07 Page 11 of 22

I DECLARATION OF DENNIS MONTGOMERY

2 I, Dennis Montgomery, declare as follows:

3 I.. I am a plaintiff in this action and, along with my wife, a co-trustee of the

4 Montgomery Family Trust, the other plaintiff in this action I have personal knowledge of the facts

5 set forth herein, and if called as a witness, I could and would testify competently thereto.

6 2 I have been a member of eTreppid Technologies, LLC ("eTreppid" or the

7 "Company"), since its formation (under the name Intreppid Technologies, LLC) in 1998. In all of

8 that time, I have never been permitted to inspect the Company's books and records, though I have

9 been asking to do so for years I would like to do so for reasons that are directly related to my

I 0 Membership Interest in e I reppid

11 3. I was originally introduced to Wan en Trepp by Steve Sands, one of his close

12 business associates, in 1998. Irepp saw my data compression technology and agreed with me that

13 it could form the basis for a profitable commercial venture. Our original agreement was that Irepp

14 and I would be the only two members of the Company, and we would share ownership 50-50 ..

15 Irepp was to contribute $1,300,000 in cash, and I was to contribute the technology contained on a

16 particular compact disc that we referred to as CD- I However, even though the Company was

I 7 formed in September 1998, I have never seen confirmation that Trepp followed through on his

18 commitment to contribute any cash, much less $1,300,000

19 4. Shortly after we created the Company, Irepp left for six months Trepp told me that

20 in his absence, Doug Frye would run the Company.

21 5. Frye provided me with the Company's original Operating Agreement in or about

22 November 1999 I understood that he had drafted it, and when he presented it to me, he insisted

23 that I sign it on the spot I was not represented by counsel, and I understood from Frye that if I did

24 not sign the document then and there, he would terminate the Company's payments to me The

25 same pattern repeated itself over the years - Frye would present me with a document with no

26 warning and even though I was not represented by counsel, he would insist that I sign it on the

27 spot, with the implicit or explicit threat that my payments from the Company would be cut off if I

28

10 DEClARA TION OF DENNIS MONTGOMERY

003964110011 368662v0 I

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Case 3:06-cv-00056-PMP-VPC Document 321 Filed 11/05/07 Page 13 of 22

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Case 3:06-cv-00056-PMP-VPC Document 321 Filed 11/05/07 Page 14 of 22