Jennings, Strouss & Salmon, PLC: News

Sunita A. Krishna Appointed to the Arizona Board of Behavioral Health Examiners

Jennings, Strouss & Salmon, P.L.C., a leading Phoenix-based law firm focused on a variety of practices for corporate clients, is pleased to announce that Sunita A. Krishna, an Associate with the firm's Phoenix office, has been appointed to the Arizona Board of Behavioral Health Examiners.

Krishna, a Phoenix resident, focuses her practice on litigation, as well as product liability and tort and insurance law. During law school, Ms. Krishna worked in the San Francisco City Attorney's office as a legal intern. Ms. Krishna also worked as a legal intern at the White House, Office of National Drug Control Policy. While earning her master's degree, Ms. Krishna worked as a staff assistant on the United States Senate Committee on Commerce, Science and Transportation chaired by Senator John McCain. Additionally, she worked as a staff assistant to Senator Jon Kyl in Washington, D.C.

Krishna was appointed to the Arizona Board of Behavioral Health Examiners by Governor Jan Brewer. The Board is a licensing board for behavioral health professionals. The Board certifies professionals in the fields of Social Work, Professional Counseling, Marriage and Family Therapy, and Substance Abuse Counseling. The Board consists of four professional and four public members appointed by the Governor to serve three-year terms.

"I am honored to have been chosen to support the Valley community through service on the Arizona Board of Behavioral Health Examiners." said Sunita A. Krishna.

About Jennings, Strouss & Salmon

Jennings Strouss is one of the Southwest's leading law firms, providing legal counsel for more than 65 years through its offices in Phoenix, and Peoria, Arizona, Washington, DC., and Las Vegas, Nevada. The firm's primary industries of practice include energy, health care, real estate, and technology. For additional information please visit www.jsslaw.com or call 602.495.2806.

Jonathan F. Weisbard Joins Jennings Strouss

Jennings, Strouss & Salmon, P.L.C., a leading Phoenix-based law firm focused on a variety of practices for corporate clients, is pleased to announce today that Jonathan F. Weisbard has joined the firm as an Associate in the firm's Phoenix office.

Weisbard, a Scottsdale resident, joins the firm's Litigation Practice Group. His practice is focused on the areas of product liability, complex commercial litigation, insurance coverage and bad faith, personal injury and professional malpractice defense. Mr. Weisbard's experience includes the defense of auto manufacturers, as well as many other product manufacturers. Mr. Weisbard also has extensive experience with the defense of public entities, including the defense of highway design claims.

Mr. Weisbard obtained his J.D. at Washington University in St. Louis School of Law (1987) and his B.A. at Hamilton College (1982).

About Jennings, Strouss & Salmon

Jennings Strouss is one of the Southwest's leading law firms, providing legal counsel for more than 65 years through its offices in Phoenix and Peoria, Arizona, Washington, D.C., and Las Vegas, Nevada. The firm's primary industries of practice include energy, health care, real estate, and technology. For additional information please visit www.jsslaw.com or call 602.495.2704.

Frank X. Curci, of Jennings, Strouss & Salmon, Elected Vice Chair of Arizona BioIndustry Association (AZBio)

Jennings, Strouss & Salmon, P.L.C., a leading Phoenix-based law firm focused on a variety of practices for corporate clients, is pleased to announce that Frank X. Curci, a Member with the firm's Phoenix office and Chairman of both the Biotechnology & Life Sciences Industry Group and the Intellectual Property Department, has been elected as Vice Chair of the Arizona BioIndustry Association (AZBio). Frank will continue to serve as a member of AZBio's statewide Board of Directors.

AZBio serves as the unified statewide trade association for Arizona's growing bioscience industry. The association includes individuals representing member organizations in Southern Arizona, the Greater Phoenix area and Northern Arizona.

"Frank has been actively involved in a host of AZBio activities since his arrival in Arizona in 2005," said Robert S. Green, AZBio's President and CEO. "His in-depth knowledge and experience in the business-end of the biosciences will benefit AZBio as he takes on the position of Vice Chair."

Mr. Curci, a Scottsdale- area resident, represents clients in domestic and international intellectual property and technology matters, including patent/technology licensing, technology/research collaborations and consortia, technology commercialization matters, and the overall use and protection of intellectual property rights. He advises clients in many industry sectors, including life sciences research institutions, bioscience industry companies, universities, foundations, and companies in various sectors of the high technology industry.

Mr. Curci is one of the first Arizona attorneys listed in The Best Lawyers in America®, 2009-2010 in the category of Biotechnology Law (published by Woodward/White, Inc of Aiken, SC). He is also listed in The Best Lawyers in America®, 2009-2010 in the category of Technology Law.

In addition to his roles within the association, Mr. Curci has also been leading AZBio's Regional Bridges Committee, an AZBio initiative which seeks greater collaboration with bioscience associations in other states, particularly those in California and the Pacific Northwest.

About the Arizona BioIndustry Association

AZBio is a not-for-profit 501(c)6 trade association that promotes the growth of the bioscience industries in Arizona through member services, educational programs, business networking, public policy and entrepreneurial endeavors. The AZBio Board of Directors includes individuals representing member organizations in Southern Arizona, the Greater Phoenix area and Northern Arizona. AZBio is also the state affiliate of the Washington D.C.-based national Biotechnology Industry Organization, which represents more than 1,000 biotechnology companies, academic institutions, state biotechnology centers and related organizations in 50 states and 33 nations.

About Jennings, Strouss & Salmon

Jennings Strouss is one of the Southwest's leading law firms, providing legal counsel for more than 65 years through its offices in Phoenix, and Peoria, Arizona, Washington, DC., and Las Vegas, Nevada. The firm's primary industries of practice include energy, health care, real estate, and technology. For additional information please visit www.jsslaw.com or call 602.495.2704.

Jennings Strouss & Salmon Expands in Washington, D.C., Moves Offices to Accommodate Expected Growth

Jennings, Strouss & Salmon, P.L.C., a leading Arizona-based law firm focused on a variety of practices for corporate clients, is pleased to announce the firm has a new address in Washington, D.C. Effective January 1, 2010, the Washington, D.C. branch of Jennings Strouss is located at 1350 I Street, NW, Washington, D.C. 20005-3305. The new office space coincides with plans to expand the firm's energy practice group.

"The opportunity to move to a new space in D.C. is integral to meeting the needs of our growing client base as well as expanding the firm's presence in the energy industry," said Alan Robbins, Member of the firm's D.C. energy group. "We recognize the importance of expanding our presence in the energy and renewable energy markets and were fortunate to find attractive space that will allow our practice to continue to grow and flourish."

About the Energy Industry Group of Jennings, Strouss & Salmon

Jennings Strouss' Washington, D.C. office is the hub for the firm's talented energy and utility lawyers. They bring more than 100 years of combined experience in energy industries to various large-scale electric power and natural gas clients across the nation. This includes experience in the dynamic field of renewable energy.

Jennings Strouss has a rich history of representing the business needs of electric, hydroelectric, natural gas, water, telecommunication utilities, and large end-users of electric power and natural gas. The firm provides a rare combination of a Washington D.C.-based energy practice, focused industry expertise, broad experience in state and local regulatory and legislative issues, and the capability to handle the business needs of its energy and utility clients. Among its non-utility energy clients, Jennings Strouss currently represents one of the largest U.S. manufacturers of natural gas distribution pipe couplings before FERC, the U.S. Department of Transportation and state commissions. The firm is also active in the district heating and cooling industry, acting as general counsel to its nearly 1,000 member international trade association.

"Jennings Strouss is very excited for the opportunity to expand the Washington D.C. office and the energy practice which is based there," said Scott Rhodes, Jennings Strouss' Managing Partner. "We are very much looking forward to the continued growth of our energy practice and this move facilitates that growth."

About Jennings, Strouss & Salmon

Jennings Strouss is one of the Southwest's leading law firms, providing legal counsel for more than 65 years through its offices in Phoenix and Peoria, Arizona, Washington, D.C., and Las Vegas, Nevada. The firm's primary industries of practice include energy, health care, real estate, and technology. For additional information please visit www.jsslaw.com or call 602.495.2704.

Jennings Strouss Selected as one of the "2009 Best Places to Work"

Jennings, Strouss & Salmon, P.L.C., a leading Phoenix-based corporate law firm, is pleased to announce that it has been named to The Phoenix Business Journal and BestCompaniesAZ, "2009 Best Places to Work" list in the medium-sized business category (under 500 employees). This is the third year in a row that the firm has been selected as a "Best Place to Work."

The "Best Places to Work" list, which was started in 2003, recognizes Valley companies who, through a third party administered employee survey, rank their respective companies as being the best places to work. The areas surveyed are varied parts of employee life, including workplace environment, leadership direction, culture, and management practices. Jennings Strouss & Salmon was acknowledged for creating an enjoyable corporate culture and work environment that fosters personal and professional growth for its employees.

"We are excited to rank #12 on the 'Best Places to Work' in the Valley list this year," said J. Scott Rhodes, Managing Attorney. "Making the list is truly an honor that undoubtedly provides all of our employees with a sense of pride."

Winners were announced at the "Best Places to Work" Luncheon, held December 10th at the Arizona Biltmore Resort & Spa. The event drew a crowd of more than 900 people with 124 companies announced as winners in various categories.

About Jennings Strouss & Salmon

Jennings Strouss has been providing legal counsel for more than 65 years through its offices in Phoenix and Peoria, Arizona, Las Vegas, Nevada and in Washington, D.C. The firm's primary industries of practice include energy, health care, real estate, and technology. For additional information please visit www.jsslaw.com or call 602.495.2704.

Jennings Strouss Elects J. Scott Rhodes as Managing Attorney

Jennings, Strouss & Salmon, P.L.C., a leading Phoenix-based corporate law firm, is pleased to announce that J. Scott Rhodes has been elected Managing Attorney. Rhodes replaces John C. West, who stepped down from the position after seven years to focus on his burgeoning health care law practice.

Rhodes will oversee the operations of the firm and will focus on maintaining the firm's tradition of providing the highest caliber of legal services, while positioning the firm for a prominent role in a changing legal environment. Rhodes has been a lawyer with Jennings Strouss & Salmon since 1995 and has held several important individual and committee positions, most recently as General Counsel to the firm.

Rhodes is a legal ethics lawyer whose reputation and capabilities are well known throughout the Valley and State. His practice earned Jennings Strouss & Salmon a #1 ranking in the U.S. in Ethics and Professional Responsibility Law by The Best Lawyers in America® 2010. He chairs the Rules of Professional Conduct Committee of the State Bar of Arizona, and was appointed by the Arizona Supreme Court to serve as a Member and Respondent's Counsel Representative of its Attorney Discipline Task Force. He also serves on the Mesa Judicial Advisory Board.

"It is a tremendous benefit to Jennings Strouss to have someone with Scott's reputation and level of experience as Managing Attorney. Scott has excellent insight and a long tenure of success," said John C. West, former Managing Attorney. "I am delighted to pass the reins to him and look forward to his contributions to the firm."

Rhodes has served Arizona and the Valley as a volunteer for many non-profit organizations, such as Arizona Town Hall, and commitment to service is a Rhodes family tradition. Scott is the youngest child of John J. Rhodes, who represented Arizona in Congress for 30 years and was the Minority Leader of the U.S. House of Representatives. Rhodes' brother, John J. Rhodes III, also served in Congress. His mother, Betty Rhodes, was the recipient of this year's Unsung Hero award by the Capitol Times.

"Jennings Strouss has always had an excellent reputation for providing exceptional service to its clients," Rhodes said. "I look forward to continuing this tradition as well as developing new opportunities for the firm's future."

Jennings Strouss takes a progressive and innovative approach to stay competitive. Earlier this year the firm hired Chief Operating Officer Howard Mudrick, a leading law firm management consultant who has been a partner in some of the most influential consulting firms to the legal industry. In recent years the firm has focused its legal practice on emerging markets such as biotechnology and renewable energy projects. Additionally, the firm has expanded locally through lawyer acquisitions and nationally by opening an office in Las Vegas, Nevada.

About Jennings Strouss & Salmon

Jennings Strouss has been providing legal counsel for more than 65 years through its offices in Phoenix and Peoria, Arizona, Las Vegas, Nevada and in Washington, D.C. The firm's primary industries of practice include energy, health care, real estate, and technology. For additional information please visit www.jsslaw.com or call 602.495.2806.

Frank X. Curci Elected To the Board of Directors of AZBio

In February 2008, AZBio's Board of Directors began serving the unified statewide trade association serving Arizona's growing bioindustry. The Board includes individuals representing member organizations in Southern Arizona, the Greater Phoenix area and Northern Arizona.

Curci, a Rio Verde resident, represents clients in domestic and international intellectual property and technology matters, including patent/technology licensing, technology/research collaborations and consortia, technology commercialization matters, and the overall use and protection of intellectual property rights. He advises clients in many industry sectors, including life sciences research institutions, bioscience industry companies, universities, foundations, semiconductor-industry companies, software companies, and other technology industry companies.

Mr. Curci is one of the first Arizona attorneys listed in The Best Lawyers in America®, 2009-2010 in the category of Biotechnology Law (published by Woodward/White, Inc of Aiken, SC). He is also listed in The Best Lawyers in America®, 2009-2010 in the category of Technology Law.

"I am delighted to serve on the Board of Directors for AZBio," said Frank Curci. "This is a great opportunity for me to serve the biotechnology community as well as work with others who share my passion and interest for the advancement of biotechnology & life sciences in Arizona."

About the Arizona BioIndustry Association

AZBio is a not-for-profit 501(c)6 trade association that promotes the growth of the bioscience industries in Arizona through member services, educational programs, business networking, public policy and entrepreneurial endeavors. The AZBio Board of Directors includes individuals representing member organizations in Southern Arizona, the Greater Phoenix area and Northern Arizona. AZBio is also the state affiliate of the Washington D.C.-based national Biotechnology Industry Organization, which represents more than 1,000 biotechnology companies, academic institutions, state biotechnology centers and related organizations in 50 states and 33 nations.

About Jennings, Strouss & Salmon

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Matthew L. Cates Elected to Waste Not Board of Directors

Jennings, Strouss & Salmon, P.L.C., a leading Phoenix-based law firm focused on a variety of practices for corporate clients, is pleased to announce that Matthew L. Cates, a Member with the firm's Phoenix office, has been elected to the Board of Directors of Waste Not, a local perishable food donation network.

Cates, a Phoenix resident, focuses his practice on civil litigation. He has represented clients in insurance defense, insurance bad faith cases, and in civil appeals. Prior to joining the firm, Mr. Cates served as a law clerk to the Honorable Susan R. Bolton, of the United States District Court for the District of Arizona and to the Honorable Noel Fidel, of the Arizona Court of Appeals.

"Waste Not is a wonderful local organization which provides a much needed bridge between community waste and community need." said Matt Cates. "I am pleased to have the opportunity to support the Valley community through service on the Board of Directors for Waste Not."

About Waste Not

Hunger remains one of the most daunting challenges in the Phoenix valley today and nearly 50,000 children go to bed hungry in Maricopa County alone. Waste Not is a local perishable food donation network whose vision is for a community where wasted food is a thing of the past and no request for food goes unanswered.

Faced with a poverty status of a staggering 36%, individuals and families who live in Waste Not's primary and secondary delivery areas struggle day-to-day just to meet their basic daily requirements for food, clothing and housing. Waste Not's unique program provides a distinctive approach to helping feed the hungry men, women and children of the valley by providing, on average, 5,000 pounds of food daily to their recipient partner agencies. Not only does Waste Not provide nutritional sustenance, but donations made to their organization help the bottom line for local agencies that are using limited resources to help heal, educate and empower the clients they serve. For more information on Waste Not, please visit their website at www.wastenotaz.org.

About Jennings, Strouss & Salmon

Bradley V. Martorana Elected to the Executive Council of the Securities Law Section for the State Bar of Arizona

Jennings, Strouss & Salmon, P.L.C., a leading Phoenix-based law firm focused on a variety of practices for corporate clients, is pleased to announce that Bradley V. Martorana, an Associate with the firm's Phoenix office, has been elected to the Executive Committee of the Securities Law Section for the State Bar of Arizona.

Martorana, a Scottsdale resident, focuses his practice on corporate, tax and securities law. He is also a Certified Public Accountant. His practice includes counseling corporations, limited liability companies and partnerships as to the tax and non-tax consequences of formation, operation, compensation and other commercial transactions. He also advises buyers and sellers in mergers, acquisitions, reorganizations and other restructurings and represents issuers and investors in private placements of equity and debt securities. Prior to practicing law, Mr. Martorana worked at one of the "big four" accounting firms, where his clients included a national transportation company and private real estate development and management companies.

"I am thrilled to have the opportunity to serve on the Executive Council of the Securities Law Section," said Bradley Martorana. "This is a great chance for me to serve the Bar as well as work with other attorneys who practice securities law."

About the Securities Law Section

The general purpose of the Section is to promote the objectives of the State Bar of Arizona within the area of federal and state securities law, rules and regulations and to further the development of that field of the law and all its branches. Additionally, Members are asked to review, study, report and comment on pending and existing legislation, rules regulations and procedures within the securities law discipline and to simplify and improve the application of justice in this field. Members work to promote throughout the State of Arizona the legal education of members of the Bar and the public on new developments and problems within this field.

About Jennings, Strouss & Salmon

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Attorneys Say Companies Can Monitor Employee Use of Sites, but They May Face Repercussions

by Mike Sunnucks
The Phoenix Business Journal

Social networking sites have opened a whole new world of communications for employees and their employers, but they’ve also created unchartered territory for many companies looking to monitor and restrict what’s said about them online.

Some businesses are jumping head first into sites such as Facebook, LinkedIn and Twitter, promoting their business and products and taking the occasional disgruntled customer or worker in stride. Others are worried about employees giving away trade secrets, announcing matters companies would rather keep private — such as layoffs, lost contracts or lawsuits — or external and internal critics hammering management and stock prices.

Valley attorneys say employers have the right to monitor and restrict employees’ social networking posts related to their business, including disciplining and terminating employees for negative posts via Arizona’s employment laws. But those same lawyers also caution that pursuing restrictive social networking policies can open a Pandora’s box of public relations and legal problems, including privacy and discrimination lawsuits.

Unintended legal headaches
Bill Wright, a labor attorney with Sherman & Howard LLC’s Phoenix office, said while employers have legitimate concerns about intellectual property theft, confidentiality breaches and defamation, they open themselves up to employee lawsuits if they become too zealous in their social networking controls.

“Severe action against employees can result in suits based on invasion of privacy, violation of public policy and, for governmental employers, violation of constitutional rights,” said Wright, pointing out that companies sometimes monitor their employees’ computer use, Web site visits and posts.

John Egbert, an employment lawyer with Jennings Strouss & Salmon PLC, said employers might want to monitor employees’ Facebook and Twitter posts, but that can result in some unintended legal headaches.

“The employer may learn information that it would rather not have. For example, in the process of monitoring an employee’s Facebook account, an employer may learn that the employee was diagnosed with cancer six months ago. Without such knowledge, the employer has a strong defense against claims by the employee that disciplinary action or dismissal from employment was the result of disability discrimination (in violation of the Americans With Disabilities Act),” Egbert said. “Obviously, if the employer did not know about the cancer, it could not have based its decisions on the cancer. The fact that the employer has a monitoring program may be enough to create this problem, even if the employer never actually discovered the posted information.”

Codes of conduct
Still, that’s not stopping employers and bosses from monitoring what workers are saying and, in some cases, trying to restrict it. The social media technology burst onto the scene and caught on so quickly that most companies are implementing a knee-jerk policy on how and whether to police employees’ online practices. So far, there have not been any landmark cases in Arizona that outline a best practices policy for how companies should monitor social media use.

DLA Piper LLP attorneys Cindy Ricketts and Allison Kierman said many employers are adopting Internet-specific codes of conduct regulating employees’ use of blogs and social networking Web sites during and outside of work hours. They also are prohibiting the use of company equipment for such posts.

Employers are requiring employees to sign confidentiality agreements that prohibits them from divulging employer information through Internet media without authorization of the employer, they said.

Some workplaces even have expanded their list of restricted work-day Web sites to include social networking sites. Kierman and Ricketts said employers can go after critics — both external and internal — via defamation and other lawsuits. They cited as an example the Philadelphia Eagles football team, which fired a worker for making critical comments.

Maureen Andres, another attorney at Sherman & Howard, said Arizona’s at-will and right to work laws allows employers to fire workers for venting or making critical comments on Facebook or Twitter. When it comes to libel or defamation suits, she said the courts have tended to side with free speech and the First Amendment.

Christy Hubbard, an attorney at Lewis & Roca LLP, said the First Amendment doesn’t extend to the workplace and one’s employment status.

“Employees need to remember that the First Amendment (the right to free speech) applies to the government, not to their private employers,” said Hubbard.

Some states, but not Arizona, are passing laws that protect Internet critics from some legal actions. Attorneys caution, however, that there are plenty of potential legal pitfalls if businesses look to restrict and prohibit workers’ voices online. That includes negative publicity and generating more criticism, hurting employee morale and possibly prompting legal actions by workers who feel wronged.

“The waters become murky when an employee publishes criticisms on the employee’s own equipment and time,” Andres said.

Yu Cai and Jessica A. Lienau Join Jennings Strouss

Jennings, Strouss & Salmon, P.L.C., a leading Phoenix-based law firm focused on a variety of practices for corporate clients, is pleased to announce today that Yu Cai and Jessica A. Lienau have joined the firm as Associates in the firm's Phoenix office.

Yu Cai, Ph.D., a Phoenix resident, joins the firm's Biotechnology & Life Sciences Industry Group as well as the firm's Intellectual Property & Technology Practice Group. Yu Cai obtained her J.D. at the Sandra Day O'Connor College of Law at Arizona State University (2009) with honors. Prior to entering law school, Yu Cai earned her Ph.D. in Plant Sciences and Genetics at the University of Arizona (2006). Yu Cai studied Biochemistry and Molecular Biology for her Master's degree, (2000), and Biochemical Engineering for her Bachelor's degree (1997), both earned at the Shanghai Jiao Tong University, China. Her scientific specialties include epigenetic gene regulation, gene mapping, cloning and transferring. Yu Cai is fluent in Mandarin Chinese and the Shanghai dialect.

Lienau, a Phoenix native and resident, will practice in the Litigation Department. Ms. Lienau's practice will focus on civil litigation matters, including energy law, and medical malpractice matters. While earning her law degree, Ms. Lienau served as judicial extern to Honorable Samuel Der-Yeghiayan, United States District Court, Northern District of Illinois. She also completed an internship with U.S. Attorney's Office, Northern District of Illinois. Ms. Lienau obtained her J.D. from Loyola University Chicago School of Law (2009) as well as her B.A., in American Studies from The University of Notre Dame (2006).

About Jennings, Strouss & Salmon

Jennings Strouss is one of the Southwest's leading law firms, providing legal counsel for more than 65 years through its offices in Phoenix and Peoria, Arizona, Washington, D.C., and Las Vegas, Nevada. The firm's primary industries of practice include energy, health care, real estate, and technology. For additional information please visit www.jsslaw.com or call 602.495.2806.

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Small Businesses That Lost Money During '08 Can Take Part

by Russ Wiles
The Arizona Republic

Small businesses that lost money in 2008 still have time to take advantage of a special tax break, but the deadline is today.

The American Recovery and Reinvestment Act, enacted in February, allows firms that lost money last year to carry back or apply the loss against income for up to five prior years, rather than the usual two.

This means a business that posted a net operating loss in 2008 could reap a special tax refund and that the refund could be larger than normal because it can be spread over more years, according to Phoenix law firm Jennings Strouss.

The deadline for corporations to file appropriate forms is today, while eligible individuals have until Oct. 15.

A two-year loss carryback remains available for businesses that don't elect this special provision.

Using Design to Boost Productivity

by Jan Buchholz
The Phoenix Business Journal

Three diverse local companies aiming to create productive and pleasant environments for employees and customers turned to global architecture firm Gensler to get the job done.

Each of the firms - utility provider Salt River Project, hospital system Banner Health and law firm Jennings Strouss & Salmon PLC - had different circumstances and objectives, but all desired to enhance their work environments.

SRP needed to build a call center and customer service office from the ground up in Pinal County. Banner Health wanted to convert an aging hospital into a high-tech regional facility and simulation lab. Jennings Strouss is preparing to move its offices from the Collier Center to the new CityScape project in downtown Phoenix by next summer. All wanted expertise that was a little out of the ordinary.

By leveraging an emphasis on what it calls the "new science of work," Gensler has attracted clients from around the world, including Comcast, the Associated Press, Bank of America, Abu Dhabi Commercial Bank and the London Stock Exchange.

Earlier this year, Gensler published the findings of its 2008 Workplace Survey. After sampling 900 workers, it concluded that four working modes drive employee productivity and company success - focus, collaborate, learn and socialize - and each mode must be organically facilitated through design to create a successful workplace and maximize company financial performance.

The up-front costs of architectural and space planning isn't cheap, said Beth Harmon-Vaughan, principal of Gensler's Phoenix office. She said productivity outcomes can be tracked for specific spaces and people, but it's not an exact science.

Harmon-Vaughn acknowledged that her company's services are more expensive than those of a typical office furniture company, but she said clients receive a greater return on investment.

"The ROI is achieved through our thorough experience and tools," she said. "We are able to diagnose areas of bona fide improvement in a space that results in higher productivity of employees, which allows them to work more efficiently and effectively."

Gensler is based in San Francisco and has 32 offices around the world. Its Phoenix operation has 27 staffers who practice in 17 disciplines, ranging from mission-critical design to education facility design.

Marlene Imirzian, president of Imirzian & Associates Architects, said design goes hand in hand with productivity.

"Productivity has been studied extensively in recent years through an effort by the (American Institute of Architects) Academy for Neuroscience and the AIA Committee on Architecture for Education. It's documented studies that show the significant effects of building design on learning and productivity in the classroom and workplace," she said.

Imirzian continues to inform her clients, many in the field of higher education, that an emphasis on enhanced design will improve outcomes for students, teachers and, ultimately, the environment through energy efficiencies.

Branding the environment
The issue of design was particularly important to Banner Health when it decided convert the Banner Mesa Medical Center - a 355,000-square-foot hospital that was built in 1961 near downtown Mesa - into a regional office complex called Banner Corporate Center-Mesa.

"We picked Gensler because of their background in workplace design and because they fit the bill in knowing technology," said Steve Eiss, senior project manager of design and construction for Banner Health.

More than 1,000 employees from across the Valley now work at the contemporary workplace, which was created from what was left of the original building: elevator shafts and steel framework. What were hospital rooms now are streamlined work areas with rays of natural light.

"We gave a lot of thought about whether to demolish or sell the building, but saving and reusing it is the best thing for the company and the community," Eiss said.

Creating an inspiring workplace also involved branding.

"A branded environment helps with recruiting. It helps with retaining people. It helps give employees a stronger sense of belonging," Harmon-Vaughan said.

Thus, the Banner brand name is displayed prominently on every floor through various graphic elements, including large glass dividers that greet employees upon exiting the elevator.

Doing More with less
Evoking a sense of belonging is a vital force in planning the new Jennings Strouss workplace, said Howard Mudrick, the firm's chief operating officer, who is leading the effort.

"I don't want this to be your parents' law firm. That thinking needs to go by the wayside," Mudrick said. "We're not going to design this based on how we've worked in the past or the work habits we used to have, but how we anticipate we'll be working in the future."

Barriers that have created de facto caste systems will be brought down in favor of collaborative work spaces, he said. The pool of administrative assistants will work together in a prime corner location with views of the Phoenix landscape.

"This is going to be a very comfortable environment that will attract others who want to work for us, and it will enhance the experience of serving our clients," he said.

But it will be smaller. The 54,000-square-foot space at CityScape is about 20,000 square feet smaller than the firm's offices at the Collier Center. When its 94 employees move in June 2010, the firm hopes to become more productive with less space.

Space planning expert Niki Possas, director of DFD Interior Architecture, said the key to lowering long-term lease costs is planning. She said companies that spend money up front on design usually end up better off in the long run.

"It generally results in leasing less space that is better organized, supports their business practices both now and in the future, and results in happier, more productive employees," Possas said.

Beyond a box
Customer service and employee satisfaction were factors in the design of SRP's Pinal County call center, near Schnepf and Combs roads in Queen Creek.

"They wanted the best-of-class kind of place," Harmon-Vaughan said.

Gensler and SRP personnel flew to Halifax, Nova Scotia, to learn how office supply giant Staples built what many consider one of North America's best call centers.

"That facility has very high employee satisfaction. So we benchmarked that and several other places, like the USAA call center we did in the north Valley," she said.

The 62,000-square-foot SRP building opened in March.

About 110 people work there, but the building could accommodate 400.

"Phone reps have very difficult jobs. We wanted to create a comfortable environment that allowed people to look out the window and take in the view. That was critical," said Mike Lowe, SRP manager of customer service.

J. Scott Rhodes Appointed Chair of the State Bar of Arizona Ethics Committee

Rhodes, a Mesa resident, focuses his practice on legal ethics and the law of lawyering, including attorneys' fees disputes, energy and utilities law, local government law, and professional corporate governance and structure. Prior to joining the firm, Mr. Rhodes served as Law Clerk to the Honorable Robert Corcoran and the Honorable Charles E. Jones, Arizona Supreme Court.

"I am honored to serve as Chair of the Rules of Professional Conduct Committee," said J. Scott Rhodes. "Having previously served as Vice-Chair to the Committee, I am eager to serve again."

About the Ethics Committee

The Ethics Committee is comprised of approximately thirty volunteer attorneys and judges. The Committee was created by the State Bar of Arizona Board of Governors to help the State Bar and its members resolve questions of professional ethics. The Ethics Committee issues formal opinions in writing addressing issues of widespread interest or unusual importance.

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J. Scott Rhodes Appointed by AZ Supreme Court to Attorney Discipline Task Force

Jennings, Strouss & Salmon, P.L.C., a leading Phoenix-based law firm focused on a variety of practices for corporate clients, is pleased to announce that J. Scott Rhodes, a Member with the firm's Phoenix office as well as General Counsel to the firm, has been appointed by the Supreme Court of the State of Arizona to serve as a Member of its Attorney Discipline Task Force. He will serve as Respondent's Counsel Representative. Rhodes, a Mesa resident, is the only attorney from a large law firm asked to serve on the Task Force.

"I am honored to have been asked to serve as a member of this task force and work alongside some of the most influential legal minds in Arizona," said J. Scott Rhodes. "Working to develop a discipline system that is fair and swift is important not only to the members of this task force and the State Bar, but to the entire Arizona legal community."

Rhodes focuses his practice on legal ethics and the law of lawyering, including attorneys' fees disputes. He also practices in the areas of energy and utilities law, local government law, and professional corporate governance and structure. Because of Rhodes' reputation and capabilities as a professional responsibility lawyer, Jennings Strouss & Salmon is ranked #1 in the US in Ethics and Professional Responsibility Law by Best Lawyers in America® 2010.

The Attorney Discipline Task Force is charged with overhauling the attorney discipline system in Arizona and will design significant changes that will be implemented as early as next year. It has been many years since the Arizona Supreme Court has made significant changes to the attorney discipline system. The Task Force will establish best practices in at least 14 areas, a sampling of which includes: the speed and efficiencies of the intake process for cases at the State Bar, the authority of intake attorneys at the State Bar, the creation of a new judicial position on the Arizona Supreme Court, establishment of volunteer settlement officers, time limits for attorney investigations and judicial decisions, and the creation of a hearing board for attorney disciplinary issues. The Task Force is required to file their amendments to the disciplinary system before the end of 2009.

About the Attorney Discipline Task Force

The Arizona Supreme Court wishes to maintain a fair and impartial discipline system while decreasing the time and cost to process cases, especially those cases that proceed to formal charges. While considerable progress has been made, the Court's goal of processing cases within shorter time frames has not been accomplished. The Court determined that it was time to thoroughly review the attorney discipline system and consider whether significant changes are needed. The Attorney Discipline Task Force was established on July 1, 2009.

About Jennings, Strouss & Salmon

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Jennings Strouss Foundation Adopts Gateway Elementary Classroom for School Supply Drive

The Jennings Strouss Foundation, a 501(c)(3) fundraising organization associated with Jennings, Strouss & Salmon, P.L.C., a leading Phoenix-based law firm, has selected a fourth and fifth grade "combination" classroom at Gateway Elementary School in the Creighton School District for its back-to-school school supply drive.This is Gateway Elementary School's first year to have a combination classroom of this kind, and Jennings Strouss Foundation is committed to helping its 30 students prepare for the new school year.

"On behalf of the students and parents of teacher Rochelle Dion's class, I would like to thank the Jennings Strouss Foundation for its tremendous generosity, said Dr. Nancy Uxa, Gateway Elementary School principal. "Gateway students are bright and hardworking but sometimes need support with the essential tools to help meet success. Because of Jennings Strouss Foundation's generosity, these student will begin next Monday ready to go."

With budget cuts and the number of low-income families at the Gateway Elementary School, the need for school supplies and student assistance is even greater. Many of the supplies run out midway through the school year and teachers are often burdened with providing the funds for materials out of their own pockets. Items collected for the students include: back packs, erasers, #2 Pencils, small pencil sharpeners, spiral notebooks, rulers, supply storage boxes, Post-it notes, crayons, glue sticks, markers, colored pencils, scissors, Kleenex and hand sanitizer.

Gateway Elementary has a 98 percent minority enrollment and 90 percent of its students are on the free or reduced fee lunch program. Crisis Nursery, a Phoenix-based organization that provides protection, support and opportunities to local families in need and their children, also feeds into the school.

The drive ran during the month of July and garnered more than $2500 in financial and in-kind donations. Items were delivered to the school by Jennings Strouss Foundation board members on Wednesday, August 5, 2009 in time for the August 10 school start date.

About the Jennings Strouss Foundation

The mission of the Jennings Strouss Foundation is to meet the educational needs of disadvantaged individuals, adult and/or children, in the communities in which the firm operates. This goal is reached through the collective efforts, whether financial, in-kind donation, or volunteer work, of the employees of Jennings, Strouss & Salmon, P.L.C., their families, and their friends. Board members include Board Gerald "Buzz" Alston (President); Denise Christiansen (Vice President), David Hansen (Treasurer), John J. Egbert (Secretary), Jean Fielder, Sunita A. Krishna, K.C. Rusbolt, and Valerie J. Walker. For more information, please contact Mr. Alston at 602-262-5966 or galston@jsslaw.com.

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Taser Hopes New Products Will Reduce Legal Costs

by Mike Sunnucks
The Phoenix Business Journal

Taser International Inc. is rolling out new technology and weapons that executives hope will reduce the company's legal bills by as much as 50 percent and decrease Taser-related litigation against its police customers.

On July 27, Taser CEO Rick Smith and Chairman Tom Smith unveiled the Axon tactical computer system, which features a "headcam" the size of a Bluetooth earphone. The device can be worn by police officers and operates much like the cameras mounted on police cars.

The Axon system, which will be field-tested and rolled out later this year, includes audio and video recording technology and links to a new data- and evidence-management system, Evidence.com, which Taser also is launching.

The Smith brothers said the systems allow police to track Taser use better and will give an accurate view of incidents, taking away the "he said, she said" scenarios that accompany wrongful-death and police-abuse lawsuits.

Tom Smith said the Scottsdale stun-gun manufacturer could see its litigation discovery costs cut in half because police will have video and audio of incidents. Taser would not disclose how much it pays in legal fees each year.

"The more data we can supply about what actually happened, the better off we will be," Rick Smith said. "The new audio-video records should dismiss many of the false allegations right up front. For those that go to trial, the costs of discovery will be greatly diminished as there will be an indisputable record of events, rather than conflicting testimony."

Taser and police have faced numerous lawsuits related to Taser use, including wrongful-death suits brought by families of those who have died after being tased. The company was the subject of 42 lawsuits during the first quarter, according to U.S. Securities and Exchange Commission filings.

More than 330 people have died after being tased by police in the U.S. since June 2001, according to Amnesty International.

Terry Cushing, a litigation attorney with Jennings Strouss & Salmon PLC, agreed that video evidence reduces discovery costs and can help avoid trials and unnecessary lawsuits. However, he said video and audio evidence will cut both ways for Taser if lawsuits go to trial.

"This type of reliable evidence may work both for and against Taser. A video, for example, may tap into the jurors' raw emotions and may give the appearance that the use of a Taser is either dangerous or an exertion of force that is too great for the given circumstances," Cushing said. "Alternatively, a video may reveal the very reason why law enforcement's use of a Taser adhered to protocol or was appropriate under the circumstances. ... These powerful images may quickly sway jurors in one direction or another."

Rick Smith said that while the company sells its products to more than 14,000 police departments and agencies, fewer than 150 have been sued over Taser use.

"We get the lawsuits dismissed because the science is on our side. That's the short answer," he said. "We don't settle cases, either. We believe in standing up for what is right, and the strategy is working."

During a second-quarter earnings call, Rick Smith said 91 cases against Taser have been dismissed.

Taser has been largely successful in having lawsuits against it dismissed, but in 2008 a California jury sided with the family of a man who died after being tased by police. The jury originally awarded his family $5.2 million in punitive damages plus $1.7 million in attorney fees and other damages. Taser is appealing that decision, and the $5.2 million punitive award has been tossed out.

Taser also has been in legal battles against competitors and other companies, including patent cases against rival Stinger Systems Inc. Officials at Tampa, Fla.-based Stinger did not respond to a request for comment.

The Smith brothers also showed off Taser's new X3 stun gun at the company's annual conference this week in Fountain Hills.

The X3 allows police to take three shots without reloading and carries less of an electrical charge than its predecessor, the X26 single-shot model. The X3 emits 63 micro-coulombs - a measure of electrical current - compared with 110 micro-coulombs from the X26. The X3 also emits a more intimidating warning charge that those about to be tased can see.

The Smiths said the warning charge should result in police having to use stun guns less often.

Profile: John West, Managing Attorney

by Mike Sunnucks
The Phoenix Business Journal

John West's law firm is on the front lines as the Valley grapples with the recession and real estate slump. There's plenty of hope and cheerleading in the business community that Arizona's economy may be improving, but he is not so optimistic.

The state must show more strength in its housing sector and curtail job losses before things can improve, said West, managing attorney at Phoenix-based Jennings Strouss & Salmon PLC.

"I think things will remain stagnant, at least for the next couple of quarters," he said.

The commercial law firm has 75 attorneys at offices in downtown Phoenix, Peoria, Washington and Las Vegas.

Like others in the Phoenix market, Jennings Strouss is feeling the impact of the recession and the down real estate market. West said the firm has pulled back on growth plans, though he is hopeful the Valley will bounce back when the economy recovers and more people move to the state.

West's practice specialties include the health care and biomedical areas. He is an expert in health care reform and policies being considered at the state and federal levels. He said he would prefer a more competitive, consumer-based health system than one run by the government.

Personal Age: 54.
Family: Wife, Molly; daughters, Jillian, 22, and Taylor, 15; son, Britton, 12.
Place of birth: Bluffton, Ohio.
Pets: None.
You drive: Audi S4.
Residence: Ahwatukee Foothills.
Education: Bachelor's degree in history, with distinction, Ohio Northern University, 1976; juris doctorate, Ohio Northern University College of Law, 1979.
Associations, civic groups, charities: Arizona Science Center board of trustees, Arizona Equal Justice Foundation board of directors, American Bar Association Health Care Law Committee, National Health Lawyers Association, Arizona Bar Foundation fellow, Arizona Association of Health Care Lawyers.
Favorite restaurant: Gramercy Tavern, New York.
Favorite vacation spots: Moonlight Beach in Encinitas, Calif.; Berlin; Surfers Paradise, Australia.
What do you like to read? Military history. Right now I am reading "The River of Doubt," about Teddy Roosevelt's journey to the Amazon.
What radio stations do you listen to? Sirius (Alt Nation, Lithium, Octane and CNBC).

Market views

What lessons can we learn from the current economic slide?
We have all learned not to get too far ahead of ourselves, as business cycles can change that will impact our clients. For the firm, we learned the value of long-term personal relationships, the importance of diversification and not to take anything for granted.

How has the recession impacted your firm?
Our growth plans were scaled back. We focused on what we do best and on our core clients, several of whom have been with us for well over 30 years.

How will this recession impact Phoenix in the long term?
Phoenix remains a dynamic, growing city where people want to live and vacation, and that will not change. We will recover.

In terms of health care reform, what path should we take?
A competitive health care system where businesses and individuals have options. While I support the goal of simplifying health care choices for individuals and employers, it is crucial to develop an architecture with workable rules that ensure quality and affordability and offers a variety of coverage options.

What path should we avoid?
A government-run, noncompetitive single-payer system. It could impact quality and efficiency, add additional liabilities to the federal budget and result in tax on businesses.

31 Jennings Strouss Attorneys Named 2010 Best Lawyers in America

Jennings Strouss & Salmon is pleased to announce that 31 of the firm's lawyers, more than half of the firm's equity members, have been selected for inclusion in Best Lawyers in America® 2010 published by Woodward/White, Inc. of Aiken, South Carolina.

The four lawyers new to this year's list are: Peter M. Eichler [Intellectual Property Law], Robert J. Hackett [Securities Law], Wayne A. Smith [Real Estate Law], and Joel L. Greene [Energy Law].

Jennings Strouss attorneys who were selected for inclusion in the 2010 Best Lawyers in America® Edition are:

Phoenix: Gerald W. Alston [Alternative Dispute Resolution/Commercial Litigation/ International Arbitration/International Trade and Finance Law], John R. Christian [Tax Law/Trusts and Estates], Frederick M. Cummings [Medical Malpractice Law/Personal Injury Litigation/Professional Malpractice], Frank X. Curci [Biotechnology Law/ Technology Law], David B. Earl [Appellate Law], John J. Egbert [Labor and Employment Law], Peter M. Eichler [Intellectual Property Law], George M. Esahak-Gage [ Real Estate Law], Lee E. Esch [Real Estate Law], Jay A. Fradkin [Medical Malpractice/Personal Injury Litigation], Douglas Gerlach [Antitrust Law/Commercial Litigation], Robert J. Hackett [Securities Law], Carolyn J. Johnsen [Bankruptcy and Creditor-Debtor Rights Law], Gary G. Keltner [Bankruptcy and Creditor-Debtor Rights Law, Real Estate Law], Richard L. Lassen [Trusts and Estates], Stephen E. Lee [Tax Law], Richard Lieberman [Corporate Governance and Compliance Law/Mergers & Acquisitions Law/Securities Law], Bruce B. May [Real Estate Law], Michael J. O'Connor [Commercial Litigation/Personal Injury Litigation], J. Scott Rhodes [Administrative Law/ Ethics and Professional Responsibility Law/Legal Malpractice Law], Jack N. Rudel [Corporate Law], John G. Sestak, Jr. [Commercial Litigation], Wayne A. Smith [Real Estate Law], Brian N. Spector [Bankruptcy and Creditor-Debtor Rights Law], George C. Spilsbury [Public Finance Law], Bradley J. Stevens [Bankruptcy and Creditor-Debtor Rights Law], Kenneth C. Sundlof, Jr. [Energy Law], John C. West [Commercial Litigation/Health Care Law] and Douglas G. Zimmerman [Eminent Domain and Condemnation Law].

Washington D.C.: Alan I. Robbins [Energy Law] and Joel L. Greene [Energy Law].

About Jennings, Strouss & Salmon

About Best Lawyers in America

For more than two decades, Best Lawyers has been regarded-by both the legal profession and the public-as the definitive guide to legal excellence in the United States. Lawyers are chosen for inclusion based solely on a vote of their peers. Listings cannot be bought, and no purchase is required to be included. In this regard, Best Lawyers remains the gold standard of reliability and integrity in lawyer ratings. To ensure the continued rigor of the selection process, they urged lawyers to use only their highest standards when voting, and to evaluate each attorney based only on his or her individual merits.

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A Law Firm for the Life Sciences Brought to you by Craigslist

by Raquel Santiago
MedCityNews.com

CLEVELAND, Ohio - Afif Ghannoum thinks this town's biotech sector has gotten big enough for a small law firm.

The 29-year-old attorney four months ago used Craigslist to help launch The Ghannoum Law Firm, which focuses almost exclusively on transactions and intellectual property for the life-science industry. The businesses relies on a virtual workforce and an uncommon compensation method to provide lower costs.

Ghannoum said his niche approach will work because the medical industry is growing at such a fast pace.

"Our aim is to build the most concentrated (law firm) in biotechnology and life sciences," the entrepreneurial-minded Ghannoum said.

The firm's office space belies the size of the practice. Its 400-square-foot office in the heart of Cleveland's downtown is the size of a small master bedroom. He's moving up only slight - to a 500-square-foot space - that offers two offices and a reception area.

Yet Ghannoum Law is comprised of nine senior and partner-level attorneys experienced in biotech issues. It aligns specific client needs with attorneys experienced in that area, with most of its work encompassing transactions and intellectual property, which can be done remotely. A nimble structure allows attorneys to work from their homes or client sites, without billable hour requirements. Attorneys are compensated only when involved in a project.

Ghannoum compares his approach to New York-based Axiom Global, which touts the catchphrase "The road less lawyered." Axiom employs more than 220 seasoned attorneys specializing in numerous areas including corporate law, finance and life sciences. Its attorneys are employed full-time with benefits, but are not paid between assignments.

Axiom's largely virtual nature - most attorneys work in their homes or at client sites and not in a central office - and the absence of expensive real estate, perks and a partner-pay structure result in significant savings which are passed onto clients, said Ed Lee, practice manager for life sciences at Axiom.

Lee said he sees potential in Ghannoum's firm, given the growth in the biotech sector and a push to reign in legal expenses among all firms.

"If they can get enough clients in intellectual property and transactional work, it sounds like they have a good business model," Lee said. "There are so many new (biotech) companies sprouting up, there's a huge client base. As long as (potential clients) can be assured of the quality of attorneys involved, they may opt to use a cheaper resource."

Ghannoum spent four years working as a corporate and real estate attorney at Squires Sanders & Dempsey and Baker Hostetler. His father is Dr. Mahmoud Ghannoum, director of the Center for Medical Mycology at Cleveland's University Hospitals Case Medical Center and is a recipient of the prestigious Bristol-Myers Squibb "Freedom to Discover" award. Medical mycology entails the study of fungus.

Afif Ghannoum got the idea for his new firm upon founding BioVentis, a Cleveland-based emerging technology strategy firm he still runs. He established that business seven months ago to help biotech companies with their development, doing everything from fund-raising and grant writing to competitive intelligence studies and business administration.

Through BioVentis, Ghannoum said he became acutely aware of the complex legal needs among biotech firms. He also saw what he considered exorbitant legal fees they face for the most customary projects.

Frustrated, he began his legal venture by posting a request on Craigslist for partner-level attorneys experienced in biotechnology. The placement drew responses from more than 90 lawyers in Cleveland and another 400 in New York City. Combing through the responses, Ghannoum assembled his current cadre of nine attorneys, and he has placed two other ads since.

Four lawyers are located in Cleveland, one is in Boston and an additional four are based in New York City. One lawyer is a former senior patent attorney for Bristol Myers Squibb. Another is also a venture capitalist who previously worked at GE Asset Management and was head of investment funds for Turner & Roulstone in Cayman Islands, a law firm specializing in finance and real estate matters.

The Ghannoum Law attorneys (eight of which are employees while one who works as a contractor), hold a vast range of experience comprising corporate law, biotechnology, intellectual property, emerging technology and healthcare. Ghannoum says growing to 50 attorneys over the next two to three years is within the realm of possibility as the firm moves to expand its client base through more aggressive outreach, which presently consists largely of word-of-mouth.

In four months, the firm has drawn 20 clients, from a one-person scientist to a publicly traded company in San Francisco. Most of its clients are located in Northeast Ohio and 60 percent are biotech start ups.

Ghannoum said many of his clients declined to be interviewed for this story, saying they were early-stage media companies that didn't want to draw media attention. He also said some clients preferred not to discuss their legal matters in any manner.

One client he could discuss was Tracuro, a Cleveland firm developing technology for the treatment of wounds and urinary infections. It has investments from both Cleveland's University Hospitals and Case Western Reserve University. Ghannoum Law executed the legal work involved in Tracuro's formation earlier this year, it serves as the company's general counsel and handles patents, licenses, contracts and other negotiations, and Ghannoum holds a small equity interest in Tracuro as part of the payment for his firm's services.

Tom Bradshaw, Tracuro's president and chief executive office, said it's difficult to find legal counsel willing to deal with the uncertainties of an early start-up. "(Ghannoum Law's) business model appealed to me because funds are always limited in the early phase and Ghannoum has an approach that matches those needs," said Bradshaw, who is also chairman of Great Lakes Pharmaceuticals. Ghannoum's father, Dr. Mahmoud Ghannoum, is the chief scientific officer and co-founder of Great Lakes.

The emergence of Ghannoum Law is indicative of the increased competition among those seeking to serve the emerging biotech industry. But it's hard to tell whether it will be able to maintain such an intense focus. A decrease in venture funding means money is harder to come by for biotech startups.

That could be a plus for Ghannoum, if you think of it as companies will look to lower-cost legal options. But it could also mean the flow of startups will slow and it will be hard to sustain the medical-industry focus.

"Law firms (generally) try not to rely on a particular industry sector if they can help it," said Frank X. Curci, a partner with Jennings, Strouss & Salmon, a Phoenix, Arizona-based law firm, who specializes in biotechnology law. "As a general rule, industry diversification is best if a firm wants to succeed in the varying business and economic cycles."

Many biotech-focused law firms, for example, also usually cover the green-energy businesses. Curci's firm, for example, also focuses on the construction, technology and energy industries, among others.

But Ghannoum is comfortable focusing almost exclusively on the biotech sector, though it does a few real estate and non-profit projects. He hasn't ruled out diversifying the firm's business, but he said he is confident there is enough biotech work for his firm to thrive.

"We are very well positioned to address a lot of the unique issues (biotech) companies have," Ghannoum said. "There's a great opportunity here."

Jennings Strouss Expands Tax Practice, Hires Lawyers from Bryan Cave

Jennings, Strouss & Salmon, P.L.C., a leading Phoenix-based law firm focused on a variety of practices for corporate clients, is pleased to announce that Richard C. Smith has joined the firm as a Member and Nancy C. Pohl has joined the firm as an Associate. Both will be practicing in the firm's Phoenix office.

Richard Smith, a Phoenix resident, will practice in the Estate Planning & Probate Law, and Tax Law departments. He focuses his practice on the representation of clients in all aspects of tax, corporate and business planning. His practice has a particular emphasis in the employee benefits law area including the design, implementation and other aspects of pension, profit sharing and other qualified plans. In addition, Mr. Smith also has spent considerable time advising clients on non-qualified deferred compensation plans, incentive stock option plans and other types of employee benefit plans. Mr. Smith is licensed as a certified public accountant in Arizona.

Mr. Smith obtained his J.D. from Syracuse College of Law (1971) and his B.A. from Queens College of the City, University of New York (1967).

Nancy Pohl, a Phoenix resident, focuses her practice in the Estate Planning and Probate, Tax and Corporate Securities and Finance Departments. Her practice is focused on corporate and partnership tax planning, estate planning, tax-exempt organizations, general business planning and federal and state tax litigation. Ms. Pohl also advises clients on estate planning and probate matters.

Ms. Pohl obtained her LL.M. from New York University School of Law (2002), her J.D. from Tulane University Law School (2001) and her B.A. from the University of Virginia (1998).

About Jennings, Strouss & Salmon

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Brad Hartman Elected to Executive Counsel for State Bar IP Law Section

Jennings, Strouss & Salmon, a leading Phoenix-based law firm focused on a variety of practices for corporate clients, is pleased to announce that Bradley P. Hartman, a Member with the firm's Phoenix office, has been elected to the Executive Counsel for the State Bar of Arizona's Intellectual Property Law Section.

Hartman, a Phoenix resident, represents clients in the clearance, registration and enforcement of trademarks in the U.S. and internationally, including litigation in federal courts and in opposition and cancellation proceedings before the Trademark Trial and Appeal Board of the U.S. Patent and Trademark Office. He also represents clients in the protection, licensing and enforcement of patents, copyright-protected materials, Internet domain names and trade secrets. Mr. Hartman negotiates and drafts complex agreements involving the acquisition, protection and licensing of intellectual property rights, as well as confidentiality, assignment and non-disclosure agreements. He also works with clients in recovering pirated domain names and halting the infringement of intellectual property rights on the Internet.

"I am pleased to have been elected to the executive council," said Bradley Hartman. "I have served as Chair and Vice-Chair in the past and look forward to the opportunity to contribute to such a worthwhile group."

About the Arizona State Bar Intellectual Property Section

The mission of the Arizona State Bar Intellectual Property section is to maintain a high standard of professional ethics in the practice of the profession of patent and associated fields of law. It also aid in the development of and take action concerning amendments of the patent, trademark and copyright laws, the administration thereof, and the procedure in connection therewith by the Patent Office, the Courts or other offices or tribunals charged therewith. Additionally, it provides a medium by which relations and exchanges of viewpoint may be had with persons and organizations having related interests in the fields of patents, trademarks and copyrights and with the public at large.

About Jennings, Strouss & Salmon

Jennings Strouss is one of the Southwest's leading law firms, providing legal counsel for more than 65 years through its offices in Phoenix and Peoria, Arizona, Las Vegas, Nevada and Washington D.C. The firm's primary industries of practice include energy, health care, real estate, and technology. For additional information please visit www.jsslaw.com or call 602.495.2806.

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Profile: Carolyn Johnsen: Top 5 Finalist for 'Woman of the Year' Award

by Dawn Gilbertson
AZ Magazine

Carolyn Johnsen Stands Out in the Courtroom, and not just for her legal prowess in big bankruptcy cases like that of real-estate lender Mortgages Ltd. The 53-year-old partner at Jennings, Strouss & Salmon eschews dark staid suits for bright, flashy outfits. She recently added matching pens from a collection that her husband, a fellow attorney, started for her.

"I think everything should have a sequin on it," Johnsen said. "I've kind of always tried to set the scene."

Johnsen also has set the standard for women in her profession, rising from an entry-level attorney at Jennings, Strouss to its only female equity partner. She chairs its business bankruptcy and reorganization practice, overseeing a team of 10 attorney and as many as a dozen cases at a time. Many of them, like Mortgages Ltd., are ultra complex.

The lender's bankruptcy was the largest Arizona bankruptcy of 2008. The company's meltdown stalled progress on some of the Valley's biggest commercial real-estate projects and ensnarled thousands of investors who helped finance developer loans.

Johnsen's life is a juggling act, with an early wake-up call well known by colleagues and clients alike. Johnsen goes to bed by 9:30 p.m. and usually gets up at 2:30 a.m. to wade through e-mails, draft case documents and other things she has little time for in the office.

"I just find I really need the quiet time," she said.

Until the Mortgages Ltd. case, she also used the early-morning hours for homework. She is studying online for a master's degree in military history from Norwich University in Vermont. She suspended her enrollment until the case is over, likely in the fall.

She has had a lifelong interest in the topic and figures the classes might help her figure out the next phase of her career. "My problem is I don't know what I want to be when I grow up," she said.

She also sees herself getting more involved, as a board member, with community organizations that could use her turnaround skills.

Outside of work, Johnsen and her husband enjoy antiquing, golf and politics.

Where Do You Get Your Drive? I always want to see what's around the next corner. I'm a very curious person who always wants to learn something new, to strive a little bit harder to get to the next level.

What's the Proudest Moment in Your Career? That's hard to say. I've had moments in my career where I felt like I absolutely made the best argument, I absolutely did the right thing and represented the client. It may not have been pretty. It may not have been the most artful, but we did the right thing. I'm a big believer in that. Always do the right thing.

I Wouldn't Be Successful Without: My dad, who was always a huge inspiration in my life. My second fill-in-the-blank would be my husband, Rick, who I think has taught me how to think and reason.

Advice for Other Women: You must get a mentor. If you talk to women our age, the thing that we miss the most, there were not really any women mentors. What happens now even with these young kids is they don't realize how much they really need to kind of listen to what we've done and what we've gone through. I would give anything to have had a women mentor just to kind of help me through a few things.

John C. West Appointed To Arizona Science Center Board of Trustees

Jennings, Strouss & Salmon, a leading Phoenix-based law firm focused on a variety of practices for corporate clients, is pleased to announce that John C. West, Managing Attorney, has been appointed to the Board of Trustees of the Arizona Science Center.

West, an Ahwatukee Foothills resident, represents a number of corporate health care entities in a broad range of health care law matters, including managed care contract disputes, provider payment issues, antitrust, peer review, and credentialing, provider reimbursement and Medicare issues. Mr. West also has significant experience in litigating health care coverage and employee benefit issues. He currently serves on the Arizona Equal Justice Foundation Board of Directors and previously served on the ASU Technopolis Advisory Board. He has been practicing law in Downtown Phoenix since 1982.

"I am pleased to have the opportunity to contribute to such a phenomenal organization," said John C. West. "Being a part of the Board of Trustees for the Arizona Science Center provides a rare chance to give back to the community in an area that interests me. It is the perfect fit."

About Arizona Science Center

Arizona Science Center, formerly the Arizona Museum of Science & Technology, was conceived in 1980 as a pilot science center by the Junior League of Phoenix. Incorporated as a private, non-profit corporation in 1982, the Science Center opened its doors to the public in 1984. For additional information please visit www.azscience.org.

About Jennings, Strouss & Salmon

Robert Goldstein Appointed To Board of Directors of Rotary International, Las Vegas Fremont Club

Jennings, Strouss & Salmon, P.L.C., a leading Southwest law firm focused on a variety of practices for corporate clients, is pleased to announce that Robert A. Goldstein, a Member with the firm's Las Vegas office, has been appointed to the board of directors of Rotary International's Las Vegas Fremont Club. He will also serve as Chair of the Club's Community Service Projects.

Robert A. Goldstein, a Las Vegas resident, has been practicing as a litigator for more than 29 years. He practices in commercial business litigation, real estate litigation, commercial collection, construction law and Alternative Dispute Resolution. Mr. Goldstein also serves as judge pro tem for the Clark County Eighth Judicial Court and is a member of the Nevada Development Authority.

"I am pleased to have the opportunity to contribute to such a worthwhile organization," said Robert A. Goldstein. "And serving as Chair of the Club's Community Service Projects provides me with a chance to give back to the community in a meaningful way."

About Rotary International

Rotary International is the world's first service club organization, with more than 1.2 million members in 33,000 clubs worldwide. Rotary club members are volunteers who work locally, regionally, and internationally to combat hunger, improve health and sanitation, provide education and job training, promote peace, and eradicate polio under the motto ‘Service Above Self.' For additional information please visit www.rotary.org.

About Jennings, Strouss & Salmon

Jennings Strouss is one of the Southwest's leading law firms, providing legal counsel for more than 65 years through its offices in Las Vegas, Nevada, Phoenix and Peoria, Arizona, and Washington, DC. The firm's primary industries of practice include energy, health care, real estate, and technology. For additional information please visit www.jsslaw.com or call 602.495.2806.

Former Michigan Public Power Agency General Manager Joins Jennings Strouss Energy Practice

Jennings, Strouss & Salmon, P.L.C. is pleased to announce that the former General Manager of Michigan Public Power Agency, Daniel E. Cooper, has joined the firm's Energy practice in the Washington, D.C. office. Jennings Strouss is one of only a few law firms to offer clients energy consultant services with the level of knowledge that Cooper possesses.

Mr. Cooper is a non-lawyer Consulting Engineer in the firm's Energy Law Group. Dan is a Registered Professional Engineer focusing his consulting work on electric utility matters, including economic and feasibility analysis, oversight of electric generating resource operations and development, power supply and transmission contracts, oversight of bulk power operations, compliance with environmental regulations and reliability standards, and review and oversight of transmission and bulk electric power contracts.

Mr. Cooper joined the firm after serving with the Michigan Public Power Agency for more than 16 years, first as Engineering Manager, and later as General Manager. While at Michigan Public Power Agency, his responsibilities included the management of personnel as well as the day-to-day operations of the $120 million per year municipal joint action agency that owns both generation and transmission assets. Prior to joining Michigan Public Power Agency, Dan worked for 12 years for the firm of R. W. Beck.

Mr. Cooper will be providing consulting services to municipalities and electric utilities which include: Bulk electric power supply agreement negotiations, transmission and interconnection agreement negotiations, Regional Transmission Organization ("RTO") energy market expertise, electric generating resource acquisition, compliance with environmental regulations and reliability standards, energy market and transmission service-related overviews for state regulatory commissions and consumer advocate groups, as well as transmission expansion system planning, cost recovery mechanisms and pricing proposal consulting.

"We are thrilled to have someone with Dan's experience and reputation on board with the firm," said Kenneth Sundlof, Jr., Member and Department Chair for Jennings Strouss' Energy Law Group. "Given the ever-increasing complexity of the electric industry, Dan's deep experience in utility regulatory matters and RTO as well as tariff development combine with our energy law expertise to provide our clients with a unique combination of legal and business consulting and counseling," added Alan I. Robbins, a Member of the firm's Energy Law Group in the Washington, D.C. office.

Cooper obtained his M.B.A., in Finance from Indiana University (1980) and his B.S., in Electrical Engineering from the Rose-Hulman Institute of Technology (1974).

Investors In Charge of Revamped Valley Lender

by J. Craig Anderson
The Arizona Republic

The investors who stand to lose millions of dollars in failed commercial real-estate lending venture Mortgages Ltd. now are in control of the company as it emerges from bankruptcy proceedings.

U.S. Bankruptcy Court Judge Randolph J. Haines on Wednesday approved the formation of a five-member committee of investors to oversee the resolution of nearly 70 real-estate loans issued by the company, which filed for Chapter 11 reorganization last June.

Phoenix-based Mortgages Ltd. financed a number of high-profile developments in the Valley, including the now-bankrupt Centerpoint condo project in downtown Tempe and Hotel Monroe in downtown Phoenix.

All but a handful of the company's borrowers are now in default, attorneys in the case said Thursday.

The good news, they said, is that Mortgages Ltd. management, lead investor Radical Bunny LLC and the vast majority of individual investors now have agreed on a plan to manage the company's remaining assets and seek ways to generate cash flow.

Those ways are likely to include restructuring loans for borrowers who agree to the committee's terms, foreclosure of land assets in cases where borrowers no longer have a foreseeable payoff plan, and filing lawsuits against individuals and organizations accused of contributing to the lender's demise.

Nearly 90 percent of the company's more than 1,500 investors approved the plan.

Still, attorneys representing the company's former managers and investors, who until this week were locked in a struggle for control, said the prospects for recovering a significant portion of investors' money are as uncertain as the country's economic future.

"It could be anywhere from zero to a very large number," said Phoenix lawyer Cathy Reece, who represents some of the company's biggest investors.

Mortgages Ltd. lead attorney Carolyn Johnsen said emerging from reorganization in the midst of an economic recession is far from ideal, and she expressed concern that investors would be expecting more than the new leadership could deliver.

"There's going to be a lot of waiting before there's really a recovery," Johnsen said.

Under the investors' plan approved by the court, Mortgages Ltd. would borrow $20 million from two private-equity lenders that already have agreed to loan the money, Reece said.

The five-member management committee consists of local economist and real-estate analyst Elliott Pollack, National Bank of Arizona Executive Vice President Scott Summers, retired title insurance veteran Bruce Buckley, independent real-estate developer Bill Hawkins and Radical Bunny bankruptcy trustee Grant Lyon, a certified public accountant.

The committee will create a separate limited liability trust to manage each loan or foreclosed asset, with the investors in that loan or asset as members of the trust.

Operational expenses will be financed by the new loan, Reece said.

Mortgages Ltd. will not conduct any new business, such as issuing new loans, the attorneys said.

The company filed for reorganization just two weeks after its chairman and chief executive, Scott Coles, committed suicide at his Phoenix estate in June. At the time, the lender's loan portfolio was worth about $925 million.

Cost Cuts Can Present Legal Minefields: Layoffs, Furloughs, Pay Cuts Can Result in Lawsuits

by Mike Sunnucks
The Phoenix Business Journal

The recession has many people feeling like they're living the life of characters in the anticorporate movie "Office Space," with consultants and managers looking to cut costs everywhere possible and workers fretting over furloughs, pay cuts and layoffs.

For employers, these cost-cutting measures involve plenty of potential legal pitfalls, including companies getting sued for targeting a specific group or type of worker with layoffs, and businesses being forced to shift all of their workers to an hourly pay basis because salaried workers were checking their business e-mail or voice mail while on mandated furloughs.

A number of Valley employers - including Arizona State University and The Arizona Republic - have put workers on forced unpaid leave to save money. The biggest legal problem related to furloughs is that employers might get in trouble with the U.S. Department of Labor if salaried workers do any kind of work during that forced off-time, said Christy Hubbard, an employment attorney with Phoenix-based law firm Lewis and Roca LLP.

Hubbard said salaried workers who do a glimmer of work during their unpaid furloughs - including checking email or voice mail - can spark complaints to the DOL or lawsuits. Those actions can lead to businesses losing their ability to employ salaried workers and force them to pay hourly wages, even to professional staff. Such a circumstance could be a big hit to businesses, as it would require them to pay overtime and track hourly work.

"You have to be doing it right, or you are violating the law," Hubbard said.

Many businesses - including those in the troubled construction and financial sectors - have cut workers' pay across the board by 5 percent or 10 percent. Others are encouraging employees to take surplus vacation time to reduce payout costs. Still others are laying people off.

When it comes to layoffs or pay cuts, employers need to make sure those actions don't target classes of workers protected by federal discrimination laws, such as older workers, women or minorities.

Dona Nutini, an employment attorney with the Phoenix law office of Polsinelli Shughart PC, said employers' biggest mistakes when it comes to layoffs, pay cuts and furloughs is that they fail to communicate with employees. Frustrations are exacerbated by dictums from headquarters rather than direct communication from local managers.

"The biggest problem is that (companies) don't communicate with their employees," Nutini said. "They don't keep them in the loop."

She said things like Friday layoffs and short notices lead to staff frustrations that can lead to discrimination claims, other lawsuits or unionization efforts.

Nutini, former staff counsel with the National Labor Relations Board, said businesses need to be able to prove their cuts are not discriminatory.

Mike Tope, CEO of Creative Business Resources, a Phoenix-based consulting and human resources firm, said that's the biggest legal challenge for employers facing staff cutbacks.

"Layoffs usually cause the most legal problems if the terminated employees feel they were discriminated against," Tope said.

Both Tope and Nutini said employers need to document and quantify their actions to protect against costly lawsuits.

John Egbert, an attorney and head of the labor practice at the Phoenix law office of Jennings Strouss & Salmon PLC, said employers need to be especially aware of disclosure rules and worker protections under the Older Worker Benefit Protection Act, the federal law related to employees who are 40 or older.

Fifteen Members of Jennings, Strouss & Salmon Named as 2009 Southwest Super Lawyers

Jennings, Strouss & Salmon is pleased to announce that fifteen (15) Members (Partners) were named as 2009 Southwest Super Lawyers by the publishers of Law & Politics.

Jennings Strouss lawyers listed in the 2009 edition include: Gerald "Buzz" Alston (Business Litigation), John Christian (Tax), Fred Cummings (Medical Malpractice Defense), John Egbert (Employment & Labor), George Esahak-Gage (Real Estate), Lee Esch (Real Estate), Jay Fradkin (Medical Malpractice Defense), Carolyn Johnsen (Bankruptcy & Creditor/Debtor Rights), Stephen Lee (Tax), Bruce May (Real Estate), Steve Newmark (Tax), Michael O'Connor (Business Litigation), Michael Palumbo (Business Litigation), Brian Spector (Bankruptcy &Creditor/Debtor Rights), and John West (Health Care).

Carolyn Johnsen, a Member (Partner) with Jennings Strouss, was selected as one of the top 50 lawyers in Arizona. Johnsen is Chair of the firm's Business Restructuring & Reorganization Section. As acommercial, bankruptcy, and restructuringattorney, litigator and appellate attorney, Johnsen has extensive experience in every aspect ofcommercial reorganizations, representing both debtors and creditors. She has several published decisions and has been a frequent speaker at state and national bankruptcy seminars.

Super Lawyers was first published in 1991 and can be found in more than 30 states. Super Lawyers is based on an exhaustive peer-review survey in which 18,000 ballots are sent to active lawyers in Arizona and New Mexico. Law & Politics' research department examined and evaluated the background and experience of the candidates and made final selections based on firm size, highest point totals in each category. Only 5 percent of the total lawyers in Arizona are listed in Super Lawyers. Lawyers are not required or allowed to pay a fee to be listed in the publication.

CityScape New Headquarters For Jennings Strouss in June 2010

Jennings, Strouss & Salmon, PLC, one of the most respected law firms in the Valley, will move its Phoenix headquarters to CityScape, a 1.8-million-plus-square-foot urban development located at the core of downtown Phoenix.

The Jennings Strouss & Salmon lease totals approximately 54,000 square feet and brings occupancy commitments for CityScape's office tower to more than 55 percent. The law firm will be relocating to CityScape in June 2010.

RED Development L.L.C. is the developer of CityScape, a multi-use project that is part of the resurgence of downtown Phoenix. The property, which is adjacent to the US Airways Center and within two blocks of Chase Field, encompasses two linear blocks. The boundaries are: 1st Avenue to the west, 1st Street to the east, Washington Street to the north, and Jefferson Street to the south.

"CityScape has been eagerly anticipated in downtown Phoenix for the vibrancy it will bring to the area, and we're pleased to be part of it," said John C. West, managing attorney with Jennings, Strouss & Salmon. "The new office building offers efficient space planning options and the opportunity to roll out a state-of-the-art work environment for our firm. We're excited about this move."

"The availability of new Class A office space in a mixed-use development that incorporates the entire downtown district has attracted many major tenants to CityScape," said Keith Earnest, vice president of development at RED Development. "There is a unique opportunity to capture the true nature of a 24/7 downtown environment."

The first phase of CityScape includes a 575,000-square-foot office building and 1,250 below-grade parking spaces, as well as approximately 180,000 square feet of retail and restaurant space. The first phase is scheduled to open late in 2009. The development's second phase includes additional retail and a four-star Kimpton Hotel Palomar.

Other signed tenants at CityScape include AJ's Fine Foods; a Fox Restaurant Concepts restaurant; and Urban Outfitters.

Sam Merek, Blaine Black and Brian Black with Cushman & Wakefield handled the lease transaction for Jennings, Strouss & Salmon.

Jennings Strouss & Salmon is consistently ranked among the top law firms in Arizona. Founded in 1942, the firm provides a comprehensive range of transactional and litigation services to a diverse client base. The firm employs more than 90 attorneys and has offices in Phoenix; Peoria, Ariz.; Las Vegas; and Washington D.C. For more information, visit: www.jsslaw.com.

RED Development, formed in 1995, develops, leases, manages and owns real estate developments in rapidly growing communities throughout the Midwest and Southwest. RED has 30 centers open, in development, or under construction, totaling nearly 19 million square feet. Within the industry, RED has earned a reputation for delivering as promised and creating strong relationships with its tenants, communities and business partners. RED has nearly 200 employees and is co-headquartered in Scottsdale, Ariz., and Kansas City, Mo. To learn more, visit www.reddevelpment.com.

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Law Firm Signs Lease for 54,000 Square Feet at CityScape

by Jan Buchholz
The Phoenix Business Journal

Jennings Strouss & Salmon PLC signed a lease with RED Development for 54,000 square feet in the first phase of CityScape, a three-block mixed-use project under construction in downtown Phoenix.

The law firm expects to move into the new office in June 2010. It is 20,000 square feet smaller than the space Jennings now occupies at the neighboring Collier Center.

John West, managing attorney at Jennings, said new technology, customized design and other amenities will allow the 90-attorney firm to be more productive in less space.

"Our costs will be less in the long run than staying put," he said.

Two other large law firms also are moving to CityScape. Squire Sanders & Dempsey LLP signed for 80,000 square feet, and Ballard Spahr Andrews & Ingersoll LLP will occupy 40,000 square feet.

Keith Earnest, RED's vice president of development, said the lease terms typically are 10 to 15 years. Financial terms were not disclosed.

A key selling point for Jennings, West said, was the Kimpton Hotel Palomar that will be part of CityScape.

"Having a hotel on the property for clients is another one of the amenities we like," West said.

RED previously announced that Urban Outfitters, Fox Restaurant Concepts, Gold's Gym and AJ's Fine Foods will have operations in CityScape. Earnest said another major retailer will be announced in the next few weeks.

With the Jennings announcement, the CityScape office tower is 55 percent preleased, mostly by professional service firms.

"Across the Valley, new office leases are being signed every day," said Jonathan Keyser, principal of Cresa Partners, a national tenant representation firm with offices in Phoenix.

Dramatic increases in office vacancies are opening the door for many tenants to bargain with landlords for better deals, Keyser said.

"We are busy renegotiating leases across the state and across the country, and we are picking up new national clients who need help managing their real estate portfolios more effectively," he said.

Along those lines, he said, the buzzword is "rightsizing."

"Tenants are trying to figure out ways to do more with less," Keyser said.

Bradley P. Hartman Joins Jennings Strouss & Salmon

Jennings, Strouss & Salmon, P.L.C., a leading Phoenix-based law firm focused on a variety of practices for corporate clients, is pleased to announce that Bradley P. Hartman has joined the firm as a Member in its Phoenix office.

Hartman, a Phoenix resident, will practice in the Intellectual Property and Litigation Departments. He represents clients in the clearance, registration and enforcement of trademarks in the U.S. and internationally, including litigation in federal courts and in opposition and cancellation proceedings before the Trademark Trial and Appeal Board of the U.S. Patent and Trademark Office.

Prior to his work in private practice, Mr. Hartman served as a legal intern for the United States Supreme Court and a law clerk at the United States Department of Justice. Mr. Hartman obtained his J.D. from The George Washington University Law School (1995) as well as his B.B.A., in Economics and Public Policy Administration from The George Washington University (1990).

Jennings, Strouss & Salmon Joins The Law Firm Alliance

Jennings, Strouss & Salmon, P.L.C., a leading Phoenix-based law firm focused on a variety of practices for corporate clients, is pleased to announce that they have accepted an invitation to join the Law Firm Alliance.

The Law Firm Alliance is an affiliation of 50 law firms in the United States, Canada, Mexico and the European Union, created for referrals of legal matters. LFA members are mid-sized law firms with a relatively narrow geographic scope. All are highly regarded commercial firms offering a variety of corporate and litigation services, and each U.S. based LFA member has received an AV peer review rating from LexisNexis Martindale-Hubbell. The Alliance also provides an opportunity for member firms to share information on providing better client service, on improving firm governance and on marketing strategies.

"Jennings, Strouss & Salmon is pleased to participate in such a dynamic group," said John C. West, Jennings Strouss & Salmon Managing Attorney. "The Law Firm Alliance is well respected organization and is a great way for our firm to provide our clients with access to talented lawyers outside of our local markets."

About Jennings, Strouss & Salmon

The firm has built its reputation around its litigation services, real estate, business bankruptcy, finance and utility attorneys. With the development of new technologies, Jennings Strouss has emerged as a leader in the rapidly expanding fields of technology law, e-commerce and biotechnology and life sciences; this reputation has earned them a #1 rating in these areas by The Best Lawyers in America 2009. They are one of only a handful of Arizona-based firms with a Washington D.C. energy practice.

Mortgages Ltd. Files Competing Ch. 11 Plan

by Jocelyn Allison
Law 360

New York -- Mortgages Ltd. has filed a reorganization plan in its Chapter 11 case that calls for continuing loan operations through a reorganized company and establishing a trust to liquidate some of its assets and handle litigation.

The new company would be called Phoenix Loan Services LLC, and it would continue to manage and administer the debtor's loans under existing agreements, according to the plan and disclosure statement filed Wednesday in the U.S. Bankruptcy Court for the District of Arizona.

"The plan is a simple one which maintains the integrity of the investors' original interests in their loans and provides for continuing servicing of those interests, all to maintain an ease of continuity," the debtor said in court documents.

"The important new factor however is that the servicer of the loans (the new ML) will actually be owned by investors and creditors and will be managed by a board of directors comprised of independent directors as well as investor and/or creditor representatives," the debtor continued.

Creditors and investors would own both the reorganized company and the trust, which would be responsible for litigating against parties that have caused significant losses for the company, the debtor said.

If the plan is confirmed, investors and allowed unsecured creditors will receive most of the interest spread and other fees due when borrowers pay their loans or the property securing the loans is foreclosed, court documents said.

Under the plan, Radical Bunny LLC will have an allowed secured claim of $75 million in addition to a $125 million allowed claim as an unsecured creditor.

The debtor's plan will compete with one submitted Jan. 21 by the official committee of investors, which recently drew harsh criticism from both the debtor and the official committee of unsecured creditors.

ML claimed the investors' plan did not sufficiently discuss potential causes of action, the treatment of investors in reorganization, compensation to the toppled company's officers and is murky on the debtor's default interest and fees associated with the debtor's loans.

The creditors' committee claimed the investors' plan fails to offer "adequate information" necessary for an informed judgment about the plan, and neglects in particular to explain the factors - namely shadowy investor dealings - that contributed to ML's demise.

Certain ML investors were receiving payments that did not originate from the underlying loans they invested in and shuffled the finances to the point that the "operation mutated into a Ponzi scheme," the creditors claimed in the objection.

The creditors also claimed that the disclosure statement failed to clarify liabilities in connection with potential litigation against the debtor and its affiliates, including Greenberg Traurig LLP, over the company's collapse.

The disclosure statement also incorrectly treats Radical Bunny as a secured creditor and neglects to address the business' liability arising from roughly $22 million in cash dispersements it received from the debtor in the year prior to the June 2008 bankruptcy filing, the creditors committee claimed.

Stratera Portfolio Advisors LLC and Secured Capital Management Co. LLC lodged similar objections, claiming the disclosure statement, among other shortfalls, glosses over the circumstances that gave rise to ML's bankruptcy filing and offers meager details of the debtor's future.

The investors committee is composed of 44 investors in ML's Value-To-Loan Opportunity Fund I LLC, which is believed to have extended about $7.7 million worth of loans to the mortgage lender's investor opportunity funds or pools.

The official committee of unsecured creditors is represented by Nussbaum & Gillis PC; Stratera Portfolio Advisors LLC and Secured Capital Management are represented by Greenberg Traurig LLP.

The official committee of investors is represented by Fennemore Craig PC.

Mortgages Ltd. is represented by Jennings Strouss & Salmon PLC, Greenberg Traurig LLP and Deconcini McDonald Yetwin & Lacy PC.

The case is In re: Mortgages Ltd., case number 08-bk-07465, in the U.S. Bankruptcy Court for the District of Arizona.

--Additional reporting by Pete Brush and Samuel Howard

Council Supportive of Plans for New Retirement Complex

by Cindy Barks
The Daily Courier

PRESCOTT - Sun Street resident Gary Falk is hoping that his trip to the Prescott City Council this week will be among the last he will have to make concerning a six-acre parcel of land on Canterbury Lane.

Over the past decade, Falk estimates that he has made more than two dozen visits to city meetings to discuss development plans for the central-Prescott land (off Whipple Street), which is near his long-time home.

On Tuesday, Falk told the council members that the most recent version of the plans is the best so far.

"This looks to me like a good project - of all of the projects I've seen," Falk said in support of The Boulders, a 132-unit retirement complex that developers are planning for the Canterbury land.

His comments were largely in tune with the views of a majority of council members, who also were mostly positive about the project.

Because this week's meeting was a study session, the council took no vote on the project. The matter, including a new site plan and an increase in height from 45 feet to 49.5 feet, will be back on the agenda for a vote on Feb. 24.

City Community Planner Mike Bacon introduced the project by referring to the long, sometimes-difficult history the small parcel of land has had during past city reviews.

"This project, over the last 10 years, has seen numerous revisions," Bacon told the council, adding that the discussion has "gotten a little hairy" at times.

As long ago as 1999, city officials were grappling with a rezoning that would have allowed for a 155-unit assisted living center on the land.

In 2003, the city entered a development agreement for the land that involved a 132-unit senior housing complex on the 6.27-acre site.

This week, architect Larry Meeks maintained that the new plans offer an improvement over those earlier plans. For instance, he said, the new plans involve much less "cut-and-fill" grading than did the previous plans, and that the buildings would be more compatible with the terrain.

Although much of the discussion was positive, the council did hear dissension from a representative of Las Fuentes, a nearby retirement living complex.

Janet Hutchison of the Jennings, Strouss & Salmon law firm disputed the earlier claim by Boulders' representatives that the complaints by Las Fuentes were similar to "McDonalds complaining that there's going to be a Wendy's on the corner."

Rather, Hutchison maintained that developers of The Boulders had done nothing to deal with many of the city's earlier concerns about traffic, emergency access, parking, and density.

"This plan is not an improvement," Hutchison told the council, noting that Las Fuentes was "not afraid of competition; we're pretty much full all the time."

What Las Fuentes was afraid of, Hutchison said, was a poorly designed project next door.

But Thomas Kack, an attorney for The Boulders, responded that the project had met the terms of the earlier development agreement, as well as the city code.

"All of this is pretty much a bunch of red herrings," Kack said of the Las Fuentes concerns.

Developer William Spring, president of Forest Glen, Inc. of Sedona, said plans for The Boulders involved 88 apartments for independent living (for people 55 and older), and 44 assisted-living units.

Stephanie Hart Elected as Vice President of the Returned Peace Corps Volunteers Board

Jennings, Strouss & Salmon, P.L.C., is pleased to announce that Stephanie Hart, an Associate with the firm's Phoenix office, has been elected as Vice President to the Board of Returned Peace Corps Volunteers of Phoenix, Arizona.

Hart, a Phoenix resident, focuses her practice on litigation, with an emphasis on real estate and employment law. Prior to joining Jennings Strouss, Ms. Hart practiced in New York and Los Angeles, serving the needs of business clients in "bet-the-company" commercial litigations. Ms. Hart also served as law clerk to the Honorable Ferdinand F. Fernandez of the U.S. Ninth Circuit Court of Appeals, as well as to the Honorable Constance Baker Motley of the U.S. Southern District of New York. Ms. Hart worked as campaign staff in the 2008 presidential primary elections; she continues to volunteer her time as Special Counsel to the New York Democratic Lawyers Council. Prior to attending law school, Ms. Hart served in the United States Peace Corps in Poland teaching English as a second language. Hart received her law degree from the Columbia University School of Law (2000) and her B.A. from Arizona State University (1993).

"I am thrilled to have the opportunity to continue to support the Peace Corps through my involvement on the Board," said Hart. "Participating in the Peace Corps has always been a worthwhile experience."

The Peace Corps Volunteers of Phoenix is a community of former and prospective volunteers who live in the Phoenix and Central Arizona region. The focus of the group is to promote Peace Corps ideals through cultural education, community outreach and service. It also provides social activities and emotional support for returned and future Peace Corps volunteers and their families.

Peter Sorensen Appointed to Ballet Arizona's Corporate Advisory Committee

Jennings, Strouss & Salmon, P.L.C., is pleased to announce that Peter Sorensen, a Member with the firm's Phoenix office, has been appointed to the Corporate Advisory Committee of Ballet Arizona.

Sorensen, a Phoenix resident, is a litigator and trial lawyer with extensive experience in complex commercial cases in all state, Federal and bankruptcy courts. These include cases dealing with real property, corporate and partnership disputes, agriculture, civil fraud, employment law, construction and creditor/debtor rights. His clients include large supermarket chains, property developers, commercial dairy farmers, commercial and general contractors, accounting firms, marinas and mining companies. He also has experience briefing and arguing appeals before the Arizona Supreme Court, the Arizona Court of Appeals, the U. S. Courts of Appeals for the Ninth and Third Circuits, and the Ninth Circuit Bankruptcy Appellate Panel. As a judge pro tempore for the Maricopa County Superior Court, Mr. Sorensen has served as trial judge on several jury trials, and as a mediator in nearly 100 cases. He has also served as a private arbitrator and mediator. Sorensen received his law degree from the University of Utah, S.J. Quinney College of Law (1982) as well as his B.A. from the University of Utah (1973).

"I am very excited to have the opportunity to contribute to local arts programs through my involvement with Ballet Arizona," said Sorensen. "Giving back to the community is always a rewarding experience."

Ballet Arizona is an innovative and provocative professional ballet company that creates, performs, and teaches outstanding classical and contemporary ballet. The company is dedicated to preserving and celebrating classical dance while creating and commissioning new innovative works. Ballet Arizona is under the artistic direction of Ib Andersen, who was a principal dancer with the New York City Ballet for over a decade. An administrative team and community board of directors provides support services and oversight for the company's activities, and is assisted by the dedicated efforts of an enthusiastic Volunteer Corps. Ballet Arizona is dedicated to serving the people of central Arizona through Education and Community Outreach programs, which touch the lives of more than 35,000 children each year.

Investors File Bid to Steer Loan Portfolio

by Andrew Johnson
The Arizona Republic

Investors would control the real-estate loans that Mortgages Ltd. made to developers under a proposed reorganization plan an investors committee filed in U.S. Bankruptcy Court.

The plan is the first one filed since the Phoenix-based development and construction financier was forced into bankruptcy seven months ago.

Under the plan, filed last Wednesday in Phoenix, Mortgages Ltd. would service the nearly 70 loans it made to developers by collecting fees and providing legal support.

The duty of managing the loans would go to individual limited-liability companies set up for each loan.

Investors in the individual loans and the deeds of trust related to those loans would be granted membership interests in the LLCs. The membership would be based on the size of their original stake in the loans and deeds of trust, according to attorney Cathy Reece, who represents the investors committee.

Each LLC would have a manager who could make recommendations on how to handle each loan.

Members of the LLC would vote on decisions concerning the loans, such as whether to foreclose, negotiate loan-principal amounts or sell a loan.

Under the plan, "these will be investor-controlled loans, and it will have professional management," Reece said. "The debtor will stay around as a reorganized entity, but it won't be making new loans, and they won't be doing the workouts or making big decisions on these loans."

Reorganization plans typically spell out how a debtor in Chapter 11 bankruptcy will pay back claims that creditors and investors filed in court, resolve legal disputes and move forward.

Creditors must vote whether to accept or reject proposed plans, which a bankruptcy judge must confirm. The process can take months, especially if creditors and investors disagree on plan aspects.

It also is likely that other parties in the case, including Mortgages Ltd., will file competing plans with their own proposals.

Reece said she believes the committee's plan treats all creditors fairly and solves legal disputes that have caused the bankruptcy to drag on.

Carolyn Johnsen, one of Mortgages Ltd.'s bankruptcy attorneys, said bankruptcy law prohibits her from commenting on details of the investors committee's proposal. However, she said, "one or two" additional plans would likely be filed in the coming weeks.

"We are still negotiating with various parties about the possibility of a consensual plan," she said, adding that the company is in an "unusual position" because it is obligated to address all parties' concerns.

Trade creditors, loan borrowers and investors have filed more than 1,800 claims totaling $1.9 billion in the lender's bankruptcy as of this week, according to the court.

The court could determine some claims to be invalid.

Mortgages Ltd. opted to reorganize its debts under Chapter 11 after Grace Communities, developer of the stalled Hotel Monroe project in downtown Phoenix, tried to force the lender to liquidate its assets under Chapter 7.

The filing took place two weeks after Mortgages Ltd.'s chairman and chief executive, Scott Coles, committed suicide at his Phoenix estate in June.

At the time, the lender's loan portfolio was worth about $925 million, according to court records. Investors supplied the bulk of the money Mortgages Ltd. lent to developers. Most investors are not receiving their dividends because borrowers have defaulted on about two-thirds of the loans.

Other proposals in the committee's plan include:

•Establishing a liquidating trust to sell Mortgages Ltd.'s non-loan assets and pursue claims against attorneys, accountants and other professionals who could be liable for the lender's downfall. The trust would be managed by a trustee agreed upon by all parties.

•Settling outstanding disputes, including determining whether Mortgages Ltd.'s largest creditor, investment firm Radical Bunny LLC, will be treated as secured or unsecured. Secured creditors recover money ahead of unsecured creditors.

•Transforming Mortgages Ltd. into a loan-servicing entity called ML Servicing Co. Inc. The company would be owned and controlled by the liquidating trust.

Chapter 11 Plan Proposed for Mortgages Ltd.

by Andrew Johnson
The Arizona Republic

Investors would control the real-estate loans that Mortgages Ltd. made to developers under a proposed reorganization plan an investors committeefiled in U.S. Bankruptcy Court.

The plan is the first one filed since the Phoenix-based development and construction financier was forced into bankruptcy seven months ago.

Under the plan, filed Jan. 21 in Phoenix, Mortgages Ltd. would service the nearly 70 loans it made to developers by collecting fees and providing legal support.

The duty of actually managing the loans would go to individual limited-liability companies, or LLCs, set up for each loan.

Investors in the individual loans, and the deeds of trust related to those loans would be granted membership in the LLCs. The membership would be based on the size of their original stake in the loans and deeds of trust, according to attorney Cathy Reece, who represents the investors committee.

Each LLC would have a manager who could make recommendations on how to handle each loan.

Members of the LLC would vote on decisions concerning the loans, such as whether to foreclose on a borrower,negotiate loan principal amounts or sell a loan.

Under the plan, "these will be investor-controlled loans and it will have professional management," Reece said. "The debtor will stay around as a reorganized entity but it won't be making new loans and they won't be doing the workouts or making big decisions on these loans."

Reorganization plans typically spell out how a debtor in Chapter 11 bankruptcy will pay back claims that creditors and investorsfiled incourt, resolve legal disputes and move forward.

Creditors must vote whether to accept or reject proposed plans, which a bankruptcy judge must confirm.

The process can take several months, especially if creditors and investors disagree on plan aspects.

It also is likely that other parties in the case, including Mortgages Ltd., will file competing plans with their own proposals.

Reece said she believes the committee's plan treats all creditors fairly and provides solutions to legal disputes that have caused the bankruptcy to drag on.

Carolyn Johnsen, one of Mortgages Ltd.'s bankruptcy attorneys, said bankruptcy law prohibits her from commenting on details of the investors committee's proposal. However, she said "one or two" additional plans would likely be filed in the coming weeks.

"We are still negotiating with various parties about the possibility of a consensual plan," she said, adding that the company is in an "unusual position" because it has an obligation to address all parties' concerns.

Trade creditors, loan borrowers and investors have filed more than 1,800 claims totaling $1.9 billion in the lender's bankruptcy as of this week, according to the court.

The court could determine some claims to be invalid.

The filing occurred two weeks after Mortgages Ltd.'s Chairman and Chief Executive Officer Scott Coles committed suicide at his east Phoenix estate in June.

Other proposals in the committee's plan include:

•Establishing a liquidating trust to sell Mortgages Ltd's non-loan assets and pursue claims against attorneys, accountants and other professionals who could be liable for the lender's downfall. The trust would be managed by a trustee agreed upon by all parties.

•Transforming Mortgages Ltd. into a loan servicing entity called ML Servicing Co. Inc. The company would be owned and controlled by the liquidating trust.

Russell R. Rea Appointed to Valley Forward Association's Board of Directors

Jennings, Strouss & Salmon, P.L.C., is pleased to announce that Russell R. Rea, a Member with the firm's Phoenix office, has been appoined to the Board of Directors of Valley Forward Association.

Rea, a Phoenix resident, practices in commercial litigation with a focus in the areas of eminent domain, real estate and construction. Mr. Rea has significant experience litigating in Arizona state and Federal courts in condemnation-related disputes for both governmental/quasi-governmental condemners and property owners; right-of-way disputes involving utility services and irrigation water delivery facilities; commercial and residential construction defect and payment disputes for owners, architectural and engineering firms and contractors; and landlord-tenant disputes. Rea received his law degree from Arizona State University (1992) and his B.S. from Texas Christian University (1989).

"I am thrilled to have the opportunity to contribute to such a worthwhile organization," said Russell Rea. "I deal with environmental and quality-of-life issues every day in my practice, so getting involved with Valley Forward was the perfect fit for me."

Valley Forward is a public interest organization that has influenced quality of life and environmental decisions since 1969. The Association is a blend of members including large and small businesses, government jurisdictions and others that share a goal of promoting cooperation to improve the environment and quality of life in the Valley. It was formed as a non-profit group merging the Phoenix Development Association, Mid-Town Improvement Association, Valley Beautiful Citizens Council and Maricopa County Taxpayers Association. Valley Forward has more than 275 member companies, involving 600 active participants working together to help shape our community and move our Valley forward.

Matthew L. Cates and David W. Elston Elected Members (Partners) of Jennings Strouss

Jennings, Strouss & Salmon, P.L.C. is pleased to announce that Matthew L. Cates and David W. Elston have been elected Members (Partners) of the firm, effective January 1, 2009.

Cates, a Phoenix resident, focuses his practice on civil litigation. He has represented clients in insurance defense, insurance bad faith cases, and in civil appeals. Cates obtained his J.D. from the Arizona State University, Sandra Day O'Connor College of Law (1999) and his B.A. from Bowdoin College (1996).

Elston, a Phoenix resident, focuses his practice on real estate and commercial transactions, corporate securities and corporate formation, zoning issues, and sports representation. Mr. Elston is also a Registered Agent with the Major League Baseball Players Association and has represented over a dozen major league baseball players, negotiating over $50 million worth of guaranteed major league baseball contracts on their behalf. Elston obtained his J.D. from The University of Toledo College of Law (1984) and his B.S. from Ohio State University (1980).

Court Ruling Puts Business Method Patents Under Review

Phoenix Business Journal - by Patrick O'Grady

Patents to protect various business methods could be limited by a recent U.S. Court of Appeals decision.

In the case In Re Bernard L. Bilski and Rand A. Warsaw, which was referred after a challenge by the U.S. Patent and Trademark Office, the court ruled business methods that produce abstract results no longer may be subject to patents. Instead, methods must involve machining or transformation to some degree to be patented.

In a fight that involved players from various industries arguing both sides of the issue, the court ruling could have significant ramifications for businesses that have patented or have been considering patenting certain methods.

Basically, the test for a patent has changed to one that produces a physical change or one that involves machining. This could eliminate a host of patents issued since 1998, when the appellate court ruled to allow method patents, said Joseph Mott, a patent attorney with Jennings, Strouss & Salmon PLC in Phoenix.

The Bilski case involved a method for hedging commodities transaction risks developed by Bernard Bilski and Rand Warsaw. In its decision, the court targeted only business methods that involve mental steps. The court did not address whether using a computer to manipulate data represented the use of a machine or the transformation of a product.

The decision has created questions in the business community about what methods still are protected, said Jerry Fellows, a patent attorney and shareholder with Greenberg Traurig LLP in Phoenix.

"If anything, it will be a narrowing of the decision (on what can be patented)," he said.

What many companies had sought, particularly in the financial sector, was a complete ban on business method patents. Other companies holding such patents had sought broader protections on those methods and recognition of them as legitimate.

Because of the court's decision, there could be outs for companies looking to either protect existing patents or file for new ones, Fellows said.

Applications for business method patents have been on the rise for the past several years. There were 8,500 applications in 2005, 9,500 in 2006 and 11,000 last year, when 1,300 business method patents were granted.

The real question is whether computers and their abilities will come into play. Mott said it will depend on whether the court and the Patent and Trademark Office determine whether computers transform data, or simply perform computations that otherwise could be done by hand.

"A lot of these are tied to computers, but the computer can be used to speed up the math," he said.

Another variable is in the value of companies holding business patents. While investors typically look for intellectual property to add value, some companies ultimately may be holding worthless patents and their value may be considerably lower than estimated, Mott said.

"People can be very creative about what they can patent if there's money to be had," he said.

Some of the areas Mott said may come into question are patents in medical diagnostics and financial services.

Fellows agreed that financial services may be an area where questions arise. While the rules may change, businesses likely will adapt and find new ways to make their cases for patents, he said.

It's difficult to quantify which companies might be affected. Officials with Santa Clara, Calif.-based Intel Corp., which holds various patents on its semiconductor methods and technologies and has a large presence in Chandler, does not believe the decision will affect any of its patents.

Some financial institutions doing business in the Valley said they are looking at the decision to see how it might affect them. Others declined to comment.

Jennings Strouss Selected as one of the "Best Places to Work"

Jennings Strouss & Salmon is pleased to announce that it has been named to The Phoenix Business Journal and BestCompaniesAZ, "2008 Best Places to Work" list in the medium-sized business category (under 500 employees). This is the second year in a row that the firm has been selected as a "Best Place to Work."

The "Best Places to Work" list, which was started in 2003, recognizes Valley companies who, through a third party administered employee survey, rank their respective companies as being the best places to work. The areas surveyed are varied parts of employee life, including workplace environment, leadership direction, culture, and management practices. Jennings Strouss & Salmon was acknowledged for creating an enjoyable corporate culture and work environment that fosters personal and professional growth for its employees.

"We are excited to rank #12 on the "Best Place to Work" in the Valley list this year, said John C. West, Managing Attorney. "Making the list is truly an honor that undoubtedly provides all of our employees with a sense of pride."

A record number of more than 300 companies completed the survey this year. Winners were announced at the "Best Places to Work" Luncheon, December 11^th at the Arizona Biltmore.

Tempe Land Co., Mortgages Ltd. Trade Charges

Phoenix Business Journal - by Jan Buchholz

Commercial lender Mortgages Ltd. has accused one of their largest borrowers of misusing funds it was given for emergency purposes.

In court papers filed Dec. 2, officials and attorneys for Mortgages Ltd. say Tempe Land Co., developers of the Centerpoint high-rise residential project in Tempe, used a portion of the $1.8 million they were given in September for "improper, unapproved expenditures including legal fees, reimbursement to themselves, the TLC parties, for expenses incurred long before the request for the emergency relief was sought, and bank overdrafts." The claims also state that Tempe Land Co. is holding onto about $760,000 and not utilizing it.

Tempe Land Co., which is developing Centerpoint through its development arm Avenue Communities, denied the charges Friday and said it was filing court actions of its own.

"All of the monies we spent had approval from Mortgages Ltd.," said Ken Losch, co-principal of Avenue Communities.

The court accusations, he said, "are just not accurate."

Losch and his attorneys will have a chance to plead their case Monday, when an emergency hearing will be held in front of U.S. Bankruptcy Judge Randolph Haines.

Losch said he isn't worried about the hearing, which will consider whether Avenue has spent money improperly and thus is in contempt of court.

Friday, Tempe Land Co. took two court actions of its own, filing for Chapter 11 bankruptcy and a separate lawsuit against Mortgages Ltd.

"Chapter 11 is a different tool and tool box that will give the ability of a judge to put new financing in front of Mortgages Ltd. If we continue down this road with discord (of so many parties), we'll be here for another four years," Losch said.

The company also filed a lawsuit against Mortgages Ltd., claiming that the company "began defaulting on its funding obligations in late 2007 by failing to fund loan draws in full and ultimately ceasing funding altogether," according to a news release distributed Friday.

"We're not going to sit around watch this erosion any longer," Losch said.

The stalement between Tempe Land Co. and Mortgages Ltd. dates back to this spring when the large commercial lender was unable to provide Avenue Communities with enough funding to finish the two tower, mixed-use Centerpoint project in downtown Tempe. Mortgage's Ltd. owner Scott Coles told the Business Journal he was actively looking for more funding and was willing to subordinate the lender's loans of more than $100 million, if Avenue Communities could find new financing. The project is largely completed but needs at least $75 million to make it inhabitable to residents and businesses.

Financing arrangements stalled when Coles committed suicide June 2 and Mortgages Ltd. was thrown into a tailspin. The company was forced into Chapter 11 bankruptcy by several borrowers and that case has moved very slowly through U.S. Bankruptcy court for nearly six months. Only one company, Rightpath Limited, has reached a settlement with Mortgages Ltd. in the Chapter 11 process. Many other large commercial and residential projects remain in limbo. A call to Mortgages Ltd. attorney Carolyn Johnsen was not returned before press time.

Self-Policing: State Bar of Arizona’s Lawyer Discipline Program a Mix of Successes and Challenges

Arizona Capitol Times - by Anjanette Riley

From billboards to late-night TV ads, Arizonans are bombarded with reminders that when facing legal trouble, finding a lawyer should be the first step. But what happens when it's the lawyer who has stepped over the line?

Enter the State Bar of Arizona's lawyer discipline program.

Similar to a civil or criminal trial, the lawyer discipline program involves a multi-layered and complex process. While cases move from investigation to conviction in a manner loosely resembling a civil trial, the proceedings are governed by a specific set of rules laid out by the Arizona Supreme Court.

Accused attorneys and attorneys who represent them say the bar's program has a flaw common to the larger civil and criminal-trial process. They say the worst actions often go unpunished, while low-level violations are excessively penalized.

Much of the lawyer discipline program is operated in-house by the bar. The courts remain largely uninvolved in the disciplinary process until after a case has been investigated and a sanction recommended. Supreme Court justices only become involved with cases warranting high-level sanctions - censure, suspension or disbarment.

‘Bad apples' get off easy

Despite the intricacies of the system, some lawyers worry the "bad apples" of the legal community too often go unpunished, while lower-level offenders are excessively punished.

"If you polled members of the State Bar, many of them would tell you that their criticism of the process is that the State Bar doesn't end up prosecuting lawyers who are out there and are really bad," says Attorney J. Scott Rhodes of Jennings, Strouss and Salmon, PLC.

"There is a feeling, and I share that feeling, that there are some really rotten lawyers out there who seem to be getting away with it."

Rhodes says the bar's difficulty in prosecuting major offenders stems from an overworked system initiated only after a complaint is filed.

"Sometimes unscrupulous lawyers have very strong personalities, and people are very afraid to turn them in," he says. "And when you have a case involving an obvious misconduct, it is often going to be a rather complicated case, and the State Bar isn't really equipped to handle complicated cases."

The Complaint

The majority of discipline cases begin with a client's complaint, which, regardless of the severity, is initially forwarded to the Attorney/Consumer Assistance Program (A/CAP).

"If you call any number at the State Bar and say you want to complain about a lawyer, it is routed to A/CAP," says Bob Van Wyck, chief bar counsel. "So as long as you hit somewhere in the building, you'll get there."

All complaints - 4,000 in 2007 alone - are screened by A/CAP. The enforcement role the division plays depends on whether the allegation, when and if substantiated, would be a violation of ethics rules laid out by the Supreme Court or other general rules of conduct - such as theft, lying to a judge or failing to communicate with a client.

If a client's complaint does not rise to the level of an ethical violation, A/CAP enforces an informal punishment.

"The A/CAP attorneys will often call the other attorney and say ‘you know you need to talk to your client and figure it out,'" Van Wyck says. "Often with that sort of very informal mediation, the problem is taken care of."

Cases beyond A/CAP's authority move up the system to the State Bar's Lawyer Regulation Office, a 12-attorney office that conducts formal investigations into cases, much like the police department does in a criminal case.

Cases taken up by the office differ from regular criminal investigations in one major way: Accused lawyers, or respondents, are expected to cooperate with the investigation.

"If you are the defendant in a civil or criminal case, you can refuse to help the other side," says Rhodes, an attorney who represents lawyers in the disciplinary system. "For respondents, they can still defend themselves, but they have a duty to be forthcoming and recognize any deficiencies that have occurred and participate in the finding of the truth."

If the case remains unresolved after an in-depth investigation, it is passed along to a probable-cause panelist - a member of the State Bar's Board of Directors, who acts as sort of a grand jury.

"In theory, the probable-cause panelist is supposed to be a kind of a check and balance, a third-party review of what the bar has done," says Rhodes. "In reality, the probable-cause panelist almost always does what the State Bar recommends."

However, if the panelist does not believe the case warrants a trial, the panelist can punish the respondent with either an informal, private reprimand or supervised probation.

The panelist also can sentence a respondent to an education program designed to help the respondent fix the error that led to the misconduct in the first place.

"If a lawyer doesn't make it to court a few times in a row, and it turns out it is because he doesn't have a very good calendaring system, then we get him into an education program to help him get him get his calendar organized," says Van Wyck. "The program monitors him for a little while, and then the case is dismissed."

Serious cases land in state Supreme Court office

Only the most serious offenses move beyond the jurisdiction of the panelist and State Bar's disciplinary program. If the panelist determines an offense warrants a high-level sanction, an official written complaint is filed with the disciplinary clerk of the Arizona Supreme Court and the case is referred to a hearing officer.

During the hearing, a "consent agreement" or plea bargain can be made between the respondent and the prosecutor, who represents the State Bar in its complaint against the accused attorney.

In the event a consent agreement is not reached and the hearing officer determines a high-level sanction - such as published censure, a suspension ranging from less than six months to more than five years or disbarment - is needed, the case is automatically forwarded to the Disciplinary Commission of the Supreme Court.

Of the 4,000 complaints received in 2007, only 101 cases - or 2.5 percent - were forwarded to the commission.

The nine-member commission is similar to an appellate court, and therefore can only consider evidence presented by the hearing officer. No new evidence is admissible once the case has reached this level.

Respondents also have the right to appeal to the commission any sanction decision rendered at any time during the disciplinary process.

The decision of the commission is final in most instances. But if the hearing officer and the commission agree that a high-level sanction is required, the punishment can be enforced only by an order from the Supreme Court.

As in criminal trials, the Supreme Court has the discretion to review any case.

However, if the Supreme Court chooses not to review and issue a ruling on a case within 60 days, the finding of the Disciplinary Commission stands and a concurring Supreme Court order is issued.

Because of the potential for the process to be complex and time-consuming, the Supreme Court has set limits on how many months a case can sit at each level of the bar's lawyer discipline program.

From the day a complaint is filed with A/CAP, the bar has 22 months to settle the case, although Van Wyck says most cases are settled well before the deadline.

Frank X. Curci Named To Board Of Advisors For ASU Technopolis

Jennings, Strouss & Salmon is pleased to announce that Frank X. Curci, a Member with the firm's Phoenix office, has been appointed to the Board of Advisors for ASU Technopolis.

Curci, a Rio Verde resident, serves as Chair of the firm's Biotechnology & Life Sciences Industry Group and is also Chair of the firm's Intellectual Property & Technology Practice Group. He represents clients in domestic and international intellectual property and technology matters, including patent and other technology licenses, collaborative technology arrangements, technology transfer matters and the overall use and protection of their intellectual property.

Curci received his law degree from Fordham Law School (1984) and his B.A. from Manhattan College, New York City (1981).

ASU Technopolis is the high impact and focused initiative to move research in technology and the life sciences into the private sector and propel Greater Phoenix into the international economic arena as a viable player. A combination of targeted entrepreneurial education, coaching, and networking is producing results that will fuel business expansion, job growth, and greater prosperity for Arizonans. ASU Technopolis is a convener - connecting people into the University, and those within the University to the community at large. Through ASU Technopolis, entrepreneurs are receiving first-hand advice from experts, and are making connections to potential investors, board members, service providers, partners, customers, research and development collaborators, and other ASU units and programs. ASU's Office of Economic Affairs (within the Office of the Vice President for Research and Economic Affairs) administers the ASU Technopolis program.

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Michael R. Palumbo Inducted As A Fellow Into The Litigation Counsel Of America

Jennings, Strouss & Salmon is pleased to announce that on October 21, 2008, Michael R. Palumbo, a Member of the firm's Phoenix office, was inducted as a Fellow into the Litigation Counsel of America (LCA).

Mr. Palumbo has practiced law for 25 years. He has been a Member of the firm since 1989 and served as a former Chair of the Commercial Litigation Department. Mr. Palumbo's practice focuses on commercial and real estate litigation. Particular areas of experience include banking (UCC Articles 3 & 4) litigation; title insurance, escrow agent and Deed of Trust litigation; quiet title, adverse possession, homeowners' associations and real estate agent disputes.

He has participated in more than 40 trials in the Superior Courts of Arizona and District Court of Arizona, in most of which he was lead counsel. Mr. Palumbo has served as a Judge Pro Tem for the Maricopa County Superior Courts since 1998 and has presided over trials and dozens of settlement conferences since that time.

Palumbo received his J.D. from University of Notre Dame Law School (1981) and his B.A. from LaSalle College (1968).

The Litigation Counsel of America is a trial lawyer honorary society composed of less than one-half of one percent of American lawyers. Fellowship in the LCA is highly selective and by invitation only. Fellows are selected based upon effectiveness and accomplishment in litigation, both at the trial and appellate levels, and superior ethical reputation. The LCA is aggressively diverse in its composition. Established as a trial and appellate lawyer honorary society reflecting the American bar in the twenty-first century, the LCA represents the best in law among its membership.

Michael J. O’Connor Inducted Into The American College of Trial Lawyers

Jennings, Strouss & Salmon, P.L.C. is pleased to announce that Michael J. O'Connor, a Member (Partner) with the firm's Phoenix office, was selected for induction into the American College of Trial Lawyers. Michael will join only 39 other lawyers in Phoenix with this distinction and is one of the youngest lawyers in the State of Arizona to be inducted. O'Connor, a Scottsdale resident, will be honored at the induction ceremony, Saturday, September 28.

Mr. O'Connor is a litigator with extensive trial experience in products liability, utility litigation, complex commercial litigation, and insurance coverage matters.

O'Connor received his law degree from George Washington University National Law Center and his B.A. from Johns Hopkins University.

The American College of Trial Lawyers is composed of the best of the trial bar from the United States and Canada and is widely considered to be the premier professional trial organization in America. Fellowship is extended only by invitation, after careful investigation, to those experienced trial lawyers who have mastered the art of advocacy and whose professional careers have been marked by the highest standards of ethical conduct, professionalism, civility and collegiality.

Although there are currently more than 5,000 Fellows across the U.S. and Canada, membership can never be more than 1% of the total lawyer population of any state or province. Qualified lawyers are called to Fellowship in the College from all branches of trial practice. They are selected from among advocates who represent plaintiffs or defendants in civil proceedings of all types, as well as prosecutors and criminal defense lawyers. The College is thus able to speak with a balanced voice on important issues affecting the administration of justice.

The "B" Word: Bankruptcy Isn't Always a Bad Thing

Arizona Business Magazine - by Carolyn Johnsen

The word "bankruptcy" sends chills down the spines of many business owners and executives as they envision certain financial demise.

But bankruptcy is no longer the frightening phenomenon it once may have been, particularly in the business realm. Chapter 11 bankruptcy has become an extremely useful business tool for a company to reorganize its operations, accomplish a sale of assets, obtain new financing or achieve a capital restructure.

The following are examples of challenges a business often faces:

A new business has not quite met revenue expectations.
The equity structure is outdated or unworkable.
The business owns excess real property it wants to sell or the business wants to acquire additional property.
The business has been threatened with litigation.
The business wants to refinance, but the lender has expressed concern about financial or other issues.
The owners of the business want to merge with another entity.

The most common use of the Chapter 11 bankruptcy process is one designed to restructure the company's balance sheet. A company that wants to extend or refinance onerous debt, eliminate burdensome contracts or leases, and/or bring in new capital can generally accomplish these goals by a Chapter 11 filing that provides these opportunities and a temporary safe haven.

But Chapter 11 isn't just for severely financially distressed entities. There are myriad other business reasons for filing a bankruptcy. For example, bankruptcy may be a good alternative for a client who owns some troubled properties and other healthy ones. Structuring a "roll up" and then using the bankruptcy process to propose a long-term solution can provide the necessary and ultimate protection for the distressed properties. Other common business transactions such as sales, mergers and acquisitions may be accomplished in a more beneficial fashion for all parties under the protective umbrella of Chapter 11.

A general knowledge of bankruptcy and the benefits it can provide will arm business owners, management and their advisors with a repertoire of creative solutions to meet business challenges and attain the companies' ultimate goals.

An overview of Chapter 11 Bankruptcy

The purpose of a Chapter 11 bankruptcy is to reorganize. It may include restructuring debt, altering operations, eliminating equity, selling assets or any combination of these things. The reorganization is accomplished through a document called a "plan of reorganization" in which the debtor describes how it intends to pay creditors or treat equity interests. Creditors and equity interests have the opportunity to vote in favor of or against the plan. The aim is to have the plan confirmed by the bankruptcy court, at which time it becomes a binding contract on all affected parties.

A Chapter 11 proceeding is commenced quite easily by filing a simple two-page "petition" with the bankruptcy court. At the time of the filing, an "estate" is created and all assets owned by the debtor prior to the filing are considered to be property of that estate. The debtor is referred to as the "debtor in possession" (DIP). Filing of the case triggers an immediate imposition of an injunction called an "automatic stay." The stay prevents creditors from proceeding with any action against the DIP, and entitles the DIP some "breathing room" while assets are marshaled or while a reorganization is being developed.

In many respects, the general operations of a business continue in Chapter 11 as they did prior to the filing. The DIP can continue to buy inventory, produce products and sell merchandise as long as the transactions are in the ordinary course and scope of business. Nevertheless, certain actions such as the payment of pre-petition debt, the use of cash proceeds that may be subject to a lien, and the sale of major assets are prohibited unless the bankruptcy court approves them.

The plan of reorganization sets forth the means for payments to the company's creditors. The general rule is that all claimants on the same level must be treated equally and must be paid in full before the next level can receive payment. Other provisions include financing arrangements or capital contributions and the composition of the company's management.

The final step is plan "confirmation" by the bankruptcy court. In order for the DIP to confirm a plan, it must obtain the affirmative vote of all the classes of creditors it has proposed. However, the bankruptcy code permits the DIP to confirm a plan even if it doesn't have all the needed votes, as long as the plan complies with certain specific sections of the code. Once the plan is confirmed, a binding contract between the debtor and its creditors is created and the debtor emerges from bankruptcy. All previous obligations to and claims by creditors are discharged and are replaced by the repayment or other obligations created by the plan. The "reorganized" debtor can have a fresh start.

Of course, there are many specifics and nuances to each bankruptcy case. For a comprehensive read on bankruptcy, you can download this guide.

Carolyn Johnsen is a member of Jennings Strouss & Salmon. She can be reached at 602-262-5906 or cjohnsen@jsslaw.com.

30 Jennings Strouss Attorneys Selected For 2009 Best Lawyers in America®

Jennings Strouss & Salmon is pleased to announce that 30 of the firm's lawyers, more than half of the firm's equity members, have been selected for inclusion in Best Lawyers in America® 2009 published by Woodard/White, Inc. of Aiken, South Carolina.

The six lawyers new to this year's list are: Frank X. Curci [Biotechnology Law/ Technology Law], David B. Earl [Appellate Law], Marc C. Gordon [Corporate Law], J. Scott Rhodes [Administrative Law Ethics/ Professional Responsibility Law/Legal Malpractice Law], George C. Spilsbury [Public Finance Law] and Bradley J. Stevens [Bankruptcy and Creditor-Debtor Rights Law].

Jennings Strouss attorneys who were selected for inclusion in the 2009 Best Lawyers in America® Edition are:

Phoenix: Gerald W. Alston [Alternative Dispute Resolution/Commercial Litigation/ International Arbitration/International Trade and Finance Law], John R. Christian [Tax Law/Trusts and Estates], Fred Cummings [Medical Malpractice Law/Personal Injury Litigation], Frank X. Curci [Biotechnology Law/ Technology Law], David B. Earl [Appellate Law], John J. Egbert [Labor and Employment Law], George M. Esahak-Gage [ Real Estate Law], Lee E. Esch [Real Estate Law], Jay A. Fradkin [Medical Malpractice/Personal Injury Litigation], Douglas Gerlach [Antitrust Law/Commercial Litgation], Carolyn J. Johnsen [Bankruptcy and Creditor-Debtor Rights Law], Gary G. Keltner [Real Estate Law], Richard L. Lassen [Trusts and Estates], Stephen E. Lee [Tax Law], Richard Lieberman [Corporate Governance and Compliance Law/Mergers & Acquisitions Law/Securities Law], Bruce B. May [Real Estate Law], Michael J. O'Connor [Commercial Litigation/Personal Injury Litigation], J. Scott Rhodes [Administrative Law Ethics/ Professional Responsibility Law/Legal Malpractice Law], Philip A. Robbins [Personal Injury Litigation], Jack N. Rudel [Corporate Law], John G. Sestak, Jr. [Commercial Litigation], George C. Spilsbury [Public Finance Law], Brian N. Spector [Bankruptcy and Creditor-Debtor Rights Law], Bradley J. Stevens [Bankruptcy and Creditor-Debtor Rights Law], Kenneth C. Sundlof, Jr. [Energy Law], John C. West [Commercial Litigation/Health Care Law] and Douglas G. Zimmerman [Eminent Domain and Condemnation Law].

Las Vegas: Marc C. Gordon [Corporate Law] and Frederic I. Berkley [Labor and Employment Law]

Washington D.C.: Alan I. Robbins [Energy Law]

About Best Lawyers in America

For more than two decades, Best Lawyers has been regarded-by both the legal profession and the public-as the definitive guide to legal excellence in the United States. Lawyers are chosen for inclusion based solely on a vote of their peers. Listings cannot be bought, and no purchase is required to be included. In this regard, Best Lawyers remains the gold standard of reliability and integrity in lawyer ratings. To ensure the continued rigor of the selection process, they urged lawyers to use only their highest standards when voting, and to evaluate each attorney based only on his or her individual merits.

Frank X. Curci Joins Greater Phoenix Leadership Board of the Arizona Bioindustry Association

Jennings, Strouss & Salmon, P.L.C. is pleased to announce that Frank X. Curci has joined the Greater Phoenix Leadership Board of the Arizona Bioindustry Association.

Curci, a Rio Verde resident, Chair of the firm's Biotechnology& Life SciencesIndustry Group and is also Chair of the firm's Intellectual Property& Technology Practice Group.He represents clients in domestic and international intellectual property and technology matters, including patent and other technology licenses, collaborative technology arrangements, technology transfer matters and the overall use and protection of their intellectual property.

The Arizona Bioindustry Association is a not-for-profit trade association that promotes the growth of the bioscience industries in Arizona through member services, educational programs, business networking, public policy and entrepreneurial endeavors. It is also the state affiliate of the Washington D.C.-based national Biotechnology Industry Organization, which represents more than 1,000 biotechnology companies, academic institutions, state biotechnology centers and related organizations in 50 states and 33 nations.

Four Associates Join Jennings Strouss & Salmon

Jennings, Strouss & Salmon, P.L.C. is pleased to announce that Stephanie Hart, John Lopez, Sunita Krishna, and Kerry Hodges have joined the firm as associates.

Hart, a Phoenix resident, joins the firm's litigation and real estate practices. Prior to joining Jennings Strouss in 2008, Ms. Hart practiced in New York and Los Angeles, serving the needs of business clients in complex commercial litigation matters. Ms. Hart served as law clerk to the Honorable Ferdinand F. Fernandez of the U.S. Ninth Circuit Court of Appeals, as well as to the Honorable Constance Baker Motley of the U.S. Southern District of New York. Most recently, Ms. Hart worked as campaign staff in the 2008 presidential primary elections; she continues to volunteer her time as Special Counsel to the New York Democratic Lawyers Council. Prior to attending law school, Ms. Hart served in the United States Peace Corps in Poland teaching English as a second language. Hart obtained her J.D. from Columbia University School of Law (2000), where she was a Senior Editor of the Columbia Law Review, and two bachelor's degrees from Arizona State University: one in French and one in English (1993).

Mr. Lopez, a Tempe resident, joins the firm's Biotechnology & Life Sciences Industry Group and the firm's Intellectual Property & Technology Practice Group. Prior to entering law school, Mr. Lopez worked for several years in regulatory affairs in the pharmaceutical industry in Southern California. Lopez earned his J.D. at the Sandra Day O'Connor College of Law at Arizona State University (2008), his M.S. at the University of Southern California, School of Pharmacy (2005) in Regulatory Science, and his B.S. in Microbiology and B.A. in Law & Society at the University of California, Santa Barbara (2003).

Krishna, a Phoenix resident, joins the firm's litigation practice as well as the product liability and tort and insurance law practices. During law school, Ms. Krishna worked in the San Francisco City Attorney's office and the White House as a legal intern. While earning her masters degree, Ms. Krishna worked as a staff assistant to Senator John McCain on the United States Senate Committee on Commerce, Science and Transportation. Additionally, she worked as a staff assistant to Senator Jon Kyl in Washington, D.C. Krishna obtained her J.D. from the University of Arizona, James E. Rogers College of Law (2008) her M.A. from Johns Hopkins University in Government (2006) and her B.A. cum laude from the University of Arizona majoring in Political Science (2002).

Hodges, a Litchfield Park resident, joins the firm's litigation practice. While earning his law degree, Mr. Hodges served as a legal extern to the United States District Court, District of Arizona Judge James A. Teilborg. Prior to entering law school, Mr. Hodges played minor-league baseball for two seasons with the Houston Astros. Hodges obtained his J.D. from the Regent University School of Law (2007) and his B.S. magna cum laude from Texas Tech University (2003) majoring in English.

Jennings Strouss is one of the Southwest's leading law firms, providing legal counsel for more than 65 years through its offices in Phoenix, and at Arrowhead, Arizona, Washington, DC., and Las Vegas, Nevada. The firm's primary industries of practice include energy, health care, real estate, and technology. For additional information please visit www.jsslaw.com or call 602.495.2806.

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Mortgages Ltd. Use of Law Firm

Law firm Greenberg Traurig, whose involvement in Mortgages Ltd.'s bankruptcy has been a lightning rod since the start of the case, can serve as special counsel for the real-estate lender, Judge Randolph Haines has decided. Haines granted Mortgages Ltd.'s request to use the law firm for legal matters unrelated to the lender's bankruptcy in a decision entered Friday in U.S. Bankruptcy Court.

The Phoenix-based commercial financier filed for protection under Chapter 11 on June 23 after a borrower tried to force it into Chapter 7. Developers that borrowed money from Mortgages Ltd. accused the law firm of hiding reputed wrongdoing by the lender. They say Greenberg could be forced to take a position adverse to Mortgages Ltd. if the law firm is called as a witness in related cases or if it also becomes the target of litigation. They argue such activity would hurt the value of Mortgages Ltd.'s assets, which will be used to pay claims by the company's creditors.

In his decision, Haines wrote that the borrowers' legal objections do not justify why the firm should not be able to represent Mortgages Ltd. in matters outside the bankruptcy, mainly because the law firm and lender agree that the accusations are false. John Clemency, a Greenberg Traurig attorney, originally was serving as general counsel in the bankruptcy, but stepped down two weeks into the case under an agreement with several borrowers. Several Mortgages Ltd. borrowers accused the law firm of manipulating control of the lender after the June 2 suicide of Chairman and Chief Executive Officer Scott Coles. They accused the law firm of transferring all the stock of Mortgages Ltd. to a limitedliability company called NMLC that it registered with the Arizona Corporation Commission without getting permission from Coles' trustee. Attorney Gerald Smith, the trustee, technically has power to make all decisions about the company. Mortgages Ltd. has since hired law firm Jennings, Strouss & Salmon PLC to represent it in the bankruptcy. But Greenberg Traurig applied to be special counsel in other legal matters for Mortgages Ltd.

At a hearing Monday, Clemency said the law firm plans to pursue foreclosure on Mortgages Ltd. borrowers who are in default, oversee banking and securities issues and represent the lender in a lawsuit brought by developer Rightpath Ltd. Development Group LLC.

Mortgages Ltd.'s bankruptcy has been contentious from the get-go. The company made loans funded by nearly 3,000 investors to real-estate developers. Some borrowers accuse the firm of underfunding their loans. Mortgages Ltd. says those borrowers are in default, along with two-thirds of its loan portfolio. The company's portfolio includes nearly a billion dollars in construction and development loans on incomplete projects, including Centerpoint Condominiums in downtown Tempe, Hotel Monroe in downtown Phoenix and a sports and entertainment project near University of Phoenix Stadium called Main Street Glendale.

Jennings Strouss Lawyers Instrumental In Arizona Snowbowl Win

The Ninth Circuit Court of Appeals ruled today that using A+ reclaimed water to make artificial snow at a Flagstaff ski resort does not violate the religious freedom of Native Americans. The ruling would also enable Arizona Snowbowl to replace old lifts, construct a new lodge and create more skiing terrain.

The decision out of the court's Ninth Circuit in San Francisco overturns an earlier appellate decision to the contrary. The issue, which has received national attention, has see-sawed since January 2006, when a federal judge in Prescott first ruled that Arizona Snowbowl's upgrade plan was acceptable under federal environmental law.

A coalition of tribes and environmental groups led by the Navajo Nation appealed the decision on religious grounds, and it was overturned in March 2007 by a three-judge panel at the Ninth Circuit. Snowbowl's owners asked us to assist them in having the case reviewed en banc, that is, by a panel of eleven appellate judges, which came back with a 8-3 decision in favor of Snowbowl.

Jenning Strouss attorneys Paul Johnson, John Egbert and Michael O’Connor were co-counsel with Hogan & Hartson in D.C. on the en banc appeal for the Arizona Snowbowl. Mr. Johnson was also co-counsel in the District Court action and initial appeal.

Avenue Communities LLC Gives Mortgages Ltd. Ultimatum: Settle or Face Lawsuit

Phoenix Business Journal - by Jan Buchholz

The developers of the massive Centerpoint mixed-use project in downtown Tempe said this week they can't -- and won't -- wait any longer for additional financing while its primary lender on the $200 million project works its way through Chapter 11 bankruptcy.

Ken Losch, principal of Avenue Communities LLC, confirmed about $24 million in liens have been filed on the project by unpaid subcontractors. Losch said he has numerous lenders who want to help finish Centerpoint, contingent on Avenue Communities working out a settlement with Mortgages Ltd. That likely will require the beleaguered Phoenix commercial real estate lender to subordinate its two existing loans totaling nearly $132 million.

"Look, we've got an asset with a retail value of over $300 million," Losch said. "We don't have a lender problem. We have an authority problem. (Mortgages Ltd.) needs to make this happen now, or it's going to face large losses (because of) apathy and indecision."

Avenue Communities wants Mortgages Ltd. to file a motion with the U.S. Bankruptcy Court to allow the developer to secure outside financing immediately to finish its project.

"We've been very patient, and our patience is now finished. We want to be bifurcated from that process," said Losch. "We have a hard schedule that we want Mortgages Ltd. to meet so we can go down our own separate road. If it's not adhered to, we will file a lawsuit."

In essence, Centerpoint wants to be separated from the gridlock of intersecting and sometimes conflicting interests that have emerged in the complicated Mortgages Ltd. bankruptcy case.

Avenue's ability to secure an additional $75 million now to finish the high-rise residential and retail project is crucial, company officials said.

Work has come to a standstill on the two towers, retail space and public plaza. The project is largely finished, but still needs extensive interior and landscaping work.

Attorney Carolyn Johnsen of Jennings Strouss & Salmon PLC, the bankruptcy counsel hired by Mortgages Ltd., confirmed that the lender's new president, Richard Feldheim, has been in discussions this week with Centerpoint to resolve issues surrounding the loans and construction delays.

"Both parties left with tasks to do. I'm not at liberty to discuss that, but they are exploring possibilities," Johnsen said.

She was a bit less optimistic about meeting Centerpoint's deadlines, which Losch said he is not ready to disclose.

"Whether we can meet that timeline ... that might not be doable," she said.

Three other Valley developers have claimed -- either in separate lawsuits or through motions with U.S. Bankruptcy Court -- that their projects were never funded to the degree promised by Mortgages Ltd. Avenue Communities is the fourth to make that assertion.

Although problems with disgruntled borrowers began in late spring, Mortgages Ltd.'s financial difficulties were exacerbated by the suicide of the company's chairman and sole shareholder, Scott M. Coles. He was found dead June 2 at his Camelback Mountain home.

Since then, developer Grace Communities forced Mortgages Ltd. into Chapter 11 with support from another developer and Mortgages Ltd. customer, Rightpath Limited Development Co.

KML Development, which has two projects that were supposed to be funded by Mortgages Ltd., recently filed a motion asking U.S. Bankruptcy Judge Randolph Haines to appoint a Chapter 11 trustee to the case. KML's attorney argued in court documents that the current Mortgages Ltd. management and counsel cannot adequately represent all interests in the case, which includes more than 4,500 investors, various borrowers, creditors, heirs of the estate and the lender's employees. That hearing has been scheduled for Aug. 21.

An Aug. 6 hearing still is on, according to Johnsen, primarily to discuss resuming payments to investors who had become accustomed to receiving monthly checks from Mortgages Ltd., but were shut out of interest payments when the Chapter 11 bankruptcy case was filed in late June.

Don Gaffney, an attorney with Phoenix law firm Snell & Wilmer LLP who represents Grace Communities, was unaware of Centerpoint's attempts to separate itself from other Mortgage Ltd. borrowers, but he is not opposed to it.

"There are a lot of different ways this (bankruptcy) could be approached," he said. "It could be separated borrower by borrower and project by project. That could make a lot of sense."

Todd Tuggle Joins Jennings Strouss

Jennings, Strouss & Salmon, P.L.C. is pleased to announce that Todd B. Tuggle has joined the firm as an Associate in the firm’s Phoenix office.

Tuggle, a Phoenix resident, will practice in the Bankruptcy and Litigation Departments. He practices in the areas of bankruptcy, creditor and debtors’ rights, business reorganization and commercial litigation.

Mr. Tuggle has been working in Arizona and Nevada as an attorney for several years. Prior to his work in private practice, Mr. Tuggle served as a law clerk to Honorable Robert Clive Jones, who was serving both as a bankruptcy court judge and as a member of the Bankruptcy Appellate Panel of the Ninth Circuit at the time and who currently serves on the United States District Court, District of Nevada. Mr. Tuggle has also worked on a number of cases in which an opinion was published.

Mr. Tuggle obtained his J.D. from Brigham Young University, J. Ruben Clark School of Law (1996) as well as both his B.A., in Japanese and his B.S., in Sociology from Brigham Young University (1993).

Jennings Strouss Appointed Debtor Counsel in Mortgages Ltd. Bankruptcy

Jennings Strouss Member, Carolyn Johnsen, was appointed as debtor's counsel in the Mortgages Ltd. bankruptcy after Greenberg Traurig was asked to resign.

Mortgages Ltd, one of Arizona's largest private equity commercial real estate lenders, filed for reorganization under Chapter 11 in June 2008 after Grace Communities filed a petition in an attempt to force the lender into Chapter 7 bankruptcy. The filing came weeks after the death of the lender's chairman and sole shareholder, Scott M. Coles.

Unprecedented Result for Jennings Strouss Client - The City of Hamilton, Ohio

Alan Robbins and Debra Roby successfully secured for their client, the City of Hamilton, Ohio, a 50-year license from the Federal Energy Regulatory Commission (FERC) to construct and operate a 105 MW hydropower project at the Captain Anthony Meldahl Locks and Dam on the Ohio River. Once constructed, the Meldahl Project will be the largest hydropower project on the Ohio River and will supply emissions-free energy to customers in the Ohio Valley region for generations to come. With rising environmental concerns, obtaining a hydropower license is extremely competitive and holding that license is very valuable.

The City of Hamilton was late to the game with already two competing applications pending for a permit to study the site. The only way Hamilton could even hope to compete was to bypass the permitting stage to elevate the proceeding directly to the more complex licensing stage. To compete, Hamilton had to be the first to file its license application in 120 days.

Robbins and Roby adopted and executed a very aggressive regulatory strategy to do in four months what normally takes closer to four years; and do so in a manner that satisfied the very detailed regulations governing the environmental and resource agency consultation process. This approach was unprecedented at FERC and required extensive meetings with State and Federal environmental and resource agencies and Indian Tribes, as well as public meetings in Kentucky and Ohio. With the help of engineering experts and environmental consultants, Robbins and Roby filed Hamilton's three-volume license application three days before the deadline, and before Hamilton's competitors filed their applications.

The end result was that the City of Hamilton beat its competition, including another municipality and an investor owned utility. The Meldahl license was issued to Hamilton in record time - approximately 20 months from the date the application was filed with FERC, and approximately 25 months from the date Hamilton's "Notice of Intent" was filed - which is approximately three to four years sooner than the normal timeframe. This project now goes from a paper proposal to a $400 - 600 million project with steel in the ground (and water), which is truly exciting.

Brad Stevens Appointed President of The State Bar of Arizona Bankruptcy Section

Jennings, Strouss & Salmon is pleased to announce that Bradley J. Stevens a Member (Partner) with the firm's Phoenix office, has been appointed as President of the State Bar of Arizona Bankruptcy Section. The purpose of the Section is to promote the objectives of the State Bar in the fields of bankruptcy, insolvency laws, debtor's rights, creditor's rights and related fields such as organizational, educational, and promotional activities and review of and comment on pending and existing legislation, rules and procedures.

Stevens, a Moon Valley resident, is a bankruptcy attorney and litigator whose practice focuses on debt resolution and Chapter 11 practice. He represents committees, creditors, debtors and trustees, and handles bankruptcy litigation and collection matters, including foreclosures, replevins, fraudulent transfer actions, provisional remedies and other actions involving collection of secured and unsecured debt. He is a member of the Commercial Law League of America and the American Bankruptcy Institute.

Stevens received his J.D. from the University of Utah College of Law and his B.A. from the University of Utah.

Garrett Olexa Selected For 2008-2009 Leadership West Class

Jennings, Strouss & Salmon, P.L.C. is pleased to announce that Garrett Olexa, a Member (Partner) with the firm's Peoria office, was selected for the 2008-2009 Leadership West Class XV.

Olexa, a Glendale resident, is a litigator whose practice focuses in the areas of real estate disputes, contractual claims, and personal injury litigation. Prior to joining Jennings Strouss, Mr. Olexa has had extensive experience representing individuals who have been seriously or catastrophically injured in motor vehicle collisions, as well as those who have been injured by defective products.
Olexa received his law degree from Villanova University School of Law and his B.A. from LaSalle University.

Leadership West focuses on educating and developing leaders dedicated to the advancement of the West Valley. The nine-month program from September through June brings together a diverse mix of emerging West Valley leaders each year. Classes are limited to only a handful of people and applicants are interviewed in-person after answering a lengthy application form.

Fifteen Members Named As 2008 Southwest Super Lawyers

Jennings, Strouss & Salmon is pleased to announce that fifteen (15) Members (Partners) were named as 2008 Southwest Super Lawyers by the publishers of Law & Politics.

Jennings Strouss lawyers listed in the 2008 edition include: Gerald "Buzz" Alston (Business Litigation), John Christian (Tax), Frederick Cummings (Personal Injury Defense: Medical Malpractice), John Egbert (Employment & Labor), George Esahak-Gage (Real Estate), Lee Esch (Real Estate), Jay Fradkin (Personal Injury Defense: Medical Malpractice), Carolyn Johnsen (Bankruptcy &Creditor/Debtor Rights), Gary Keltner (Bankruptcy & Creditor/Debtor Rights), Stephen Lee (Tax), Bruce May (Real Estate), Stephen Newmark (Tax) , Philip Robbins (General Litigation), Brian Spector (Bankruptcy &Creditor/Debtor Rights), and John West (Health Care).

Super Lawyers was first published in 1991 and can be found in more than 30 states. Super Lawyers is based on an exhaustive peer-review survey in which 18,000 ballots are sent to active lawyers in Arizona and New Mexico. Law & Politics' research department examined and evaluated the background and experience of the candidates and made final selections based on firm size, highest point totals in each category. Only 5 percent of the total lawyers in Arizona are listed in Super Lawyers. Lawyers are not required or allowed to pay a fee to be listed in the publication.

Valerie Walker and Terry Cushing Join as Associates

Jennings, Strouss & Salmon, P.L.C. is pleased to announce that Valerie Walker and Terry Cushing have joined the firm as Associates in the firm's Phoenix office.

Walker, a Phoenix resident, will practice in the Litigation and Labor and Employment Departments. Prior to attending law school, Walker worked as a representative for 20,000 flight attendants at United Airlines. Walker obtained her J.D. from Loyola University Chicago School of Law and her B.A. from Arizona State University.

Cushing, a North Phoenix resident, will practice in the Litigation Department. He practices in the areas of products liability, commercial litigation, real estate, personal injury and insurance. Prior to joining the firm, Mr. Cushing became a federal law clerk to Honorable Earl H. Carroll, United States District Court, District of Arizona. During law school, he completed an internship with Honorable Sylvia H. Rambo, U.S. District Court, Middle District of Pennsylvania. During college, he completed and internship at The White House and also interned for a U.S. Congressman. Prior to law school, Mr. Cushing worked for Thunderbird, The American Graduate School of International Management as a Program Director for the Executive Education Department. Cushing obtained his J.D. from Penn State Dickinson School of Law (2003) and his B.A. from George Washington University (1996).

Gary Keltner To Be Honored By the Bankruptcy Section at the Arizona State Bar Convention

Jennings, Strouss & Salmon, P.L.C. is pleased to announce that Gary Keltner, a Member (Partner) with the firm's Phoenix office, will be honored at this year's State Bar Convention by the Bankruptcy Section for his service to the practice for more than 45 years. Keltner, a Paradise Valley resident, will be honored at a tribute ceremony at 5pm on Thursday, June 19. The award will be given by Chief Bankruptcy Judge Tom Baum.

Keltner is a bankruptcy attorney and litigator whose practice focuses on commercial bankruptcy and workouts. He has handled a wide variety of business transaction and litigation matters during his years of practice, with extensive experience in loan and sale transactions, in bankruptcy, commercial and real estate litigation, and in creditors' rights. He is included in Southwest Super Lawyers, as one of the top 5% of lawyers in Arizona.
Keltner received his law degree from The University of Arizona as well as his B.A. from The University of Arizona. He is also a graduate of the Judge Advocate General's School and is a recipient of the Army's Commendation Medal for his service to the United States.

Frank X. Curci Becomes Chair of the Intellectual Property Department at Jennings Strouss

Jennings, Strouss & Salmon is pleased to announce that Frank Curci has been appointed Chair of the Intellectual Property Department. Mr. Curci is also chair of the firm's Biotechnology and Life Sciences Industry Group.

Mr. Curci graduated from Fordham University School of Law and has been practicing law for more than 24 years, the last three of which have been in Arizona. Mr. Curci has extensive experience advising clients on domestic and international intellectual property and technology matters, including patent and other technology licenses, collaborative technology arrangements, technology transfer matters and the overall use and protection of their intellectual property.

Lee E. Esch Becomes Chair of the Real Estate Department at Jennings Strouss

Jennings, Strouss & Salmon is pleased to announce that Lee Esch has been appointed Chair of the Real Estate Department. Mr. Esch is certified by the State Bar of Arizona's Board of Legal Specialization as a Real Estate Specialist.

Mr. Esch graduated from the University of Arizona College of Law and has been practicing law in Arizona for more than 45 years. Mr. Esch has extensive experience advising clients on financing, acquisition, development, construction, leasing and sale of commercial, industrial, and retail real estate projects, as well as loan workouts and foreclosures.

Janet Hutchison elected President of Junior League of Phoenix Foundation

Jennings, Strouss & Salmon is pleased to announce that Janet B. Hutchison, a Member (Partner) with the firm's Phoenix office, has been elected as President of The Junior League of Phoenix Foundation.

Hutchison, a Scottsdale resident, has served on the Foundation board for the past two years and was a founding director of the Foundation. She also served as past-president of The Junior League of Phoenix, Inc. Hutchison is a commercial transactional attorney and litigator whose practice focuses on the areas of real estate, lending, employment and general business matter. She received her J.D. from Arizona State University College of Law and her B.A. from Arizona State University.

Established in 2004 as a support organization to The Junior League of Phoenix, Inc. The Junior League of Phoenix Foundation supports the past, current and future programs of the Junior League. The Junior League has been improving our community for more than 70 years and the Foundation is working to build an endowment to continue that strong sense of commitment and leadership in giving back.

David W. Williams Joins Jennings Strouss

Jennings, Strouss & Salmon, P.L.C. Is Pleased To Announce That David W. Williams Has Joined The Firm As An Associate In The Firm's Phoenix Office.

Williams, A Mesa Resident, Will Practice In The Litigation Department. He Focuses His Practice In The Areas Of Complex Personal Injury Matters, Products Liability, Commercial Litigation And Medical Malpractice Defense. Williams Obtained His J.D. From Arizona State University (2003) As Well As His B.A. From Arizona State University (2000).

Jennings Strouss Sponsors Biz Mix Event with Phoenix Business Journal

Jennings Strouss is partnering with the Phoenix Business Journal to sponsor Biz Mix. The networking event will be held on Tuesday, April 22 at 5:30pm at FOX Sports Grill in Scottsdale.

$20 registration fee includes heavy hors d'oeuvres, cocktails and a donation to the Arizona Osteoporosis Coalition.

The Arizona Osteoporosis Coalition is a 501c3 non profit organization with a mission to raise awareness of Osteoporosis. 800,000 Arizonans have OSTEO which costs AZ $25 million annually. Funds raised provide resources for education, public awareness and screening. The first annual "Generations of Women Luncheon" will be held at The Biltmore Resort on Friday May 9th. For Mother`s Day, send the women in your life, and you to this special event! Individual seats are $200. Visit the AZOC web site www.fitbones.org for information.

Click here to register for the Biz Mix event.

Jennings Strouss’ Carolyn Johnsen Named Top Five Finalist For Golden Heart of Business Award

Jennings, Strouss & Salmon, P.L.C. is pleased to announce that Carolyn Johnsen has been named a top five (5) finalist for the Arizona Woman magazine's "Golden Heart of Business Award."

The "Golden Heart of Business Award" acknowledges an Arizona woman who is deeply entrenched in the community. This award is presented to a woman who gives back through contributions of time or resources and has made the Valley a better place to live. She not only cares about her community, but makes a significant contribution on a personal level. She has developed nurturing relationships with her employees and customers.

The nomination recognizes Johnsen for her business prowess and her advocacy in the education of women business owners and students in financial matters. Additionally, she is acknowledged for her civic work with the Turnaround Management Association and Valley Commerce Bank.

The winner is named at the Arizona Woman's annual Who's Who in Business Luncheon, recognizing outstanding women in our community. This year's event will be held on May 22, 2008 at the Arizona Biltmore Resort & Spa.

Eric S. West Joins Jennings Strouss

Jennings, Strouss & Salmon, P.L.C. is pleased to announce that Eric S. West has joined the firm as an Associate in the firm's Scottsdale office.

West, a Phoenix resident, will practice in the Real Estate & Golf Development Department. He practices in the areas of the acquisition, development, financing, construction, operation and disposition of real estate projects for master planned communities, homebuilders, commercial developers and investors. Prior to becoming a lawyer, Mr. West worked as a Financial Analyst and also for a national bank in San Francisco as a Technology Investment Banker. West obtained his J.D. from Stanford Law School (2002), his Masters of Science from Stanford University (1997) and his B.S. from the University of Arizona (1994).

Jennings Strouss Opens Office In Nevada

Jennings, Strouss & Salmon, a 100-attorney law firm with offices in Arizona and Washington D.C. has expanded into Las Vegas, Nevada. Effective January 1, 2008, Jennings Strouss joined with Berkley, Gordon & Goldstein, a three-lawyer Nevada-based law firm.

The new lawyers bring more than 90 years combined experience with specific capabilities in appeals, Alternative Dispute Resolution, banking and finance, business formation, commercial litigation, construction, corporate, estate planning, family law, landlord/tenant and real estate law.

"Expanding into Las Vegas meets the needs of our growing client base and furthers the firm's presence throughout the Southwest," said Managing Attorney John C. West. "The Members of Jennings, Strouss & Salmon recognize the importance of having a presence in the rapidly expanding city of Las Vegas and were fortunate to find a group of lawyers whose talent and commitment to excellence are in line with our own."

The three Berkley, Gordon & Goldstein lawyers who have joined Jennings Strouss are: Frederic I. Berkley, Marc C. Gordon and Robert A. Goldstein.

"We are pleased that we found a firm whose practices both complement and expand the services we offer to our clients," said Marc C. Gordon, Chair of the Las Vegas office. "We are excited about the opportunities we will have as a larger firm."

Berkley, Gordon and Goldstein will join Jennings Strouss as Members (partners). Berkley will practice in the areas of civil litigation, appeals, family law and labor law; Gordon in corporate transactions, real estate, banking and finance and estate planning; Goldstein will join in construction, real estate, Alternative Dispute Resolution and litigation.

Jennings Strouss Expands International and Real Estate Groups With Dual-Licensed Attorney William Herrera

As part of its strategic plan to expand both its International and Real Estate practices serving clients who do business in Mexico and throughout Latin America, Jennings, Strouss & Salmon has hired William R. Herrera, one of only a handful of Arizona/Mexico dual-licensed attorneys in the state.

Mr. Herrera, a Scottsdale resident, practices corporate law, with an emphasis on Mexico-related joint ventures, primarily in real estate and hospitality, representing Mexican and non-Mexican enterprises.

Prior to joining the firm, he practiced international business law in Mexico City for more than 11 years. Mr. Herrera received a J.D. from the University of California, Los Angeles in 1991, a J.D. from Universidad Mexicana in 2004 and his undergraduate degree from Stanford in 1988.

"As Phoenix becomes the hub of a rapidly developing international trade region, our strategy is to be able to offer counsel and first-hand experience on both sides of the border," said John C. West, Managing Attorney. "Continuing changes in Mexican law make it important for companies doing business there to have access to experienced U.S. commercial lawyers who understand the nuances of the law and have contacts in the Mexican legal communities. Bill provides that experience to our clients."

700 Phoenix Prep Academy Students Learn About the U.S. Bill Of Rights From Jennings Strouss Lawyers

Nine attorneys from Jennings, Strouss & Salmon will give more than 700 students at Phoenix Prep Academy first-hand experience about the importance of the U.S. Bill of Rights and its relevance during a series of presentations in the school auditorium on Tuesday, Dec. 11.

The attorneys will bring insight into the first ten amendments of the Constitution through PowerPoint presentations to six different groups of students beginning at 7:45 a.m. and running through 2:30 p.m.

Jennings Strouss attorneys approached Phoenix Prep Academy administrators about the program for inner-city students near the law firm's main office.

"At a time when democracy is being both hailed and assailed around the world, we felt it was vital for these students to know just how meaningful and important the Bill of Rights is and has been for more than two hundred years," said John C. West, Managing Attorney. "Those who framed the Constitution showed remarkable foresight in their judgment and thinking. For it to continue to be so relevant shows how valuable a document it is."

Lawyers Bradley J. Stevens, Monique D. Young, Bradley V. Martorana, Todd M. Adkins, Eric D. Gere, Peter T. Donovan, Matthew J. Mansfield, Jimmie W. Pursell and Michael R. Palumbo will lead the six, one-hour presentations to social studies classes in an assembly format. Additional support and planning was done by attorneys Julie A. LaFave, Ronald D. Roach, Paul G. Johnson, Janet B. Hutchison and William R. Herrera.

Presentation schedule is as follows. The media is invited to attend:

1st Group: 7:45 - 8:45am
2nd Group: 8:55 - 9:47am
3rd Group: 9:55 - 10:49am
4th Group: 10:58 - 11:51am
5th Group: 12:30 - 1:23pm
6th Group: 1:30 - 2:30pm

The United States Bill of Rights limits the powers of the federal government and protect the rights of all citizens, residents and visitors on United States territory. Among the rights guaranteed are: freedoms of speech, press, and religion; the right to keep and bear arms; freedom of assembly; freedom to petition; and the rights to be free of unreasonable search and seizure; cruel and unusual punishment; and compelled self-incrimination.

Jennings Strouss is one of the Southwest's leading law firms, has provided legal counsel for more than 65 years through offices in Phoenix, Scottsdale and at Arrowhead, Arizona and in Washington, DC. The firm's primary industries of practice include energy, health care, real estate and technology. If you would like to attend, please contact Kristen Campbell at 602.495.2806 or kcampbell@jsslaw.com.

Jennings Strouss Hires Former Avnet, Inc. President

Jennings, Strouss & Salmon, P.L.C. is pleased to announce that Andrew S. Bryant, a former President of Avnet's Global Operating Groups, has joined the firm as Chief Operating Officer.

Jennings Strouss is the only law firm in Arizona, and possibly the Southwest, that has a former Fortune 500 public company president with an exclusively corporate background managing the business operations of a law firm. The Jennings Strouss management team made the bold move to hire outside the law firm "norm" in an effort to bolster its bottom line and focus on business model strategic growth. This decision demonstrates yet another progressive and innovative approach by Jennings Strouss to stay competitive. In recent years the firm has focused its legal practice on emerging markets such as biotechnology, expanded locally through lawyer acquisitions and nationally by opening an office in Washington D.C., and has added a non-lawyer consultant to its energy practice to provide utility clients enhanced service offerings.

"We have a unique opportunity to benefit from the operational and strategic experience of a person with real-world corporate experience and a proven track record of success," says John C. West, Managing Attorney and CEO of Jennings Strouss. "Under Andy's guidance we hope to expand strategically, operate more leanly and profitably and have a greater understanding of the issues that affect our corporate clients."

Bryant, an Ahwatukee resident, served as President for both of Avnet's Global Operating Groups and as a Senior Vice President of Avnet, Inc. He was elected a corporate officer in 1996 and an executive officer in 1999. While there, Bryant successfully led the multi-billion dollar global business through several successful acquisitions and established a track record of substantial growth for the company's operating income. From July of 2004 until his departure, Mr. Bryant served as President of Avnet Logistics where he guided Avnet's global supply chain business and created a new service business outsourcing Avnet's supply chain and logistics service offering back to its component suppliers. Active in the community, Bryant is a member of the board of trustees for the Phoenix Boys Choir.

"I am thrilled to have entered the legal services industry and could find no better choice than with Jennings Strouss" says Andrew S. Bryant, COO of Jennings Strouss. "The firm's insightful decision to run itself like a business was attractive to me. Many law firms want to follow this model, but not many take the critical steps to get there. I made the move because of the opportunity to leverage my experience and focus on profitable regional and national growth."

Three Associates Join Jennings Strouss

Jennings, Strouss & Salmon, P.L.C. is pleased to announce that Todd Adkins, Vojtek "VK" Karpuk, and Anne Hardwick have joined the firm as associates.

Adkins, a Scottsdale resident, joins the firm's business restructuring and litigation practices. Prior to joining the firm, Mr. Adkins served as a law clerk to First Magnus Financial Corporation's General Counsel and as law clerk to the Arizona Attorney General's Office, Capital Litigation Division and as legislative liaison to the Arizona Supreme Court. Adkins obtained his J.D. from the University of Arizona James E. Rogers School of Law (2007) and his B.A. from the University of Arizona majoring in Philosophy (2002).

Hardwick, a Phoenix resident, joins the firm's litigation practice. Prior to joining the firm Ms. Hardwick served as a legal extern to the Arizona Attorney General's Office, Drug Unit. Hardwick obtained her J.D. cum laude from the Arizona State University, Sandra Day O'Connor College of Law (2007) and her B.A., summa cum laude from Webster University (2004) majoring in Political Science.

Karpuk, a Fountain Hills resident, joins the firm's corporate, securities and finance as well as intellectual property and government relations law practices. Prior to joining the firm, Mr. Karpuk served as a legal intern with ING Americas U.S. Legal Services/ING Funds. Karpuk obtained his J.D. from the Arizona State University, Sandra Day O'Connor College of Law (2007) and his B.S. from the Arizona State University (1998).