Free Declaration in Support - District Court of California - California

Case 5:07-cv-04808-JF

Document 48-2

Filed 07/03/2008

Page 1 of 38

EXHIBIT A

Case 5:07-cv-04808-JF

Document 48-2

Filed 07/03/2008

Page 2 of 38

5/4/2007

BP West Coas Products
4 Centerpinte Dr. La Palma, Ca. 90623

Mr. Tom Reeder:

We, Nazm Faquiran & Sayed Faquiryan, agree topayan additional $30,000.00 by certfied check payable to BPWCP on or before the 15th day
of each month begig June 20, 2007 until total sums of

balance due are

paid in full per BP credit dept.

These separate monthy payments will continue until all outstading balances due BPWCP, curently, $184,075.50 have been paid.
We fuer agree that our BPWCP account will not increase

in delinquent

amounts due. Sincerely,

~. ~¡7~'¡
Sayed Faquiryan "

cOA~
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Nazim Faquiryan

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s-- l--Zü67

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BP 00593

5

Case 5:07-cv-04808-JF

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EXHIBIT B

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BP West Coast. . óducts LLC
4 Ccnterpointe Drve
La Palma, CA 90623- i 066

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Mailing Address: Box 5077 Buena Park, CA 90622-5077

NOTICE OF DEFAULT

Facility Number 82461

o o

Certified Mail - Return Receipt Requested (7005 1160000040992107) Personal Delivery

STTN Enterprises Inc. 631 San Felipe Road Hollister, CA 95035

You are hereby notified that you are in defaultof your obligations under the terms and conditions of the foregoing
Agreement in effect on the date of the default between BP West Coast Products LLC, which Agreements relates to the business activity conducted by you at the address shown above.
Said default was observed on the date and at the approximate time shown below.
Title of Agreement:

~ ..-

Contract Dealer Gasoline Agreement
Violation of Articles/Sections:

Article/Section: 2 - Orders
Buyer wil order and make available for retail sale all grades of Gasoline which BPWCP offers to Buyer (hereinafter

collectively, "Producl), in amounts sufcient to satisfy all foreseeable retail customer demand for Product at the
Premises and will at all times have available for sale some of each grade of Product, subject only to allocation of

Product by BPWCP in a manner determined in BPWCP's sole discretion in Buyer's c¡eoqraphic area.
Details of Violation: (If applicable)

Franchisee refused to accept first ARCO c¡as load.

Date default was observed: October 11, 2006

Approximate TIme Default was observed: 11 :30 a.m.
By: Brad Christensen

Date Default to be cured:
You are hereby furter. notified to correct said default within the period specified by and in accordance with the provisions of the Agreement.

By:
cc: B. Christensen

DealerFile

BP01631

6

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5:07-cv-04808-JF

Document 48-2
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Filed 07/03/2008 Page 5 of 38 --',

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BP West Coast ~toducts LLC
4 Centerpinte Drve
La Palma, CA 90623-1066 Mailing Address: Box 5077 Buena Park. CA 90622-5077

NOTICE OF DEFAULT

Facility Number 82461

o o

Certified Mail- Return Receipt Requested (7005 1160000040992145)

Personal Delivery .

STTN Enterprises Inc. 631 San Felipe Road Hollister, CA 95035

.

You are hereby notified that you are in default of your obligations under the terms and conditions of the foregoing Agreement in effect on the date of the default between BP West Coast Products LLC, which Agreements relates to the business activity conducted by you at the address shown above.
Said default was observed on the date and at the approximate time shown below.
~~

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ntle of Agreement:
Contract Dealer Gasoline Aareement Violation of Articles/Sections:

Article/Section: 2 - Orders
Buyer wil order and make available for retail sale all grades of Gasoline which BPWCP offers to Buyer (hereinafter

collectively, 'Product", in amounts suffcient to satisfy all foreseeable retail customer demand for Product at the
Premises and wil at all times have available for sale some of each grade of Product, subject only to allocation of

Product by BPWCP in a manner determined in BPWCP's soJe discretion in Buyer's c¡eoqraphic area.
Details of Violation: (If applicable)
Franchisee refused to acceDt this momina's fuel deliverv.

Date default was observed: October 16, 2006

Approximate Time Default was observed: 6:00 a.m. By: Brad Christensen
Date Default to be cured: October 19, 2006
,,'

You are hereby further notified to correct said default within the period specified by and in accrdance with the provisions of the Agreement.

By:
cc: D. Strenk

B. Christensen Dealer File

BP 01630

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BP West Coast Products LLC
Default Notice

Facility Number: 82461
Certified Mail

Return Receipt Requested#: 7005 1160000040992541

STTN ENTERPRISES INC. 631 SAN FELIPE ROAD HOLLISTER, CA . 95035
You are hereby notified Ihat you are In default of your obligations under the terms and condilions of the foregoing Agr~ents in eHect on the dale of the default between BP Wesl Coast Products LLC, which Agreeenls relates to the business acti~ily conduclod by you al Ihe address shown abo~e.

Sald Default was obsØfed on the date and at the approximate time shown beow.

Hie Of Agreement
Vioa

Contract Dealer Gasoline Agreement
lion of Articles/Setions:

~
System Manual: -

am/pm:
Descriplion:

Gas: 5, 6

..

Pay for products prior to their delivery in U.S. dollars.

Details of Vlolatlon: (if applicable)

Franchise did not have suffcient funds (NSF) available to pay for gas loads. Check was returned on 1IB/07.

Date Defauul to be cured;

January 08,2007

15:17:00

by: CHRISTENSN

January 30, 2007

You are hereby furthe noified 10 CDrrl said default wllhln the period spified by and In acordance with lhe proisions of Ihe Agreeent.

"w~~~
Document Number: 0249784

Dated this 23 day of January, 2007.

'" Tom Reede,. Reg;o~ge'
APPC-4-B-PC Version (9-941

cc: CHRISTENSN STRENK DEALER FILE

BP 01632

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BP West Coast Products LLC
Default Notice

~".
Facility Number: 82461
Certified Mail

Return Receipt Requested #: 7005 1160 0000 40992565

STTN ENTERPRISES INC. 631 SAN FELIPE ROAD

HOLLISTER, CA 95035
You are hereby notiied that you are in default 01 your obligations under the tenns and conditions of the foregoing Agreemnts in effect on the date 01 the defaull between BP West Coast Products LlC. which Agreements relates to the business activity conducted by you at the address shown above.

Sald Delault was observed on the date and at the approxlmate time shown below.
i~iie 01 Agreement:

Contract Dealer Gasoline Agreement
Vioalio 01 Articles/Sections:

am/pm:
Description:

Gas: 5, 6

System Manual: .

--

Pay for products prior to their delivery in U.S. dollars.

Details ol Violatlon: (il applicable)
Failure to pay for fuel

loads.

Date Delauilio be cured:

January 26, 2007

20:42:00

by: CHRISTENSN

February 01, 2007

You are hereby lurther notified to correct said delault within the period spelfed by and in accordance with the provisions 01 the Agreeent.

"w.._~~~
Dated ¡his 29 d::~, ¿uu '. anua ,2007.
By:

Tom Reeder - Regional Sales Manager

cc: CHRISTENSN STRENK DEALER FILE

DoUment Number: 02487857
APPC-4-B.PC Version (8.94)

BP 01633

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BP West Coast Products LLC
Default Notice

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Facility Number: 82461
Certified Mail

Return Receipt Requested #:

STTN ENTERPRISES INC. 631 SAN FELIPE ROAD HOLLISTER, CA 95035
You are hereby notified that you are In delault 01 your obligations under the terms and conditions of the foregoing Agreements In effect on the date 01 the
default between BP Wesl Coast Producls LLC. which Agreements relates to the business activity conducted by you al the address shown above.

Said Default was obseed on the dale and at Ihe approximate tlme shown below.
Title 01 Agreement

Contract Dealer Gasoline Agreement
Gas: 5, 6

.~
System Manual:

VlOalion 01 Aricles/Seclions:

am/pm:
Description;

""..

Pay for products prior to their delivery in U.S. dollars.

Detalls ol Violation: (if applicablel

Franchisee is being defaulted for non payment of gasoline.
load was brought to the site and there was no Cashier's check available for load payment. Load was dropped anyway. On 2/6/07, Franchise Consultant (Brad Christensen made an agreement with Franchisee that Franchisee would put extra for $22K in with next delivery (paying a total of $44K). On the next delivery only one check was included in payment for $22,500 on 217/07. Refer to inv. #3022358998 and
Note: One 2/2/07, fuel

3022375842.

Date Defau to be cured:

February 15, 2007

10:27:00

by: CHRISTENSN

February 20, 2007

You are hereby lurther notified to corect said default withIn the peod speified by and In acordance with the provisions of the AgræL

U.S. Postal Service""
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By:

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omestic Mail Only; No Insurance Coverage 44RTIFIED MAIL,." RECEIPT Provided

Doument Number: 0241APPC-4-8-PC Version (1.11)

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1b P0 & Fe $
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BP01636

Case 5:07-cv-04808-JF

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Document 48-2

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BP West Coast Products LLC
Default Notice

Facility Number: 82461
Certified Mail
Return Receipt Requested #: 7005 1160 0000 4099 2817

STTN ENTERPRISES INC. 631 SAN FELIPE ROAD HOLLISTER, CA 95035
You are hereb notifed that you are In default of your obligations the temms and conditions of the foregoing Agreeents In effect on the date of the under default between BP West Coast Prouct LLC, which Agreeents ",Iates to the business activity conducted by you at the addres shown above.

Sald Default was obsrved on the date and al the approxl",.te time shown below.

Contract Dealer Gasoline Agreement
Volatio 01 Aricles/Seti:

'"00 Of Agreeme~t:

~r
System Manual: .

am/pm:
Descripti:

Gas: 5, 6

Pay for products prior to their delivery in U.S. dollars.

Detalls of Vlolation: (if appUcable)

Failure to pay for gasoline. Franchisee's payment was returned due to non suffcient funds. Check #1220 returned due to Franchisee putting a stop payment,

Dae Defaii to be cu:

March 05, 2007

14:28:00

by: CHRISTENSN

March 22, 2007

You are hereby furthe noified 10 corr said defaull within the peod speified by and In accrdanc wit lhe prvisions of lhe Agret.

By:

Tom Reeder - Regional Sales Manager

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U.S. Postal Service".,
(Qomestlc Mail Only; No Insurance Cover "'.. Provide,
, '"

.- CERTiFIED MAIL:; RECEIII
qJ
nu

cc-

Document Numbe: 02489113

APPC--.B.PC Verion (IIIM)

or :: Po $ o Ce Fee o o Re1 Ro Fe o (E Requi) o -- Dø Fe .. (E ReqUI) ..- ToI Po & Fuu
o ~ Se To

OFFICIAL.

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Case 5:07-cv-04808-JF

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Document 48-2
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Page 10 of 38

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BP West Coast Products lLC
Default Notice

Facility Number: 82461
Certified Mail

Return Receipt Requested #: 7005 1160000040992817

STTN ENTERPRISES INC, 631 SAN FELIPE ROAD HOLLISTER, CA 95035
You are hereby notll1ed thaI you are in defaull of your obligations under the tenns and conditions of the foregoing Agreements In effect on the dale 01 the delault beee BP West Coast Proucts LLC, which Agreeents relales to the business acllvity conducted by you at the addre shown above.

Said Default was obsrved on the date and at the approximate time shown below.
Tit of Agreement

Contract Dealer Gasoline Agreement
Vioti of AriclesSeions:

o;
System Manual:-

~

am/pm:
Description:

Gas: 5, 6

Pay for products prior to their delivery in U.S. dollars.

Detalls of Vlolatlon: (If applicable)'

Failure to pay sums due on account as of 3/5/07. Amount due - $164,950.B1.

Doc. date Doc. no. Amount BOL Date SOL # Text
1/1/2007 3022056233 $21,078.93 12/31/06 0556080 returned on 1/08/07 due to stop payment
1/8/2007 3022120003 $20,859.48 11707 0559505 returned NSF on 1/16/07 1/14/20073022159335 $20,866.68 1/11/07 0561573 returned on 1/19&1/25 due to stop payment 1/15/2007

3022178299 $21,472.44 1/13/07 0562666 ¡nv. held per fc site has issues due to power outage 1/21/20073022213698 $20,938.66 1/19/20070565619 returned on 1/26/07 due to stop payment
SEE ATTACHMENT FOR MORE INFORMATION

Dale Defaul to be CUled:

January 30, 2007

14:28:00

by: CHRISTENSN

March 22, 2007

You arø hereby further notll1ød 10 corrt said default within the peod spell1ed by and In accordance with the prvisions of the Agrent:

"w~-~~ .
Dated this 15 ~:;u~ --- .,f March 20, 07.

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Doument Numbe: 0249116

Tom Reeder - Regional Sales Manager

cc: CHRISTENSN STRENK DEALER FILE

APPC-4-B.PC Ve",lon (9.94)

BP 01634

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Case 5:07-cv-04808-JF

Document 48-2

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date

Doc. no. Amount

BOL DateBOL #

Text

1124120073022253575 $20.836.93 1/23/2007 0567848 returned on 1/31/07 due to stop payment 1131120073022309234 $20,851.09 113012007 0571519ffrst COD invoice

check #1220 returned due to dlr putting stop payment
0573078 2/7/20073022375842 $21,897.50 2/7/2007 0575276 2/12/20073022414847 $21,252.22 2/10/2007 0576943

2/5/20073022358998 $21,338.16 2/2/2007

2/14/20073022432918 $21,084.27 2/19/20073022468658 $22,136.36 2/21/20073022487185 $21,563.53 2/25/20073022513117 $22,138.70 2/26/20073022525674 $22,167.59 3/4/20073022579291 $22,968.27

dlr gave driver $1,800 in cash - Scott Murdock converted to CCHK 2/14/20Q7 0578900 check not yet posted

.'

2/171007 0580700 check not yet posted 2/20/2007 0582187 check not yet posted 2/24/2007 0584166 check not yet posted 2/26/2007 0585118 check not yet posted 3/2/2007 0587337 check not yet posted

Total due bp:

$343.450.81

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Net due bp:

$164,950.81

BP 01635

13

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BP West Coast Products LLC
Default Notice

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Facility Number: 82461
Certified Mail

Return Receipt Requested #: 7005116000004106971

STTN ENTERPRISES INC. 631 SAN FELIPE ROAD HOLLISTER, CA 95035
You are hereby notißed that you are in default of your obligation. under the tenns and condition. of the foregoing Agreeents in effect on the date of the default between BP West Coast Products LLC. which Agreeents relates to the business activity conducted by you at the address shown above.

Sald Default was observed on the date and at the approxlmate tlme .hown below.
TIUe Of Agreement:

Contract Dealer Gasoline Agreement
Viotin of Aricles/Setions:

~~

am/pm:
Descriplion:

Gas: 15.1,17.1(k), Exh.A

System Manual: ---

Operate premises accordance with all applicable federal, state and local

laws (health,safety,etc.)

DetaJls of Violatlon: (if appplcable)

Failure to operate in accordance with laws.
Facility operator left fuel dispensing equipment turned on so customers

could pump gasoline without an employee

attendant present for safety measures, as prescribed by law. On Friday, March 30, 2007, at 6:16 a.m., a BP

employee witnessed and confirmed a fueling purchase when no employee was present on site. Facilty was
closed and customer could access PiC for fueling transaction. A PIC printed receipt was generated as evidence of fuel purchase. This facilty's dispensing permit does not allow for fueling, without a station employee present.
Cure date: Immediately

Date Defau~ to be cured:

March 30, 2007

06:16:00

by: CHRISTENSN

You are herby furthe notified to corr said deault within the period speified by and In accorda"" with the provisions of the Agreent.

Dated this 5 day of April, 2007.
BP West Co.t Prodts LLC

By:

cc: CHRISTENSN STRENK DEALER FILE

Doument Ni.be 02499914

APPC-4C Vers.lon (9-11)

BP 01638

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BP West Coast Products LLC
Default Notice

Facility Number: 82461
Certified Mail

Return Receipt Requested #: 70063450000038794174

STTN ENTERPRISES INC. 631 SAN FELIPE ROAD HOLLISTER, CA 95035

.

You are hereby notified that you are In delault 01 your obligations under the tems and conditions 01 the foregoing Agreeents In effect on the date 01 the delault beeen BP West Coast Producs LLC, which Agreeents relates to the business activty conducted by you at the address shown above.

Said Delault was obsered on the date and at the approximate tlme shown below.

TTõfgreement:
am/pm:
DescMptio:

Contract Dealer Gasoline Agreement
Gas: 2

Vioatio of Ars/Setions:

vSystem Manual:

--

Have all grades of motor fuels available for sale to the public

Dels ol Violatlon: (II applcble)

All motor fuels available. Failure to have all grades of Motor Fuels available for sale to the public. On 5/10 &
5/14/2007, Franchise Consultant, CMS, and Regional Sales Manager observed that no diesel fuel was available for customers.
Cure date: Immediately

Date DeI3I~ to be cured:

May 14, 2007

11:00:00

by: CHRISTENSN

You are hereb further notified to commt said default within the period speified by and In accordance with the provisions of the Agreeent.

By:

~\/
Tom Reeder - Regional Sales Manager
cc: CHRISTENSN STRENK DEALER FILE

Document Number: 02501379

, APPC-4B-PC Version (9.941

BP 01639

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BP West E:oast Products LLC
Default Notice

-. .

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Facility Number: 82461
Certified Mail

Return Receipt Requested #: 70070710000442363239

STTN ENTERPRISES INC. 631 SAN FELIPE ROAD

HOLLISTER, CA 95035
You are hereby notifed that you are in defaL.lt of your abUgatlons under the terms and conditions af the lareQQIr~ Agreements in effect an lhe date of the
default between BP West Coast Products LLC, which Agr8Qments relaies to the business activity conduct~ by you ilt tho iddriss shown above.

Said Oefaull was observed on the date and at the approxlmate time shown below.
TiU. of Agr.ament

Non-Lessee. am/pm Mini Market Agreement, Contract Dealer Gasoline Agreement
Violation at ArdaSiSeons:

v

am/pm:
09Scr1pUon:

Gas: 2

System Manual: SeM

Have all grades of Motor Fuels available for sale to the public

Datalls 01 Vioiallon: (If applicabl.I

1. Pay for gasoline. PMPA 6. Gasoline must be paid for at time of delivery in U.S. Dollars. STTN, Inc. owes BP loads. STTN. Inc. put bank Stop Payments on 4 multiple fuel invoices and 2 $114,000.88. for delivered fuel Williams Fuel Delivery Drivers were not given cashiers checks, but had already dropped the fuel into STTN Inc.

tanks. 2. Insuffcient Wo¡1ing CapitaL. Franchises Sayed F. told FC he does not have enough money. He cannot
gather enough fund to pay for gas inventory. He has not purchased ARCO Branded Motor Fuel on any day since August 17, 2007. 3. All Motor Fuels Available. PMPA 2. SYSMAN Sec. 1. Have all grades of Motor Fuels available '. for sale to the public. Facility has not. sold gasoline any of the following days: Fri. 8/24, Sat. 8/25, Sun. 8/26, Mon. 8/27. Tues. 8/28
use by
No 87, 89, 91, or Diesel fuel sales since night of 8/23/07. All dispensers are cautioned taped off from any

customers. FC hashad several phone discussions informing Sayed he is required to sell Arco FueL. Each conversation led to my recommending he orderfuel. Talked Thursday 8/23, Fri. 8/24, Mon. 8/27. (message left

Wp,n Al?al (', . 1 r1::" .

..
Oat.. 0el311 to be QJrad:

August 24, 2007

17:00:00

by: CHRISTENSN

You are h.raby !urlor noUfted to correc saki d.fault within the period speclf by and In acdanc wih tho proylSlOns of ti. Agr.emnL

Oaled iiis 31 day of August 007.
BP Wast Coat Proucc LLC

By:

Tom Reeder. Regional Sales Manager

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cc: CHRISTENSN STRENK
DEALER FILE

Document Numer: 02504294

APPC-4-a-pc Veralon (9.94)

BP 03560

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Page 15 of 38

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sp. WesfCoast Products LLC
Default Notice
Certified Mail

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Facility Number: 82461

Return Receipt Requested #: 7007 07100004 42363246

STIN ENTERPRISES INC.
631 SAN FELIPE ROAD'
HOLLISTER, CA 95035

You 11(8 henby noUfied that you are in default of your obllgaUons under the term and conditions of the foregoing Agreements in itfict on the date of the default betWeen BP West Coast Products LLC. which Agre9menls relates 10 the business activity conducted by you at the address shown above.

Sald Default was observed on the date and al the approximale tlme shown below.
TiUe of AQeemnt:

Non-Lessee. am/pm Mini Market Agreement, Contract Dealer Gasoline Agreement
Violatton of Artcles/Sections:

~

am/pm:
Descnplion:

Gas: 2

System Manual: ~ec. 1

..

Have all grades of Motor Fuels available for sale to the public

Delails of VlolaUon: (II applicable)

1. Pay for gasoline. PMPA 6. Gasoline must be paid for at time of delivery in U.S. Dollars. STTN, Inc; owes 8P loads. STTN. Inc. put bank Stop Payments on 4 multiple fuel invoices and 2 $114,000.88. for delivered fuel Wiliams Fuel Delivery Drivers were not given cashiers checks, but had already dropped the fuel into STTN Inc.

tanks. 2. Insuffcient Working CapitaL. Franchises Sayed F. told FC he does not have enough money. He cannot
gather enough fund to pay for gas inventory. He has not purchased ARCO Branded Motor Fuel on any day since
August 17, 2007. 3. All Motor Fuels Available. PMPA 2. SYSMAN Sec.

1.. Have all grades of Motor Fuels available

for sale to the public. Facility has not sold gasoline any of the following days: Fri. 8/24, SaL 8/25, Sun. 8/26, Mon. 8/27, Tues. 8/28 No 87, 89, 91, or Diesel fuel sales since night of 8/23/07. All dispensers are cautioned taped off from any use by customers. FC has had several phone discussions infomming Sayed he is required to sell Arco FueL. Each conversation led to my recommending he order fueL. Talked Thursday 8/23, Fri. 8/24, Mon. 8/27. (message left

, .

to be cured:

August 25, 2007

17:00:00

by: CHRISTENSN

You ere h..nby further natlfied ta corret said delault within the perlad specified by and In icconjanc..wih th.. provisions of the Avr..ment.

By:

Tom Reeder - RegionarSales Manager

~

cc: CHRISTENSN STRENK
DEALER FILE

bo,cument Number: 025042115,
APPC -40,B-PC Version (11-114)

BP 03561

17

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BP West Coast Products LLC

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Default Notice

Faciliy Number: 82461
Certified Mail

Return Receipt Requested #: 70070710000442363253

STIN ENTERPRISES INC.
631 SAN FELIPE ROAD

HOLLISTER, CA 95035
You are h~r.by noUrred thai you ilr. In defauU of your obligations under the terms ,¡nd conditions of 1he fongoing Agreements In ,lfeci on the datil of the default betWeen BP West Coast Products LLC. which AQreem8nts relates to the business actiity conducted by you at the address shown above.

Sald Default was observed on !.e date and 3t the approximate Ume shown below.
IIDe at Agreement

Non-Lessee - am/pm Mini Market Agreement, Contract Dealer Gasoline Agreement
Vialaöon 01 ArteslSeC!ans:

v

am/pm:
Descpöon:

Gas: 2

System Manual: Se,ê.

Have all grades of Motor Fuels available for sale to the public

Deta"s of Violation: Ilf applicable,

1. Pay for gasoline. PMPA 6. Gasoline must be paid for at time of delivery in U.S. Döllars. STTN, Inc. owes BP $114,000.88. for delivered fue/loads. STTN. Inc. put bank Stop Payments on 4 multiple fuel invoices and 2 , Willams Fuel Delivery Driver's were not given cashiers checks. but had already dropped the fuel into STTN Inc.

tanks. 2. Insuffcient Working CapitaL. Franchises Sayed F. told FC he does not have enough money. He cannot
gather enough fund to pay for gas inventory. He has not purchased ARCO Branded Motor Fuel on any day since . August 17 ,2007. 3. All Motor Fuels Available. 'PMPA 2. SYSMAN Sec. 1. Have all grades of Motor Fuels available for sale to the public. Facility has not sold gasoline any of the following days: Fri. 8/24, Sat. 8/25, Sun. 8/26, Mon. 8/27, Tues. 8/28 . No 87, 89, 91, or Diesel fuel sales since night of 8/23/07. All dispensers are cautioned taped off from any use by customers. FC has had several phone discussions informing Sayed he is required to sell Arco FueL. Each conversation led to my recommending he order fueL. Talked Thursday 8/23, Fri. 8/24, Mon. 8/27. (message left

W t. m it I . '
August 26, 2007
13:15:00
by: CHRISTENSN

, You are her~by furt nollfl to c:t said d.fault wwthln the panod .palfied by and In ac,orince with (he prvisions of the Agreement.

"W~"'"'''.''' ~
Dated thi* 31 day of Aug~r. 2007.
By:

~~

Torn Reeder - Regional Sales Manager

cc: CHRISTENSN STRENK
DEALER FILE

Document Number: 0250211

APPC44-8-P Version (9-84)

BP 03562
18

1

~ '~~ .~,.

Case 5:07-cv-04808-JF

Document 48-2

Filed 07/03/2008

Page 17 of 38

')
BP-WestCoast Products LLC

)
Default Notice

Facility Number: 82461
Certified Mail

Return Receipt Requosted #: 7007 0710 000442363260 .

STTN ENTERPRISES INC. 631 SAN FELIPE ROAD HOLLISTER, CA 95035
You are hereby notified that you are In default of your obUgalions under the terms and conditions of the foregoing Agreements In IIHect on the dace at the
defauut between BP West Coast Products LLC, which Agreements relales to the business activity conduct9d by you at the address shown above.

Sald Default was obsørved on the date and at the approxlmate Uine shown below.

Tie at Agreement

Non-Lessee - am/pm Mini Market Agreement, Contract Dealer Gasoline Agreement

Vlolali of An;cleslSllon.:

v

am/pm:
Oosapöon:

Gas: 2

System Manual: ~ 1

Have all grades of Motor Fuels available for sale to the public
. ,

001.11. 01 Violallon: (II applicable)

1. Pay for gasoline. PMPA 6. Gasoline must be paid for at time of delivery in U.S. Dollars. STTN, Inc. owes BP loads. STTN. Inc. put bank Stop Payments on 4 multiple fuel invoices and 2 Wiliams Fuel Delivery Drivets were not given cashiers checks, but had already dropped the fuel intoSTTN Inc.
$114,000.88. for delivered fuel

tanks. 2. Insuffcient Working CapitaL. Franchises Sayed F. told FC he does not have enough money. He cannot
gather enough fund to pay for gas inventory. He has not purchased ARCO Branded Motor Fuel on any day since available August 17, 2007 .3.AJI 'Motor Fuels Available. PMPA 2. SYSMAN Sec. 1. Have all grades of Motor Fuels

for sale to the public. Facility has not sold gasoline any of the following days: '
Fri. 8/24, Sat. 8/25, Sun. 8/26, Mon. 8/27, Tues. 8/28
cautioned taped off from any use by customers. FC has had several phone discussions informing Sayed he is required to sell Arco FueL. Each conversation led to my recommending he order fueL. Talked Thursday 8/23, Fri. 8/24, Mon. 8i27. (message left
No 87, 89, 91, or Diesel fuel sales since night of 8/23/07. All dispensers are

.,

mm i I

.'.'"''

August 27,2007

17:00:00

by: CHRISTENSN

'..-, . '. ,t.'

You ore her.by furt notifi 10 cOlecl .ald d.lault within Ih. perio Splltf&d by 8nd In accordanc. with th. provisions 01 lhe Agr..""nt.

. 2007.

By:

Tom Reeder. Regional Sales Manager

~.

cc: CHRISTENSN STRENK
DEALER FILE

Documnl Number: 02504297

APPC~-a-4C version (9.!1)

BP 03563

19

Case 5:07-cv-04808-JF
1

~ ,~~ '~".

)

Document 48-2

Filed 07/03/2008

,

Page 18 of 38

BP West.

Coast Products LLC

Default Notice

Facility Number: 82461
Certified Mail

Return Receipt Requested #: 7007 0710 000442363277 '

STTN ENTERPRISES INC. 631 SAN FELIPE ROAD HOLLISTER, CA 95035
You are hereby nollfied that you are in default of your abligaUons under the terms and conditions of the foregoing Agreements In øHect on Ihe date of thll d.'ault between BP West Coast Products LLC. whlch Agreements relates to Ihe builness activity conducted by you at the address shown above.

Sald O.fault was observed an Ihe date iind iit the approximate tlme shown below.

IUe 0 Agrement

Non-Lessee. am/pm Mini Market Agreement, Contract Dealer Gasoline Agreement
Violation of ArdfJslSecons~

..~
Gas: 2

am/pm:
Descrption:

System Manual: s' 1

Have all grades of Motor Fuels available for sale to the public

Details of Vlol;Uon: (If applicable I

1. Pay for gasoline. PMPA 6. Gasoline must be paid for at time of delivery in U.S. .Dollars. STTN; Inc. owes BP loads. STTN. Inc. put bank Stop Payments on 4 multiple fuel invoices and 2 $114,000.88. for delivered fuel Wiliams Fuel Delivery Driver's were not given cashiers checks, but had already dropped the fuel into STTN Inc. '

tanks. 2. Insuffcient Working CapitaL. Franchises Sayed F. told FC he does not have enough money. He cannot
gather enough fund to pay for gas.

inventory. He has not purchased ARCO Branded Motor Fuel on any day since

August 17, 2007. 3. All Motor Fuels Available. PMPA 2. SYSMAN Sec. 1. Have all grades of Motor Fuels available
for sale to the public. Facility has notsold gasoline any of the following days: Fri. 8/24, Sat. 8/25, Sun. 8/26, Mon. 8/27, Tues. 8/28
No 87,89,91, or Diesel fuel sales since night of 8/23/07. All dispensers are cautioned taped off from

any use by

customers. FC has had several phone discussions informing Sayed he is n~quired to sell Arco FueL. Each conversation led to my recommending he order fueL. Talked Thursday 8/23, Fri. 8/24, Mon. 8/27. (message left

W 2. r t. 1m' t I
. August

28, 2007

17:00:00

by: CHRISTENSN

You ar. hereby furt noUn.d to cornet said default wwthln - period spaclfied by and In accordance wwlh,the prvisions of the Aguemenl.

, 2007.

By:

Tom Reeder. Regional Sales Manager

~

cc: CHRISTENSN STRENK DEALER FILE

Document Number: 02504298

APPC-4-a-pC Version (9.94/

BP 03564

20

Case 5:07-cv-04808-JF

i

-- ~~
'" ,.

î

Document 48-2

Filed 07/03/2008

Page 19 of 38

BP West Coast Products LLC

Default Notice

Facility Number: 82461
Certified Mail
Return Receipt Requested #: 7007 0710 0004 4236 3284

STTN ENTERPRISES INC. 631 SAN .FELIPE ROAD HOLLISTER, CA 95035
You are hereby noûfied that you are in defauH or your obligations under Ih8.t8rms and conditions oC the forigo'ing Agreements in eHecl on the dale of the

default between 8P West Coast Products Ll.C, which AgreQl'nlS relates to the business activity conducted by you at the addrøss shawn above. .

S;;ld Default waS obsQrved on the date and al the approximate tlme shown below.

nUe 01 Agraamant

Non-Lessee - am/pm Mini Market Agreement, Contract Dealer Gasoline Agreement
Violaöon ot ArtesSectons:

am/pm:
Oescnption:

~
Gas: 2

System Manual: Sei:

Have all grades of Motor Fuels available for sale to the public

Detaii. ot Vlolallon: (If appllcabla,

1. Pay for gasoline. PMPA 6. Gasoline must be paid for at time of delivery in U.S. Dollars. STTN, Inc. owes BP loads. STTN. Inc. put bank Stop Payments on 4 multiple fuel invoices and 2 $114,000.88. for delivered fuel Willams Fuel Delivery Driver's were not given cashiers checks, but had already dropped the fuel into STTN Inc. .

tanks. 2. Insuffcient Working CapitaL. Franchises Sayed F. told FC he does not have enough money. He cannot
gather enough fund to pay for gas inventory, He has not purchased ARCOBranded Motor Fuel on any day since August 17, 2007. 3. All Motor Fuels Available. PMPA 2. SYSMAN Sec. 1. Have all grades of Motor Fuels available for sale to the public. Facility has not sold gasoline any of the following days: Fri. 8/24, Sat. 8/25. Sun. 8/26, Mon. 8/27, Tues. 8/28 No 87, 89, 91, or Diesel fuel sales since night of 8/23/07. All dispensers are cautioned taped off from any use by customers. FC has had several phone discussions informing Sayed he is required to sell Arco FueL. Each conversation led to my recommending he order fueL. Talked Thursday 8/23, Fri. 8/24, Mon. 8/27. (message left

August 29, 2007

16:30:00

by: CHRISTENSN

You ora herety furtr notied to correct .ald default within the peiod .palfl by aoo In accodance wit Ihe provision. 01 tha Agreemant

Dated 1m. 31 day of AUQ.ust, 2007.
BP Wasl Coasl Proucts LLQ'

By:
Tom

\/~~
. C-- ) "

Reeder . Regional Sales Manager

cc: CHRISTENSN STRENK .
DEALER FILE

Document Number: 02504299

APPC-40---PC V.rslon (1-i)

BP 03565

21

1

-,~~
"'~

Case 5:07-cv-04808-JF
'\

Document 48-2

Filed 07/03/2008

Page 20 of 38

)
Default Notice

BP West Coast Products LLC

Facility Number: 82461
Certified Mail

Retum Receipt Requested #: 70070710 000442363291

STTN ENTERPRISES INC. 631 SAN FELIPE ROAD

HOLLISTER, CA 95035
You are hereby notified that you are in default of your obligations under the terms and conditions of the foregoing Agreements in øffeet on the date of the default between BP West Coasl Products LLC. which Agreements relates to the business actlvlty conductlid by you at the addr9ss shown above.

Said Default was abseNsd on the date and at the approxlmate tlme shown below.

Ti!e of Agreeent:

Non-Lessee. am/pm Mini Market Agreement, Contract Dealer Gasoline Agreement
Violation of Artes/Sectons:

am/pm:
Oesaptin:

Gas: 2

System Manual: SeC'

~

Have all grades of Motor Fuels available for sale to the public

Oelail. of IIlolalion: lif appllcablet

1. Pay for gasoline. PMPA 6. Gasoline must be paid for ,at time of delivery in U.S. Dollars. STIN, Inc. owes BP
$114,000.88. for delivered fuel loads. STIN. Inc. put bank Stop Payments on 4 multiple fuel invoices

,and 2

Williams Fuel Delivery Driver's were not given cashiers checks, but had already dropped the fuel into STTN ,Inc.

tanks. 2. Insuffcient Working CapitaL. Franchises Sayed F. told FC he does not haiie enough money. He cannot
gather enough fund to pay August 17,200.7.3, All,

for sale to the public. Facilty has not sold gasoline any of the following days: .
Fri. 8/24, Sat. 8/25, Sun. 8/26, Mon. 8/27, Tues. 8/28 '
No 87, 89, 91 , or Diesel fuel sales since nig ht of 8123107. All dispensers are cautioned taped off from any use by
customers. FC has had several phone discussions informing Sayed he is required to sell conversation led to my recommending he order fueL. Talked Thursday 8/23, Fri. 8/24, Mon.

Motor Fuels Available. PMPA 2. SYSMAN Sec. 1, Have

for gas inventory. He has not purchased ARCO Branded Motor Fuel on any day since all grades of Motor Fuels available

Arco FueL. Each
8127. (message left

,August 30, 2007

17:00:00

by: CHRISTENSN

',-

.. ..'

You are hereby funhor noUfled 10 corec said default wihin the period specifi by and In accordance will Ihe provi.lon. ollh Agreent

::w~'~"'~~~~ ~
Oaled thl. 31 day of August, 2007.

Tom Reeder - Regional Sales Manager

cc: CHRISTENSN . STRENK DEALER FILE

O""umeni Number. 025043 APPC-4-8-PC lIerslon 19.94)

BP 03566

22

1

-~~. '~~

Case 5:07-cv-04808-JF

Document 48-2

Filed 07/03/2008

()
a-P West Coast Products LLC

,

Page 21 of 38

Default Notice

Facility Number: 82461
Certified Mail
Return Receipt Requested #: 7007 0710 0004 4236 334S

STTN ENTERPRISES INC. 631 SAN FELIPE ROAD

HOLLISTER, CA 95035
You are herøby notiftød that you arø in default of your obligations under the terms and conditions 01 the foregoing Agrevmenis in øHøct on the date of the default berween 8P West Coast Products LLC. which Agreements relates 10 the business activity conducted by you ai. the address shown abovii,

Said Default was observed on the date and at the approximate tlme shown below.
TiUe of Agreement

Non-Lessee - am/pm Mini Market Agreement, Contract Dealer Gasoline Agreement
Vlalaban of Ar1idesiSecUans:

am/pm:
Description:

(r
Gas: 2

System Manual: se. 1

Have all grades of Motor Fuels available for sale to the public

Oetails of Violation: applicable) (II

1. Pay for gasoline. PMPA 6. Gasoline must be paid for at time of delivery in U.S. Dollars. STTN, Inc. owes BP $114,000.88. for delivered fuel loads. STTN Inc. put bank Stop Payments on 4 multiple fuel invoices and 2 Williams Fuel Delivery Driver's were not given cashiers checks. but had already dropped the fuel into STTN Inc.

tanks.
2. All Motor Fuels Available. PMPA 2. SYSMAN Sec. 1. Have all grades of Motor Fuels available for sale to the

public. Facility has not sold required gallons of gasoline any of the following days: Friday. 8/31/07. No. 8.7, 89, 91.
or Diesel fuel sales since night of 8/23/07. All dispensers are cautioned taped off from any use by customers. FC has had several phone discussions informing Sayed he is required to sell Arco FueL. Each conversation led to FC recommending he orders fueL. Talked Thursday 8/23. Fri. 8/24. Mon. 8/27. (message left Wed. 8/29).
Cure date: Immediately
Dale Default was observed:
Ap'proximate Time Derault was obseived:

Dalf oerault to be cured:

August 31, 2007

18:30:00

by: CHRISTENSN

You are heteby further notlfed to correct saki default wUhln 'he period specified by ;and In accordance with the provisions 01 thi Agreement.

By:

Tom Reeder - Regional Sales Manager

~

cc: CHRISTENSN STRENK
DEALER FILE

Docume"i Number: 02504405

APPC-40-S-PC Version l9-~)

BP 03567

23

1

i

--

Case 5:07-cv-04808-JF

Document 48-2

Filed 07/03/2008

Page 22 of 38

, ",--

BP West Coast Products LLC

~~
Facility Number: 82461
Certified Mail

Default Notice

Return Receipt Requested #: 7007 0710 000442363352

STTN ENTERPRISES INC. 631 SAN FELIPE ROAD
HOLLISTER, CA 95035
You are hereby notified that you ~r8 In default of your obligations under the terms and condrtions of the foregoing Agreements In eHect on the date at the
dgfaull between BP West Coòlst Products LLC, which Agreements rQlatøs to the business activity conducted by you ilt the address shown above.

Said Default was observed on the date and at the approximate time shown below.

Ii~e Q/ Agrement

Non-Lessee - am/pm Mini Market Agreement, Contract Dealer Gasoline Agreement
Viooation of AriclesiSeclions:

am/pm;
Oescrp~on:

~~
Gas: 2

System Manual: sir

Have all grades of Motor Fuels available for sale to the public

Details of Vlol.tion: (it .ppllc.ble)

1. All Motor Fuels Available. PMPA 2. SYSMAN Sec. 1. Have all grades of Motor Fuels available for sale to the public. Facility continues to operate without Diesel Fuel Sales since 8/2/20'07. STTN Inc. continues to operate the facility without fuel sales to Arco customers for 13 days. Termination is possible without fuel sales for any 7 day period. Effective today 9/4/07 facility has not sold required gallons of gasoline any of the following days: No fuel grades 87, 89, 91, or Diesel fuel sales since night of 8/23/07. All dispensers are cautioned taped off from any use by customers. FC has had multiple phone discussions informing Sayed he is required to sell Arco FueL. Each conversation led to FC recommending he order fueL. FC explained this default directly to Sayed on Thurs

8/23, Fri. 8/24, Mon. 8/27, Tues 8/28, Thur 8/29, Fri 8/30, Sat 9/1, Tues 9/4. On Fri 8/30 RSM convened a
conference call with Sayed and FC to confirm and clarify Sayed was, again, aware of his continued violation of BP

Agreements,
~iirp rl::tA' ImmpdiatRlv
~

Dale Oelaull to be cured:

September 01, 2007

12:00:00

by: CHRISTENSN

You are hereby furthlH notified to C0I8Ct i.aid default within the p4rid speified by and In accordance with the provlslons of the AgreemenL

Deled ;iIs 4 day of September, 2007.

::.%"'~'''~ ~
Tom Reeder - Regional Sales'

Manager

cc: CHRISTENSN STRENK
DEALER FILE

Documnt Number: 0250408
APPC-4.a.fC Version (9.94)

BP 03568

24

-1
i

Case 5:07-cv-04808-JF

Document 48-2

Filed 07/03/2008

Page 23 of 38

, ~~. ~,.
.-

BP Wes.tCoast Products LLC

Default Notice

Facility Number: 82461
Certified Mail

Return Receipt Requested #: 7007 0710 000442363369-

STTN ENTERPRISES INC. 631 SAN FELIPE ROAD

HOLLISTER, CA 95035
Yau are hereby notified that you are in defauH 0' your obligations under the terms and conditions of the foregoing Agreements in eHecl on the dale of the default between BP West Coast Products LLC, which Agreemonls relatgs to the buslnoss 3ctlvlty conducted by you at the address shown above.

Said Default was observed an"lhl date and õU the approximate tlme shown below.
Ti~e 01 Agreemet:

Non-Lessee - am/pm Mini Market Agreement. Contract Dealer Gasoline AQreement
Viola~on of ArtclBSSecttons:

amlpm;
Oescrptton:

(.~

Gas; :2

System Manual: ~.1

Have all grades of Motor Fuels available for sale to the public

Details of Violation: (if applicable)

1. All Motor Fuels Available. PMPA 2. SYSMAN Sec. 1. Have all grades of Motor Fuels available for sale to the

public. Facilty continues to operate without Diesel Fuel Sales since 8/2/2007. STTN Inc. continues to operate the
facility without fuel sales to Arco customers for 13 days. Termination is possible without fuel sales for any 7 day
period. Effective today 9/4/07 facilty has not sold required gallons of gasoline any of the following days: No fuel

grades 87, 89, 91, or Diesel fuel sales since night of 8/23/07. All dispensers are cautioned taped off from any use by customers. FC has had multiple phone discussions informing Sayed he is required to sell Arco FueL. Each conversation led to my recommending he order fueL. FC explained this default directly to Sayed on Thurs 8/23, Fri.

8/24, Mon. 8/27, Tues 8/28. Thur 8/29, Fri 8/30, Sat 9/1, Tues 9/4. On Fri 8/30 RSM convened a conference call
with Sayed and FC to confirm and clarify Sayed was, again, aware of his continued violation of BP Agreements.
Cure date: Immediately
Daie Oelaull was obS'ea:
Approximate Time Defaull was obsered:

Date Default to be cur:

September 02, 2007

12:00:00

by: CHRISTENSN

You are heroby furth", noilled 10 co.,ecisaid delauK within the p..lod apecilld by and in accordanc. with tho provisions 01 tho AgreenL

:w~'~~,.~~ ~
Dei.d this 4 day of ~g7r, 2007. .
Tom Reeder - Regional Sales Manager
cc: CHRISTENSN STRENK
DEALER FILE
Documenl Numbe" 02504409
APPC-40-8.PC Version (9-94)

BP 03569

25

1
\ i

/

Case 5:07-cv-04808-JF

Document 48-2

Filed 07/03/2008

Page 24 of 38

.. ~

BP We.st Coast Products LLC
Default Notice

~~
Facility Number: 82461
Certified Mail

Return Receipt Requested #: 7007 0710000442363383

STTN ENTERPRISES INC. 631 SAN FELIPE ROAD

HOLLISTER, CA 95035
You 3re hereby notified that you arB In delaull of your obligations under the t.rms and conditions of the foregoing Agreements in eHeel on the date of the
default between BP West Coast Products LLC, which Agreements ,elaies 10 the business activity conductad by you at the address shown abo"q.

Solid aefault wes observed on the date and at the approximate time shown below.

Non-Lessee. am/pm Mini Market Agreement, Contract Dealer Gasoline Agreement
Violatin of Artcles/Secrjoos:

ii.ae 01 Agreement:

v

am/pm:
O..ctp~on:

Gas: 2

Syst'em Manual:"Sc. 1

Have all grades of Motor Fuels available for sale to the public

Details of Violation: (if applicable)

1. All Motor Fuels Available. PMPA 2. SYSMAN Sec. 1. Have all'grades of Motor Fuels available for sale to the

public. Facility continues to operate without Diesel Fuel Sales since 8/212007. STTN Inc. continues to operate the
facility without fuel sales to Arco customers for 13 days. Termination is possible without fuel sales for any 7 day period. Effective today 9/4/07 facility has not sold required gallons of gasoline any of the following days: No fuel grades 87, 89. 91, or Diesel fuel sales since night of 8/23/07. All dispensers are cautioned taped off from any use by customers. FC has had multiple phone discussions informing Sayed hersrequired to sell Arco FueL. Each conversation led to my recommending he order fueL. FC explained this default directly to Sayed on Thurs 8/23, Fri.

8/24, Mon. 8/27, Tues 8/28, Thur 8/29, Fri 8/30, Sat 9/1, rues 9/4. On Fri 8/30 RSM convened a conference call
with Sayed and FC to confirm and clarify Sayed was, again. aware of his continued violation of BP Agreements.
Cure date: Immediately
Data Oefaull was obs""ed:
Apl:rOximat9 ime Ofault was observed: "
Date OefaulllD be cured:

September 03, 2007

12:00:00

by: CHRISTENSN

You ir. hereby furter ""lined to cOfect said default wiin the perio specified by ind In iccordence with the provisions of the Agreement.

OIled this 4 day of September, 2007..BP West Cost Product LLC . .. !

'\\/1\ør~.~
cc: CHRISTENSN STRENK
DEALER FILE

By:

Tom Reeder - Regional Sales Manager

Document Number: 02504410

APPC-4-B-PC Version (9.94)

BP 03570

26

Case 5:07-cv-04808-JF

1i

~ ~~. '~,.

Document 48-2

Filed 07/03/2008

Page 25 of 38

')
BE West- çoast Products LLC

)

Default Notice

Facility Number: 82461
Certified Mail

Return Receipt Requested #:

STTN ENTERPRISES INC. 631 SAN FELIPE ROAD

HOLLISTER, CA 95035
You ar. hereby notified (hat you are in defauU of yaUl obligations under the terms and conditions of the foregQi~g Agreements in eHect on the date of the
default between BP West Coast Products LLC, which Agreements relates to the business activity conducted by you at Ihi address shown above.

Sakt a.fault was observed on the date and at the approxlmate tlme shawn below.

TIde 01 Agreement '
VVol~on 01 ArtdesSedions:

Non-Lessee - am/pm Mini Market Agreement, Contract Dealer Gasoline Agreement

~

am/pm:
D86crp~on:

Gas: 2

System Manual: ~ec. 1

..

Have all grades Df Motor Fuels available for sale to the public

DoLails al Vlai.tlon: (ihppllc.blo)

1. All Motor Fuels Available. PMPA 2. SYSMAN Sec. 1. Have all grades of Motor Fuels available for sale to the

public. Facilty continues to operate without Diesel Fuel Sales since 8/2/2007. STTN Inc. continues to operate the for 13 days. Termination is possible without fuel sales for any 7 day facility without fuel sales to Aree customers
period. Effective today 9/4/07 facility has not sold required gallons of gasoline any of the following days: No fuel grades 87, 89, 91 , or Diesel fuel sales since night of 8/23/07. All dispensers are cautioned taped off from any use , by customers. FC has had multiple phone discussions informing Sayed he is required to sell Aree FueL. Each eenversation led to my reeemmending he order fueL. FC explained this default directly to Sayed on Thurs8/23, Fri.

8/24, Mon. 8/27, rues 8/28, Thur 8/29, Fri 8/30, Sat 9/1, Tues 9/4. On Fri 8/30 RSM convened a conference call
with Sayed and FC to confirm and clarify Sayed was, again, aware of his continued violation of BP Agreements.

Cure date: .Immediately
Date DeFult was obse:
Apprxim;ie Time Delaun was observed:

Dal. Defult 10 be cure:

September 04, 2007

12:00:00

by: CHRISTENSN

You ore heeby furher notfled to car said d.'.ul! wlth'in U.e peio s¡Mtfed by '00 In IcCO.nce with the prvisions 01 th Agr..ment
U.s. Postal Service Tr

Dat..ÚhIS 5 day of September, 2007.
BP West Coasi Prouct LLC '

IT IT
By: .

.. C' .. IT

CERTIFIED MAIL,.1 RECEIP
(Domestic Mail Onfy; No fnsurance Covers. .. , .' ., .
I

. vided)

0

F F

I
$'

C

I

A L

U

S E
Pos.i1
H8f

Oocumen! Number: 02S04S

APPC..~''C Version (9'MI

Pa.ia ru ~ Canlfle Fee ~ o . Retum RlI F.. o o (Endormet Reuire) R..lrIed Deery Fe o (Enra Reqire) i"
C' C'

o

Tooii Paetage.& F_.

$

10

g ~iñi~--'--"-'--""------"---------------'-'-------"-'-'----_._-------.
C' or PO So No.

ëí,y;siåië:zli:-----"--"--------------------'----'-' ----.-.._-----_..- - - ----

27

BP 03571

Case 5:07-cv-04808-JF

Document 48-2

Filed 07/03/2008

Page 26 of 38

EXHIBIT C

o

Case 5:07-cv-04808-JF
bp

Document 48-2

Filed 07/03/2008

Page 27 of 38

~.:'~ ""', '" ,;;.~
"i.."

..~,~

bp West Coast Products LLC
4 Centerpointe.Drive LaPalma, CA 90623

September 6, 2007

HAND DELIVERY AND CERTIFIED MAIL RETURN RECEIPT REQUESTED

#7007 0710 0004 4233 2815
STTN ENTERPRISES INC. 631 SAN FELIPE ROAD
HOLLISTER, CA 95035

Re:

Facility No. 82461
NOTICE OF TERMINATION

You are currently a party to an am/pm Mini Market Agreement and Contract Dealer

Gasoline Agreement both dated July 11, 2006 and various related agreements (the
"Agreement"), with BP West Coast Products LLC ("BPWCP"), concerning the above
facility I~cated at 631 San Felipe Road, Hollster, CA. (the "Facility").

Please take notice that the Agreements and the am/pm mini market and the petroleum

franchise created thereunder shall terminate immediately for the reasons set forth
below:

You have failed to have any gasoline products available for sale to the motoring public

for at least 7 consecutive days. In fact, the Facility has not sold gasoline since the
e,vening of August 23rd and your dispensershàvè pêen cautioned taped off from any use. by customers. You have been sent a totalpf'twelve(12) defaults for failure to offer all of gasoline for sale. Although the pér10d tö cure the defaults has passed, as of grades

today, none of the defaults have been cured.
Under these circumstances it would not be reasonable for BPWCP to furnish notification of 90 days prior to the date of termination because òf the risk of confusion to the public as well as possible safety risks.

In addition, you have failed to timely pay BP for gasoline products in a timely manner.
You currently have an outstanding balance of $126,394.77 for gasoline product

deliveries that are due and payable at the time of delivery. Your payment history reflects numerous returned items that were "bounced" by your bank for non-suffcient funds. You are also re~ponsible for any outstanding royalty charges due and payable to BPWCP.

Section 17.1 of the Agreement provides for termination of that Agreement upon the occurrence of the following triggering events: '

(a) Buyer fails to exert good faith efforts to carry out the provisions of the
Agreement following written notice and opportunity to cure;'

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(h) Buyer fails to timely pay all sums due to which BPWCP is legally entitled;

(i) Buyer fails to operate the Premises for seven (7) consecutive calendar days, or lesser period, which constitutes an unreasonable period of time.

(0) Buyer breaches any material provision of this Agreement, including without limitation, "Buyer's failure to order and make available for sale quantities of each grade of Product which are sufficient to satisfy foreseeable customer demand."
Furthermore, the above stated conduct constitutes grounds for termination of the am/pm Mini Market Agreement and franchise. The relevant provision providing for termination

is Article 18.05, "In case of Concurrent Operations at the Premises, BPWCP may
terminate this Agreement upon termination of anyone other franchise agreement."

Article 19.01 (d) of the am/pm Mini Market Agreement provides: "Operator shall pay to BPWCP at the time of termination, as liquidated damages and not as a penalty, the greater of (a) the total minimum royalty fee which would have been payable under the Agreement from the date of termination of the Agreement through the end of the term provided for in the Agreement; or (b) for each month from the date of termination of the

Agreement through the end of the term provided in the Agreement, the actual average
royalty fee paid but not less than the minimum royalty fee for any months that the Store

was operational prior to the termination of the Agreement." The amount owed to
BPWCP is $235,000.00. This sum shall be immediately due and payable. You shall also be held answerable for all other damages due BPWCP under the Agreements and
applicable law.

In addition, you are a party to certain loan agreements (the "Loan Agreements"). As of September 5, 2007, there remains an outstanding balance on the Loan Agreements of $150,000.00. The termination of the Agreements is an Event of Default under the Loan' Agreements. The Loan Agreements require that you repay the outstanding balance of: . the Loans within 30 days of the occurrence of an Event of Default. "'he termination of
the Agreements is an Event of Default. .

YOU ARE HEREBY NOTIFIED THAT YOU ARE OBLIGATED TO PAY THE FULL AMOUNT OF THE UNPAID LOANS WITHIN 30 DAYS OF THE TERMINATION OF THE AGREEMENTS.
These are all provisions that are both reasonable and of material significance to the franchise relationship. In addition, failing to offer any gasoline for salè and failure to pay sums due under the Petroleum Marketing Practices Act ("PMPA"), 15 U.S.C. §2801 et seq., specifically, §2802(b)(2)(C) and (c)(9).n. A Summary Statement of the PMPA is attached to this Notice. '

Additional provisions of the PMPA relevant to this termination are: 1) failure by the franchisee to comply wit.h a provision of the franchise, which is both reasonable and
material significance to the franchise relationship (§2802(b)(2)(A)); and 2) occurrence

of

an . event which is relevant to the franchise relationship and as a result of which

,termination of the franchise relationship is reasonable (§2802(b)(2)(C)), specifically, . failure by the franchisee to pay to the franchisor in a timely manne~ when due all sums
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to which the franchisor is legally entitled. As well as your failure to operate the'
marketing premises for 7 consecutive days, or a shorter period of time which, taking in

to account facts and circumstances, amounts to an unreasonable time not to operate,
are enumerated events forming the basis for termination under §2802(b)(2)(C).

Accordingly, upon the above-stated effective date of this Notice of Termination, you are
to cease sellng ARCO-branded gasoline and cease using the ARCO names,

trademarks, or trade names and cease holding yourself out as an authorized dealer of

ARCO-branded motor fuel at the facility. You wil be required to comply with the
procedures on expiration or termination described the Agreements. Furthermore, you are required to permit BPWCP to enter upon the premises to remove or de-identify all of ARCO's trademarks and property at the premises. You must also return to BPWCP all

materials bearing ARCO service marks or trademarks. You must pay BPWCP any
sums due and owing to BPWCP as a result of your operation of the Facility.

By giving this Notice of Termination, BPWCP neither waives nor surrenders any of its

rights under the Agreements or at law, including but not limited to: (1) its right to
advance the effective date of the termination for similar or dissimilar acts or conduct constituting a breach of the Agreements or other legal grounds for such action; (2) its rights to provide by supplementary notice that the termination set for the above date
also be based on other grounds; and (3) its rights to receive any sums due and owing to BPWCP. Such sums should be forwarded to BPWCP upon their due date.

B~,::~~:~d~
.."

By' "', . ~
Facility File

, Thomas Reeder 'Regional Sales Manager

cc:

Brad Christensen

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Page I

FEDERAL REGISTER Vol. 61, No. 123 Notices

DEPARTMENT OF ENERGY (DOE)

Revised Swrry of Title I of the Petroleum Marketing Practices Act
61 FR 32786

DATE: Tuesday, June 25, 1996
ACTION: Notice.

---------------------------------------------------------------------- To view the next page, tye .np* TRANSMIT.
To view a specific page, transmit p* and the page number, e.g. p*l
------ ----------- ------------------------------------------------------------- ( * 3 2786)
SUMMARY: This notice contains a sumary of Title I of

the Petroleum Marketing Practices Act, as amended (the

Act). The Petroleum Marketing Practices Act was originally enacted on June 19, 1978, and was amended by the Petroleum Marketing Practices Act Amendments of 1994, enacted on October 19, 1994. On August 30, 1978, the
Departent of Energy published in the Federal Register a sunary of the provisions of Title I of the 1978 law, as
required by the Act. The Departent is publishing ths revised summary to reflect key changes made by the 1994

amendments.

The Act is intended to protect franchised distrbutors and retailers of gasoline and diesel motor fuel against
arbitrary or discriminatory teimnation or nonrenewal of franchises. This summary describes the reasons for which a
franchise may be temùnated or not renewed under the law, the responsibilities of franchisors, and the remedies and

relief available to franchisees. The Act requires franchisors to give franchisees copies of the summary contained in this notice whenever notification of tennnation or nonrenewal of a franchise is given.

FOR FURTHER INFORMATION CONTACT: Carmen Difiglio, Offce of Energy Efficiency, Alternative Fuels,
and Oil Analysis (PO-62), U.S. Department of Energy, Washington, D.C. 20585, Telephone (202) 586-4444;

Lawrence Leiken, Office of General Counsel (GC-73), U.S. Departent of Energy, Washington, D.C. 20585,

Telephone (202) 586-6978.
SUPPLEMENTARY INFORMATION: Title I of the Petroleum Marketig Practices Act, as amended, 15 u.s. C §§

2801-2806, provides for the protection of franchised distrbutors and retailers of motor fuel by establishing minium Federal standards governg the tennation of franchises and the nonrenewal of franchise relationships by the
franchisor or distrbutor of such fueL.

Section 104(d)(1) of the Act required the Secretary of Energy to publish in the Federal Register a simple and concise summary of the provisions of Title I, including a statement of the respective (*32787) responsjbilities of,
and the remedies and relief available to, franchisors and franchisees under that title. The Department published this

summary in the Federal Register on August 30, 1978.43 F.R. 38743(1978).
In 1994 the Congress enacted the Petroleum Marketing Practices Act Amendments to affirm and clarify certain key

provisions of the 1978 statute. Among the key issues addressed in the 1994 amendments are: (1) termation or
nonrenewal of franchised dealers by their franchisors for purposes of conversion to "company" operation; (2)
application of state

law; (3) the rights and obligations of franchisors and franchisees in third-part lease sitiations; .

and (4) waiver of rights limitations. See H.R. REP. NO. 737, 103rd Cong., 2nd Sess. 2 (1994), reprinted in 1994 U.S.C.C.A.N. 2780. Congress intended to: (1) make explicit that upon renewal a franchisor may not insist on changes to a franchise agreement where the purpose of such changes is to prevent renewal in order to convert a

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franchisee-operated service station into a company~operated service station; (2) make clear that where the franchisor has an option to continue the lease or to purchase the premises but does not wish to do so, the franchisor must offer to assign the option to the franchisee; (3) make clear that no franchisor may require, as a condition of entering or

renewing a franchise agreement, that a franchisee waive any rights under the Petroleum Marketing Practices Act, any other Federal law, or any state law; and (4) reconfrm the limted scope of Federal preemption under the Act. Id.

The summary which fol1ows reflects key changes to the statute resulting from the 1994 amendments. The Act requires franchisors to give copies of this summry statement to their franchisees when enterig into an agreement to
termnate the franchise or not to renew the franchise relationship, and when giving notification of termnation or nomenewal. This summary does not purport to interpret the Act, as amended, or to create new legal rights.

In addition to the sumary of the provisions of Title I, a more detailed descriptiOli. of the definitions contained in
the Act and of the legal remedies available to franchisees is also included in this notice, fol1owing the summary statement.

Summary of Legal Rights of Motor Fuel Franchisees

This is a summary of the franchise protection provisions of the Federal Petroleum Marketing Practices Act, as
amended in 1994 (the Act), 15 U.S.c. §§ 2801-2806. This summry must be given to you, as a person holding a
franchise for the sale, consigment or distribution of gasoline or diesel motor fuel, in connection with any

termnation or nomenewal of your franchise by your franchising company (referred to in this summary as your
supplier).

You should read this summry carefully, and refer to the Act if necessary, to determne whether a proposed
termnation or nomenewal of your franchise is lawful, and what legal remedies are available to you if you th the

proposed termnation or failure to renew is not lawfuL. In addition, if you th your supplier has failed to comply
with the Act, you may wish to consult an attorney in order to enforce your legal rights.

variety of franchise agreements. The term "franchise" is The franchise protection provisions of the Act apply to a broadly defined as a license to use a motor fuel trademark which is owned or controlled by a refiner, and it includes
secondary arrangements such as leases of real propert and motor fuel supply agreements which have existed

continuously since May 15, 1973, regardless of a subsequent withdrawal of a trademark. Thus, if you have lost the use of a trademark previously granted by your supplier but have continued to receive motor fuel supplies through a . continuation of a supply agreement with your supplier, you are protected under the Act.
Any issue arising under your franchise which is not governed by this Act will be governed by the law of the State your franchise is located. business of

in which the principal place of

Although a State may specify the term and conditions under which your franchise may be transferred upon the death of the franchisee, it may not require a payment to you (the franchisee) for the goodwill of a franchise upon termnation or nomenewal.
The Act is intended to protect you, whether you are a distributor or a retailer, from arbitrary or discriminatory

termnation or nomenewal of your franchise agreement. To accomplish this, the Act first lists the reasons for which termnation or nomenewal is permtted. Any notice of tennnation or nonrenewa1 must state the precise reason, as listed in the Act, for which the particular tennnation or nonrenewal is being made. These reasons are described below under the headings "Reasons for Termation" and "Reasons for Nonrenewal."
The Act also requires your supplier to give you a written notice of termation or intention not to renew the

periods. These requirements are summarized below under the heading "Notice Requirements for Termation or Nonren,ewal."
franchise within certain time .

The Act also provides certain spec.ial requirements with regard to trial and interim franchise agreements, which are'

described below under the heading "Trial and Interim Franchises." . '.

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The Act gives you certain legal rights if your supplier termnates or does not renew your fninchise in a way that is not permtted by the Act. These legal rights are described below under the heading "Your Legal Rights."

are described under the heading "Waiver of

The Act contains provisions pertaining to waiver of franchisee rights and applicable State law. These provisions Rights and Applicable State Law."
This summary is intended as a simple and concise description of the general nature of your rights under the Act.

For a more detailed description of these rights, you should read the text of the Petroleum Marketing Practices Act, as
amended in 1994 (15 U.s.e. §§ 2801-2806). This summry does not purport to interpret the Act, as amended, or to create new legal rights.

i. Reasons for Termnation
If your franchise was entered into on or after June 19, 1978, the Act bars termnation

of your franchise for any

reasons other than those reasons discussed below. If your franchise was entered into before June 19, 1978, there is no statuory restriction on the reasons for which it may be tem1ated. Ifa franchise entered into before June 19, 1978, is termnated, however, the Act requires the supplier to reinstate the franchise relationship unless one of the reasons

listed under this heading or one of the additional reasons for nonrenewal described below under the heading
"Reasons for Nonrenewal" exists.

A. Non-Compliance with Franchise Agreement

Your supplier may termnate your franchise if you do not comply with a reasonable and important requirement of
the franchise relationship. However, teIDation may not be based on a failure to comply with a provision of the
franchise that is illegal or unenforceable under applicable Federal, State or local

law. In order to termnate for non-

compliance with the franchise agreement, your supplier must have learned of this non-compliance recently. The Act

lirrts the time period within which your supplier must have learned of your non-compliance to various periods, the longest of which is 120 (*32788) days, before you receive notification of the termnation.
B. Lack of

Good Faith Efforts

Your supplier may termnate your franchise if you have not made good faith efforts to carr out the requirements of

writing that you are not meeting a requirement of the franchise and you are given an opportunity to make a good faith effort to carr out the'requirement. This reason can be used by
the franchise, provided you are first notified in

your supplier only if you fail to make good faith efforts to carr out the requirements of the franchise within the

period which began not more than 180 days before you receive the notice of termnation.

C. Mutual Agreement To Tem1ate the Franchise
A franchise can be tem1ated by an agreement in wrting between you and your supplier if the agreement is

entered into not more than 180 days before the effective date of the termnation and you receive a copy of that agreement, together with this summary statement of yo