Free Amended Complaint - District Court of California - California

Case 5:07-cv-04808-JF

Document 42-5

Filed 06/18/2008

Page 1 of 41

EXHIBIT M

Case 5:07-cv-04808-JF

Document 42-5

Filed 06/18/2008

Page 2 of 41

,
'i

1"

õ

.~ BP West Coast. ;'óducts LLC
4 Ccnlcrpointe Drve La Palma, CA 90623-1066
Mailing Address: Box 5077 Buena Pari, CA 90622-5077

. 1

NOTICE OF DEFAULT

Facility Number 82461

o o

Certified Mail. Return Receipt Requested (7005 1160 0000 4099 2107)
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 8P 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 Aqreement Violation of Articles/Secûons:

Article/Section: 2. Orders
Buyer will order and make available ror retail sale all grades of Gasoline which BPWCP offers to Buyer (hereinafter

collectively, .PrOducr), in amounts sufcient to satisfy all foreseeable retail customer demand for Product at th.e
Premises and will at all times have available for sale some of each grade of Product, subject only to allocation of Product bv BPWCP in a manner determined in BPWCP's sole discretion in Buyer's qeoqraohic area. Details of Violation: (If applicable)
Franchisee refused to accept first ARCO qas load.

Date default was observed: October 11, 2006

ApproxJmate Time Default was observed: 11 :30 a.m.
By: Brad Christensen

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

You

By:
cc: B. Christensen

Dealer File

210

Case 5:07-cv-04808-JF
~ jf.r
~

Document 42-5

Filed 06/18/2008

Page 3 of 41

r

,¡J
. .. ~~.. .. I'

BP West Coast .toducts LLC
4 CcnlCfinte Drve
La Palma, CA 9023- 1066
Mailing Addres: Box 5077

.~

~",

~f

'0

Buena Park.. CA 90622-5077

NOTICE OF DEFAULT

Facilty Number 82461

o o

Certified Mail. Return Receipt Requested (7005 1160 000040992145)

Personal Delivery .

STTN Enterprises Inc. 631 Sàn Fetipe Road

Hollster, CA 95035

You are hereby notified that you are in default of your obligations under the terms and CDnditions 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 CDnducted 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 Deater Gasoline Aqreement Violation of Articles/Sections:
..~

--

Article/Section: 2 - Orders
Buyer will order and make available for retail sale all grades of Gasoline which 8PWCP offers \0 Buyer (hereinaf\er collectively, "Product", in amounts suffcient to satisfy all foreseeable retail customer demand for Product at the Premises and wil at all times have available lor sale some of each grade of Product, subject only to allocation of Product bv BPWCP in a manner determined in BPWCP's soiè discretion in 8uver's aeooraohic area. Details of Violation: (If applicable)

Franchisee refused to acceot this mominq's fuel deliveri.

Date defaull was observed: October 16, 2006
Approximate Time Default was observed: 6:00 a.m. By: Brad Christensen

Date Default to be cured: Ocober 19, 2006

...

".

You are hereby

further notified to correct said defaull within the period spectfed by and in accrdance with the provisions of the Agreement.

By:
cc: D. Strenk

B. Christensen Dealer File

211

Case 5:07-cv-04808-JF

Document 42-5

Filed 06/18/2008

Page 4 of 41

1\
i

/

tj
~-.
BP West Coast Products LLC

l
Default Notice

~".
Facility Number: 82461

Certified Mail
Return Receipt Requested ,#: 7005 11600000 4099 2541

STTN ENTERPRISES INC. 631 SAN FELIPE .ROAD

HOLLISTER, CA 95035
You are hereby notified Ihat you ;;re In default of your obligations under Ihe terms and conditions of the foreeolng Agre-ent:s In eHe-t on the dale at the

d~f;:ul\ betwc-n BP W~t Coast Producls L.LC. wl'ich Agre-enls reiates to the buslne-s Jcti"ily c.onduc.too by you al the adåre-5 shown 300"'9.

Said Oef¡ult was obsed on Ihe date and al the approximõõle lime shown beow.
r Ale 01 Agr""m.m:

Contract Dealer Gasoline Agreement
Gas: 5, 6
Descriplion:

,,System Manual: .

V'Oalion 01 Mictes/Setios:

am/pm:

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

0.13115 01 Vkklallon: Iii applicb1el

Franchise did not have suffcient funds (NSF) available to pay for gas loads. Check was returned on 1/8/0ï.

Oate 001a..1 was 0b..:

APoximate rimt' Ue 3UIt was oo,srvec:

Oato Default 10 be CUre:

January 08, 2007
'fou are hero by

15:17:00

by: CHRJSTENSN

January 30, 2007

o.ied this 23 day of January, 2007.

n"~~
By:

furthe nolfed to cor""1 said defult within lhe p"rlod s¡lled by and In acordanc with lhe provision 01 the Agreent.

cc: CHRISTENSN STRENK DEALER FILE
Doument Number: 024~7~

APPC-4.e.pc Vørslon(¡";4\

212

Case 5:07-cv-04808-JF

Document 42-5

Filed 06/18/2008

Page 5 of 41

f
i

!I

:)

1
Default Notice

.. ~

BP West Coast Products LLC

~".
Facilty Number: 82461
Certified Mail

Return Receipt Requested-#: 7005 1160 0000 40992565

STTN ENTERPRISES INC. 631 SAN FELIPE ROAD

HOLLISTER, CA95035
You are hereby noUrled Ihat you are in dINault of your obligations under the terms and conditions 01 the forQiolng Agraemenls in effect on the dCltQ of the

defaull between BP Wesl Coast Products LLC, which Agreements relates to the business acllvity conc:ucted by you 31 !he address shown above.

Sald Delaull was observed on the d--tø and at ihe appiOxim3le iime shown below.
TT-Of Agreemenl:

Contract Dealer Gasoline Agreement
Vioeitio or ArtîclaSSSeclkJns:

am/pm: Desrçlion:

Gas: 5, 6

System Manual: .

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

Oetaiis of Vlalallon: (if appllcablel
Failure to pay for fuel

loads.

Oale Oe ""If WdS oosoed:

App"",mat ime Oelautt was Obseed:

Da(8 DebLÂ to be cured:

January 26,2007

20:42:00

by:

CHRISTENSN

February 01, 2007

You are hereby further notifi to corret S.ld dw'aull wllhln the period speed by and In accordance wllh the provisions of the A.~~t.

"w.,,~.~~ ~
a.led ¡hiS 29 d~:~, 2007.
By:

Tom Reeder - Regional Sales Manager

ee: CHRISTENSN STRENK DEALER FILE

Ooumonl Number: 02~&7867

APPC-4-a-pC Version (&-111

213

Case 5:07-cv-04808-JF

Document 42-5

Filed 06/18/2008

Page 6 of 41

.....:..,
I

~

\,

'1

l
Default Notice

..~'

BP West Coast Products LLC

'" ".
FacUlty Number: 82461

Certified Mail
Return Receipt Requested tt:

STTN ENTERPRISES INC. 631 SAN FELIPE ROAD

HOLLISTER, CA 95035
You ara h8f1by noClfieó that you U'Q In default o( your obllg:¡Uons under the terms and conditions of the for~ol"g Agre-menls In effect on !he dõ1te at Ihe default beeen BP West Coast PrOducts LLC1 which Agreements relates 10 the bcsirress acU..ity conducted by you at the addres3 shown above.

S~ld Default was obsfJ on (he dale ana at ttte approximate tlme shawn below.

Contract Dealer Gasollne Agreement
V1ailo at Mici.iiSecUoos:

¡ ite QI Agreement

.~
System Manuaf:

am/pm:
OespHon:

Gas: 5, 6

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

Detall. of V1olatlon: (If appticablel

Franchisee is bein9 defaulted for non payment of gasoline.
Note: One 212107, fuel

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 $4K). On the next
delivery only one check was included in payment for $22,500 on 2/7/07. Refer to inv. #3022358998 and

3022375842.

wa se :
February 15, 2007
10:27:00

leiuu was s.ed:

031. o.fau 10 be cured: .

by: CHRISTENSN

February 20, 2007

You a'" henoDy furlher notlAoo 10 col said del.ull ..!thln ll. poed sp.inoo by and In ~an with th prions of tho AQrH

"'w".""~ . .
Dated thl. 20 day of February, 2007.
OoUlnl Number: 024i84

u.s. Posta( Service.,: ' , '
co

rl ~RTIFIED MAIL. RECEIPT"":""
rn.
aa-

. . ~/
Tom Reeder. Regional Sal Manager
APPC-4...¡C V.n;lon (V.~I

omestic Mail Only; No Insurance Covelãge rravided
."

.,
1

i: ::

OFFICIAL USE
PO S
Ca Foe

o i:

i: i: i: ..

rl ¡Enn F\, rl 1b p,, 8. i= $

ROI R~ F.. (E"'ee Fe Ae R--

He

i ~"'''T''--------''---''-''---''-----------''-'' 1 CI BVNo
ëi"";:!P+'---"""'"'-''''''-'''''''''--'-''''''''''''''''''''''' .

214

Case 5:07-cv-04808-JF

Document 42-5

Filed 06/18/2008

Page 7 of 41

,
!

/ ~~
~".

.)
BP West Coast Products LLC

"~

Default Notice

Facilty Number: 82461
Certified Mall

Return Receipt Requested #: 7005 1160 0000 4099 ZBH

STTN ENTERPRISES INC. 631 SAN FELIPE ROAD

HOLLISTER, CA '95035
You ¡r' hereb ootlfled nut YDU are In detult of 'lour obligations under the lerms ;and conditions of Ihe 'fore-olng Agreeenis In eHect on the ddte of th8

default betw~ BP West Co3St PrOuct LLC, which Agreeents relales 10 the business actIvity conducted by you at ~he address shown above.

3í1ld Def;¡ult was obsrw on the date ,Jnd at the approxltUate llme shown below.
ii of AQreemem:

Contract Dealer Gasoline Agreement
VI.1i 01 Ar\cesiSeUos:

..~

am/pm:
Oescr;plX:

Gas: 5, 6

SY'tem Manual: -

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

Dels of Vloo3iion: (if 3ppllcable)

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,

I

ate

..s.~:
14:28:00
by: CHRISTENSN

I

Date De!a to be cu:

March 05,2007

March 22, 2007

You an here furthe noinød to corr &;Id deiaull within the peod speifi tt and In aCCnja"" wit lhe prvl.lon of Iho AQ""t.

By:

Tom Reeder - Regional Sales Manager

~

("

U$. Postal Service...: ,..
(c;mestic Mail Only; Nalnsur.nce Cover =0'" Provide,

i- CERTiFIED MAIL: RECEIII
cO

ru aa-

, ,.
I

D

::
D D D D D

OFFICIAL USE
Po S
Ce Fee

.

Doumet NUmbe 024QS11J

APPC-4.PC V_on (a-ii)

R"" Ro Fe ~nn Reui

Poo

.. i-

iI.
215

~~~
Tot Po & - $.

~

~ ~;~:~._....._...._...._.._-_.__._.._.._....._.__.._.._..".'-"

Case 5:07-cv-04808-JF

Document 42-5

Filed 06/18/2008

Page 8 of 41

"'i

,""i

..,

~~

BP West Coast Products LLC
Default Notlcc

~,..
Faclilly Number: 82461

Certified Mall
Return Receipt Requested #: 7005 1160 0000 4099 2817

STTN ENTERPRISES INC. 631 SAN FELlPE,ROAD

HOLLISTER, CA 95035
You iU!) her9b notlfH \hal you ilrQ In def;¡ul~ of your obllgaUons under Ihe terms Jnd corn:Hlons of the foreoing Agreements In sHeet an the date oj the

default 001t BP We-1 Coat Proucts LLC. which AgrB'ents relales to the Dusjne-s activity condui:ted by you at the addres shown abov~.

5~d Default wu obivee on the date and at the 3P9fOXlmate Ume shown below.

Contract Dealer Gasoline Agreement
V1üo 01 ArlesSectk",s:

I_it at ~merl

v ~System Manual:'

am/pm:
D.scriptian:

Gas: 5, 6

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

Dells af VlalaIan: (tf 'PIlIobbe)'

FailurE! to pay sums due on account as of 3/5/07. Amount due, - $164,950.8î.

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
1/812007 3022120003 $20,859.48 1m07 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 outage 3022178299 $21,472.44 1/13/07 0562666 inv. held perfc site has issues due to power 1/21/20073022213698 $20,938.66 1/19/20070565619 returned on 1/26/07 due to stop payment SEE ATTACHMENT FOR MORE INFORMATION

waii ooseea:

Dal. Del;.. 10 be CUed:

January 30, 2007

14:28:00

by: CHRISTENSN

March 22, 2007

You aro lMnnby furtlM notified 10 ""i .ald døfauii within the pe0d .pefied 't and In acrdanco wUh tho prYlslam; of Ihe Agrent:

"w~~~
Ooumenl Number. 02~118 APPC-4-8-PC Version (11.11)

Dilødiiii. 15 ~p 2007.

~. ...~

Tom Reeder. Regional Sales Manager

cc: CHRISTENSN STRENK DEALER FILE

216

Case 5:07-cv-04808-JF

Document 42-5

Filed 06/18/2008

Page 9 of 41

1
i i !

/ ~'"

SP West Coast Products LLC
Default Notice

~~
Facilty Number: 82461
CertifIed Mail

Return Receipt Requested #: 7005 116000004106971

STTN ENTERPRISES INC. 631 ~AN FELIPE ROAD

HOLLISTER, CA95035
You are hereby notined that you are In def.¡ult o( your obligations under the termS and condillans of the foregoing Agreements in eHect an the date of the default between BP W~t Coast Producs LLC, which Agre-enlS relClIEE (0 the business -activity conduct~ by you at the addres shown aboy~.

Salt1 Default was observed an the date :and at Ihe iipproximate time shown below.

Contract Dealer Gasoline Agreement
Vioûo of Arids/Selions:
..~

'.'.0 01 ~reeme"':

am/pm:
OescrÇoion:

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

System Manual: ---

Operate premises accordance with all applicable federal, state and local laws (health,safety.etc.)

OoLots ol Violatlon: (if appllcabbel

could pump gasoline without an employee Facility operator left fuel dispensing equipment turned on so ,customers attendant present for safety measures, as prescribed by law. On Friday, March 30, 2007, at6:16 a.m., a BP employee wiessed and confirmed a fueling purchase when no employee was present on site. Facility was closed and customer could accss PIC for fueling transaction. A PiC printed receipt was generated as evidence of fuel purchase. This facility's dispensing permit does not allow for fueling. without a station employee present.

Failure to operate in accordance with laws.

Cure date: Immediately

ai.

xim
06:16:00

was se :
by: CHRISTENSN

Qate eerdutt to be curd:

March 30,2007

You ann l)by lurthe nollflod 10 corr ""Id deault wllhln t,, pe0d sp."mod by and In accrda"" wllh th. proylslons of tho A¡nnnt.

Co,"' ths 5 day of April, 2007.
51' W""t Co.t Proucts LLC

By:

cc: CHRISTENSN STRENK DEALER FILE

Doumol Numbe I111i14

AfPC~ Version (i.M)

217

Case 5:07-cv-04808-JF

Document 42-5

Filed 06/18/2008

Page 10 of 41

'i
Doc.

~)
date
Doc, no. Amount
BOL DateBOL. #

.1
Text

1/24/20073022253575 $20,836.93 1/23/2007 0567848 returned on 1/31/07 due to stop payment 1/31/20073022309234 $20,851.09 1/3012007 0571519 first COD invoice

check #1220 relurned due to dlr putting stop payment
215/20073022358998 $21,338.16 2/2/2007
zm20073022375842 $21,897.50 217/2007
211212007302241484 7 $21,252.22 2/1012007

0573078 0575276 0576943
dlr gave driver $1 ,800 in cash - Scott Murdock converted to CCHK

2114/20073022432918 $21,084.27 2119/20073022468658 $22,136.36 2121/20073022487185 $21,563.53 2/25/20073022513117 $22,138.70 2126120073022525674 $22,167.59 314120073022579291 $22,968.27

211412007 0578900 check not yet posted

21172007 0580700 check nol yet posted
212012007 0582187 check nol yet posted 2124/2007 0584166 check not yet posted 212612007 0585118 check not yet posted

3/2/2007

0587337 check nol yet posted

Total due bp:

$343,450.81

..~

-=

Net due bp:

$164.950.81

218

Case 5:07-cv-04808-JF

Document 42-5

Filed 06/18/2008

Page 11 of 41

-'
1
i

()

f
Default Notice

~\.
~".

BP West Coast Products LLC

Facility Number: 82461
Certified Mail

Return Receipt Requested #: 700& 3450000038794174

STTN ENTERPRISES INC. 631 SAN FELIPE ROAD HOLLISTER, CA 95035
You ;are her8by notlned that you ;are In delai.t or yOlK obligations under the tenns and condlUons of Ihe fOnnolng AgrG9nts In eHllt on the dale of thA
deföJult beee BP Wf!t COõõ51 Products LLC, which Agreeents rel:ales to the busln~s c1cllv!iy conducted by you at the address shown above.

S.;jd Default was obsered on ttH date ana at the approxim3te time shown Delow.

Contract Dealer Gasoline Agreement
Vloacio 01 Arsl$elons:

¡ it 01 ~reemer1:

am/pm: Descriòo:

~
Gas: 2

Syslem Manual:

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

All motor fuels available. Failure 10 have all grades of Motor Fuels available for sale to the public, On 5/10 &

for customers, .
'DeI. ol Vloi.llon: (if applcbbe!

5/14/2007, Franchise Consultant, CMS, and Regional Sales Manager observed that no diesel fuel was available
Cure date: Immediately

:¡ 'NS oosarved:

mate ime e auu was oösesed:

Dace Oelan 10 be cured:

May 14, 2007

11 :00:00

by: CHRISTENSN

You a", here furthor noiined to corrt ..Id defaun wllhln tho per10d spellod Dy and In .ccrdanco with lhe provisions or the A9rent.

ey:

~'._/
Tom Reeder. Regional Sales Manager
cc: CHRISTENSN STRENK DEALER FILE

Oocument Number: 02601379

APPC-4a-pc Vonlon (9.941

219

Case 5:07-cv-04808-JF

Document 42-5

Filed 06/18/2008

Page 12 of 41

t") . ":,

~..

~~ ~~

BP West Coast Products LLC
Default Notice

Facllily Number: 82461
Certified Mail
Return Receipt Requested #: 7007 0710 00044236 3239

STTN ENTERPRISES INC. 631 SAN FELIPE ROAD HOLLISTER, CA 95035
You are hereby notlned Ihiii you aeg In delautt of your obllgattons under the terms and c;oodIUon:s 01 the IcreQoil) AQraement3 In aHect an the dale of the delault.b~rweøn BP West Coast Products LLC. whlc.h AgrllQmGnts (813t8& to thø buslniiss aClNity c.onducta- by you:ll thg address shown abo'/9.

Sald Default was observed on the date imd it th. approxlmate UlT shown below.
TIUe of Agtgement:

Non-Lessee - am/pm MIni Market Agreement, Contract Dealer Gasoline Agreement
Violation or MCles5eons:

v

am/pm:
Descrption:

Gas: 2

System Manual: Se'è

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

Oitalts of V\olatlon: lit 3ppllc:blQ)

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

WiliamsFuelDeliveryDriver'swerenotgivencashiers checks, but had already dropped the fuel into STTN Inc. tanks. 2. Insuffcient Wor'ing 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, Sa\. 8/25, Sun. B126, Mon. 8/27, Tues. 8/28.
Nó 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 hashad several phone discussions informing Sayed he is required to sell Arcc FueL. Each fueL. Talked Thursday 8/23, Fri. 8/24, Mon. 8/27. (message left conversation led to my recommending he order WDr PonQ\ r."rp rlm;" 1 rl", .
Oale lJl3ll to "" curn:

August 24, 2007

17:00:00

by: CHRIStENSN

You ant n8nby furter notified to colT said dvt.ull within Ihe period 'ipec;in by ind In Itdllnce wth th pfovtlons of the Agreemnl

Cited ihis 31 day of August

:.-"~'-~" . ~
CoctJrnnt Numbr: 02~294
"pf'..-a.p V.ralon IQ-UI

Tom Reeder. Regional Sales Manager

cc: CHRISTENSN STRENK DEALER FILE

220

Case 5:07-cv-04808-JF

Document 42-5

1

~~,~
~,.

-----

Filed 06/18/2008

Page 13 of 41

o
BP West Coast Products LLC
Certified Mail

/

Default Notice

Facility Number: 82461
Return Receipt Requested #: 7007 07100004 4236 3246

STTN ENTERPRISES INC. 631 SAN FELIPE ROAD HOLLISTER, CA 95035
You Ire hiwiby notified lhill you ani In defaull of yOUt cbUQauoos under the lefT and condlUons of the fo(egolng Agreements In ~Hlic( on ihe dale of the default between BP WesL Coast Products LLC. which Agraømonls relates to the buslne::s activity conducted by you at the addrEts shown above.

SSld (Nf:ult w:;i observed on ihe date and at the approxlmalQ llme ,hown belOw.

naa at Aqeemnl:

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

Violation of Ar1c1eSSSections:

am/pm:
Descrption:

Gas: 2

System Manual: ~ëë1

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

Del3l1s of VlalaUon: ¡If appllc.ble)

1. Pay for gasoline. PMPA 6. Gasoline must be paid for at time of delivery in U.S. Dollars. STIN, Inc. owes BP
loads. STTN. Inc. put bank Slop 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 irito STTN Inc. have enough money, He cannot tanks. 2. Insuffcient Working CapitaL. Franchises Sayed F. told FC he does not gather enough fund to pay for gas inventory. He has not purchased ARCO Branded Motor Fuel on any day since grades of Motor Fuels available Motar Fuels Available. PMPA 2. SYSMAN Sec:1.. Have all August 17, 2007. 3. All
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 01.8/23/07. 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 fueL. Talked Thursday 8/23, Fri. 8/24, Mon. 8/27. (message left conversation ~ed to my recrmmending he order

,.

W"f1' 1\/7a\, . 1 rl,,' .
lJll Detat ID be QJ",Q:

August 25, 2007

17:00:00

by: CHRISTENSN

You art henby rur1h4r naUrte lo COft saki defaul1 wUhln UUe period 5~fied by and m accordanc..wwh tM provisions of Uw AQrMfnC.

By:

Tom Reeder - Regional Sales Manager

~

cc: CHRISTENSN STRENK
DEALER FILE

Oocumvnt Number: Q2504215 Ion (g-~,I) APPC~.8.p Vori

221

Case 5:07-cv-04808-JF

Document 42-5

Filed 06/18/2008

Page 14 of 41

,

--

()
BP Wast Coast Products LLC

-~.r-""

~".

~~

Default Notice

Facilily Number: 82461

CertifIed Mall ,

Return Receipt Requested #: 7007 0710 00044236 3253

STIN ENTERPRISES INC.
631 SAN FELIPE ROAD

HOLLISTER, CA 95035
You .Ie h~nby notified thool you are In ccetBuli of your obllQiUons undiu niii term5 ~nd conditions of (he foregoinq Agreement'S In ,HØGt on the doote o( 1M
default bQtW~n BP West Coast Products LLC, which Agr~m8nts relalas 10 !he bUsinGs! ;;ctivity conducted by you at the address ShOWT ilboYfJ.

Said Default was OOS8rYBd on U\ datil and ¡11M approximate time shown below.

"a. 01 AQr..""nn:

Non-Lessee - am/pm Mini Market Agreement, Contract Dealer Gasoline Agreement
ViolaDoo 01 ArtdøslSecions:

vGas: 2

amfpm:
Description:

System Manual: Se.ë.

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

D.tails of Violation: (It 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
$114,000.88. for delivered fuel

loads. STTN. Inc. put bank Stop Payments on 4 multiple fuel invoices and 2 "

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
August

gather enough fund to pay for gas inventory. He has not purchased ARCO Branded Motor Fuel on any day since 17, 2007. 3. All Motor Fuels Available.-PMPA 2. SYSMAN Sec. 1. Have all grades of Motor Fuèlsavailable

for sale to the public. Facility has not sold gasoline "any of the following days: '
,. No 87, 89,91, or Diesel fuel" sales since night-of 8/23/07. AJI"dispensers are cautioned taped off from any

Fri. 8/24, Sat. 8/25, Sun. 8/26, Mon. 8/27, Tues. 8/28 '

use by

customers. FC has had several phone discussions informing SayEE he is required to sell fuco FueL. Each conversalionled to my recommending he order fueL. Talked Thursday 8/23, Fri. 8/24, Mon. 8/27. (message left
le arauit to be cu:

W t." m it I
August 26, 2007
13:15:00
D.hd thi. 31 day of AuglJ 2007. .

by: CHRISTENSN

,.'
. You are her:eby furthe nottf to cot said dl1l8uIt wtttdn the period spKffli by and In .cc8ncØ with the prvl:ions of the AQreement..

:w.,,~"~~ ~
Tom Reeder - Regional Sales Manager
cc: CHRISTENSN STRENK
DEALER FILE
Document Numr: a2~i6

APPC-40-a.. V...lon (i-80)

222

Case 5:07-cv-04808-JF

Document 42-5

Filed 06/18/2008

Page 15 of 41

l

/~~
~".

c)
BP West Coast Products LLC

-)
Default Notice

Facility Number: 82461

Certified MaH
Return Receipt Requested #: 7007 0710 000442363260

STTN ENTERPRISES INC. 631 SAN FELIPE ROAD

HOLLISTER, CA '95035
You are hereby noUfill lhelt you arg In dølaull at your obligations under the terms and conditions of !hQ fònJQolng Agreements In ¡Nect on thø dare at the
defauul tMtw"" BP West Coast Producl. LLC. which Agreements rølales to the bu~ll'~s activity conduc199 by you al !hø iiddres.: ,hown !bo..~.

Said Delault was observed on thii date ..nd at th& iJpproxlmate Hrne shown below.

i roo 0: "9""."nl:

Non-Lessee - am/pm Mini Market Agreement, Contract Dealer Gasoline Agreement
V1a1ation 01 Artcles/Secons:

am/pm:
Ooscpâoo:

..~
Gas: 2

System Manual: Së 1

Have all grades of Motor Fuels available for sale 10 the public

O.t.iis of Vlolallon: (II appllcablo)

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 multple fuel invoices and 2 Wiliams Fuel Delivery Orive(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. -J.A11 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:. ':. '

Fn. 8/24, Sat. 8/25, Sur). 8/26,Mon. 8/27, Tues. 8/28' . No 87, 89, 91, or Diesel fuel. sales since nighl 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, Fn. 8/24, Mon. 8/27. (message left

:.:'

mil

.......,." .1'...
18

utt to

OJred:

August 27,2007

17:00:00

by: CHRISTENSN
"j"' h,. .t.'

You in .heby turt notlf to coec 1i~ld de';¡ult within the pe sØKtn by ind In IccordOlncll with the pravl.60ns of the Agreem'-nt.

,2007.

By:

Tom Reeder. Regional Sales Manager

~

cc: CHRISTENSN STRENK
DEALER FILE

Documnt Numor: 02ß042gr
APPC~..."C Vonnlon (9'M)

223

Case 5:07-cv-04808-JF

Document 42-5

Filed 06/18/2008

Page 16 of 41

,

..

.:')
BP West Coast Products LLC

.(1
Default Notice

~, -.

~,.

Facilily Number: 82461
Certified Mail
Return Receipt Requested #: 7007 0710 0004 4238 3277

STTN ENTERPRISES INC. 631 SAN FELIPE ROAD

HOLLISTER, CA '95035
You ore hereby noUfied thai you ar& In delauii at your obligations under the terms and condillons of the loreQolnfJ Agrettments In eHe-t an (hii date 01 the
dgtault betwen BP West Coasl Product5 LLC. whkh AgrØØments reliJles \0 Ihs business IcHvity ccnduc1ø- by you at 1M addriiss shown abovQ.

Said Cafau" 'HilS observed on 'he dale and ill (he approximate lime shown below.
Tíö. oj Agnemoni:

Non-Lessee - am/pm Mini Market Agreement, Contract Dealer Gasoline Agreement
VKJI88QOO of AroesJSeoom,:

~

am/pm:
Oesc.:1ptlan:.

Gas: 2

System Manual: s' 1

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

Details of Vlot.¡lon: fif appllcablet

Dollars. STTN, Inc, owes BP 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 iric.
1, Pay for gasoline. PMPA 6. Gasoline must be paid for at time of delivery in U.S. $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, August 17,2007.3. All Motor.

inventory. He has not purchased ARCO Branded Motor Fuel on any day since 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.B/27, Tues. 8/28
Fuels 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
CCnversation led to my recommending he order fueL. Talked Thursday 8/23, Fri. 8/24, Mon. 8/27. (messge left

WAr Al?QI. f". ..~. 1 rt", . ,t"lv ualO u.uiiio bo cuf0:

August 28,2007

17:00:00

by: CHRISTENSN

Yau an ~r.by furt nol.ßed to coinct uld dofault wihin th pidod speified by and In IccordanC8 with the provl:lona of the Agreement.

D.I.dlhls 31 d':~, 2007.

"-~.~~~
By:

Tom Reeder - Regional Sales Manager

cc: CHRISTENSN STRENK
DEALER FILE

Documønt Number: Q2S0i&ge

APPC.4---lC Vorslon (II~)

224

Case 5:07-cv-04808-JF

Document 42-5

Filed 06/18/2008

Page 17 of 41

1i
i

-- ~~ ~,.

(j
BP West Coast Products LLC

,:¡ :

(,
Default Notice

Facilty Number; 82461

Certified Mall ,
Return Receipt Requested #: 7007 0710 0004 4236 3284

STTN ENTERPRISES INC, 631 SAN FELIPE ROAD

HOLLISTER, CA 95035
You 1C9 her9by notified Ihat you are In c1ef;¡ul1 of your abllQltlons undii IhG.l4irff and c;ondlUons of thg foregoing Agre9mmnls in sHect an the dala of lhe
defautt tteNNgen BP West Coast Products LL.C. which Agn~8ITn(S relates to the buslnllSS ;;cUvlry conClUC,ed by you at the ilddress shown .1cove,

Sak Default was aburved on the date and sl Ihii ;;pproxlrnte Ume snown bglow.
nUe OC Agreement

Non-Lessee. am/pm Mini Market Agreement, Contract Dealer Gasoline Agreement
Violtioo at Artlø.actions:

am/pm:
Oescni:Don:

Gas: 2

System Manual: Se~

v

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

Oetalb of VlolaUon: (If applicblel

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 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 rvtor Fuels 'Available. PMPA 2. SYSMAN Sec.. 1. Have aJl 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 discussiorrs infomming Sayed he is required to sell ArGO FueL. Each CXnversation led to my reCXmmending he order fueL. Talked Thursday 8/23, Fri. 8/24, Mon. 8/27. (message left

Wed. 8/29), - . 1 rl;:'" . ',' ' ,
Uat8 lJl3li to be c¡re;

, ..

August 29, 2007

16:30:00

by: CHRISTENSN

You ire heeby furt noUfed 10 CDDect ukt d.,f.luu 'WIUUln the p8lod spel1 by .00 In ICC.d8nclt wtth the provisions of tt. AgrHrTnl

aoted Un. 31 day of Auiust, 2007.

BP w.., C""'I Proucts LLC-

By: Tom

~~~

Reeder - Regional Sales Manager

cc: CHRISTENSN STRENK
DEALER FILE

DoculTnt Nurriu: 0250"2~

APPt~O-B.pc Version (8~1

225

Case 5:07-cv-04808-JF

Document 42-5

Filed 06/18/2008

Page 18 of 41

,
i i

-.J \\ "" ,.

'\

!

1)

BP West Coast Products LLC

Default Notice

Facility Number: 82461

CertifIed Mail
Rotum Receipt Requested #: 7007 0710 000 42363291

STTN ENTERPRISES INC. 631 SAN FELIPE ROAD HOLLISTER. CA 95035
You 3n heraby no(lff,d that you are In default at your obliQ3t1ans under the terms and c.ndHions of the loregalnç Agrum8nls in Qffec.l on ihe dalii 01 tho

de/iull beNt"" BP 'Nest Coast Products LLC, which AgrurrninlS ntla.(Qs to the business acttvlry conductgd by you al the addr9Sfi 1ihown above.

Sald Oefault was abs~lld on the date and at (he apPPoxlmalii Orne shown bulow.
'~8 01 Aiii-l:

Non-Lessee - am/pm Mini Market Agreement, Contract Dealer Gasoline Agreement
Vicladon of ArtSSSecns:

,~
Gas: 2

am/pm:
Descrption:

System Manual: Se~

Have all grades of Motor Fuels a~ailable for sale to the public

Det3ils of Vlohrtian: (if applbble)

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

Willams Fuel Delivery Driver's were not given cashiers checks, but had already dropped. the fuel into STTNlnc. Working CapitaL. Franchises Sayed F. told FC he does not have enough money. He cannot tanks. 2. Insufcient for gas inventory. He has not purchased ARCO Branded Motor Fuel on any day since gather enough fund to pay 1. Have.all grades of Motor Fuels available August 17, 200Y.. 3, All.Motor Fuels Available. PMPA 2. SYSMAN Sec. 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 . fuel sales since night of 8/23/07. All dispensers are'cautioned taped off from any use by No 87, 89, 9l,or Diesel customers. FC has had several phone discussions informing Sayed he is required to sell,Arco FueL. Each my recommending he order fueL. Talked Thursday 8/23, Fri. 8/24, Mon. 8/27. (message left conversation led to
(8 81C¡Uit to e cure:

August 30, 2007

17:00:QO

by: CHRISTENSN

You iir. heewby tuher noUfed to'Cec saki diif8UU wthln 01. period Ipiclße by .00 In sccrd8nca with thQ ¡xovislons at th Agreen~.

:~w~'~"..~:~~ ~
08todthli 31 day of August, 2007.

Tom Reeder - Regional Sales Manager

cc: CHRISTENSN STRENK DE.~ER FILE

OOCUm8nt Number: 0250.c APpe..-a.. V".kJn (11-1

226

Case 5:07-cv-04808-JF

Document 42-5

Filed 06/18/2008

Page 19 of 41

i

\

-- -~
~,.

t)
BP West Coast Products LLC

l'
Default Notice

Facility Number: 82461
Certified Mail

Return Receipt Requested #: 7007 0710 000442.363345

STTN ENTERPRISES INC, 631 SAN FELIPE ROAD

HOLLISTER, CA 95035
You ;He hereby noUliwd ¡holt you ar9 in def;¡ult of your obllgaUons under ihe terms and condlUon&: a' Ihe torQQolng AQreemen\s in !5Hllct on the d~l9 of iho default bet'een BP West Coast Praducts LLC, whicn Agreements relale, 10 Lhe business isc.livity conducted by you;;( tha address shown above.

Sald Oelilult w;;, oeserved on Iha dalv and at the ip-proii;maie iime shown below.
Title 01 Agreement:

Non-Lessee - am/pm Mini Market Agreement, Contract Dealer Gasoline Agreement
Viotioo at ArtdesiSectians:
..~
Gas: 2

am/pm:
Description:

System Manual: Sê. 1

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

Delails of Vlolation: (tf !pplk:ble)

1. Pay for gasoline. PMPA 6. Gasoline must be paid for at time oi 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 Drivets 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. Facilty has not sold required gallons of gasoline any of the following days: Friday, 8/31/07. 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 FC recommending he orders fueL. Talked Thursday 8/23, Fri. 8/24, Mon. 8/27. (message left Wed. 8/29).
Cure date: Immediately
Oalu Defaull wa ObSrv:
Appco.-im:le rime Default was observed:
Oat!? Defaull 10 be cured:

August 31, 2007

18:30:00

by: CHRISTENSN

'fou It. henby further nottf~ to corrict Iilkf døfiluU within the pvrlod Ip4cified by and In accordance wth the provisions of the Agreement.

By:

Tom Reeder - Regional Sales Manager

~

cc: CHR\STENSN STRENK
DEALER FILE

Document Number: 0250445

APPC~Q-8"'C Vorslon ¡g.""

227

Case 5:07-cv-04808-JF

Document 42-5

Filed 06/18/2008

Page 20 of 41

1

-- ~~

BP West Coast Products LLC
Default Notice

~,.
Facility Number: 82461
Certified Mail

Return Receipt Requested #: 7007 0710 000442363352

STTN ENTERPRISES INC. 631 SAN FELIPE ROAD HOLLISTER, CA 95035
You are hereby notHiød thal you ate In delauU at your obligations under the terms and condi'ions of the foq~goinlJ Agr~menls In aHecl on Ihe date 01 the
dQfault b8l'89n BP Wes! Co,¡:u Products L.LC, whIch AgrHmenls rolates to iiie business activity conducigd by you at ihe address shown ;;bov9.

Said Oefault W4S observed on the date 3nd ~l the approximate time sMown below.

nuo oi Agremonl:

Non.Lessee - am/pm Mini Market Agreement, Contract Dealer Gasoline Agreement
Vi04al1on af Aricles/Sectins:

..Gas: 2

am/pm:
Descrpûon:

System Manual: se'

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

Oøtallis of Vlol;lIion: (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 8/2/2007. 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 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 frm 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 8128, Thur 8/29, Fri 8/30, Sat 9/1, Tues 9/4. On Fri 8130 RSM convened a
conference cali with Sayed and FC to confirm and clarify Sayed was, again, aware of his continued violation of BP

Agreements.
~,
' . ImmPriat"lv

-

,
- Date Deiauit la be cured:

September 01, 2007

12:00:00

by: CHRISTENSN

You are h~reby furter nouned to C0f8Ct said default wlthln lh8 penod sp4ified by ind In iccordanco with the provtsloos of the AgreemenL

Dated ;his 4 day of September, 2007.

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

Manager

cc: CHRISTENSN , STRENK
DEALER FILE

Documnt Number: 0250406
APPC-U...pc V.rslon (9-94)

228

Case 5:07-cv-04808-JF

Document 42-5

Filed 06/18/2008

Page 21 of 41

-~~ ~,.
BP West Coast Products LLC
Default Notice

Facility Number: 82461
Certified Mail

Return Receipt Requested #: 7007 0710000442363369

STTN ENTERPRISES INC. 631 SAN FELIPE ROAD

HOLLISTER, CA, 95035
'(ou are hereby nohffod th",1 you ani' in d~lBult of your obligations under Ih~ Iirms and candltlon.5 at Ihe lore

defautt bQtween 8P We,t Coast Products LLC, whk:h Agr8~mllnls palates 10 thQ buSfn9ss actIvity conducted by you at the address snown above.

going Agreement. in effect an Ihe date of the

Said Defiiult 'Has observ''d on Ihe dille .Ind ~t !he approximate time shown below.

TiU. at AQr..met:

Non-Lessee - am/pm Mini Market Agreement, Contract Dealer Gasoline Agreement
Violatin 01 ArcJesSecnons:

am/pm:
Oesaiption:

Gas: 2

..~

System Manual: S\. 1

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

OelilLr of Vlai.llon: (it applk:abIQ)

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 8/2/2007. 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 penod. Effective today 914/07 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 infonming Sayed he is required to sell Arco FueL. Each conversation led to my recommending he orderfuel. Fe explained this default directly to Sayed on Thurs 8/23. Fri. 8/24, Mon. 8/27, Tues 8/28, Thur 8129, Fri 8/30, Sat 9/1, Tues 9/4. On Fri 8/30 RSM convened a cçmference call . wilh Sayed and FC to confirm and clanfy Sayed was, again, aware of his continued violation of BP, Agreements.
Cure date: Immediately

00" o."'uii wa 0ò""80:

Approximate Time uetJult 'N3S ob5.0Ne:

Dot. Døullio b. cur:

September 02, 2007

12:00:00 ,

by: CHRI5TENSN

You are hereby further ncttflt to correc )¡id default within thlt pll0d iipetfd by ind In sccordaf1a with 1l\ prvisions of thli AgrttoL

D.t.dlhl. 4 day of ~~g7r, 2007. .

"w,,~"._~

"~~
Oexumønt Number: 02SOUQ!!

Tom Reeder. Regional Sales Manager

cc: CHRISTENSN STRENK
DEALER FILE

APPC--0'¡.PC V...lon (g.e.,

229

Case 5:07-cv-04808-JF

Document 42-5

Filed 06/18/2008

Page 22 of 41

1
i !

/ ~~
~'".

BP West Coast Products LLC
Default Notice

Facility Number: 82461
Certified Mail

Relurn Receipt Requested #: T007 0710 000442363383

STTN ENTERPRISES INC. 631 SAN FELIPE ROAD

HOLLISTER, CA 95035
You 3r9 hBreby noelfied that you are In default of your obligations under Ihe terms iind conditions of the foregoing AQreømanls In sHee! on Ita date af the default berwen ÕP West Coast Products LLC, which AgroemøntlJ rnlatø5 to the busIness actrvrt canductgd by you ¡It ihe adclre-s shown abov9.

Said O.taull '\es obsørvød an the datcc "nd lit the appraximale time shown below.

Tíö. 01 Agr..er t

Non-Lessee - am/pm Mini Market Agreement, Contract Dealer Gasoline Agreement
Viotatin 01 Artcre5/S~ctioos:

am/pm:
Desaiption:

v
Gas: 2

System Manual:~c. 1

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

Det3lbõ 01 VlolaUon: (If apPIH:abløl
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 Sajes since 8/212007. STTN Inc. continues to opera.te the
facility without fuel sales to Are 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 is .required to sell Arco FueL. Each by customers. FC has had multiple phone discussions informing Sayed he conversation led to my ,recommending he order fueL. Fe explained this default directly to Sayed on Thurs 8/23, Fri. On Fri 8/30 RSM convened a conference cali 8/24, Mon. 8/27;Tues 8/28, Thur 8/29, Fri 8/30, Sat 9/1, Tues 9/4. with Sayed and FC to confirm and clarify Sayed was, again, aware of his continued violation of BP Agreements.
Cure date: Immediately
0a1O Oetault wa oòseee:
ApprOJO""'' îime Oefauii wa oò..rvod: ,
Date D9bult to be CU1ed:

September 031 2007

12:00:00

by: CHRISTENSN

Yau Ir,V hereby furter ootlfhtd to conect s~ld d8hhUlt wwln the pltio ipeclfhd by and In accordenc. wth the provisions 01 the ÄQnlMnt.

OIIÒd Ihl. 4 day of September, 2007..BP w..t Cosl Product LLC ' , ")

'\\/I'øJ~ '~
CC: CHRISTENSN STRENK DEALER FILE

By:

Tom Reeder - Regional Sales Manager

Documnl Number: 02604410

APPC44-e-? Virslon (S-!i1

230

Case 5:07-cv-04808-JF

Document 42-5

Filed 06/18/2008

Page 23 of 41

,

;

I~-..
"" ,.

:'J
BP West Coast Products LLC

)

Default Notlca

Facility Number: 82461
Certified Mail

Return Receipt Requested #:

STTN ENTERPRISES INC. 631 SAN FELIPE ROAD

HOLLISTER, CA95035
You I!r. hereby rtUf\ed that you irq In default of your obligations under the terms and conditions of ihv fongoing Agreements In etfect on the d3le of thg d~t::utt between B? West Cout Prodltts LLC, which Agrll91Tnls relates Ie !he business activity c.onducted by you al thw addres.; shown ¡COVQ.

S-k: O.filuu was obsefed an the dale ilnd at the approidmate tlme shown below.
mo 01 Ag",omoni:

Non-Lessee - am/pm Mini Market Agreement, Contract Dealer Gasoline Agreement
Vlootion of ArbesSeC'Ofs:

..~
Gas: 2

am/pm:
Descrptin:

System Manual: ~eë1

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

DiLaIi. of Viol,

lion, (If ipplli;bl.)

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 lo Arco customers for 13 days. Termination is possible without fuel sales for any 7 day period. Effectve loday 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 my recommending he order fueL. FCexplained this default directly to Sayed on Thurs:8123. 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 cali with Sayed and FC to confirm and clarify Sayed was, agàin, aware of his continued violation of BP Agreements.
Cure date: ,Immediately

Oato ue~ was ob_:

ApprXlmale Tirne Dejau~ wa. ob",iv:

Date Oo/ull to be cure:

September 04, 2007

12:00:00

by: CHRISTENSN

You an høeOY fu88 noed to COf uld diilault wihin !.e perkx iipetfed by and In lCCdance win lli prvisions 01 tn AQrf"*L.

u.s~ Postal Service". .
Deted !hI. 5 day of September, 2007.
8P West Coaot Prouct LtC

-- ,
I"
fT fT

CERTIFIED MAIL." RECEIP
(Domestic Mail Onfy; No Insurance Coiiera. ,.

.iiided)

.

8y: .

-- i
fT

0FFI CIA
Pota i
(Änmod F..
FWiim Aø F..

L

U S E
Poo.",
H""

Doument Humber: 025Q APPC~"¡.pC V...lon (B-i)

~ ~ o o

OJ

o o r-

(Emlonme Aeulno)

(End....nt R8lre)

Relr1 OelMiy Fe

I"

i:

T",ii P08taoo & F-

$

c.'' ssi': :tP¡' . .__. "'-"'" ..__... ..... - ....... """"-' .._-. .... ........._.,.. .

~ I;;~-:.'..._.._......._._..~_..._..._.........--_..__.._................_.1

231

Case 5:07-cv-04808-JF

Document 42-5

Filed 06/18/2008

Page 24 of 41

EXHIBIT N

Case 5:07-cv-04808-JF

Document 42-5

Filed 06/18/2008

Page 25 of 41

5/412007

BP West Coast Products
4 Centerpointe ÐF.
La; Palma, Ca, 9'0623

lv. TOIT,Reeder::

We, Nazim Faquiryan & Sayed Faquiryan, agree to pay an additional
$30,000.00 by certified checkpayableto BP'WCP on or before the 15th day
of.each mQuth beginng June 20,2007 until total sums of

balance due are

paid in full per BP credit dept.

These separate montWy payments will continue until an outstanding barances due BPWCP, curently, $ i 84,075.50 have been paid.

We fuher agree that our BPWCP accouot will not increase in delinquent amounts due.
S,incerely,

Nazm Faquiry

5 - l-- i-l-:i¡

c\~......,~ . ". -\\-~~'-t'~"'\--

-=~
.:~ t
".

Sayed F aquiaD
=:~ 2. ..-~,,_.-/

l- L/ .,' -, ' "., J-/-~Q--

tv i TI'i!y . ., .lfl...:.:, (7 i /../' ,'7" l;;/Z..?t/ i-.;"--~ /'
&'¿i\::J (. f-h,/Sf''v)"I'¡

C .. '1- 7-ù 1

232

._-_.'~.'

Case 5:07-cv-04808-JF

Document 42-5

Filed 06/18/2008

Page 26 of 41

EXHIBIT 0

Case 5:07-cv-04808-JF

Document 42-5

Filed 06/18/2008

Page 27 of 41

Ä, y
Re:

bpWest-Coast Products LLC 4 Cimlerpointe 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

Faciltv No. 82461
NOTICE OF TERMINATION

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

Gasoline Agreement both dated July 11, 2006 and various related agreements (trie
"Agreement", with BP West Coast Products LLC ("BPWCP".), concerning the' above
facility located at 631 San Felipe Road, Hollister, 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
evening of August 23'd and your dispensers have

been cautioned taped off from any use by customers. You have been sent a total of twelve (12) defaults for failure to offer all of grades of gasoline for sale. Although the period to cure the defaults has passed, as

today, none of the defaults have been cured.
Under these circumstances it would not be reasonable for BPWCP to fumish notificatior. of 90 days: prior to the date of termination because of 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 refiects numerous returned items that were "bounced" by your bañk for non-sufficient funds. You are also responsible 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 carr out the provisions of the

Agreement following written notice and opportunity to cure;

233

Case 5:07-cv-04808-JF

Document 42-5

Filed 06/18/2008

Page 28 of 41

Page 2

(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 limitatlon, "Buyer's failure to order and make available for sale quantities of each grade of Próduct which are suffcient 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 c:m/pm Mini Market Agreement provides: "Operator shall pay to BPW CP 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 temm

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 t¡-ie 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,OOØ.OQ. 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. The termination of the Agreements is an Event of Default.

YOU ARE HEREBY NOTlFIED 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 sale and failure to pay sums due under the Petroleum Marketing Practices Act CPMPA"), 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 with a provision of the franchise, which is both reasonable and
material sigi iificance 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 manner when due all. sums

234

Case 5:07-cv-04808-JF

Document 42-5

Filed 06/18/2008

Page 29 of 41

Page 3

to which the franchisor is legallyentitied. 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 temmination under §2802(b)(2)(C).

Accordingly, upon the above-stated effective date of this Notice of Termination, you are

to cease selling 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 will be required to comply with the
procedures on expiration or termination described the Agreements. Furthermore, you are required to pemmit BPWCP to enter upon the premises to remove or de-identify all of ARCO's trademarks and propert 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 iermination, 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 on other grounds: and (3) its rights to receive any sums due and owing to also be based

BPWCP. Such sums should be forvarded to BPWCP upon their due date.

prOduct~

By:

Thomas Reeder
Regional Sales Manager
cc:
Facility File

Brad Christensen

235

Case 5:07-cv-04808-JF

Document 42-5
....._-. ...... ----_..-

Filed 06/18/2008

Page 30 of 41

Page i

FEDERAL REGISTER Vol. 61, No. 123
Notices
DEPARTMENT OF ENERGY (DOE)
Revised Sunary of

Title I of the Petroleum Marketig Practices Act

61 FR 32786

DATE: Tuesday, June 25,1996
ACTION: Notice
.---------------------------.--------------------_.----------- To view the next page, tye .np' TR.A.NSMIT.
To vièv' a specific page, tranmit p' and the page number, e.g. p"l
--------------- ---------- ---- .._-- -------------- --- --------- --- -- ¡" 3 2 7 8 61

SUMY: This D.orice cOD.ain a s=ry of

Title I of

the Petroleum Marketing Practices Act, as amended (the

Act). The Petroleum Marketig Practices Act was origially 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
Deparent of Energy published in the Federal Register a summary of the provisions of Title 1 of the 1978 law, as

required by the Act. The Depamnerrt is publishig this revised sumry to reflect key charrges made by the 1994 amendmntS.

The Act is intended to protect frnchised distributors arrd retailers of gasoline and diesel motor fuel again"t
arbitrar or discriuunatory ternation or nomenewal of francIDses, This sum describes the reasoD. for wruch a

francIDse may be termated or not renewed under the law, the responsibilities of franchisors, and the remedies and relief available to franchisees. The Act requires franchisors 10 give franchisees copies of the sury corrained in ths rrotice whenever notification of termation or nomenewal of a ÎrancIDse is given.
FOR FURTHRINORMA 11

ON CONTACT: CaneD Difglio, Offce of Energy Effciency, Alternative Fuè1s,

and Oil ADalysis (PO-62), U.S. Deparent of Energy, Washington, D.C. 20585, Telephone (202) 586-4444; Deparent of Energy, Washington, D.C. 20585;
Lawrence Leiken, Office of General Counel (GC-73), U.S.

Telephone (202) 586-6978.
SUPPLEMNTARY INORM 110N: Title I of

the Petroleum Marketig Practices Act, as amended, 15U.S.C. §§

motor fuel by establishing mium

2801-2806, provi.des for the protection offrancrused distribUtors and retailers of

Feder stadads governg the termnation of frchises and the nomenewal of franchise relationships by the

franchisor or distrbutor of such fueL. "
concise suu of the provisions of

Section 1 04( d)( 1) of the Act requied the Secreta of Energy to publish il the Federal Register a simle and Title I, including a statement of the respective ("32787) responsibilities of,

and the remedies and relief available to, francrusors and franchisees under that title. The Deparent published ths
su in the Federal Register on Augut 30,1978.43 F.R. 38743 (1978).

In 1994 the Congress enacted the Petroleum Marketig Practices Act Amendments to affin and clarfy certain key provisions of the 1978 statute. Among the key issues addressed in the 1994 amendments are: (1) ternation or
nonrenewal of franchised dealers by their franchisors for purposes of conversion to "company" operation; (2)

applicatioD. of state law; (3) the rights and obligations of franchisors and franchisees in thd-parr lease situatioD.; 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) mae explicit that upon renewal a franchisor may not inist on

changes to a franchise agreement where the purose of such changes is to prevent renewaJ il o,rder to convert a

236

Case 5:07-cv-04808-JF

Document 42-5

Filed 06/18/2008

Page 31 of 41

Page 2

franchisee-operated service station into a company-operated service station; (2) rrke clear that where the franchisor
has an option to continue the lease or to purchase the premises but does rrot 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 renewig a francruse agreement, that a franchisee waive ,any rights UDder the Petro leum Marketing Practices Act, .any
other Federal law, or any state law; and

(4) reconfir the limted scope o.fFederal preemptiorr under the Act. Id.

The suury wruch follows reflects key changes to the statute resuJting from the 1994 amendments. The Act
. requires francrusors to give copies of this summry statement to their franchisees when enterig into an agreement to termate the franchise or not to renew the franchise relationship, and when giving nonfication of termation or nonrenewal. This sumry does not purort to interpret the Act, as amended, or to create new legal rignlS.
ll adctrion to the sum of the provisions of Title 1, a more detailed descnption of the defintions contaIned in

the Act and of the legal remedies available to franchisees is also included in this notice, following the summry
statement.

Sum of Legal RigbT. of Motor Fuel Franchisees
11 -is a sum of thefrançhise proiection provisions of the Federal Petroleum Marketing Pracoces Act, as

amended in 1994 (the Act), 15 U.s c. §§ 2801.2806. This sum must be given to you, as a person holding a
franchie for the sale, consignent or distrbution of gasolie or diesel motor fuel, in commecrion wwth any

temmtion or nonrenewal of your frao.chise by your franchising company (referred to in this sumry as your
supplier)-

You should read, this summar¡ carefully, and refer to the Act if necessar.¡, .to detemue whether a proposed
tennaoon or nonrenewal of your franchise is lawf, and what legal remedies are available to you if ;.ou th the
proposed ter.ation or failure to renew is not la-.l. In addition, if you t\ your supplier has failed to comply

with the Act, you may wish to cODSult an attorney in order to enforce your legal rights.

The franchise protection provisions of the Act apply to a varety of franchise agreements. The term "franchise" is broadly defied as a license to use a motor fuel trademak which is o\\'Ded or controlled by a refier, and ii includes seconda argeroenT. such as leases of real propert and motor fuel supply agreements which have existed of a trademark. Thus, if you have lost the contiuously since May ,15, 1973, regardless of a subsequent withdrawal
use of a trademark previously grted by your supplier but have contiued to receive motor fuel supplies though'a
contiuation of a supply agreement with your supplier, you are protected under the Act. -

ADy issue aring under your Eranchise which is notgovemed by ths Act win be governed by the law of the State in which the pricipal place of business of your franchise is located.
Although a State may specify the tenn and conditions UDder which' your franchise may be transferred upon the

death of the franchisee, it may not require a payment to you (the franchiee) for the goodwill of a frncn¡se upon'
termtion or nonrenewal.

The Act is intended to protect you, whether you are a distrbutor or a retailer, from arbitrar or discriminatory

temation or nonrenewal of your franchie agreement. To accomplish this, the Acl first lists the reasons for which termtion or nonrenewal is permtted. Any notice of termnation or nonrenewaJ must state the precise reason, as listed in the Act, for which the parcular temmation or nonrenewal is being made. These reasons are described below under the headings "Reasons for Ternnation" and "Reasons for Nonrenewal."

The Act also requires your supplier to give you a wrtten notice of termatton or intention not to renew the
franchie with certain tie periods. These requireroenT. are sunarized below under the headig "Notice

ReqwremenlS for Temmatlon or Nonrenewal."
The Act also provides certain special reqwreroents with regard to tral and interim franchise agreemenlS, which are
described below under the heading "Trial and Interi

FraDchises."

237

Case 5:07-cv-04808-JF

Document 42-5

Filed 06/18/2008

Page 32 of 41

Page 3

not penntted by

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

The Act contains provisions pertaining to waiver or franchisee rights and applicable State law. These provisions are described under the heading "Waiver orRights and Applicable State Law."

Ths sumry is intended as a simple and concise description or the general nature of your rights wwder 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.se. §§ 2801-2806). This summar does no! purort to interpret the Act, as amended, or to create new legal rights.

1. Reasons for Termtion
If your franchise was entered intO on or arter June i 9, 19ï8, the Act bars terratioTI or your franchise for any

reasons other than those reasons discussed below. If your franchhse was entered into before June 19,1978, there is no
statUtOry restrction on the reasons for which it may be termated. If a franchise entered into before Jwwe 19, 1973, is
termated, however, the Act requires the supplier

to reirstate the frandii~e relationship unless one of the reasons

listed iider this heading or on: of the additional reasons for nonrenewal described below wwder the heading
"Reasons for Nonrenewal"

exists.

A. Non-Compliance with Franchise Agreement

Your supplier may terrnate your franchhse if you do not comply '-"ith a reasonab 1e and important requircrent of a provision of me
the frnchise relationship. However, termation may not be based on a failure to comply with

law. il order to termnate for non.
franchise that is iUegal or unenforceable under applicable Federal, State or local

compliance with the franchise agreement, your supplier must have learned of ths non-compliance recently. The Act
l.ts the, tie perod withn which your supplier must have \earned of your non-compliance to various periods. me
longest of which is 120 (' 327881 days, before you receive Doriicarion of the temmnation.

B. Lack of Good Faith Effort
you have Dot made good faith effort to car out the requiements of

Your supplier may termte your franchise if the franchise, provided you are given an opportty

you are first notified in writing tht you are not meetig a requirement of the franchise and to ,make a good faith effort to car out the: requirement. TIs reason can be used by

your suplier only if you fail to mae good faith efforts to carr out the requirements of the frnchhse within the
period which began not more than 180 days before you receive the notice of termation.

C. Mutul Agreement To Termte the Frachise
A frchie can be terted by an agreement in wrting betWeen you aDd your supplier if the agreement is

entered into not more than 180 days before the eff