Free Response to Motion - District Court of Arizona - Arizona

Mg. ED. 21:*05 5:-35PM Ba....¢rs Life & Casuaiiy inmpany 1%]*134 p_ g =
TD: ‘ Bruce R. Goldrnan
FROM: _ Gordon D. Sheff
DATE: August 30, 2005
RE; Memonmdum of Understanding to Enter into a ‘
Founai Set1:1eme¤tAgree111:r1t
Over the course of the last year or so Gordon SMH and family members invested with
Bruce R- Goldman into various propenim in thc Phoenix metro area. The purpose ofthe
investments were to purchase distressed rea] estate, rehabilitate the real estate and sell the
real estate. The other Family members were Michael Shadi Gordorrs brother and Bruce
· Bottjen, Gordon Sh0£f‘s Father in Law.
The gross amount irwesled in various properties for Gordon Shcffis $404,500, for
Michael Shoffit is $20,000 and for Bruce Bottjen it is $10,000.
1. Bruce R. Goldman and Opulent Properties will relinquish all interest in a property
kznovm as 3714 North 50111 Street in Phoenix. In eucohaxrge for this Gordon Shoffwill
credit to the sums due from Bruce R. Goldman and Opulezut properties a. Exed amruowmt of
$265,001}. Gordon Shoif is assuming all of the liability o£¤vm·.=:rsb.ip ofthe property and
is also assuming all ofthe opportunity of the remodel and sale of the property.
Further, while both Michael Shoff and Bruce Bottj en may or may not have been
associated with this property this does not afoot the sum due them, or any other possible
investor.
1 Gordon Shoffwas a.m·ac1ed to Bruce G<>1d¤m¤‘s ability w End disuessed maj same.
Gordon Shoffsti]1 believes that this ability has value and is willing to work on further
disucssed property ventures with Bruce R. Goldmm. Shoff would hke Goldman to {ind
distressed properties for Shoifto buy, rehabilitate and sell. Sheff; when and where he
csmwill also purchase Erom G¤1d:m¤.n's company, Mill Direct Flooringr f1oo1·i:1g supplies.
For this Shoifwill pay Goldmzm 10% of uct prom on those properties, foxmd by
Goldman and Rclmbilitated by Sheff upon The sale of those properties. Goldman will -
have no oLb.or involvexzment other umn as a Ender and possible supplier to Sheff. The
funds earned from this will also go to repay the debt to Shofi However, this is not a. Erm
nbligaduu to use Bruce. The economics ofthe property, as determined by Shaft] will be
the sole deuerminor.
3- Daryl Penel.1 had optioned several properties to Bruce R Goldman and Opulent
Propeni ik - It appears that Daryi Pencil chose not to honor those options afcer Bruce R.
Goldman, and the Opulent Properties investors had put {imds into them. Gordon Shui?
and Bruce Goldman will work closely and de11`berat:ely to secure legal counsel to explore
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