Wagner v. Adickman

CourtDistrict Court, D. Arizona
DecidedMarch 3, 2025
Docket2:19-cv-03216
StatusUnknown

This text of Wagner v. Adickman (Wagner v. Adickman) is published on Counsel Stack Legal Research, covering District Court, D. Arizona primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Wagner v. Adickman, (D. Ariz. 2025).

Opinion

1 2 3 4 5 IN THE UNITED STATES DISTRICT COURT 6 FOR THE DISTRICT OF ARIZONA

8 Gary Wagner, Giggling Marlin Incorporated, No. CV 19-03216 PHX SMB

9 Plaintiffs, REPORT AND RECOMMENDATION 10 v.

11 Derek Adickman, et al.,

12 Defendants. 13 14 TO THE HONORABLE SUSAN M. BRNOVICH: 15 Before the Court is the amended motion (ECF No. 238) for an award of attorney’s 16 fees filed by Plaintiffs/Judgment Creditors Gary Wagner and Giggling Marlin, Inc. 17 I. Background 18 On March 12, 2021, at the conclusion of a four-day jury trial, judgment was 19 entered in favor of Plaintiffs and against Defendant Adickman as follows:

20 Judgment is entered on the claim for Trademark Infringement in favor of Gary Wagner in the amount of $1.00. Judgment is entered on the claim for 21 Unfair Competition in favor of Gary Wagner in the amount of $1.00. 22 Judgment is entered on the claim for Wagner’s Breach of Contract Claim in favor of Gary Wagner in the amount of $0. Judgment is entered on the 23 claim for Adickman’s Breach of Contract Claim in favor of Gary Wagner. 24 Judgment is entered on the claim for Wagner’s Conversion Claim Against Adickman in favor of Gary Wagner in the amount of $0. Judgment is 25 entered on the claim for Giggling Marlin’s Conversion Claim Against 26 Adickman in favor of Giggling Marlin, Inc. in the amount of $0. … Judgment is entered on the claim for Wagner’s Breach of Fiduciary Duty 27 Against Adickman in favor of Gary Wagner in the amount of $0. Judgment is entered on the claim for Adickman’s Breach of Fiduciary Duty Against 28 Wagner in favor of Gary Wagner. Judgment is entered on the claim for 1 Wagner’s Claim for Fraud in favor of Gary Wagner in the amount of $87,250.31 and punitive damages of $250,000. Judgment is entered on the 2 claim for Adickman’s Claim for Fraud in favor of Gary Wagner. … 3 Judgment is entered on the claim for Fraud by Non-Disclosure or Concealment in favor of Gary Wagner in the amount of $0 and punitive 4 damages of $0. Judgment is entered on the claim for Alter Ego finding that 5 Giggling Marlin Mexico was not the alter ego of Giggling Marlin, Inc. Judgment is entered on the claim for Adickman’s Negligent 6 Misrepresentation in favor of Gary Wagner. Judgment is entered on the 7 claim for Adickman’s Claim for Unjust Enrichment in favor of Giggling Marlin, Inc. 8 9 (ECF No. 144). Adickman appealed the judgment to the Ninth Circuit Court of Appeals. 10 (ECF No. 153). 11 On October 22, 2021, the Court awarded attorney’s fees and costs to Plaintiffs and 12 against Adickman in the amount of $135,934. (ECF No. 160). Adickman appealed the 13 award of attorney’s fees to the Ninth Circuit Court of Appeals. (ECF No. 161). 14 In February of 2022 Plaintiffs filed applications for writs of garnishment on eight 15 financial institutions. (ECF Nos. 169-84). Six of the writs were answered by the 16 institutions averring they were not in possession of funds or property held by Adickman, 17 and that Adickman did not have accounts at these institutions. (ECF Nos. 185-88, 191, 18 196). A writ of garnishment was served on an additional bank late 2022 and the garnishee 19 answered that Adickman had no funds at that institution. (ECF Nos. 203-05). 20 The Ninth Circuit Court of Appeals affirmed the judgment against Adickman and 21 the award of attorney’s fees on January 18, 2023. (ECF No. 206). The Ninth Circuit 22 further awarded attorney’s fees on appeal to Plaintiffs and against Adickman and his co- 23 Defendant Foulke in the amount of $53,848. (ECF No. 207). 24 On September 9, 2023, Plaintiffs/Judgment Creditors (“JC”) filed a motion (ECF 25 No. 208, as amended by ECF No. 211) seeking an order requiring Adickman to appear 26 for a judgment debtor examination, and the motion was referred to the undersigned 27 magistrate judge (ECF No. 209). In the motion JC averred Adickman “has failed to pay 28 any portion of the judgment.” The motion was granted and Adickman was required to 1 provide documents to JC and to appear for a judgment debtor examination. (ECF 2 No. 212). The date and time set for the examination was later vacated and the 3 examination reset several times, at JC’s request. Adickman did finally appear for a 4 judgment debtor examination on February 10, 2025. (ECF No. 231). 5 In the interim, on February 12, 2024, JC requested an order requiring Adickman’s 6 mother, Andrea Adickman (“Mrs. Adickman”) to provide documents and appear for a 7 judgment debtor examination. (ECF No. 216). JC cited Rule 69 of the Federal Rules of 8 Civil Procedure and argued “[a]n examination of a judgment debtor is a type of discovery 9 authorized by Rule 69(a) and state law under A.R.S. § 12-1631.” (ECF No. 216 at 2). JC 10 further averred:

11 Upon information and belief, Andrea has been providing financial support and backing for Adickman and is aware of where he has bank 12 accounts, how he is obtaining funds, and where he has hidden assets. An 13 examination of Andrea is a type of discovery authorized by Rule 69(a) and state law under A.R.S. § 12-1631. 14 Plaintiffs request this Court to order that Andrea be ordered to 15 appear for a debtor’s examination before a Magistrate Judge to answer questions concerning Adickman’s property and how and from where 16 Adickman is obtaining money and bring with her the documents listed on 17 E xhibit A hereto. Upon information and belief, Adickman is hiding assets. 18 (ECF No. 216 at 2). 19 The motion was granted. The following language was in the order served on Mrs. 20 Adickman: “Andrea Adickman shall provide to Plaintiff/Judgment Creditor’s 21 counsel, no later than the close of business” twelve days prior to the examination set 22 for March 20, 2024, “all documents [requested by JC]. …. Andrea Adickman is 23 warned that a failure to comply with this provision of this Order may result in a 24 finding of contempt and an award of sanctions.” (ECF No. 219) (emphasis in original). 25 The order further warned that the failure to appear could cause a civil arrest warrant to be 26 issued. (Id.). In a separate order Adickman was ordered to provide documents and appear 27 for a judgment debtor examination the same day, i.e., March 20, 2024. (ECF No. 218). 28 Both examinations were scheduled to take place at JC’s attorney’s office. 1 On March 20, 2024, the date set for the examinations, JC filed a notice that the 2 judgment debtor examination of Adickman had been cancelled due to Adickman filing 3 for bankruptcy that same day. (ECF No. 221). The notice did not mention the 4 examination regarding Mrs. Adickman set for the same day. 5 On November 21, 2024, JC filed motions seeking orders requiring Adickman and 6 Mrs. Adickman to appear for judgment debtor examinations. (ECF Nos. 222 & 223). The 7 motions were granted and the examinations were set for January 9, 2025, and January 21, 8 2025, respectively. (ECF Nos. 224 & 225). The language warning of a contempt citation, 9 quoted supra, was included in the orders setting the judgment debtor examinations. JC 10 then sought an order allowing alternative service on Adickman (ECF No. 227), which 11 motion was granted (ECF No. 229). 12 On December 30, 2024. JC’s counsel sought to reset Adickman’s judgment debtor 13 examination from January 9 to February 3, 2025, and this motion was granted. (ECF 14 Nos. 230 & 231). 15 On January 31, 2025, JC asked the Court to reset the examination of Mrs. 16 Adickman,1 stating:

17 Andrea’s debtor’s exam was previously scheduled for January 21, 2025 at 1:00 p.m. Fifteen minutes before the exam counsel for Andrea, Yvette 18 Banker,2 emailed counsel that Andrea was having health issues and needed 19 a 30-day extension. Ms.

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Wagner v. Adickman, Counsel Stack Legal Research, https://law.counselstack.com/opinion/wagner-v-adickman-azd-2025.