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</o:shapelayout></xml><![endif]--></head><body lang=FR link=blue vlink=purple><div class=WordSection1><p class=MsoNormal><span style='color:#1F497D'>Dear Anne, <o:p></o:p></span></p><p class=MsoNormal><span style='color:#1F497D'><o:p> </o:p></span></p><p class=MsoNormal><span lang=EN-US style='color:#1F497D'>I am drawing your attention to the webinar FAQ where our lawyers have provided additional details to your questions (page 3 and 4, questions 8 to 12). <o:p></o:p></span></p><p class=MsoNormal><span lang=EN-US style='color:#1F497D'><a href="https://community.icann.org/download/attachments/56984258/Webinar%20-%20Final%20Q%26A%20-%202%20Dec.pdf?version=1&modificationDate=1450173637000&api=v2">https://community.icann.org/download/attachments/56984258/Webinar%20-%20Final%20Q%26A%20-%202%20Dec.pdf?version=1&modificationDate=1450173637000&api=v2</a><o:p></o:p></span></p><p class=MsoNormal><span lang=EN-US style='color:#1F497D'><o:p> </o:p></span></p><p class=MsoNormal><span lang=EN-US style='color:#1F497D'>In light of this additional material and the responses provided in this thread I would like to confirm that we have sufficient legal input. <o:p></o:p></span></p><p class=MsoNormal><span lang=EN-US style='color:#1F497D'><o:p> </o:p></span></p><p class=MsoNormal><span lang=EN-US style='color:#1F497D'>My impression is that the question then becomes, for the CCWG itself, whether the pre-service letters are perceived by the group as a useful extra measure to implement the power, and I noted that ALAC (in Alan’s post earlier to our last call) was suggesting the same. <o:p></o:p></span></p><p class=MsoNormal><span lang=EN-US style='color:#1F497D'><o:p> </o:p></span></p><p class=MsoNormal><span lang=EN-US style='color:#1F497D'>Best<o:p></o:p></span></p><p class=MsoNormal><span lang=EN-US style='color:#1F497D'>Mathieu<o:p></o:p></span></p><p class=MsoNormal><span lang=EN-US style='color:#1F497D'><o:p> </o:p></span></p><div><div style='border:none;border-top:solid #B5C4DF 1.0pt;padding:3.0pt 0cm 0cm 0cm'><p class=MsoNormal><b><span style='font-size:10.0pt;font-family:"Tahoma","sans-serif"'>De :</span></b><span style='font-size:10.0pt;font-family:"Tahoma","sans-serif"'> accountability-cross-community-bounces@icann.org [mailto:accountability-cross-community-bounces@icann.org] <b>De la part de</b> Rosemary E. Fei<br><b>Envoyé :</b> mardi 15 décembre 2015 01:41<br><b>À :</b> Aikman-Scalese, Anne; Holly Gregory; 'Steve DelBianco'<br><b>Cc :</b> accountability-cross-community@icann.org; 'Gomes, Chuck' (cgomes@verisign.com); Sidley ICANN CCWG; ipc_accountabilityct@icann.org; ICANN-Adler<br><b>Objet :</b> Re: [CCWG-ACCT] CCWG - ACCT - Recommendation 4 - Community Powers<o:p></o:p></span></p></div></div><p class=MsoNormal><o:p> </o:p></p><p class=MsoNormal><span lang=EN-US style='font-size:10.0pt;font-family:"Arial","sans-serif";color:black'>Questions 1 and 2 might be re-directed at whether a director can be enforceably bound to an agreement not to bring such suits or seek such relief, such as in a pre-service letter, rather than (or in addition to) researching whether such suits and relief are possible. To Anne’s point, claims without any legal basis can still be made in court, so perhaps the focus should be on how quickly and easily they will be dismissed. An enforceable agreement would go a long way in that direction, which would be reassuring for SO/AC actors, but also a strong disincentive for directors being removed to bring a claim at all.<o:p></o:p></span></p><p class=MsoNormal><span lang=EN-US style='font-size:10.0pt;font-family:"Arial","sans-serif";color:black'><o:p> </o:p></span></p><p class=MsoNormal><span lang=EN-US style='font-size:10.0pt;font-family:"Arial","sans-serif";color:black'>The last question could be directed to ICANN’s insurance carrier, or other carriers who may offer such coverage, rather than legal counsel. We can do the research if directed, but I don’t think our legal expertise is needed to be able to do that work.<o:p></o:p></span></p><p class=MsoNormal><span lang=EN-US style='font-size:10.0pt;font-family:"Arial","sans-serif";color:black'><o:p> </o:p></span></p><p class=MsoNormal><span lang=EN-US style='font-size:10.0pt;font-family:"Arial","sans-serif";color:black'>Rosemary <o:p></o:p></span></p><p class=MsoNormal><span lang=EN-US style='font-size:10.0pt;font-family:"Arial","sans-serif";color:black'><o:p> </o:p></span></p><div><div><table class=MsoNormalTable border=0 cellspacing=3 cellpadding=0 width=432 style='width:323.7pt'><tr><td width=261 style='width:195.45pt;padding:.75pt .75pt .75pt .75pt'><p class=MsoNormal><span style='font-size:10.0pt;font-family:"Book Antiqua","serif";color:black'>Rosemary E. Fei</span><span style='font-size:12.0pt;font-family:"Times New Roman","serif";color:black'><br></span><span style='font-size:10.0pt;font-family:"Book Antiqua","serif";color:black'>Adler & Colvin</span><span style='font-size:12.0pt;font-family:"Times New Roman","serif";color:black'><br></span><span style='font-size:10.0pt;font-family:"Book Antiqua","serif";color:black'>235 Montgomery Street, Suite 1220</span><span style='font-size:12.0pt;font-family:"Times New Roman","serif";color:black'><br></span><span style='font-size:10.0pt;font-family:"Book Antiqua","serif";color:black'>San Francisco, CA 94104</span><span style='font-size:12.0pt;font-family:"Times New Roman","serif";color:black'><br></span><span style='font-size:10.0pt;font-family:"Book Antiqua","serif";color:black'>415/421-7555 (phone)</span><span style='font-size:12.0pt;font-family:"Times New Roman","serif";color:black'><br></span><span style='font-size:10.0pt;font-family:"Book Antiqua","serif";color:black'>415/421-0712 (fax)</span><span style='font-size:12.0pt;font-family:"Times New Roman","serif";color:black'><br></span><span style='font-size:10.0pt;font-family:"Book Antiqua","serif";color:black'><a href="mailto:rfei@adlercolvin.com">rfei@adlercolvin.com</a></span><span style='font-family:"Book Antiqua","serif";color:black'> <br></span><span style='font-size:10.0pt;font-family:"Book Antiqua","serif";color:black'><a href="http://www.adlercolvin.com">www.adlercolvin.com</a></span><span style='font-family:"Book Antiqua","serif";color:black'> </span><span style='font-size:12.0pt;font-family:"Times New Roman","serif";color:black'><o:p></o:p></span></p></td><td width=165 valign=bottom style='width:123.75pt;padding:.75pt .75pt .75pt .75pt'><p class=MsoNormal><span style='font-size:12.0pt;color:black'><o:p> </o:p></span></p></td></tr></table></div><p class=MsoNormal><span lang=EN-US style='font-size:10.0pt;font-family:"Book Antiqua","serif";color:black'><o:p> </o:p></span></p><p class=MsoNormal><span lang=EN-US style='font-size:10.0pt;font-family:"Book Antiqua","serif";color:black'>Adler & Colvin is a San Francisco Green Business certified by the City and County of San Francisco. Please consider the environment before you print this email.<o:p></o:p></span></p></div><p class=MsoNormal><span lang=EN-US style='font-size:10.0pt;font-family:"Arial","sans-serif";color:black'><o:p> </o:p></span></p><div><div style='border:none;border-top:solid #B5C4DF 1.0pt;padding:3.0pt 0cm 0cm 0cm'><p class=MsoNormal><b><span lang=EN-US style='font-size:10.0pt;font-family:"Tahoma","sans-serif"'>From:</span></b><span lang=EN-US style='font-size:10.0pt;font-family:"Tahoma","sans-serif"'> Aikman-Scalese, Anne [mailto:AAikman@lrrlaw.com] <br><b>Sent:</b> Monday, December 14, 2015 12:29 PM<br><b>To:</b> Holly Gregory; 'Steve DelBianco'<br><b>Cc:</b> gregshatanipc@gmail.com; 'Phil Corwin'; cwilson@21cf.com; Rosemary E. Fei; Thomas Rickert; ipc_accountabilityct@icann.org; 'Gomes, Chuck' (cgomes@verisign.com); Rosemary E. Fei; Sidley ICANN CCWG; ICANN-Adler; accountability-cross-community@icann.org<br><b>Subject:</b> RE: CCWG - ACCT - Recommendation 4 - Community Powers<o:p></o:p></span></p></div></div><p class=MsoNormal><span lang=EN-US><o:p> </o:p></span></p><p class=MsoNormal><span lang=EN-US style='color:#1F497D'>If the Chairs want to certify the legal questions, I think these would be:<o:p></o:p></span></p><p class=MsoNormal><span lang=EN-US style='color:#1F497D'><o:p> </o:p></span></p><p class=MsoListParagraph style='text-indent:-18.0pt;mso-list:l0 level1 lfo2'><![if !supportLists]><span lang=EN-US style='color:#1F497D'><span style='mso-list:Ignore'>1.<span style='font:7.0pt "Times New Roman"'> </span></span></span><![endif]><span lang=EN-US style='color:#1F497D'>Is it possible for a Director to bring suit for libel, slander, or other causes of action during the community enforcement removal process or thereafter based on the “written justification” laid out by the SO/AC and/or oral statements made during the required conference calls in the Community enforcement process?<o:p></o:p></span></p><p class=MsoListParagraph><span lang=EN-US style='color:#1F497D'><o:p> </o:p></span></p><p class=MsoListParagraph style='text-indent:-18.0pt;mso-list:l0 level1 lfo2'><![if !supportLists]><span lang=EN-US style='color:#1F497D'><span style='mso-list:Ignore'>2.<span style='font:7.0pt "Times New Roman"'> </span></span></span><![endif]><span lang=EN-US style='color:#1F497D'>Could a Director seek injunctive and/or declaratory relief to interrupt the community enforcement process toward removal? If so, would SOs/ACs and officers who are sued be required to mount their own defense? How expensive would this be?<o:p></o:p></span></p><p class=MsoListParagraph><span lang=EN-US style='color:#1F497D'><o:p> </o:p></span></p><p class=MsoListParagraph style='text-indent:-18.0pt;mso-list:l0 level1 lfo2'><![if !supportLists]><span lang=EN-US style='color:#1F497D'><span style='mso-list:Ignore'>3.<span style='font:7.0pt "Times New Roman"'> </span></span></span><![endif]><span lang=EN-US style='color:#1F497D'>Is there insurance coverage available for SOs/ACs and their officers in relation to possible suit by a director in jeopardy of being removed or who has been removed from the Board? If so, how expensive is it?<o:p></o:p></span></p><p class=MsoNormal><span lang=EN-US style='color:#1F497D'><o:p> </o:p></span></p><p class=MsoNormal><span lang=EN-US style='color:#1F497D'>These are not questions about how likely the action is to occur. That does not really figure into the “chilling effect” that is of concern when the officer of an SO or AC is drafting the “written justification” and/or encouraging open discussion in the required (and recorded for posterity) conference call.<o:p></o:p></span></p><p class=MsoNormal><span lang=EN-US style='color:#1F497D'>Anne<o:p></o:p></span></p><p class=MsoNormal><span lang=EN-US style='color:#1F497D'><o:p> </o:p></span></p><div><table class=MsoNormalTable border=0 cellspacing=0 cellpadding=0 style='border-collapse:collapse'><tr><td width=67 rowspan=7 valign=top style='width:50.4pt;padding:0cm 5.4pt 0cm 5.4pt'><p class=MsoNormal><b><span style='font-size:9.0pt;color:#1F497D'><img border=0 width=150 height=62 id="Picture_x0020_1" src="cid:image001.gif@01D1375E.AB735190"></span></b><span style='color:#1F497D'><o:p></o:p></span></p></td><td width=355 valign=top style='width:266.4pt;padding:0cm 5.4pt 0cm 5.4pt'><p class=MsoNormal><b><span style='font-size:9.0pt;color:black'>Anne E. Aikman-Scalese, Of Counsel</span></b><span style='color:#1F497D'><o:p></o:p></span></p></td></tr><tr><td width=355 valign=top style='width:266.4pt;padding:0cm 5.4pt 0cm 5.4pt'><p class=MsoNormal><b><span style='font-size:9.0pt;color:black'>Lewis Roca Rothgerber LLP</span></b><span style='color:#1F497D'><o:p></o:p></span></p></td></tr><tr><td width=355 valign=top style='width:266.4pt;padding:0cm 5.4pt 0cm 5.4pt'><p class=MsoNormal><b><span style='font-size:9.0pt;color:black'>One South Church Avenue Suite 700 | Tucson, Arizona 85701-1611</span></b><span style='color:#1F497D'><o:p></o:p></span></p></td></tr><tr><td width=355 valign=top style='width:266.4pt;padding:0cm 5.4pt 0cm 5.4pt'><p class=MsoNormal><b><span style='font-size:9.0pt;color:black'>(T) 520.629.4428 | (F) 520.879.4725</span></b><span style='color:#1F497D'><o:p></o:p></span></p></td></tr><tr><td width=355 valign=top style='width:266.4pt;padding:0cm 5.4pt 0cm 5.4pt'><p class=MsoNormal><b><span style='font-size:9.0pt;color:#1F497D'><a href="mailto:AAikman@lrrlaw.com" target="_new" title="Email User">AAikman@lrrlaw.com</a></span></b><b><span style='font-size:9.0pt;color:black'> | <a href="http://www.lrrlaw.com/" target="_new" title="Lewis and Roca Webpage">www.LRRLaw.com</a></span></b><span style='color:#1F497D'><o:p></o:p></span></p></td></tr><tr><td width=355 valign=top style='width:266.4pt;padding:0cm 5.4pt 0cm 5.4pt'></td></tr><tr><td width=355 valign=top style='width:266.4pt;padding:0cm 5.4pt 0cm 5.4pt'></td></tr></table><p class=MsoNormal><span lang=EN-US style='font-size:12.0pt;font-family:"Times New Roman","serif";color:#1F497D;display:none'><o:p> </o:p></span></p><table class=MsoNormalTable border=0 cellspacing=0 cellpadding=0 style='border-collapse:collapse'><tr><td width=19 valign=top style='width:14.4pt;padding:0cm 5.4pt 0cm 5.4pt'></td><td width=25 valign=bottom style='width:18.8pt;padding:0cm 5.4pt 0cm 5.4pt'><p class=MsoNormal><b><span style='color:black'> </span></b><span style='color:#1F497D'><o:p></o:p></span></p></td></tr></table></div><p class=MsoNormal><span lang=EN-US style='color:#1F497D'><o:p> </o:p></span></p><div><div style='border:none;border-top:solid #B5C4DF 1.0pt;padding:3.0pt 0cm 0cm 0cm'><p class=MsoNormal><b><span lang=EN-US style='font-size:10.0pt;font-family:"Tahoma","sans-serif"'>From:</span></b><span lang=EN-US style='font-size:10.0pt;font-family:"Tahoma","sans-serif"'> Gregory, Holly [<a href="mailto:holly.gregory@sidley.com">mailto:holly.gregory@sidley.com</a>] <br><b>Sent:</b> Monday, December 14, 2015 1:14 PM<br><b>To:</b> Aikman-Scalese, Anne; 'Steve DelBianco'<br><b>Cc:</b> <a href="mailto:gregshatanipc@gmail.com">gregshatanipc@gmail.com</a>; 'Phil Corwin'; <a href="mailto:cwilson@21cf.com">cwilson@21cf.com</a>; Rosemary Fei (<a href="mailto:rfei@adlercolvin.com">rfei@adlercolvin.com</a>); Thomas Rickert; <a href="mailto:ipc_accountabilityct@icann.org">ipc_accountabilityct@icann.org</a>; 'Gomes, Chuck' (<a href="mailto:cgomes@verisign.com">cgomes@verisign.com</a>); Rosemary Fei (<a href="mailto:rfei@adlercolvin.com">rfei@adlercolvin.com</a>); Sidley ICANN CCWG; <a href="mailto:ICANN@adlercolvin.com">ICANN@adlercolvin.com</a><br><b>Subject:</b> RE: CCWG - ACCT - Recommendation 4 - Community Powers<o:p></o:p></span></p></div></div><p class=MsoNormal><span lang=EN-US><o:p> </o:p></span></p><p class=MsoNormal><span lang=EN-US style='color:#1F497D'>We must await further direction from the co-chairs whether this is something that they would like research on under California law<o:p></o:p></span></p><p class=MsoNormal><span lang=EN-US style='color:#1F497D'><o:p> </o:p></span></p><div><p class=MsoNormal style='mso-margin-top-alt:auto;mso-margin-bottom-alt:auto'><b><span lang=EN-US style='font-size:10.0pt;font-family:"Arial","sans-serif";color:#1F497D'>HOLLY</span></b><span lang=EN-US style='font-size:9.0pt;font-family:"Arial","sans-serif";color:#1F497D'> </span><b><span lang=EN-US style='font-size:10.0pt;font-family:"Arial","sans-serif";color:#1F497D'>GREGORY</span></b><span lang=EN-US style='font-size:9.0pt;font-family:"Arial","sans-serif";color:#1F497D'><br>Partner<br><br></span><b><span lang=EN-US style='font-size:10.0pt;font-family:"Arial","sans-serif";color:#1F497D'>Sidley Austin LLP</span></b><b><span lang=EN-US style='font-size:9.0pt;font-family:"Arial","sans-serif";color:#1F497D'><br></span></b><span lang=EN-US style='font-size:9.0pt;font-family:"Arial","sans-serif";color:#1F497D'>+1 212 839 5853<br><a href="mailto:holly.gregory@sidley.com" title="Click to send email to Gregory, Holly">holly.gregory@sidley.com</a><o:p></o:p></span></p></div><p class=MsoNormal><span lang=EN-US style='font-size:10.0pt;font-family:"Arial","sans-serif";color:#1F497D'> </span><span lang=EN-US style='color:#1F497D'><o:p></o:p></span></p><div><div style='border:none;border-top:solid #B5C4DF 1.0pt;padding:3.0pt 0cm 0cm 0cm'><p class=MsoNormal style='margin-left:36.0pt'><b><span lang=EN-US style='font-size:10.0pt;font-family:"Tahoma","sans-serif"'>From:</span></b><span lang=EN-US style='font-size:10.0pt;font-family:"Tahoma","sans-serif"'> Aikman-Scalese, Anne [<a href="mailto:AAikman@lrrlaw.com">mailto:AAikman@lrrlaw.com</a>] <br><b>Sent:</b> Monday, December 14, 2015 3:03 PM<br><b>To:</b> Gregory, Holly; 'Steve DelBianco'<br><b>Cc:</b> <a href="mailto:gregshatanipc@gmail.com">gregshatanipc@gmail.com</a>; 'Phil Corwin'; <a href="mailto:cwilson@21cf.com">cwilson@21cf.com</a>; Rosemary Fei (<a href="mailto:rfei@adlercolvin.com">rfei@adlercolvin.com</a>); Thomas Rickert; <a href="mailto:ipc_accountabilityct@icann.org">ipc_accountabilityct@icann.org</a>; 'Gomes, Chuck' (<a href="mailto:cgomes@verisign.com">cgomes@verisign.com</a>)<br><b>Subject:</b> RE: CCWG - ACCT - Recommendation 4 - Community Powers<o:p></o:p></span></p></div></div><p class=MsoNormal style='margin-left:36.0pt'><span lang=EN-US><o:p> </o:p></span></p><p class=MsoNormal style='margin-left:36.0pt'><span lang=EN-US style='color:#1F497D'>Holly – I would tend to agree if in fact the SO or AC could remove a director without cause and did not have to state its reasons, but the community process requires this and it is discussed fully throughout four steps of the Community process to director removal. The SO or AC must state “written justification”, to which the Board has now added its “Clear Rationale” comment. <o:p></o:p></span></p><p class=MsoNormal style='margin-left:36.0pt'><span lang=EN-US style='color:#1F497D'><o:p> </o:p></span></p><p class=MsoNormal style='margin-left:36.0pt'><span lang=EN-US style='color:#1F497D'>One need only look at the differences of opinion that arose with respect to .africa to understand that a stated reason for removal which has a “written justification” or Clear Rationale from the SO/AC standpoint could easily form the basis of a suit by a director. It does not require much by way of theory for a plaintiff’s lawyer to allege claims of libel and even irreparable harm. <u>The SO/AC would likely need legal advice just to draft the “written justification.”</u> <o:p></o:p></span></p><p class=MsoNormal style='margin-left:36.0pt'><span lang=EN-US style='color:#1F497D'><o:p> </o:p></span></p><p class=MsoNormal style='margin-left:36.0pt'><span lang=EN-US style='color:#1F497D'>Again, I do not think indemnification represents a reasonable risk to ICANN as a corporation. The risk should be limited by contract when directors take office. Directors should not be suing the SO/AC and/or its officers for removal. Otherwise, the ultimate enforcement mechanism in the Sole Designator Model is not effective.<o:p></o:p></span></p><p class=MsoNormal style='margin-left:36.0pt'><span lang=EN-US style='color:#1F497D'><o:p> </o:p></span></p><p class=MsoNormal style='margin-left:36.0pt'><span lang=EN-US style='color:#1F497D'>You may not have seen this fact situation occur. That does not mean it would not occur at ICANN. We have some fairly feisty folks in our midst. The risk of suit is of course much higher than the risk of success on the merits. I would say it is hard to measure in dollars the potential damage to an individual associated with being removed from the ICANN Board with “written justification”. It could be a pretty good strategy for a director who wants to interrupt the Community Enforcement process. He or she may also have the full support of other Directors willing to testify.<o:p></o:p></span></p><p class=MsoNormal style='margin-left:36.0pt'><span lang=EN-US style='color:#1F497D'>Anne <o:p></o:p></span></p><p class=MsoNormal style='margin-left:36.0pt'><span lang=EN-US style='color:#1F497D'><o:p> </o:p></span></p><div><table class=MsoNormalTable border=0 cellspacing=0 cellpadding=0 style='margin-left:36.0pt;border-collapse:collapse'><tr><td width=164 rowspan=7 valign=top style='width:123.3pt;padding:0cm 5.4pt 0cm 5.4pt'><p class=MsoNormal><b><span style='font-size:9.0pt;color:#1F497D'><img border=0 width=150 height=62 id="_x0000_i1026" src="cid:image001.gif@01D1375E.AB735190"></span></b><span style='color:#1F497D'><o:p></o:p></span></p></td><td width=355 valign=top style='width:266.4pt;padding:0cm 5.4pt 0cm 5.4pt'><p class=MsoNormal><b><span style='font-size:9.0pt;color:black'>Anne E. Aikman-Scalese, Of Counsel</span></b><span style='color:#1F497D'><o:p></o:p></span></p></td></tr><tr><td width=355 valign=top style='width:266.4pt;padding:0cm 5.4pt 0cm 5.4pt'><p class=MsoNormal><b><span style='font-size:9.0pt;color:black'>Lewis Roca Rothgerber LLP</span></b><span style='color:#1F497D'><o:p></o:p></span></p></td></tr><tr><td width=355 valign=top style='width:266.4pt;padding:0cm 5.4pt 0cm 5.4pt'><p class=MsoNormal><b><span style='font-size:9.0pt;color:black'>One South Church Avenue Suite 700 | Tucson, Arizona 85701-1611</span></b><span style='color:#1F497D'><o:p></o:p></span></p></td></tr><tr><td width=355 valign=top style='width:266.4pt;padding:0cm 5.4pt 0cm 5.4pt'><p class=MsoNormal><b><span style='font-size:9.0pt;color:black'>(T) 520.629.4428 | (F) 520.879.4725</span></b><span style='color:#1F497D'><o:p></o:p></span></p></td></tr><tr><td width=355 valign=top style='width:266.4pt;padding:0cm 5.4pt 0cm 5.4pt'><p class=MsoNormal><b><span style='font-size:9.0pt;color:#1F497D'><a href="mailto:AAikman@lrrlaw.com" target="_new" title="Email User">AAikman@lrrlaw.com</a></span></b><b><span style='font-size:9.0pt;color:black'> | <a href="https://urldefense.proofpoint.com/v2/url?u=http-3A__www.lrrlaw.com_&d=CwMGaQ&c=Od00qP2XTg0tXf_H69-T2w&r=1-1w8mU_eFprE2Nn9QnYf01XIV88MOwkXwHYEbF2Y_8&m=-r-X1vqLqfFo7wDtSJ7AQkHOsUyJczd-GcHxg4tVr_4&s=vqBDgdI1aOR4vc8v3l4jKLsfuSCdEocU8QaPE3RstAA&e=" target="_new" title="Lewis and Roca Webpage">www.LRRLaw.com</a></span></b><span style='color:#1F497D'><o:p></o:p></span></p></td></tr><tr><td width=355 valign=top style='width:266.4pt;padding:0cm 5.4pt 0cm 5.4pt'></td></tr><tr><td width=355 valign=top style='width:266.4pt;padding:0cm 5.4pt 0cm 5.4pt'></td></tr></table><p class=MsoNormal style='margin-left:36.0pt'><span lang=EN-US style='font-size:12.0pt;font-family:"Times New Roman","serif";color:#1F497D;display:none'><o:p> </o:p></span></p><table class=MsoNormalTable border=0 cellspacing=0 cellpadding=0 style='margin-left:36.0pt;border-collapse:collapse'><tr><td width=19 valign=top style='width:14.4pt;padding:0cm 5.4pt 0cm 5.4pt'></td><td width=25 valign=bottom style='width:18.8pt;padding:0cm 5.4pt 0cm 5.4pt'><p class=MsoNormal><b><span style='color:black'> </span></b><span style='color:#1F497D'><o:p></o:p></span></p></td></tr></table></div><p class=MsoNormal style='margin-left:36.0pt'><span lang=EN-US style='color:#1F497D'><o:p> </o:p></span></p><div><div style='border:none;border-top:solid #B5C4DF 1.0pt;padding:3.0pt 0cm 0cm 0cm'><p class=MsoNormal style='margin-left:36.0pt'><b><span lang=EN-US style='font-size:10.0pt;font-family:"Tahoma","sans-serif"'>From:</span></b><span lang=EN-US style='font-size:10.0pt;font-family:"Tahoma","sans-serif"'> Gregory, Holly [<a href="mailto:holly.gregory@sidley.com">mailto:holly.gregory@sidley.com</a>] <br><b>Sent:</b> Monday, December 14, 2015 12:43 PM<br><b>To:</b> Aikman-Scalese, Anne; 'Steve DelBianco'<br><b>Cc:</b> <a href="mailto:gregshatanipc@gmail.com">gregshatanipc@gmail.com</a>; 'Phil Corwin'; <a href="mailto:cwilson@21cf.com">cwilson@21cf.com</a>; Rosemary Fei (<a href="mailto:rfei@adlercolvin.com">rfei@adlercolvin.com</a>); Thomas Rickert<br><b>Subject:</b> RE: CCWG - ACCT - Recommendation 4 - Community Powers<o:p></o:p></span></p></div></div><p class=MsoNormal style='margin-left:36.0pt'><span lang=EN-US><o:p> </o:p></span></p><p class=MsoNormal style='margin-left:36.0pt'><span lang=EN-US style='color:#1F497D'>Anne, My sense is that the concerns you raise present an extremely low risk of suit – and hence low risk of indemnification and cost of indemnification. In my many years of corporate governance practice I cannot recall a lawsuit for libel or defamation by a director in an instance of removal. But we can research under California law if the co-chairs certify. Also, I am not aware of any theory of libel or defamation that would give rise to injunctive relief delaying such removal where the designator has the right to remove with or without cause as here. Again, we have not researched this specific point under California law but will do so if certified. Holly <o:p></o:p></span></p><p class=MsoNormal style='margin-left:36.0pt'><span lang=EN-US style='color:#1F497D'><o:p> </o:p></span></p><div><p class=MsoNormal style='mso-margin-top-alt:auto;mso-margin-bottom-alt:auto;margin-left:36.0pt'><b><span lang=EN-US style='font-size:10.0pt;font-family:"Arial","sans-serif";color:#1F497D'>HOLLY</span></b><span lang=EN-US style='font-size:9.0pt;font-family:"Arial","sans-serif";color:#1F497D'> </span><b><span lang=EN-US style='font-size:10.0pt;font-family:"Arial","sans-serif";color:#1F497D'>GREGORY</span></b><span lang=EN-US style='font-size:9.0pt;font-family:"Arial","sans-serif";color:#1F497D'><br>Partner<br><br></span><b><span lang=EN-US style='font-size:10.0pt;font-family:"Arial","sans-serif";color:#1F497D'>Sidley Austin LLP</span></b><b><span lang=EN-US style='font-size:9.0pt;font-family:"Arial","sans-serif";color:#1F497D'><br></span></b><span lang=EN-US style='font-size:9.0pt;font-family:"Arial","sans-serif";color:#1F497D'>+1 212 839 5853<br><a href="mailto:holly.gregory@sidley.com" title="Click to send email to Gregory, Holly">holly.gregory@sidley.com</a><o:p></o:p></span></p></div><p class=MsoNormal style='margin-left:36.0pt'><span lang=EN-US style='font-size:10.0pt;font-family:"Arial","sans-serif";color:#1F497D'> </span><span lang=EN-US style='color:#1F497D'><o:p></o:p></span></p><p class=MsoNormal style='margin-left:36.0pt'><span lang=EN-US style='font-size:7.5pt;font-family:"Arial","sans-serif";color:gray'>f the intended recipients, and is covered by the Electronic Communications Privacy Act, 18 U.S.C. §2510-2521. </span><span lang=EN-US style='font-size:12.0pt;font-family:"Times New Roman","serif"'><o:p></o:p></span></p><p class=MsoNormal><span lang=EN-US style='font-size:12.0pt;font-family:"Times New Roman","serif"'><o:p> </o:p></span></p><div class=MsoNormal align=center style='text-align:center'><span lang=EN-US style='font-size:12.0pt;font-family:"Times New Roman","serif"'><hr size=3 width="100%" align=center></span></div><p class=MsoNormal><span lang=EN-US style='font-size:7.5pt;font-family:"Arial","sans-serif";color:gray'><br>This message and any attachments are intended only for the use of the individual or entity to which they are addressed. 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