Monday, March 13, 2017

Illegal Private Property Impound (PPI) Towing in Portland, Oregon

March 7, 2017

Hon. Mayor Ted Wheeler
Hon. Auditor Mary Hull Caballero
Hon. Commissioner  Chloe Eudaly
Hon. Commissioner  Nick Fish
Hon. Commissioner  Amanda Fritz
Hon. Commissioner  Dan Saltzman

RE: Illegal Private Property Impound (PPI) towing in Portland

Dear Mayor Wheeler, Auditor Hull Caballero, and Commissioners:

I am writing to call your attention to where the City’s Private Property Impound (PPI) system operates in violation of state law and specifically to the detriment of low-income apartment residents and immigrant populations.

Given the state of the City’s ongoing housing crisis, tenant protection concerns and rising costs, I believe that a new urgency exists regarding this issue, which I have previously brought before Council from time to time over a number of years.

I am also concerned about the erosions of citizen protections against towing abuses and unfair trade practices that have taken place since and despite the towing reforms enacted in the 2007 legislative session through changes in how the City’s PPI program has been managed: generally, backing off from enforcing state law; creating a citizen-unfriendly problem-resolution process; and, providing no opportunity for citizen input into the system itself.

The prices that the City has authorized the towers to charge vehicle owners reflect both the lack of competition among the PPI towers and the erosion of pricing protections and other abuse protections that the City once afforded the general public, but which have since gone away, and without an open, public process.

Immigrant communities are also disadvantaged in the lack of clarity in what “Citizen Rights” might or might not apply to them, as they are not U.S. citizens and may not be fluent in English.

There is nothing in City PPI towing ordinances that addresses vehicles operated by persons with disabilities. They have, for example, the same amount of time to redeem their vehicle or to arrange transportation as does a person without disabilities.

The City’s PPI system was built over time around an arrangement that certain Portland towing companies reached with each other and with certain commercial property owners and management companies whereby the towers provide their “goods and services” at no cost to these certain customers in exchange for the privilege of towing vehicles from the subject property, despite the fact that the practice is forbidden in statute.


ORS 98.854 (Prohibitions placed on tower)

(1) A tower may not:

(h) Provide consideration to obtain the privilege of towing motor vehicles from a parking facility. For the purposes of this paragraph, the provision of:

 (B) Goods or services by a tower below fair market value constitutes consideration.



The former Towing Coordinator defended this arrangement, arguing that since the towers all provide the service for free, the fair market value of the towers’ goods and services is “zero.”

The towers recover their costs and manufacture their profits by imposing a pricing scheme onto the public, who stand at further risk of losing their vehicles to the towers if they are unable to pay the fees demanded at the time the tow is made. Towers pay their employees on a commission system and use other tactics to ensure that their drivers are towing vehicles aggressively enough.

Among the ways in which this practice operates to the detriment of the public is that the system contains no incentives for towers to compete with one another by offering to do the job more efficiently or for less money, since they have all agreed to provide towing services to this certain class of customers for free.

Among the actions taken by the 2007 legislature was to add ORS 98.854 Prohibitions Placed on Tower to ORS Section 646.608 Unlawful Trade Practices:


ORS 646.608 Unlawful Trade Practices

(1) A person engages in an unlawful practice if in the course of the person’s business, vocation or occupation the person does any of the following:

(ddd) Violates ORS 98.854 Prohibitions placed on tower


The City’s current approved PPI rates for Class A and B vehicles might define the Fair Market Value (FMV) of the towing goods and services that these towers are providing for free if it was clear who the willing “buyer” might be, since it is clearly not the general public and certain property owners and managers are getting their towing goods and services for free.

The City’s PPI system also appears to be in violation of Oregon’s Anti-Price Discrimination Law:


ORS 646.010 to 646.180
Anti-price Discrimination Law (Illegal Contracts)

ORS 646.010¹ Designation and scope of ORS 646.010 to 646.180

ORS 646.010 … to 646.180 … shall be known and designated as the Anti-price Discrimination Law; and the inhibitions against discrimination in those sections shall embrace any scheme of special concessions or rebates, any collateral contracts or agreements or any device of any nature whereby discrimination is, in substance or fact, effected in violation of the spirit and intent of ORS 646.010 (Designation and scope of ORS 646.010 to 646.180) to 646.180 (Illegal contracts).

ORS 646.040 Price Discrimination

(1) It is unlawful for any person engaged in commerce …(who) in the course of such commerce, either directly or indirectly, to discriminate in price between different purchasers of commodities, or services or output of a service trade, of like grade and quality or to discriminate in price between different sections, communities or cities or portions thereof or between different locations in sections, communities, cities or portions thereof in this state, where the effect of such discrimination may be substantially to lessen competition or tend to create a monopoly in any line of commerce, or to injure, destroy or prevent competition with any person who either grants or knowingly receives the benefit of such discrimination, or with customers of either of them.





Erosion of the Public’s Rights and Resources

Prior to 2007, the City would not permit PPI towers to charge fees for mileage, dollies and photographs, etc. but does so now. These prices also include a hidden $ 20.00 signage fee, the result of an arbitrary formula created by the former Towing Coordinator, intended to compensate the tower for the costs of any signage the tower might have placed on the subject property, with no upper limit as to when the signs – if they exist at all – are fully paid for.

During this period, in order to increase profits, PPI towers and their client property owners and managers have added at least one towable “offense” that at minimum is a violation of landlord – tenant law. Some apartment complexes have adopted a “No Back-In Parking” rule that subjects tenants and guests to immediate towing without further notice simply for failing to park their otherwise-in-compliance vehicles nose-in.





Tenants routinely sign rental agreements where they specifically agree to have their vehicle towed without further notice, and without being fully informed of their rights.

Apart from creating towing opportunities for drivers working on commission, the No Back-In Parking rule appears to exist only so that drivers can troll a parking facility more easily, with no other benefit accruing to either the tenant or property owner/manager.


ORS 90.245 Prohibited provisions in rental agreements

1. A rental agreement may not provide that the tenant:
(a) Agrees to waive or forgo rights or remedies under this chapter; ….

2. A provision prohibited by subsection (1) of this section included in a rental agreement is unenforceable. If a landlord deliberately uses a rental agreement containing provisions known by the landlord to be prohibited and attempts to enforce such provisions, the tenant may recover in addition to the actual damages of the tenant an amount up to three months’ periodic rent.



ORS 90.262 Use and occupancy rules and regulations

1. A landlord, from time to time, may adopt a rule or regulation, however described, concerning the tenant’s use and occupancy of the premises. It is enforceable against the tenant only if:
(a) Its purpose is to promote the convenience, safety or welfare of the tenants in the premises, preserve the landlord’s property from abusive use, or make a fair distribution of services and facilities held out for the tenants generally;
(b) It is reasonably related to the purpose for which it is adopted;



Applicable State Laws

The City’s PPI resource pages omit several key applicable state laws, specifically:

ORS 98.854 Restrictions on Towers*
ORS 646.608 (1 [ddd]): Unlawful Trade Practices
ORS 646.010 to 646.180 Anti-Price Discrimination Law
ORS 90.245 Prohibited provisions in rental agreements
ORS 90.262 Use and occupancy rules and regulations

*While ORS 98.854 Restrictions on Towers is technically referenced on the City PPI page (ORS 98.850 to 98.864), the link takes members of the public to a page listing 91 statutes by title, of which ORS 98.854 Restrictions on Towers is buried 81 titles deep. Most of these titles are unrelated to towing.

Towing from Private Property
Private Property Impounds (PPI) are tows from private property requested by a property owner or business owner in the city of Portland.

Role of the Towing and PPI Program: Improper tows, fees charged, signs, tower conduct (i.e., rudeness)

Complaints & Appeals
Find a car: Police Records (503) 823-0044
Oregon Department of Justice: Consumer Protection, Towing
Consumer Hotline: 1-877-877-9392 ~ OR Consumer Complaint Form
Applicable State Laws:
Towing: ORS  ORS 98.850 to 98.864
Landlords, tenants and vehicle removal: ORS 90.485


The City has for years published a monthly listing of all PPI tows taking place; however, that practice ended in November 2016. No reason for this change is posted on the site.


663 vehicles were towed under the PPI system during November, the majority from low-income apartment complexes. Each tow drains some $ 200+ dollars at minimum from the tenant’s cash resources and imposes significant hours of time and much stress on the end recipient of the program’s “free” goods and services.

In conclusion, I want to note that the Legislative Assembly stated its intent regarding involuntary towing in the 2007 session in ORS 98.850. I hope that the City considers these facts and those stated herein and acts immediately to suspend its Private Property Impound towing program and to focus some resources on assisting those members of the public whose vehicles were towed in violation of Oregon state law.


ORS 98.850 Legislative findings and declaration
(2)The Legislative Assembly declares that:
(a)Statutes that assist members of the public in avoiding involuntary loss of use of motor vehicles and in expediting recovery of motor vehicles and the personal property in the motor vehicles promote the safety and welfare of members of the public.


Sincerely,

s/Sean Aaron Cruz

Executive Director


Saturday, February 04, 2017

The Trumpian Catastrophe Unfolding: NO Inauguration NO Coronation NO Junta NO Trump


By Sean Aaron Cruz
published January, 2017


The Constitution does not have a solution for the Trumpian Catastrophe, and the overwhelming majority of Americans will never accept this loathsome caricature of a man as President.

We will never accept Trump's assumption of king-like powers, or hold him immune from releasing his tax returns and every other last vestige of traditional Presidential accountability. We cannot allow him to assume the powers and protections of Presidential Privilege that go with the most important job on the planet.

We are in the greatest Constitutional crisis since the Civil War, with a Presidential election tainted by Russian intrusions and pro-Russian factions within the GOP, with the Nation divided Trump/Russia Red and Never Trump Blue, and with a GOP-weakened, short-handed Supreme Court, so far standing silently on the sidelines.

Trump has spent his entire campaign in the safe cocoon of rallies and tweets and his gold-plated real estate empire, but that will all change on January 20.

The parade route and Capitol Mall will be the first opportunity for the general citizenry to express their opposition to Trump and his team, and we will do so.

NO Inauguration NO Coronation NO Junta NO Trump! Never Trump!


The Trumpian Catastrophe Unfolding: The Assumption of King-like Powers

By Sean Aaron Cruz
January 11, 2017

With the whole world watching, Donald Trump openly declared his assumption of king-like powers on January 11 at his first press conference as the President-Elect, declaring himself above scrutiny by the public, by the legitimate press as well as the IRS, immune to conflict-of-interest issues and laying the foundation of what he believes will be a Trumpian dynasty.

The King can do no wrong – by definition - because he is the King, so says the King….

Broadcast live from deep within the gilded bowels of Trump Tower, King Trump used the podium Mussolini-like, to bully and threaten a too-critical press against the backdrop of a line of flags, while simultaneously doubling down on his affection for Vladimir Putin and disrespect for the Nation’s intelligence and security professionals as well as every category of federal employee wholesale, undermining American confidence in these institutions in the same breath.

America’s adversaries in Russia, China, North Korea and the Middle East are all starting to believe in Christmas, as the man Trump -- this gross caricature of a man Trump -- betrays his incompetence, his broad ignorance and the limits of his ability to understand complex issues every time he opens his mouth in public. 

This American king is openly stupid, they assess. He will behave like the vain, ignorant thug that he is, becoming ever more thuggish as he discovers the practical limits of keeping his ever-shifting panoply of campaign promises and soon-to-be edicts.

For many long minutes, King Trump turned his press conference over to one of his business lawyers and the piles of files he used as stage props to “reassure” Americans that there was nothing to be concerned about here, nothing new to learn and the matter is settled. It's all about deals, she said, deals and deals, very big deals, over and over....

Thus is so, declared the King.

With the looming Trumpian Inauga-Coronation, America turns inward upon itself, splintering into Trump-Russia Red and No-Way-Trump Blue, as it last splintered Rebel Grey and Union Blue, and before that Patriot Blue and Redcoat Red.

We are the generations plunged into the Trumpian Catastrophe, facing the third great threat to the existence of the Union itself. With Trump’s elevation to the Presidency, the Nation is about to undergo a Convulsion, and it will be awful.




The Trumpian Catastrophe Unfolding: Standing on the Threshold of Open Rebellion


By Sean Aaron Cruz

Published November, 2016

I think that we need to recognize that we are now facing an unprecedented Constitutional crisis with the Nation plunged into a State of Emergency, divided as deeply as during the Revolutionary and Civil War eras and facing unprecedented threats from both without and -- with the elevation of the loathsome beast Donald Trump -- from within.

The Nation is also at risk with a GOP-weakened and short-handed Supreme Court. It is Christmastime at the KGB for the next four years....

With every passing day, Trump demonstrates his unworthiness, unfitness and untrustworthiness again and again. His picks are guaranteed to divide the Nation more deeply and his team's relationship(s) with Russia and disdain for our institutions and the free press are the Clear and Present Danger that cannot be "given a chance" in any respect.

We are standing on the threshold of open rebellion....



Friday, February 03, 2017

Oregon's landmark child abduction law explained

State Representative Linda Flores (R) Clackamas explained how Oregon's landmark child abduction law ORS 30.868 was designed to work when she carried Senate Bill 1041 (2005) on the House floor.



Oregon's landmark child abduction bill passes the House

https://youtu.be/bDUCKlfp4Q0?list=PLMOQRGPFqpOYfjc0p46vviCVFCdl7PCkb


SB 1041 was sponsored by Senator Avel Louise Gordly.


Sunday, November 29, 2015

Oregon's landmark child abduction law - House Judiciary hearing

Much unfinished business: 6 years after my time in the Oregon Senate ended, and 10 years after the death of my son Aaron Cruz, I testified on child abduction before the House Judiciary Committee during the 2015 legislative session.

Abducting a child has lifelong consequences, and those persons who think about participating in a kidnapping need to understand that they are in it for life. To those who participated in the kidnapping of my children, know that I am coming for you....

https://youtu.be/U-7R135VdZ4

House Judiciary hearing on child abduction


Saturday, November 28, 2015

Oregon's landmark child abduction law has its roots in a Mormon kidnapping


February 18, 2015

Shortly before the Oregon House voted to name ORS 30.868 "Aaron's Law", I saw former Governor Ted Kulongoski in the corridor, and he graciously signed this photo of himself signing Senate Bill 1041 into law ten years ago. SB 1041 was sponsored by Senator Avel Louise Gordly, standing beside the Governor in the photo.

A short time after Governor Kulongoski and I spoke, the House voted 59-0 to remember Aaron Cruz forever....




78th OREGON LEGISLATIVE ASSEMBLY--2015 Regular Session

House Bill 2603

Sponsored by Representative SMITH WARNER (Presession filed.)

SUMMARY

Provides that ORS 30.868, regarding civil damages for custodial interference, shall be known and may be cited as “Aaron’s Law.”

A BILL FOR AN ACT

Relating to citation of ORS 30.868.

Whereas during the 2005 regular session, the Seventy-third Legislative Assembly passed Senate Bill 1041, sponsored by Senator Avel Gordly, which became chapter 841, Oregon Laws 2005, and was codified as ORS 30.868; and

Whereas with the enactment of Senate Bill 1041, Oregon became the first state in the nation where abducting a child creates a civil cause of action; and

Whereas Senate Bill 1041 is the culmination of the work of the 2004 Interim Task Force on Parental and Family Abductions and of Senator Gordly’s chief of staff, Sean Aaron Cruz; and

Whereas Sean Aaron Cruz’s own four children disappeared from Oregon in 1996; and

Whereas Sean Aaron Cruz’s eldest son, Aaron Cruz, died in Utah in April 2005 as a consequence of the abduction, inspiring the Legislative Assembly to act on Senate Bill 1041; and

Whereas Senate Bill 1041 passed 26-3 in the Senate and 59-0 in the House of Representatives and was signed into law by Governor Theodore R. Kulongoski on September 2, 2005; and

Whereas Senate Bill 1041 is referred to as “Aaron’s Law” by members of the legal community, including presenters at the State Family Law Advisory Committee’s Family Law Conference; and

Whereas designating Senate Bill 1041 as “Aaron’s Law” is a fitting tribute to the memory of Aaron Cruz, whose death was not in vain; now, therefore,

Be It Enacted by the People of the State of Oregon:

SECTION 1. ORS 30.868 shall be known and may be cited as “Aaron’s Law.”







Monday, September 21, 2015

Busting the Oregon Cultural Heritage Commission





Filed in Multnomah Circuit Court today, and now a matter of public record.




SEAN AARON CRUZ
10809 NE FREMONT STREET
PORTLAND, OREGON 97220

SEANCRUZ@COMCAST.NET
PLAINTIFF


CIRCUIT COURT OF THE STATE OF OREGON FOR MULTNOMAH COUNTY
PORTLAND, OREGON


SEAN AARON CRUZ
Plaintiff(s),
vs.
OREGON CULTURAL HERITAGE
COMMISSION
Defendant(s).


Case No.: 15CV25027
Dept. No.:


COMPLAINT

Date of Hearing:
Time of Hearing:

1. In the Spring of 2013, DEFENDANTS The Oregon Cultural Heritage Commission
(OCHC) and its president David Milholland, and PLAINTIFF entered in good faith into
a staged, 3-year production Agreement to create the Jim Pepper Native Arts Festival
(JPNAF), a new Oregon nonprofit corporation whose signature event would be to
produce a festival which would take place annually on the campus of Parkrose High
School in Portland, celebrating the legacy of the late, great Native American musician
Jim Pepper, AND that at the same time would serve as a celebration marking
DEFENDANTS' alleged 25-year history of allegedly successfully producing cultural
events across the state of Oregon.

2. PLAINTIFF alleges that DEFENDANTS the Oregon Cultural Heritage Commission
(OCHC) is a sham entity with no public charge or official status, maintaining no regular
place of business and no regular days or hours of business, no listed or posted phone
number and no physical address, so that the Multnomah County Sheriff was unable to
serve a Summons on DEFENDANTS, and that these facts were contributing factors to
problems and difficulties PLAINTIFF encountered at all times in attempting to carry out
the Agreement in good faith.

3. PLAINTIFF alleges that during the course of carrying out this Agreement
DEFENDANTS engaged in deceptive practices including false advertising and made
false representations to PLAINTIFF upon which PLAINTIFF relied, causing
PLAINTIFF to suffer great injury and loss.

4. PLAINTIFF alleges that DEFENDANTS' board meetings, held in a conference room
at the law offices of Tonkin Torp, are intended to impress, deceive and mislead
visitors, including PLAINTIFF, into believing that the Oregon Cultural Heritage
Commission has stature that it does not in fact possess, causing PLAINTIFF to rely on
DEFENDANTS' fraudulent representations, and suffering great harm as a result.

5. PLAINTIFF alleges that DEFENDANTS' true place of business is within a hidey
hole loft dwelling occupied by DEFENDANT'S President Mr. David Milholland on an
upper floor above an unrelated business on NE 42nd Street, with no exterior markings
identifying either OCHC or Mr. Milholland, no buzzer and no means of entry to the
building if the unrelated business is not open, all of which factors combined to make
PLAINTIFF'S good faith efforts more difficult, costlier in time spent, and at times
impossible, as appears to be DEFENDANTS' intent.

6. PLAINTIFF alleges that DEFENDANTS Oregon Cultural Heritage Commission's
membership has been restricted to white or Caucasian people over the entire course
of its 25-plus years of existence, remaining so today, and maintains that this fact
created conflicts between PLAINTIFF and DEFENDANTS that were due to
DEFENDANTS' ethnic and racial biases that worked to the detriment of PLAINTIFF'S
good faith efforts to carry out the Agreement.

7. PLAINTIFF alleges that DEFENDANTS are in breach of contract and owe
PLAINTIFF compensation for work performed as a result of said Agreement, as a
result of PLAINTIFF'S reliance on DEFENDANTS' deceptive and fraudulent
representations, and as a consequence of DEFENDANTS' willful and/or negligent
mismanagement of the Project.

8. PLAINTIFF alleges that DEFENDANTS directed PLAINTIFF to invite artists to
perform at the 2013 Jim Pepper Native Arts Festival regardless of funding identified
and committed to support the expenses of the event.

9. PLAINTIFF alleges that DEFENDANTS encouraged PLAINTIFF to work on behalf
of DEFENDANTS' 25-year celebration and the Project regardless of funding identified
and committed to support PLAINTIFF'S work.

10. PLAINTIFF alleges that DEFENDANTS directed PLAINTIFF to hire additional
artists for August 7 and August 8 Festival performances after PLAINTIFF had already
canceled other artists previously scheduled to perform on those dates and after
PLAINTIFF had recommended canceling the dates entirely, causing PLAINTIFF to be
resented by the canceled artists, creating additional damage to PLAINTIFF'S
reputation, additional economic losses and further emotional distress.

11. PLAINTIFF alleges that DEFENDANTS deliberately misled both PLAINTIFF and
the National Museum of the American Indian staff, causing both to believe that
DEFENDANTS would comply with the terms of the IndiVisible loan contract, which
included the requirement that DEFENDANTS provide insurance coverage for four
days, when DEFENDANTS knew that DEFENDANTS would in fact NOT comply with
the contract, causing financial loss, damage to PLAINTIFF'S reputation and additional
emotional distress.

12. PLAINTIFF alleges that DEFENDANTS knew in advance that the IndiVisible
exhibit would NOT be shipped to Portland, because DEFENDANTS had secretly
made a decision to NOT provide the insurance rider at some point in advance of the
festival event, and concealed their decision from both PLAINTIFF and the National
Museum of the American Indian, causing financial loss to both parties, damage to
PLAINTIFF'S reputation and additional emotional distress.

13. PLAINTIFF alleges that DEFENDANTS continued to advertise that free admission
to the IndiVisible exhibit would be featured at the Festival up to and including August
7-10, the dates of the Festival event, through printed posters and on DEFENDANTS'
website and elsewhere.

14. PLAINTIFF alleges that four days prior to the Festival, on Saturday, August 3,
despite having sole and exclusive knowledge that IndiVisible would NOT be coming to
Portland, since DEFENDANTS had decided NOT to comply with their agreement with
the Museum, DEFENDANT MR. DAVID MILHOLLAND personally designed a poster
advertising the IndiVisible exhibit as “Free to All”, and proclaiming “The Jim Pepper
Native Arts Festival is a project of the Oregon Cultural Heritage Commission 501(c)(3)
celebrating its 25th year and a 1000 Nations production.”

15. PLAINTIFF alleges that on Saturday, August 3, 2013, DEFENDANT MR. DAVID
MILHOLLAND provided said poster in electronic format to PLAINTIFF expressly for
the creation of printed posters, social media postings and other electronic media,
which PLAINTIFF took in good faith to be truthful statements and acted accordingly,
resulting in great harm, financial loss and emotional distress.

16. PLAINTIFF alleges that immediately following the festival, DEFENDANTS
disappeared from the face of the Earth, refusing to answer or return PLAINTIFF'S
telephone calls or to respond to PLAINTIFF'S emails, and the fact that DEFENDANTS
maintain no regular place, days or hours of business made it impossible for
PLAINTIFF to proceed with the tasks that were ordinarily routine in the aftermath of
similar festival events as well as those that were necessitated by DEFENDANTS'
grossly negligent and/or fraudulent actions before and during the course of the
Festival, as well as thereafter.

17. PLAINTIFF alleges that in order to force contact with DEFENDANTS—since
DEFENDANTS maintain no regular place, hours or days of business—PLAINTIFF
resorted to searching out through the Secretary State Corporation Division filings to
locate the only physical address in DEFENDANTS' history of filings other than the law
offices of Tonkin Torp, which was that for Mr. Walt Curtis, DEFENDANT'S board
secretary, and PLAINTIFF staked out the location until PLAINTIFF was able to make
contact with Mr. Curtis on September 5, 2013, and with Mr. Curtis' assistance made
telephone contact with DEFENDANTS President David Milholland.

18. PLAINTIFF alleges that only after taking these extraordinary steps was
PLAINTIFF able to make contact with DEFENDANTS in the person of its President
David Milholland, by telephone.

19. PLAINTIFF alleges that the fact that DEFENDANTS The Oregon Cultural Heritage
Commission intentionally maintains no physical place of business, no regular days or
hours of business, and no reasonable means for any person to contact said
DEFENDANTS, who appear to meet only privately and occasionally in the law offices
of Tonkin Torp as prelude to a drinking party taking place immediately afterwards, has
unfairly left PLAINTIFF—who only acted at the direction of DEFENDANTS and relying
in good faith on DEFENDANTS' fraudulent representations—as the target of rumor
and dissatisfaction by all parties, whether sponsors, performers, ticket buyers or
contractors, or the general public, and suffering great harm, loss of reputation,
emotional distress and other damages.

20. PLAINTIFF alleges that as a result of DEFENDANTS' grossly negligent and/or
willful mismanagement of the 2013 Jim Pepper Native Arts Festival, which includes
frequent disappearances at critical times, PLAINTIFF has suffered a campaign of
defamation and harassment from Mr. David Grafe, a disgruntled sound engineer, and
his company PDX Audio over the course of the past two years that has caused
PLAINTIFF additional great harm, loss of reputation, emotional distress and other
damages.

21. PLAINTIFF alleges that DEFENDANTS, in the person of its President David
Milholland, deliberately attempted to cause PLAINTIFF great harm by knowingly
causing PLAINTIFF to show publicly the documentary film “PEPPER'S POWWOW”
without having the proper license and authorization from the film maker to do so, thus
exposing PLAINTIFF to civil suit, monetary damages and further loss of reputation.

22. PLAINTIFF alleges that DEFENDANTS—who were in complete custody and
control of all financial aspects of the project at all times—failed to follow generally
accepted accounting principles, failed to keep honest and accurate records, and failed
to make and deliver honest, timely and accurate financial reports to sponsors,
partners, grantors (some of whom received NO report), or to PLAINTIFF and the
project Steering Committee, all of which has served to harm PLAINTIFF's reputation
and cause PLAINTIFF to suffer other damages.



STATEMENT OF FACTS

1. The Jim Pepper Native Arts Festival was PLAINTIFF's idea, stemming from the
time that PLAINTIFF served as Senator Avel Gordly's chief of staff, and arising from
the fact that PLAINTIFF unknowingly purchased the family home of Jim Pepper in
2002, only later learning of his great musical and cultural legacy.

2. PLAINTIFF drafted Senator Gordly's Senate Joint Resolution, SJR 31—honoring
the late, great Native American musician Jim Pepper's life and works—in May, 2005,
and his music and spirit came to be tremendously important to PLAINTIFF both
personally and professionally.

3. PLAINTIFF'S son Aaron Cruz passed away in late April, 2005 and was buried on
May 3, during the 2005 legislative session. Researching and drafting the Jim Pepper
resolution helped PLAINTIFF get through the month of May and the rest of the
session, and became PLAINTIFF'S “Happy Place” as he worked through the grief,
and Jim Pepper's music, life story and legacy continues to play a vital therapeutic role
in PLAINTIFF'S life as he copes with a long-term diagnosis of clinical depression and
PTSD.

4. In early 2013, through a series of meetings conducted over several months that
included OCHC's board of directors, members of a Steering Committee that
PLAINTIFF was in the process of forming, and other members of the community and
potential sponsors and partners, OCHC President David Milholland and PLAINTIFF
developed a plan whereby:

A. JPNAF would be produced and promoted in 2013 as a celebration of
DEFENDANT OCHC's 25-year history of producing a wide variety of cultural events
across the state of Oregon.

B. PLAINTIFF'S company, 1000 Nations, would manage the project under OCHC's
supervision and control, and over the course of a three-year period JPNAF would
become an independently operating Oregon nonprofit corporation with paid staff.

C. Mr. Milholland and OCHC would receive, control, manage and disburse all funds
related to the project.

D. Mr. Milholland and OCHC would have sole contracting authority pertaining to the
project.

E. Agreements between DEFENDANTS and PLAINTIFF as well as agreements
between the Parties and other Parties were largely verbal, however the terms of
such are evidenced in the documentation created during the course of the Project.

F. PLAINTIFF'S fee for producing this joint celebration of OCHC and Jim Pepper
would be $ 400 per week in cash plus a tax credit for $ 400 per week as
PLAINTIFF'S in-kind contribution to DEFENDANTS' 25-year celebration.

5. PLAINTIFF began billing the project weekly beginning for the period March 4 – 10,
2013, planning to continue billing through the week following the Festival (until August
17) to wrap up all reporting and other business, and thereafter as additional funding
became available over the three-year life of the Project.

6. The cornerstone of PLAINTIFF'S and DEFENDANTS' plan was built around a
succession of three exhibits on loan from the National Museum of the American
Indian, Smithsonian Institution, namely:

A. In 2013: IndiVisible: African-Native American lives in the Americas

B. In 2014: Skateboard Culture in Indian Country

C. In 2015: Up Where We Belong, or a similar exhibit including Jim Pepper's
saxophone, which is in the permanent collection of the Smithsonian Institution,
Museum of the American Indian.


7. The business plan for the event was to draw an audience to Parkrose High School
with free admission to the Smithsonian exhibit, which would be augmented with free
performances by Native American musicians, plus Native American arts and crafts
and foods for sale during daytime hours, and thereby to sell tickets to the evening
performances in the Parkrose High School theater.

8. PLAINTIFF made contact with Mr. Robert Alexander of the National Museum of the
American Indian regarding the loan of IndiVisible: African-Native American lives in the
Americas for exhibition in Portland, and—working with DEFENDANTS—successfully
negotiated an agreement whereby said exhibit would be lent to DEFENDANTS for
exhibition at Parkrose High School for free public viewing from August 7, 2013 to
August 10, 2015.

9. DEFENDANTS contracted with the National Museum of the American Indian,
promising to take every step necessary to fulfill the agreement, including providing an
insurance rider covering said exhibit during the four days it would be at Parkrose High
School, which would be the sole cost of the exhibit, all other shipping and handling
costs to be borne by the Smithsonian.

10. PLAINTIFF sought out another exhibition location so that IndiVisible could remain
in Portland longer than the four days at Parkrose and to this purpose contacted
Portland Community College Cascade Campus President Dr. Algie Gatewood, to
make Dr. Gatewood aware of the opportunity.

11. With Dr. Gatewood's leadership and support, PLAINTIFF brought PCC Cascade
into contact with Mr. Robert Alexander of the Smithsonian, who was in charge of the
exhibit, and arrangements were made for IndiVisible to move from Parkrose High
School after the Festival into storage at PCC Cascade, where it would remain until it
came up for exhibition at the Cascade campus library beginning on October 10, and
continuing to the end of the year.

12. PLAINTIFF planned to organize and schedule additional Jim Pepper Native Arts
Festival events in the neighborhood of PCC Cascade through the end of the year, in
association with the IndiVisible exhibit and continuing to celebrate DEFENDANTS'
alleged 25-year history of successfully producing cultural events across the state of
Oregon, while making plans in concert with the National Museum of the American
Indian for future exhibits in 2014 and 2015 per the aforementioned project plan.

13. DEFENDANTS, however, did NOT provide the insurance rider as required in the
IndiVisible loan contract, thus canceling the exhibit, without informing any of either the
Parkrose School District, which had contracted with DEFENDANTS for the rental of
secured space, or the Museum, which continued to plan for the Festival exhibition's
arrival, including flying three Smithsonian personnel to Portland to staff the exhibit and
conduct outreach in the Portland Metro Area, or PLAINTIFF, who continued to rely on
DEFENDANTS' representations.

14. The failure of the IndiVisible exhibit to arrive forced the cancellation of the entire
daytime program, causing all of the artists, musicians and vendors to suffer financial
loss and great inconvenience, and created lingering resentment and anger in the
community directed at PLAINTIFF and the Project itself, all of which could have been
avoided had DEFENDANTS either provided the insurance rider as agreed to in
DEFENDANTS' contract with the Smithsonian Institution, or notified either PLAINTIFF
or the Museum staff or the Parkrose School District of its intention to cancel.

15. The unanticipated failure of the IndiVisible exhibit to arrive forced the cancellation
of the entire Festival daytime program, removing entirely the free attractions that
would have created opportunities to sell tickets to the evening performances, and
destroying the entire business plan and several months of PLAINTIFF'S work.

16. Four days prior to the Festival, on Saturday, August 3, 2013, DEFENDANT MR.
DAVID MILHOLLAND personally designed a poster advertising the IndiVisible exhibit
as “Free to All”, and proclaiming “The Jim Pepper Native Arts Festival is a project of
the Oregon Cultural Heritage Commission 501(c)(3) celebrating its 25th year and a
1000 Nations production.”

17. On Saturday, August 3, 2013, DEFENDANT MR. DAVID MILHOLLAND provided
said poster in electronic format to PLAINTIFF expressly for the creation of printed
posters, social media postings and other electronic media, which PLAINTIFF took in
good faith to be truthful statements and acted accordingly. This was the final edition
of several posters advertising the IndiVisible exhibit PLAINTIFF produced over the
preceding two months.

18. The last communication that PLAINTIFF received from the Museum was an email
to DEFENDANTS stating that the IndiVisible exhibit would arrive at Parkrose High
School on either Monday, August 5, 2013 or Tuesday, August 6.

19. The last email communication from DEFENDANTS to the Smithsonian that
PLAINTIFF received, dated July 24, 2013, stated:

From: David Milholland (encanto@ochcom.org)
To: Alexander, Robert
Cc: Cruz, Sean Aaron

Subject: Signed IndiVisible agreement in the mail

Hello Robert...

I mailed the full signed contract to Katherine Lewis this pm. It should arrive
promptly.

Attached is the signature panel, for your reference.

Will call to talk with you tomorrow...

Cheers...David


19. As part of the Jim Pepper Native Arts Festival contract between DEFENDANTS
and the Parkrose School District, a secure room was rented, cleared and otherwise
prepared to house IndiVisible, including furniture for the Museum personnel who
would staff the exhibit.

20. PLAINTIFF was not concerned when the exhibit did not arrive on Monday, August
5, but—understanding the significance of the IndiVisible exhibit to the overall success
of the entire project, Festival and DEFENDANTS' 25-year celebration alike—was very
much concerned when the exhibit did not arrive on Tuesday, August 6, either.

21. Vendors and performers began to arrive at Parkrose High School and set up on
the morning of Wednesday, September 7, but there was no Smithsonian exhibit and
the contact number PLAINTIFF had been calling since the day before only went to
voice mail.

22. On Wednesday morning, September 7, PLAINTIFF asked DEFENDANT OCHC
President David Milholland where he thought the exhibit was, and Mr. Milholland
replied, “It will either be here or it won't.”

23. DEFENDANT OCHC President David Milholland made no attempt to locate the
exhibit whatsoever, and spent the morning taping several dozen 8 1/2” x 11” paper
signs to doors and windows around the high school building that he had apparently
created on his home computer the night before.

24. PLAINTIFF learned of the status of the IndiVisible exhibit in late morning on
Wednesday, August 7, 2013, from one of the Festival volunteers, who had seen the
Smithsonian team at NAYA, the Native American Youth and Family Center, earlier in
the day and heard that the exhibit was still in Washington, D.C.

25. The absence of the IndiVisible exhibit destroyed months of work performed in
good faith by PLAINTIFF, including the plans to move the exhibit to PCC Cascade for
exhibition beginning October 10.

26. PLAINTIFF had scheduled two evening showings of Pepper's Powwow, an hourlong
award-winning documentary of Jim Pepper's life by Sandy Osawa, for
September 7 and 8, which was in all of the project advertising.

27. Some minutes before the September program was to start, however, PLAINTIFF
approached DEFENDANT Mr. David Milholland, and asked point blank if
DEFENDANT had sent payment to film maker Sandy Osawa for the public viewing
rights, and DEFENDANT responded “No.”

28. PLAINTIFF was forced to immediately cancel both scheduled showings of the
documentary, and the evening performances were now in disarray.

29. Following the September 7 evening performances, DEFENDANT OCHC
President David Milholland claimed that he did not bring enough checks to pay all of
the performers, forcing PLAINTIFF to pay one group out of his own pocket, and
Luciana Proaño, one of the performers, paid one of the other performers out of her
own pocket.

30. During the rest of the festival and thereafter, it was never clear to PLAINTIFF who
among the several performers and contractors DEFENDANT OCHC President David
Milholland was going to pay, nor how much he was going to pay, nor whether he was
going to pay with a check or in blank, signed OCHC tax receipts or in some other
manner.

31. DEFENDANTS The Oregon Cultural Heritage Commission (OCHC) is an Oregon
nonprofit with no public charge or official status, whose membership has been all-
White throughout its entire 25-plus years of existence.

32. DEFENDANTS have failed to file a physical address with the Oregon Secretary of
State for at least the past four years, and recently filed a physical address only after
PLAINTIFF complained to the Corporation Division of the Oregon Secretary of State.

33. DEFENDANTS The Oregon Cultural Heritage Commission (OCHC) maintains no
regular place of business or hours or days of business, has no apparent staff, no listed
or posted phone number and no physical address, all contributing factors to problems
and difficulties PLAINTIFF encountered at all times in attempting to carry out the
Agreement in good faith.

34. As DEFENDANT President David Milholland rarely responded to emails
throughout the entire history of the project, the only means of contact PLAINTIFF had
for DEFENDANTS The Oregon Cultural Heritage Commission was Mr. Milholland's
home phone number, a land line.

35. Mr. David Grafe, a disgruntled sound engineer whose bid for the project was not
accepted, and his company PDX Audio, beginning on our about August 5, 2013,
mounted a malicious, false and defamatory campaign determined to wreck both the
Jim Pepper Native Arts Festival and PLAINTIFF'S career that was greatly
exacerbated by DEFENDANTS' inaccessibility throughout the entire ordeal.

36. Mr. Grafe and PDX Audio contacted and communicated false and defamatory
assertions to Festival sponsors, partners, performers, ticket buyers and parties in the
Portland music industry and elsewhere broadly, that did in fact do great harm to both
PLAINTIFF and the Festival, and that has continued to the present day.

37. DEFENDANTS paid some of the festival performers in the form of DEFENDANTS'
checks and others in the form of blank tax deduction receipts signed in advance and
distributed by Mr. Milholland, which may be an illegal abuse of DEFENDANTS' 501c3
status, and other performers and contractors were not paid at all.

38. Immediately following the festival, DEFENDANTS became impossible to contact,
refusing to answer or return PLAINTIFF'S telephone calls or to respond to
PLAINTIFF'S emails, and the fact that DEFENDANTS maintain no regular place, days
or hours of business made it impossible for PLAINTIFF to proceed with the tasks that
were ordinarily routine in the aftermath of similar festival events as well as those that
were necessitated by DEFENDANTS' grossly negligent and/or fraudulent actions
before and during the course of the festival, and continuing thereafter.

39. In order to force contact with DEFENDANTS, since DEFENDANTS maintain no
regular place, hours or days of business, PLAINTIFF resorted to searching out
through the Secretary of State Corporation Division to locate the only physical address
in the DEFENDANTS' filings, that for Mr. Walt Curtis, DEFENDANT'S board
secretary, and PLAINTIFF staked out the location until PLAINTIFF was able to make
contact with Mr. Curtis on September 5, 2013.

40. DEFENDANTS failed to provide full, truthful, timely or accurate fiscal reports to
sponsors, partners, grantors, the project Steering Committee or to PLAINTIFF in the
weeks and months following the Festival.

41. PLAINTIFF requested help in developing an accurate accounting of the project
from Jo Ann Hardesty of Consult Hardesty, an independent consulting firm, who
organized two facilitated debriefing sessions with DEFENDANTS President David
Milholland and the project Steering Committee.

42. Both facilitated debriefing sessions were held at the Rosewood Commons in SE
Portland, and were attended by DEFENDANTS President David Milholland and the
project Steering Committee. DEFENDANTS President David Milholland was unable
to produce an accurate fiscal report, or to explain the reports that he had provided at
either meeting.

43. DEFENDANTS President David Milholland promised to return for a third time with
an accurate fiscal report in early January, 2014, but was never heard from again.

44. In March, 2014, the project Steering Committee formed a Board of Directors and
registered with the Secretary of State as the Jim Pepper Native Arts Festival, an
Oregon public benefit nonprofit corporation, dedicated to improving access to music
education.

45. Immediately upon incorporating, the Jim Pepper Native Arts Festival board of
directors fired DEFENDANTS President David Milholland and severed all ties with the
DEFENDANTS Oregon Cultural Heritage Commission.



PETITION FOR RELIEF


DEFENDANTS' actions, whether deliberate or as a result of DEFENDANTS' gross
negligence, have caused great harm to PLAINTIFF, to PLAINTIFF'S company 1000
Nations, and to the Jim Pepper Native Arts Festival, a new Oregon public benefit
nonprofit corporation, including:

A. Damage to all three reputations and loss of standing in the community;

B. The loss of sponsors and other partners that had been part of the 2013 event
but have not come back after experiencing DEFENDANTS' gross negligence,
failure to provide timely and/or accurate fiscal reports to sponsors and general
incompetency;

C. The loss of many hundreds of hours of work that PLAINTIFF had invested in
pulling sponsors and partners together for the 2013 event, and the subsequent
necessity to invest hundreds of hours of additional work throughout 2013, 2014
and to the present day to bring them back in as well as attract new sponsors and
partners to the project, now in its 3rd year.

D. Emotional distress that plunged PLAINTIFF into a period of depression that
required more than a year of treatment in order to be able to function normally
again and that requires ongoing treatment for depression and PTSD.

E. Unpaid compensation in the amount of $ 9,934.00 for work PLAINTIFF
performed on behalf of DEFENDANTS at PLAINTIFF'S reduced rate of $ 400.00
per week prior to and during the Festival week.

DECLARATORY RELIEF

PLAINTIFF seeks declaratory relief in that the Court determines that the 2013 Jim
Pepper Native Arts Festival was IN FACT a project in the sole custody and control of
DEFENDANTS the Oregon Cultural Heritage Commission (OCHC) and its President
David Milholland, and that neither myself nor my company 1000 Nations had
contractual or fiscal authority, and that any and all complaints any third parties may
have had or may have in the future regarding the management or responsibility of the
2013 Jim Pepper Native Arts Festival be properly directed to DEFENDANTS OCHC
and Mr. Milholland.

EQUITABLE RELIEF

PLAINTIFF seeks equitable relief and hereby petitions the Court to order
DEFENDANTS to provide:

A. DEFENDANTS' written and published apologies to PLAINTIFF, said
apologies taking full responsibility for the dispute existing between PLAINTIFF
and DEFENDANTS.

B. That DEFENDANTS be ordered to transmit said apologies and a true
statement of facts regarding the matters in dispute by every means
DEFENDANTS have used to defame PLAINTIFF or PLAINTIFF's business
activities in the past and at the present time, including Facebook and other
social or electronic media.

COMPENSATORY DAMAGES

PLAINTIFF seeks compensatory damages in the amount of:

A. The sum of $ 9,934.00 in unpaid compensation at PLAINTIFF'S reduced rate
of $ 400.00 per week.

B. $ 50,000.00 for lost income, lost clients and other lost economic opportunities
suffered due to DEFENDANTS' gross negligence and/or deliberate wrongful
conduct, plus such other and further relief as this court may deem just and proper.

C. $ 5,000.00 for past, present and future medical expenses PLAINTIFF has
incurred or is likely to incur as a result of DEFENDANTS' conduct plus such other
and further relief as this court may deem just and proper.

D. A letter documenting PLAINTIFF'S 2013 in-kind charitable contribution to
DEFENDANTS' 25-year celebration and the project valued at $ 13,200
(calculated at 36 weeks of work at $ 400.00/week).


PUNITIVE DAMAGES

PLAINTIFF seeks punitive damages in the amount of $ 150,000.00 plus such other
and further relief as this court may deem just and proper.


PAIN AND SUFFERING

PLAINTIFF seeks compensation for loss of reputation, emotional distress, mental
anguish, loss of enjoyment of life and anxiety PLAINTIFF has suffered as a direct
consequence of DEFENDANTS' actions in the amount of $ 250,000.00 plus such
other and further relief as this court may deem just and proper.


ATTORNEYS' FEES and COURT COSTS

PLAINTIFF petitions the Court for an award of Attorney's fees and other court costs
PLAINTIFF has occurred in bringing this Complaint.

DATED this ______ day of _________________________, 2015.

I declare under penalty of perjury that the
foregoing is true and correct.
_____________________________________________
(signature)

SEAN AARON CRUZ
10809 NE FREMONT STREET
PORTLAND, OREGON 97220

SEANCRUZ@COMCAST.NET
PLAINTIFF