THE HARMON ARBITRATION
A Sighting from The Catbird Seat
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This is a branch from the lawyer’s money tree called...
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What follows are just glimpses of one person’s experiences with the modern-day, mandatory arbitration process.
BACKGROUND
On October 18, 1996, Bobby Harmon, Risk/Insurance & Safety Manager of Kamehameha Schools/Bishop Estate, and President of P&C Insurance Company, Inc., Kamehameha’s for-profit, captive insurance company, met with P&C’s auditors, Cary Okawa and Dennis Tsuhako, from the accounting firm of Coopers & Lybrand (now PricewaterhouseCoopers), regarding P&C’s annual financial report. At this meeting, Harmon expressed his concerns with what he considered to be improper billings by the Captive Manager (Marsh & McLennan), and improper claims reserves. He also described “arms-length” issues between KSBE and P&C, as they related to what he believed were illegal “efforts to direct and control the operations of P&C” by Kamehameha’s General Counsel Nathan Aipa, in-house attorney Louanne Kam, and Trustee Henry Peters who also held the position of Chairman of the Board of P&C Insurance Company.
On November 20, 1996, in a follow-up to their meeting, Harmon wrote to Cary Okawa of Coopers & Lybrand (now PricewaterhouseCoopers), in which he provided further information, along with hundreds of pages of documents which gave evidence regarding the conspiracies and financial improprieties being conducted between named individuals at Kamehameha Schools/Bishop Estate and Marsh & McLennan. A copy of this letter was sent to Hawaii’s Insurance Commissioner who has the responsibility for regulating Captive Insurance Companies domiciled in the State of Hawaii.
On November 20, 1996, Harmon was terminated from his positions as Risk/Insurance & Safety Manager of Kamehameha Schools/Bishop Estate, and as President of P&C Insurance Company, Inc., Kamehameha’s for-profit, captive insurance company.
On December 29, 1996, Harmon wrote a letter to the Bishop Estate Trustees providing details of improper and illegal activities being conducted by some of the top management at the estate and its subsidiaries. Copies of this letter were sent to Michael Goolsby, Chubb Group, which provided the professional liability insurance policy to Bishop Estate and its subsidiaries; Robert Kuroda, of John Mullen & Co., the independent claims adjuster contracted by P&C Insurance Company; and Pat Onogi, the Claims Manager for Marsh Insurance Management Services (a wholly-owned subsidiary of Marsh & McLennan), the company contracted by P&C as its Captive Manager.
On January 5, 1997, Harmon sent a Notice of Claim letter to John T. Sinnott, President and CEO of Marsh & McLennan, and enclosed a copy of his letter dated December 29, 1996 to the Bishop Estate trustees.
On January 22, 1997, Harmon applied to the Hawaii Dept. of Labor & Industrial Relations for unemployment insurance.
On January 30, 1997, Robert Katz, Esq., of Torkildson Katz Fonseca Jaffe Moore & Hetherington, wrote to Harmon: “I have been retained by Kamehameha Schools Bishop Estate (‘KSBE’) to assist and advise it in connection with your December 29, 1996 settlement proposal ... Due to the extent and complexity of your settlement proposal, it will not be possible for KSBE to respond by your requested date of January 31, 1997.”
On February 15, 1997, P&C and KSBE filed a Motion for Preliminary Injunction and Notice of Hearing of Motion. The Hearing of Motion was scheduled for February 18, 1997.
On February 18, 1997, Harmon, through his attorney, filed an Answer to KSBE’s Complaint, and a Counterclaim, alleging and averring, in part, that while he was employed by KSBE he “witnessed, and refused to participate in or acquiesce to acts and practices by the Counterclaim Defendants which were in violation of Federal and/or State of Hawaii laws and/or regulations and/or rules. As a result of Counterclaimant’s refusal to participate in or acquiesce to said acts and practices, as well as because the Counterclaim Defendants believed that Counterclaimant had reported and/or was about to report said acts and/or practices to governmental authorities, Counterclaim Defendants wrongfully terminated Counterclaimant....
On February 20, 1997, Judge Karen Radius issued an Order Granting Plaintiffs’ Motion for Preliminary Injunction against Defendant Harmon.
On April 27, 1999, Harmon filed a RICO lawsuit, Harmon vs. Federal Insurance Company; P&C Insurance Company, Inc.; Marsh & McLennan Companies, Inc.; Pricewaterhouse, Coopers & Lybrand, LLP; Torkildson, Katz, Fonseca, Jaffe, Moore & Hetherington, A Law Corporation; Henry H. Peters, Richard S. H. Wong, Lokelani Lindsey, Gerard Jervis and Oswald Stender, Trustees of the Estate of Bernice Pauahi Bishop; John Mullen & Co., Inc.; Nathan Aipa; Louanne Kam; Rodney Park; William S. Richardson; Gilbert Tam; Peter Lowe; John & Jane Does 1 - 1000, et al., in U.S. District Court....
Fast Forward to:
On March 31, 2003, bankruptcy trustee Mary Lou Woo, through her attorney, Steven Guttman, of Kessner Duca Umebayashi Bain & Matsunaga, filed a Demand For Arbitration with the American Arbitration Association.
What follows are just a few of the letters and legal documents hatched from this mandatory arbitration case:
THE MOTIONS
www.the-catbird-seat.net/AAA-Answer-5-13-3.htm
www.the-catbird-seat.net/AAA-HarmonPosition.htm
www.the-catbird-seat.net/AAA-HarmonWitnessList.htm
www.the-catbird-seat.net/AAA-HarmonMotionDismiss.htm
www.the-catbird-seat.net/AAA-CBS-Objection.htm
www.the-catbird-seat.net/AAA-Objection-Summary-Judgment.htm
www.the-catbird-seat.net/AAA-Objection-MotionCompel-5-30-4.htm
www.the-catbird-seat.net/AAA-Answer-Claimant-Op-6-3-4.htm
www.the-catbird-seat.net/AAA-Answer-Motion-CBS-6-10-4.htm
www.the-catbird-seat.net/AAA-PositionStatement-6-11-4.htm
THE CLAIMS
www.the-catbird-seat.net/AAA-P-C-6-21-2.htm
www.the-catbird-seat.net/AAA-Hipp-Claim-6-24-2.htm
www.the-catbird-seat.net/AAA-PWC-Claim-6-25-2.htm
www.the-catbird-seat.net/AAA-P-C-7-27-2.htm
www.the-catbird-seat.net/AAA-KAA-Claim-7-30-2.htm
www.the-catbird-seat.net/AAA-Marsh-Claim-8-2-2.htm
www.the-catbird-seat.net/AAA-PWC-Claim-8-3-2.htm
www.the-catbird-seat.net/AAA-Tamm-Claim-9-1-2.htm
www.the-catbird-seat.net/AAA-Kukui-Claim-2-24-3.htm
www.the-catbird-seat.net/AAA-XL-Claim-2-27-3.htm
www.the-catbird-seat.net/AAA-Katz-8-13-3.htm
www.the-catbird-seat.net/AAA-Guttman-Claim-12-12-3.htm
www.the-catbird-seat.net/AAA-KS-Claim-12-12-3.htm
www.the-catbird-seat.net/AAA-Tius-Claim-12-12-3.htm
www.the-catbird-seat.net/AAA-Tsukazaki-Claim-12-12-3.htm
www.the-catbird-seat.net/AAA-AonClaim-1-26-4.htm
www.the-catbird-seat.net/AAA-AonClaim-1-27-4.htm
www.the-catbird-seat.net/AAA-P-C-2-25-4.htm
www.the-catbird-seat.net/AAA-McCubbin-Claim-3-8-4.htm
THE LETTERS
www.the-catbird-seat.net/AAA-ColbertMatsumoto-11-24-97.htm
www.the-catbird-seat.net/AAA-FBI-4-12-98.htm
www.the-catbird-seat.net/AAA-FBI-9-17-98.htm
www.the-catbird-seat.net/AAA-FBI-5-17-99.htm
www.the-catbird-seat.net/AAA-KSpension-6-28-0.htm
www.the-catbird-seat.net/AAA-PWBA-7-7-0.htm
>>> www.the-catbird-seat.net/AAA-McCubbin-7-21-0.htm <<<
www.the-catbird-seat.net/AAA-McCubbin-7-26-0.htm
www.the-catbird-seat.net/AAA-KS_USDOL-8-5-0.htm
www.the-catbird-seat.net/AAA-McCubbin-8-10-0.htm
www.the-catbird-seat.net/AAA-IRS-10-10-0.htm
www.the-catbird-seat.net/AAA-Reno-10-14-0.htm
www.the-catbird-seat.net/AAA-SEC-10-20-0.htm
www.the-catbird-seat.net/AAA-JUSTICE-10-31-0.htm
www.the-catbird-seat.net/AAA-Phillips-11-2-0.htm
www.the-catbird-seat.net/AAA-Tamm-11-4-0.htm
www.the-catbird-seat.net/AAA-SEC-11-25-0.htm
www.the-catbird-seat.net/AAA-Tamm-12-9-0.htm
www.the-catbird-seat.net/AAA-PWBA-12-27-0.htm
www.the-catbird-seat.net/AAA-HIC-12-29-0.htm
www.the-catbird-seat.net/AAA-SEC-1-5-1.htm
www.the-catbird-seat.net/AAA-KSBE-IRS-1-12-1.htm
www.the-catbird-seat.net/AAA-PWBA-1-12-1.htm
www.the-catbird-seat.net/AAA-KSBE-IRS-2-24-1.htm
www.the-catbird-seat.net/AAA-KATZ-3-4-1.htm
www.the-catbird-seat.net/AAA-Guttman-4-2-1.htm
www.the-catbird-seat.net/AAA-Guttman-4-5-1.htm
www.the-catbird-seat.net/AAA-Guttman-4-18-1.htm
www.the-catbird-seat.net/AAA-Guttman-5-1-1.htm
www.the-catbird-seat.net/AAA-Guttman-5-10-1.htm
www.the-catbird-seat.net/AAA-Guttman-Tax-5-22-1.htm
www.the-catbird-seat.net/AAA-Guttman-5-29-1.htm
www.the-catbird-seat.net/AAA-Guttman-6-2-1.htm
www.the-catbird-seat.net/AAA-Guttman-6-7-1.htm
www.the-catbird-seat.net/AAA-Guttman-IRS-6-14-1.htm
www.the-catbird-seat.net/AAA-Guttman-IRS-W2-3-28-2.htm
www.the-catbird-seat.net/AAA-KSpens-4-9-2.htm
www.the-catbird-seat.net/AAA-KSpens-4-10-2.htm
www.the-catbird-seat.net/AAA-Guttman-W-2-Tax-4-15-2.htm
www.the-catbird-seat.net/AAA-KSpens-6-20-2.htm
www.the-catbird-seat.net/AAA-KSpens-7-11-2.htm
www.the-catbird-seat.net/AAA-KSpens-9-11-2.htm
www.the-catbird-seat.net/AAA-Guttman-10-15-2.htm
www.the-catbird-seat.net/AAA-Katz-IRS-11-4-2.htm
www.the-catbird-seat.net/AAA-Tius-IRS-11-4-2.htm
www.the-catbird-seat.net/AAA-KSpens-11-25-2.htm
www.the-catbird-seat.net/AAA-Guttman-12-17-2.htm
www.the-catbird-seat.net/AAA-Guttman-IRS-1-21-3.htm
www.the-catbird-seat.net/AAA-GuttmanTaxes-3-29-3.htm
www.the-catbird-seat.net/AAA-P-C-5-27-3.htm
www.the-catbird-seat.net/AAA-P-C-6-16-3.htm
www.the-catbird-seat.net/AAA-7-17-3.htm
www.the-catbird-seat.net/AAA-7-19-3.htm
www.the-catbird-seat.net/AAA-7-22-3.htm
www.the-catbird-seat.net/AAA-7-25-3.htm
www.the-catbird-seat.net/AAA-8-5-3.htm
www.the-catbird-seat.net/AAA-8-7-3.htm
www.the-catbird-seat.net/AAA-8-8-3.htm
www.the-catbird-seat.net/AAA-8-8b-3.htm
www.the-catbird-seat.net/AAA-8-9-3.htm
www.the-catbird-seat.net/AAA-8-15-3.htm
www.the-catbird-seat.net/AAA-8-18-3.htm
www.the-catbird-seat.net/AAA-8-19-3.htm
www.the-catbird-seat.net/AAA-8-19-3b.htm
www.the-catbird-seat.net/AAA-Katz-8-19-3.htm
www.the-catbird-seat.net/AAA-8-20-3.htm
www.the-catbird-seat.net/AAA-9-8-3.htm
www.the-catbird-seat.net/AAA-9-15-3.htm
www.the-catbird-seat.net/AAA-9-17-3.htm
www.the-catbird-seat.net/AAA-Island-9-17-3.htm
www.the-catbird-seat.net/AAA-9-19-3.htm
www.the-catbird-seat.net/AAA-9-20-3.htm
www.the-catbird-seat.net/AAA-9-23-3.htm
www.the-catbird-seat.net/AAA-9-24-3.htm
www.the-catbird-seat.net/AAA-9-29-3.htm
www.the-catbird-seat.net/AAA-9-30-3.htm
www.the-catbird-seat.net/AAA-10-01-3.htm
www.the-catbird-seat.net/AAA-10-02-3.htm
www.the-catbird-seat.net/AAA-10-3-3.htm
www.the-catbird-seat.net/AAA-10-4-3.htm
www.the-catbird-seat.net/AAA-10-6-3.htm
www.the-catbird-seat.net/AAA-10-6-3b.htm
www.the-catbird-seat.net/AAA-10-7-3.htm
www.the-catbird-seat.net/AAA-10-8-3.htm
www.the-catbird-seat.net/AAA-10-9-3.htm
www.the-catbird-seat.net/AAA-10-14-3.htm
www.the-catbird-seat.net/AAA-10-15-3.htm
www.the-catbird-seat.net/AAA-10-16-3.htm
www.the-catbird-seat.net/AAA-10-17-3.htm
www.the-catbird-seat.net/AAA-10-18-3.htm
www.the-catbird-seat.net/AAA-10-20-3.htm
www.the-catbird-seat.net/AAA-10-22-3.htm
www.the-catbird-seat.net/AAA-KSpens-12-17-3.htm
www.the-catbird-seat.net/AAA-P-C-1-28-4.htm
www.the-catbird-seat.net/AAA-P-C-2-19-4.htm
www.the-catbird-seat.net/AAA-P-C-2-25-4.htm
www.the-catbird-seat.net/AAA-3-1-4.htm
www.the-catbird-seat.net/AAA-P-C-3-9-4.htm
www.the-catbird-seat.net/AAA-3-9-4.htm
www.the-catbird-seat.net/AAA-3-10-4.htm
www.the-catbird-seat.net/AAA-3-12-4.htm
www.the-catbird-seat.net/AAA-3-18-4.htm
www.the-catbird-seat.net/AAA-3-19-4.htm
www.the-catbird-seat.net/AAA-3-20-4.htm
www.the-catbird-seat.net/AAA-4-1-4.htm
www.the-catbird-seat.net/AAA-4-6-4.htm
www.the-catbird-seat.net/AAA-P-C-4-7-4.htm
www.the-catbird-seat.net/AAA-4-12-4.htm
www.the-catbird-seat.net/AAA-4-13-4.htm
www.the-catbird-seat.net/AAA-4-15-4.htm
www.the-catbird-seat.net/AAA-4-16-4.htm
www.the-catbird-seat.net/AAA-5-4-4.htm
www.the-catbird-seat.net/AAA-5-10-4.htm
www.the-catbird-seat.net/AAA-5-13-4.htm
www.the-catbird-seat.net/AAA-5-15-4.htm
www.the-catbird-seat.net/AAA-5-20-4.htm
www.the-catbird-seat.net/AAA-P-C-5-26-4.htm
www.the-catbird-seat.net/AAA-5-27-4.htm
www.the-catbird-seat.net/AAA-5-28-4.htm
www.the-catbird-seat.net/AAA-Guttman-5-29-4.htm
www.the-catbird-seat.net/AAA-5-31-4.htm
www.the-catbird-seat.net/AAA-Guttman-6-2-4.htm
www.the-catbird-seat.net/AAA-6-2-4.htm
www.the-catbird-seat.net/AAA-Guttman-6-4-4.htm
www.the-catbird-seat.net/AAA-6-4-4.htm
www.the-catbird-seat.net/AAA-6-8-4.htm
www.the-catbird-seat.net/AAA-6-8-4b.htm
www.the-catbird-seat.net/AAA-6-9-4.htm
www.the-catbird-seat.net/AAA-NaKumuBook-6-10-4.htm
www.the-catbird-seat.net/AAA-NaKumuBook-6-12-4.htm
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For some more “birds of a feather” that you’ll also find building nests in this tree...
NEW >>> ACT 221 <<< NEW
KAJIMA: BLOOD, BRIBES & BRUTALITY
THE KAMEHAMEHA SCHOOLS PENSION PLAN
NEW >>> PARADISE PAVED <<< NEW
POINTING THE FINGER AT WORLDPOINT
SUKAMTO SIA: THE INDONESIAN CONNECTION
THE VULTURES IN MAUNAWILI VALLEY
DIRTY MONEY, DIRTY POLITICS & BISHOP ESTATE
THE MARSH BIRDS: MARSH & McLENNAN
VULTURES OF THE SANDWICH ISLES
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TO GO TO THE TOP OF THE TREE!
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Latest update June 13, 2004, by The Catbird