May 27, 2015, Los Angeles, California. U.S. District Judge Fernando Olguin of the U.S. District Court has granted
summary judgment against Plaintiffs Joseph Odish, John Bourbeau and Cranbrook
Capital Consulting Group, who had sued Mr. Fredman's clients, Cognitive
Code Corporation and their founders and counsel. Plaintiffs had alleged
they were entitled to a non-dilutable 37.5 percent ownership share of
defendant company based on written agreements, and damages against the
company and its founders. In its decision and judgment entered on May
27, 2015, Judge Olguin found that the subject agreements were voidable
because plaintiff Odish, as an attorney, failed to comply with his ethical
duties for business transactions between attorneys and their clients.
The Court found that the agreements were unfair to Odish's clients,
that Odish had not fully advised his clients as to the pros and cons of
the written agreements, and that Odish had failed to advise his clients
in writing of their right to seek independent counsel and afforded them
a reasonable opportunity to seek advice. Judge Olguin's opinion is
here.