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Prepared by Counsel Superer Sra SAe
SUPERIOR COURT OF THE STATE OF CALIFOR®SUBRK OF THE COWAT
BY
IN AND FOR THE COUNTY OF SAN FRANCISCO
INSURANCE COMMISSIONER OF THE STATE No. CPF-16-515183
OF CALIFORNIA,
Applicant,
Vv.
CASTLEPOINT NATIONAL INSURANCE STIPULATION AND
COMPANY, and DOES. 1-50,-inclusive, -:) . +} AGREEME!
OF SETTLEMENT
iy 4/.g2 Respondents. “4 AND ED RDST
EITA (ITTY) PRUSS, 4-1-2° fe
Pest yeh). OSS. ‘Applicant ' “geht Masten
a EEE ASE A
EITA (ITTY) PRUSS,
Applicant.
SUPREME COURT OF THE STATE OF NEW YORK
COUNTY OF NEW'YORK-*:; ° -
xX
EITY (ITTY) PRUSS and HARRY L. KLEIN, ESQ., .
Plaintiffs, Index No. 150223/18
-against-
AMTRUST NORTH AMERICA INC.,
AMTRUST FINANCIAL SERVICES, INC.,
BRIAN KUHN, SHERRI N. PAVLOFF,
FARBER BROCKS & ZANE L.L-P.,
LESTER SCHWAB KATZ & DWYER, LLP,
sy " Defendants.
STIPULATION AND AGREEMENT OF SETTLEMENT
JUL 07 2020
D
tsYD UW BF WwW ND
SUPREME COURT OF THE STATE OF NEW YORK
COUNTY OF NEW YORK
EITA (ITTY) PRUSS,
X
Plaintiff, Index No. 160221/18
-against-
INFINITY OF MANHATTAN, INC., MASSAMBA
SECK, BAY RIDGE AUTOMOTIVE
MANAGEMENT CORP., AMTRUST NORTH
AMERICA INC. AND AMTRUST FINANCIAL
SERVICES, INC.,
Defendants.
X
This case having come on for multiple settlement conferences with the Honorable Judge
Jeffrey S. Ross, it is hereby stipulated that this matter is settled pursuant to the following terms
and conditions:
1. Eita (Itty) Pruss (hereinafter “Pruss”), AmTrust Financial Services, Inc. AmTrust
North America, Inc. and Brian Kuhn, (hereinafter “AmTrust”), and the Insurance Commissioner
of the State of California, as Liquidator, of the Estate of CastlePoint National Insurance Company
(hereinafter “Commissioner”) (collectively “Parties”), stipulate that the settlement does not
constitute an admission of liability by any Party hereto, and that this settlement is reached to save
the expenditure of substantial monies and assets on the above captioned litigations.
2. The Parties agree that the total sum of Four Million ($4,000,000.00) Dollars (“Total
Settlement Amount”), shall be paid to Eita Pruss and her attorneys The Edelsteins Faegenburg and
Brown, in portions as follows: $2,190,000 by AmTrust; and $1,810,000 by the Commissioner from
the Estate of CastlePoint National Insurance Company (hereinafter “CastlePoint”), as a present
valued discount of the estimate of the percentage to be paid to approved Class 2 Claims as payment
in full to resolve all Pruss’ claims against the Parties, arising from, or in any way related to, the
actions and special proceedings set forth in the captions above and the matters and transactions
described in the pleadings, claims and submissions therein submitted to the Superior Court of the
-2-
STIPULATION AND AGREEMENT OF SETTLEMENTCoe YN DW F BN
RY NY NY YN NY NR KN KY Se Be Be Be ewe ew ewe Be
oI A A FH NH =F SO wW HN DA wA BRB WH SF
State of California in and for the County of San Francisco and in the actions captioned above
pending in the Supreme Court of the State of New York, County of New York. The Parties
expressly agree that in no event shall AmTrust or the Commissioner be liable or responsible to
Pruss for the other’s portion of the Total Settlement Amount.
3. Pruss agrees to accept said sums with knowledge that she will be barred from any
further proceedings of any kind or nature against AmTrust, their affiliates, subsidiaries, officers,
directors, employees, agents, attorneys, (excepting from this provision attorney Sherri Pavloff and
the law firm Farber Brocks & Zane, LLP, and the law firm of Lester Schwab Katz & Dwyer, who
and which Pruss is currently suing and which lawsuit may be pursued either individually or as part
of a consolidated action with AmTrust), CastlePoint, and the Commissioner in the future in any
way concerning the matters referenced in the above captioned actions and proceeding.
4. This settlement is further conditioned upon full execution of this Stipulation And
Agreement of Settlement, and the following conditions:
a. Full and complete payment of the AmTrust portion of the Settlement Amount will be
made within thirty (30) days of the execution of this Stipulation by all Parties.
b. The Commissioner’s obligation to pay his full portion of the Total Settlement Amount
is conditioned upon the entry of an order by the court in the Liquidation proceeding for CastlePoint
approving the payment by the Commissioner of the amount specified in paragraph 2 hereof.
c. Pruss shall execute and provide to counsel for AmTrust a stipulation documenting the
dismissal with prejudice, and without costs to any Party, of all pending actions or proceedings
against AmTrust, either in New York or California, including the captioned case bearing Index
No. 150223/18, as against AmTrust, including Kuhn, only, and the captioned case bearing Index
No. 160221/2018, which case is to be dismissed in its entirety. (Copies of the form of dismissal
are appended hereto as Exhibits 1, and 2 respectively.) Such dismissals will be held in escrow by
-3-
STIPULATION AND AGREEMENT OF SETTLEMENTco em ND WH RF WY
YN YN YN NN NY BY Be ee Be we Be ee eH
eo QY Aw FOB NH FF SOD WM NANDA RB WN SF OS
counsel for the respective Parties until such time as the Total Settlement Amount (defined as
$4,000,000.00) is paid by good funds, and such dismissals may only be filed with the court upon
written confirmation by Pruss’ counsel upon clearance in his law office’s IOLA account of the
Total Settlement Amount.
d. Pruss will execute a full and complete release prepared by AmTrust’s counsel and
counsel for the Commissioner which release shall include an express waiver of California Civil
Code section 1542, thereby releasing AmTrust, the CastlePoint estate and the Commissioner from
known and unknown claims which release will be held in escrow by AmTrust’s counsel pending
the payment of the Settlement Amount as set forth in Paragraph 4.a. and 4.b., above, at which time
the Release will be provided by AmTrust’s counsel to counsel for the Commissioner and to
AmTrust. (Form of the release is attached hereto as Exhibit 3).
e. Excluding the Commissioner, Harry L. Klein, Esq., co-plaintiff in the New York
County Supreme Court action bearing Index No. 150223/18 joins Pruss in the dismissal of his
claims as to AmTrust and Brian Kuhn in that action. The Stipulation of Discontinuance (see
Exhibit 1) and the Release (form attached as Exhibit 4) by Harry L. Klein, Esq. are to be held in
escrow under the same terms as Pruss’ Release and Stipulation of Discontinuance in paragraph
4.c. above.
f. AmTrust and Pruss shall bear her/its/their own costs and attorney's fees in connection
with all the litigations captioned and otherwise referenced herein.
g. Excluding the Commissioner, AmTrust and Pruss shall prepare and file motion papers
necessary to consolidate their respective New York State Supreme Court lawsuits pending in New
York County against Sherri Pavloff and Farber Brocks & Zane (hereinafter “FBZ”) into a single
action with a caption for the Supreme Court State of New York, County of New York: AmTrust
North America, Inc. and Eity (Itty) Pruss, Plaintiffs -against- Sherri Pavloff and Farber Brocks &
-4-
STIPULATION AND AGREEMENT OF SETTLEMENTco Om ND HW BF WN
RN NY N NR KRY KR KN KY Ye Se we Be Be Be Be ewe Be
2 IA WA BB NH =F Go we AY DHA BF BW NH SF SO
Zane, LLP, Defendants, and bearing Index No. 1568855/2019; together with a second caption for
Supreme Court of the State of New York, County of New York: Eity (Itty) Pruss and Harry L.
Klein, Esq., Plaintiffs, -against- Lester Schwab Katz & Dwyer LLP, Defendant, and bearing Index
No. 150223/18. AmTrust may elect its position in the action bearing Index No. 1568855/19 as first
named or second named plaintiff in said consolidated action for the sake of order of presentation
of evidence as well as order of opening and closing statements at any trial of the consolidated
action.
h. Excluding the Commissioner, AmTrust, Pruss and their counsel will engage in good
faith cooperation with each other in the consolidated actions, should the court grant such motion,
or in the event the actions are not consolidated, Pruss and AmTrust and their respective counsel
will still cooperate in good faith for the advancement of each of their and each other’s claims, as
if the motion to consolidate had been granted. As co-plaintiffs or individual plaintiffs against
Pavloff and FBZ, such good faith cooperation shall include, but not be limited to, sharing
information and strategies, cooperating in discovery, etc.
i. Excluding the Commissioner, AmTrust and Pruss will share in any and all recovery
obtained against Pavloff and/or FBZ on a 50%-50% basis, unless prior to the time of any such
recovery either Pruss or AmTrust is dismissed from the consolidated case, or if not consolidated,
the individual case of Pruss or AmTrust is dismissed. The Party whose case is dismissed shall not
be entitled to share in any recovery against Pavloff and/or FBZ obtained by the remaining Party
or remaining case. This preclusionary provision applies if and when the dismissal is upheld on
appeal, or if the dismissed Party opts to forego appeal of said dismissal. If there is an appeal and
a recovery is obtained before all appeals are final, the remaining Party’s counsel for the non-
dismissed Party shall retain 50% of any such recovery in escrow. If the dismissal is finally
reversed, the 50% in escrow shall be paid to counsel for the other Party. If the dismissal is
-5-
STIPULATION AND AGREEMENT OF SETTLEMENTaffirmed, then the 50% in escrow shall be paid to the remaining Party’s counsel. To the degree
that a recovery obtained includes payment for Pruss’ and AmTrust’s legal fees and expenses, that
part of any recovery will also be shared on a 50% - 50% basis as set forth above in this paragraph
4.h., including its proviso in case all of the claims made by either Pruss or AmTrust are finally
dismissed against one of those Parties.
j. Excluding the Commissioner, starting with the application to consolidate the Pruss and
AmTrust’s respective New York actions against Pavloff and/or FBZ, the Parties will share all
upfront/out-of-pocket expenses (not legal fees) of said joint litigation as against Pavloff and/or
FBZ, on the same 50%-50% basis. However, any expenditure of Five-Hundred ($500.00) Dollars
or more requires consultation and approval of the other co-plaintiff. In the event of a disagreement
between the Parties as to case expenditures, the dispute will be resolved as set forth in paragraph
4,j. below. However, if there is a resolution of the dispute over expenditures in favor of the Party
not wanting to spend more than $500.00, the other Party may proceed to spend the excess over its
share of $500.00, and the overage above $500.00 will be borne by the incurring Party should they
decide to make the payment at their option and that overage will not be factored into any shared
costs calculation.
k. Excluding the Commissioner, in the event Pruss and AmTrust engage in a dispute
stemming from a possible resolution of the consolidated New York action, the Parties have agreed
that such dispute will be first mediated by Judge Jeffrey S. Ross, who has agreed to serve as such
mediator. In the event Judge Ross cannot so serve, then the parties will either jointly agree on an
alternate, or ask the Manhattan, N.Y. office of JAMS to appoint a mediator from a list of six names
(three from each Party) presented to it. The cost of such mediation to be shared equally by the
parties. In the event the mediation fails, the dispute shall be decided by binding arbitration by the
New York City office of the American Arbitration Association (“AAA”) which shall appoint the
-6-
STIPULATION AND AGREEMENT OF SETTLEMENTarbitrator from a list of arbitrators (3 from each Party) unless one such candidate appears on the
list of both Parties, in which case the first such name so identified shall be appointed arbitrator.
The cost of arbitration to be borne equally.
1. The Parties agree that for purposes of enforcement in court of any legal proceeding, or
as an affirmative defense, this agreement may be disclosed and admitted into evidence.
m. Upon execution and exchange by all Parties of this Stipulation and Agreement of
Settlement, the releases called for herein, the dismissal called for herein and the payment of the
Settlement Amount, AmTrust and the Commissioner will withdraw their appeals currently pending
in the Court of Appeal of the State of California First Appellate District, Division Five.
5. This Agreement may be executed in one or more counterparts, each of which shall be
deemed an original, and will become effective and binding upon the Parties at such time as all the
signatories hereto have signed a counterpart of this Agreement. All counterparts so executed shall
constitute one Agreement binding on all the Parties hereto, notwithstanding that all of the Parties
are not a signatory to the same counterpart. The Superior Court of California, County of San
Francisco reserves jurisdiction to enforce the terms and conditions of the settlement pursuant to
California Code of Civil Procedure section 664.6 upon noticed motion of any Party. Each of the
Parties acknowledge that the Superior Court of California, County of San Francisco has personal
jurisdiction over them, and each agrees that in the event an enforcement action is necessary, each
Party agrees that it or they will not assert a defense based on, or objection to, the jurisdiction of
the Superior Court of California, County of San Francisco to entertain and issue a Judgment in
such a matter. The Parties each request the Court to retain jurisdiction pursuant to C.C.P § 664.6.
The Parties and counsel signing below understand and agree to this settlement and compromise of
the California and New York litigations between them on the basis set forth above.
-7-
STIPULATION AND AGREEMENT OF SETTLEMENT6. This Stipulation and Agreement of Settlement is binding and enforceable and is
effective as of the date So Ordered by the California Superior Court as to AmTrust and represents
the final agreement between the Pruss and AmTrust to this dispute, and each of them, pursuant to
California Evidence Code section 1123.
7. This Stipulation and Agreement of Settlement is binding, enforceable, effective and
payable as of the date of finality of an order entered in the Liquidation proceeding for CastlePoint
approving the payment by the Commissioner of the amount specified in paragraph 2 hereof and
represents the final agreement between Pruss and the Commissioner to this dispute, and each of
them, pursuant to California Evidence Code section 1123. Finality shall be determined pursuant to
Rule 8.104 of the California Rules of Court, Rule 8.104.
8. Pruss and her counsel agree that Pruss’ counsel shall retain the first received portion
of settlement monies (be it from AmTrust or the Commissioner) in escrow until such time as the
second and final received portion of settlement monies (be it from the Commissioner if AmTrust’s
payment predates the Commissioner’s payment, and vice versa) is fully paid and cleared (inclusive
of any court order required for release of said portion). In the event one or both portions are not
made, Pruss and her counsel agree to return the first received portion from escrow to the Party that
has paid, and this Stipulation and Agreement of Settlement will be deemed null and void.
9. Pruss, AmTrust and their respective signatories hereto agree to restrict the use,
application, and disclosure of this Stipulation and Agreement of Settlement to the following four
(4) litigations: i) California State Superior Court for San Francisco action No. CPF-16-515183; ii)
New York State Supreme Court for New York County action Index No. 150223/2018; iii) New
York State Supreme Court for New York County action Index No. 160221/2018; iv) New York
State Supreme Court for New York County action Index No. 156855/2019; and any related appeals
in those actions, if applicable.
-8-
STIPULATION AND AGREEMENT OF SETTLEMENT10. The Commissioner shall have the discretion to use, apply, and/or disclose this
Stipulation and Agreement of Settlement pursuant to, and in the fulfillment of, his responsibilities
as Commissioner, conservator, liquidator, and/or rehabilitator, pursuant to the laws of the State of
California.
11. In the event the Commissioner is unable to pay his portion of the Total Settlement
Amount following date of entry of the Order Approving Settlement plus as much as 60 days (due
to any objection and/or appeal following such objection) Pruss’ counsel will be permitted to move
the AmTrust portion of this settlement from his [OLA account to an interest bearing account.
although Pruss’ counsel may not distribute the principal amount of AmTrust’s portion of the
settlement until such time as the Commissioner has paid his portion to Pruss, in keeping with
paragraph 8 above.
12. This Stipulation and Agreement of Settlement is comprised of ten (10) total pages.
DATED: June 020
yf Nexllegp Puss E
EITA (ITTY) PRUSS
Cds
Counsel for AmTrust and Brian Kuhn ‘AmTrust North America Inc.’s
Authorized Representative
AmTrust Financial Services, Inc.’s
Authorized Representative
Brian Kuhn
Cynthia Larsen, Counsel for Commissioner Ricardo Lara, Insurance Commissioner
of the State of California, as Liquidator of the State of California
-9--
STIPULATION AND AGREEMENT OW SETTLEMENTCoe YN DA HW BF WN |
NN NY NY YN NN NY — | Be ewe Be we ewe Be ew
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10. The Commissioner shall have the discretion to use, apply, and/or disclose this
Stipulation and Agreement of Settlement pursuant to, and in the fulfillment of, his responsibilities
as Commissioner, conservator, liquidator, and/or rehabilitator, pursuant to the laws of the State of
California.
11. In the event the Commissioner is unable to pay his portion of the Total Settlement
Amount following date of entry of the Order Approving Settlement plus as much as 60 days (due
to any objection and/or appeal following such objection) Pruss’ counsel will be permitted to move
the AmTrust portion of this settlement from his IOLA account to an interest bearing account,
although Pruss’ counsel may not distribute the principal amount of AmTrust’s portion of the
settlement until such time as the Commissioner has paid his portion to Pruss, in keeping with
paragraph 8 above.
12. This Stipulation and Agreement of Settlement is comprised of ten (10) total pages.
DATED: June 18; 2020
Ne
Chuntsel’ for Pruss EIT/A {ITTY),PRUSS
ht Ape — (—
Counsel for AmTrust and Brian Kuhn An\Trust North America Inc.’s
Te Representative
AihTrust Financial Services, Inc.’s
Authorized Representative
Brian Kuhn
Cynthia Larsen, Counsel for Commissioner Ricardo Lara, California Insurance
the State of California, as Liquidator Commissioner, as Liquidator of CastlePoint
of CastlePoint by and through Joseph Holloway, CEO of
the Conservation and Liquidation Office &
9 ne V Manager
STIPULATION AND AGREEMENT OHSETTLEMENT‘DocSign Envelope !D; FB18B3A7-EEBA-4CAB-BAAB-B256834CAFSD
| DATED: June 18,2020.
10. The Commissioner ‘shall have the discretion. to use, apply, and/or disclose this
Stipulation and Agreement of Settlement. pursuant to, and in the fulfillment of, his responsibilities
as Commissioner, conservator, liquidator, and/or rehabilitator, pursuant tothe laws of the State of
Califomia.
11. Inthe event the Commissioner.is unable to:pay ‘his portion of the Total Settlement
Aimount following date of entry of the Order Approving Settlement plus as much as.60 days (due
to-any objection and/or appeal following such objection) Pruss’ counsel will.be permitted to move
the AmTrust portion of this settlement from his IOLA account. to an interest bearing, account,
although -Pruss’ counsel’ may ‘not distribute the principal, amount of AmTrust’s portion of the:
settlement until such time-as:the Commissioner has paid his portion to:Pruss, in keeping with ;
paragraph. 8 above.
12.. This Stipulation and Agreement of Settlement.is comprised of ten (10) tofal pages.
ML
CaynSel,for Pruss”
EITA (ITTY) PRUSS
esp.
{ Septem tages
‘ilrust North America Inc.'s
Authorized Representative
Trust and Brian Kuhn
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ase
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ar
Brian Kuhn
Cynthia Larsen, Counsel for Commissioner Ricardo Lara, Insurance Commissioner
of the State of California, as Liquidator of the State of California
-9-&
STIPULATION AND AGREEMENT OJ SETTLEMENT10. The Commissioner shall have the discretion’ to use, apply, and/or disclose this
Stipulation and Agreement of Settlement pursuant to, and in the fulfillment of, his responsibilities
as Commissioner, conservator, liquidator, and/or rehabilitator, pursuant to the laws of the State of
California.
11. In the event the Commissioner is unable to pay his portion of the Total. Settlement
Amount following date of entry of the Order Approving Settlement plus as much as 60 days (due
to any objection and/or appeal following such objection) Pruss’ counsel will be permitted to move
the AmTrust portion of this settlement from his IOLA account to an interest bearing account,
although Pruss’ counsel may not distribute the principal amount of AmTrust’s portion of the
settlement until such time as the Commissioner has paid his portion to Pruss, in keeping with
paragraph 8 above.
12. This Stipulation and Agreement of Settlement is comprised of ten (10) total pages.
DATED: June 18, 2020
Counsel for Pruss EITA (ITTY) PRUSS:
Counsel for AmTrust and Brian Kuhn AmTrust North America Inc.’s
Authorized Representative
AmTrust Financial Services, Inc.’s
Authorized Representative
Ln _
Sal Larsen, Counsel for California Ricardo Lara, California Insurance
Insurance Commissioner, as Liquidator of | Commissioner, as Liquidator of CastlePoint
CastlePoint by and through Joseph Holloway, CEO of
the Conservation-& Liquidation Office &
-9D Conservation Manager
STIPULATION AND AGREEMENT OF SETTLEMENTCo Oe YN DW FF BW N
BRYN KN NR KN BS Be Be eB eB ew eB ew eB
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10. The Commissioner shall have the discretion to use, apply, and/or disclose this
Stipulation and Agreement of Settlement pursuant to, and in the fulfillment of, his responsibilities
as Commissioner, conservator, liquidator, and/or rehabilitator, pursuant to the laws of the State of
California.
11. In the event the Commissioner is unable to pay his portion of the Total Settlement
Amount following date of entry of the Order Approving Settlement plus as much as 60 days (due
to any objection and/or appeal following such objection) Pruss’ counsel will be permitted to move
the AmTrust portion of this settlement from his IOLA account to an interest bearing account,
although Pruss’ counsel may not distribute the principal amount of AmTrust’s portion of the
settlement until such time as the Commissioner has paid his portion to Pruss, in keeping with
paragraph 8 above.
12. This Stipulation and Agreement of Settlement is comprised of ten (10) total pages.
DATED: June 18, 2020
Counsel for Pruss EITA (ITTY) PRUSS
Counsel for AmTrust and Brian Kuhn AmTrust North America Inc.’s
Authorized Representative
AmTrust Financial Services, Inc.’s
Authorized Representative
Brian Kuhn
Cynthia Larsen, Counsel for Commissioner icaydo Lara, California Insurance
the State of California, as Liquidator Cc issioner, as Liquidator of CastlePoint
of CastlePoint by and through Joseph Holloway, CEO of
the Conservation and Liquidation Office &
Con: ition Manager
9-6 i
STIPULATION AND AGREEMENT OF SETTLEMENTORDER
The parties having requested that this Court reserve jurisdiction, it is hereby ordered that this
Court retains jurisdiction pursuant to C.C.
jurisdiction of the Liquidation Court.
Dated: July # 2020
P § 664.6. except as to those matters within the
QR
HON. J
909254v25
[FFREY S. ROSS
OF THE SUPERIOR COURT
-10-
STIPULATION AND AGREEMENT OF SETTLEMENTEXHIBIT #1SUPREME COURT OF THE STATE OF NEW YORK
COUNTY OF NEW YORK .
Index no.: 150223/18
X
EITA (ITTY) PRUSS and HARRY L. KLEIN, ESQ.,
Plaintiff, :
-against- STIPULATION OF
- DISCONTINUANCE
AMTRUST NORTH AMERICA INC., WITH PREJUDICE AS TO
AMTRUST FINANCIAL SERVICES, INC., ONLY DEFENDANTS
BRIAN KUHN, SHERRI N. PAVLOFF, AMTRUST NORTH AMERICA
FARBER BROCKS & ZANE L.L.P., and INC., AMTRUST FINANCIAL
LESTER SCHWAB KATZ & DWYER, LLP, SERVICES, INC., and BRIAN
KUHN
Defendants.
IT IS HEREBY STIPULATED AND AGREED by and between the undersigned, the attomeys
of record for all the parties in the above entitled action, that whereas no party hereto is an infant or
incompetent person for whom a committee has been appointed and no persén not a party has an interest in
the subject matter of the action, the above éntitled action be, and the same hereby is discontinued AS TO
ONLY DEFENDANTS AMTRUST NORTH AMERICA INC., AMTRUST FINANCIAL
SERVICES, INC., and BRIAN KUHN, with prejudice, without costs to either party as against the other.
The prosecution of this action against all other remaining defendants will continue until the
resolution of said action and further stipulation of discontinuance against the remaining defendants is filed.
This stipulation may be filed without further notice with the Clerk of the Court.
Dated: June 18, 2020
New York, New York
Paul J. Esq. Michael D. Brown, Esq.
THE EDELSTEINS FAEGENBURG RUSKIN MOSCOU FALTISCHEK, P.C.
& BROWN LLP Attorneys for Defendants
Attorneys for Plaintiffs AMTRUST NORTH AMERICA INC. and
EITA (ITTY) PRUSS, and AMTRUST FINANCIAL SERVICES, INC.
HARRY L.KLEIN, ESQ. 1425 RXR Plaza .
26 Broadway, Suite 901 East Tower, I'Stn Floor
New York, New York 10004 - Uniondale, New York 11566-1425
(212) 425-1999 (516) 663-6600
paul@efbpilaw com rbrown@rmfpe.comEXHIBIT #2SUPREME COURT OF THE STATE OF NEW YORK
COUNTY OF NEW YORK.
x Index no.: 160221/2018
EITA (ITTY) PRUSS,
Plaintiff,
-against-
STIPULATION OF
INFINITI OF MANHATTAN, INC., DISCONTINUANCE
MASSAMBA SECK, BAY RIDGE AUTOMOTIVE WITH PREJUDICE AS
MANAGEMENT CORP., AMTRUST NORTH TO ALL NAMED
AMERICA INC., and AMTRUST FINANCIAL DEFENDANTS
SERVICES, INC.,
Defendants.
xX
IT IS HEREBY STIPULATED AND AGREED by and between the undersigned, the attomeys
of record for all the parties in the above entitled action, that whereas no party hereto is an infant or
incompetent person for whom a committee has been:appointed and no person not a party has an interest in
the subject matter of the action, the. above entitled action be, and the same hereby is discontinued, with
prejudice, without costs to either party as against the other.
This stipulation may be filed without further notice with the Clerk of the Court.
Dated: jime 17, 2020
Paul J. tein, Esq. Michael D. Brown, Esq.
THE EDELSTEINS FAEGENBURG RUSKIN MOSCOU FALTISCHEK, P.C.
& BROWN LLP Attomeys for Defendants
Attomeys for Plaintiff AMTRUST NORTH AMERICA INC. and.
EITA (TTY) PRUSS AMTRUST FINANCIAL SERVICES, INC.
26 Broadway, Suite 901 1425 RXR Plaza
‘New York, New York 10004 East Tower, 15" Floor
(212) 425-1999 Uniondale, New York 11566-1425
paul@efbpilaw.com (516).663-6600
rhrown( c.com
By:
ABRAMS, FENSTERMAN, FENSTERMAN,
EISMAN, FORMATO, FERRARA, WOLF, & CARONE, LLP
Attorneys for Defendants
INFINITI OF MANHATTAN, INC. AND
BAY RIDGE AUTOMOTIVE
MANAGEMENT CORP.
One MetroTech Ctr, Suite 1701
Brooklyn, NY 11201
(718) 215-5300
agenovesi@abramslaw.comEXHIBIT #3Serial No: 109/2020 : -"yP0 90D
AUTHENTICATION OF SIGNATURE
I the undersigned Menachem Shenkar
Notary holding license no. 2105166 at 46
Yirmiyahu st. (8 Tchelet Mordechay st.
Ganey-Geula), POB 36619 Jerusalem
9136601 Tel: 052-7671006, hereby certify
that on 06/21/2020 there appeared
before me Ms. Eita Pruss whose identity
was proved to me by Israeli ID No.
203171327 issued on 11/19/2017 and
signed of her own free will the attached
document marked "A".
In witness whereof I hereby authenticate
the signature of Ms. Eita Pruss in by my
own signature and seal this June 21,
2020.
wa
DDN HIN
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DoVTY 36619 An (MIWA 8 LTD
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PND MON 9) %99 MAN 21/06/2020
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bya mw =—-203171327, TavN
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Notary Signature
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GENERAL RELEASE
TO ALL WHOM THESE PRESENTS SHALL COME OR MAY CONCERN, KNOW
THAT, Eita (ITTY) Pruss as Releasor for herself and for her beneficiaries,
heirs, devisees, executors, and administrators, pursuant to the June 2020 So
Ordered Stipulation and Agreement of Settlement, and in consideration of the
sum of Ten and 00/100 ($10.00) Dollars, and other good and valuable
consideration, receipt whereof is hereby acknowledged, received from, or on
behalf of, AmTrust North America Inc., AmTrust Financial Services, Inc., Brian
Kuhn, the Insurance Commissioner of the State of California, as Liquidator, and
the Estate of CastlePoint National Insurance Company, as Releasees, release
and discharge the Releasees, Releasees’ predecessors, successors,
subsidiaries, affiliates, , heirs, executors, administrators, officers, diretors,
employees, attorneys (excepting from this- provision attorney Sherri Pavloff
and the law firm Farber Brocks & Zane, LLP, and the law firm of Lester
Schwab Katz & Dwyer, who and which Pruss is currently suing and will
continue to prosecute any and all claims she has or may have against those
defendants), agents (other than Ms. Pavloff and the two (2) law firms identified
above), and/or assigns from all actions, causes of action, suits, debts, dues, sums of
money, accounts, reckonings, bonds, bills, specialties, covenants, contracts,
controversies, agreements, promises, variances, trespasses, damages, judgments,
extents, executions, claims, proofs of claim (whether or not allowed), and
demands whatsoever, in law, admiralty, or equity which against the Releasees, the
Releasor, Releasor’s attorneys, agents, heirs, executors, administrators and/or
assigns, in their capacity as such, ever had, now have or hereafter can, shall, or
may have, for, upon, or by reason of any matter, cause or thing whatsoever from
the beginning of the world to the date of this General Release. The Releasor
acknowledges that she has been advised of the provisions of Section 1542 of the
California Civil Code, and expressly waives any and all rights and benefits that
she may have under Section 1542, which provides as follows: A GENERAL
RELEASE DOES NOT EXTEND TO CLAIMS THAT THE CREDITOR OR
RELEASING PARTY DOES NOT KNOW OR SUSPECT TO EXIST IN HIS OR
HER FAVOR AT THE TIME OF EXECUTING THE RELEASE AND THAT, IF
KNOWN BY HIM OR HER, WOULD HAVE MATERIALLY AFFECTED HIS
OR HER SETTLEENT WITH THE DEBTOR OR RELEASED PARTIES.
Whenever the text hereof requires, the use of the singular number shall
include the appropriate plural number as the text of the within instrument may
require. This Release may not be changed orally.
IN WITNESS, WHEREOF, the Releasor have caused this Release to be
executed on June , 2020.
py. Eke (tb) Ross E.?
EITA (ITTY) PRUSSWe
STATE OF ISRAEL )
CITY OF JERUSALEM } se
On the 21 day of June, 2020, before me, the undersigned, personally
appeared EITA (ITTY) PRUSS, personally known to me or proved to me on the
basis of satisfactory evidence to be the individual whose name is subscribed to the
within Release and acknowledged to me that she executed the same and that by her
signature on the instrument, the individual executed the instrument.
a
NOTARY PUBLIC \\ 4
OoEXHIBIT #4GENERAL RELEASE
TO ALL WHOM THESE PRESENTS SHALL COME OR MAY CONCERN, KNOW
THAT, Harry L. Klein, Esq,, as Releasor for himself and for his beneficiaries,
heirs, devisees, executors, and administrators, pursuant to the June 2020 So
Ordered Stipulation and Agreement of Settlement, and in consideration of the
sum of Ten and 00/100 ($10.00) Dollars, and other good and valuable
consideration, receipt whereof is hereby acknowledged, received from, or on
behalf of, AmTrust North America Inc., AmTrust Financial Services, Inc., Brian
Kuhn, the Insurance Commissioner of the State of California, as Liquidator, and
the Estate of CastlePoint National Insurance Company, as Releasees, release
and discharge the Releasees, Releasees’ predecessors, successors,
subsidiaries, affiliates, heirs, executors, administrators, officers, diretors,
employees, attorneys (excepting from this provision attorney Sherri Pavloff
and the law firm Farber Brocks & Zane, LLP, and the law firm of Lester
Schwab Katz & Dwyer, who and which Pruss is currently suing and will
continue to prosecute any and all claims she has or may have against those
defendants), agents (other than Ms. Pavloff and the two (2) law firms identified
above), and/or assigns from all actions, causes of action, suits, debts, dues, sums of
money, accounts, reckonings, bonds, bills, specialties, covenants, contracts,
controversies, agreements, promises, variances, trespasses, damages, judgments,
extents, executions, claims, proofs of claim (whether or not allowed), and
demands whatsoever, in law, admiralty, or equity which against the Releasees, the
Releasor, Releasor’s attorneys, agents, heirs, executors, administrators and/or
assigns, in their capacity as such, ever had, now have or hereafter can, shall, or
may have, for, upon, or by reason of any matter, cause or thing whatsoever from
the beginning of the world to the date of this General Release. The Releasor
acknowledges that she has been advised of the provisions of Section 1542 of the
California Civil Code, and expressly waives any and all rights and benefits that
she may have under Section 1542, which provides as follows: A GENERAL
RELEASE DOES NOT EXTEND TO CLAIMS THAT THE CREDITOR OR
RELEASING PARTY DOES NOT KNOW OR SUSPECT TO EXIST IN HIS OR
HER FAVOR AT THE TIME OF EXECUTING THE RELEASE AND THAT, IF
KNOWN BY HIM OR HER, WOULD HAVE MATERIALLY AFFECTED HIS
OR HER SETTLEENT WITH THE DEBTOR OR RELEASED PARTIES.
Whenever the text hereof requires, the use of the singular number shall
include the appropriate plural number as the text of the within instrument may
require. This Release may not be changed orally.
IN WITNESS WHEREOF, the Releasor have caused this Release to be
executed on June 23, 2020.
By: Lorry £. Bec
HARRY L.KLEIN, ESQ.STATE OF NEW YORK )
)ss.:
COUNTY OF KINGS )
On the Zz day of June, 2020, before me, the undersigned, personally
appeared HARRY L. KLEIN, ESQ., personally known to me or proved to me on the
basis of satisfactory evidence to be the individual whose name is subscribed to the
within Release and acknowledged to me that she executed the same and that by her
signature on the instrument, the individual executed the instrument.
OTARY PUBLIC
BOBBY P.SONI
Notary Public, State of New York
No. 01806193740
Qualified in Kings County
Commission Expires September 22, 2020
Preview
FUL Prepared by Counsel Superer Sra SAe SUPERIOR COURT OF THE STATE OF CALIFOR®SUBRK OF THE COWAT BY IN AND FOR THE COUNTY OF SAN FRANCISCO INSURANCE COMMISSIONER OF THE STATE No. CPF-16-515183 OF CALIFORNIA, Applicant, Vv. CASTLEPOINT NATIONAL INSURANCE STIPULATION AND COMPANY, and DOES. 1-50,-inclusive, -:) . +} AGREEME! OF SETTLEMENT iy 4/.g2 Respondents. “4 AND ED RDST EITA (ITTY) PRUSS, 4-1-2° fe Pest yeh). OSS. ‘Applicant ' “geht Masten a EEE ASE A EITA (ITTY) PRUSS, Applicant. SUPREME COURT OF THE STATE OF NEW YORK COUNTY OF NEW'YORK-*:; ° - xX EITY (ITTY) PRUSS and HARRY L. KLEIN, ESQ., . Plaintiffs, Index No. 150223/18 -against- AMTRUST NORTH AMERICA INC., AMTRUST FINANCIAL SERVICES, INC., BRIAN KUHN, SHERRI N. PAVLOFF, FARBER BROCKS & ZANE L.L-P., LESTER SCHWAB KATZ & DWYER, LLP, sy " Defendants. STIPULATION AND AGREEMENT OF SETTLEMENT JUL 07 2020 D tsYD UW BF WwW ND SUPREME COURT OF THE STATE OF NEW YORK COUNTY OF NEW YORK EITA (ITTY) PRUSS, X Plaintiff, Index No. 160221/18 -against- INFINITY OF MANHATTAN, INC., MASSAMBA SECK, BAY RIDGE AUTOMOTIVE MANAGEMENT CORP., AMTRUST NORTH AMERICA INC. AND AMTRUST FINANCIAL SERVICES, INC., Defendants. X This case having come on for multiple settlement conferences with the Honorable Judge Jeffrey S. Ross, it is hereby stipulated that this matter is settled pursuant to the following terms and conditions: 1. Eita (Itty) Pruss (hereinafter “Pruss”), AmTrust Financial Services, Inc. AmTrust North America, Inc. and Brian Kuhn, (hereinafter “AmTrust”), and the Insurance Commissioner of the State of California, as Liquidator, of the Estate of CastlePoint National Insurance Company (hereinafter “Commissioner”) (collectively “Parties”), stipulate that the settlement does not constitute an admission of liability by any Party hereto, and that this settlement is reached to save the expenditure of substantial monies and assets on the above captioned litigations. 2. The Parties agree that the total sum of Four Million ($4,000,000.00) Dollars (“Total Settlement Amount”), shall be paid to Eita Pruss and her attorneys The Edelsteins Faegenburg and Brown, in portions as follows: $2,190,000 by AmTrust; and $1,810,000 by the Commissioner from the Estate of CastlePoint National Insurance Company (hereinafter “CastlePoint”), as a present valued discount of the estimate of the percentage to be paid to approved Class 2 Claims as payment in full to resolve all Pruss’ claims against the Parties, arising from, or in any way related to, the actions and special proceedings set forth in the captions above and the matters and transactions described in the pleadings, claims and submissions therein submitted to the Superior Court of the -2- STIPULATION AND AGREEMENT OF SETTLEMENTCoe YN DW F BN RY NY NY YN NY NR KN KY Se Be Be Be ewe ew ewe Be oI A A FH NH =F SO wW HN DA wA BRB WH SF State of California in and for the County of San Francisco and in the actions captioned above pending in the Supreme Court of the State of New York, County of New York. The Parties expressly agree that in no event shall AmTrust or the Commissioner be liable or responsible to Pruss for the other’s portion of the Total Settlement Amount. 3. Pruss agrees to accept said sums with knowledge that she will be barred from any further proceedings of any kind or nature against AmTrust, their affiliates, subsidiaries, officers, directors, employees, agents, attorneys, (excepting from this provision attorney Sherri Pavloff and the law firm Farber Brocks & Zane, LLP, and the law firm of Lester Schwab Katz & Dwyer, who and which Pruss is currently suing and which lawsuit may be pursued either individually or as part of a consolidated action with AmTrust), CastlePoint, and the Commissioner in the future in any way concerning the matters referenced in the above captioned actions and proceeding. 4. This settlement is further conditioned upon full execution of this Stipulation And Agreement of Settlement, and the following conditions: a. Full and complete payment of the AmTrust portion of the Settlement Amount will be made within thirty (30) days of the execution of this Stipulation by all Parties. b. The Commissioner’s obligation to pay his full portion of the Total Settlement Amount is conditioned upon the entry of an order by the court in the Liquidation proceeding for CastlePoint approving the payment by the Commissioner of the amount specified in paragraph 2 hereof. c. Pruss shall execute and provide to counsel for AmTrust a stipulation documenting the dismissal with prejudice, and without costs to any Party, of all pending actions or proceedings against AmTrust, either in New York or California, including the captioned case bearing Index No. 150223/18, as against AmTrust, including Kuhn, only, and the captioned case bearing Index No. 160221/2018, which case is to be dismissed in its entirety. (Copies of the form of dismissal are appended hereto as Exhibits 1, and 2 respectively.) Such dismissals will be held in escrow by -3- STIPULATION AND AGREEMENT OF SETTLEMENTco em ND WH RF WY YN YN YN NN NY BY Be ee Be we Be ee eH eo QY Aw FOB NH FF SOD WM NANDA RB WN SF OS counsel for the respective Parties until such time as the Total Settlement Amount (defined as $4,000,000.00) is paid by good funds, and such dismissals may only be filed with the court upon written confirmation by Pruss’ counsel upon clearance in his law office’s IOLA account of the Total Settlement Amount. d. Pruss will execute a full and complete release prepared by AmTrust’s counsel and counsel for the Commissioner which release shall include an express waiver of California Civil Code section 1542, thereby releasing AmTrust, the CastlePoint estate and the Commissioner from known and unknown claims which release will be held in escrow by AmTrust’s counsel pending the payment of the Settlement Amount as set forth in Paragraph 4.a. and 4.b., above, at which time the Release will be provided by AmTrust’s counsel to counsel for the Commissioner and to AmTrust. (Form of the release is attached hereto as Exhibit 3). e. Excluding the Commissioner, Harry L. Klein, Esq., co-plaintiff in the New York County Supreme Court action bearing Index No. 150223/18 joins Pruss in the dismissal of his claims as to AmTrust and Brian Kuhn in that action. The Stipulation of Discontinuance (see Exhibit 1) and the Release (form attached as Exhibit 4) by Harry L. Klein, Esq. are to be held in escrow under the same terms as Pruss’ Release and Stipulation of Discontinuance in paragraph 4.c. above. f. AmTrust and Pruss shall bear her/its/their own costs and attorney's fees in connection with all the litigations captioned and otherwise referenced herein. g. Excluding the Commissioner, AmTrust and Pruss shall prepare and file motion papers necessary to consolidate their respective New York State Supreme Court lawsuits pending in New York County against Sherri Pavloff and Farber Brocks & Zane (hereinafter “FBZ”) into a single action with a caption for the Supreme Court State of New York, County of New York: AmTrust North America, Inc. and Eity (Itty) Pruss, Plaintiffs -against- Sherri Pavloff and Farber Brocks & -4- STIPULATION AND AGREEMENT OF SETTLEMENTco Om ND HW BF WN RN NY N NR KRY KR KN KY Ye Se we Be Be Be Be ewe Be 2 IA WA BB NH =F Go we AY DHA BF BW NH SF SO Zane, LLP, Defendants, and bearing Index No. 1568855/2019; together with a second caption for Supreme Court of the State of New York, County of New York: Eity (Itty) Pruss and Harry L. Klein, Esq., Plaintiffs, -against- Lester Schwab Katz & Dwyer LLP, Defendant, and bearing Index No. 150223/18. AmTrust may elect its position in the action bearing Index No. 1568855/19 as first named or second named plaintiff in said consolidated action for the sake of order of presentation of evidence as well as order of opening and closing statements at any trial of the consolidated action. h. Excluding the Commissioner, AmTrust, Pruss and their counsel will engage in good faith cooperation with each other in the consolidated actions, should the court grant such motion, or in the event the actions are not consolidated, Pruss and AmTrust and their respective counsel will still cooperate in good faith for the advancement of each of their and each other’s claims, as if the motion to consolidate had been granted. As co-plaintiffs or individual plaintiffs against Pavloff and FBZ, such good faith cooperation shall include, but not be limited to, sharing information and strategies, cooperating in discovery, etc. i. Excluding the Commissioner, AmTrust and Pruss will share in any and all recovery obtained against Pavloff and/or FBZ on a 50%-50% basis, unless prior to the time of any such recovery either Pruss or AmTrust is dismissed from the consolidated case, or if not consolidated, the individual case of Pruss or AmTrust is dismissed. The Party whose case is dismissed shall not be entitled to share in any recovery against Pavloff and/or FBZ obtained by the remaining Party or remaining case. This preclusionary provision applies if and when the dismissal is upheld on appeal, or if the dismissed Party opts to forego appeal of said dismissal. If there is an appeal and a recovery is obtained before all appeals are final, the remaining Party’s counsel for the non- dismissed Party shall retain 50% of any such recovery in escrow. If the dismissal is finally reversed, the 50% in escrow shall be paid to counsel for the other Party. If the dismissal is -5- STIPULATION AND AGREEMENT OF SETTLEMENTaffirmed, then the 50% in escrow shall be paid to the remaining Party’s counsel. To the degree that a recovery obtained includes payment for Pruss’ and AmTrust’s legal fees and expenses, that part of any recovery will also be shared on a 50% - 50% basis as set forth above in this paragraph 4.h., including its proviso in case all of the claims made by either Pruss or AmTrust are finally dismissed against one of those Parties. j. Excluding the Commissioner, starting with the application to consolidate the Pruss and AmTrust’s respective New York actions against Pavloff and/or FBZ, the Parties will share all upfront/out-of-pocket expenses (not legal fees) of said joint litigation as against Pavloff and/or FBZ, on the same 50%-50% basis. However, any expenditure of Five-Hundred ($500.00) Dollars or more requires consultation and approval of the other co-plaintiff. In the event of a disagreement between the Parties as to case expenditures, the dispute will be resolved as set forth in paragraph 4,j. below. However, if there is a resolution of the dispute over expenditures in favor of the Party not wanting to spend more than $500.00, the other Party may proceed to spend the excess over its share of $500.00, and the overage above $500.00 will be borne by the incurring Party should they decide to make the payment at their option and that overage will not be factored into any shared costs calculation. k. Excluding the Commissioner, in the event Pruss and AmTrust engage in a dispute stemming from a possible resolution of the consolidated New York action, the Parties have agreed that such dispute will be first mediated by Judge Jeffrey S. Ross, who has agreed to serve as such mediator. In the event Judge Ross cannot so serve, then the parties will either jointly agree on an alternate, or ask the Manhattan, N.Y. office of JAMS to appoint a mediator from a list of six names (three from each Party) presented to it. The cost of such mediation to be shared equally by the parties. In the event the mediation fails, the dispute shall be decided by binding arbitration by the New York City office of the American Arbitration Association (“AAA”) which shall appoint the -6- STIPULATION AND AGREEMENT OF SETTLEMENTarbitrator from a list of arbitrators (3 from each Party) unless one such candidate appears on the list of both Parties, in which case the first such name so identified shall be appointed arbitrator. The cost of arbitration to be borne equally. 1. The Parties agree that for purposes of enforcement in court of any legal proceeding, or as an affirmative defense, this agreement may be disclosed and admitted into evidence. m. Upon execution and exchange by all Parties of this Stipulation and Agreement of Settlement, the releases called for herein, the dismissal called for herein and the payment of the Settlement Amount, AmTrust and the Commissioner will withdraw their appeals currently pending in the Court of Appeal of the State of California First Appellate District, Division Five. 5. This Agreement may be executed in one or more counterparts, each of which shall be deemed an original, and will become effective and binding upon the Parties at such time as all the signatories hereto have signed a counterpart of this Agreement. All counterparts so executed shall constitute one Agreement binding on all the Parties hereto, notwithstanding that all of the Parties are not a signatory to the same counterpart. The Superior Court of California, County of San Francisco reserves jurisdiction to enforce the terms and conditions of the settlement pursuant to California Code of Civil Procedure section 664.6 upon noticed motion of any Party. Each of the Parties acknowledge that the Superior Court of California, County of San Francisco has personal jurisdiction over them, and each agrees that in the event an enforcement action is necessary, each Party agrees that it or they will not assert a defense based on, or objection to, the jurisdiction of the Superior Court of California, County of San Francisco to entertain and issue a Judgment in such a matter. The Parties each request the Court to retain jurisdiction pursuant to C.C.P § 664.6. The Parties and counsel signing below understand and agree to this settlement and compromise of the California and New York litigations between them on the basis set forth above. -7- STIPULATION AND AGREEMENT OF SETTLEMENT6. This Stipulation and Agreement of Settlement is binding and enforceable and is effective as of the date So Ordered by the California Superior Court as to AmTrust and represents the final agreement between the Pruss and AmTrust to this dispute, and each of them, pursuant to California Evidence Code section 1123. 7. This Stipulation and Agreement of Settlement is binding, enforceable, effective and payable as of the date of finality of an order entered in the Liquidation proceeding for CastlePoint approving the payment by the Commissioner of the amount specified in paragraph 2 hereof and represents the final agreement between Pruss and the Commissioner to this dispute, and each of them, pursuant to California Evidence Code section 1123. Finality shall be determined pursuant to Rule 8.104 of the California Rules of Court, Rule 8.104. 8. Pruss and her counsel agree that Pruss’ counsel shall retain the first received portion of settlement monies (be it from AmTrust or the Commissioner) in escrow until such time as the second and final received portion of settlement monies (be it from the Commissioner if AmTrust’s payment predates the Commissioner’s payment, and vice versa) is fully paid and cleared (inclusive of any court order required for release of said portion). In the event one or both portions are not made, Pruss and her counsel agree to return the first received portion from escrow to the Party that has paid, and this Stipulation and Agreement of Settlement will be deemed null and void. 9. Pruss, AmTrust and their respective signatories hereto agree to restrict the use, application, and disclosure of this Stipulation and Agreement of Settlement to the following four (4) litigations: i) California State Superior Court for San Francisco action No. CPF-16-515183; ii) New York State Supreme Court for New York County action Index No. 150223/2018; iii) New York State Supreme Court for New York County action Index No. 160221/2018; iv) New York State Supreme Court for New York County action Index No. 156855/2019; and any related appeals in those actions, if applicable. -8- STIPULATION AND AGREEMENT OF SETTLEMENT10. The Commissioner shall have the discretion to use, apply, and/or disclose this Stipulation and Agreement of Settlement pursuant to, and in the fulfillment of, his responsibilities as Commissioner, conservator, liquidator, and/or rehabilitator, pursuant to the laws of the State of California. 11. In the event the Commissioner is unable to pay his portion of the Total Settlement Amount following date of entry of the Order Approving Settlement plus as much as 60 days (due to any objection and/or appeal following such objection) Pruss’ counsel will be permitted to move the AmTrust portion of this settlement from his [OLA account to an interest bearing account. although Pruss’ counsel may not distribute the principal amount of AmTrust’s portion of the settlement until such time as the Commissioner has paid his portion to Pruss, in keeping with paragraph 8 above. 12. This Stipulation and Agreement of Settlement is comprised of ten (10) total pages. DATED: June 020 yf Nexllegp Puss E EITA (ITTY) PRUSS Cds Counsel for AmTrust and Brian Kuhn ‘AmTrust North America Inc.’s Authorized Representative AmTrust Financial Services, Inc.’s Authorized Representative Brian Kuhn Cynthia Larsen, Counsel for Commissioner Ricardo Lara, Insurance Commissioner of the State of California, as Liquidator of the State of California -9-- STIPULATION AND AGREEMENT OW SETTLEMENTCoe YN DA HW BF WN | NN NY NY YN NN NY — | Be ewe Be we ewe Be ew eA A BRK GH SF SF Cwm AAA RBH HS 10. The Commissioner shall have the discretion to use, apply, and/or disclose this Stipulation and Agreement of Settlement pursuant to, and in the fulfillment of, his responsibilities as Commissioner, conservator, liquidator, and/or rehabilitator, pursuant to the laws of the State of California. 11. In the event the Commissioner is unable to pay his portion of the Total Settlement Amount following date of entry of the Order Approving Settlement plus as much as 60 days (due to any objection and/or appeal following such objection) Pruss’ counsel will be permitted to move the AmTrust portion of this settlement from his IOLA account to an interest bearing account, although Pruss’ counsel may not distribute the principal amount of AmTrust’s portion of the settlement until such time as the Commissioner has paid his portion to Pruss, in keeping with paragraph 8 above. 12. This Stipulation and Agreement of Settlement is comprised of ten (10) total pages. DATED: June 18; 2020 Ne Chuntsel’ for Pruss EIT/A {ITTY),PRUSS ht Ape — (— Counsel for AmTrust and Brian Kuhn An\Trust North America Inc.’s Te Representative AihTrust Financial Services, Inc.’s Authorized Representative Brian Kuhn Cynthia Larsen, Counsel for Commissioner Ricardo Lara, California Insurance the State of California, as Liquidator Commissioner, as Liquidator of CastlePoint of CastlePoint by and through Joseph Holloway, CEO of the Conservation and Liquidation Office & 9 ne V Manager STIPULATION AND AGREEMENT OHSETTLEMENT‘DocSign Envelope !D; FB18B3A7-EEBA-4CAB-BAAB-B256834CAFSD | DATED: June 18,2020. 10. The Commissioner ‘shall have the discretion. to use, apply, and/or disclose this Stipulation and Agreement of Settlement. pursuant to, and in the fulfillment of, his responsibilities as Commissioner, conservator, liquidator, and/or rehabilitator, pursuant tothe laws of the State of Califomia. 11. Inthe event the Commissioner.is unable to:pay ‘his portion of the Total Settlement Aimount following date of entry of the Order Approving Settlement plus as much as.60 days (due to-any objection and/or appeal following such objection) Pruss’ counsel will.be permitted to move the AmTrust portion of this settlement from his IOLA account. to an interest bearing, account, although -Pruss’ counsel’ may ‘not distribute the principal, amount of AmTrust’s portion of the: settlement until such time-as:the Commissioner has paid his portion to:Pruss, in keeping with ; paragraph. 8 above. 12.. This Stipulation and Agreement of Settlement.is comprised of ten (10) tofal pages. ML CaynSel,for Pruss” EITA (ITTY) PRUSS esp. { Septem tages ‘ilrust North America Inc.'s Authorized Representative Trust and Brian Kuhn tiga: (Serie ase Financial Services, Inc,’s ar Brian Kuhn Cynthia Larsen, Counsel for Commissioner Ricardo Lara, Insurance Commissioner of the State of California, as Liquidator of the State of California -9-& STIPULATION AND AGREEMENT OJ SETTLEMENT10. The Commissioner shall have the discretion’ to use, apply, and/or disclose this Stipulation and Agreement of Settlement pursuant to, and in the fulfillment of, his responsibilities as Commissioner, conservator, liquidator, and/or rehabilitator, pursuant to the laws of the State of California. 11. In the event the Commissioner is unable to pay his portion of the Total. Settlement Amount following date of entry of the Order Approving Settlement plus as much as 60 days (due to any objection and/or appeal following such objection) Pruss’ counsel will be permitted to move the AmTrust portion of this settlement from his IOLA account to an interest bearing account, although Pruss’ counsel may not distribute the principal amount of AmTrust’s portion of the settlement until such time as the Commissioner has paid his portion to Pruss, in keeping with paragraph 8 above. 12. This Stipulation and Agreement of Settlement is comprised of ten (10) total pages. DATED: June 18, 2020 Counsel for Pruss EITA (ITTY) PRUSS: Counsel for AmTrust and Brian Kuhn AmTrust North America Inc.’s Authorized Representative AmTrust Financial Services, Inc.’s Authorized Representative Ln _ Sal Larsen, Counsel for California Ricardo Lara, California Insurance Insurance Commissioner, as Liquidator of | Commissioner, as Liquidator of CastlePoint CastlePoint by and through Joseph Holloway, CEO of the Conservation-& Liquidation Office & -9D Conservation Manager STIPULATION AND AGREEMENT OF SETTLEMENTCo Oe YN DW FF BW N BRYN KN NR KN BS Be Be eB eB ew eB ew eB on DA uN FF WwW NH KF& SG GDC we DBD DH F&F BW Y KF CS 10. The Commissioner shall have the discretion to use, apply, and/or disclose this Stipulation and Agreement of Settlement pursuant to, and in the fulfillment of, his responsibilities as Commissioner, conservator, liquidator, and/or rehabilitator, pursuant to the laws of the State of California. 11. In the event the Commissioner is unable to pay his portion of the Total Settlement Amount following date of entry of the Order Approving Settlement plus as much as 60 days (due to any objection and/or appeal following such objection) Pruss’ counsel will be permitted to move the AmTrust portion of this settlement from his IOLA account to an interest bearing account, although Pruss’ counsel may not distribute the principal amount of AmTrust’s portion of the settlement until such time as the Commissioner has paid his portion to Pruss, in keeping with paragraph 8 above. 12. This Stipulation and Agreement of Settlement is comprised of ten (10) total pages. DATED: June 18, 2020 Counsel for Pruss EITA (ITTY) PRUSS Counsel for AmTrust and Brian Kuhn AmTrust North America Inc.’s Authorized Representative AmTrust Financial Services, Inc.’s Authorized Representative Brian Kuhn Cynthia Larsen, Counsel for Commissioner icaydo Lara, California Insurance the State of California, as Liquidator Cc issioner, as Liquidator of CastlePoint of CastlePoint by and through Joseph Holloway, CEO of the Conservation and Liquidation Office & Con: ition Manager 9-6 i STIPULATION AND AGREEMENT OF SETTLEMENTORDER The parties having requested that this Court reserve jurisdiction, it is hereby ordered that this Court retains jurisdiction pursuant to C.C. jurisdiction of the Liquidation Court. Dated: July # 2020 P § 664.6. except as to those matters within the QR HON. J 909254v25 [FFREY S. ROSS OF THE SUPERIOR COURT -10- STIPULATION AND AGREEMENT OF SETTLEMENTEXHIBIT #1SUPREME COURT OF THE STATE OF NEW YORK COUNTY OF NEW YORK . Index no.: 150223/18 X EITA (ITTY) PRUSS and HARRY L. KLEIN, ESQ., Plaintiff, : -against- STIPULATION OF - DISCONTINUANCE AMTRUST NORTH AMERICA INC., WITH PREJUDICE AS TO AMTRUST FINANCIAL SERVICES, INC., ONLY DEFENDANTS BRIAN KUHN, SHERRI N. PAVLOFF, AMTRUST NORTH AMERICA FARBER BROCKS & ZANE L.L.P., and INC., AMTRUST FINANCIAL LESTER SCHWAB KATZ & DWYER, LLP, SERVICES, INC., and BRIAN KUHN Defendants. IT IS HEREBY STIPULATED AND AGREED by and between the undersigned, the attomeys of record for all the parties in the above entitled action, that whereas no party hereto is an infant or incompetent person for whom a committee has been appointed and no persén not a party has an interest in the subject matter of the action, the above éntitled action be, and the same hereby is discontinued AS TO ONLY DEFENDANTS AMTRUST NORTH AMERICA INC., AMTRUST FINANCIAL SERVICES, INC., and BRIAN KUHN, with prejudice, without costs to either party as against the other. The prosecution of this action against all other remaining defendants will continue until the resolution of said action and further stipulation of discontinuance against the remaining defendants is filed. This stipulation may be filed without further notice with the Clerk of the Court. Dated: June 18, 2020 New York, New York Paul J. Esq. Michael D. Brown, Esq. THE EDELSTEINS FAEGENBURG RUSKIN MOSCOU FALTISCHEK, P.C. & BROWN LLP Attorneys for Defendants Attorneys for Plaintiffs AMTRUST NORTH AMERICA INC. and EITA (ITTY) PRUSS, and AMTRUST FINANCIAL SERVICES, INC. HARRY L.KLEIN, ESQ. 1425 RXR Plaza . 26 Broadway, Suite 901 East Tower, I'Stn Floor New York, New York 10004 - Uniondale, New York 11566-1425 (212) 425-1999 (516) 663-6600 paul@efbpilaw com rbrown@rmfpe.comEXHIBIT #2SUPREME COURT OF THE STATE OF NEW YORK COUNTY OF NEW YORK. x Index no.: 160221/2018 EITA (ITTY) PRUSS, Plaintiff, -against- STIPULATION OF INFINITI OF MANHATTAN, INC., DISCONTINUANCE MASSAMBA SECK, BAY RIDGE AUTOMOTIVE WITH PREJUDICE AS MANAGEMENT CORP., AMTRUST NORTH TO ALL NAMED AMERICA INC., and AMTRUST FINANCIAL DEFENDANTS SERVICES, INC., Defendants. xX IT IS HEREBY STIPULATED AND AGREED by and between the undersigned, the attomeys of record for all the parties in the above entitled action, that whereas no party hereto is an infant or incompetent person for whom a committee has been:appointed and no person not a party has an interest in the subject matter of the action, the. above entitled action be, and the same hereby is discontinued, with prejudice, without costs to either party as against the other. This stipulation may be filed without further notice with the Clerk of the Court. Dated: jime 17, 2020 Paul J. tein, Esq. Michael D. Brown, Esq. THE EDELSTEINS FAEGENBURG RUSKIN MOSCOU FALTISCHEK, P.C. & BROWN LLP Attomeys for Defendants Attomeys for Plaintiff AMTRUST NORTH AMERICA INC. and. EITA (TTY) PRUSS AMTRUST FINANCIAL SERVICES, INC. 26 Broadway, Suite 901 1425 RXR Plaza ‘New York, New York 10004 East Tower, 15" Floor (212) 425-1999 Uniondale, New York 11566-1425 paul@efbpilaw.com (516).663-6600 rhrown( c.com By: ABRAMS, FENSTERMAN, FENSTERMAN, EISMAN, FORMATO, FERRARA, WOLF, & CARONE, LLP Attorneys for Defendants INFINITI OF MANHATTAN, INC. AND BAY RIDGE AUTOMOTIVE MANAGEMENT CORP. One MetroTech Ctr, Suite 1701 Brooklyn, NY 11201 (718) 215-5300 agenovesi@abramslaw.comEXHIBIT #3Serial No: 109/2020 : -"yP0 90D AUTHENTICATION OF SIGNATURE I the undersigned Menachem Shenkar Notary holding license no. 2105166 at 46 Yirmiyahu st. (8 Tchelet Mordechay st. Ganey-Geula), POB 36619 Jerusalem 9136601 Tel: 052-7671006, hereby certify that on 06/21/2020 there appeared before me Ms. Eita Pruss whose identity was proved to me by Israeli ID No. 203171327 issued on 11/19/2017 and signed of her own free will the attached document marked "A". In witness whereof I hereby authenticate the signature of Ms. Eita Pruss in by my own signature and seal this June 21, 2020. wa DDN HIN PUD S¥2 PAV aPIW OMIA DNDN n22n) 46 wn'y amin 2105166 T90N DoVTY 36619 An (MIWA 8 LTD DPI 7D WWI ,052-7671006 9 9136601 PND MON 9) %99 MAN 21/06/2020 mint myn 9 9y 09 ANTI AMAWw bya mw =—-203171327, TavN by owann ASW ANN 19/11/2017 AM 90N/MNA yon) FSI TaN 2) OW ANONN NX NANA 07 WNT Dyn cAMNA TP NNN wns AWN 21/06/2020 DoW (1a YN 9919) M196 JOI NSW ef ne js \2 MENACHEM SHENKAR Oo any wy pe x NS pene Ay / yhomn nen ynvwn omN Notary Signature Notary SealJ WV GENERAL RELEASE TO ALL WHOM THESE PRESENTS SHALL COME OR MAY CONCERN, KNOW THAT, Eita (ITTY) Pruss as Releasor for herself and for her beneficiaries, heirs, devisees, executors, and administrators, pursuant to the June 2020 So Ordered Stipulation and Agreement of Settlement, and in consideration of the sum of Ten and 00/100 ($10.00) Dollars, and other good and valuable consideration, receipt whereof is hereby acknowledged, received from, or on behalf of, AmTrust North America Inc., AmTrust Financial Services, Inc., Brian Kuhn, the Insurance Commissioner of the State of California, as Liquidator, and the Estate of CastlePoint National Insurance Company, as Releasees, release and discharge the Releasees, Releasees’ predecessors, successors, subsidiaries, affiliates, , heirs, executors, administrators, officers, diretors, employees, attorneys (excepting from this- provision attorney Sherri Pavloff and the law firm Farber Brocks & Zane, LLP, and the law firm of Lester Schwab Katz & Dwyer, who and which Pruss is currently suing and will continue to prosecute any and all claims she has or may have against those defendants), agents (other than Ms. Pavloff and the two (2) law firms identified above), and/or assigns from all actions, causes of action, suits, debts, dues, sums of money, accounts, reckonings, bonds, bills, specialties, covenants, contracts, controversies, agreements, promises, variances, trespasses, damages, judgments, extents, executions, claims, proofs of claim (whether or not allowed), and demands whatsoever, in law, admiralty, or equity which against the Releasees, the Releasor, Releasor’s attorneys, agents, heirs, executors, administrators and/or assigns, in their capacity as such, ever had, now have or hereafter can, shall, or may have, for, upon, or by reason of any matter, cause or thing whatsoever from the beginning of the world to the date of this General Release. The Releasor acknowledges that she has been advised of the provisions of Section 1542 of the California Civil Code, and expressly waives any and all rights and benefits that she may have under Section 1542, which provides as follows: A GENERAL RELEASE DOES NOT EXTEND TO CLAIMS THAT THE CREDITOR OR RELEASING PARTY DOES NOT KNOW OR SUSPECT TO EXIST IN HIS OR HER FAVOR AT THE TIME OF EXECUTING THE RELEASE AND THAT, IF KNOWN BY HIM OR HER, WOULD HAVE MATERIALLY AFFECTED HIS OR HER SETTLEENT WITH THE DEBTOR OR RELEASED PARTIES. Whenever the text hereof requires, the use of the singular number shall include the appropriate plural number as the text of the within instrument may require. This Release may not be changed orally. IN WITNESS, WHEREOF, the Releasor have caused this Release to be executed on June , 2020. py. Eke (tb) Ross E.? EITA (ITTY) PRUSSWe STATE OF ISRAEL ) CITY OF JERUSALEM } se On the 21 day of June, 2020, before me, the undersigned, personally appeared EITA (ITTY) PRUSS, personally known to me or proved to me on the basis of satisfactory evidence to be the individual whose name is subscribed to the within Release and acknowledged to me that she executed the same and that by her signature on the instrument, the individual executed the instrument. a NOTARY PUBLIC \\ 4 OoEXHIBIT #4GENERAL RELEASE TO ALL WHOM THESE PRESENTS SHALL COME OR MAY CONCERN, KNOW THAT, Harry L. Klein, Esq,, as Releasor for himself and for his beneficiaries, heirs, devisees, executors, and administrators, pursuant to the June 2020 So Ordered Stipulation and Agreement of Settlement, and in consideration of the sum of Ten and 00/100 ($10.00) Dollars, and other good and valuable consideration, receipt whereof is hereby acknowledged, received from, or on behalf of, AmTrust North America Inc., AmTrust Financial Services, Inc., Brian Kuhn, the Insurance Commissioner of the State of California, as Liquidator, and the Estate of CastlePoint National Insurance Company, as Releasees, release and discharge the Releasees, Releasees’ predecessors, successors, subsidiaries, affiliates, heirs, executors, administrators, officers, diretors, employees, attorneys (excepting from this provision attorney Sherri Pavloff and the law firm Farber Brocks & Zane, LLP, and the law firm of Lester Schwab Katz & Dwyer, who and which Pruss is currently suing and will continue to prosecute any and all claims she has or may have against those defendants), agents (other than Ms. Pavloff and the two (2) law firms identified above), and/or assigns from all actions, causes of action, suits, debts, dues, sums of money, accounts, reckonings, bonds, bills, specialties, covenants, contracts, controversies, agreements, promises, variances, trespasses, damages, judgments, extents, executions, claims, proofs of claim (whether or not allowed), and demands whatsoever, in law, admiralty, or equity which against the Releasees, the Releasor, Releasor’s attorneys, agents, heirs, executors, administrators and/or assigns, in their capacity as such, ever had, now have or hereafter can, shall, or may have, for, upon, or by reason of any matter, cause or thing whatsoever from the beginning of the world to the date of this General Release. The Releasor acknowledges that she has been advised of the provisions of Section 1542 of the California Civil Code, and expressly waives any and all rights and benefits that she may have under Section 1542, which provides as follows: A GENERAL RELEASE DOES NOT EXTEND TO CLAIMS THAT THE CREDITOR OR RELEASING PARTY DOES NOT KNOW OR SUSPECT TO EXIST IN HIS OR HER FAVOR AT THE TIME OF EXECUTING THE RELEASE AND THAT, IF KNOWN BY HIM OR HER, WOULD HAVE MATERIALLY AFFECTED HIS OR HER SETTLEENT WITH THE DEBTOR OR RELEASED PARTIES. Whenever the text hereof requires, the use of the singular number shall include the appropriate plural number as the text of the within instrument may require. This Release may not be changed orally. IN WITNESS WHEREOF, the Releasor have caused this Release to be executed on June 23, 2020. By: Lorry £. Bec HARRY L.KLEIN, ESQ.STATE OF NEW YORK ) )ss.: COUNTY OF KINGS ) On the Zz day of June, 2020, before me, the undersigned, personally appeared HARRY L. KLEIN, ESQ., personally known to me or proved to me on the basis of satisfactory evidence to be the individual whose name is subscribed to the within Release and acknowledged to me that she executed the same and that by her signature on the instrument, the individual executed the instrument. OTARY PUBLIC BOBBY P.SONI Notary Public, State of New York No. 01806193740 Qualified in Kings County Commission Expires September 22, 2020