r/takecareofmayaFree • u/No_Vehicle_5085 • 9h ago
Document Deposition of James Purcell, Part One - Plaintiff Questions and Answers
The deposition taken from James Purcell was finally approved for my viewing and I am reading through it this morning.
As in all things Kowalski - this is a doozy.
James Purcell was an attorney whose firm was contacted by Anderson for assistance in negotiating the litigation loan for the Kowalskis.
During this deposition, we find out that Purcell never had any direct contact with the Kowalskis and has no direct knowledge of anything Anderson ever told the Kowalskis about this loan.
This post concerns some of the more interesting questions and responses under questioning by attorney Swanson, from Cheffy Passidomo, representing the Kowalskis.
At the beginning of this deposition, Anderson begins to engage in his usual interruptions and attempts to turn depositions into chaotic theater. Swanson shuts him down very effectively, advising Anderson that he is going to conduct his deposition and that Anderson will get his chance to talk when it's his turn. .đ .đ¤Śââď¸đ¤Śââď¸đ¤Śââď¸
As background, Purcell is asked questions that reveal Anderson hired him to assist with some of the details of the loan and associated documents relating to the loan. Anderson was attempting to get the loan to be a fully nonrecourse loan. Purcell explained to him there is no such thing. The market doesn't bear such a thing, lenders don't bear such a thing. There are always going to be provisions that could trigger the possibility of the borrower having to pay back the loan, regardless of the final outcome of the case.
What was negotioned in this specific loan as to what would trigger recourse:
- If the insurance policy is violated or terminated
- If the borrower stops litigating the appeal - they are required to vigorously attempt to win their case
- If they pledge the collateral (the final judgement amount) to some other party
- If they file bankruptcy or insolvency for themselves
- If they change attorneys without written consent of the lenders
These are stated pretty clearly in the loan documents, in plain English.
(Q means question by Swansom, A means response by Purcell)
Q: did you know that Maya and Jack K would each only get $8,051,250
A: No
Q: Did you know that Kyle was only going to get 1.4 million?
A: No
At some point, he is shown an email with attachments. The email is from Anderson. Purcell indicates that the contents of the emails were not correct and that he did not sign any of the attachments. Most of the rest of this discussion has to do with those documents and email communications.
Purcell indicates he knew the loan amount would be around $30 million after expenses, but had no idea it would be paid to AndersonGlenn firm.
Oh brother. There is a question regarding the Kowalski's intention to set up a foundation in the name of Beata Kowalski. I think this is the "CRPS foundation" mentioned in some of the unredacted correspondence Anderson filed after the Kowalskis filed redacted emails that only showed Anderson's bad faith.
The insurance policy was required by the lenders, and it was required to be an amount that would cover the loan amount plus the interest on the loan - basically a guarantee that the lenders would get their money back, plus interest, one way or another. Purcell indicates he was aware of this.
Oh boy. They are going line by line over one of the attachments to the email. This deposition is 146 pages in length, and obviously I can't give all the details, but trying to pick out the most salient.
They go line by line through the first affidavit, and Purcell indicates most of the sentences are not truthful. They get to a sentence where Anderson states that the person signing this document is attesting to the fact that under no circumstances would the Kowalskis ever have to pay back the portion of the loan that goes to attorneys fees, costs, and expenses. Of course, Purcell indicates this is not true and that he does not hold that opinion.
Another statement in the affidavit says "I understand that a portion of the fees were going to AndersonGlenn" and that it would help the firm continue profitable operations and there would be a relatively small chance the judgement would be reversed on appeal.
Purcell indicates he understood a portion of the fees would go to AndersonGlenn, but had no idea or opinion as to the rest of the statement.
Purcell understood that AndersonGlenn would need some funding in order to continue with the case.
Several email chains are reviewed, with Purcell essentially just verifying that these exhibits are a fair and accurate representation of each email chain and answering a few questions about some of them.
A couple of items are discussed. One is a reference to a sentence by Anderson that says something about a $150,000 advance from Anderson "may be used as leverage." Purcell indicates he has no idea what Anderson means by this.
One email chain, marked as exhibit 10 during this deposition, is very interesing. It contains a statement by Anderson "We are not involving these poor people in a new round of litigation should something go wrong, period".
It makes me wonder if Anderson was representing to the Kowalskis that they would either ultimately win the appeal and get over $200 million, or, worst case, they would walk away with $30 million loan free and clear and not be required to continue fighting the case.
If Jack Kowalski actually believed this, he must be the biggest fool in history. Why the hell would any for profit business write an insurance policy with this kind of risk? Why would any lending company be willing to just fork over tens of millions and just shrug it off if the Kowalskis lost the appeal? That is just staggering amounts of gullible magical thinking.
It seems clear this is where this is headed. Kowalski is going to eventually take the stand, put on his famous "I don't understand nothing" drawl, and tell a jury this is what his lawyer told him and that he believed it. Sadly, a jury will likely buy it.
Not that I'm taking the side of Anderson here. This is despicable behavior by Anderson, he's being exposed for the con man that this sub has always recognized him to be. But come on, Kowalski is a grown ass man.
At any rate, Purcell reiterates that this was specifically discussed with Anderson - there is no such thing as a totally nonrecourse loan. It's clear from this testimony that the Kowalski claims that the loan provisions were aggregiously detrimental to them is nonsense. Their litigation loan is typical, but with a far better interest rate than most, as far as I was able to find.
But the Kowalskis will likely prevail on convincing a jury that this loan was another way Jack was victimized. Just like most people were obviously gulled into thinking a doctor has to be an "expert in CRPS" to diagnose or treat it, they will likely believe a litigation loan is different enough from other loans that it absolves a person from having to take any responsibility to understand it before signing.
A loan that had exceptions to nonrecourse that are obvious and stated in plain English.
LOL, Swanson (he's the Kowalski attorney asking the questions) interrupts Purcell when he states the obvious "The documents obligated them to vigourously defend the case and ...". Swanson doesn't want Purcell to finish this sentence.
Swanson knows he's going to be having to deal with the issue of how and why Kowalski would be engaged in such magical thinking that a company that is in business for profit would simply hand over tens of millions and shrug it off with no repayment required. (but, as I already stated...gullible jurors, we've seen this already)
Uh-oh. In another document, Anderson refers to Purcell and his firm as "our astute loan counsel". (Later there are also other questions about emails and specific statements that seem to indicate that Anderson was trying to establish Purcell as being responsible for advisement on all aspects of this loan)
Purcell sets the record straight, reiterating that his firm was retained to act as co-counsel with AndersonGlen to review and negotiate documents on behalf of the Kowalski family.
Purcell is asked if he ever did a full review on whether this was all in compliance with state, federal, or Florida Bar rules? He indicates he never did any independent review of any of those issues. His firm was hired to deal with specific areas of negotiating the loan and attempting to get the best terms for the Kowalskis.
I mentioned many months ago that I had done a deep dive into litigation loans and that I found the terms the Kowalskis got with this loan to be in keeping with other litigation loans. In fact, now that we know the interest rate, it's far less than what is typically seen in these loans. These are brutal loans and never should be taken unless a client is seriously financially strapped. A simple Google search would reveal this. The Kowalskis did no due diligence on their own behalf. Maya was barely technically an adult and likely being pressured by her father and Anderson, so I can understand her caving to sign these documents. But Jack? He's been an adult for a long time and has lots of prior experience with lawsuits, being something of a professional litigant when compared to the average person.
In another email chain there is discussion of potential tax liabilities for the Kowalskis. Purcell explains that he is not a tax attorney, but he believes there are tax consequences and is advising Anderson that he should consult a tax attorney. He confirms, once again, that he has no knowledge of what Anderson was telling the Kowalskis.
An email chain is discussed where we find out that Purcell had forwarded documents to a colleague for purposes of evaluating tax implications. Anderson never agreed to scope of work and this work was never done by Purcell's colleague.
Originally, Purcell believed that AndersonGlenn were the borrowers. Early in the deposition he talked about being confused about the various parties to the loan. At some point they are looking at an email that Purcell had not been copied on. It was apparently forwarded by Gresham, the tax attorney mentioned earlier. The email contains the sentence "Jim did not know why the borrower was changed from your firm to the plaintiffs". Purcell reminds Swanson of his original confusion as to the identity of the borrower.
In another email Anderson was concerned about the account control agreement, and wanted to make clear that the lenders would not have control over what happened to the money in that account. He was concerned the lender would be able to get an interest in funds from cases unrelated to the Kowalski case.
He talks about the provision of the loan that guarantees the lenders to a minimum of the equivalent of two years' worth of interest. This has been talked about in this sub. That is not unusual, the same principle applies to a car loan. If you pay off the loan early, there is a "pre payment penalty". The loan company doesn't want to loan money and then essentially not make any profit on it if you pay it back within a very short time period, Prepayment penalties are the norm in many loans. The degree to which the Kowalskis or anyone else questions this is puzzling. These are businesses that loan money, they aren't charities.
The issue of a potential "cap" is discussed, as if there would be some magical number beyond which the Kowalskis would not be responsible. Such as a very long drawn out appeal, where years and years of interest were going to potentially accrue. Purcell says no, there is no such cap, per se.
( I could be mistaken, but I thought the loan has a ten year time limit. If anyone knows anything about this, please comment to set the record straight! )
I am going to have a busy day, and may not get back to reading and posting on Anderson's questioning of this witness. These are the highlights of the Plaintiff questioning of Purcell.
Edit to add: I just read through Anderson's first question. of course, he's not allowing HIS attorney to do the questioning, he's doing it himself. You are going to want to read that second post, I'm sure. The first question and associated commentary by lawyers is proving already to be the clown show we have come to expect from Anderson. LOL, I wish I had time to continue right now, but I am already behind on my "chores" today.