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4. The Firm has made numerous oral and written requests to the riamurts nor <br />payment (the most recent written request is attached as Exhibit 2). <br />5. The Plaintiffs have continually failed and refused to make payment to the Firm <br />and satisfy their obligations to the Fitm. <br />6. Because the Plaintiffs have deliberately disregarded an agreement and obligation <br />to the Firm, the Firm is authorized to withdraw as counsel of record pursuant to <br />Rule 1.16(b)(1)(F} of the Colorado Rules of Professional Conduct. <br />Failure to Cooperate <br />7. At page 4 of the Engagement Letter the Firm has informed the Plaintiffs that: <br />Our ([he Firm's) performance also depends, in part, <br />upon your cooperation in general, and particularly <br />upon prompt receipt of information as we request <br />them from you from time to time as the matter <br />progresses. (explanatory information supplied) <br />8. The Plaintiffs have repeatedly failed to respond to the Firm's requests for <br />discoverable information and to cooperate with the Firm in providing discoverable information <br />in this case. The Plaintiffs' conduct in this regard renders it unreasonably difficult for the Firm <br />to carry out the Firm's employment effectively. <br />9. Therefore, the Firm is authorized to withdraw as counsel of record pursuant to <br />Rule 1.16(b)(1)(D) of the Colorado Rules of Professional Conduct. <br />Chanee in Client <br />10. This Firm entered its appearance on behalf of Durango Metals and Hartley. Only <br />recently, and upon information and belief, the gold mine which is the subject matter of this <br />litigation, is no longer under the exclusive control of Durango Metals and Hartley. <br />11. Recent filings at the Attorney General's Office and the Mine Land Reclamation <br />Board indicate that there is "common control" of the Mogul Tunnel Mine by parties other than <br />Durango Metals. Apparently, and again upon information and belief, Durango Metals has <br />entered into agreements with other third parties. <br />12. After repeated requests for more clarification, the Firm is unable to confirm at <br />this time what involvement these other third parties have with the Mogul Tunnel Mine andlor <br />Durango Metals. <br />2 <br />