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Rocker and Gradient Lose Appeal in OSTK Case - Now What Will They Try to Further Stall?

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Posted by:   bobo 5/30/2007 10:40 AM

As predicted, the CA appeals court threw the laughable Gradient/Rocker free speech appeal out of court.

Nobody I know is surprised.

After the latest sanctimonious whining about how long this suit is taking by Mr. Rocker, perhaps now, finally, the stalling of discovery is over?

What will they try next? Sexual harassment defense? Hate crimes? Plain old Chewbacca?

Contrast these genuine hard facts to Seth Jason and others' harping over OSTK losing some Wall Street friendly directors over "imagined" issues like massive naked shorting, as evidenced by the SHO list. In the real world, people pay attention to hard facts. In the NY media world, they simply ignore mountains of data that show that there is much merit to OSTK's claims of massive manipulation and naked shorting.

I wonder if we will be treated to Motley Fool and the NY fishwrap contingent trumpeting this body blow for Gradient and Rocker? Will CNBC have Patrick on to congratulate him for having the tenacity to prevail in the face of huge opposition? Will the NY Times take Rocker to task over stalling the case for two years on now obviously frivolous grounds?

Not likely. When you are busy ripping off an entire country, you can't afford the truth to out.

Now, finally, will we see all facts come to light, or will there be yet more frivolous stalling from the allegedly "innocent" research firm and the newly retired hedge fund manager?

I'll bet on stalling.

Call it a hunch.
Copyright ©2007 Bob O'Brien
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Comments (30)
Re: Rocker and Gradient Lose Appeal in OSTK Case - Now What Will They Try to Further Stall? By n-tres-ted on 5/30/2007 8:27 PM
Filed 5/30/07
CERTIFIED FOR PUBLICATION

IN THE COURT OF APPEAL OF THE STATE OF CALIFORNIA

FIRST APPELLATE DISTRICT

DIVISION FOUR

OVERSTOCK.COM, INC., et al.,
Plaintiffs and Respondents,
v.
GRADIENT ANALYTICS, INC., et al.,
Defendants and Appellants.

A113397

(Marin County
Super. Ct. No. CV053693)


A company that produces and publishes subscriber-based analytic reports on public companies, regularly collaborating with the principals of hedge funds and other institutional investors to produce custom, negative reports on targeted companies, stepped over the line into defamation and other torts with respect to the flurry and timing of reports on an online closeout retailer. The hedge fund principals took short positions in the stock and worked closely with the publisher to put out reports that were anything but the purported unbiased and objective assessment promised to subscribers. So says the targeted company in its complaint, and so aver various declarants in the papers opposing the anti-SLAPP motions prosecuted by the publisher and the hedge fund parties. In this scenario, and at this early stage of discovery, the trial court correctly declined to strike respondents’ complaint. Accordingly, we affirm the judgment

http://www.courtinfo.ca.gov/courts/courtsofappeal/1stDistrict/

Or this one goes directly to the opinion:

http://www.courtinfo.ca.gov/opinions/documents/A113397.PDF
Re: Rocker and Gradient Lose Appeal in OSTK Case - Now What Will They Try to Further Stall? By n-tres-ted on 5/30/2007 11:41 AM
Wow!!!!! Now we know why the court took awhile to issue its opinion after the oral argument. What a rip!!!
Re: Rocker and Gradient Lose Appeal in OSTK Case - Now What Will They Try to Further Stall? By Rvac106 on 6/1/2007 12:40 AM
OSTK is fighting a great fight here. Representing as it were a class of company that's being attacked by impatient and arrogant funds, and brokers, and their toady banks and regulators.

These same entities seem to have banded together in a loosely knit cabal, to take over a whole class of financial institutions, namely, the entire mortgage industry. Well boys and girls, it looks like tonite's news closes an important couple of segments of the circle of conspiracy. One prime brokerage is reported making 2.4 billion on 141 billion in questionable transactions as brokerage fees. These prime brokerages are owned by the banks, particularly, the banks of Wall Street. The banks of Wall Street open the lines of credit for the mortgage lenders. Wall Street decides, either on it's own, or, at the behest of some huge short sellers, to acquire the mortgage lending industry. They may have been planning this for years, since the dot.com bust, or, they may have fallen into it by following the advice of the hedge funds, who chose to bet against the mortgage industry, but were impatient to cash in on its' demise. The banks saw not only a chance to help their clients, but to help themselves. Feed the mortgage frenzy, play out the rope. Then, cut off the rope. As delinquencies climb, panic ensues. When panic ensues, use whatever news you like to pull the warehouse lines from the unsupported subprime lenders. Watch the stock prices tank. Absolutely across the board. Now, who's buying the defunct mortgage companies? The other articles say the banks. So, they make a nice percentage to handle the stock, they make a nice percentage funding the lines, they make a nice percentage loaning the stocks to short, they make a nice bundle out of thin air by facilitating fraudulent entitlements, and,in doing so, they take the companies down, and buy them for less than nothing. NFI is completely unique in all this. It may have been the catalyst for this entire scenario, but it's not unfolding as expected. These guys are really smart. Having no offense to deploy against such insurmountable adversaries, their defense has been simply marvelous to behold. I think they're going to make it. I think they're going to survive the only way they could. I think the carcasses littering the road behind them is a testament to their ability. Almost everyone else is gone, one way or another. Think of all the subprime business out there. Are you thinking about how much money is to be made as the spreads normalize, and interest rates stabilize or begin a slow march down? Countrywide is. Citibank is. Wachovia is. NFI is, too.
Re: Rocker and Gradient Lose Appeal in OSTK Case - Now What Will They Try to Further Stall? By bbhindyou on 6/1/2007 3:09 AM
NONE OF THE STATES PASSED THEIR DISCLOSURE OF FAILURE TO DELIVER BILLS ?
We arent talking about stopping failure to deliver here we are just talking about a way to diclose the amount of failures to deliver and they can't even get that passed?
I am foaming at the mouth.
I have no ability to wait for someone in a position of authority to do something any longer.
I 'm gonna kick some butt so hard the names won't matter.
Who's with me?
Time for the masses to get off their chairs and go to the streets screaming .
I for one can't sit by and listen to the' it will all be taken care of soon by the proper people' lie another day.
We the people can still rule this country , lets show the politicians who they really work for.
Re: Rocker and Gradient Lose Appeal in OSTK Case - Now What Will They Try to Further Stall? By bbhindyou on 6/1/2007 3:11 AM
Hey !
Wheres my previous post?
Re: Rocker and Gradient Lose Appeal in OSTK Case - Now What Will They Try to Further Stall? By captdale on 6/1/2007 2:52 PM
Hi InTheKnow - What I'm hearing is that the states have been assured that the Grandfather Clause will be done!

Where did you hear that please ?
Re: Rocker and Gradient Lose Appeal in OSTK Case - Now What Will They Try to Further Stall? By captdale on 6/1/2007 2:57 PM
So- In the Know - Your saying that the anti NSS bills in the states of Utah, Va., Tx., Ok., and Az. were all shot down in session ? Not a majority of votes to pass ? Be specific please. I'm having a hard time believeing this unless there was some kind of deal "promised" by the SEC. If there was, there HAS to be at least ONE honest State Government person that can confirm it.
Re: Rocker and Gradient Lose Appeal in OSTK Case - Now What Will They Try to Further Stall? By n-tres-ted on 5/30/2007 11:43 AM
The stallers can peitition the California Supreme Court for a hearing, but IMO no chance they will get one. It would buy a little more time, but not much, and I'm not certain such a petition would be a basis for delaying discovery in the trial court.
Re: Rocker and Gradient Lose Appeal in OSTK Case - Now What Will They Try to Further Stall? By bobo on 5/30/2007 11:44 AM
This isn't the usual, "they might prevail so let's let it go forward" statement, that's for sure.
Re: Rocker and Gradient Lose Appeal in OSTK Case - Now What Will They Try to Further Stall? By captdale on 5/30/2007 8:24 PM
Bobo - Welcome back. Now this is good news. N-tres-ted, thanks for the complete document. Get em Patrick. Any word on the status of the NFI and Eageltech suits ? So now we have what ? Three states (Az, Va, and Ok) that passed laws concerning NSS/FTD and they didn't fall off the face of the earth. Imagine that. Utah of course wozzed out. Any feedback on how those states are doing having passed those laws ? Bobo I have to scold you for being somewhat negative on Rocker and Cramer when word on the street is that they single handedly pulled the sub-prime market out of the ditch by their latest actions by creating liquidity in the market. God knows they should not be regulated or have to adhear to any laws when they provide such a valuable function to the American economy and way of life. Seems I recall one Senator saying just that. Best Congress that money can buy. Lets all stand up now and place our hands on our heart while singing along with the National Anthem. Makes me SO proud. Not.
Re: Rocker and Gradient Lose Appeal in OSTK Case - Now What Will They Try to Further Stall? By Lenofus on 5/30/2007 8:25 PM
You dont' have to see a John Wayne movie to see a real man. There is one in Salt lake everybody should look up to.

Congrats to the Overstock Crew. Patrick Byrne, thank you for taking a bullet for all of us. You are a real man.
Re: Rocker and Gradient Lose Appeal in OSTK Case - Now What Will They Try to Further Stall? By spectator on 5/30/2007 8:26 PM
Bob,

Please update the "latest news" left hand side column on the front page. It's remained stuck for a while and give the impression the site is down.

Rgds
Re: Rocker and Gradient Lose Appeal in OSTK Case - Now What Will They Try to Further Stall? By FC on 5/30/2007 8:28 PM
I hope Rocker's et al jewels are in a vice right now.....
Re: Rocker and Gradient Lose Appeal in OSTK Case - Now What Will They Try to Further Stall? By Paladin on 5/30/2007 8:28 PM
Well, gentlemen, you were right! On cue, here's the latest from Gradient via Reuters:

<<
Gradient Analytics said in a statement it expects to ask California's supreme court to review the decision. >>>

http://yahoo.reuters.com/news/articlehybrid.aspx?storyID=urn:newsml:reuters.com:20070530:MTFH31177_2007-05-30_21-07-09_WEN8472&type=comktNews&rpc=44

*******************************************
Re: Rocker and Gradient Lose Appeal in OSTK Case - Now What Will They Try to Further Stall? By Patchie on 5/30/2007 8:29 PM
According to Karen Hinton, the next possible stall would be a possible appeal to the supreme court. Expect to read about it from your most memorable and corrupt wall street financial reporters.
Re: Rocker and Gradient Lose Appeal in OSTK Case - Now What Will They Try to Further Stall? By metoo on 5/30/2007 8:30 PM
Herb, you are just a pawn in a large shell game.

" Vickrey would also permit financial journalists to review the custom reports, knowing that this exposure would provide wider public circulation of the content of the reports."
Re: Rocker and Gradient Lose Appeal in OSTK Case - Now What Will They Try to Further Stall? By n-tres-ted on 5/30/2007 3:47 PM
Bobo,

When I posted that opinion, I didn't realize how long it is. Perhaps the link would have been better. Here it is:

http://www.courtinfo.ca.gov/courts/courtsofappeal/1stDistrict/

Or this one goes directly to the opinion:

http://www.courtinfo.ca.gov/opinions/documents/A113397.PDF
Re: Rocker and Gradient Lose Appeal in OSTK Case - Now What Will They Try to Further Stall? By davidn on 5/30/2007 8:30 PM
This is a repost from the last thread. I'm looking for comments. Why would the brokerages need an exchange to trade unregistered securities? What are they trading? Fails? Repos? Why do they need to avoid SEC regulation?

http://cryptogon.com/?p=777

For instance, Goldman’s market is open only to large institutional investors with assets of more than $100 million. That is because the stocks traded on GS TRuE aren’t registered with the Securities and Exchange Commission and issuers aren’t subject to SEC regulations designed to protect individual investors.
Re: Rocker and Gradient Lose Appeal in OSTK Case - Now What Will They Try to Further Stall? By rtway on 5/30/2007 8:32 PM
I have to pinch myself to make sure I'm not dreaming. It's been a long journey but I see a light in that tunnel. Keep up the great work and let us know any little thing that relates to the case.
Thanks
Re: Rocker and Gradient Lose Appeal in OSTK Case - Now What Will They Try to Further Stall? By captdale on 5/30/2007 8:32 PM
n-tres-ted - Long but just right. I can send a copy to many many folks. Maybe one of them will be interested. c
Re: Rocker and Gradient Lose Appeal in OSTK Case - Now What Will They Try to Further Stall? By hwh on 5/30/2007 8:33 PM
How is it that Florida and California courts can act so many years faster than that of New York where this is their specialty???
Re: Rocker and Gradient Lose Appeal in OSTK Case - Now What Will They Try to Further Stall? By bbhindyou on 5/31/2007 5:52 AM
Does anyone have a link to the bills passed by by Az.,Va., and Ok. ?
I am especially interested in reading the Oklahoma bill to see what loopholes exemptions and downright doorways the bills leave open to fails.
Lets find the doors and see who goes in and out the most.
Other standard surveilance methods may need to be be applied to loopholes and exemptions but as a whole the bills will give us a way to see what and who goes where and why.
The first step is to know your enemy and find out as much as you can.
Knowlege is power.
Lets get some.
Make Sure Herpy Greenberg is included in the maggot list with Rocker! By insince_6@yahoo.com on 5/31/2007 7:20 AM
Thanks for sticking it to the biggest maggot on Wall Street!
Re: Rocker and Gradient Lose Appeal in OSTK Case - Now What Will They Try to Further Stall? By captdale on 5/31/2007 10:35 AM
Hey BBhindyou - Re the Az., Va., and Ok bills. The only thing I heard was that they passed them then ............ the silence is very loud. I think a lot of exposure on what is currently in work would be worth the effort. I mean, keep it all up front all the time and keep focusing on the positive things being done re Overstock, NFI, Eagletech and the states bills. I have sent Akaka (banking committee) a ton of info on this whole mess but would like to have more to send to the state AG etc.
Re: Rocker and Gradient Lose Appeal in OSTK Case - Now What Will They Try to Further Stall? By clearthinker on 5/31/2007 11:09 AM
And what of the subpoenas that were suddenly withdrawn last year of Cramer, Greenberg, and Remond, in light of the upcoming discovery....Mr. Cox?
Re: Rocker and Gradient Lose Appeal in OSTK Case - Now What Will They Try to Further Stall? By oldfeller on 5/31/2007 2:35 PM
Oklahoma bill was shot down as was arizona, virginia, utah, and I think texas. None have been succesful but they are good nonetheless since they draw attention to the problem.
Re: Rocker and Gradient Lose Appeal in OSTK Case - Now What Will They Try to Further Stall? By InTheKnow on 5/31/2007 2:44 PM
What I'm hearing is that the states have been assured that the Grandfather Clause will be done! Toast.
Re: Rocker and Gradient Lose Appeal in OSTK Case - Now What Will They Try to Further Stall? By Tony on 5/31/2007 2:54 PM
Forbes Magazine

Overstock Wins Round In Gradient Suit

Liz Moyer, 05.30.07, 11:44 PM ET

http://www.forbes.com/markets/2007/05/30/overstock-gradient-suit-markets-cx_lm_0530markets35.html
Re: Rocker and Gradient Lose Appeal in OSTK Case - Now What Will They Try to Further Stall? By captdale on 5/31/2007 6:10 PM
Hi Oldfeller and InTheKnow - and you heard that where ? Makes sense however as there had to have been "some kind of deal" made in Utah. But ALL the other states ? Whew, lots of muscle being flexed. I can see a deal where the SEC "promises" that the grandfather clause will go away and the FTD's will be forced to be bought in. I can see them "promising" that. But - I will not hold my breath that it will ever be a reality in any meaningful form. Have to get the big money in a position to capitalize on it in any case before it will ever be done. Thats why I was interested in seeing the DTCC FTD FOIA data for NFI for the first quarter of 2007. Wanted to see if the numbers were decreasing or not. The whole scam has become a huge house of cards IMHO. Lots of back office deals being made for sure. Just a matter of time. If one good politician would stand up and tell it like it is and put a stop to the crap he could be president for many many terms and that ain't no bull.............. Or he would mysteriously die of some obscure thing or be assasinated. aka JFK. Boy, where is Judge Roy Bean when we need him.
Re: Rocker and Gradient Lose Appeal in OSTK Case - Now What Will They Try to Further Stall? By n-tres-ted on 5/31/2007 7:53 PM
davidn,

A federal statute enacted in 2000 became known as the "Enron clause" authorized crude oil futures contracts to be traded on exchanges that allowed trading only by institutional (big boy) investors, and those trades were not required to be reported to the Commodities Futures Trading Commission. The Intercontinental Exchange (as I recall, also owned by GS) became very big in trading those oil futures, so big that the CFTC is really unable to monitor trading effectively to prevent manipulation of the oil price. Sounds like the "Enron clause" may be broad enough to cover other unregistered securities so long as just the big boys are involved. JMO

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