[This document filed on October 5, 2000, with the Clerk of the U.S. District
Court Western District of Washington. The original was prepared on 28 line
pleading paper. Except for the vertical lines and numbers, the document below is
an exact representation of the filed document.]
UNITED STATES DISTRICT COURT
WESTERN DISTRICT OF WASHINGTON
AT SEATTLE
------------------------------------
FEDERAL TRADE COMMISSION )
) Case No. C00-1698 Z
Plaintiff, )
) CONSENT DECREE
v. )
)
WADE COOK FINANCIAL CORP. et al., )
)
Defendants )
------------------------------------)
Whereas, plaintiff, the Federal Trade Commission ("Commission") has filed
its complaint pursuant to Section 13(b) of the Federal Trade Commission Act
("FTC Act"), 15 U.S.C. ss. 53(b), charging defendants with violations of Section
5 of the FTC Act, 15 U.S.C. ss. 45;
Whereas, the defendants deny the occurrence of any fact alleged in the
Complaint or that they have engaged in any act or practice in violation of the
FTC Act; and
Whereas, the parties are entering into this Consent Decree to resolve all
all matters of dispute between them in this action, on the following terms and
conditions, without adjudication of any issue of fact or law,
NOW, THEREFORE, plaintiff and defendants having requested the Court to
enter this Order, IT IS HEREBY ORDERED, ADJUDGED, AND DECREED as follows:
FINDINGS
1. This Court has jurisdiction over the subject matter of this case and
over the parties consenting hereto.
CONSENT DECREE - page 1
<PAGE>
2. The Complaint states a claim upon which relief may be granted against
defendants under Section 5 of the FTC Act, 15 U.S.C. ss. 45.
3. Entry of this Order is in the public interest.
SCOPE OF ORDER
This Order applies to future representations in advertising and promotional
materials, including promotional seminars offered for free or for a nominal
charge of one hundred dollars ($100) or less, such as the Financial Clinic
offered by defendants prior to entry of this Order. This Order is not applicable
to books, print, electronic, video and audio publications and instructional
seminars published or presented by defendants and sold primarily at wholesale or
retail, rather than primarily distributed for free.
DEFINITIONS
For purposes of this Order, the following definitions shall apply, unless
otherwise indicated:
A. "Defendants" means Wade Cook Financial Corporation, Wade Cook Seminars,
Inc., and their subsidiaries, successors and assigns, (hereinafter collectively
referred to as "WCFC parties"). Provided however that Wade Bruce Cook, who is
not a named defendants in this matter, enters into this Consent Decree and
agrees to be bound by each of its provisions.
B. "Clearly and prominently" means as follows:
1. In an advertisement communicated through an electronic medium (such
as television, video, radio, and interactive media such as the
Internet and online services), the disclosure shall be presented
simultaneously in both the audio and video portions of the
advertisement. Provided, however, that in any advertisement presented
solely through video or audio means, the disclosure may be made
through the same means in which the ad is presented. The audio
disclosure shall be delivered in a volume and cadence sufficient for
an ordinary consumer to hear and comprehend it. The video disclosure
shall be of a size and shade, and shall appear on the screen a
sufficient length of time for an ordinary consumer to read and
comprehend it. In interactive media the disclosure shall also be
unavoidable and shall be presented before the consumer incurs any
financial obligation.
CONSENT DECREE - page 2
<PAGE>
2. In a print advertisement, promotional material, or instructional
manual, the disclosure shall be in a type size and location
sufficiently noticeable for an ordinary consumer to read and
comprehend it, in print that contrasts with the background against
which it appears. In multi page documents, the disclosure shall appear
on the cover or first page.
3. In a promotional seminar the disclosure shall be provided to each
seminar attendee in written form, in a single page document containing
no other information, in a type size sufficiently noticeable for an
ordinary consumer to read and comprehend it, in print that contrasts
with the background against which it appears.
C. "Stock" means common stocks, bonds, and options or other derivatives
interests in common stock or bonds.
D. "Disclosure period" shall mean the period of four calendar quarters that
ends not more than 150 days prior to the date of the representation that
triggers the disclosure.
E. "Rate of Return" means the amount of gain or loss in the stock brokerage
accounts of the corporate defendants for the applicable disclosure period
expressed as a percentage of the amount invested. The Rate of Return shall be
calculated as follows:
1. At the end of the last day of each month, for each stock owned on
the last day of the month, total the cost of each stock purchased
during the disclosure period, the fair market value on the last day of
the prior disclosure period of each stock owned on day one of the
disclosure period, and the amount of cash in each of the subject
brokerage accounts. Each of the twelve monthly totals shall be added
together. The resulting sum shall be divided by twelve. The result of
this division is the "average cost/value of securities."
2. At the end of the last day of the disclosure period, the realized
gains and losses from all stock transactions closed out during the
disclosure period shall be totaled. The result is the "realized gain
or loss" for the disclosure period. For each stock purchased and sold
within the disclosure period, the realized gain or loss shall be
calculated by subtracting the cost of the stock from the sale price of
the stock. For each stock owned
CONSENT DECREE - page 3
<PAGE>
on the first day of the disclosure period and sold during the
disclosure period, the realized gain or loss shall be calculated by
subtracting the fair market value of the stock at the end of the last
day of the prior disclosure period from the sale price of the stock.
3. At the end of the last day of the disclosure period, the unrealized
gains and losses from all stock transactions that were not closed out
during the disclosure period shall be totaled based on the fair market
value of such unsold stocks at the close of business on that day. The
result is the "unrealized gain or loss" for the disclosure period. For
each stock purchased during the disclosure period and held on the last
day of the disclosure period, the unrealized gain or loss shall be
calculated by subtracting the cost of the stock from the fair market
value of the stock at the end of the last day of the disclosure
period. For each stock owned on day one of the disclosure period and
held on the last day of the disclosure period, the unrealized gain or
loss shall be calculated by subtracting the fair market value of the
stock at the end of the last day of the prior disclosure period from
the fair market value of the stock at the end of the last day of the
current disclosure period.
4. The realized gain or loss and the unrealized gain or loss for the
disclosure period shall be totaled. The result shall be the "total
gain or loss" for the disclosure period.
5. The total gain or loss shall be divided by the average cost/value
of securities.
The result of this division shall be the Rate of Return.
WCFC parties shall not engage in a concerted practice of removing cash
assets within five (5) days from the end of the disclosure period from the
subject brokerage accounts where the purposes or effect is to manipulate or
significantly affect the Rate of Return, as opposed to removing cash assets for
the purpose of applying such funds to a specific investment, expense or other
specific use, or to the implementation of a specific investment strategy.
I.
IT IS THEREFORE ORDERED that WCFC parties are hereby permanently restrained
and enjoined from:
A. In connection with the advertising, promotion, offering for sale, or
CONSENT DECREE - page 4
<PAGE>
sale of the Wall Street Workshop seminar or any other stock market investment
seminar or program, making any representation, expressly or by implication, that
WCFC parties have attained success trading in stocks using the trading
strategies taught at the promoted seminar or program, or that consumers who
attend the promoted seminar or program shall attain success trading in stocks
using the strategies taught there, without disclosing clearly and prominently
the Rate of Return achieved during the disclosure period. If WCFC parties have
not traded during the disclosure period they shall disclose a Rate of Return of
zero or disclose the fact that they have not traded during the prior
twelve-month period. Whenever WCFC parties disclose the Rate of Return achieved
during the disclosure period they shall make the following disclaimer: "Future
results may vary."
In addition to the Rate of Return for the disclosure period, WCFC parties
shall make available on their web site, or make available upon request if they
do not have a web site, their historical rates of return, for each of the three
calendar years immediately preceding the calendar year in which a representation
is made that triggers the Rate of Return disclosure. The three calendar years
shall commence on January 1, 1999. Therefore, until 150 days past the last day
of 2001, WCFC parties shall only be required to disclose the historical annual
rate of return data accumulated up to that time.
In the event Wade Bruce Cook, through any corporation or other entity
unrelated to the corporate defendants, makes a statement otherwise covered by
Paragraph I.A. of this Order, he shall disclose clearly and prominently the Rate
of Return achieved during the disclosure period, based on the net gain or loss
in his personal brokerage accounts or the brokerage accounts of the entity
through which he is then doing business.
B. In connection with the advertising, promotion, offering for sale, or
sale of the Wall Street Workshop seminar or any other stock market investment
seminar or program, using an actual or hypothetical trade to illustrate a
trading strategy, unless WCFC parties disclose, clearly and prominently, that
the illustration does not reflect the Rate of Return earned by WCFC parties in
the stock market, unless such is the case, and that a consumer who attends the
seminar or program may not do as well when executing a similar trade. When an
actual or hypothetical trade is used to illustrate a trading strategy with the
disclosure required by Paragraph I.B., it shall not trigger the disclosure
required by Paragraph I.A.
CONSENT DECREE - page 5
<PAGE>
C. In connection with the advertising, promotion, offering for sale, or
sale of the Wall Street Workshop seminar or any other stock market investment
seminar or program, representing, expressly or by implication, that the
testimonial of any person or any endorsement of the seminar or program
represents the typical or ordinary experience of members of the public who
attend the seminar or program, unless WCFC parties disclose, clearly and
prominently, that testimonials reflect only one person's experience, that
consumers who attend the seminar or program should not assume that the
experience described necessarily reflects the testimonialist's overall rate of
success, and that consumers who attend the seminar or program should not expect
to achieve the same level of success. When a testimonial is used with the
disclosure required by Paragraph I.C, it shall not trigger the disclosure
required by Paragraphs I.A or I.B, except that any advertising or promotional
item that contains four (4) or more testimonials shall also comply with
Paragraph I.A. For purposes of this Order, "endorsement" shall mean
"endorsement" as defined in 16 C.F.R. ss. 255.06(b).
D. Failing to disclose clearly and prominently prior to purchase by the
consumer all material terms and conditions of any refund policy WCFC parties
offer; or if WCFC parties do not offer refunds, failing to clearly and
prominently disclose this fact prior to purchase by the consumer.
E. Making any representation, expressly or by implication, in connection
with the advertising, promotion, offering for sale, or sale of any investment
seminar or program unless at the time the representation is made WCFC parties
possess and rely upon a reasonable basis that substantiates the representation.
F. In the event that material that is not within the scope of this Order is
disseminated without charge in conjunction with advertisements, promotional
seminars, or other promotional activities that are subject to this Order,
failing to include in such advertisement, promotional seminar or other
promotional activity the clear and prominent disclosure set forth in Paragraph
I.A, whether or not such advertisement, promotional seminar, or other
promotional activity contains any representation that is subject to the
provisions of this Order.
G. Violating any requirement of the Federal Trade Commission's Rule
Concerning Cooling-Off Period for Sales Made At Homes Or At Certain Other
Locations, 16 C.F.R.ss. 429.
CONSENT DECREE - page 6
<PAGE>
CONSUMER REDRESS
II.
IT IS FURTHER ORDERED that:
A. Within sixty (60) days after entry of this Order, WCFC parties shall
complete a review of their consumer files to identify each consumer who paid to
attend the Wall Street Workshop but did not attend the Wall Street Workshop, and
who asked for a refund of Wall Street Workshop tuition but did not receive it.
Upon identification of each consumer, WCFC parties shall within ten (10) days
mail to the consumer a check and release of claim for the amount of Wall Street
Workshop tuition they paid. Upon claimant's cashing of such check, WCFC parties
shall not have any further obligation to claimant for the purchase of the Wall
Street Workshop.
B. Within sixty (60) days after entry of this Order, WCFC parties shall
commence mailing each eligible consumer who paid to attend the Wall Street
Workshop on or after January 1, 1997, and before January 1, 2000, the Notice and
Proof of Claim, in the form shown on Attachments A and B, at the rate of two
hundred (200) consumers each business day. Eligible consumer means each person
who (1) paid tuition to WCFC parties to attend the Wall Street Workshop, (2) did
not subsequently pay to attend any other seminar offered by WCFC parties, and
(3) has not previously received a refund of Wall Street Workshop tuition from
WCFC parties.
C. In the event WCFC parties receive a Proof of Claim within ninety (90)
days after it has been mailed, then thirty (30) days after the postmarked return
date of such Proof of Claim, WCFC parties shall evaluate the claimant's response
as provided in Attachments C, D and E, filed under seal. Upon determination that
such response meets the criteria established in Attachments C, D and E, and that
such response is not false, WCFC parties shall mail to the claimant a check and
release of claim for the amount of Wall Street Workshop tuition paid, less any
actual gain made by the claimant from trading in stocks using the trading
strategies taught at the Wall Street Workshop during the first twelve (12)
months after attending the Wall Street Workshop. Upon claimant's cashing of such
check, WCFC parties shall not have any further obligation to claimant for the
purchase of the Wall Street Workshop. Any dispute between WCFC parties and any
claimant as to the accuracy of the responses provided by the claimant in the
Proof of Claim shall be resolved by a third party mutually agreed to by the
parties,
CONSENT DECREE - page 7
<PAGE>
on the basis of written submissions, at the expense of WCFC parties.
D. In the event a claimant returns the Proof of Claim within ninety (90)
days but fails to provide a full response, or to submit all required
information, then WCFC parties shall send to the claimant within fifteen (15)
days of the postmarked return date of the Proof of Claim from a notice detailing
the information that has not been provided and advising the claimant that they
must provide such information in full within thirty (30) days of the postmarked
date of the notice. In the event that the claimant then provides all such
information within thirty (30) days, WCFC parties shall then have fifteen (15)
days from the postmarked return date to comply with the requirements set forth
in Paragraph II.C. In the event that the claimant fails to provide the requested
information within thirty (30) days, then WCFC parties shall have no further
obligation to claimant under this Order for the purchase of the Wall Street
Workshop.
E. WCFC parties shall keep all responses and documentation provided by
claimants confidential except where disclosure is required by law.
F. Sixty (60) days after entry of this Order, and then every thirty (30)
days thereafter until all obligations under Section II have been satisfied, WCFC
parties shall provide to the Federal Trade Commission an affidavit sworn to by
two Directors of WCFC attesting that they have independently reviewed WCFC
parties' compliance with the requirements of this Section, together with the
names and addresses of 1) each person who received a refund pursuant to
Paragraph II.A, and 2) all eligible consumers under the Order and each claimant
who has submitted a Proof of Claim and the disposition of the claim. This report
shall be provided in electronic computer readable form.
G. Upon five (5) days' notice, WCFC parties shall grant access to the
Commission to review, and make copies at the Commission's expense, of all
original records pertaining to compliance by WCFC parties with the requirements
of Section II.
H. In the event of a default by WCFC parties in any payment due pursuant to
Paragraph II, which default has not been cured within thirty (30) days of the
date of default, Wade Bruce Cook shall personally make such payment.
CONSENT DECREE - page 8
<PAGE>
GENERAL REQUIREMENTS
III.
IT IS FURTHER ORDERED that in connection with the advertising, promotion,
offering for sale, or sale of any investment seminar or program, WCFC parties
shall, for three (3) years from entry of this Order, maintain and upon request
make available to the Commission for inspection and copying at Commission
expense:
A. All advertisements, and promotional and sales materials, including all
speaker and sales staff training materials;
B. All materials that were relied upon in making the claims contained in
the advertisements, promotional, and sales materials, including speaker and
sales staff training materials;
C. All materials in their possession or control including complaints and
other communications with consumers or with governmental or consumer protection
organizations that contradict, qualify, or call into question the claims made in
advertisements, and promotional and sales materials, including speaker and sales
staff training materials, or the basis relied upon for the claims.
D. Records that reflect, for every consumer complaint or refund request,
whether received directly or indirectly or through any third party:
1. the consumer's name, address, telephone number and the dollar
amount paid by the consumer;
2. the written complaint or refund request, if any, and the date of
the complaint or refund request;
3. the basis of the complaint, including the name of any salesperson
or seminar instructor or speaker complained about, and the nature
and result of any investigation conducted concerning any
complaint;
4. each response and the date of the response;
5. any final resolution and the date of the resolution; and
6. in the event of a denial of a refund request, the reason for the
denial.
E. All brokerage account records, and other records, documenting and
substantiating any Rate of Return disclosed in compliance with Paragraph I.A.
CONSENT DECREE - page 9
<PAGE>
IV.
IT IS FURHTER ORDERED that WCFC parties, in connection with any business
where (1) any defendant is the majority owner of the business or directly or
indirectly manages or controls the business, and (2) the business engages in the
sale of investment seminars or programs, or assists others engaged in these
activities, are hereby permanently restrained and enjoined from:
A. Failing to take reasonable steps sufficient to monitor and ensure that
all their agents, employees, consultants and independent contractors engaged in
sales or other customer service functions or as seminar instructors or speakers
at promotional seminars, comply with Paragraph I of this Order. Such steps shall
include adequate monitoring of sales and promotional seminar presentations and
customer service functions, establishing a procedure for receiving and
responding to consumer complaints; and ascertaining the number and nature of
consumer complaints regarding transactions in which each employee or independent
contractor is involved.
B. Failing promptly to investigate any consumer complaint received by any
business to which this Paragraph applies. C. Compliance with this Section shall
be deemed relevant evidence on the issue of whether WCFC parties are responsible
for acts of a person identified in Paragraph IV.A that are alleged to violate
this Order in any subsequent enforcement proceeding.
V.
IT IS FURTHER ORDERED that, for a period of three (3) years from the date
of entry of this Order, WCFC parties shall:
A. Provide a copy of this Order to, and obtain a signed and dated
acknowledgement of receipt of same, from each officer or director, for any
business where (1) any defendant is the majority owner of the business or
directly or indirectly manages or controls the business, and (2) the business
engages in the sale of investment seminars or programs; and
B. Maintain for a period of three (3) years after creation, and upon
reasonable notice, make available to representatives of the Commission, the
original signed and dated acknowledgments of the receipt of copies of this
Order, as required in Paragraph V.A.
CONSENT DECREE - page 10
<PAGE>
VI.
IT IS FURTHER ORDERED that, so that compliance with the provisions of
this Order may be monitored:
A. Sixty (60) days after the date of entry of this Order, WCFC parties
shall provide a written report to the Commission, sworn to under penalty of
perjury, setting forth in detail the manner and form in which WCFC parties have
complied and are complying with this Order.
B. For the purposes of this Order, WCFC parties shall, unless otherwise
directed by the Commission's authorized representatives, mail all written
notifications or other communications to the Commission to:
Director, Northwest Region
Federal Trade Commission
915 2nd Avenue, Room 2896
Seattle, WA 98174
VII.
IT IS FURTHER ORDERED that, for a period of three (3) years from the date
of entry of this Order, for purposes of determining compliance with this Order,
WCFC parties shall permit representatives of the Commission, within five (5)
business days of receipt of written notice from the Commission:
A. Access during normal business hours to any office or facility storing
documents concerning any business where (1) any defendant is the majority owner
of the business or directly or indirectly manages or controls the business, and
(2) the business is engaged in the sale of investment seminars or programs, or
in assisting others engaged in such business. In providing such access, WCFC
parties shall permit representatives of the Commission to inspect all documents
relevant to any matter contained in this Order; and shall permit Commission
representatives to remove documents relevant to any matter contained in this
Order for a period not to exceed five (5) business days so that the documents
may be inspected, inventoried, and copied at the Commission's expense; and
B. To interview the officers, directors, and employees, including all
personnel involved in responding to consumer complaints or inquiries, of any
business subject to Paragraph VII.A. The person interviewed may have counsel
present.
CONSENT DECREE - page 11
<PAGE>
VIII.
IT IS FURTHER ORDERED that, within five (5) business days after receipt by
WCFC parties of this Order as entered by the Court, WCFC parties and Wade Bruce
Cook shall submit to the Commission truthful sworn statements, in the forms
shown on Attachments F and G, that shall acknowledge receipt of this Order.
IX.
IT IS FURTHER ORDERED that this Court shall retain jurisdiction of this
matter to enable any of the parties to this Order to apply to the Court at
anytime for such further orders or directives as may be necessary or appropriate
for the interpretation or modification of this Order, the enforcement of
compliance therewith or the punishment of violations thereof.
CONSENT DECREE - page 12
<PAGE>
SO ORDERED, this ___ day of ________, 2000.
-----------------------------
UNITED STATES DISTRICT JUDGE
The parties hereby consent to the terms and conditions of the Consent
Decree as set forth above and consent to the entry thereof. The parties waive
any rights that they may have under the Equal Access to Justice Act, 28
U.S.C.ss. 2412, amended by Pub. L. 104-121, 110 Stat. 847, 863-64 (1996).
FOR DEFENDANTS
/s/ Robert T. Hondel
-----------------------------
DIRECTOR
Wade Cook Financial Corporation
14675 Interurban Ave. S.
Seattle, WA 98168
NON-DEFENDANT
/s/ Wade B. Cook
-----------------------------
WADE BRUCE COOK
FOR PLAINTIFF
/s/ Eleanor Durham
-----------------------------
ELEANOR DURHAM
FEDERAL TRADE COMMISSION
915 2nd Avenue, Room 2896
Seattle, WA 98174
206-220-4476
CONSENT DECREE - page 13
<PAGE>
ATTACHMENT A
UNITED STATES OF AMERICA
FEDERAL TRADE COMMISSION
NOTICE
You may be eligible to participate in a redress program that was established
pursuant to a settlement between the Federal Trade Commission and Wade Cook
Financial Corporation and Wade Cook Seminars, Inc. To establish your
eligibility, you must complete the accompanying PROOF OF CLAIM, and mail it no
later than [date] to FTC Redress Program, P.O. Box xxxx, Seattle, WA 98104
In order to receive a redress payment, you must document your trading record if
you traded using the strategies taught at the Wall Street Workshop and are
seeking a refund under this redress program. Documentation may be in the form of
photocopies of brokerage statements or tax returns or other documents that show
how much money you earned or lost trading using the strategies taught at the
Wall Street Workshop during the first twelve months following attendance at the
Wall Street Workshop. DO NOT SEND ORIGINAL DOCUMENTS. All records that you
submit will be kept CONFIDENTIAL.
If your address has changed please write your correct address on the PROOF OF
CLAIM. If your name has changed, or you are the executor of an estate or are
handling this claim on behalf of someone else, please return the PROOF OF CLAIM
with copies of documentation supporting the change. Supporting documents would
include, but not be limited to, a copy of a marriage certificate, power of
attorney, or appointment as executor.
[WBC - initialed]
<PAGE>
ATTACHMENT B
PROOF OF CLAIM
1. a. Have you previously requested a refund of the Wall Street Workshop
tuition?
Yes ___ No ___
b. Did you receive a refund? Yes ___ No ___
2. Since paying to attend the Wall Street Workshop have you paid to attend any
other seminars offered by Wade Cook Financial Corporation. Yes ___ No ___
Which one(s)?
How much did you pay?
3. Were you told at the Wall Street Workshop to practice trade, or paper
trade, or simutrade until you were successful using the stock trading
strategies taught at the Wall Street Workshop before actually trading with
money? Yes ___ No ___
4. Did you practice trade, paper trade, or simutrade, until you were
successful using the stock trading strategies taught at the Wall Street
Workshop before actually trading with money? Yes ___ No ___
5. How much money did you make or lose in the twelve months following your
attendance at the Wall Street Workshop using the stock trading strategies
taught at the Wall Street Workshop? If your net gain was less than you paid
in tuition for the Wall Street Workshop, or if you had net losses, you must
send copies of your brokerage account statements or other reliable
documentation of your trading record, along with this PROOF OF CLAIM, in
order to be considered for participation in this redress program.
[WBC - initialed]
<PAGE>
6. By signing the Proof of Claim and returning it to the FTC Redress Program,
and upon receipt of payment under this redress program, I agree that any
and all claims I may have against Wade Cook Financial Corporation for the
purchase of the Wall Street Workshop are released.
I declare under penalty of perjury that the foregoing statement is
true and correct.
Signed this _____ day of ____________, 20__.
-------------------------------
[WBC - initialed]
<PAGE>
Attachment C has been omitted. Confidential Treatment has been requested
pursuant to Rule 24b-2 of the Securities Exchange Act of 1934. Omitted portions
have been filed separately with the Securities and Exchange Commission.
<PAGE>
Attachment D has been omitted. Confidential Treatment has been requested
pursuant to Rule 24b-2 of the Securities Exchange Act of 1934. Omitted portions
have been filed separately with the Securities and Exchange Commission.
<PAGE>
Attachment E has been omitted. Confidential Treatment has been requested
pursuant to Rule 24b-2 of the Securities Exchange Act of 1934. Omitted portions
have been filed separately with the Securities and Exchange Commission.
<PAGE>
ATTACHMENT F
------------------------------------
FEDERAL TRADE COMMISSION )
) Case No.
Plaintiff, )
) AFFIDAVIT OF WADE BRUCE
v. ) COOK ACKNOWLEDGING RECEIPT
) OF ORDER
WADE COOK FINANCIAL CORP., and, )
WADE COOK SEMINARS, INC. )
)
Defendants )
------------------------------------)
Wade Bruce Cook, being duly sworn, hereby states and affirms as follows:
1. My name is Wade Bruce Cook. My current residence address is 4333 Mary
Ellen Road, Issaquah, Washington 98141. I am a citizen of the United States and
am over the age of eighteen. I have personal knowledge of the facts set forth in
this Affidavit.
2. I am the President and CEO of defendant Wade Cook Financial Corporation
and have agreed to be bound by the terms of this Order in my individual
capacity.
3. On __________, 2000, I received a copy of the Consent Decree, which was
signed by the Honorable ___________________ and entered by the Court on
__________________________, 2000. A true and correct copy of the Order I
received is appended to this Affidavit.
I declare under penalty of perjury under the laws of the United States that
the foregoing is true and correct.
Executed on __________, at _______________________________.
[WBC - initialed]
ATTACHMENT F -1
FEDERAL TRADE COMMISSION
915 Second Ave. Ste. 2896
Seattle, Washington 98174
(206) 220-6350
<PAGE>
----------------------------------
Wade Bruce Cook
State of Washington
County of -------------------
Subscribed and sworn to before me this ___ day of ________, 20__.
---------------------------
Notary Public
My Commission Expires:
[WBC - initialed]
ATTACHMENT F - 2
FEDERAL TRADE COMMISSION
915 Second Ave. Ste. 2896
Seattle, Washington 98174
(206) 220-6350
<PAGE>
ATTACHMENT G
------------------------------------
FEDERAL TRADE COMMISSION )
) Case No.
Plaintiff, )
) AFFIDAVIT OF [Name of Director]
v. ) ACKNOWLEDGING RECEIPT OF
WADE COOK FINANCIAL CORP., and, ) ORDER
WADE COOK SEMINARS, INC. )
)
Defendants )
------------------------------------)
[Name], being duly sworn, hereby states and affirms as follows:
1. My name is [Name]. My current residence address is _____________________
____________________________________________. I am a citizen of the United
States and am over the age of eighteen. I have personal knowledge of the facts
set forth in this Affidavit.
2. I am the [position] of defendant Wade Cook Financial Corporation.
3. On ____________, 2000, I received a copy of the Consent Decree, which
was signed by the Honorable ___________________ and entered by the Court on
__________________________, 2000. A true and correct copy of the Order I
received is appended to this Affidavit.
I declare under penalty of perjury under the laws of the United States that
the foregoing is true and correct.
Executed on __________, at _______________________________.
[WBC - initialed]
ATTACHMENT G - 1
FEDERAL TRADE COMMISSION
915 Second Ave. Ste. 2896
Seattle, Washington 98174
(206) 220-6350
<PAGE>
----------------------------------
[Name]
State of Washington
County of -------------------
Subscribed and sworn to before me this ___ day of ________, 20__.
---------------------------
Notary Public
My Commission Expires:
[WBC - initialed]
ATTACHMENT G - 2
FEDERAL TRADE COMMISSION
915 Second Ave. Ste. 2896
Seattle, Washington 98174
(206) 220-6350
