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FACSIMILE TRANSMITTAL

2tDR.
SERVICES

ADR SERVICES, INC.

1900 Avenue of the Stars, Suite 250 Los Angeles, California 90067 www.adrservioes.org

DATE: RECIPIENT

August 29, 2012 FAX NUMBER (310) 576-1220 (424) 832-7702 (626) 449-2330 (818) 716-1095 PHONE NUMBER (310) 566-6016 (424) 832-7677 (626) 449-2300 (818) 716-6400

BROWNE GREENE, ESQ. DANIEL K. BALABAN, ESQ. ARTHUR C. PRECIADO, ESQ. ANN D. WU, ESQ. JOHN P. ROSENBERG, ESQ. SENDER CHRISTIE WOO I MICHAEL TOUSEY

(310) 201-0016

(310) 201-0010

NUMBER OF PAGES INCLUDING COVER: RE: RIDER v. LAUSD ADRS Case No, 12-3126-AHW

10

MESSAGE: Please find attached a STATEMENT OF DECISION (FINAL ARBITRATION AWARD) for the above matter.

PLEASE CALL (310) 201-0010 IF YOU DO NOT RECEIVE ALL PAGES.

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ADR Services, Inc. Arbitration No. 12-3128-AHW Los Angeles Superior Court Case No. EC 053416 JOHNNY RIDER, a minor, by and through his Guardian ad Litem, TATIKA PATTERSON, Plaintiff, vs. LOS ANGELES UNIFIED SCHOOL DISTRICT, Defendant.

STATEMENT OF DECISION (FINAL ARBITRATION AWARD) The undersigned Arbitrator, having been selected and designated in the BINDING ARBITRATION AGREEMENT (hereinafter "Arbitration Agreement') entered into by the parties and having examined the allegations and submissions of the parties, finds, concludes and, as provided for in Paragraph (12) of the Arbitration Agreement, issues this Statement of Decision (the Final Arbitration Award) as follows: I. Introduction and Procedural Statement. A. Personnel of the Arbitration. 1. Parties and Counsel. The parties to this arbitration are identified in the caption above and are represented by counsel as follows: Browne Greene, Esq. (SBN 38441) GREENE, BROILLET & WHEELER 100 Wilshire Boulevard, 21st Floor Santa Monica, California 90407 bgreencAgrecne-broillet.com Attorney for Plaintiff Daniel K. Balaban, Esq. (SBN 243652) BALABAN & SPIELBERGER 1999 San Vicente Boulevard, Suite 345 Los Angeles, California 90049 daniel@dbaslaw.com Attorney for Plaintiff John P. Rosenberg, Esq. (SBN 77946) LAW OFFICES OF JOHN P. ROSENBERG

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6355 Topanga Canyon Boulevard, Suite 515 Woodland Hills, California 91367 irpenberg,'42.j rosenbe rg . co m Attorney for Plaintiff Arthur C. Preciado, Esq. (SBN 112303) Ann D. Wu, Esq. (SBN 233764) GUT1ERP,1- 2 PRECIADO & HOUSE 1 3020 East Colorado Boulevard Pasadena, California 91107 art.pKeeiadc4gphlawyers.com ann.w-u(agphlawyers.eom Attorneys for Defendant 2. Arbitrator. Alexander H. Williams III (SBN 52894) Judge of the Los Angeles Superior Court (Retired) ADR Services, Inc_ 1900 Avenue of the Stars, Suite 250 Los Angeles, California 90067 jLEigewilliams(ii)adrservices.org 3. Case Manager. Christie Woo ADR Services, Inc. 1900 Avenue of the Stars, Suite 250 Los Angeles, California 90067 christieA,adrseryices.ors B. Claims. The claims are set forth in the complaint in Los Angeles Superior Court Case No. EC053416. However, per the terms of the Arbitration Agreement, the only issue to be addressed in the arbitration is Plaintiff's damages. C. Proceedings. 1. Arbitration Management Conference. An Arbitration Management Conference was conducted with the Arbitrator by telephone on May 23, 2012. Mr. Greene, Mr. Balaban and Mr. Preciado participated. At the hearing, it was agreed and ordered that the Arbitration will take place on Monday, July 21, 2012 (Plaintiffs evidence) and Thursday, July 24, 2012 (Defense evidence and final arguments), from 9:00 am to 6:00 pm, at the ADR Services, Inc. offices in downtown Los Angeles. Mr. Preciado offered LAUSD facilities for the conduct of the arbitration. Mr. Greene

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objected and suggested the ADR Services downtown office (a compromise since the ADRS office in Century City would be closer to his office). The Arbitrator thanked Mr. Preciado for the offer but decided that the hearing should be conducted at a neutral facility. It was understood that the schedule might change according to the availability of witnesses. 2. Arbitration Hearing. The Arbitration Hearing took place on Monday, July 21, 2012 (Plaintiffs evidence) and Monday, July 30, 2012 (Defense evidence and final arguments) at the ADR Services, inc. offices in downtown Los Angeles. All Counsel for both sides attended both sessions of the Hearing, which were reported by a certified shorthand reporter. Plaintiff called five witnesses: neurologist Dr. H. Ronald Fisk, life care planner Carol Hyland, orthopedic surgeon Dr. Robert Mapper, Plaintiffs mother Tatika Patterson, and Plaintiff . The Defendant called four witnesses: spine surgeon Dr. William Dillin, life care planner Dr. Sharon Kawai, neurologist Dr. Barry Ludwig, and neuropsychologist Dr. Charles Furst. All witnesses testified under oath. The evidence closed on July 30, 2012. 3. Briefing. The parties submitted closing briefs by August 14, 2012. 4. Acknowledgement. The Arbitrator expresses his gratitude and respect for the professionalism shown by all counsel throughout these proceedings. Both sides have been very well represented.

II. Contentions of the Parties A. Plaintiff's Contentions. Plaintiff contends that he suffered cervical spine and traumatic brain injuries, and that his damages for past and future medical expenses, past and future pain and suffering and loss of earning capacity total $8,974,000. B. Defendant's Contentions. Defendant contends that Plaintiff suffered cervical spine injury for which cervical fusion surgery was successful, suffered no spinal cord injury, and suffered at the most a mild traumatic brain injury that resolved post incident, and that Plaintiffs damages should be in the range of $200,000-$350,000. Ill. Findings of Fact Based on the evidence presented in this case, the Arbitrator finds the following facts: A. The Plaintiff.

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Plaintiff Johnny Rider presents as a likeable and personable young man. Born May 26, 1993, he is presently 19 years old. According to his medical records, he is approximately 5' 9" in height and weighs about 150 pounds. He is trim and slight of build. He has generally been a below-average student with frequent absences from school. His grades were showing some improvement just before the incident. He also has a history of diagnosed Attention Deficit Hyperactivity Disorder (ADHD). B. The Incident. On July 8, 2008, when he was 15 years old, Plaintiff participated in a football practice/tryout at Defendant's North Hollywood High School. He suffered a cervical spine fracture at the C-6 and C-7 vertebrae when lie ran head first into padded bags being held by two other students during a running back drill. None of the 3 students, including Plaintiff, was wearing a helmet, shoulder pads or any other protective equipment, The Plaintiff now claims that he was unconscious for a period of time after the incident, but there is nothing in the contemporaneous record to so indicate. C. The Surgery. The Plaintiff was driven home after the episode. After he spent a painful night and next day at home, his mother took him to seek medical attention. He was admitted and underwent successful cervical spine fusion surgery (laminectomy) on July 10, 2008, All sides agree that the surgery was performed well. Of course, the Plaintiff retains the fusion screws and rods in the back of his neck. D. Cervical Spine Injury. It is agreed by both sides that Plaintiff sustained a cervical spine injury. While the Defendant asserts that athletes with such injuries can return to competition after having the surgery performed on Plaintiff, even the Defense spine expert, Dr. Dillin, acknowledges that Plaintiff's continuing complaints of pain preclude any medically authorized return to contact sports. The Defendant contends that Plaintiff's activities since the surgery, including riding roller coasters at Magic Mountain, skateboarding, trying out for the football and basketball teams at his school, and boxing with his brother and others, are evidence that the Plaintiffs claims of pain are fabricated or at least exaggerated. The Arbitrator finds that such activities do not establish that the Plaintiff is free of pain from this incident, but only that he is willing to engage in such activities notwithstanding some level of pain. The Arbitrator finds that the Plaintiff continues occasionally to have mild to moderate pain and that such pain is likely to continue into the future. E. Traumatic Brain Injury.

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Plaintiff maintains that, in addition to his neck injury, he sustained traumatic brain injury ("TIM"). This claim is based on (1) his assertions that he blacked out at the time of the incident and has suffered memory loss since then; (2) an Evoked Auditory Response ("AER") test administered by Plaintiff's neurologist, Dr. Fisk; and a Positron Emission Tomography ("PET") scan performed by Dr. Monte Buchsbaum, the inventor of the PET scan. The Defense argues; (1) the Plaintiffs claims that he blacked out and that he is suffering diminished memory are late-made, self serving and without substantial corroboration; (2) the Defendant's neurologist, Dr. Ludwig, opines that the AER test does not support the TB1 claim; and (3) the use of PET scans to diagnose TBI is not scientifically supported. Moreover, DT_ Ludwig and the Defendant's neuropsychologist, Dr. Furst, opine that the tests normally performed to identify such issues reflect that Plaintiff does not have any residual brain damage. The Defense makes much of the lack of concrete evidence of TBI, and points out that the Plaintiff did not call his own neuropsychologist, Dr. Zehler, because his findings were the same as those of Defense neuropsychologist Dr. Furst. The Arbitrator, however, notes that even Defense witnesses concede the possibility of mild TBI, such as would occur with a mild concussion, although they do not see it as likely to last. The evidence is in conflict. Considering the totality of the evidence carefully, the Arbitrator finds that the preponderance of the evidence does not establish that the Plaintiff is suffering from traumatic brain injury. F. Past Medical Expenses. The Plaintiff's Brief Re Damages claims $74,000 in past medical bills. The Defendant's Closing Brief stipulates that the past medical costs total $76,272.37. G. Future Medical Expenses. Dr. Mapper testified that Plaintiff is already demonstrating beginning degenerative process in discs adjacent to the site of the laminectomy and will need cervical fusion and/or disc replacement surgery in the future. Defense expert Dr. Dillin, whom the Defense points out is a spine surgeon (which DrMapper is not) explained the difference between adjacent segment degeneration (which almost everybody has to some extent, however slight) and adjacent segment disease, which, in his opinion, the Plaintiff does not have, The Arbitrator finds that the nature of Plaintiff's injury and his present condition make it more likely than not that he will need significant medical care in the future and that Ms.

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Hyland's estimate of $300,000 is reasonable for future medical expenses over an estimated 60 year future life span. H. Loss of Earning Capacity. Both Life Care Planners testified that Plaintiff would earn his living by engaging in work of a physical nature. Given his lifting restrictions (endorsed by both experts) and his pain, Plaintiff's expert estimates lost earning capacity at $900,000, reduced to present value, at $600,000. Defendant's life care planner, Dr. Kawai, calculated the monetary amount of her life care plan for Plaintiff at $48,000. However, as is pointed out in Plaintiffs Brief re Damages, Dr. Kawai appeared in her testimony, which included her first opportunity to examine the Plaintiff, to modify some of her opinions. The Arbitrator finds that the most reasonable damages figure for loss of earnings capacity over an estimated 60-year future life span is $200,000. Past Pain and Suffering. The Arbitrator finds that the Plaintiff's pain and suffering after the incident in which he suffered such significant neck injury should be valued at $200,000 for the first year and at $50,000 each for the next three years, totaling $350,000. J. Future Pain and Suffering. The Arbitrator finds that the Plaintiff will live a compromised life with significant pain and that Plaintiffs pain and suffering for the next 60 years should be valued at $25,000 per year, for a total of $1,5000,000. IV. Conclusions of Law A. Legal Considerations re Damages. As a matter of law, Plaintiff is entitled to recover all damages suffered and reasonably likely to be suffered that have been or will be caused by the incident. In light of the facts found in Section III above, the Arbitrator finds those damages to be: 1. Past Medical Expenses: 2. Future Medical Expenses; 3. Loss of Economic Capacity; 4. Past Pain and Suffering: $76,272.37 $300,000.00 $200,000.00 $350,000.00

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5. Future Pain and Suffering: Total: B. Award of Damages.

$1,500,000.00 $2,426,27237

Plaintiff therefore shall recover from Defendant the sum of $2,426,272.37. C. Reduction to Present Value. There was no argument addressed to the question of reducing any future damages to present value, so the Arbitrator has not made any such reductions. Should any side wish that question to be addressed, the procedure set forth in Paragraph (13) of the Arbitration Agreement may be employed. D. All Evidence Considered. The Arbitrator has considered all of the issues raised and all of the arguments made by counsel for both sides (including matters associated with the personal conduct of the Plaintiff). Matters not specifically addressed in this Statement of Decision (Final Arbitration Award) were deemed by the Arbitrator to have no impact on the decision. E. Concluding Ruling. This Statement of Decision (Final Arbitration Award) resolves all the claims between the parties submitted for decision in this proceeding_ Any claim not addressed herein is hereby denied. V. Service The Case Manager shall serve a copy of this Statement of Decision (Final Arbitration Award) on an counsel_ SO ORDERED. Dated: August 29, 2012

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PROOF OF SERVICE
State of California County of Los Angeles I certify that I am employed in the County of Los Angeles, State of California. I am over the age of 18 and not a party to the within action; my business address is 1900 Avenue of the Stars, Suite 250, Los Angeles, California 90067. On August 29, 2012, I served the foregoing documents described as the STATEMENT OF DECISION (FINAL ARBITRATION AWARD) on the interested parties in this action by placing a true copy thereof enclosed in a sealed envelope addressed as follows: Browne Greene, Esq. GREENE BROILLET & WHEELER 100 Wilshire Boulevard, 21st Floor Santa Monica, California 90407 Arthur G. Preciado, Esq. Ann D. Wu, Esq. GUTIERREZ PRECIADO & HOUSE 3020 East Colorado Boulevard Pasadena, California 91107 x x Daniel K. Balaban, Esq. BALABAN & SPIELBERGER 100 Wilshire Boulevard, Suite 2100 Santa Monica, California 90406 JOHN P. ROSENBERG, ESQ. 6355 Topanga Canyon Boulevard, Suite 515 Woodland Hills, California 91367

BY CERTIFIED U.S. MAIL, I caused such envelope with postage thereon to be placed in the United States mail at Los Angeles, California. BY FACSIMILE, I caused such to be faxed to the attorneys on August 29, 2012 BY E-MAIL OR ELECTRONIC TRANSMISSION: I caused a copy of the document(s) to be sent from e-mail address to the persons at the e-mail addresses listed in the Service List. I did not receive, within a reasonable time after the transmission, any electronic message or other indication that the transmission was unsuccessful. BY PERSONAL SERVICE, I caused such envelope to be delivered by hand to the attorneys
On

X X

STATE I declare under penalty of perjury under the laws of the State of California that the above is true and correct. FEDERAL I declare that I am employed in the office of a member of the bar of this court at whose direction the service was made. Executed on August 29, 2012 at Los Angeles, California Michael Thu

1900 Avenue of the Stars, Suite 250 Los Angeles CA 90067-4303 (800) 558-ADRS (310) 201-0010 Fax (310) 201-0016 lvww.odrservices.org
AP ILOon PllartVNIt darn LI['In

m.u.d.,

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REQUEST FOR CERTIFIED MAIL RIDER v. LAUSD Browne Greene, Esq. GREENE BROILLET & WI-TEELER 100 Wilshire Boulevard, 21st Floor Santa Monica, California 90407 -- AFFIX LABEL ----- ------ - 7 u 11 20000000 . 5u 20 825? _. Qase Narne:_AcidreSsee:. _Case.Manager: Date:... . - Case Name:: - Addressee: ' Christie Woo August 29, 2012

ifEl*:....1-:- -

RIDER v. LAUSD Arthur G. Preciado, Esq. Ann D, Wu, Esq. GUTIERREZ PRECIADO & HOUSE - 3020 East Colorado Boulevard - Pasadena, California 91107 AFFIX.LABE ' - 7011 2000 0011u 5 u 20 82614

Casdi. anftger: : Christie Woo Date:.: , = August 29, 2012 Case Natne: - - - RIDER v. LA USD Addressee: Daniel K. Balaban, Esq. BALABAN & SPIELBERGER - - - - -- - -- -100 Wilshire Boulevard, Suite 2100 Santa Monica, California 90406

AFFIX LABEL

7011 2000 u 0 uu 5020 8226

Case Manager: - , Christie Woo "Date: - - . August 29, 2012 Case Name: AddreSsee: _ RIDER v. LAUSD JOHN P. ROSENBERG, ESQ. 6355 Topanga Canyon Boulevard, Suite 515 -. Woodland Hills, California 91367 AFFIX LAPEL7011 2000 0000 5020 824 u ERE: = Christie Woo Case ManaLer: Date:.: August 29, 2012