ELIZABETH M. GRANT
MARC M. GROMAN
Federal Trade Commission
600 Pennsylvania Ave., NW
Washington, DC 20580
202-326-3299; 326-2042; 326-3395 (fax)

RAYMOND MCKOWN CA Bar # 150975
Federal Trade Commission
Local Counsel
10877 Wilshire Blvd., Suite 700
Los Angeles, CA 90024
310-824-4325; 310-824-4380 (fax)

Attorneys for Plaintiff
FEDERAL TRADE COMMISSION

UNITED STATES DISTRICT COURT
CENTRAL DISTRICT OF CALIFORNIA
EASTERN DIVISION

FEDERAL TRADE COMMISSION, Plaintiff,

v.

THE CAR WASH GUYS INTL., INC.,

WASH GUY.COM, INC.,

LANCE WINSLOW, III,

individually and as an officer of said companies, and

MICHELLE PORTNEY, a/k/a MICHELLE WINSLOW, Defendants.

 

No.

[PROPOSED]
EX PARTE TEMPORARY RESTRAINING ORDER WITH ASSET FREEZE, REQUIRING EXPEDITED PRODUCTION OF DEFENDANTS' BUSINESS RECORDS, AND ORDER TO SHOW CAUSE WHY A PRELIMINARY INJUNCTION SHOULD NOT ISSUE

Plaintiff, the Federal Trade Commission ("Commission"), having filed a Complaint for a Permanent Injunction and Other Relief, including redress to consumers, pursuant to Sections 13(b) and 19 of the Federal Trade Commission Act ("FTC Act"), 15 U.S.C.  53(b) and 57b, and the FTC's Trade Regulation Rule entitled "Disclosure Requirements and Prohibitions Concerning Franchising And Business Opportunity Ventures" (the "Franchise Rule" or the "Rule"), 16 C.F.R. Part 436, and having moved for an Ex Parte Temporary Restraining Order pursuant to Rule 65(b) of the Federal Rules of Civil Procedure (Fed. R. Civ. P. 65(b)) and C.D. Cal. Local Rule 7.18.2, and the Court having considered the Complaint, declarations, exhibits, and memorandum of law filed in support thereof, and now being advised in the premises, finds that:

1. This Court has jurisdiction of the subject matter of this case and there is good cause to believe it will have jurisdiction of all parties hereto;

2. Venue lies properly with this Court;

3. There is good cause to believe that defendants The Car Wash Guys International, Inc., Wash Guy.Com, Inc., Lance Winslow, III, and Michelle Portney, have engaged and are likely to engage in acts and practices that violate Section 5(a) of the FTC Act, 15 U.S.C.  45(a), and/or the Federal Trade Commission's Franchise Rule, 16 C.F.R. Part 436, and that the Commission is therefore likely to prevail on the merits of this action;

4. There is good cause to believe that immediate and irreparable harm will result from Defendants' ongoing violations of Section 5(a) of the FTC Act, 15 U.S.C.  45(a), and the Franchise Rule, 16 C.F.R. Part 436, absent the entry of this Temporary Restraining Order ("Order").

5. There is good cause to believe that immediate and irreparable damage to the Court's ability to grant effective final relief for consumers in the form of monetary restitution will occur from the sale, transfer, or other disposition or concealment by Defendants of assets or records unless Defendants are immediately restrained and enjoined by Order of this Court, and that in accordance with Fed. R. Civ. P. 65(b) and Local Rule 7.18.2, the interest of justice therefore requires that this Order be granted without prior notice to Defendants. There is thus good cause for relieving the Commission of the duty to provide Defendants with prior notice of the Commission's motion;

6. Weighing the equities and considering the Commission's likelihood of ultimate success, a Temporary Restraining Order with asset freeze, requiring expedited production of Defendants' business records, and other equitable relief is in the public interest; and

7. No security is required of any agency of the United States for issuance of a restraining order. Fed. R. Civ. P. 65(c).

Definitions

For the purpose of this Temporary Restraining Order, the following definitions shall apply:

1. "Assets" means any legal or equitable interest in, right to, or claim to, any real and personal property, including, but not limited to "goods," "instruments," "equipment," "fixtures," "general intangibles," "inventory," "checks," or "notes" (as these terms are defined in the Uniform Commercial Code), and all chattel, leaseholds, contracts, mail, or other deliveries, shares of stock, accounts, effects, credits, premises, receivables, funds, and cash, wherever located.

2. "Business opportunity" means any written or oral business arrangement, however denominated, whether or not covered by the Franchise Rule, which consists of the payment of any consideration for: (a) the right or means to offer, sell, or distribute goods or services (whether or not identified by a trademark, service mark, trade name, advertising, or other commercial symbol); or, (b) assistance to any person or entity in connection with or incident to the establishment, maintenance, or operation of a new business or entry by an existing business into a new line or type of business.

3. "Defendants" means The Car Wash Guys International, Inc. ("CWGI"), Wash Guy.Com, Inc. ("Washguy"), Lance Winslow, III ("Winslow"), and Michelle Portney, a/k/a Michelle Winslow ("Portney"), and each of them, and any entity through which they do business.

4. "Document" is synonymous in meaning and equal in scope to the usage of the term in Federal Rule of Civil Procedure 34(a), and includes writings, drawings, graphs, charts, photographs, audio and video recordings, computer records, and other data compilations from which information can be obtained and translated, if necessary, through detection devices into reasonably usable form. A draft or non-identical copy is a separate document within the meaning of the term.

5. "Franchise" is any offering that is defined as a franchise in Section 436.2(a) of the Franchise Rule, 16 C.F.R. Part 436.2(a).

6. "Person" means any individual, group, unincorporated association, limited or general partnership, corporation, or other business entity.

ORDER

PROHIBITION AGAINST FALSE OR MISLEADING STATEMENTS

I.

IT IS THEREFORE ORDERED that, in connection with the advertising, offering for sale or sale of any franchise or business opportunity, defendants CWGI, Washguy, Winslow, and Portney, and each of them, and their officers, directors, agents, servants, employees, salespersons, franchise brokers, corporations, subsidiaries, affiliates, successors, assigns or entities in active concert or participation with them who receive actual notice of this Order by personal service, facsimile or otherwise, are hereby temporarily restrained and enjoined from making any express or implied representation or omission of material fact that is false or misleading, in any manner, orally or in writing, including over the Internet, to any consumer, including, but not limited to, the following:

A. Falsely representing the income, profits, or sales volume likely to be achieved in connection with the purchase of any franchise or business opportunity;
 
B. Falsely representing the income, profits, or sales volume achieved by existing or past purchasers or operators of any franchise or business opportunity or the degree of success achieved by such purchasers;
 
C. Falsely representing the income, profits, or sales volume achieved by any Defendant;
 
D. Falsely representing the number of or identity of franchisees or business opportunity purchasers;
 
E. Falsely representing that any franchisee or business opportunity purchaser will be provided with a base of accounts or customers or falsely representing the amount or number of accounts or customers that will be provided;
 
F. Falsely representing the nature, effectiveness, methods or techniques used by any Defendant in connection with marketing or promoting any franchise or business opportunity;
 
G. Falsely representing the nature, scope, or amount of any training provided to any franchisee or business opportunity purchaser;
 
H. Falsely representing the nature or scope of any Defendant's business relationship with other entities, including falsely representing that any Defendant performs services on a nationwide basis for such entities;
 
I. Falsely representing any payments or services provided to any franchisee or business opportunity purchaser or investor; and
 
J. Falsely representing the amount, nature, or degree of assistance that will be provided to any franchisee or business opportunity purchaser.

PROHIBITION AGAINST VIOLATING THE FRANCHISE RULE

II.

IT IS FURTHER ORDERED that, in connection with the advertising, offering for sale or sale of any franchise, defendants CWGI, Washguy, Winslow, and Portney, and each of them, and their officers, directors, agents, servants, employees, salespersons, franchise brokers, corporations, subsidiaries, affiliates, successors, assigns, and other entities or persons directly or indirectly under their control, and all persons in active concert or participation with them who receive actual notice of this Order by personal service, facsimile or otherwise, are temporarily restrained and enjoined from violating, or assisting others in violating, any part of the Franchise Rule, 16 C.F.R. Part 436, including but not limited to:

A. Failing to provide potential franchisees with a complete and accurate disclosure document within the times stated in the Franchise Rule, 16 C.F.R. Part 436.1(a);
 
B. Failing to have a reasonable basis for any earnings claims at the time such claim is made, as required by the Franchise Rule, 16 C.F.R. Part 436.1(b)-(e);
 
C. Failing to provide potential franchisees with an earnings claim document when any earnings claim is made, as required by the Franchise Rule, 16 C.F.R. Part 436.1(b)-(e), or the alternative requirement of Item 19 of the UFOC; and
 
D. Making or assisting others in making statements that are inconsistent with the relevant disclosure document, in violation of the Franchise Rule, 16 C.F.R. Part 436.1(f). ASSET FREEZE

III.

IT IS FURTHER ORDERED that defendants CWGI, Washguy, Winslow, and Portney, and each of them, and their officers, directors, agents, servants, employees, salespersons, franchise brokers corporations, subsidiaries, affiliates, successors, assigns, and other entities or persons directly or indirectly under their control, and all persons in active concert or participation with them who receive actual notice of this Order by personal service, facsimile or otherwise, are hereby temporarily restrained and enjoined from, directly or indirectly:

A. Except as otherwise provided herein, transferring, liquidating, converting, encumbering, pledging, loaning, selling, concealing, dissipating, disbursing, assigning, spending, withdrawing, granting a lien or security interest or other interest in, or otherwise disposing of any funds, real or personal property, accounts, contracts, consumer lists, shares of stock, or other assets, or any interest therein, wherever located, that are: (1) owned or controlled by defendants CWGI, Washguy, Winslow, or Portney, or held, in whole or in part, for the benefit of Defendants; (2) in the actual or constructive possession of Defendants; or (3) owned, controlled by, or in the actual constructive possession of any corporation, partnership, or other entity directly or indirectly owned, managed, or controlled by any defendant, including, but not limited to any assets held by or for any defendant at any bank or savings and loan institution, or with any broker-dealer, escrow agent, title company, commodity trading company, precious metals dealer, or other financial institution or depository of any kind;
 
B. Opening or causing to be opened any safe deposit boxes titled in the name of any defendant, or subject to access by any defendant or under their control;
 
C. Transferring any funds or other assets subject to this Order for attorneys' fees or living expenses, except from accounts or other assets identified by prior written notice to the Commission and prior approval by the Court. Provided further, that no attorneys' fees or living expenses, other than those set forth in Subparagraph III(E), and only in accordance with the procedures set forth in Subparagraph III(E), shall be paid from funds or other assets subject to this Order unless and until the defendant requesting such funds has completed a sworn financial statement as required by Paragraph VI of this Order, and submitted such statement to the Court and served such statement upon counsel for the Commission;
 
E. Notwithstanding the above, defendants Winslow and Portney may pay from their personal funds reasonable, usual, ordinary, and necessary living expenses, not to exceed $500 for each of them, prior to the submission of the sworn financial statement as required by Paragraph VI of this Order. No such living expenses, however, shall be paid from funds subject to this Order except from cash on the person of defendant Winslow or Portney, or from an account designated by prior written notice to counsel for the Commission;
 
F. The funds, property and assets affected by this Paragraph shall include both existing assets and assets acquired after the effective date of this Order, including without limitation those acquired by loan or gift. Each defendant shall hold and account for such property and assets and payments received by them after service of this Order, including without limitation, payments, loans, and gifts.

PRESERVATION OF RECORDS

IV.

IT IS FURTHER ORDERED that defendants CWGI, Washguy, Winslow, and Portney, and each of them, and their officers, directors, agents, servants, employees, salespersons, franchise brokers, corporations, subsidiaries, affiliates, successors, assigns, and other entities or persons directly or indirectly under their control, and all persons in active concert or participation with them who receive actual notice of this Order by personal service, facsimile or otherwise, are hereby temporarily restrained and enjoined from:

A. Failing to create and maintain books, records, and accounts which, in reasonable detail, accurately, fairly, and completely reflect the incomes, disbursements, dispositions, transactions, and the use of monies, funds, or other assets by any of the defendants, beginning as of the time this Order is entered;
 
B. Destroying, erasing, mutilating, concealing, altering, transferring, or otherwise disposing of, in any manner, directly or indirectly, any documents that relate to the business practices or business or personal finances of any defendant, or to the business practices or finances of entities directly or indirectly under the control of any defendant, including but not limited to the following documents: documents reflecting any defendant's interest in or title to any asset; contracts; franchise disclosure documents; Uniform Franchise Offering Circulars; franchise agreements; correspondence; email sent or received; Internet and bulletin board postings; electronically stored data; advertisements; brochures or promotional materials; operating manuals; franchisee lists or files; handwritten notes; telephone logs and records; audio or videotape recordings; receipt books; invoices; postal receipts; ledgers; payroll records; personal and business canceled checks; check registers; bank statements or other banking records; appointment books; copies of federal, state or local business or personal income or property tax returns; documents relating to any legal proceeding involving any defendant; and documents reflecting or concerning state or federal franchise registrations, law, or requirements; and
 
C. Creating, operating, or exercising any control over any new business entity, including any partnership, sole proprietorship or corporation, without first providing the Commission with a written statement disclosing: (1) the name of the business entity; (2) the address and telephone number of the business entity; (3) the names of the business entity's officers, directors, principals, managers, and employees; and (4) a detailed description of the business entity's intended activities.

DUTIES OF ASSET HOLDERS

V.

IT IS FURTHER ORDERED that, pending determination of Plaintiff's request for a preliminary injunction, any bank, savings and loan institution, credit union, financial institution, brokerage house, escrow agent, IRA custodian, money market or mutual fund, title company, commodity trading company, storage company, trustee, commercial mail receiving agency, mailing holding or forwarding company, or any other business entity or person served with a copy of this Order, or who otherwise has actual knowledge of this Order, and having custody or control of any account, asset or documents of defendants CWGI, Washguy, Winslow, or Portney, or any corporation, partnership, or other entity directly or indirectly owned, managed, or controlled, or under common control with any defendant, or that at any time since January 1, 1997, has maintained or had custody of such account, asset, or documents, shall:

A. Hold and retain within such entity's or person's control, and prohibit the withdrawal, removal, assignment, transfer, pledge, hypothecation, encumbrance, disbursement, dissipation, conversion, sale, liquidation, or other disposal of any funds, documents, property, or other assets held:
 
1. on behalf of, for the benefit of, defendants CWGI, Washguy, Winslow, or Portney;
 
2. in any account maintained in the name of, or subject to withdrawal by, defendants CWGI, Washguy, Winslow, or Portney; or
 
3. that are subject to access or use by defendants CWGI, Washguy, Winslow, or Portney;
 
B. Deny Defendants access to any safe deposit box that is:
 
1. Titled in the name of Defendants CWGI, Washguy, Winslow, or Portney, either individually or jointly; or
 
2. Otherwise subject to access by defendants CWGI, Washguy, Winslow, or Portney;
 
C. Provide counsel for the Commission, within four (4) business days after the service date of this Order, a statement setting forth:
 
1. The identification of each account or asset titled in the name, individually or jointly, or held on behalf of, or for the benefit of, whether in whole or in part, defendants CWGI, Washguy, Winslow, or Portney, including all trust accounts managed on behalf of defendants CWGI, Washguy, Winslow, or Portney, or subject to control by defendants CWGI, Washguy, Winslow, or Portney;
 
2. The balance of each such account, or a description of the nature and value of such asset as of the close of business on the day on which this Order is served, and, if any asset valued at over $1,000 has been removed or transferred within the last 90 days, the date removed or transferred, the total funds removed or transferred, and the name of the person or entity to whom such account or other asset was remitted;
 
3. The identification of any safe deposit box that is either titled in the name, individually or jointly, or is otherwise subject to access or control by CWGI, Washguy, Winslow, or Portney; and
 
4. If the account, safe deposit box, or other asset has been closed or removed at any time after January 1, 1997, the date closed or removed, the total funds removed to close the account, and the name of the person or entity to whom such account or other asset was remitted;
 
D. Upon the Commission's request, promptly provide the Commission with copies of or the right to inspect and copy all records or other documentation pertaining to such accounts or assets, including but not limited to originals or copies of account applications, account statements, signature cards, checks, drafts, deposit tickets, transfers to and from the accounts, all other debit and credit instruments or slips, currency transaction reports, 1099 forms, and safe deposit box logs; and
 
E. The accounts subject to this provision include existing assets and assets deposited after the effective date of this Order. Provided further, that this Paragraph shall not prohibit transfers in accordance with any provision of this Order, or any further Order of the Court.

COMPLETION OF FINANCIAL REPORTS

VI.

IT IS FURTHER ORDERED that:

A. Not less than three (3) days prior to the scheduled date and time for a hearing on a preliminary injunction in this matter, but in no event later than (10) days after entry of this Order, Defendants Winslow and Portney shall each provide counsel for the Commission with a completed financial statement on the form captioned "Form Re: Financial Statement for Individual Defendant," which plaintiff filed concurrently with its Ex Parte Motion for a Temporary Restraining Order in this matter;
 
B. Not less than three (3) days prior to the scheduled date and time for a hearing on a preliminary injunction in this matter, but in no event later than (10) days after entry of this Order, Defendants shall provide counsel for the Commission a completed financial statement on the form captioned "Form Re: Financial Statement for Corporate Defendant," which plaintiff also filed concurrently with its Ex Parte Motion for a Temporary Restraining Order, for Defendants CWGI and Washguy, and for and any other business entity owned, controlled, or managed by any defendant; and
 
C. Defendants shall attach to the completed financial statements required by this Paragraph, copies of all state and federal income and property tax returns, with attachments and schedules, as called for by the financial statements. The financial statements shall be accurate as of the date of this Order.

REPATRIATION OF ASSETS AND DOCUMENTS
LOCATED IN FOREIGN COUNTRIES

VII.

IT IS FURTHER ORDERED that within five (5) business days following service of this Order, defendants CWGI, Washguy, Winslow, and Portney, whether acting through any trust, corporation, subsidiary, division, or other device, shall:

A. Take such steps as are necessary to transfer to the territory of the United States of America all documents and assets that are located outside of such territory and are held by or for Defendants or are under Defendants' direct or indirect control, jointly or individually;
 
B. On the same business day as any repatriation under Subparagraph VII(A) above, (1) notify counsel for the Commission of the name and location of the financial institution or other entity that is the recipient of such funds, documents, or assets; and (2) serve this Order on any such financial institution or other entity;
 
C. Provide the Commission with a full accounting of all funds, documents and assets that are located outside of the territory of the United States held either: (1) by them; (2) for their benefit; or (3) under their direct or indirect control, jointly or individually, and including the names and addresses of any financial institutions or other entities holding the assets, along with the account numbers and balances;
 
D. Hold and retain all transferred documents and assets and prevent any transfer, disposition, or dissipation whatsoever of any such documents, assets or funds; and
 
E. Provide Plaintiff access to Defendants' records and documents held by financial institutions or other entities outside the territorial United States, by signing the Consent to Release of Financial Records attached hereto as Attachment A.

PRODUCTION OF DEFENDANTS' BUSINESS RECORDS

VIII.

IT IS FURTHER ORDERED that no later than 3:00 p.m. on the first business day following the period of forty-eight (48) hours after service of this Order on any Defendant, Defendants shall produce non-privileged business records within their possession, custody, or control, for inspection and photocopying by the Commission. The records shall be produced at the following address:

Federal Trade Commission
10877 Wilshire Blvd., Suite 700
Los Angeles, CA 90024
(310) 824-4343
 
A. These business records are to include: 1) all financial and accounting records pertaining to Defendants' business operation, including checking and bank statements, ledgers, payroll records, records of royalty payments and franchise fee payments, payments to or from any supplier, and any other reports or records reflecting Defendants' receipt or use of funds received from franchisees or otherwise received as part of Defendants' business operation, or reflecting assets held by Defendants' for use in their business operation, including records reflecting ownership or interest in any vehicles or other equipment; 2) all documents containing the name, address, or telephone number or otherwise identifying any person who has purchased a franchise from Defendants and the amount of any payments made by such person and all executed franchise agreements; 3) all other contracts relating to Defendants' business operation, including contracts relating to national accounts or contracts with suppliers or equipment providers; 4) all correspondence with or concerning Defendants' business operation, including correspondence with any franchisee, state agency, supplier or equipment provider, accountant, employee or contractor, or any correspondence generally pertaining to franchising, including any email correspondence; 5) all documents relating to the actual or projected income of any of Defendants' franchisees or of any mobile car care operation with which Defendants are associated; 6) all documents Defendants claim substantiate or support any actual or alleged earnings claims made by Defendants; 7) each different version of a Uniform Franchise Offering Circular or other franchise disclosure document Defendants have distributed; 8) each different version of any promotional or informational material Defendants have distributed to prospective franchisees or other interested persons; 9) all information Defendants have placed on the Internet concerning their business operation or franchises, including postings to bulletin boards, forums, or Web pages; and 10) either paper copies or electronic copies of all business records, not otherwise described above, that Defendants maintain on a computer, and including an identification of the software used in connection with maintaining such records;
 
B. To the extent Defendants maintain possession, custody, or control of other business records not described or produced in connection with Subparagraph VIII(A) above, Defendants shall, at the same time they produce the records described above, provide counsel for the Commission with a statement describing generally each category of documents that Defendants' have not produced, the content of such records, and the physical location at which such records are maintained. Defendants shall produce these additional business records for copying and inspection by the Commission upon two (2) business days notice. CONSUMER CREDIT REPORTS

IX.

IT IS FURTHER ORDERED that pursuant to Section 604(a)(1) of the Fair Credit Reporting Act, 15 U.S.C. 1681b(a)(1), any credit reporting agency may furnish Plaintiff with a report concerning any defendant.

SERVICE OF THIS ORDER

X.

IT IS FURTHER ORDERED that:

A. Plaintiff's agents or employees may serve this Order upon any financial institution, Internet service provider, or other entity or person that may have possession, custody, control, or knowledge of any documents or assets of any defendant, or any other entity or person that may be otherwise subject to any provision of this Order, by delivering a copy of the Order by any means, including facsimile transmission, to any office, branch, or location; and
 
B. For purposes of service on anyone in possession of records, assets, property, or property rights, actual notice of this Order shall be deemed complete upon notification by any means, including facsimile.

DISTRIBUTION OF ORDER BY DEFENDANTS

XI.

IT IS FURTHER ORDERED that Defendants shall immediately provide a copy of this Order to each affiliate, subsidiary, division, sales entity, franchise broker, successor, assign, officer, director, employee, independent contractor, agent, attorney, and representative, and shall, within ten (10) days from the date of entry of this Order, serve upon counsel for the Commission a sworn statement describing the manner in which Defendants have complied with this provision of the Order, which statement shall include the names and addresses of each such person or entity who received a copy of the Order.

IDENTIFICATION OF EVIDENCE AND MEMORANDA
FOR PRELIMINARY INJUNCTION HEARING

XII.

IT IS FURTHER ORDERED that Defendants, in responding to this Court's Order to Show Cause, shall serve all memoranda, affidavits, and other evidence and briefs on which Defendants intend to rely not later than 4:00 p.m. (Pacific) of the fourth day prior to the preliminary injunction hearing set in this matter. Service on the Commission shall be performed by personal delivery to Raymond McKown, Esq., at the Federal Trade Commission, 10877 Wilshire Blvd., Suite 700, Los Angeles, California 90024, or by personal, confirmed overnight, or confirmed facsimile delivery to Elizabeth Grant, at Federal Trade Commission, 600 Pennsylvania Ave., N.W., Room 238, Washington, DC 20580, facsimile number (202) 326-3395. The Commission may serve and file a supplemental memorandum of points and authorities based on evidence discovered subsequent to the filing of its Complaint by no later than 4:00 p.m. (Pacific) of the fourth day prior to the preliminary injunction hearing, and may serve and file a reply to any opposition filed by Defendants no later than 4:00 p.m. (Pacific) on the day prior to the preliminary injunction hearing.

DURATION OF TEMPORARY RESTRAINING ORDER

XIII. IT IS FURTHER ORDERED that the Temporary Restraining Order granted herein shall expire on _____________________, 2000, at 11:59 p.m., unless within such time the Order, for good cause shown, is extended, or unless it is further extended with the consent of the parties.

PRELIMINARY INJUNCTION HEARING

XIV.

IT IS FURTHER ORDERED that pursuant to Federal Rule of Civil Procedure 65(b) and Local Rule 7.17, each of the Defendants shall appear before this Court on the ___________ day of _________, 2000, at _____________o'clock________ .m. at the United States Federal Courthouse, at _________________________, Room ___________, to show cause, if any there be, why this Court should not enter a preliminary injunction, pending final ruling on the Complaint, against said Defendants, enjoining them from further violations of Section 5(a) of the Federal Trade Commission Act, 15 U.S.C. 45(a), and the Franchise Rule, 16 C.F.R. Part 436, continuing the freeze of their assets, and imposing such additional relief as may be appropriate.

COURT'S RETENTION OF JURISDICTION

XV.

IT IS FURTHER ORDERED that this Court shall retain jurisdiction of this matter for all purposes.

SO ORDERED, this _____day of ______________, 2000, at ________ o'clock ____ m.

_________________________________
United States District Judge

Presented by

___________________
Elizabeth M. Grant
Attorney for Plaintiff
Federal Trade Commission

ATTACHMENT A

CONSENT TO RELEASE OF FINANCIAL RECORDS

I, _________ , of the State of in the United States of America, do hereby direct any bank or trust company at which I have a bank account of any kind or at which a corporation has a bank account of any kind upon which I am authorized to draw, and its officers, employees and agents, to disclose all information and deliver copies of all documents of every nature in your possession or control which relate to the said bank accounts to any attorney of the Federal Trade Commission, and to give evidence relevant thereto, in the matter of FTC v. Car Wash Guys International, Inc., et al., now pending in the United States District Court for the Central District of California, and this shall be irrevocable authority for so doing. This direction is intended to apply to the laws of countries other than the United States which restrict or prohibit the disclosure of bank information without the consent of the holder of the account, and shall be construed as consent with respect thereto, and the same shall apply to any of the bank accounts for which I may be the relevant principal.

Dated: __________,  2000