Case 2:22-cv-00724-RFB-NJK Document 33 Filed 06/30/22 Page 1 of 5 1 James J. Pisanelli, Bar No. 4027 Debra L. Spinelli, Bar No. 9695 2 M. Magali Mercera, Bar No. 11742 PISANELLI BICE PLLC 3 400 South 7th Street, Suite 300 Las Vegas, Nevada 89101 4 Telephone: 702.214.2100 Facsimile: 702.214.2101 5 Email: jjp@pisanellibice.com Email: dls@pisanellibice.com 6 Email: mmm@pisanellibice.com 7 Jonathan D. Polkes (admitted pro hac vice) Stephen A. Radin (admitted pro hac vice) 8 Caroline Hickey Zalka (admitted pro hac vice) WEIL, GOTSHAL & MANGES LLP 9 767 Fifth Avenue New York, New York 10153 10 Telephone: 212.310.8770 Facsimile: 212.310.8007 11 Email: jonathan.polkes@weil.com Email: stephen.radin@weil.com 12 Email: caroline.zalka@weil.com PISANELLI BICE 13 Attorneys for Defendants Georges Antoun, Kevin DeNuccio, Sarita James, Jay Leupp, 14 400 SOUTH 7TH STREET, SUITE 300 Merrick D. Okamoto, Said Ouissal, Simeon Salzman, and Fred Thiel, and Nominal Defendant 15 Marathon Digital Holdings, Inc. LAS VEGAS, NEVADA 89101 16 UNITED STATES DISTRICT COURT 17 DISTRICT OF NEVADA KIMBERLY BERNARD, Derivatively on Behalf 18 of MARATHON DIGITAL HOLDINGS, INC. Case No.: 2:22-cv-00305-RFB-NJK (f/k/a MARATHON PATENT GROUP, INC.), 19 Plaintiff, JOINT STIPULATION AND 20 [PROPOSED] ORDER v. CONCERNING DISCOVERY PLAN 21 FRED THIEL, GEORGES ANTOUN, KEVIN (First Request) 22 DENUCCIO, SARITA JAMES, JAY LEUPP, SAID OUISSAL, MERRICK D. OKAMOTO, and 23 SIMEON SALZMAN, 24 Defendants, 25 -and- 26 MARATHON DIGITAL HOLDINGS, INC. (f/k/a MARATHON PATENT GROUP, INC.), 27 Nominal Defendant. 28 WEIL:\98694015\1\61707.0006 Case 2:22-cv-00724-RFB-NJK Document 33 Filed 06/30/22 Page 2 of 5 ROY STRASSMAN, Derivatively on Behalf of Case No.: 2:22-cv-00724-RFB-NJK 1 MARATHON DIGITAL HOLDINGS, INC. (f/k/a MARATHON PATENT GROUP, INC.), 2 Plaintiff, 3 v. 4 FRED THIEL, GEORGES ANTOUN, KEVIN DENUCCIO, SARITA JAMES, JAY LEUPP, 5 SAID OUISSAL, MERRICK D. OKAMOTO, and SIMEON SALZMAN, 6 Defendants, 7 -and- 8 MARATHON DIGITAL HOLDINGS, INC. (f/k/a 9 MARATHON PATENT GROUP, INC.), 10 Nominal Defendant. 11 12 WHEREAS on May 25, 2022, the Court entered an order consolidating the Bernard PISANELLI BICE 13 and Strassman Actions captioned above, both of which are stockholder derivative actions alleged 14 to have been brought on behalf of Nominal Defendant Marathon Digital Holdings, Inc. 400 SOUTH 7TH STREET, SUITE 300 15 (“Marathon”), after determining “that these actions are related and that there is good cause to LAS VEGAS, NEVADA 89101 16 reassign them to one District Judge,” and stating that “all future pleadings must bear case number 17 2:22-cv-00305-RFB-NJK” (Bernard ECF No. 41; Strassman ECF No. 29); 18 WHEREAS the Bernard and Strassman Actions are also related to an earlier-filed 19 federal securities law action, Schlatre v. Marathon Digital Holdings, Inc., Action No. 2:21-cv- 20 02209-RFB-NJK, and the Bernard and Strassman Actions thus were assigned to the same judge 21 and magistrate judge hearing the Schlatre Action (Bernard ECF No. 19; Strassman ECF No. 29); 22 WHEREAS the Schlatre Action is governed by the Private Securities Litigation 23 Reform Act of 1995 (the “PSLRA”); 24 WHEREAS the PSLRA provides for the Court to appoint a lead plaintiff and lead 25 counsel for plaintiffs (15 U.S.C. § 78u-4(a)(3)(B)); 26 WHEREAS on February 15, 2022, five motions for appointment of lead plaintiff 27 and lead counsel were filed in the Schlatre Action (Schlatre ECF Nos. 10, 11, 12, 13, 14); 28 WHEREAS the PSLRA provides that all discovery and other proceedings are 2 WEIL:\98694015\1\61707.0006 Case 2:22-cv-00724-RFB-NJK Document 33 Filed 06/30/22 Page 3 of 5 1 stayed while any motion to dismiss is pending (15 U.S.C. § 78u-4(b)(3)(B)); 2 WHEREAS on March 10, 2022, the Court in the Schlatre Action entered an order 3 staying defendants’ time to answer, move or otherwise respond to the complaint pending the 4 Court’s decisions on the motions for appointment of a lead plaintiff and lead counsel in the Schlatre 5 Action and then the setting of a schedule for a consolidated or amended complaint and motions to 6 dismiss in the Schlatre Action (Schlatre ECF No. 25), 7 WHEREAS the motions for appointment of lead plaintiff and lead counsel in the 8 Schlatre Action have not yet been decided; 9 WHEREAS on April 4, 2022 and May 11, 2022, Nominal Defendant Marathon and 10 all Defendants in the Bernard and Strassman Actions filed motions to dismiss the Bernard and 11 Strassman Actions (Bernard ECF No. 11; Strassman ECF No. 11); 12 WHEREAS on May 18, 2022, Plaintiffs’ counsel in the Bernard and Strassman PISANELLI BICE 13 Actions informed counsel for Marathon and Defendants that Plaintiffs in the Bernard and 14 Strassman Actions intended to consolidate their actions and file a consolidated complaint after an 400 SOUTH 7TH STREET, SUITE 300 15 amended complaint is filed in the Schlatre Action; LAS VEGAS, NEVADA 89101 16 WHEREAS on June 13 2022, the Court in the consolidated Bernard and Strassman 17 Actions granted Plaintiffs leave to file a consolidated complaint in the Actions 30 days after an 18 amended complaint is filed in the Schlatre Action, and the Court also set a schedule for filing and 19 briefing motions to dismiss in the consolidated Bernard and Strassman Actions (Bernard ECF No. 20 47); 21 WHEREAS on June 27, 2022, the Court in the Strassman Action, No. 2:22-cv- 22 00724-RFB-NJK, entered an order requiring parties to file a joint proposed discovery plan in the 23 Strassman Action pursuant to Local Rule 26-1(a) no later than July 5, 2022 (Strassman ECF No. 24 32); 25 WHEREAS the parties have discussed scheduling in light of the Court’s June 27, 26 2022 Order and coordination of the related Bernard, Strassman, and Schlatre Actions, and the 27 parties have agreed that any discovery in the Strassman Action should await the filing of 28 consolidated complaints in and resolution of motions to dismiss the Bernard, Strassman, and 3 WEIL:\98694015\1\61707.0006 Case 2:22-cv-00724-RFB-NJK Document 33 Filed 06/30/22 Page 4 of 5 1 Schlatre Actions and then should be coordinated; 2 WHEREAS this is the parties’ first request for relief with respect to the Court’s 3 June 27, 2022 Order; 4 WHEREAS this Stipulation is made in good faith, with good cause, and not for 5 purposes of unduly delaying discovery or trial; 6 IT IS HEREBY STIPULATED AND AGREED, by and between the undersigned 7 counsel for the parties, subject to the approval of the Court, that the deadline for the filing of a 8 stipulated discovery plan pursuant to Local Rule 26-1(A) is extended until 30 days following 9 rulings resolving motions to dismiss in the Bernard, Strassman, and Schlatre actions. 10 11 /// 12 PISANELLI BICE 13 14 400 SOUTH 7TH STREET, SUITE 300 15 LAS VEGAS, NEVADA 89101 16 17 18 19 20 21 22 23 24 25 26 27 28 4 WEIL:\98694015\1\61707.0006 Case 2:22-cv-00724-RFB-NJK Document 33 Filed 06/30/22 Page 5 of 5 1 Dated this 30th day of June, 2022. Dated this 30th day of June, 2022. 2 MATTHEW L. SHARP, LTD. PISANELLI BICE PLLC 3 By: /s/ Matthew L. Sharp By: /s/ M. Magali Mercera 4 Matthew L. Sharp, Bar No. 4746 James J. Pisanelli, Bar No. 4027 432 Ridge Street Debra L. Spinelli, Bar No. 9695 5 Reno, Nevada 89501 M. Magali Mercera, Bar No. 11742 Telephone: 775.324.1500 400 South 7th Street, Suite 300 6 Email: matt@mattsharplaw.com Las Vegas, Nevada 89101 7 Thomas J. McKenna Jonathan D. Polkes Gregory M. Egleston (admitted pro hac vice) 8 GAINEY McKENNA & EGLESTON Stephen A. Radin 501 Fifth Avenue, 19th Floor (admitted pro hac vice) 9 New York, New York 10017 Caroline Hickey Zalka Telephone: 212.983.1300 (admitted pro hac vice) 10 Facsimile: 212.983.0383 WEIL, GOTSHAL & MANGES LLP Email: tjmckenna@gme-law.com 767 Fifth Avenue 11 Email: gegleston@gme-law.com New York, New York 10153 12 Attorneys for Plaintiff Kimberly Bernard Attorneys for Defendants Georges Antoun, PISANELLI BICE Kevin DeNuccio, Sarita James, Jay Leupp, 13 G. Mark Albright, Bar No. 1394 Merrick D. Okamoto, Said Ouissal, Simeon Daniel R. Ormsby, Bar No. 14595 Salzman, and Fred Thiel, and Nominal 14 ALBRIGHT, STODDARD, WARNICK Defendant Marathon Digital Holdings, Inc. 400 SOUTH 7TH STREET, SUITE 300 & ALBRIGHT 15 801 S Rancho Dr., Ste D4 Las Vegas, Nevada 89106 LAS VEGAS, NEVADA 89101 16 Telephone: (702) 384-7111 Email: gma@albrightstoddard.com 17 Email: dormsby@albrightstoddard.com 18 Mark C. Rifkin WOLF HALDENSTEIN ADLER 19 FREEMAN & HERZ LLP 270 Madison Ave., 9th Fl 20 New York, New York 10016 Telephone: (212) 545-4600 21 Email: rifkin@whafh.com 22 Attorneys for Plaintiff Roy Strassman 23 ORDER 24 Having considered the Parties’ Stipulation and finding good cause appearing, 25 IT IS SO ORDERED. 26 UNITED STATES MAGISTRATE JUDGE 27 DATED: 28 Case No.: 2:22-cv-00305-RFB-NJK 5 WEIL:\98694015\1\61707.0006