1. OPENING STATEMENT Claire Maglica v. Anthony Maglica Superior Court of Orange County, CA June 1993

2. Reason For Lawsuit  Recovery of equity in Mag Instrument, Inc.  Tony and Claire Maglica and promised the fruits of their relationship would be equal property  Claire worked with Tony side by side at Mag Instrument, Inc. for over twenty years  Due to Claire and Tony’s combined efforts, Mag Instrument, Inc. is now worth over $300 Million

3. Undisputed Facts Maglica’s lived and worked together 20 years Claire’s efforts directly impacted profits Tony began transferring stock with no notice

4. Undisputed Facts Maglica’s lived and worked together 20 years Claire’s efforts directly impacted profits Tony began transferring stock with no notice

5. Undisputed Facts Claire’s idea for a multi-colored flashlight that would fit in a purse or pocket turned into a product line spanning more than a decade and with over fifteen models.

6. Undisputed Facts Maglica’s lived and worked together 20 years Claire’s efforts directly impacted profits Tony began transferring stock with no notice

7. Claire Maglica Testimony

8. Tony Maglica Testimony

9. Conclusion  Claire and Tony Maglica had a verbal contract sharing ownership of the proceeds of their 20 years of labor  Claire directly impacted profits of the company and was not paid the “reasonable value of services”

10. Conclusion  Tony was fraudulent in attaining Claire’s signature on the Separate Property Agreement  Tony had a fiduciary duty to act to benefit the owners of Mag Instruments  Tony breached his fiduciary duty by transferring stock without Claire’s knowledge