Division of Consumer Affairs

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Formal Action #6680

IN THE CHANCERY COURT FOR WARREN COUNTY, TENNESSEE

THIRTY-FIRST JUDICIAL DISTRICT AT MCMINNVILLE

STATE OF TENNESSEE

Plaintiff,

v.

AMERICAN CEMETERIES, INC., an

administratively dissolved corporation, doing

business as, GARDENS OF MEMORY

CEMETERY in Smartt, Tennesse

CEMETERY SERVICES, INC.,

an administratively dissolved Corporation doing

business as Meadowlawn Cemetery in

Columbia, Tennessee, ALEX T. OWEN,

individually and doing business as American

Cemeteries, Inc., Cemetery Services, Inc.,

Cemetery Services, Inc., Gardens of Memory

Cemetery, and Meadowlawn Cemetery,

CARL KETCHUM, individually and

doing business as American Cemeteries, Inc.,

Cemetery Services, Inc., Gardens of Memory

Cemetery, and JOHN WHEATLEY, individually

and business in active concert and participation

with Alex T. Owen and Carl Ketchum, in their

various above-named individual and representative

capacities,

Defendants.

ORDER

This matter came on for hearing on February 7, 1997 before the Honorable Charles D. Haston, Circuit Judge upon the entire record and especially upon the State of Tennessee's Motion for a Default Judgment as to Defendants, Alex T. Owen, Carl Ketchum and John Wheatley in their individual capacities. For good cause shown, as evidenced by the entire record, particularly the State of Tennessee's motion, the failure of Defendants, Alex T. Owen, Carl Ketchum and John Wheatley to oppose the State of Tennessee's motion, the failure of these Defendants to attend the hearing on the State of Tennessee's Motion for a Default Judgment, and the statements of counsel for the State of Tennessee, the Court hereby GRANTS the State of Tennessee a Judgment by Default under Rule 55, Tenn. R. Civ. Proc., against Defendants, Alex t. Owen, Carl Ketchum and John Wheatley, in their individual capacities.

The Court will hold a hearing under Rule 55.01 , Tennessee R. Civ. Proc. to determine the relief it will award against the Defendants, Alex T. Owen, Carl Ketchum and John Wheatley, in their individual capacities. This hearing is scheduled for March 7, 1997 at 10:00 a.m.

IT IS SO ORDERED, ADJUDGED AND DECREED this day of February, 1997.

CIRCUIT JUDGE

Approved for Entry:

CYNTHIA E. CARTER

B.P.R. # 13533

RUSSELL T. PERKINS

B.P.R. #10282

C. SCOTT JACKSON

B.P.R. #11005

CERTIFICATE OF SERVICE

I hereby certify that a true and exact copy of the foregoing Order has been forwarded by first-class mail, postage prepaid, to Steven L. Leftkovitz, Esq., 530 Church Street, Suite 202, Nashville, Tennessee 37219, (Bankruptcy counsel for American Cemeteries, Inc., and Cemetery Services, Inc.), Mr. Alex T. Owen, 4164 Williamsport Pike, Williamsport, Tennessee 38487, Mr. Carl Ketchum, 1955 Union Place Apt. I-154, Columbia, Tennessee 38401 and Mr. John Wheatley, 2391 Nashville Highway, Columbia, Tennessee 38401 on this the day of February, 1997.