July 26, 2000

In the Matter of a Mail Dispute Between				
				
BRIAN HUBERT			
				
   and				
				
B.J. PEASE			
DOUGLAS HUBERT			   

P.S. Docket No.  MD 00-191


APPEARANCE FOR DISPUTANT	Frederic R. Moulton, Esq.
 BRIAN HUBERT:			9 S. Broadway
				P.O. Box 726
				Watertown, SC  57201-0726

APPEARANCE FOR DISPUTANTS	B.J. Pease and
 B. J. PEASE & DOUGLAS HUBERT:	Douglas Hubert
				P.O. Box 2014
				Aberdeen, SD  57402-2014

This mail dispute has been docketed pursuant to Postal Operations Manual (POM 8, January 16, 1998), Section 616.21, which requires the Chief Field Counsel to forward certain unresolved mail disputes to the Judicial Officer for resolution. The mail in dispute is that addressed to Ken Hubert-Carl’s Son Enterprises, Inc. and/or KHCSE, P.O. Box 2014, Aberdeen, SD 57402-2014. The Aberdeen, SD Postmaster is currently holding the mail.

Both parties made submissions, although only disputant Brian Hubert submitted a sworn statement in support of his position, as required by 39 C.F.R. §965.5. The following findings of fact are based on the parties’ submissions and the documents from the Postal Service that were included in the file referred to the Judicial Officer.

1. Ken Hubert formed the corporation, Ken Hubert-Carl’s Son Enterprises, Inc. (KHCSE), on April 25, 1977. At the time of formation, 39,890 shares were issued. Ken Hubert received 39,880 shares, and 10 shares were issued to Howard Knecht. (Sworn Statement of Brian Hubert).

2. Thereafter, Ken Hubert transferred 39,876 of his shares in four equal blocks of 9,969 shares to each of his four children (Brian Hubert, Doug Hubert, Bonnie Pease and Bev Paulsen). The four shares Ken Hubert retained were transferred to Doug Hubert in 1992. In 1993, Doug Hubert was appointed the president of the corporation. (Sworn Statement of Brian Hubert).

3. In 1996, disputant Brian Hubert purchased the 9,969 shares held by Bev Paulsen, giving him 19,938 shares in the corporation (Sworn Statement of Brian Hubert).

4. KHCSE’s annual meeting was held on May 1, 2000. Prior to the meeting, Howard Knecht gave Brian Hubert his proxy to vote his 10 shares in the corporation. Thus, at the time of this meeting, Brian Hubert controlled a total of 19,948 shares, constituted both a quorum for the purpose of holding the meeting (Brian Hubert was the only shareholder of the corporation in attendance at the meeting), as well as a majority of the total shares in the corporation. At the meeting, Brian Hubert was duly elected president of the corporation and Doug Hubert the vice-president. (Sworn Statement of Brian Hubert; KHCSE By-laws; KHCSE Annual Meeting minutes).

Disputants Bonnie Pease and Doug Hubert did not file a sworn statement, as required by 39 C.F.R. §965.5, and are, therefore, technically in default under 39 C.F.R. §965.7. Nevertheless, all the evidence filed in this dispute has been considered in reaching a decision.

At the annual meeting of KHCSE in May 1, 2000, Brian Hubert was duly elected president of the corporation, in accordance with the by-laws of the corporation (Finding of Fact No. 4). As president, Brian Hubert is entitled to control delivery of mail addressed to the corporation. See Postal Operation Manual §614.1. Accordingly, mail addressed to Ken Hubert-Carl’s Son Enterprises, Inc. and/or KHCSE, P.O. Box 2014, Aberdeen, SD 57402-2014, should be delivered as directed by Brian Hubert.

This decision addresses only the right to delivery of the mail. It does not determine ownership of the contents of the mail, nor does it determine any other underlying dispute between the parties. The attached delivery order should be issued.

				William K. Mahn
				Administrative Judge

PROPOSED ORDER

TO THE POSTMASTER AT:	ABERDEEN, SD  57401-9998


		  RE:	Mail Dispute Between:

			BRIAN HUBERT
			B.J. PEASE and
			DOUGLAS HUBERT

			P.S. Docket No. MD 00-191

Mail now being held or hereafter received addressed to Ken Hubert-Carl’s Son Enterprises, Inc. and/or KHCSE, P.O. Box 2014, Aberdeen, SD 57402-2014, should be delivered as directed by Brian Hubert.

				Judicial Officer