Page 207 - Brook-Hollow Due Diligence Package

Preferred Protection Attorney Fee Deferrals

Kenmare Assignment Company Ltd. (Kenmare) is pleased to announce the addition of its Preferred Protection
Attorney Fee Deferral Program. This program is available on a requested basis and enhances our already safe and
secure attorney fee deferral. The additional safeguards are accomplished by segregating a particular attorney fee deferral
from other deferrals completed through Kenmare. That is, the deferral, as Kenmare’s Irish legal counsel describes it, is
“ring fenced” from all other Kenmare attorney fee deferrals. In addition, almost all possible Kenmare creditor concerns,
to the extent any may remotely exist, are completely eliminated.

Brook-Hollow Financial worked closely with Kenmare’s Irish legal counsel and outside auditors to create this optional
deferral program. Ireland, as you likely know, has a long-lived and sound legal system, and a tax regime that is easily
understood and favorable for both investment funds, and attorney fee deferrals for U.S. attorneys.

One of the investment fund vehicles that is available under Irish law, that Kenmare uses for the Preferred Protection
Program, is called a Section 110 company. In a nutshell, a 110 company allows for various types of investments while
retaining favorable tax treatment of the fund’s earnings.

This section 110 company program is unique and appealing for a U.S. attorney seeking deferral of his or her contingent
fee because it allows for the “ring fencing” of potential general creditor liabilities of the assignment company, that are
associated with any attorney fee deferral, while still conforming to the requirements necessary to qualify for tax deferral
in the U.S

Irish law requires an annual audit by outside public auditors of all Irish limited companies. Kenmare is an Irish limited
company and is annually audited by Grant Thornton. The section 110 companies must also be independently audited
on an annual basis, meaning each particular “ring fenced” attorney fee deferral will be independently annually audited
by Grant Thornton. In addition, a tax opinion must be secured by a section 110 company prior to its approval of
establishment by the Irish government. Again, this is an added protection afforded under Irish law to ensure that the
activities of the section 110 company comply with Irish tax laws.

With this attorney fee deferral, the assignment is entered into with the Section 110 company instead of Kenmare. It is
administered by Kenmare and Centralis (administrator of Kenmare), as is any Kenmare assigned attorney fee deferral.
The deferral with the section 110 company is subject to the general creditors of the section 110 company only, and not
those of Kenmare or any other entity or individual. The future payments are based upon the investment returns agreed
to between the deferring attorney and the section 110 company prior to the execution of the assignment agreement.
Again, just as with a Kenmare assignment, all other Kenmare safety protections remain in place, including fidelity bond
protection and independent audit requirement.

Added benefits of the section 110 company enhancement are 1) strict Irish government establishment and additional
oversight requirements, 2) general creditor liability is “ring fenced”, that is, limited to the particular section 110
company, and the only general creditor is the deferring attorney, and 3) there are added investment options, such as
hedge fund and private equity related to case funding.

To summarize, this Preferred Program is available to deferring attorneys on a requested basis and offers even greater
protections than already afforded by Kenmare. Please note that this offering is subject to increased initial and ongoing
fees due to the preferred nature of the offering and the additional governmental requirements, and may be subject to
qualifying size requirements.