United States District Court, D. Utah, Central Division
MEMORANDUM DECISION AND ORDER GRANTING MOTION FOR
Nuffer, United States District Judge.
Richard Reincke filed a Motion for Stay
(“Motion”),  in which he requests that all
proceedings in this action be stayed until after resolution
of a pending criminal prosecution against him (the
“Criminal Case”). Because the interests of justice
require that this action be stayed during the pendency of the
Criminal Case against Reincke, the Motionis GRANTED.
have discretionary authority to stay a case if the interests
of justice so require. In making this determination, courts
consider these six factors:
1) the extent to which the issues in the criminal case
overlap with those presented in the civil case; 2) the status
of the case, including whether the defendants have been
indicted; 3) the private interests of the plaintiffs in
proceeding expeditiously weighed against the prejudice to
plaintiffs caused by the delay; 4) the private interests of
and burden on the defendants; 5) the interests of the courts;
and 6) the public interest.
the balance of these six factors favors granting the Motion.
First, there is-as Plaintiff Solid Q Holdings LLC
(“Solid Q”) concedes-“significant overlap
between the criminal and civil case.” Second, the
status of the case-as Solid Q further
concedes-“weigh[s] in favor of a
stay” because Reincke “has already been
indicted for the same conduct” at issue
here. Third, while Solid Q has an interest in
proceeding expeditiously in this case, there is no evidence
that a delay will materially prejudice Solid Q, especially
where Solid Q's principals are the alleged victims on
whose behalf the State is pursuing the Criminal Case, and
both cases will necessarily involve the same witnesses and
evidence. Fourth, Solid Q's interest in
proceeding expeditiously in this case is “trumped by
[Reincke's] interests in avoiding the quandary of
choosing between waiving [his] Fifth Amendment rights or
effectively forfeiting the civil case”; thus-as Solid
Q again concedes-“[t]his factor lean[s] … in
favor of” Reincke. Fifth, judicial efficiency favors
granting a stay, as both cases seek relief based on Utah
securities statutes, and the “resolution of the
criminal case may increase the possibility of settlement of
the civil case due to the high standard of proof required in
a criminal prosecution.” And, sixth, there is no
evidence that a stay will cause serious or immediate injury
to any public interest.
the factors discussed above, and given the totality of the
circumstances, the interests of justice require that this
action be stayed as to Reincke until the resolution of the
Criminal Case against him.
IT IS HEREBY ORDERED that the Motion is GRANTED. This action
is stayed as to Reincke pending the resolution of the
criminal charges against him in the Criminal
parties are directed to file a status report every three
months. Within 14 days after resolution of the criminal
charges against Reincke, a status report shall be filed,
together with a motion to lift the stay, a proposed schedule
for resolution of claims remaining in this case, an attorney
planning meeting report, and a proposed scheduling order. The
proposed scheduling order shall also be emailed in Word
format to email@example.com.
 Docket no. 83, filed August 17,
State v. Reincke, No.
181900698 (Utah 3rd Dist. Ct., Salt Lake ...