Arnold P. Mordkin and Cindy Mordkin - Page 7

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          in the Operations of Crestwood Association                                  
               During the years at issue, Crestwood Association maintained            
          a full-time nonmanagement staff of 40 to 85 employees (Crestwood            
          staff) and a full-time management staff of six to eight employees           
          (Crestwood management staff).5  The Crestwood staff and the                 
          Crestwood management staff ran the daily Crestwood Association              
          owners' operations and lodge operations.  With respect to the               
          daily Crestwood Association lodge operations, in accordance with            
          the terms of the management agreements between certain Crestwood            
          condominium owners, including petitioner, and Crestwood Associa-            
          tion, the Crestwood staff and the Crestwood management staff                
          managed and operated the rental of individual condominiums by               
          performing the tasks and providing the services required of the             
          manager in that agreement.                                                  
               During the years at issue, Larry Dempsey (Mr. Dempsey), vice           
          president, chief operating officer, and general manager of                  
          Crestwood Association, was primarily responsible for the day-to-            
          day management of Crestwood Association owners' operations and              
          lodge operations.  During those years, Mr. Dempsey worked between           
          40 to 80 hours a week and was compensated for his services.  His            
          duties included management of personnel;6 communication with                

          5  The Crestwood management staff included a general manager,               
          assistant general manager, maintenance manager, reservations                
          manager, rooms division manager, housekeeping manager, and                  
          controller.                                                                 
          6  Mr. Dempsey dealt with day-to-day personnel matters, including           
                                                             (continued...)           



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Last modified: May 25, 2011