Geraldine H. Pearson - Page 5

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          B.   Petitioner's Employment in Virginia                                    
               In June 1988, petitioner signed a 5-year contract to serve             
          as headmistress of the Foxcroft Girls' Academy (Foxcroft) in                
          Middleburg, Virginia.  At that time petitioner intended to remain           
          in Virginia for 5 years.                                                    
               Before leaving for Foxcroft, petitioner entered into an oral           
          contract with Jan Stockfleth (Stockfleth).  Stockfleth owned a              
          farm in Canby, Oregon.  Stockfleth agreed to supervise and                  
          maintain petitioner's livestock operation.  Petitioner agreed to            
          give Stockfleth the hay, the proceeds of the wool crop, and one-            
          half of the proceeds of the lamb crop.  Petitioner received the             
          other half of the proceeds of the lamb crop.  Petitioner agreed             
          to pay any extraordinary expenses such as veterinary bills.                 
          Petitioner did not agree to pay Stockfleth a salary or fee.                 
          Stockfleth, however, billed petitioner $1,740.63 for her                    
          services.  Petitioner paid this amount.                                     
               Stockfleth visited petitioner's farm twice a week while                
          petitioner was in Virginia.  During lambing season, Stockfleth              
          or her daughter visited petitioner's farm every day.                        
               Other friends and neighbors of petitioner also helped or               
          were available to help with the farm if there were any                      
          emergencies.  Darrel Terry, a neighboring farmer, was available             
          for emergency assistance for the cattle.  Terry Tosney, a                   
          neighboring farmer, was available to help with the sheep.                   
          Elizabeth Dixon (Dixon), a friend, cared for the horses.                    

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