Started: January 14, 2007
Last Revised: May 23, 2012 4:50 PM
Loren C. Troescher, AKA Karl Loren, and Bonnie J. Troescher, AKA Jean Ross, husband and wife, formed together a business entity called Vibrant Life somewhere back in the 1970's.
The first major revision to this Policy is with the advent of Steven Archibald joining Vibrant Life in December 2007. More on that subject is below.
Initially this Company was a simple DBA ("Loren and Bonnie Troescher doing business as Vibrant Life"). It went through several organizational changes and at this writing is a Partnership with them as the only two General Partners and owners of all assets connected with the business.
In January 2006, Loren and Bonnie entered into a lease option agreement with one Edward Esposito to make lease payments which would apply (100%) to the down payment in the event of their exercise of the option to purchase the residence at 15431 Cohasset St., Van Nuys, CA 91406. While this information, and the link next below, are historically accurate, there is a pending change in this situation as of December 2007, with Loren handling all of this prospective change "off" Vibrant Life lines. This "handling" may result in the need for Loren and Bonnie to move to a new location which could also, then, affect the location for other activities related to Vibrant Life.
Click here for reference to the Memo For Record of Lease Option Agreement dated April 13, 2006.
Click here for special instructions to Clifford Woods dated January 24, 2006, Trustee of our Living Trust and at this writing the sole beneficiary of that Trust.
The Partners, Loren and Bonnie passed a Partnership Resolution so that, within whatever laws and rules might apply the lease payments would become a business expense for Vibrant Life and the ownership of the option (and prospectively ownership of the residence) would be a business asset for Vibrant Life.
In fact, since January, 2006, Vibrant Life has handled a flow of funds equal to the lease payments. Thus there should be adequate documentation of not only the intent but the application of the intent that this residence is an asset of the business and subject to control by the Partnership.
As both Loren and Bonnie are seniors, each with a desire to protect the financial interests of the other, they have prepared a "living trust" which holds all the assets of Vibrant Life and which designates a Trustee who has written authority to assume both control and ownership of all the assets within the Trust. This written arrangement is separate from the trust agreement itself and can be viewed HERE.
Generally the Living Trust and this special arrangement with Mr. Cliff Woods indicates that in the event of the death of both Loren and Bonnie at relatively the same time and at a time when neither of them has formally designated one or more beneficiaries of the trust, the Trustee, Mr. Woods himself becomes the sole beneficiary and becomes the sole owner of all the assets held in the Trust -- those assets including both the entirety of the business Vibrant Life (represented by him becoming the owner of 100% of the General Partnership interest, and, therefore, 100% of the ownership of the lease option for the residence and therefore the sole decision maker on whether or when to exercise that option.
The position of Mr. Woods is not changed by the arrival of Steven Archibald, but he IS acknowledged as the "prospective new ED," or "owner designate" and as that status is further finalized he would, prospectively, become, the actual ED and owner of Vibrant Life.
Mr. Archibald's succession to ED and Owner of Vibrant Life, and presumably also of whatever property has been included (either the structure at 15431 Cohasset St., or some other), is based on the following training and trial program:
Phase One is the current phase of Steve's training and learning, starting at the warehouse and working with Kimberly, Mark and others. One purpose of this Phase has been to give Steve a place to work during the time of the absence of Karl in Florida, etc. Also, this Phase is the one that has generally been used for any prospective new executive to learn the important data about handling customers' calls, shipping and generally all the functions performed under Kimberly at the Warehouse.
Here on February 13, 2008, Karl found that Steve's work at Vibrant Life has been helpful while Mark Warkentin's work was not. Mark has left the employ of VL. Mark had held the title of Deputy ED I/T, and Steve is now appointed to that post.
Phase Two will commence when Karl has returned from his various travels back to VL and when Steve and Karl can both conclude that he has had a good learning experience in the warehouse, etc. This Phase Two involves Steve taking the post of "Marketing I/T" and working, presumably, at the Cohasset Street location, under the direct supervision of Karl.
Steve's change over to Marketing I/C has been slowed, but Natalie DeFaz has been promoted from working on orders in the warehouse to being Marketing Assistant, currently getting trained by Karl Loren, with Steve taking on more of the supervisory responsibiliy.
Before I would expect to see Phase 3 start, Steve's target is to be at cause over an increase in VSD, GI or New Names, for some specific project.
(Incidentally, Steve, with his status of "prospective owner" reports ONLY to Karl and Karl is his regular and direct senior. Notwithstanding the seniority of experience, even pay of some other staff, all other staff at VL have the general responsibility of helping Steve learn and do his jobs well.)
Phase Three will commence when the following are true:
Phase Three is primarily a "training phase" where Steve is responsible for training others, particularly the new Marketing I/T he has just recruited.
Because of Steve's extensive experience with Applied Scholastics and LRH Study Technology, it is expected that he will devise or supervise the preparation and use of VL Training programs. These programs may or may not involve Karl's "electronic interactive educational technology" and already-published Company Policy. The goal for this Phase is met when each staff member (counting the FIVE people [SA, MW, KW, SW, Nat] on staff as of the date of this revision in Policy) has a published "Hat Pack" which can be studied using LRH study tech, and which has, by the end of Phase Three, been actually used to train some number of VL Staff (with or without a "WISE academy").
Phase Four starts some time during the end of Phase Three. Steve is given the new title of "ED In Training."
Steve's job during Phase Four is primarily to prove to Karl and Bonnie that their personal financial security is assured, and that Vibrant Life looks to be likely to continue on into the future as an expanding and successful enterprise. Karl and Bonnie's personal financial security is measured by their being able to continue to withdraw cash and support from Vibrant Life on an indefinite basis, while they are, either one, still living, with no significant increase over the amount being withdrawn as of the date when Steve takes over as ED I/T and without either of them doing any work needed to maintain VL operations or profitability. Long before this time Steve will have had an increase in personal salary and profit sharing and the exact figure will be known and agreed for Loren's and Bonnie's cash withdrawals (presumably then as "limited" partners in the Partnership with a FIXED monthly withdrawal) and resources from VL.
There is no rigid time-table in terms of months or years for these phases to be achieved.
These phases are subject to review by Steve and Karl before they are final and approved. Any changes will be published here as agreed on.
The END of Phase Four will be when Karl and Bonnie see that the goal for the personal security for themselves and the future viability of Vibrant Life are assured. At that time Steve takes over as the ONLY General Partner, thus is "the" owner and is also designated as "the" Executive Director.
Ownership of the structure on Cohasset Street is currently in such question because of a possible move to a new location that this part of the original plan is not yet subject to finalization.
Mr. Woods is already a signature authority on most of the Vibrant Life checking accounts and holds one of the keys to the private safe deposit box in which various valuable documents are kept, including the lease option agreement, the living trust and the special instructions for Mr. Woods about beneficiaries for the Trust.
Either Loren or Bonnie, by a formal writing, witnessed or notarized as to their signature may designate any person as a beneficiary for their share of the Trust assets.
With the above system in place the sudden death of Loren and Bonnie at the same time would leave in place a formal and valid method by which someone (the then-current beneficiary of the Living Trust) would automatically become the owner of all the assets with full power to appoint himself, or anyone else, as the new Executive Director of Vibrant Life and the owner and therefore occupant and prospective owner of the property at 15431 Cohasset St., Van Nuys, CA 91406, depending on whether that property continues to be handled per the original lease-option agreement.
Both Bonnie and Loren are satisfied with the possibility of Clifford Woods taking over in this way, but both of them anticipate that at some date between the date of this Company Policy and the sudden death of both of them they will have made formal written changes in the Living Trust, naming a Beneficiary or Beneficiaries. Steven Archibald is named here as the "owner-designate" and that does not give him any special status with Mr. Woods. Mr. Woods' authority is purely as written in the memorandum of understanding between the Troescher's and Mr. Woods. When and as Mr. Archibald successfully completes the Phases described above, he will then be named as THE sole beneficiary of the Troescher Living Trust and BE the owner of Vibrant Life and all its future income, less whatever fixed amount may still be needed as long as either Loren or Bonnie is still alive.
Karl Loren's retirement plans are located HERE.