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LUSTGRAAF v. BEHRENS

Nos. 09-2960, 09-2963, 09-2965, 09-2969, 09-3349, 09-3352, 09-3355, 09-3356.

619 F.3d 867 (2010)

Marlin LUSTGRAAF; Jean Poole, Trustee of the Poole Family Trust, also known as JP; Dee Poole, Trustee of the Poole Family Trust; Milo Vacanti; William Green; JoAnn Green, Plaintiffs-Appellants, v. Bryan S. BEHRENS, Defendant, Sunset Financial Services, Inc.; Kansas City Life Insurance Company, Defendants-Appellees.

United States Court of Appeals, Eighth Circuit.

Filed: August 20, 2010.

Attorney(s) appearing for the Case

Patrick Edgar Brookhouser , Jr., argued, Omaha, NE, for appellant.

John W. Shaw , argued, Timothy D. Wallner , on the brief, Kansas City, MO, for Sunset Financial Services.

Nick J. Kurt , argued, David F. Oliver , on the brief, Kansas City, MO, for Kansas City Life Insurance Company.

Before LOKEN, BRIGHT, and MELLOY, Circuit Judges.

MELLOY, Circuit Judge.

This appeal concerns Appellants' claims against Appellees Sunset Financial Services, Inc. ("Sunset") and Kansas City Life Insurance Company ("KCL") for damages arising out of a Ponzi scheme perpetrated by Bryan Behrens, a registered representative of Sunset and general agent of KCL. Appellants brought claims against Sunset and KCL based on theories of federal and state control-person liability and common law theories of secondary liability....

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