| SPRING
2002 - VOLUME
13 NUMBER 2 I am also pleased to announce that, in our initial fundraising efforts in connection with the Annual Meeting, we have raised $7,000 in sponsorships from a variety of individuals and entities, as listed in this Newsletter. The Association greatly appreciates the support of these individuals and entities, many of whom have supported numerous ArmenBar events over the years. Additional sponsorships are in the works, and we look forward to announcing more sponsorship news at the Annual Meeting. If any of you need information regarding sponsorship levels and benefits or have suggestions, please contact me. Moreover, through the good work of our Toronto liaison Vasken Khabayan, the Armenian Bar Association is hosting Vartkes Yeghiayan for a presentation and discussion regarding the New York Life insurance recovery case on March 16 at the University of Toronto. Furthermore, thanks to the efforts of our Southern California members, the ArmenBar is hosting the mayor of Glendale on March 14. The events demonstrate the enthusiasm of our members across North America and the quality of our events. Finally, the Annual Meeting is set for April 19-21 in Manhattan. As detailed elsewhere in this Newsletter, our New York Host Committee has lined up several impressive CLE presentations and panel discussions. Our Friday Board meeting at Armenia's U.N. Mission and our Sunday participation in the Knights of Vartan Times Square Martyrs' Day commemoration are additional noteworthy events for the weekend. We will also be hosting several esteemed members of the Yerevan legal community. My term as Chair ends in April. It
has been a great pleasure and honor to work with our members this year. Our
Association continues to grow both in number and in accomplishments,
and I look forward to seeing you and celebrating with you in New York! The Information and Communication Technology sector, which has been officially recognized by the Government as a strategic sector for Armenia's economic development, together with the American Chamber of Commerce, was the driving force behind changes in intellectual property right protection. Amendments to the Copyright Law have clarified the "work for hire"doctrine, easing the way for internationally accepted licensing practices, as well as out-source contracting for software development in Armenia. The moral rights provisions of the Copyright Law and Civil Code were also modified to permit partial contractual waivers of certain moral rights, giving the author and purchaser of intellectual property greater flexibility to craft a relationship that suits their needs and the demands of international practice. The Joint Stock Company Law was amended to remove certain inconsistencies and clarify shareholders' rights. A Limited Liability Company Law was also enacted, filling in the otherwise general provisions of the Civil Code that heretofore provided the legal framework for LLCs. A new Law on Public Associations (non-profit membership organizations) was also debated and is slated for adoption in 2002. The Bankruptcy Law is also under revision. In a new development, draft laws are more frequently being circulated and various forums are organized for public discussion about the laws. While wider participation and more extensive discussion are desirable, this is a start on developing greater due process for law and rule making. In an effort to reduce red-tape and investment barriers, several institutions were overhauled, including the State Registration Chamber, and a new Economic Court was established. Moreover, a new Civil Service Law was passed designed to raise standards and requiring job -descriptions, evaluation, training, and streamlining of government services. The State Registration Chamber, which handles incorporations of commercial and non-profit entities, underwent a streamlining in August. Under the new law and regulations, most registrations using standard documentation take 2-3 days to process. Registration of entities with tailor-made charters take less than a week in most circumstances. In addition, a number of documents that used to be required for registration have been eliminated, including proof of full payment of charter capital contributions at the time of foundation and later re-registrations. The new Economic Court was established at the end of 2001. Given the fast pace of legislative change and the relative novelty of many commercial disputes, it was difficult for courts of general jurisdiction to adjudicate economic disputes with the requisite skill and expertise needed. The new court, consisting of some 20 specially selected and trained judges, aims to assure a more expeditious process and better informed bench. The new court just began operating in January 2002, so it is too soon to predict its impact. However, it is promising that the court has announced that it will publish all of its decisions on a web-site to assure transparency and to provide guidance to investors and attorneys regarding the interpretation of economic laws in common situations. While public discussion of proposed laws and regulations has become more common, there are still instances where stakeholders are not consulted on laws that directly impact them. One example is the recently enacted repeal of the VAT exemption for in-kind charitable imports at the border. Under the former law, certain charitable imports were exempt from customs and VAT at the border. Under the amended law, the 20% VAT must be paid at the border, but is then refunded later to qualified charities. In short, organizations making in-kind contributions, e.g., of pharmaceuticals, must come up with 20% hard cash at the border. This is a strain on those companies' cash flows, even assuming that the refunds will be readily forthcoming, which many observers consider doubtful. Under IMF pressure to increase tax collections, Armenia's ostensible purpose was to close a loophole that was being abused, but the result has been to bring many useful charitable programs to a halt. This situation is being addressed through intensive lobbying after the fact. However, it would be preferable to institute a process that could avert such situations by giving stakeholders the opportunity to propose more narrowly tailored, less restrictive alternatives. One possible solution is e-governance. At its December 2001 Conference on Due Process and E-Governance as factors of Country Competitiveness, the American Chamber of Commerce proposed posting all draft laws and regulations on an internet web-site with a Notice and Comment period. The proposal was well -received and under consideration by the Government, Parliament, and various donor organizations as a way to boost the rule of law, transparency, and Armenia's image as a modernizing democracy on the cutting edge of information technology. This would help make Armenia one of the first countries to comply with the Council of Europe Recommendation 2001(3) on the use of new technologies to provide legal information to its citizenry. In short, although there is still work to be done to meet international standards of due process and transparency, 2001 will be remembered as the year that Armenia joined the Council of Europe and made significant strides to bring its legislation into compliance with international practice. Tom Samuelian is the managing partner
of Arlex International Ltd. (www.arlex.am), a public interest law
firm that handles international commercial matters and engages in
legal reform. He is also President of the American Chamber
of Commerce in Armenia for 2001-2002. He can be reached at tsamuelian@arlex.am. The ranks of the Armenian Bar Association have grown
again with the addition of Richard Hovannis-ian who was born Febraury
13, 2002 to Armen Hovannisian, past Chair and current member of the
Armenian Bar Association's Board of Governors, and his wife Elizabeth. Armen
and Elizabeth now have four children, Datev, Sevan, Edward, and Richard. The
Armenian Bar Association wishes Armen, Elizabeth and Richard all the
best. Judge Avakian acquired the nickname "Sparky" during his youth as a result of his energetic personality. Many would say his nickname reflected the way he approached everything in life. Judge Avakian was a member of the Berkeley school board from 1959 to 1964. During that time he worked to end the schools de-facto segregation of the flatlands and hills neighborhoods. In 1964, he was appointed a Superior Court judge and shortly thereafter made a landmark ruling abolishing an Alameda County jury selection test that, in effect, barred blacks from serving on juries. Judge Avakian retired from the bench in 1980. Instead of relinquishing his gavel, he continued to take judicial assignments, including an assignment as a referee for the state Supreme Court. Judge Avakian is survived by his daughter, Mary
Louise, and son, Robert Bruce. In December, 2001, Armenian Bar member Mark Momjian wrote the two Co-Chairs of the Armenian Rights Watch Committee, Sarah Leah Whitson and John V. Pridjian, about a holiday card he received from the AAA The card contained quotations on peace by four well-known rights and peace advocates: Archbishop Desmond Tutu, Elie Wiesel, Eleanor Roosevelt, and Oscar Arias. The card also contained a quotation from Ataturk: "peace at home, peace in the world," and identified him as "Father of the Turks." The Armenian Rights Watch Committee acted immediately to address the impropriety of quoting someone as notorious as Ataturk in a holiday card devoted to "peace." The Committee sent Mr. Slate, President and Chief Executive Officer of the AAA, a letter of protest on January 2, 2002. The letter read in part, "[w]e find, much to our surprise, the name of Mustafa Kemal Ataturk. While your card benignly identifies him as 'Father of the Turks,' he is far more widely regarded as a military despot who ruthlessly butchered any people who stood in the way of his nationalist goals--hardly a candidate for world peace." The letter described in some detail Ataturk's policy of continuing the Armenian Genocide begun by the Ottoman Empire, of forbidding Christians in Turkey from openly celebrating Christmas, and of crushing the First Armenian Republic. It also described his persecution of Greeks and Kurds and his means of "secularizing" Turkey by killing Muslim religious leaders. The letter concluded with, "How such a murderous tyrant can come to be featured in a holiday peace greeting is beyond our understanding, and would be laughable were it not so painful to the Armenian community. As representatives of Armenian attorneys throughout the United States and abroad, many of whom are associated with your organization, we urge you to issue a public apology for this offensive greeting... Perhaps your greeting card next year can substitute Ataturk for Pope Paul VI: "If you want peace, work for justice." On January 15, 2002, Mr. Slate responded, expressing the AAA's "sincerest apologies for the reference to Mustafa Kemal Ataturk on the greeting cards." He explained that their card was designed to provide quotations from leaders of the world's religions and that the AAA had chosen Ataturk as the leader representing Islam. "The research we conducted at the time indicated that Ataturk was viewed as a world leader who encouraged peace, and considered the peaceful interdependence of nations paramount in the modern world. Unfortunately, our research did not uncover the historical events which you have brought to our attention... The offense was completely unintentional. I would like to reiterate that the mistake was purely accidental and no offense was ever intended." Mr. Slate concluded with a personal memory from his childhood: "[my] closest friend, who is Armenian, introduced me to the rich and significant culture, literature and art of Armenia, and I was warmly included by his family for all special occasions. His father was the editor of the principal Armenian newspaper in America. I treasure so very much that contribution to my own life and thus any offense respecting Armenia is for me particularly painful." We are delighted to report this happy ending: There
is now a bridge between the Armenian Bar and the AAA Mr. Slate
has accepted our invitation to attend the annual meeting in New York
City this April, and the General Counsel of the AAA, Florence Peterson,
will be one of the CLE presenters. The Armenian Rights Watch
Committee is dedicated to speaking up for the Armenian community. It
is the duty of every Armenian to remind the world of the tragedies
that the Armenian people have suffered. We owe it to our ancestors,
ourselves and our children. Those could easily have been the words of an Armenian entrepreneur about to have his business confiscated in 1915 but, instead, they are the words of one of ten American investors from Arizona describing what is happening in 2002 as the Vartan Hotel slips more and more out of their grasp. Victor and Kristy Bedoian are part owners of the Vartan Hotel in Van, Turkey. The investors are 10 in all, and Victor Bedoian is the only one of Armenian descent. His wife Kristy is American. These investors began seven years ago as a touring company, accompanying groups to the Van region. After a number of years of successfully taking larger and larger groups to the region, the group was invited by the Turkish government to invest in a business in Turkey. The country has long been courting foreign investment dollars to bolster its economy. This group, V&K Investments, decided to take the Turkish government up on its offer. They bought a hotel building in Van, renovated and modernized it, and named it the Vartan Hotel (after Victor's son). The Vartan Hotel soon became the pride of Van. It was one of the best hotels in town with the nicest amenities. Then, the trouble started. "My wife is not even Armenian, the whole idea of this being an 'Armenian take over' is beyond stupid. We had been coming to Van for over seven years. During that time we also brought small tour groups with us from America... never any trouble... with either police control forces or locals... [W]e were here off and on for about two months at a time until recently. About two years ago we bought a home in Van... again no trouble... just a lot of stupid paper work and leg work. We then received an invitation through the Turkish Foreign Investment Ministry with great promises of safe investment, and help, to do business in Turkey... and there were no negative responses from the American consulate.... So..." After that, with the aid of a very prestigious legal firm in Istanbul, the investment group began the process to start a foreign-owned Turkish company. The process took about ten months, and required 176 signatures both in Ankara and in Van. Again no trouble, other than the sheer bureaucratic tape. Victor Bedoian never hid the fact of his ethnic background. He did not want to be accused of hiding it. As a requirement for the company to be established, the investors needed a commercial address. They rented a small shop to start. With that they received permission to operate their company and, thus, opened the Vartan Carpet Show Room, in the heart of Van. When the media started coming around, the investors were very surprised. "They said we were news as we had, without knowing it, become the first foreign business to ever register in Van. Well we made local and national TV and newspapers. Again no problems. The press reports were great and favorable and the whole nation knew. The police would come from time to time to check our papers, but mostly to practice their English and to drink tea and and to spend time with the new thing in Van... no troubles" The real purpose of the investment group was to work in the tourism industry, as the group had a travel agency in Arizona for over 16 years. Van had tourists, but it needed hotels. After a year in business with permission from the government, the investors set their sights on buying a building for a hotel. They went back to the United States to get work visas from the Turkish consulate in Los Angeles, which they received. Upon their return to Van they were told to check in at the local Emniyet (i.e. security police) to inform them of their residence. "Well that's when it started. The formality of getting the work visa stamped by the local officials is like a non-incident, a give me... not one of our lawyers can believe what has happened. The Vali (governor) refused to allow this (approval of our work visas)... and there you have it." Then the Armenian angle surfaced. The Turkish officials began questioning then harassing Bedoian, his employees, and guests. Over the course of a year, the investors fought for their business, but at every turn they were impeded by the Turkish government through local and regional officials. "Since the spring of 2001 we have been working with the U.S. Embassy and Consulate. They have asked us for support from our senators and congressmen. We have repeatedly attempted to get assistance from our elected representatives, but they have refused to help, and have told us that they are not allowed to even call the U.S. Consulate. The Consulate and State Department have repeatedly told us that this is untrue, and that they would appreciate the support of our representatives in order to clear this matter up. The only conceivable reason for all of our difficulty here is pure ethnic hatred. The officials here have admitted this to us, and they know it is illegal, but they say they will never let an Armenian stay here. We did not make this an Armenian issue, they [the Turkish government] did. Our attempts to be heard and get help have fallen on mostly deaf ears. They [the Turkish government] also didn't know how to deal with my wife, as she is not Armenian but American. The police have circulated various rumors about her including that she is passing out bibles, she is Jewish and passing out Jewish propaganda, and that she is a rich American financing the PKK [Kurdish Workers Party]... all of which, of course, are not at all true." In order to address the problem, the investors have been forced to file lawsuits in Turkey. "We have several court actions open here... but as I am sure you are aware, they are blocked and delayed... even our lawyers here are in disbelief at the Turkish authorities complete disregard for their own laws and the legal process. But we are proceeding." At press time, there was no change. News outlets have been mailed as well as calls to the Arizona Congresspersons on behalf of the investors. The struggle goes on for these American investors who have invested over one million US dollars into the Vartan Hotel. Republican Arizona Senator John McCain has refused to intercede, as have the other politicians. "John McCain actually made a diplomatic trip to Turkey and still refuses to even talk to the Turkish Ambassador or do anything in this matter. Other than that we just keep hitting brick walls every way we turn." It is sad to think that Turkey's
bitter hatred of Armenians still continues to this day. Victor
Bedoian has demonstrated great courage and resilience in the face of
persecution. Victor Bedoian is not a political activist. He
is simply a businessman who wants to own a hotel in Van. Ms. Darmanian considers one of the most rewarding aspects of her career in the law to be her involvement with ArmenBar. "When established in 1989, under the capable leadership of Raffi Hovannisian, the organization was one whose time had come. the convergence of a variety of global influences, including the establishment of a free Armenia and the growing prominence of attorneys of Armenian descent in the United States and around the world, made the organization ripe for formation. Its success in recent years is an attestation to the wisdom of its founding leaders." It is Ms. Darmanian's hope that ArmenBar will endure
forever with the foresight, and in the spirit, it was first created. Ms. Barsoomian has been a member of the Board of Directors of the Armenian Bar Association since 1993. She has served on the Executive Committee as Secretary (1993-94 and 2001-02) and Vice-Chair (1995-96), and as Editor of the Newsletter. Ms. Barsoomian has been instrumental in organizing numerous Association programs in the D.C. area. In addition to her service to the Association, Ms. Barsoomian serves as Co-Chair of the Women's Bar Association Judicial Endorsements Committee and Vice-Officers' & Directors' Liability Committee. Ms. Barsoomian and her husband Rod J. Rosenstein,
who is a federal prosecutor, have one daughter, Julia Paige. A member of the California State Bar since 1988, Mr. Kerkonian has been in private practice for the past seven years in Pasadena, California. His primary area of practice is workers' compensation and general civil litigation. He is also a member of the California State Bar's Workers' Compensation Section. In 1992, while co-chairperson of the Association's
Pro Bono Committee, Mr. Kerkonian was presented with a "Certificate
of Appreciation" by the Mutual Assistance Association Coalition
of the County of the Los Angeles for his work in organizing and
presenting "Know Your Rights" legal education lectures. He is a founding member of the Armenian Bar Association, and served on its first Board of Governors, as well as on its current Board. He was the lead organizer for the Armenian Bar Association’s 1992 and 2000 conferences in Washington, D.C. As part of the 1992 meeting, he helped host visiting members of the Supreme Court of Armenia, including a visit to the U.S. Supreme Court and a meeting with Justice Antonin Scalia. In 2001, Virginia Governor Jim Gilmore appointed him to the Governor’s Armenian Advisory Commission, on which he served as Chairman of the Legal Subcommittee. He has been a speaker at numerous conferences, including those held by the Local Government Attorneys of Virginia and the Virginia Association of Assessing Officers. He has lectured on the subject of civil liability as part of mandatory retraining for local police officers. He has also been a speaker on the subject of the practice of law at American University in Washington, D.C. He is a member of the Arlington County Bar Association, the Local Government Attorneys of Virginia, and the Virginia Association of [Civil] Defense Attorneys. During college, he received a fellowship from the
Armenian Prelacy of America, which permitted him to travel to and engage
in Armenian Studies at the Armenian monastery in Bikfaya, Lebanon,
during the summer. He has also traveled to Armenia. He
lives in Annandale, Virginia with his wife and three children. The meeting featured a number of debates on legal matters, including the rule of law and the reform of the judicial system in Armenia, financial lawsuits relating to the Genocide and legal recourses against defamation and Genocide denial. Armenian Constitutional Court President, Gagik Harutiunian led the group in a detailed discussion on the evolution of the judicial system of Armenia. The country's 'top judge' spoke about the inadequacies of the system, emphasizing the constitutional limitations on the Constitutional Court's powers, which result in too many cases of corruption and abuse of citizens' rights going unchallenged. "The judicial system is to society, what the immune system is to the human body. It if fails, any virus that happens to come your way can get you down" But while stressing the need for further reform, he also urged critics to recognize that things are progressing, and that they should acknowledge achievements, such as they are, and to build on them. He emphasized in particular the contribution which Diaspora lawyers can provide to Armenia, acquainted as they are with mature judicial systems. Californian lawyer, Vartkes Yeghiayan, provided a presentation of the New York Life case, which involves a demand for the insurance company to finally pay the heirs of policy holders of the 1915 Genocide. The Chairman of the French Union of Armenian Lawyers, Alexandre Couyoumdjian, provided a discussion on the use of the courts to stem the ever increasing flow of defamatory material originating in Turkey. The issue has been evolving since the early 90's court case against U.S. denialist historian Bernard Lewis. Other speakers who addressed the conference included Lilit Mardirossian (Armenia), Ashot Melik-Shahnazarian (Armenia) and Anna Abrahamian (Greece). They addressed a range of other legal questions of concern to Armenians including assistance to Armenian refugees, help to Armenia and Artzakh and the question of minority status for several Armenian communities in Europe. [The above was taken in large part from a press
release issued by FAAE] The vote was the successful culmination of a long campaign by various Armenian organizations and communities throughout Europe, which groups provided detailed information about the contemporary implications of the Armenian Genocide on the prospects for peace in the Caucasus. The vote was the successful culmination of a long
campaign by various Armenian organizations and communities throughout
Europe, which groups provided detailed information and explanations
of about the contemporary implications of the Armenian Genocide on
the prospects for peace in the Caucasus. The Archbishop also spoke about the visit of Pope John Paul II to Armenia in September of 2001. According to the Archbishop, the Pope spoke warmly about a young Armenian-Polish classmate with whom he shared a desk in school. The Pope called his Armenian classmate his "best friend" and stated, "Today, I remember my friend with love. He told me about his people and all that had happened to them. He is why I am here today." Regarding the ArmenBar, Archbishop Barsamian remarked
that he had read both the ArmenBar Newsletter as well as Professor
Ann Lousin's briefing paper outlining the history and activities of
ArmenBar. The Archbishop commented that he was impressed with
the many accomplishments of ArmenBar. ArmenBar members who attended
the breakfast meeting included Professor Lousin, Nick Berberian, Greta
Doumanian, Amy Hoogasian, Karnik Kerkonian and Harry Missirlian.
Special thanks to the tireless
efforts of the Armenian Bar Association's Grants and Pro Bono Committees,
and in particular to Amy Hoogasian, Azniv Ksachikyan, Lucy Varpetian
and Vicken Simonian. |
