The WINNER

Thank you for all the comments and votes on this envelope contest! The envelope that I gave to the client was envelope #1

The vote was 15(for this one) to 9(for #2). 
Very interesting. 
The reason I had to redo #2 was the letter 'g' in August on the first line. As Jane Farr so correctly figured out - "Maybe the "g" in August was started as an "s" - the error was caught in time to transform it into a modified "g"."  This job was so tight on envelopes, only 6% extra, that I had to finish it up and hope at the end to redo it. Seven folks mentioned that pesky 'g' - mixed reviews. 
The second reason I wanted to redo was the line spacing. I like deeper indents when the lines are short. Got to give extra credit points to Beth Lee who did some research - "Clearly, you abandoned envelope #2, not even bothering to cross the t's. (And Google shows that Batt is the proper surname for that address.) I guess that the "g" in "August" made it a shaky envelope, and the non-standard "O" in "Orleans" put it over the edge. Not that anyone but a calligrapher would notice either feature -- and both could be defended as calligrapher's license :)"
SO, overall, I am glad I did take the time to redo this one. I feel like I gave my client a better presentation. Your votes confirm that the redo was worth it. Your comments also show that everyone has their own taste. Which makes things so much more interesting.

SO . . . who is the winner???

Fruit Jar Nicky

A print of my ZIA titled PEACE will be in the mail to you!