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a) 4729 Old Gettysburg Pike, Mechanicsburg; and
b) 853 North Hanover Street, Carlisle.
5) On or about March 28, 1995, Plaintiff and Defendant
entered into a Lease Agr.eement for a certain parcel of real
estate and restaurant building located at 853 North Hanover
Street in the Borough of Carlisle, Cumberland County,
Pennsylvania. A true and correct copy of this Lease
Agreement is attached hereto as "Exhibit A," whiCh exhibit
is made a part hereof.
6) Tbe lease term began March 28, 1995, and ends March 31,
1997. Pursuant to Section 2(0) of the Lease Agreement, the
Plaintiff waived her right to receive rental payments until
June 1, 1995.
7) Section 2(A) of the Lease Agreement requires rental
payments of two thousand five hundred dollars ($2,500),
payable in advance on the first day of each month.
8) Section 2(E) of the Lease Agreement provides for a late
penalty of five percent (5%) of such amount of rent
outstanding in the event the Defendant does not pay a rental
payment on the eleventh day after which such rental payment
shall have become due. Such late penalties become due and
payable as additional rent.
COUNT 1. BREACH OF CONTRACT
9) Paragraphs t through 8 of this Complaint are
. .
incorporated herein and made part hdreof, as if fully set
forth at length.
10) Rental charges have accrued and Defendant has made
payments as set forth in the accounting attached hereto as
"Exhibit B," which exhibit is incorporated herein and made
part hereof.
WHEREFORE, Plaintiff prays this honorable Court to enter judgment
against Defendant in the amount of fourteen thousand seven
hundred twenty-two dollars and forty-seven cents ($14,722.47),
which amount is less than twenty-five thousand dollars ($25,000).
COUNT 2. BREACH OF CONTRACT
11) Paragraphs 1 through 12 of this Complaint are
incorporated herein and made part hereof, as if fully set
forth at length.
12) In attempts to obtain payment of monies due from
Defendant, Plaintiffs have incurred attorney's fees and
costs in the amount of one thousand five hundred dollats
($1,500) from the periOd encompassing January 1, 1996
through April 29, 1996.
13) Section 3 of the Lease Agreement provides that all
damages, costs, expenses and sums that Plaintiff incurs as a
result of Defendant's failure to comply with th~ terms and
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conditions of the Lease Agreement shall be deemed to be
additional rent.
WHEREFORE, Plaintiff prays this honorable Court to enter judgment
against Defendant in tbe amount of one thousand five hundred
dollars ($1,500), which amount is less than twenty-five thousand
dollars ($25,000).
COUNT 3. BREACH OF CONTRACT
14) Paragraphs 1 through 13 of this Complaint are
incorporated herein and made part hereof, as if fully set
forth at length.
15) Plaintiff shall incur as reasonable attorney's fees in
this matter an amount equal to one-third of the amount of
the judgments, if any, entered in favor of the Plaintiff in
Counts 1 and 2 hereof.
16) Section 3 of the Lease Agreement provides that all
damages, costs, expenses and sums that Plaintiff incurs as a
result of Defendant's failure to comply with the terms and
condi tions of the Lease Agreement shall be deemed to be
additional rent.
WHEREFORE, Plaintiff prays this honorable Court to enter judgment
against Defendant in an amount equivalent to one~third of the
. I
I
LEASE AGREEMENT
This lease agreement was made and entered into on this
dato between Jyotsna R. Antani d/b/a The Harvon Motel, of 851
North Hanover Street, Borough of Carlisle, County of Cumberland,
Commonwealth of pennaylvania, referred to as lessor, and Carlo
Palumbo d/b/a palumbo Pizza of 4729 Old Gettysburg Pike, Borough
of Hechanicaburg, County of Cumberland, Commonwealth of
pennaylvania, referred to as lesaee.
RECITALS
The parties recite and declare I
A. Lessor is the owner of the premises described below,
and desires to lease the premises to a suitable lessee
for business purpoaea.
B. Lessee desires to lease the premises for the purpose of
conducting a bueinesa of operating a remtaurant.
C. The parties desire to enter a lease agreement defining
their rights, duties, and liabilities relating to the
premises.
In consideration of the mutual covenants contained in this
1
I. .
SECTION FOUR
ALTBRATIONS, ADDITIONS, AND IMPROVEMENTS
A. Subject to the limitation that no substantial portion
of the building on the demised premisee shall be
demolished or removed by lessee without the prior,
express, and written consent of lessor, and, if
necessary, of any mortgagee, lessee may at any time
during the lease term, aubject to the conditions set
forth below and at hia own expense, make any
alterations, additions, or improvements in and to the
demised premises and the building. Alterations shall be
performed in a aatiefactory manner and ehall not weaken
or impair the structural strength, or lassen the value,
of the building on the demised premises, or change the
purpoa~s for which the building, or any part of the
building, may be used.
B. Conditions with respect to alterations, additiona, or
improvements are as follows:
(It Before commencement of any work, all plans and
specifications shall be filed with and approved by
all governmental departments or authorities having
jurisdiction alld any public utility company having
an interest in such matters, and all work shall be
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Thousand Dollars ($245,000).
B. LeBsee mUBt give ninety (90) days' written notice to
leBBor of hiB intention to exerciBe the option granted
in thia Bection.
C. The lessor agrees to finance the purchase of the
subject property as followal
(1) The leBDee shall make a down payment to the lessor
of Twenty ThouBand Dollars ($20,000).
(2) The remainder of the balance due shall be financed
by the lessor, in exchange for a mortgage on the
subject premises.
(3) The interest rate for this mortgage shall be
between nine and ten percent, which amount shall
be mutually agreed upon by the parties at the tims
the lessee exercises his option to purchase.
(4) The mortgage agreed to under thia section shall
contain paymente to the lessor, the amount of
which will be mutually agreed upon by the partieB
at the time the leseee exercises his option to
purchase. In no event shall such payments be for
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made.
C. The security deposit shall be returned to lessee at the
expiration of this lease agreement provided that all
the terms and conditions contained in this lease
agreement have been fully performed by lessee.
D. Should the demised premises be sold, lessor may
transfer or deliver the security deposit to the
purchaser of the intereet, and lessor shall then be
diecharged from any further liability with respect to
the security deposit.
SECTION NINE
INSURANCE
A. During the term of this leaee agreement and for any
further time that lessee ehall hold the demised
premises, lessee shall obtain and maintain at his
expense the following typea and amounts of insurance:
(1) Versonal injury and property damage insurance.
Insurance against liability for bodily injury and
property damage and machinery insurance, all to be
in amounts and in forms of insurance policies as
may from time to time be required by lessor, shall
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be provided by lessee. This requirement ahall
specifically include plato 9lass insurance,
coverin9 the 9lass on the demised premises.
(2) Other insurance. Lesaee shall provide and keep in
force other insurance in amounts that may from
time to time be required by lessor against other
insurable hazards as are commonly insured again at
for the type of business activity that lessee will
conduct.
B. All insurance provided by lea see as required by this
section shall be carried in favor of lessor and lessee
as their respective interests may appear. In the case
of insurance against damage to the demised premises by
fire or other caeualty, the policy ehall provide that
loss, if any, shall be adjusted with and be payable to
leesor. If requested by lessor, any insurance against
fire or other caaualty shall provide that loss shall be
payable to the holder under a etandard mortgage clause.
Rent insurance and use and occupancy insurance may be
carried in favor of lessee, but the proceeds are hereby
as~igned to lessor to be held by leasor as security for
the payment of the rent and any additional rent under
this lease agreement until reetoration of the premises.
All insurance shall be written with responsible
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(2/ If involuntary proceeding a under any bankruptcy law or
insolvency act shall be instituted against leseee, or
if a receiver or trustelil shall be appointed of all or
substantially all of the property of lessee, and such
proceedings shall not be dismissed or the receivership
or trusteeship vacated within thirty (30) days after
the inatitution or appointment.
(3) If lessee shall fail to pay leasor any rent or
additional rent when the rent shall become due and
shall not make the payment within thirty (30) days
after notice thereof by lessor to leseee via certified
mail.
(4) If lesaee shall fail to perform or comply with any of
the conditions of this lease agreement and if the
nonperformance ahall continue for a period of ten (~o)
days after notice of nonperformance given by lessor to
lessee via certified mailor, if the performance cannot
be reasonably had within the ten-day period, lessee
shall not in good faith have commenced performance
within the la-day period and shall not diligently
proceed to completion of performance.
(5) If lessee shall vacate or abandon the demised premises.
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lessee under this lease agreement, shall terminate in
the same mannlilr and with the same force and effect,
except as to lessee's liability, as if the date fixed
in the notice of cancellation and termination were the
end of the term originally set forth in this lease
a'Jrlilement.
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(2) Lessor may elect, but shall not be obligated, to make
any payment required of lessee in thia lease agreement
or comply with any agreement, term, or condition
required by this leaee agreement to be performed by
leseee. Lessor shall have the right to enter the
demised premises for the purpose of correcting or
remedying any such default and to remain until the
default has been corrected or remedied, but any
expenditure for the correction by lessor shall not be
deemed to waive or release the default of leasee or the
right of lessor to take any action as may be otherwise
permissible under this lease agreement in the case of
any default.
(3) Lessor may reenter the demiaed premises immediately and
remove the property and personn~l of lessee, and store
the property in a public warehouse or at a place
selected by lessor, at the expenae of lessee. After
reentry lessor may terminate the lease on giving
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fourteen (14) daya' written notice of termination to
lessee. Without the notice, reent.ry will not terminate
this lease agreement. On termination, lessor may
recover from leeselil all damages proximately resulting
from the breach, including the cost. of recovering the
demised premises and the value of the balance of this
lease agreement over the reasonable rental value of the
demised premisee for the remainder of the lease term,
which aum sball be imnlediately due leaaor from lessee.
(4) After r.eentry, lessor may relet the demised premises or
any part of the demised premises for any term without
terminating this lease agreement, at the rent and on
the terme as lessor may choose. Lessor may make
alterations and repairs to the demised premisea. The
dutiea and liabilities of the parties if the premises
are relet as provided in this section shall be as
followSI
(a) In addition to lessee'e liability to lessor for
breach of the lease, leaeee ahall be liable for
all expenses of the reletting, for the alterations
and repairs made, and for the difference between
the rent received by lesaor under the new lease
agreement and the rent installments that are due
for the same period under this loase agreement.
16
i.!
(b) Lessor shall have the right, but shall not be
required, to apply the rent receivsd from
reletting the premises tOI
(1) reduce the indebtedness of lessee to lessor
under this lease agreement, not including
indebtedneas for rent,
(2) expenses of the reletting and alterations and
rep~irs made,
(3) rent due under this lease agreement, or
(4) to payment of future rent under this lease
agreement as it becomes due.
(c) If the new llilssee does not pay a rent installment
promptly to lessor, and the rent installment has
been credited in advance of payment to the
indebtedneee of lesaee other than rent, or if
rentals from the new lessee have been otherwise
applied by lessor as provided for in this aection
and during any rent installment period are less
than the rent payable for the corresponding
installment period under this lease agreement,
lessee shall pay lessor the deficiency, separately
17
A. In the event of a partial destruction ot the premises
during the term of thie lease agreement from any cause,
lessor shall promptly repair such damage, provided the
repaira can be made within ninety (90) days under the
laws and regulations of applicable governmental
authorities. Any partial destruction shall neither
annul nor void this lease agreement, except that lessee
ehall be entitled to a proportionate reduction of rent
while the repairs are being made, any proportionate
reduction being based on the extent to which the making
of repairs shall interfere with the business carried on
by lessee on the premises. If the repairs cannot be
made in the specified time, lessor may, at lesaor's
option, make repairs within a reaeonable time, this
lease agreement continuing in full force and effect and
the rent to be proportionately rebated as previously
set forth in this section. In the event that lessor
does not elect to make repaira that cannot be made in
the epecified time, or those repairs cannot be made
under the lawa and regulations of the applicable
governmental authorities, this lease agreement may be
terminated at the option of either party.
B. Should the building in which the demised premises are
situated be destroyed to the extent of not 113ss than
eighty-five percent (85%1 of the replacement cost, this
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possession of such portion shall be reduced in
proportion to the decreased use sufflilred by lessee as
the parties may agree or as shall b~ determinlild by
arbitration.
(3) ~n the event of any taking or condemnation in whole or
in part, the entire resulting award of consequential
damages shall belong to lessor without any deduction
:from such award for the value of tbe unexpired term of
thia lease agrelilment or for any other estate or
interest in the demiaed premises now or later veated in
lessee. Lessee assigns to leeeor all hie right, title,
and interest in any and all such awards.
(4) In the event of a partial taking, lessee shall promptly
proceed to reetore the remainder of the building on the
demised premiees to a self-contained architectural
unit. Lessor shall pay to lessse the cost of
reatoration, but in no event shall such coat exceed a
sum equal to the amount of the aeparate award made to
and received by leeaor for consequential damages. In
the event there is no separate award for consequential
damage, the value shall be fixed and settled by
arbitration as provided in this lease agreement. The
balance of any separate award or allocated amount not
ao used ehall belong to and be retained by lessor as
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its sole property.
(5) In Qase of any governmental action not resulting in the
taking or condemnation of any portion of the demised
premisea but creating a right to compensation for auch
action, or, if less than a fee title to all or any
portion of the demised premises shall be taken or
condemned by any governmental authority for temporary
use or occupancy, this lease agreement shall continue
in full force and effect without reduction or abatement
of rent, and the rights of tbe partiee shall be
unaffected by the other provisions of thia section, but
shall be governed by applicable law.
SECTION SIXTEEN
SUBORDINATION
This lease agreement and all right a of lessee under this
lease agreement shall be subject and subordinate to the lien of
any and all mortgages that may now or hereafter affect the
demised premises, or any part of the demieed premisea, and to any
and all renewals, modifications, or extensions of any such
mortgages. Lessee shall on demand execute, acknowledge, and
deliver to lessor, without expense to leseor, any and all
instruments that may be necessary or proper to subordinate this
lea Ie agreement and all rights in this lease agreement to the
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lien of any such mortgage or mortgages. If lessee shall fail at
any time to exeoute, aoknowledge, and deliver any such
subordination instrument, lessor, in addition to any other
remedies available in consequence thereof, may exeoute,
aoknowledge, and deliver the subordination lnstrument as lessee's
attorney-in-fact and in lessee's name. Lessee hereby irrevooably
makes, constitutes, and appoints lessor, its succeasors and
assigns, his attorney-in-fact for that purpose.
SECTION SEVENTEEN
ACCESS TO PREMISES; SIGNS POSTED BY LESSOR
Lessee shall permit lessor or its agents to enter the
demised premise~ at all reasonable hours to inspect the premises
or make repaira that lessee may neglect or refuse to make in
accordance with the provisions of this lease agreement, and also
to show the premises to prospective buyers. At any time within
three (3) months prior to the expiration of the term of this
lease agreement, should the lessee not have exercised his option
to purchase the leased premises as further provided herein,
lessor may show the demised premises to persons wishing to rent
them. Lessee shall, within three (3) months prior to IiIxpiration
of the term of this lease agreement, permit the usual noticea of
"For Rent" and "For Sale" to be placed on the demised premises
and to remain on the premiRes without hindrance and molestation.
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to enter and inspect the demised premises are made to insure that
lessee is in compliance with the terms and conditions of this
lease agreement and to insure that lessee makes repairs which
lessee has failed to make. LeSRor shall not be liable to leasee
for any entry on the premisee for inspection purposes.
SECTION TWENTY-ONE
RENT ABATEMENT
No abatement, diminution, or reduction of rent shall be
claimed or allowed to lessee or any plilrson claiming under him
under any circumstancee, whether for inconvenience, discomfort,
interruption of business, or otherwise, arising from the making
of alterations, improvlilmenta, or repairs to the demiaed premisea,
because of any governmental lawa, or arising from and during the
restoration of the demiaed premises after their destruction or
damage by fire or other cause, or the taking or condemnation of a
portion only of the demised premises, except as provided in
Section Fifteen.
SECTION TWENTY-TWO
REPRESENTATIONS BY LESSOR
At the commencement of the term, lessee shall accept the
buildings and improvements and any equipment in their existing
'condition and state of repair, and lessee agrees that no
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lessee of any of the terms or conditions of this lease
agreement, lessor shall have the right of injunction to
restrain lessee and the right to invoke allY remedy
allowed by law or in equity, aa if the specific
remedies of indemnity or reimbursement were not
provided in this lease agrlilement.
B. The rights and remedies given to lessor in this lease
agreement are distinct, eeparate, and cumulative, and
no one of them, whether or not exercised by lessor,
shall be deemed to be in exclusion of any of the others
in this lease agreement, by law, or by equity provided.
C. In all instances under thia lease agreement, and in any
suit, action, or proceeding of any kind between the
parties, it shall be presumptive evidence of the fact
of the existence of a charge being due if leasor shall
produce a bill, notice, or certificate of any public
official entitled to give notice to the effect tbat
such charge appears of record on the booke in his or
her office and has not been paid.
D. No receipt of money by lessor from leaaee after default
or cancellation of this lease agreement in any lawful
manner shall
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T
RENT SCHEDULE FOR 8S3 N. HANOVER ST.
i i
ate 0 f ransact on Descrlotion Amount Ba lance
Feb. 1, 1995 Feb 1995 Rent $0.00 $0.00
March 1, 1995 March 1995 Rent $0,00 $0.00
April 1, 1995 April 1995 Rent $0.00 $0.00
May 1, 1995 May 1995 Rent $0.00 $0.00
June I, 1995 June 1995 Rent $2,500.00 $2,500.00
June 11, 1995 5 % late charge $125.00 $2,625.00
June 25, 1995 Payment ($2,625.00) $0.00
July I, 1995 July 1995 Rent $2,500.00 $2,500.00
July 11, 1995 5 % late charge $125.00 $2,625.00
July 27, 1995 Payment ($2,625.00) $0.00
Aug. 1, 1995 Aug. 1995 Rent $2,500.00 $2,500.00
Aug. 11, 1995 5 % late charge $125.00 $2,625.00
Sep. I, 1995 Sep. 1995 Rent $2,500.00 $5,125.00
Sep. 11, 1995 5 % late charge $256.25 $5,381.25
Oct. I, 1995 Oct. 1995 Rent $2,500.00 $7,881.25
Oct. 11, 1995 5% late charge $394.06 $8,275.31
Nov. I, 1995 Nov. 1995 Rent $2,500.00 $10,775.31
Nov. 11, 1995 5 % late charge $538.77 $11,314.08
Dec. 1, 1995 Dec. 1995 Rent $2,500.00 $13,814.08
Dec. 4, 1995 Payment ($2,500.00) $11,314.08
Dec. 11, 1995 5 % late charge $565.70 $11,879.78
Ian. 1, 1996 Jan. 1996 Rent $2,500.00 $14,379.78
Ian. 11, 1996 5 % late charge $718.99 $15,098.77
Jan. 15, 1996 Payment ($2,500.00) $12,598.77
Feb. I, 1996 Feb. 1996 Rent $2,500.00 $15,098.77
Feb. 11, 1996 5 % late charge $754.94 $15,853.71
Feb. 17, 1996 Payment ($2,500.00) $13,353.71
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March 1, 1996 March 1996 Rent $2,500.00 $15,853.71
March 8, 1996 Payment ($2,500.00) $13,353.71
March 11, 1996 5 % late charge $667.69 $14,021.40
A ril 1 1996 A ri 1 1996 Rent $2 500.00 16 521 40
April 2, 1996 Payment ($2,500.00) $14,021. 40
Apri I 11, 1996 5% I ate charge $701.07 $14,722.47
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February 19,1999
Mark W. Allshouse
26 W. High Street
Carlisle, Pa 17013
William E. Miller, Jr,
600 North 12th Street
Lemoyne. PA 17043
Dear Bill:
Enclosed please find the Award to be entered in the Arbitration, Please sign it
and forward it back to my office, I will see that it gets filed with the court. If you have
any special instructions as to where your arbitrators fees should be sent please give
me those instructions to give to the Prothonotary when I file the award, Please return
the signed award to this office in the enclosed envelope
Very truly yours,
O'BRIEN, BARIC & SCHERER
r
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RLO/af
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Fax: (717) 76I.!319
DATE:
TO:
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Fdlruary 18, 1999
Robert O'Brirn, Esquire
AlISlin F. Grogan
NIJMBER OF PAGES INCLUDING COVER SHEET: 2
TIME TRANSMISSION SENT: 10:50AM
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(7) 249.5755
CONFIDENTIALLY NOTE
THE INFORMATION AND DOCUMENTS ACCOMPANYING THIS TRANSMISSION
, COJ','TAIN INFORMATION FROM THE LAW FIRM OF AlJSTlS F. GROGAN WHICH IS
CONFIDENTIAL AND/OR LEGALLY PRMLEGED, THE INFOR1~fATION IS
1NTESDED SOLELY FOR TIlE USE OF THE INDrvtDUAL OR ENTITY NAMED ON
THIS FACSIMILE TRANSMISSION SHEET. IF YOU ARE NOT THE DF..sIGNATED
RECrPlENT, YOU ARE HEREBY NOTIFIED THAT ANY DISCLOSURE, COPYING,
DISTRJBUTlON, TRANSMISSION OR TAKING OF ANY ACTION IN REUANCli ON THE
CONTENTS OF TInS INFORMATION IS PROHIBITED
IF YOU HAVE RECE[VED THIS FAX TRANSMISSION IN ERROR, PLEASE NOTIFV l'S
BY TELEPHONE IMMEDIATELY SO THAT WE CAN ARRANGE fOR THE IU:1'URN OF
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December 30, 1998
Richard Mlslltsky, Esquire (' ./ William E, Miller, Jr., Esquire
26 West High Street 600 North 12th Street
Carlisle, PA 17013 '----- Lemoyne, PA 17043
Robert McAndrew, Jr., Esquire ~, ,u re
2547 Easton Avenue 24 North 32nd Street
Bethlehem, PA 18017 Camp HIli, PA 17011
RE Jyotsna R. Anteni v, Carlo Palumbo
No, 96-2356 Civil Term
Dear Attorneys:
I have been appointed Chairman of the Board of Arbitrators in the above
captioned case, (A copy of the Order is enclosed)
Enclosed please find schedules for the months of January, February and
March, Please cross out the days that you are not available for the hearing and return
the schedules to my office as soon as possible in the envelope provided,
Should you have any questions, please feel free to contact me at this
office,
Very truly yours,
O'BRIEN, BARIC & SCHERER
r
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Robert L. O'Brien, Esquire
RLO/au
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