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HAGER and ROBERT J. I COLAIZZI, I Defendants I IN THE COURT OF COMMON PLEAS CUMBERLAND COUNTY, PENNSYLVANIA , NO. 'I '- .:J 13 ." (',~-I r;...~ CIVIL ACTION - LAW COMPLAINT AND NOW ,comes the Plaintiff, James C, Bartoli, Inc. by I, through its attorneys, Saidis, Guido, Shuff & Masland and respectfully avers the followingt 1. The Plaintiff is James C. Bartoli, Inc., a corporation organized and existing under the laws of the commonwealth of Pennsylvania with its principal place of business located at 325 S. Cemetery Avenue, Carlisle, cumberland County, Pennsylvania. 2. Defendant, David M, Hager is an adult individual residing at 254 Hillcrest Road, Camp Hill, Cumberland County, Pennsylvania. 3. Defendant, Robert J. Colaizzi is an adult individual residing at 428 Lamp Post Lane, Camp Hill, Cumberland County, Pennsylvania. 4.. On or about April 29, 1994 the Plaintiff and the Defendants, acting as Hager-Colaizzi, Inc. and trading as Gigante's Restaurant, entered into a Forbearance Agreement whereby the Plaintiff agreed to forbear from issuing a Writ of Execution on a Judgment entered to No. 745 Civil 1993, provided that the Defendants complied with the terms of the stipulatl.on; a true and correct copy of said Forbearance Agreement is SAIDIS, GUIDO, SHU.'F & MASLAND 26 W, Hlih SI"'CI Cllrli/ile,PA attached hereto and made a part hereof and marked as Exhibit "A". 5. Along with the Forbearance Agreement, the Defendants individually entered into a Guaranty and Suretyship AgI'eement dated April 29, 1994 by and between the Plaintiff and the Defendants as individuals, which Guaranty and Suretyship Agreement provided as follows: In the event of a default by Gigante of its payment obligations in the aforementioned Forbearance Agreement, Guarantors hereby voluntarily, intelligently and knowingly empower the Prothonotary or any attorney of any Court of Record to appear for Guarantor and to confess judgment for $22,265.20 with interest at the rate of 1.5% per month from February 1, 1993, and costs of suit, without filing a Complaint and Guarantor hereby releases all errors or defects in any such action and the entry of any such judgment, and waives all laws exempting real or person property from execution., a t~ue and correct copy of the original is attached hereto and made a part hereof and marked as Exhibit "8". 6. This judgment is not being entered by confession against a natural person in connection with a consumer credit transaction. 7. A judgment has not been entered on the Guarantee and Suretyship Agreement marked as Exhibit "8" in any other jurisdiction. 8. Pursuant to the Forbearance Agreement as marked in Exhibit "A" and the Guaranty and Suretyship Agreement under Exhibit "8", if the Defendants failed to pay the sum of aggregate total of $22,000.00 on or before February 28, 1995, then a default would occur permitting the Plaintiff to confess judgment. SAIDIS, GUIIlO & MASI.ANIl 26 W, ffiV,h Silt'\,? <':l1rli~lr, I'A -~-' An '''I,/[-ec/lItl! totHl of T'IIl!nty-two Th,;uullnd Do1l6['U ($22,000.00) on 0[' belcne February 2U, 1995. Said agg['f!qlltl! LoLlIl Bt]llll include thl! IJIIlOUllt flot fo['Lh in (a) above. 2. AS an inducement to Plaintiff to enter into thifl Forbearance Agreement, Defendant shall secure and deliver concurrently herewith the personal guarantee of itr stockholders, David M. Hager and Robert J. Colaizzi. 3. If the total amount is not timely made (i.e. actually received by Plaintiff at itl! place of business at 413 Arch Street, Carlisle, Pennsylvania) on or before the date it is due, or if any check is returned for insufficient funds, Defendant shall be in default hereunder and Plaintiff may, at its option, and without any notice whatsoever, take whatever steps it deems necessary or desirable to collect on the aforementioned judgment and/or guarantee. Failure of Plaintiff to immediately issue a Writ of Execution, or take other steps for collectionl and/or the acceptance of any payments after a default, shall not in any way constitute a waiver of Plaintiff's rights hereunder unless specifically agreed to by Plaintiff in writing. 4. If, and only if, Defendant timely pays all sums as set forth in paragraph lea) and l(b) on a timely basis, said sums shall be accepted in full payment of all sums due and Plaintiff shall, upon payment of docket costs end satisfaction fees by Defendent, satisfy the aforementioned judgment. 2 GUARANTY AND SURETYSHIP AGREEMENT FOR VALUE RECEIVED, receipt of which is hereby acknowledged, and to induce James C. Bartoli, Inc. (hereafter "Bartoli") to enter into a Forbearance Agreement (the terms of which are incorporated herein by reference) in connection with a judgment that was entered, or is about to be entered against Hager-Colaizzi, Inc. tie Gigante's Restaurant (hereafter "Gigante") I in the Court of Common Pleas of Cumberland County, Pennsylvania at No. 745 Civil 1993/ the undersigned (whether one or more, "Guarantor") agree as follows~ 1. Guarantor hereby guarantees and becomes surety for the full and timely payment of principal, interest and any and all other sums of any nature whatsoever which are due or which become due at any time or in any manner from, under or in connection with said jud~nent, 36 modified by the aforementioned Forbearance Agreement, (hereafter the "Obligations"), without notice or demand or set off or counterclaim of any kind. This agreement is a continuing, absolute and unconditional guaranty and suretyship of payment and not merely of collection. The obligations of Guarantor hereunder are joint and several. Guarantor is liable to Bartoli hereunder, end Bartoli may enforce its rights and remedies hereunder against Guarantor, or any of them in any combination (if more than one), at any time and from time to time, whether Bartoli attempts to enforce or enforces Bartoli's rights and remedies against Gigante or whether BartoH joins Gigante in any enforcement action or proceeding. 2. Guarantor hereby voluntarily, intelligently, knowingly and unconditionally waives (a) all notices to which Guarantor may , Exhibit "B" be entitled but which may legally be waived, including without limltation notice of (i) acceptance of this agreement, (ii) nonpayment, protest, dishonor or default; and (b) demand for payment, and protest I and (c) any defense available to Gigantel and (d) any defense or circumstance which might constitute a legal or equitable discharge of a guarantor or surety. 3. At any time and from time to time without notice to Guarantor, and without affecting the liability of Guarantor hereunder, Bartoli may do anyone or any combination of the followingl (a) renew or extend the Obligations or the time for the Borrower's payment of principal, interest or other sums due or to become due under the Obligations, or for performance or observance of any of the provisions of the Forbearance Agreementl (b) waive, settle, rolease, compromise, suborclinatF.l or discharge any such payment or performance or observance by Gigante or the obligations of any other guarantor or surety for the Obl igations I (c) sell, transfer, exchange, substitute, surrender, release or demand additional collateral or security for the Obligationsl or (d) change the Forbearance Agreement for any purpose, including without limitation any change of or affecting the rights of Bartoli or the rights or obligations of Gigante, or the payment of the Obligations. 4. GUARANTOR HEREBY VOLUNTARILY, KNOWINGLY, INTELLIGENTLY AND IRREVOCABLY HAlVES ANY AND ALL RIGHTS GUARANTOR MAY HAVE AT ANY TIMB (WHBTHBR DIRECT OR INDIRECT, OR IlY OPERATION OF LAW OR CONTRACT, OR OTHERWISE) TO ASSERT ANY CLAIM AGAINST GIGANTE ON 2 ACCOUNT OF ANY PAYMENT MADE UNDER THIS AGREEMENT, WHETHER llY OR FOR SUBROGATION, Rl!:IMBURSEMENT, EXONERATION, CONTRIBUTION, INDEMNITY OR OTHERWISE. This agreement and Guarantor's payment obligations hereunder will remain in effect if at any time any amount paid under or in connection with the Obligations is rescinded or recovered by any person or entity, or if Bartoli otherwise becomes liable to or does repay, restore or return any such amount, to the same extent as if such payment had not been made, and notwithstanding any termination or cancellation of the Obligations or this dgreement, both of which shall be deemed to be reinstated even following any such termination or cancellation for purposes of continuation of Guarantor's liability hereunder. Bartoli's determination as to whether to repay, restore or return any payment shall be binding on Guarantor. 5. Guarantor hereby agrees to payor reimburse Bartoli for any and all out-of-pocket costs, expenses and fees at any time incurred or paid by Bartoli in the enforcement or collection of Guarantor's obligations under this agreement, including wlthout limitation attorneys' fees. 6. This agreement is entered into in Cumberland County, Pennsylvania. Any payment made hereunder shall be payable to Bartoli, Inc., 413 Arch Street, Carlisle, Pennsylvania 17013 or otherwise as directed from time to time by Bartoli or any assignee of the Obligations or this agreement. Bartoli may assign this agreement, or any rights hereunder, with any assignment of the 3 Obligations or any rights thereunder. In the event of any such aseignment, the assignee 6h311 have the same rights and remedies as if originally named herein. This agreement shall be governed by and construed according to the laws of the Commonwealth of Pennsylvania. Any suit or action brought by Guarantor may be brought only in the courts huving jurisdiction over matters which arise in Cumberland County, Pennsylvania, and which are seated in Pennsylvania. Guarantor hare by voluntarily, knowingly and intelligently waives the right to trial by jury in any action or proceeding arisin9 from or in connection with this agreement. This agreement and Guarantor's obligations herounder may not be partially or entirely assigned or transferred by Guarantor, and ar.e binding upon the respective heirs, executors, administrators, successors and 6~signs of Guarantor, This agreement is delivered to and inures to the benefit of Bartoli, ite successors and assigns. If any provision hereof shall for any reason be held invalid or unenforceable, no other provision shall be affected thereby, and this agreement shall be construed as if the invalid or unenforceable provision had never been a part of this agreement. This agreement embodies the entire agreement of the parties and cannot be changed except in writing signed by all parties. 7. IN THE EVENT OF A DEFAULT BY GIGANTE OF ITS PAYMENT OBLIGATIONS IN THE AFOREMENTIONED FORBEARANCE AGREEMENT, GUARANTOR HEREBY VOLUNTARILY, INTELLIGENTLY AND KNOWINGLY EMPOWERS THE PROTHONOTARY OR ANY ATTORNEY OF ANY COURT OF RECORD TO APPEAR FOR GUARANTOR AND TO CONFESS JUDGMENT FOR $22,265.20 WITH INTEREST AT 4 ,I"~ ..." .... (') tl ~.; C il, ~;! :f.: '1 ~~ .: 91 " 0' I1l: I Ii" . . I . , ...' I" I " ", {.) {/ , ~~ ll<Ul Z~ Or-l ~ll< o ... 3: U~ j g,s o ~u z 8SE s u< t; ~~ < I:llr.:i H ~~ !;; ZOOH HUZU ~ ~t'"i ~ ~ ~",i '\ '\ ~ ~.~ B ~ ~~ ,~~ \'t-\) 1 ~~ I'.' ". " :1 . :Jj ]() '.',1(1 ~ !'\. ) U . . U .... Z .... H 'rl +J . .:: H .,.. . Hill> o M ~ ll< ~ (.ll . U ~ . ,., ~ gj l%l III o +J c:>: J:: III 'tl 'tl J:: ~ III .... e ~ ~ . 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