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HERRE BROTHERS, INC,
Movant
IN THE COURT OF COMMON PLEAS
CUMBERLAND COUNTY,
PENNSYLVANIA
v,
No: ()O' cD /t;() b;J
SOUTH MIDDLETON TOWNSHIP
Respondent
Petition To Confirm Arbitration Award
ORDER
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(~ day of said arbitrltion award is confirmed and that an award in the amount of
$7,739,01, constituting the principal award, interest and attorney's fees, as of this date, is hereby
confirmed in all respects and that the Judgmen~ ~~ntered on the docket in conformity
herewith,
BY THE COURT:
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HERRE BROTHERS, INe.
Movant
IN THE COURT OF COMMON PLEAS
CUMBERLAND COUNTY,
PENNSYL VANIA
v.
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No: d-o. ,;2 3(,,0 ~
SOUTH MIDDLETON TOWNSHIP
Petition To Confirm Arbitration Award
Respondent
PETmON TO CONFIRM ARBITRATION AWARD
Herre Brothers, Inc, (Herre Bros,), by and through its counsel, Goldberg Katzman &
Shipman, P,C., allege the following in support of this Application for Order Confirming Award,
L Petitioner, Herre Bros" Inc" is a Pennsylvania business corporation with offices at
4417 Valley Road, Enola, Cumberland County, Pennsylvania,
2, Respondent is South Middleton Township a municipality with an address of 520
Park Drive, Boiling Springs, Pennsylvania 17007.
3, On June 8, 1998, Herre Bros, and Respondent entered into a written contract
pertaining to construction of a building addition at Respondent's township office (hereinafter, the
"Project"),
4, The contract contained a provision whereby all disputes pertaining to the contract
would be submitted to an arbitrator or arbitrators and the judgment of the arbitrator(s) would be
final. A copy of the arbitration clause in the contract is attached hereto as Exhibit A,
5, On or about October 15, 1999, pursuant to a dispute arising in the course of the
Project, per the terms of the agreement, Petitioner initiated arbitration proceedings before the
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6, Jon Tryon, Esquire served as the arbitrator in the dispute,
7. After an arbitration hearing, on or about February 10, 2000 the arbitrator awarded
Herre Bros. a total of $7,043.70, plus interest from April 15, 1999, The arbitrator's decision is
attached hereto as Exhibit B.
8. Since the arbitration award, Herre Bros. has attempted to collect the amount owing
from South Middleton Township,
9. South Middleton Township's counsel acknowledged Herre Bros, right to payment
in a letter attached hereto as Exhibit C, whereby he confirmed that he was attempting to have
Respondent pay Herre Bros"
10. On or about April 7,2000 Herre Bros, received a facsimile from Dana Aunkst
stating he is "not authorized to make payments", The facsimile is attached hereto as Exhibit D.
11, Despite a veritable acknowledgment by counsel for Respondent that the amount is
due and owing, and despite the clear wording of the arbitrator's award granting Herre Bros, an
award which both parties cJntractually agreed would be final and binding, Respondent continues to
withhold payment from Herre Bros,
12, South Middleton Township's actions are arbitrary, vexatious and capricious with no
basis in the law, mandating the award, in favor of Herre Bros" of the costs and attorney's fees that
Herre Bros, has spent in collecting this matter.
13, Herre Bros, has spent $275,00 in attorneys's fees since February 10, 2000 in seeking
the collection of the amount due and owing,
14. Pursuant to 42 Pa,C.S.A. ~ 7313, fequest is made fOf the court to confinn the
award of the arbitrator.
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15. Respondent has not urged any grounds for vacating, modifYing or correcting the
award within the appropriate time period under the Pennsylvania Uniform Arbitration Act, and has,
in fact, admitted that the amount now demanded in this Petition is due and owing,
WHEREFORE, Herre Bros, respectfully requests that this Court enter an order confirming
the award of the arbitrator dated February 10, 2000, together with interest, all costs, including
attorney's fees, as described above, and any other remedy that this Court deems proper,
Respectfully submitted,
& SHIPMAN, P.c.
Date: 'f/ 1~/v6
By:
S en E. Grubb, Esquire
Attorney 1. D, No, 75897
320 Market Street
P,O, Box 1268
Harrisburg, PA 17108-1268
Telephone: (717) 234-4161
Attomey for Petitioner
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CERTIFICATE OF SERVICE
I HEREBY CERTIFY that I served a true and correct copy of the foregoing document
upon all parties or counsel of record by depositing a copy of same in the United States Mail at
Harrisburg, Pennsylvania, with Certified, first-class postage prepaid, addressed to the following:
Richard p, Mislitsky, Esquire
Saidis, Shuff & Masland
25 West High Street
P,O, Box 660
Carlisle, PA 17103-6486
By:
ven E, Grubb
Attorney 1. D, No, 75897
320 Market Street
P,O, Box 1268
Harrisburg, PA 17108-1268
Telephone: (717) 234-4161
Attomeys for Movant
DATE: Y/J3/viJ
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American Arbit.ration AssociaJJJnE, COpy
MEDIA T10N Please consult the Construction lndustry Mediation Rules regarding mediation procedures, If you want the AAA to con-
tact the other party and attempt to arrange a mediation, please check this box. 0
CONSTRUCTION INDUSTRY ARBITRATION RULES
DEMAND FOR ARBITRATION
DATE: ;o/IS/q 7
To: Name South Middleton Township, c/o Barbara Wilson, Manager
(of the party upon whom the demand is made)
AddresS;20 Park Drive
City and State Boiling Springs, PA
Telephone (717 ) ~ SR-~ 1~4 Fax
Name of Representative Richard P. Mislitsky
Representative's Address 26 W. High Street
City and State Carlisle, PA ZIP Code 17013
Telephone (717 ) ?41-6?2~ Fax (717) 243-6486
The named claimant, a party to an arbitration agreement contained in a written cOntract, dated 6/8/98
, providing for arbitration under the
Construction Industry Arbitration Rules, hereby demands arbitration thereunder.
(Attach the arbitration clause or quote it hereunder.)
ZIP Code 17007
(717) 258-3577
(if known)
See attached.
NATURE OF DISPUTE:
CLAIM OR RELIEF SOUGHT: (amount, if any) $7,748,70, plus interest and attorneys fees
Please indicate the industry category of each party,
CLAIMANT: 0 Owner 0 Architect 0 Landscape Architect 0 Engineer
o Subcontractor (specify ) 0 Interior Designer
RESPONDENT: f;t Owner 0 Architect 0 Landscape Architect 0 Engineer
o Subcontractor (specify ) 0 Interior Designer
Harrisburg, Pennsylvania
IXkContractor
o Other
o Contractor
o Other
HEARING LOCALE REQUESTED:
(City and State)
You are hereby notified that copies of our arbitration agreement and of this demand are being filed with the
American Arbitration Association at its Philadelphia, Pennsylvania
office, with the r uest that it commence the administration of the arbitration, Under the rules, you may file an answering
statement wi . ten days aft r m the administrator.
Signed .
Steven E, Grub j,n;aYE'~a'fi:l
Name of Claimant
Title Attorney for Claimant
Herre Bras" Ine,
Address (to be used in connection with this case)
City and State
Telephone
Name of Representative
Representative's Address
City and State Harrisburg, PA ZIP Code 17101
Telephone (717 ) 234-4161 FaxOn) 234-6808
To institute proceedings, please send three copies of this demand and the arbitration agreement, with the filing
fee, as provided for in the rules, to the AAA, Send the original demand to {he respondent. Fo,m C'2-11/90
4417 Valley Road
Enola, PA
ZIP Code 17025-147!,
Fax (717) 71?-R208
(717 ) T"?-6.456.
Steven E, Grubb, Esquire
320 Market Street/Strawberry
Square
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. and mat weather conditions had an adverse effect
ll,led construction.
Injury or Damage to Person or Property. If
F party to the Contract suffers inju!)' or damage 10 person
, r property because of an act or omission of me other pany,
" of any of me omer party's employees or agents, or of omers
for whose actS slIch pany is legally liable, written notice of
such UUulY or damage, whemer or not Insured, shall be given
to the other party within a reasonable time not exceeding 21
days after firs' obsorvance. The notice shall provide
sufficienc detail to enable the other party to investigate the
maner. If a Claim for additional cost or time related to this
Claim is to be asserted, it shall be filed as provided In
Subplll'agl'8phs 4,3.1 or 4.3.&,
4.4 RESOLUTION OF CJ.AIMS AND DISPUTES
4.4.1 The Architect will review Claims and take one or
lIIore of the following preliminary "",Ions within ten days of
receipt or a Claim: (1) request additional supporting dam
from the claimant, (2) submit a schedule to the parties
indicating when the Architect expects to take action, (3) reject
the Claim in whole or in part, stating reasons for rejection, (4)
recommend approval of lite Claim by the other party or (5)
suggest a compromise, The Architect may also, but is not
obligated to, notifY lite surety, if any, of the nature and
amount of the Clalm,
4.4.2 If a Claim has been resolved, the Architect will
prepare or obtain approp~ate doeumentation.
4.4.3 If a Claim has not been resolved, the party making
the Claim shall, within ten days after the Architect's
preliminary response, talce one or more of the following
actions: (1) submit additional supporting data requested by
the Atclti=t. (2) modifY the initial Claim or (3) notifY the
Architect that the initial Claim Stallds.
HERRE BROS
PAGE 89
4.5.1 Controversiu and Claims Subject to
Arbitration. Any controversy or Cblim arising out of Qr
related to the Contract, or the brea~ thereof, sban be settled
by ~ir:atiOI1 in accordance withtbe Construction Industry
Arbitration Rules of the American Arbitration Association
and judgment upon the award rendered by the arbitrator 0;
arbitrators may be entered in any court haVing jurisdiction
thereof, except controversies or Claims relating to aesthetic
effect and elCcept those waived as provided for ill
Subparagraph 4.3,5, Such controvel'$ies or Claims Upon
which the Architect has given notice and render~ a decIsion
as provided in Subparagraph 4,4.4 shall be 'Subject to
arbitration upon weinen demand of either party, MltratlOll
may be commenced when 4S days have passed after a Claim
has been referred to the Architect 1$ provided in Paragraph
4.3 and no decision has beCJl tcIIdcrcd.
4.5.2 Rules. and Notices for Arblti'lltion. Claims
between the Owner and COnlnlctOr not resolved under
Paragraph 4.4 shalt, if subject to arbitration under
Sllbparagraph 4.5.1. be decided by arbitrAtion in accordance
with' the Constroctlon Industry Arbitration Rules of the
American Arbitration Associatlon ClltTelidy in effecr. unless
the parties mutually agree otherwise, Netice of demand for
arbltntion shalt be filed in writing with the other party to the
Agreement between the Owner and Contractor and with the
American Arbitration Association, and a copy shall be filed
with tile Architect,
4.5.3 Contact Performance During Arbitration,
During arbitration proceedings, lite Owner and Contractor
shall comply with Subparagraph -'1.3.4.
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4.5.4 When Arbitration May Be Demandod,
Demand for arbiiration of any Claim may not be made until
the ea~lier of (1) the date on whfch the Archltect has rendered
a fmal written decision on the Claim, (2) the tenth day after
the panies have presented evidence to the Architeet or have
been given ~asonable opportunity to do so, if the Architect
has not rendered a (mal written decision by that date, or (3)
any of the fly. events described' in Subparagraph 4,3.2.
Electronic Fonnat A201.1987
User Document A201,CON - 3/10/1998. AlA Ucense Number 100918, Which expires on 8/31/1996 - Page #16
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Respondent has improperly withheld $7,748.70, Respondent on or about August 23, 1999 brought
to Claimant's attention a $7,748,70 charge which allegedly stemmed from damages caused by the
Claimant and its Subcontractor. Respondent has withheld these amounts from the final payment
due Claimant. This withholding is improper since: (a) Respondent did not properly notifY Claimant
of the alleged damage, nor did it allow Claimant to correct or carry out the work for which it now
withholds payment, in violation of contract Section 2.4.1 ; (b) the amount charged is unreasonable;
( c) Respondent waived its right to claim this charge since the architect approved payment in full to
Claimant in March of 1999, without Respondent ever objecting to payment in full, or claiming the
amount it now withholds, despite having the information prior to the architect's approval; and (d) it
would be inequitable for Respondent to withhold the funds under these circumstances,
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Dispute Resolution Services Worldwide
American Arbitration Association
February 10, 2000
Steven E, Grubb, Esq,
320 Market Street/Strawberry
Harrisburg, PA 17101
Richard P. Mislitsky
26 West High Street
Carlisle, PA 17013
Re: 14 E 110 00332 99
HERRE BROS, , INC,
and
SOUTH MIDDLETON TOWNSHIP
Dear Parties:
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230 South Broad Street, Floor 12, Philadelphia, PA 19102-4199
telephone: 215 732 5260, facsimile: 215 732 5002
http://www.adr.org
Square
FEEl c 4 ~=:J
By direction of the arbitrator, we herewith transmit to you the duly
executed award in the above. captioned matter,
On behalf of both the Association and the parties, we would like to
take this opportunity to thank the arbitrator for devoting the required
time and attention to this matter, and assisting in the maintenance and
high standards of the AAA and the ADR process.
Joseph T, Sole
Case administrator
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AMERICAN ARBITRATION ASSOCIATION
CONSTRUCTION ARBITRATION TRIBUNAL
In the Matter of the Arbitration between
Re: 14 E 110 00332 99
HERRE BROS, , INC.
and
SOUTH MIDDLETON TOWNSHIP
AWARD OF THE ARBITRATOR
I, THE UNDERSIGNED ARBITRATOR, having been designated in
accordance with the arbitration agreement entered into by the
above-named parties, and dated June 8, 1998, and having duly heard
the proofs and allegations of the parties, AWARD as follows:
1. SOUTH MIDDLETON TOWNSHIP, hereinafter referred to as RESPONDENT,
shall pay to HERRE BROS., INC., hereinafter referred to as
CLAIMANT, the sum of $7,043,70 plus interest from April 15, 1999,
a breakdown of which follows:
Original Claim.... .,.. .,...',.,.. .$7,748,70
Less Roof Costs"",.",. .,.",.,- $705,00
TOTAL, , , , , . , , . , , ., , . , . . . , , " , " , . . $7,043,70
2, The counterclaim of RESPONDENT against CLAIMANT is denied in its
entirety,
3, The administrative fees and expenses of the American Arbitration
Association totaling $1,596,50 shall be borne equally by the
parties and paid as directed by the Association, Therefore,
CLAIMANT shall pay to RESPONDENT the sum of $125,00 for that
portion of their one-half share of the administrative fees and
expenses previously advanced by CLAIMANT to the Association,
4, The arbitrator's fees totaling $620.00 shall be borne equally by
the parties and paid as directed by the Association,
5. This Award is in full settlement of
arbitration,
to this
DATED: Z-/t.-f(()O
ON
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AMERICAN ARBITRATION ASSOCIATION
CONSTRUCTION ARBITRATION TRIBUNAL
In the Matter of the Arbitration between
Re: 14 E 110 00332 99
HERRE BROS, , INC,
and
SOUTH MIDDLETON TOWNSHIP
AWARD OF THE ARBITRATOR
I, THE UNDERSIGNED ARBITRATOR, having been designated in
accordance with the arbitration agreement entered into by the
above-named parties, and dated June 8, 1998, and having duly heard
the proofs and allegations of the parties, AWARD as follows:
1. SOUTH MIDDLETON TOWNSHIP, hereinafter referred to as RESPONDENT,
shall pay to HERRE BROS., INC, , hereinafter referred to as
CLAIMANT, the sum of $7,043,70 plus interest from April 15, 1999,
a breakdown of which follows:
Original Claim"""...,."..,.,.. $7,748.70
Less Roof Costs.,."",..,.".".- $705.00
TOTAL. , , , , , . , , , , . , . , . . . , , . , , , . . . , ,$7,043.70
2, The counterclaim of RESPONDENT against CLAIMANT is denied in its
entirety,
3, The administrative fees and expenses of the American Arbitration
Association totaling $1,596,50 shall be borne equally by the
parties and paid as directed by the Association. Therefore,
CLAIMANT shall pay to RESPONDENT the sum of $125,00 for that
portion of their one-half share of the administrative fees and
expenses previously advanced by CLAIMANT to the Association,
4, The arbitrator's fees totaling $620,00 shall be borne equally by
the parties and paid as directed by the Association,
5, This Award is in full settlement of all claims/submi"t~, d
arbitration, //
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DATED: ~ (JJ C,
to this
LAw'OFFICES
SAID IS, SHUFF & MASLAND
A PROFESSIONAL CORPORATION
JOHN E. SLIIill
ROBERT C. SAIDIS
GEOFFREY S. SHUFF
ALBERT H, MASLAND
JOHNNA J. DEILY
RICHARD p, MISLlTSKY t
JAMES E. REID, JR. tt
KARL M, LEDEBOHM
JOSEPH L. HITCHINGS
MARK W, ALLSHOUSE
26 WEST HIGH STREET
CARLISLE, PENNSYLVANIA 17013-2956
TELEPHONE: (717) 243-6222 . FACSIMILE: (717) 243-6486
EMAIL: law@ssmallys.com
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WEST SHORE OFFICE:
2109 MARKET STREET
CAMP HILL. PA 17011
TELEPHONE: (717) 737-3405
FACSIMILE: (717) 737-3407
MAR 2 1 2000 REPLY TO CARLISLE
March 16, 2000
Steven E, Grubb, Esquire
Strawberry Square
320 Market Street
Harrisburg, PA 17101
Re: South Middleton Township - Herre Bros.
Dear Mr, Grubb:
I am in receipt of your correspondence,
Township to make payment.
I have asked the
Sincerely yours,
SAIDIS, iiUFF & MASLAND
/{Lch ,
Richard p, Mislitsky
RPM!so
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t CERTIFIED AS A CIVIL TRIAL ADVOCATE BY THE NATIONAL BOARD OF TRIAL ADVOCACY
A PENNSYLVANIA SUPREME COURT ACCREDITED AGENCY
tt L.L.M. IN TAXATION
84/87/2888 18:38 117 732~8288
,MAR-29~OO IJED ll<!:U4 I'M :iUUIIl fIlUULtl-Ul'h.
HERRE BROS
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PAGE 82
..south Llt}-idllletoD 70WDSlrip
520 P:ark Drive, Boiling Spria~. PA 11007
PHONE: (711) 251-5314 FA."<: (711) 2.51-3577
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GOLDBERG, KATZMAN & SHIPMAN, P,C.
Steven Eo Grubb, Esquire
ID#:75897
PO Box 1268
Harrisburg, PA 17108-1268
(717) 234-4161 Fax: (717) 234-6810
Attorney for Movant
HERRE BROTHERS, INC.
Movant
vs.
SOUTII MIDDLETON TOWNSHIP
Respondent
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IN THE COURT OF COMMON PLEAS
CUMBERLAND COUNTY,
PENNSYLVANIA
NO, 00-2360
CIVIL ACTION - LAW
TO THE PROTHONOTARY:
Please mark the above-captioned matter paid in full, satisfied and ended.
By:
Dated: May 11,2000
GOLDBERG KATZMAN & SHIPMAN, P.c.
St en E. Grubb, Esqui
320 Market Street
P.O, Box 1268
Harrisburg, P A 171 08-1268
(717) 234-4161
Attorney for Movant
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CERTIFICATE OF SERVICE
I HEREBY CERTIFY that I served a true and correct copy of the foregoing document
upon all parties of counsel of record by depositing a copy of same in the United States Mail at
Harrisburg, Pennsylvania, with Certified, first-class postage prepaid, addressed to the following:
Richard p, Mislitsky, Esquire
Saidis, Shuff & Masland
25 West High Street
P,O, Box 660
Carlisle, PA 17103-6486
B:
St en E. Grubb
Attomey 1. D. No. 75897
GOLDBERG, KATZMAN & SHIPMAN, P.C,
320 Market Street
P,O, Box 1268
Harrisburg, PA 17108-1268
(717) 234-4161
Attomey for Movant
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