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HomeMy WebLinkAbout02-5537ALLFIRST BANK Special Credits Department Mail Stop 001-14-02 213 Market Street Harrisburg, Pennsylvania 17101 Plaintiff, Vo TEAMING ASSOCIATES, INC. 200 South Spring Garden St., Suite 14 Carlisle, Pennsylvania 17013-2578 and TELECOM AUDITING SERVICES, INC. 200 South Spring Garden St., Suite 14 Carlisle, Pennsylvania 17013 Defendants. Court of Common Pleas of Cumberland County Civil Action Law Term 2002 No. STATEMENT FOR CONFESSION OF JUDGMENT OF MONET TO THE PROTHONOTARY: I, Michael D. Nord, hereby file this Statement for Confession of Judgment of Money Confession of Judgment Plaintiff on or about matter. Pursuant to the in connection with the Complaint for of Money (the "Complaint") filed by the November 14, 2002 in the above-captioned authorization contained in the warrant of attorney in Note 1, Note 2 and the Telecom Guaranty (as those terms are defined in the Complaint), photostatic copies of the originals of which are attached to this Complaint for Confession of Judgment for Money filed in this action, I appear for the two Defendants and confess judgment in favor of the Plaintiff and against Defendants as follows: DEFENDANT, Principal: Interest (as of 11/12/02): (per diem = $140.68) Attorney, s fees: (15% of $703,300.38) TOTAL DUE UNDER NOTE 1: DEFENDANT, Principal: Interest (as of 11/12/02): (per diem = $2.21) Attorney, s fees: (15% of $9,123.05) TOTAL DUE UNDER NOTE 2: TEEING ASSOCIATES, INC.: $698,563.35 $4,737.03 ~105,495.06 ~808,795.44 TF2~MING ASSOCIATES, INC.: $9,075.26 $47.79 _$1.368.46 ~10,491.5] DEFENDANT, TELECOM AUDITING SERVICES, Principal: Interest (as of 11/12/02): (per diem = $142.89) Attorney, s fees: (15% of $815,626.10) TOTAL DUE UNDER TELECOM GUARANTY: INC.: $809,520.61 $6,105.49 $122,343.92 4937,970.0? the two Date: November 14, 2002 Pennsylvania Bar No. 52486 Gebhardt & Smith LLP The World Trade Center 401 E. Pratt Street, 9th Floor Baltimore, Maryland 21202 410-385-5072 Counsel for Plaintiff, Allfirst Bank U: \MDN\20 \20754 StaCJPal. Wpd 2 ALLFIRST BANK Special Credits Department Mail Stop 001-14-02 213 Market Street Harrisburg, Pennsylvania 17101 Plaintiff, TEAMING ASSOCIATES, INC. 200 South Spring Garden St., Suite 14 Carlisle, Pennsylvania 17013-2578 and TELECOM AUDITING SERVICES, INC. 200 South Spring Garden St., Suite 14 Carlisle, Pennsylvania 17013 Defendants. Court of Common Pleas of Cumberland County Civil Action Law Term 2002 No. COMPLAINT FOR CONFESSION OF JUDGMENT OF MONEY 1. (a) The Plaintiff and the last known address thereof is: Allfirst Bank Attn: Kenneth L. Milliken, Assistant Vice President Special Credits Department Mail Stop 001-14-02 213 Market Street Harrisburg, Pennsylvania 17101 (b} The Defendants and their last known addresses are: Teaming Associates, Inc. 200 South Spring Garden St., Suite 14 Carlisle, Pennsylvania 17013-2578 Telecom Auditing Services, Inc. 200 South Spring Garden St., Suite 14 Carlisle, Pennsylvania 17013 Solutions ("Note 1") aforesaid principal amount. obligations on which the COUNT I 2. Plaintiff, Allfirst Bank ("Plaintiff"), provided a loan to Defendant, Teaming Associates, Inc. ("Teaming"), in the original principal amount of $750,000.00 which is evidenced by a Film/Cash Promissory Note (Pennsylvania) dated March 27, 2002 executed by Teaming to the order of Plaintiff in the The original instrument evidencing the judgment is herein confessed or a photostatic copy or like reproduction showing the signature of Teaming, which is a true and accurate reproduction of the original, is attached hereto as Exhibit "A" and is incorporated herein by reference. 3. Note 1 by, Teaming defaulted under the terms and conditions of among other things, failing to make the payments called for thereunder. The Plaintiff, in accordance with the terms and conditions of Note 1, declared a default and demanded payment of all indebtedness owed thereunder. A true and accurate copy of the demand letter is attached hereto as Exhibit "B" and is incorporated herein by reference. Despite such demand, Teaming has failed to pay the indebtedness owed to Plaintiff under Note 1. Procedure, for There has been no assignment or transfer of Note 1. Pursuant to Rule 2951 of the pennsylvania Rules of Civil the judgment entered in connection with the Complaint Confession of Judgment for Money {the "Complaint") against U: \MDN\20\20754ComConPal .wpd 2 Teaming set forth herein has not been entered in connection with a consumer credit transaction. 6. The itemization of the amount due is as follows: Principal: $698,563.35 Interest (as of 11/12/02): $4,737.03 (per diem = $140.68) Attorney's fees: $105,495.06 (15% of $703,300.38) TOTAL DUE UNDER NOTE 1: $808,795.44 7. Note 1 with confession of judgment and warrant of attorney was executed by Teaming on March 27, 2002 under and pursuant 8. to the terms of Note 1 attached hereto as Exhibit "A." Under the confession of judgment set forth in Note 1, Teaming authorized and empowered any attorney admitted to practice before any court of record in the United States to appear on behalf of Teaming and to confess judgment against Teaming in favor of the Plaintiff for and in the full amount outstanding (including principal, accrued interest and any and fees and expenses) plus court costs and attorneys' fees fifteen percent (15%) of the unpaid balance of principal, charges and other sums outstanding thereunder, heirs and without right of appeal. WHEREFORE, the Plaintiff, as authorized by the warrant of attorney and confession of judgment clause contained in Note 1, requests judgment be entered against Defendant, Teaming Associates, under Note 1 all charges, equal to interest, with release of all U: \MDN\20\20754ComConPal.wpd 3 Inc., in the total sum of $808,795.44 plus interest after November 12, 2002 at the rate of $140.68 per day and brings the attached Note I into Court to recover the said sum. COUNT II 9. Plaintiff incorporates herein by reference paragraphs 1 through 8 of this Complaint as if fully set forth herein. 10. Plaintiff provided a loan to Teaming in the original principal amount of $13,000.00 which is evidenced by a Term Business Purpose Promissory Note dated October 18, 2001 ("Note 2") executed by Teaming to the order of Plaintiff in the aforesaid principal amount. The original instrument evidencing the obligations on which the judgment is herein confessed or a photostatic copy or like reproduction showing the signature of Teaming, which is a true and accurate reproduction of the original, is attached hereto as Exhibit "C" and is incorporated herein by reference. 11. Teaming defaulted under the terms and conditions of Note 2 by, among other things, failing to make the payments called for thereunder. The Plaintiff, in accordance with the terms and conditions of Note 2, declared a default, accelerated and demanded payment of all indebtedness owed thereunder. A true and accurate copy of the demand letter is attached hereto as Exhibit "B" and is incorporated herein by reference. Despite such demand, Teaming has failed to pay the indebtedness owed to Plaintiff under Note 2. U: \MDN\20 \20754ComConPal. wpd 4 12. There has been no assignment or transfer of Note 2. 13. Pursuant to Rule 2951 of the Pennsylvania Rules of Civil Procedure, the judgment entered in connection with the Complaint against Teaming set forth herein has not been entered in connection with a consumer credit transaction. 14. 15. The itemization of Principal: Interest (as of 11/12/02): (per diem = $2.21) Attorney's fees: (15% of $9,123.05) TOTAL DUE UNDER NOTE 2: Note 2 with confession of the amount due is as follows: $9,075.26 $47.79 $1,368.46 $10,491.51 judgment and warrant of attorney was executed by Teaming on October 18, 2001 under and pursuant to the terms of Note 2 attached hereto as Exhibit "C." 16. Under the confession of judgment set forth in Note 2, Teaming authorized and empowered any attorney admitted to practice before any court of record in the United States to appear on behalf of Teaming and to confess judgment against Teaming in favor of the Plaintiff for and in the full amount outstanding under Note 2 (including principal, accrued interest and any and all charges, fees and expenses) plus court costs and attorneys' fees equal to fifteen percent (15%) of the unpaid balance of principal, interest, charges and other sums outstanding thereunder, with release of all heirs and without right of appeal. U: \MDN\20\20754ComConPal.wpd 5 WHEREFORE, the Plaintiff, as authorized by the warrant of attorney and confession of judgment clause contained in Note 2, requests judgment be entered against Defendant, Teaming Associates, Inc., in the total sum of $10,491.51 plus interest after November 12, 2002 at the rate of $2.21 per day and brings the attached Note 2 into Court to recover the said sum. COUNT III 17. Plaintiff incorporates herein by reference paragraphs 1 through 16 of this Complaint as if fully set forth herein. 18. Defendant, Telecom Auditing Services, Inc. ("Telecom"), is presently indebted to the Plaintiff in connection with a Guaranty Agreement (Continuing) dated March 27, 2002 (the "Telecom Guaranty") executed by Telecom in favor of the Plaintiff, pursuant to which Telecom absolutely and unconditionally guaranteed repayment of all obligations due and owing by Teaming to Plaintiff under the Notes. The original instrument evidencing the obligations on which the judgment is herein confessed or a photostatic copy or like reproduction showing the signature of Telecom, which is a true and accurate reproduction of the original, is attached hereto as Exhibit "D" and is incorporated herein by reference. 19. Telecom defaulted under the terms and conditions Telecom Guaranty. Guaranty, the of the As a result of the default under the Telecom Plaintiff, in accordance with the terms and U: \MDN\20 \20754ComConPal .wpd 6 conditions of the Telecom Guaranty, accelerated payment of the obligations owed by Telecom to the Plaintiff under the Telecom Guaranty and demanded payment of all indebtedness owed thereunder. A true and accurate copy of the demand letter is attached hereto as Exhibit "B" and is incorporated herein by reference. Despite such demand, Telecom has failed to pay the indebtedness owed to under the Telecom Guaranty. There has been no assignment or transfer of the Telecom Plaintiff 20. Guaranty. 21. Pursuant to Rule 2951 of the Pennsylvania Rules of Civil Procedure, the judgment entered in connection with the Complaint against Telecom set forth herein has not been entered in connection with a consumer credit transaction. 22. The itemization of the amount due is as follows: Principal: $809,520.61 Interest (as of 11/12/02): $6,105.49 (per diem = $142.89) Attorney's fees: $122,343.92 (15% of $815,626.10) TOTAL DUE UNDER $937,970.02 TELECOM GUARANTY: 23. The Telecom Guaranty with confession of judgment and warrant of attorney was executed by Telecom on March 27, 2002, under and pursuant to the terms of the Telecom Guaranty attached hereto as Exhibit "D." U: \MDN\20 \20754ComConPal. wpd 7 24. Under the confession of judgment set forth in the Telecom Guaranty, Telecom authorized and empowered any attorney admitted to practice before any court of record in the United States to appear on behalf of Telecom and to confess judgment against Telecom in favor of the Plaintiff in the full amount of the obligations which are due or which may become due under the Telecom Guaranty, plus court costs, plus attorneys' fees equal to fifteen percent (15%) of the unpaid balance of principal, interest, charges and other sums which is due or may become due with a release of all heirs and without right of appeal. WHEREFORE, the Plaintiff, as authorized by the warrant of attorney and confession of judgment clause entered in the Telecom Guaranty, respectfully requests that judgment be entered against the Defendant, Telecom Services, Inc., and in favor of the Plaintiff in the total amount of $937,970.02, plus interest after November 12, 2002 at the rate of $142.89 per day and brings the attached Telecom Guaranty into Court to recover the said sum. Date: November 13 2002 Pennsylvania Bar No. 52486 Gebhardt & Smith LLP The World Trade Center 401 E. Pratt Street, 9th Floor Baltimore, Maryland 21202 410-385-5072 Counsel for Plaintiff, Allfirst Bank U: \MDN\20 \20754ComConPal. ~d 8 Date: November 12, 2002 Michael D. Norf~' - Pennsylvania Bar No. 52486 Gebhardt & Smith LLP The World Trade Center 401 E. Pratt Street, 9th Floor Baltimore, Maryland 21202 410-385-5072 Counsel for Plaintiff, Allfirst Bank AFFIDAVIT COMMONWEALTH OF PENNSYLVANIA, CITY/COUNTY OF ~0~ , TO WIT: Personally, before me, the undersigned authority, appeared KENNETH L. MILLIKEN, who, being duly sworn according to law, was deposed and said that the attached Note 1, Note 2 and Telecom Guaranty (as those terms are defined above in this Complaint) with the warrants of attorney are true and correct copies of the originals with warrants of attorney and that the averments contained in the foregoing Complaint for Confession of Judgment for Money are true and correct upon the affiant's personal knowledge, and certifies that the addresses set forth in paragraph 1 hereof are the respective principal address of the Plaintiff and the last known addresses of the Defendants. Sworn and subscribed 2002. My Commission expires: Notar a Seal Edie I, Lingle, Notary Public Lebanon, Lebanon County . My Commission Expires Oct. 11, 2004 ~ Per~'~ylva,,)fa ~ PI Nota~ias be for.~ t.~his f N~t a r~y Publi~c ay of November, U: \MDN\20\20754ComConPal.wpd 10 VERIFICATION Understanding that false statements made in this verification are subject to the penalties of 18 Pa C.S.A. ~ 4904 relating to unsworn falsification of authorities, I verify that I am an Assistant Vice President of Allfirst Bank, the Plaintiff in the above-captioned matter, and that I am authorized to make this verification on the Plaintiff's behalf. KENNETH L. MILLIKEN U: \MDN\20\20754ComConPal.wpd 1 1 EXHIBIT A FILM/CASH SOLUTIONS PROMISSORY NOTE (PENNSYLVANrA) (City) (State) (Dale} ..................................... and ...... 7100 Do a s (Name al O[g~nlZallOn) 200 South ~S~rin~Garden Street Suite ~4 C a~r ~1 i~s_l_e~_ PA 17013 ...... {SEAL) Borrower is an individual, he or she should sign below: If Borrower Is an Individua~ he or she should sign below: (SEAL) 5 EXHIBIT B BALTIMORE: (410) 752-5830 WASHINGTON: (SOl} 470-7468 WF~ITER'S DIRECT D~AL NUMBER: (4~0) 385-5072 MNORD@gebsmith.com LAW OFFICES (~EBHARDT ~,, SMITH LLP NINTH FLOOR THE WORLD TRADE CENTER BALTIMORE, MARYLAND 21202-3064 November 5, 2002 FACSIMILE MICHAEL O. NORD Member of the Bars of Maryland, Virginia, Pennsylvania and the District of Columbia VIA TELECOPIER, CERTIFIED MAIL, RETURN RECEIPT REQUESTED AND FIRST CLASS MAIL Teaming Associates, Inc. 200 South Spring Garden Street, Carlisle, Pennsylvania 17013 Suite 14 William H. Rauch 200 South Spring Garden Street, Carlisle, Pennsylvania 17013 Suite 14 Mark A. Dixon 200 South Spring Garden Street, Carlisle, Pennsylvania 17013 Suite 14 Telecom Auditing Service, Inc. 200 South Spring Garden Street, Carlisle, Pennsylvania 17013 Suite 14 Re: $750,000.00 loan ("Loan One") from Allfirst Bank (the "Bank") to Teaming Associates, Inc. (the ~'Borrower") and guaranteed by William H. Rauch, Mark A. Dixon and Telecom Auditing Services, Inc. (collectively, the ~Guarantors"); a $13,000.00 loan ("Loan Two") from the Bank to the Borrower and guaranteed by the Guarantors; and a Corporate Credit Card Line of Credit (the "Corporate Credit Card Facility") from the Bank to the Borrower and guaranteed by the Guarantors. The Borrower and the Guarantors are sometimes collectively referred to herein as the "Obligors." Our file no. 20754 To The Parties Addressed: As you are aware, this firm serves as counsel to the Bank in connection with Loan One, Loan Two and the Corporate Credit Card Facility (collectively, the "Loans") as well as the various loan GEBHARDT & SMITH LLP Teaming Associates, November 5, 2002 Page 2 Inc., et al. documents executed in connection therewith (collectively, the "Loan Documents"). The Borrower is in default under the Loan Documents for, among other things, failing to pay taxes when and as due, failing to cure the overmargin under the Loan Documents, failing to cure the overdrafts in the Borrower's corporate account and failing to pay the indebtedness owed under the Loan Documents when and as due. Furthermore, Loan One is due and payable upon demand by the Bank. As a result of the above-referenced defaults and in accordance with the terms of the Loan Documents, the Bank demands im/nediate payment of all outstanding indebtedness owed under the Loans and the Loan Documents by the Obligors. In addition, this is to advise the Obligors that the Bank, in accordance with the terms and conditions of the Loan Documents, is terminating the availability of credit with respect to all Loans and any other obligations owed by the Borrower to the Bank including, without limitation, ACH transfers. The availability under the Corporate Credit Card Facility was previously terminated on Wednesday, September 4, 2002. The principal and interest balance owed to the Bank under the Loans and the Loan Documents is as follows: LOAN ONE: Principal: Interest {as of 11/4/02): TOTAL PRINCIPAL AND INTEREST DUE AND OWING UNDER LOAN ONE THROUGH 11/4/02: $698,563.35 $334.73 $698,898.08 LOia_N ~O: Principal: Interest {as of 11/4/02): TOTAL PRINCIPAL AND INTEREST DUE AND OWING UNDER LOAN TWO THROUGH 11/4/02: $9,075.26 $34.13 $9,109.39 U: \MDN\20\20754DemLtr2,wpd GEBHARDT & SMITH LLP Teaming Associates, November 5, 2002 Page 3 Inc., et al. CORPORATE CREDIT Ci~D FACILITY: TOTAL THROUGH 11/4/02: $101,882.00 Interest continues to accrue on Loan One at a variable rate which currently has a per diem of $111.57. Interest continues to accrue on Loan Two at a fixed rate which currently has a per diem of $1.70. Interest on the corporate credit card facilities is 11.15% per annum. In addition, since the Loan Documents have been referred to an attorney for collection, the Bank is also entitled to be reimbursed for any of its expenses, costs and attorneys' fees incurred in connection with one or both of the Loans and the Loan Documents. By way of this letter, the Bank demands the immediate payment, in immediately available funds, of all indebtedness owed under the Loan Documents from the Obligors. Payment must be made payable to "Allfirst Bank" and sent to: Kenneth L. Milliken, Assistant Vice President Allfirst Bank Special Credits Department Mail Stop 001-14-02 213 Market Street Harrisburg, Pennsylvania 17101 With respect to the Loans, please be advised that any acceptance by the Bank of any interest payments or any other partial payments (that is, less than the total amount due under the Loans and the Loan Documents) shall not constitute or be construed as: (a) a waiver of any defaults existing under the Loans and the Loan Documents; (b) a waiver of the Bank's demand for payment of all sums due and owing to the Bank under the Loans; or (c) a waiver of any of the Bank's rights and remedies in connection with this matter. Nothing contained herein shall be construed to be a waiver of any of the Bank's rights and remedies in connection with this matter. The Bank specifically reserves all of its rights and remedies in connection with this matter including, without limitation, the Bank's right to immediately, and without any prior U: \MDNk20\20754DemLtr2, wpd GEBHARDT & SMITH LLP Teaming Associates, November 5, 2002 Page 4 Inc., et al. notice to the Obligors, proceed to assert and enforce rights and remedies. Very truly yours, Michael D. Nord MDN:ark cc(via telecopier): Kenneth L. Milliken, Assistant Vice President Mike Crocenzi, Esquire all such U: \MDNk20\20754DemLtr2 .wpd EXHIBIT C  all6rst TERM BUSINESS PURPOSE $ ~00~0.0~ . , PROMISSORy NOTE ~ day of each moa,h, begiaaing on ~O~h~ '~ <~ -. ,ch paymenl m the arno.at of *39074 on the ~, which i~ the fins nad absolute a ...... ~' ~l and ..... ink until and exp ....... ball be 0aid ,. ~l} ~ ........ flUS P ........ ~ Note, al which time MI sums d.e heremlder, i.~hlaing princlpa~~ wh ~h ay b .... due hereunff~r w or~e~ fee. equal to fif ee~ p ..... (IS%) gf the u~ ,ailud~n~ pm,c,pal ~cc .~d ....... d any .nd ~l' ch. ar.ng,.m etmancm~s, exlen~,o ,t batltulio ,a nend,~enls a U ate ynl,~red rolo by BO OWeL uncle or in ¢on~e~io me?l, nlqrtg~ge 9 DEFAUI~' Anyl:l~bh;V~; o . Y .hi ........II of the language and p ........... fib ........ ~d .......de ¢ e~;lnk of any cocpOrale a hha,¢ o Ba k, ~ncludin ; ~a deraqh m any olke agr ....... i ....... lot doc n: Bank ( Slher Obhgo recta er ~lltet~d rolo. (e) a ,na?r,al save se cba,,ge in {l~g na ~?1 hauler o., a y secm,~y docu e relk ed to abov~t between any 9o rowe{ or Oil ¢ Ob Jgo ~ ~18, ce. custodia . trusl<e or sin ar ~1 p ~ [ore.dings by. or against any BO owcr or Otb~ Oblilallh by Bank I, ~ so e discretion; (~) inslit.fion o' ~,ent most Bank ........... t ....... ~ h~hallo, ..........,eeoc $~si~l~o a~a ¢eg¢ 9rc'ghthereunder° ~ de anzothCrag ..... t ...... abyB ........ I},crepf, nrth ............ yotherpower,, v egeorri ht Noco~uc ~uston ~,c,seofapy?wer, pf,v ege?r Ightshal~pecudeoheror th ...... ise B ....... and Bank ac~lowled e :~d & 7ce ,8fr°~er a"~ Ban~ hereby eX?CS$ly waive any rlgl ....... iai by ~t,g in an ~ueh s5:,th r~sP~ct th ....... ~all Address:200 South Spring Garden Street Suite 14 Carllgle~ Pennaylvanla 17013 Telephone Number: ( ) _ EXHIBIT D allfirst GUARANTY AGREEMENT (Continuing) ge fnrmance and inge~n fca o g y kind of Borrower to Jla k As used O[a anty he erin "Ob ga oas shall refer to the obli a onsgf '~ankruptc.' Code..as an ended ontlegou d a ec°nsideraticn'paidbyBanktbrthe~alorg e · ~derSectmnS?orSect,on54~ b oftheU qdSae .... t,tt o olbankrt,ptcy ..... y ....... & ......... ~e~;'i°r t° the date pr Guarany. asdete,mmed gcodra byBank .... discre~ .... Bo o .e orOtle Ob go ( ¢~ ~o~a~ G' ;ste~orsm~larott-ckfiun~crany~ed?alo ae novencyorcred o ' g av~o an Yro e oraralcoug, (0 g 5 aa o,BoirowcrorO e Obh ortot YP p~ nyGuaanor epec when, aden ed ~ theoceu e ceofa, ev~°r~nheha[Iofan Guarantpr. Bo nye o OtlerOb go p?vng oiavebeeninco ec ~ ngmatera tulle; 0 tI the de eml .... i. ~P~od falfll0£III) Guaral!tor, B ......... Other Ob got to fu~ish t her legal elltllyi (o) tile ~e~th of any Gun a ltor Bo~o~e at ..... Secto 20 RemediesCu .~dallapproplml~pJeadmg oevidenceandef/~uy .,asamended, byoragamslBo ower, Guaca. o e~ ~ ~lobegm ~ectmr 2 blscha e~fO.a,frc'seti~es?ne° aY°he r'g aa)~imeadrro timeandany~hflt'reofBaktoexec eany, th~euncfe , term'~3~o~~L,~ntor Fhls Ouaran7 ina, b ....... ted only [~ v ~ ~ ~ranty. of all existing and future ob [ ....... f Bo o err coil ....... ~n,fi~al explained to ,1 ......... tent and i* ti .............. ,hal ,he par~ prox 'ding 111, Other Co)late al has a~eed to m~g;h r ¢~%a~dr ~t [ ¢l~;'e; ..... d fled, waived or wayconaecledwkl aayor~?ehtaa yway~-eae directlyor .dhertl ~u apraatororBankoraay ccessororassignofGua, a~,.g eelhatanys~t B~K HE~ , I llll~ Gua~ an~r, or the dealings of fl~e parties wilh 'e y' lln~ Guaramy or ~ny evenl, Iraaaaetio~ or oceurr .or Bank on o5 w~th '~, ACIION, OR PROCEEDING. Guaramor unde s gned g g q~ a e a~l off ~ e persons who are intended to have a~gned and that no other s~gnera are relied upon by the GUARANTOR (^ugo~i~~ _(SEAL) · ~LN~ ,- , ---_ me and Title) ALLFIRST BANK Special Credits Department Mail Stop 001-14-02 213 Market Street Harrisburg, Pennsylvania 17101 Plaintiff, Vo TEAMING ASSOCIATES, INC. 200 South Spring Garden St., Suite 14 Carlisle, Pennsylvania 17013-2578 and TELECOM AUDITING SERVICES, INC. 200 South Spring Garden St., Suite 14 Carlisle, Pennsylvania 17013 Defendants. Court of Common Pleas of Cumberland County Civil Action Law Term 2002 No. DEAR CLERK: NON-MILITARY SERVICE AFFIDAVIT I, Kenneth L. Milliken, declare under the penalties of perjury, that the following statements are true, accurate and correct to the best of my knowledge, information and belief: 1. I am an Assistant Vice President for the Plaintiff, Allfirst Bank. 2. Teaming Associates, Inc. and Telecom Auditing Services, Inc., Defendants in the above-captioned action: (a) are not in the military service of the United States of America; (b) are not in the military service of any nation allied with the United States of America; (c) have not been ordered to report for induction under the Selective Traininq and Service Action of 194(), as amended; and (d) are not members of the enlisted reserve corps who have been ordered to report for military service. I base this assertion upon the fact that Teaming Associates, Inc. and Telecom Auditing Services, Inc. are not natural persons. 3. The last known address of the Defendant, Teaming Associates, Inc., is: Teaming Associates, Inc. 200 South Spring Garden St., Suite 14 Carlisle, Pennsylvania 17013-2578 4. The last known address of the Defendant, Telecom Auditing Services, Inc., is: Telecom Auditing Services, Inc. 200 South Spring Garden St., Suite 14 Carlisle, Pennsylvania 17013 Date: November 12, 2002 KENNETH L. MILLIKEN ACKNOWLEDGEMENT COMMONWEALTH OF PENNSYLVANIA, CITY/COUNTY OF~~ , TO WIT: I HEREBY CERTIFY that, on this 12th day of November, 2002, before me, the undersigned Notary Public of the jurisdiction aforesaid, personally appeared KENNETH L. MILLIKEN, known to me (or satisfactorily proven) to be the person whose name is subscribed to the within instrument and declared and acknowledged under oath, subject to the penalties of perjury, that the matters set forth herein are true, accurate and complete to the best of his knowledge, information and belief. IN WITNESS, my hand and n~a~ My commission expires: h~O~ARY PU~B]L-i~ ~ U: \MDN\20 \20754Af fNonPal, wpd Notarial Seal Edie I. Lingle, Notary Public Lebanon, Lebanon County My Commission Expires Oct, 11, 2004 Member, Pennsytvanta Association ol Notaries ALLFISST BANK credits Department special 00~_14-0~ Mail Stop 213 Market street . 1710~ ~arrisburg' pennsylvania plaintiff, TEAMING AssocIATES, INC. in Garden St., suite 200 south Spt g. :a 17013-2578 carlisle, pennsy£vanz 14 Court of County of cumberland civil Action Law Term 2002 No. ~ Coramon pleas and TELECOM AUDITING sERvICES, 200 south Spring Garden St., Carlisle, pennsylvania 17013 DefendantS. INC. suite 14 ~FID~VIT OF BUS!~Ss T~SA~TION COMMONWEALTH OF PENNSYLVANIA, CITY/COUNTY OF~~ , TOIT: I, Kenneth L. Milliken, being duly sworn according toaw, depose and say that: 1. I am an Assistant Vice President for Allfirst Bank,~ich is the Plaintiff in this action, and am authorized to maMhis Affidavit on its behalf. 2. The transactions upon which the judgments areing entered are business transactions- ETH L. MILLIKEN 2002. sworn to and subscribed before~.ime t~~ NOTA-------~Y'~B~C My commission expires: November, i Notarial Seal [ Edie I. Lingle, Notary Pubtic ] Lebanon, Lebanon County ! My Commission Expires Oct. 1~, 20~4 ~ ~ember, pelmsyt~anta ~ ~ Nul~'lu.~ 2 U: \MDN\20\20754AffBusPal'wpd ALLFIRST BANK Special Credits Department Mail Stop 001-14-02 213 Market Street Harrisburg, Pennsylvania 17101 Plaintiff, TEAMING ASSOCIATES, INC. 200 South Spring Garden St., Suite Carlisle, Pennsylvania 17013-2578 and TELECOM AUDITING SERVICES, INC. 200 South Spring Garden St., Carlisle, Pennsylvania 17013 Defendants- 14 Suite 14 Court of Common Pleas of cumberland County civil Action Law Term 2002 No. ~ - C~ERTIFICATE OF RESIDENC~ I, Kenneth L. Milliken, certify that the Plaintiff, Allfirst Bank, is located at 213 Market Street, Harrisburg, Pennsylvania 17101, and that the last known addresses of the DefendantS are as follows: Teaming Associates, Inc. 200 South Spring Garden St., Suite 14 Carlisle, Pennsylvania 17013-2578 Telecom Auditing Services, Inc. 200 South Spring Garden St., Suite 14 Carlisle, Pennsylvania 17013 I understand that false statements made in this Certificate are subject to the penalties of 18 Pa. Cons. Stat. Ann § 4904 relating to unsworn falsification to authorities. Date: November 12, 2002 KENNETH L. MILLIKEN Allfirst Bank Special Credits Department Mail Stop 001-14-02 213 Market Street Harrisburg, Pennsylvania 17101 2 U: \MDN\20\20754CerResPal.wpd ALLFIRST BANK Special Credits Department Mail Stop 001-14-02 213 Market Street Harrisburg, Pennsylvania 17101 Plaintiff, Vo TEAMING ASSOCIATES, INC. 200 South Spring Garden St., Suite 14 Carlisle, Pennsylvania 17013-2578 and TELECOM AUDITING SERVICES, INC. 200 South Spring Garden St., Suite Carlisle, Pennsylvania 17013 14 Court of Common Pleas of Cumberland County Civil Action Law Term 2002 No. Defendants. PRAEcIPE FOR WRIT OF ~ARNISHMENT UPON A CONFESSED JUD6~E~T TO THE PROTHONOTARY: Please issue writ of garnishment in 1. Directed to the Sheriff Pennsylvania; the above matter: of Cumberland County, 2. Against the account(s) of the Associates, Inc. (the "Defendant"): 3. Upon the following garnishee, "Garnishee"}: Defendant, Teaming Commerce Bank (the Commerce Bank 100 Senate Avenue Camp Hill, Pennsylvania 17011 4. Amount owed by the Defendant under Note 1 (as is defined in the Complaint for Confession of Judgment filed in the instant case): that term for Money DEFENDANT, TEAMING ASSOCIATES, Principal: Interest (as of 11/12/02}: (per diem = $140.68) Attorney's fees: (15% of $703,300.38) TOTAL DUE UNDER NOTE 1: INC.: $698,563.35 $4,737.03 ~105,495.06 f808,795.44 5. The Writ of Garnishment should attach any and all monies, credits, deposits, accounts, payable from the Garnishee to the Defendant has an interest, and any assets of the Defendant in the hands of or in the possession of the Garnishee. Additionally, the Writ of Garnishment should direct the Garnishee to turnover any Defendant in the Garnishee's property of the Defendant Garnishee's possession to the Plaintiff, funds, certificates or other assets Defendant and/or in which and all property and other such garnishable property of the possession and all such garnishable that may thereafter come into the Allfirst Bank. I CERTIFY THAT: CERTIFICATION This Praecipe is based upon confession; and a judgment entered by U: \MDN\20 \20754PraWriGarPa5 .Wpd 2 b. Notice will be served with the Writ of Execution pursuant to Rule 2958.3. Dated: November 14, 2002 Michael D. Nord Pennsylvania Bar No. 52486 Gebhardt & Smith LLP The World Trade Center 401 E. Pratt Street, 9th Floor Baltimore, Maryland 21202 410-385-5072 Counsel for Plaintiff, Allfirst Bank U: \MDN\20\20754PraWriGarPa5.wpd 3 ALLFIRST BANK Special Credits Department Mail Stop 001-14-02 213 Market Street Harrisburg, Pennsylvania 17101 Plaintiff, Vo TEAMING ASSOCIATES, INC. 200 South Spring Garden St., Suite Carlisle, Pennsylvania 17013-2578 and TELECOM AUDITING SERVICES, INC. 200 South Spring Garden St., Suite Carlisle, Pennsylvania 17013 DefendantS- 14 14 Court of Common Pleas of Cumberland County civil Action Law Term 2002 No. -- NOTICE UNDER RULE 2958.3 OF jUD~_~m~AND ~'~CUTION THEREON To: Teaming Associates, Inc. Defendant A judgment in the amount of $804,759.24 has been entered against you and in favor of the Plaintiff, Allfirst Bank (the "Plaintiff"), without any prior notice or hearing based on a confession of judgment contained in written agreements or other papers allegedly signed by you. The Court has issued a Writ of Garnishment which directs the Sheriff to take your money or other property owned by you to pay the judgment. If your money or property has been taken, you have the right to get the money or property back if you did not voluntarily, intelligently and knowingly give up your constitutional right to notice and hearing prior to the entry of judgment or if you have defenses or other valid objections to the judgment. You have the right to a prompt court hearing if you claim that you did not voluntarily, intelligently and knowingly give up your rights to notice and hearing prior to the entry of the judgment. If you wish to exercise this right, you must immediately fill out and sign the Petition to Strike the judgment which accompanies the Writ of Execution and deliver it to the Sheriff of Cumberland County. IT IS iMPORTANT THAT YOU ACT PROMPTLY- IT WILL BE TOO LATE TO REGAIN YOUR PROPERTY IF YOU WAIT UNTIL AFTER THE PROPERTY HAS BEEN SOLD BY THE SHERIFF OR TURNED OVER TO THE PLAINTIFF. YOU MUST FILE A PETITION SEEKING RELIEF FROM THE JUDGMENT AND PRESENT IT TO THE JUDGE WITHIN THIRTY (30) DAYS AFTER THE DATE ON WHICH THIS NOTICE IS SERVED ON YOU OR YOU MAY LOSE YOUR RIGHTS. YOU SHOULD TAKE THIS PAPER TO YOUR LAWYER AT ONCE. IF YOU DO NOT HAVE A LAWYER OR CANNOT AFFORD ONE, GO TO OR TELEPHONE THE OFFICE SET FORTH BELOW TO FIND OUT WHERE YOU CAN GET LEGAL HELP: Cumberland County Bar Association Lawyer Referral Service 2 Liberty Avenue Carlisle, Pennsylvania 17013 Tel: 717-249-3166 800-990-9108 Dated: November 13, 2002 Michael D. Nord Pennsylvania Bar No. 52486 Gebhardt & Smith LLP The World Trade Center 401 E. Pratt Street, 9th Floor Baltimore, Maryland 21202 410-385-5072 Counsel for Plaintiff, Allfirst Bank 2 U: \MDN\20\20754NotJudPal'wpd ALLFIRST BANK Special Credits Department Mail Stop 001-14-02 213 Market Street Harrisburg, Pennsylvania 17101 Plaintiff, Vo TEAMING ASSOCIATES, INC. 200 South Spring Garden St., Suite 14 Carlisle, Pennsylvania 17013-2578 and TELECOM AUDITING SERVICES, INC. 200 South Spring Garden St., Suite Carlisle, Pennsylvania 17013 14 Defendants. Court of Common Pleas of Cumberland County Civil Action Law Term 2002 No. PRAECIPE FOR WRIT OF GARNiS~nW~NT UPON A CONFESSED JUDGMENT garnishment in the above matter: the Sheriff of Cumberland County, TO THE PROTHONOTARY: Please issue a writ of 1. Directed to Pennsylvania; 2. Against the account(s) of the Defendant, Telecom Auditing Services, Inc. (the "Defendant"): 3. Upon the following garnishee, Commerce Bank (the "Garnishee"): Commerce Bank 100 Senate Avenue Camp Hill, Pennsylvania 17011 4. The amount owed by the Defendant to the Plaintiff under the Telecom Guaranty (as that term is defined in the Complaint for Confession of Judgment for Money filed in the instant case) is: DEFENDA/~T, TELECOM AUDITING SERVICES, INC.: Principal: $809,520.61 Interest (as of 11/12/02): $6,105.49 (per diem = $142.89) Attorney's fees: 12~-!~-~43'92 (15% of $815,626.10) TOTAL DUE UNDER $937,970.02 TELECOM GUARANTY: 5. The Writ of Garnishment should attach any and all funds, monies, credits, deposits, accounts, certificates or other assets payable from the Garnishee to the Defendant and/or in which Defendant has an interest, and any and all property and other assets of the Defendant in the hands of or in the possession of the Garnishee. Additionally, the Writ of Garnishment should direct the Garnishee to turnover any such garnishable property of the Defendant in the Garnishee's possession and all such garnishable property of the Defendant that may thereafter come into the Garnishee's possession to the Plaintiff, Allfirst Bank. CERTIFICATION CERTIFY THAT: a. This Praecipe is based upon a confession; and judgment entered by U: \MDN\20\20754 PraWriGarPa4 .wpd 2 bo Notice will be served with the Writ of Execution pursuant to Rule 2958.3. Dated: November 14, 2002 Nord Pennsylvania Bar No. 52486 Gebhardt & Smith LLP The World Trade Center 401 E. Pratt Street, 9th Floor Baltimore, Maryland 21202 410-385-5072 Counsel for Plaintiff, Allfirst Bank 3 U: \MDN\20\20754PraWriGarPa4-wpd ALLFIRST BANK Special Credits Department Mail Stop 001-14-02 213 Market Street Harrisburg, Pennsylvania 17101 Plaintiff, TEAMING ASSOCIATES, INC. 200 South Spring Garden St., Suite 14 Carlisle, Pennsylvania 17013-2578 and TELECOM AUDITING SERVICES, INC. 200 South Spring Garden St., Suite Carlisle, Pennsylvania 17013 14 Defendants. Court of Common Pleas of Cumberland County Civil Action Law Term 2002 No. NOTICE UNDER RULE 2958.3 OF JUD~.~T AND EXECUTION THEP~ON To: Telecom Auditing Services, Inc. Defendant A judgment in the amount of $804,759.24 has been entered against you and in favor of the Plaintiff, Allfirst Bank (the "Plaintiff"), without any prior notice or hearing based on a confession of judgment contained in written agreements or other papers allegedly signed by you. The Court has issued a Writ of Garnishment which directs the Sheriff to take your money or other property owned by you to pay the judgment. If your money or property has been taken, you have the right to get the money or property back if you did not voluntarily, intelligently and knowingly give up your constitutional right to notice and hearing prior to the entry of judgment or if you have defenses or other valid objections to the judgment. You have the right to a prompt court hearing if you claim that you did not voluntarily, intelligently and knowingly give up your rights to notice and hearing prior to the entry of the judgment. If you wish to exercise this right, you must immediately fill out and sign the Petition to Strike the Judgment which accompanies the Writ of Execution and deliver it to the Sheriff of Cumberland County. IT IS IMPORTANT THAT YOU ACT PROMPTLY. IT WILL BE TOO LATE TO REGAIN YOUR PROPERTY IF YOU WAIT UNTIL AFTER THE PROPERTY HAS BEEN SOLD BY THE SHERIFF OR TURNED OVER TO THE PLAINTIFF. YOU MUST FILE A PETITION SEEKING RELIEF FROM THE JUDGMENT AND PRESENT IT TO THE JUDGE WITHIN THIRTY (30) DAYS AFTER THE DATE ON WHICH THIS NOTICE IS SERVED ON YOU OR YOU MAY LOSE YOUR RIGHTS. YOU SHOULD TAKE THIS PAPER TO YOUR LAWYER AT ONCE. IF YOU DO NOT HAVE A LAWYER OR CANNOT AFFORD ONE, GO TO OR TELEPHONE THE OFFICE SET FORTH BELOW TO FIND OUT WHERE YOU CAN GET LEGAL HELP: Cumberland County Bar Association Lawyer Referral Service 2 Liberty Avenue Carlisle, Pennsylvania 17013 Tel: 717-249-3166 800-990-9108 Dated: November 13, 2002 Pennsylvania Bar No. 52486 Gebhardt & Smith LLP The World Trade Center 401 E. Pratt Street, 9th Floor Baltimore, Maryland 21202 410-385-5072 Counsel for Plaintiff, Allfirst Bank 2 U: \MDN\20\20754NotJudPa4.wpd SHERIFF'S RETURN - GARNISHEE CASE NO: 2002-05537 P COMMONWEALTH OF PENNSLYVANIA COUNTY OF CUMBERLAND ALLFIRST BANK VS TEAMING ASSOCIATES INC ET AL And now ROBERT BITNER , Sheriff or Deputy Sheriff of Cumberland County, Pennsylvania, who being duly sworn according to law, at 0012:00 Hours, on the ~2nd day of November , 2002, attached as herein commanded all goods, chattels, rights, debts, credits, and moneys of the within named DEFENDANT , , in the TEAMING ASSOCIATES INC hands, possession, or control of the within named Garnishee COMMERCE BANK 100 SENATE AVE CAMP HILL, PA 17011 Cumberland County, Pennsylvania, by handing to BRENT HETRICK (LOAN OFFICER) personally 3 true and attested copies of the within WRIT OF EXECUTION and made the contents thereof known to His · Sheriff s Costs: Docketmng Service Affidavit Surcharge .00 .00 .00 .00 .00 .00 00/00/0000 By ~ / DepUty Sheri R. Thomas Kline Sheriff of Cumberland County Sworn and subscribed to before me this I[~ day of ~ ~o P~- A.D. Prot~n~notary SHERIFF'S RETURN - GARNISHEE CASE NO: 2002-05537 p COMMONWEALTH OF PENNSLYVANIA COUNTY OF CUMBERLAND ALLFIRST BANK VS TEAMING ASSOCIATES INC ET AL And now ROBERT BITNER , Sheriff or Deputy Sheriff of Cumberland County, Pennsylvania, who being duly sworn according to law, at 0012:00 Hours, on the 22nd day of N_ovember , 2002, attached as herein commanded all goods, chattels, rights, debts, credits, and moneys of the within named DEFENDANT TELECOM AUDITING SERVICES INC , in the hands, possession, or control of the within named Garnishee COMMERCE BANK 100 SENATE AVE CAMP HILL, PA 17011 Cumberland County, Pennsylvania, by handing to BRENT HETRICK personally 3 WRIT OF EXECUTION true and attested copies of the within and made the contents thereof known to His . Sheriff,s Costs: Docketing .00 Service .00 Affidavit .00 Surcharge .00 .00 .00 Sworn and subscribed to before me this /~ day of ~ A.D. Prot~o~/otary So answers: R. Thomas Kline Sheriff of Cumberland County 00/00/0000 ~P Y Sheriff R. Thomas Kline, Sheriff, who being duly sworn according to law, states this Writ is returned ABANDONED, no action taken in six months. Sheriff's Costs: Docketing 18.00 Poundage 2.38 Advertising Law Library .50 Prothonotary 1.00 Mileage 10.35 Misc. Surcharge 40.00 Levy 40.00 Post Pone Sale Garnishee 9.00 TOTAL 121.23 Sworn and Subscribed to before me this /I,~ day~f~ 2003 A.D. (~to 3. ~-~, ~ prothonotary Advance Costs: 150.00 Sheriff's Costs: 121.23 28,77 Refunded to Atty on 9/09/03 By R. Thomas Kline, Sheriff R. Thomas Kline, Sheriff, who being duly sworn according to law, states this Writ is returned ABANDONED, no action taken in six months. Sheriff' s Costs: Docketing 18.00 Poundage 2.38 Advertising Law Library .50 Prothonotary 1.00 Mileage 10.35 Misc. Surcharge 40.00 Levy 40.00 Post Pone Sale Garnishee 9.00 TOTAL 121.23 Advance Costs: 150.00 Sheriff's Costs: 121.23 28.77 Refunded to Atty on 9/09/03 Sworn and Subscribed to before me this ?(, ~day of 2003 A.D. prothonotary R. Thomas Kline, Sheriff By ~/~_ JC~,o_~' ~.~-'4.