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HomeMy WebLinkAbout02-5710MID PENN BANK Vs. Plaintiff MRS. STAMM'S BAR B Q, INC. Defendant : IN THE COURT OF COMMON PLEAS : CUMBERLAND COUNTY, PENNSYLVANIA _. : NO. .. : CIVIL ACTION - LAW CONFESSION OF JUDGMENT ! AND NOW, this,~ day of P~.]_~t/e4t~, 2002, Christian S. Daghir, Attorney for Plaintiff, pursuant to the warrant of attorney in the Promissory Note, the original or a copy of which is attached to the Complaint in Confession of Judgment, does hereby appear for and confess judgment in favor of the Plaintiff and against Defendant, Mrs. Stamm's Bar B Q, Inc., as a result of the default as alleged in the Complaint as follows: Balance of principal as of November 27, 2002 Interest on unpaid balance at 9.25% from October 5, 2000 to November 27, 2002 $269,160.20 54,151.65 Late fees and charges Attorney collection fee TOTAL 2,856.00 32,616.79 , ~'~ $3_58,784.68 ~q~n S. ba"~hi ,~F_jsquire Supreme Court I.~_~t47741 105 North Front Street Harrisburg, PA 17101 (717) 234-5600 Judgment in the amount of $358,784.68 entered as above~ ~ ~ ,2002. Prothonotary MlD PENN BANK Vs. Plaintiff MRS. STAMM'S BAR B Q, INC. Defendant : IN THE COURT OF COMMON PLEAS : CUMBERLAND COUNTY, PENNSYLVANIA : : NO. : : CIVIL ACTION - LAW COMPLAINT IN CONFESSION OF JUDGMENT 1. The Plaintiff, Mid Penn Bank, is a financial institution organized and existing under the laws of the Commonwealth of Pennsylvania with offices located at 349 Union Street, Millersburg, Dauphin County, Pennsylvania. 2. Defendants, Mrs. Stamm's Bar B Q, Inc., is a Pennsylvania Corporation with offices located at 53 Heiser's Lane, Carlisle, Cumberland County, Pennsylvania, 17113. 3. On or about July 5, 1996, Plaintiffagreed to loan to Mrs. Stamm's Bar B Q, Inc., in the principal amount of $250,000.00, (hereinafter referred to as the "Loan Agreement"), as evidenced by that certain Note dated July 30, 1996(the "Note"). A true and correct copy of the Loan Agreement is attached hereto as Exhibit "A" and is incorporated herein by reference and a true and correct copy of the note is attached hereto as Exhibit "B" and is incorporated herein by reference. 4. The Note contains a confession ofjudgment provision that allows plaintiff to enter judgment against Mrs. Stamm's Bar B Q, Inc. after default on the Note without advance notice or an opportunity to defend against the entry of judgment. 5. On or about July 30, 1996, as security for the Note, Defendants executed and delivered to Plaintiff a mortgage in an amount equal to the Note and all sums due thereunder upon certain real property located at 53 Heiser's Lane, Carlisle, Cumberland County, Pennsylvania, for the purpose of securing the payment of the Note and the performance and observance of the terms, conditions and covenants of the Note (hereinafter referred to as the "Mortgage" ). A true and correct copy of the Mortgage is attached hereto as Exhibit "C" and is incorporated herein by reference. 6. Defendants are in default of the Note as a result of, inter alia., Mrs. Stamm's Bar B Q. Inc., failure to make payments on the Note when due. 7. The last payment on the Note was made on or about November 13, 2000 in the amount of $2,400.00. 8. All notice requirements have been fulfilled and the Note and the Mortgage have been accelerated. 9. Defendant is liable to Plaintiff for the sum of $358,784.68 as follows: Principal: $269,160.20 Interest: $ 54,151.65 Costs and Fees: $ 35,050.91 10. Judgment is not being entered by confession against a natural person in connection with a consumer credit transaction. 11. The Note and the Mortgage have not been assigned, and Plaintiffis the holder of the Note and Mortgage. 12. Judgment has not been entered against Defendant in any jurisdiction for their failure to make the required payments on the Note and the Mortgage. WHEREFORE, Plaintiff demands judgment against Defendants in the sum of $358,784.68 with applicable judgment interest. 105 North Front Street Harrisburg, PA 17101 (717) 234-5600 LOAN AGREEMENT MID PENN BANK, a corporation organized and existing under, and by virtue of, the laws of the Commonwealth of Pennsylvania, having its principal place of business in Millersburg Borough, Dauphin County, Pennsylvania (hereinafter called "Bank"). A N D Mrs. Stamm's Barbq, Inc. of 53 Heiser's Lane, Carlisle, Pa. 17013 (hereinafter called "Borrower") agree as follows: The Loan: Bank makes available to Borrower a credit availability (The Loan), which will be used for the purpose of paying off the existing mortgage with Farmers Trust Company. The terms and conditions of the loan are as follows: A. Amount: $250,000.00 B. Rate: 9 1/4% C. Term: 20 years D. Repayment Schedule: $2,290.00 E. Security: First lien mortgage on property located at 51-53 Heiser's Lane, Carlisle, Pa. 17013 and UCC's filed on inventory, cash, equipment, accounts receivable, furniture and fixtures and assignment of rent. F. Commitment Fee: $2,500.00 Exhibit "A" 2 o o Representations: Borrower represents and warrants to Bank that the following paragraphs are true and correct: no Power: Borrower is a corporation, duly organized, validly existing, and in good standing under the laws of the State of Pennsylvania and has full corporate power to execute this Agreement, borrow money in accordance with the terms hereof, and to do any and all things required herein. B o Authority: The execution of this Agreement and the documents provided for herein have been duly authorized by appropriate corporate action; and no provision of Borrower's Articles of Incorporation, Regulations, By-laws, or of any agreement or undertaking to which Borrower is a party conflicts with or prevents the Borrower from executing and carrying out the terms of this Agreement and the loan's implementing documents. Co Financial Conditions: The financial statements, delivered to the Bank, are true and show on a consolidated and consolidating basis the financial condition of Borrower and any subsidiaries. Nothing has occurred or will occur before funding which will materially affect in any adverse manner the condition of the Borrower or any subsidiary as disclosed in the financial statements. Borrower has no known actual or contingent liabilities, except such as are reflected in the financial statements or in other documents that have been delivered to the Bank. Liens: There are no liens or encumbrances of any kind on any of the assets of the Borrower or any subsidiary other than those disclosed in the financial statements. E · Taxes: Borrower has filed all required federal, state and local tax returns and has paid all taxes and assessments as shown on such returns as they have become due. No claims have been asserted or are unpaid with respect to such taxes except as disclosed in the financial statements. Borrower's Affirmative Duties: While the Loan is unpaid: no Annual Financial Statements: Borrower will furnish to the Bank, not later than ninety (90) days after the expiration of each fiscal year or within such further time as the Bank may permit, detailed reports of audits of the Borrower covering such fiscal year. Financial Statement Form: The Annual income statements, balance sheets, and subsidiary information will be prepared in accordance with generally accepted accounting principles. Co Insurance: Borrower will maintain property insurance (with Bank named as loss payee) with responsible companies in such amounts and against such risks as is customarily carried by prudent owners of similar businesses and property. Borrower will promptly furnish the Bank a schedule of all such insurance. Updates will be furnished annually thereafter. Bank will be furnished copies of insurance policies as requested. Do Taxes: Borrower will promptly pay and discharge when due all taxes, assessments, and governmental charges or every kind and nature lawfully levied, assessed, or imposed upon Borrower or its properties except to the extent contested in good faith, and in this connection will establish and maintain a reserve for federal income taxes in accordance with generally accepted accounting practices. E. Maintenance of Fixed Assets: Borrower shall maintain all property in a good state of repair. Fe Bank Visits: Persons chosen by the Bank shall be permitted to inspect the records of borrower as well as his property to verify any information which it may consider necessary for its protection. Go Continqent Liabilities: Bank will be informed of any litigation, changes in contractual obligations, or other changes in the status quo of the borrower which could materially affect the business. Ho Bank Services: The Borrower's principal checking accounts shall be kept with the Bank and this covenant may also specify other aspects of the relationship between the Borrower and the Bank. Attorney's Fees: Ail attorney's fees and other direct bank expenses incurred in connection with the origination of the loan shall be paid by the Borrower. Jo Information: Borrower will furnish to the Bank, with reasonable promptness, such data and information concerning the business of the Borrower as may be requested by the Bank from time to time. Assets: Guarantors will not sell, lease, transfer, or otherwise dispose of all or substantially all of its assets. Borrower will not assign or sell any notes, accounts receivable, contract rights, chattel paper, general intangibles, or proceeds thereof due or to become due, either as security or otherwise, other than (1) to secure the indebtedness of the Borrower hereunder, and (2) to secure other indebtedness to the Bank. Leases: Borrower will furnish to Bank copies of leases in effect at the inception of the loan along with copies of subsequent renewals and/or newly negotiated leases. Events of Default: Borrower will be in default under this Agreement and all the documents given in connection herewith upon the happening of any of the following events: Payment: If Borrower fails to pay (1) all or any part of the principal or interest of any note or any renewal note issued under this agreement or (2) any other amount Borrower owes Bank when the same is due and such failure continues for a period of thirty (30) days. Duties: If Borrower fails to perform any of the duties to be performed by Borrower in this Agreement or any document given in connection herewith, and such failure continues for thirty (30) days after written notice thereof has been given to Borrower by the Bank. Bankruptcy: If Borrower of any subsidiary becomes insolvent or suspends business or files a voluntary petition of bankruptcy or files a voluntary petition or an answer admitting the jurisdiction of the court and the material allegations of, or consents to any involuntary petition pursuant to or purporting to be pursuant to any bankruptcy, reorganization or insolvency law of any jurisdiction, or its adjudicated bankrupt or insolvent, or makes an assignment for the benefit of creditors, or applies for or consents to the appointment of any receiver or trustee or consents to the appointment of any receiver or trustee of, or of a substantial part of, the property of the Borrower. Reorqanization: If an order shall be entered (without the application, approval or consent of Borrower or any subsidiary) and shall not be dismissed or stayed within thirty (30) days from its entry, pursuant to or purporting to be pursuant to any bankruptcy, reorganization or insolvency law of any jurisdiction (1) approving an involuntary petition seeking reorganization of Borrower or any subsidiary; or (2) approving an involuntary petition seeking an arrangement with creditors of Borrower or any subsidiary; or (3) appointing any receiver or trustee for, or any receiver or trustee of, a substantial part of, the property of the Borrower or any subsidiary. E · Misrepresentation: If any representation or warranty made by the Borrower or any officer thereof in the Agreement or in any written statement, certificate or document now or later furnished by or for Borrower in connection herewith, proves to be materially untrue as of the date with respect to which it was made. Remedies: While Borrower is in default and at any time thereafter during the continuance of such default, the Bank may, at the same or different times, take one or more of the following actions: A. Terminate its commitment to make loans hereunder. $ · The Bank may, by giving written notice to the Borrower then or at any time thereafter, in its absolute discretion, declare the amount then remaining unpaid on any notes or any renewal notes issued under this Agreement to be forthwith due and payable, anything herein contained or in any note or any renewal note to the contrary notwithstanding. 6. Miscellaneous: While the note is unpaid: Prepayment Penalty: Should the loan be prepaid the following prepayment penalty shall apply: SEE SCHEDULE A Modifications and Consents: No modification or waiver or any provision of this Agreement or the Note nor consent to any departure by the Borrower therefrom shall be effective unless the same shall be in writing and signed by Bank, and then such waiver or consent shall be effective only in the specific instance for the purpose for which given. Co Documents: Borrower will execute and cause others to execute and deliver to the Bank the documents necessary to consummate the transactions contemplated hereby, (in a form satisfactory to Bank). Bank will have no duty to make any loans until it has received all requested documents and any other items it deems necessary for its files. Do Notice: The service upon the Borrower of any notice provided for in this Agreement may be made by mailing by registered mail a copy of such notice to the last known address of the Borrower as shown by the records of the Bank. E · Bindinq Effect: This Agreement and the documents executed in connection herewith will be construed in accordance with and governed by the laws of the State of Pennsylvania. It may be executed in any number of counterparts which together shall constitute but one and the same instrument and will bind and benefit the Borrower and the Bank and their respective successors and transferees. IN WITNESS WHEREOF, the parties hereunto have caused this Agreement to be executed this day of , 1996, intending to legally bind themselves, their successors and assigns. MID PENN BANK Mrs. Stamm's Barbq, Inc. N. Lee Stamm, Owner NOTE ~ ($250,000.00) 70 ,1996 FOR VALUE RECEIVED, the Undersigned, MRS. STAMM'S BAR B Q, INC., promises to pay to the order of MID PENN BANK ("Lender"), the principal sum of Two Hundred Fifty Thousand and 00/100ths Dollars ($250,000.00) on or before July 30, 2016 ("Maturity Date"), together with interest thereon at the fixed rate of 9.25% per annum, adjustable, based on a year of 360 days ("Fixed Rate"). Interest shall accrue on the unpaid principal at the Fixed Rate. Undersigned shall pay equal monthly installments of principal and interest (in an amount based on an amortization schedule of 240 months at the Fixed Rate) in the initial amount of $2,290.00 per month, commencing on August 30, 1996, and continuing on the 30th day of each month thereafter, with all outstanding principal, accrued and unpaid interest and all other sums due under the Loan Documents (collectively, the "Indebtedness"), due and payable in full on the Maturity Date. i. Definitions. The term "Loan Documents", as referred to herein, shall mean, collectively, the following: (a) That certain Commitment Letter, dated June 20, 1996; (b) That certain Loan Agreement, dated July 5, 1996, by and between Lender and the Undersigned; (c) This Note; and (d) That certain Mortgage and Security Agreement with Assignment of Leases and Rents, dated of even date, executed and delivered by the Undersigned to Lender in the original principal amount of $250,000.00. All other terms used in this Note shall have the same meaning as used in the other Loan Documents unless otherwise required by the context herein. 2. Late Char,qes. If the Undersigned fails to make any payment of principal or interest due and owing hereunder within fifteen (15) days of the due date, an additional late charge of five percent (5%) per month of the amount of such payment or payments shall be immediately due and payable. 3. Default Rate. After maturity, whether by acceleration or otherwise, interest shall accrue at a rate of three percent (3%) per annum above the contractual rate ("Default Rate") until all sums due hereunder are paid in full. Interest shall continue to accrue after entry of judgment at the Default Rate to all sums due hereunder and/or until the judgment is paid. penalty. .Pre-Payment. This note may be pre-paid in full or in part, without 5. Time of the Essence. The prompt and faithful performance of all the obligations of the Undersigned hereunder, including but not limited to, time of payment, is of the essence of this Note. 6. Lender's Records. So long as Lender is the holder hereof, Lender's books and records shall be presumed, except in the case of manifest error, to accurately evidence at all times all amounts outstanding under this Note and the date and amount of each payment made hereto. 7. Events of Default. Any one of the following occurrences shall constitute an Event of Default pursuant to this Note (collectively referred to hereinafter as the "Events of Default"): Exhibit "B" (A) The failure to promptly pay when due, any installments of principal or Interest due hereunder; The failure to perform any other term, condition or covenant hereunder and such failure continues for thirty (30) days after written notice thereof has been given to Undersigned by Lender; or (C) Any Event of Default under any other Loan Documents. 8. Ri.qhts and Remedies of Lender Upon Default. Upon the occurrence of any Event of Default hereunder, all amounts due under this Note, including the unpaid balance of principal and interest hereof, shall become immediately due and payable at the option of Lender without any demand or notice whatsoever and Lender may Immediately thereafter exercise any one or more of the remedies available to Lender under any applicable law or in equity and institute such legal, equitable or other proceedings in the name of the Undersigned or Lender as Lender deems appropriate. In the event Lender, in exercising any rights and remedies upon the occurrence of any Event of Default, makes any disbursements or incurs any costs therefor, the amount of such costs shall be added to the principal amount of the Note, and collected as part of this Note. If an Event of Default shall occur, the delay or failure of Lender to promptly exercise its rights to declare this Note Immediately due and payable or to exercise any rights and remedies upon the occurrence of an Event of Default, shall not affect such rights and remedies, nor shall any single or partial exercise constitute a waiver of such rights and remedies with respect to such Event of Default or any future Event of Default. Any waiver or release of any one Event of Default by Lender shall not be construed as continuing as a bar to, or as a waiver or release of, any subsequent rights, remedies, or recourse as to subsequent or other Events of Default. Any rights or remedies of Lender may be asserted concurrently, cumulatively or successively, from time to time so long as the Undersigned is indebted under this Note. 9. Payments. Payments of principal and interest are to be made payable to Mid Penn Bank, 349 Union Street, Millersburg, Pennsylvania 1 7061, or at such place as Lender may designate in writing, in lawful money of the United States of America and in immediately available funds. 10. Governinq Law. This Note shall be governed by and construed in accordance with the laws of the Commonwealth of Pennsylvania. 11. Waiver. The Undersigned hereby waives diligence, demand, presentment, notice of nonpayment, protest and all other demands and notices in connection with the delivery, acceptance, performance, default or enforcement of this Note. 12. Attorney's Fees. In the event that this Note is placed in the hands of an attorney at law for collection after maturity or upon the occurrence of an Event of Default, or to enforce any of the rights, remedies or requirements of Lender under this Note, including any actions or proceedings in bankruptcy, the Undersigned agrees to pay all costs and expenses incurred by Lender, including, but not limited to, all attorneys' fees and costs, regardless of whether the maturity of this Note has been accelerated or any other action instituted. 13. Amendment. This Note may not be amended, modified or changed, nor shall any waiver of any of the provisions hereof be effective, except only by an instrument in writing, signed by the parties against whom enforcement, any waiver, amendment, change, madification or discharge is sought. 14. Headinqs. The sectional headings contained in this Note are for reference purposes only and shall not control or affect its construction or interpretation in any respect. 15. Severability. Any provisions of this Note which are held to be prohibited or unenforceable in any jurisdiction, shall be ineffective to the extent of such prohibition or unenforceability without invalidating the remaining provisions hereof or affecting the validity or enforceability of such provisions in any other jurisdiction. 16. Inter~)retation. The "Undersigned" and "Lender" include singular or plural, and individual and corporation, and their respective heirs, executors, administrators, successors and assigns of Undersigned and Lender, as the case may be. The use of any gender applies to all genders. If more than one party is named as Undersigned, the obligation hereunder of each such party is joint and several. 17. _CONFESSION OF JUDGMENT. THE UNDERSIGNED HEREBY IRREVOCABLY EMPOWERS ANY ATTORNEY OF ANY COURT OF RECORD WITHIN THE UNITED STATES OF AMERICA OR ELSEWHERE TO APPEAR FOR UNDERSIGNED AND, WITH OR WITHOUT COMPLAINT FILED, CONFESS JUDGMENT AGAINST UNDERSIGNED IN FAVOR OF ANY HOLDER HEREOF AS OF ANY TERM, FOR THE UNPAID BALANCE OF THE PRINCIPAL DEBT, ADDITIONAL LOANS AND ADVANCES AND ALL OTHER SUMS PAID BY HOLDER TO OR ON BEHALF OF UNDERSIGNED PURSUANT TO THE TERMS OF THIS NOTE, TOGETHER WITH UNPAID INTEREST THEREON, COSTS OF SUIT AND AN ATTORNEY'S COMMISSION OF TEN PERCENT (10%) OF ALL AMOUNTS DUE OR $1,500.00, WHICHEVER IS GREATER. THE UNDERSIGNED HEREBY FOREVER WAIVES AND RELEASES ALL ERRORS IN SAID PROCEEDINGS, WAIVES THE STAY OF EXECUTION, THE RIGHT OF INQUISITION AND EXTENSION OF TIME OF PAYMENT. NO SINGLE EXERCISE OF THE FOREGOING POWER TO CONFESS THE JUDGMENT OR A SERIES OF JUDGMENTS SHALL BE DEEMED TO EXHAUST THE POWER OF WHETHER OR NOT ANY SUCH EXERCISE SHALL BE HELD BY ANY COURT UNDIMINISHED, AND IT MAY BE EXERCISED FROM TIME TO TIME AS OFTEN AS THE HOLDER HEREOF SHALL ELECT UNTIL SUCH TIME AS THE HOLDER SHALL HAVE RECEIVED PAYMENT IN FULL OF THE PRINCIPAL DEBT, ADDITIONAL LOANS AND ADVANCI:S, SUMS PAID, INTEREST AND COSTS. IT IS HEREBY ACKNOWLEDGED THAT THE CONFESSION OFJUDGMENTPROViSiON HEREIN CONTAINED WHICH AFFECTS CERTAIN LEGAL RIGHTS OF UNDERSIGNED HAS BEEN READ, UNDERSTOOD AND VOLUNTARILY AGREED TO BY IT. 18. WAIVER OF JURY TRIAl., THE UNDERSIGNED HEREBY WAIVES ANYAND ALL RIGHTS TO A JURY TRIAL FOR ANY DAMAGES, LOSSES, CLAIMS, OR CAUSES OF ACTION OF WHATSOEVER NATURE OR KIND ARISING OUT OF OR RELATED TO, DIRECTLY OR INDIRECTLY, THE LOAN DOCUMENTS OR ANY TRANSACTIONS CONTEMPLATED IN CONNECTION THEREWITH. WITNESS, the due execution hereof on the day and year first above written. ATTEST: MRS. STAMM'S BAR B Q, INC. NAIVe: N. LEE STAMM TITLE: President ACKNOWLEDGEMENT COMMONWEAL~I OF PENNSYLVANIA SS: On this the ~-~'-) dav Ofa~ ~ ~.-d Public, the undersigned off-~r, per'on Ily~l~r~d ' 1996, before me a Notary N. LEE STAMM known to me or satisfactorily proven to be the person"~hose name Is subscribed to this Instrument and acknowledged that he/she executed the same for the purposes therein contained. This person's name is subscribed in a representative capacity for MRS. STAMM'S BAR B Q, INC., in the capacity indicated hereby acknowledges and certifies that he/she has full authority to enter Into the Note on behalf of MRS. STAMM'S BAR B Q, INC. IN WITNESS WHEREOF, I set my hand and official seals. NO1CAR~ PUBLI~ MORTGAGE AND SECURITY AGREEMENT WITH ASSIGNMENT OF LEASES AND RENT b Th. is .MORTGAGE ("Mortg,a, ge") made this ~/day of , 1998, y ana between MRS, STAMN! $ BAR B Q, INC, a pennsylva'nia_~oration, with its ~)rlncipal place of business bei,~,~ ~.-.~, .... %~ .. · , . , ,u ,,-,~.u~u uP od Helser s Lane, CarJJsJe, Pennsylvania 7013, (hereinafter referred to as "Mortgagor") and MID PENN BANK, a state chartered banking institution organized and existing under the laws of the Commonwealth of Pennsylvania, with its principal place of business located at 349 Union Street, Millersburg, Pennsylvania 1 7061 (hereinafter referred to as "Mortgagee"). WITNESSETH. WHEREAS, Mortgagee has extended to Mortgagor, a certain $250,000.00 Loan ("Loan") pursuant to the terms of a certain Loan Agreement, dated of even date hereof, by and Ifietween Mortgagor and Mortgagee ('"Loan Agreement"); and WHEREAS, Mortgagor is obligated to Mortgagee under the Loan as evidenced by a certain Note in the principal amount of $250,000.00, dated of even date hereof ("Note"). NOW, THEREFORE, in consideration of the indebtedness evidenced by the Note and for securing the payment of the Obligations, as hereinafter defined, to Mortgagee and the performance of the covenants and agreements hereinafter expressed, Mortgagor does hereby grant, bargain, sell, pledge, assign, convey and mortgage unto Mortgagee, ifs successors and assigns, their fee simple estate, right, title and interest in, fo and under the Mortgaged Premises, as hereinafter defined. To have and to hold the Mortgaged Premises unto the Mortgagee to ifs own proper use, forever. Mortgagor hereby covenants and agrees with Mortgagee as follows: SECTION 1. DEFINITIONS. All the terms used in this Mortgage shall have the same meaning as used in the Note, except as otherwise set forth below or otherwise required by the context herein: (a) _Events of Default - An event or occurrence described in Paragraph 10 herein. (b) ~ - All real estate and personal property taxes and other taxes and assessments of any kind whatsoever (or payments in lieu thereof), water and sewer rents or charges, and all other governmental charges, and any interest, cost or penalties related thereto, and charges for any Exhibit "C" 00 1335 974 (c) (d) easement or agreement maintained for the benefit of the Modgaged Premises, which at any time is or may be assessed, levied or otherwise imposed upon the Mortgaged Premises or any rent, income, or use derived or due therefrom; or any judgment, mechanics' or mortgage lien on the Mortgaged Premises, if such judgment or mortgage lien is superior or may be superior to any liens created by this Modgage. .Lease(s~ - Any and all leases, sub-leases, licenses and concessions or grants of any other possessory interest and the Rents therefrom now or hereafter in force, oral or written, covering or affecting the Mortgaged Premises or any pad thereof, and any amendments, modifications, extensions or substitutions therefor. _Mortqa.qed Premises - Fee simple right, title and interest in and to the certain real properly, as more padicularly described in Exhibit "A", attached hereto and made a part hereof ("Land"), together with: (i) Any and all buildings, structures and improvements and any replacements thereof, erected or hereafter erected on the Land (collectively the "Improvements"); (v) (ii) (iv) Any and all tenements, hereditaments and apPurtenances belonging to the Land or any part of the Land hereby mortgaged or intended to be mortgaged, or in any way appertaining thereto; All other rights, liberties and privileges,, any reversions or remainders, income, rents, issues and profits arising therefrom, and all of the estate, right, title and interest, property, possessions, claim and demand at law or in equity, of the Mortgagor in and to the Land and Improvements or any part thereof; and All judgments, Insurance proceeds, awards of damages and settlements hereafter made as a result or in lieu of any taking, permanent or temporary, of the Land or any part thereof, under the power of eminent domain, or by deed-in-lieu thereof, or for any damage, whether caused by such taking or otherwise, to the Land or Improvements or any part thereof, and all insurance proceeds pertaining to the Land and Improvements and all awards and payments that shall become payable with respect to any damage to the Land or Improvements or any part thereof; and All contracts, licenses, and agreements relating to the ownership, design, construction, occupancy, operation, management or use of the Land or Improvements. 975 (e) _.Obliaations. The obligation of Mortgagor: (i) To pay the principal sum, interest, default interest, late charges, fees, costs, and expenses due and any other sums due under the terms of the Note, this Mortgage and the Loan Documents, and to satisfy all of Mortgagor's other obligations to Mortgagee hereunder and thereunder, whether now existing or hereafter incurred; (Il) To pay to Mortgagee all amounts advanced or disbursed by Mortgagee hereunder or under the Loan Documents, on behalf of Mortgagor including, but not limited to, advances for taxes, levies, insurance, repairs to or maintenance of storage of any of the Personal Property; and' To pay all of the Mortgagee's reasonable expenses and costs, including the reasonable fees and costs incurred by Mortgagee In connection with the preparation, amendment, modification, extension, renewal, or the collection or enforcement of this Mortgage, the Note, and the Loan Documents, and any other documents executed in connection therewith, or any proceeding or threatened proceeding to enforce the payment of any of the obligations referred to in the foregoing subsections, Including any actions or proceedings in bankruptcy. Personal Property. All of Mortgagors' right, title and interest in and to the following Personal Property: (i) (ii) Accounts; General Intanqibles; Chattel Paper. All accounts, general intangibles, chattel paper, contracts and contract rights and all book entries, records and files relating to the foregoing, now owned ar hereafter payable to mortgagor and all proceeds (cash and non-cash) of all the foregoing and any insurance policies relating thereto; Inventory. All inventory, now owned or hereafter acquired, together with all accessions, parts, accessories, attachments and appurtenances thereto appertaining, attached to or installed in or kept or used or intended to be used in connection therewith and all substitutions or renewals thereof and all improvements, replacements and additions thereto and the procedures and proceeds (cash and non-cash) of all the foregoing and any Insurance policies relating thereto; .Equipment. All equipment, now and owned or hereafter acquired wherever located, including machinery, motor vehicles, Bood33b 976 (g) furniture and fixtures, together with all accessions, parts, accessories, attachments and appurtenances thereto appertaining, attached to or installed in or kept or used or intended to be used in connection therewith and all substitutions or renewals thereof, or Improvements, replacements and additions thereto, and the proceeds (cash or non-cash) of all the foregoing and any insurance policies relating thereto; and (iv) Licenses. All licenses, now owned or hereafter acquired by Mortgagor, together with all substitutions or renewals thereof and the proceeds (cash or non-cash) of all of the foregoing and any insurance policies relating thereto. .Rents. All of the rents, revenues, incomes, profits and other benefits arising from the use and enjoyment of all or any portion of the Mortgaged Premises. (h) .Security Aqreement. The Security Agreement contained in Section 13 hereof wherein Mortgagor grants the mortgagee a security interest in all Personal Property located on the Mortgaged Premises. SECTION 2. WARRANTY OF TITLE. Mortgagor has good and marketable fee title to the Mortgaged Premises, free and clear of all liens, charges and encumbrances of whatsoever nature and kind and all other conditions, except as set forth in the Title Policy, and Mortgagor will forever warrant and defend the same unto Mortgagee, Its successors and assigns, against the claims of all persons whomsoever. SECTION 3. pAYMENT AND PERFORMANCE. Mortgagor shall pay to Mortgagee, in accordance with the terms of the Note and this Mortgage, the principal and interest, and all other sums required hereunder and thereunder, and shall perform and comply with all the agreements, conditions, covenants, provisions and stipulations in the Note, this Mortgage and the other Loan Documents. SECTION 4. WASTE. MAINTENANCE. COMPLIANCE AND INSPECTION. Mortgagor shall abstain from and not permit the commission of waste in or about the Mortgaged Premises; shall not cause or permit any Improvements erected at any time on the Mortgaged Premises to be removed or demolished or structurally altered without Mortgagee's prior written consent; and shall not permit the Mortgaged Premises to become vacant, unguarded, deserted or abandoned. Mortgagor shall maintain the Mortgaged Premises in good condition, reasonable wear and tear excepted, making, when necessary, all repairs of every nature, and shall comply with any Law of any Official Body affecting the Mortgaged Premises. Mortgagee shall have the right to enter upon the Mortgaged Premises at any time during reasonable business hours, to inspect the order, condition and repair thereof and to conduct any appraisals or environmental audits which Mortgagee shall deem in its reasonable discretion necessary. 9'27 SECTION 5. INSURANCE. (a) Mortgagor shall maintain and keep in effect or cause to be maintained and kept in effect the following policies of insurance: (b) (i) Insurance against loss and damage by fire and perils covered by extended coverage Insurance and against such other risks (including flood, boiler, earthquake, sinkhole, business interruption and public liability insurance), as may from time to time be reasonably required by the Mortgagee in amounts sufficient to prevent the Mortgagor from becoming co-insurers within the terms of the policies covering such risks and, in any event, in amounts not less than the maximum insurable replacement value ct the Mortgaged Premises, with the proceeds thereof payable to the Mortgagee under a standard mortgagee's loss payee clause acceptable to the Mortgagee; (ii) Comprehensive broad form liability insurance, Insuring against any and all claims of bodily Injury, death or property damage occurring on, in or about the Mortgaged Premises and the adjoining streets, sidewalks and Passageways in such form and amounts as reasonably required by Mortgagee of similarly situated borrowers under similar circumstances; (iii) If the Mortgaged Premises or any part thereof is situate In an area designated as an area of special flood hazard for purposes of the National Flood Insurance Program by the Federal Emergency Management Agency, such policies of flood insurance in such amounts as Mortgagee shall so require;and (iv) Such other insurance with respect to the Mortgaged Premises in such amounts and against such hazards or casualties which Mortgagee shall reasonably require from time to time for similar situated borrowers under similar circumstances. All such insurance shall be: (i) written by companies not unacceptable to the Mortgagee which are licensed and lawfully operating in a jurisdiction in which the Mortgaged Premises are located; (ii) in amounts, form and content not unacceptable to Mortgagee; (iii) name Mortgagee as an additional insured; and (iv) provide for thirty (30) days minimum written cancellation notice to the Mortgagee and a full replacement cost endorsement. A duplicate original of all such policies of insurance shall be delivered to the Mortgagee. The Mortgagee agrees that not less than ten (10) days prior to the expiration dates of each such policy required of the Mortgagor under Section 5(a) herein, the Mortgagor will deliver to the Mortgagee a renewal policy or policies 978 (c) or binder therefor for at least a one year period. The Mortgagor shall not cancel any Insurance required hereunder without first having supplied a replacement policy not unacceptable to the Mortgagee. If the insurance, or any part thereof, shall expire, be cancelled, become void or voidable by reason of the Mortgagor's breach of any condition thereof, or if for any reason whatsoever the insurance shall be unsatisfactory to Mortgagee, Mortgagor shall, within thirty (30) days of Mortgagee's notice to Mortgagor, place new insurance on the Mortgaged Premises, satisfactory to Mortgagee. (d) In the event of loss, Mortgagor will give immediate notice thereof to Mortgagee, and Mortgagee may make proof or proofs of loss on behalf of Mortgagor. Any adjustments of a proof of loss shall require the prior written consent of Mortgagee. Each insurance company concerned is hereby authorized and directed to make payment undersuch insurance including return of unearned premiums, to Mortgagee and Mortgagor jointly, unless and until Mortgagor refuses to properly endorse over to Mortgagee such payments to be applied in accordance with this Mortgage In which case each Insurance company may pay directly to Mortgagee. Mortgagor appoints Mortgagee, irrevocably, as Mortgagor's attorney-in-fact to endorse any draft. (e) Such policies of insurance and all renewals thereof are hereby assigned to Mortgagee as additional security for payment of the Obligations and Mortgagee hereby agrees that after an Event of Default hereunder any values available thereunder upon cancellation or termination of any of said policies or renewals, whether in the form of return of premiums or otherwise, shall be payable to Mortgagee as assignee thereof. If Mortgagee becomes the owner of the Mortgaged Premises, or any part thereof, by foreclosure or otherwise, such policies, including all right, title and Interest of Mortgagor thereunder, shall became the absolute property of the Mortgagee. (f) Mortgagee shall have the right, in the event of any insured loss, to retain and apply all proceeds of insurance required to be maintained by this Mortgage, at its election, to the reduction of the Obligations in such order as Mortgagee shall determine or to the restoration and repair of the damage. SECTION 6, DEPOSITS FOR IMPOSITIONS AND INSURANCE PREMIUMS Upon the occurrence of any Event of Default and at the request of the Martgagee, the Mortgagor covenants and agrees to: (a) Pay initially into an escrow account held by the Mortgagee for the purposes of establishing such escrow account, an amount equal to the 979 aggregate of one-twelfth (1/12) of the estimated Impositions for one (1) month plus month or fraction thereof which has elapsed since the last due date of such Impositions through the first regular payment date of the Note; and (b) Thereafter continue to pay into the escrow account monthly, on each and every monthly payment date, one twelfth (1/12) of the estimated Impositions on the Mortgaged Premises. The amount of such Impositions, when known, shall be used by the Mortgagee to pay, when due, those Impositions for which the Mortgagee is specifically escrowing funds under this Section 6. Any Insufficiency in the sums In such account to pay such Impositions when due shall be paid by the Mortgagor to the Mortgagee upon demand. Interest shall be payable by the Mortgagee on sums contained in the escrow account at the then prevailing money market rate. if, pursuant to the provisions of this Mortgage, the whole amount of the Obligations become due and payable, Mortgagee shall have the right, at its election, to apply the amounts so held against the Obligations secured by this Mortgage. SECTION 7. IMPOSITIONS. Unless Mortgagee is escrowing Impositions in accordance with Section 6 herein, Mortgagor shall pay when due and payable, and before Interest or penalties accrue, all Impositions and shall produce receipts for payments of these amounts to Mortgagee no later than the payment dates. If the Mortgagor, in good faith and by appropriate legal proceeding, contests the validity or amount of any item, and provides Mortgagee notice of such challenge and a bond, cash deposit or other security reasonably satisfactory to Lender, in its sole discretion, then Mortgagor shall not be required to pay the item or to produce the required receipts while the security is maintained and so long as the contest operates to prevent collection; is prosecuted with diligence and good faith and has not been terminated or discontinued adversely to Mortgagor. SI~CTION 8..RIGHT TO REMEDY DEFECTS. If Mortgagor fails to keep the Mortgaged Premises in repair (as provided for herein), or permits waste, or otherwise fails to comply with its obligations under this Mortgage, the Note, or the other Loan Documents then Mortgagee, at its option, shall have the right to make any payment or expenditure that Mortgagor should have made, and make such repairs and take such steps as it deems advisable to prevent or cure such waste and to protect the security of this Mortgage or Mortgaged Premises, and may appear in any action or proceeding with respect to any of the foregoing and retain counsel therein, and take such action therein as Mortgagee deems advisable, in its reasonable discretion, and for any of said purposes Mortgagee may advance such sums of money as It deems necessary, in its reasonable discretion. Mortgagor will pay to Mortgagee, immediately and without demand, all sums of money advanced by Mortgagee pursuant to this paragraph, together with interest on each such advance at the then existing rate, as specified in the Note, and all such sums and interest thereon shall be secured hereby. 980 SECTION 9. CONDEMNATION If any pad of the Mortgaged Premises is condemned such that condemnation causes the destruction of the Mortgaged Premises, such proceeds will be available to Mortgagee to retain and apply such proceeds to pay the Obligations hereunder in such order as Mortgagee shall elect, or repair and construction of the Mortgaged Premises, in its sole discretion. If the amount of an initial award of damages for the condemnation, which condemnation materially impairs the security granted hereunder, the Improvements, or the ability of Mortgagor to operate the Mortgaged Premises, is insufficient to pay the Obligations, Mortgagee shall have the right to file an appeal or such other legal proceedings as legal counsel may advise to be appropriate under the circumstances In the name of Mortgagor or of Mortgagee (for the action Mortgagee or such counsel as it chooses hereby is irrevocably appointed attorney-in-fact coupled with an interest for Mortgagor) and to prosecute the same to final conclusion or otherwise dispose thereof, in which event the expenses of the appeal or other appropriate legal proceedings, including, but not limited to, reasonable attorneys' fees and costs, shall be first paid out of the proceeds, and no credit shall be given on account of the Obligations other than a credit for the amount, if any, whereby the final proceeds exceed all such expenses. Nothing in this covenant or otherwise in this Mortgage shall limit the rights otherwise available at law to Modgagee, including, but not limited to, rights to intervene as a party to any condemnation proceedings. SECTION 10. EVENTS OF DEFAULT The following shall constitute Events of Default hereunder: (a) Any Event of Default under any of the Loan Documents; or (b) Any default by Mortgagor in the performance or observance by the Mortgagor of any of the terms, covenants or conditions of this Mortgage, which default remains uncured more than thirty (30) days after written notice by Mortgagee to Modgagor of such default. SECTION 11. REMEDIES. Upon the happening of any one or more of the Events of Default, the Obligations shall, at the option of the Mortgagee, become immediately due and payable without further notice or demand to Mortgagor or any other person. When the entire Obligations become due and payable, either because of acceleration upon the occurrence of an Event of Default, by maturity or otherwise, Mortgagee may avail itself of any of the following remedies: (a) Institute an action in mortgage foreclosure or take such other action, at law or In equity for the enforcement thereof and realization on the mortgage security or any other security, as the Law may allow, which Is herein or elsewhere provided for and proceed thereon to final judgment and execution thereon for the Obligations, together with Interest thereon on any judgment obtained by Mortgagee from and after the date of any sheriff's sale of the Mortgaged Premises (which may be sold in one parcel or in such parcels, manner or order as oo 133,, 98t Mortgagee shall elect) until actual payment is made by the sheriff of the full amount due Mortgagee and reasonable attorneys' fees and costs incurred in connection therewith. (b) Enter into possession of the Mortgaged Premises, with or without legal action, and by force if necessary; lease the same; collect all Rents therefrom and, after deducting all costs of collection and administrative expenses, apply the net Rents to the payment of Impositions, insurance premiums and all other carrying charges (including, but not limited to, agents, compensation, fees and costs of counsel and receivers) and to the maintenance, repair or restoration of the Mortgaged Premises (but Mortgagee shall not be deemed mortgagee-in-possession due to Mortgagee's efforts to preserve the Mortgaged Premises unless Mortgagee so elects) or in the reduction af the Obligations, or both, in such order and amounts as Modgagee, in Mortgagee's sole discretion may elect; and to have a receiver appointed to enter into possession af the Modgaged Premises, collect the Rents therefrom and apply the same as the court may direct. Modgagee shall be liable to account only for Rents actually received by Mortgagee. (c) Modgagee shall have the right, from time to time, to bring an apPropriate action to recover any sums required to be paid by Mortgagor under the terms of this Mortgage, as they become due, without regard to whether or not the principal indebtedness or any other sums secured by the Notes and this Mortgage shall be due, without prejudice to the right of Modgagee thereafter to bring an action to foreclose this Mortgage or any other action, for any default by Mortgagor existing at the time the earlier action was commenced. (d) With respect to the Personal Property in which a security interest is granted, Mortgagee may exercise any or all of the rights accruing to a secured pady under this Modgage or the Uniform Commercial Code and any other applicable Laws. (e) Any remedy provided in the Note, or the other Loan Documents, or that exist at law or in equity. SECTION 12..CONFESSION OF JUDGMENT FOR POSSESSION. Upon the occurrence of an Event of Default, Mortgagor hereby authorizes any attorney of any court of record to appear for Mortgagor and to confess Judgment thereon against Mortgagor in favor of Mortgagee for possession of any of the Mortgaged Premises, whereupon a writ may forthwith issue for the immediate possession of any of the Mortgaged Premises, without any prior writ or proceeding whatsoever, and for so doing, this Mortgage or copy thereof verified by affidavit shall be a sufficient warrant. Mortgagor hereby releases the Mortgagee from all errors and defects whatsoever in entering such action in judgment and in causing such writ or writs to be issued and 982 hereby agrees that no writ or error, appeal, petition to open or strike judgment, or other objection shall be filed or made with respect thereto. If, for any reason, after such action has been commenced, the same shall be discontinued or possession of the Mortgaged Premises which is the subject of this Mortgage, shall remain in or be restored to the Mortgagor, Mortgagee shall the right to the same default or any subsequent default to bring one or more further amicable actions as above provided to recover possession of the Mortgaged Premises which is subject to this Mortgage. Mortgagee may bring such amicable action in ejectment before or after the institution of foreclosure proceedings upon this Mortgage, or after judgment thereon, or after sale of the Martgaged Premises which is the subject of this Mortgage by the Sheriff. SECTION 13. SECURITY AGREEMENT. The Mortgagor, as the "debtor", hereby gives mortgagee, as the "secured party", a security interest under the Uniform Commercial Code of Pennsylvania in all Personal Property and the proceeds and products thereof and all Leases and Rents to have and to hold until the Obligations are.paid in full and this instrument is released and satisfied of record. Regarding such security interests, Mortgagor covenants and agrees: (a) Mortgagor will hold absolute title to the Personal Property free and clear of all liens, encumbrances, mortgages and security agreements other than such interests held by the mortgagee or as otherwise permitted by Mortgagee and will not remove any such Personal Property, without Mortgagee's prior written consent, excepting only for replacements of not less than equal value, and such Personal Property as is no longer useful at the mortgaged Premises, so long as all proceeds, if any, from the sale of such Personal Property shall be immediately paid to Mortgagee and treated as a pre-payment under the Notes or, at Mortgagor's discretion, used to purchase other Personal Property. (b) That the Mortgagor will, from time to time, execute such financing statements and such additional documents or instruments as the Mortgagee may reasonably require and will see that such instruments are properly filed or recorded to grant the Mortgagee a first lien security Interest and further will not execute any such instrument with any other person with respect to the Mortgaged Premises. (c) That all provisions of this Mortgage designed to protect the mortgagee's security value shall apply to all the Personal Property. SECTION 14. ASSIGNMENT OF LEASES AND RENTS In order to further secure Mortgagee in the Event of Default in the payment or performance of the Obligations secured hereby, Mortgagor hereby assigns and transfers to Mortgagee, its successor and assigns, any and all leases on the Mortgaged Premises or any part thereof, now existing or which may hereafter be made at any time, together with any and all rents, issues and profits arising from the Mortgaged Premises under said leases or otherwise, 10 983 without obligation of Mortgagee to perform or discharge any obligation, duty or liability under such leases, but with full authorization to collect all rents under the leases or otherwise upon the occurrence of an Event of Default and apply the rents as it deems appropriate, in its sole discretion, and to take possession of and rent the Mortgaged Premises. SECTION 15. E~NVIRONMENTAL MATTERS. Mortgagor hereby represents, warrants and covenants as follows: (a) At Mortgagor's sole cost and expense, Mortgagor shall comply in all material respects with all federal, state and local laws, rules, regulations and orders with respect to the discharge, generation, removal, transportation, storage and handling of hazardous or toxic waste or substances; pay immediately when due the cost of removal of any such waste or substances; and keep the Mortgaged Premises free from any lien imposed pursuant to such laws, rules, regulations and orders. In the event Mortgagor fails to do so, Mortgagee may declare the Mortgage to be in default. Mortgagor shall indemnify Mortgagee and hold Mortgagee harmless against all losses, costs, damages and expenses, including without limitation attorneys' fees and costs incurred In the investigation, defense and settlement of claims that Mortgagee may incur as a result of or In connection with the assertion against Mortgagee of any claim relating to the presence or removal of any hazardous waste or substance referred to in this paragraph, ar in compliance with any federal, state or local laws, rules, regulations or orders relating thereto. (b) Mortgagor hereby grants Mortgagee the right to inspect, at any time, the Mortgaged Premises, whether or not any Event of Default has occurred, and without prior notice, for purposes of verifying Mortgagor's compliance with Section 15(a). At Mortgagee's sole discretion, it can cause to be performed, soil and groundwater sampling, including but not limited to, Phase I and Phase II Environmental Assessments. Payment of all costs for said Assessments shall be borne by Mortgagor and shall be secured by this Mortgage. Failure by Mortgagor to pay such costs on demand will constitute an Event of Default hereunder. Provided, however, that Mortgagee is under no duty to inspect the Mortgaged Premises, and any such acts by the Mortgagee shall be solely for the purpose of protecting its rights under the Mortgage, the Construction Loan Agreement, and the Note. No inspection of the Mortgaged Premises by Mortgagee shall result in a waiver of any default of Mortgagor or impose any liability on Mortgagee. In no event shall any inspection of the Mortgaged Premises be a representation by Mortgagee that hazardous or toxic waste or substances are or are not present in, on, or under the Mortgaged Premises, or that there has been or shall be compliance with any federal, state, or local laws, rules, 984 regulations and orders with respect to the discharge, generation, removal, transportation, storage and handling of hazardous or toxic waste or substances. SECTION 16. C.O. UNSEL FEES. In the event Mortgagee becomes a party (by intervention or otherwise) to ~ Premises or title thereto or Mortgagee's interest under this Mortgage or employs an ny action or proceeding affecting the Mortgaged attorney to collect any of the Obligations or to enforce the performance of the obligations, covenants and agreements of the Note, this Mortgage or the other Loan Documents, including any actions or proceedings in bankruptcy, Mortgagor shall reimburse Mortgagee immediately upon demand and without further demand, alt reasonable costs, charges and attorneys' fees incurred by Mortgagee, in any such case, whether or not suit be commenced. SECTION 17. NOTICE. Any and all notices required under this Mortgage shall be in writing and sh~ be sent by certified mail, return receipt requested to the following parties and addresses, or to such other address as the addressees may designate in writing In the manner provided herein: To the Mortgagor: Mrs. Stamm's Bar B ©, Inc. 53 Heiser's Lane Carlisle, PA 17013 ATTENTION: N. Lee Stature President To the Mortgagee: MID PENN BANK 4622 Carlisle Pike Mechanicsburg, Pennsylvania 17055 ATTENTION: Darlene L. Wright Office Manager SECTION 18. CUMULATIVE RIGHTS AND REMEDIES. Rghts and remedies Mortgagee as ~rovided herein, or in the Note, and the warrants herein and of the therein contained, shall be cumulative and concurrent and may be pursued singly, successively or together, at the sole discretion of the Mortgagee, and be exercised as often as the occasion therefore shall occur. Failure to exercise any such rights or remedies shall in no event be construed as a waiver by Mortgagee or release of the same, SECTION 19..WAIVER OF DEFENSES AND CERTAI and releases~~u ~JF~TAIN NOTICES. Mortgagor hereby waives (i) All errors, defects and imperfections in any proceedings instituted by Mortgagee under the Note, this Mortgage or the other Loan Documents; 12 BOOKI$3§ PA(~[~ 985 (ii) All benefits that might accrue to Mortgagor by virtue of any present or future Laws exempting the Mortgaged Premises, or any part of the proceeds arising from any sale thereof, from attachment, levy or sale under execution or providing for any stay of execution, exemption from civil process or extension of time for payment; and SECTION 20. provisions of tills Mortgage, pays the Obligations to Mortgagee in accordance with the provisions of the Note, this Mortgage and the other Loan Documents and in the manner and at the times therein set forth, without deduction, fraud or delay, then and from thenceforth this Mortgage and the estate thereby granted, shall cease and become void. (iii) Unless specifically required herein or in the Note or the other Loan Documents, all notices of Mortgagor's default or Mortgagee's exercise or election to exercise, any option under the Note, this Mortgage or the Loan Documents. SATISFACTION OF THIS MORTGAGE. If Mortgagor complies with the SECTION 21. INTERPRETATION. The words "Mortgagor" and" ,. Mortgagee include singular and plural, and individual and corporation and the respective heirs, executors, administrators, successors and assigns of Mortgagor and Mortgagee, as the case may be. The use of any gender applies to all genders. If more than one party Is named as Mortgagor, the obligation hereunder of each such party is joint and several. SECTION 22. CAPTIONS. The captions herein are inserted only for convenience and !eference and In no way define, limit or describe the scope or Intent of the Mortgage ~n any particular paragraph or section thereof, nor the proper construction thereof. SECTION 23. TRANSFER. Mortgagor agrees not to sell, assign, or otherwise transfer the Mortgaged Premises, or any part thereof, to any other person, persons or corporations, other than the Mortgagee herein without Mortgagee's prior written consent. SECTION 24. SEVERABILIT¥. In the event any term or provision of this Mortgage or the application thereof to any person or circumstance shall, to any extent, be held invalid or unenforceable, the remainder of this Mortgage, or application other than that to which it is held invalid or unenforceable, shall not be affected thereby, and each term or provision thereof shall be valid and enforceable to the fullest extent permitted by law. SECTION 25. INTEGRATION. The Mortgage, the exhibits and all other documents delivered pur~'-uant hereto and in connection herewith constitute the entire agreement between the parties hereto with respect to the subject matter hereof and 13 there are no other understandings, oral or written, relating to the subject matter hereof other than those specifically incorporated herein by reference. SECTION 26. BINDING EFFECT-AMENDMENT. This Mortgage is binding upon and inures to the benef~;r of Mortgagor and Mortgagee and their successors and assigns. This Mortgage cannot be changed, modified or amended except by an agreement in writing signed by the parties against whom enforcement of the change, modification or amendment is sought. Mortgagee may sell, transfer or assign its rights hereunder. Mortgagor may not delegate its obligations or duties hereunder without the prior written consent of Mortgagee. SECTION 27. WAIVER OF JURY TRIAl MORTGAGOR HEREBY WAIVES ANY AND ALL RIGHTS TO A J~JRY TRIAL FOR ANY DAMAGES, LOSSES, CLAIMS, OR CAUSES OF ACTION OF WHATSOEVER NATURE OR KIND ARISING OUT OF OR RELATED TO, DIRECTLY OR INDIRECTLY, THE LOAN DOCUMENTS OR ANY TRANSACTIONS CONTEMPLATED CONNECTION THEREWITH. WITNESS, the due execution hereof the day and year first above written. ATTEST: MRS. STAMM'S BAR B Q, INC. NAr;VIE: N. LEE STAMM TITLE: President MID-PENN BANK BY: Name~ Title: - DARLENE Office Mana,qer 14 98'2 ACKNOWLEDGEMENT :~:~ COMMONWEAL/~,j-t OF PENNSYLVANIA : COUNTY OF _ (.,,/v~~ SS: :~:;1~~ this the ~O day o,~ , 1996, be,ore me a Nota~ Public, er~igned o~ficer, persona~Y~pedre~ N. LEE STAMM to me IsracTorily proven to be the person ~0~e known name is subscribed to this instrument an~ acknowledged that he/she execute~ the same for the purposes therein contained. This person's name is subscribed in a representative capacity rot MRS. STAMM'S BAR B Q, INC., in the capacity indicated hereby Qcknowledges and cedifies that he/she hQs full authority to enter into the Note on behalf of MRS. STAMM'S BA~ B Q, INC. IN WITNESS WHEREOF, I se.~ my,lp~nd an~l official seals, . MYCOMM,SS,ON EXP,RES: NOT RYp,.,BL . COMMONWE~H OF PENNSYLVANIA COUNTY OF SS: On this the ~o day o ,1996, before me a Nota~ Public, the undersigned ~fficer, personal~pe~r~d DARLENE L. WRIGHT known to me or satisfactorily proven to be the person w~ose name is subscribed to this Instrument and acknowledged that he executed the same for the purposes therein contained. This person's name is subscribed In a representative capacity for the principal named, Mid-Penn Bank, and in the capacity indicated, and hereby acknowledges and cedifies that he has full authority to enter into the Mortgage on behalf of Mid-Penn Bank. IN WITNESS WHEREOF, I set ~my hand and olficial seals. · MY COMMISSION EXPIRES: , Mcch~;:[csb':r~ E.o:c, C,~':7;:.,::, i,::nd Ccuntv My Ccmmiss;on E>:plrer~ Oct. 4, 1.5.33 ' 15 988 CERTIFICATE OF RESIDENCE I, Darlene L. Wright, Office Manager of Mid Penn Bank, hereby certify that the precise residence of Mortgagee is 349 Union Street, Millersburg, Pennsylvania 17061. THIS MORTGAGE WAS PREPARED BY AND SHOULD BE RETURNED TO: O'Keefe, Grenen & Birsic, P.C. 4076 Market Street Suite 210 Camp Hill, PA 17011 ATTENTION: Scoff A. Dietterick, Esquire LEGAL DESCRIPTION ALL THAT CERTAIN tract of land located in South Middleton Township, Cumberland County, Pennsylvania, which is more particularly bounded and described as follows: BEGINNING at a point on the South side of Township Road No. 514, approximately one-quarter of a mile east of the intersection of said Township Road with State Highway Route No. 34, said beginning point being in line of lands of Floyd Weibley; thence by said lands South 1 7 degrees West 70 1/4 perches to a point at line of lands of S. Fred Naugle; thence by said lands North 65 1/4 degrees East 58.2 perches to a point; thence by land now or formerly of Roy Weibley, North 17 1/2 degrees West 9.5 perches to a point on the South side of said Township Road; thence by the South side of said Township Road, North 41 1/2 degrees West 44.8 perches. Having thereon erected two commercial use buildings, two single-family dwellings and accessory buildings. TAX PARCEL #40-10-0634-025. a,~ of Pennsylvania SS C~>unty of Cumberland ~; ;~)~ded i,n the office for the recording of Da i~ C.;~r~, PA this ~ day of~a ~ .=~ EXHIBIT "A" oo 1335 990 IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA CIVIL DIVISION PRAECIPE FOR WRIT OF EXECUTION Caption: l~d Penn Bank VS. t4rs. St~,,,,~,'s Bar B ~, Inc. (x) Confessed Judgment ( ) Other File No. Amount Due $358,784.68 Interest Atty's Comm Costs TO THE PROTHONOTARY OF THE SAID COURT: f The undersigned hereby certifies that the below does not arise out of a retail installment sale, contract, or account based on a confession of judgment, but if it does, it is based on the appropriate original proceeding filed pursuant to Act 7 of 1966 as amended; and for real property pursuant to Act 6 of 1974 as amended. IssUe writ of execution in the above matter to the Sheriff of Cumberland County, for debt, interest and costs, upon the following described property of the defendant(s) 53 Heiser's Lane, Carlisle, PA 17013 PRAECIPE FOR ATTACHMENT EXECUTION Issue writ of attachment to the Sheriff of Cumber'land County, for debt, interest and costs, as above, directing attachment against the above-named garnishee(s) for the following property (if real estate, supply six copies of the description; supply four copies of lengthy personalty list) and all other property of the defendant(s) in the possession, custody or control of the said garnishee(s). Date (Indicate) Index this writ against the garnishee(s) as a lis pendens against real estate of the defendant(s) described in the attached exhibit. November ~ ~' 2002 Signature: Print Name: Address: Attorney for: Telephone: Chris i~an S. Da~', Esquire 105 North Front Street Harrisburg, PA 17101 Plaintiff (717) 234-5600 Supreme Court ID No.: #47741 (over) Notes: If real property, supply six copies of description including improvements and an original and copy of affidavit of ownership (PaR.C.P. No. 3129). If lengthy personalty list, supply four copies of list. To index writ, file separate praecipe with writ. CERTIFICATION I certify that (a) This praecipe is based upon a judgment entered by confession, and (b) Notice will be served at least thirty (30) days prior to the date of the sheriff's sale of real property pursuant to Rule 2958.2. Chri'~'ian S. Dagt~, Esquire Supreme Court I.D. #47741 Attorney for Plaintiff 105 N. Front Street Harrisburg, PA 17101 (717) 234-5600 MID PENN BANK Plaintiff Vs. MRS. STAMM'S BAR B Q, INC. Defendant : IN THE COURT OF COMMON PLEAS : CUMBERLAND COUNTY, PENNSYLVANIA : NO. 02- ~"~rqO CIVIL TERM : CIVIL ACTION - LAW AFFIDAVIT PURSUANT TO RULE 3129 COMMONWEALTH OF PENNSYLVANIA ) : SS: COUNTY OF DAUPHIN ) MID PENN BANK, Plaintiff in the above action, sets forth as of the date of the Writ of Execution in this matter, the following information concerning the real property located at 53 Heiser's Lane, Carlisle, Cumberland County, Pennsylvania. 1. Name and address of Owner(s) or reputed Owner(s): Mrs. Stamm's BAR B Q, Inc., 53 Heiser's Lane, Carlisle, PA 17013 2. Name and address of Defendant(s) in the judgment: Mrs. Stamm's BAR B Q, Inc., 53 Heiser's Lane, Carlisle, PA 17013 3. Name and last known address of every judgment creditor whose judgment is a record lien on the real property to be sold: Bureau of Compliance, Department 280946, Strawberry Square, 9th Floor, Harrisburg, PA 17128-0946 James C. Bartoli, Inc., 325 South Cemetery Avenue, Carlisle, PA 17013 Kevin Benton, CPA, 401 East Louther Street, Carlisle, PA 17013 Michael Cherewka, 3905 N. Front Street, Harrisburg, PA 17110 Anne L. Zikonus, 51 Heiser's Lane, Carlisle, PA 17013 4. Name and address of the last recorded holder of every mortgage of record: Mid Penn Bank, 349 Union Street, Millersburg, PA 17061 5. Name and address of every other person who has any record interest in or record lien on the property and whose interest may be affected by sale: None 6. Name and address of every other person of whom the Plaintiff has knowledge who has any interest in the property which may be affected by the sale: Cumberland County Tax Claim Bureau, One Courthouse Square, Carlisle, PA 17013 The addresses listed above are the last known reasonable ascertainable addresses after a reasonable search conducted by the Plaintiff. I verify that the statements made in this Affidavit are true and correct to the best of my personal knowledge, information and belief. I understand that false statements herein are made subject to the penalties of 18 Pa. C.S. {}4904 relating to unsworn falsification to authorities. Date: Sworn and subscribed to before me this ~)-~ day of November, ~}002. Harrisburg, PA 17101 (717) 234-5600 Attorney for Plaintiff iNOTARIAL SEAL PAc.T'~Y~ L. STROHECKER, Notary Pubic! ity of Harrisburg, Dauphin County My Commission Expires Jan. 6, 2003 MID PENN BANK Plaintiff VS. MRS. STAMM'S BAR B Q, INC. Defendant : IN THE COURT OF COMMON PLEAS : CUMBERLAND COUNTY, PENNSYLVANIA : NO. 02- ~'T-I6 CIVIL TERM : CIVIL ACTION - LAW NOTICE OF SHERIFF'S SAI,E OF REAL ESTATE, TO: MRS. STAMM'S BAR B Q, INC., Defendant Your real estate at 53 Heiser's Lane, Carlisle, Pennsylvania, is scheduled to be sold at Sheriff's Sale on March 5, 2003, at 10:00 A.M. in the Cumberland County Courthouse located in Carlisle, Pennsylvania, to enforce the court judgment of $358,784.68 obtained by the above- named Plaintiff against you. NOTICE OF OWNER'S RIGHTS YOU MAY BE ABLE TO PREVENT THIS SHERIFF'S SALE. To prevent this Sheriff's Sale, you must take immediate action: 1. The same will be canceled if you pay to the above named Plaintiff the amount of the judgment plus costs or the back payments, late charges, costs and reasonable attorney's fees due. To find out how much you must pay, you may call Christian S. Daghir, Esquire, at (717) 234-5600. 2. You may be able to stop the sale by filing a petition asking the Court to strike or open the judgment, if the judgment was improperly entered. You may also ask the Court to postpone the sale for good cause. 3. You may be able to stop the sale through other legal proceedings. You may need an attorney to assert your rights. The sooner you contact one, the more chance you will have of stopping the sale. (See notice below to find out how to obtain an attorney.) YOU MAY STILL BE ABLE TO SAVE YOUR PROPERTY, AND YOU HAVE OTHER RIGHTS EVEN IF THE SHERIFF'S SALE DOES TAKE PLACE. 1. If the Sheriff's Sale is not stopped, your property will be sold to the highest bidder. You may find out the price bid by calling the Sheriff at the county courthouse. 2. You may be able to petition the Court to set aside the sale if the bid price was grossly inadequate compared to the value of your property. 3. The sale will go through only if the buyer pays the Sheriff the full amount due in the sale. To find out if this has happened, you may call the Sheriff at the county courthouse, which number is listed below. 4. If the amount due from the buyer is not paid to the Sheriff, you will remain the owner of the property as if the sale never happened. 5. You have a right to remain in the property until the full amount due is paid to the Sheriff and the Sheriff gives a deed to the buyer. At that time, the buyer may bring legal proceedings to evict you. 6. You may be entitled to a share of the money which was paid for your house. A schedule of distribution of the money bid for your house will be filed by the Sheriff within thirty (30) days of the date of the sale. This schedule will state who will be receiving that money. The money will be paid out in accordance with this schedule unless exceptions (reasons why the proposed distribution is wrong) are filed with the Sheriff within ten (10) days after sale date. 7. You may also have other rights and defenses, or ways of getting your house back, if you act immediately after the sale. 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 LISTED BELOW TO FIND OUT WHERE YOU CAN GET LEGAL HELP. Central Pennsylvania Lawyer Referral Service 213 North Front Street Harrisburg, PA 17101 1-800-932-0356 The Sheriff's phone number is: 240-6390 ~t0a5r r iNs ~!~! ~1 ii~squire (717) 234-5600 Attorney for Plaintiff MID PENN BANK Plaintiff VS. MRS. STAMM'S BAR B Q, INC. Defendant : IN THE COURT OF COMMON PLEAS : CUMBERLAND COUNTY, PENNSYLVANIA : NO. 02- ~7'10 CIVIL TERM : CIVIL ACTION - LAW : MRS. STAMM'S BAR B Q INC. - LEGAL DESCRIPTION TAX PARCEL NO. 40-10-0634-025 ALL that certain tract of land located in South Middleton Township, Cumberland County, Pennsylvania, more particularly bounded and described as follows: BEGINNING at a point on the South side of Township Road No. 514, approximately one- quarter of a mile east of the intersection of said Township Road with State Highway Route No. 34, said beginmng point being in line of lands now or formerly of Floyd Weibley; thence by said lands South 17 degrees West 70 1/4 perches to a point at line of lands now or formerly of S. Fred Naugle; thence by said lands North 65 1/4 degrees East 58.2 perches to a point; thence by land now or formerly of Roy Weibley, North 17 1/2 degrees West 9.5 perches to a point on the South side of said Township Road; thence by the South side of said Township Road, North 41 1/2 degrees West 44.8 perches. CONTAINING I0 acres and 10 perches. BEING improved with a dwelling house, a concrete block processing building and other buildings. BEING the same premises which Lee Stamm a/k/a N. Lee Stamm, by deed dated October 17, 1955, and recorded in the Office for the Recording of Deeds in and for Cumberland County in Record Book 129, Page 859, granted and conveyed to Mrs. Stamm's BAR B Q, Inc. MID PENN BANK Vs. Plaintiff MRS. STAMM'S BAR B Q, INC. Defendant : IN TIlE COURT OF COMMON PLEAS : CUMBERLAND COUNTY, PENNSYLVANIA : :NO. : : CIVIL ACTION - LAW AFFIDAVIT OF NON-MILITARY SERVICE COMMONWEALTH OF PENNSYLVANIA :SS. COUNTY OF DAUPHIN Christian S. Daghir, Esquire, being duly sworn according to law deposed and says that he makes this affidavit on behalf of the within Plaintiff, being authorized so to do, and that he avers that defendants are not in the military or naval service of the United States or its Allies, or otherwise within the provisions of the Soldiers and Sailors Civil Relief Act of Congress of 1940 and its By: amendments. Sworn and Subscribed to before me this ~?~'~ day of November, 2002. Respectfully Submitted, ETZWEI]_~ER AND ASSOCIATES C~ristian S. D~aghir, Esq. ~_~ Sup. Ct. I.D. No. 47741 105 North Front Street Harrisburg, PA 17101 (717) 234-5600 l' NOTARIAL S~'L 1 PATTY L. STROHECKER, Notary .P~c~ City of Harrisburg, Dauphin county 1 My Commission Expires Jan. 6, 2003 ~ NOTICE OF JUDGMENT AND EXECUTION REQUIRED BY RULE 2958.2 MID PENN BANK, Plaintiff VS. MRS. STAMM'S BAR B Q, 1NC. Defendant : IN THE COURT OF COMMON PLEAS : CUMBERLAND COUNTY, : PENNSYLVANIA Writ No. OZ-~-l-IO Term 2002 CIVIL ACTION - LAW No. : Amount Due $358,784.68 Notice of Defendant's Ri~,hts To: Mrs. Stamm's Bar B Q, Inc., A judgment in the amount of $358,784.68 has been entered against you and in favor of the plaintiff without any prior notice or hearing based on a confession of judgment contained in a written agreement or other paper allegedly signed by you. The court has issued a writ of execution which directs the sheriffto levy upon and sell certain real property owned by you to pay the judgment. The sheriff's sale has been scheduled for March 5, 2003. You may have legal rights to defeat the judgment or to prevent or delay the sheriff's sale. YOU MUST FILE A PETITION SEEK1NG RELIEF FROM THE JUDGMENT OR DELAY OF THE SHERIFF'S SALE PRIOR TO THE SHERIFF'S SALE OR YOU MAY LOSE YOUR RIGHTS II. YOU MUST FILE A PETITION SEEKING RELIEF FROM THE JUDGMENT AND PRESENT IT TO A 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. COURT ADMINISTRATOR Fourth Floor, Cumberland County Courthouse Carlisle, PA 17013 (717) 240-6200 ..~st~an s. ~gh)r Supreme CourYT. D. #47741 Attorney for Plaintiff 105 N. Front Street Harrisburg, PA 17101 (717) 234-5600 MID PENN BANK, Plaintiff MRS. STAMM'S BAR B Q, INC. Defendant IN 'FilE COURT OF COMMON PLEAS CUMBERLAND COUNTY, PENNSYLVANIA Writ No. ~ "5'~/oTerm 2002 CIVIL ACTION- LAW No, /~_CCEPTANCE OF SERYJCE I, Deborah A. }lughcs, Esquire. of 2080 Livglestown Road, ltarrisburg, PA 17110, on behalf of Defendant, Mrs. Stamm's Bar B Q, Inc., do hereby accept service of tim attached Complaint in Confi:ssion of lud'~gment for Mrs. Stamm's Bar B Q, Inc. th~ day of November, 2002. Date: November C~"7 , 2002 Deborah A. Hughes, Esq~ir~ 2080 Lingle,stowl~ Road Harrisburg, PA 17110 MID PENN BANK Vs. Plaintiff MRS. STAMM'S BAR B Q, INC. Defendant : IN THE COURT OF COMMON PLEAS : CUMBERLAND COUNTY, PENNSYLVANIA : NO. OZ- : CIVIL ACTION - LAW WAIVER OF WATCHMAN Any Deputy Sheriff levying upon or attaching any property under within ~rit ~ay leave same without a watchman, in custody of whoever is found in possession, (after notifying such person of such levy or attachment,) without liability on the part of such Deputy or the Sheriff to any Plaintiff herein for any loss, destruction or removal of any such Property before Sheriff's Sale thereof. Date: November 27, 2002 105 North Front Street Harrisburg, PA 17101 (717) 234-5600 Attorney for Plaintiff (SEAL) IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA CIVIL DIVISION PRAECIPE FOR WRIT OF EXECUTION Caption: : (x) Confessed Judgment Mid Penn Bank : ( ) Other : File No. ~2,~- 3"~/~ vs. : Amount Due $358,784.68 t~s. sc~--,'s ]~ar ~ q, Inc. : Interest : Atty's Comm : Costs TO THE PROTHONOTARY OF THE SAID COURT: The undersigned hereby certifies that the below does not arise out of a retail installment sale, contract, or account based on a confession of judgment, but if it does, it is based on the appropriate original proceeding filed pursuant to Act 7 of 1966 as amended; and for real property pursuant to Act 6 of 1974 as amended. IssUe writ of execution in the above matter to the Sheriff of Cumberland for debt, interest and costs, upon the following described property of the defendant(s) County, 53 Heiser's Lane, Carlisle, PA 17013 PRAECIPE FOR A'I-FACHMENT EXECUTION Issue writ of attachment to the Sheriff of Cumber'land County, for debt, interest and costs, as above, directing attachment against the above-named garnishee(s) for the following property (if real estate, supply six copies of the description; supply four copies of lengthy personalty list) and all other property of the defendant(s) in the possession, custody or control of the said garnishee(s). (Indicate) Index this writ against the garnishee(s) as a lis pendens against real estate of the Date defendant(s) described in the attached exhibit. November ~ ~ 2002 Signature: Print Name: Address: Attorney for: Telephone: Supreme Court ID No.: Chris i~an S. Da~', Esquire 105 North Front Street Harrisburg, PA 17101 Plaintiff (717) 234-5600 #47741 (over) Notes: If real property, supply six copies of description including improvements and an original and copy of affidavit of ownership (PaR.C.P. No. 3129). If lengthy personalty list, supply four copies of list. To index writ, file separate praecipe with writ. CERTIFICATION I certify that (a) (b) o£real property pursuant to Rule 2958.2. This praecipe is based upon a judgment entered by confession, and Notice will be served at least thirty (30) days prior to the date of the sheriWs sale Chri~ian S. Dagll~, Esquire Supreme Court I.D. #47741 Attorney for Plaintiff 105 N. Front Street Harrisburg, PA 17101 (717) 234-5600 WRIT OF EXECUTION and/or ATTACHMENT COMMONWEALTH OF PENNSYLVANIA) NO 02-5710 Civil COUNTY OF CUMBERLAND) CIVIL ACTION - LAW TO THE SHERIFF OF CUMBERLAND COUNTY: To satisfy the debt, interest and costs due MID PENN BANK Plaintiff (s) From MRS. STAMM'S BAR B Q, INC., 53 HEISER'S LANE, CARLISLE PA 17013. (1) You are directed to levy upon the property of the defendant (s)and to sell REAL ESTATE LOCATED AT 53 HEISER'S LANE, CARLISLE PA 17013 (SEE ATTACHED LE~GAL DESCRIPTION). You are also directed to attach the property of the defendant(s) not levied upon in the possession (2) of GARNISHEE(S) as follows: and to notify the garnishee(s) that: (a) an attachment has been issued; (b) the garnishee(s) is enjoined from paying any debt to or for the account of the defendant (s) and from delivering any property of the defendant (s) or otherwise disposing thereof; (3) If property of the defendant(s) not levied upon an subject to attachment is found in the possession of anyone other than a named garnishee, you are directed to notify him/her that he/she has been added as a garnishee and is enjoined as above stated. Amount Due $358,784.68 Interest L.L. $.50 Atty's Comm % Atty Paid $37.00 Plaintiff Paid Date: NOVEMBER 27, 2002 Due Prothy $1.00 Other Costs (Seal) REQUESTING PARTY: Name CHRISTIAN S. DAGHIR, ESQ. Address: 105 N. F~{NT ST. HARRISBURG PA 17101 Attorney for: PLAINTIFF Telephone: (717) 234-5600 Supreme Court ID No. 47741 CURTIS R. LONG Proth?~tary MID PENN BANK Plaintiff VS. MRS. STAMM'S BAR B Q, INC. Defendant : IN THE COURT OF COMMON PLEAS : CUMBERLAND COUNTY, PENNSYLVANIA : NO. 02- 5710 CIVIL TERM : CIVIL ACTION - LAW CERTIFICATE OF SERVICE AND NOW, this 29th day of January, 2003, I, Christian S. Daghir, Esquire, of the Law Offices of ETZWEILER & ASSOCIATES, Attorneys for Mid Penn Bank, Plaintiff, hereby certify that I served a copy of the Notice of Sheriff's Sale of Real Estate in the above-captioned matter upon the following parties by depositing the same in the United States Mail, postage prepaid, in the post office at Harrisburg, Pennsylvania, as evidenced by the copies of the certificates of mailing and return receipt card attached hereto and made a part hereof: Deborah A. Hughes, Esquire 2080 Linglestown Road Harrisburg, PA 17110 James C. Bartoli, Inc. 325 South Cemetery Avenue Carlisle, PA 17013 Tax Claim Bureau Cumberland County Court House One Courthouse Square Carlisle, PA 17013 Anne L. Zikonus 51 Heiser's Lane Carlisle, PA 17013 Michael Cherewka 624 N. Front Street Wormleysburg, PA 17043 Bureau of Compliance Department 280946 Strawberry Square 9th Floor Harrisburg, PA 17128-0946 Kevin Benton, CPA 401 East Louther Street Carlisle, PA 17013 ETZWEILER & ASSOCIATES ~'Chrisuan $(. Dagh~, E/f~_ire Supreme. Ct. I.D. No. ~/7741 105 North Front Street Harrisburg, PA 17101 (717) 234-5600 G: \W'F~D 0 C~ CIV. FLI~BAI~KRUPT. 1~ L]~M-~tm~m '~hea~ff. WPd Postage Certified Fee Return Receipt Fee ,(Tdor~ment R~uireq) 8estricted Delivery Fee (Endorsement Required) Total Postage & Fees $ z/. ~/2_ PostmarkHere I Complete Items 1, 2, and 3. Also complete Eern 4 if Rest~ed Delivery Is desired. · Print your name and address on the reverse so that we can return the card to you. · Attach this card to the back of the mailpiece, or on the front If space permits. 1. Article Addressed to: Deborah A. Bughes, Esqu±re 080 LIn$1estown Road arrisburg, PA 17110 D. la cia#very addreee item 17 iii ,f ~ES, ..~ ~.~-~ ~ [] .o [] Certmed M~dl [] Expm~ [] ~r~umd Mal~ [] C.O,D. nestr~t~d D~h~ IExtra F~e) [] Yes 2. A r~cleNumber 7001 0320 0002 6574 4724 (Transfer from service/abe/) PS Form 3811, August 2001 Dome~ic Fletum Receipt 102595-01 -M-2509 U.S. POSTAL SERVICE CERTIFICATE OF MAILING MAY BE USED FOR DOMESTIC AND INTERNATIONAL MAIL, DOES NOT PROVIDE FOR INSURANCE--POSTMASTER Received From: ChristianS. Da~hir, , Ha~i~bu~, FA ~v~ One piece of ordinary mail addressed to: James C. Bartoli, Inc. 325 South Cemetery Avenue PS Form 3817, Mar. 1989 W U.S.GPO:1991-O-282-404/25747 Affix fee here in stamps or meter postage and post mark. Inquire of U.S. POSTAL SERVICE CERTIFICATE OF MAILING MAY BE USED FOR DOMESTIC AND INTERNATIONAL MAIL, DOES NOT PROVIDE FOR INSURANCE--POSTMASTER ,~T'F,',;~,. Christian S. Daghir~Esquire ~ \ / 105 N. Front St. N Harrisburg, PA 17101 One piece of ordinary mail addressed to: Bureau of Compliance Dept. 280946 Harrisburg, PA 17128-0946 PS Form 3817, Mar. 1989 ,U.S.GPO:1991.0-282-404/25747 Affix fee here in stamps or meter postage and post mark. Inquire of U.S. POSTAL SERVICE CERTIFICATE OF MAILING MAY BE USED FOR DOMESTIC AND INTERNATIONAL MAIL, DOES NOT PROVIDE FOR INSURANCE--POSTMASTER /~;?~;~. Received From: ~' '~P~ Christian S. Daghir, Es J0~9~ 2 8~ ! 105 N. Front Street x piece of ordinary mail addressed to: Kevin Benton, CPA 401 East Louther Street Affix fee here in stamps or meter postage and post mark. Inquire of fee ,, ,~ PS Form 3817, Mar. 1989 ,U.S.GPO:1991-0-282-404/25747 u.s. POSTAL SERVICE CERTIFICATE OF MAILING MAY BE USED FOR DOMESTIC AND INTERNATIONAL MAIL, DOES NOT PROVIDE FOR NSURANCE--POSTMASTE~R:~-~,~-~ ,~,, /.. ..... Received From: / Christian S. ~a~t~,'~s~uire I 105 N, Front ~reet / [ One piece of o~inary mail addressed to: An~e ~. Zi~onus 51 ~e±se~'s ~a~e C~r!ic!~. PA 17013 * U.S.GPO:1991'0'282'404/25747 PS Form 3817, Mar. 1989 Affix fee here in stamps or meter postage and post mark. Inquire of [~[~l~ste~gOr current fee. MJETE~ U.S. POSTAL SERVICE CERTIFICATE OF MAILING MAY BE USED FOR DOMESTIC AND INTERNATIONAL MAIL, DOES NOT PROVIDE FOR INSURANCE--POSTMASTER Received Frnll~: Etzweiler & Associates 105 N. Front Street Harrisburg, PA 17101 One piece of ordinary mail addressed to: Michael Cherewka, Esquire 624 N. Front Street WOrmleysbur~, PA 17043 Affix fee here in stamps or meter postage and PS Form 3817, Mar. 1989 'U.S.G.RO.: COMMONWEALTH OF PENNSYLVANIA COUNTY OF CUMBERLAND SS: I, Robert P. Zie~ler, Recorder of Deeds in and for said County and State do hereby certify that the Sheriff's Deed in which Mid Penn Bank is the grantee the same having been sold to said grantee on the 5th. day of March A.D., 2003., under and by virtue of a writ Execution issued on the 27th day of November, A.D., 2002, out of the Court of Common Pleas of said County as of.Civil Term, 2002 Number 5710, at the suit of Mid Penn Bank against Mrs Stamm's Bar B O Inc is duly recorded in Sheriff's Deed Book No. 256., Page 2976. IN TESTIMONY WHEREOF, I have hereunto set my hand and seal of said office this ,~ ! day of ~ .., A.D. 2003 Recorder of Deeds Mid Penn Bank In The Court of Common Pleas of VS Cumberland County, Pennsylvania Mrs. Stamm's Bar B Q, Inc. Writ No. 2002-5710 Civil Term Kenneth Gossert, Deputy Sheriff, who being duly sworn according to law, states that on December 13, 2002 at 1:13 o'clock PM, he served a true copy of the within Real Estate Writ, Notice and Description, in the above entitled action, upon the within named defendant, to wit: Mrs. Stamm's Bar B Q, Inc., by making known unto Lee Stamm, adult in charge for defendant, at 44 East High Street, Carlisle, Cumberland County, pennsylvania, its contents and at the same time handing to him personally the said true and correct copy of the same. Ron Hoover, Deputy Sheriff, who being duly sworn according to law, states that on January 8, 2003 at 3:36 o'clock P.M., he posted a true copy of the within Real Estate Writ, Notice, Poster and Description, in the above entitled action, upon the property of Mrs. Stamm's Bar B Q, Inc. located at 53 Heiser's Lane, Carlisle, Pennsylvania, according to law. R. Thomas Kline, Sheriff, who being duly sworn according to law says he served the above Real Estate Writ, Notice, Poster and Description in the following manner: The Sheriff mailed a notice of the pendency of the action to one of the within named defendants to wit: Mrs. Stamm's Bar B Q Inc., by regular mail to their last known address of 53 Heiser's Lane, Carlisle, PA 17013. This letter was mailed under the date of January 13, 2003 and never returned to the Sheriff's Office. R. Thomas Kline, Sheriff, who being duly sworn according to law, states that after due and legal notice had been given according to law, he exposed the within described premises at public venue or outcry at the Courthouse, Carlisle, Cumberland County, Pennsylvania on March 5, 2003 at 10:00 o'clock A.M. He sold the same for the sum of $1.00 to Attorney Christian Daghir for Mid Penn Bank. It being the highest bid and best price received for the same, Mid Penn Bank of 349 Union Street, Millersburg, PA 17061, being the buyer in this execution, paid to Sheriff R. Thomas Kline the sum of $722.75, it being costs. Sheriff's Costs: Docketing $30.00 Poundage 14.17 Posting Bills 15.00 Advertising 15.00 Acknowledging Deed 30.00 Auctioneer 10.00 Law Library .50 Prothonotary 1.00 Mileage 6.90 Certified Mail 2.79 Levy 15.00 PROOF OF PUBLICATION OF NOTICE IN CUMBERLAND LAW JOURNAL (Under Act No. 587, approved May 16, 1929), P. L.1784 STATE OF PENNSYLVANIA : : SS. COUNTY OF CUMBERLAND : Lisa Marie Coyne, Esquire, Editor of the Cumberland Law Journal, of the County and State aforesaid, being duly sworn, according to law, deposes and says that the Cumberland Law Journal, a legal periodical published in the Borough of Carlisle in the County and State aforesaid, was established January 2, 1952, and designated by the local courts as the official legal periodical for the publication of all legal notices, and has, since January 2, 1952, been regularly issued weekly in the said County, and that the printed notice or publication attached hereto is exactly the same as was printed in the regular editions and issues of the said Cumberland Law Journal on the following dates, viz: JANUARY 31, FEBRUARY 7, 14, 2003 Affiant further deposes that he is authorized to verify this statement by the Cumberland Law Journal, a legal periodical of general circulation, and that he is not interested in the subject matter of the aforesaid notice or advertisement, and that all allegations in the foregoing statements as to time, place and character of publication are true. REAL ESTATE SALE NO. 49 Writ No. 2002-5710 Civil Mid Penn Bank VS. Mrs. Stamm's Bar B Q, Inc. Atty.: Christian Daghir LEGAL DESCRIPTION ALL that certain tract of land lo- cated in South Middleton Township, Cumberland County, Pennsylvania, more particularly bounded and de- scribed as follows: BEGINNING at a point on the South side of Township Road No. 514, approximately one-quarter of a mile east of the intersection of said Township Road with State Highway Route No. 34, said beginning point being in line of lands now or for- merly of Floyd Weibley; thence by said lands South 17 degrees West 70 1/4 perches to a point at line of lands now or formerly of S. Fred S~ORN TO AND SUBSCRIBED before me this 14 .day of FEBRUARY, 2003. AL/~EGAL ~)'~mn Daghir ~CR/PTION cated more lo- BE a~d de- SOuth a Point on the 514, Road No. o£ Rou: ofsa/d merly of Point Sa/d or for- lax est Na line of 65 I~red to a North Perches 1/2 now or 17 toa of 1/2 Side Perches. perches.41 and houBsEe.lNaG' improved V~th 10 bulld[~ COncrete blo_~'~ a dWellin~ ~'~ and o~h.- . c~ proce~ BEING ~"~" °Ul/dlngs. ~ the by deed d~'~ ~/k/a ~. ~ ~ W~eh ~d recorde ~rl~d , eed~J · for the ~zg. Page 81 °un~n and for ' ~ecord Book ed to Mrs ~' grant, ed and con . Stature s ' L~sa M~ ro ~day of THE PATRIOT NEWS THESUNDAY PATRIOT NEWS Proof of Publication UnderAct No. 587, Approved May 16, 1929 Commonwealth of Pennsylvania, County of Dauphin} ss JOSEPH A. DENNISON being duly sworn according to law, deposes and says: That he is the Asst. Controller of The Patriot News Co., a corporation organized and existing under the laws of the Commonwealth of Pennsylvania, with its principal office and place of business at 812 to 818 Market Street, in the City of Harrisburg, County of Dauphin, State of Pennsylvania, owner and publisher of The Patriot-News and The Sunday Patriot-News newspapers of general circulation, printed and published at 812 to 818 Market Street, in the City, County and State aforesaid; that The Patriot-News and The Sunday Patriot-News were established March 4th, 1854, and September 18th, 1949, respectively, and all have been continuously published ever since; That the printed notice or publication which is securely attached hereto is exactly as printed and published in their regular daily and/or Sunday/ Metro editions which appeared on the 28th day(s) of January and the 4th and 11th day(s) of February 2003. That neither he nor said Company is interested in the subject matter of said printed notice or advertising, and that all of the allegations of this statement as to the time, place and character of publication are true; and That he has personal knowledge of the facts aforesaid and is duly authorized and empowered to verify this statement on behalf of The Patriot-News Co. aforesaid by virtue and pursuant to a resolution unanimously passed and adopted severally by the stockholders and board of directors of the said Company and subsequently duly recorded in the office for the Recording of Deeds in and for said County of Dauphin in Miscellaneous Book "M", Volume14, Page317. ~ ~' ~O PUBLICATION ................................... ii..[ ......... COPY Sworn to an re m~i 3 A.D. S A L E #49 Terry L. Russell, Notary Pu~/~, City Of Hardsbuq:J, Dauphin ~c'-' .-'~,.?'/'?'/ My ~ssio~ Expires June 6, 2006 Member, Pe~sytvan~ Association Of N~a~ commission expires June 6, 2006 CUMBERLAND COUNTY SHERIFFS OFFICE CUMBERLAND COUNTY COURTHOUSE CARLISLE, PA. 17013 Statement of Advertising Costs To THE PATRIOT-NEWS CO., Dr. For publishing the notice or publication attached hereto on the above stated dates Probating same Notary Fee(s) Total $ 233.43 $ 1.75 $ 235.18 Publisher's Receipt for Advertising Cost The Patriot News Co., publisher of The Patriot-News and The Sunda_v Patriot-News, newspapers of general circulation, hereby acknowledge receipt of the aforesaid notice and publication costs and certifies that the same have been duly paid.