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HomeMy WebLinkAbout97-04837 " . ; " , ,I " ~ ~ ~ ( --.. ,:>. ,~) ::>" " ~ i- n. "~ [C- ,:';': ...~ .... '~::5 f\U~ ;E ~ '-. ':'' ,1.: ) ~-!~ 3 :'\, .....t: ')~'J , ')1 . ."~ 8 ,~ "'" '(') 11' In", ...... -- :' ..... 1_[:;;:::: ~ ~ 1:1 :JLU \,j , ',JJtJ. 0 ...~ ~ I~, l',j 8 (~) 0 or. OCT I b r: A~~Y , Pil, II n3 CUI.:i.;;.1 i., , ii, I~()UNTY' P!:rM3YLVi<.N!A " , ' " , , I', ~\- ~ I, '* mLA~MEDl P 367 519 664 MAIL r .....," .J " , .. '," "r \':j'J.~.:~ klt.~L:t.~-' " '.., '''('.,,',: lh,lJ':'"...u I L~ Inc, t/a flllllIotic. ~~.~.t-97 Sand Notict 0 ,,1 r!-7 IleIurned 0 -:I. - f [IPT REQUEST{' '. "c,-.i,<;I:;'i",~.hM:hl ., " . " , "~ 1 .' " . i , 4 ,.' .,). ," , I !\ " I 'I' . ~ \ , . '- . ....... __a ..... " \ i .- *' CERTIFIED ... . P 367 519 bb5 . . . . . . :3.23: : . '. . U.I, ,olun : COUNTY OF CUMBERLAND OHlce 0' The Sheriff 1 Courthouse Square Carlisle. Pennsylvania 17013 MAIL 0000 !:Ij lill. .1 !I II i11i I 11811 i I . UHu:m j'iiCE1PT nt~UESTED -_.~,~., ~NCLAlM~ Hill HOldings,Inc, t/a ack Materials Box 62 ......Notice 0;,/ ~ ~ 7 Ie, VA~NIIIlat '1_~ .(j IlelurIIICI 0 - , - 7 tmJIM lEti\Pl linutSlU .. , ,",.j .-'.......~/,.\ , '" ~, ~.... -I',:"' . , i'r. ...:l' r. I~ c'- ~9 N I'; t5::;; f < .lC \ ::'. ~~ u.. .,. " ',) :j " I'; cr. -- , , f,.. ... ;.J~ CI:LL' -' ~~ C:" ...,,, - :'3 t3 ,... .. C'J\ 0 , , .;j.'.; ~. c.) , (. ~-;. (.: , j'-' .. .... "" . , .. \\:'. ' '.1. --,' l. \' ~ '.~' ',", \" l, \,,' I ~ ,'j i.L'" l.j > (/, C:i) ,. r- " L' I)' ~) '""'\ 1 ~ . . ~" ~\' I ;;) ~ ";J- ~ <r- 010 Jl. - .3 ...) - I.-. - ~~ I a ~ ~ 0 idj . >Tit < ,~ k iJ . . .. .. .. .. contained in the first pag~ of ~laintiff's letter of September 9, 1996. 11. In that same telephone discussion, however, Amos offered, to employ ~laintiff for certain work upon the ~roject on a time, mat~ria1s, and expense basis at the rates set forth on the second page of the ~roposal, and Amos agreed that payment to ~laintiff would be due at the offices of Plaintiff upon presentation of an invoice from Plaintiff to Defendant for ~laintiff's work. 12. Plaintiff agreed to perform the 'requested work upon the project for the Defendant on a time, materials, and expense basis in accordance with the second page of the Proposal such work to be performed over a one week period beginning on September 30, 1996, and ending on October 6, 1996. 13. Plaintiff proceeded to supply the services requested by Defendant for the agreed upon work upon the project beginning on September 3D, 1996. 14. At the request of Defendant to meet Defendant's needs, Plaintiff agreed to make its services available to Defendant fot an additional period of one week. 15. Plaintiff's work upon the Project ceased on Octover 12, 1996. 16. Plaintiff kept accurate records of the time, mat.edal, and expenses incurred vy it in performance of lts work on behalf of (:\1. WORK,\MIIK.""OOlW1111 ^. WPD - J - .i, ,.. . " " '. " , , ,l" , ," , " ", , i' 'I . . . ~ .:1' '>-- ~.. C " <... 'j >- ~~i ! -, I~~(. , ~'l .... J~ , lJ.." i!-jr \t:) &1 ~-'. 'I' C"..i CO: I: I :it' ,:;(._cj, J,. I. "~" ._,d.... .. ..--; ".. l-: C'I ..J U ll' '.,) between Luther N, Amos, }r" Jnel },!scph V, Capuann, or what, if ,my thing, was gtmeri.lted as i.l result of any specific telephone conversiltions, 9, Denied, Luther N, Amos, }r" reviewed a proposal from MATX, Inc" with representatives of NelV York Sand. LLC. 10. Denied, After reasonable investigation, the defendant, Trappe Hill Holdings, Inc" is unablc to determine the veracity of the averment, and proof thereof is demanded, 11. Denied, After reasonable investigation, the defendant, Trappe Hill Holdings, Inc., is unable to determine the veracity of the averment, and proot thereof is demanded, 12. Denied. The plaintiff did not enter into any agreement with the defendant, Trappe Hill Holdings, Inc. 13. Denied, The answer to paragraph 12 is incorporated herein and reference is made thereto, 14. Denied. The answer to paragraph 12 is incorporated herein and reference is made thereto, 15. Denied. The answer to paragraph 12 is incol'porated herein and reference is made thereto, 16. Denied. The answer to paragraph 12 is incorporated herein and reference is made thereto, 17, Denied, The answer to paragraph 12 is incorporated herein and reference is made thereto, 18. Denied. The answer to paragraph 12 is incorporated herein and reference is made thereto, 19. Denied. The answer to paragraph 12 is incorporated herein and reference is made thereto, 20. Denied. The answer to paragraph 12 is incorporated herein and reference is made thereto, 21. Denied, The answer to paragraph 12 is incorporated herein and reference is made thereto, 22. Denied, After reasonable investigation, the defendant, Trappe Hill Holdings, Inc., is unable to determine the veracity of the averment, and proof thereof is demanded. 1 _.. 1 2 3 4 5 6 7 , PlaintUf CUMBERLAND COUNTY, PENNSYLVANIA v, 97-4838 CIVIL TRAPPE HILL HOLDINGS, INC., trading as McCORMACK MATERIALS, Defendant CIVIL ACTION - LAW v. IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA 97-4837 CIVIL / MATX, INC. 8 9 TRAPPE HILL HOLDINGS, 10 INC., trading as McCORMACK MATERIALS, 11 Defendant CIVIL ACTION - LAW 12 DIilPOSITION OF: Luther N, Amos, Jr. 13 '. 14 15 16 17 18 19 APPIilARANCES: TAKIilN BY: Plaintiff BIilFORIil: Amy S. Intrieri, Notary Public Dauphin County, pennsylvania ~ 'I, , '~ BEGINNING: Thursday, July 9, 1998 3:09 p.m. 3904 Trindle Road Camp Hill, pennsylvania 20 21 22 23 24 t".,J 25 GEORGE A. VAUGHN, III, ESQUIRE 3904 Trindle Road Camp Hill, Pennsylvania 17011 Appearing on behalf of the ~laintiff WILLIAM P. DOUGLAS, ESQUIRE DOUGLAS, DOUGLAS & DOUGLAS 27 West High Street P.O. Box 261 Carlisle, pennsylvania 17013-0261 Appearing on behalf of the Defendant ~ ee,~~ !nltf con >"-', \.....) 2 1 2 PLAUITI... 3 Luther N. Amos, Jr. 4 5 6 7 PLAIIITI... 8 Exhibit A 9 10 11 12 DIRRCT CROSS 3 15 RRDIRRCT RRCROSS 20 IIIDRX TO RX.I.ITS IDRIITI.IRD 11 ADIIITTRD 13 14 15 16 17 18 19 20 21 22 23 24 25 ".,. 3 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 It ie hereby stipulated by and between counsel for the respective parties that reading, signing, sealing and filing are waived and that all objections, except as to the form of the question, are reserved until the time of trial, LUTH.R N. AMOS, JRLL called as a witness, having been duly sworn, was examined and testified as follows: DIR.CT .XAKINATION BY MR. VAUGHN: Q Now is the time and place fixed for the deposition of Luther N. Amos, Jr., in the matter of Luther N. Amos, Jr, versus Trappe Hill Holdings, Inc. Present today are Mr. Amos and Mr, Douglas, Attorney for the Defendant. And I'm George vaughn, Attorney for the Plaintiff, Mr, Amos hae been sworn. Would you state your full name for us please? A Luther Newell Amos, Jr. Q And how old are you, sir? A 69, Q Do people normally call you Luke? A Yes. Q All right. Where do you reside? A One Royal Oak Circle, Camp Hill, pennsylvania 17011, c-~" .,,,'" 1 2 A 3 Q 4 A 5 Q 6 A 7 Q 8 company? 9 A 10 Q 11 A 12 Q 4 Corl'ect. How long have you resided at that address? Since 1971. Are you currently employed by someone else? No. Are you retired from employment by some other 'fee. Is that other company L.B. Smith? Correct. How long -- when did you retire from L.B. Smith? 13 A January 1, 1994. 14 Q And when you retired, what was your position 15 immediately before retiring at L.B. Smith? 16 A Chief engineer, 17 Q How long had you been chief engineer? 18 A I believe it was 25 years. 19 Q And as chief engineer, where -- where at L.B. 20 Smith's facilities did you work? 21 A Along the -. at 2001 State Road, Camp Hill. 22 Q pennsylvania? 23 A pennsylvania. 24 Q Also in Cumberland County? 25 A Correct. 13 14 15 16 17 18 19 20 21 22 23 24 25 '.- 5 1 2 A Yes. 3 Q The matter that has given rise to this 4 litigation involves what I refer to as a project for 5 simplicity located in New Brunswick, Canada, is that 6 correct? 7 A That is correct, 8 Q What was the nature of that project? 9 A The nature of that project was to obtain course 10 sand to ship to Brooklyn, New York to mix with fine sand 11 coming off a dredge that was working off of Marcus Hook, 12 New Jersey, Q When was it that you first became involved in this project? And by involved, I mean asked to do work for compensation with respect to this project? A In April of 1996. Q Where were you when you firet became involved in this project? A At my residence in Camp Hill. Q And what happened to get you involved in this project? A A Randy Waterman of McCormack Materials called me and iaid he needed help in solving a problem whereby a friend of his -- Q Let'e stop there. It's not -- I'll let Mr. 1 2 3 4 5 6 1 8 9 10 11 12 13 14 15 16 11 18 19 20 21 22 23 24 25 .......... 6 er ques e don't need to get into that much detail. A He asked me to solve problems for him and recommend equipment for this project, Q And how did you respond to that? A And I said I'd be glad to, Randy. I get $50 an hour plus expenses. Q And did Mr. Waterman explain to you where the project was located? A Yes, he did explain that it would eventually be in New Brunswick, Canada but he wanted me to go to Monrocville, Kentucky to straighten out a bunch of used equipment people there and look at other used equipment. Q And was that work for related to equipment for the project A Yee. Q - - in New Brunswick? A Yes. Q Did you continue to perform work pursuant to this request from Mr. Waterman? A Yes. Q And was all of that work related to this project in New Brunswick? A Yes. Q Was any of that work done here in Camp Hill? 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 7 1 2 Q 3 Hill? , yes. And what kind of work was done here in camp A Making contacts with used equipment dealers so I could go look at the equipment for one thing. Checking designs of equipment that these people in Monroeville, Kentucky were building from used equipment and designing a eand and gravel plant for New Brunswick. Q Did -- in the course of doing that work in Camp Hill, did you have additional conversations with Mr. Waterman? A Continually. Q And those were telephone conversations I assume or personal conversations? A Telephone conversations and faxes back and forth. When I couldn't get him on the phone, I'd send him a fax. Q When you went to work on thie project for Mr. Waterman, did you -- how was it that you were going to be paid? And by that I mean what was the mechanism by which you were going to be paid? A I would just send him an invoice and he would send me a check. o Okay. And did you send him invoices -- A Yes, 22 22 23 24 25 8 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 e course 0 A Yes, throughout '96. o When did you stop working on this project? Was it still 1996? A The end of 1996, yes. o So from the period from April to the end of 1996/ approximately how many invoices did you Bend to Mr. Waterman? A probably twelve. o And did you receive payments on those invoices? A I received payments on eleven of them. o And the payments -- where did you receive thoee payments? A At my residence in Camp Hill, pennsylvania, o And they were in the form of a check from -- A Correct. o Is it correct to say that you spent a significant amount of time in the summer of 1996 in New Brunswick? A Yes, I had six trips over to New Brunswick. o And that was all related to this project we've been talking about; is that correct? A That's correct. Q Now, the invoices that were sent during that period -- strike that, While you were working on the 9 1 , were you v ng 2 in that area or were you living at your residence in camp 3 Hill? 4 A NO, I wae staying at my eummer place at the lake 5 in Maine. 6 Q Okay. And with respect to the invoices that you 7 sent for your work during that period of time, did you 8 send those invoices from Maine or New Brunswick or some 9 other location? 10 A NO, they all originated from Camp Hill, 11 Pennsylvania. I would fax my wife who was at my residence 12 a handwritten copy of the invoice, She'd type it and mail 13 it from Camp Hill to Virginia. 14 Q Did you know Mr, Waterman before he contacted 15 you in April of 1996? 16 A Very definitely. 17 Q Did you know of the name McCormack Materials 18 before April of 1996? 19 A YE'lS, 20 Q How is it that you knew of those; Mr. Waterman 21 and the name McCormack Materials? 22 A We did business with McCormack Materials I would 23 say for 20 years prior to my retirement. 24 Q And when you say we did business, you're 25 raferring to [., B, Smith? , 10 1 2 3 4 5 6 7 8 9 10 ee. a And was that business done at the location in Camp Hill where you worked? A Yes, a Now, what kind of business is L.B. Smith in, just briefly? A They are designers and suppliers of quarry equipment, sand and gravel plants, material handling systems. a And your involvement with Mr, Waterman and 11 McCormack Materials during your time at L.B, Smith had to 12 do with the purchase of that kind of equipment? 13 A That is correc t . 14 a Was your involvement while at L.B. Smith related 15 to just a single project? 16 17 18 19 20 21 22 23 24 25 A No, they were ongoing projects, Randy Waterman always had something cooking some place. a In the time from 1990 until you retired in 1994, can you recall how many different projects? A Well, there was at least one or two. a And in the time of the 1980'6 were you working on any projects at L.B, Smith which involved Mr. Waterman and McCormack Materials? A There might have been four or five in that period, 12 lose some 0 ose your no es 2 A Some are my notes and some are by Ned Woolford 3 notes to me about the letter. 4 5 6 7 8 9 10 11 12 0 And the date of this letter is? A January 31, 1996. 0 Did you receive the letter ehortly after that? A The fax date is February 2nd, '96. 0 Do you continue to be in contact with the people at L.B. Smith that you worked with before? A Yes, I just had lunch with Ned Woolford this noon. 13 14 15 16 o And you did do -- strike that. Is it correct that you did supply to L.B. Smith information about this letter and the plant that Mr. Waterman was trying to have constructed? A Yes. 17 0 Do you know whether or not that plant was 18 constructed? 19 A No. 20 0 No, you don't know? 21 A I know it was not constructed because it turned 22 out he had to build a railroad to get it from the deposit 23 to the ocean for ocean freight, And it turned out to be 24 too expensive, 25 0 In our - - strike that. tn the complaint which 13 1 was e company 2 Trappe Hill Holdings, Incorporated having an office or 3 business location in upperville, Virginia on Willieville 4 Road. Do you know what is located at Willieville Road? 5 In other words, is there a sand and gravel plant there? 6 Is there a factory? 7 A I've never been there but I've been told from 8 Randy Waterman's direct associates that is hie home. And 9 there are not are or is there are not any sand and 10 gravel plants in that area or on his property there, I've 11 also been told that he has a 40 barn horse farm there or 12 40 stall horse barn, 13 Q Off the record. 14 (Discussion off the record.) 15 BY MR. VAUGHN: 16 Q In your dealings with McCormack Materials and 17 Mr. Waterman while at L.B. Smith, was -- were all of those 18 dealings related to the same kind of business; that is 19 sand and gravel extraction or screening or shipping? 20 A Yes, 21 Q And do you know whether or not McCormack 22 M&terials is involved in any other business other than 23 business of that nature? 24 A I really don't know everything he's involved in, 25 Q With reepect -- now wait -- Btrike that. This ,'-', 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 14 memory or you. ze you have the records of L.B. Smith available to you today, do you? A That's correct. Q Can you recall fairly clearly the last projects or the last several projects that you worked on at L.B. Smith involving Mr. Waterman and McCormack Materials? A Yes. Q Were you, in the course of your work, privied to the cost or expense of those projecte? A Yes, I was. Q Do you A Now, they changed the name of the company at South Amboy where the last projects were. And I'm trying to think of what we did when it was McCormack aggregates. At that time that was a complete sand classification plant which probably wae in the neighborhood of a half a million dollars. Q Was the half a million dollar figure that you just mentioned the contract price between L.B. Smith and McCormack Materials? A Yes. Q And that's the last project that you worked for? A That I worked on for McCormack Materials. Q At L,B. Smith? 15 1 2 Q Did you have the same recollection about the 3 project before that? 4 A The project before that was in Plainsboro, New 5 Jersey. And that came to us in bite and pieces totaling 6 maybe another half million because that had an expensive 7 crusher in it to crush the oversize gravel. e Q Did you ever -- well, I think you already 9 testified to this, Did you ever go down to the 10 Upperville, Virginia location and have discussions about 11 this project with Mr, Waterman in Virginia? 12 A No, 13 MR. VAUGHN: I think that's all I have. 14 CROSS .XAKINATION 15 BY MR. DOUGLAS: 16 Q When you're talking about this project with that 17 laet question, I assume that you're talking about the one 18 that's the subject matter of this lawsuit? 19 A Yes. 20 Q Okay. What I'm going to do is walk back 21 through, You had stated that Randy McCormack had 22 contacted you 23 A Randy Waterman, 24 Q Excuse me, Randy Waterman. I'll turn this over, 25 Randy Waterman had contacted you at your home in Camp 16 1 2 3 4 5 6 7 8 0 Then you stated that you had some faxes and 9 phone calls back and forth. 10 A Continually, 11 0 Continually. And I assume at some point, you 12 all met together up in Canada with respect to this job? 13 A Yes. 14 0 And that was where the jOb was -- that's where 15 the project was being built? 16 A That's correct. 17 0 When you say that McCormack Materials did 18 business with L.B, Smith in the earlier nineties and in 19 the late eighties -- 20 A Correct. 21 0 -. with respect to those transactions. was L.B. 22 Smith selling equipment to McCormack Materials? 23 A Yes. 24 0 And were any of those projectB specifically, 25 whiCh you recall, in pennsylvania where this equipment was A Correct. 0 How did he make that contact? A By calling 'me on the telephone. 0 And did he tell you where he was? A Yes, becauee I believe at that time I received his home address from him. 17 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 A No. Q when you say no, you don't recall or, no, none were in Pennsylvania? A No, none were in pennsylvania. They were all in New Jersey, Q Would L.B. Smith deliver the materials to New Jeroey? A We would either contract for a hauler to deliver it or the customers would get their own trucks to come in and pick up the equipment. Q Other than the projects in New Jersey and the one project in Canada which is the subject matter of thie lawsuit, were there any other projects which you recall in any other states? A I don't remember anything outside New Jersey for McCormack Materials when I was working for L.B. Smith. Q Okay. With respect to working A I'm sorry, I'll have to change that because there was a project that we worked on in New York for McCormack Materials. Q When you say we, you're talking about you and your employment with L,B. Smith? A That's right and the salesman that I worked with, 16 , -~... l. once aga n, you so 2 Materials? 3 A Sold equipment. 4 Q Equipment. Do you ever recall specifically with 5 reepect to any of those jobs if Randy McCormack came here 6 or Randy Waterman, excuse me, came here to Camp Hill to 7 the L.B, Smith location? 6 A I don't ever remember him coming to Camp Hill 9 because we would always go to the site. 10 Q And when you say site, you're talking about 11 A I'm talking about the deposit or the plant. 12 Q The deposit, I assume meaning sand deposit? 13 A Yes, sand and gravel deposit, 14 Q And that would have either been in New Jersey or 15 New York or one in Canada which involved you personally? 16 A Yes, 17 Q You said that a salesman was involved with 16 McCormack Materials, Would that have been a salesman for 19 L.B. Smith? 20 A Correct, 21 Q And would that salesman go to the -- would it be 22 his practice to go to the site, wherever this ie going to 23 be built, and eye it up to see what needed to be done? 24 A That is correct. We worked as a salp.smen 25 engineer team at L.B. Smith on projects, And he would 19 1 me. 2 Q So I assume that someone from McCormack 3 Materials well, was Randy Waterman the person you 4 always dealt with from McCormack Materials? 5 A Yes. 6 Q I assume Randy Waterman would give a call to 7 L.B. Smith and talk to you or the salesman about where 8 some jOb was in New York/New Jersey? 9 A Correct. 10 Q So the best you can recollect, it was about a -- 11 correct me if I'm wrong -- about a half a dozen times 12 between 1986 up until the time that you retired that Randy 13 Waterman bought equipment from L.B. Smith? 14 A It would be a lot more than that. Because Randy 15 always tried to put something in that was less than our 16 recommendation, So after it didn't work, we'd always have 17 to go back and straighten it out. So we were continually 18 working with him. And it turned out to be a lot of small 19 orders. 20 Q And these small orders would be for the jobs in 21 New Jersey or the job in New York? 22 A Correct, 23 Q And the folks at L.B. Smith would sell the 24 equipment and provide the advice on what he should buy? 25 A That is correct, make the recommendation. -'." 13 , , 14 15 16 17 18 19 20 21 22 23 24 25 ..' 20 1 ave. 2 R8DIR8CT 8XAMINATION 3 BY MR. VAUGHN: 4 Referring to this project and your contact Q 5 beginning in April of 1996, you talked about continuous 6 faxes and phone calls between you and Mr. Waterman. Are 7 you talking about a few over a period of time? Can you 8 give us any kind af number of how many phone calls or 9 faxes you received in camp Hill? 10 A In the hundreds. I have 12 inches of files. 11 Q Thank you. With respect to your time at L.B. 12 Smith Ford -- A No, Q No, this is a new question. A I wasn't at L.B, Smith Ford, Q I'm sorry, I said L,B, Smith Ford. Let's chop some of that off, Let's start allover here again. With respect to your time at L.B. Smith and your involvement w!th Mr. Waterman and his company then, did anyone from his company come to Camp Hill to inspect equipment or review the work or get advice from L.B. Smith? A His right-hand man Mike Glinch probably was -- I believe that Mike was at L.B, Smith to look at the equipment, Q Is that probably and believe or is that, yes, he 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 .- 22 COMMONWEALTH OF PENNSYLVANIA COUNTY OF DAUPHIN I, AMY S. INTRIERI, a Notary Public duly commissioned and qualified in and for the County of Dauphin, Commonwealth of pennsylvania, with authority throughout the Commonwealth of penneylvania, do hereby certify that LUTB.R H. AMOS. JR,. who was by me duly sworn to testify to the truth and nothing but the truth of his knowledge touching and concerning the matters in controversy in this cause; that he was thereupon carefully examined upon his oath and the examination reduced to writing under my supervision; that the deposition is a true record of the testimony given by the witness. I further certify that I am neither attorney nor counsel for, nor related to or employed by any of the parties to the action in which this deposition is taken, and further that I am not a relative or employee of any attorney or counsel, employed by the partiee hereto or financially interested in the action. 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 . __.J' 23 affixed my notarial seal this __:'.l.-:!:.!l. day of 1998. My commission expires: NOTARIAL SEAL AMY 5 INTf1IEnI, Nol.,.,. Publlo Cav of Harm,~\J."J. Dauphin County ... CQmml5:llon 1.)"P:Il.1 Au . 9, 1m . / L b)J,./f'/ lX!...l.!<<,,:( AMY S. INTRIERI NOTARY PUBLIC I hereby certify that the evidence and proceedings are contained fully and accurately in the notes taken by me during the deposition ot the within cause, and that this is a true and correct transcript of the same. . ' ), /) ,/ j'-r . ( / J li.L..:::JL,-_~.!k:.!:.i.!.i..~.L_ (/ AMY S. INTRIBRI Court Reporter THB FORBGOING CSRTIPICATION OF THIS TRANSCRIPT DOBS NOT APPLY TO ANY REPRODUCTION OF THS SAME BY ANY MSANS UNLESS UNDBR THE DIRECT CONTROL AND/OR SUPiRVISION OF THB CSRTIFYING REPORTER. _0-". 2 1 WITNESSES 2 NAME EXAMINATION 3 JOSEPH V. CAPUANO 4 BYI MR. VAUGHN 3 5 BYl MR. DOUGLAS 15 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 V 24 25 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 ~ 24 25 3 STIPULATION It is hereby stipulated by and between counsel for the respective parties that reading, signing, sealing, certification and filing are hereby waived; and that all objections except as to the form of the question are reserved to the time of trial. JOSEPH V. CAPUANO, called as a witness, being duly sworn, testified as follows: EXAMINATION BY MR. VAUGHN: Q Now is the time and place fixed for a deposition of Joseph V. Capuano in the matter of MATX, Inc. versus Trappe Hill Holdings, Inc., and present is Mr. Capuano. And I am attorney for the Plaintiff, George A. Vaughn III, and Mr. William Douglas is here as attorney for the Defendant, We have spoken briefly before the beginning of this deposition and have agreed that the purpose of this deposition is to address the jurisdictional issue which has been raised by preliminary objections filed on behalf of the Defendant. And we are in agreement also that if there is to be a substantive deposition regarding this matter in the future, deposition of Mr. Capuano, that that certainly can be conducted at a later date, Mr, Capuano, would you state your full name for us, please? ,"'~, 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 V 24 25 5 o Okay. Do you have any background as an engineer yourself? A I'm a registered engineer -- civil engineer in I?ennsylvania. Q The time focus of this matter is 1996. You were MATX was in operation in 1996; is that correct? A Yes. o And did you have occasion to become involved in a project with Trappe Hill Holdings, Inc. in 1996? A Well, I was involved with McCormack Materials which I now realize is Trapp~ Hill Holdings, yes. o And what was Y01~r first involvement in 1996 with McCormack Materials? A Early in 1996 in April we were contacted by Luke Amos -- Luther Amos who is a consultant for McCormack Materials about putting two conveyors j,n to load ships in New Brunswick, New Jersey. o New Brunswick, New Jersey or New Brunswick -- A I mean New Brunswick, Canada. I wish it had been in Jersey. o All right. And how were you contacted by Mr. Amos? A He called me up and said that he was working on these conveyors for Randy Waterman, and Randy wanted me to go up and install them for him, ,'....., 6 1 0 Were you familiar with the name Randy Waterman? 2 A Yes. We had worked for Randy previous to that in 3 South Amboy, New Jersey. 4 0 And was it your understanding that Randy was -- 5 without getting into the exact relationship, but Randy and 6 McCormack Materials were the same thing in your view? "'" 7 e 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 A Yes, they were. o The telephone discussions that you had with Mr. Amos regarding ~his conveyor work in New Brunswick, where were you when those conversations took place? A I was in my office. He faxed me sketches and an outline of what was to be done. o All right. Did you go up to New Brunswick yourself to supervise or be involved in the conveyor work? A After we got -- I told him that if we did the job I'd have to go up and take two guys, whether it was a short job and we wanted to turn around and get out of there. So I took two guys and went up there and put the two conveyors on. o All right. Did you have A Actually, three guys -- I took three guys up. o With respect to this conveyor work, did you have any conversations with Mr. Waterman directly? A I didn't have any direct conversations, I called him three or four times. and he called me two or three times, And I left meflsages on his and faxed him, hnd he 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 '-' 24 25 ., left messages, but we never talked directly. Q All right. And the calls that you made to him where did they originate from? A I called from my office to his office in Virginia. Q And the calls that you got back were the messages that were left by him for you? Where were those messages left? A In my office in Carlisle. Q The work. on the conveyors was done? A Yes. Q And you've been paid for that? That's not part of the actual complaints that we have filed; is that correct? A Q that job? A Q Yes. I was paid for it. When you were paid how did you receive payment for We got a check from McCormack Materials. And did you receive that at your office in Carlisle? A Yes. Q Did you have any further dealings then with McCormack Materials with respect to this New Brunswick location or project? A Not until the project that we're in question over here right now came up. Q Okay. Just so everybody can get some L 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 ...-1 24 25 8 understanding of what we're talking about, is this all one project? What was the nature or relationship between the conveyor aspect of things and the A The two conveyors were to load ships. Q What were they loading ships with? A Sand and gravel. The sand and gravel was mine at a local pit near the dock. Later there was another pit opened farther from the dock. The material needed processed to a greater degree than the original pit. So this equipment then was purchased and sent up there to that second pit, and that's when we were asked to go up and install that. So it was part of thin whole operation to get sand and gravel on the ship and send it to Brooklyn. Q Okay. So the second aspect of the project how is it that you came to be involved in that? A Luke Amos called me and said they had this plant, and Randy wanted me to give him a price to put the plant in. And I worked up a price and called him up and told him what the number was. Q When waR it as best as you can r.ecall when you were first contacted by Luke Amos about putting up the plant? A Early in August -- sometime in August of '96. Q And how was that contact made? telephone? fax? A He called me. He called me first and told me about it, and then he faxed me some sketches he made. I '-, 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 ~ 24 25 9 think he might have made about the layout of the plant, telling me how many conveyors there were, where the screens were, the piping was to go. Typically, we've done this a lot because we know that what it takes to put a conveyor up or a screen or whatever because we do a lot of this. So just getting a sketch with the stuff on it's easy for us to quote the job. Q And the phone conversation that you had with Mr. Amos where were you located when that took place? A I was in my office. Q And I believe you said you thought he was in Maine; is that correct? A I'm pretty sure he was in Maine because he w~s up there a lot a~ that time trying to coordinate this deal and you know get it put together. Q I assume this Maine location -- strike that. As a result of the phone conversation and the material that was faxed to you did you prepare any kind of proposal to submit to McCormack Materials? A We sent a formal. proposal. Right. Q And is that the proposal that's attached as Exhibit A A Yes, it is. Q - - to the contract, a letter of youx's, dated September 9th, 1996? ~ 1 2 3 4 5 6 7 8 9 10 11 ) 12 13 14 15 16 1"1 18 19 20 21 22 23 24 25 '-I 10 A Right. Q That shows an address on it to McCormack Materials in care of Randy Waterman at an address in Upperville, Virginia? A Right. Q And it also shows a fax number. Would this have been faxed to Mr. Waterman? A Yes. It was faxed. We put the fax number on the letter when we faxed it. Q And would this have been sent to anybody else? A Well, it went to Luke Amos too. Q It was sent from your office in Carlisle? A Yes. Q Did you get a response from Mr. Waterman or Mr. Amos to this proposal? A I didn't talk to Randy. Luke said that -- called me up and said Randy wants you to send two guys up there because they have -- the guy that he was dealing with on this in Canada was getting paid part of the royalty or the cost of the material, had people and all he needed was two people. And he was trying to keep the cost down just long enough to get the main part of the plant erected. Q And that phone call again, where were you when you received that phone call? A I was in my office. "......., 1 2 3 4 5 6 7 a 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 "wi 24 25 11 Q Is it correct to say that the work that you were doing under your proposal was essentially a time and materials kind of work? A Yes. It was time and material. Q And how were you going to be paid, or how did you expect to be paid for that work? A I expected him to pay me for the labor, the materials and whatever I expended. Q And -- strike that. You aubmitted this proposal to Mr. Waterman and to Mr. Amos. Mr. Amos contacted you and asked you to proceed; is that correct? A Yes. Q Now were you able to tell him in that telephone conversation, yes, I will proceed, or did you have to do something else before you could agree to send anybody up there? A Well, what happened is I worked up the price and called him up and said the lump sum number because that's what he wanted was a hundred-and-some thousand dollars. He said I guess you don't want to do the job, and I said, well, you know, that's what it's going to take. I've done too many of these. Tnat's what it's going to take. He said, well, Randy has these people up here. Why don't you give me a time-and-material price, or really what he wanted me to do is he wanted me to give him a 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 ........., 24 25 12 lump-sum price and deduct the labor that they were going to furnish. And I said, no, because I don't know what the quality of the labor is, and I'm not going to be responsible __ I'm not going to give you a lump-sum price, and I'm going to take the beating because these people don't know what they're doing because he told me they didn't know what they were doing. And he said, well, just give us two guys and we'll will do the bulk of the work and you just get the major part of the plan out. So I said fine, and that's why I gave him the rates. Q Okay. I didn't really want to do the job on a time-and-material basis because we had a lot of other work going on, and if I pulled these guys off the job I had to give something up. So when he called me I said, well, I'll just have to look because you know I don't know whether these guys are available or not. Q All right. You received a response from Mr. Amos saying that they wanted your men up there? A Right. Q Based on the proposal you had sent? A He wanted two men with a Bervice truck there. Q Now did you have to do anything to be in a position to provide those two men? A Just schedule them, find out if I ~et them free. 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 ...,.) 24 25 13 Q And if you could not get those men free would you have performed the work? A No. Q Were you able to get those men free? A With a lot of difficulty because he told me he only needed them for a short time. Q A Q been paid correct? A Q area? A Q All right. And they were eventually sent up? Right. And this is the work,and expenses that haven't for that form the basis of this claim; is that That's correct. And those men were they sent up from the Carlisle Right. From our shop in Mt. Holly. Okay. In your discussions in August and September of 1996, leading to the sending of these two men, were all of your phone calls with Mr. Amos taken by you in Carlisle? A Yes. Q And did you place phone calls to him also, or was this always j,ust Mr. Amos contacting you? A I called him. I think I called him in Maine mQybe once, but most of the time he called me. Q And again was there any calls that you made to him were they from your Carlisle location? 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 '-' 24 25 14 A Yeah. They were from Carlisle. Q Again, before leading up to this proposal and the sending of the two men, how many phone calls do you think that you and Mr. Amos exchanged over that period of time? A Well, I'd have to say we had more than normal, so we probably might have had six or seven because there was a lot of discussion about who we were going to send and were they available. Q And were there discussions also between you and Mr. Amos about how you would be paid once the work was completed? A Q No. We didn't talk about that. In connection with this work that was done under this proposal of September 9th, did you go up to New !Brunswick? A No. Q At any time did Mr. Waterman contact you or anybody else contact you to tell you that Mr. Amos was not acting on behalf of McCormack Materials? A No. Q And have you been paid any part of the amount that you invo~ced for this work done under the September 9th proposals? A Zilch. Nada. MR. VAUGHN: I think that's all t have at this .-,....., 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 .01 ~ 22 23 24 2'5 15 , time. BY MR. DOUGLAS: Q Sir, with respect to Luther Amos, did you know Luther Amos prior to 1996? A Oh, yes. Q And how did you know Luther Amos? A He worked for L.B. Smith, and we did a substantial amount of work for L.B. Smith. Q In 1996 was he working for L.B. Smith? A No. Q What did he do for L.B. Smith when you dealt with him there? A He was their chief engineer. Q It's my understanding then after leaving L.B. Smith he became a consulting engineer? A He was and is doing consulting. That's right. Q And is it your understanding that he was doing consulting work for McCor.mack Materials in 1996? A Yes. Q And his capacity as a consultant that's how he got in touch with you? A Yes. Q You said that when you were talking with him he was up in Maine. Was he residing in Maine at the time? A Yeah. He has his place that he goes in the '.', 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 ""-"" 24 25 16 summertime. But he was also there I think because he was running over to New Brunswick to put together what was needed to screen the material. Q At any time did you talk with Luther Amos here in Central Pennsylvania concerning the job up in New Brunswick -- A No. Q -- prior to the dispute arising between yourself and Trappe Hill Holdings, Inc.? A I'm sorry. I really don't know what -- would you ask the question again. Q You had talked about faxes and phone conversations with different A Right. Q -- with different people. It I S my understanding well, let me back up. It's my understanding as far as Randy Waterman is concerned your communications with him were a series of messages being left by each other via telephone? Or faxes. Or faxes. My faxes to him. I don't think I ever got one A Q A from him. Q A Q Okay. So you faxed him down in Virginia? Yes. And theil the other communications that you had 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 '..........-' 25 17 with respect to this project were with Luther Amos while Luther Amos was in Maine? A In Maine or here. He could have been -- he was either here or in Maine. Q Were they all by telephone? A No. They were faxes. Q Does he maintain a residence here in Pennsylvania? A Yeah. In New Hampton Township. Q It's my understanding from what you've told us that you were involved with McCormack Materials one other time, and that was for a project that was done in New Jersey; is that correct? A Yeah. Several projects in Jersey. Q Several projects in Jersey? And what kind of projects were they? A Well, the first project was a new sand plant that we were subcontractor at L.B. Smith in South Amboy, New Jeraey. We did work directly for McCormack. We did a couple of projects. We put cylinders on, slide gates in the tunnel. I can't remember all of these miscellaneous little jobs we did for them. And we went back and did several more projects for L.B. Smith who was furnishing equipment to expand that operation. Q Okay. So -- A That's where I got to know R~ndy by the way. 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 :10 21 22 23 24 -' 25 18 Q Was working through L.B. Smith in New Jersey? A In South Amboy. Right. Q When you would do work for L.B. Smith in the past was that work involving Luther Amos? A In as f.ar as McCormack was concerned Luther was always involved. Right. Q Do you xemember when it was in South Amboy, New Jersey what year it was that you did that job? A It was a while ago. Maybe -- well, it's over five years. Was it '93 -- it might have been '90. The first you're talking about? Q Yes. A It might have been '90. We did a serieo of jobs after that. Q And all of those jobs in New Jersey was L.B. Smith , involved? A No. Some of them we did directly for McCormack. They'd come to me and say do you have a way to solve this problem, and I said this is what I'd do. The one I remember is these valves, but there were some small jobs too. They were more like maintenance type of things. Q And with those types of j.obs woul.d McCormack be on the job site when he contacts you and asks you to come to New Jersey? A Yeah. They had -- their superintendent would call .,-.." -' 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 19 me. o Okay. Who was that? A First name is Bi 11. I can I t: think of his last name. Q And then once Bill would contact you you'd go over to New Jersey? A I'd go over and find out what he wanted and work up a price. Q And then the work would be performed in New Jersey? A Right. Q With respect to this Canada job, the New Brunswick job, were all of your contacts, preliminary contacts, were they first with Luther Amos or were they with Luthl'ilr Amos and Randy Waterman? What I am trying to do now is get a time frame from when you were communicating with these two. A Luke wou ld ca 11 me f I.ret because Luke was working for Randy. Q And is it your understanding that Luke Amos was providing -- t guess Luther Amos goes by Luke? A Yeah. o Okay. Is it your understanding that Luke Amos was providing hie consulting services to McCormack? A Yell. MR. (JOllOLMJ: That's all the questions that I 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 I '-" 25 20 have. BY MR. VAUGHN. Q Just a f~w. Mr. Capuano, with respect to the payments that you received for the work that you did for McCormack Materials in New Jersey that you were asked about, how was that ~ayment made to your company? A By check. Q And where were those checks received? A In Carlisle. Q with respect to Mr. Amos and his involvement in this Canada project, would you describe the term consulting? And consulting services has been used here in the course of this deposition. Would you say that's a correct description of the nature of his llOrk and the scope of his work as you understood it in Canada? A He was a consultant. He was asked to secure the materials and secure the contractor and get him on the job. Q Was he involved in supervising the work up there? A To a certain extent, yes. Q You mentioned that Mr. Amos has a residence in Hampden Township. By that I take it you mean Hampden Township, Cumberland County, Pennsylvania? A Oh, yes. Right up the street here. MR. VAUGHN: That's all I have. (Deposition concluded at 3:35 p.m.) 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 .....,) 2~ 21 COUNTY OF CUMBERLAND I IilS COMMONWEALTH OF PENNSvt,vANIA ; I, Christine F. Haag, a Notary Public, authorized to administer oaths .tJithin and for the Commonwealth of Pennsylvania, do hereby certify that the foregoing is the t~stimony of Jooeph V. Capuano. [ further' Clll't Lfy that before the taking of said deposit Lon, the wLtMO/3 was duly sworn; that the questions and answers were taken down stenographically by the said Reporter -Notar'y Pub lie, and afterwards reduced to typewriting under the dLrection of the said Reporter. I further certify that the said deposition was taken at the time and place specified in the caption sheet hereof. I further certify that I am not a relative or employee or attorney or counsel to any of the parties, or a relative . or employee of ouch attorney or counsel, or financially interested directly or indirectly in this action. I further certify that the said deposition constitutes a true record of the testimony given by the said witness. [N WITNESS WHEREOF, I have hereunto set my hand thLs 6th day of July, 1998. limriSuJ I" .~ ch;i~l~t~~nF. - ;~g ,~~ht. .). / Notary Public \. ... n w R D I N D I X ," o , " " '. , . ",c' .' , ' 'I., " 0. ,l,' . Multi-I'age'" '90 - duly JOSFPII V CAPUANO ..... . ... _.._.._---~_._-_...--~---_.. lOA 171 112 4" 4 [Ij 7 K 410 -'- IKA 1l)'14 III 14 7 IK 10: 12 1.\.13 correct 1111 40 ..__.__._~~_.__.___...___n__'_ I~,I~ 1920 19.2.2 13 " I.\l~ 14 I '90PI IX.III IX 13 21J 10 .211.20 .2lJlJ 413 5:c) 7.11 '93111 IX: 10 9: 12 II:I 1111 amountl'I14l1 I~ 1\ CenlralllllOl 13 11 13: 11 17:11 '96111 X:ll answers III 11 III eertainlll llll~ 111:13 _._~._-- APPEARANCES III certainly III ]23 eostlll 10: 19 11111 ----. + 1:16 certification III 34 counsel 1'1 3.1 11591'1 4:3 4'1~ April III ~ 14 certify 1'1 11:6 llK 11: 16 11 17 15111 u area II I 1314 11 13 11: 1\ 11: I~ County 16111 46 19751'1 4 17 422 arising III I bX check 1'1 7:16 10:7 4:7 41~ 111.11 19961101 asks III IXl.1 checks III 11l:K 111 ~:~ ~:h couple III -~:I.) \: 11 \:14 aspect 111 K3 8 14 ehieflll 1\: 13 17:1~ ~l\ 13: 17 15:4 assume [II~: I b Christine 111 I: 10 course III 111: 11 I\:~ 15: 18 attached III 9:11 11:4 lU4 COURT[II 1:1 1998[11 I: 11 21 :23 attorney [41 3:1\ civil[ll 1:1 ,5:3 Cumberland [61 1:1 3:16 11'16 11: 17 c1aimlll 1310 4:6 4:7 4:19 -2- 10:11 21:1 August 111 8:11 8:21 COMMON III 1:1 cylinders III 17:19 23111 I: 11 13: 16 Commonwealth 11111:3 authorized III 114 11:\ -D- -]- available 1'1 11:17 communicating III 19:16 - 14:M communications 111 date 111 I: 11 3:14 3111 1:4 datedlll 3904111 1617 16:1\ ~:14 1:13 -8- deal III 9:14 3:05111 III ----.-..-- company 1'1 4:15 background [II 1116 dealing III H):IM 3:35111 20,25 \:1 Based [II 11:11 complaints 111 7: 11 dealings [II 7:111 -6- basisI'I 11:13 13: 10 complcted !II 14:11 dealt III 1\: II beatingjllll:5 conccrned PI 16: 17 deduct 1'1 11: 1 6thll' 2123 became III 1\:1\ 18:5 Defendant 14' 1:\ becomclll\:M conccrninglll Ib:5 1:21 3:16 3:21 -9- beginning [II 3:17 concluded III 20:25 degroc 111 M:9 97-4837111 1:3 behalf 111 310 14:19 conducted 111 3:14 deposition 1111 I:M 4:23 3:12 3:IX 3:19 9thl11 9:25 14:14 best III 820 conncction III 3:12 3:23 10:13 14:22 14:13 between [4' 3:1 constitutes III 21:20 211:25 11 :~ 11:13 ------- M2 14:9 16:8 con~truction 111 11: 19 -A- Billlll 19:3 Il):~ 42\ describe III 111:11 able III 11'13 13:4 briefly III 317 consultant III \:15 dcscription IIi 10 13 1~:211 20:lfl acting III 14: 19 Brooklyn III 8: I 3 consultinll161 1\: 15 different III 1613 action 111 1:2 4:13 Brunswick 1111 5:17 1\:16 1\: 1M 19:13 16: 1\ 1118 5: 1M 5: 1M 5: 19 111:11 21):12 difficulty 1'1 135 actual III 7: 12 6:9 6: 13 7:11 contact[4,M23 14:17 direct [II 6:23 address 14,3:19 4:21 14:15 16:2 166 14:IM 195 direction III 21:1.1 1~:12 111:2 10:3 bulk III 129 contacted [4' 5:14 directly ['I 6:21 administer III 21:5 \:21 M:11 11'10 7: I 17: 1M 1~:17 afterwards [II 21: II business III 4.13 contacting III Illl 1l'IM again 14' 11113 13:24 contacts 1'1 IXB discussion III 14:7 14'1 1611 -,--=~- 19: IJ 19: 13 discussions PI 68 ago III IX,9 calls 161 72 7l contract III 9:24 1316 149 agrcclll IIll 131M 1.\ 111 1324 contractof( II 211: 17 disputeIII16:~ agreed III 3 18 14 3 conversation 111 9:M dock PI 87 ~M agreement II I 321 CAMP III I 14 9'17 11.14 dollars III 11:1" always \11 13:11 IX:6 CanadalSl51~ 1019 conversations 141 ~ 10 done PI 612 79 Amboy 1416:3 17: 17 19'12 20'11 10 15 ~22 bll Iii 12 9:3 1111 14 \3 182 18:7 capacity II I IJ10 conveyor 1,11 fl:9 1422 1711 Amos 1111 51\ 5: 1.5 caption 1111114 614 ~.ll 83 Douglas (II uo l12 6:1) ~,16 Capuano 1'01 I 8 94 110 110 UO 821 'i. 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I 11111 III I" - .._--._-----. .-..- ------- 19:17 19: 17 I~ I~ -[- formall'l ~: 2<1 invoiced III J 4.22 ---~---~_.-.-,. -.---. - -.--- . --- involved 1'1 ~:~ 111:20 19,22 EarlYl'1 5 14 1'1:22 fourlll fl:14 lumplIl II.IH frame III I~ I" 5 10 ~ 14 HI5 easy III \J:h 17: III IH~ IH: Iii lump-sum 111 12:1 eitherlll 174 fn:ePI 12:25 13: I 2<1.IM 124 employed 111 4K IJA involvement 111 5: 12 l.utherl"1515 15:3 4:10 full III 3:2:; 20 III 154 15:~ 16:4 employccl1l 21.1 ~ furnish III 122 involving III IM4 17:1 17:2 IM:4 2117 furnishing III 17:22 issue III 3: I~ IH:5 1~:14 I~: 14 englnccrl'l 5:1 future III 323 1~:20 53 .:L' 15.1.1 --_._---~ -J- 1515 -G- - -M- engineering III 4:25 Jcrsey 11'1 5: 17 5: IH mainlll 10:22 equipment III M9 gates III 171~ :'1:20 ~:3 17: II Mainel'l George 141 1'13 I: 17 1713 17: 14 17:18 ~: 12 ~IJ 1722 ~'I~ 13.22 1524 I'IM 3'15 1M: I IMM 1M: 15 erected III 1022 given III IH:24 196 1910 15:24 172 17.1 ESQIJIREIlI I:IR 21 :20 20:5 174 120 goes "I 15:25 19:20 job 1111 6:15 6:17 maintain III 17:7 esnentially III 112 gravel PI H:6 8:6 7: 15 ~:7 IUO maintenance III 18:21 eventually [II 137 M:13 12:12 12: 14 16:5 majorlll 12:9 everybody III 725 greater [II 8:9 IM:8 IM:23 19: 12 material 1'1 8:H exaetlJl "5 guess 121 IUO 1~:20 19: 13 20:17 9: 17 10:20 114 EXAMINATION"I gUYll1 10:18 jobs 1'1 17:21 18:13 16:3 ~: 16 6:IM 18: 15 18:20 18:22 material3ll6l 14 22 3 III guys 181 except III 3:5 ~:20 6:20 10: 17 Joseph 16' I:M 2:3 5:10 5:13 5:16 12:M 12: 14 12: 17 3:8 3:13 4:1 66 7: 16 721 exchanged [II 144 21 :7 9:19 I():~ 11.1 Exhibitl'l~22 --- JUIYIII IIH 141~ 15:IH -H- 21 :23 expand III 1723 .--- JUNEIII I: 12 17: 10 205 2.) 17 expect III 116 Haag III 110 21 :4 jurisdictional III 3: 19 matter III 3:13 3:22 21:24 5:5 expected III 117 Hampden '" 20:21 - MATXI6,1:1 expended III IIR -K- 3:13 20:21 4:12 4: 15 4:23 expenses III 139 Hampton [II 17:8 koePlI1 10:21 5:6 extent III 20: 19 hand II' 21:22 kindl41 4:23 9:18 McCormack 118' 1:4 Harrisburg I" 4:3 11:3 17:14 5:10 5:13 5:15 -f- 4: I~ 6:6 7:16 7:21 1'111 hereby III 3:2 3:4 -L- 9:19 10:2 14:19 110 21:4 15: 18 17: 10 17:18 21:6 .. 2124 1..81101 15,7 15:8 IM:5 18: 17 18,22 familiar II I 6:1 hereof II I 21: 14 15:9 15:11 15: 15 19:~3 20:S farm 16: I~ IR:5 hereunto III 21'22 17: 17 17:22 IM:I mean[,! 5: I~ 20:21 farther III RM H ill 161 13 1.14 IM:3 IR: 15 men 181 12,!~ 12~2 fax [II R23 10'6 314 5:9 511 labor III II :7 12: I 12:24 III 114 10M 169 12:3 13:13 13: 17 14:3 faxed 181 611 625 "oldings III 1:3 last III 19:3 mentioned [II 20:20 825 9: IH 107 3:14 ~:9 5: II I.A Vol III 1:2 1:13 messagcs 1'1 6:2,\ lOR 10:9 1623 16:9 1:17 7: I 7:5 76 faxes 1'1 16: 12 1619 "oily III 13:15 layout III ~:I I~: 18 16:20 16.21 17~ hundred-and-some [II leading ",13: 17 14:2 middle III 41 few III 20:3 11'19 leaving [1115: 14 might 141 9:1 146 filed 121 .uo 712 . Icftl'l 6:2~ 7: I 18:10 18: 13 filing[ll 14 ~---- -I- 7:6 77 16: 18 minCIII 8:6 financially [II 21 17 III 141 113 1:17 Icttcr r AI ~:24 10:9 miscellaneous II' 17:20 finerlJ 1210 1.18 3: 1 ~ load 121 51~ 84 mostlll 1.123 first 1'1 ,\ 12 8.21 Incl61 II 13 loadingrlJ8~ Mtfll 131\ 313 .114 412 R.24 171~ IX 10 5~ local III 87 ---.--....--..--.,--.------- 19.1 II): (4 1917 located 111418 4.20 -N- fi~e III Inc. PI 42.1 16:9 __. "_0___'___0___0- tH.\) incorporated III 9:9 Nadalll 14,14 fixedfll 3 12 41 ~ location 111 722 indirectly fll 21 1 H name 1'1 22 J-2~ fOCUSfll ~ ,~ 9, 16 I.l 25 " I 19 ) 1~4 follows III 19 initial III 41 lookflI 12 I" nature 121 S.2 2014 forel!:oing fll 21' illstall 121 U' X II [I.ukeflol \ 1\ X I~ _. - indn Pag~ 2 IItJOl11iS. AI.IIRI<JIIT. flOI.TI. & NATALB 7! 7-540-0220\717-393-5 101 ".-" Multi-I'age'M ..'.... neaq II x:7 l'ennsylvuDlu I111 1.1 pureh needed [41 x:x 1020 1'14 44 4\ purpo IH 102 4,10 \4 10:\ putPI 17:7 20:22 21.3 neveq II 71 210 '14 new (2)) \17 ~: 17 102 people 1'1 1020 10:20 5 Ix \Ix 51x 11 :23 12:\ Itd5 pUlli \1'1 0:3 0:'1 performed 1'1 13:2 -.-- -.-_. 0,13 7:21 141\ 102 100 17:x 1'1:'1 1711 17:16 17:lx period III 144 qual it Ix:1 Ix:x Ix:l\ phone 1'1 '1:X 'I: 17 quest Ix:24 1'1:6 1'1:10 10:23 10:24 13:lx 21'1 1'1: 12 20:\ 13:20 14:3 16: 12 quote nOnnal[1114:\ PikC1l1 4:3 4:1'1 Notary PI 1:11 21:4 pipinglll '1:3 21:2\ pit 101 x:7 x:7 raise now 1'1 J: 12 4:x x:9 x:1O 411 \: II 7:24 plaCCl11 1: 13 3: 12 Rand II 13 1223 1'1:1\ 6:10 '1:'1 13:20 6:1 numbeq4Ix:I'I 10:6 15:25 21: 14 6:5 lO:x I 1.1 x Plaintiffl'l 10: 16 1:1 16: 17 1:9 1:1'1 3:15 19:1x -0- 4:13 rates I oaths III 21:5 plan III 12:10 readi objections III 3:5 plant 161 x:16 x:17 reali' 3:20 x:21 9:1 10:22 really ocellllion II I 5:8 17: 16 PLEASI'II:I 16:[( off(ll 12:14 recei office 1.01 4:18 4:20 position (II 12:24 reeei 6:11 7:4 7:4 preliminary 1'1 3:20 12: Ix 7:x 7:17 9:10 19: 13 10: 12 102\ prepare III 'I Ix reeor OFFICES 121 I: 13 prescnt 11 I 3:14 reduc 1'17 president III 412 regar 0:9 once III 13:23 14:10 pretty 111 '1:13 rcgis 1'1:5 previous (II 02 one 141 x:l 10:21 relati 17: 10 18:19 priccl11 X: 17 x: 18 x:2 opened III x:x 11:\'1 11:24 12: I rclati 12:4 19x 21.16 operation III 5:6 primarily (11 424 x:12 17:23 reme principal (II 41x original III x:9 Ix:7 problem(ll Ix: 1'1 Repo originate III 73 proceed 1'1 11.11 Repo outline III 6:12 11:14 21.11 ---- processed III x:x rese -p- project 1'1 \:'1 7:22 reside . 1'111 120 723 x,2 x.14 reside p,ml'l I 12 20:25 17.1 17: II 1716 20:20 20: 11 paid 1'1 7:11 7:13 projects ('1 17: 13 residi 7: 14 10: 19 1U re~~ 11:6 13:10 14: 10 17: 14 1715 17: 19 14:21 17'22 20:3 pall 161 7:11 8:12 pl'OEosall'l 9: Ix 9: 0 9:21 10 15 respe 10:19 10:22 12:9 11 :2 119 12:21 respo 14:21 14:2 11'14 121x Part-time (11 4:'1 proposals (II 14:23 respo parties 1'1 33 21.16 provide III 1274 result past III 410 Ix3 providing 121 1'110 right I paYlI1 II 7 1'123 "J olJ payment 121 7 I~ PubliCI" III 724 2l)1') 21 II 21 2\ 10:5 payments 1'1 21).' pulled 111 12 14 1J.7 15 10 >--. 5:21 7:2 10:1 1220 13: 15 IK:.1 ascdlll SCIII (l: 1M '115 17: 19 ngl2l\lI1 klO ,\Ill x.17 IO.X x21 _._._-~Q:- Y 111 12:3 ions 121 19:25 III 9:6 -R- d(ll 3:20 y 1"15:24 5:24 6:2 0:4 x:17 10:3 10:17 11:23 17:25 19:15 11 12:11 ng1113:3 ZCIII 5:11 III 11:24 12: 12 I vel'17:14 7:17 ved 141 10:24 20:4 20:x dill 21:20 edlll 21:11 ding 121 3:22 tercdlll 5:3 on ship III 6:5 VCI2I 21: 15 mber III 17:20 Ixl9 rtcflll 21:12 rtcr-Notary (II rved III 3:5 III 4:2 nce 1'1 17:7 ng III 15:24 ct1116:21 7:21 17:1 19: 12 20:10 clive III 3:3 nSel21 10:14 ".."._.J nsible(ll III 917 '01 4: 10 6:19 '1:20 12: Ix l3:x 10 14 12:J !lUOIIIIS. 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FOI.TZ & NATAI.E 717-540-0220\717- 393-510 I near - SS JOSEI'H V, CAI'UANO IXO 19.11 20.23 ROADIII1.I3 royalty III I<J I 'I RI'RI2I l'lt) 2124 running ill II> 2 ----.- -.--- -S- -----,- sand 141 X'O xl> x:12 17: If) schedule ill 12:25 scope (11 20: 14 scrocn 121 9:5 163 serccnsll19:2 scaling III 33 secondl'18:10 x:14 secure PI 20:11> 20:17 send 141 x:13 10:17 11:15 14:7 sending 1'1 13: 17 14:3 sent PI 8:1U 9:20 10: 10 10: 12 12:21 13'7 13:13 September 141 9:25 13:16 14: 14 14:22 series 1'1 16: 1 X 18:13 service III 12:22 services 1'1 19:23 20:12 set (II 21 :22 seven I" 14:6 several (II 17: 13 17:14 17:21 sheet III 2::14 ship III x:13 ships III 5: 16 8:4 8:5 shop III 13: II short (21 6: 16 13:6 shows (21 10:2 10:6 signing (II 3:3 sitc[11 Ix:23 silt III 14:6 sketch (II '1:6 sketches I" 611 8:25 slide 1'1 17:19 small [II 18:20 SmithllOI 15:7 15:8 15:9 15: 11 15: II 17: 17 17:22 18: I Ix:3 18: 15 solvel'l Ix: 18 sometime (II 3:22 sorry [II 16:10 South 141 6:J 1717 lx:2 1x:7 specified III 21 \4 spoken III 3'17 SS(l1 212 Ind~" Page 3 state (II ):~4 twol"l 5: 16 n: In .-----..- ---.~-_.__._-- stenographically III n 18 fl: 18 n:24 -y- 21: 10 84 10:17 1020 ____n.. 12:8 12:22 12:24 yearlll 18:8 stipulated II I ):2 13:17 14:3 19:1fl years)11 18:10 STIPULATION 11131 type II) 18:21 yourself III 5:2 stroetl'l 2023 types III 1822 n: 14 16:8 strike (21 9: In 119 typewriting (II 211 I -,- stuff(ll IJr' Typically (II 9:3 -z- subcontractof( 'I 1717 Zilch (II 14:24 submitll) 918 - -u- submitted (II 119 - substantial (II 15:7 underl'l 11:2 14:13 14:22 21: 12 substantive (I I 3:22 understood III 20: 15 such (II 21: 17 UP"'I 5:23 5:25 sum(1) " :18 6:13 6:16 6:18 summertime fI I 16:1 6:20 7:24 8:10 superintendent II I 1825 8:1 I 8: 18 8:18 supervise (II 6:14 8:21 9:4 9:1.1 10:17 10:17 H:15 supervising (II 20:18 11:17 II :18 11:23 sworn (21 39 219 12:15 12:19 13:7 --~-.-- 1313 14:2 14:14 -T- 15:24 16:5 16:16 19:8 20:18 20:7.3 takesl'l 94 UpperviIle II) 10:3 taking(ll 218 used (I) 20:12 telephone 1'1 6:8 823 1113 16,18 -v- 175 telling III 9:2 V)71 1:2 1:8 tcnn(ll 20:11 2:3 3:8 3:13 4:1 21:7 testified III 3:9 valves (I) 18:20 testimony III 21:7 Vaughn 191 1:13 21.2\l thought 11)9 II 1:17 I: 18 2:4 3:11 3: IS 14:25 thousand fll 1119 20:2 20:24 throe 1'1 n20 n:20 versus II) 3: 13 fl24 n2,) via (I) 16:18 through (II 18 I vieWll1 6:6 , time-and-material III Virginial]l 7:4 1I24 1213 10:4 16:23 times (21 n24 n:25 togethcrlll 9: IS -W- 16:2 too 111 10 II 1I:21 waived (II 3:4 18.20 wants II) 10: 17 took ['1 n 10 0: 18 Waterman 1101 D4 0.20 9:9 6:1 6:22 10:3 touch III 1521 10:7 10: 14 1t:10 14:17 16: 17 19: 15 Township 111 178 WHBRE!OFIII 21:2,' 2021 20-22 tradinglll 14 whole (II H: 12 Trappe III I ) 3:14 William III 1:20 59 \11 10:9 316 trial (II ),0 wish(ll 5: 19 TRINDLE! (I) II} within III 2U truekll) 1222 without I" 6:5 truclll 112() witness '41 3.8 21:9 21:21 21 :22 trying 111 <) 14 10.21 WITNESSES(II 21 191\ tunnell'l 1721) worked 141 n2 8.18 II 17 1\7 turn (II o I: .- state - Zilch JOSEPH V. CAPUANO Mu1ti-Pagc'~ JnJ~x Pag~ <I IIU(JtIIlS, ALBRIOIIT, FOL.1. &:. NATALE 717-540-0220\717- J9J-5 101 r- , l f; W ,.; ~ ,{- ~ ..t ~~ !OJ { t .) ~ .~ 1 ~ q;: 1 \J ~ ,:,.- ,,: ..:;; '\~ ,- '):. -~ I .~j , " ')';ij I ,It:'; ':,. ,'11-:'0' J ,:l (L.. .... ~i '~'-' <:':;>., :~, Co> f"I" " ~?,~r.f'J ~' "1'>;( ,.-"(/ .,) -JT:"'>'o/f II.; I' 0--~.'t.l'fr Ii MATX, INC., Plaintiff Vo TRAPPE HILL HOLDINGS, INC., trading as MCCORMACK MATERIALS, Defendant IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA ~7 - i.+~3~ CIVIL CIVIL ACTION - LAW YOU have been sued in court. If you wish to defend against the claims set forth in the following pages, you must take action within twenty (20) days after this complaint and notice are served, by entering a written appearance personally or by attorney and filing in writing with the court your defenses or objections to the claims set forth against you. You are warned that if you fail to do so the case may proceed without you and a judgment may be entered against you by the court without further notice for any money claimed in the complaint or for any other claim or relief requested by the plaintiff. You may lose money or property or other rights important to you. 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 LEGkL HELP. Court AdmXnistrator 4th Floor, Cumberland County Courthouse Carlisle, PA (717} 240-6200 MATX, INC., Plaintiff V. TPJ~PPE HILL HOLDINGS, INC., trading as McMCORMACK MATERIALS, Defendant, Defendant IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA 97 - ~gSq CIVIL CIVIL ACTION - LAW COMPLAINT AND NOW comes the Plaintiff, MATX, Inc., by its attorney, George A. Vaughn, III, and files the following complaint in support of which it is averred that: 1. The Plaintiff is MATX, Inc., a Pennsylvania business corporation, with its office and principal place of business located at 1159 Harrisburg Pike, Carlisle, Cumberland County, Pennsylvania. 2. The Defendant is Trappe Hill Holdings, Inc., a corporation, with an office or business location of 22299 Willisville Road, Upperville, Virginia. 3. At all times relevant hereto, Randy Waterman (hereinafter referred to as "Waterman") was either an officer, employee, or duly authorized agent of Defendant acting within the scope of his authority as such on behalf of the Defendant. 4. At all times relevant hereto, Luther N. Amos, Jr. (hereinafter referred to as "Amos") was a duly authorized agent of C:~LWORK\MISO, D080797A.WPD - 1 - Defendant acting within the scope of his authority as such on behalf of the Defendant. 5. In April 1996 Defendant retained the services of Amos as an engineering consultant with respect to a sand and gravel extraction and screening plant project to be built by the Defendant in New Brunswick, Canada, (hereinafter referred to as the "Project"). 6. In August 1996 Amos contacted Joseph V. Capuano, President of the Plaintiff, by telephone at Plaintiff's office in Carlisle, Pennsylvania. 7. During the course of this conversation, Amos requested that Plaintiff provide to Defendant a proposal for the performance of certain work upon the Project. 8. As a result of the telephone conversation between Amos and Capuano, Plaintiff submitted a written proposal to Defendant for the performance of certain work upon the Project by letter dated September 9, 1996, a true and correct copy of which is attached hereto as Exhibit A (hereinafter referred to as the "Proposal"). 9. Amos received Plaintiff's Proposal and reviewed it with other officers, employees, or agents of Defendant. 10. Amos, in a telephone discussion with Capuano in shortly after September 9, 1996, rejected that portion of Plaintiff's Proposal C:~WORK\~SC~D080797A.WPD - 2 - contained in the first page of Plaintiff's letter of September 9, 1996. 11. In that same telephone discussion, however, Amos offered to employ Plaintiff for certain work upon the Project on a time, materials, and expense basis at the rates set forth on the second page of the Proposal, and Amos agreed that payment to Plaintiff would be due at the offices of Plaintiff upon presentation of an invoice from Plaintiff to Defendant for Plaintiff's work. 12. Plaintiff agreed to perform the requested work upon the Project for the Defendant on a time, materials, and expense basis in accordance with the second page of the Proposal such work to be performed over a one week period beginning on September 30, 1996, and ending on October 6, 1996. 13. Plaintiff proceeded to supply the services requested by Defendant for the agreed upon work upon the Project beginning on September 30, 1996. 14. At the request of Defendant to meet Defendant's needs, Plaintiff agreed to make its services available to Defendant for an additional period of one week. 15. Plaintiff's work upon the Project ceased on October 12, 1996. 16. Plaintiff kept accurate records of the time, material, and expenses incurred by it in performance of its work on behalf of C:~WORK~ISC~080797A.WPD ~ 3 - Defendant. 17. Plaintiff submitted to Defendant an invoice for the work performed by Plaintiff upon the Project. A true and correct copy of the invoice is attached hereto as Exhibit B. 18. The items set forth in Plaintiff's invoice represent the time, material, and expense invested by Plaintiff in work upon the Project at the request of Defendant. 19. The amount due and owing to Plaintiff from Defendant for Plaintiff's work upon the project is $16,933.00. 20. Despite repeated demands by Plaintiff for payment of the amount due and owing to it, Defendant has refused to make payment to Plaintiff. 21. Defendant has no reasonable basis upon which to refuse payment to Plaintiff, and Defendant's conduct in failing to make payment and requiring Plaintiff to commence suit to recover payment is arbitrary, vexatious and in bad faith. 22. Plaintiff will incur reasonable attorney's fees and other costs and expenses in the prosecution of this claim in an amount estimated to be $3,000.00. 23. Defendant is therefore indebted to Plaintiff in the total amount of $19,933.00. C:~WORK\~SC~D080797A.WPD WHEREFORE Plaintiff demands judgment against Defendant in the amount of $19,933.00, an amount which is within the limit for compulsory arbitration, together with interest from November 5, 1996, and costs of suit. Dated: Respectfully Submitted, GeOrge A.-Vaughn, III Attorney for Plaintiff Supreme Court I.D. %25650 3904 Trindle Road Camp Hill, PA 17011 (717) 975-9102 C:~L WORK\MISC~D0 g0797A.WPD I, Joseph V. Capuano, President of MATX, Inc., verify that the statements made in this Complaint are true and correct. I understand that any false statements in this Complaint are subject to the penalties of 18 Pa.C.S. Section 4901 (unsworn falsification to authorities). Dated: C:XL WORK\MI SC~)080797A.WPD EXHIBIT A C :~LWOR~vIISC~D080797A.WPD September 9, 1996 McCormack Materials C/O Randy Waterman Rural Rt. 1, Box 62 Upperville, VA 22176 Fax: (540) 554-2646 Reference: Screening Plant New Brunswick, Canada Dear Randy, In accordance with L. B. Smith's Drawing #E-2324, 1 and 2, I have prepared a proposal to furnish labor and a crane to erect the plant complete less electrical and pipe beyond plant proper. Our Price for ~his would be . · $ XXS,9~O.O0 (One hundred f~fteen thousand n~ne hundred e~ghty dollars and no cents) Work b Others · Furnish all wood cribbing. · Furnish and put in place steel to support screen structure. · Furnish all permanent materials including pipe, valves, etc. · Provide access to the site for men and equipment. This project with four (4) men is expected to take four (4) weeks working seven (7) - ten hour days. Luke ask that we use the local group you have at the site. The only way I see us accomplishing that would be to perform work on a cost plus basis. Page -2- Screening Plant September 9, 1995 We would provide labor at the following rates: Mechanic - $42.00/Hour Straight 63.00/Hour Overtime Supervisor - $45.00/Hour Straight 66.00/Hour Overtime Service Trucks - Two (2) each $200.00/Day each (includes fuel) Crane Rentals & Materials - Cost plus 15% Expenses / Hotel - Cost Food - $35.00/Day/Man It would be difficult to utilize strange help since they are not experienced. While erection is taking place, the use of the crane dictates progress, not the number of men. We will make the most of the situation would like us to proceed. if that is how you As always, thank you for the opportunity. have a better chance of working. Very truly yours, I believe this will MATX, INC. Joseph. V. Capuano, P.E. President JVC:sp EXHIBIT B C:~LWOKK~VHSC~)080797A.%VPD - 8 - CONTRACTORS. ENGINEERS November 5, 1996 McCormack Materials C/O Randy Waterman Rural Rt 1, Box 62 Upperville, VA 22176 Fax: (540) 554-2646 Reference: Screening Plant New Brunswick, Canada INVOICE d-~C-2 Travel Hours - 32 Hours @ $42.00/Hour ................. $ Labor Hours - 160 Manhours @ $42.00/Hour .............. Labor Hours - (Over 40/Week) 50 @ $63.00/Hour ......... Service Truck - 1 @ 11 Days - 11 Days @ $200.00/Day --- Customs/Work Permits - Lump Sum ....................... Hotel - 11 Days @ $52.00/Day .......................... Per Diem - 11 Days @ $35.00/Men x 2 Men ............... 1,344.00 6,720.00 3,150.00 2,200.00 2,177.00 572.00 770.00 TOTAL THIB INVOICE DUE AND PAYABLE .................... $ 16,933.00 STEPHEN O. SIMPSON SHERIFF OFFICE OF THE SHERIFF COUNTY OF LOUDOUN P.O. BOX 229 LEESBURG, VIRGINIA 20178 AFFIDAVIT OF SERVICr' (703) 777-0407 Metro (703) 478-1810 STATE OF VIRGINIA COUNTY OF LOUDOUN, to wit: Re: MATX, INC. VS TRAPPE HILL HOLDINGS, INC. Before me, the undersigned authority, personally appeared R. W. BROWN, a person competent to make oath, and who by me being duly SWorn, deposes and says: That this NOTICE AND COMPLAINT came to hand on the 10th day of November, 1997 at 7:59, A.M. and executed by delivering to RANDY WATERMAN, STOCKHOLDER of Trappe Hill Holdings, Inc., (Mr. Waterman stated he did not know if he was a corporate officer.), in PERSON, at 22299 Willisville Road, Upperville, County of Loudoun, State of Virginia, on the 10th day of November, 1997, at 10:49, A.M., a true copy of the abovementioned process. The manner of service described in this affidavit is the manner of service provided by the statutes and rules of the Commonwealth of Virginia for service of original process upon a corporate defendant in a civil action before a Virginia Court of general jurisdiction. STEPHEN O. SIMPSON, SHERIFF Loudou~ty, By: Sworn to before me this ~ day of November, 1997. ~otary Public My Commission Expires: LCSO 4.9 3/96 DOUGLAS, DOUGLAS & DOUGLAS 27 W. HIGH ST. POB 261 CARLISLE PA 17013 TELEPHONE 717-243-1790 WILLIAM p. DOUGLAS, ESQ. Supreme Court LD.# 37926 i Cumberland County Pennsylvania Plaintiff i V$ Trappe Hill Holdings, Inc. t/a McCormack Materials 97 - 4837 Civil Term Civil Action Law Defendant Preliminary Objections of Defendant 1. The plaintiff is Matx, Inc., a Pennsylvania Corporation with principal offices located at 1159 Harrisburg Pike, Carlisle, Cumberland County, Pennsylvania. 2. The defendant, Trappe Hill Holdings, Inc. is a Virginia Corporation with principal office located at 22299 Willisville Road, Upperville, Virginia. 3. All matters which form the subject matter of this suit occurred in Canada. 4. At no time, relevant hereto, did the defendant corporation transact business in the Commonwealth of Pennsylvania nor did they maintain a place of business in Pennsylvania. 5. At no time Trappe Hill Holdings, Inc. agree to submit to the jurisdiction of the Commonwealth of Pennsylvania. 6. The courts of the Commonwealth of Pennsylvania do not have subject matter jurisdiction or in personam iurisdiction in this matter. Wherefore, it is prayed that the complaint of the plaintiff be dismissed due to lack of in personam and/or subject matter jurisdiction. December 5, 1997 Respectfully submitted, William P. Dou~las,~sq. Attorney for the defer~nt Affidavit This verification is made pursuant to Pa.R.C.P 1024(c) by counsel for the defendant. To the best of the s' ' foregoing is true and correct. ~gner s knowledge, information and belief, the Attorney for Defendant ~" PRAECIPE FOR LISTING CASE FOR ARGUMENT (Must be t~tten m~d submitted in duplicate) TO THE PROTHONOTARY OF CUMBERLAND COUNTY: Plane llnt the within matter f~r tb~ next Ar~j~mt Court. CAPTION OF CASE (emtire capti~ ~ust be stated in Marx, Inc., Trappe Holdings, Inc., t/a McCormack Materials, (plaintiff) ( Deferment ) NO. 97-4837 Civil Term 1. State matter to be arc3ued (i.e., plaintiff'sw~ti~ for newtri~l, defem~mnt's cl~m~&~rto c~,~laint, etc.): Defendant's Preliminary Objections 2. Identify counsel who~ll argue case: (a) f~r pla~qtiff: (b) for Address: George A. Vaughn, III, Esquire 3904 Trindle Road Camp Hill, PA 17011 William P. Douglas, Esquire 27 West High Street Carlisle, PA 17013 3. I w~ 11 notify ~ll parties in writing within tm~ days that this been 1 ~ted for arc3~e~t. 4. Argument Court Date: August 12, 1998 3une 8, 1998 DOUGLAS, DOUGLAS & ~Dc0j~.LAS B Attoxney for Defendant ORIGINAL MATX, INC., PLAINTIFF V TRAPPE HILL HOLDINGS, trading as McCORMACK MATERIALS, DEFENDANT INC. ~DEPOSITION OF: TAKEN BY: BEFORE: DATE: PLACE: IN THE COURT OF COMMON PLEAS CUMBERLAND COUNTY, PENNSYLVANIA CIVIL ACTION - LAW NO. 97-4837 JOSEPH V. CAPUANO PLAINTIFF CHRISTINE F. HAAG, RPR NOTARY PUBLIC JUNE 23, 1998, 3:05 P.M. LAW OFFICES OF GEORGE A. VAUGHN III 3904 TRINDLE ROAD CAMP HILL, PENNSYLVANIA APPEAP~ANCES: LAW OFFICES OF GEORGE A. VAUGHN III BY: GEORGE A. VAUGHN III, ESQUIRE FOR - PLAINTIFF DOUGLAS, DOUGLAS & DOUGLAS BY: WILLIAM P. DOUGLAS, ESQUIRE FOR - DEFENDANT 2000 Linglestown Road · Suite 302 · Harrisburg, PA 17110 717.540.0220 · Fax 717.540.0221 * Lancaster 717.393.5101 2 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 NAME JOSEPH V. CAPUANO BY: MR. VAUGHN BY: MR. DOUGLAS WITNESSES EXAMINATION 3 15 3 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 STIPULATION It is hereby stipulated by and between counsel for the respective parties that reading, signing, sealing, certification and filing are hereby waived; and that all objections except as to the form of the question are reserved to the time of trial. JOSEPH V. CAPUANO, called as a witness, being duly sworn, testified as follows: EXAMINATION BY MR. VAUGHN: Q Now is the time and place fixed for a deposition of Joseph V. Capuano in the matter of MATX, Inc. versus Trappe Hill Holdings, Inc., and present is Mr. Capuano. And I am attorney for the Plaintiff, George A. Vaughn III, and Mr. william Douglas is here as attorney for the Defendant. We have spoken briefly before the beginning of this deposition and have agreed that the purpose of this deposition is to address the jurisdictional issue which has been raised by preliminary objections filed on behalf of the Defendant. And we are in agreement also that if there is to be a substantive deposition regarding this matter in the future, deposition of Mr. Capuano, that that certainly can be conducted at a later date. Mr. Capuano, would you state your full name for us, please? 4 1 2 3 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 A Q now? A Q A Q A 1975. Q A Q address? A Q A construction company, Joseph, middle initial V., And where do you reside? 1159 Harrisburg Pike, And that's Carlisle, Pennsylvania. In Cumberland County, Cumberland County. And are you employed now? Part-time. All right. In the past -- Capuano. Carlisle. Pennsylvania? correct? who are you employed by I'm the president of MATX, Inc. And that's the Plaintiff in this action, correct? Yes. What is MATX? Is it a corporation? It's a corporation incorporated in Pennsylvania in And where is its principal office located? 1159 Harrisburg Pike, Cumberland County, Carlisle. How long has the office been located at that Since 1975. What kind of business is conducted by MATX, Inc.? We're a -- we had been or have been primarily a but we also so some engineering. 5 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 Q yourself? A Okay. Do you have any background as an engineer I'm a registered engineer -- civil engineer in Pennsylvania. Q The time focus of this matter is -- MATX was in operation in 1996; A Yes. 1996. You were is that correct? Q And did you have occasion to become involved in a project with Trappe Hill Holdings, Inc. in 19967 A Well, I was involved with McCormack Materials ~hich I now realize is Trappe Hill Holdings, yes. Q And what was your first involvement in 1996 with McCormack Materials? A Early in 1996 in April we were contacted by Luke Amos -- Luther Amos -- who is a consultant for McCormack Materials about putting two conveyors in to load ships in New Brunswick, New Jersey. Q A in Jersey. Q Mr. Amos? A New Brunswick, New Jersey or New Brunswick -- I mean New Brunswick, Canada. I wish it had been Ail right. And how were you contacted by these conveyors for Randy Waterman, up and install them for him. He called me up and said that he was working on and Randy wanted me to go 6 1 2 3 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 Q Were you familiar with the name Randy Waterman? A Yes. We had worked for Randy previous to that in South Amboy, New Jersey. Q And was it your understanding that Randy was -- without getting into the exact relationship, but Randy and McCormack Materials were the same thing in your view? A Yes, they were. Q The telephone discussions that you had with Mr. Amos regarding this conveyor work in New Brunswick, where were you when those conversations took place? A I was in my office. He faxed me sketches and an outline of what was to be done. Q All right. Did you go up to New Brunswick yourself to supervise or be involved in the conveyor work? A After we got -- I told him that if we did the job I'd have to go up and take two guys, whether it was a short job and we wanted to turn around and get out of there. So I took two guys and went up there and put the two conveyors on. Q All right. Did you have -- A Actually, three guys -- I took three guys up. Q with respect to this conveyor work, did you have any conversations with Mr. Waterman directly? A I didn't have any direct conversations. I called him three or four times, and he called me two or three times. And I left messages on his and faxed him. And he 7 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 left messages, but we never talked directly. Q Ail right. And the calls that you made to him ~here did they originate from? A I called from my office to his office in Virginia. Q And the calls that you got back were the messages that were left by him for you? left? A Q A Q the actual A Q that job? A Q Carlisle? A Q Where were those messages In my office in Carlisle. The work on the conveyors was done? Yes. And you've been paid for that? That's not part of complaints that we have filed; is that correct? Yes. I was paid for it. When you were paid how did you receive payment for We got a check from McCormack Materials. And did you receive that at your office in Yes. Did you have any further dealings then with McCormack Materials with respect to this New Brunswick location or project? A Not until the project that we're here right now came up. Q Okay. Just so everybody can get some in question over 8 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 understanding of what we're talking about, is this all one project? What was the nature or relationship between the conveyor aspect of things and the -- A The two conveyors were to load ships. Q What were they loading ships with? A Sand and gravel. The sand and gravel was mine at a local pit near the dock. Later there was another pit opened farther from the dock. The material needed processed to a greater degree than the original pit. So this equipment then was purchased and sent up there to that second pit, and that's when we were asked to go up and install that. So it was part of this whole operation to get sand and gravel on the ship and send it to Brooklyn. Q Okay. So the second aspect of the project how is it that you came to be involved in that? A Luke Amos called me and said they had this plant, and Randy wanted me to give him a price to put the plant in. And I worked up a price and called him up and told him what the number was. Q When was it as best as you can recall when you were first contacted by Luke Amos about putting up the plant? A A about it, Early in August -- sometime in August of '96. And how was that contact made? telephone? fax? He called me. He called me first and told me and then he faxed me some sketches he made. I 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 think he might have made about the layout of the plant, telling me how many conveyors there were, where the screens were, the piping was to go. Typically, we've done this a lot because we know that what it takes to put a conveyor up or a screen or whatever because we do a lot of this. So just getting a sketch with the stuff on it's easy for us to quote the job. Q And the phone conversation that you had with Mr. Amos where were you located when that took place? A I was in my office. Q And I believe you said you thought he was in Maine; is that correct? A I'm pretty sure he was in Maine because he was up there a lot at that time trying to coordinate this deal and you know get it put together. Q I assume this Maine location -- strike that. As a result of the phone conversation and the material that was faxed to you did you prepare any kind of proposal to submit to McCormack Materials? A We sent a formal proposal. Right. Q And is that the proposal that's attached as Exhibit A -- A Yes, it is. Q -- to the contract, September 9th, 19967 a letter of yours, dated 10 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 A Right. Q That shows in care of Randy Waterman at an address Virginia? A Q an address on it to McCormack Materials in Upperville, Right. And it also shows a fax number. Would this have been faxed to Mr. Waterman? A Yes. It was faxed. We put the fax number on the letter when we faxed it. Q And would this have been sent to anybody else? A Well, it went to Luke Amos too. Q It was sent from your office in Carlisle? A Yes. Q Did you get a response from Mr. Waterman or Hr. Amos to this proposal? A I didn't talk to Randy. Luke said that -- called me up and said Randy wants you to send two guys up there because they have -- the guy that he was dealing with on this in Canada was getting paid part of the royalty or the cost of the material, had people and all he needed was two people. And he was trying to keep the cost down just long enough to get the main part of the plant erected. Q And that phone call again, where were you when you received that phone call? A I was in my office. 11 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 Q Is it correct to say that the work that you were doing under your proposal was essentially a time and materials kind of work? A Yes. It was time and material. Q And how were you going to be paid, or how did you expect to be paid for that work? A I expected him to pay me for the labor, the materials and whatever I expended. Q And -- strike that. You submitted this proposal to Mr. Waterman and to Mr. Amos. Mr. Amos contacted you and asked you to proceed; is that correct? A Yes. Q Now were you able to tell him in that telephone conversation, yes, I will proceed, or did you have to do something else before you could agree to send anybody up there? A Well, what happened is I worked up the price and called him up and said the lump sum number because that's what he wanted was a hundred-and-some thousand dollars. He said I guess you don't want to do the job, and I said, well, you know, that's what it's going to take. I've done too many of these. That's what it's going to take. He said, well, Randy has these people up here. Why don't you give me a time-and-material price, or really what he wanted me to do is he wanted me to give him a 12 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 lump-sum price furnish. And I said, no, quality of the labor is, and deduct the labor that they were going to because I don't know what the and I'm not going to be responsible -- I'm not going to give you a lump-sum price, and I'm going to take the beating because these people don't know what they're doing because he told me they didn't know what they were doing. And he said, well, just give us two guys and we'll will do the bulk of the work and you just get the major part of the plan out. So I said fine, and that's why I gave him the rates. Q Okay. I didn't really want to do the job on a time-and-material basis because we had a lot of other work going on, and if I pulled these guys off the job I had to give something up. So when he called me I said, well, I'll just have to look because you know I don't know whether these guys are available or not. Q All right. You received a response from Mr. Amos saying that they wanted your men up there? A Right. Based on the proposal you had sent? He wanted two men with a service truck there. Now did you have to do anything to be in a position to provide those two men? A Just schedule them, find out if I get them free. 13 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 And if you could not get those men free would you A area? A Q of 1996, your phone A Q Right. From our shop in Mt. Holly. Okay. In your discussions in August and September leading to the sending of these two men, were all of calls with Mr. Amos taken by you in Carlisle? Yes. And did you place phone calls to him also, or was this always just Mr. Amos contacting you? A I called him. I think I called him in Maine maybe once, but most of the time he called me. Q And again was there any calls that you made to him were they from your Carlisle location? Q have performed the work? A No. Q Were you able to get those men free? A with a lot of difficulty because he told me he only needed them for a short time. Q All right. And they were eventually sent up? A Right. Q And this is the work and expenses that haven't been paid for that form the basis of this claim; is that correct? That's correct. And those men were they sent up from the Carlisle 14 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 A Yeah. They were from Carlisle. Q Again, before leading up to this proposal and the sending of the two men, how many phone calls do you think that you and Mr. Amos exchanged over that period of time? A Well, I'd have to say we had more than normal, so we probably might have had six or seven because there was a lot of discussion about who we were going to send and were they available. Q And were there discussions also between you and Mr. Amos about how you would be paid once the work was completed? A No. We didn't talk about that. Q In connection with this work that was done under this proposal of September 9th, did you go up to New Brunswick? A No. Q At any time did Mr. Waterman contact you or anybody else contact you to tell you that Mr. Amos was not acting on behalf of McCormack Materials? A No. Q And have you been paid any part of the amount that you invoiced for this work done under the September 9th proposals? A Zilch. Nada. MR. VAUGHN: I think that's all I have at this 15 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 time. BY MR. Q DOUGLAS: Sir, with respect to Luther Amos, did you know Luther Amos prior to A Q A 19967 Oh, yes. And how did you know Luther Amos? He worked for L.B. Smith, and we did a substantial amount of work for L.B. Smith. Q In 1996 was he working for L.B. Smith? A No. Q What did he do for L.B. smith when you dealt with him there? A He was their chief engineer. Q It's my understanding then after leaving L.B. Smith he became a consulting engineer? A He was and is doing consulting. That's right. Q And is it your understanding that he was doing consulting work for McCormack Materials in 19967 A Yes. Q And his capacity as a consultant that's how he got in touch with you? A was up in Maine. A Yeah. Yes. You said that when you were talking with him he Was he residing in Maine at the time? He has his place that he goes in the 16 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 summertime. But he was also there I think because he was running over to New Brunswick to put together what was needed to screen the material. Q At any time did you talk with Luther Amos here in Central Pennsylvania concerning the job up in New Brunswick -- A No. Q -- prior to the dispute arising between yourself and Trappe Hill Holdings, Inc.? A I'm sorry. I really don't know what -- would you ask the question again. Q You had talked about faxes and phone conversations with different -- A Right. Q -- with different people. It's my understanding -- well, let me back up. It's my understanding as far as Randy Waterman is concerned your communications with him were a series of messages being left by each other via telephone? A A from him. Q A Q Or faxes. Or faxes. My faxes to him. I don't think I ever got one Okay. So you faxed him down in Virginia? Yes. And then the other communications that you had 17 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 with respect to this project were with Luther Amos while huther Amos was in Maine? A In Maine or here. He could have been -- he was either here or in Maine. Q Were they all by telephone? A No. They were faxes. Q Does he maintain a residence here in Pennsylvania? A Yeah. In New Hampton Township. Q It's my understanding from what you've told us that you were involved with McCormack Materials one other time, and that was for a project that was done in New Jersey; is that correct? A Yeah. Several projects in Jersey. in Jersey? And what kind of Q Several projects projects were they? A Well, the first project was a new sand plant that we were subcontractor at L.B. Smith in South Amboy, New Jersey. We did work directly for McCormack. We did a couple of projects. We put cylinders on, slide gates in the tunnel. I can't remember all of these miscellaneous little jobs we did for them. And we went back and did several more projects for L.B. Smith who was furnishing equipment to expand that operation. Q Okay. So -- A That's where I got to know Randy by the way. 18 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 Q Was working through L.B. Smith in New Jersey? In South Amboy. Right. When you would do work for L.B. was that work involving Luther Amos? A always Q Smith in the past In as far as McCormack was concerned Luther was involved. Right. Do you remember when it was in South Amboy, New Jersey -- what year A It was a while ago. Maybe -- years. Was it '93 -- it might have been you're talking about? Q Yes. A It might have been '90. after that. Q involved? it was that you did that job? well, it's over five '90. The first We did a series of jobs And all of those jobs in New Jersey was L.B. Smith A No. Some of them we did directly for McCormack. They'd come to me and say do you have a way to solve this problem, and I said this is what I'd do. The one I remember is these valves, but there were some small jobs too. They were more like maintenance type of things. Q And with those types of jobs would McCormack be on the job site when he contacts you and asks you to come to New Jersey? A Yeah. They had -- their superintendent would call 19 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 me. Q Okay. Who was that? A First name is Bill. I can't think of his last name. Q And then once Bill would contact you you'd go over to New Jersey? A I'd go over and find out what he wanted and work up a price. Q And then the work would be performed in New Jersey? A Right. Q with respect to this Canada job, the New Brunswick job, were all of your contacts, preliminary contacts, were they first with Luther Amos or were they with Luther Amos and Randy Waterman? What I am trying to do now is get a time frame from when you were communicating with these two. A Luke would call me first because Luke was working for Randy. Q And is it your understanding that Luke Amos was providing -- I guess Luther Amos goes by Luke? A Yeah. Q Okay. Is it your understanding that Luke Amos was providing his consulting services to McCormack? A Yes. MR. DOUGLAS: That's all the questions that I 20 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 have. BY MR. VAUGHN. Q Just a few. Mr. Capuano, with respect to the payments that you received for the work that you did for McCormack Materials in New Jersey that you were asked about, how was that payment made to your company? A By check. Q And where were those checks received? A In Carlisle. Q with respect to Mr. Amos and his involvement in this Canada project, would you describe the term consulting? And consulting services has been used here in the course of this deposition. Would you say that's a correct description of the nature of his work and the scope of his work as you understood it in Canada? A He was a consultant. He was asked to secure the materials and secure the contractor and get him on the job. Q Was he involved in supervising the work up there? A To a certain extent, yes. Q You mentioned that Mr. Amos has a residence in Hampden Township. By that I take it you mean Hampden Township, Cumberland County, Pennsylvania? A Oh, yes. Right up the street here MR. VAUGHN: That's all I have. (Deposition concluded at 3:35 p.m. 21 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 COUNTY OF CUMBERLAND : : coMMONWEALTH OF PENNSYLVANIA : SS I, Christine F. Haag, a Notary Public, authorized to administer oaths within and for the Commonwealth of Pennsylvania, do hereby certify that the foregoing is the testimony of Joseph V. Capuano. I further certify that before the taking of said deposition, the witness was duly sworn; that the questions and answers were taken down stenographically by the said Reporter-Notary Public, and afterwards reduced to typewriting under the direction of the said Reporter. I further certify that the said deposition was taken at the time and place specified in the caption sheet hereof. I further certify that I am not a relative or employee or attorney or counsel to any of the parties, or a relative or employee of such attorney or counsel, or financially interested directly or indirectly in this action. I further certify that the said deposition constitutes a true record of the testimony given by the said witness. this 6th day of July, IN WITNESS WHEREOF, 1998. I have hereunto set my hand -~ris~ine F. ~aag, R~R~ Not ar!~ Public q~ Multi_PagcTM '90 - duly OSEPH V. CAPUANO 16:4 17:1 17:2 4:4 4:19 7:8 4:16 _~_ 18:4 19:14 19:14 7:18 10:12 13:13 COI~Ct [ll] 4:6 19:19 19:20 19:22 13:18 13:25 14:1 4:13 5:6 7:12 190 icl 18:10 18:13 20:10 20:20 20:9 9:12 11:1 11:11 '93D1 18:10 anlount [2114:21 15:8 Central pi 16:5 13:11 13:12 17:12 '96D1 8:22 answers pi 21:10 certain DI 20:19 20:13 APPEARANCES DI certainly Dl 3:23 cost [2] 10:19 10:21 -1- 1:16 certification m 3:4 counsel [31 3:2 21:16 21:17 1159 tel 4:3 4:19 April pi 5:14 certify[si 21:6 21:8 15 ill 2:5 al~a ill 13:14 .>1:13 21:15 21:19 County [611:1 4:6 4:7 4:19 20:22 1975121 4:17 4:22 arising[il 16:8 check[2] 7:16 20:7 21:1 1996 Del 5:5 5:6 asks DI 18:23 checks Ill 20:8 couple [ll 17:19 5:9 5:12 5:14 aspect[e] 8:3 8:14 chiefDl 15:13 COUI'ae[H 20:12 9:25 13:17 15:4 assume D] 9:16 Christine[al 1:10 COURT IH 1:1 15:9 15:18 attacbed D] 9:21 21:4 21:24 Cumberland [61 1:1 1998 ICl 1:12 21:23 attorney [4] 3:15 civil [21 1:2 5:3 4:6 4:7 4:19 3:16 21:16 21:17 claim pi 13:10 20:22 21:1 -2- August [al 8:22 8:22 COMMON PI 1:1 cylinders HI 17:19 23 £u 1:12 13:16 Commonwealth [21 21:3 authorized Hl 21:4 21:5 -D- -3- available [2] 12:17 communicating 111 19:16 date t21 1:12 3:24 14:8 communications I21 dated IH 9:24 3 Itl 2:4 16:17 16:25 3904 [il 1:13 -B- company[el 4:25 deal D] 9:14 20:6 dealing Ill 10:18 3:05 Ill 1:12 background[il 5:1 complaints Dl 7:12 dealings pi 7:20 3:35 Dl 20:25 Based Dl 12:21 completed pi 14:11 dealt Hi 15:11 basis [21 12:13 13:10 concerned Ia 16:17 deduct[l] 12:1 -6- beating Dl 12:5 18:5 Defendant [4] 1:5 'fi[hill 21:23 becalno [1115:15 concerning[l] 16:5 1:21 3:16 3:21 become pi 5:8 :oncluded [11 20:25 degree [il 8:9 -9- beginning pi 3:17 conducted ICl 3:24 deposition Du 1:8 97-4837 Dl 1:3 behalf[el 3:20 14:19 4:23 3:12 3:18 3:19 9thDl 9:25 14:14 best IH 8:20 connection[i] 14:13 3:22 3:23 20:13 20:25 21:9 21:13 14:22 bo[ween [41 3:2 constitutes el 21:20 21:19 8:2 14:9 16:8 cons[ri[ct]on Itl 4:25 describe Di 20:11 -A- Bill I21 19:3 19:5 consultant [31 5:15 description Ill 20:13 able[el 11:13 13:4 briefly [il 3:17 15:20 20:16 different [21 16:13 acting Dl 14:19 Brooklyn Hl 8:13 consulting [61 15:15 -16:15 action[al 1:2 4:13 Brunswick tm 5:17 15:16 15:18 19:23 21:18 5:18 5:18 5:19 20:11 20:12 difficulty m 13:5 actual[il 7:12 6:9 6:13 7:21 contact[418:23 14:17 dircctDl 6:23 14:15 16:2 16:6 14:18 19:5 direction 1u 21:12 address [413:19 4:21 19:12 contacted m 5:14 directly tSl 6:22 10:2 10:3 bulk[l] 12:9 5:21 8:21 11:10 7:1 17:18 18:17 administer ill 21:5 business[ti 4:23 contacting DI 13:21 21:18 afterwards pi 21:11 contacts[a] 18:23 discussion pi 14:7 again 141 10:23 13:24 -C- 19:13 19:13 discussions[al 6:8 14:2 16:11 13:16 14:9 ago m 18:9 calls [61 7:2 7:5 contract D] 9:24 agl'~ HI 11:15 13:18 13:20 13:24 contractor [il 20:17 dispute[ti 16:8 14:3 conversation 1al 9:8 dock [21 8:7 8:8 agreedHl 3:18 CAMP[ti 1:14 9:17 11:14 dollarsDl 11:19 agreement itl 3:21 Canada[sl5:19 10:19 conversations [nl 6:10 done [?l 6:12 7:9 always [2] 13:21 18:6 19:12 20:11 20:15 6:22 6:23 16:12 9:3 11:21 14:13 Amboy [4] 6:3 17:17 ~capacity ill 15:20 conveyor[si 6:9 14:22 17:11 18:2 18:7 6:14 6:21 8:3 Douglas[al 1:20 caption ill 21:14 Amos [311 5:15 5:15 9:4 1:20 1:20 1:20 5:22 6:9 8:16 Capuano [1o] 1:8 2:5 3:16 15:2 8:21 9:9 10:11 2:3 3:8 3:13 conveyors [61 5:16 10:15 11:10 11:10 3:14 3:23 3:24 5:24 6:18 7:9 19:25 12:18 13:18 13:21 4:1 20:3 21:7 8:4 9:2 down pi 10:21 16:23 14:4 14:10 14:18 car0 [il 10:3 coordinate DI 9:14 21;10 15:3 15:4 15:6 Carlisle jul 4:3 corporation[el 4:15 duly[el 3:8 21:9 HIJGHES, ALBRIGHT, FOLTZ & NATALE Index Page 717 -540-0220\717 -3 93-5101 Early = nature Multi-PageTM JOSEPH V. CAPUANO form [21 3:5 13:10 interested m 21:18 8:2I 10:11 10:16 -E- fornlal [11 9:20 invoiced iq 14:22 19:17 19:17 19:19 Early [21 5:14 8:22 fORT[l] 6:24 involved[al 5:8 19:20 19:22 easy £q 9:6 frame el 19:16 5:10 6:14 8:15 lump iq 11:18 either ill 17:4 frea~ [al 12:25 13:1 17:10 18:6 18:16 lump-sum[al 12:1 employed [21 4:8 13:4 20:18 12:4 4:10 full iq 3:25 involvement[al 5:12 Luther [tal 5:15 15:3 20:10 15:4 15:6 16:4 omploy~ [al 21:15 furnish [q 12:2 involving m 18:4 17:1 17:2 18:4 21:17 furnishing iq 17:22 issue[l] 3:19 18:5 19:14 19:14 engineert~l 5:1 fRtllIo IH 3:23 19:20 5:3 5:3 15:13 15:15 -G- -J- -M- ~ngineering O] 4:25 Jersey 0~1 5:17 5:18 main Ol 10:22 equipment[al 8:9 gates lq 17:19 5:20 6:3 17:11 17:22 Goorgc[41 1:13 1:17 17:13 17:14 17:18 Maine[gl 9:12 9:13 erected m 10:22 1:18 3:15 18:1 18:8 18:15 9:16 13:22 15:24 ESQUIRE[al 1:18 given iq 21:20 18:24 19:6 19:10 15:24 17:2 17:3 1:20 go~s Ill 15:25 19:20 20:5 17:4 essentially iq 11:2 gravel [al 8:6 8:6 iob [tal 6:15 6:17 maintain tq 17:7 ~ventually [q 13:7 8:13 7:15 9:7 11:20 maintenance iq 18:21 12:12 12:14 16:5 major rq 12:9 everybody [11 7:25 greater iq 8:9 18:8 18:23 19:12 material tSl 8:8 ~xact[tl 6:5 guess[al I1:20 19:20 19:13 20:17 9:17 10:20 11:4 EXAMINATION[al guy[q 10:18 :cbs lSl 17:21 18:13 16:3 2:2 3:10 guyS[al 6:16 6:18 18:15 18:20 18:22 ,materials i~q 1:4 except[ti 3:5 6:20 6:20 10:17 Josephtq 1:8 2:3 5:10 5:13 5:16 exchanged Ol 14:4 12:8 12:14 12:17 3:8 3:13 4:1 6:6 7:16 7:21 21:7 9:19 10:2 11:3 Exhibit O] 9:22 -H- July itl 21:23 11:8 14:19 15:18 expandol 17:23 JU]qE[ll 1:12 17:10 20:5 20:17 expect £q 11:6 Haas [al i:10 21:4 21:24 urisdictiona111] 3:19 matter[a] 3:13 3:22 expected tq I 1:7 Hampden [21 20:21 5:5 expended m 11:8 20:21 -K- MATX iq 1:1 3:13 4:12 4:15 4:23 expenses iq 13:9 Hampton [q 17:8 kcep lq 10:21 5:6 extent iq 20:19 hand IH 21:22 kind [41 4:23 9:18 McCormack [18] 1:4 Harrisburg[il 4:3 11:3 17:14 5:10 5:13 5:15 -F- 4:19 6:6 7:16 7:21 F[a] 1:10 21:4 hereby tal 3:2 3:4 -L- 9:19 10:2 14:19 21:24 21:6 15:18 17:10 17:18 familiar m 6:1 hereof m 21:14 L.B itel 15:7 15:8 18:5 18:17 18:22 15:9 15:11 15:15 19:23 20:5 far[a] 16:16 18:5 hereunto [u 21:22 17:17 17:22 18:1 mean 11] 5:i9 20:21 farther[il 8:8 Hill [q 1:3 i:14 18:3 18:15 men [81 12:19 12:22 fax[a] 8:23 10:6 3:14 5:9 5:11 labor [al 11:7 12:1 12:24 13:1 13:4 10:8 16:9 12:3 13:13 13:17 14:3 fated I81 6:11 6:25 Holdings [~1 1:3 last Itl 19:3 mentioned Itl 20:20 8:25 9:18 10:7 3:14 5:9 5:11 LAW[al 1:2 1:13 messages 1sl 6:25 10:8 10:9 16:23 16:9 1:17 7:1 7:5 7:6 faxes[s] 16:12 16:I9 Holly[q 13:15 layout[q 9:1 16:18 i6:20 16:21 17:6 hundred-and-some ill leading [2] 13:17 14:2 middle iq 4:1 few[H 20:3 11:19 loaving iq 15:14 might [4] 9:1 14:6 filod [2] 3:20 7:12 left 1si 6:25 7:1 18:10 18:13 filing [q 3:4 -I- 7:6 7:7 16:18 mine IH 8:6 financially iq 21:17 III £nl 1:13 1:17 letter ill 9:24 10:9 miscellaneous [q 17:20 fine iq 12:10 1:18 3:15 load[al 5:16 8:4 most iq 13:23 [list [8] 5:12 8:21 Inctq 1:1 1:3 loading m 8:5 Mt[H 13:I5 8:24 17:16 18:10 3:13 3:14 4:12 5:9 localtq 8:7 19:3 19:14 19:17 Ifive [ti 18:9 Inc. [21 4:23 16:9 located [al 4:18 4:20 -lq'- 9:9 fixed iq 3:12 incorporated 111 4:16 Nada£q 14:24 focus t11 5:5 indirectly [11 21:18 location [al 7:22 name[si 2:2 3:25 9:16 13:25 6:1 19:3 19:4 followstq 3:9 initialtll 4:1 look111 I2:16 nature[al 8:2 20:14 foregoing[ti 21:6 install[al 5:25 8:11 Luke[mi 5:15 8:I6 Index Page 2 HUGHES, ALBRIGHT, FOLTZ & NATALE 717-540-0220\717 =393 -5101 Multi_PageTM neax- SS IOSEPH V. CAPUANO near [~1 8:7 Pennsylvania £n1 1:1 purehased itl 8:10 18:6 19:11 20:23 needed[4] 8:8 10:20 1:14 4:4 4:5 purpose[l] 3:18 ROADiq 1:13 13:6 16:2 4:16 5:4 16:5 17:7 20:22 21:3 put [71 6:18 8:17 royalty[l] 10:19 9:4 9:15 10:8 RPR [2] 1:10 21:24 never iq 7:1 21:6 16:2 17:19 running [1] 16:2 ncw[2sl 5:17 5:17 people[s1 10:20 10:20 putting[~l 5:16 8:21 5:18 5:18 5:18 11:23 12:5 16:15 5:19 6:3 6:9 -S- 6:13 7:21 14:15 }erformcd [2] 13:2 16:2 16:6 17:8 19:9 -Q- sand [41 8:6 8:6 17:11 17:16 17:18 ~riod[ll 14:4 quality£tl 12:3 8:12 17:16 18:1 18:8 18:15 )hone[si 9:8 9:17 questions 12] 19:25 schedule DI 12:25 18:24 19:6 19:10 10:23 10:24 13:18 21:9 scope [1] 20:14 19:12 20:5 13:20 14:3 16:12 quotcm 9:6 scl'~n[2] 9:5 16:3 normal ill 14:5 Pike I2] 4:3 4:19 screens E}] 9:2 ]qotary[a] 1:11 21:4 piping[l] 9:3 -R- sealing[}1 3:3 21:25 piti41 8:7 8:7 raised[}i 3:20 second[21 8:10 8:14 now[s] 3:12 4:8 8:9 8:10 Randy Iisi 5:24 5:24 seeurg [21 20:16 20:17 4:11 5:11 7:24 place [?l 1:13 3:12 6:1 6:2 6:4 s~nd iq 8:13 10:17 11:13 12:23 19:15 6:10 9:9 13:20 6:5 8:17 10:3 11:15 14:7 nulnber [418:19 10:6 15:25 21:14 10:16 10:17 11:23 10:8 11:18 Plaintiff[si 1:1 16:17 17:25 19:15 sending [21 13:17 1:9 1:19 3:15 19:18 14:3 -O- 4:13 rates [11 12:11 sent[vi 8:10 9:20 10:10 10:12 12:21 oaths[i] 21:5 plan [q 12:10 reading ill 3:3 13:7 13:13 objections [21 3:5 plant [61 8:16 8:17 realize iq 5:11 3:20 8:21 9:1 10:22 , September [41 9:25 17:16 really [3] 11:24 12:12 13:16 14:14 14:22 occasion[il 5:8 PLEAS iq 1:1 16:10 series [2] 16:18 18:13 off[ti 12:14 position[Ii 12:24 receive [21 7:14 7:17 service iq 12:22 office [iol 4:18 4:20 received [41 10:24 services [21 19:23 6:11 7:4 7:4 preliminary [2] 3:20 12:18 20:4 20:8 20:12 7:8 7:17 9:10 19:13 record [11 21:20 setDl 21:22 10:12 10:25 ~repar~ ill 9:18 reduced itl 21:11 seven [11 14:6 OFFICES [2] 1:13 }resent iq 3:14 regarding [2] 3:22 several[a] 17:13 17:14 1:17 president IH 4:12 6:9 17:21 once [3] 13:23 14:10 }rctty 111 9:13 registered itl 5:3 sheet iq 21:14 19:5 )revious Itl 6:2 relationship [21 6:5 ship Dl 8:13 one [4] 8:1 16:21 )l'iee [7] 8:17 8:18 8:2 ships [31 5:16 8:4 17:10 18:19 11:17 11:24 12:1 relative [21 21:15 8:5 opened m 8:8 12:4 19:8 21:16 operation[al 5:6 ~rimarily iq 4:24 remember[al 17:20 shop[il 13:15 8:12 17:23 ~rincipal itl 4:18 18:7 18:19 short [21 6:16 13:6 original [11 8:9 problem[ii 18:19 ~Rcporter itl 21:12 shows [2] 10:2 10:6 originate Ill 7:3 proceed [21 11:11 Reporter-Notary Ill signing Ill 3:3 outline rq 6:12 11:14 21:11 si[em 18:23 processed tq 8:8 reserved HI 3:5 six IH 14:6 -P- ~rojcct[91 5:9 7:22 residcm 4:2 sketch[ti 9:6 P[q 1:20 7:23 8:2 8:14 residenee 121 17:7 sketches [21 6:11 17:1 17:11 17:16 20:20 8:25 Lm[2] 1:12 20:25 20:11 ~aid [91 7:11 7:13 projects [sl 17:I3 residing itl 15:24 slide[il 17:19 7:14 10:19 11:5 17:14 17:15 17:19 respoct[*l 6:21 7:21 small[H 18:20 11:6 13:10 14:10 17:22 15:3 17:1 19:12 Smith[lei 15:7 15:8 14:21 proposal £91 9:18 20:3 20:10 15:9 15:11 15:15 }art [6] 7:11 8:12 9:20 9:21 10:15 respective itl 3:3 17:17 17:22 18:1 10:19 10:22 12:9 11:2 11:9 12:21 response [21 10:14 18:3 18:15 14:21 14:2 14:14 12:18 solveD] 18:18 Part-time itl 4:9 proposals [il 14:23 responsible [ti 12:3 ~ sometime [H 8:22 )attics[21 3:3 21:16 providetll 12:24 result[H 9:17 sorryDl 16:10 )ast[2] 4:10 18:3 providing[21 19:20 right[2o] 4:10 5:21 Sou[hi41 6:3 17:17 pay[q 11:7 19:23 6:13 6:19 7:2 18:2 18:7 payment [21 7:14 Public [4] 1:1! 21:4 7:24 9:20 10:I specified iq 21:14 20:6 21:11 21:25 10:5 12:18 12:20 spoken IH 3:17 13:7 13:8 13:15 payments[ti 20:4 pulled 111 12:14 15:16 16:14 18:2 SSD] 21:2 HUGHES, ALBRIGHT, FOLTZ & NATALE Index Page 3 717-540-0220\717-393 -5101 state- Zilch Multi-PageTM JOSEPH V. CAPUANO state Iq 3:24 stenographically 01 21:10 stipulated £q 3:2 STIPULATION £q 3:1 ~tr~t [1] 20:23 strike [2] 9:16 11:9 staff vi 9:6 subcontractor £11 17:17 submit iq 9:18 submitted tq 11:9 substantial [U 15:7 substantive iq 3:22 such [H 21:17 sumu] 11:18 summertime tq 16:1 superintendent m 18:25 supervise Dl 6:14 supervising iq 2o:18 swom [2] 3:9 21:9 -T- takes BI 9:4 taking[l] 21:8 telcphone fsi 6:8 8:23 11:13 16:18 17:5 telling ill 9:2 le~m Bi 20:11 testified Ill 3:9 tgstinlony [2] 21:7 21:20 thought IH 9:11 thousand Iq 11:19 ~ [41 6:20 6:20 6:24 6:24 through ul 18:1 tim~-and-material [21 11:24 12:13 ti~l~$ [2] 6:24 6:25 together 121 9:15 10:11 11:21 16:2 too [31 18:20 took [4] 6:10 6:18 6:20 9:9 touch [q 15:21 Township [31 17:8 20:21 20:22 trading U] 1:4 Trappe [5] 1:3 3:14 5:9 5:11 16:9 trial Ill 3:6 TRINDLE iq 1:13 truck [H 12:22 true IH 21:20 trying 131 9:14 10:21 19:15 tunnel iq 17:20 turn iii 6:17 two B41 5:16 6:16 6:18 6:18 6:24 8:4 10:17 10:20 12:8 12:22 12:24 13:17 14:3 19:16 type iq 18:21 types ill 18:22 typewriting [q 21:11 Typically Ill 9:3 -U- under m 11:2 14:13 14:22 21:12 understood[ti 20:15 up [32] 5:23 5:25 6:13 6:16 6:18 6:20 7:24 8:10 8:11 8:18 8:18 8:21 9:4 9:13 10:17 10:17 11:15 11:17 11:18 11:23 12:15 12:19 13:7 13:13 14:2 14:14 15:24 16:5 16:16 I9:8 20:18 20:23 Uppcrvillc iq 10:3 I15¢d [1] 20:12 -V- V [?] 1:2 1:8 2:3 3:8 3:13 4:1 21:7 valves Iq 18:20 Vaughn [9] 1:13 1:17 1:18 2:4 3:11 3:15 14:25 20:2 20:24 versus D] 3:13 via[H 16:18 view tq 6:6 Virginia I31 7:4 10:4 16:23 -W- waived [11 3:4 wants iH 10:17 Waterman Bo] 5:24 6:1 6:22 10:3 10:7 10:14 11:10 14:17 16:17 19:15 WHEREOF O] 21:22 whole iq 8:12 William i21 1:20 3:16 wish Iq 5:19 within Dl 21:5 without iq 6:5 wiiness [41 3:8 21:9 21:21 21:22 V~FITN'-E S SE S [11 2: I worked Inl 6:2 8:18 ll:17 15:7 year [H 18:8 yeats[il 18:10 yourself [31 5:2 6:I4 16:8 Zilch Iq 14:24 Index Page 4 HUGHES, ALBRIGHT, FOLTZ & NATALE 717-540-0220\717-393-5101 1 2 3 4 5 6 7 8 9 l0 11 12 14 15 16 17 18 19 20 21 22 23 'R. Plaintiff Vo TRAPPE HILL HOLDINGS, INC., trading as ~cCORMACK MATERIALS, Defendant CUMBERLAND COUNTY, 97-4838 CIVIL : CIVIL ACTION LAW PENNSYLVANIA MATX, INC. : V. TRAPPE HILL HOLDINGS, : INC., trading as : McCORMACK MATERIALS, : Defendant : DEPOSITION TAKEN BY: BEFORE: IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA 97-4837 CIVIL / CIVIL ACTION LAW OF: Luther N. Amos, Jr Plaintiff Amy S. Intrieri, Notary Public Dauphin County, Pennsylvania BEGINNING: Thursday, July 9, 1998 3:09 p.m. 3904 Trindle Road Camp Hill, Pennsylvania 24 25 APPEARANCES: GEORGE A. VAUGHN, III, ESQUIRE 3904 Trindle Road Camp Hill, Pennsylvania 17011 Appearing on behalf of the Plaintiff WILLIAM P. DOUGLAS, ESQUIRE DOUGLAS, DOUGLAS & DOUGLAS 27 West High Street P.O. Box 261 Carlisle, Pennsylvania 17013-0261 Appearing on behalf of the Defendant George A. Vaughn, III Attorney at Law 3904 Trindle Road Camp Hill, Pennsylvania 17011 (717) 975,-9102 FAX (717) 975-9105 August 20, 1998 Curtis R. Long, Prothonotary Cumberland County Court House Carlisle, PA 17013 RE: MATX v. Trappe Hill Holdings, Inc.; 97-4837 Luther N. Amos, Jr., v. Trappe Hill Holdings, Inc.; 9%4838 Dem Mr, Long: Although the above-referenced cases are not formally consolidated, they are related cases. An issue which affects the disposition of both of the cases was argued before the Court at Argurnent Court on August 12, 1998. At that time one of the judges suggested that copies of two separate Depositions which appear in each case be filed in the other case so that the Court will have a complete factual record before it regardless of which file is being examined. To that end have obtained an additional copy of each Deposition, and you will find them enclosed for filing. The DeFosition of Mr. Capuano in the case docketed at number 97-4837 should be filed in the case docketed at 97-4838. The copy of the Deposition of Mr. Amos in case number 97-4838 should be flied in the case docketed at number 97-4837. If you have any questions at all in this regard, do not hesitate to contact me. Ve _~ruly yo~,s~ ~ L/~orge A. V4~g~, III Attorney at Law GAV/dj Enclosures (2) cc: William P. Douglas, Esquire 2 .6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 1 2 PLAINTIFF: 3 Luther N. Amos, 4 5 PLAINTIFF: Exhibit A Jr. INDEX TO WITNESS DIRECT CROSS REDIRECT 3 15 20 RECROSS INDEX TO EXHIBITS IDENTIFIED 11 ADMITTED 3 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 STIPULATION It is hereby stipulated by and between counsel for the respective parties that reading, signing, sealing and filing are waived and that all objections, except as to the form of the question, are reserved until the time of trial. LUTHER N. been duly sworn, AMOS, JR., called was examined and DIRECT EXAMINATION as a witness, having testified as follows: N. Amos, Jr. versus Trappe Hill Holdings, today are Mr. Amos and Mr. Douglas, Defendant. And I'm George Vaughn, Inc. Present Plaintiff. Mr. Amos has been sworn. full name for us please? A Luther Newell Amos, Jr. Q And how old are you, sir? A 69. Q Do people normally call you Luke? A Yes. Q All right. Where do you reside? A One Royal Oak Circle, Camp Hill, Pennsylvania 17011. Attorney for the Attorney for the Would you state your BY MR. VAUGHN: Q Now is the time and place fixed for the deposition of Luther N. Amos, Jr., in the matter of Luther 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 Q company? A Q A Q A Q And that's Correct. How long have you Since 1971. Are you currently NO. Are you retired from in Cumberland County, correct? resided at that address? employed by someone else? employment by some other Yes. Is that other company L.B. Smith? Correct. How long -- when did you retire from L.B. January 1, 1994. And when you retired, what was your position immediately before retiring at L.B. Smith? A Chief engineer. Q How long had you been chief engineer? A I believe it was 25 years. Q And as chief engineer, where -- where at L.B. Smith's facilities did you work? A Along the -- at 2001 State Road, Camp Hill. Q Pennsylvania? A Pennsylvania. Q Also in Cumberland County? A Correct. 4 Smith? 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 5 Q Within a few miles of where you live? A Yes. Q The matter that has given rise to this litigation involves what I refer to as a project for simplicity located in New Brunswick, Canada; is that correct? A That is correct. Q What was the nature of that project? A The nature of that project was to obtain course sand to ship to Brooklyn, New York to mix with fine sand coming off a dredge that was working off of Marcus Hook, New Jersey. Q When was it that you first became involved in this project? And by involved, I mean asked to do work for compensation with respect to this project? A In April of 1996. Q Where were you when you first became involved in this project? A At my residence in Camp Hill. Q project? A And what happened to get you involved in this A Randy Waterman of McCormack Materials called me and said he needed help in solving a problem whereby a friend of his -- Q Let's stop there. It's not -- I'll let Mr. 1 2 3 4 5 6 7 8 9 10 11 i2 13 14 15 16 17 18 19 20 21 22 23 24 25 Douglas ask you further questions if he wants don't need to get into that much detail. tO. We A He asked me to solve problems for him and recommend equipment for this project. Q And how did you respond to that? A And I said I'd be glad to, Randy. hour plus expenses. Q And did Mr. project was located? A Yes, he in New Brunswick, Monroeville, Kentucky to 6 Waterman explain to you where the did explain that it would eventually be Canada but he wanted me to go to straighten out a bunch of used equipment people Q And was for the project -- A Yes. this Q And was in New Brunswick? A Yes. Q was any of there and look at other used equipment. that work for -- related to equipment Q -- in New Brunswick? A Yes. Q Did you continue to perform work pursuant to request from Mr. Waterman? A Yes. all of that work related to this project that work done here in Camp Hill? I get $50 an 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 i6 17 18 19 20 21 22 23 24 25 A Oh, yes . And what kind of work was done here in Camp Hill? A could go designs of equipment Making contacts with used equipment dealers so look at the equipment for one thing. Checking that these people in Monroeville, Kentucky sand and Q Hill, were building from used equipment and designing a gravel plant for New Brunswick. Did -- in the course of doing that work in Camp did you have additional conversations with Mr. Waterman? A Q Continually. And those were telephone conversations or personal A forth. a fax. Q waterman, conversations? Telephone conversations and faxes When I couldn't get him When you went to work did you -- how was it I assume paid? And by that I mean what was you were going to be paid? back and on the phone, I'd send him on this project for Mr. that you were going to be the mechanism by which A I would just send him an invoice and he would send me a check. Q Okay. And did you send him invoices -- A Yes. 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 Q -- during the course of Yes, throughout '96. this project? Q it still A 1996, Waterman? A Q A Q payments? A Q A Q significant Brunswick? been Q period When did you stop working on this project? Was 19967 The end of 1996, yes. Q So from the period from April to the end of approximately how many invoices did you send to Mr. Probably twelve. And did you receive I received payments And the payments -- payments on those invoices? on eleven of them. where did you receive those At my residence in Camp Hill, Pennsylvania. And they were in the form of a check from -- Correct. Is it correct to say that you spent a amount of time in the summer of 1996 in New A talking about; is that A That's correct. Now, the invoices -- strike that. Yes, I had six trips over to New Brunswick. this project we've that were sent during that While you were working on the And that was all related to correct? 2 '3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 project and at the site in New Brunswick, or were you 9 were you living living at your residence in Camp in that area Hill? A in Maine. Q Okay. And with sent for your work during No, I was staying at my summer place at the lake respect to the invoices that you that period of time, did you send those invoices from Maine or New Brunswick or some other location? A NO, they all originated from Camp Hill, Pennsylvania. I would fax my wife who was at my residence a handwritten copy of the invoice. She'd type it and mail it from Camp Hill to virginia. Q Did you know Mr. Waterman before he contacted you in April of 19967 A Very definitely. Q Did you know of the name McCormack knew of McCormack Materials? We did business with McCormack years prior to my retirement. before April of 19967 A Yes. Q How is it that you and the name A say for 20 those; Mr. Q And when you say we did business, referring to L.B. Smith? Materials Waterman Materials you're I would 10 1 2 3 4 5 6 '7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 A Camp Hill A Q Now, just briefly? A They Yes. And was that business done where you worked? Yes. what kind of business at the location in is L.B. Smith in, are designers and suppliers of quarry handling equipment, sand and gravel plants, material systems. Q And your involvement with Mr. McCormack Materials during your time do with the purchase of that kind of A That is correct. Q Was your involvement while to just a single project? A No, they were ongoing projects. Randy always had something cooking some place. Q In the time from 1990 until you retired in can you recall how many different projects? A Well, there was at least one or two. Q And in the time on any projects at L.B. Smith which and McCormack Materials? A There might have been four or five in that period. Waterman and at L.B. Smith had to equipment? at L.B. Smith related Waterman 1994, of the 1980's were you working involved Mr. Waterman '1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 Q After you left L.B. any reason to believe that Mr. Materials continued to have L.B. Smith? A Very definitely a letter to Ned Woolford, 11 Smith in 1994, do you have Waterman and McCormack a business relationship with because McCormack Materials sent W-o-o-l-f-o-r-d, at L.B. Smith about a complicated plant that he was thinking about putting in Quebec. And because I had done so much work at L.B. Smith, they sent me the letter and asked me to figure out the plant to do it. MR. VAUGHN: DO you want to mark that as Exhibit A? (Plaintiff's Exhibit A was produced and marked for identification.) BY MR. VAUGHN: Q I'm showing you what's Can you identify this for us? been marked as Exhibit A. A Yes, that is a letter that I Q This is a copy of the letter? A Yes, that's a copy of the letter I just spoke about. Q letter? A just spoke about. Is this a true and correct copy of a three-page Yes. And the last statement on the letter the salesman at L.B. Smith is say hello to Luke. Q There are handwritten notes on this letter. to Are 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 those some of those your notes? A Some are my notes and some are by notes to me about the letter. And the date of this letter is? January 31, 1996. Did you receive the letter shortly after The fax date is February 2nd, '96. Do you continue to be in contact with Smith that you worked with before? Yes, 12 Ned Woolford that? the people I just had lunch with Ned Woolford this Q at L.B. A noon. Q And you did do -- that you did supply to L.B. letter and the plant that constructed? A Q constructed? A NO. Q A strike that. Is it correct Smith information about this Mr. Waterman was trying to have Yes. DO you know whether or not that plant was NO, you don't know? I know it was not constructed because it turned out he had to build a railroad to get it from the deposit to the ocean for ocean freight. And it turned out to be too expensive. Q In our -- strike that. In the complaint which 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 13 sand and gravel A Yes. Q And do Q In your dealings with McCormack Materials and Mr. Waterman while at L.B. Smith, was -- were all of those dealings related to the same kind of business; that is extraction or screening or shipping? you know whether or not McCormack Materials is involved in any other business other than business of that nature? A I really don't know everything he's involved Q With respect -- now wait -- strike that. in. This Road. DO you know what is located at Willisville Road? In other words, is there a sand and gravel plant there? Is there a factory? A I've never been there but I've been told from Randy Waterman's direct associates that is his home. And there are not -- are or is -- there are not any sand and gravel plants in that area or on his property there. I've also been told that he has a 40 barn horse farm there or 40 stall horse barn. Q Off the record. (Discussion off the record.) BY MR. VAUGHN: was filed in this matter, we referred to the company Trappe Hill Holdings, Incorporated having an office or business location in Upperville, Virginia on Willisville 2 ~3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 have the records you? is going to be a memory test of L.B. 14 for you. I realize you don't Smith available to you today, do A That's correct. Q Can you recall fairly clearly the last projects or the last several projects that you worked on at L.Bo Smith involving Mr. Waterman and McCormack Materials? A Yes. Q Were you, in the course of your work, privied to the cost or expense of those projects? A Yes, I was. Q Do you -- A Now, they changed the name of the company at South Amboy where the last projects were. And I'm trying to think of what we did when it was McCormack aggregates. At that time that was a complete sand classification plant which probably was in the neighborhood of a half a million dollars. Q just mentioned the contract McCormack Materials? Was the half a million dollar figure that you price between L.B. Smith and A Yes. Q And that's the last project that you worked for? A That I worked on for McCormack Materials. Q At L.B. Smith? 1 2 3 4 5 6 ~7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 A At LoB. Smith. Q Did you have the project before that? A The project before Jersey. And that came to us same recollection about the 15 maybe crusher in it Q Did you testified to this. Upperville, Virginia this project with Mr. A NO. MR. VAUGHN: I that was in Plainsboro, New in bits and pieces totaling an expensive another half million because that had to crush the oversize gravel. BY ever -- well, I think you already Did you ever go down to the location and have discussions about Waterman in Virginia? think that's all I have. CROSS IXA~INA?ION MR. DOUGLAS: Q When you're talking about this project with you're talking about this lawsuit? last question, I assume that that's the subject matter of A Yes. Q Okay. through. You contacted you -- A Randy Waterman. Q Excuse me, Randy Waterman. Randy Waterman had contacted you at What I'm going to do is walk back had stated that Randy McCormack had thati the one I'll turn this over. your home in Camp 16 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 1 2 3 4 5 Hill? A Correct. Q How did he make that contact? A By calling me on the telephone. Q And did he tell you where he was? A Yes, because I believe at that time I received A all met A Q his home address from him. Q Then you stated that phone calls back and forth. Continually. Continually. together up in Yes. you had some faxes and And I assume at some point, you Canada with respect to this job? And that was where the job was the project was being built? A That's correct. Q When you business with L.B. the late eighties -- A Correct. Q -- with respect to those transactions, Smith selling equipment to McCormack Materials? A Yes. Q And were any of those projects which you recall, -- that's where Materials did and in was L.B. say that McCormack Smith in the earlier nineties specifically, in Pennsylvania where this equipment was 17 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 delivered? A No. Q When you say no, you don't recall or, no, none were in Pennsylvania? A NO, none were in Pennsylvania. They were all in New Jersey. Q Would L.B. Smith deliver the materials to New Jersey? A We would either contract for a hauler to deliver it or the customers would get their own trucks to come in and pick up the equipment. Q Other than the projects in New Jersey and the one project in Canada which is the subject matter of this lawsuit, were there any other states? A I don't any other projects which you recall in McCormack Materials when I was Q Okay. With respect remember anything outside working for L.B. to working A I'm sorry, there was a project McCormack Materials. your I'll have to change that we worked on in New York for New Jersey for Smith. that because with. and A That's right and the salesman that I worked Q When you say we, you're talking about you employment with L.B. Smith? 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 18 Q And once aga±n, you sold materials to McCormack Materials? A Sold equipment. Q Equipment. Do you ever recall specifically with to any of those jobs if Randy McCormack came here came here to Camp Hill to respect or Randy Waterman, excuse me, the L.B. Smith location? A I don't ever remember him coming to Camp Hill because we would always go to the site. Q And when you say site, you're talking about -- A I'm talking about the deposit or the plant. Q The deposit, I assume meaning sand deposit? A Yes, sand and gravel deposit. Q And that would have either been in New Jersey or you personally? New York or one in Canada which involved A Yes. Q You said that a McCormack Materials. L.B. Smith? A Q his practice to go to the site, wherever this is going be built, and eye it up to see what needed to be done? A That is correct. We worked as a salesmen engineer team at L.B. Smith on projects. And he would salesman was involved with Would that have been a salesman for to Correct. And would that salesman go to the -- would it be 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 I would go with Q So I assume Materials -- well, was him or he would go with me. that someone from McCormack Randy Waterman the person you always n.B. some dealt with from McCormack Materials? A Yes. Q I assume Randy Waterman would give a Smith and talk job was in New A Correct. Q So the best you can recollect, correct me if I'm wrong -- about a half a between 1986 up Waterman bought to you or the salesman York/New Jersey? call to about where 19 A It always tried to put recommendation. So would be a lot more than that. Because Randy something in that was less than our after it didn't work, we'd always have to go back and straighten it out. So we were continually working with him. And it turned out to be a lot of small orders. New Q equipment A Q And these small orders would be for the jobs in Jersey or the job in New York? A Correct. And the folks at L.B. Smith would sell the advice on what he should buy? make the recommendation. and provide the That is correct, it was about a -- dozen times until the time that you retired that Randy equipment from L.B. Smith? 2 3 .4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 MR. DOUGLAS: That's all the questions I have. REDIRECT EXAMINATION BY MR. VAUGHN: Q Referring to this project and your contact beginning in April of 1996, you talked about continuous 20 faxes and phone calls between you and Mr. you talking about a few over a period of give us any kind of number of how many phone faxes you received in Camp Hill? A In the hundreds. I have Smith Q Thank you. Ford -- A NO. Q No, this is a I wasn't at With respect a new question. L.B. Smith Ford. 12 inches of files. to your time at L.B. Let's chop again. With respect to your time at L.B. Smith and your involvement with Mr. Waterman and his company then, did anyone from his company come to Camp Hill to inspect equipment or review the work or get advice from LoB. Smith? A His right-hand man Mike Glinch probably was -- I believe that Mike was at L.B. Smith to look at the equipment. Q Is that probably and believe or is that, yes, he Waterman. Are time? Can you calls or Q I'm sorry, I said L.B. Smith Ford. some of that off. Let's start all over here 21 6 7 '8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 was there? A Yes, L.B. Smith. I he was there when I was don't believe that Mike still employed by was there on the in Canada. He wasn't He wasn't project Q A MR. VAUGHN: MR. DOUGLAS: MR. VAUGHN: this deposition. (Whereupon, at L.B. Smith? at L.B. Smith. Those are all the questions I have. I have no further questions. We want Exhibit A attached as part of at 3:37 p.m., the deposition adjourned.) 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 CERTIFICATE 22 COMMONWEALTH OF PENNSYLVANIA COUNTY OF DAUPHIN I, AMY S. INTRIERI, a Notary commissioned and qualified in and for Dauphin, Commonwealth of Pennsylvania, Public duly the County of with authority throughout the Commonwealth of Pennsylvania, do hereby certify that LUTHER N. AMOS. JR., who was by me duly sworn to testify to the truth and nothing but the truth of his knowledge touching and concerning the matters in controversy in this cause; that he was thereupon carefully examined upon his oath and the examination reduced to writing under my supervision; that true record of the testimony given I further certify that I counsel for, nor related to or parties to the action in which the deposition is a by the witness. am neither attorney nor employed by any of the this deposition is taken, and further that I am not a relative or employee of any attorney or counsel employed by the parties hereto or financially interested in the action. 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 23 In witness whereof, I have hereunto set my hand and notarial seal this _~7/~] day of ~)/___, affixed my 1998. My commission expires: August 9, 1999. AMY S. INTR~ER!, Notary Publto City of Har~sburg, Dauphin County My (~otnrnis~ion E×pires Aug. 9, 19~ A~Y S. INTRIERI NOTARY PUBLIC I hereby certify that the evidence and proceedings are contained fully and accurately in the notes taken by me during the deposition of the within cause, and that this is a true and correct transcript of the same. Court Reporter THE FOREGOING CERTIFICATION OF THIS TRANSCRIPT DOES NOT APPLY TO ANY REPRODUCTION OF THE SAME BY ANY MEANS UNLESS UNDER THE DIRECT CONTROL AND/OR SUPERVISION OF THE CERTIFYING REPORTER. MATX, INC., Plaintiff TRAPPE HILL HOLDINGS, INC., trading as McCORMACK MATERIALS, Defendant : IN THE COURT OF COMMON PLEAS OF : CUMBERLAND COUNTY, PENNSYLVANIA : NO. 97-4837 CIVIL LUTHER N. AMOS, JR., Plaintiff Vo IN THE COURT OF COMMON PLEAS OF : CUMBERLAND COUNTY, PENNSYLVANIA : NO. 97-4838 CIVIL TRAPPE HILL HOLDINGS, INC., trading as McCORMACK : MATERIALS, : Defendant : IN RE: DEFENDANT'S PRELIMINARY OBJECTIONS Before HOFFER, P.J., OLER, J. and GUIDO, J ORDER OF COURT AND NOW, December 31, 1998, pursuant to the opinion filed this date, Defendant's Preliminary Objections are dismissed and Defendant is hereby ordered to respond to Plaintiffs' Complaints· By the Court, 97-4837 CIVIL 97-4838 CIVIL George A. Vaughn, III, Esquire 3904 Trindle Road Camp Hill, PA 17011 For the Plaintiffs William P. Douglas, Esquire Douglas, Douglas & Douglas 27 W. High Street Carlisle, PA 17013 For the Defendant MATX, INC., Plaintiff TRAPPE HILL HOLDINGS, INC., trading as McCORMACK MATERIALS, Defendant : IN THE COURT OF COMMON PLEAS OF : CUMBERLAND COUNTY, PENNSYLVANIA : NO. 97-4837 CIVIL LUTHER N. AMOS, JR., Plaintiff TRAPPE HILL HOLDINGS, INC., trading as McCORMACK MATERIALS, Defendant : IN THE COURT OF COMMON PLEAS OF : CUMBERLAND COUNTY, PENNSYLVANIA : NO. 97-4838 CIVIL IN RE: DEFENDANT'S PRELIMINARY OBJECTION~ Before HOFFER, P.J., OLER, J. and GUIDO, J OPINION In this opinion, we address Defendant's Preliminary Objections to Plaintiffs' Complaints· The facts are as follows: Defendant, Trappe Hill Holdings, Inc., trading as McCormack Materials, is a Virginia corporation which builds sand and gravel extraction facilities. Plaintiff, Luther N. Amos Jr. (hereinafter Amos), is an engineer with expertise in design and construction of sand and gravel extraction facilities and a Cumberland County, Pennsylvania resident· Plaintiff, Matx, Inc. (hereinafter Marx), is a Pennsylvania corporation with a place of business in Cumberland County, Pennsylvania. Matx is involved in construction and civil 97-4837 CIVIL 97-4838 CIVIL engineering and has developed an expertise in sand and gravel extraction facilities. Amos was the long time chief engineer for L.B. Smith, Inc., another Pennsylvania corporation involved in the business of designing and equipping sand and gravel operations. (Notes to Testimony of Deposition of Luther N. Amos, hereinafter N.T. Amos, p.4). For a number of years, while employed at L.B. Smith, Inc., Amos worked with the Defendant and consulted on several of the Defendant's other projects. (N.T. Amos, p. 9-10). The record reflects that Matx also had dealings with the Defendant in the past. Matx did a series of small jobs working directly for the Defendant and as a subcontractor to L.B. Smith, Inc. on Defendant's projects in New Jersey. (Notes to Testimony of Deposition of Joseph V. Capuano, President, Matx, Inc., hereinafter N.T. Capuano, p. 17). The project which gave rise to the present controversy was a sand and gravel extraction facility, built in New Brunswick, Canada, designed to obtain course sand to be shipped to Brooklyn, New York. (N.T. Amos, p. 5). In April of 1996, Randy Waterman, a representative of Defendant, contacted Amos, at his home, to request Amos' expertise for the project. (N.T. Amos, p. 5). Amos agreed to work, as a consultant on the project, for $50 per hour. (N.T. Amos, p. 6). Throughout the course of dealing between Defendant and Amos, Amos never 2 97-4837 CIVIL 97-4838 CIVIL visited Defendant's Virginia offices; all communications between the two took place by phone or fax or on the project site. (N.T. Amos, p. 15). Amos regularly billed Defendant for his work and was sent payment at his Cumberland County home. (N.T. Amos, p. 8). Amos has sued the Defendant because he claims he is still owed approximately $9000 for the work he did for Defendant on the New Brunswick, Canada project. (Amos Complaint, p. 2). Matx became involved in the project in April of 1996 when Amos, acting on behalf of the Defendant, contacted Matx about putting in two conveyors, used to load ships, at the New Brunswick, Canada project site. (N.T. Capuano, p. 7). Matx did the conveyor work and was paid by check sent to its Carlisle office. (N.T. Capuano, p. 7). Matx was called again in August of 1996 to work on the construction of a second plant at the New Brunswick project. (N.T. Capuano, p. 8). Matx sent the Defendant a proposal on the pricing to do the work on the second phase of the project. (N.T. Capuano, p. 9). Further negotiations were completed and Matx sent two men to Canada to work on the construction of the second plant in the fall of 1996. (N.T. Capuano, p. 10-13). Matx claims that it has not been paid for the second stage of work done. (Matx Complaint, p. 4). The balance due of nearly $17,000 is the subject Matx's complaint against the Defendant. (Matx 3 97-4837 CIVIL 97-4838 CIVIL Complaint, p. 4). Both Amos and Matx filed complaints against the Defendant on September 8, 1997. On November 10, 1997, the Loudon County Sheriff served the Defendant with both complaints at Defendant's Upperville, Virginia office. Identical preliminary objections, asserting lack of jurisdiction on the part of this Court to hear the Plaintiffs' cases, were filed in each case on December 5, 1997, but argued much later. The Court will address Defendant's objections to jurisdiction in both the Amos and Matx cases together because the factual background which gives rise to jurisdiction in both cases is so closely linked. Discussion The issue presented in the case at bar is whether the Court of Common Pleas of Cumberland County, Pennsylvania may exercise in personam jurisdiction over the Defendant, a Virginia corporation. For the reasons that follow, we find that the exercise of in personam jurisdiction over the Defendant is neither a violation of Pennsylvania law, nor a violation of the United States Constitution. In considering a defendant's preliminary objections, all well pleaded facts and any reasonable inferences therefrom asserted by the plaintiff must be accepted as true. Colt Plumbing Co., Inc. v. Boisse~., 435 Pa. Super. 380, 382, 645 A.2d 1350, 1351 (1994). In order to exercise personal jurisdiction over an out 4 97-4837 CIVIL 97-4838 CIVIL of state defendant, a court must test the facts of the case against the state's long arm statute and against the Due Process Clause of the Fourteenth Amendment to the United States Constitution. See Kubik v. Lettereri, 532 Pa. 10, 12, 614 A.2d 1110, 1111 (1992). Plaintiffs, in the cases at bar, have asserted breach of contract claims against the Defendant. Plaintiffs claim to have been harmed by Defendant's failure to pay for work done under their respective contracts. Plaintiffs are both Pennsylvania residents. Both were contacted in Pennsylvania to request their assistance on Defendant's sand and gravel extraction project in New Brunswick, Canada. The Pennsylvania long arm statute provides the basis upon which a court may exercise in personam jurisdiction over an out of state defendant. It states: (a) General Rule. - A tribunal of this Commonwealth may exercise personal jurisdiction over a person (or the personal representative of a deceased individual who would be subject to jurisdiction under this subsection if not deceased) who acts directly or by an agent, as to a cause of action or other matter arising from such person: (1) Transacting any business in this Commonwealth. Without excluding other acts which may constitute transacting business in this Commonwealth, any of the following shall constitute transacting business for the purpose of this paragraph: 5 97-4837 CIVIL 97-4838 CIVIL (I) The doing by any person in this Commonwealth of a series of similar acts for the purpose of thereby realizing pecuniary benefit or otherwise accomplishing an object. (ii) The doing of a single act in this Commonwealth for the purpose of thereby realizing pecuniary benefit or otherwise accomplishing an object with the intention of initiating a series of such acts. 42 Pa. C.S.A. Section 5322. A clear reading of the statute leads us to conclude that the exercise of jurisdiction is proper under the statute. Defendant reached into Pennsylvania to transact business. Defendant hired Pennsylvania residents so as to reap a pecuniary gain. Defendant had previous dealings with both plaintiffs, knowing that they were Pennsylvania residents. Defendant transacted business in this Commonwealth by hiring the Plaintiffs to manage and participate in the construction of its New Brunswick, Canada sand and gravel extraction project. Even if a state long arm statute confers jurisdiction, a court may not exercise in personam jurisdiction over an out of state defendant unless it is determined that a grant of jurisdiction would not violate the Due Process Clause of the Fourteenth Amendment to the United States Constitution. Kubik v. Lettereri, 532 Pa. 10, 12, 614 A.2d 1110, 1111 (1992). The Pennsylvania Supreme Court has expressly adopted the constitutional 6 97-4837 CIVIL 97-4838 CIVIL test set out in BurRer Kinq v. Rudzewi~.7 471 U.S. 462, 105 S. Ct. 2174, 85 L. Ed. 2d 528 (1985). The standard which must be met by a state in asserting specific personal jurisdiction over a non-resident defendant as articulated in Burqer King is clear: (1) the non-resident defendant must have sufficient minimum contacts with the forum state and (2) the assertion of in personam jurisdiction must comport with fair play and substantial justice. The determination of whether this standard has been met is not susceptible of any talismanic jurisdictional formula: the facts of each case must always be weighed in determining whether jurisdiction is proper. Kubik at 17, 614 A.2d at 1114 (citations omitted). Weighing the facts in the case at bar, Defendant has established minimum contacts with Pennsylvania. Defendant's reliance on Derman v. Wilair Services, Inc., 404 Pa. Super. 136, 590 A.2d 317 (1991), alloc, denied, 529 Pa. 621,600 A.2d 537 (1991), is misplaced. In Derman, plaintiffs, representatives of New York residents killed in a plane crash in Pennsylvania, attempted to sue a New York corporation, in Pennsylvania, for failure to properly maintain the plane. Id._~. The court found jurisdiction to be improper because the non-resident defendant had not reached into Pennsylvania to establish minimum contacts, id. The case at bar is easily distinguishable because Defendant purposefully availed itself of the benefits of Pennsylvania when it deliberately chose to hire Pennsylvania residents 7 97-4837 CIVIL 97-4838 CIVIL to work on the New Brunswick, Canada project. Further support for asserting jurisdiction over the Defendant sub judice can be found by comparing the facts at hand with the facts in Richard T. Byrnes, Co., Inc. v. Buss Automation, Inc., 415 Pa. Super. 549, 609 A.2d 1360 (1992). In Byrnes, jurisdiction over a non-resident defendant was proper where the defendant allegedly failed to pay a commission to the plaintiff, a Pennsylvania citizen, owed under a contract. Id_~. Reaching out to a Pennsylvania resident and knowingly forming a contract with that citizen was enough to establish minimum contacts and make the assertion of jurisdiction fair. In the case at bar, Defendant reached into Pennsylvania to conduct business.~ Defendant purposefully availed itself of the expertise of Pennsylvania citizens in sand and gravel operations. The Defendant solicited work from the Plaintiffs, knowing that they were Pennsylvania citizens; they did not come to the Defendant looking for employment. Defendant deliberately engaged in significant activities in Pennsylvania. It is reasonable to believe that Defendant should have anticipated being haled into a Pennsylvania court. Defendant chose to contract ~ It is clear that the fact that Defendant was never physically present in Pennsylvania during the course of dealing between the parties is not a bar to the assertion of jurisdiction over the Defendant. See Colt Plumbin.q Co.1 Inc. v. Boiss~,J 435 Pa. Super. 380, 391,645 A.2d 1350, 1356 (1994). ' 8 97-4837 CIVIL 97-4838 CIVIL with parties from Pennsylvania. Defendant purposefully availed itself of the privilege of conducting business in Pennsylvania and minimum contacts were established. It is reasonable and fair to assert jurisdiction over the Defendant in the case at bar. Pennsylvania has an interest in providing a means of redress for its own citizens. If the Plaintiffs' allegations are proved at trial, it would be clear that Defendant intentionally harmed the Plaintiffs by failing to pay for work done while reaping an economic gain for itself. Under the circumstances, it is reasonable and fair to assert jurisdiction over the Defendant. Defendant's preliminary objections are therefore dismissed. DOUGLAS, DOUGLAS & DOUGLAS 27 W. HIGH ST. POB 261 CARLISLE PA 17013 TELEPHONE 717-243-1790 X WILLIAM p. DOUGLAS, ESQ. Supreme Court I.D.# 37926 GEORGE F. DOUGLAS, m', ESQ. Supreme Court I.D.# 61886 IN THE COURT OF COMMON PLEAS OF MATX, INC., CUMBERLAND COUNTY PENNSYLVANIA PLAINTIFF TRAPPE HILL HOLDINGS, INC., Trading as McCORMACK MATERIALS, 1 997 - /4837 CIVIL TERM CIVIL ACTION LAW DEFENDANT i To: Curtis R. Long, Prothonotary PRAECIPE Please substitute the attached Verification in place of the attorney verification to the Answer filed January 19, 1999, to the above-captioned action. Date: January 26, 1999 DOUGLAS, D)O~GLAS & DOUGLAS ]44'FX, INC. V. TAPPE ~]'].1. HOLDINGS, INC. - 1997 - 4837 CIVIL ~P,M COMMONWEALTH OF PENNSYLVANIA COUNTY OF CUMBERLAND SS. VERIFICATION I, Randy M. Waterman, ~2¢* ~2dct~ ~' of Trappe Holdings, Inc., verify that the statements made in the foregoing document are true and correct, to the best of my knowledge, information, and belief. ! understand that false statements herein made are subject to the provisions of 18 Pa. C.S.A. § 4904 relating to unsworn falsification to authorities. Date Randy M. ~7atei:man MAT]f, INC., Plaintiff TRAPPE HILL HOLDINGS, INC. trading as McCORMACK MATERIALS, Defendant IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA NO. 4837 CIVIL 1997 RULE 1312-1. The Petition for Appointment of Arbitrators shall be substantially in the following form: PETITION FOR APPOINTMENT OF ARBITRATORS TO THE HONORABLE, THE JUDGES OF SAID COURT: Georc~e A. Vaucl'hn. III. , counsel for the plaintiff/dlsl2~la~in the above action ~ respectfully represents that: 1. The above-captioned act!on Rg~:gll~g) isXl~l~ at issue. 2. The claim of the plaintiff in the action is $ 19.939.00 The counterclaim of the'defendant in the action is 0 Thc following attorneys axe interested in the case(s) as counsel or are otherwise disqualified to sit as arbitrators: George A. Vau~hn, III, Office of Douqlas & Douqlast Samuel L. Andesr Esquire, and Michael L. Bangs, Esquire WHEREFORE, your petitioner prays your Honorable Court to appoint three (3) arbitrators to whom the case shall be submitted. Respect fully .~ubmitted, Ge'lSrge A.'~Vaughn, III ORDER OF COURT (~ 200~ AND NOW, ~ ~J~t9/~ , ~ , in consideration of the Esq., and (0~,~ ~ d'.~} , Esq., are appointed arbitrators in the above captioned action (or actions) as pr~yed for./ ,~ P,J.