Loading...
HomeMy WebLinkAbout97-05833 ~~ ~, ~ ~ ~ l' d I ! I .~~ i ry! :] ".1 " , ~ i ~) I : ('0.. ~ CORESTATES BANK, N.A" Plaintiff IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA vs. CIVIL ACTION - LAW ROBERT J. BEAUDRY and SUSAN W. BEAUDRY, ft33 (It (,q L (j '7 No, I - Defendants CONFESSION OF JUDGMENT Notice is given that a judgment has been entered against you in the above-captioned matter in the amount of $147,817.54 on October ~ 1997. By ,b-l,-l ;J U.tlA..-'V'-fI ~"(:froth(;motary o&erning the abov please If you have any questio contact: David M. McCanney. Esauire Attorney or Party filing 111 N. Sixth Street. P.O. Box 679 Address (number, street) Readinq. PA 19603 (city, state, zip) (6101 478-2142 (telephone) Ii RDOI "HU1/0UlO, 74S CORESTATES SANK, N,A" Plaint iff IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA vs. CIVIL ACTION - LAW ROBERT J. BEAUDRY and SUSAN W. BEAUDRY, No' / . --' -r:L..._ o. ~I 'I. 'j",j-':; j LO'((. Defendants CONFESSION OF JUDGMENT COMPLAINT FOR CONFESSION OF JUDGMENT Plaintiff CoreStates Bank, N.A. confesses judgment against defendants Robert J. Beaudry and Susan W. Beaudry (collectively, the "Defendants"), jointly and severally, in the amount of $147,817.54, plus accruing interest on the unpaid principal balance, plus all costs and expenses incurred by plaintiff in collecting such amount, and any other monies that may become due and payable, as provided for in that certain guaranty agreement, and alleges the following in support thereof: 1. Plaintiff Corestates Bank, N.A. ("CoreStates") is a national banking association with offices located at 600 Penn Street, Reading, Pennsylvania 19603. 2. Defendants Robert J. Beaudry and Susan W. Beaudry are adult individuals residing at 135 Bryce Road, Camp Hill, Pennsylvania 17011. 3. On or about April 27, 1992, CoreStates loaned to Susquehanna Valley Associates (the "Partnership") the principal sum of Two Hundred Two Thousand Dollars ($202,000) (the "Loan"). RDG,4"1901.'UllIU '14'. 1 4. To evidence its obligation to repay the Loan, the Partnership executed and delivered to CoreStates a bond for the Loan, wherein the partnership promised to pay CoreStates the principal amount of Two Hundred Two Thousand Dollars ($202,000.00) together with interest at the rate set forth therein (the "Note"). A true and correct copy of the Note is attached hereto, marked Exhibit "A," and incorporated herein by reference. 5. The Note provides that interest will accrue on the principal sums advanced at a fixed per annum rate of eight and 90/100th's percent (8.90t). 6, As consideration and inducement for CoreStates to make the Loan to the Partnership, the Defendants executed and delivered their guaranty agreement (the "Guaranty Agreement") whereby the Defendants unconditionally guaranteed to CoreStates the due performance (including prompt payment) o~ all. of the Partnership's liabilities to CoreStates. A true and correct copy of the Guaranty Agreement is attached hereto, marked Exhibit "B," and incorporated herein by reference. 7. An event of default has occurred under the Note and the Guaranty Agreement due to nonpayment. 8. As of October 15, 1997, the outstanding principal balance of the Note was $124,653,46, together with accrued and unpaid interest in the amount of $4,160.30, and late fees of $305.76, which totals $129.119.52, plus accruing interest at the ~OGi.1'vl:0tJlO 745 2 fixed per annum rate of eight and 90!100ths percent (8,90'), plus all costs and expenses incurred by CoreStates in collecting such amount and any other monies that may become due and payable under the Note (collectively, the "Debt"), 9. The Guaranty Agreement contains a warrant of attorney that authorizes CoreStates to appear on behalf of the Defendants at any time and to confess judgment against the Defendants for the entire Debt plus fifteen percent (15'> for attorneys' fees plus costs of suit. 10. Pursuant to the terms of the Guaranty Agreement, the amount due CoreStates as of October 15, 1997 is $147,817.54 itemized as follows: Unpaid Principal Accrued, Unpaid Interest Late Charges Attorney's Fees Total $124,653.46 $ 4,160,30 $ 305.76 S 18.698.02 $147.81''''.54 Plus accruing interest on the unpaid principal balance after October 1, 1997, plus all costs and expenses incurred by CoreStates in connection with collecting such amount, 11. The Note has not been assigned nor has judgment been entered upon the Note in this or any other jurisdiction. 12. The judgment to be entered herein is not being entered against natural persons in connection with a consumer credit transaction. WHEREFORE, plaintiff CoreStates Bank, N.A. prays this Court to enter jUdgment, jointly and severally, against the IH)'-J' .'~'J 1. <11 ~ )1) 14~ 3 defendants Robert J. Beaudry, Jr. and Susan W. Beaudry in the amount of $147,817,54 plus accruing interest after October 15, 1997 on the unpaid principal balance at the per diem rate of $30.82 until judgment is entered and thereafter 3t the statutory rate of six percent (6.0\) on the entire judgment amount until full payment is made, plus all costs and expenses incurred by CoreStates in collecting such amount, including but not limited to, reasonable attorneys' fees. Dated: October 17, 1997 squire 965 et By David M. McCanney, Attorney I.D. No. 7 111 North Sixth Str P.O. Box 679 Reading, pennsylvania (610) 478-2000 19603 Attorneys for Plaintiff, CoreStates Bank, N.A. ~ RDG!4'~Ol!Ol~lO 14S 4 CORESTATES BANK, N,A" Plaintiff IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA vs, CIVIL ACTION . LAW ROBERT J. BEAUDRY and SUSAN W. BEAUDRY, Defendants No. CONFESSION OF JUDGMENT CONFESSION OF JUDGMENT Pursuant to the authority contained in the warrant of attorney contained in the Guaranty Agreement, a true and correct copy of which is attached to the Complaint filed in this action, I appear for the defendants, Robert J. Beaudry, Jr. and Susan W. Beaudry and confess judgment, jointly and severally, in favor of plaintiff, CoreStates Bank, N.A., in the following amounts: Unpaid principal Accrued, Unpaid Interest Late Charges Attorney's Fees $124,653.46 $ 4,160.30 $ 305.76 S 18.698.02 Total $147.817.54 Plus accruing interest on the unpaid principal balance at the per diem rate of $30.82 until judgment is entered and thereafter at the statutory rate of six percent (6.0') on the entire judgment RDO/t,tOl!OlllD.7t' 1 ~ VERIFICATION I, Mary Jean Noon, verify that I am an Assistant Vice President of plaintiff, CORESTATES BANK, N,A" and that I am authorized in that capacity to take this Verification on its behalf, I verify that I am familiar with the regularly kept business records of plaintiff, that the facts set forth in the within Complaint are true and correct to the best of my knowledge, information and belief, although the language of the ; , . I r I I I i I Complaint is that of counsel and not of my own. To the extent that the contents of the attached Complaint have been supplied by counsel, I rely upon counsel in taking this Verification, I understand that the statements herein are subject to the penalties of 18 Pa. C.S.A. ~4904 relating to unsworn falsification to authorities, President ROO/t7tOl/01110.145 CORESTATES BANK, N,A., Plaintiff IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA vs, CIVIL ACTION - LAW ROBERT J. BEAUDRY and SUSAN W, BEAUDRY, No, '17, 'JL?? L~,:ij -r;.~ Defendants CONFESSION OF JUDGMENT AFFIDAVIT OF LAST KNOWN ADDRESS Mary Jean Noon, being duly sworn according to law, deposes and says that she is an Assistant Vice President of plaintiff, CoreStates Bank, N,A., whose address is 600 Penn Street, Reading, Pennsylvania 19603, states that the last known address of defendants is: Robert J. Beaudry, Jr, Susan W. Beaudry 135 Bryce Road Camp Hill, Pennsylvania President I~~h Sworn to and subscribed before me this ~ day of October, 1997, expires: r-" --I NOTA"IAL SEAL , JAhlLIl L GllND'(, 'Hollry'","", til'll1'" be'.. County, t'A Mt Ct'01t'ltll,L II tl~.lrn 8 ,i.I.."': RDO/4"Ol/012JO.745 CORESTATES BANK, N,A., Plaintiff IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA vs, CIVIL ACTION - LAW ROBERT J. BEAUDRY and SUSAN W, BEAUDRY, Defendants No, CONFESSION OF JUDGMENT CERTIFICATE OF ADDRESSES The undersigned certifies as follows: 1. The plaintiff's address is: CoreStates Bank, N.A. 600 Penn Street Reading, Pennsylvania 19603 2, The defendants' last known address is: Robert J, Beaudry, Jr. Susan W. Beaudry 135 Bryce Road Camp Hill, Pennsylvania 17011 DATED: October~, 1997 David M. McCanney RCO/t,tOl/011JO.'4S CORESTATES BANK, N,A" Plaint!! f ': IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA VS. CIVIL ACTION - LAW ROBERT J. BEAUDRY and SUSAN W. BEAUDRY, 'J '7. 'j l J '1 CLv..i. ~,,- Defendants No. CONFESS~ON OF JUDGMENT AFFIDAVIT PURSUANT TO PENNSYLVANIA RULE OF CIVIL PROCEDURE 2951 Mary Jean Noon, being duly sworn according to law, deposes and says that she is an Assistant Vice President of plaintiff, CoreStates Bank, N.A., and that this confession of judgment is not being entered against a natural person in connection with transaction, President 15fh Sworn to and subscribed before me this day of October, 1997. N.jTARIAL SEAL IllMhll LlltiOYf. ~"'J'" "IlDflr kl'JII('':. B..r.. (;Otlnry...." M,- r-f ~rl't.!: n b~Hn 1'1. ioJ. 'J?j : .- - H_ ..::..J Roa/."Ol/01~]O.7.1 r . CORESTATES BANK, N.A., Plaintiff IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY. PENNSYLVANIA vs. CIVIL ACTION - LAW ROBERT J. BEAUDRY and SUSAN W. BEAUDRY, Defendants No, CONFESSION OF JUDGMENT AFFIDAVIT OF WARRANT MARY JEAN NOON, being duly sworn according to law. deposes and says that she is an Assistant Vice President of CoreStates Bank, plaintiff herein. and that the warrant of attorney contained in the copy of the Guaranty Agreement attached hereto is a true and correct copy of the original. t , Mary J Assis nt Vice President CoreStates Bank Sworn to and subscribed before me this 'rf~ I J day of , October, 1997. - .- ----J ri'~ TARIAL SEAL IIIMLll. L (,lU,i.iTE. Ndol'J I'lIthe Iktlo"': h'I~5lUUII'Y_ rA Mi GcmM'\!;1 II t '~:ll" 0 .!4. 91 ROG/41'Ol/012JO.745 Exhibit A \-:~, Guaranty ~ CoreStat.. H.mlllon aank 1. DEFINITIONS. As used herein Ihe following lerms shall have Ihe meanings indicaled: "Undorsigned" means Ihe person. including any form of legal Bnlily or. if more than one. all of the persons by whom. or on whose behalf, this Guaranty is signed. "Bank" moans :iamillon Bank or lis Assigne,. V 11 A i "P I . lOb " Susquehanna a ey ssoe ates r nClpa a lor means "Principal Deblor's Liabilities 10 Bank" means all exiSling and future liabililies. whether absolute or contingent, of the Principal Debtor to the Bank of any nature whatsoever and out of whalever transactions arising, 2. CONTINUING GUARANTY. The Undersigned hareby uncondillonally guaranlees 10 Bank Iha duo parlor mance, including, bUI nol being Ilmlled 10, Ihe prompl paymen1 when due, of Iha Principal Deblor's liabililies 10 Bank. This Guaranty Is a continuing one and shall be olfactlvo and binding on tho Underslgnod regardless 01 how long alter tho data harool any 01 tho Principal Dobtor's llabillUesto Sank were or ere Incurred; provided. however, that any one of the Undersigned who gives written notice to Bank of termination hereof shall nol be liable hereunder for such of the Principal Debtor's Liabililies 10 Bank as are incurred after the receipl by Bank of such written nOlice, unless the Lame are renewals, extensions or modificalions of liabililies exisling prior to such written notice or unless Bank is bound by agreement entered into before Ihe receipt of such notice to permillhe same 10 be incurred, Additionally. the Underlfigned hereby approves and consents 10 Ihe lerms and conditions of all documents evidencing Principal Debtor's Liabilities 10 Bank and agrees to be bound by such terms and conditions as the apply 10 the Undersigned, 3. AMOUNT OF LIABILITY. The amount of Ihe Undersigned's liability hereunder shall belimiled 10 IS Two Hundred Two Thousand and 00/100 Dollars 202,000.00 plus interest thereon. The Undersigned agrees that the amount 0' the Principill Debtor's Liabilities to Bank may from time to time exceed the said Iimil of the Undersigned's liabililV hereunder withoul in any way affecting the liability of the Undersigned hereunder, and Bank may apply any payment wilh respect 10 Principal Debtor's Liabilities to Bank to or on account of such of Principal Debtor's Liabilities to Ban,,- and in such order as Bank may elect. 4. UNCONDITIONAL LIABiliTY. The liability of Ihe Un~.;slgned hereunder Is absolule end unconditional and shall nol be affected in any way by reason of any failure 10 relain or preserve. any bck or prior enforcement of, any invalidity of, any delay in enforcement or failure to enforce any rights or attempt to obtain rights against any person or persons, including the PrinCipal Debtor and anyuf Ihe Under- signed or in any property; or any delay in making demand on the Undersigned for performance or payment of the Undersigned's obligation hereunder, 5. WAIVERS - The Undersigned herebvwaives all nOlices of any character whatsoever wilh respect to this Guaranty and the Principal Oebtor's Liabilites to Bank, including. but not being limited 10, notice; of Ihe acceptance hereof and reliance hereon, of the present exist- ence or future incurring or any of the Prin,=ipal Debtor's LiabilitieslO Bank. of the amount. terms and conditions thereof, and of any defaulls thereon. The Undersigned hereby consents to the taking of, or Ihe failure 10 take, from time to timo wilhout nolice to the Undersigned. any ac- lion of any nature whatsoever with respect to the Principal Debtor's Liabilities 10 Bank and with respecllo any rights against any person or persons (inClUding the Principal Debtor and any of the Undersigned) or in any property. includin~, but nol being limited 10. any renewals. exlensions. modifications, postponements, compromises. indulgences, waivers, surrenders. exchanges and releases. and 1he Undersigned will remain fully liable hereon notwithstanding any of the foregoing; provided. however. that the granting of a release of the liability hereunder of less than all of the Undersigned shall be effeclive with respect to the liabilily hereunder of Ihe one or more who are speCifically so released bUI in no way affect Ihe liability hereunder of any of the Undersigned not so released, The death or incapacity of any of the Undersigned shall in no way affect Ihe liabililY hereunder of any othor of the Undersigned, The Undersigned hereby waives the benefit 01 all laws now or hel eafler in effacl in any way limiting or restric1ing the liability of the Undersigned hereunder. including without limitation la) all defenses whatsoever to the Undersigned's liabilitv hereunder except the defense of payments made on account of the Principal Debtor's Liabililies to Bank and the Undersigned'sUability hereunder, and (bl all right 10 slay of execution and exemplion of properlY in any action to enforce the liability of the UnderSigned hereunder, 6. PAYMENT OF COSTS, In addilion 10 all olher HabililY of Ihe Undersigned hereunder and nOlwilhslanding Ihe Umil. If any, sol forth in paragraph 3 hereof. the Undersigned also agrees to pay to the Bank on demand all costs and expenses lincluding reesonable altar. nev's fees and legal expenses) which may be incurred in the enforcemont of the Principal Debtor's Liabilities to Bank or Ihe liability 0' the Undersigned hereunder. U 210.01.129IREV 04/91) .. 7, ACCELERATION OF LIABILITIES .If anyone of 1he Pflnclpal Deb lOr'S LUlbllltleslo Bank are not duly performed. including thl prompt payment when due of any amount payable thereon, alllhe PrincIpal Deblor's LiabilitIes 10 Bank shall. at Bank '5 option, be deemed to be immediately due and payable for the purpose of this Guaranty and the Ilabdlt\' of Ihe UnderSIgned herounder. Furthermore, the Bank shall have an immedIate right of S81.off against allllllbdll1Cs to any of the Undersigned Includ10g the rlgh1 of set.off against any and all deposit accounts. whiCh right of set.off shall be 10 addition 10 and not In derogalfon af any right of sel.off the Bank may otherwise have by reason of law or agreement. As security for this Guaral,ty and allllablhlles of Ihe UnderSigned to 1he Bank. the Bank is hereby given and granted a lien on and a securlly in Ie rest in all property of each of lhe UnderSigned, now or hereaf1er in the Bank's possession or secured 10 the Bank pursuanl to a seCurl1V agreement or mortgage; including. but n0111miled to, any balance or interest in any deposit. trust, or agency aCCount; and the Bank shall have all rights to such property as it has by any agreernem or by law. S. CONFESSION Or- JUDGMENT. The Undersigned hereby irrevocably authorIZes Ihe Prothonolary or any BnornBY of Bny court 01 record in P lllnsylv8n18 or elsewhere to appear and confess judgment against the Undersigned, (and each of them. jointly or severally. If more than one) for the amount 'or which may become liable to Bank under this Guaranty. with or without default. together with fees of counsel in the amount of fifteen percentI15%) of (he foregoing and costs of suit,lbul not less than S, 00), releasing all errors and waiving all rights of appeal. If a cop\-' of this Guarantv. verified bV affidavit. shall have been ftled in such proceeding, it shall not be nocessary to file the original as a warrant of attorney. The Undersigned hereby waive the right 10 any stay of execulion and the benefit of all exemption laws now or hereaher in eHect ihe Undersigned hereby expressly authorize immedia1e execution under any judgment entered pursuant to this power to confess judgment without any prior judicial review of the judgment; any right or requirement for judicial review being hereby waived. No single oxercise of thiS warrant and power to confess judgment shall be deemE:d to ellhaust this power. whether or not any such exercise shall be held b~' any court to be invalid, voidable or VOid, but this power shall continue undiminished and may be e~ercised from time to time as often as the 3ank shall elect unlil all sums payable or that may become payable by the Undersigned have been paid in full. 9, NO SU9ROGA TION . So long BS Ihe Principal Debtors Liabili,ies 10 9ank have nol been paid in full. no paymenl by t'. Undersigned pursuant to the provisions hereof shall entitle the Undersigned by subrogation to lhe rights of the Bank or otherwise. to any payment by the Prmci~al Debtor or out of the property of the Principal Debtor. i i I I I I I I 10. OTHER GUARANTIES. A subsequent guaranty by lhe Undersigned or any other guarantor of lhe Principal Debtor's Liabililiesto Bank shall not be deemed to be in lieu of or to supersede or terminate this guaranty but shall be construed 85 an additional or supplementary guaranty unless otherwise expressly provided therein; and in the event the Undersigned or any olher guarantor has given to Bank a previous guaranty or guaranties. tnG guaranty shall be construed 10 be an additional or supplementary guaranty. and not to be in lieu thereof or to terminate such previous guaranty or guaranties unless exp(essly so provided herem 11. SECURITY. This Guaranty is secured by 12. On an annual basis the Und~rsigned will provide to the Bank a personal financial statement and CO?y of their federal income tax return. 13, \<3c MISCELLAN:OUS. The Sank shall have no dUlY or obligation to 'he Undersigned or any other party to perfectBny liBn or sBcurity inlerest of the Bank in any collateral securing this Guaranty or securing any of the Principal Deb10r's liabilities 10 Bank. The Bank shall not be required to marshall an~' collateral for this Guaranty or for any of the Principal Debtor's liabilities to Bank or guarantees or to resort to the same in any panicular order. If Ihe UndArsigned consists of more than one person, such persons shall be jointly and severally liable hereunder. This Guaranty shall inure to the benefit of Bank, its successors, assigns, endorsees, and any person or persons. Including Inv banking institution or institutions, to whom Bank may grant any interest in the PrinCipal Deb10r's Liabilities to Bank or any of them. and shall be binding upon 1he Undersigned and the Undersigned's executors, adminlstralors. successors, assigns and other legal representDtlves. Any failure of lhe Bank to exercise any right hereunder shall not be construed as a waiver of the right to exorcise the same or any right81 any 01her lime. The Undersigned intends this to be a sealed instrument and to be legally bound hereby. All issues arising hereunder shall be governed by the law of Pennsylvan.ia. l):9~l L (SEAL) (SEAL) By: (SEAL) Sy: (SEAL) Sy: .19 q;). Nam, 01 COfpor.llon/P.nn.llhlp/ProPII.torlhlp (SEAL) Name J. Beaudry. Jr, .,1l LMf\ LJ .:iLa I < J" 'I- N.me , Susan W. Beaudry N.me and TIlle (SEAL) f-. Name and TIU, (SEAL) Nom'.ndTIUe (SEAL) "'.me Name a llQIIlX3 \ . -[; :IRa r c.... ....", BOND KNOW All MfN IV THUI PRUeNTS. Ih.t SUSQII!lWIIlA VALLET ASSOCIATES hI,.l" refe,red to CI, Obligor. .'ond, bot"nd ""'0 HAMILTON lANK- a banking corporallon having It. prlnclpal officI In Lancastt, Chy, lanca..... County, 'lftftlJl. ..nlo hlt.ln "'.,,Id 10 01 Obll,H. In the principal .um 0' Two Hundred 1'Vo TboulIDd and 00/100 (1202,000.00) DoUan. Sawful mon.y of thl Unlreel S'ott. 0' Am.rlea, fa be ~Id 10 ,hi aald Oblig.. 01 any.' II, oMe.,. Dol.d th, 21th day 01 April In .h. )'tCI' a. o"r Lord ant thoutclnd nine hundred and ninuy two (1992) THI CONDITION 0' THIS IOND IS SUCH, that If Obligor .hoU po)' unto Obllg.. 'h. .'OIllGld principal ,IoIm of ""'0 Bundred. tvo Thauund and 00/100 - ----- ------------------($202.000.00 ) Dolla.. In 101III ADDDllUll "TTACUll IIIUTO AIID IWlI " Pdt llUOP , ;' . AND ALSO thall poy promptly, wfth Inlt,,,,. 01 tM ral. of I",.,.., "....wed for ...,.1", but In no even' .... thOn ... (6"> pet cent. any advona. which may ... ma... by Oblle" 1ft payment of ........ ....., 0#' MWef rentl, chatg.., clal"", IftlUrance 01 ,.,.In. .. hetelnofter provldecl, AND ALSO thall faithfully perform 011 the covononbf Dg~"''' and conditIoN co"," tal'*' h.-In. or In the Martgog. of evon dalo h"owllh dollvered D' .ecvrlty lot thll Iond, then- thlt Iond to be ",d, olhorwl.. to be and tllll'loln 'n full force and virtue. " Dl1AULT ahall OCC1It In any paymen"(') a. oforelOld. for the .paCll of fllt..n (U) doY' ofl.r .... tome thall foil due, or In tho performonce of any of th covenanta. o',.....nl. or COtMIlt"N contol'" In thl. land Of In tald MOr1,o,~ then Iho ontl... unpaid balura of told principal lum. with IntItretI accruod Ihoreon 01 lhe rato hor.lnbefore lpedfled, togother wllh 011 01...... .um. due by Obligor herevndor or th.revnd.t, thall 01 the option of Obn,.. Grid without notice ta Obi..., become due ond payobl. Imrnedla,-Iy, .nythlng he,.ln to the con- Itory notwJth.tIQndl"~" and payment of tho Mmo may be .nto..... and NCOY.reclln whol. or In part at any time by moaN of ..toft ogaln.t any "'"" of Obligor on dopotl' with Obll,.. or by tho .nlry 0' IloMoI,mont on thl. Iond. and tho I""onc. 0' "KUllan IN,*", upon any ....1 or potMnol property of ObU,Ot or both, and Obllgo. may 01.. ,..covor .n COIfl 0' Ivlt and olhot ..ponM' In cnnMdlo" therewith, togothot with on Ollornoy'1 commlulon 'or collection 0' fl~ ("", por cenl of tald Ind.bted",... but In no ..ont 10.. than the IUm 0' 1100.00, without ,,",hor "oy. and with 0 full ........ 0' .rto.... any low, vlGg. Of' CUllOm to tho contrary no" wllhlloncU,.. ._~-~-- -- --' ObUSor (oM eoch of them If more than one) her,by 1"'''OCDbty o",lhodu. Ih. Prothono- lory Of ony alto,.,.., .. 0"" C04.Irt of recotd In Penn.,la",o Of .IMwh.r. t. appea, 'or OM ~,.. f.... i",dtlMl'M egolNt .. Ob1ie_ (OM .och of ,hem, ialNly ond ......,011.'. If more thon OM) fat on, ond 011 II""""" .,npald on ,hi. land, indvdine jnt.r.,' 10 dot, 0' payment, tOctOtM' ",ilh .... of cou.... '" the omoun' of flli..n perqnt (1 ,%) 0' ,h. for.galns and ~.t. of ",U, ,.1.11", 01. It"" .nIIt wolwlne 011 righ'l of appeal. If . '-Opy of ,hil Iond. v.rlf~ by caffh'avlt, aholl h.w, ....n ,..... in ",chi p~lnv. It.naU not ~ MWNGry 10 fU. the .,181..1 al 0 wa,. I1Int 0' .notMY'. C~... (and eocn o' th.m, If more thon OM) hereby wolv. tho right.. lIny wy 0' eaecvllon .NI the benefit 0' 011 ..,mpllon lawI M'" or herM"- In .Hed. No IIngl. ,.,td.. ., mi. womant and power to con.... ludgm.nt tholl M d"""d 11:I .a.haull thl. powe', wheth" 0' nol oft)' ....et. ....rd.. aha II be held by any cowrt to be Inyalld. 't'oldoblo Of' 't'oId, ltul I" powe' aha' conlin..,. uncllmlnllMd and may be ...rcINd 'rorn tlm. 10 lime 01 o""n .1 the Obllg.. aha" elect unlll all .",m. d",. h....und.' .hoU hay. Men pald In "'IL Tho word ~UgM. h....ln aholl be cMefMd and CDftItruM to Inclu4e avccnaon and ......... 01 Obi..., a. the word .Obllgor'" h....ln lhall IN dMmed and COftltfVOd to Include tho ,..,..:IIv. hein. ..ecuton. admlnlllrolol1l, 1",",tl0f1 and ..algM of .OtlIlOO'1 and In th. ,w.n' that. II ~ than OM party nam.d h..lr; 01 on Obligor. the word .Obllv...... wheneotlt OCCUf"'" hwoln ahoU ... dMmad and token 10 lM pl""ol. and oil 1M cowenon'" walwtn. watton... proml.. .ncI rea.... by. and obligation, 01 Jlobillll.. l"'poMfJ "'pan Obligor thall bin" them toln", .nd M'\'1tt1IIIy and III. hll. h.r and thel" and lOCh 0' their rMpMllva h,lrs- utcUIOn, odmlnlatrol..... IUCUllIOlI and aulgnl. IN WlTNW W'HUIOP. and Intencllng to'" legally bound hlt.by. OWltor hol u.,*, th... "..en.. unclw ...1 on th. dote Alii aboy. ",wi",n. 11'...., Sooletl .... DeIlvarod SU "'....,--"" ~...&loDo-O",...C'"" . ~.24.. .:. '..'.....-tr.- .. J. ... ..............................-................................. , ....~...:b:l....bit'-.d,........... CSlAIl ......................................................................... (SIAl) Anah ............................................................... -,.,., I, .............................:...............p;;W;;;j... , . BOND (SlCUlID IV MOITO"OIl IUSQIIElWOIA VALLEY ASSOCIATES TO HAMILTON BANK . DatH... q4/1.!m. UOZ,OOO.OO Amount ..... .......'.'.....1..., .,) BOND ADDENDUM TO $202,000 BOND DATED ~n~ 11 SUSQUEHANNA VALLEY ASSOCIATES , 1993 THE CONDITION OF THIS BOND IS SUCH, that it Obligor shall pay unto Obligee the aforesaid principal sum of Two Thousand Two Hundred and 00/100 Dollars ($202,000.00), together with interest as stated below and in the manner stated below: The Bond shall have a term of five years and 70 days, For the initial seventy days of the Bond, the interest rate will be at a fluctuating rate of interest per annum equal to Hamilton Bank's Prime Rate as in effect from time to time, plus ,50', This interest will change when and as Hamilton Bank's prime rate changes. Interest will be calculated on a 360 day over 360 day basis, Interest will be payable monthly, upon submission of the Bank's statement therefor, On July 6, 1992 or at the time all loan proceeds of the Mortgage Loan have been disbursed, whichever occurs first, the interest rate will convert to a fixed rate of Eight and Ninety Hundredths Percent (8.90') per annum. Interest will be calculated on a 360 nay over 360 day basis. The principal amount and interest as aforesaid will be payable in 59 monthly installments of Two Thousand Five Hundred Forty Seven and 93/100 Dollars ($2,547,93) each beginning August 1, 1992 or the first day of the month following disbursement of all loan proceeds of the Mortgage Loanl and in one final installment of all outstanding principal, together with all accrued and unpaid interest. Payments including principal and interest at the stated rate shall be made all in lawful money of the United States of America. Any prepayment of the principal hereof during the fixed rate period (whether voluntarily or because of an acceleration of the maturity hereof or o~herwise) shall be accompanied by a payment of all accrued and unpaid interest on the principal so prepaid plus a payment of a prepayment premium equal to the amount, if any, by which (a) the installments of principal being prepaid plus the installments of interest which would have been payable thereon when both are discounted to a present value at a rate per annum equal to the yield to maturity of the "Applicable Treasury Bond Obligation(s)" exceeds (b) the principal amount being prepaid, The "Applicable Treasury Bond Obligation(s)" shall mean the debt obligation(s) of the United States Treasury having a maturity date nearest in time to the maturity date(s) of the principal being prepaid and the maturity date and yield to maturity of such Applicable Treasury Bond Obligation(s) as shall be determined by the Bank in its sole discretion on the basis of quotations published in the Wall Street Journal (or comparable source) on the date of prepayment, ~ ~ ""'" .1. .. BOND ADDENDUM PAGE 2 The prepayment premium provided tor herein shall be applicable to any prepayment ot principal whatsoever and tor whatever reason, including, without limitation, as a result ot demand, acceleration upon detault, foreclosure, sale or destruction ot collateral, or otherwise, and whether caused by the Bank, the Borrower or by any other person or entity. A late charge ot tour percent (4.0') of each dollar or traction thereot ot any monthly payment shall be due and payable it said monthly payment is unpaid by the sixteenth (16th) ot the month in which the payment is due, _~~\L ').1, ~'\'\~ (Date) \ It ~, .. . -J r-,! ::,:1 -~ - ", ~ " "' ~ ~ c--'> '. ~ ",;; '-" :;:-- I, ~~ "-..J " (> ~ '" c ;:::-... .....J .. " . , (,.J\ ~ 1 ' ;".) " ~ "- ~~) -t::-- ~ '-" ~ "'- ~. r ~ \ """ I'- ~ ~ .,--".'<,.---.....,- - ,~,'T""~,_~-;".q"~,~,,,_..,,,,, CORESTATES BANK, N.A., Plaintiff IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA CIVIL ACTION - LAW NO, 97-5833 v. ROBERT J, BEAUDRY and SUSAN W, BEAUDRY, Defendants ANSWER OF CORESTATES BANK TO DEFENDANTS' PETITION TO OPEN AND STRIKE JUDGMENT CoreStates Bank ("Corestates"), by and through its undersigned counsel, hereby responds to Defendants' Petition To Open and Strike Judgment as follows: 1. Admitted. 2. Admitted, 3. Admitted. 4. Admitted, Factual Backaround 5,-7, Denied. After reasonable investigation, CoreStates is without knowledge or information sufficient to form a belief as to the truth of this averment. 8. Admitted in part; denied in part, Admitted that Drs. Reedy and Beaudry formed a partnership known as Susquehanna Valley Associates (the "Partnership"). After reasonable investigation, CoreStates is without knowledge of the purpose of such partnership, therefure, that averment is denied. By way of further answer, it is donied that the Partnership owns the West RDG!50050!OlllO.74S 1 Shore Office, because legal title in that property is in the Cumberland County Industrial Development Authority, 9. Admitted in part; denied in part, Admitted that CoreStates loaned $202,000 to the Partnership (the "Loan") and the Partnership executed and delivered a mortgage to CoreStates pertaining to the Partnership's equitable interest in the West Shore Office. Denied that the proceeds of the Loan were to pay expenses of the Partnership. To the contrary, the proceeds of the Loan were to be used to finance renovations and additions to the West Shore Office. Denied CoreStates caused Drs. Beaudry and Reedy and their wives to guarantee the obligations of the partnership. To the contrary, Drs. Beaudry and Reedy and their wives offered their guaranties of the Loan to CoreStates as additional credit enhancement. 10. Denied. After reasonable investigation, CoreStates is without knowledge or information sufficient to form a belief as to the truth of this averment, which is therefore denied. By way of further answer, the disputes between Drs. Reedy and Beaudry are irrelevant to this matter. 11. Denied, After reasonable investigation, CoreStates is without knowledge or information sufficient to form a belief as to the truth of this averment, which is therefore denied, By way of further answer, CoreStates is not a party to the action pending in the Court of Common Pleas of Dauphin County, Pennsylvania (the "Dauphin County Action") nor is it ROO/50050/012l0.745 2 , bound by the Consent Decree, In addition, the Dauphin County Action is irrelevant to this matter, 12, Denied, After reasonable investigation, CoreStates is without knowledge or information sufficient to form a belief as to the truth of this averment, which is therefore denied. By way of further answer, the Consent Decree and the Dauphin County Action are irrelevant to this matter. 13. Denied as a legal conclusion. By way of further answer, the response in Paragraph 12 is incorporated herein by reference. 14. Denied as a legal conclusion. By way of further answer, the response in Paragraph 12 is incorporated herein by reference. 15. Denied as a legal conclusion. By way of further answer, the response in Paragraph 12 is incorporated herein by reference. 16. Admitted in part; denied in part. Admitted that the Loan matured on June 30, 1997 and was due and payable in full on that date. Admitted that Dr. Beaudry had discussions with representatives of CoreStates regarding an extension of the term of the Loan. Denied that any extension was agreed upon by the parties. To the contrary, Drs. Reedy and Beaudry were unwilling to execute any documents regarding an extension of the maturity date. ROGjSOOSO/Oll10.1tS 3 , 17, Admitted in part; denied in part, Admitted that CoreStates may have been willing to extend the maturity date of the Loan subject to certain terms and conditions that would be represented in certain documents, Denied CoreStates agreed to extend the maturity date. By way of further answer, Drs. Reedy and Beaudry were unable to agree between themselves to an extension of the maturity date of the Loan. 18, Admitted. By way of further answer, neither Dr. Reedy nor Dr. Beaudry executed any documents extending the maturity date of the Loan. 19. Denied. After reasonable investigation, CoreStates is without knowledge or information sufficient to form a belip.f as to the truth of this averment, which is therefore denied, By way of further answer, the Consent Decree and the continuing disputes between Drs. Reedy and Beaudry are irrelevant to this matter. 20. Denied. After reasonable investigation, CoreStates is without knowledge or information sufficient to form a belief as to why the Partnership ceased making payments. 21. Denied. After reasonable investigation, CoreStates is without knowledge or information suf.ficient to form a belief as to the truth of this averment, which is therefore denied. 22. Admitted in part; denied in part. CoreStates has not assigned the loan at issue here. Admitted CoreStates will ROO/50050/01~)O.745 4 .~ not consider an application for new financing from Dr, Beaudry during the pendency of his dispute with Dr. Reedy. By way of I ,. further answer, CoreStates has been informed by Drs, Reedy and Beaudry that a commitment to finance Dr. Beaudry's purchase of the West Shore Office would ~ resolve the issues between the two doctors. The litigation would continue without any resolution of the overall problem thereby jeopardizing CoreStates' ability to obtain repayment of any new financing. Denied that CoreStates' refusal to consider Dr, Beaudry's application has negated Dr. Beaudry's ability to obtain financing. To the contrary, Dr. Beaudry could apply for financing at any of numerous financial organizations; however, Dr. Beaudry has failed and refused to make any alternate financing arrangements. 23. Denied. After reasonable investigation, CoreStates is without knowledge or information sufficient to form a belief as to the truth of this averment, which is therefore denied, 24. Denied, After reasonable investigation, CoreStates is without knowledge or information sufficient to form a belief as to the truth of this averment, which is therefore denied. 25, Denied. After reasonable investigation, CoreStates is without knowledge or information sufficient to form RDa/50050/01~10.745 5 a belief as to the truth of this averment, which is therefore denied, 26. Denied, Mrs. Beaudry was not "induced" by CoreStates to sign the guaranty. To the contrary, Mrs, Beaudry offered her guaranty to CoreStates as a credit enhancement for the Loan. By way of further answer, Mrs, Beaudry has received numerous benefits from the Loan, inCluding the ability to maintain her lifestyle through the income generated by Dr. Beaudry's practice and by deducting partnership expenses from her income tax. 27, Admitted in part; denied in part. Admitted that the judgment has created a lien against the Beaudrys' residence. Answer to petition to Strike , I I I I I I r I i !. 28, The responses set forth in Paragraphs 1 through 27 above are incorporated herein by reference. 29, (A) Denied. Denied as a legal conc::'~lsion, By way of further answer, the Guaranty does not require ar; event of default as a condition precedent to entering judgment by confession against the Beaudrys. In any event, Paragraph 7 of the Complaint specifically states that the Beaudrys are in default for nonpayment, In addition, the Beaudrys admit the default in Paragraphs 16 and 20 of their petition by averring that the Loan had matured and was due and payable in full on i ,', Ii. L. June 30, 1997 and that the Partnership has not made any payments ROO/50050/01~JO.745 6 on the Loan after June 30, 1997. Furthermore, this averment, even if true, is insufficient to strike a judgment, (B) Admitted in part; denied in part, Admitted CoreStates has not taken any action against the Partnership. By way of further answer, an action against the Partnership would have a significant detrimental effect on Dr, Beaudry's practice. Denied that CoreStates is obligated to take action against the Partnership before taking action against the Beaudrys, To the contrary, the Guaranty executed by the Beaudrys specifically permits CoreStates to take action against the Beaudrys without taking prior action against "any person or persons, including the Principal Debtor (the Partnership)." See Paragraph 4 of the Guaranty attached as Exhibit "B" to the Complaint filed in this matter, Furthermore, this averment, even if true, is insufficient to strike judgment. (C) Denied as a legal conclusion. Denied CoreStates is required to comply with the Interest Act of 1974, To the contrary, the Interest Act of 1974 relates solely to residential mortgage interest rates and is irrelevant to this matter. Furthermore, this averment, even if true, is insufficient to strike judgment. (D) Denied as a legal conclusion. Further denied that CoreStates "required" Mrs, Beaudry to execute the Guaranty. To the contrary, Mrs, Beaudry offered her guaranty to CoreStates i ... ROO/SOOSOI01~]O.1.S 7 " as a credit enhancement for the loan, Furthermore, this averment, even if true, is insufficient to strike judgment, (E) Denied as a legal conclusion, Further denied that the Consent Decree has any relevance to this matter or that the Consent Decree is binding in any way upon CoreStates. Furthermore, this averment, even if true, is insufficient to ~'W' . ~ strike judgment, petition to Open 30. The responses to Paragraphs 28 and 29 are incorporated herein by reference, 31, Denied as a legal conclusion. (A) Denied. The Beaudrys admit in Paragraphs 16 and 20 of their petition that they have not made payments to CoreStates and that the Loan was due and payable in full on June 30, 1997, Any claim by the Beaudrys that they are not in default is misleading and disingenuous, (B) Admitted in part; denied in part, Admitted that the Beaudrys have not made any payments to CoreStates, As state above, the Beaudrys admit they have not made payments towards the Loan. As to the Consent Decree, CoreStates, after a reasonable investigation, is without knowledge sufficient to form a belief as to the truth of the averment, By way of further answer, the Consent Decree is irrelevant to this matter. I' I ;'.\ (C) Denied. After reasonable investigation, , .' CoreStates is without knowledge sufficient to form a belief as to RDO!SOOSO/011JO,745 8 the dispute and allegations between Drs, Reedy and Beaudry, By way of further answer, the Beaudrys did not take all actions available to them to avoid a default by the Partnership, The Beaudrys could have attempted to obtain alternative financing but failed to do so or they could have requested that the Court of Common Pleas of Dauphin County permit them to make payments directly to CoreStates, 31. (sic), Denied as a legal conclusion. By way of further answer, CoreStates offered to extend the maturity date of the Loan; however, Drs. Reedy and Beaudry were unwilling to execute the appropriate documents. The adversarial proceedings between Drs, Reedy and Beaudry do not, and should not, involv~ CoreStates, and cannot affect CoreStates' contractual rights against the Beaudrys. 32, Denied as a legal conclusion, By way of further answer, the Beaudrys' averment is too general to provide a more specific response. 33. Denied as a legal conclusion, Contrary to the Beaudrys' averment, Mrs. Beaudry received significant benefit from the execution of the Guaranty, In addition, her execution of the Guaranty, along with other loan documents, evidences her knowledge of the Loan and her acknowledgment of CoreStates' right to have judgment entered by confession against her, Specifically, Mrs. Beaudry executed a document titled "Disclosure RDO/50050101~]O.145 9 for Confession of Judgment" which declared her knowledge of the Warrant of Attorney to confess judgment, 34, Denied, After reasonable investigation, CoreStates is without knowledge sufficient to form a belief as to the truth of this averment, which is therefore denied. By way of further answer, the Consent Decree and the proceedings between Drs, Reedy and Beaudry are irrelevant to this matter. 35, Denied. The Beaudrys admit in Paragraphs 16, 20 and 31(B) that payments have not been made to CoreStates pursuant to the contractual obligations of the Partnership and the Beaudrys to CoreStates, Whether such default was caused by the Beaudrys or Dr. Reedy is irrelevant to this matter, WHEREFORE, CoreStates Bank requests this Court to deny the Beaudrys' petition to Open and Strike Judgment, Respectfully submitted, Dated: November~, 1997 By Dav d M, McCanney Attorney I.D. No. 7 965 111 North Sixth Street P,O, Box 679 Reading, PA 19603-0679 (610) 478-2000 Attorneys for CoreStates Bank ADO/50050/01~)O".5 10 , CORESTATES BANK, N.A" Plaintiff IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA CIVIL ACTION - LAW v, ROBERT J, BEAUDRY and SUSAN W, BEAUDRY, NO, 97-5833 Defendants CERTIFICATE OF SERVICE I, DAVID M, MCCANNEY, certify that a true and correct copy of the foregoing Response to Defendants' petition to Open and Strike Judgment was served upon Defendants' counsel of record by depositing the same in the United States mail, postage prepaid, on November ~ 1997, addre9sed as follows: Samuel L. Andes, Esquire 525 North Twelfth Street Lemoyne, Pennsylvania 17043 . RDO/SOO'O/012)O.74S CORESTATES BANK, NA., PLAINTIFF/RESPONDENT V, IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA ROBERT J. BEAUDRY and SUSAN W. BEAUDRY, DEFENDANTS/PETITIONERS 97.5833 CIVIL TERM ORDER OF COURT AND NOW, this 30th day of October, 1997, upon consideration of the foregoing petition, IT IS ORDERED: (1) A Rule is Issued a'gainst respondent, Corestates Bank, NA., to show cause why the petition to open and strike judgment entered by confession, should not be granted, (2) Respondent shall file an answer to the petition within fifteen (15) days of service. (3) The petition shall be decided under Pa, Rule of Civil Procedure 206.7. (4) Any depositions shall be completed within thirty-five (35) days of service. (5) Briefs shall be filed in charnbers and argument shall be held on Monday, December 29, 1997, at 4:00 p,m., in Courtroom No, II of the Cumberland County Courthouse, (6) Notice of the entry of this order shall be provided to all parties by petitioner. /.? " ('") ," 0 ~~ -.I ." i'1i , :1: ':f ;.:.) ,,"') (.l , '- I :0:- ; n :1 " e.) . - ~ (J ) ,- , -.:1 , " , 1 , d ~ . " I - I ':, / ....) - ,., oJ -< ,..... '< . ... CORESTATES BANK, N.A., PLAINTIFF/RESPONDENT V. ROBERT J. BEAUDRY and SUSAN W. BEAUDRY, DEFENDANTS/PETITIONERS IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA 97.5833 CIVIL TERM ORDER OF COURT AND NOW, this 13th day of January, 1998, upon agreement of counsel the argurnent scheduled for December 29, 1997, is continued generally and may be rellsted at the request of any party. /.. l3y the C06rt, / David M. McCanney, Esquire For Plaintiff/Respondent Samuel L. Andes, Esquire For Defendants/Petitioners t' <>ct......Q,.>n-n.(\.~L"L II/If/18 u ...a rr', :saa II ~ lit . !'- >-......!:!' ~" \j ~ ;:.... ~ - l.i ..) ~ J \: ..) ~cb n [ Xj ~ >-. ...... ...... ~ Q ~ C<J (:t: ~ !II = ~ . ~ l:l ~ ~ ;0 ii\ ~ ~ 3 ~ -< ~ - ~ . M III ...l t . i l' o-l ;0 ~ 0 ~ {r;I os ~ IL ~ ;J o. . X S ~ ~ < ~ ~ rJl ~ I " .. 1'1 3 !: . ':' . . ...- . . .-- .- . '- . I. \.~\ \! .. CORESTATES BANK, NA, Plaintiff ) ) ) ) ) ) ) ) IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA CIVIL ACTION. LAW vs, ROBERT J. BEAUDRY and SUSAN W. BEAUDRY NO. 97-5833 CIVIL CONFESSION OF JUDGMENT Defendant PETITION OF ROBERT J, BEAUDRY AND SUSAN W, BEAUDRY TO OPEN AND STRIKE JUDGMENT ENTERED BY CONFESSION AND NOW come the above.named Defendants, by their attorney, Samuel L. Andes, and pursuant to PA. R.C.P. 2959, petitions this Court to strike or, in the alternative, to open the judgment entered against them in the above-captioned matter, based upon the following: PARTIES I. The Petitioners herein are Robert J. Beaudry and Susan W. Beaudry, adult individuals who reside at 135 Bryce Road, Camp Hill, Cumberland County, Pennsylvania. Petitioners are the Defendants in this action. 2. The Respondent herein is Core States Bank, N.A., a National Banking Association which . maintains offices at 600 Penn Street, Reading, Pennsylvania. The Respondent is the Plaintiff in this action. 3. The Plaintiff commenced this action by filing its Complaint for Confession of Judgment, and causing the Prothonotary to enter judgment against the Defendants by confession, for $147,817.54, on 22 October 1997. 4. The Defendants file this petition to strike or, in the alternative, open the judgment entered by confession against them by the Plaintiff. FACTUAL BACKGROUND S. Defendant, Robert J. Beaudry Jr., ("Robert") is, and has been for all times relevant to this matter, an oral surgeon. From the mid.1980s until 28 February 1996, Robert was a stockholder in and was employed by Miller Oral Surgery, Inc., ("MaS") a Corporation which practiced oral surgery in Central Pennsylvania. 6. From approximately 1990 until 28 February 1996, the only other stockholder in MaS was Michael T. Reedy ("Reedy"). Reedy is also an oral surgeon. 7. From the mid.1980s until 28 February 1996, Miller Oral Surgery operated two offices at which its employees practiced oral surgery. . Those offices were: A. The East Shore Office located at 400 Nationwide Drive in Harrisburg, Pennsylvania, at which Reedy primarily practiced; ("East Shore Office") and B. The West Shore Office at 3600 Old Gettysburg Road in Camp Hill, Pennsylvania, at which Robert primarily practiced ("West Shore Office"). 8. Robert and Reedy formed a partnership to own the real estate and office buildings at which MOS operated its offices. The partnership was named Susquehanna Valley Associates ("SV A") and was owned in equal shares by Robert and Reedy. 9. In April of 1992, SV A borrowed $202,000.00 from Plaintiff to finance and pay various expenses incurred by SVA in the ownership and operation of its real estate holdings. To provide security to Plaintiff for that loan, SV A gave Plaintiff a mortgage on the West Shore Office owned by SV A and caused Robert and Reedy, and their respective wives, to guarantee the obligation of SVA. 10. Commencing in early 1992, various disputes arose between Robert and Reedy over the , ownership, management, and distribution of benefits from MOS and S VA. As a result of those ! disputes, a series of legal actions were commenced between Robert and Reedy before an arbitration i' panel appointed by the American Arbitration Association, the Court of Common Pleas of Dauphin '. t' County, Pennsylvania, and this Court. Various portions of that litigation proceeded through those I ii i! Courts, into and through the Superior Court of Pennsylvania, and to the Supreme Court of I, Ii ii Pennsylvania. I' i ~ Ii 11. In February of 1996, in response to various actions filed by Robert and Reedy, " Ii including an action to dissolve MOS, the Court of Common Pleas of Dauphin County, I Ii Pennsylvania, by the Honorable Lawrence Clark, with the consent and joinder of Robert and 'i Ii Reedy, entered a Consent Decree. That Consent Decree, Lnter alia, provided as follows: I' i: A. That the practices of Robert and Reedy would be separated so that Robert I' i. i: would practice exclusively at the West Shore Office and Reedy would practice at the Ii !i East Shore Office; and i ,! I' B. That the various assets ofMOS would be valued and distributed between II II I. Robert and Reedy and that any disparity in the value of assets so distributed, would ,. be made up by a cash payment from one to the other; and - C. That the assets and liabilities of SV A would be valued and distributed between Rohert and Reedy and any disparity in the net value of the assets so distributed would be adjusted by a cash payment from one to the other; and D. That a Special Master was appointed by the said Court for purposes of supervising, controlling, and completing the division and distribution of the assets and ownership of MaS and SV A; and E. That all future disputes involving Robert and Reedy related to MaS or SV A would be brought before the Court of Common Pleas of Dauphin County, Pennsylvania, for resolution and that all pending actions, before that Court and before this Court, would be consolidated into the Dauphin County action in which the Consent Decree was entered. 12. The process required by the said Consent Decree has been long, complicated, and difficult and is not yet completed. The process continues, however, with the Special Master and under the supervision of the Court of Common Pleas of Dauphin County, Pennsylvania. 13. The Consent Decree required Robert to pay to SVA monthly rental for his occupancy and use of tile West Shore Office. The original amount of rent provided in the Consent Decree was modified by the Court of Common Pleas of Dauphin County, Pennsylvania in Mareh of 1997 to increase the rent paid by ~vbert by an amount equal to the monthly payment due from SVA to Plaintiff on the loan on which the Plaintiff has now confessed judgment. - 14. Robert paid all rental payments required by the Consent Decree, as modified, from March of 1996 through September of 1997. I S. In March of 1997, the Court of Common Pleas of Dauphin County, Pennsylvania, modified and increased the rent to be paid by Robert to SV A by an amount approximately equal to the amount of the monthly payment due from SV A to Plaintiff on the loan and obligation on which the Plaintiff has confessed judgment in this action. 16. The Note owed by SV A to Plaintiff came due on or about 30 June 1997. Prior to that , date, Robert had discussions with the Plaintiff regarding the extension of the tenn of that loan so that the loan obligation would continue until the distribution of the assets and liabilities of SV A i was completed and Robert would own the West Shore Office building in his own name so that he could use that real estate as security for a new loan to borrow the funds necessary to pay the debt owed to Plaintiff. 17. Plaintiff was willing to extend the term of the loan as requested by Robert and described in the proceeding P"ragraph, but required a document to be signed by Robert and Reedy acknowledging that such an extension would not relax the Plaintiffs rights under the loan documents. 18. Reedy refused to sign the document as requested by Plaintiff. 19. Since the entry of the Consent Decree, and for several years prior to that date, Reedy has been in exclusive control of the income, funds, bank accounts, and other financial assets of ~ D. The judgment should be stricken as to Susan because the guarantee i: document is not enforceabll; against her because she received no consideration for executing such document, was not a party to the debt which was guaranteed, and because requiring her to execute the guarantee violated the law. E. Because of the Consent Decree entered by the Court of Common Pleas of :: Dauphin County, Pennsylvania, this Court is without proper jurisdiction to entertain this i: ,. i: !: '. I: I, ,: Ii II " ii Ii by reference. I 31. Defendants have meritorious d~fenses to the clairn against them on which Plaintiff has i I i entered judgment in this malter. Those defenses include: I " I, II ii I: " " I: " II .' action and to enter a judgment against the Defendants. PETITION TO OPEN 30. The averments set out in Paragraphs I through 28 hereinabove are incorporated herein A. The Defendants have made all payments due by them pursuant to the agreements and arrangements between Plaintiff, SV A, Defendants, and Michael T. Reedy and his wife, and are not in default of any of their obligations under those understandings or agreements. ,. i; " !' !! B. Defendants have been compelled to make rental payments to SVA by the Consent Decree entered by the Court of Common Pleas of Dauphin County, Ii Pennsylvania, and, as a result, have not been able to make installments payments to , , the Plaintiff on the obligation in which the Plaintiff has now entered judgment. - SV A and has excluded Robert fro.1l any participation in the use or control of such items or access to information about Reedy's use of such items. 20. Robert believes, and therefore avers that, after June of 1997, Reedy caused SV A to ,. ! cease making payments to Plaintiff on the debt on which Plaintiff has now confessed judgment in this action. 21. Since June of 1997, Robert has paid rent to SVA in accordance with the Order of the Court of Common Pleas of Dauphin County, with the expectation that the funds Robert paid to SV A would be used to pay the monthly installments due on the debt to Plaintiff. 22. Plaintiff has assigned the loan on which it has now confessedjudgrnent in this action to its collection department and referred the collection of that debt to its attorneys. As a result, Plaintiff has refused to entertain an application for new financing by Robert and, as a result of that refusal, Robert has not been able to obtain the financing he needs to himself pay the debt owed to Plaintiff. 23. The entry of judgment against the Defendant in this matter has impaired Robert's ability to obtain financing from another source to raise the funds necessary to pay the debt owed to Plaintiff. 24. Susan W. Beaudry ("Susan") was never a stockholder in Miller Oral Surgery. 25. Susan was never a partner in, and never owned any interest in, SV A. II i I . .- C. Any default in the obligations owed to Plaintiff by SVA or any of the Defendants have been caused hy Reedy and his misapplication of the rental payrnents made by Defendants, and other tenants, to S V A. Defendants have taken all actions reasonably availablc to them to avoid a default by SV A but have been prevented from taking further action by Reedy and the Consent Decree. 31. Plaintiff, by its own conduct, has prevented Defendants, and specifically, Robert, from arranging adequate financing to pay the debt owed to Plaintiff on which Plaintiff has confessed judgment in this action. As a result of Plaintifrs own conduct, it is estopped from taking the action it has taken against Defendants and it has waived its rights to take such enforcement action. 32. Plaintiff has failed to com;:ly with the requirements of Pennsylvania Law regarding the entry of judgment against Defendants' family residence and the judgment should be opened until such time as Plaintiff has fully cornplied with such requirements. 33. The judgment as to Susan should be opened because her execution of the guarantee on which this judgment has been confessed was unlawful in that she received no consideration or benefit from the execution of that guarantee, she was not a party to and did not have notice of the nature of the debt which she guaranteed and she had no interest in the business transaction which she guaranteed. 34. Defendants are willing and able to take whatever steps arc reasonably required to satisfy the obligation owed to Plaintiff when the Court of Common Pleas of Dauphin County, Pennsylvania, in accordance with its Consent Decree, distlibutcs the assets of SV A so that Robert .- receives title to the West Shore Office and has the real estate he needs to post as security for a new loan with which to pay the debt owed to Plaintiff. 35. Defendants have not defaulted in their obligations to Plaintiff. Any default in the obligation of SV A has been caused by parties other than the Defendants, specifically including Reedy. WHEREFORE, Defendant, Robert J. Beaudry and Susan W. Beaudry pray this Court to: A. Strike the judgment entered against them in this matter; or in the alternative, B. Open the judgment entered against them in this rnatter and allow them to enter their defenses to the claim by Plaintiff. &.~Q~ Attorney for Defendants Supreme Court ID 17225 525 North 12th Street Lemoyne, P A 17043 (717) 761.5361 - 'I Ii q I, il II I . .-.. COMMONWEALTH OF PENNSYLVANIA ) ) 5S,: ) COUNTY OF CUMBERLAND Robert J. Beaudry, Jr., being duly sworn according to law, deposes and says that the facts set forth in the foregoing docurnent are true and correct to the best of his knowledge, infonnation, I I and belief. Sworn to and subscribed before me this t:!{th day of CJC!iDbl"u . 1997. ()mJ.~V)1~ ~ I NOTARIH. 8EAl -... ...... .. .., ""* I ~8anI,Cl...1M11lIlUCollIlly.P~ II CuI c1~ ~~r.l...... ,~t.-.."'" "-'lo"'-" Ii .. ,,,,,"-" no Ii f : ! .1 ,__ I I I COMMONWEALTH OF PENNSYLVANIA ) ) SS.: COUNTY OF CUMBERLAND ) Susan W. Beaudry, being duly sworn according to law, deposes and says that the facts set forth in the foregoing document are true and correct to the best of her knowledge, infonnation, and belief. 1t.tMl.l'\ Ll) Susan W, Beau Sworn to and subscribed before me this :3f.th day of OOtttJJ-l ,1997. Gn1 ~" '-tYtfJ() a e.L Nota ublic. .' , NOTARIAlIE,q~ NIt Il ROIB.U NolIry "'ibID ~~~~; /\ David M. McCanney, Esquire For Plaintiff/Respondent Samuel L. Andes, Esquire For Defendants/Petitioners :saa -2. "' c ',;') ,') C L') .11 ...., ",-' -" , :,.~ j. "j ,. t n ,..... ,e.,-) , ' .n , ., ..1 , ':i , t:) ,lr"; ~, ~ , :.,~ ',] .,J :< / i .. ", ". KENNETH L. ZEIGLER, JR., PLAINTIFF V. IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA PAMELA L. ZEIGLER, DEFENDANT '! ,. 97.5831 CIVIL TERM ~, n ORDER OF COURT AND NOW, this 12th day of May, 1999, following a hearing, the petition of Kenneth Zeigler, Jr., to hold Pamela L. Zeigler in co"tempt, IS DISMISSED,' By the cowl. I ViJ Edgar ~. Bayley, 1 Michael Rundle, Esquire Special Counsel for ORO Kenneth L. Zeigler, Jr., Pro se 1420 Valley Road Marysville, PA 17053 _ ,,~.,.;~.( 5;';J./q~, ~~- .,.Jr. :saa ,. 1. If father wishes to expand his periods of temporary physical custody with his son Kenneth Zeigler, born March 27, 1994, he must file a complaint in custody on this docket to modify the order of Novernber 16, 1998, as amended on April 9, 1999. ., (\ V:~':';i\1 ,'.~~~'i~:!d }Jj'[" '" .,-.."..'.....:) " . ", ,,",1 . .' .'" h iJl :11!!.V ~I ,\\,Hlb I~U/~C;,: -) ~:;:~:':~i- .1.' i".l