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HomeMy WebLinkAbout03-0941F:~FILESXDATAFILEXDickinson Collect doc\43.coml/drg/$js Created: 1/7/03 0:37:15 PM Revised: 2/28/03 0:13:25 PM DICKINSON COLLEGE, : Plaintiff : V. : CATHY L. COSTA, : Defendant : IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA NO. CIVIL ACTION-LAW JURY TRIAL OF TWELVE DEMANDED NOTICE 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 Plaintiffs. 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 LEGAL HELP: Cumberland County Bar Association 2 Liberty Avenue Carlisle, Pennsylvania 17013 Telephone (717) 249-3166 Date: MARTSON DEARDORRF 3VILLIAMS BYDav~R. Galloway,~sq'~lr; - I.D. Number 87326 ~ Ten East High Street Carlisle, PA 17013 ~ (717) 243-3341 & OTTO Attorneys for Plaintiff DICKINSON COLLEGE, : Plaintiff : V. .' CATHY L. COSTA, : Defendant : IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA NO. 0 CIVIL ACTION-LAW JURY TRIAL OF TWELVE DEMANDED COMPLAINT AND NOW, comes Plaintiff Dickinson College by and through its attorneys, MARTSON DEARDORFF WILLIAMS & OTTO, and hereby avers as follows: 1. Plaintiff Dickinson College is a Pennsylvania educational institution and nonprofit corporation with its principle place of business at West Street, Post Office Box 1773, Carlisle, Cumberland County, Pennsylvania 17013. 2. Defendant Cathy L. Costa is an adult individual with a last known residence at 111 West Centre Street, #1402, Baltimore, Baltimore County, Maryland, 21201. 3. On or about September 30, 1992, Defendant entered into a Promissory Note - Federal Perkins Loan Program ("Note #1") with Plaintiff. A copy of Note #1 is attached hereto as Exhibit "A." 4. Note #1 provided for the financing of $1,100.00 plus interest and costs by Defendant on her own behalf for educational services and benefits at Plaintiff's institution. 5. On or about October 7, 1993, Defendant entered into an additional Promissory Note - Federal Perkins Loan Program ("Note #2") with Plaintiff. A copy of Note #2 is attached hereto as Exhibit "B." 6. Note #2 provided for the financing of $1,100.00 plus interest and costs by Defendant on her own behalf for educational services and benefits at Plaintiff's institution. 7. Note #1 and Note #2 are funds created under Part E of Title IV of the Higher Education Act of 1965 as amended, (hereinafter the "Act") and are subject to the Act and the Federal Regulations issued under the Act. 8. As provided in the Act, Plaintiff acts in a fiduciary capacity in the handling, disbursing and collecting of funds associated with the programs under the Act. 9. The total collective outstanding principal balance for Note #1 and Note #2 is $1,884.58. 10. Note #1 and Note #2 grant Plaintiff reasonable attomey's fees which Plaintiff has calculated to be $500.00. 11. As of January 31, 2003, the principal and interest due and payable by Defendant to Plaintiff was $2,441.08, plus interest of $0.26 per day, attorney's fees in the amount of $500.00 and costs accruing subsequent to January 31, 2003. 12. The outstanding balance of $2,441.08 represents the total and actual overdue value of the financing provided to Defendant under Note #1 and Note #2 for which Defendant has yet to pay. COUNT I BREACH OF CONTRACT 13. Plaintiff hereby incorporates by reference the averments contained in Paragraphs 1 through 12 of this Complaint. 14. Plaintiff has fulfilled, performed and complied with all obligations and conditions of Note #1 and Note #2. 15. Defendant breached the expressed and implied obligations, conditions and terms of agreement of Note #1 and Note #2 by failing to pay thc amounts financed therein. WHEREFORE, Plaintiff demands judgment against Defendant in the amount of $2,441.08, plus interest of $0.26 per day, attorney's fees in the amount of $500.00 and costs accruing subsequent to January 31, 2003; said amount is within the limits set forth for compulsory arbitration in Cumberland County, Pennsylvania. COUNT II QUANTUM MERUIT 16. Plaintiff hereby incorporates by reference the averments contained in Paragraphs 1 through 15 of this Complaint. 17. Defendant is liable to Plaintiff and/or has been unjustly enriched in the amount of $2,441.08, plus interest of $0.26 per day, attorney fees in the amount of $500.00 and costs accruing subsequent to January 31, 2003. WHEREFORE, Plaintiff demands judgment against Defendant in the amount of $2,441.08, plus interest of $0.26 per day, attorney's fees in the amount of $500.00 and costs accruing subsequent to January 31, 2003; said amount is within the limits set forth for compulsory arbitration in Cumberland County, Pennsylvania. David R. Galloway, Esqu~e I.D. Number 87326 ~ Ten East High Street Carlisle, PA 17013 (717) 243-3341 & OTTO Attorneys for Plaintiff In making this communication, we are advising you this firm is a debt collector attempting to collect a debt for Dickinson College. Any information gained from this communication will be used for that purpose. rowe[ -"r is a minor and this note *wet ia a minor and this note · records. Perkins Loan _Promissory Note ~ Perkins Loai, Cathy L. Costa na 4 .... , Promise lo pay to D c tnson Cnllao.~ r~.._: ........ cj'r~ j s le, rfl f/ul ~ , the sum of the amo~ls Ihat u m me acn~ule of Advm~ s~ ;oflh ~low. ! promise to pay gl ~onable collmtion ~se, including attorney fees and O~er chugs, ~s~ for t~ mllmtion of ~ ~ou~ not p~d when due. 1 fu~h: un~md a~ agree Ihal: L ~en~ (I) A~lic~le Law. All sums ~vmc~ un~r thb ~te ~ ~awn ~m a ru~ :ea~d und~ Pa~ E ~ ~tle ~ of t~ Higher Education Act 196~, ~.am~d~ ~e~inaRer c~led Ihe Ac0, a~ ~e sub, ct ~ Iht A~ and ~ ~ Regulations iss~ U~r I~ A~. ~e te~s o[ this note sh~l ~ mle~t~ in ~a~ wi~ I~ Act a~ Fe~ral Regulal~ns ~ i~ o[ w '. or c~llafion h ~ting ~m the lnsli~ti~, ~ - -~ .a~ m ~c~ a ~f~t ~ c~cellafi~, ! must r~est the defertnent must su~it b Iht ~dtulbn ~y ~mentation r~ by ~e lmfi~t~n ~ ~ve that ~ qualify for the def~t or c~ellation. ] Fuflh~ un~rst~ Ihal ~ l am eligible for ~f~ent or C~eHation u~ ~i~ VI ~gh X][. l am r~nsib~ for su~itting the a~riate r~u~ ~ time. [ fur~ u~t~d th~ ~ may lose my ~Ferm~t ~ ~n~Uation ~n~ts iF [ fail to Fde my r~t on time. ~te~t shah a~e ~m the ~ginfling oF t~ ~p~nt ~od ~d sh~l ~ ~ t~ ANNUAL PERCENTAGE RATE O~ ~E I'ERCENT (5~) on ~e unp~d b~ce, ex.pt ~ ~ in.rest sh~l ~me dwhg any deFe~nt ~ d~c~d in p~agr~ VI(i). IH- ~ep~ment (1) l ~mise ~ rely t~ ~incip~ and the inte~ that ~ on it to ~e lnsti~tion over a ~ ~ginn~ng n~e (9) monks aHet the dale cede to ~ M I~t a half-t~e regul~ s~d~t at m insti~t~n of high~ ~at~n, ~ ~ a ~mp~le ~sti~l~n ou~ide t~ U~ Slal~ ar~(tved F~ th~ ~M ~ the Unit~ ~tal~ Sec~t~ of Eduction ~a~ cd~d t~ S~t~), ~ e~ing ~n (IO) y~s later, unl~ that ~rlod is Isho~ un~r p~ag~h IH(5), orl ex tend~ ~ p~pb. IH(4), IH(7) (~s~m), or Vl(I ) (defe~). ~) U~n my ~een ~uesL t~ ~pa~ent ~d may s~ on a da~ e~lier ~ ~e one ~d~al~ ~ pa~gra~ HI(I). (3XA) ~ ~om~e ~ ~y t~ ~ipal and int~t ov~ t~ ~u~e of ~e ~nyment ~ h ~ mon~ly, b~onlMy, or qu~terly imminent, u del~i~ by the lnsliluti~. I un~t~ Ihat ~ my ~s~t ~t for all the Io~s m~ ~ me ~ ~e ~sti~tion is not a mul~ple of $5. ~ Imitation may round that ~yment to the ~xt high~ ~O~ a~unt that b a mulliple of (B) Notwith~g p~gra~ ~I(3XA), U~n my ~ ~est. ~t may ~ m~e in g~unted ins~U~nts h ~mdnce with n (4) N~wit~nding p~apaph I~(I), if l quaU~ m a ~w-i~me i~Mual ~g the re~nt r~u~, m~ ex~ I~ r~ay~nt ~r~ for up ~ an a~iti~ ~n (~ ~s ~ ma ' the [nsti~tion, u~n my ~itten' . (wh~h ~1~ ~th ~ipd and ~l~l). -r-~ -,- ~,,~s a~ mte~t ~ ~ts loan at ~e rate of $30 ~r mo~II (5~B) If I have t~eiv~ P~ns Loans ~om other insfitut~ns n~ t~ ~t~ mon~ly mpa~enl ~te on t~se loa~ b ]~s ~an $30. the monthly payment es~blish~ under SU~graph ~I(5)(A) inclu~s t~ ~oun~ [ o~ on nil my oulstanding Pe~s ~ns, ~l~ing Ihose received from ~h~ i~fitutio~. ~e ~fl~n of the $30 monthly ~ent thai w~l ~ a~ to ~is ~an wal ~ me diffe~n~ ~een $30 ~d the total of t~ ~un~ owed at a monthly rate off my other P~kim ~ns. (6) ~e ~nsli~l~fl may ~it me to pay I~s than ~e r~e of $30 ~r month f~ a ~od of not more th~ one (!) ye~ where ~cess~ avoid h~ip Io me units that ~tion would exte~ ~e Mpny~nt ~ h ~ngmph IH(l).] to (7) ~ lnstilut~n may. u~n my w~lten r~u~L r~uce ~ sc~ul~ ~paymen~ or exte~ the ~payment ~ indicaled h p~agrnph if, ~ i~ o~on, cbcumstanc~ s~h ~ prolong~ Ulne~ or ~empl~mem ~ent cont~ to ~e. ~ from m~ng the s~eduled pay~s.. Howler, interest shall IV. ~a~t (1) Z may, at my o~ion and without penal~, pr~ay ~1 or ~y p~ of ~e pdn~l, plus any accrued ht~t thegn, at ny time. (2) A~un~ I te~y in ~e academic ~ in which the Io~ w~ m~ ~d ~e initi~ grace ~d h~ ~t ended wiU be u~d a~unt of the loan and will not ~ conside~d a pr~a~t, to reduce the (3) ]f I repay ~oun~ du~ng the aC~emic ye~ in which the Io~ wu m~e n~ the initial grace ~r~d ended, on~ ~ose amounl~ in exce~s of I~ ~nt d~ f~ any repaint ~d sh~l ~ coasted a ~aymenl. (4) If, in an ncad~ic ye~ o~er thru the awed ye~ in which the loan w~ made, ! r~ay more thru the amount due lot an installment, the excess will ~ us~ to repay p~ipal units I designate it ~ an advance ~yment of the next regul~ ~nstallment. V. Defaul~ (Il ~e Institution may, at its oplion, ~clare my loan to ~ h default ~ may demand immediate payment of the enli~ un~id balmtce of Iht loan, including p~ipal, interest, lain charges, and collection costs, if ~ (Al [ do not make a sche~l~ payment when d~ ~d~ the ~payment ~h~ule establish~ by the Institution. ~d (B) ! do ~t submit to the ~nstilulion, on or ~[ore ~e date on which payment is due. d~umentation thai I qualify for a ~F~ent or ca.clinton descend in ~icles VL VH, VIII, ~, X, ~I, ~ X]I of this agreem~l. (2) I U~ersta~ thai if I ~fault on my loan, I~ lfl~itution may disc~se Ihal ] have defaultS, along with other ~lev~l ~formflfinn. to c~edll bu~au orgnni~qtions. (3) Further, I undersland that if [ default on my ~an a~ the loan is ~sig~d to the Secretn~ lot ~llection, the S~ta~ may disclose th:ti have ~fault~, along with other relevant infoTmafion, to cr~il bureau organi~tions. (4) [ understand that if I default on my loan, I I~n will lose my right to defer repayment, I of 4 Per kin.~ (5) I Understand that if the Institution accelerales the lOan under paragraph V(I), I then will lose my right to receive a caucellatiou or a porlion of my loan for any teaching, Head Start, military, volunteer, law enforcemenl, or cmreclions service described in Arllcles VII. VIII. IX, X, and performed alter the date the Inatitulion accelerated the loan. (6) [ understand that failure to pay this obligation under the terms agreed upon will prevent my authorized under Title IV of the Higher Education Act of 1965, as amended, until I have made an'angementa that are satisfactory to the Institution or obtaining additional studenl financial aid the Secretary regarding the repayment of the loan. VI. _Defermen~ (I) I understand that upon making a properly documented wrilton request to the Institution. I may defer making schedhled installment payments, and will not he liable for any interest that might otherwise accrue, during the following periods: ' (A) While I am enrolled and in attendance as at least a half-time regular student at an institution of higher education or at a comparable institution outside the United Slates approved for this purpose (B) For any period not to exceed three (3) by the Secrotmy. . years during which ! am -- ti) On full-time active duty as a member of the Armed Forces of the United States (Army, Navy, Air Force, Marine Corps, or Coast Guard) or the National Oceanic and Atmospheric Administration Corps or as an officer on full-time active duty in the Commissioned Corps .of the United Stales Public Health Service, ' (ii) In service as a volunteer under the Peace Cospa Act, (iii) A volunteer under the Domestic Volunteer Service Act of 1973 (ACTION programs), (iv) A full-time volunteer in a tax-exempt organization performing service Comparabin to the service patfmmed in the Peace Crops or under the Domestic Volunteer Service Act of 1973 (AC"I'ION progrmns), or tv) Temporarily totally disabled as established by an affidavit of a qualiF~,.d physician, or unable to secure employment because I am providing care required by my dependent who is so disabled. (CT) For a Feriod not in excess of two (2) years -- ti) After I receive a I~:~.aleureatu or lm)fessional ckegr~e during which time I am serving in an internship that is required in order that I may receive professional reCognition required to begin my professional practice or service, or (ii) Serving in an internship or residency program leading to a degren or certificate awarded by an institution of higher education, a hospital, or a health-care facility that offers pOStgraduate trsining. (D) For a period oo~ in excess of one (I) year during which, if ! am a mother o~f___ .p~.chool age chiklren, I have entered or ' ' force, and am being paid at a rate that does not exceed $l more than the minimum rout'ay Wage established by section 6 of the reentered the work Act of 1938. (E) For a period not in excess of si'x (6) months ~ Fair Labor Standards ti) Thai follOws by six (6) months or less a period during which ! was cinched as at least a half-time regular student at an eligible institution; and (ii) During which I am pregnant, caring for my eewboro baby, or carla8 for a child immediately after he or she was placed with me through adoption and I em neither attending an eligible institution of higher education nor gainfully employed.. (F) During a six (6) month period immediately following the expiration of any deferment provided in paragraphs VI(I)(A) through VI(I)(E).. (2) The Institurion may. upon my written request, defer my scheduled repayments if it determines that the deferment is necessary to avoid a financial hardship for me. Interest, however, will continue to accrue. VII. Cnucellation for Teuchin~ (1) I understand that Upon making a properly documented written request to the Institution, ! am entitled to have up to 1(30 percent of the amount of this loan plus the interest thereon canceled if I perform service -- (A) As a full-rime teacher in a public or other nonprot~t elementary or secondary school in the school district of a local educational agency that is eligible in such year of service for funds under Chapter ! of the Education Conselidstinn and Improvement Act of 1981, as amended, and which has been designated by the Secretary (after consultation with each State Department of Education) in accordance with the provisions of section 465(aX2) of the Act as a school with a high concentration of students fl'om Iow-lnCome families. An official Directory of designated Iow-inCome schools is published annually by the Secretary. (B) As a full-time leacher of handicapped children (including those who ate mentally retarded, hard-of-hearing, deaf, speech, and language- impaired, visually handicapped, seriously emotionally disturbed, orthopedieally impaired, have specific learning disabilities, or impaired children, who by reason thereof require special education and related services); in a public or other nonprofit elementary or secondary school system, are otherwise health- (2) A portion of this loan will be canceled for each completed year of teaching service at the following rates: (A) I5 percent of the total principal amount of the loan plus interest on the Unpaid balance accruing dor~ng ghat year will be canceled for each of the ia'st and second Complete academic years of that teaching service, (13) 20 percent of the total principal amount plus interest on the unpaid balance accruing during that year for each of the third and fourth complete academic years of that leaching service, and (C) 30 percent of the total principal amount plus interest on the unpaid balance accruing during that year for the fifth complete academic year of that teaching service. VIII. Head Start Cancellation (I) I understand that Upon making a properly documented written request to the Institution, I am entitled to have up to !00 percent of the amount of this loan plus the ~terest thereon canceled if I p~rform so, ice as a full-time staff member in a Head Start program if ~ (A) That Head Start program is operated for a period that is comparable to a full school year tn the locality, and (B) .My salary is not more than the salary of a comparable employee of the local educational agency. (2) This loan will be canceled at the rate of 15 percent of the total principal amount plus interest on the unpaid balance accruing during that year for each complete school year or equivalent period of service in a Head Start program. (3) Head Start is a preschool program carried out under the I-lead Start Act. 2 of 4 Perkins Loan :ire a canccllalion or a I~rlinn cles ¥11, ¥111, IX, X, and XI ,nal student financial aid salisfactory to Ihe Inatltution or mchedbled installment payments, ~tion or at a comparable rise Corps, or Coast Guard) or tinned Corps .of the United n Ihe Peace Corps or under the ~yment because I am providing required in order that ! may higher education, a hospital, or a mtered or reentered the work n 6 of the Fair Labor Standards dent at an eligible institution; was placed with me through ; VI(])(A) Ihrough VI(1)(E). rmnt is necuscaty to avoid a up to i{30 percent of the a local educational agency that 1981, as amended, and which the provisions of section ry of designated Iow-income teal. speech- and lan8uage. tittles, or are otherwise health- ~t elementary ot secondary . year will be canceled for each of h of the third and fourth fifth complete academic year of up to 100 percent of the program if- balance accruing during that year Perkins Loan IX. Military Cancellation (1) I undersland Ihat upon making a properly documenled wrillen requesl In the instilulion, I am enlilled Io have up Io 50 percent ,f the principal amounl of this loan plus the inlerest Ibereon canceled if I serve as a member of lhe Armed Forces of the United Slates in an area of hostilities that qualifies for special pay under section 310 of Tille 37 of the Untied States Code. (2) This loan will he canceled at the rate of 12 I/2 percent of the total principal amount plus interest on the unpaid balance accruing during that yea~ for each complete year of such service. X..Voluntees Service Cancellation (1) I understand that upon making a properly documented written request to Ihe Institution, I am enlilled to have up to 70 percent of the amnunl of this loan plus the iolerest thereon canceled if i perform service -- (A) As an volunleer under the Peace Corps Act; or (B) As a volunteer under the Domeslic Volunteer Service Acl of 1973 (ACTION programs). (2) This loan will be canceled al the following tales: (A) 15 percent of the total principal amounl of the loan plus interest on the unpaid balance accruing during that year will he canceled for each of the Fu'at and second Iwelve (12) month periods of volunteer service completed: (R) 20 percent of the total principal amounl of the loan plus interesl on Ihe unpaid balance accruing during that yeas will he cancele( for each the Ihird and fourth Iwelve (12) month periods of volunteer service completed. -. XI. L. aw Enforcement or Corrections Officer Cancellation (1) I understand that upon making a properly documented written request to the Institution, [ am en(itled Io have up to 100 percent of the amount of this loan plus the interest thereon canceled if [ perform qualifying service after the period for which ! ~ceived the loan -- (A) As a full-time law enforcement officer for an eligible local, State. or Federnl law enforcement agency; or - (B) As a full-time corrections offices for an eligible local, State, or Federal corrections agency. (2) A portion of this loan will be canceled for each completed year of law enforcement or conections service at the fo[lowing rates: (A) 15 percent of the total principal amount of the loan plus interest on the unpaid balance accruing during that year for each of thc first anti second complete years of that service, (B) 20 percent of the total principal amount plus interest on the unpaid balnnce accruing during that year for each of the third and fourth complete yeats of that service, and (C) 30 percent of the total principal amount plus interest on the unpaid balance accruing during the year for the fifth complete year of service. XII..Death and Disability Cancellation (1) In the event of my death, the total amount owed on this loan will he canceled. (2) If I become permanently and totally disabled after I receive this loan, the Institution will cancel the total amount of this loan. XIII. ,Change in Name~ Address~ Telephone Number, or Social Se~usily 1 am ~-~.~l~,,~b~;, and any endorser is responsible, for inlom~ing Ihe Instiluti~n of any change o~ changes in name. address, telephone numbet.'or Social Secusily number. XIV. Late Charge (!) The Institution will impose a late charge if- (A) 1 do not make a scheduled payment when it is'due, and (B) I do not submit Io the Inslitotinn, on or before the date on which payment is due, documentation that ! qualify for a deferment or cancellnlion described in ,aa'ticles VI, VI], V~I, IX, X, XI. and XI] of Ibis agreement. (2) No charge may exceed 20 percent of my monlhly, bimonthly, or qUmerly payment. (3XA) T~e Institution may -- ti) Add the Isle charge to the i~ncipal the day after the scheduled repayment was due; or (ii) Include it with the next scheduled repayment after ! have received nolice of Ihe late charge. (B) If the ]ustitution elects to add the late charge to the oulstanding principal of the loan. it must so inform me before the due date ~f the next installment. XV. Assignment (1) This note may be assigned by the Instilution only to ~ (A) The United States: (fl) Another institution upon my transfer to that iostilution if that inatitotion is participating in this program; or (C) Another institution approved by the ~ecretaty. (2) The provisions of this note that relate to the Institution shall, where appropriate, relate to an assignee. XVI. Prior Loans I hereby certify that I have listed below all of the Perkins Loans I have obtained at other institutions. (If no prior loans have been re~.'ei¥~.,d, ~tate "None.") PERKINS LOANS AT OTHER INSTITUTIONS Amount I~ate Institution 3 n f4 Perk{,~ l.,,:m XVII. Schedule of Advances The following amounts wet~e advanced Io me under this loan agreement on Ihe dates indicated: Aii~,mi Dale ~gn~um of Borrower , $550.00 o/ /92 Oo. - u 4 NO1 'ER: DO NOT SION THIS NOTE BEFORE YOU READ IT. I UNDER~-'i'AND AND AOREE TO ALL OF THE FOREOOINO TERMS AND CONDITIONS. [This note is signed as a sealed inslrument.] ~el~ae, anl Address (.~lreel ot Bol N~kr. City, Stale. ~ [i~ ~) would no~ u~er ~ law of t ..... '~ "' '~' ~ un~s the ~w~ is a mi~ a~ t~s n~e ~ State m ~h ~ [nMOutmn ts ~ted, ~e a bmd~g obit[ntis. ~ ~e ~,o~ is a mi~r a~ ~is note ~uld not t~fow ~ legally ~ng. t~ ~slit~ sh~l ~ a ~g~ ~ ~is ~. I ag~ to r~ay ~11 ~un~ due on this loan if t~ ~w~ fails ~ ~ ~ in ~ with t~ t~s of the note. - Signat~ of ~sign~ J(se~)] O~e , 19 Permanent Address (Street or Box Number. City, Stale, and Zip Code) Social Security Number (cosigner must pro~ide, The Institution shall provide n copy of this note lo you and any cosigner and you should retain the copy for your records. (Authority: 20 U.S.C. 1087dd) 4 of 4 Perkins Loan -09 Promissory_ Note-Federal Perkins Loan Pro~ral'~, [Any bracketed clause or paragraph may be included at option of institution.] I,. £af_hv Easts , promise to pay to Dickinson C011e e Imtitution),locate~at Carlisle. PA 1701q :~ne~ ':. _. q (hereinafter ealled the · - ,--,-,.,au , me sum ct the amounts that are advanced to me and endorsed in the Schedule of Advances set forth below. I promise to pay all reasonable collection costs, including attorney fees and other charges, nec~ for the collection of any amount not paid when due. I further understand and agree that: I. General (1) ~llPJi.~.illL~gt~. All sums advanced under this note are drown from a fund created under Part 1~. of Title IV of the Higher Education Act of 1965, as amended (hereinafter called the Act), and ate subject to the Act and the Federal regulations is.sued under the Act. The terms of this note shall be interpreted in accordance with the Act and Federal regulations, copies of which are to be kept by the Institution~ (2) Procedures for Receivine Deferment, Cancellation, or Forbearanc-... I understand that, to receive a deferment, cancellation, or forbearance, I must request the deferment, cancellation, or forbearance in writing from the Institution and must submit to the In.~titufian any documentation required by the Institution to prove that I qualify for the deferment, cancellation, or forbearance. I further understand that, if I am eligible for deferment, cancellation, or forbearance under Articles VI through XIV, I am responsible for submitting the appropriate requests on time. I further understand that I may lose my deferment, cancellation, and forbearance benefits if I fail to f-de my request on time. II. Interest Interest shall accrue from the beginning of the repayment period and shall be at the ANNUAL PERCIi:NTAGIg RATE OF FIVE PERCENT (5%) on the unpaid balance, except that no interest shall accrue during any deferment period described in Article VII. (1) I promise to repay the principal and the interest that accrues on it to the Institution over a period beginning nine (9) months after the date I cease to be at legist a half-time regular student at an institution of higher education, or at a comparable institution outside the United 5tares approved for this purpose by the United States Secretary of Education (hereinafter called the Secretary), and ending ten (I0) yeats later, unless that period is [shottencd under paragraph IR(b), or] extended under paragraphs III(4), IIT(7) (extensions), VII(l), or VII(3) (deferments). (2) Upon my written request, the repayment period may start on a date earlier than the one indicated in para&raph IR(l). 0)(A) I promise to repay the principal and interest over the course of the repayment period in equal monthly, bimonthly, or quarterly installments, as determined by the Institution. I understand that, if my installment payment for all the loans made to me by the ln-~titution is not a multiple of $5, the Institution may round that payment to the next highest dollar amount that is a multiple of $5. . (B) Notwithstanding paragraph FIT(3)(A), upon my written request, repayment may be made in graduated installments in accordance with a schedule approved by the Secretary. (4) Notwithstanding paragraph IR(l), if I qualify as a low-income individual during the repayment period, the Institution, upon my written request, may extend the repayment period for up to an additional ten (I0) years and may adjust any repayment schedule to reflect my income. [(b)(A) If the monthly rate that would be established under paragraph ITt(1), or the total monthly repayment rate of principal and inter6st on all my Federal Perkins Loans, including this loan, is less than . $40.00 per month, I shall repay the principal and i'nterest on this loan at the rate of $40.00 per month (which includes both principal and interns0. (5)(tl) If I have received Federal Perkins Loans from other institutions and the total monthly repayment rate on those loans is less than $40.00 the $40'. 00 monthly payment established under subparagraph IR(b)(A) includes the amounts I owe on all my outstanding Federal Perl~inn Loans, including those received from other institutions. The portion of'the $40.00 monthly payment that will be applied to this loan will be the difference between ' $40.O0 and the total of the amounts owed at a monthly rate on my other Federal Perkins Loans. (6) The.Institution may permit me to pay less than the rate of $40 o 00 · per month for a period of not more than one (1) year where necessary to avoid hardship to me unless that action would extend the repayment period in paragraph IR(l).] (7) The Institution may, upon my written request, reduce any scheduled repayments or extend the repayment period indicated in paragraph IR(l), if, in its opinion, circumstances such as prolonged illness or unemployment prevent me from making the scheduled repayments. However, interest shall continue to accrue. (I) I may, at my option and without penalty, prepay all or any pan of the principal, plus any accrued interest thereon, at any time. (2) Amounts I repay in the academic year in which the loan was made and the initial grace period has not ended will be used to reduce the amount of the loan and will not be considered a prepayment. (3) If I repay amounts during the academic year in which the loan was made and the initial grace period ended, only those amounts in excess of the amount due for any repayment period shall be considered a prepayment. (4) If, in an academic year other than the award year in which the loan was made, I repay more than the amount due for an installment, the excess will be used to repay principal unless I designate it as an advance payment of the next regular installment. V. Defaul_t (I) The Institution may, at its option, declare my loan to be in default and may demand immediate payment of the entire unpaid balance of the loan, including principal, interest, late charges, and collection costs, if-- (A) I do not make a scheduled payment when due under the repayment schedule established by the Institution; and (B) I do not submit to the Institution, on or before the date on which payment is due, documentation that I qualify for a deferment, cancellation, or forbearance as described in Articles VI, VII, VIII, IX, X, XI, XII, XIII, or XIV of this agreement. (2) I understand that the Institution may disclose to credit bureau organizations the amount of loans made to me, along with other relevant Page 1 of 4 Federal Perkins/July 1993 EXHIBIT "B" information. (3) I understand that, if I default on my loan, the Institution may disclose that I have defaulted, along with other relevant information, to credit bureau organizations. (4) Further, I understand that, if I default on my loan and tile loan is assigned to the Secretary for collection, the Secretary may disclose that I have defaulted, along with other relevant information, to credit bureau organizations. ($) I understand that, if I default on my loan, I will lose my fight to forbearance. (6) I understand that, if I default on my loan, I will lose my right to defer repayments. (7) I understand that, if the Institution ae. celerates the loan under paragraph V(I), I will lose my fight to receive a cancellation cfa portion of my loan for any service desgribe, d in Articles Vll[, IX, X, XI, XlI, XllI, or XI'V performed after the date the Institution accelerated the loan. (8) I understand that failure to pay this obligation under the terms agreed upon will prevent my obtaining additional student financial aid authorized under Title IV of the Higher Education Act of 1965, as amended, until I have made arrangements that are satisfactory to the Institution or the Secretary regarding the repayment of the loan. VI. Forbearance (1) I understand that, upon making a properly documented written request to the Institution, I am entitled to be granted forbe, araRce of principal and interest or principal only, renewable at 12-month intervals, for a period not to exceed three years, if- (A) My debt burden equals or exceeds 20 percent of my gross income; or (B) The Institution determines that I qualify for other reasons. VII..Deferment (1) I understand that, upon making a properly documented written request to the Institution, I may defer making scheduled installment payments and will not be liable for any interest that might otherwise accrue during the following periods: (A) For any period that I am- (i) Enrolled and in attendance as a regular student in at least a half-time course of study at an eligible institution; (ii) Enrolled and in attendance ns a regular student in a course of study that is part of a graduate fellowship program approved by the Secretary; (iii) Engaged in graduate or post-graduate fellowship-supported study (such as a Fulbright gran0 outside the United States; or (iv) Enrolled and in attendance in a course of study that is part of a rehabilitation training program for disabled individuals approved by the Secretary. (B) For any period that I am engaged in service described in Articles VIII, IX, X, XI, XII, XIII, or XIV of this agreement. (C) For a period not to exceed three (3) years during which- (i) I am seeking and unable to find full-time employment; or (ii) For any renzon that my Institution determines has caused or will cause me to have an economic hardship. , (2) I understand that I am not eligible for a deferment under paragraph (VII)O)(^) while I am~serving in a medical internship or residency program. · (3) I understand that I may continue to defer making scheduled installment payments and will not be liable for any interest that might otherwise accrue for a six (6) month period immediately following tho expiration of any deferment provided in paragraph VII(l). VI~I. Teachin~ Cancellatioq (1) I understand that, upon making a properly documented written request to the Itmitution, I am entitled to have up to I00 perceat of the amount of this loan plus the interest thereon canceled if I perform qualifying service after the period for which I received the loan- . (A) As a full-time teacher in a public or other nonprofit elementaxy or secondary school in the school district of a local educational agency that is eligible in such year of service for funds under Chapter I of the Education Consolidation and Improvement Act of 1981, as amended, and which has been designated by the Secretary (after consultation with each State Department of Education) in accordance with the provisions of section 465(a)(2) of the Act as a school with a high ¢oacantration of students from Iow-income families. An official Directory of d~signated low-income schools is published annually by the Secretary; ' (B) As a full-time special education teacher (including teachers of infants, toddlers, children, or youth with disabilities) in a public or other nonprofit elementary or secondary school system, or as a full-time qualified professional provider of early intervention services in a public or other nonprofit program under public supervision by the lead agency as authorized in section 6760})(9) of the Individuals With Disabilities Education Act; or (C) As a full-time teacher of mathematics, science, foreign languages, bilingual education, or any other field of expertise that is determined by the State Department of Education to have a shortage of qualified teachers. (2) A portion of this loan will be canceled for each completed year of teaching service at the following rates: (A) 15 percent of the total principal amount of the loan plus interest on the unpaid balance accruing during that year for each of the first and second complete academic years of that teaching service; (B) 20 percent of the total principal amount of the loan plus interest on the unpaid balance accruing during that year for each of the third and fourth complete academic years of that teaching service; and · (C) 30 percent of the total principal amount of the loan plus interest on the unpaid balance accruing during that year for the fifth complete academic year of that teaching service. IX. Head Start Cancellation (1) I understand that, upon making a properly documented written request to the Institution, I am entitled to have up to 100 percent of the amount of this loan plus the interest thereon canceled if ! perform qualifying service after the period for which I received the loan ns a full-time staff member in a Head Start program if- (A) That Head Start program is operated for a period that is comparable to a full school year in the locality; and Page 2 of 4 Federal Perkins/July 1993 (B) My salary is not more than the salary of a comparable employee of the local educational agency. (2) This loan will be canceled at the rate of 15 percent of the total principal amount of the loan plus interest on the unpaid balance accruing during that year for each complete school year or equivalent period of service in a Head Start program. (3) Head Start is a preschool program carried out under the Head Start Act. X.~ (I) I understand that, upon making a p~'operly documented written request to the Institution, I am entitled to have up to 50 percent of the principal amount of this loan plus the interest thereon canceled if I serve as a member of the Armed Forces of the United States in an area of hostilities that qualifies for special pay under section 3 I0 of Title 37 of the United States Code. (2) This loan will be canceled at the rate of 12 1/2 percent of the total principal' amount of the loan plus interest on the unpaid balance accruing during that year for each complete year of such qualifying service after the period for which [ received the loan. XI. Volunteer Service Cancellatioq (I) I understand that, upon making a properly documented written request to the Institution, I am entitled to have up to 70 percent of the amount of this loan plus the interest thereon canceled if I perform qualifying service after the period for which ! received the loan- - (A) As a volunteer under the Peace Corps Act; or (B) As a volunteer under the Domestic Volunteer Service Act of 1973 (ACTION programs). (2) This loan will be canceled at the following rates: (A) 15 percent of the total principal amount of the loan plus interest on the unpaid balance accruing during that year for each of the first and second twelve (12) month periods of volunteer service completed; and (B) 20 percent of the total principal amount of the loan plus interest on the unpaid balance accruing during that year for each of the third and fourth twelve (12) month periods of volunteer service completed. XII. Law Enforcetuent or Corrections Office~- Cancellst!¢., (l) ! understand that, upon making a properly documented written request to the Institution, I am entitled to have up to 100 percent of the amount of this loan plus the interest thereon canceled if I perform qualifying service after the period for which I received the loan- (A) As a full-time law enforcement officer for service to an eligible local, State, or Federal law enforcement agency; or (B) As a full-time corrections officer for service to an eligible local, State, or Federal corrections agency. , (2) A portion of this loan will be canceled for each completed year of law enforcement or corrections service at the following rates: (A) 15 percent of the total principal amount of the loan plus interest on the unpaid balance accruing during that year for each of the first and second complete years of that service; (B) 20 percent of the total principal amount of the loan plus interest on the unpaid balance accruing during that year for each of the 'third and fourth complete years of that service; and (C) 30 percent of the total principal amount of the loan plus interest on the unpaid balance accruing during that year for the fifth complete year of that service. X[II. Nurse or 1%/edical Technician Cancellatior, (1) I understand that, upon making a properly documented written request to the Institution, I am entitled to have up to 100 percent of the amount of this loan plus the interest thereon canceled if I perform qualifying service after the period for which I received the loan as a full-time nurse or medical technician providing health care services. (2) A portion of this loan will be canceled for each completed year of service at the following rates: (A) 15 percent of the total principal amount of the loan plus interest on the unpaid balance accruing during.that year for each of the first and second complete years of that service; (B) 20 percent of the total principal amount of the loan plus interest on the unpaid balance accruing during that year for each of the third and fourth complete years of that service; and (C) 30 percent of the total principal amount of the loan plus interest on the unpaid balance accruing during that year for the fifth complete year of that service. XIV. Child or Family Service A~enc¥ Cancellatic... (1) I understand that, upon making a properly documented written request to the Institution, I am entitled to have up to 100 percent of the amount of this loan plus interest thereon canceled if I perform qualifying service after the period for which I received the loan as a full-time employee of an eligible public or private nonprofit child or family service agency who is providing, or supervising the provision of, services to high-risk children who are from low-income communities and the families of such children.' (2) A portion of this loan will be canceled for each completed year of service at the following rates: (A) 15 percent of the total principal amount of the loan plus interest on the unpaid balance accruing during that year for each of the first and second complete years of that service; (B) 20 percent of the total principal amount of the loan plus interest on the unpaid balance accruing during that year for each of the third and fourth complete years of that service; and (C) 30 percent of the total principal amount of the loan plus interest on the unpaid balance accruing during that year for the fifth complete year of that service. XV. Death and Disability Cancellation (1) In the event of my death, the total amount owed on this loan will be canceled. (2) If I become permanently and totally disabled after I receive this loan, the Institution will cancel the total amount of this loan. X'V'[. ChanEe in Name, Address, Telephone Number, or Social Security Numbs_.. I am responsible for informing the Institution of any change or changes ia name, address, telephone number, or Social Security number. Page 3 of 4 Federal Perkins/July 1993 XVII. Late Charge (1) The Institution will impose a' late charge if- (A) I do not make a scheduled payment when it is due; and (B) I do not submit m ~e In~itution, on or before the date on which payment is due, documentation that I quell'fy for a deferment, cancellation, or forbearance ns described in Articles VI, VIZ, VIII, IX, X, XI, XII, XIII, or XIV of this agreement. (2) No charge may exceed 20 percent of my monthly, bimonthly, or quarterly payment. O)(A) Th~ Institution may- (i) Add the late charge to the principal the day after the scheduled repayment was due; or (ii) Include it with the next scheduled repayment aRer I have received notice of the late charge. (B) If the Institution elects to add the late charge to the outstanding principal of the loan, it must so inform me before the due ant, of the next installment. XV]H. Assitnment (1) This note may be assigned by the Xnstitution only to-- (A) The United States; (B) Another institution upon my transfer to that institution if that institution is participating in this program; or (C) Another institution approved by the Secretary. (2) The provisions of this note that relate to the Institution shall, where appropriate, relate to an assignee. (3) Any holder of this loan is subject to all claims and defenses that ! could a.xsert against the Institution that made this loan; my recovery is limited to the amount ! repaid on this loan. I hereby certify that ! have listed below all of the Federal Perkins Loans I have obtained at other institutions. (If no prior loans have been received, state "None. FEDERAL PERKINS LOANS AT OTH~R iNSTITUTIONS Amount Date Institution ! 2 3 4 XX. Schedule of Advances The following amounts were advanced to me under this loan agreement on the dates indicated: Amount Date Sigo~mre of Borrower $550.00 8/11/93 ~.~. ~ $550.00 1/12/94 (?,~cC/_c~ ~, ~ ' NOTICE TO BORROWER: DO NOT SIGN THIS NOTE BEFORE YOU READ lT. I UNDERSTAND AND AGREE TO ALL OF THE FOREGOING TERMS AND CONDITIONS. [This note is signed az a sealed instrument.] Signature ~'~~ ~, ~ [(seal)] Date, / O { , Permanent Address (Street or Box Number, City, State, and Zip Code) Social Security Number (borrower must provide) / '7 0 -- -7~:~ -- / ~ ~ ~ The borrower and Institutioa shall execute this note without security and without endorsement. The Institution shall provide a copy of this note to you and you should retain the copy for your records. (Authority: 20 U.S.C.1087dd) Page 4 of 4 Federal Perkims//uly 1993 VERIFICATION I, THOMAS MEYER, Assistant Treasurer of Dickinson College, acknowledge that I have the authority to execute this Verification on behalf of Dickinson College and certify that the foregoing Complaint is based upon information which has been gathered by my counsel in the preparation of this lawsuit. The language of this Complaint is that of counsel and not my own. I have read the document and to the extent that this Complaint is based upon information which I have given to my counsel, it is true and correct and to the best of my knowledge, information and belief. To the extent that the content of this Complaint is that of counsel, I have relied upon counsel in making this Verification. This statement and Verification are made subject to the penalties of 18 Pa. C.S. § 4904 relating to unsworn falsification to authorities, which provides that if I knowingly make false averments, I may be subject to criminal penalties. Dated: Dickinson College Tho~'-~' Assistant Treasurer of Dickinson College F:\FI LES\DATAFILE\Dickinson Collect.doc\43-com. I F:~qLES~DATAFILEXDickinson College 7619~DickinsonCollegeC o11¢ ctions7619C~Documents\43 .pra2/cny Created: 5/29/03 11:19:59 AM Revised: 5/29/03 11:24:14 AM 7619C.43 DICKINSON COLLEGE, : Plaintiff : V. : CATHY L. COSTA, : Defendant : IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA NO. 03-941 CIVIL ACTION-LAW JURY TRIAL OF TWELVE DEMANDED PRAECIPE TO DOCUMENT SERVICE PURSUANT TO THE PENNSYLVANIA LONG ARM STATUTE I hereby certify that a copy of the Complaint was personally served upon Cathy L. Costa on Tuesday, May 20, 2003, at 5:18 p.m. Attached is the certified Affidavit of Service. MARTSON DEARDORFF WILLIAMS & OTTO By I.D. No. 87326 X, Ten East High Street Carlisle, PA 17013-3093 (717) 243-3341 Date: May 29, 2003 Attorneys for Plaintiff DICKINSON COLLEGE, Plaintiff V. CATHY L. COSTA, Defendant · IN THE COURT OF COMMON PLEAS OF · CUMBERLAND COUNTY, PENNSYLVANIA · NO. 03-941 · CIVIL ACTION-LAW · JURY TRIAL OF TWELVE DEMANDED AFFIDAVIT OF SERVICE I, Adrian M. Clarke, being duly sworn according to law, depose and state that a copy of the attached Complaint was served on the following Defendant, Cathy L. Costa, 31 Acorn Circle, Apt. 301, Towson, Maryland 21286 by personal service at ~"[$W" onthe ~ov~ dayof ~ ,2003. SAFE AND SECURE ENTERPRISES, INC. Adrian M. Clarke Swom to and subscribed before me This a2 .L_ day of W]~/ ,2003 CERTIFICATE OF SERVICE I, Christina N. Yost, an authorized agent for Martson Deardorff Williams & Otto, hereby certify that a copy of the foregoing Praecipe was served this date by depositing same in the Post Office at Carlisle, PA, first class mail, postage prepaid, addressed as follows: Ms. Cathy L. Costa 31 Acorn Circle, Apt. 301 Towson, MD 21286 MARTSON DEARDORFF WILLIAMS & OTTO By ~ Christina N. Yost // Ten East High Street Carlisle, PA 17013 (717) 243-3341 Dated: May 29, 2003 DICKINSON COLLEGE, Plaintiff CATHY L. COSTA, Defendant IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA NO. 03-941 CWIL ACTION - LAW JURY TRIAL OF TWELVE DEMANDED PRAECIPE TO DOCUMENT COSTS ASSOCIATED WITH SERVICE PURSUANT TO THE PENNSYLVANIA LONG ARM STATUTE I hereby certify that Plaintiff incurred costs of $100.00 to serve the Complaint upon Cathy L. Costa at 31 Acorn Circle, Apt. 301, Towson, Maryland 21286. A copy of the invoice is attached hereto. MARTSON DEARD~_Q~RFI~ WI~,~I~IAMS & OTTO David R. Galloway, Esquire I. D. Number 87326 Ten East High Street Carlisle, PA 17013 (717) 243-3341 Date: June 13, 2003 Attorneys for Plaintiff Safe and Secure Enterprises, Inc. Phone: 877-379-6166 Fax: 877-8'13-3587 David R. Galloway, Esquire Martson Deardorff Williams & Otto Ten East High Street Carlisle, PA 17013 INVOICE www.ssenterprisesinc.com DATE: 5/21/2003 Invoice No.: 1025-01 ~ment Terms: immediate DESCRIPTION HOURS/MILES RATE T AMOUNT Process Service-Flat Fee- Costa N/A $100.00 $ 100.00 EIN: 01-0571756 SUBTOTAL $ 100.00 Please Submit Payment to: TAX RATE 5.00% Safe and Secure Enteprises, Inc. SALES TAX 1290 Bay Dale Drive, PMB 1'11 OTHER Arnold, Maryland 21012 TOTAL $ THANK YOU FOR YOUR PROMPT PAYMENT! ~.~'~' ~',~/~3 CERTIFICATE OF SERVICE I, Christina N. Yost, an authorized agent for Martson Deardorff Williams & Otto, hereby certify that a copy of the foregoing Praecipe was served this date by depositing same in the Post Office at Carlisle, PA, first class mail, postage prepaid, addressed as follows: Ms. Cathy L. Costa 31 Acorn Circle, Apt. 301 Towson, MD 21286 MARTSON DEARDORFF WILLIAMS & OTTO ,df Christina N. Yost Ten East High Street Carlisle, PA 17013 (717) 243-3341 Dated: DICKINSON COLLEGE, Plaintiff CATHY L. COSTA, : Defendant : IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA NO. 03-941 CIVIL ACTION - LAW JURy TRIAL OF TWELVE DEMANDED PRAECIPE TO DISCONTINU.E_ Plaintiff requests the above-captioned matter be discontinued without prejudice. I. D. Number 87326 Ten East High Street Carlisle, PA 17C~13 (717) 243-3341 Date: August 19, 2003 Attorneys for Plaintiff CERTIFICATE OF SERVICE I, Martha-Anne lben, an authorized agent for Martson Deardorff Williams & Otto, hereby certify that a copy of the foregoing Praecipe was served this date by depositing same in the Post Office at Carlisle, PA, first class mail, postage prepaid, addressed as follows: Ms. Cathy L. Costa 31 Acorn Circle, Apt. 301 Towson, MD 21286 MARTSON DEAP,,,DORFF WILLIAMS & OTTO Martha-Anne Iben Ten East High Street Carlisle, PA 17013 (717) 243-3341 Dated: August 19, 2003