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HomeMy WebLinkAbout03-2558 Andrew c. sheely, Esquire 127 S. Market Street P.O. Box 95 Mechaniosburg, PA 17055 PA ID NO. 62469 717-697-7050 (Phone) 717-697-7065 (FaX) MICHAEL J. BELAND, Plaintiff IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA vs. CIVIL ACTION - LAW 03 - .).5':)-r CIVIL TERM BRENDA L. BELAND, Defendant IN DIVORCE NOTICE TO DEFEND AND CLAIM RIGHTS You have been sued in Court. If you wish to defend against the claims set forth in the following pages, you must take prompt action. You are warned that if you fail to do so, the case may proceed against you and a decree in divorce or annulment may be entered against you by the Court. A judgment may also be entered against you for any other claim or relief requested in these papers by the Plaintiff. You may lose money or property or other rights important to you, including custody or visitation with your children. When the ground for the divorce is indignities or irretrievable breakdown of the marriage, you may request marriage counseling. A list of marriage counselors is available in the Office of the Prothonotary at the Cumberland County Courthouse, Carlisle, Pennsylvania. IF YOU DO NOT FILE A CLAIM FOR ALIMONY, DIVISION OF PROPERTY, LAWYER'S FEES OR EXPENSES BEFORE A DIVORCE OR ANNULMENT IS GRANTED, YOU MAY LOSE THE RIGHT TO CLAIM ANY OF THEM. 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 32 SOUTH BEDFORD STREET CARLISLE, PENNSYLVANIA 17013 (717) 249-3166 Andrew C. Sheely, Esqu' PA. I.D. No. 62469 127 S. Market Street P.O. Box 95 Mechanicsburg, PA 17055 717 697-7050 Attorney for Plaintiff BY Andrew c. Sheely, Esquire 127 S. Market Street ... P.O.. Box 95 Mechanicsburg, PA 17055 PA ID NO. 62469 717-697-7050 (Phone) 717-697-7065 (Fax) MICHAEL J. BELAND, Plaintiff IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA vs. CIVIL ACTION - LAW BRENDA L. BELAND, Defendant 03 - .:1517 CIVIL TERM IN DIVORCE DIVORCE COMPLAINT 1. Plaintiff is MICHAEL J. BELAND, an adult individual who currently resides at 712 Breezewood Drive, Mechanicsburg, Cumberland County, Pennsylvania. 2. Defendant is BRENDA L. BELAND, an adult individual who resides at 216 Stoner Drive, Mechanicsburg, Cumberland County, Pennsylvania. 3. Plaintiff and Defendant have been bona fida residents of the Commonwealth of Pennsylvania for at least six (6) months immediately previous to the filing of this Complaint. 4. Plaintiff and Defendant were married on July 12, 1996 in Mechanicsburg, Cumberland County, Pennsylvania. 5. There have been no prior actions of divorce or annulment between the parties. 6. Neither party is a member of the armed forces of the United States of America. 7. Plaintiff has been advised of the availability of marriage counseling and understands that he may have the right to request that the court require the parties hereto to participate in counseling. Date: MAY 30, 2003 Respectfully submitted, ~() Andrew C. Sheely, Esquire Attorney for Plaintiff PA ID No. 62469 P.O. Box 95 127 S. Market Street Mechanicsburg, PA 17055 717-697-7050 3 VERIFICATION I verify that the statements made in this Complaint are true and correct. I understand that false statements herein are made subject to penalties of 18 Pa.C.S.A. Section 4904, relating to unsworn falsification to authorities. Date: MAY 3?, 2003 m 'cArxd ffn Adaro/- Michael J. Be nd Andrew C. Sheely, Esquire 127 S. Market Street P.O. Box 95 Mechanicsburg, PA 17055 PA 1D NO. 62469 717-697-7050 (Phone) 717-697-7065 (Fax) MICHAEL J. BELAND, Plaintiff IN THE COURT OF COMMON PLEAS OF : CUMBERLAND COUNTY, PENNSYLVANIA vs. CIVIL ACTION - LAW BRENDA L. BELAND, Defendant 03 - CIVIL TERM IN DIVORCE AFFIDAVIT deposes and says: Michael J. Beland, being duly sworn according to law, counseling and understand that I may request that the Court (1) I have been advised of the availability of marriage require that my spouse and I participate in counseling. (2) I understand that the Court maintains a list of marriage counselors in the Domestic Relations Office, which list is available to me upon request. (3) Being so advised, I do not request that the Court require that my spouse and I participate in counseling prior to a Divorce Decree being handed down by the Court. the penalties of 18 Pa.C.S.A. Section 4904 relating to unsworn I understand that false statements herein are made subject to falsification to authorities. ?!;'~cjatj cEl:!:!a?14 ~-50-03 ~ r . . '-- r..u <:>Q ,. -- ~ ~ OQ ,... ..... -\ ~ ~ $ N ~ '- ........ Iv C> C ....'J ~ \.r- ~ 6 -. t r::J ( (') ~ '""01; . 0;: (: ~ .:?~ ~ en '. -<. ~l_ ~;;- zt_ 5> ~, ~. L' -<. C..:: ,-', ~.f~ ..:;-~ C~) (=. ~ , f '-l -n , , i :'-: ',() :5'-fl .~-l =0 -< w :.n rv ... " Andrew c. Sheely, Esquire 127 s. Market street P.O. Box 95 Mechanicsburg, PA 17055 PA ID NO. 62469 717-697-7050 (Phone) 717-697-7065 (Fax) MICHAEL J. BELAND, Plaintiff IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA vs. CIVIL ACTION - LAW BRENDA L. BELAND, Defendant 03 - 2558 CIVIL TERM IN DIVORCE ACCEPTANCE OF SERVICE I, Samuel L. Andes, Esquire, hereby accept service of the divorce complaint on behalf of Brenda L. Beland, Defendant, and further certify that I am authorized to do so in accordance with PA. R.C.P No. 402 (b). Date: June 10 , 2003 ~~~.a el L. des, squire 525 North 12th Street Lemoyne, PA 17043 717-761-5361 o ~~:: vi;:' ITij 2::. ;.?.'"i': CD . ~r ~(~. =c .P" C~ .c.", =2 c (-; ~rt '0 IN THE COURT OF COMMON PLEAS CUMBERLAND COUNTY, PENNSYLVANIA SHANON D. HOLCOMB, D.C. and HCC OF CARLISLE, P.C., CIVIL ACTION NO. 02-2558 Plaintiffs vs. CAPITAL BLUE CROSS, Defendant DEFENDANT CAPITAL BLUE CROSS' PRELIMINARY OBJECTIONS Defendant Capital Blue Cross ("Capital"), by and through its attorneys, Stevens & Lee, hereby file these preliminary objections to the Complaint filed by Shanon D. Holcomb and HCC of Carlisle, P.C. Judge Oler has previously ruled on matters in this case. 1. Plaintiffs' Complaint contains 83 paragraphs and asserts three counts. 2. Count I is a claim for defamation by both Plaintiffs against Capital. 3. Count II is a claim by both Plaintiffs for interference with contract. 4. Count III is asserted only by HCC of Carlisle and is a claim for disparagement. 5. The Complaint devotes a number of paragraphs to describing conduct that is not the subject of this case, but instead describes an action involving different plaintiffs and that is pending in Franklin County. [Complaint, '\['\[10-21]. 6. These averments are irrelevant to this case and should be stricken. 7. Finally, at paragraph 24, Plaintiffs get to allegations arguably relevant this case. 8. In paragraph 24, they allege: CBC communicated to patients, agencies and other insurance providers defamatory and disparaging communications which placed Dr. Holcomb and HCC of Carlisle, P.C. in a false light by 1 SLl 368763v1l02109.071 stating and/or suggesting that they unethically and improperly provided unnecessary services and engaged in improper and unethical billing practices. [Complaint, ~ 24]. This paragraph is as specific as the Complaint gets with respect to defamation. 9. Even though Plaintiffs had 14 months to investigate potential claims and conduct the pre-complaint discovery they said they needed to meet the specificity requirements for defamation proceedings, there is not a single allegation in this 83-paragraph Complaint that identifies which patients, which agencies or which insurance providers were the recipients of the alleged defamatory statements, the substance ofthe alleged defamatory statements, when they were said, or by whom. 10. They try to excuse this pleading deficiency by contending that it would be "contrary to legitimate privacy interests of third parties (e.g., patients) and would be unduly burdensome to attempt to identify all such communications in this Complaint.. .." [Complaint, ~ 26]. II. Plaintiffs have never -- in all the papers filed with this Court previously -- asserted that there were obstacles to their meeting the specificity required for pleading a defamation claim. 12. What the Complaint does contain are internal inconsistencies. 13. On the one hand, Plaintiffs claim that they have so much evidence of defamation, it would be burdensome to include any of it in the Complaint. [Complaint, ~ 26]. 14. On the other hand, Plaintiffs claim that they cannot be more specific in their Complaint because Capital took a narrow view of the areas that could be explored at the depositions allowed by the Court. [Complaint, ~ 50]. 2 SLI 368763vl/02109.071 15. Although Plaintiffs admit that they should have filed a motion to compel when they were dissatisfied with the depositions, they decided it was better to file a non-specific complaint and keep their fingers crossed that something would turn up in discovery after the pleadings were closed. [Complaint, ~ 52]. 16. The Complaint contains three counts; however, each count is based on the same allegedly defamatory statements. 17. Count I alleges a cause of action for defamation and is based on the non-specific defamatory statements summarized above. 18. The same is true for Count II, the claim for interference with contract. 19. Paragraph 72 of Count II alleges "the defamatory conduct detailed above was intended to interfere with contractual relations. . .." 20. Similarly, in paragraphs 57 and 78 of the Complaint (with respect to Count III for disparagement), Plaintiffs allege only that the wrongful conduct they describe generally in the preceding paragraphs caused "the corporate reputation ofHCC of Carlisle, P.C." to be "defamed and disparaged" and resulted in "a general disparagement ofthe services provided by HCC of Carlisle, P.C." [Complaint, n 57 and 78]. 21. Also missing from the disparagement claim are allegations of actual pecuniary loss. 22. The Complaint's only allegations of disparagement damages are found in paragraphs 80 and 81. 23. In these paragraphs, Plaintiffs allege they have lost unidentified clients and their unidentified relatives or friends as potential referrals. 3 SLI 368763vIl02109.071 24. Plaintiffs also fail to quantify the amount of money damages they have lost as a result of this allegedly lost business. 25. Although the Complaint contains 83 paragraphs, it lacks the particularity required for defamation claims (and other claims based on defamation), and should be dismissed with prejudice for the reasons detailed below. The Complaint Fails To Set Forth Defamation (Count I), Intentional Interference With Contract (Count II) And Disparaeement (Count III) With Specificity. 26. Although the Complaint contains three claims against Capital, Plaintiffs admit that all of these claims stem from the same basic allegation, that Capital allegedly defamed Plaintiffs and caused them to lose business and its reputation. [Complaint, ~~ 57, 72 and 78]. 27. Accordingly, Plaintiffs' failure to satisfy the heightened pleading requirements of a defamation claim means all three counts of the Complaint fail and must be dismissed. 28. There is no dispute about the law in Pennsylvania on pleading defamation: a complaint for defamation must, on its face, identify specifically what allegedly defamatory statements were made, and exactly to whom they were made. Moses v. McWilliams, 549 A.2d 950,960 (pa. Super. 1988) (emphasis added) (citing Gross, 302 A.2d at 371); see also laindl v. Mohr, 637 A.2d 1353, 1358 (Pa. Super. 1994). 29. Failure to plead with specificity "will subject the complaint to dismissal. . . . " Moses, 549 A.2d at 960. 30. Plaintiffs' Complaint fails to plead defamation with the required specificity. 31. The Complaint fails to plead: (a) the identify of the person(s) to whom the alleged defamatory statements were made; 4 SLl 368763v1/02109.071 (b) the substance of the alleged defamatory statements; (c) the date of the allegedly defamatory statements; (d) who made the allegedly defamatory statements; or (e) how the allegedly defamatory statements were made. 32. Dismissal ofthe Complaint is appropriate because (1) Plaintiffs were given the opportunity and took pre-complaint discovery because it claimed it needed to obtain more specific information and (2) it is improper to plead defamation without specificity and then seek to obtain the required specificity through post-pleading discovery. Count III Of The Complaint For Business Disparagement Should Be Dismissed Because Plaintiffs Have Not Allel!ed Anv Actual Damal!es. 33. In Count III ofthe Complaint, Plaintiffs allege that Capital disparaged HCC of Carlisle's business reputation. 34. In support of this claim, Plaintiffs allege that they have lost existing and prospective contractual relations with patients and relatives and friends of patients. [Complaint, ~~ 80 and 81]. 35. These two paragraphs contain Plaintiffs only allegations with respect to disparagement damages. 36. These allegations are insufficient to sustain a claim for business disparagement. 37. Plaintiffs' claim for disparagement fails to identify by name even one patient who has stopped treating with Plaintiffs as a result of allegedly defamatory statements by Capital. 38. They fail also to allege any specific monetary loss of business that resulted from Capital's alleged defamatory statements. 5 SLJ 368763vIl02109.071 39. Plaintiffs should not be given the opportunity to amend their Complaint because they have had ample time to obtain all the specific information they needed to file a legally sufficient complaint for disparagement. Alternatively, Paragraphs 10-21 and 50-51 Of The Complaint Should Be Stricken Because They Are Not Pertinent To This Case, and Paragraphs 43-47 Should be Stricken Because Thev Improperlv Plead Evidence. 40. Plaintiffs have violated the Pennsylvania Rules of Civil Procedure by including scandalous and impertinent information and by pleading evidence in the Complaint. 41. Accordingly, to the extent the entire Complaint is not dismissed for its legal insufficiency, paragraphs 10-21,43-47 and 50-51 should be stricken. 42. Under Pennsylvania Rule of Civil Procedure 1019(a), "the material facts on which a cause of action or defense is based shall be stated in concise and summary form." Pa. R. Civ. P. 1019(a). 43. When a complaint fails to conform to this rule and instead contains "scandalous and impertinent" information, this information can be stricken. Pa. R. Civ. P. 1028(a)(2). 44. Allegations are "scandalous and impertinent" when they are "immaterial and inappropriate to the proof of the cause of action." Common CauseIPennsvlvania v. Commw., 710 A.2d 108, 115 (Pa. Commw. Ct. 1998). 45. Paragraphs 10 through 21 of the Complaint contain allegations that have no bearing or relevance to the case at bar. 46. Rather, these paragraphs detail separate and independent litigation currently pending in Franklin County, to which Plaintiffs admit they are not parties. [Complaint, 1 15]. 47. Plaintiffs do not set forth any reasons for the inclusion of these paragraphs in the Complaint. 6 SLl 368763vI/02109.071 48. The only plausible reason for including these allegations is to embarrass and prejudice Capital, which the pleading rules prohibit. 49. Accordingly, paragraphs 10-21 ofthe Complaint should be stricken. 50. Moreover, paragraphs 50 and 51 contain Plaintiffs' untimely complaints about the way in which the pre-complaint depositions were conducted. 51. Plaintiffs admit they did not follow the proper procedure of filing a motion to compel when they were dissatisfied with the pre-complaint depositions. [Complaint, '\[52]. 52. It is improper for them to include averments that include their gripes about it now. 53. Paragraphs 50 and 51 do not set forth any material facts in support of Plaintiffs' claims for defamation, interference with contract or disparagement. 54. Accordingly, those paragraphs should be stricken. 55. Finally, Rule 1019(a)'s requirement that a complaint contain only "material facts" means that the complaint should not contain evidence. Commw. v. Bethlehem Steel Com., 380 A.2d 1308,1313 (Pa. Commw. Ct. 1977). 56. Paragraphs 43-47 of the complaint violate this rule. 57. Plaintiffs' use of the words "it is believed and averred" in these paragraphs demonstrates first that they are not facts of which Plaintiffs have knowledge. 58. Second, the allegations contained in those paragraphs are not material facts that support Plaintiffs' claims for defamation, but contain the evidence Plaintiffs think they will find (with a post-complaint fishing expedition) to support their claims against Capital. 59. For example, in paragraphs 45 and 46, Plaintiffs allege that they will be able to prove defamation because they believe they will uncover evidence to discredit the Capital peer 7 SLl 368763vIl02109.071 reviews that gave rise, in part, to the finding that the services provided by Plaintiffs were not medically necessary. 60. Such allegations are evidence and not facts, and paragraphs 43-47 of the Complaint should be stricken for failing to comply with Rule 1019(a). WHEREFORE, Defendant Capital Blue Cross requests that Plaintiffs' Complaint be dismissed with prejudice. To the extent the Complaint is not dismissed, paragraphs 10-21, 43-47 and 50-51 should be stricken because they are not pertinent to the claims in this case and/or plead evidence. Dated: July ~, 2003 lWU aniel B. uyett _ Attorney .D. No. 21385 Stacey A. Scrivani Attorney J.D. No. 84275 111 North Sixth Street P.O. Box 679 Reading, Pennsylvania 19603 (610) 478-2000 8 SLl 368763v1/02109.071 o S lJ(t C~} i',' <<'~ (I) r=-:- ;'" ..r.._. j. ~~ -( o ~il >,) I , ", -') Andrew c. Sheely, Esquire 127 S. Market Street P.O. Box 95 Mechanicsburg, PA 17055 PA ID NO. 62469 717-697-7050 (Phone) 717-697-7065 (Fax) MICHAEL J. BELAND, Plaintiff : IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA vs. CIVIL ACTION - LAW BRENDA L. BELAND, Defendant 03 - 2558 CIVIL TERM IN DIVORCE STIPULATION AND ORDER FOR DIVISION OF PENSION BENEFITS ANACOMP, INC 401 (K) PLAN QUALIFIED DOMESTIC RELATIONS ORDER AND NOW, this ....APi. 61 ~ _ .,.! day of V4:;?1~ 2003, in accordance with the agreement and stipulat:ion of the parties, it is hereby Ordered and Decreed as follows: 1. Michael J. Beland, Plaintiff, (hereinafter referred to as "Participant" has earned benefits unde:r: the Anacomp, Inc. 401 (k) Plan (hereinafter referred to as the "Plan"). Participant and Brenda L. Beland (hereinafter referred to as "Alternate Payee") intend, by this Stipulation and OI:der, to allocate these benefits between them. 2. This Stipulation and Order is intended to be a Qualified Domestic Relations Order ("QDRO"), as defined in Section 414(p) of the Internal Revenue Code of 1986, as amended ("Code") and Section 206 of the Employee Retirement Income Security Act of 1974, as amended, ("ERISA"). addresses for Participant and Alternate Payee are set forth below: 3. Social Security Numbers, dates of birth and current PARTICIPANT - Michael J. Beland Social Security NUmber Date of Birth: Address: 145-50-3902 October 12, 1954 712 Breezewood Drive MechanicsbuD}, PA 17055 ALTERNATE PAYEE - Brenda L. Belanq Social Security NUmber Date of Birth: Address: 208-42-0505 October 6, 1954 216 Stoner Dr'ive Mechanicsburg, PA 17055 4. The current address of the Plan is set forth below: The Plan Name: Anacomp, Inc. 401 (k) Plan c/o Paul Najar, General Counsel Anacomp, Inc. 15378 Avenue of Science San Diego, CA 92128 ordered to keep one another timely apprised of their current 5. Part.icipant., Alt.ernat.e Payee and the Plan are each addresses for receipt of notices. ALTERNATE PAYEE'S INTEREST IN THE PLAN 6. Alt.ernat.e Payee's Plan interest ('''Plan Interest") shall be Fourteen Thousand Five Hundred Dollars ($14,500.00) of the total value of the Participant's vested account(s) in the Plan as of the Date of this Order. 2 7. In the event Alternate Payee does not request or receive an immediate distribution from the Plan as soon as administratively feasible after this Order is determined to be a QDRO by the Plan Administrator, the Alternate Payee's Plan Interest plus the earnings/losses attributable to such Interest from the date Alternate Payee's Plan Interest is determined to the date of segregation, shall be segregated in a separate account for Alternate Payee to be held by the Plan until distribution. Such separate account will be credited with its allocable share of the income and losses of the Plan but shall not be credited with any future contributions or forfeiture. Alternate Payee shall have the same ability to designate the investment of the amounts in the Alternate Payee's separate account as the Participant would otherwise have had with respect to those amounts. In accordance with the terms of the Plan, at such time as Alternate Payee may request in writing or as otherwise required under the Internal Revenue Code, the Plan shall distribute the amount in Alternate Payee's separate account to Alternate Payee in a single lump sum payment or in such other form of benefit permitted under the Plan and selected by the Alternate Payee. In no event shall benefits be paid in the form of a qualified joint and survivor annuity. 8. Alternate Payee may designate a beneficiary on the appropriate form provided by the Plan Administrator to receive 3 Alternate Payee's Plan Interest in the event of Alternate payee's death prior to distribution of such Plan Interest. In the event that Alternate Payee dies priOJ~ to payment of Alternate Payee'S Plan Interest pursuant to this Order, such Plan Interest shall be paid to Alternate Payee's designated beneficiary, if any, otherwise to Alternate Payee's estate. 9. Each party shall be responsible for and pay any taxes due in connection with his or her receipt of distribution from the Plan. The Plan shall withhold applicable federal and state income taxes on any direct distribution to Alternate Payee as required by law. MISCELLANEOUS 10. From the date of this Order and thereafter, the Participant shall have no further right or interest in any portion of the benefits under the Plan which are assigned to the Alternate Payee pursuant to this Order. 11. While it is anticipated that the Plan will pay directly to Alternate Payee the benefit awarded to him or her, Participant is designated a constructive tr'ustee to the extent he receives any benefits under the Plan that arEl due Alternate Payee. If Participant receives any of the benefits due Alternate Payee under the Plan, Participant is ordered and decreed to pay the benefit defined above directly to Alternate Payee within ten (10) days after receipt. 4 12. This Order is made pursuant to the domestic relations law of the Commonwealth of Pennsylvania as it relates to the provision of marital property rights as defined therein between spouses in actions for divorce. 13. The Plan shall not be required by the terms of this Order to provide any type or form of benefit, or any option, not otherwise provided under the Plan, nor to increase the amount of any benefits the Plan provides. This Order shall not require the Plan to provide benefits to the Alternate Payee which are required to be paid to another Alternate Payee under another order previously determined to be a QDRO, within the meaning of Section 414(P) of the Code and Section 206(D) of ERISA. In the case of any conflict between the terms of the Plan and the terms of this Order, the terms of the Plan shall prevail. 14. This Order shall not constitute QDRO until such time that the Plan Administrator determines that the Order is qualified under Section 414(P) of the Code and Section 206(D) of ERISA. 15. Each party shall, upon receiving a request, perform any act reasonably necessary to carry into effect or verify the carrying into effect of the terms of this Order. 16. The Court retains jurisdiction to amend this Order for the purpose of establishing or maintaining this Order as a Qualified Domestic Relations Order and/or to effectuate the parties' intentions. 5 THE FOREGOING IS AGREED TO BY: DATED: / / oJ. <;-03 /}7J/cj-,ad~ A-t., ramal Michael J. B and, Participant DATED: 2' IV\}.] 2:oV"3 ~IC r--ic L. k IG^ c~ Brenda L. Beland, Alternate Payee An~~2~ire ~ney n.~pant ~~n;e;\~~Uire Attorney for Alternate Payee DATED: II-t-';) - ZD (} "3 DATED: 2L /frhl 2.Q)"3 BY THE COURT, J. 6 ~' f . t....) r;;;;.~ V11f, ,,^N'1fi'\!-.SNN'3d .l-L"lnO~ (\~.~nH?9~na In'r' "J C ,.... r'" "I.c., \1" .~- ...~:,0 t,\,\ J.h'11.CN')i)-:};"~~" ,~~:O 3::\~ -Ie} -,'~ -l ~ II PROPERTY SETTLEMENT AGREEMENT THIS AGREEMENT, made this a% day of _ 4rk.Ab?7Lt..v2/ ,2003, is by and between: MICHAEL J. BelAND, of 712 Breezewood Drive in Mechanicsburg, Pennsylvania, hereinafter referred to as "Husband"; and BRENDA l. BELAND, of 216 Stoner Drive, Apartment D in Mechanicsburg, Pennsylvania, hereinafter referred to as "Wife." WITNESSETH: WHEREAS, the parties hereto are Husband and Wife, having been married on 12 July 1996 and no children having been born of this marriage; and WHEREAS, certain difficulties have arisen between the parties hereto which have made them desirous of living separate and apart from one another and Husband has initiated an action in divorce filed to No. 03-2558 Civil Term before the Court of Common Pleas of Cumberland County, Pennsylvania; WHEREAS, the parties hereto, Wife being represented by Samuel L. Andes, Esquire, and Husband by Andrew C. Sheely, Esquire, have each exchanged full and complete information as to the property, assets, and liabilities owned and owed by each and have disclosed to each other and to their respective attorneys full information as to the financial status of both parties hereto; and WHEREAS, the parties hereto have mutually entered into an agreement for the division of their assets, the provision for the liabilities they owe, and provision for the resolution of their mutual differences, after both parties have had full and ample opportunity to consult with their respective attorneys, and the parties now wish to have that agreement reduced to writing. NOW, THEREFORE, the parties hereto, in consideration of the above recitals, the mutually made and to be kept promises set forth hereinafter, and for other good and valuable considerations, and intending to be legally bound and to legally bind their heirs, successors, assigns, and personal representatives, do hereby covenant, promise, and agree as follows: Page 1 of 8 II 1. RESIDENCE AT 712 BREEZEWOOD DRIVE. Wife covenants and agrees to convey to Husband, as his sole and separate property, the real estate presently owned by the parties hereto as tenants by the entireties and being known as 71 2 Breezewood Drive in Mechanicsburg, Pennsylvania, subject, however, to all liens, encumbrances, easements, and restrictions presently existing thereon. In furtherance of this Agreement, Wife represents that she has, as of the date of this Agreement, executed, acknowledged, and delivered to husband or his representative, a deed to the real estate, to convey the same to Husband. 2. MORTGAGE ON RESIDENCE. In consideration of the conveyance of the property at 712 Breezewood Drive by Wife to Husband, Husband agrees that he shall, within thirty days of the date of this Agreement, refinance the debt owed to Chase Manhattan Mortgage Company which is secured by a mortgage against the said property so as to obtain Wife's unconditional release from that obligation, or Husband represents that he has already accomplished such refinancing and the release of Wife from any further liability, in which event he shall provide proof of such to Wife within ten (10) days of the date of this Agreement. In either event, Husband shall be responsible to pay and satisfy, in accordance with their terms, all debts and liabilities arising out of the parties' ownership or occupancy of the property and shall further indemnify and save Wife harmless from any loss, cost, or expense caused to her by his failure to do so. 3. HUSBAND'S ANACOMP 401 IKI PLAN. The parties acknowledge that, during their marriage, Husband acquired certain benefits within a 401 (k) Plan operated by his employer, Anacomp, Inc., which is generally known as the Anacomp Savings Plus Plan. The parties further agree that they shall divide and distribute such benefits as follows: A. Husband shall transfer to Wife, in the form of a tax-free rollover from his account within the said plan into an individual retirement account in Wife's name alone, assets, funds, or benefits within the plan having a value of $14,500.00 as of the date of this Agreement, increased or decreased by investment results within the plan on said sum from the date of this Agreement until the date such transfer is complete. B. The transfer of such assets contemplated by Sub Paragraph A hereof will be accomplished by a Qualified Domestic Relations Order which Page 2 of 8 II Husband shall, at his sole expense, obtain in the divorce action now pending between the parties. C. Upon the transfer of the funds from Husband's account within the said plan, in accordance with this Agreement, Husband shall retain as his sole and separate property the remaining balance within his account in the said plan, free of any claim by Wife hereafter. The parties shall cooperate with each other and their attorneys as necessary to promptly complete the transfer contemplated by this Paragraph. 4. WIFE'S RETIREMENT PLAN. The parties acknowledge that, during the marriage, Wife acquired certain benefits within the Jackson Gastroenterology Retirement Plan, and the parties have exchanged information about such benefits and the amount by which they increased during the marriage of the parties. Being aware of such assets, Husband does hereby waive, release, and relinquish any claim to or interest in said funds or account and confirms that account and all of the funds and assets therein to be the sole and separate property of Wife hereafter, free of any further claim by him. 5. OTHER INVESTMENTS. The parties acknowledge that, during the marriage, Husband obtained certain stock in Home Depot, which they believe has a value of this time of approximately $1,580.00 and an account with ABFS Investments which they believe has a value at this time of approximately $14,200.00. Wife does hereby waive, release, and relinquish any claim to or interest in said accounts and confirms them to be the sole and separate property of Husband hereafter, free of any claim by her. 6. CASH PAYMENT TO WIFE. In consideration of the distribution and division of the assets set forth above, Husband shall pay to Wife, as equitable distribution of marital property and not as alimony, the sum of $17,000.00. The payment shall be made in cash or certified funds and shall be delivered to Wife contemporaneously with the execution and delivery of this Agreement or the delivery of the Deed conveying the property at 71 2 Breezewood Drive to Husband, whichever first occurs. 7. PERSONAL PROPERTY. The parties hereto mutually agree that they have effected a satisfactory division of the furniture, household furnishings, appliances, and other household and personal property between them and they mutually agree that each party shall, from and after the date hereof, be the sole and separate owner of all such tangible personal property presently in his or her possession, whether said property was Page 3 of 8 II heretofore owned jointly or individually by the parties hereto, and this agreement shall have the effect of an assignment or receipt from each party to the other for such property as may be in the individual possessions of each of the parties hereto, the effective date of said bill of sale to be contemporaneous with the date of the execution of this Agreement. 8. WAIVER OF ALIMONY. SUPPORT AND ALIMONY PENDENTE LITE. The parties aCknowledge that they are aware of the income, education, income potential, and assets and holdings of the other or have had full and ample opportunity to become familiar with such items. Both parties acknowledge that they are able to support and maintain themselves comfortably, without contribution from the other beyond that as provided for in this Property Settlement Agreement, upon the income and assets owned by each of them. The parties hereby accept the mutual covenants and terms of this Agreement and the benefits and properties passed to them hereunder in lieu of any and all further rights to support or alimony for them self, counsel fees, and alimony pendente lite at this time and during any and all further or future actions of divorce brought by either' of the parties hereto and the parties do hereby remise, release, quit claim, and relinquish forever any and all right to support, alimony, alimony pendente lite, counsel fees and expenses beyond those provided for herein, during the pendency of or as a result of any such actions, as provided by the Divorce Code of Pennsylvania or any other applicable statute, at this time and at any time in the future. 9. WAIVER OF EQUITABLE DISTRIBUTION. The parties aCknOWledge that each of them have had a full and ample opportunity to consult with counsel of their choice regarding their claims arising out of the marriage and divorce and that they have specifically reviewed their rights to the equitable distribution of marital property, including rights of discovery, the right to compel a filing of an Inventory and Appraisement, and the right to have the court review the assets and claims of the parties and decide them as part of the divorce action. Being aware of those rights, and being aware of the marital property owned by each of the parties, the parties hereto, in consideration of the other terms and provisions of this agreement, do hereby waive, release and quitclaim any further right to have a court or any other tribunal equitably distribute or divide their marital property and do hereby further waive, release and quitclaim any and all claim against or interest in assets now currently in the possession or held in the name of the other, it being their intention to accept the terms and provisions of this agreement in full Page 4 of 8 II satisfaction of all of their claims to the marital property of the parties and the equitable distribution of the same. 10. WAIVER OF ESTATE RIGHTS. Husband releases his inchoate intestate rights in the estate of Wife and Wife releases her inchoate intestate rights in the estate of Husband, and each of the parties hereto by these presents for himself or herself, his or her heirs, executors, administrators, or assigns, does remise, release, quit claim, and forever discharge the other party hereto, his or her heirs, executors, administrators, or assigns, or any of them, of any and all claims, demands, damages, actions, causes of action or suits of law or in equity, of whatsoever kind or nature, for or because of any matter or thing done, omitted, or suffered to be done by such other party prior to the date hereof; except that this release shall in no way exonerate or discharge either party hereto from the obligations and promises made and imposed by reason of this agreement and shall in no way affect any cause of action in absolute divorce which either party may have against the other. 11. WAIVER OF PROPERTY CLAIMS AND ESTATE CLAIMS. Except as herein otherwise provided, each party hereto may dispose of his or her property in any way, and each party hereby expressly waives and relinquishes any and all rights he or she may now have or hereafter acquire, under the present or future laws of any jurisdiction, to share in the property or the estate of the other as a result of the marital relationship, including, without limitation, the right to equitable division of marital property, alimony, alimony pendente lite, and counsel fees, except as provided for otherwise in this Agreement, dower, courtesy, statutory allowance, widow's allowance, right to take in intestacy, right to take against the will of the other, and right to act as administrator or executor of the other's estate, and each will, at the request of the other, execute, acknowledge, and deliver any and all instruments which may be necessary or advisable to carry into effect this mutual waiver and relinquishment of all such interests, rights, and claims. 12. REPRESENTATION AS TO NO DEBTS. The parties hereto mutually represent to the other than neither of them has incurred any debts in the name of the other not previously disclosed or provided for in this agreement. Each of the parties hereby represents to the other that neither one of them have incurred or contracted for debts in the name of the other or for which the other is or would be legally liable from and after the date of the parties' separation. Both parties hereto mutually agree and promise that Page 5 of 8 /I 'I neither will contract or otherwise incur debts in the other's or joint names without the prior permission and consent of the other party hereto. Both parties hereto represent and warrant to the other party that they have not so contracted any debts unbeknownst to the other up to the time and date of this Agreement. 13. RELEASE. The parties acknowledge that the purpose of this agreement is to divide all of their marital property, resolve all of the economic claims between them, and terminate and conclude any and all claims one party may have against the other. The parties acknowledge that each of them has had ample opportunity to consult with an attorney of their choice and to obtain legal representation with regard to this agreement and to the claims which they are terminating hereby. Consequently, each of the parties, for themselves, their heirs, successors, and assigns, does hereby accept the terms and provisions of this agreement in full satisfaction of any claims, of any nature, they may have, or may ever have had, against the other party and each of the parties does hereby waive, relinquish, release, and surrender forever any claim they have against the other party, arising out of their marital relationship, or any other dealing between the parties prior to the date of this agreement, provided, however, that this release shall not exonerate either of the parties from the obligations they expressly make in this agreement, which shall survive the date of this agreement until such obligations are fully performed. 14. CONCLUSION OF DIVORCE. The parties acknowledge that this agreement is made in contemplation of the conclusion by both of them of an action in divorce which has been filed or will be filed shortly by one of the parties hereto. Both of the parties hereto agree that they shall, contemporaneously with the execution of this agreement, execute and deliver to their respective attorney or attorneys, an Affidavit of Consent under Section 3301 (c) of the Divorce Code, consenting to the entry of a final decree in divorce, and a Waiver of further notice for the entry of such decree. Both parties agree that they shall accept the terms and provisions of this agreement in full satisfaction of any claims they may have under the Divorce Code of the Commonwealth of Pennsylvania, including, but not limited to, alimony, alimony pendente lite, counsel fees, equitable distribution, and the like. 15. CHOICE OF LAW. This Agreement shall be interpreted, applied and enforced in accordance with the laws of, and by the courts of, the Commonwealth of Pennsylvania. Page 6 of 8 " 16. SEVERABILITY. If for any reason whatsoever any part of this Agreement shall be declared void or invalid, only such part shall be deemed void and in all other respects this Agreement shall remain valid and fully enforceable. 17. NON-WAIVER. The waiver of any term, condition, clause, or provision of this Agreement shall in no way be deemed or considered a waiver of any other term, condition, clause or provision of this Agreement. IN WITNESS WHEREOF, the parties hereto have set their hands and seals the day and year first above written. t!:s~ C6L3 1ncA~&JjwrJ MICHAEL J. BE AND Wit8~~~~\b ~rJc,-- j. ~~. t~~( BRENDA L. BELAND Page 7 of 8 II COMMONWEALTH OF PENNSYLVANIA COUNTY OF CUMBERLAND SS.: On this, the~1\ day of N(j.J{','ier , 2003, before me, the undersigned officer, personally appeared MICHAEL J. BELAND known to me (or satisfactorily proven) to be the person whose name is subscribed to the within instrument, and acknowledged that said person executed same for the purposes therein contained. IN WITNESS WHEREOF, I hereunto set my hand and official seal. ~..)/t , / ,. )(A.I.)Q , My Co mission Expi s: ~8fAL ~M.KHISEI.y. ~,.. u..c~t;~Ia..dCo. -, --. - . Haw. 11,_ COMMONWEALTH OF PENNSYLVANIA ) ( SS.: ) COUNTY OF CUMBERLAND On this, the ~/61 day of ~ 2003, before me, the undersigned officer, personally appeared BRENDA L. BELAND known to me (or satisfactorily proven) to be the person whose name is subscribed to the within instrument, and aCknowledged that said person executed same for the purposes therein contained. IN WITNESS WHEREOF, I hereunto set my hand and official seal. ~ (m WcUl-/~~ My mission Expires: NOTARIAL SEAL AMYM. HARIlINS. NOTAIlY PUBLIC IlMOVNE BORO.. CUMBERLAND COUNTY MY COMMISSION EXPIRES JAN. 31. 2005 Page 8 of 8 \ ~.,,,' -- .~,.'. .,.. ~,,,,"....- '. .. '~'" ,'- ,........."'..'-..," '.. '.,... \'.~;~ .,;'~."",i.''': " ,.,. ..;, ,.. .... .. ~."_.......~"' .~~" . ~ 0 ~ ...' .. !O, :z: .,.t n1 0 ""r ~ <: l'ii~ N ~, ~e; 0-. :::1 Dt;?, I :>>- ::;j :x .........-\ ~ Q- CO tifg .. =2 0 ~ ..,:; f ~".; , -,." ~ ;..,y' ..-. ...."'..~' .., .' '1 ..11., ..hi.l},,i't9 I' .' "....~.~",.__....;.~ . .".... '. Andrew C. Sheely, Esquire 127 S. Market street P.o. Box 95 Mechanicsburg, PA 17055 PA ID NO. 62469 717-697-7050 (Phone) 717-697-7065 (Fax) MICHAEL J. BELAND, Plaintiff IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA vs. CIVIL ACTION - LAW BRENDA L. BELAND, Defendant : 03 - 2558 CIVIL TERM IN DIVORCE AFFIDAVIT OF CONSENT 1. A Complaint in Divorce under Section 3301(c) of the Divorce Code was filed on May 30, 2003. 2. The marriage of Plaintiff and Defendant is irretrievably broken and ninety (90) days have elapsed from the date of filing the Complaint. 3. I consent to the entry of a final decree of divorce after service of notice of intention to request entry of the decree. I verify that the statements made in this Affidavit are true and correct. I understand that false statements herein are made subject to the penalties of 18 Pa.C.S.A. Section 4904 relating to unsworn falsification to the authorities. DATE: / /,;L 5-03 M~0~~1f2an~J%d( 8 Ej <: N 0\ ~ .-/ .:r::-n ~11,=..:: ~~~ ,:j(S .~'j:-'TI ~k-r"i 1''';0 ~m ~ ~ ~ o Andrew C. Sheely, Esquire 127 S. Market Street P.O. Box 95 Mechanicsburg, PA 17055 FA ID NO. 62469 717-697-7050 (Phone) 717-697-7065 (Fax) MICHAEL J. BELAND, Plaintiff IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA vs. CIVIL ACTION - LAW BRENDA L. BELAND, Defendant 03 - 2558 CIVIL TERM IN DIVORCE AFFIDAVIT OF CONSENT 1. A Complaint in Divorce under Section 3301(c) of the Divorce Code was filed on May 30, 2003. I a.cknowledge that my attorney filed an acceptance of service form on my behalf on June 16, 2003. 2. The marriage of Plaintiff and Defendant is irretrievably broken and ninety (90) days have elapsed from the date of filing the Complaint. 3. I consent to the entry of a final decree of divorce after service of notice of intention to request en.try of the decree. I verify that the statements made in this Affidavit are true and correct. I understand that false statements herein are made subject to the penalties of 18 Pa.C.S.A. Sec1:ion 4904 relating to unsworn falsification to the authorities. DATE: (( - z r ~ 0 > /~ n: --clc::- L 1-c1e, "I Brenda L. Beland o w ~ 00::= l'\,) 0'\ ;ao. ::r ~ o Q o -" ..~ i;r~ fr1 ..'g""': .~ ;. ~ ." g~ ~ -< Andrew c. Sheely, Esquire 127 S. Market Street P.O. Box 95 Mechanicsburg, PA 17055 PA 10 NO. 62469 717-697-7050 (Phone) 717-697-7065 (FaX) MICHAEL J. BELAND, Plaintiff IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA vs. CIVIL ACTION - LAW BRENDA L. BELAND, Defendant 03 - 2558 CIVIL TERM IN DIVORCE WAIVER OF NOTICE OF INTENTION TO REQUEST ENTRY OF A DIVORCE DECREE UNDER S3301 (C) OF THE DIVORCE CODE 1. I consent to the entry of a final decree of divorce without notice. 2. I understand that I may lose rights concerning alimony, division of property, lawyer's fees or expenses if I do not claim them before a divorce decree is granted. 3. I understand that I will not bE' divorced until a divorce decree is entered by the Court and that a copy of the decree will be sent to me immediately after it is filed with the Prothonotary. I verify that the statements made in this affidavit are true and correct. I understand that false statements herein are made subject to the penalties of 18 Pa.C.S.A" Section 4904 relating to unsworn falsification to the authorities. DATE: //cJ- 5-0~ '1'/l/tj;()(..lAJr A.pitVnoi- Michael J. land d 8 0 -r, :lI:: ::;) 0 <: h1;:D N '5lrn 0"\ --,0 '-le I ",. .~'r: :Jl: g~ .~ ~ 0 ~ Andrew c. Sheely, Esquire 127 S. Market Street P.O. Box 95 Mechanicsburg, PA 17055 PA 1D NO. 62469 717-697-7050 (Phone) 717-697-7065 (Fax) WAIVER OF NOTICE OF INTENTION TO REQUEST ENTRY OF A DIVORCE DECREE UNDER S3301 (C) OF THE DIVORCE CODE 1. I consent to the entry of a final decree of divorce without notice. 2. I understand that I may lose rights concerning alimony, division of property, lawyer's fees or expenses if I do not claim them before a divorce decree is granted. 3. I understand that I will not: be divorced until a divorce decree is entered by the Court and that a copy of the decree will be sent to me immediately after' it is filed with the Prothonotary. I verify that the statements made in this affidavit are true and correct. I understand that false statements herein are made subject to the penalties of 18 Pa.C.S.A. Section 4904 relating to unsworn falsification to the authorities. DATE: 11- z 1- 6:> ~n~c f....1-da"j Brenda L. Beland 0 G\ w S! .-, :r n:\i2 ,.., :IJ~ C' pJ- ~} ~ g~ CP- O i - MICHAEL J. BELAND, Plaintiff IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA vs. CIVIL ACTION - LAW BRENDA L. BELAND, Defendant 03 - 2558 CIVIL TERM IN DIVORCE PRAECIPE TO TRANSMIT RECORD TO THE PROTHONOTARY: Kindly transmit the record, together with the following information to the Court for entry of a Divorce Decree: 1. Grounds for Di vorce: Irretrievable breakdown under Section 3301 (C) of the Pennsylvania Divorce Code. 2. Date and Manner of service of the complaint: Acceptance of Service by counsel filed June 16, 2003. 3. Complete either paragraph (a) or (b). (a) Date of execution of affidavit of consent required by Section 3301 (C) of the Pennsylvania DivorCE! Code: by Plaintiff on November 25, 2003 and by Defendant on November 21, 2003. (b) (1) Date of execution of the affidavit required by Section 3301 (d) of the Divorce Code: Not applicable: (2) Date of filing and service of the plaintiff's affidavit upon the respondent: Not applicable. 4. Related claims pending: None. The marital settlement agreement dated November 21, 2003 and Qualified Domestic Relations Order are incorporated but not merged in the Decree in Divorce. 5. Complete either (a) or (b). (a) Date and manner of service of the notice of intention to file praecipe to transmit record, a copy of which is attached: Not applicable (b) Date Plaintiff's Waiver of Notice in Section 3301 (C) was filed with the Prothonotary. November 26 . 2003. Divorce Date Defendant's Waiver of Notice in Section wa' filed wi'h 'he prO'hono'~ A drew C. Sheely, E Attorney for Plainti d 0 q w ;z: ... 0 ff;l1 -< N :!{f!:j CT> -'r C)~ ~ ',J- ~"- Ii I~ :::E: O~ CX) i .. <::) c.> . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . "':;+:'+:'f. .. . .. . . . . . . . .. . .. . ;t;;f. " :f.:f.!+' :f.;+: . ... ;+:;t;;t;;t;:f. IN THE COURT OF COMMON PLEAS . . . . OF CUMBERLAND COUNTY . STATE OF . . . . . MICHAEL J. BELAND, . . . . PLAINTIFF . . . VERSUS BRENDA L. BELAND, . . . . . DEFENDANT . . . . . . . . . . . . . . . . . . . . AND NOW, DECREED THAT AND . . PENNA. No. 03 2558 CIVIL ACTION - LAW IN DIVORCE . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . :f. Of;+: Of Of. '+' Of 'f +' '+: +:+ DECREE IN DIVORCE ~d-. c::(~:67 f A1 . , 700< , IT is ORDERED AND MICHAELJ. BELAND , PLAI NT] FF, BRENDA L. BELAND , DEFENDANT, ARE DIVORCED FROM THE BONDS OF MATRiMONY. THE COURT RETAINS JURISDICTION OF THE FOLLOWING CLAIMS WHICH HAVE YET BEEN ENTERED; BEEN RAiSED OF RECORD IN THIS ACTiON FOR WHICH A FINAL ORDER HAS NOT The Marital Settlement Agreement dated November 21,2003 and Qualified Domestic Relations Order excecuted herewith are incorporated but not merged in this Decree in Divorce. B ~ AIT?1~~ J. PROTHONOTARY . 'f. ;t; :f. '+' . .. .. ".;+:'f'+':+: :+. '4' '+"l-::+:;t;;t; :+::+;:+:;t;fIi'+':+: . . . . . . . . . . . . . . . . . . . . . . ~b'Z~~~~ "~.~~~.~ lO~' "1:':( g;. 3. e/ Plaintiffs, Civil Action No. 02-2558 . IN THE COURT OF COMMON PLEAS CUMBERLAND COUNTY, PENNSYLVANIA SHANON D. HOLCOMB, D.C. and HCC OF CARLISLE, P.C. v. CAPITAL BLUE CROSS, Defendant. DEFENDANT CAPITAL BLUE CROSS' MOTION TO COMPEL AGAINST PLAINTIFFS Defendant Capital Blue Cross, by and through its attorneys, Stevens & Lee, P.C. hereby moves the Court for an Order compelling Plaintiffs to respond to the interrogatories and document requests that have been outstanding for more than 17 months. In support ofthat motion, Defendant states the following: I. Plaintiffs commenced this action against Capital by Writ of Summons on May 24, 2002. 2. After limited pre-complaint discovery, Plaintiffs filed their Complaint on July 2, 2003. 3. In the Complaint, Plaintiffs plead vague and general allegations of defamation, disparagement and interference with contract. 4. These claims of defamation, disparagement and interference, according to the Complaint, occurred both orally and in writing. 5. Thus, on October 6, 2003, Capital served Plaintiffs with its First Set of Document Requests and First Set of Interrogatories Directed to Plaintiffs ("First Discovery Requests") 1 SLl 534593v1l02109.071 2 . seeking information regarding the defamatory and disparaging statements allegedly made by Capital about Plaintiff. [Copies of the First Discovery Requests are attached hereto as Exhibits A and B]. 6. For example, the First Discovery Requests ask for the identity of patients to whom the allegedly defamatory and disparaging statements were made, the substance of the allegedly defamatory and disparaging statements and any documents containing the allegedly defamatory and disparaging statements. 7. The First Discovery Requests track the allegations in Plaintiffs' Complaint and ask Plaintiffs to identify the evidence they have to support those allegations. 8. All of the requests in the First Discovery Requests are narrowly tailored to obtain information that is relevant to the claims asserted by Plaintiffs here. 9. Plaintiffs' responses to the First Discovery Requests were due on or before November 5, 2003. 10. Plaintiffs did not serve their responses on or before November 5,2003. 11. In fact, to date, more than 17 months after the responses originally were due, Plaintiffs still have not responded in any fashion to the First Discovery Requests. 12. Over the past 17 months, Capital has repeatedly demanded that Plaintiffs respond to the First Discovery Requests. 13. Capital's demands have largely been ignored by Plaintiffs. 14. Pursuant to Pa. R.c.P. 4019(a)(I)(vi), (vii) and (viii), the Court is authorized to enter an appropriate order compelling Plaintiff to respond to the First Discovery Requests. SLl 534593vl102109.071 3 . 15. Pa. R. Civ. P. 4019 provides that the Court may, on motion, make an appropriate order if: . "a party fails to serve answers, sufficient answers or objections to written interrogatories under Rule 4005"; . "a party, in response to a request for production or inspection made under Rule 4009, fails to respond that inspection will be permitted as requested or fails to permit inspection as requested"; or . "a party or person otherwise fails to made discovery or to obey an order of court respecting discovery." Pa. R. Civ. P. 4019(a)(I)(i), (vii) and (viii). 16. The Court should further Order that Plaintiffs' responses be made without objection. 17. Pennsylvania law is well settled that a party that fails to serve objections to discovery within the time allotted waives those objections. 18. Pa. R.Civ.P. 4006(b) and 4009.12 provide that a party upon whom interrogatories or document requests are served shall "within thirty days after.. . service" of the requests serve an answer including objections. 19. Pennsylvania Courts have determined this language to be mandatory and found that objections not made within 30 days of service ofthe requests are waived. Nissley v. Pennsylvania Railroad Co., 259 A.2d 451, 454 (Pa. 1969) (holding plaintiffs failure to respond to discovery within 30 days waived her right to object to the breadth of the discovery); Burda v. Cesare, 50 Pa. D. & C.3d 354 (C.C.P. Luzeme 1988) (finding waiver of objections when not served within 30 days of the date of service of discovery requests). SLl 534593v1l02109.071 4 20. Plaintiffs' have failed to serve their responses within the required 30 days and have, therefore, waived all objections. WHEREFORE, Defendant Capital Blue Cross requests that its motion to compel against Plaintiffs Shanon Holcomb and HCC of Carlisle, P .C. be granted. Pursuant to Local Rule 208.2(d) Capital has attempted to resolve this matter amicably with Plaintiffs' counsel before seeking the Court's intervention. Plaintiffs have largely ignored Capital's request that Plaintiffs respond to the outstanding discovery. Motions previously filed in this matter were heard by Judge Oler. Dated: if!.:Lo.-! 05 STEVENS & LEE Byliiil!!~- Attorney 1. . No. 21385 Stacey A. Scrivani Attorney LD. No. 84275 III North Sixth Street P.O. Box 679 Reading, Pennsylvania 19603 (610) 478-2000 SLl 534593vl/02109.071 . FT x :> a ;:\ :l> : y\r);\ \ ./ ------ L i-\ j IN THE COURT OF COMMON PLEAS CUMBERLAND COUNTY, PENNSYLVANIA SHANON D. HOLCOMB, D.C. and HCC OF CARLISLE, PC, Plaintiff CIVIL ACTION v. No. 02-2558 CAPITAL BLUE CROSS, Defendant DEFENDANT'S FIRST SET OF DOCUMENT REOUESTS TO PLAINTIFFS DOCUMENT REOUESTS Defendant hereby incorporates by reference the Definitions and Rules of Construction set forth in Defendant's First Set ofInterrogatories to Plaintiffs. 1. All documents that you contend contain defamatory and/or disparaging communications made by CBC. ANSWER: 2. All communications referred to in Paragraph 24 of the Complaint. ANSWER: SLl 382624v3/02109.071 .) 0\.> 2 3. All the letters and email referred to in Paragraph 25 of the Complaint. ANSWER: 4. All the numerous letters referred to in Paragraph 26 of the Complaint. ANSWER: 5. All the complaints referred to in Paragraph 27 ofthe Complaint. ANSWER: 6. All the solicitations or communications for sham reviews referred to in Paragraphs 28 and 45 of the Complaint. ANSWER: SLl 382624v3/02109.071 8. All the documents containing the claims referred to in Paragraph 32 of 7. All the defamatory and disparaging communications and improper processing of claims referred to in Paragraph 32 of the Complaint. ANSWER: the Complaint. the Complaint. SLl 382624v3/02109.071 ANSWER: 9. All the denials of payments for services referred to in Paragraph 33 of ANSWER: 3 4 10. The complaint to the Department of State you refer to in Paragraphs 29, 30, and 35 of the Complaint. ANSWER: II. All documents that contain the direct responses to inquiries of CBC referred to in Paragraph 34 of the Complaint. ANSWER: 12. All of the other billing and payment inquiries referred to in Paragraph 34 of the Complaint. ANSWER: SLl 382624v3/02109.071 5 13. All the communications to patients, other insurers, and agency representatives referred to in Paragraph 36 of the Complaint. ANSWER: 14. All the communications of defamatory and disparaging conduct referred to in Paragraph 38 of the Complaint. ANSWER: 15. All the documents containing the baseless denials of payments referred to in Paragraph 39 of the Complaint. ANSWER: SLl 3&2624v3J021G9.071 6 16. All documents that contain the prospective denials referred to in Paragraph 40 of the Complaint. ANSWER: 17. All the letters CBC sent to the Pennsylvania Attorney General and the Pennsylvania Chiropractic Association referred to in Paragraph 41 of the Complaint. ANSWER: 18. All the denials issued to patients of Dr. Holcomb or HCC of Carlisle, P.C. referred to in Paragraph 41 of the Complaint. ANSWER: SL1382624v3/02109.071 7 19. All the documents containing the avowed procedures referred to in Paragraph 41 of the Complaint. ANSWER: 20. All the denials referred to in Paragraph 42 of the Complaint. ANSWER: 21. All documents containing the comprehensive review process referred to in Paragraph 42 of the Complaint. ANSWER: SLl 382624v3/02109.071 8 22. All documents containing the denials where the comprehensive review process was not applied as referred to in Paragraph 42 of the Complaint. ANSWER: 23. All documents that you contend establish CBC's "flagging system" referred to in Paragraph 43 of the Complaint. ANSWER: 24. All documents containing the procedures described to the Attorney General and the Chiropractic Association referred to in Paragraph 43 ofthe Complaint. ANSWER: SLl 382624v3/02109.071 9 25. All documents containing the procedures described in patient information materials referred to in Paragraph 43 of the Complaint. ANSWER: 26. All documents that you contend contain CBC's allegedly inconsistent explanations referred to in Paragraph 44 of the Complaint. ANSWER: 27. All documents containing the claims you alleged should have received peer reviews referred to in Paragraph 45 of the Complaint. ANSWER: SLl 382624v3/02109.071 10 28. All documents containing the reviews you allege were conducted by consultants whose payments were tied to cost savings as referred to in Paragraph 46 of the Complaint. ANSWER: 29. All documents containing the particular reviews referred to in Paragraph 47 of the Complaint. ANSWER: 30. All documents containing the general rejection policies referred to in Paragraph 47 of the Complaint. ANSWER: SLl 382624v3/02109.071 11 31. All documents containing the comments of consultants referred to in Paragraph 47 ofthe Complaint. ANSWER: 32. All documents that demonstrate the amount (in dollars) of your loss of income as referred to in Paragraph 48 of the Complaint. ANSWER: 33. All documents containing the numerous and disparaging communications referred to in Paragraph 54 of the Complaint. ANSWER: SL1382624,,3/02109.011 12 34. All documents that demonstrate the amount oflost income (in dollars) referred to in Paragraph 55 of the Complaint. ANSWER: 35. All documents that demonstrate the amount (in dollars) of your loss of income referred to in Paragraph 57 ofthe Complaint. ANSWER: 36. All documents that demonstrate the amount (in dollars) of the administrative costs you contend you incurred as a result of CBC's conduct referred to in Paragraph 58 ofthe Complaint. ANSWER: 8LI382624v3/02109.071 13 37. All documents containing the false unprivileged statements referred to in Paragraph 63 of the Complaint. ANSWER: 38. All documents containing the defamatory and false light communications referred to in Paragraph 64 of the Complaint. ANSWER: 39. All documents containing the communications referred to in Paragraph 65 of the Complaint. ANSWER: SU ]82624v3!02109.071 14 40. All documents that contain the defamatory communications referred to in Paragraph 66 of the Complaint. ANSWER: 41. All documents that contain the alleged republication of defamatory statements referred to in Paragraph 67 of the Complaint. ANSWER: 42. All documents that demonstrate the amount (in dollars) of the direct loss of income suffered by HCC referred to in Paragraph 69 of the Complaint. ANSWER: SL13&2624v3fa21G9.071 15 43. For each patient you contend you lost because of the conduct ofCBC, all documents relating to each patient, including but not limited to, the services you provided, patient files, medical documentation, written communications, payment agreements, billing records, communications from CBC, claim forms, explanations of benefits, denial letters from CBC, written communications to CBC, and/or written communications to any third party. ANSWER: 44. For Carolyn Warvesyn, Stephen Brymesser, Juanita Wickard, and the patients referred to in Paragraph 33 ofthe Complaint, all documents relating to each patient, including but not limited to, the services you provided, patient files, medical documentation, written communications, payment agreements, billing records, communications from CBC, claim forms, explanations of benefits, denial letters from CBC, written communications to CBC, and/or written communications to any third party. ANSWER: SLl 382624v3/02109.071 16 45. All statements as defined by Pennsylvania Rule of Civil Procedure 4003.4. ANSWER: 46. All expert reports as defined by Pennsylvania Rule of Civil Procedure 4003.5. ANSWER: 47. For both plaintiffs, from July 13, 2000 to the present, all financial records of any kind, including but not limited to financial statements, books and records showing revenue and expense, state and federal tax returns (including all schedules and attachments), financial statements submitted to any bank, lender and/or provider of credit. ANSWER: SLI382624v3/02109.071 17 48. With respect to the purchase by Dr. Holcombe ofHCC of Carlisle, Inc. from Herman, as referred to in Paragraph 22 of the Complaint, all documentation of including but not limited to all agreements and attachments. ANSWER: 49. All documentation of the registration and incorporation ofHCC of Carlisle, P.e. as a business organization under the laws of the Commonwealth of Pennsylvania, including but not limited to the certificate of incorporation. ANSWER: SLl 382624v3/02109.07I Daniel B. Huyett Attorney LD. No. 21 Stacey A. Scrivani Attorney J.D. No. 84275 III North Sixth Street P.O. Box 679 Reading, P A 19603 (610) 478-2000 Dated: October --' 2003 STEVENS & LEE By Randall G. Gale James K. Thomas, II Thomas, Thomas & Hafer, LLP 305 North Front Street P.O. Box 999 Harrisburg, PA 17108 Attorneys for Defendant, Capital Blue Cross 18 SLl 382624v3/02109.071 Dated: October to , 2003 Danie~~e~'\~ CERTIFICATE OF SERVICE I, DANIEL B. HUYETT, hereby certify that on this date I served a true and correct copy of the foregoing Defendant Capital Blue Cross' First Set of Document Requests to Plaintiffs upon the following counsel of record by first class mail addressed as follows: Andrew W. Barbin, Esquire Andrew Barbin, P.C. 5020 Ritter Road Suite 109 Mechanicsburg, P A 17055 Facsimile (717) 506-4672 Charles 1. Artz, Esquire Charles 1. Artz & Associates 207 State Street Harrisburg, PA 17101 Facsimile (717) 238-2443 SLl 382624v3/02109.071 , , f khl"bf b "\ o IN THE COURT OF COMMON PLEAS CUMBERLAND COUNTY, PENNSYLVANIA SHANON D. HOLCOMB, D.C. and HCC OF CARLISLE, P.C., Plaintiff CIVIL ACTION v. No. 02-2558 CAPITAL BLUE CROSS, Defendant DEFENDANT'S FIRST SET OF INTERROGATORIES TO PLAINTIFFS DEFINITIONS The following definitions are applicable to and incorporated by reference into each discovery request: A. The term "person," as used herein, means any natural person, partnership, corporation, or other business entity, and all present and former officers, directors, agents, employees, attorneys, and others acting or purporting to act on behalf of such natural person, partnership, corporation, or other business entity. B. The terms "you" and "your," as used herein, mean all Plaintiffs, Shanon D. Holcomb, D.C., HCC of Carlisle, P.C., and each agent or other person acting or authorized to act on behalf of either or both of them. C. The terms "and" and "or," as used herein, shall be construed conjunctively or disjunctively as required to include within the scope of each discovery request any information which might be excluded by the opposite construction. D. The term "document," as used herein, means the original and all copies of any written, printed, typed or other graphic matter of any kind or nature and any other tangible thing in your possession, custody, or control, or available to you, wherever located. Any copy I SLl 382622v3/0Z109.071 2 containing thereon or having attached thereto any alterations, notes, comments, or other material not included in the originals or copies referred to in the preceding sentence shall be deemed a separate document within the foregoing definition. The term "document" includes but is not limited to: 1. Any contract, agreement, letter agreement, representation, warranty, certificate, and opinion; 2. Any letter or other form of correspondence or communication, including any envelope or note, telegram, cable, e-mail, g-mail, any computer-generated memorandum or message, telex message, or other message, including but not limited to any report, note, notation, or memorandum of or relating to a telephone conversation or conference; 3. Any memorandum, report, test result, financial statement or report, note, script, transcript, tabulation, study, analysis, evaluation, projection, work paper, corporate record or copy thereof, expression or statement of policy, list, comparison, questionnaire, survey, chart, graph, summary, extract, statistical statement or record, compilation, and any opinion or report of consultants; 4. Any desk calendar, appointment book, or diary; 5. Any minutes, note, record, or transcript of a meeting or conference, and any list of persons attending a meeting or conference; 6. Any report or summary of an interview or negotiation; 7. Any book, article, press release, magazine, newspaper, booklet, brochure, pamphlet, circular, bulletin, notice, instruction, or manual; 8. Any motion picture or photograph (whether developed or undeveloped), videotape, tape recording, microfilm, phonograph, tape or other record, SU 382622v3/02109.071 3 punch card, magnetic tape, disc, data cell, drum, print-out, hard drive, zip drive, or other data compilation from which information can be obtained; and 9. Drafts of any document, revisions of drafts of any document, and original or preliminary notes. E. The term "communication" includes but is not limited to any statement, admission, denial, inquiry, discussion, conversation, instruction, negotiation, agreement, contract, understanding, meeting, telephone conversation, letter, correspondence, note, e-mail, telegram, telex, facsimile transmission, advertisement, or any other form of written or verbal intercourse. F. When referring to an entity other than a natural person, the term "identify" means to state the entity's full name, address, telephone number, and its nature (for example, without limitation, partnership, joint venture, corporation, etc.). G. When referring to a natural person, the term "identify" means to state the person's full name, present or last known residence address, and present or last known place of employment, including address, job title, and relationship to you, if any. H. When referring to a document, the term "identify" means to describe the (i) type of document; (ii) general subject matter of the document; (iii) date of the document (or approximate time of preparation); (iv) length ofthe document; (v) authors, addressee(s) and recipient(s) of the document; (vi) the file in which the document resides; and (vii) the custodian of the original and all copies, and anything else necessary, including indexing and reference methods, to enable a request for production to be based on the answer. 1. The terms "evidence(s)," "refer(s) to," "relate(s) to," "concem(s)," or "reflect(s)," or grammatical variants thereof, shall mean in any way logically or factually connected with the matter described in the discovery request, including but not limited to SLl 382622v3/02109.071 4 anything that constitutes, refers to, reflects, relates to, concerns, or pertains to the subject matter of the request in any way. 1. "Relevant Patients" means those persons who you contend had existing or prospective doctor-patient relationships with Shanon D. Holcomb HCC, or any licensed chiropractor ofHCC, with which relationships you claim Capital tortiously interfered. K. "Treatment" means any medical or chiropractic treatment, care, procedure, or equipment provided by you. L. "CBC" means Capital Blue Cross and each agent or other person acting or authorized to act on its behalf. M. "HCC" means HCC of Carlisle, P.C. and each agent or other person acting or authorized to act on its behalf. O. "Complaint" means the civil complaint filed in this matter in the Court of Common Pleas of Cumberland County on July 2,2003, and designated as Shannon D. Holcomb, D.C. and HCC of Carlisle. P.e.. v. Capital Blue Cross, No. 02-2558. RULES OF CONSTRUCTION In construing these discovery requests: A. The singular shall include the plural, and the plural shall include the singular. B. A masculine, feminine, or neuter pronoun shall not exclude other genders. INTERROGA TORIES 1. IdentifY each existing patient, prospective patient, agency, insurance provider, other insurer, agency representative, client, and/or recipient referred to in Paragraphs 24, 28, 33, 36, 38, 40, 42 and 65 of the Complaint. ANSWER: SLI382622v3/02J09.071 5 2. Identify each lost patient referred to in Paragraphs 48, 57, 73, 74, 80 and 81 of the Complaint. ANSWER: 3. Identify each consultant referred to in Paragraphs 46 and 47 of the Complaint. ANSWER: 4. With respect to each oral communication referred to in Paragraph 25 of the Complaint, provide the date, identify the person making each such communication, identify the recipients of each such communication, and describe in detail the communication you contend was defamatory and/or disparaging. ANSWER: SLl 382622v3/02109.071 6 5. With respect to each oral communication by CBC that you contend was defamatory and/or disparaging, provide the date, identify the person making each such communication, identify the recipients of each such communication, and describe in detail the communication you contend was defamatory and/or disparaging. ANSWER: 6. Identify the third parties referred to in Paragraph 28 of the Complaint. ANSWER: 7. Identify the claims referred to in Paragraph 32 of the Complaint, by providing the identity ofthe patients, the dates of service for which each claim was made, and by identifying each document relating to each claim.. ANSWER: SLl 3g2622v3/02109.071 7 8. With respect to your allegations in Paragraph 41 ofthe Complaint, identify the patients for whom CBC has not followed its avowed procedures. ANSWER: 9. For each patient identified with respect to the preceding interrogatory, describe in detail how CBC has not followed its avowed procedures. ANSWER: 10. With respect to your allegations in Paragraph 41 of the Complaint, describe in detail the avowed procedures CBC did not follow. ANSWER: 11. Identify each and every Relevant Patient of Holcomb and/or HCC that you contend CBC's conduct interfered with an existing and/or prospective contractual relationship as alleged in Paragraph 38 of the Complaint. ANSWER: SLl 382622v3/02109.071 8 12. With respect to your allegations in Paragraph 42 of the Complaint, identify each claim for which the comprehensive review process was not applied by providing the identity of the patient involved and the dates of service involved and for each such claim identified, describe in detail for each claim how the review process was not applied. ANSWER: 13. With respect to your allegations in Paragraph 43 of the Complaint, identify each claim for service that was delayed and/or subjected to prejudicial processing by providing the identity of the patient involved and the dates of service involved and for each such claim identified, describe in detail how the claim was delayed, subjected to prejudicial processing, and/or not subjected to the procedures described in patient information material and described to the Attorney General or the Chiropractic Association. ANSWER: 14. With respect to your allegations in Paragraph 44 of the Complaint, identify the claims by providing the identities of the patients involved and the dates ofthe services involved, and for each such claim identified, describe in detail how the explanations for the denials were inconsistent and pretextual. ANSWER: SL1382622v3/02109.071 9 . IS. With respect to your allegations in Paragraph 45 of the Complaint, identify the claims not subjected to peer reviews by providing the identities of the patients involved and the dates of service involved, and for each such claim identified, describe in detail why you contend each such claim should have been subjected to a peer review. ANSWER: 16. With respect to your allegations in Paragraph 45 of the Complaint, identify the claims subjected to sham reviews by providing the identities ofthe patients and the dates of service involved, and for each such claim identified, describe in detail how each such claim review was a sham. ANSWER: 17. Describe in detail and quantify (in dollars) all monetary damages you claim to have suffered as a result of CBC's actions, up to the date of your response, and identify all persons with knowledge of any such damages and all documents supporting your calculation of damages. ANSWER: SLl 382622v3/02109.071 10 . 18. With respect to your allegations in Paragraph 47, identify the particular reviews by providing the identities ofthe patients involved and the dates of service involved, and for each such particular review identified, describe in detail how CBC's comments were unwarranted by the comments of consultants and without basis. ANSWER: 19. With respect to each and every communication that you contend constitutes a republication of defamatory statements as alleged in Paragraph 67 ofthe Complaint, provide the dates of the communication, identify the person making the communication, identify the recipient of the communication, and describe in detail the communications, including the actual words you contend constitute defamation. ANSWER: 20. Describe in detail the circumstances involved with your receipt of a CBC provider number, including but not limited to what the provider number is and when the number was assigned. ANSWER: SLl 382622v3/02109.071 . . Dated: October --' 2003 SLl 382622v3/02lD9.071 By Daniel B. Huyett Attorney I.D. No. Stacey A. Scrivani Attorney LD. No. 84275 III North Sixth Street P.O. Box 679 Reading, P A 19603 (610) 478-2000 Randall G. Gale James K. Thomas, II Thomas, Thomas & Hafer, LLP 305 North Front Street P.O. Box 999 Harrisburg, PA 17108 Attorneys for Defendant, Capital Blue Cross 11 . . CERTIFICATE OF SERVICE I, DANIEL B. HUYETT, hereby certify that on this date I served a true and correct copy of the foregoing Defendant's First Set of Interrogatories to Plaintiffs upon the following counsel ofrecord by first class mail addressed as follows: Andrew W. Barbin, Esquire Andrew Barbin, P.C. 5020 Ritter Road Suite 109 Mechanicsburg, PA 17055 Facsimile (717) 506-4672 Charles 1. Artz, Esquire Charles I. Artz & Associates 207 State Street Harrisburg, PA 17101 Facsimile (717) 238-2443 Dated: October I.L 2003 DWi'!B~ SLl 3'62622v3/0ZlD9.071 I!iii)/? f/,,~~, Stacey A crivan/ .. '. CERTIFICATE OF SERVICE I, Stacey A. Scrivani, Esquire, certify that on this date, I served a certified true and correct copy of the foregoing motion to compel and proposed order upon the following counsel of record, by federal express, addressed as follows: Andrew W. Barbin, Esquire Andrew W. Barbin P.C. 5020 Ritter Road, Suite 109 Mechanicsburg, P A 17055 Charles 1. Artz, Esquire Charles 1. Artz & Associates 207 State Street Harrisburg, P A 17101 Randall G. Gale, Esquire Thomas, Thomas & Hafer LLP 305 North Front Street P.O. Box 999 Harrisburg, PA 17108 Date: April a-J-2005 SLl 534593vl/02109.071 .o( f"'...) (,'.' h' C.., _..:l (~.n (^.~" -1'1 ::::! f";l ".' (J't D IN THE COURT OF COMMON PLEAS CUMBERLAND COUNTY, PENNSYLVANIA SHANON D. HOLCOMB, D.C. and HCC OF CARLISLE, P.C. Plaintiffs, Civil Action No. 02-2558 v. CAPITAL BLUE CROSS, Defendant. ORDER AND NOW, this _ day of , 2005, upon consideration of Defendant Capital Blue Cross' Motion for Protective Order, and Plaintiffs' responses thereto, if any, it is hereby ORDERED that the Qualified Protective Order attached to Defendant's Motion for Protective Order as Exhibit A is ENTERED and is binding on the parties. BY THE COURT J. SLl 534513vl102109.071 Plaintiffs, Civil Action No. 02-2558 IN THE COURT OF COMMON PLEAS CUMBERLAND COUNTY, PENNSYLVANIA SHANON D. HOLCOMB, D.C. and HCC OF CARLISLE, P.C. v. CAPITAL BLUE CROSS, Defendant. DEFENDANT CAPITAL BLUE CROSS' MOTION FOR PROTECTIVE ORDER PURUSANT TO PA. R. CIV. P. 4012 Defendant Capital Blue Cross, by and through its counsel, Stevens & Lee, P.C., hereby moves the Court for the entry of a Qualified Protective Order as required by the Health Insurance Portability and Accountability Act of 1996 ("HIPAA"), 42 U.S.C. 9 1320d-2, to protect the privacy rights of its subscriber, and in support thereof avers the following: INTRODUCTION I. This case involves claims by Plaintiffs Holcomb and HCC of Carlisle against Defendant Capital Blue Cross ("Capital") for defamation, disparagement, and interference with contract based on defamation and/or disparagement. 2. Plaintiffs contend Capital defamed them by allegedly informing Plaintiffs' patients and Capital's subscribers that they were being overbilled by Plaintiffs, the services provided by Plaintiffs were unnecessary, and/or that Plaintiffs was under investigation. 3. According to Plaintiffs, the evidence ofthis alleged defamation is located within the records Capital maintains regarding its subscribers. I SLl 534513vI/02109.071 2 4. In written discovery Plaintiffs served on Capital, Plaintiffs seek these records, which include private, medical information about patients of Plaintiffs who were insured by Capital. 5. In this motion, Capital seeks from the Court the entry of a Qualified Protective Order as required by the Health Insurance Portability and Accountability Act of 1996 ("HIP AA"), 42 U.S.C. 9 1320d-2, to protect the privacy rights of its subscribers. 6. HIP AA's privacy regulations were implemented to protect the rights of individuals from the disclosure and use of their medical records. 7. Although HIPAA allows the disclosure and use of this private information in limited situations, such as litigation, safeguards in the form of either consent by the individuals or a Qualified Protective Order must be in place before such disclosure occurs. 8. Since Plaintiffs have not demonstrated they have the consent of the individuals whose medical records are likely to be disclosed in this litigation, a Qualified Protective Order must be in place before Capital can produce any of the private, medical information of its subscribers. 9. The order Capital seeks has two components. 10. First, Capital seeks to protect the privacy rights of its subscribers and Plaintiffs' patients 1 by putting in place a procedure (i.e., a protective order) to safeguard the private, medical records that will undoubtedly be disclosed in this litigation. 1 Capilal served Plainliffs with inlerrogatories and document requests on October 6, 2003. To date, Plaintiffs have failed to respond in any fashion to those requests. Recently, Plaintiffs' counsel has indicated his refusal to respond is due in part to the fact that no protective order is in place in this case. The Qualified Protective Order attached hereto as Exhibit A would protect Plaintiffs' confidential information also. Capital is filing simultaneously herewith a motion to compel against Plaintiffs for their failure to respond to discovery for more than a year. SL1534513vl102t09.071 3 II. Second, in the protective order, Capital seeks to prohibit the disclosure and use of this information outside of this litigation. 12. Plaintiffs' counsel admits he intends to show documents Capital produces in this litigation, including those containing confidential and private, medical information, to another non-party chiropractic practice he represents in another lawsuit pending in Franklin County against Capital (the "Franklin County Litigation"). 13. In addition to showing this confidential information to this third party that has no connection to this litigation, it is likely Plaintiffs' counsel will use this confidential information in that other lawsuit. 14. Capital asks the Court to enter the Qualified Protective Order attached hereto to protect the privacy rights of Capital's subscribers and Plaintiffs' patients and prevent these highly private documents from ending up in the hands of disinterested third parties. BACKGROUND The Discovery Requests 15. Plaintiffs have served Capital with broad and extensive discovery requests that necessarily will require Capital to produce the private, medical information of its subscribers of the kind identified above (claim forms and EOBs, for example). 16. Capital served timely objections to the discovery requests on September I, 2004. In addition to asserting objections to the vagueness and over breadth of the discovery requests, Capital objected to the document requests because they sought the private, medical information of Capital's subscribers. 17. Capital explained in its responses that it would produce the requested information (subject to its other objections) following the entry of an appropriate protective order. SL1534513,,1I02109.071 4 18. Because Plaintiffs will not agree to an appropriate protective order, Capital seeks such an order in this motion. 19. There is no question that Plaintiffs' discovery requests require Capital to divulge the private, medical information of its subscribers. 20. For example, in Document Request 3, Capital is asked to provide information about all the claims for benefits patients of Plaintiffs have submitted to Capital for Manipulation and/or Physical Therapy between March 22, 1999 and January 1,2003. 21. To answer this request, Capital will have to divulge not only subscribers' names, but information about the condition for which they sought and received treatment, including any medical records, and all the communications Capital had with its subscribers about this treatment and the payment or non-payment for the treatment. 22. 160.103. All this information constitutes protected information under HIPAA. 45 C.F.R. 9 23. Similarly, Plaintiffs' Requests 4,5,6,7, 13 and 14 seek information about "any services" provided by Plaintiffs (presumably to Capital subscribers) between October I, 1998 and January 2003. 24. The "services" to which Plaintiffs refer means the medical care it provided to its patients (and Capital's subscribers). 25. Accordingly, these requests also ask Capital to divulge the private, medical information of its subscribers. 26. The remaining requests seek information about Capital's communications regarding Plaintiffs and the services they provided to Capital's subscribers. SL1534513vl/02109.071 5 27. Once again, these requests will require Capital to disclose information and documents that will contain private, medical information of its subscribers. 28. Because responding to Plaintiffs' discovery requests will require it to divulge the private, medical information of its subscribers, federal law requires, as explained below, Capital to obtain "satisfactory assurances" from Plaintiffs that this information will not be used for any purpose other than this litigation. 45 C.F.R. 9 164.512(e)(I)(iv). 29. The Qualified Protective Order attached hereto for the Court's consideration provides such "satisfactory assurances." Id. Capital's Efforts to Enter a Stipulated Protective Order with Plaintiffs 30. Plaintiffs initiated this case by filing a writ of summons. 31. Thereafter, Plaintiffs sought to engage in sweeping pre-complaint discovery. 32. Both parties understood that a protective order would be necessary to protect patient rights and draft protective orders were exchanged. 33. The parties eventually agreed on a draft, signed it and Capital moved the Court to enter the protective order. 34. After the motion to enter the stipulated protective order was filed, but before the Court ruled on it, Capital learned that despite the existence of an identical protective order in the Franklin County Litigation, Plaintiffs' counsel had divulged information protected in the Franklin County Litigation to Plaintiffs here. 35. Following that discovery, Capital promptly withdrew its consent to the stipulated protective order it had signed in this case. SLt 534513v1/02109.071 6 36. At the April 2, 2003 hearing before the Court on a number of outstanding motions, including the motion to enter the stipulated protective order, Capital informed the Court that it no longer consented to the protective order that was before the Court. 37. As such, the Court denied the motion to enter the stipulated protective order. 38. Even if the stipulated protective order had been entered by the Court at that time, it would have subsequently required revision because it did not contain language sufficient to comply with the HIP AA regulations that became effective on April 14, 2003. 39. In September 2004, when Capital served its responses and objections to Plaintiffs' discovery, it enclosed for Plaintiffs' counsel's signature a revised stipulated protective order. Capital explained in its responses and objections that it would produce the requested discovery, subject to objections, once an appropriate protective order was in placed. 40. Although the proposed stipulated protective order contained the standard language prohibiting use of the confidential information outside of the litigation and the language required by HIP AA, because of Capital's past experience with Plaintiffs' counsel, Capital included a provision in the stipulation that expressly excluded certain of Plaintiffs' counsel's other clients (non-parties to this lawsuit) from having access to the confidential information produced pursuant to the protective order. 41. Plaintiffs' counsel, Attorney Andrew Barbin, has made clear to Capital that he believes he is entitled to disclose confidential information Capital produces in one lawsuit (subject to a protective order prohibiting such disclosure) to other clients he represents in separate and unrelated lawsuits filed against Capital, and even use that confidential information in the unrelated lawsuits. SLl 534513vl102109.071 7 42. This is why the proposed stipulated protective order Capital provided to Plaintiffs in September contained a paragraph expressly prohibiting Mr. Barbin's other clients, Jason and Larry Herman, Herman Chiropractic Center, Inc., HCC of Carlisle, Inc., Barry Merchant and Physicians Plus, P.C.2 from seeing any documents or information produced by Capital in this case that is produced subj ect to protective order. 43. Plaintiffs' counsel never signed the proposed stipulated protective order. 44. In a recent email, Plaintiffs' counsel admits he has every intention of showing the confidential documents produced in this litigation to his other client. ARGUMENT 45. In this motion, Capital seeks the entry of a Qualified Protective Order to protect the medically sensitive information of its subscribers that is likely to be produced in this litigation. 46. Rule 4012 of the Pennsylvania Rules of Civil Procedure gives the Court the power to enter a protective order, "to protect a party or person from unreasonable annoyance, embarrassment, oppression, burden or expense." 4 7. Medical records are just the type of information Rule 4012 is designed to protect. See Sanderson v. Bryan, 522 A.2d 1138, 1142 (Pa. Super. 1987) (noting privacy in medical records is a fundamental right "older than the Bill of Rights"); Tavlor v. West Penn Hospital, 48 Pa. D. & C.3d 178 (C.C.P. Allegheny Co. 1987) (Wettick, J.) (granting protective order to blood bank allowing it to withhold the name of blood donor who donated blood infected with HIV). 2 The case with Barry Merchant and Physicians Plus, P.c. was recently settled. The draft stipulated protective order attached to this motion for the Court's consideration does not include a reference to Barry Merchant and Physicians Plus, P.c. SL1534513vtl02109.071 8 48. Additionally, recently effective regulations under HIPP A expressly require the entry of a Qualified Protected Order when confidential, medical information will be disclosed in litigation. 49. These privacy regulations of HIP AA, which became effective April 14, 2003, regulate the use and disclosure of an individual's medical information maintained or transmitted by a "covered entity." 45 C.F.R. 9164.512(e)(1). 50. Because Capital is a covered entity under HIP AA, it is prohibited from disclosing the private, medical information of its subscribers except in limited circumstances. 45 C.F.R. 9164.512. 51. Although a judicial proceeding constitutes such a limited circumstance, absent consent from each person whose private, medical information will be disclosed (which has not been given here), HIPAA requires a Qualified Protective Order that prohibits the parties from using or disclosing this private, medical information for any purpose other than the litigation or proceedings for which the information was requested. 45 C.F.R. 9164.512 (e)(1)(v). 52. This is exactly what Capital seeks to prohibit by specifically excluding those people to whom Plaintiffs' counsel concedes he will show the protected information even though they have no connection to this litigation. 53. Capital believes that the only contested issue regarding Capital's proposed protective order is paragraph 5, and that Plaintiffs do not take issue with the remaining items in the attached Qualified Protective Order. SL15345t3vl102109.071 9 54. This paragraph prohibits Jason and Larry Herman, Herman Chiropractic Center, Inc., and HCC of Carlisle, Inc. from seeing the documents produced pursuant to the Qualified Protective Order in this litigation. 55. This paragraph is necessary for two reasons. 56. First, the issue of prime concern here is the privacy rights of Capital's subscribers. HIP AA requires Capital to obtain "satisfactory assurances" from Plaintiffs that the private, medical information produced in this litigation will not be used outside of this litigation. C.F.R. 9164.512(e)(1)(iv). 57. Plaintiffs have not provided such assurances. Rather, Plaintiffs admit they intend to violate the spirit and purpose of the privacy rights afforded under HIP AA by allowing other chiropractors with no connection to this litigation to not only see this private information, but potentially use it for their own economic gain in the litigations they are pursuing separately against Capital. 58. This simply is not a legitimate reason for circumventing the rights of Capital's subscribers. 59. The Qualified Protective Order attached as Exhibit A (especially paragraph 5) affords Capital's subscribers the protection they expect and Capital is required to provide under HIP AA, and provides Capital with the "satisfactory assurances" they must have under HIP AA before producing protected information. 60. Second, the reason Plaintiffs provide for allowing these non-parties to see the confidential Capital documents is invalid. SLl 534513vl102109.071 10 61. Plaintiffs claim their counsel's (Mr. Barbin) other non-party clients should be permitted to see the private medical information produced here because they may be witnesses regarding CBC policies and practices. 62. According to Plaintiffs' Complaint, however, this case is not about Capital's policies and practices. 63. Rather, as articulated by Plaintiffs, this case is about allegations that Capital made defamatory statements about Plaintiffs to certain of Plaintiffs' patients that harmed their business reputation. 64. While Plaintiffs expect to find evidence of defamation among Capital's subscribers' records, showing these records to other non-party chiropractors will not assist Plaintiffs in proving their case, and the attached Qualified Protective Order should be entered. WHEREFORE, Defendant Capital Blue Cross requests that the Court enter the Qualified Protective Order attached as Exhibit A. SL1534513vl102109.071 11 Pursuant to Local Rule 208.2( d) Capital has attempted to resolve this matter amicably with Plaintiffs' counsel before seeking the Court's intervention. Plaintiffs refuse to sign the attached protective order. Capital is adamant that the attached protective order is the only way it can provide "satisfactory assurances" to its subscribers that their private medical information will remain private. Motions previously filed in this matter were heard by Judge Oler. Dated: ~ ;;;2.;)..) JOt..S STEVENS & LEE B~~Jy@ La-; Attorney II[; No. 21385 Stacey A. Scrivani Attorney 1.D. No. 84275 III North Sixth Street P.O. Box 679 Reading, Pennsylvania 19603 (610) 478-2000 SL1534513vl102109.071 ~ A (, J,i~l+ A ---------~ Plaintiffs, Civil Action No. 02-2558 IN THE COURT OF COMMON PLEAS CUMBERLAND COUNTY, PENNSYLVANIA SHANON D. HOLCOMB, D.C. and HCC OF CARLISLE, P.C. v. CAPITAL BLUE CROSS, Defendant. STIPULATED PROTECTIVE ORDER WHEREAS, in the course of discovery in the above-captioned action, it may be necessary for the parties to disclose medical records, billing records, trade secrets, proprietary information and other confidential business information, the parties having stipulated to the entry of a Protective Order; and it appearing that such a Protective Order should be entered; IT IS HEREBY ORDERED that the following terms and conditions shall govern the production of confidential documents and information in the above-captioned matter (hereinafter "the Litigation"). I. This Order shall apply to certain documents or portions thereof, and to information contained therein, which the parties designate as "Confidential Material" in the manner described below in paragraph 3. the parties may designate a document or information (including information provided during depositions) as "Confidential Material" ifit is the type specified in Pa. R.c.P. 4012(a)(9). In addition, the parties may designate as "Confidential Material" any information that constitutes "Protected Health Information" ("PHI,,)l the Health 1 Protected Health Information is defined as: "Individually identifiable health information that is (i) transmitted by electronic media; (ii) maintained in any medium described in the definition of electronic media; or (iii) transmitted or maintained in any other form or medium." 45 C.F.R. S 164.501. I SL1473516vI/02109.071 2 Insurance Portability and Accountability Act of 1996, Public Law 104-191 ("HIP AA") and regulations promulgated thereunder by the U.S. Department of Health and Human Services (the "Privacy Rule") and other applicable laws shall automatically constitute and be treated as "CONFIDENTIAL" under the terms of this Protective Order. PHI may not be used or disclosed for any purpose other than the litigation that is the subject of this Protective order. The "CONFIDENTIAL" designation shall not be used for documents which are in the public domain, nor shall the provisions ofthe Protective Order apply where the non-party, or his/her representative, has authorized, in HIP AA-compliant writing, the use, production and disclosure ofthe non-party medical records and charts. The use of the "CONFIDENTIAL" designation shall also serve to preserve any privilege applicable to the document or information, including the confidentiality protections of the Pennsylvania Peer Review Protection Act, 63 Pa. C.S.A. 99425.1-425.4. The use by any party of the "CONFIDENTIAL" designation with respect to any document or information pursuant to this order shall not waive any claim by any other party or by any non-party that such document or information is not confidential and/or is not protected from disclosure pursuant to, inter alia, the Pennsylvania Peer Review Protection Act or other privileges 2. To the extent that matter stored or recorded in the form of electronic or magnetic media (including information, databases or programs stored on computers, discs, networks or tapes) ("Computerized Material") is produced by the parties in such form, the parties may designate such matter as Confidential Material, if the requirements of paragraph I above are Individually identifiable health information is defined as: "Information that is a subset of health information, including demographic information... and (1) is created or received by a health care provider, health plan, employer, or healthcare clearinghouse; and (2) relates to the past, present, or future physical or mental health or condition of an individual; the provision of health care to an individual; or the past, present or future payment for the provision of health care to an individual; and (i) that identifies the individual; (ii) with respect to which there is a reasonable basis to believe the information can be used to identify the individual." 45 C.F.R. S 160.103. SLt 473516vl/02109.071 3 met, by cover letter referring generally to such matter. Whenever any person to whom Computerized Material designated as Confidential Material is produced reduces such material to hard-copy form, such person shall mark such hard-copy form with the legend provided for in paragraph 3 below. 3. "Confidential Material" may be so designated by the parties by marking "CONFIDENTIAL" or "Confidential Information Subject To Protective Order" on the face of the documents and on each page containing confidential information, or by indicating during the course of a deposition that certain testimony shall be designated as "CONFIDENTIAL." 4. Confidential Material shall only be used for purposes of the Litigation, and for no other purpose whatsoever, except as otherwise permitted by this Order or required by law, and may be disclosed only to the following persons: (a) Counsel for any party to the litigation and their associates, paralegal, clerical or service support staff; (b) Experts or consultants (including their employees, associates and/or support staff) retained by a party to the litigation; (c) Trial or hearing witnesses and court reporters; (d) The Court; and, Confidential Material shall not be disclosed to any person referred to in subparagraphs 4(b) and (c) unless and until such person has: (a) read and agreed to be bound by the terms and conditions of this Order; and (b) each person who is provided access to the Confidential Material has executed a Declaration in the form attached as Exhibit "A." Complete sets of all such executed Declarations shall be kept on file by counsel who obtained such SLl 473516vl102109.071 4 Declaration for a period of not less than three years from the termination of the Litigation by settlement, judgment or order of court. 5. Notwithstanding the foregoing, Confidential Material shall not be disclosed to any of the following: Jason Herman; Larry Herman; any former or current officer, director, owner, employee or agent ofHCC of Carlisle, Inc.; any former or current officer, director, owner, employee or agent of Herman Chiropractic Center, Inc.; and/or any former or current officer, director, owner, employee, attorney or agent of any chiropractor, chiropractic association, or cl;1iropractic practice that has litigation pending against Capital. 6. When Confidential Material is used in or provided by witnesses at depositions, counsel may request that the exhibits and all pages of transcript or video containing the confidential material or reference to confidential material be marked "Confidential," produced separately, and thereafter be treated as Confidential Material. Confidential Material may be included in affidavits, statements and responses to interrogatories or requests for admissions provided that the party files the material under seal, placing the Confidential Material in a sealed envelope marked, "Confidential Information Subject To Protective Order." In filing materials with the Court, where practicable, counsel shall file under seal only those specific documents and testimony designated confidential, and only those specific portions of briefs, discovery responses, statements or other filings which contain Confidential Material. 7. If any party to the litigation disputes the designation of any document as Confidential Material, or otherwise seeks a removal or alteration of the protections of this Order for any reason, the parties shall expeditiously attempt to resolve by agreement the question whether or on what terms the document is entitled to confidential treatment. If the parties are unable to agree, counsel for the party seeking to challenge the designation of specific SLl 473516vl/02109.071 5 .' . Confidential Material may file an appropriate motion with the Court seeking that the protection of this Order be removed or altered as to the documents specified. The burden shall rest upon the party making the designation to demonstrate that such designation and protections are proper as if they were seeking a Protective Order in the first instance. Until a resolution of the dispute is achieved either through consent or order, all parties shall treat the designated document as Confidential Material. 8. Nothing in this Order shall prevent any party from using or disclosing its own documents or information. 9. Nothing in this Order shall operate to require the production of information or documents that are subject to a good faith assertion of attorney-client privilege or work product immunity. 10. A person's compliance with the terms of this Order shall not operate as an admission that any particular document is or is not (a) confidential, (b) privileged, or (c) admissible in evidence at trial. II. This Order shall survive the termination of this Litigation and shall continue in full force and effect thereafter. Documents designated as Confidential Material shall be returned to the appropriate party or destroyed within ninety (90) days after an Order finally terminating the Litigation (including any appeals). Upon request, the party who received Confidential Material in this Litigation shall provide the designating party with a declaration certifying that all documents required to be returned or destroyed pursuant to the provisions of this paragraph have been returned or destroyed. 12. Any person in possession of Confidential Material who receives a subpoena (or other process) from any person (including natural persons, corporations, partnerships, finns, SL1473516vl102109.071 6 .' . governmental agencies, departments or bodies, boards, or associations) who is not a party to this Order seeking production or other disclosure of such Confidential Material shall promptly give telephonic notice and written notice by overnight delivery and/or telecopier to counsel for the parties, identifying with specificity the materials sought and those intended to be produced in response thereto enclosing a copy ofthe subpoena or other process where possible at least ten (10) business days before production or other disclosure, unless such party is prohibited from disclosing the request seeking the materials, by lawful order of a governmental entity or otherwise by law, which prohibits such disclosure or delay. In no event shall production or other disclosure be made before the latest of (I) the date on which notice is given or (2) the return date ofthe subpoena. Nothing in this paragraph shall be deemed to require a recipient of confidential information to resist production, but no voluntary surrender made be made without compliance with the notice requirement, which is intended to permit the parties to assert any rights against production which they would have had had the documents remained exclusively in the possession or control ofthe parties under this Order. If production is required by lawful process prior to providing the above required notice, the producing party shall nonetheless provide written notice of such production, unless lawfully forbidden by the party to whom the documents are provided. 13. This Order may be modified or amended by Order of the Court for good cause shown or by agreement of the parties. 14. This Order shall apply to all parties to the Litigation who are given access to documents and information produced by the parties during the course ofthe Litigation. 15. This Order shall not apply to the use of Confidential Material at any trial or hearing in the Litigation, unless otherwise Ordered by the Court. The Court shall determine at an SLt 473516vl/02109.071 .' , appropriate time whether and (if so) under what circumstances the use or disclosure of Confidential Material shall be restricted at any trial or hearing. BY THE COURT J. 7 SLl 473516vt102109.071 (Printed Name) . . , IN THE COURT OF COMMON PLEAS CUMBERLAND COUNTY, PENNSYLVANIA SHANON D. HOLCOMB, D.C. and HCC OF CARLISLE, P.C. Plaintiffs, Civil Action No. 02-2558 v. CAPITAL BLUE CROSS, Defendant. DECLARATION This is to certify that the undersigned has read and is fully familiar with the provisions of the Protective Order dated ,2004, entered by the Court. As a condition precedent to examination of any material subject to the Protective Order or obtaining any information contained in said material, the undersigned hereby agrees that the Protective Order shall be deemed to be directed to and shall be binding on the undersigned, and the undersigned shall observe and comply with the provisions of the Protective Order. (Signature) (Address) Dated: Exhibit A SLI 473516vl102109.011 ~ j),,'M~,",^c Stacey A. rivanl , ", II CERTIFICATE OF SERVICE I, Stacey A. Scrivani, Esquire, certify that on this date, I served a certified true and correct copy of the foregoing motion for protective order, and proposed order upon the following counsel of record, by federal express, addressed as follows: Andrew W. Barbin, Esquire Andrew W. Barbin P.C. 5020 Ritter Road, Suite 109 Mechanicsburg, P A 17055 Charles 1. Artz, Esquire Charles 1. Artz & Associates 207 State Street Harrisburg, P A 1710 I Randall G. Gale, Esquire Thomas, Thomas & Hafer LLP 305 North Front Street P.O. Box 999 Harrisburg, PA 17108 Date: April1.?, 2005 SL1534S13vl102109.071 ---------- (~) ~.' o , ~'. '--' <:") U\ t.....", ..<... {"J ----~,--~._,.-