HomeMy WebLinkAbout01-07008
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COURT OF COMMON PLEAS OF CUMBERLAND COUNTY,
PENNSYLVANIA
MICHAEL E, GARMAN and HARRY L. .
GROSSMAN, trading and doing business as
NORTHERN CONSTRUCTION ASSOCIATES
OF PENNSYL VANIA, a partoership
Plaintiffs
Civil Tenn
No, 0\ - ,,/o6f
c ; U ~ l '-r 8?..1r")
vs,
ESTHER HUMPHREY, LISA HATHCOX and
ELLA JEAN NICHOLS, jointly and severally,
Defendants
Civil Action - Law
NOTICE
YOU HAVE BEEN SUED IN COURT, If you wish to defend against the claims set forth in the
following pages, you must take action within twenty (20) days after this Complaint and Notice are served,
by entering a written appearance personally or by attorney and filing in writing with the Court your
defenses or objections to the claims set forth against you, You are warned that if you fail to do so, the case
may proceed without you and a judgment may be entered against you by the Court without further notice
for any money claimed in the Complaint or for any other claim or reliefrequested by the Plaintiff. You
may lose money or property or other rights important to you.
YOU SHOULD TAKE THIS PAPER TO YOUR LAWYER AT ONCE, IF YOU DO NOT
HAVE A LAWYER OR CANNOT AFFORD ONE, GO TO OR TELEPHONE THE OFFICE SET
FORTH BELOW TO FIND OUT WHERE YOU CAN GET LEGAL HELP.
Lawyer Referral Service
Court Administrator
Cumberland County Courthouse
Carlisle, PA 17013
717-240-6200
NICHOLAS & FOREMAN, P.C.
By:
ruce D. orem , s
4409 North Front Street
Harrisburg, PA 17110
(717) 236-9391
ID #21193
Attorneys for Plaintiff
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COURT OF COMMON PLEAS OF CUMBERLAND COUNTY,
PENNSYL VANIA
MICHAEL E. GARMAN and HARRY L.
GROSSMAN, trading and doing business as
NORTHERN CONSTRUCTION ASSOCIATES
OF PENNSYLVANIA, a partoership
Plaintiffs
Civil Term
No, 0\ - 'lOOP
COLl ~>t
vs,
ESTHER HUMPHREY, LISA HATHCOX and
ELLA JEAN NICHOLS, jointly and severally,
Defendants
Civil Action - Law
NOTICIA
Le han demandado a Usted en la corte. Si Usted quiere defenderse de estas demandas expuestas en las
paginas siguientes, Usted tiene viente (20) dias de plazo al partir de la fecha de la demanda y la
notificacion, Usted debe presentar una apariencia escrita 0 en persona 0 por abogado y archivar en la corte
en forma escrita sus defensas 0 sus objeciones alas demandas en contra de su personal. Sea avisado que si
Usted no se defiende, la corte tomara medidas y puede entrar una orden contra Usted sin previo aviso 0
notificacion y por cualquier queja 0 alivio que es pedido en la peticion de demanda. Usted puede perder
dinero 0 sus propiedades 0 otros derechos importantes para Usted. LLEVE EST A DEMANDA A UN
ABOGADO INMEDATAMENTE, SI NO TlENE ABOGADO 0 SI NO TIENE EL DINERO
SUFIClENTE DE PAGAR TAL SERVICIO, VAYA EN PERSONA 0 LLAME POR TELEFONO A LA
OFICINA CUYA DIRECCION SE ENCUENTRA ESCRlTA ABAJO PARA A VERlGUAR DONDE SE
PUEDE CONSEGUlR ASISTENCIA LEGAL.
Lawyer Referral Service
Court Administrator
Cumberland County Courthouse
Carlisle, P A 17013
717-240-6200
By:
Bruce D. Forem
4409 North Front Street
Harrisburg, PA 17110
(717) 236-9391
ID #21193
Attorneys for Plaintiff
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COURT OF COMMON PLEAS OF CUMBERLAND COUNTY,
PENNSYLVANIA
MICHAEL E. GARMAN and HARRY L,
GROSSMAN, trading and doing business as
NORTHERN CONSTRUCTION ASSOCIATES
OF PENNSYLVANIA, a partnership
Plaintiffs
Civil Term
No, 0\- 7DOf
c,-o~l't~
vs,
ESTHER HUMPHREY, LISA HATHCOX and
ELLA JEAN NICHOLS, jointly and severally,
Defendants
Civil Action - Law
COMPLAINT
AND NOW comes the Plaintiffs, Michael E. Garman and Harry 1. Grossman,
trading and doing business as Northern Construction Associates, a partnership existing
under the laws of the Commonwealth of Pennsylvania, by their attorneys, Nicholas &
Foreman, P.C. and aver as follows:
1, The Plaintiffs, Michael E. Garman and Harry 1. Grossman, are adult
individuals trading and doing business as Northern Construction Associates, a
Pennsylvania General Partnership having is principal place of business at 518 Bridge
Street, New Cumberland, Cumberland County, Pennsylvania, 17070.
2. The Defendants, Esther Humphrey, Lisa Hathcox, and Ella Jean Nichols,
are all adult individuals, each residing at 1208 Redwood Hills Circle, Carlisle,
Cumberland County, Pennsylvania, 17013.
3. At all times relevant hereto, each of the Defendants was acting as the
authorized agent of all other Defendants and all liability of the Defendants is joint and
several.
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4. On or about October 9, 2000, Defendants, jointly and severally, entered
into a written Construction Agreement whereby Defendants contracted with Plaintiffs to
construct a single family residential house on a lot owned by Defendants known as Lot
#22 Redwood Hills, Middlesex Township, Cumberland County, Pennsylvania. A true
and correct copy of the said Construction Agreement is attached hereto, labeled Exhibit
"A", and made a part hereof.
5. Under the terms of the aforesaid Agreement, the Defendants were not
entitled to the keys or possession of the property being constructed until all sums due
under the Agreement were paid in full.
6. Under Paragraph 16 of the aforesaid Agreement, in the event that the
Defendants occupied or took possession of the property before the final payment was
made, it would be a breach of the contract and would be a legal acceptance by
Defendants of the newly constructed home in "as is" condition waiving any and all
claims against the Plaintiffs as contractors.
7. On or about the 26th day of April 2001, Defendants took possession of the
property, moved in and have occupied the same since that date.
8. Despite repeated demands, while Defendants had paid part ofthe sum due,
the Defendants continue to owe $14,512.11 principal on the construction contract, which
amount they have refused and continue to refuse to pay.
9. Under the terms of the aforesaid contract, all late payments result in a late
charge of $25 per day. Since the date that Defendants have taken possession, through the
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13th day of December 2001, 232 days have elapsed obligating Defendants to pay to
Plaintiffs a late charge in the amount of $5,800.
10. The said late charge continues to accrue at the rate of $25 per day until the
aforesaid receipt of payment is made in full.
WHEREFORE, Plaintiffs demand judgment against the Defendants, jointly and
severally in the amount of $20,312.11 together with continuing late charges in the
amount of $25 per day together with reasonable attorneys fees and court costs, all of
which is within the limits of arbitration as set forth by rules of court.
Respectfully submitted,
NICHOLAS & FOREMAN, P.C.
BY:
Bruce D. Forem ,
Atty ID No. 21193
4409 North Front Street
Harrisburg, P A 1711 0
717-236-9391
Attorneys for Defendants
Dated: 1"2- -/Z--()(
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VERIFICATION
I verify that the statements made in foregoing Complaint are true and correct to
the best of my knowledge. I understand that false statements herein are made subject to
the penalties of 18 Pa. C.S. Section 4904, relating to unsworn falsification to authorities.
Northern Construction Associates
Dated:
! 2,...- ('2.-0/
By:~L/c~
Michael E. Garman
BY~~
1 H 1. Grossman
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Construction Agreement
This agreement made this 9th day of October, 2000, by and between, Esther
Humphrey Lisa Hathcox Ella Jean Nichols, hereinafter referred to as the owner.
AND
Northern Construction Associates, a partnership existing under the laws of the
Commonwealth of Permsylvania, having its principal place of business at 518 Bridge St.,
New Cumberland, P A 17070, hereinafter referred to as the Contractor.
WITNESSETH, that the parties hereto, agree, as follows:
1. Price; Payment: The Owner agrees to pay the Contractor for the
performance of the work herein set forth the sum of $285,840 as follows:
Construction Draw Schedule
Foundation - 15%
Excavated, footers, foundation walls, and first floor deck
Framing - 25%
Studding, partitions framed, ceiling joists, rafters/trusses, roof sheathing, underlayment,
sheathing, windows and exterior doors, structure secured.
Rough-ins - 10%
Rough wiring, rough plumbing and heating, insulation installed
Exterior - 20%
Masonry/siding, septic tank, drain/field/sewer, water supply connected
Interior - 20%
Drywall, doors, trim, cabinets and vanities, interior painting
Final Draw - 10%
Electrical and plumbing fixtures, floor coverings, appliances, ready for occupancy
The Contractor is authorized to adjust the above schedule of payments in
accordance with financing requirements of Owner's lender. Payment's are due no later /'
than 15 business days after Contractor's request fur each draw, but subject to lenders
draw inspection and approval. Owner will pay a late charge of $25 per day to Contractor
for each additional day thereafter, until paid.
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2. Direct Payment by Lender: The parties hereto agree that all payments due
the Contractor for work done and materials furnished shall be made directly to the
Contractor by the Mortgagee, if any, without the joinder of the Owner and the Owner
herein authorizes and directs the Mortgagee to make payments pursuant to the payment
schedule directly to the Contractor.
3. Location: The Contractor shall erect and build a single family home on
premise ofthe Owner situated or descn"bed as follows: Lot 22 Redwood Hills, Middlesex
Township
4. Time for Completion: The work to be performed by the Contractor shall be
substantially completed within 165 days of commencement of construction permitting the
issuance of a certificate of occupancy, except as otherwise provided herein.
5. Plans Included in Agreement: The aforesaid building sbaIl be erected in
substantial accordance with the final floor plans, specifications, worksheets, and purchase
or change orders, which shall be duly executed and which are made a part of this
Agreement and which are hereafter called "Agreement." Building elevation views are
approximate and may not be built exactly to plan. Contractor shall furnish all materials
and perform all the work as required to complete the building in accordance with this
agreement, except that work and material to be performed and furnished by the Owner as
provided herein.
6. Siting of Building; Excavation: The Contractor will at its own cost stake
out the foundation on the Owner's lot using Contractor's judgment as to the house
placement and elevation, coordinating with Owner on same. Contractor will excavate and
erect the foundation, machine backfill the foundation with materials excavated upon the
premises and complete the structure in accordance with the Agreement. Owner agrees,
that in the event additional back-fill or topsoil is required by Owner, that it will be
promptly supplied at Owner's cost.
7. Unusual Conditions:
a.) In the event that the Contractor encounters any unusual conditiQns during the
course of construction, such as solid or machine rock, quicksand, sinkholes, water, springs
and the unusual condition requires any other work which, in the opinion of the Contractor
is considered to be unusual, such as removal of rock by blasting or drilling or by their
special excavation, or the installation of special footings, sub-base, foundation walls or
drain tiles, the Contractor shall be compensated additionally by Owner for such work and
materials provided at Contractor's usual rates and charges.
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b.) Upon discovery of the unusual condition, Contractor shall promptly give
Owner written notice thereof. Owner shall have the option of agreeing to Contractor
perfonning the extra work or of terminating this Contract. Owner shall give lhe
Contractor written notice of his election within ten (10) days of Owner's receipt of the
Contractor's notice. If Owner elects to terminate this Agreement, Owner shall pay to the
Contractor the actual cost of materials and labor perfonned and furnished by Contractor
to the date of the Contractor's notice to the Owner, plus an additional twenty five (25%)
percent. The Contractor shall apply any advances made by the Owner to such payment
due from the Owner upon termination as aforesaid and shall refund the excess, if any.
Upon termination as aforesaid, Owner does hereby remise and release Contractor from
any claim whatsoever arising out of this Agreement. If the Owner fails to reply in writing
with ten (10) days to the Contractor's notice, the Contractor, may, at its option, elect to
treat this agreement as terminated and Owner shall be liable for the payments upon
termination as set forth hereinabove. Contractor shall give Owner written notice of said
election.
c.) In the event that additional concrete is required for deeper footers than are
herein provided because of site conditions, Owner hereby authorizes Contractor to supply
and install the additional concrete and Owner agrees to compensate Contractor for the
cost of such additional concrete.
8. Excused Delays: The Contractors shall not be liable for any delay in the
prosecution or completion of the work caused by the act, neglect, defuult of the Owner, or
as a result of changes or alterations in the plans and specifications made by the Owner, or
by damage or fire, earthquake or other casualty fur which the Contractor is not
responsible, or by strike, walk-outs or any other acts of employees or suppliers of labor or
materials, over which the Contractors has no control or for which the Contractor is not
responsible. In any such event the time herein fixed for the completion of the work shall
be extended for a period equivalent to the time lost by any reason of any of the causes
aforesaid.
9. Permits; Utilities: The Owner hereby authorizes and appoints Contractor to
obtain at the Contractors expense, all necessary permits or authorizations from all
municipal or governmental bureaus and departments or utilities which may be required fur
the construction or occupancy of said dwelling house, and to that end, authorize the ,/
Contractor to execute their names to any applications for such permits or authorizations.
The Owner shall provide and pay for electric, water, sewer and heating fuel or energy to
be used during the course of construction.
10. Work by Owner: In the event that the Owner desires or may be required to
provide labor and materials not included in this Agreement, he shall not do so without the
prior written approval of the Contractor and shall do so only in such manner as to not
delay the material progress of the Contractor's work. Owner further agrees to not
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interfere with the material progress of the work. In the event that the Owner does not
promptly complete the work he is obligated to do hereunder, Contractor may complete
same and Owner shall pay Contractor's cost plus twenty five (25%) percent. Should the
Owner, in sole opinion of Contractor, interfere with the construction or fail to make
scheduled payments when requested, Contractor may consider such failure a breach of this
Agreement and that breach will excuse Contractor from further performance and
Contractor shall receive all sums due hereunder, including profit lost.
11. Insurance; Risk of Loss: The Owner shall during the progress of the work
maintain insurance on the same against loss or damage by fire, as well as insurance to
protect the Contractor against any losses, claims, actions or suits either at law or equity
for injury to persons or damages to property, the policies to cover all work incorporated in
the building, and all materials fur the same in or about the premises, and to be made
payable to the parties hereto, as their interest may appear. Owner does hereby agree to be
responsible for any theft, malicious mischief and vandalism upon the structure during the
course of said construction and upon all materials in or adjacent to the structure intended
fur ~ thereon. Owner does further agree that the risk of loss of any work or materials
performed or furnished under the terms of this Agreement through fire, vandalism, theft,
malicious or any other hazard shall be upon Owner.
12. Stipulation Against Liens: Contemporaneously with the signing of this
Agreement, the Contractor shall execute a proper stipulation against any and all
mechanics' liens, which stipulation shall be recorded at the Prothonotary's Office prior to
construction.
13. Additonal Costs; Code Compliance, Taxes: In the event that any
municipal or gOVerrID1ental entity requires any item or tax not specifically included in this
Agreement such cost shall be that of the Owner, including any and all survey(s) or finance
inspection fees specified buy lender or govermnental agency.
14. Substitution of Materials: In the event that the Contractor is unable to
obtain the exact materials specified on the plans and specifications or on the options
attached hereto, tbrough the Contractor's ordinary and usual sources of supply, the
ContractoT shall have the right to substitute materials of similar pattern, design and
quality.
15. Owner's Warranties: Owner covenants, represents and warrants that he is
the Owner of record of the aforesaid premises; that there is no unrecorded deeds; that the
title is good, marketable and insurable by any reputable title company; that a perpetual
right of way exists to the premises; that the said premises is free of any encumbrances,
liens, easements, etc.; that there are no actions, cause of actions, or claims which might at
a later date impair the title. The Owner shall, at his expense, forthwith remedy any breach
or violation hereof which may exist or arise at any time. The Owner particularly
understands and agrees that each covenant, representation, and warranty, herein
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contained, is severally of the essence of this Agreement and the breach or violation of any
one shall excuse perfonnance by the Contractor.
16. Inspection; Occupancy; Contractor shall at any reasonable time pennit
Owner to irISpect said construction and buildings but Owner shall not be entitled to keys
or possession of the building prior to payment of all sums due under tbis Agreement. IN
NO EVENT SHALL OWNER OCcupy OR TAKE POSSESSION BEFORE FINAL
PAYMENT HAS BEEN MADE AND/OR THE CONSENT OF CONTRACTOR,
WHICH CONSENT SHALL NOT BE UNREASONABLEY WITHHELD.
CONTRACTORS CONSENT THALL BE IN WRITING AS PROVIDED ON TillS
CONTRACT. IN THE EVENT OWNER BREACHES THIS PROVISION HE SHALL /
BE DEEMED TO HAVE ACCEPTED THE HOME "AS IS" AND DOES THEREBY
WAIVE ANY CLAIMS AGAINST CONTRACTOR. A breach of this provision by the
Owner, shall be considered a breach of the contract by the Owner and shall entitle the
Contractor to stop work or terminate this contract and recover from the Owner payment
for all work executed and any loss sustained.
17. Entire Agreement; Changes: It is understood and agreed that the entire
Agreement of the parties is contained in this Construction Agreement, plans and
specifications. The parties warrant that there exists no other agreements, written or oral
pertaining to this transaction. ANY OTHER WRITTEN AGREEMENTS REQUIRED
BY A FINANCIAL INSTITIITION HEREAFTER SHALL BE SUPPLEMENTARY
HERETO. No changes will be made in the plans and specifications unless a work-change
order has been prepared in writing, signed by the Contractor and Owner, specifically
stating the details of the change in construction and the additional cost thereof or credit to
be allowed against the contract price of construction. Contractor reserves the right to
refuse to approve changes wbich result in a substantial alteration of the plans and
specifications.
18. Owner's Duty to Report Defects: Owner agrees to exercise reasonable
diligence in ascertaining and reporting to Contractor, as work under this Agreement
progresses, any defects, deviations or deficiency in performance or material. The failure
of Owner to so ascertain and inform Contractor, shall be considered a waiver of any claim
by Owner thereafter fur said defect, deficiency or deviation. Owner agrees, that any
progress shall be deemed in full and complete acceptance of said work performed by
Contractor up to the time of said payment, except fur those defects, deficiencies or
deviations wbich Owner has advised Contractor of in writing as herein set fortli.
19. Notice of Completion; Final Inspection:
a.) Except as set furth herein above, the dwelling shall be considered completed
when it has been constructed in substantial conformance with the plans and specificatiorIS
herein above mentioned, or if required, when a certificate of occupancy has been issued or
when said dwelling house has passed final inspection by the municipal, borough or
townsbip building irISpector, or lending institution. Upon completion of performance of
this Agreement, Contractor shall within five (5) days thereafter, give Owner notice of said
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completion and Owner shall thereafter, within five (5) days of said notice by Contractor,
inspect the premises with a representative of Contractor and advise Contractor, in writing
of any defects, deficiencies or deviations in material or labor.
b.) Failure of Owner to: 1) Inspect; and
2) Give notice as aforesaid; and
3) Enumerate said defects, shall be deemed a waiver
of any claim thereafter by Owner of said defect, deficiency or deviation and Owner does
hereby release Contractor from any claim arising therefrom Said waiver shall not effect
warranty providing all contract and change order payments have been paid.
20. Warranty; Procedure:
See attached warranty documentatiorJ.
21. Unused Materials: It is understood and agreed that the Owner shall not be
entitled to any substantial material, which has not been incorporated into the construction,
except where he has specifically paid for such material under the special provisions of this
Agreement relating to payment specifically of costs of materials included in allowance
items.
22. Binding Effect: This Agreement shall be binding upon the parties, their
heirs, executors, administrators, successors and assigns.
23. Agreement Not Assignable:
Owner.
This Agreement shall not be assigned by
24. Notices: All notices hereunder, to Contractor shall be sent to Contractor at
518 Bridge St., New Cumberland, PA 17070 or such other address as Contractor may by
written notification advise Owner. Notice to Owner shall be sent to Owner at
the address below, or such other address as Owner may by written notification advise
Contractor.
Owner Address:
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IN WIlNESS WHEREOF, the parties hereto, intend to be legally bound hereby, have
hereunder set their hands and seals the day and year first above written.
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WIlNESS AS TO OWNER:
DATE: OWNER:
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WIlNESS AS TO CONTRACTOR:
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CONTRACTORS CONSENT TO OCUPY
WIlNESS AS TO OWNER: DATE:
OWNER:
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WIlNESS AS TO CONTRACTOR:
DATE:
CONTRACTOR:
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TITLE
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SHERIFF'S RETURN - REGULAR
..
CASE NO: 2001-07008 P
COMMONWEALTH OF PENNSYLVANIA:
COUNTY OF CUMBERLAND
GARMAN MICHAEL E ET AL
VS
HUMPHREY ESTHER ET AL
CPL. MICHAEL BARRICK
Sheriff or Deputy Sheriff of
.....
......
-
Cumberland County, Pennsylvania, who being duly sworn according to law,
says, the within COMPLAINT & NOTICE
was served upon
HUMPHREY ESTHER
the
, at 1444:00 HOURS, on the 19th day of December, 2001
DEFENDANT
at 1208 REDWOOD HILLS CIRCLE
CARLISLE, PA 17013
by handing to
L,ISA HATHCOX, ROOMMATE
a true and attested copy of COMPLAINT & NOTICE
together with
and at the same time directing Her attention to the contents thereof.
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Sheriff's Costs:
Docketing
Service
Affidavit
Surcharge
18.00
3.25
.00
10.00
.00
31.25
So Answers:
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R. Thomas Kline
12/20/2001
NICHOLAS &
Sworn and Subscribed to before
me this fl:; day of
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othonotary ,
By:
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SHERIFF'S RETURN - REGULAR
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CASE NO: 2001-07008 P
'.....
--
COMMONWEALTH OF PENNSYLVANIA:
COUNTY OF CUMBERLAND
GARMAN MICHAEL E ET AL
VS
HUMPHREY ESTHER ET AL
CPL. MICHAEL BARRICK
, Sheriff or Deputy Sheriff of
Cumberland County,Pennsylvania, who being duly sworn according to law,
says, the within COMPLAINT & NOTICE
was served upon
HATHCOX LISA
the
, at 1444:00 HOURS, on the 19th day of December, 2001
DEFENDANT
at 1208 REDWOOD HILLS CIRCLE
-
'.....
~'ARLISLE, PA 17013
LISA HATHCOX
by handing to
---
-
a true and attested copy of COMPLAINT & NOTICE
together with
and at the same time directing Her attention to the contents thereof.
Sheriff's Costs:
Docketing
Service
Affidavit
Surcharge
So Answers:
6.00
.00
.00
10.00
.00
16.00
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R. Thomas K1ine-
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12/20/2001
NICHOLAS &
Sworn and Subscribed to before
me this 8'~ day of
_~ ,~l-(JV;L; A.D.
_ q~,~()7u,eL) ~
P othonotary ,
By:
Deputy Sheriff
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SHERIFF'S RETURN - REGULAR
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CASE NO: 2001- 07008 P
COMMONWEALTH OF PENNSYLVANIA:
COUNTY OF CUMBERLAND
GARMAN MICHAEL E ET AL
VS
HUMPHREY ESTHER ET AL
Sheriff or Deputy Sheriff of
.....
CPL. MICHAEL BARRICK
..-
-
Cumberland County, Pennsylvania, who being duly sworn according to law,
says, the within COMPLAINT & NOTICE
was served upon
NICHOLS ELLA JEAN
the
, at 1444:00 HOURS, on the 19th day of December, 2001
DEFENDANT
at 1208 REDWOOD HILLS CIRCLE
.t::'ARLISLE, PA 17013
by handing to
l,ISA HATHCOX, ROOMMATE
a true and attested copy of COMPLAINT & NOTICE
together with
and at the same time directing Her attention to the contents thereof.
-
-
Sheriff's Costs:
Docketing
Service
Affidavit
Surcharge
So Answers:
6.00
.00
.00
10.00
.00
16.00
~,/
R. Thomas Kline
12/20/2001
NICHOLAS &
Sworn and Subscribed to before
IT.e this r;e.. day of
~"~'1 c200.h A.D.
Qr 0. 'lh.d;~ Af~
rothQnotary' ,
By:
.....
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NUCHAELE.G~andHARRY
L. GROSSMAN, d/b/a! NORTHERN
CONSTRUCTION ASSOCIATES OF
PENNSYLVANIA, a partnership,
Plaintiffs
IN THE COURT OF COMMON
PLEAS OF CUMBERLAND
COUNTY, PENNSYLVANIA
v.
NO. 01-7008
ESTHER HUMPHREY, LISA
HATHCOX and ELLA JEAN.
NICHOLS,
CIVIL ACTION-LAW
Defendants
NOTICE TO PLEAD
YOU ARE HEREBY NOTIFIED TO PLEAD TO THE ENCLOSED NEW MA ITER
WITH COUNTERCLAIMS WITHIN TWENTY (20) DAYS FROM SERVICE HEREOF OR A
DEF AUL T JUDGMENT MAYBE ENTERED AGAINST YOu.
~~c:z -- /
Stephen B. Lipson, Esq.
Co-Counsel
DEFENDANTS' ANSWER WITH NEW MATTER AND COUNTERCLAIMS
1.-2. Admitted.
3. Admitted in part and denied in part. It is admitted that Defendant Ella Jean Nichols did,
on occasion, act as agent for the other two Defendants. However, it is denied that Defendants
Humphrey and Hathcox had such authority to act on behalf of the other Defendants. The
allegation that all liability is joint and several is a conclusion of law to which no response is
required.
4. Admitted in part and denied in part. It is admitted that Defendants Nichols and Hathcox
signed the Construction Agreement in question. It is denied that Defendant Humphrey signed
the agreement, and no individual signed the agreement for her.
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It is further denied that Exhibit A is a true and correct copy of the entire Agreement.
Paragraph 20 of said agreement refers to "attached warranty documentation", yet Plaintiffs have
not included this documentation with the Exhibit.
5. Denied. Interpretation of said agreement is a matter for the trier of fact in this case.
Moreover, Plaintiffs and Defendants reached an oral agreement under which Plaintiffs consented
to Defendants' taking of possession on or about April 26, 2001, thereby altering the written
obligations referred to by Plaintiffs in this paragraph.
6. Denied, for the reasons stated in Defendants' answer to paragraph 5, supra.
7. Admitted.
8, Denied. Plaintiffs breached their contract with Defendants by failing both to (a.)
repair/replace those items not consistent with specifications, thereby not completing
construction, and (b.) repair those items not done in a workmanlike manner. Defendants will be
forced to spend an amount in excess of $14,512.11 to correct these deficiencies, and thus
Defendants are not liable to Plaintiffs for any additional monies.
9. Denied. Interpretation of said Agreement is a matter for the trier of fact in this case.
Moreover, because Defendants owe no money to PlaintiffS no late charges are due and owing to
Plaintiffs. This late charge provision is not enforceable for reasons discussed in paragraph 11 of
Defendants' New Matter, infra.
10, Denied, for the reasons stated in Defendants' answer to paragraph 9, supra.
WHEREFORE, Defendants request that this honorable court dismiss Plaintiffs'
Complaint and enter judgment in their favor. Note that Plaintiffs have cited no authority for their
demand for attorneys fees and that same therefore cannot be awarded to them.
NEW MATTER
11. The late payment charge of $25.00 per day is a penalty and thus is not enforceable as
liquidated damages. For example, said daily amount would total $9,125.00 over the course of
one year, or almost 63% of the principal amount. Obviously, this amount is not a reasonable
estimate of Plaintiffs' damages.
12. Plaintiffs substantially breached the contract at issue by failing/refusing to complete
construction within 165 days of October 10, 2000, the date that construction commenced.
Defendants sustained damages as a result of said breach, including, but not limited to, having to
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"lease back" their prior residence from the individuals who purchased same from them in the late
winter/early spring of2001.
13. By negotiations beginning in early March of2001, Defendants agreed to give Plaintiffs
additional time to complete construction in exchange for Defendants being allowed to take
possession prior to completion. Plaintiffs orally consented to said modification of paragraph 16
of the contract and gave the keys to Defendants.
14. This oral modification of the contract was for good and valuable consideration and is
binding upon Plaintiffs and Defendants in spite of the language in the contract requiring that such
consent be in writing. See Universal Builders, Inc. v. Moon Motor Lodge, Inc., 430 Pa. 550
(1968) and Fina v. Fina, 737 A.2d 760, Pa.Super. (1999).
15. Plaintiffs are estopped from enforcing paragraph 16 to the detriment of Defendants and/or
have waived enforcement of same.
16. Plaintiffs did not build the home consistent with the specifications and change orders;
therefore, Plaintiffs did not complete construction and are not entitled to a final draw,
COUNTERCLAIM I - CLAIM OF DEFENDANT HUMPHREY
17. The allegations contained in paragraph 1 through 16, supra, are incorporated herein and
made a part hereof as if more fully set forth.
18, Defendant Humphrey did not sign the Construction Agreement in question, nor did
anyone sign same as her agent. In addition, contrary to the designation of her in said contract as
an "owner", she had no ownership in the premises at that time or during construction. See deed
book 228, page 613, for the recorded deed from Plaintiffs to Defendants Hathcox and Nichols.
19. Plaintiffs acted arbitrarily and in bad faith in instituting this litigation against the
Defendant Humphrey in as much as there is no theory of liability in their Complaint remotely
applicable to her. Therefore, Defendant Humphrey is entitled to her proportional share of
attorneys fees to date from Plaintiff, as well as additional fees in the future as the litigation is
continued against her.
WHEREFORE, Defendant Humphrey requests that this honorable court dismiss
Plaintiffs' Complaint and enter judgment in her favor and against Plaintiffs for attorneys fees and
costs.
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COUNTERCLAIM II - CLAIM OF ALL DEFENDANTS
20, The allegations contained in paragraph 1 through 16, supra, are incorporated herein and
made a part hereof as if more fully set forth.
21. Commencing in the winter/spring of2001, Defendants informed Plaintiffs on numerous
occasions of the items that had to be repaired/replaced in order for Plaintiffs to have completed
construction in accordance with specifications and change orders. In fact, in July of 200 I,
Plaintiffs requested a list of said deficiencies and Defendant Nichols provided same to Plaintiff
Garman, who said that either he would complete same or allow Defendants to use the remaining
money to pay for the services of another contractor to perform the work. This is one of several
lists of deficiencies which was provided to Plaintiffs with the last list being one dated November
9,2001, a copy of which is attached hereto and incorporated herein as Defendant's Exhibit A.
Note that Defendants' offer to take care of some of the items on this list was predicated upon
Plaintiffs' agreement to allow Defendants to keep the balance of the monies to pay for the work.
22, Plaintiffs did not complete this work and thus Defendants have been forced to hire
another contractor to do the work. The November 9th list is not a complete list of the existing
deficiencies, but it does contain most of them known to date. One additional major item yet to
be addressed is the condition of the basement floor, which is developing large, open cracks in the
concrete. The nature of the work, and cost of same, necessary to correct this defect has not been
determined at this time.
23. The cost of repairs/replacement of all items in breach of Plaintiffs' contractual obligations
will exceed the dollar amount being sought by Plaintiff. Therefore, Plaintiffs are indebted to
Defendants for the extra amount, which is not a definite, final figure at this time.
24, Although Defendants do not possess a copy of the warranty documents that were a part of
the construction contract with Plaintiffs, Plaintiffs' failure to make necessary repairs is a breach
of the warranty provision. See 73 P.S. Section 201-2(4)(xiv). Defendants are entitled to their
attorneys fees, as well as triple damages under Section 201-9.2 of the Unfair Trade Practices Law
as a result of Plaintiffs failure to honor its warranty.
WHEREFORE, Defendants demand judgment in their favor and against Plaintiffs for all
damages, including the $14,512.11 not paid to Plaintiffs, as well as additional damages the
amount of which is unliquidated at present, together with triple damages and attorneys fees.
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Respectfully submitted,
,~5~
Stephen B. Lipson
Co-Counsel for the Defendants
ID No. 19453
61 W. Louther St.
Carlisle, PA 17013
Stephanie E. Chertok
Co-Counsel for the Defendants
IDNo.52651
61 W. Louther St.
Carlisle, P A 17013
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VERIFICATION
I, Ella Jean Nichols, verify that the statements made in the foregoing document
are true and correct to the best of my knowledge. I understand that false statements made herein
are subject to the penalties of 18 Pa.C.S. section 4904 relating to unsworn falsification to
authorities.
Date: 1/~,jfc?t1,;2-
,
~~~~
Ella JeanA<Jichols
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MICHAEL E. GARMAN and HARRY
L. GROSSMAN, d/b/a! NORTHERN
CONSTRUCTION ASSOCIATES OF
PENNSYLVANIA, a partnership,
Plaintiffs
IN THE COURT OF COMMON
PLEAS OF CUMBERLAND
COUNTY, PENNSYLVANIA
v.
NO. 01-7008
ESTHER HUMPHREY, LISA
HATHCOX and ELLA JEAN
NICHOLS,
CIVIL ACTION-LAW
Defendants
CERTIFICATE OF SERVICE
I, Stephen B. Lipson, co-counsel for the Plaintiffs, do hereby certify that a
copy of the Defendants' Answer with New Matter and Counterclaims was served this /I~y
of :J;kU/~ ,2002, by first-class, U.S. mail upon those listed below:
/
Bruce D. Foreman, Esq.
Attorney for Plaintiffs
4409 North Front St.
Harrisburg, PA 17110
~~~
Stephen B. Lipson
Co-Counsel for Defendants
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won NOT YET SATISFACTORY AT
1208 REDWOOD BILLS
CARLISLE, PA
.
9 NOVEMBER 2001
PREVIOUSLY IDENTIFIED PRIOR TO OCCUPANCY (STILL NOT RESOLVED):
KITCHEN: HOLF. FOR PIPE JNDER WET BAR NOT COVERED
PAN'fRY SHF:T.VES NOT INSTALJ,ED TO CUSTOMER'S WISHES
"SCRATCHES ON HARDWOOLJ FLOORS
*FRONT STAIRS: W~RE TO HAVE OAK TREADS
SECOND FLOOR: CLOSS'l' :JOORS MISALIGNED
~~SEMENT: *CRACKS IN CONCRSTF.. FLOO~ NOT PROPER~Y TREA7ED
OR SEALED
*LSAKING AROUND DOORS (JETERMINED TO BE CAUSED 2Y
~HE S~OPE 02 THE PATIO SLANTED TOWARDS HOUSE) (WILL RF:SOLVE SELF)
CONCRETE AT FRENCH DOORS WAS NEVER SMOOTHED OUT
OR ?INISBED.
DECKS: RAILING ~N ~IDDLE 0: WI~DUW (THIS WAS SFECIFI:AL1Y
DISCllSSED PRIO? TO Ai:'POV:NC THIS CONSTRUCTION AS OPPO:3l:,L) TO ':';;E;
CONCRE'l'E PATIO THA':' HAS SUPPOSED TO 9E tNSTAT,LED. CUSTot~J::?, Wl'.S
TOLD ':'HAT TEE !l.AILING 110ULD NOT BE IN TUE rVlJDLlLE 0[" T"r. WINDG'/)
ANe THAT THE UPPER PART O!:' TEE LOWER DECK WOULD BE r.ANTILEVSP.ED
TO ENSURE THA'r I':' NAG ;.0'1'.)
v;OOD US};;;:) NOT vlF,ATE8R TREA7.ED (KILN DRIED 3l;T NOT
WEATHER TREATED, A~READY WARPING) LAT':'ICE USE IS OF ~XTREKE1Y
POOR QUALITY
C2PEi'( DECK Wl\S o,,:GINAL;,y ORDERE;D A:3 '~'H':;;X OR
?:QUIVi".1SNT, :,OT "oor:
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FRONT
"EP...ACED.
INS':'ALi.>l::D.
DOOR: NOT COMP:"ETE UNI'r' (?) - MF.:':'AL TTiP":SHOl,D TO "E
WAS A "TEV-PORARY DOOR" ?ER DERRICK WHEN ':T \VAS
NOT DoeR SELECTE~ a~ CUSTOMER.
STEPS IN GARAG~ - WERE TOLC TH~SE W~HE TEMPORARY AND worLD
BE RE?LACED WITE ~aEALH STAIRS.
*SECOND SET OF STAIRS NOT INS'l'A!.LF.J AS INSTRDCTED BY
CUS'IOi'lER. CUS'.!'OMER HAS REINSTALLED '1'0 OWN SPECIFICATION.
~Gft~AGE FLOOR CRACKED
PORCH HALLING - LOWER RAIL NO~ PRO~ERLY TNSTAL~ED/CUT.
FRONT PORCH - CON~RETE PORCH DOES NOT S1U~E AWAY F~O~
HOOSE. WA'I'ER PUDDLES ON PORCH (NOW CONCRETE IS CRACKING)
~T::: ;::-:::, ::",:: ::::>;::;:-::::':' .;': >~-.;:;:':: :"~:: .;.' ;:~:::':'~'~: :;;-.=::-:::
..,.:......
:::_;'<~:',::'.: ":";""':, ":':"':.// .,;,,';0::::," .;',' :':"::':~:~.::';:~:':';_-"'" ":: ":.;.;., ~ ....;.:~:,;y:.::...:.>....::.;.,.:-;._.<' :.:.: '.;'-:". .: j:' .
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SCREEN ;n.T WINDOW ON FRONT OF HOUSE NOT TUE RIGHT
CONTRACTOR US&D EXPANDnBLE FOnM AROUND WINDOW FRAMES WHICH
COULD VOID WARRANTY ACCORDING TO MANUFACTURER'S SPECIFICATIONS
*F:REP~.C~ INSERT NO~ THE ONE SELECTED BY CUSTOM~R.
CUSTOMER NOT CONSULTED ON FIREPI,ACJ:: E'ACE (CUSTOMER HAS CON'l'AACTED
'fiITH ANOTHER TO CORIlECT - AT OWN EXPENSE)
*DINING ROOM BUITll'-IN N01' RlJILT TO SPECIFICA'fICNS. AFTsn
ATTEMPTS BY BUILDER TO CORRECT, CUSTOMER HAS CONTRACTED WITH
ANOtHER TO CORRECT - AT OWN EXPENSE.
*ALL ~HUT OF? VALVES WER8 TO BE ACCESSIBL~ AND MARKED.
HAVE ~IAD THE ACCESSIBLE ONES MAttKS!). NOT ALTJ ARE ACCESSIBLE,
CONCRETE AROUND CONCRETE BLOCKS TN GARAGE HAD DISINTEGRA1'ED
ADDITIONAl... ITEMS THAT HAVE BEEN IDEN'fIF"IED Sn:CE OCCUPANCY
*SLOPE OF SUNROOI~ ROOF Mll.Y BE: '1'00 S!1l\LLOW (T':' IS HOi'<JES.1INc:
D~PENDING ON THE BUILD:NG CODES) AND ROOF:NG MATERIALS MAY NOT
BE GUARANTEED B~CAUSE OF T~ - DEPENDS ON TH~ MANUF~CTURER.
'INTERIOR STl\IR SUl'POR':'S WI1'!HN TEE BASEMENT IvERE NO'l' P~G!>':B
~'l'HE SEALS 0:\1 AT L~AS'i' ONE OF THF, WINDOVIS l\RE DHR:::TIVl::.
HAVE TALKED TO THE ~~NUFACTURER AND THEY ARF. WARRANTEED. NEED
TO KNOW WHERE TIlEY WSRE PURCHASED_ HAVE ASKED FOR THIS
INFO~~,TION BOT IT HAS NO~ BEEN PROVIDED. ClJSTO~ER WILL HAVE
\'iAR.'1NTEED ~IINDOW RSt:'I,/>'CED BUT DOF.S NEED TO KNOW viHSRE :T WAS
PUHC~P.,SED .
E?<!ERGENCY REPAB REQUIRED FOR WA~ER SYSTEM WHEN NO WA':'ER
WAS AVAILABLE FROM THE WELl,. BILL ?ROVIDED TO MIKB Gf\RMAN
(SHOUI,D NOT HAVE 13E::N BILI,ElJ ANYWAYS - NOT TN HOUSE 6 MON"i'HS,
INST1\LLED 6 MOI\'THS AND 2 DAYS BEFORE)
CONTINUED TO ~~VF. r,;n.S SMELL IN FIREPLACE AFTSR REPAIRED
(IDENTIFIED PRIOR TO ~OVING IN). GAS COlvlPANY DT!':COVERED A LEAK
AND 'rURNED IT OFF. MCCLURE REPAIRED.
*DOWNSPOUT RVNOUTS WERE NOT PROPERLY INSTALLED. CUSTOMER
IS WORKlNG W!TH LANDSCAPER.
*F.XTREMELY POOR GRP.DING, 'rapson, AND GRADE OF GF.ASS OSED.
CUSTOMER WORKING WI'l'H LAN::JSCApF.R.
I
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"WOOPWORK USED FOR BM;;;BOARDS TliROUGHOCT THE HOUSE IS NOT
WOOD, BUT A COMPOSITE - NOT GOOD QUAI.ITY.
"'QUARTER ROUND MOLDING ~r B~SEBOARD INSTALLBD BACKWARDS -
SHOULD BE INSTALLED WITH SHORT SIDE TO FLOOR.
"'SELECTED DOORS NOT HUNG PROPERLY
~CLOSET RODS IN FRONT FIRST FLOOK BEDROOM NOT INSTALLED TO
CUSTO~ER'S REQUIREMENTS
*WASHER AND DRYER NOT INSTALLED TO CUSTOMER'S
SI?ECIFICATIONS WITHIN THE :,AUNDRY AREA ON SECOND :'LOO"
(NEED 7RE NAMES OF SUBCON':'RACTORS THAT GUARANT;:;E TIlSIR O~IN WORK
OR PROD:JC'l'S)
'\HLL LIVE ~JITH/OR TAKE CARE OF
PLEASE NOTE; THE ONLY EM?:'OYEE OF NCR'l'H:::R:-J CONSTRUC'l'ION NOT
WELCOME BACK TO COMPLETE WORK IS DRIAN WHO SWORE AT MY MOTH~r.
APPAREN"!'T,y HE IS NO LONGER EMPLOYED BY NOR':'HE'RN.
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COURT OF COMMON PLEAS OF CUMBERLAND COUNTY,
PENNSYLVANIA
MICHAEL E. GARMAN and HARRY L,
GROSSMAN, trading and doing business as
NORTHERN CONSTRUCTION ASSOCIATES
OF PENNSYLVANIA, a partnership
Plaintiffs
Civil Term
No. 01-7008
V5,
ESTHER HUMPHREY, LISA HATHCOX and
ELLA JEAN NICHOLS, jointly and severally,
Defendants
Civil Action - Law
PLAINTIFF'S ANSWER TO NEW MATTER AND COUNTER-CLAIM
11, To the extent that Paragraph 11 of Defendant's New Matter is not a legal
conclusion and requires response, the same is denied and, if relevant, strict proof thereof
is demanded at trial.
12, To the extent that Paragraph 12 of Defendant's New Matter is not a legal
conclusion and requires response, the same is denied and, if relevant, strict proof thereof
is demanded at trial. By way of further answer, after reasonable investigation, Plaintiffs
lack the knowledge necessary to make a determination as to the truth or the falsity of the
factual averments of Paragraph 12 of Plaintiffs New Matter and accordingly, if relevant,
the same is denied and strict proof thereof is demanded at trial.
13, Denied; the averments of Paragraph 13 of Defendant's New Matter are
denied and, if relevant, strict proof thereof is demanded at trial.
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14. To the extent that Paragraph 14 of Defendant's New Matter is not a legal
conclusion and requires response, the same is denied and, if relevant, strict proof thereof
is demMded at trial.
15, To the extent that Paragraph 15 of the Defendant's New Matter is not a
legal conclusion and requires response, the saine is denied Md, if relevant, strict proof
thereof is demanded at trial.
16. To the extent that Paragraph 16 of the Defendant's New Matter is not a
legal conclusion and requires response, the same is denied Md, if relevant, strict proof
thereof is demanded at trial. By way of further response, aU factual averments of
Paragraph 16 of Defendant's New Matter are denied and, if relevant, strict proof thereof
is demMded at trial.
ANSWER TO COUNTER-CLAIM I
17, The allegations of Plaintiffs Complaint and Plaintiffs Answers to New
Matter, Paragraphs I through 16, are incorporated herein as if fuUy set forth.
18. To the extent that Paragraph 18 of Defendant Humphrey's Counter-Claim
is not a legal conclusion and requires response, the same is denied and, if relevant, strict
proof thereof is demanded at trial.
19, To the extent that Paragraph 19 of Defendant Humphrey's Counter-Claim
is not a legal conclusion and requires response, the same is denied and, if relevant, strict
proof thereof is demanded at trial.
2
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ANSWER TO COUNTER-CLAIM II
20. The allegations of Plaintiff's Complaint, Plaintiff's Answers to New
Matter and Plaintiff s Response to Counter-Claim I, Paragraphs 1 through 19, are
incorporated herein as if fully set forth.
21, Denied as stated; it is admitted that Defendants did request certain work
from Plaintiffs, some of which was done, however, it is denied that the same was done on
numerous occasions or that Plaintiffs were advised that the same was necessary to
complete construction. The remainder of the averments of Paragraph 21 of Defendant's
Counter-Claim are denied and, if relevant, strict proof thereof is demanded at trial.
22, To the extent that Paragraph 22 of Defendant's Counter-Claim is not a
legal conclusion and requires a response, the same is denied and, if relevant, strict proof
thereof is demanded at trial.
23. To the extent that Paragraph 23 of Defendant's Counter-Claim is not a
legal conclusion and requires a response, the same is denied and, if relevant, strict proof
thereof is demanded at trial.
24. To the extent that Paragraph 24 of Defendant's Counter-Claim is not a
legal conclusion and requires a response, the same is denied and, if relevant, strict proof
thereof is demanded at trial.
3
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WHEREFORE, Plaintiff request that damages be awarded as set forth in
Plaintiffs Complaint and that Defendant's Counter-Claims be dismissed.
Respectfully submitted,
NICHOLAS & FOREMAN, P,C.
BY:
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ruce D, oreman,
Atty ID No. 21193
4409 North Front Street
Harrisburg,PA 17110
717-236-9391
Attorneys for Defendants
Dated: I, /1. 0 z.-
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VERIFICATION
I verifY that the statements made in foregoing Complaint are true and correct to
the best of my knowledge. I understand that false statements herein are made subject to
the penalties of 18 Pa. C.S. Section 4904, relating to unsworn falsification to authorities.
Northern Construction Associates
Dated:
/ /;td~
By: ~,-.(~_
/ Michael . Garman
By:
Harry L. Grossman
5
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COURT OF COMMON PLEAS OF CUMBERLAND COUNTY,
PENNSYLVANIA
MICHAEL E, GARMAN and HARRY L.
GROSSMAN, trading and doing business as
NORTHERN CONSTRUCTION ASSOCIATES
OF PENNSYLVANIA, a partnership
Plaintiffs
Civil Term
No. 01-7008
vs,
ESTHER HUMPHREY, LISA HATHCOX and
ELLA JEAN NICHOLS, jointly and severally,
Defendants
Civil Action - Law
CERTIFICATE OF SERVICE
I, Bruce D. Foreman, Esquire, do hereby certifY that on this, thet11!lday of
January 2002, I served a true and correct copy of the Plaintiff's Answer to New Matter
and Counter-Claims, by first class, postage paid mail:
Stephen B. Lipson, Esquire
61 W. Louther Street
Carlisle, PA 17013
NICHOLAS & FOREMAN, P.C.
Bylta ~~ kJ\Q.JV\i\.W\\ ~
Bruce . Foreman, EsqUire
Atty. ID #21193
4409 North Front Street
Harrisburg, PA 17110-1709
(717) 236-9391
Attorneys for Plaintiff
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MICHAEL E. GARMAN and
HARRY 1. GROSSMAN, trading and
Doing business as NORTIIERN
CONSTRUCTION ASSOCIATES OF
PENNSYLVANIA, a Partnership,
Plaintiffs
vs.
ESTHER HUMPREY, LISA HA THCOX
And ELLA JEAN NICHOLS, jointly and
Severally,
Defendants
TO THE PROTHONOTARY:
* COURT OF COMMON PLEAS
* CUMBERLAND COUNTY, PENNSYLVANIA
*
*
*
* No. 01-7008
*
*
*
* Civil Action - Law
*
*
*
PRAECIPE
On behalf of the Plaintiffs and Defendants, please withdraw the above-captioned claim
and counterclaims and mark the case settled, ~ and withdrawn, with prejudice, against
both Plaintiffs and Defendants. P-
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B : Bruce D. Fore ,
4409 North Front Street
Harrisburg, P A 1711 0-1709
ESTIIER HUMPREY, LISA HA THCOX
And ELLA JEAN NICHOLS, jointly and severally,
by their attorney
y: St phanie Chertok, Esquire
61 West Louther Street
/ Carlisle, PA 17013-2936
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