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HomeMy WebLinkAbout03-2782 IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA CIVIL DIVISION - LAW ) ) ) ) ) ) ) ) ) ) ) GREEN SPRING DAIRY, INCORPORATED, ) 1635 Market Street ) Philadelphia, P A 19103 ) ) ) ) ) ) ) ) ) ) ) ) LAND O'LAKES, INC. 405 Park Drive Carlisle, PAl 70 13 Plaintiff v. CLOUSE TRUCKING, INC., 2075 Ritner Highway Carlisle, P A 17013 J. EDWARD CLOUSE 2075 Ritner Highway Carlisle, P A 17013 AND DANIEL FOX 122 Schoeneck Road Ephrata,PA 17522 Defendants No: 03 -.;J.7PJ..... C:IU~L~~ Jury Trial Demanded PRAECIPE FOR SUMMONS TO TIlE CLERK OF COURTS OF SAID COURT: Issue Summons in Civil Action in the above case. heriff. ~ Writ of Summons shall be issued and forwarded to DATE: b! /l.fu- . GROSS, MC E ~ARRE & EATON, LLP BY: 0 PATRIC ILLY,ESQUIRE 33 South 7th Street P.O. Box 4060 Allentown, PA 18105-4060 (610) 820-5450 I.D. # 32235 LAND O'LAKES, INC., and DAIRY MARKETING SERVICES, LLC., : IN THE COURT OF COMMON PLEAS : CUMBERLAND COUNTY, PENNSYLVANIA Plaintiffs v. : CIVIL ACTION - LAW CLOUSE TRUCKING, INC., CLOVERLAND DAIRY LIMITED PARTNERSHIP, a Maryland Limited Partnership, J. EDWARD CLOUSE and DANIEL FOX, : No. 03-2782 CIVIL TERM Defendants NOTICE TO PLEAD TO: LAND O'LAKES, INC. and DAIRY MARKETING SERVICES, LLC, Plaintiffs c/o PATRICKJ. REILLY, ESQUIRE Gross, McGinley, LaBarre & Eaton, LLP 33 South Seventh Street P.O. Box 4060 Allentown, PA 18105-4060 Attorneys for Plaintiff YOU ARE REQUIRED to plead to the within Answer with New Matter within twenty (20) days of services hereof or a default judgment may be entered against you. Hawke McKeon Sniscak & Kennard LLP if -JP.4 ~'nYder, Esqu e Attorney LD. No. 34344 Hawke McKeon Sniscak & Kennard LLP 100 North Tenth Street PO Box 1778 Harrisburg,PA 17105-1778 717-236-1300 DATED: July 16, 2004 LAND O'LAKES, INC., and DAIRY MARKETING SERVICES, LLC., : IN THE COURT OF COMMON PLEAS CUMBERLAND COUNTY, PENNSYLVANIA Plaintiffs v. CIVIL ACTION - LAW CLOUSE TRUCKING, INC., CLOVERLAND DAIRY LIMITED PARTNERSHIP, a Maryland Limited Partnership, J. EDWARD CLOUSE and DANIEL FOX, : No. 03-2782 CIVIL TERM Defendants ANSWER AND NEW MATTI~R OF DEFENDANTS, CLOVERLAND DAIRY LIMITED PARTNERSHIP, AND DANIEL FOX. TO PLAINTIFFS' AMENDED COMPLAINT AND NOW, come the Defendants, CloverIand Dairy Limited Partnership ("CloverIand") and Daniel Fox (hereinafter "Fox"), by and through their attorneys, Hawke McKeon Sniscak & Kennard LLP, and in response to the Plaintiffs' Amended Complaint aver as follows: 1.-3. Denied. After reasonable investigation, the Answering Defendants are without knowledge or information sufficient to form a belief as to the truth of averments set forth in Paragraphs I through 3 of the Plaintiffs' Amended Complaint, and, therefore, said averments are denied. 4. Admitted. 5. Denied. After reasonable investigation, the Answering Defendants are without knowledge or information sufficient to form a belief as to the truth of the averments set forth in Paragraph 5 of the Plaintiffs' Amended Complaint and, therefore, said averments are denied. 6. Admitted, except that Daniel Fox's current address IS 14 Meadow View Drive, Ephrata, 17522, Lancaster County, Pennsylvania. 7. Denied as stated. It is admitted that Land O'Lakes, Inc. (hereinafter "LOL") operated a diary processing plant at Mt. Holly Springs, Cumberland County, Pennsylvania, at which it received tank truck loads of raw milk for processing. With respect to any remaining averments set forth in Paragraph 7 of Plaintiffs' Amended Complaint, after reasonable investigation, the Answering Defendants are without know\(:dge or information sufficient to form a belief as to the truth of those averments and, therefore, said averments are denied. 8. Denied as stated. It is admitted that Joel Martin (hereinafter "Martin") is a dairy farmer. It is denied that he had a contract to sell all of his milk product to Cleveland. 9. Denied as stated. It is admitted that Cloverlimd is a fluid milk dairy processor and it is further admitted that it has engaged Clouse Trucking, Inc. ("Clouse Trucking") to pick up milk from certain producers, including Martin, and to deliv(:r the raw milk to its own or other dairy plants. To the extent Paragraph 9 of the Plaintiffs' Am(mded Complaint avers or implies that Cloverland engaged Clouse Trucking to transport the milk at issue to LOL, said averment or implication is specifically denied. Any remaining averments set forth in Paragraph 9 of the Plaintiffs' Amended Complaint are denied and at issue pursuant to Rule 1029(e) of the Pennsylvania Rules of Civil Procedure. 10. Admitted upon information and belief. 11. Denied. It is specifically denied that the Answering Defendants knew or should have known that for a period of time immediately prior to August 6, 2001, Martin had 2 halted milk shipments because of the presence of antibiotics in Martin's raw milk. The averments set forth in Paragraph I I are also denied as conclusions of law. 12. Admitted in part and denied in part. It is admitted that on or about August 6, 2001, 1. E. Speidel, an employee of Clouse Trucking, operating a tank truck owned by Clouse Trucking, picked up a load of raw milk from the farm tank of Martin. It is specifically denied that the milk was picked up on behalf of Cloverland, and the Plaintiffs' characterization of the milk as "CloverIand Milk" is also specifically denied. To the contrary, it is believed and therefore averred that the milk was picked up on behalf of DMS. With respect to any remaining averments set forth in paragraph 12 of the Plaintiffs' Amended Complaint, after reasonable investigation, the Answering Defendants are without knowkdge or information sufficient to form a belief as to the truth of those averments and, therefore, said averments are denied. 13. Denied. After reasonable investigation, the Answering Defendants are without knowledge or information sufficient to form a belief as to the truth of the averments set forth in paragraph I3 of the Plaintiffs' Amended Complaint and, therefore, said averments are denied. 14. Admitted upon information and belief. 15. Denied. It is specifically denied that any CloverIand milk was in the Clouse truck, and it is further denied that Clouse Trucking delivered any CloverIand milk to the Lehigh Valley Dairy processing plant in Schuylkill Haven, Pennsylvania. With respect to any remaining averments set forth in paragraph 15 of the Plaintiffs' Amended Complaint, after reasonable investigation, the Answering Defendants are without knowledge or information sufficient to form a belief as to the truth of those averments and, therefore, said averments are denied. 3 16.-17. Denied. The averments set forth in paragraphs 16 and 17 of the Plaintiffs' Amended Complaint constitute conclusions of law to which no response is required. To the extent a response is required, the characterization and summary of the contents of the Pasteurized Milk Ordinance are denied because the characterization/summary is incomplete and said ordinance, being a written document, speaks for itself. 18. Admitted. 19.-21. Denied. After reasonable investigation, the Answering Defendants are without knowledge or information sufficient to form a belief as to the truth of the averments set forth in Paragraphs 19-21 of the Plaintiffs' Amended Complaint and, therefore, said averments are denied. 22. Denied. After reasonable investigation, the Answering Defendants are without knowledge or information sufficient to form a belief as to the truth of the averments set forth in Paragraph 22 of the Plaintiffs' Amended Complaint lmd, therefore, said averments are denied. By way of further answer, it is specifically denied that the milk was CloverIand milk. 23. Denied. After reasonable investigation, the Answering Defendants are without knowledge or information sufficient to form a belief as to the truth of the averments set forth in Paragraph 23 of the Plaintiffs' Amended Complaint and, therefore, said averments are denied. 24. Denied. After reasonable investigation, the Answering Defendants are without knowledge or information sufficient to form a belief as to the truth of the averments set 4 forth in Paragraph 24 of the Plaintiffs' Amended Complaint fmd, therefore, said averments are denied. 25. Denied. After reasonable investigation, the Answering Defendants are without knowledge or information sufficient to form a belief as to the truth of the averments set forth in Paragraph 25 of the Plaintiffs' Amended Complaint and, therefore, said averments are denied. 26. Denied. After reasonable investigation, the Answering Defendants are without knowledge or information sufficient to form a belief as to the truth of the averments set forth in Paragraph 26 of the Plaintiffs' Amended Complaint and, therefore, said averments are denied. 27. Denied. After reasonable investigation, the Answering Defendants are without knowledge or information sufficient to form a belief as to the truth of the averments set forth in Paragraph 27 of the Plaintiffs' Amended Complaint fmd, therefore, said averments are denied. 28.-29. Denied. After reasonable investigation, the Answering Defendants are without knowledge or information sufficient to form a belief as to the truth of the averments set forth in Paragraphs 28-29 of the Plaintiffs' Amended Complaint and, therefore, said averments are denied. 30. Denied. After reasonable investigation, the Answering Defendants are without knowledge or information sufficient to form a belief as to the truth of the averments set 5 forth in Paragraph 30 of the Plaintiffs' Amended Complaint and, therefore, said averments are denied. It is specifically denied that the milk at issue was ClovllrIand milk. 31. Denied. The averments set forth in Paragraph 31 of the Plaintiffs' Amended Complaint constitute conclusions of law to which no response is required. To the extent a response is required, it is denied that dairy industry custom and practice common throughout Pennsylvania and Maryland is that the dairy handler of a producer whose milk causes a commingled load to be rejected is responsible for the disposition of the rejected milk. It is further denied that the milk at issue was CloverIand milk and that CloverIand was responsible for disposition ofthe rejected milk. 32.-34. Denied. After reasonable investigation, the Answering Defendants are without knowledge or information sufficient to form a belief as to the truth of the averments set forth Paragraphs 32-34 of the Plaintiffs' Amended Complaint and, therefore, said averments are denied. 35. Admitted. 36. Denied. It is specifically denied that Fox (:reated a new delivery receipt for the milk and/or forged the signature of 1. E. Speidel (hereinafter "Speidel"). After reasonable investigation, the Answering Defendants are without knowledge or information sufficient to form a belief as to the truth of the remaining averments set forth in Paragraph 36 of the Plaintiffs' Amended Complaint and, therefore, said averments !Ire denied. 37. Denied. It is specifically denied that Fox also created a new delivery receipt for the DMS Producers (hereafter "DMS") milk and it is further denied that Fox forged the 6 signature of Speidel who had picked up the DMS milk from producers. With respect to any remaining averments set forth in Paragraph 37 of the Plaintiffs' Amended Complaint, after reasonable investigation, the Answering Defendants are without knowledge or information sufficient to form a belief as to the truth of those averments and, therefore, they are denied. 38. Denied as stated. It is admitted that Fox sought and obtained permission from L VD to open the lid of the rear compartment of the tank tm~k to obtain a sample for further testing. It is denied that he removed an antibiotics tag placed there or anywhere else by L VD. With respect to any remaining averments in paragraph 38 of the Plaintiffs Amended Complaint, after reasonable investigation, the Answering Defendants are without knowledge or information sufficient to form a belief as to the truth of those averments and, therefore, they are denied. 39.-40. Denied. After reasonable investigation, the Answering Defendants are without knowledge or information sufficient to form a belief as to the truth of the averments set forth in Paragraphs 39 and 40 of the Plaintiffs' Amended Complaint and, therefore, said averments are denied. 41. Admitted. 42. Denied. After reasonable investigation, the Answering Defendants are without knowledge or information sufficient to form a belief as to the truth of the averments set forth in Paragraph 42 of the Plaintiffs' Amended Complaint and, therefore, said averments are denied. 43. Denied. It is specifically denied that Fox directed that the milk be delivered to the LOL Holly Plant. With respect to any remaining averments set forth in Paragraph 43 of the 7 Plaintiffs' Amended Complaint, after reasonable investigation, the Answering Defendants are without knowledge or information sufficient to form a belief as to the truth of those averments and, therefore, said averments are denied. 44. Denied. It is specifically denied that Fox directed the driver of the truck delivering the milk to present fictitious CloverIand and DMS receipts to LOL. With respect to any remaining averments set forth in Paragraph 44 of the Plaintiffs' Amended Complaint, after reasonable investigation, the Answering Defendants are without knowledge or information sufficient to form a belief as to the truth of those averments ~md, therefore, said averments are denied. 45.-49. Denied. After reasonable investigation, the Answering Defendants are without knowledge or information sufficient to form a belief as to the truth of the averments set forth in Paragraphs 45-49 of the Plaintiffs' Amended Complaint and, therefore, said averments are denied. By way of further answer, it is specifically denied that CloverIand and Fox manufactured fictitious receipts at any time relevant hereto and that they directed anyone to take the milk to LOL. It is admitted that because Fox did not know or have any reason to believe that the milk was being taken to LOL, he did not inform LOL that the milk had failed a test. 50. Denied. It is specifically denied that Fox made any fictitious statements or prepared or created any fictitious receipts, as alleged or implied. With respect to any remaining averments set forth in Paragraph 50 of the Plaintiffs' Amended Complaint, after reasonable investigation, the Answering Defendants are without knowll~dge or information sufficient to form a belief as to the truth of those averments and, therefore, said averments are denied. 8 5 I . Denied. After reasonable investigation, the Answering Defendants are without knowledge or information sufficient to form a belief as to the truth of the averments set forth in Paragraph 51 of the Plaintiffs' Amended Complaint and, therefore, said averments are denied. 52. Denied. The averments set forth in Paragraph 52 of the Plaintiffs' Amended Complaint are denied as conclusions of law. By way of furtht:r answer, it is specifically denied that Cloverland had the milk delivered to LOL and that it sold the milk to LOL. The averments are also denied because after reasonable investigation, the Answering Defendants are without knowledge or information sufficient to form a belief as to the truth of the averments set forth in Paragraph 52 of the Plaintiffs' Amended Complaint and, thereDJre, said averments are denied. 53.-56. After reasonable investigation, the Answering Defendants are without knowledge or information sufficient to form a belief as to the truth of the averments set forth in Paragraphs 53-56 of the Plaintiffs' Amended Complaint and, therefore, said averments are denied. COUNT I LAND O'LAKES. INC. v. CLOVERLAND DAIRY UMITED PARTNERSHIP COMMON LAW BREACH OF ORAL OR IM]~LIED CONTRACT 57. Paragraphs I-56 hereof are incorporated herein by reference as if set forth in full. 58. Denied. It is specifically denied that the raw milk which is the subject of the within cause of action was delivered to LOL on behalf of CloverIand. 9 59. Denied. It is specifically denied that condemned milk was delivered to LOL for the purpose of offering the milk for sale by CloverIand to LOL. 60. Denied. Because the Plaintiffs have failed to specifically identify by name or adequate description, the "authorized officers, agents, employetls, servants, or representatives" of CloverIand referred to in Paragraph 60 of the Plaintiffs' Amended Complaint, the Answering Defendants are unable to adequately respond to this averment and, therefore, it is deemed denied. By way of further answer, it is specifically denied that Cloverland misrepresented the condition of any raw milk delivered on its behalf to LOL. With respect to any remaining averments set forth in Paragraph 60 of the Plaintiffs' Amended Complaint, after reasonable investigation, the Answering Defendants are without knowledge or information sufficient to form a belief as to the truth of those averments and, therefore, said averments are denied. 61. Denied. The averments set forth in Paragraph 6 I of the Plaintiffs' Amended Complaint constitute conclusions of law to which no response is required. It is further denied that Cloverland delivered or is responsible for the delivery of any raw milk to the Plaintiffs that was prohibited by the PMO from use in products for human consumption. 62.-63. Denied as stated. It is admitted that in general CloverIand knew that LOL used raw milk for human consumption and that it commingled milk from different sources. It is specifically denied that the Answering Defendants delivered or arranged for the delivery of raw milk to LOL that was not fit for human consumption and that would be commingled with other milk. 64. Denied. It is denied that at the time of the aforementioned agreement was entered into, it was within the contemplation of the parties that if any milk prohibited from use in 10 products for human consumption was provided by CloverIand and was subsequently commingled with other raw milk of LOL, LOL would suffer damages in that the entire tank of such commingled milk would not be suitable for human consumption and would need to be destroyed. By way of further answer, the Answering Defendants did not deliver or arrange for the delivery of the milk to the Plaintiffs. 65. Denied. It is specifically denied that Cloverland breached any agreement with LOL in connection with the delivery of raw milk for the reasons set forth in Paragraphs 1-64 hereof, which are incorporated herein by reference as if set forth in full. 66. Denied. It is specifically denied that CloverIand breached any contract with LOL for the reasons set forth in Paragraphs I -65 hereof, which are incorporated herein by reference as if set forth in full. With respect to any remaining averments set forth in Paragraph 66 of the Plaintiffs' Amended Complaint, aft~:r reasonable investigation, the Answering Defendants are without knowledge or information sufficient to form a belief as to the truth of any remaining averments and, therefore, said averments are denied. WHEREFORE, Defendants, CloverIand Dairy Limit,:d Partnership and Daniel Fox, request this Honorable Court to enter judgment in their favor, dismiss the Plaintiffs' Amended Complaint with prejudice, and award such other and further rdief as the Court deems just and proper. 11 COUNT II LAND O'LAKES. INC. v. CLOVERLAND DAIRY LIMITED PARTNERSHIP BREACH OF CONTRACT UNDER THE PENNSYL VANIA UNIFORM COMMERCIAL CODE 67. Paragraphs 1-66 hereof are incorporated herein by reference as if set forth in full. 68. Denied. The averments set forth in Paragraph 68 of the Plaintiffs' Amended Complaint constitute conclusions of law to which no response is required. To the extent a response is required, it is specifically denied that CloverIand sold the milk to LOL. 69. Denied. It is specifically denied that LOL received and accepted raw milk from CloverIand on the conduct and/or assurance from Clovedand that such raw milk was not prohibited from use in products for human consumption. By way of further answer, paragraph 68 hereof is incorporated herein by reference as if set forth in full. 70.-71. Denied. After reasonable investigation, the Answering Defendants are without knowledge or information sufficient to form a belief as to the truth of the averments set forth in Paragraphs 70 and 71 of the Plaintiffs' Amended Complaint and, therefore, said averments are denied. By way of further answer, it is speciJically denied that the Answering Defendants breached any contract with Plaintiffs. WHEREFORE, Defendants, Cloverland Dairy Limitl~d Partnership and Daniel Fox, request this Honorable Court to enter judgment in their favor" dismiss the Plaintiffs' Amended Complaint with prejudice, and award such other and further relief as the Court deems just and proper. 12 COUNT III LAND O'LAKES. INC. v. CLOVERLAND DAIRY LIMITED PARTNERSHIP BREACH OF AN IMPLIED DUTY OF GOOD FAITH 72. Paragraphs 1-71 hereof are incorporated herein by reference as if set forth in full. 73. Denied. The averments set forth in Paragraph 73 of the Plaintiffs' Amended Complaint constitute conclusions ofIaw to which no response is required. 74. Denied. It is specifically denied that Cloverland breached a duty of good faith by delivering raw milk that it knew or should have known was prohibited for use in products for human consumption. 75. Denied. It is specifically denied that Cloverland violated an implied duty of good faith and that LOL suffered any damages as a result of conduct of Cloverland. WHEREFORE, Defendants, Cloverland Dairy Limitl~d Partnership and Daniel Fox, request this Honorable Court to enter judgment in their favor, dismiss the Plaintiffs' Amended Complaint with prejudice, and award such other and further relief as the Court deems just and proper. COUNT IV LAND O'LAKES. INC. v. CLOVERLAND DAIRY LIMITED PARTNERSHIP BREACH OF AN IMPLIED WARRANTY OF MERCHANTABILITY 76. Paragraphs 1-75 hereof are incorporated herein by reference as if set forth in full. 13 77. Denied as stated. It is admitted that CloverIand is in the business of selling raw milk or milk products. It is denied that that it has more specialized knowledge or skill with respect to the processing of milk, including, but not limit,ed to, milk suitable for human consumption than the Plaintiffs. 78. Denied. It is specifically denied that Cloverland provided or sold to the Plaintiffs at anytime raw milk that was not merchantable or fit for human consumption, and it is further denied that CloverIand sold the milk in question to the Plaintiffs. 79. Denied. It is specifically denied that Clov,erland provided raw milk to the Plaintiffs at anytime that was not merchantable or fit for the ordinary purpose for which it was to be used, and it is further denied that CloverIand sold or provided to the Plaintiffs raw milk that had failed both a confirmatory test and presumptive test for antibiotics. 80. Denied as stated. It is admitted that CloverIand received notice from LOL regarding raw milk that it said was not suitable for human consumption, but it is specifically denied that CloverIand supplied the milk to the Plaintiffs as alleged. 81. Denied. It is specifically denied that CloverIancl breached any implied warranty of merchantability and that LOL suffered any damages as a resullt of conduct of CloverIand. WHEREFORE, Defendants, CloverIand Dairy Limited Partnership and Daniel Fox, request this Honorable Court to enter judgment in their favor, dismiss the Plaintiffs' Amended Complaint with prejudice, and award such other and further relief as the Court deems just and proper. 14 COUNT V LAND O'LAKES. INC. v. CLOVERLAND DAIRY LIMITED PARTNERSHIP BREACH OF AN IMPLIED WARRANTY OF FITNESS FOR A PARTICULAR PURPOSE 82. Paragraphs I -8 I hereof are incorporated herein by reference as if set forth in full. 83. Denied as stated. It is admitted that CloverIand is in the business of selling raw milk or milk products. It is denied that that it has more specialized knowledge or skill with respect to the processing of milk, including, but not limited to, milk suitable for human consumption than the Plaintiffs. 84. Denied as stated. It is admitted that Cloverland knew in general that raw milk that was sold by CloverIand to the Plaintiffs could be used for human consumption. By way of further answer, to the extent that Paragraph 84 of the Plaintiffs' Amended Complaint avers or implies that CloverIand sold to LOL raw milk that it knew was not fit for human consumption or that CloverIand breached any contract with the Plaintiffs, said averments or implications are denied. It is further denied that there was any contract between CloverIand and LOL with respect to the milk at issue in this case. 85. Denied. The averments set forth in ParagreLph 85 of the Plaintiffs' Amended Complaint constitute conclusions of law to which no response is required. To the extent a response is required, it is specifically denied that CloverIand provided raw milk to LOL that was not fit for human consumption and that it provided to LOL the milk at issue in this case. 15 86. Denied as stated. It is admitted that Cloverland received notice from LOL regarding raw milk that it said was not suitable for human consumption, but it is specifically denied that CloverIand supplied the milk to the Plaintiffs as alleged. WHEREFORE, Defendants, CloverIand Dairy Limit(:d Partnership and Daniel Fox, request this Honorable Court to enter judgment in their favor, dismiss the Plaintiffs' Amended Complaint with prejudice, and award such other and further relief as the Court deems just and proper. COUNT VI LAND O'LAKES. INC. v. CLOUSE TRUCKING. INC.. CLOVERLAND DAIRY LIMITED PARTNERSHIP. J. EDWARD CLOUSE and DANIEL FOX FRAUDULENT MISREPRESENTATION 87. Paragraphs I -86 hereof are incorporated herein by reference as if set forth in full. 88. Denied. The averments set forth in Paragraph 88 of the Plaintiffs' Amended Complaint constitute conclusions of law to which no response is required. To the extent a response is required, it is specifically denied that Answering Defendants made any material representations to LOL regarding "the raw milk" upon which the Plaintiffs reasonably relied as the Answering Defendants did not deliver or arrange for the delivery of the milk at issue to the Plaintiffs. 89. Denied as stated. It is specifically denied that J. Edward Clouse was acting on behalf of Answering Defendants or as an authorized agent, s{:rvant, or employee acting within the scope of his employment with the Answering Defendants at anytime. It, however, is 16 admitted that Fox was an employee of CloverIand, but it is denied that he had the milk at issue delivered to the Plaintiffs. With respect to any remaining averments set forth in Paragraph 89 of the Plaintiffs' Amended Complaint, after reasonable investigation, the Answering Defendants are without knowledge or information sufficient to form a belief as to the truth of those averments and, therefore, said averments are denied. 90. Denied. It is specifically denied that Fox made any false representations regarding the delivery of the truck load of milk to LOL and it is further denied that he was reckless in any manner. With respect to any remaining avemlents set forth in Paragraph 90 of the Plaintiffs' Amended Complaint, after reasonable investigation, the Answering Defendants are without knowledge or information sufficient to form a belief as to the truth of those averments and, therefore, said averments are deemed denied. 91. Denied. It is specifically denied that the Answering Defendants made any representations with the intent of misleading LOL into relying upon such representations so that it would accept the raw milk. 92. Denied. It is specifically denied that LOL justifiably relied upon any false statements or misrepresentations made by the Answering Defendants regarding the delivery of "the milk." 93. Denied. The averments set forth in Paragraph 93 of the Plaintiffs' Amended Complaint constitute conclusions of laws to which no response is required. To the extent a response is required, it is specifically denied that the Answering Defendants' conduct was outrageous in that Defendants each had actual knowledge that the milk was prohibited from use in products for human consumption or acted with reckless indifference of that knowledge and 17 caused the milk to be delivered to LOL in conscious disregard or indifference to the risk the milk would present by itself or when commingled with other raw milk intended for use in products for human consumption. By way of further answer, paragraphs I -92 hereof are incorporated herein by reference as if set forth in full. 94.-95. Denied. It is specifically denied that the Answering Defendants made any misrepresentations and that LOL relied on any misrepresentations of the Answering Defendants regarding the delivery of the load of milk. It is further denied that the conduct of the Answering Defendants caused or contributed to any losses allegedly suffered by the Plaintiffs and it is further denied that the Answering Defendants are legally responsible for any of the Plaintiffs alleged losses. WHEREFORE, Defendants, Cloverland Dairy Limited Partnership and Daniel Fox, request this Honorable Court to enter judgment in their favor, dismiss the Plaintiffs' Amended Complaint with prejudice, and award such other and further relief as the Court deems just and proper. COUNT VII LAND O'LAKES. INC. v. CLOUSE TRUCKING INC. and CLOVERLAND DAIRY LIMITED PARTNERSHIP VICARIOUS LIABILITY 96. Paragraphs I -95 hereof are incorporated herein by reference as if set forth in full. 97. Denied. After reasonable investigation, the Answering Defendants are without knowledge or information sufficient to form a belief ~LS to the truth of the averments set 18 forth in Paragraph 97 of the Plaintiffs' Amended Complaint and, therefore, said averments are denied. 98. Denied. It is specifically denied that CloverIand knew or should have known that its authorized agents, servants, or employees, including, but not limited to Fox, were likely to commit any acts of fraud as alleged in Plaintiffs' Amended Complaint and it is further alleged that neither Fox nor any authorized agent, servant, or employee of the Answering Defendants committed any acts of fraud as alleged in Count VI of the Plaintiffs' Amended Complaint. By way of further answer, paragraphs 87 through 95 hereof are incorporated herein by reference as if set forth in full. 99. Denied. After reasonable investigation, the Answering Defendants are without knowledge or information sufficient to form a belief as to the truth of the averments set forth in Paragraph 99 of the Plaintiffs' Amended Complaint ~md, therefore, said averments are denied. 100. Denied. Because the Plaintiffs have failed to identify by name or adequate description, the "authorized agent, servants, or employees" of CloverIand, other than Fox, and because the Plaintiffs have failed to specifically allege what any alleged agent, servant, or employee did and when, other than a reference to "at all times relevant hereto," the Answering Defendants are unable to respond to these averments and, therefore, said averments are denied. It is admitted that Fox was acting within the scope of his employment with CloverIand, but it is specifically denied that he made any misrepresentations to the Plaintiffs regarding the load of milk and that his conduct is the legal or proximate cause of any of the Plaintiffs' alleged damages. 19 10 I. Denied. After reasonable investigation, the Answering Defendants are without knowledge or information sufficient to form a belief as to the truth of the averments set forth in Paragraph 101 of the Plaintiffs' Amended Complaint and, therefore, said averments are denied. 102. Denied. It is specifically denied that any of CloverIand's agent, servants, or employees, including, but not limited to Fox, committed fraud" that their conduct was the direct or proximate cause of any of the Plaintiffs' damages as alleged, and that CloverIand is vicariously liable for any alleged losses of LOL. WHEREFORE, Defendants, CloverIand Dairy Limitl:d Partnership and Daniel Fox, request this Honorable Court to enter judgment in their favor, dismiss the Plaintiffs' Amended Complaint with prejudice, and award such other and further relief as the Court deems just and proper. COUNT VIII LAND O'LAKES. INC. v. CLOUSE TRUCKING INC.. CLOVERLAND DAIRY LIMITED PARTNERSHIP. J. EDWARD CLOUSE and DANIEL FOX NEGLIGENT MISREPRESENTATION 103. Paragraphs 1- I 02 hereof are incorporated h,:rein by reference as if set forth in full. 104. Denied. The averments set forth in Paragraph 104 of the Plaintiffs' Amended Complaint constitute conclusions of law to which no response is required. To the extent a response is required, it is specifically denied that the Answering Defendants supplied milk to LOL that was prohibited from use in products for human consumption. 20 105. Denied. It is specifically denied that the Answering Defendants breached any duty owed to LOL by supplying any raw milk that was prohibited from use in products for human consumption. 106. Denied. It is specifically denied that the Answering Defendants made representations as aforementioned and it is further denied that the Answering Defendants made any representations with the intent that LOL would rely upon them. 107. Denied. It is specifically denied that the Answering Defendants failed to exercise reasonable care or competence in connection with communications to the Plaintiffs and the condition of any raw milk delivered to them. 108. Denied. The averments set forth in Paragraph 108 of the Plaintiffs' Amended Complaint are denied for the reasons set forth in Paragraphs 87-95, 106, and 107 hereof, which are incorporated herein by reference as if set forth in full. 109.-110. Denied. It specifically denied that that Answering Defendants made any negligent misrepresentations and it is further denied that their conduct was the proximate or legal cause of any of the Plaintiffs' alleged damages. With respect to any remaining averments set forth in Paragraphs 109 and 110 of the Plaintiffs' Amended Complaint, after reasonable investigation, the Answering Defendants are without knowil:dge or information sufficient to form a belief as to the truth of those averments and, therefore, said averments are denied. WHEREFORE, Defendants, CloverIand Dairy Limited Partnership and Daniel Fox, request this Honorable Court to enter judgment in their favor, dismiss the Plaintiffs' Amended 21 Complaint with prejudice, and award such other and further rdief as the Court deems just and proper. COUNT IX LAND O'LAKES. INC. v. CLOUSE TRUCKING INC. and CLOVERLAND DAIRY LIMITED PARTNERSHIP VICARIOUS LIABILITY I I 1. Paragraphs 1-1 10 hereof are incorporated herein by reference as if set forth in full. 112. Denied. After reasonable investigation, the Answering Defendants are without knowledge or information sufficient to form a belief as to the truth of the averments set forth in Paragraph 1 12 of the Plaintiffs' Amended Complaint and, therefore, said averments are denied. 113. Denied. It is specifically denied that Cloverland knew or should have known that its authorized agents, servants, or employees, including, but not limited to Fox, were likely to make any negligent misrepresentations as alleged in Plaintiffs' Amended Complaint and it is further alleged that neither Fox nor any authorized agent, servant, or employee of the Answering Defendants made any negligent misrepresentations. 114. Denied. After reasonable investigation, the Answering Defendants are without knowledge or information sufficient to form a belief as to the truth of the averments set forth in Paragraph I 14 of the Plaintiffs' Amended Complaint and, therefore, said averments are denied. 22 115. Denied. Because the Plaintiffs have failed to identify by name or adequate description, the "authorized agent, servants, or employees" of CloverIand, other than Fox, and because the Plaintiffs have failed to specifically allege what any alleged agent, servant, or employee did and when, other than a reference to "at all times relevant hereto," the Answering Defendants are unable to respond to these averments and, therefore, said averments are denied. It is admitted that Fox was acting within the scope of his employment with CloverIand, but it is specifically denied that he made any misrepresentations to th,~ Plaintiffs regarding the load of milk and that his conduct is the legal or proximate cause of any of the Plaintiffs' alleged damages. 116. Denied. After reasonable investigation, the Answering Defendants are without knowledge or information sufficient to form a belief as to the truth of the averments set forth in Paragraph 116 of the Plaintiffs' Amended Complaint and, therefore, said averments are denied. 117. Denied. It is specifically denied that any of CloverIand's agent, servants, or employees, including, but not limited to Fox, made any negligent misrepresentations, that their conduct was the direct or proximate cause of any of the Plaintiffs' damages as alleged, and that CloverIand is vicariously liable for any alleged losses of LOL. WHEREFORE, Defendants, CloverIand Dairy Limit,~d Partnership and Daniel Fox, request this Honorable Court to enter judgment in their favor, dismiss the Plaintiffs' Amended Complaint with prejudice, and award such other and further relief as the Court deems just and proper. 23 COUNT X LAND O'LAKES. INC. v. CLOVERLAND DAIRY LIMITED PARTNERSHIP AND CLOUSE TRUCKING INC. NEGLIGENCE I 18. Paragraphs 1- I 17 hereof are incorporated herein by reference as if set forth in full. II 9. Denied. It is specifically denied as alleged or implied that CloverIand delivered or arranged for the delivery to LOL of the milk at issue in this case. By way of further answer, Paragraphs I - I 18 hereof are incorporated herein by refe'rence as if set forth in full. 120. Denied. It is specifically denied as alleged or implied that CloverIand delivered or arranged for the delivery to LOL of the milk at issue in this case. By way of further answer, Paragraphs 1-1 19 hereof are incorporated herein by refe,rence as if set forth in full. 121. Denied. The averments set forth in Paragraph 121 of the Plaintiffs' Amended Complaint constitute conclusions of law to which no response is required. To the extent a response is required, said averments are denied for the reasons set forth in Paragraphs I - I 20 hereof, which are incorporated herein by reference as if set forth in full. 122. Denied. The averments set forth in Paragraph 121 of the Plaintiffs' Amended Complaint constitute conclusions of law to which no response is required. To the extent a response is required, said averments are denied for the reasons set forth in Paragraphs I - I 2 I hereof, which are incorporated herein by reference as if set forth in full. 123. Denied. It is specifically denied that Cloverland breached any duties owed to LOL in connection with the delivery of the milk at issue in this case. By way of further answer, Paragraphs I - I 22 hereof are incorporated herein by reference as if set forth in full. 24 124. Denied. It is specifically denied that Cloverland breached any duties owed to LOL in connection with the delivery of the milk at issue in this case. By way of further answer, Paragraphs I - I 23 hereof are incorporated herein by reference as if set forth in full. 125. Denied. It is specifically denied that CloverIand delivered the milk at issue in this case to LOL, and it is further denied that it breached any duties owed to LOL and that it is liable to LOL or legally responsible for any of its alleged damages, which are also denied. By way of further answer, Paragraphs 1-124 hereof are incorporaLted herein by reference as if set forth in full. WHEREFORE, Defendants, CloverIand Dairy Limit"d Partnership and Daniel Fox, request this Honorable Court to enter judgment in their favor, dismiss the Plaintiffs' Amended Complaint with prejudice, and award such other and further rdief as the Court deems just and proper. COUNT XI DMS v. CLOUSE TRUCKING INC. BREACH OF CONTRACT IMPLIED IN F A.CT OR IN LAW 126. Paragraphs 1-125 hereof are incorporated herein by reference as if set forth in full. 127.-132. Denied. The averments set forth in Paragraphs 127-132 of the Plaintiffs' Amended Complaint are directed to parties other than the Answering Defendants and, therefore, no response is required. To the extent a response is required, said averments are denied for the reasons set forth in paragraphs 1-126 hereof which are incorporated herein by reference as if set forth in full. 25 WHEREFORE, Defendants, CloverIand Dairy Limited Partnership and Daniel Fox, request this Honorable Court to enter judgment in their favor, dismiss the Plaintiffs' Amended Complaint with prejudice, and award such other and further rdief as the Court deems just and proper. COUNT XII DMS v. CLOUSE TRUCKING INC. AND CLOVERLAND DAIRY LIMITED PARTNERSHIP NEGLIGENCE 133. Paragraphs 1-132 hereof are incorporated herein by reference as if set forth in full. 134. Denied. The averments set forth in Paragraph 134 of the Plaintiffs' Amended Complaint constitute conclusions of law to which no response is required. To the extent Paragraph 134 avers or implies that Cloverland breached any duties owed to DMS, said averments or implications are specifically denied for the reasons set forth in Paragraphs 1-133 hereof, which are incorporated herein by reference as if set forth in full. It is further denied that CloverIand sold any contaminated milk to DMS. 135. Denied. It is specifically denied that CloverIand was negligent and it is also denied that it breached any duty owed to DMS. With respec:t to the remaining averments set forth in Paragraph 135 of the Plaintiffs' Amended Complaint, after reasonable investigation, the Answering Defendants are without knowledge or information sufficient to form a belief as to the truth of those averments and, therefore, said averments are denied. By way of further answer, Paragraph 134 hereof is incorporated herein by reference as if set forth in full. 26 136. Denied. The averments set forth in Paragraph 136 of the Plaintiffs' Amended Complaint constitute conclusions of law to which no response is required. To the extent a responses is required, it is specifically denied that as a direct and proximate result of the commingling of the CloverIand milk with the DMS milk by Clouse Trucking and/or CloverIand, the DMS milk became unsanitary and, therefore, unfit for use in dairy products for human consumption. By way of further answer, it is specifically denied that Cloverland is legally responsible for any the losses alleged by Plaintiffs and that its conduct was the direct or proximate cause of any of the Plaintiffs' alleged losses. By way of further answer, Paragraph 135 hereof is incorporated herein by reference as if set forth in full. 13 7. Denied. It is specifically denied that the Answering Defendants caused any contamination and it is further denied they are legally liabke or responsible for any of the Plaintiffs' alleged damages. With respect to any remaining ave:rments set forth in Paragraph 137 of the Plaintiffs' Amended Complaint, after reasonable investigation, the Answering Defendants are without knowledge or information sufficient to form a belief as to the truth of those averments and, therefore, said averments are denied. By way of further answer, Paragraph 136 hereof is incorporated herein by reference as if set forth in full. 138. Denied. The averments set forth in Paragraph 138 of the Plaintiffs' Amended Complaint are specifically denied for the reasons set forth in Paragraphs 133-137 hereof which are incorporated herein by reference as if set forth in full. WHEREFORE, Defendants, CloverIand Dairy Limit'ld Partnership and Daniel Fox, request this Honorable Court to enter judgment in their favor, dismiss the Plaintiffs' Amended 27 Complaint with prejudice, and award such other and further rdief as the Court deems just and proper. NEW MATTER The Defendants further aver as follows: 139. Paragraphs 1-138 hereof are incorporated herein by reference as if set forth in full. 140. The Plaintiffs' Amended Complaint fails to state a claim upon which relief can be granted. 141. For the purposes of preserving the same, and subject to further discovery, all or some of Plaintiffs' claims are or may be time barred due to the expiration of the applicable statute of limitations. 142. For purpose of preserving the same, and subject to discovery, all or some of Plaintiffs' claims may be barred pursuant to the affirmative defenses of release, offset, or accord and satisfaction. 143. At no time relevant hereto was J. Edward Clouse (hereinafter "Mr. Clouse") an agent or servant or employee acting on behalf of either of the Answering Defendants. 144. Plaintiffs' damages and losses, if any, wen~ not caused by the conduct of or negligence of Answering Defendants, but rather were caused by pre-existing conditions and/or causes beyond the control of the Answering Defendants and, therefore, Plaintiffs may not recover against the Answering Defendants. 28 145. The acts or omissions of others, over whom the Answering Defendants had no control and for whom the Answering Defendants are not liable, may have constituted intervening and/or superseding causes of the damages alleged to have been sustained by Plaintiffs, and Answering Defendants cannot, pursuant to Pennsylvania law, be held liable for the alleged damages. 146. The incident and/or damages described in Plaintiffs' Amended Complaint were caused or contributed to by Plaintiffs and the Plaintiffs claims are or may be barred in whole or in part by the doctrines of comparativelcontributory negligence and/or the doctrine of assumption of the risk. 147. Discovery may reveal that the Plaintiffs failed to mitigate their damages. 148. Plaintiffs' losses and damages, if any, were not caused by the negligence or conduct of the agents, servants, or employees of CloverIand. 149. The milk that was picked up on or about August 6, 2001, by 1. E. Speidel of Clouse Trucking from Joel Martin was picked up on behalf of DMS for delivery to the Lehigh Valley Dairy. WHEREFORE, Defendants, CloverIand Dairy Limitt:d Partnership and Daniel Fox, request this Honorable Court to enter judgment in their favor, dismiss the Plaintiffs' Amended Complaint with prejudice, and award such other and further f1~lief as the Court deems just and proper. 29 HAWKE MCKEON SNISCAK & KENNARD LLP ;~ /.- ;J?J. Sf .kJAU L By: Steven D. Snyder {/ Attorney J.D. No. 34344 Hawke McKeon Sniscall & Kennard LLP 100 North Tenth Street PO Box 1778 Harrisburg, PA 17105-1778 (7 I 7) 236-1300 Attorneys for Defendants. Cloverland Dairy Limited Partnership and Daniel Fox DATED: July 16,2004 30 . VERIFICATION I verify that the statements made in the foregoing Answer and New Matter which are within the personal knowledge of the undersigned, are true and correct, and as to the facts based on the information of others, the undersigned, after diligent inquiry, believes to be true. And further, I have signed this Verification on the recommendation of our attorneys, who advised me that the allegations and language in this document are required legally to raise issues for resolution at trial, by the Court, or by continuing investigation and preparation for trial. I understand that some of these allegations may prove inappropriate after investigation and trial preparation are complete and I leave determination of these matters to our attorneys on their advice. I understand that all statements herein are made subject to the penalties of 18 Pa. C.S.A. 94904, relating to unsworn falsification to authorities. /'/' ~~ Lawrence C. Webster, General Manager CloverIand Dairy Limited Partnership DATED: 7.\.... ,t"J.:;\ / I.. I ZOO '-( ) U VERIFICATION I verify that the statements made in the foregoing Answer and New Matter which are within the personal knowledge of the undersigned, are true and correct, and as to the facts based on the information of others, the undersigned, after diligent inquiry, believes to be true. And further, I have signed this Verification on the recommendation of our attorneys, who advised me that the allegations and language in this document are required legally to raise issues for resolution at trial, by the Court, or by continuing investigation and preparation for trial. I understand that some of these allegations may prove inappropriate after investigation and trial preparation are complete and I leave determination of these matters to our attorneys on their advice. I understand that all statements herein are made subject to the penalties of 18 Pa. C.S.A. 94904, relating to unsworn falsification to authorities. Ea~ 7- '1 ~ Dante Fox DATED: GL~ 1(" )Zcoi CERTIFICATE OF SERVIC1B; I hereby certify that I am this day serving the foregoing document upon the persons and in the manner indicated below. Via First Class Mail: Patrick J. Reilly, Esquire Gross McGinley LaBarre & Eaton LLP 33 South 7th Street PO Box 4060 Allentown, PA 18105-4060 Counsel for Plaintiff Land O'Lakes, Inc. and Dairy Marketing Services LLC John A. Statler, Esquire Forry, Ullman, Ullman & Forry, P.C. 2000 Linglestown Road Suite 301 Harrisburg, PA 17110 Counsel for Defendants Clouse Trucking, Inc. and J.. Edward Clouse ~J? Jmy/- Steven D. Snyder DATE: July 16,2004 --i -< C) '.; ,,-. . -" co;, Cl -'-1 :~i-;! I ,C" l:~ cr'. --.-;, .') ) ,on ~, ~ .1-, ****** SUMMONS IN CIVIL ACTION TO: Clouse Trucking, Inc., 2075 Ritner Highway, Carlisle, PA 17013; Green Spring Dairy Incorporated, 1635 Market Street, Philadelphia, PA 19103; J. Edward Clouse, 2075 Ritner Highway, Carlisle, PA 17013; and Daniel Fox, 22 Schoeneck Road, Ephrata, P A 17522 YOU ARE NOTIFIED THAT THE ABOVE-NAMED PLAINTIFF HAS COMMENCED AGAINST YOU. DATE: "- )1.1 ~ ...,,_ 11. 2.0~ C.bl1PoK er 08URT - CIVIL ISION p.. '- ...l1..G..ac.rI-~ BY: LJAIJ~.. '2 ~C/l4"'~' r- Deputy W,IWDOXICLIENTSllol\c1ouse\00029077.DOC 2 AJ~~ If. 'ft.. !'\ - - 0'" W "'0 l~-V t; t'; ;:r',{ . . ~r~ - ~~ ',-, / (.> John A. Statler, Esquire Attorney 1. D. No. 43812 GOLDBERG, KATZMAN & SlllPMAN, P.C. 320 Market Street P.O. Box 1268 Harrisburg, PA 17108-1268 Telephone: (717) 234-4161 Attorney for Defendants Clouse Trucking, Inc. and 1. Edward Clouse LAND 0' LAKES, INC., Plaintiff v. : IN THE COURT OF COMMON PLEAS : CUMBERLAND COUNTY, PENNSYLVANIA : CIVIL ACTION - LAW CLOUSE TRUCKING, INC., GREEN : NO. 03-2782 CIVIL TERM SPRING DAIRY, INCORPORATED, J. EDWARD CLOUSE and DANIEL FOX, : JURY TRIAL DEMANDED Defendants PRAECIPE TO THE PROTHONOTARY OF CUMBERLAND COUNTY: Please enter the appearance of John A. Statler, Esquire, of Goldberg, Katzman and Shipman, P.C., as attorney for Defendants Clouse Trucking, Inc. and J. Edward Clouse in the above-captioned action. DATE: (p 12-~ /03 97663.1 GOLDBERG, KATZMAN & SHIPMAN, P.c. BY\~ John A. Statler, Esq . Attorney J.D. No. 43812 ~ 320 Market Street P. O. Box 1268 Harrisburg, PA 17108-1268 Telephone: (717) 234-4161 Attorney for Defendants Clouse Trucking, Inc. and J. Edward Clouse CERTIFICATE OF SERVICE I HEREBY CERTIFY that I served a true and correct copy of the foregoing document upon all parties or counsel of record by depositing a copy of same in the United States Mail at -JL..VI-e- ~ u 'tv\, day of Harrisburg, Pennsylvania, with first-class postage prepaid on the , 2003, addressed to the following: Patrick J. Reilly, Esquire Gross, McGinley, Labarre & Eaton, LLP 33 South Seventh Street P. O. Box 4060 Allentown, PA 18105-4060 Green Spring Dairy, Inc. 1635 Market Street Philadelphia, PA 19103 Mr. Daniel Fox 122 Shoeneck Road Ephrata, PA 17522 Respectfully submitted, GOLDBERG, KATZMAN & SHIPMAN, P.C. By IO~ Attorney I. D. No. 43812 320 Market Street P.O. Box 1268 Harrisburg, PA 17108-1268 Telephone: (717) 234-4161 Attorney for Defendants Clouse Trucking, Inc. and 1. Edward Clouse . ". (") Co) 0 c: W "n S, <- ..... ~g; c:: ri~~-n I" :% :r N -ni"'1 zr--- "Ce::' - '-r ~ ~'2" p--, ' '-~_:!\~-' !;2C -0 r ". ._Co,:-n ~( ~ :c:c;;('':; (-: C\ r:-;> -<en ;PC ,-, -I Z rv ~; ~ ,p '-< SHERIFF'S RETURN - REGULAR CASE NO: 2003-02782 P COMMONWEALTH OF PENNSYLVANIA: COUNTY OF CUMBERLAND LAND O'LAKES INC VS CLOUSE TRUCKING INC ET AL DAWN KELL , Sheriff or Deputy Sheriff of Cumberland County, Pennsylvania, who being duly sworn according to law, says, the within WRIT OF SUMMONS was served upon CLOUSE TRUCKING INC the DEFENDANT , at 0925:00 HOURS, on the 18th day of June , 2003 at 2075 RITNER HIGHWAY CARLISLE, PA 17013 by handing to BARBARA ICKES, SECRETARY, ADULT IN CHARGE a true and attested copy of WRIT OF SUMMONS together with and at the same time directing Her attention to the contents thereof. Sheriff's Costs: Docketing Service Affidavit Surcharge So Answers: 18.00 3.45 .00 10.00 .00 31. 45 .~~.;...< ~p R. Thomas Kl ine ?~. 07/25/2003 GROSS MCGINLEY LABARRE Sworn and Subscribed to before By: 0~.-y\ J. ~~ Deputy Sheriff me this 5~ day of ~ .;!o03 A.D. () Q ~ ~thonotary I~' SHERIFF'S RETURN - REGULAR CASE NO: 2003-02782 P COMMONWEALTH OF PENNSYLVANIA: COUNTY OF CUMBERLAND LAND O'LAKES INC VS CLOUSE TRUCKING INC ET AL DAWN KELL , Sheriff or Deputy Sheriff of Cumberland County,Pennsylvania, who being duly sworn according to law, says, the within WRIT OF SUMMONS was served upon CLOUSE J EDWARD the DEFENDANT , at 0925:00 HOURS, on the 18th day of June , 2003 at 2075 RITNER HIGHWAY CARLISLE, PA 17013 by handing to BARBARA ICKES, SECRETARY, ADULT IN CHARGE a true and attested copy of WRIT OF SUMMONS together with and at the same time directing Her attention to the contents thereof. Sheriff's Costs: Docketing Service Affidavit Surcharge 6.00 .00 .00 10.00 .00 16.00 So Answers: rJ.?2t:::'."'"4::7~ R. Thomas Kline 07/25/2003 GROSS MCGINLEY LABARRE Sworn and Subscribed to before By: [)~ i. ~ Deputy Sheriff me this 6'h day of Ufb:2/.f1)3 A. D. Q fh..#'o I Af.ld'J / rothonotary '7-" SHERIFF'S RETURN - OUT OF COUNTY CASE NO: 2003-02782 P COMMONWEALTH OF PENNSYLVANIA: COUNTY OF CUMBERLAND LAND O'LAKES INC VS CLOUSE TRUCKING INC ET AL R. Thomas Kline , Sheriff or Deputy Sheriff who being duly sworn according to law, says, that he made a diligent search and and inquiry for the within named DEFENDANT , to wit: GREEN SPRING DAIRY INCORPORATED but was unable to locate Them in his bailiwick. He therefore deputized the sheriff of PHILADELPHIA County, Pennsylvania, to serve the within WRIT OF SUMMONS On July 25th , 2003 , this office was in receipt of the attached return from PHILADELPHIA Sheriff's Costs: Docketing Out of County Surcharge Dep Philadelphia So 6.00 9.00 10.00 116.00 .00 141.00 07/25/2003 GROSS MCGINLEY R. Thomas Kline Sheriff of Cumberland County LABARRE Sworn and subscribed to before me this :J~ day of ~,.u..f ;}VV3 A.D. (\ Q "TvI. ;p,,~ ~ '- /"-i'Prothonotary In The Court of Common Pleas of Cumberlan~ County, Pennsylvania 'Land O'Lakes, Inc ~iouse Tru~iing, Inc et al SERVE: Green Spring Dairy, Incorpor;,'l-ted NO. I 03-2782 Now, June 17, 2003 , !, SHERIFF OF CUMBERLAND COUNTY, P A, do hereby deputize the Sheriff of Philadelphia County to execute this Writ, this deputation being rnade at the request and risk of the Plaintiff. ?'p/~( .~~".e~-,< ?:e.1:~~ Sheriff of Cumberland County, PA Affidavit. of Service Now, .0lltU ;;('1, ~ ,20 02:>, at ;(:~0 o'clock P M. served the within _ Sv /11 mo f1 S upon 3(ftVl ,spn n3 DOJ Y1j IJnC. at \,")16 ~Q)(kLt c51, Sk l2\O,flvJ~ I~ byhandingto \2J:JSIC W.u\Sn a copy of the original ~ ",....."I and made known to n.e v the contents thereof. So answers, ~~~;:J 40d.0A"~~ 5e ~~ty, PA rver Sworn and subscribed before me this. ~ day of ;j(IhL- ,2017? . .-Na~~-) \ SUSAN L. ROSENFELD, Notary Public City of Phlladel hia, Phlla, County My Commission ~J/i~~Mar9b Bk~Q9A COSTS SERVICE MILEAGE AFFIDA VIT $ $ SHERIFF'S RETURN - OUT OF COUNTY CASE NO: 2003-02782 P COMMONWEALTH OF PENNSYLVANIA: COUNTY OF CUMBERLAND LAND O'LAKES INC VS CLOUSE TRUCKING INC ET AL R. Thomas Kline , Sheriff or Deputy Sheriff who being duly sworn according to law, says, that he made a diligent search and and inquiry for the within named DEFENDANT , to wit: FOX DANIEL but was unable to locate Him in his bailiwick. He therefore deputized the sheriff of LANCASTER County, pennsylvania, to serve the within WRIT OF SUMMONS On July 25th , 2003 , this office was in receipt of the attached return from LANCASTER Sheriff's Costs: Docketing Out of County Surcharge Dep Lancaster Co So answe 6.00 9.00 10.00 49.22 .00 74.22 07/25/2003 GROSS MCGINLEY R. Thomas Kline Sheriff of Cumberland County LABARRE Sworn and subscribed to before me this day of ~ a;A.D. Q JvJP,.~ -to....j"'. Prothonotar'y- r ,.... t>- In The Court of Common Pleas of Cumberland County, Pennsylvania Land O'Lakes, Inc VS. Clouse Trucking, Inc et al Daniel Fox SERVE : No. 03-2782 Now, June 17, 2003 , I, SHERIFF OF CUMBERLAND COUNTY, P A, do hereby deputize the Sheriff of Lancaster County to execute this Writ, this deputation being rnade at the request and risk of the Plaintiff. .r~ed"<:..r~ Sheriff of Cumherland County, PA Affidavit of Service Now, ,20_, at o'clock M. served the within upon at by handing to a copy of the original and made known to the contents thereof. So answers, Sheriff of County, PA Sworn and subscribed before me this _ day of ,20_ COSTS SERVICE MILEAGE AFFIDAVIT $ $ r 5329 Dr~ ~. """ ~Nt]1 SHERIFF'S OFFICE 50 NORTH DUKE STREET, P.O. BOX 83480, LANCASTER, PENNSYLVANIA 17808-3480 . (717) 299-8200 SHERIFF SERVICE PROCESS RECEIPT, and AFFIDAVIT OF RETURN 1 LMlWI~i1;AKES INC PLEASE TYPE OR PRINT LEGIBLY. DO NOT DETACH ANY COPIES. 2 COURT NuMBER 03-2782 3 DEFENDANT /SI DAN!EL FOX 4 TYPE OF WRIT OR COMPLAINT WRIT OF SUMMONS SERVE {5 NAME OF INDIVIDUAL. COMPANY, CORPORATION, ETG, TO BE SERVED .. ANIEL FOX 6 ADDRESS (Street or RFO, Apartment No" City, Bora. Twp, Slate and ZIP Code) AT 122 SCHOENECK RD EPHRATA PA 17522 7 INDICATE UNUSUAL SERVICE: 0 DEPUTIZE 0 OTHER Now. 20 __ . I. SHERIFF OF LANCASTER COUNTY. PA.. do hereby deputize the Sheriff of County to execute this Writ and make return thereof according to law. This deputation being made ,at the request and risk of the plaintiff. 8. SPECIAL INSTRUCTIONS OR OTHER INFORMATION THAT WILL ASSIST IN EXPEDITING SERVICE: SHE:RI~r o~ LANCASTER COUNTY , r. CUMBERLAND CO NOTE ONLY APPLlCA8LE ON WRIT OF EXECUTION: N.B. WAIVER OF WATCHMAN - Any deputy sheriff levying upon or attaching a,ly properly under within writ may leave same without a watchman, in custody of whomever is found in possession, after notifying person 01 levy or attachment, without liability on the part of such deputy or the sheriff to any plaintiff herein lor any loss, destruction or removal 01 any such property before sherilf's sale thereol 9, SIGNATURE 01 ATTORNEY or ottler ORIGINATOR 110 TELEPHONE NUMBER 111 DATE PATRICK REILLY GROSS MCGINLEY LABARRE & EA~N 610-820-5450 6/13/03 12, SEND NOTICE OF SERVICE COPY TO NAME AND ADDRESS BELOW: (ThiS area must be completed if notice is to be mailed) CUMBERLAND CO SHERIFF'S OFFICE :;: H '" (} tl :-: ., "l o X SPACE BELOW FOR USE OF SHERIFF ONLY - DO NOT WRITE BELOW THIS LINE 13 , k 'd I '1" '1 NAME of Authorized LCSO Deputy or Clerk 114 Date Received 1'5 ElI:piration/Hearing date . ac now e ge recelp 0 "e Wrl r o,complaonla.,ndicaledabove r ANNETTE WALTON (71 ~-3609 6.18.03 7/14/03 16 I hereby CERTIFY and RETURN that I 0 have personally served, ~egal evidence 01 service as shown In "Remarks", n have executed as shown In "Remarks", the wnt or complaint described on the individual, company, corporation, etc. al the address shown above or on Ihe individual, company, cor- poration. etc. at the address inserted below by handlrlg a TRUE and ATTESTED Copy thereof 17 0 I hereby certify and return a NOT FOUND because' am unable to locate the individ~al, company, corporation, etc, named above (See remarks below) 1 ;t:);;; ;:;~iVidU~~1 ::n abOSRe,atiOns: I~anl) 1'9 L~~';:', Be'ow (No 30) 20 Add,e" 0' wOe,e selVed ,comp'ele on'y" d,"'''enll~a.:).'~:vel (Sl'ee' OIRFD,Apartmenl No . c~o,o Twp S'ale and Z,pCodel I T /'-t'~O~'--'V"JIC-.r ~ ~/'l-f'-?""A-r p,;f- 1'7::n-'--- 23 ATTEMPTS t7,~ ~ w.:f-%1;z ~ 0".1 Mile, loep Int.I O,t. 25 ~~~'~Ocos" 126 Nota,y Cert 127 Milaat~~I~e/l2 1284Q'.C22- 129 jC~;08EFUNO ~~<..::f ?t-2::>p~..s>S' 21 Dale of Service 22 Time - PM (\S~!!BT 7- t' '11"---0.3 . .., EDST I MH.s I Oep. Int.I 0... I MHos I Oep. Int. 24 Advance Costs R ,)."7 ~(e,150.00 30 REMARKS S.T,A ~ ~ "2-<D - Wd~ i ~_ 'SS')"'~; AL:t~lC}'ll'i :;,:. PINf< . ALto~ "'\-' C /UI/335 ? '//)~ ~~A SOrR. ~?~ ~.t.~/e o!/7 k r ~.... 33 Dale 0'0 ,.-.!.../-<:-/~ ~.J ~ 7 - / '7"-03- 35 s"o""'o;~=~_~ 36 ~~~~~___ <..V.j,1,f"';, S'lerift's Office 4. BlUE S~fllift's OWce .),~ ",J 31 AFFIRMED and subscribed 10 before me this 34 day of ~u\v ) 37 ~_6_",-,L \-\ . c; <- tz. , P!othonola'v'''' ~"'!'.. C2!AM~~~~~ EXP'~~~__~._~_.__ 20D3 J,. ",,.,10.<; .;;;11 /-~ if '" ~"-'" ,t''"''''''''~" ^,~j! ...1. , ,,_~J r-) ;~- .;....-,1 'if]': ,'j '!"l;,'c::'C'i ,+~~t";~~;r-f-, "l!.,"" "t',-'-". ',Jt-\ .,". ., ., ....~ - , . \. /""'. ;~~,,^,-,,~ ;~~ ' , I " v ..: c-.....__~ 1'" t-., ,," -""'''''1~'--''' ,~ Y:~-' :;:H ........... ~ ~~ ., " , \ ~, - ,,'t I.R' , '. ---. ,,,,,-...! -..... ;";:)~\.l~_~:;,~ ~:- T,; A(.W':: ~~-', r'-- ::!Pd '\ '. .....,.. ~\. ':, ",~_. '. 'y', ~''''-'' ? , " L , . ..... l-~ . . ;~'~"~ ......,"''''~-' ,:,,,.,,,~ .." -h ...... -.-""1 '.~'~' < "'" .' , "I' ~A .~ IN TIlE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA CIVIL ACTION - LAW , Ioefendants ) ) ) ) ) ) ) ) ) ) ) ) LAND O'LAKES, INC. No: 03-2782 Civil Term Plaintiff v. CLOUSE TRUCKING~C.' GREEN SPRING DAIRY, INC ORATED, J. EDWARD CLOUSE nd DANIEL FOX, . NOTICE YOU HAVE BEEN S ED IN COURT. IF YOU WISH TO DEFEND AGAINST THE CLAIMS SET FORTIl IN TIlE FOLL WING PAGES, YOU MUST TAKE ACTION WITHIN TWENTY (20) DAYS AFTER TIllS CO LAINT AND NOTICE ARE SERVED, BY ENTERING A WRITTEN APPEARANCE PERS NALLY OR BY ATTORNEY AND FILING IN WRITING WITIl TIlE COURT YOUR DEF SES OR OBJECTIONS TO THE CLAIMS SET FORTIl AGAINST YOU. YOU ARE WARNED HAT IF YOU FAIL TO DO SO THE CASE MAY PROCEED WITIlOUT YOU AND A JUDGMENT AY BE ENTERED AGAINST YOU BY THE COURT WITIlOUT FURTIlER NOTICE FOR ANY ONEY CLAIMED IN THE COMPLAINT OR FOR ANY OTIlER CLAIM OR RELIEF REQUESTE BY TIlE PLAINTIFF. YOU MAY LOSE MONEY OR PROPERTY OR OTHER RIGHTS IMP RTANT TO YOU. YOU SHOULD TAK TIllS PAPER TO YOUR LAWYER AT ONCE. IF YOU DO NOT HAVE A LAWYER, GO TO OR TELEPHONE TIlE OFFICE SET FORTH BELOW IF YOU CANNOT ^*,ORD TO HIRE A LAWYER, TIllS OFFICE MAY BE ABLE TO PROVIDE YOU WITIl INFO~;\TION ABOUT AGENCIES TIlAT MAY OFFER LEGAL SERVICES TO ELIGffiLE PERSONS ~T A REDUCED FEE OR NO FEE. I , W:\ WDOXlCLlENTS\IOI\CIO+\00009396.DOC CUMBERLAND COUNTY BAR ASSOCIATION 2 LIBERTY AVENUE CARLISLE, PA 17013 /1 PHONE: (800) 990-9108 I / ",ro,ESQUill! ATTORNEY FOR PLAINTIFF I.D. # 32235 IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA CIVIL ACTION - LAW LAND O'LAKES, INC., and DAIRY MARKETING SERVICES, LLC, [Plaintiff, v. CLOUSE TRUCKlNi' INC., GREEN SPRING DAIRY, IN ORPORATED, 1. EDWARD CLOUS and DANIEL FOX, ! ! IDefendants. ) ) ) ) ) ) ) ) ) ) ) ) ) COMPLAINT No: 03-2782 Civil Term COMES NO,+" the Plaintiffs above captioned, by and through their counsel, Gross, ! McGinley, LaBarre ~ Eaton, LLP, and state their Complaint based upon the following causes of action: 1. The PIFntiff, Land O'Lakes, Inc. (hereinafter "LOL"), is a Minnesota agricultural cooperative corporalion authorized to conduct business within the Commonwealth of Pennsylvania, with ~ business address of 405 Park Drive, Carlisle, Cumberland County, ! Pennsylvania. 2. The Plaintiff, Dairy Marketing Services, LLC (hereinafter "DMS"), is a limited i I liability company dojng business in Pennsylvania with offices at P.O. Box 4814, Syracuse, New York 13221-4844. 3. The $efendant, Clouse Trucking, Inc. (hereinafter "Clouse Trucking"), is a corporation organize? and existing under the laws of the Commonwealth of Pennsylvania, with its principal place of business located at 2075 Ritner Highway, Carlisle, Cumberland County, Pennsylvania. 4. The Defendant, Green Spring Dairy, Incorporat,~d (hereinafter "Green Spring"), is a Maryland corporatiqn authorized to do business in the Commonwealth of Pennsylvania, with an address for purposes of service % CT Corporation System, 1635 Market Street, Philadelphia, Philadelphia County, fennSylVania. . 5. The Dffendant, J. Edward Clouse (hereinafter "Clouse"), is an adult individual who at all times rele~ant to the within cause of action was the Chief Executive Officer, and an ! authorized employee I>f Clouse Trucking, Inc., with an address of 2075 Ritner Highway, Carlisle, Pennsylvania 17013, ~d who was acting within the scope of his employment. 6. The Dtfendant, Daniel Fox (hereinafter "Fox"), is an adult individual who at all times relevant to the .jvithin cause of action was an authorized employee of Green Spring with an address of 122 SCho~eck Road, Ephrata, Lancaster County, Pennsylvania, and who was acting within the scope ofhi~ employment. I 7. At all I times relevant to the within cause of action, LOL operated a dairy processing plant at ~t. Holly Spring, Cumberland County, Pennsylvania (hereinafter the "Holly I Plant"), at which it r~ceived tank truck loads of raw milk for processing into dairy products for human consumption. ! 8. Joel ~artin (hereinafter "Martin") is a dairy larmer, commonly referred to as a , I , producer, who, at all !times relevant to the within cause of action, had a contract to sell all of his ! milk production to Gteen Spring. 9. At all times relevant to the within cause of action, Green Spring was a fluid milk dairy processor, co~OnlY known as a "handler", who engaged Clouse Trucking to pick up raw ! ! 2 milk from certain producers, including Martin, and to deliver the raw milk to its own or other dairy plants. 10. At all times relevant to the within cause of actions, DMS marketed milk of producers, including qertain producers located in Pennsylvania ("DMS Producers"), and engaged Clouse Trucking to pick up raw milk from producers and deliwr the raw milk to dairy plants. 11. All De~endants knew or should have known that for a period of time immediately prior to August 6, 20q 1, Martin had halted milk shipments because of the presence of antibiotics , in Martin's raw milk. i , 12. On or ~bout August 6, 2001, 1. E. Speidel (hereinafter "Speidel"), an employee of Clouse Trucking, opiating a tank truck owned by Clouse Tmcking, on behalf of Green Spring picked up a load ofraF milk from the farm tank of Martin (hereinafter the "Green Spring Milk"). , Prior to loading suchlraw milk onto the rear compartment of the tank truck, Speidel took a raw I milk sample, commo,lY referred to as a producer sample, from the Martin farm tank. i 13. Therea~er, in the same tank truck and on behalf of DMS, Speidel picked up more milk from the farm I tanks of the DMS Producers (hereinafter "DMS Milk") and also took , producer samples fro/n such DMS Producers' farm tanks and loaded the DMS Milk into the rear , compartment ofthe t~ truck. , 14. Speidel prepared and signed a Green Spring form delivery receipt specifying the amount of milk rec~ved from Martin and prepared and signed a DMS form delivery receipt I specifying the amount of milk picked up from each DMS producer, to be delivered with the milk , i to the dairy plant recqiving the milk. , 3 15. Clouse Trucking delivered the Green Spring Milk and DMS Milk to the Lehigh Valley Dairy (hereinafter "LVD") processing plant in Schuylkill Haven, Schuylkill County, Pennsylvania and presented the delivery receipts. 16. Milk received at dairy plants in Pennsylvania must be tested in accordance with procedures set forth il1 the "Grade A Pasteurized Milk Ordinan'~e" published by the United States Department of Health and Human Services, Public Health Service, Food and Drug Administration ("PM<!>"), in particular as set forth in Appendix "N" of the PMO (hereinafter Appendix "N"), for th4 presence of antibiotics above acceptable: levels. 17. The antipiotics testing required by the PMO may be done in two steps: a) -4\ presumptive test is initially performed by an industry analyst certified to conduct such test. If s~ch test indicates a negative result (acceptable levels of or no antibiotics), the milk may be receiv~d for processing into dairy products for human consumption; b) Ifthe presumptive test is positive (unacceptable levels of antibiotics), then a more sensitive "con4rmatory" test is conducted by a laboratory certified to perform such a confirmatory test. If suph confirmatory test indicates a negative result, the milk may be received and processed into a dOli/)' product for human consumption. 18. Ifboth a fresumptive and confirmatory test show a positive result, the milk cannot be used for human consfnnption, regardless of further testing, and must be rejected by the dairy plant. 19. LVD em~loys individuals certified to perform presumptive tests for antibiotics and operates a laborato~ at Schuylkill Haven, Pennsylvania (hereinafter "L VD Lab") certified to I conduct confirmatory tests for antibiotics. I I I I 4 20. An L VD employee performed a presumptive test on a sample of the co-mingled DMS and Green Spring milk from the rear compartment of the Clouse tank truck. The presumptive test showed a positive result. 21. The LVD Lab then performed a confirmatory t.est on a sample of the co-mingled DMS and Green Spring milk from the rear compartment of the Clouse tank truck. The confirmatory test also IShowed a positive result. 22. In acco~dance with the PMO, all the milk from the rear compartment of the Clouse tank truck, the Green $pring Milk and the DMS Milk, was rejected by L VD as not fit to be used for dairy products for ~uman consumption (hereinafter the "Condenmed Milk"). 23. LVD L~b then tested each individual producer sample of the producers whose milk was contained in ~e rear compartment, and the Martin producer sample was determined to be the source of the ant/biotic residue. 24. L VD La~ personnel placed metal seals on both openings to the compartment of the tank truck which coptained the Condenmed Milk. 25. LVD La~ personnel placed a tag on the tank truck which stated: "REJECTED REAR COMP POSITlVE ANTIBIOTICS. TUSCANILEHY.GH DAIRIES SCHUYLKILL HAVEN, PA, AUGUST 6, 2001." 26. L VD La~ personnel advised the Clouse driver that the Condenmed Milk was condemned and must beidumped. I 27. LVD La~ personnel wrote on the delivery receipt for the Green Spring Milk: ! I "Rear Compartment Rejtcted due to Antibiotics. Front Compartment Received." 28. LVD Lab rersonnel retained the producer samples of the Condenmed Milk. I I , , , I 5 29. LVD Lab personnel forwarded reports of the presumptive and confirmatory tests of the Condenmed Milk to the Pennsylvania Department of Agriculture, Division of Milk Sanitation. 30. L VD Lab personnel notified DMS by telephone of the rejected load and identified the source of the antibtiotic residue as a Green Spring producer. , 31. Dairy Industry custom and practice common throughout Pennsylvania and Maryland is that the pairy handler of a producer whose milk causes a co-mingled load to be rejected is responsiblel for the disposition of the Condenmed Milk. Accordingly, Green Spring, as the handler purchaS~ng the milk of Martin, was responsible for disposition of the Condenmed Milk. I 32. DMS c~lled Clouse Trucking and advised Clouse Trucking to contact Green Spring to arrange for t~e disposition ofthe Condenmed Milk. 33. The Clorse truck with the Condemned Milk returned to a Clouse Trucking I , facility. I 34. At all tirfes relevant to the within cause of action, Clouse was familiar with the requirements of the P~O, including the provisions of Appendix "N", and Clouse was further aware that the LOL H111y Plant processed raw milk for dairy products to be used for human consumption. 35. At all ti~es relevant to the within cause of action, Fox was familiar with the requirements of the PM~, including the provisions of Appendix "N", and Fox was further aware that the LOL Holly Plant, processed raw milk for dairy products to be used for human consumption. 6 36. Fox and/or Clouse created a new delivery receipt for the Green Spring Milk which i did not contain the language that L VD placed on the original Green Spring delivery receipt indicating that the milk was rejected because of antibiotics, and Fox and/or Clouse forged the signature of Speidel who had picked up the milk from Martin (hereinafter "Fictitious Green Spring Receipt"). 37. Fox an~or Clouse also created a new delivery receipt for the DMS Milk which had been commingle~ with the contaminated Green Spring Milk, which new receipt did not I disclose that both the tont and rear tank compartments had been filled with producer milk as had I been indicated on the I original delivery receipt and Fox and/or Clouse forged the signature of I Speidel who had picked up the DMS Milk from producers (hereinafter "Fictitious DMS Receipt"). 38. At som~ time, Clouse and Fox removed the LVD seal on the lid of the rear , compartment of the t4 truck and removed the antibiotics tag placed there by L YD. 39. LOL emfloys individuals certified to perform presumptive tests for antibiotics and operates a laboratory (h~reinafter "LOL Lab") which is certified to conduct confirmatory tests. 40. Later on iAugust 6, 2001, a representative of Clouse Trucking contacted LOL and requested the LOL Lab 10 test two producer samples for antibiotics. 41. Later on ~ugust 6, 2001, Fox delivered to the LOL Lab raw milk identified as producer samples numrer 1002 purportedly from Dan Martin and number 1012 from Joel Martin. Both samples t9sted negative for antibiotics. 42. Later on .1.ugust 6, 2001, Clouse contacted LOL and requested approval to deliver a load of raw milk to te Holly Plant. I ! Clouse further represented that the producer samples 7 which were brought to LOL by Fox earlier in the evening represented the same raw milk on the truck. 43. Despitll knowledge that under the PMO the Condenmed Milk could not be used for human consumption, Fox and/or Clouse without any authorization from DMS, directed that the Condenmed Milk be delivered to the LOL Holly Plant. I I 44. Clouse ~d/or Fox directed the driver of the truck delivering the Condenmed Milk to present the Fictitio~s Green Spring and DMS Receipts to LOL. I 45. At apprpximately 11:30 p.m. on August 6, 2001, the Clouse Trucking tank truck driven by a Clouse trucking employee with 29,506 pound's of the Condenmed Milk was , received at the LOL Hjolly Plant, and the Fictitious Green Spring and DMS Receipts which had been manufactured b~ Clouse, Fox, Green Spring and/or Clouse Trucking were provided to LOL. 46. The LO~ Lab frequently receives sealed tank truck loads for confirmatory testing which had previously! tested positive for antibiotics in a presumptive test conducted by an ! , industry analyst at a plaPt not certified to do the confirmatory tests. I , 47. LOL La~ personnel specifically asked Clouse if there was any reason not to take the milk, and he respon1ed that there was not. , 48. The LOLiLab performed a confirmatory test on the milk which showed a negative , I result. , I 49. At no tinte did Fox, Clouse or any representativ,e of Clouse Trucking or Green I Spring advise LOL thatl the Condemned Milk had previously fililed a confirmatory antibiotics test. 8 50. Based upon the statements of Clouse and Fox as aforementioned, the Fictitious Green Spring ReceiI1t and the Fictitious DMS Receipt, and the testing which was performed, LOL received 29,5061pounds of Condenmed Milk from the Clouse Trucking truck. 51. The 29;506 pounds ofCondenmed Milk from the Clouse Trucking tank truck was pumped into a LOL raw milk storage silo and commingled with 454,854 pounds of milk from other producers. 52. The delivery of the Condenmed Milk by Green Spring and/or Clouse Trucking constituted a sale ofthp Condenmed Milk by Green Spring to LOL. 53. On Augrst 7, 2001, the Pennsylvania Department of Agriculture notified LOL that , the milk in the Clous~ Trucking tank truck, the Condemned Milk, which had been received by LOL the previous day,!had previously failed both a presumptivf: and confirmatory antibiotics test and could not be used I for dairy products for human consumption, and further advised that any raw milk with which t~e Condenmed Milk had been commingled could not be used for human consumption. 54. LOL waJ required to destroy the 484,360 pounds of milk in the raw milk storage I silo into which the CO*denmed Milk had been pumped, or to dispose of it for uses other than human consumption. 55. As a result of the aforementioned circumstances, LOL suffered a loss of$100,898. 56. As a result of the aforementioned circumstances, DMS suffered a loss of$4,756. , COUNT I LAND 0' LA S INC. v. GREEN SPRING DAIRY, INCORPORATED COMMON LAW BREACH OF ORAL OR IMPLIED CONTRACT orates herein by reference Paragraphs 1 through 56 of its Complaint as 57. if the same were set fort at length herein. 9 58. The raw milk, which is the subject of the with:in cause of action, the Condenmed Milk, was delivered to LOL by Clouse on behalf of Green Spring. 59. The Condenmed Milk was delivered to LOL for the purpose of offering the Condemned Milk for sale by Green Spring to LOL. 60. LOL, believing based on the aforesaid statements and/or actions of Green Spring, by and through its au(thorized officers, agents, employees, servants, or representatives, that the raw milk was suitable Ifor human consumption, received and accepted the raw milk. 61. A matebal term of this oral or implied agreement was that the raw milk delivered by Green Spring wopld not be prohibited by the PMO fi'om use in products for human consumption. 62. At the tlime that the aforementioned agreement was entered into, Green Spring knew, should have knqwn, or it was within the contemplation of Green Spring that the aforesaid raw milk would be use~ for human consumption. 63. At the time that the aforementioned agreement was entered into, Green Spring knew, should have kno~, or it was within the contemplation of Green Spring, that the aforesaid raw milk would be co-tiIingled with other raw milk ofLOL. 64. At the ti~e that the aforementioned agreement was entered into it was within the contemplation of the farties that if any milk prohibited from use in products for human consumption was provi~ed by Green Spring and was subsequently co-mingled with other raw , milk of LOL, LOL wo~d suffer damages in that the entire tank of such co-mingled milk would not be suitable for humaP consumption and would need to be deslroyed. 10 65. Green Spring breached the agreement with LOL in that it delivered to LOL raw milk which it knew or should have known was prohibited from use in products for human consumption because ,it had failed a presumptive test and a confirmatory test for antibiotics. 66. As a result of the breach of the contract by Green Spring as aforementioned, LOL suffered damages in the amount of $100,898 because the entire raw milk storage silo was prohibited from use iq products for human consumption. , , , WHEREFO~, Plaintiff respectfully requests this Honorable Court enter judgment in its , , favor in the amount 0~$IOO,898, together with interest and the costs of the within proceeding. : COUNT II LAND q' LAKES, INC. v. GREEN SPRING DAIRY, INCORPORATED ! BREACH OF CONTRACT UNDER THE jPENNSYLV ANIA UNIFORM COMMERCIAL CODE , 67. LOL in~rporates herein by reference Paragraphs: 1 through 66 of its Complaint as , if the same were set fO~ at length herein. 68. The salei of raw milk from Green Spring to LOL constitutes a sale of good under , , the Pennsylvania Unift Commercial Code. 69. LOL rec~ived and accepted the raw milk from Green Spring on the conduct and/or , , assurance from Green ~pring that such raw milk was not prohibited from use in products for human consumption. 70. After hating received the raw milk, LOL was advised by the Pennsylvania Department of AgricuI~e that the raw milk was prohibited fi:om use in products for human I consumption. , 71. As a res1lt of the breach of the sale of goods by Green Spring, LOL suffered damages as aforementioted. , i , I , 11 WHEREFORE, Plaintiff respectfully requests this Honorable Court enter judgment in its favor in the amount or $100,898, together with interest and the, costs of the within proceeding. COUNT III ~p 0' LAKES v. GREEN SPRING DAIRY, INCORPORATED . BREACH OF AN IMPLIED DUTY OF GOOD FAITH 72. LOL incorporates herein by reference Paragraphs 1 through 71 of its Compliant as , if the same were set f1rth at length herein. 73. Under ~he Uniform Commercial Code, every contract imposes an obligation of good faith in its perfofnance. 13 Pol. C.S.A. ~ 1203. 74. Green 'ring breached such duty of good faith by delivering raw milk that it knew or should have know 1as prohibited for use in products for human consumption. , 75. As a refult of the violation of the implied duty of good faith, LOL suffered damages as aforementipned. WHEREFORE~ Plaintiff respectfully requests this Honorable Court enter judgment in its , favor in the amount off100,898, together with interest and the costs of the within proceeding. , 76. LOL incfrporates herein by reference Paragraphs I through 75 of its Complaint as if the same were set for at length herein. 77. At all tiures relevant to the within cause of action, Green Spring was a merchant because it deals in raw Imilk or milk products, and held itself out as having knowledge or skill particular to the proce sing of milk, including, but not limitf:d to, milk suitable for human COUNT IV LAND 0 LAKES INC. v. GREEN SPRING DAIRY INCORPORATED BREAC OF AN IMPLIED WARRANTY OF MERCHANTABILITY consumption. 12 78. The raw milk provided by Green Spring was not merchantable because it is not of fair average quality within the description, as the raw milk was not, as so described, fit for human consumption given that it had failed a confirmatory and presumptive test for antibiotics. 79. The raw milk provided by Green Spring was not merchantable or fit for the ordinary purpose for which it was to be used in that it was prohibited from use in products for I human consumption btcause it had failed a confirmatory test and presumptive test for antibiotics. 80. Green Spring, within a reasonable time after LOL discovered the breach, had been , , I notified that the raw mjlk was not suitable for human consumption. , , 81. As a r~sult of the breach by Green Spring of the implied warranty of merchantability, LOL s~ffered the damages as aforementioned. , WHEREFORE,I Plaintiff respectfully requests this Honorable Court enter judgment in its favor in the amount of~100,898, together with interest and the costs of the within proceeding. COUNT V LAND 0' LAKES INC. v. GREEN SPRING DAIRY, INCORPORATED BACH OF AN IMPLIED WARRANTY OF FITNESS FOR A PARTICULAR PURPOSE 82. LOL incofporates herein by reference Paragraphs ]1 through 81 of its Complaint as ifthe same were set fort~ at length herein. , , 83. At all timfs relevant to the within cause of action, Green Spring was a merchant , I because it deals in raw tilk or milk products, and held itself out as having knowledge or skill particular to the proces,ing of milk, including, but not limited to, milk suitable for human consumption. I 13 84. At all times relevant to the within cause of action, Green Spring knew or had reason to know, at tI1e time of contracting, that the raw milk was required for a particular purpose; namely, hunjan consumption. 85. The raw milk provided by Green Spring to LOL was not fit for its particular purpose because it had failed a confirmatory test and presumptive test for antibiotics. 86. Green $pring, within a reasonable time after LOL discovered the breach, was notified that the raw uflk was not suitable for human consumption. , WHEREFORE~ Plaintiff respectfully requests that this Honorable Court enter judgment in its favor in the ailiount of $100,898, together with interest and the costs of the within , proceeding. COUNT VI L D O'LAKES INC. V. CLOUSE TRUCKING, INC., GREEN SPRING DAIRY INCORPORATED, i J. EDWARD CLOUSE and DANIEL FOX i FRAUDULENT MISREPRESENTATION 87. LOL inc4rporates herein by reference paragraphs 1 through 86 of its Complaint as , if the same were set fo~ at length herein. 88. At all tintes relative to the within cause of action,. the Defendants knew that their representations were m~terial to LOL's decision to accept the raw milk as LOL would not have accepted the raw milk iflit was not suitable for human consumption. , I 89. At all ti~es relevant to the within cause of action, Clouse and Fox were acting both in their individual I capacity and on behalf of their employers, as authorized agents, and ! within the scope of their Fmployment. , 90. At the tim s the representations as aforementioned were made by Clouse and Fox, they were false, and wer made with actual knowledge that the raw milk was not, as represented, 14 suitable for human consumption, or recklessness as to whether or not the representations were true. 91. The af<lrementioned representations were made by the Defendants with the intent of misleading LOL into relying upon such representations so that it would accept the raw milk. 92. In justifiable reliance upon the statements made by the Defendants, LOL accepted I delivery ofthe Condetned Milk. 93. The D~fendants conduct was outrageous in that Defendants each had actual , I knowledge that the !Condemned Milk was prohibited from use in products for human I ! consumption or acted Mrith reckless indifference of that knowledge and caused the Condemned , Milk to be delivered tp LOL in conscious disregard or indifference to the risk the Condemned Milk would present b~ itself or when commingled with other raw milk intended for use in , products for human co*sumption. I 94. As a refult of LOL's reliance upon the representations of the Defendants as , aforementioned, LOL tas caused damage in the amount of$100,898. 95. LOL's fesulting injury was proximately caused by its reliance upon the representations made bt the Defendants. WHEREFORE,! LOL respectfully requests this Honorable Court enter judgment in its i favor in the amount of~100,898, together with punitive damages, interests and the costs of the within proceeding. 15 COUNT VII LAND 0' LAKES, INC. v. CLOUSE TRUCKING, INC. and GREEN SPRING DAIRY, INCORPORATED VICARIOUS LIABILITY 96. LOL irjcorporates herein by reference Paragraphs I through 95 of its Complaint as if the same were set forth at length herein. 97. At all tlmes relevant hereto, Clouse Trucking knew or should have known that its authorized agents, se~ants, or employees, including, but not limited to Clouse, were likely to commit the acts of fra~d set forth above in Count VI. 98. At all times relevant hereto, Green Spring knew or should have known that its I i authorized agents, seIjvants, or employees, including, but not limited to Fox, were likely to , commit the acts of fra~d set forth above in Count VI. , 99. At all tlmes relevant hereto, Clouse Trucking's authorized agents, servants, or employees, including, but not limited to Clouse, were acting within the scope of their employment. 100. At all fmes relevant hereto, Green Spring's authorized agents, servants, or employees, including, 1ut not limited to Fox, were acting within the scope oftheir employment. 101. As a dir~ct and proximate result of the fraud of Clouse Trucking's authorized , agents, servants, or erployees, including, but not limited 1:0 Clouse, Clouse Trucking IS I vicariously liable for thf damages sustained by LOL as set forth above in Count VI above. , 102. As a dire!t and proximate result of the fraud of Green Spring's authorized agents, servants, or employees, ,including, but not limited to Fox, Green Spring is vicariously liable for the damages sustained by LOL as set forth above in Count VI. 16 WHEREFORE, LOL respectfully requests that this Honorable Court enter judgment in its favor in the amount of $100,898, together with punitive damages, interest and the costs of the within proceeding. COUNT VIII ~Af'lD O'LAKES, INC. V. CLOUSE TRUCKING, INC., GREEN SPRING DAIRY, INCORPORATED, J. EDWARD CLOUSE and DANIEL FOX NEGLIGENT MISREPRESENTATION , i I LOL in~o:rporates herein by reference Paragraphs I through 102 of its Complaint 103. as if the same were setl forth at length herein. 104. The Defendants owed a duty to LOL to supply milk not prohibited from use in products for human co~sumption. 105. The De~ndants breached the duty by supplying raw milk to LOL when they had I actual knowledge, or h~d reason to know, that such raw milk was prohibited from use in products for human consumptio*. 106. The repfesentations of the Defendants as aforementioned were made with the , intent that LOL would rely upon such representations. 107. The D~fendants failed to exercise reasonable care or competence ill communicating to Lod the fitness of the raw milk for human consumption. 108. LOL di~ justifiably rely upon the representations of the Defendants to its , detriment. 109. The neglIgent misrepresentations made by the Defendants were the proximate , cause ofthe damages suffered by LOL. 110. As a resu ofthe negligent misrepresentations of the Defendants, LOL was caused to suffer damages in the ount of $100,898. 17 WHEREFORE, Plaintiff respectfully requests this Honorable Court enter judgment in its . favor in the amount of $100,898, together with punitive damages, interest and the costs of the I within proceeding. COUNT IX LAND 0' LAKES, INC. v. CLOUSE TRUCKING, INC. and GREEN SPRING DAIRY, INCORPORATED VICARIOUS LIABILITY 111. LOL inborporates herein by reference Paragraphs 1 through 110 of its Complaint , as if the same were se~ forth at length herein. , 112. At all tires relevant hereto, Clouse Trucking knew or should have known that its authorized agents, seJants, or employees, including, but not limited to Clouse, were likely to ! commit the acts ofneg~igent misrepresentation set forth above in Count VIII. 113. At all t~es relevant hereto, Green Spring knew or should have known that its authorized agents, se7ants, or employees, including, but not limited to Fox, were likely to commit the acts of negligent misrepresentation set forth above in Count VIII. 114. At all t~es relevant hereto, Clouse Trucking's authorized agents, servants or employees, including, but not limited to Clouse, were acting within the scope of their employment. 115. At all times relevant hereto, Green Spring's authorized agents, servants or , employees, including, bpt not limited to Fox, were acting within the scope of their employment. 116. As a direft and proximate result of the negligence of Clouse Trucking's authorized I agents, servants, or e~ployees, including, but not limited to Clouse, Clouse Trucking IS , , vicariously liable for th1 damages sustained by LOL as set forth above in Count VIII. 18 117. As a direct and proximate result of the neglig,ence of Green Spring's authorized agents, servants or employees, including, but not limited to Fox, Green Spring is vicariously liable for the damages sustained by LOL as set forth above in Count VIII WHEREFORE, Plaintiff respectfully requests that this Honorable Court enter judgment in its favor in the am9unt of $1 00,898, together with punitive damages, interest and the costs of , the within proceeding.: . COUNT X LAND q' LAKES, INC. v. GREEN SPRING DAIRY, INCORPORATED , AND CLOUSE TRUCKING, INC. NEGLIGENCE 118. LOL inqorporates herein by reference Paragraphs I through 117 of this Complaint as if the same were set !forth at length herein. 119. Clouse Trucking and Green Spring knew that the Condenmed Milk within the Clouse Trucking truck f:ould not be used for dairy products for human consumption. 120. Clouse lIrucking and Green Spring knew that LOL intended to use raw milk ! delivered by them to L~L for dairy products for human consumption 121. Clouse TJrucking and Green Spring had a duty not to cause to be delivered to LOL raw milk that could not ibe used for human consumption. 122. Clouse Tjucking and Green Spring had a duty to notify LOL that the Condemned Milk could not be used In dairy products for human consumption. 123. Clouse Ttucking and Green Spring breached the aforesaid duties when they delivered to LOL the C9ndenmed Milk that was not suitable to b,: used in dairy products for human consumption. 19 124. Clouse Trucking and Green Spring breached the aforesaid duty when they failed to notify LOL that the Condemned Milk could not be used in dairy products for human consumption. 125. As a ditect and proximate result of Clouse Trucking and Green Spring delivering to LOL the Condemned Milk that can not be used in dairy products for human consumption, I and/or failing to noti~ LOL that the Condemned Milk cannot be used as such, LOL commingled I Condemned Milk fro~ the Clouse Trucking truck with LOL raw milk, thus contaminating the i LOL raw milk and catfing LOL to suffer a loss of $ 100,898.00. WHEREFOREf LOL respectfully requests that this Honorable Court enter judgment in its favor in the amount of~100,898, together with interest and the eosts of the within proceeding. COUNT XI . DMS v. CLOUSE TRUCKING, INC. !!!!fACH OF CONTRACT IMPLIED IN FACT OR IN LAW 126. DMS in40rporates herein by reference Paragraph!! I through 125 ofthis Complaint as ifthe same were set forth at length herein. 127. DMS anr Clouse Trucking entered into an implied agreement, whereby Clouse Trucking agreed to pic~ up the DMS Milk and deliver it to dairy plants. ! 128. At the ti~e Clouse Trucking picked up the DMS Milk at DMS, the DMS Milk was in a sanitary conditlon fit for use in dairy products for humaIl consumption. 129. An addittnal term of the aforementioned implied agreement between DMS and Clouse Trucking was t~at Clouse Trucking, upon pick up of the DMS Milk, was required to deliver the DMS Milk t dairy plants in the same sanitary condition fit for use in dairy products for human consumption s it was at the time Clouse Trucking picked up the Milk at DMS. 20 130. Clouse Trucking materially breached the aforesaid implied agreement when it commingled the DMS Milk with the Green Spring Milk. 131. Clouse Trucking breached the aforesaid implied agreement by commingling the DMS Milk with the Green Spring Milk so as to cause the DMS Milk to be contaminated by the presence of antibiotics so that it was rendered unsanitary and, therefore, unfit for use in dairy products for human c~sumption. 132. As a direct and proximate result of the aforesaid commingling of the DMS Milk , with the Green Sprin~ Milk by Clouse Trucking, the DMS Milk was rendered unfit for human consumption and, as a result, DMS suffered damages in the amount of $4,756.00. , WHEREFORE) DMS respectfully requests that this Honorable Court enter judgment in its favor in the amount bf$4,756.00 together with interest and the costs of this proceeding. , i 133. DMS inForporates herein by referenced Paragraphs I through 132 of this , . COUNT XII ~S v. CLOUSE TRUCKING, INC. AND GREEN SPRING I DIARY, INCORPORATED NEGLIGENCE Complaint as if the sam~ were set forth at length. 134. Clouse Ttucking and Green Spring had a duty not to contaminate the DMS Milk in a manner that would! cause the DMS Milk to be prohibited jlfom being processed into dairy products for human con1umption. 135. Clouse Tfucking and/or Green Spring negligently breached the aforesaid duty , i when the Green Sprin& Milk was commingled with the DMS Milk subsequent to Clouse Trucking picking up D1S Milk. I i I ! 21 136. As a direct and proximate result of the commingling of the Green Spring Milk with the DMS Milk b~ Clouse Trucking and/or Green Spring, the DMS Milk became unsanitary and, therefore, unfit f~r use in dairy products for human consumption. 137. Due toithe aforesaid contamination, the DMS Milk was rejected by LVD as a result of antibiotic res~due in the Green Spring Milk with which it was commingled. 138. As a di ect and proximate cause of the aforesaid commingling and subsequent rejection, DMS suffer d damages in that rejection caused it to lose the value of the DMS Milk in the amount of$4,756. O. WHEREFORElDMS respectfully requests that this Honorable Court enter judgment in its favor in the amount f$4,756.00, together with interests and the costs of this proceeding. I Respectfully Submitted, Date: GROSS, MCGINL:E~ARRE & EATON, LLP BY, PATRI&ESQUlR> Attorney for Plaintiff, Land O'Lakes, Inc. 33 South 7th Street PO Box 4060 Allentown, PA 18105-4060 (610) 820-5450 I.D. #32235 W:\WOOX\CLIENTS\lol\clouse\OO 9373.00C 22 VERIFICA TION I, Patrick J. Rejlly, Esquire, hereby state and verifY that the Plaintiff, Land O'Lakes, Inc.'s, Verification cannot be btained within the time allowed for filing of the COMPLAINT. Therefore, pursuant to Pa.R.c.p. 1024, I am authorized to make this Verification on behalf of the Plaintiff and the facts set forth in the foregoing Complaint are true and correct based upon my knowledge, belief and information provid d to me by Plaintiff. I understand th false statements herein are made subject to the penalties of 18 Pol. C.S.A. ~4904, relating to unsw rn falsification to authorities. Patrick . eIily, Esquire Attorney for PlaintijJ, Land O'Lakes, Inc. Date: '0-2...<6 -c>. W,IWDOXlCLIENTSI!ollclouseIOO 41815.DOC CERTIFICATE OF SERVICE , This is to certi~ that the foregoing COMPLAINT was mailed by first class United States mail, postage prepaid, land this0l.3~ay of October, 2003, upon the following: John A. Statler, Esquire Goldberg, Katzman & Shipman, P.C. 320 Market Street PO Box 1268 Harrisburg, PA 17108-1268 A orney for Clouse Trucking, Inc. and J. Edward Clouse Green Spring Dairy, Incorporated 1515 Market Street, Suite 1210 Philadelphia, PA 19102 Mr. Daniel Fox 14 Meadowview Drive Ephrata, P A 17522 BY: GROSS, Mc IN)[EY, LaBARRE & EATON, LLP -/'1 . ) ---- PAT . REILLY, ESQUIRE Attorney for Plaintiff 33 South 7th Street P.O. Box 4060 Allentown, PAl 8105-4060 (610) 820-5450 I.D. #32235 DATE: o ;!r/u Land Q'Lakes v. Clouse Trucking W:\WDOX\CLIENTS\lol\c1ollse\OOO 1817.DOC (') 0 ~ c: W -n :g;: 0 .-< ,.1(':" n :C:b t:p~, ~ .... n1p_ ~- W ;j~ Z~.'~ ~:>, 0 ~;t !<C, -U -,.- :Il ~C' ::I: C5~ ..7 :p(:~ ~ 9 c -. ~ ::~ :.,.) -< 00 IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA CIVIL ACTION - LAW Defendants ) ) ) ) ) ) ) ) ) ) ) ) ) ) No: 03-2782 Civil Term LAND O'LAKES, INe., and DAIRY MARKETING SERVICES, LLC, Plaintiffs v. CLOUSE TRUCKING, INe., CLOVERLAND DAIRY LIMITED PARTNERSHIP, a Maryland Limited Partnership, J. EDWARD CLOUSE and DANIEL FOX, 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 W ARl\'ED THAT IF YOU FAIL TO DO SO THE CASE MAY PROCEED WITHOUT YOU AND A JUDGMENT MAY BE ENTERED AGAINST YOU BY THE COURT WITHOUT FURTHER NOTICE FOR ANY MONEY CLAIMED IN THE COMPLAINT OR FOR ANY OTHER CLAIM OR RELIEF REQUESTED BY THE PLAINTIFF. YOU MAY LOSE MONEY OR PROPERTY OR OTHER RIGHTS IMPORTANT TO YOU. YOU SHOULD TAKE THIS PAPER TO YOUR LAWYER AT ONCE. IF YOU DO NOT HAVE A LAWYER, GO TO OR TELEPHONE THE OFFICE SET FORTH BELOW IF YOU CANNOT AFFORD TO HIRE A LAWYER, THIS OFFICE MAY BE ABLE TO PROVIDE YOU WITH INFORMATION ABOUT AGENCIES THAT MAY OFFER LEGAL SERVICES TO ELIGffiLE PERSONS AT A REDUCED FEE OR NO FEE. CUMBERLAND COUNTY BAR ASSOCIATION 2 LIBERTY AVENUE CARLISLE, P A 17013 PHONE: (800) 990-9108 LY,ESQUIRE W:\ WOOX\CLlENTS\\o\\c1ouseI00009396.00C IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA CIVIL ACTION - LAW ) ) ) ) ) ) ) ) ) ) ) ) ) ) AMENDED COMPLAINT LAND O'LAKES, INC., and DAIRY MARKETING SERVICES, LLC, Plaintiffs v. CLOUSE TRUCKING, INC., CLOVERLAND DAIRY LIMITED PARTNERSHIP, a Maryland Limited Partnership, J. EDWARD CLOUSE and DANIEL FOX, Defendants No: 03-2782 Civil Term COMES NOW, the Plaintiffs above captioned, by and through their counsel, Gross, McGinley, LaBarre & Eaton, LLP, and state their Complaint based upon the following causes of action: 1. The Plaintiff, Land O'Lakes, Inc. (hereinafter "LOL"), is a Minnesota agricultural cooperative corporation authorized to conduct business within the Commonwealth of Pennsylvania, with a business address of 405 Park Drive, Carlisle, Cumberland County, Pennsylvania. 2. The Plaintiff, Dairy Marketing Services, LLC (hereinafter "DMS"), is a limited liability company doing business in Pennsylvania with offices at P.O. Box 4814, Syracuse, New York 13221-4844. 3. The Defendant, Clouse Trucking, Inc. (hereinafter "Clouse Trucking"), is a corporation organized and existing under the laws of the Commonwealth of Pennsylvania, with its principal place of business located at 2075 Ritner Highway, Carlisle, Cumberland County, Pennsylvania. 4. The Defendant, Cloverland Dairy Limited Partnership (hereinafter "Cloverland"), is a Maryland corporation authorized to do business in the Commonwealth of Pennsylvania, with its principal place of business located at 2701 Loch Raven Road, Baltimore, Maryland 21218. 5. The Defendant, J. Edward Clouse (hereinafter "Clouse"), is an adult individual who at all times relevant to the within cause of action was the Chief Executive Officer, and an authorized employee of Clouse Trucking, Inc., with an address of2075 Ritner Highway, Carlisle, Pennsylvania 17013, and who was acting within the scope of his employment. 6. The Defendant, Daniel Fox (hereinafter "Fox"), is an adult individual who at all times relevant to the within cause of action was an authorized employee of Cloverland with an address of 122 Schoeneck Road, Ephrata, Lancaster County, Pennsylvania, and who was acting within the scope of his employment. 7. At all times relevant to the within cause of action, LOL operated a dairy processing plant at Mt. Holly Spring, Cumberland County, Pennsylvania (hereinafter the "Holly Plant"), at which it received tank truck loads of raw milk for processing into dairy products for human consumption. 8. Joel Martin (hereinafter "Martin") is a dairy farmer, commonly referred to as a producer, who, at all times relevant to the within cause of action, had a contract to sell all of his milk production to Cloverland. 9, At all times relevant to the within cause of action, Cloverland was a fluid milk dairy processor, commonly known as a "handler", who engaged Clouse Trucking to pick up raw 2 milk from certain producers, including Martin, and to deliver the raw milk to its own or other dairy plants. 10. At all times relevant to the within cause of actions, DMS marketed milk of producers, including certain producers located in Pennsylvania ("DMS Producers"), and engaged Clouse Trucking to pick up raw milk from producers and deliver the raw milk to dairy plants. 11. All Defendants knew or should have known that for a period of time immediately prior to August 6, 2001, Martin had halted milk shipments because of the presence of antibiotics in Martin's raw milk. 12. On or about August 6, 2001, L. E. Speidel (hereinafter "Speidel"), an employee of Clouse Trucking, operating a tank truck owned by Clouse Trucking, on behalf of Cloverland picked up a load of raw milk from the farm tank of Martin (hereinafter the "Cloverland Milk"). Prior to loading such raw milk onto the rear compartment of the tank truck, Speidel took a raw milk sample, commonly referred to as a producer sample, from the Martin farm tank. 13. Thereafter, in the same tank truck and on behalf ofDMS, Speidel picked up more milk from the farm tanks of the DMS producers (hereinafter "DMS Milk") and also took producer samples from such DMS Producers' farm tanks and loaded the DMS Milk into the rear compartment ofthe tank truck. 14. Speidel prepared and signed a Cloverland form delivery receipt specifying the amount of milk received from Martin and prepared and signed a DMS form delivery receipt specifying the amount of milk picked up from each DMS producer, to be delivered with the milk to the dairy plant receiving the milk. 3 15. Clouse Trucking delivered the Cloverland Milk and DMS Milk to the Lehigh Valley Dairy (hereinafter "LVD") processing plant in Schuylkill Haven, Schuylkill County, Pennsylvania and presented the delivery receipts. 16. Milk received at dairy plants in Pennsylvania must be tested in accordance with procedures set forth in the "Grade A Pasteurized Milk Ordinance" published by the United States Department of Health and Human Services, Public Health Service, Food and Drug Administration ("PMO"), in particular as set forth in Appendix "N" of the PMO (hereinafter Appendix "N''), for the presence of antibiotics above acceptable levels. 17. The antibiotics testing required by the PMO may be done in two steps: a) A presumptive test is initially performed by an industry analyst certified to conduct such test. If such test indicates a negative result (acceptable levels of or no antibiotics), the milk may be received for processing into dairy products for human consumption; b) If the presumptive test is positive (unacceptable levels of antibiotics), then a more sensitive "confirmatory" test is conducted by a laboratory certified to perform such a confirmatory test. If such confirmatory test indicates a negative result, the milk may be received and processed into a dairy product for human consumption. 18. Ifboth a presumptive and confirmatory test show a positive result, the milk cannot be used for human consumption, regardless of further testing, and must be rejected by the dairy plant. 19. LVD employs individuals certified to perform presumptive tests for antibiotics and operates a laboratory at Schuylkill Haven, Pennsylvania (hereinafter "L VD Lab") certified to conduct confirmatory tests for antibiotics. 4 20. An L VD employee performed a presumptive test on a sample of the co-mingled DMS and Cloverland milk from the rear compartment ofthe Clouse tank truck. The presumptive test showed a positive result. 21. The LVD Lab then performed a confirmatory test on a sample of the co-mingled DMS and Cloverland milk from the rear compartment of the Clouse tank truck. The confirmatory test also showed a positive result. 22. In accordance with the PMO, all the milk from the rear compartment of the Clouse tank truck, the Cloverland Milk and the DMS Milk, was rejected by L VD as not fit to be used for dairy products for human consumption (hereinafter the "Condemned Milk"). 23. LVD Lab then tested each individual producer sample of the producers whose milk was contained in the rear compartment, and the Martin producer sample was determined to be the source of the antibiotic residue. 24. L VD Lab personnel placed metal seals on both openings to the compartment of the tank truck which contained the Condemned Milk. 25. L VD Lab personnel placed a tag on the tank truck which stated: "REJECTED REAR COMP POSITIVE ANTIBIOTICS. TUSCAN/LEHIGH DAIRIES SCHUYLKILL HAVEN, PA, AUGUST 6, 200\." 26. LVD Lab personnel advised the Clouse driver that the Condemned Milk was condemned and must be dumped. 27. LVD Lab personnel wrote on the delivery receipt for the Cloverland Milk: "Rear Compartment Rejected due to Antibiotics. Front Compartment Received." 28. L VD Lab personnel retained the producer samples of the Condemned Milk. 5 29. L VD Lab personnel forwarded reports of the presumptive and confirmatory tests of the Condemned Milk to the Pennsylvania Department of Agriculture, Division of Milk Sanitation. 30. L VD Lab personnel notified DMS by telephone of the rejected load and identified the source ofthe antibiotic residue as a Cloverland producer. 31. Dairy industry custom and practice common throughout Pennsylvania and Maryland is that the Dairy handler of a producer whose milk causes a co-mingled load to be rejected is responsible for the disposition of the Condemned Milk. Accordingly, Cloverland, as the handler purchasing the milk of Martin, was responsible for disposition of the Condemned Milk. 32. DMS called Clouse Trucking and advised Clouse Trucking to contact Cloverland to arrange for the disposition ofthe Condenmed Milk. 33. The Clouse truck with the Condemned Milk returned to a Clouse Trucking facility. 34. At all times relevant to the within cause of action, Clouse was familiar with the requirements of the PMO, including the provisions of Appendix "N", and Clouse was further aware that the LOL Holly Plant processed raw milk for dairy products to be used for human consumption. 35. At all times relevant to the within cause of action, Fox was familiar with the requirements of the PMO, including the provisions of Appendix "N", and Fox was further aware that the LOL Holly Plant, processed raw milk for dairy products to be used for human consumption. 6 36. Fox and/or Clouse created a new delivery receipt for the Cloverland Milk which did not contain the language that L VD placed on the original Cloverland delivery receipt indicating that the milk was rejected because of antibiotics, and Fox and/or Clouse forged the signature of Speidel who had picked up the milk from Martin (hereinafter "Fictitious Cloverland Receipt"). 37. Fox and/or Clouse also created a new delivery receipt for the DMS Milk which had been commingled with the contaminated Cloverlan4 Milk, which new receipt did not disclose that both the front and rear tank compartments had' been filled with producer milk as had been indicated on the original delivery receipt and Fox and/or Clouse forged the signature of Speidel who had picked up the DMS Milk from producers (hereinafter "Fictitious DMS Receipt"). 38. At some time, Clouse and Fox removed' the L VD seal on the lid of the rear compartment of the tank truck and removed the antibiotics tag placed there by L YD. 39. LOL employs individuals certified to perform presumptive tests for antibiotics and operates a laboratory (hereinafter "LOL Lab") which is certified to conduct confirmatory tests. 40. Later on August 6, 2001, a representative of Clouse Trucking contacted LOL and requested the LOL Lab to test two producer samples for antibiotics. 41. Later on August 6, 2001, Fox delivered to the LOL Lab raw milk identified as producer samples number 1002 purportedly from Dan Martin and number 1012 from Joel Martin. Both samples tested negative for antibiotics. 42. Later on August 6, 2001, Clouse contacted LOL and requested approval to deliver a load of raw milk to the Holly Plant. Clouse further represented that the producer samples 7 which were brought to LOL by Fox earlier in the evening represented the same raw milk on the truck. 43. Despite knowledge that under the PMO the Cond'emned Milk could not be used for human consumption, Fox and/or Clouse without any authorization from DMS, directed that the Condemned Milk be delivered to the LOL Holly Plant. 44. Clouse and/or Fox directed the driver of the truck delivering the Condemned Milk to present the Fictitious Cloverland and DMS Receipts to LOL. 45. At approximately 11:30 p.m. on August 6, 2001, the Clouse Trucking tank truck driven by a Clouse Trucking employee with 29,506 pounds of the Condenmed Milk was received at the LOL Holly Plant, and the Fictitious Cloverland and DMS Receipts which had been manufactured by Clouse, Fox, Cloverland and/or Clouse Trucking were provided to LOL. 46. The LOL Lab frequently receives sealed tank truck loads for confirmatory testing which had previously tested positive for antibiotics in a presumptive test conducted by an industry analyst at a plant not certified to do the confirmatory tests. 47. LOL Lab personnel specifically asked Clouse if there was any reason not to take the milk, and he responded that there was not. 48. The LOL Lab performed a confirmatory test on the milk which showed a negative result. 49. At no time did Fox, Clouse or any representative of Clouse Trucking or Cloverland advise LOL that the Condemned Milk had previously failed a confirmatory antibiotics test. 8 50. Based upon the statements of Clouse and Fox as aforementioned, the Fictitious Cloverland Receipt and the Fictitious DMS Receipt, and the testing which was performed, LOL received 29,506 pounds ofCondenmed Milk from the Clouse Trucking truck. 51. The 29,506 pounds of Condemned Milk from the Clouse Trucking tank truck was pumped into a LOL raw milk storage silo and commingled with 454,854 pounds of milk from other producers. 52. The delivery of the Condemned Milk by Cloverland and/or Clouse Trucking constituted a sale of the Condemned Milk by Cloverland to LOL. 53. On August 7, 2001, the Pennsylvania Department of Agriculture notified LOL that the milk in the Clouse Trucking tank truck, the Condemned Milk, which had been received by LOL the previous day, had previously failed both a presumptive and confirmatory antibiotics test and could not be used for dairy products for human consumption, and further advised that any raw milk with which the Condemned Milk had been commingled could not be used for human consumption. 54. LOL was required to destroy the 484,360 pounds of milk in the raw milk storage silo into which the Condemned Milk had been pumped, or to dispose of it for uses other than human consumption. 55. As a result of the aforementioned circumstances, LOL suffered a loss of$100,898. 56. As a result of the aforementioned circumstances, DMS suffered a loss of$4,756. COUNT I LAND 0' LAKES, INC. v. CLOVERLAND DAIRY LIMITED PARTNERSHIP COMMON LAW BREACH OF ORAL OR IMPLIED CONTRACT 57. LOL incorporates herein by reference Paragraphs 1 through 56 of its Complaint as if the same were set forth at length herein. 9 58. The raw milk, which is the subject of the within cause of action, the Condemned Milk, was delivered to LOL by Clouse on behalf of Cloverland. 59. The Condemned Milk was delivered to LOL for the purpose of offering the Condemned Milk for sale by Cloverland to LOL. 60. LOL, believing based on the aforesaid statements and/or actions ofCloverland, by and through its authorized officers, agents, employees, servants, or representatives, that the raw milk was suitable for human consumption, received and accepted the raw milk. 61. A material term of this oral or implied agreement was that the raw milk delivered by Cloverland would not be prohibited by the PMO from use in products for human consumption. 62. At the time that the aforementioned agreement was entered into, Cloverland knew, should have known, or it was within the contemplation of Cloverland that the aforesaid raw milk would be used for human consumption. 63. At the time that the aforementioned agreement was entered into, Cloverland knew, should have known, or it was within the contemplation of Cloverland, that the aforesaid raw milk would be co-mingled with other raw milk ofLOL. 64. At the time that the aforementioned agreement was entered into it was within the contemplation of the parties that if any milk prohibited from use in products for human consumption was provided by Cloverland and was subsequently co-mingled with other raw milk of LOL, LOL would suffer damages in that the entire tank of such co-mingled milk would not be suitable for human consumption and would need to be destroyed. 10 65. Cloverland breached the agreement with LOL in that it delivered to LOL raw milk which it knew or should have known was prohibited from use in products for human consumption because it had failed a presumptive test and a confirmatory test for antibiotics. 66. As a result of the breach of the contract by Cloverland as aforementioned, LOL suffered damages in the amount of $100,898 because the entire raw milk storage silo was prohibited from use in products for human consumption. WHEREFORE, Plaintiff respectfully requests this Honorable Court enter judgment in its favor in the amount of $1 00,898, together with interest and the costs of the within proceeding. COUNT II LAND 0' LAKES, INC. v. CLOVERLAND DAIRY LIMITED PARTNERSHIP BREACH OF CONTRACT UNDER THE PENNSYL VANIA UNIFORM COMMERCIAL CODE 67. LOL incorporates herein by reference Paragraphs I through 66 of its Complaint as ifthe same were set forth at length herein. 68. The sale of raw milk from Cloverland to LOL constitutes a sale of good under the Pennsylvania Uniform Commercial Code. 69. LOL received and accepted the raw milk from Cloverland on the conduct and/or assurance from Cloverland that such raw milk was not prohibited from use in products for human consumption. 70. After having received the raw milk, LOL was advised by the Pennsylvania Department of Agriculture that the raw milk was prohibited from use in products for human consumption. 71. As a result of the breach of the sale of goods by Cloverland, LOL suffered damages as aforementioned. 11 WHEREFORE, Plaintiff respectfully requests this Honorable Court enter judgment in its favor in the amount of $1 00,898, together with interest and the costs of the within proceeding. COUNT III LAND 0' LAKES v. CLOVERLAND DAIRY LIMITED PARTNERSHIP BREACH OF AN IMPLIED DUTY OF GOOD FAITH 72. LOL incorporates herein by reference Paragraphs I through 71 of its Compliant as if the same were set forth at length herein. 73. Under the Uniform Commercial Code, every contract imposes an obligation of good faith in its performance. 13 Pa. C.S.A. ~ 1203. 74. Cloverland breached such duty of good faith by delivering raw milk that it knew or should have know was prohibited for use in products for human consumption. 75. As a result of the violation of the implied duty of good faith, LOL suffered damages as aforementioned. WHEREFORE, Plaintiff respectfully requests this Honorable Court enter judgment in its favor in the amount of $1 00,898, together with interest and the costs of the within proceeding. COUNT IV LAND 0' LAKES, INC. v. CLOVERLAND DAIRY LIMITED PARTNERSHIP BREACH OF AN IMPLIED WARRANTY OF MERCHANTABILITY 76. LOL incorporates herein by reference Paragraphs 1 through 75 of its Complaint as if the same were set forth at length herein. 77. At all times relevant to the within cause of action, Cloverland was a merchant because it deals in raw milk or milk products, and held itself out as having knowledge or skill particular to the processing of milk, including, but not limited to, milk suitable for human consumption. 12 78. The raw milk provided by Cloverland was not merchantable because it is not of fair average quality within the description, as the raw milk was not, as so described, fit for human consumption given that it had failed a confirmatory and presumptive test for antibiotics. 79. The raw milk provided by Cloverland was not merchantable or fit for the ordinary purpose for which it was to be used in that it was prohibited from use in products for human consumption because it had failed a confirmatory test and presumptive test for antibiotics. 80. Cloverland, within a reasonable time after LOL discovered the breach, had been notified that the raw milk was not suitable for human consumption. 81. As a result of the breach by Cloverland of the implied warranty of merchantability, LOL suffered the damages as aforementioned. WHEREFORE, Plaintiff respectfully requests this Honorable Court enter judgment in its favor in the amount of $100,898, together with interest and the costs of the within proceeding. COUNT V LAND 0' LAKES, INC. v. CLOVERLAND DAIRY LIMITED PARTNERSHIP BREACH OF AN IMPLIED WARRANTY OF FITNESS FOR A PARTICULAR PURPOSE 82. LOL incorporates herein by reference Paragraphs I through 81 of its Complaint as if the same were set forth at length herein. 83. At all times relevant to the within cause of action, Cloverland was a merchant because it deals in raw milk or milk products, and held itself out as having knowledge or skill particular to the processing of milk, including, but not limited to, milk suitable for human consumption. 13 84. At all times relevant to the within cause of action, Cloverland knew or had reason to know, at the time of contracting, that the raw milk was required for a particular purpose; namely, human consumption. 85. The raw milk provided by Cloverland to LOL was not fit for its particular purpose because it had failed a confirmatory test and presumptive test for antibiotics. 86. Cloverland, within a reasonable time after LOL discovered the breach, was notified that the raw milk was not suitable for human consumption. WHEREFORE, Plaintiff respectfully requests that this Honorable Court enter judgment in its favor in the amount of $100,898, together with interest and the costs of the within proceeding. COUNT VI LAND O'LAKES, INC. V. CLOUSE TRUCKING, INC., CLOVERLAND DAIRY LIMITED PARTNERSHIP, J. EDWARD CLOUSE and DANIEL FOX FRAUDULENT MISREPRESENTATION 87. LOL incorporates herein by reference paragraphs 1 through 86 of its Complaint as if the same were set forth at length herein. 88. At all times relative to the within cause of action, the Defendants knew that their representations were material to LOL's decision to accept the raw milk as LOL would not have accepted the raw milk if it was not suitable for human consumption. 89. At all times relevant to the within cause of action, Clouse and Fox were acting both in their individual capacity and on behalf of their employers, as authorized agents, and within the scope of their employment. 90. At the times the representations as aforementioned were made by Clouse and Fox, they were false, and were made with actual knowledge that the raw milk was not, as represented, 14 suitable for human consumption, or recklessness as to whether or not the representations were true. 91. The aforementioned representations were made by the Defendants with the intent of misleading LOL into relying upon such representations so that it would accept the raw milk. 92. In justifiable reliance upon the statements made by the Defendants, LOL accepted delivery of the Condemned Milk. 93. The Defendants conduct was outrageous ill that Defendants each had actual knowledge that the Condemned Milk was prohibited from use in products for human consumption or acted with reckless indifference of that knowledge and caused the Condemned Milk to be delivered to LOL in conscious disregard or indifference to the risk the Condemned Milk would present by itself or when commingled with other raw milk intended for use in products for human consumption. 94. As a result of LOL's reliance upon the representations of the Defendants as aforementioned, LOL was caused damage in the amount of$100,898. 95. LOL's resulting injury was proximately caused by its reliance upon the representations made by the Defendants. WHEREFORE, LOL respectfully requests this Honorable Court enter judgment in its favor in the amount of $100,898, together with punitive damages, interests and the costs of the within proceeding. 15 COUNT VII LAND 0' LAKES. INC. v. CLOUSE TRUCKING. INC. and CLOVERLAND DAIRY LIMITED PARTNERSHIP VICARIOUS LIABILITY 96. LOL incorporates herein by reference Paragraphs 1 through 95 of its Complaint as if the same were set forth at length herein. 97. At all times relevant hereto, Clouse Trucking knew or should have known that its authorized agents, servants, or employees, including, but not limited to Clouse, were likely to commit the acts of fraud set forth above in Count VI. 98. At all times relevant hereto, Cloverland knew or should have known that its authorized agents, servants, or employees, including, but not limited to Fox, were likely to commit the acts of fraud set forth above in Count VI. 99. At all times relevant hereto, Clouse Trucking's authorized agents, servants, or employees, including, but not limited to Clouse, were acting within the scope of their employment. 100. At all times relevant hereto, Cloverland's authorized agents, servants, or employees, including, but not limited to Fox, were acting within the scope of their employment. 101. As a direct and proximate result of the fraud of Clouse Trucking's authorized agents, servants, or employees, including, but not limited to Clouse, Clouse Trucking IS vicariously liable for the damages sustained by LOL as set forth above in Count VI above. 102. As a direct and proximate result of the fraud of Cloverland's authorized agents, servants, or employees, including, but not limited to Fox, Cloverland is vicariously liable for the damages sustained by LOL as set forth above in Count VI. 16 WHEREFORE, LOL respectfully requests that this Honorable Court enter judgment in its favor in the amount of $100,898, together with punitive damages, interest and the costs of the within proceeding. COUNT VIII LAND O'LAKES, INC. V. CLOUSE TRUCKING, INC., CLOVERLAND DAIRY LIMITED PARTNERSHIP, J. EDWARD CLOUSE and DANIEL FOX NEGLIGENT MISREPRESENTATION 103. LOL incorporates herein by reference Paragraphs 1 through 102 of its Complaint as ifthe same were set forth at length herein. 104. The Defendants owed a duty to LOL to supply milk not prohibited from use in products for human consumption. 105. The Defendants breached the duty by supplying raw milk to LOL when they had actual knowledge, or had reason to know, that such raw milk was prohibited from use in products for human consumption. 106. The representations of the Defendants as aforementioned were made with the intent that LOL would rely upon such representations. 107. The Defendants failed to exercise reasonable care or competence in communicating to LOL the fitness of the raw milk for human consumption. 108. LOL did justifiably rely upon the representations of the Defendants to its detriment. 109. The negligent misrepresentations made by the Defendants were the proximate cause of the damages suffered by LOL. 110. As a result of the negligent misrepresentations of the Defendants, LOL was caused to suffer damages in the amount of$100,898. 17 WHEREFORE, Plaintiff respectfully requests this Honorable Court enter judgment in its favor in the amount of $100,898, together with punitive damages, interest and the costs of the within proceeding. COUNT IX LAND 0' LAKES, INC. v. CLOUSE TRUCKING, INC. and CLOVERLAND DAIRY LIMITED PARTNERSHIP VICARIOUS LIABILITY 111. LOL incorporates herein by reference Paragraphs 1 through 110 of its Complaint as if the same were set forth at length herein. 112. At all times relevant hereto, Clouse Trucking knew or should have known that its authorized agents, servants, or employees, including, but not limited to Clouse, were likely to commit the acts of negligent misrepresentation set forth above in Count VIII. 113. At all times relevant hereto, Cloverland knew or should have known that its authorized agents, servants, or employees, including, but not limited to Fox, were likely to commit the acts of negligent misrepresentation set forth above in Count VIII. 114. At all times relevant hereto, Clouse Trucking's authorized agents, servants or employees, including, but not limited to Clouse, were acting within the scope of their employment. 115. At all times relevant hereto, Cloverland's authorized agents, servants or employees, including, but not limited to Fox, were acting within the scope of their employment. 116. As a direct and proximate result of the negligence of Clouse Trucking's authorized agents, . servants, or employees, including, but not limited to Clouse, Clouse Trucking IS vicariously liable for the damages sustained by LOL as set forth above in Count VIII. 18 117. As a direct and proximate result of the negligence of Cloverland' s authorized agents, servants or employees, including, but not limited to Fox, Cloverland is vicariously liable for the damages sustained by LOL as set forth above in Count VIII WHEREFORE, Plaintiff respectfully requests that this Honorable Court enter judgment in its favor in the amount of $100,898, together with punitive damages, interest and the costs of the within proceeding. COUNT X LAND 0' LAKES. INC. v. CLOVERLAND DAIRY LIMITED PARTNERSHIP AND CLOUSE TRUCKING. INC. NEGLIGENCE 118. LOL incorporates herein by reference Paragraphs 1 through 117 of this Complaint as if the same were set forth at length herein. 119. Clouse Trucking and Cloverland knew that the Condemned Milk within the Clouse Trucking truck could not be used for dairy products for human consumption. 120. Clouse Trucking and Cloverland knew that LOL intended to use raw milk delivered by them to LOL for dairy products for human consumption 121. Clouse Trucking and Cloverland had a duty not to cause to be delivered to LOL raw milk that could not be used for human consumption. 122. Clouse Trucking and Cloverland had a duty to notif'y LOL that the Condemned Milk could not be used in dairy products for human consumption. 123. Clouse Trucking and Cloverland breached the aforesaid duties when they delivered to LOL the Condemned Milk that was not suitable to be used in dairy products for human consumption. 19 124. Clouse Trucking and Cloverland breached the aforesaid duty when they failed to notify LOL that the Condemned Milk could not be used in dairy products for human consumption. 125. As a direct and proximate result of Clouse Trucking and Cloverland delivering to LOL the Condemned Milk that can not be used in dairy products for human consumption, and/or failing to notify LOL that the Condemned Milk cannot be used as such, LOL commingled Condemned Milk from the Clouse Trucking truck with LOL raw milk, thus contaminating the LOL raw milk and causing LOL to suffer a loss of$100,898.00. WHEREFORE, LOL respectfully requests that this Honorable Court enter judgment in its favor in the amount of $1 00,898, together with interest and the costs of the within proceeding. COUNT XI DMS v. CLOUSE TRUCKING, INC. BREACH OF CONTRACT IMPLIED IN FACT OR IN LAW 126. DMS incorporates herein by reference Paragraphs I through 125 ofthis Complaint as if the same were set forth at length herein. 127. DMS and Clouse Trucking entered into an implied agreement, whereby Clouse Trucking agreed to pick up the DMS Milk and deliver it to dairy plants. 128. At the time Clouse Trucking picked up the DMS Milk at DMS, the DMS Milk was in a sanitary condition fit for use in dairy products for human consumption. 129. An additional term of the aforementioned implied agreement between DMS and Clouse Trucking was that Clouse Trucking, upon pick up of the DMS Milk, was required to deliver the DMS Milk to dairy plants in the same sanitary condition fit for use in dairy products for human consumption as it was at the time Clouse Trucking picked up the Milk at DMS. 20 130. Clouse Trucking materially breached the aforesaid implied agreement when it commingled the DMS Milk with the Cloverland Milk. 131. Clouse Trucking breached the aforesaid implied agreement by commingling the DMS Milk with the Cloverland Milk so as to cause the DMS Milk to be contaminated by the presence of antibiotics so that it was rendered unsanitary and, therefore, unfit for use in dairy products for human consumption. 132. As a direct and proximate result of the aforesaid commingling of the DMS Milk with the Cloverland Milk by Clouse Trucking, the DMS Milk was rendered unfit for human consumption and, as a result, DMS suffered damages in the amount of $4,756.00. WHEREFORE, DMS respectfully requests that this Honorable Court enter judgment in its favor in the amount of $4,756.00 together with interest and the costs of this proceeding. COUNT XII DMS v. CLOUSE TRUCKING, INC. AND CLOVERLAND DAIRY LIMITED PARTNERSHIP NEGLIGENCE 133. DMS incorporates herein by referenced Paragraphs I through 132 of this Complaint as if the same were set forth at length. 134. Clouse Trucking and Cloverland had a duty not to contaminate the DMS Milk in a manner that would cause the DMS Milk to be prohibited from being processed into dairy products for human consumption. 135. Clouse Trucking and/or Cloverland negligently breached the aforesaid duty when the Cloverland Milk was commingled with the DMS Milk subsequent to Clouse Trucking picking up DMS Milk. 21 136. As a direct and proximate result of the commingling of the Cloverland Milk with the DMS Milk by Clouse Trucking and/or Cloverland, the DMS Milk became unsanitary and, therefore, unfit for use in dairy products for human consumption. 137. Due to the aforesaid contamination, the DMS Milk was rejected by LVD as a result of antibiotic residue in the Cloverland Milk with which it was commingled. 138. As a direct and proximate cause of the aforesaid commingling and subsequent rejection, DMS suffered damages in that rejection caused it to lose the value of the DMS Milk in the amount of$4,756.00. WHEREFORE, DMS respectfully requests that this Honorable Court enter judgment in its favor in the amount of$4,756.00, together with interests and the costs of this proceeding. Respectfully Submitted, BY: ~.<- PATRI 1 REILLY,ESQUIRE Attorney for Plaintiff, Land O'Lakes, Inc. 33 South 7th Street PO Box 4060 Allentown, P A 18105-4060 (610) 820-5450 I.D. #32235 GROSS, McG , LaBARRE & EATON, LLP Date: ({ I Ju (0) W,I WDOXlCLlENTSllol\clouseI00043483.DOC 22 VERIFICATION I, Patrick J. Reilly, Esquire, hereby state and verify that the Plaintiff, Land O'Lakes, Inc.'s, Verification cannot be obtained within the time allowed for filing of the AMENDED COMPLAINT. Therefore, pursuant to Pa.R.C.P. 1024, I am authorized to make this Verification on behalf of the Plaintiff and the facts set forth in the foregoing Complaint are true and correct based upon my knowledge, belief and information provided to me by Plaintiff. I understand that false statements herein are made subject to the penalties of 18 Pol. C.S.A. 94904, relating to unsworn falsification to authorities. 7 -.-1- Patrick J. , Esquire Attorney for Plaintiff, Land O'Lakes, Inc. Date: J( (3"'/01 W:\ WOOX\CLlENTS~ol\clouse\00041815.00C . CERTIFICATE OF SERVICE This is to certify that the foregoing AMENDED COMPLAINT was mailed by first class United States mail, postage prepaid, and this~O-*' day of November, 2003, upon the following: John A. Statler, Esquire Goldberg, Katzman & Shipman, P.C. 320 Market Street PO Box 1268 Harrisburg, PA 17108-1268 Attorney for Clouse Trucking, Inc. and .T. Edward Clouse Scott T. Wyland, Esquire Hawke, McKeon, Sniscak & Kennard LLP 100 North Tenth Street Harrisburg, P A 17101 Attorney for Cloverland Dairy Limited Partnership Mr. Daniel Fox 14 Meadowview Drive Ephrata, P A 17522 DATE: I (f:Luf.>,) BY: PAT K. REILLY, ESQUIRE Attorne or Plaintiffs 33 South 7th Street P.O. Box 4060 Allentown, PA 18105-4060 (610) 820-5450 J.D. #32235 Land O'Lakes v. Clouse Trucking W ,\ WDOXlCLlENTS\lol\clouse\00041817.DOC -n -cl , r,' ~ z. :/ r-...) en "<. ~;:. ~T) ;;i2 C' -~ ,C ( ~ c r:? -/ _.~ ~~ '.11 ;:~ -z .r. ~ ~ LAND O'LAKES, INC., and DAIRY MARKETING SERVICES, LLC, Plaintiffs : IN THE COURT OF COMMON PLEAS : CUMBERLAND COUNTY, PENNSYLVANIA v. CIVIL ACTION - LAW CLOUSE TRUCKING, INC., CLOVERLAND DAIRY LIMITED PARTNERSHIP, a Maryland Limited Partnership, J. EDWARD CLOUSE and DANIEL FOX, : No. 03-2782 CIVIL TERM Defendants PRAECIPE FOR ENTRY OF APPEARANCE TO THE PROTHONOTARY: Please enter the appearance of Scott T. Wyland, Esquire and the law firm of Hawke McKeon Sniscak & Kennard LLP, and Daniel S. Katz, Esquire and the law firm of Tydings & Rosenberg LLP, as attorneys of record on behalf of Defendants Cloverland Dairy Limited Partnership, and Daniel Fox. HAWKE McKEON SNISCAK & KENNARD LLP By: Scott T. Wan, I.D. No. 52660 100 North 1 Street Post Office Box 1778 Harrisburg, P A 17105 (717) 236-1300 Daniel S. Katz, Esquire Tydings & Rosenberg LLP 100 East Pratt Street, 26th Floor Baltimore, MD 21202 (410) 752-9700 Counsel for Defendants Cloverland Dairy Limited Partnership and Daniel Fox DATE: November 21, 2003 - ..' .. CERTIFICATE OF SERVICE I hereby certify that I am this day serving the foregoing document upon the persons and in the manner indicated below: Via First Class Mail: Patrick J. Reilly, Esquire Gross, McGinley, LaBarre & Eaton, LLP 33 South Seventh Street Post Office Box 4060 Allentown, PA 18105 John A. Statler, Esquire Goldberg Katzman & Shipman, PC 320 Market Street Post Office Box 1268 Harrisburg, P A 171 08-1268 (For Plaintiff Land O'Lakes, Inc. and Dairy Marketing Services LLC) (For Defendants Clouse Trucking, Inc. and J. Edward Clouse) skJ{J -.. . DATED: November 21,2003 (') C ? ~OC;~. [ij r,~ ",::...'. ~, u:! J-<'- "3 -, C1 (:',d ~~ r'J ~A) -' .:;:::! ~~J -::,: " \0 IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA CIVIL ACTION - LAW ) ) ) ) ) ) ) ) ) ) ) ) ) ) ACCEPTANCE OF SERVICE LAND O'LAKES, INC., and DAIRY MARKETING SERVICES, LLC, Plaintiffs v. CLOUSE TRUCKING, INC., CLOVERLAND DAIRY LIMITED FARTNnRSHIP, a Maryland Limited Partnership, J. EDWARD CLOUSE and DANIEL FOX, Defendants No: 03-2782 Civil Term I, Scott T. Wyland, Esquire, attorney for the Defendant, Cloverland Dairy Limited Partnership, in the above-captioned action, hereby acknowledge receipt on 11- 21- .. .:3 2003, ofa true and correct copy of the Amended Complaint of the Plaintiffs, Land O'Lakes, Inc. and Dairy Marketing Services, Inc., and hereby acknowledge service thereof. W ,\ WDOX\CLlENTS\lol\c1ouse\00044300.DOC ~- SC . T - LAND, ESQUIRE---'- Attorney for Defendant, Cloverland I.D. #: f2..' (,0 ~, 5 ~ ~ ~~ (") ~~ , - ;3 ,- e , -"l ..., Xl ~~ ~ ~a c:- ~ .. N i (.,) John A. Statler. Esquire Attorney!. D. No. 43812 GOLDBERG, KATZMAN & SHIPMAN, P.C. 320 Market Street P.O. Box 1268 Harrisburg. PA 17108-1268 Telephone: (717) 234-4161 Attorney for Defendants Clouse Trucking, Inc. and 1. Edward Clouse LAND 0' LAKES, INe., Plaintiff : IN THE COURT OF COMMON PLEAS : CUMBERLAND COUNTY, PENNSYL VANIA v. : CIVIL ACTION - LAW CLOUSE TRUCKING, INC., CLOVERLAND DAIRY LIMITED PARTNERSHIP, a Maryland Limited, Partnership, J. EDWARD CLOUSE and DANffiL FOX, NO. 03-2782 CIVIL TERM : JURY TRIAL DEMANDED Defendants NOTICE TO PLEAD TO: LAND O'LAKES, INC., Plaintiff c/o PATRICK J. REILLY, ESQUIRE Gross, McGinley, Labarre & Eaton, LLP 33 South Seventh Street P. O. Box 4060 Allentown, PA 18105-4060 Attorneys for Plaintiff YOU ARE REQUIRED to plead to the within Answer With New Matter within 20 days of service hereof or a default judgment may be entered against you. GOLDBERG, KATZMAN & SHIPMAN, P.c. DATE /2-/7'/(/3 By: John A Statler, Es . Attorney I. D. No. 43812 320 Market Street P.O. Box 1268 Harrisburg, P A 17108-1268 Telephone: (717) 234-4161 Attorney for Defendants Clouse Trucking, Inc. and 1. Edward Clouse - John A. Statler. Esquire Attorney 1. D. No. 43812 GOLDBERG, KATZMAN & SHIPMAN, P.C. 320 Market Street P.O. Box 1268 Harrisburg. PA 17108-1268 Telephone: (717) 234-4161 Attorney for Defendants Clouse Trucking, Inc. and 1. Edward Clouse LAND 0' LAKES, INC., Plaintiff : IN THE COURT OF COMMON PLEAS : CUMBERLAND COUNTY, PENNSYL VANIA v. : CIVIL ACTION - LAW CLOUSE TRUCKING, INC., CLOVERLAND DAIRY LIMITED PARTNERSHIP, a Maryland Limited, Partnership, 1. EDWARD CLOUSE and DANIEL FOX, NO. 03-2782 CIVIL TERM : JURY TRIAL DEMANDED Defendants ANSWER OF DEFENDANTS CLOUSE TRUCKING,INC. AND J. EDWARD CLOUSE TO PLAINTIFF'S AMENDED COMPLAINT INCLUDING NEW MATTER AND NOW, come the Defendants, Clouse Trucking, Inc. and 1. Edward Clouse, by and through their attorneys, Goldberg, Katzman and Shipman, P.C., who file the following Answer Including New Matter and Crossclaim in response to Plaintiff's Complaint: I. Denied. After reasonable investigation, answering Defendants are without information sufficient to form a belief as to the truth or falsity of the averments in this paragraph and, therefore, deny the same and demand strict proof at time of trial if deemed material. 2. Denied. After reasonable investigation, answering Defendants are without information sufficient to form a belief as to the truth or falsity of the avenllents in this paragraph and, therefore, deny the same and demand strict proof at time of trial if deemed material. 3. Admitted. 4. Denied. After reasonable investigation, answering Defendants are without information sufficient to form a belief as to the truth or falsity of the avenllents in this paragraph and, therefore, deny the same and demand strict proof at time of trial if deemed material. 5. Admitted in part; denied in part. It is admitted that Defendant 1. Edward Clouse is an adult individual who at all times relevant hereto was the Chief Executive Officer and an authorized employee of Clouse Trucking, Inc. with an address of2075 Ritner Highway, Carlisle, Pennsylvania 17013. Answering Defendant is without knowledge as to the particular act which Plaintiff alleges was within the scope of his employment, and therefore denies this averment. 6. Denied. After reasonable investigation, answering Defendants are without information sufficient to form a belief as to the truth or falsity of the averments in this paragraph and, therefore, deny the same and demand strict proof at time of trial if deemed material. 2 7. Denied. After feasonable investigation, answering Defendants are without information sufficient to form a belief as to the truth or falsity of the averments in this paragraph and, therefore, deny the same and demand strict proof at time of trial if deemed material. 8. Denied. Aftef reasonable investigation, answering Defendants afe without information sufficient to form a belief as to the truth or falsity of the averments in this paragraph and, therefore, deny the same and demand strict proof at time of trial if deemed material. 9. Admitted in part; denied in part. After reasonable investigation, answering Defendants are without information sufficient to form a belief as to the truth or falsity of the averment that Cloverland was a fluid milk dairy processor, commonly known as a "handler" and, therefore. deny the same and demand strict proof at time oftrial if deemed material. It is admitted that Clouse Trucking, Inc. was engaged by Cloverland to pick up raw milk from certain producers, including Martin, and to deliver the faw milk to its own Of other dairy plants. 10. Admitted in part; denied in part. After reasonable investigation, answering Defendants are without information sufficient to form a belief as to the truth or falsity of the averment that at all times relevant to the within cause of actions, DMS marketed milk of certain producers, including certain producers located in Pennsylvania ("DMS Producers"). It is admitted that Clouse Trucking was engaged by DMS to pickup raw milk from producers and deliver the faw milk to dairy plants 3 11. The averments in this paragraph constitute conclusions oflaw to which no response is required. In the event a response is deemed to be required, it is specifically denied that answering Defendants knew or should have known that for a period of time immediately prior to August 6, 2001, Martin had halted shipments because of the presence of antibiotics in Martin's raw milk. 12. Admitted. 13. Admitted. 14. Admitted. 15. Admitted. 16. The averments in this paragraph constitute conclusions oflaw to which no response is required. In the event a response is deemed to be required, it is denied that milk received at dairy plants in Pennsylvania must be tested in accordance with procedures set further in the "Grade A Pasteurized Milk Ordinance" published by the United States Department of Health and Human Services, Public Health Service. Food and Drug Administration ("PMO"), in particular as set forth in Appendix "N" of the PMO (hereinafter Appendix "N:), for the presence of antibiotics above acceptable levels. 4 17. The averments in this paragraph constitute conclusions oflaw to which no response is required. In the event a response is deemed to be required, it is denied that the antibiotics testing required by the PMO may be done in two steps: a. A presumptive test is initially performed by an industry analyst certified to conduct such test. If such test indicates a negative result (acceptable levels of or no antibiotics), the milk may be received for processing into dairy products for human consumption; b. If the presumptive test is positive (unacceptable levels of antibiotics), then a more sensitive "confirmatory" test is conducted by a laboratory certified to perform such a confirmatory test. If such confirmatory test indicates a negative result, the milk may be received and processed into a dairy product for human consumption. 18. The averments in this paragraph constitute conclusions of law to which no response is required. In the event a response is deemed to be required, it is denied that if both a presumptive and confirmatory test show a positive result, the milk cannot be sued for human consumption, regardless of further testing, and must be rejected by the dairy plant. 5 19. Denied. After reasonable investigation, answering Defendants are without information sufficient to form a belief as to the truth or falsity of the averments in this paragraph and, therefore, deny the same and demand strict proof at time of trial if deemed material. 20. Denied. After reasonable investigation, answering Defendants are without information sufficient to form a belief as to the truth or falsity of the averments in this paragraph and, therefore, deny the same and demand strict proof at time of trial if deemed material. 21. Denied. After reasonable investigation, answering Defendants are without information sufficient to form a belief as to the truth or falsity of the averments in this paragraph and, therefore, deny the same and demand strict proof at time of trial if deemed material. 22. Denied. After reasonable investigation, answering Defendants are without information sufficient to form a belief as to the truth or falsity of the averments in this paragraph and, therefore, deny the same and demand strict proof at time of trial if deemed material. By way of further answer, it is specifically denied that the milk was condemned. 23. Denied. After reasonable investigation, answering Defendants are without information sufficient to form a belief as to the truth or falsity of the averments in this paragraph and, therefore, deny the same and demand strict proof at time of trial if deemed material. 6 24. Denied. It is denied that L VD Lab personnel placed metal seals on both openings to the compartment of the tank truck which contained the Condemned Milk. By way of further answer, it is specifically denied that the milk was condemned. 25. Denied. After reasonable investigation, answering Defendants are without information sufficient to form a belief as to the truth or falsity ofthe averments in this paragraph and, therefore, deny the same and demand strict proof at time of trial if deemed material. 26. Denied. It is denied that L VD Lab personnel advised the Clouse driver that the Condemned Milk was condemned and must be dumped. By way of further answer, it is specifically denied that the milk was condemned. . 27. Denied. After reasonable investigation, answering Defendants are without information sufficient to form a belief as to the truth or falsity of the averments in this paragraph and, therefore, deny the same and demand strict proof at time of trial if deemed material. 28. Denied. After reasonable investigation, answering Defendants are without information sufficient to form a belief as to the truth or falsity ofthe averments in this paragraph and, therefore, deny the same and demand strict proof at time of trial if deemed material. By way of further answer, it is specifically denied that the milk was condemned. 7 29. Denied. After reasonable investigation, answering Defendants are without information sufficient to form a belief as to the truth or falsity ofthe averments in this paragraph and, therefore, deny the same and demand strict proof at time of trial if deemed material. By way of further answer, it is specifically denied that the milk was condemned. 30. Denied. After reasonable investigation, answering Defendants are without information sufficient to form a belief as to the truth or falsity of the averments in this paragraph and, therefore, deny the same and demand strict proof at time of trial if deemed material. 31. The averments in this paragraph constitute conclusions of law to which no response is required. In the event a response is deemed to be required, it is denied that dairy industry custom and practice common throughout Pennsylvania and Maryland is that the Dairy handler of a producer whose milk causes a co-mingled load to be rejected is responsible for the disposition of the Condemned Milk. It is further denied that Cloverland, as the handler purchasing the milk of Martin, was responsible for disposition of the Condemned Milk. By way of further answer, it is specifically denied that the milk was condemned. 32. Denied. After reasonable investigation, answering Defendants are without information sufficient to form a belief as to the truth or falsity of the averments in this paragraph and, therefore, deny the same and demand strict proof at time of trial if deemed material. By way of further answer, the employee who may have been contacted at Clouse Trucking is no longer 8 employed with the company. By way of further answer, it is specifically denied that the milk was condemned. 33. Admitted in part; denied in part. It is admitted that the truck returned to a Clouse Trucking facility. It is denied that the milk was condemned. 34. Admitted. 35. Denied. After reasonable investigation, answering Defendants are without information sufficient to form a belief as to the truth or falsity of the averments in this paragraph and, therefore, deny the same and demand strict proof at time of trial if deemed material. 36. Admitted in part; denied in part. It is admitted that Clouse created an additional delivery receipt. It is denied that Clouse forged the signature of Speidel who had picked up the milk from Martin. 37. It is denied that Clouse also created a new delivery receipt for the DMS Milk which had been commingled with the contaminated Cloverland Milk, which new receipt did not disclose that both the front and rear tank compartments had been filled with producer milk as had been indicated on the original delivery receipt and denied that Clouse forged the signature of 9 Speidel who had picked up the DMS Milk from producers. By way of further answer, it is specifically denied that the milk was condemned and that receipts were fictitious. 38. Admitted in part; denied in part. It is admitted that Fox removed the L YD seal on the lid of the rear compartment of the tank truck and removed the antibiotics tag placed there by L YD. It is denied that Clouse removed the L VD seal on the lid of the rear compartment of the tank truck and removed the antibiotics tag placed there by L YD. 39. Denied. After reasonable investigation, answering Defendants are without information sufficient to form a belief as to the truth or falsity of the averments in this paragraph and, therefore, deny the same and demand strict proof at time of trial if deemed material. 40. Denied. After reasonable investigation, answering Defendants are without information sufficient to form a belief as to the truth or falsity of the averments in this paragraph and, therefore, deny the same and demand strict proof at time of trial if deemed material. By way of further answer the employee of Clouse Trucking who may have contacted LOL is no longer employed with the company. 41. Denied. After reasonable investigation, answering Defendants are without information sufficient to form a belief as to the truth or falsity of the averments in this paragraph and, therefore, deny the same and demand strict proof at time oftrial if deemed material. 10 42. Denied. After reasonable investigation, answering Defendants are without information sufficient to form a belief as to the truth or falsity of the averments in this paragraph and, therefore, deny the same and demand strict proof at time of trial if deemed material. By way of further answer the employee of Clouse Trucking who may have contacted LOL is no longer employed with the company. 43. The averments in this paragraph constitute conclusions of law to which no response is required. In the event a response is deemed to be required, it is denied that despite knowledge that under the PMO the Condemned Milk could not be used for human consumption, Clouse, without any authorization from DMS, directed that the Condemned Milk be delivered to the LOL Holly Plant. By way of further answer, it is specifically denied that the milk was condemned. 44. Denied. It is denied that Clouse directed the driver of the truck delivering the Condemned Milk to present the Fictitious Cloverland and DMS Receipt to LOL. By way of further answer, it is specifically denied that the milk was condemned and that the receipts were fictitious 45. Denied. After reasonable investigation, answering Defendants are without information sufficient to form a belief as to the truth or falsity of the averments in this paragraph and, therefore, deny the same and demand strict proof at time of trial if deemed material. 11 46. Denied. After reasonable investigation, answering Defendants are without information sufficient to form a belief as to the truth or falsity ofthe averments in this paragraph and, therefore, deny the same and demand strict proof at time of trial if deemed material. 47. Denied. It is specifically denied that LOL lab personnel specifically asked Clouse if there was any reason not to take the milk, and he responded that there was not. By way of further information, Clouse informed LOL of the known history of the milk prior to LOL's acceptance of the milk. 48. Denied. After reasonable investigation, answering Defendants are without information sufficient to form a belief as to the truth or falsity of the averments in this paragraph and, therefore, deny the same and demand strict proof at time of trial if deemed material. 49. The averments in this paragraph constitute conclusions oflaw to which no response is required. In the event a response is deemed to be required, it is denied that Clouse or any representative of Clouse Trucking failed to advise LOL that the condemned milk had previously failed a confirmatory antibiotics test. By way of further answer, it is specifically denied that the milk was condemned. 50. The averments in this paragraph constitute conclusions oflaw to which no response is required. In the event a response is deemed to be required, it is denied that based 12 upon statements of Clouse, the Fictitious Cloverland Receipt and the Fictitious DMS Receipt, and the testing which was performed, LOL received 29,506 pounds of condemned milk from the Clouse Trucking truck. By way of further answer, it is specifically denied that the milk was condemned. 51. Denied. After reasonable investigation, answering Defendants are without information sufficient to form a belief as to the truth or falsity of the averment that the 29,506 pounds of Condemned Milk from the Clouse Trucking tank truck was pumped into a LOL raw milk storage silo and commingled with 454,854 pounds of milk from other producers and, therefore, deny the same and demand strict proof at time of trial if deemed material. By way of further answer, it is specifically denied that the milk was condemned. 52. The averments in this paragraph constitute conclusions oflaw to which no response is required. In the event a response is deemed to be required, it is denied that the delivery of the condemned milk by Cloverland and/or Clouse Trucking constituted a sale of the condemned milk by Cloverland to LOL. 53. Denied. After reasonable investigation, answering Defendants are without information sufficient to form a beliefas to the truth or falsity of the averments in this paragraph and, therefore, deny the same and demand strict proof at time oftrial if deemed material. By way of further answer, it is specifically denied that the milk was condemned. 13 54. Denied. After reasonable investigation, answering Defendants are without information sufficient to form a belief as to the truth or falsity of the averments in this paragraph and, therefore, deny the same and demand strict proof at time of trial if deemed material. 55. Denied. After reasonable investigation, answering Defendants are without information sufficient to form a belief as to the truth or falsity of the averments in this paragraph and, therefore, deny the same and demand strict proof at time of trial if deemed material. 56. Denied. After reasonable investigation, answering Defendants are without information sufficient to form a belief as to the truth or falsity of the averments in this paragraph and, therefore, deny the same and demand strict proof at time of trial if deemed material. COUNT I Land O'Lakes, Inc. v. Cloverland Dairy Limited Partnership (Common Law Breach of Oral or Implied Contract) 57. Clouse Trucking, Inc. and J. Edward Clouse incorporate herein by reference their answers to paragraphs I through 56 as is set forth at length 58. This averment is directed to a Defendant other than answering Defendants and, therefore, no response is required. ]4 59. This averment is directed to a Defendant other than answering Defendants and, therefore, no response is required. 60. This averment is directed to a Defendant other than answering Defendants and, therefore, no response is required. 61. This averment is directed to a Defendant other than answering Defendants and, therefore, no response is required. 62. This averment is directed to a Defendant other than answering Defendants and, therefore, no response is required. 63. This averment is directed to a Defendant other than answering Defendants and, therefore, no response is required. 64. This averment is directed to a Defendant other than answering Defendants and, therefore, no response is required. 65. This averment is directed to a Defendant other than answering Defendants and, therefore, no response is required. 15 66. This averment is directed to a Defendant other than answering Defendants and, therefore, no response is required. WHEREFORE, Defendants Clouse Trucking, Inc. and J. Edward Clouse respectfully request that the Plaintiff's Complaint he dismissed and that judgment be entered in favor of Clouse Trucking, Inc. and J. Edward Clouse and against all other parties. COUNT II Land O'Lakes, Inc. v. Cloverland Dairy Limited Partnership (Breach of Contract Under the Pennsylvania Uniform Commercial Code) 67. Clouse Trucking, Inc. and J. Edward Clouse incorporate herein by reference their answers to paragraphs I through 66 as is set forth at length. 68. This averment is directed to a Defendant other than answering Defendants and, therefore, no response is required. 69. This averment is directed to a Defendant other than answering Defendants and, therefore, no response is required. 16 70. This averment is directed to a Defendant other than answering Defendants and, therefore, no response is required. 7J. This averment is directed to a Defendant other than answering Defendants and, therefore, no response is required. WHEREFORE, Defendants Clouse Trucking, Inc. and 1. Edward Clouse respectfully request that the Plaintifl's Complaint be dismissed and that judgment be entered in favor of Clouse Trucking, Inc. and 1. Edward Clouse and against all other parties. COUNT III Land O'Lakes, Inc. v. Cloverland Dairy Limited Partnership (Breach ofImplied Duty of Good Faith) 72. Clouse Trucking, Inc. and 1. Edward Clouse incorporate herein by reference their answers to paragraphs 1 through 71 as is set forth at length. 73. This averment is directed to a Defendant other than answering Defendants and, therefore, no response is required. ]7 74. This averment is directed to a Defendant other than answering Defendants and, therefore, no response is required. 75. This averment is directed to a Defendant other than answering Defendants and, therefore, no response is required. WHEREFORE, Defendants Clouse Trucking, Inc. and J Edward Clouse respectfully request that the Plaintiffs Complaint be dismissed and that judgment be entered in favor of Clouse Trucking, Inc. and J. Edward Clouse and against all other parties. COUNT IV Land O'Lakes, Inc. v. Cloverland Dairv Limited Partnership (Breach of Implied Warranty of Merchantability) 76. Clouse Trucking, Inc. and J. Edward Clouse incorporate herein by reference their answers to paragraphs 1 through 75 as is set forth at length. 77. This averment is directed to a Defendant other than answering Defendants and, therefore, no response is required. 18 78. This averment is directed to a Defendant other than answering Defendants and, therefore, no response is required. 79. This averment is directed to a Defendant other than answering Defendants and, therefore, no response is required. 80. This averment is directed to a Defendant other than answering Defendants and, therefore, no response is required. 81. This averment is directed to a Defendant other than answering Defendants and, therefore, no response is required. WHEREFORE, Defendants Clouse Trucking, Inc. and J. Edward Clouse respectfully request that the Plaintiff's Complaint be dismissed and that judgment be entered in favor of Clouse Trucking, Inc. and 1. Edward Clouse and against all other parties. COUNT V Land O'Lakes, Inc. v. Cloverland Dairy Limited Partnership (Breach of Implied Warranty of Fitness for a Particular Purpose) 82. Clouse Trucking, Inc. and 1. Edward Clouse incorporate herein by reference their answers to paragraphs I through 81 as is set forth at length. 19 83. This averment is directed to a Defendant other than answering Defendants and, therefore, no response is required. 84. This averment is directed to a Defendant other than answering Defendants and, therefore, no response is required. 85. This averment is directed to a Defendant other than answering Defendants and, therefore, no response is required. 86. This averment is directed to a Defendant other than answering Defendants and, therefore, no response is required. WHEREFORE, Defendants Clouse Trucking, Inc. and 1. Edward Clouse respectfully request that the Plaintiff's Complaint be dismissed and that judgment be entered in favor of Clouse Trucking, Inc. and 1. Edward Clouse and against all other parties. COUNT VI Land O'Lakes, Inc. v. Clouse Trucking, Inc., Cloverland Dairy Limited Partnership, J. Edward Clouse and Daniel Fox (Fraudulent Misrepresentation) 87. Clouse Trucking, Inc. and 1. Edward Clouse incorporate herein by reference their answers to paragraphs I through 86 as is set forth at length. 20 88. Denied. After reasonable investigation, answering Defendants are without information sufficient to form a belief as to the truth or falsity of the averments in this paragraph and, therefore, deny the same and demand strict proof at time of trial if deemed material. 89. Admitted in part; denied in part. It is specifically admitted that at all times relevant to the within cause of action, Clouse was acting both in his individual capacity and on behalf of his employer, as an authorized agent, and within the scope of his employment. Answering Defendants are without information sufficient to form a belief as to the truth or falsity of the averments that Fox was acting both in his individual capacity and on behalf of his employer, as an authorized agent, and within the scope of his employment. 90. Denied. It is specifically denied that at the times the representations as aforementioned were made by Clouse they were false, and were made with actual knowledge that the raw milk was not, as represented, suitable for human consumption, or recklessness as to whether or not the representations were true. After reasonable investigation, answering Defendants are without information sufficient to form a belief as to the truth or falsity of the averments that at the times the representations as aforementioned were made by Fox, they were false and were made with actual knowledge that the raw milk was not, as represented, suitable for human consumption or recklessness as to whether the representations were true. 21 91. Denied. It is specifically denied that the aforementioned representations were made the answering Defendants with the intent of misleading LOL into relying upon such representations so that it would accept the raw milk. 92. The averments in this paragraph constitute conclusions oflaw to which no response is required. In the event a response is deemed to be required, it is specifically denied that in justifiable reliance upon the statements made by the Defendants, LOL accepted delivery of the Condemned Milk. By way of further answer, answering Defendants specifically deny making inaccurate statements regarding the milk in question. 93. The averments in this paragraph constitute conclusions oflaw to which no response is required. In the event a response is deemed to be required, answering Defendants specifically deny that their conduct was outrageous and that they had actual knowledge that the condemned milk was prohibited from use and products for human consumption or acted with reckless indifference of that knowledge and caused the condemned milk to be delivered to LOL in conscious disregard or indifference to the risk the condemned milk would present by itself or when commingled with other milk intended for use in products for human consumption. 94. The averments in this paragraph constitute conclusions oflaw to which no response is required. In the event a response is deemed to be required, it is specifically denied 22 that as a result of LOL reliance upon the representations ofthe answering Defendants as aforementioned, LOL was caused damage in the amount of$100,898.00. 95. The averments in this paragraph constitute conclusions oflaw to which no response is required. In the event a response is deemed to be required, it is specifically denied that LOL's resulting injury was proximately caused by its reliance upon representations made by the answer Defendants. WHEREFORE, Defendants Clouse Trucking, Inc. and 1. Edward Clouse respectfully request that the Plaintiff's Complaint be dismissed and that jud'gment be entered in favor of Clouse Trucking, Inc. and 1. Edward Clouse and against all other parties. COUNT VII Land O'Lakes, Inc. v. Clouse Truckin~. Inc. and Cloverland Dairy Limited Partnership (Vicarious Liability) 96. Clouse Trucking, Inc. and 1. Edward Clouse incorporate herein by reference their answers to paragraphs I through 85 as is set forth at length. 97. The averments in this paragraph constitute conclusions oflaw to which no response is required. In the event a response is deemed to be required, it is specifically denied 23 that answering Defendant committed any acts of fraud and that at aU time relevant hereto, Clouse Trucking knew or should have known that its authorized agents, servants, or employees, including, but not limited to Clouse, were likely to commit the acts of fraud set forth above in Court VI. 98. This averment is directed to a Defendant other than answering Defendant and, therefore, no response is required. 99 Admitted 100. This averment is directed to a Defendant other than answering Defendants and, therefore, no response is required. 101. The averments in this paragraph constitute conclusions oflaw to which no response is required. In the event a response is deemed to be required, it is specificaUy denied that answering Defendant committed any acts of fraud and that as a direct and proximate result of the fraud of Clouse Trucking's authorized agents, servants, or employees, including, but not limited to Clouse, Clouse Trucking is vicariously liable for the damages sustained by LOL as set forth above in Count VI. 24 102. This averment is directed to a Defendant other than answering Defendants and, therefore, no response is required. WHEREFORE, Defendants Clouse Trucking, Inc. and J. Edward Clouse respectfully request that the Plaintiffs Complaint be dismissed and that judgment be entered in favor of Clouse Trucking, Inc. and 1. Edward Clouse and against all other parties. COUNT VIII Land O'Lakes, Inc. v. Clouse Trucking, Inc. and Cloverland Dairy, Limited Partnership, J. Edward Clouse and Daniel Fox (Negligent Misrepresentation) 103. Clouse Trucking, Inc. and 1. Edward Clouse incorporate herein by reference their answers to paragraphs I through 102 as is set forth at length. 104. The averments in this paragraph constitute conclusions oflaw to which no response is required. In the event a response is deemed to be required, it is specifically denied that the answering Defendants supplied milk which was prohibited from use in products for human consumption and that the answering Defendants owed a duty to Land O'Lakes to supply milk not prohibited from use in products for human consumption. 25 105. The averments in this paragraph constitute conclusions oflaw to which no response is required. In the event a response is deemed to be required, it is specifically denied that the milk in question was prohibited from use in products for consumption or that answering Defendants had knowledge thereof It is specifically denied that the answering Defendants breached the duty by supplying raw milk to Land O'Lakes when they had actual knowledge, or had reason to know, that such raw milk was prohibited from use in products for human consumption. 106. The averments in this paragraph constitute conclusions oflaw to which no response is required. In the event a response is deemed to be required, it is specifically denied that the answering Defendants made improper representations with the intent that Land O'Lakes would rely upon such representations. 107. The averments in this paragraph constitute conclusions of law to which no response is required. In the event a response is deemed to be required, it is specifically denied that the milk was not fit for human consumption or that the answering Defendants failed to exercise reasonable care or competence in communicating to Land O'Lakes the fitness of the raw milk for human consumption. 108. The averments in this paragraph constitute conclusions oflaw to which no response is required. In the event a response is deemed to be required, it is specifically denied 26 that the answering Defendants made improper representations or that Land 0 'Lakes did justifiably rely upon the representation of the answering Defendants to its detriment. 109. The averments in this paragraph constitute conclusions oflaw to which no response is required. In the event a response is deemed to be required, it is specifically denied that answering Defendants made negligent misrepresentations, and that the negligent misrepresentations made by the answering Defendants were the proximate cause of damages suffered by LOL. 110. The averments in this paragraph constitute conclusions oflaw to which no response is required. In the event a response is deemed to be required, it is specifically denied that answering Defendants made negligent misrepresentations, and that as a result of the negligent misrepresentations of the answering Defendants, LOL was caused to suffer damages in the amount of$100,898.00. WHEREFORE, Defendants Clouse Trucking, Inc. and 1. Edward Clouse respectfully request that the Plaintiff's Complaint be dismissed and that judgment be entered in favor of Clouse Trucking, Inc. and 1. Edward Clouse and against all other parties. 27 COUNT IX Land O'Lakes, Inc. v. Clouse Truckin!!, Inc. and Cloverland Dairy Limited Partnership (Vicarious Liability) 111. Clouse Trucking, Inc. and J. Edward Clouse incorporate herein by reference their answers to paragraphs I through 110 as is set forth at length. 112. The averments in this paragraph constitute conclusions oflaw to which no response is required. In the event a response is deemed to be required, it is specifically denied that answering Defendants made negligent misrepresentations and that at all times relevant hereto, Clouse Trucking knew or should have known that its authorized agents, servants, or employees including, but not limited to Clouse, were likely to commit the acts of negligent misrepresentation set forth above in Count VIII. 113. This averment is directed to a Defendant other than answering Defendant and, therefore, no response is required. 114. Admitted. 28 115. This averment is directed to a Defendant other than answering Defendant and, therefore, no response is required. 116. The averments in this paragraph constitute conclusions oflaw to which no response is required. In the event a response is deemed to be required, it is specifically denied that answering Defendants were negligent and that as a direct and proximate result of the negligence of Clouse Trucking's authorized agents, servants, or employees, including, but not limited to Clouse, Clouse Trucking is vicariously liable for the damages sustained by LOL as set forth in Count VIII above. 117. This averment is directed to a Defendant other than answering Defendant and, therefore, no response is required. WHEREFORE, Defendants Clouse Trucking, Inc. and J. Edward Clouse respectfully request that the Plaintiff's Complaint be dismissed and that judgment be entered in favor of Clouse Trucking, Inc. and 1. Edward Clouse and against all other parties. 29 COUNT X Land O'Lakes, Inc. v. Clouse Truckine. Inc. and Cloverland Dairv Limited Partnership (Negligence) 118. Clouse Trucking, Inc. and 1. Edward Clouse incorporate herein by reference their answers to paragraphs 1 through 117 as is set forth at length. 119. Denied. Answering Defendant specifically denies that the milk was condemned and not safe for dairy products intended for human consumption, and denies that Clouse Trucking knew that the condemned milk with the Clouse Trucking truck could not he used for dairy products for human consumption. 120. Denied. Answering Defendants specifically deny that Clouse Trucking knew that LOL intended to use raw milk delivered by them to LOL for dairy products for human consumption. 121. The averments in this paragraph constitute conclusions oflaw to which no response is required. In the event a response is deemed to be required, it is specifically denied that the delivered milk was not fit for human consumption, and it is denied that Clouse Trucking 30 had a duty not to cause to be delivered to LOL raw milk that could not be used for human consumption. 122. The averments in this paragraph constitute conclusions oflaw to which no response is required. In the event a response is deemed to be required, it is specifically denied that the milk in question was condemned and not fit for human consumption, and it is denied that Clouse Trucking had a duty to notifY LOL that condemned milk could not be used in dairy products for human consumption. 123. The averments in this paragraph constitute conclusions oflaw to which no response is required. In the event a response is deemed to be required, it is specifically denied that the milk in question was condemned and not fit for human consumption, and it is denied that Clouse Trucking and Cloverland breached the aforesaid duties when they delivered to LOL the condemned milk that was not suitable to be used in dairy products for human consumption. 124. The averments in this paragraph constitute conclusions oflaw to which no response is required. In the event a response is deemed to be required, answering Defendant specifically denies that the milk was condemned and not fit for human consumption, and denies that Clouse Trucking breached the aforesaid duty when they failed to notifY LOL that the condemned milk not be used in dairy products for human consumption. 31 125. The averments in this paragraph constitute conclusions oflaw to which no response is required. In the event a response is deemed to be required, it is specifically denied that the delivered milk was not fit for human consumption or that the milk contaminated LOL raw milk, and it is denied that as a direct and proximate result of Clouse Trucking delivering to LOL the Condemned Milk that can not be used in dairy products for human consumption, and/or failing to notifY LOL that the Condemned Milk cannot be used as such, LOL commingled Condemned Milk from the Clouse Trucking truck with LOL raw milk, thus contaminating the LOL raw milk and causing LOL to suffer a loss of$100,898.00. WHEREFORE, Defendants Clouse Trucking, Inc. and 1. Edward Clouse respectfully request that the Plaintiff's Complaint be dismissed and that judgment be entered in favor of Clouse Trucking, Inc. and J. Edward Clouse and against all other parties. COUNT XI DMS v. Clouse Truckine, Inc. (Breach of Contract Implied in Fact or in Law) 126. Clouse Trucking, Inc. and 1. Edward Clouse incorporate herein by reference their answers to paragraphs 1 through 125 as is set forth at length. 32 127. The averments in this paragraph constitute conclusions oflaw to which no response is required In the event a response is deemed to be required, answering Defendant is without information sufficient to form a belief as to the truth or falsity of the averments in this paragraph and, therefore, denies the same and demands strict proof at time of trial if deemed material. 128. Denied After reasonable investigation, answering Defendant is without information sufficient to form a belief as to the truth or falsity of the averments in this paragraph and, therefore, denies the same and demands strict proof at time oftrial if deemed material. By way of further answer, Clouse Trucking did not test the milk. 129. The averments in this paragraph constitute conclusions oflaw to which no response is required. In the event a response is deemed to be required, Defendant is without information sufficient to form a belief as to the truth or falsity of the averments in this paragraph and, therefore, denies the same and demands strict proof at time of trial if deemed material. 13 o. The averments in this paragraph constitute conclusions oflaw to which no response is required. In the event a response is deemed to be required, it is specifically denied that Clouse Trucking materially breached the aforesaid implied agreement when it commingled the DMS milk with the Cloverland milk. 33 131. The averments in this paragraph constitute conclusions of law to which no response is required. In the event a response is deemed to be required, it is specifically denied that the Cloverland milk caused the DMS milk to be contaminated by the presence of antibiotics so that it was rendered unsanitary and unfit for human consumption. It is further specifically denied that Clouse Trucking breached the aforesaid implied agreement by commingling the DMS milk with the Cloverland milk so as to cause DMS milk to be contaminated by the presence of antibiotics so that it was rendered unsanitary and therefore, unfit for use in dairy products for human consumption. 132. The averments in this paragraph constitute conclusions oflaw to which no response is required. In the event a response is deemed to be required, it is specifically denied that the DMS milk was rendered unfit for human consumption and that as a direct and proximate result of the aforesaid commingling of the DMS milk with the Cloverland milk by Clouse Trucking, DMS milk was rendered unfit for human consumption and, as a result, DMS suffered damages in the amount of$4,756.00. WHEREFORE, Defendants Clouse Trucking, Inc. and 1. Edward Clouse respectfully request that the Plaintiff's Complaint be dismissed and that judgment be entered in favor of Clouse Trucking, Inc. and 1. Edward Clouse and against all other parties. 34 COUNT XII DMS v. Clouse Truckin!:, Inc. and Cloverland Dairv Limited Partnership (Negligence) 133. Clouse Trucking, Inc. and 1. Edward Clouse incorporate herein by reference their answers to paragraphs 1 through 132 as is set forth at length. 134. The averments in this paragraph constitute conclusions oflaw to which no response is required. In the event a response is deemed to be required, it is specifically denied that the DMS milk was contaminated and prohibited from being processed for human consumption and it is denied that Clouse Trucking and Cloverland had a duty not to contaminate the DMS milk in a manner that would cause the OMS milk to be prohibited from being processed in dairy products for human consumption. 135. The averments in this paragraph constitute conclusions oflaw to which no response is required. In the event a response is deemed to be required, it is specifically denied that Clouse Trucking negligently breached the aforesaid duty when the Cloverland milk was commingled with the OMS milk subsequent to Clouse Trucking picking up OMS milk. 35 136. The averments in this paragraph constitute conclusions oflaw to which no response is required. In the event a response is deemed to be required, it is specifically denied that the DMS milk became unsanitary and unfit for use in dairy products for human consumption and that as a direct and proximate result of the commingling of the Cloverland milk with the DMS milk by Clouse Trucking and/or Cloverland, the DMS milk became unsanitary and, therefore, unfit for use in dairy products for human consumption. 137. The averments in this paragraph constitute conclusions oflaw to which no response is required. In the event a response is deemed to be required, it is specifically denied that the milk was contaminated and it is denied that due to the aforesaid contamination, the DMS milk was rejected by LVD as a result of antibiotic residue in the Cloverland milk with which it was commingled. 138. The averments in this paragraph constitute conclusions of law to which no response is required. In the event a response is deemed to be required, it is specifically denied that as a direct and proximate result of the aforesaid commingling and subsequent rejection, DMS suffered damages in that rejection caused it to lose the value of the DMS milk in the amount of $4,756.00. 36 WHEREFORE, Defendants Clouse Trucking, Inc. and J. Edward Clouse respectfully request that the Plaintiff's Complaint be dismissed and that judgment be entered in favor of Clouse Trucking, Inc. and 1. Edward Clouse and against all other parties. NEW MATTER By way of additional answer and reply, answering Defendants raise the following New Matters: 139. The Plaintitl's Amended Complaint fails to state a cause of action upon which relief can be granted. 140. Some or all of the Plaintitl's claims are barred by the applicable statute of limitations. 141. Some or all of the Plaintitl's claims are barred in whole or in part by the doctrine of comparative/contributory negligence and/or the doctrine of assumption of the risk. 37 142. Discovery may reveal that the Plaintiff failed to mitigate its damages. Respectfully submitted, GOLDBERG, KATZMAN & SHIPMAN, P.c. By: John A. Statrer, Es~ Attorney 1. D. No. 43812 320 Market Street P. O. Box 1268 Harrisburg, P A 17108-1268 Telephone: (717) 234-4161 Attorneys for Defendants Clouse Trucking, Inc. and 1. Edward Clouse DATE: /L!cr / iJ.5 101756.1 38 VERIFICA nON I, J. EDWARD CLOUSE, hereby acknowledge that I am a Defendant in this action; that I have read the foregoing Answer With New Matter; and that the facts stated therein are true and correct to the best of my knowledge, information and belief. I understand that any false statements herein are made subject to penalties of 18 Pa. C. s. Section 4904, relating to unsworn falsification to authorities. ~<~ !!4-f-l;;) ~. EDWARD CLOUSE DATE: - DEC-08-2003 MON 05:10 PM CLOUSE TRUCKING FAX NO, 7172499300 12/0B/200J lJ:U~ ~AX t "~Jqb~IU UULUDcn~ nnIL~nl' p, 02 ~...... VE~JFICA TIQN /J&t{l7l/1 .l. (0.~4-f'1 hereby acknowledge that Clouse Trucking, Inc. is a Dc:ft:llu~nt in this actiOrl and that I am authorized 10 make this v~rification on its bc:hlllf; that 1 have read the foregoing Answer and New Matter; and tha1the facts staled therein are true and como:ct to the b""t of my knowledge, infonnation and belief. 1 understand that any false statements herein are made subject to penalties of 18 Pa. C, S. Section 4904. relating to unsworn flllsific.ation to authorities. CLOUSE TRUCKING, INC. ;) .tdt.<) Q. jr- J C (6 vS ~ By: f4:t!t1 J4/LJ-- e;;, A .-t.JA~ ~ PATEl CERTIFICA TE OF SERVICE I HEREBY CERTIFY that I served a true and correct copy of the foregoing Answer of Defendants Clouse Trucking, Inc. and J. Edward Clouse to Plaintiff's Amended Complaint including New matter upon all parties or counsel of record by depositing a copy of same in the United States Mail at Harrisburg, Pennsylvania, with first-class postage prepaid on the 9\V\ day of 'Oe~~ , 2003, addressed to the following: Patrick 1. Reilly, Esquire Gross, McGinley, Labarre & Eaton, LLP 33 South Seventh Street P. 0 Box 4060 Allentown, PA 18105-4060 Scott T. Wyland, Esquire Hawke, McKeon, Sniscak & Kennard 100 North Tenth Street Harrisburg, PA 17101 Respectfully submitted, GOLDBERG, KATZMAN & SHIPMAN, P.c. By John A. Statler, Es e Attorney I. D. No. 43812 320 Market Street P.O. Box 1268 Harrisburg, PA ]7]08-1268 Telephone: (717) 234-4161 Attorney for Defendants Clouse Trucking, Inc. and 1. Edward Clouse (") Q b ('-~ w -r, r::J - , ..,) - "1 rT! ,. C; , r " < U? ( -'. i r- -~ ~ " ,-:!': " c;: ( i:;~) .....-- , ")"'1 'ie, r~;. ~~ - ., --;; ~(j -, (:::> -< IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYL V ANlA CIVIL ACTION - LAW LAND O'LAKES, INe., and DAIRY MARKETING SERVICES, LLC, Plaintiffs v. CLOUSE TRUCKING, INC., CLOVERLAND DAIRY LIMITED PARTNERSHIP, a Maryland Limited Partnership, J. EDWARD CLOUSE and DANIEL FOX, Defendants ) ) ) ) ) ) ) ) ) ) ) ) ) ) No: 03-2782 Civil Term PLAINTIFFS' ANSWER TO THE PRELIMINARY OBJECTIONS OF DEFENDANTS CLOVERLAND DAIRY LIMITED PARTNERSHIP AND DANIEL FOX Plaintiffs Land O'Lakes, Inc. ("LOL") and Dairy Marketing Services, LLC ("DMS") (collectively, the "Plaintiffs"), by and through their Counsel, Gross, McGinley, LaBarre & Eaton, LLP, respectfully answer the Preliminary Objections filed by Defendants Cloverland Dairy Limited Partnership ("Cloverland") and Daniel Fox ("Fox") (collectively, the "Defendants") as follows: I. Demurrer - Punitive Damages 1. Admitted. 2. Denied. The allegations of paragraph 2 are conclusions of law to which no response is required. To the extent that paragraph 2 purports to assert factual allegations, Plaintiffs deny those allegations and respectfully refer the Court to the complete text of the Amended Complaint for the full and accurate description ofthe allegations thereof. WHEREFORE, Plaintiffs respectfully request that this Honorable Court overrule the Preliminary Objections of Defendants Cloverland and Fox or, in the alternative, grant Plaintiffs leave to file an amended pleading in the event the Court sustains said objections. II. Demurrer to Count III 3. Plaintiffs incorporate their answers to paragraphs 1 and 2. 4. Denied. The said Count III speaks for itself. 5. Denied. The allegations of paragraph 5 are conclusions of law to which no response is required. 6. Denied. The allegations of paragraph 6 are conclusions of law to which no response IS required. To the extent that paragraph 6 purports to assert factual allegations, Plaintiffs deny those allegations. WHEREFORE, Plaintiffs respectfully request that this Honorable Court overrule the Preliminary Objections of Defendants Cloverland and Fox or, in the alternative, grant Plaintiffs leave to file an amended pleading in the event the Court sustains said objections. III. Demurrer to Count V 7. Plaintiffs incorporate their answers to paragraphs 1 through 6. 8. Denied. The said Count V speaks for itself. 9. Denied. The allegations of paragraph 9 are conclusions of law to which no response is required. 10. Denied. The allegations of paragraph 10 are conclusions of law to which no response is required. By way of further answer, the allegations of Count V speak for themselves. 11. The allegations of paragraph 11 are conclusions of law to which no response is required. By way of further answer, the allegations of Count V speak for themselves. 2 WHEREFORE, Plaintiffs respectfully request that this Honorable Court overrule the Preliminary Objections of Defendants Cloverland and Fox or, in the alternative, grant Plaintiffs leave to file an amended pleading in the event the Court sustains said objections. IV. Demurrer to Counts VII and IX 12. Plaintiffs incorporate their answers to paragraphs 1 through II. 13. Denied. The said Counts VII and IX speak for themselves. 14. Denied. The allegations of paragraph 14 are conclusions of law to which no response is required. 15. Denied. The allegations of paragraph 15 are conclusions of law to which no response is required. By way of further answer, the allegations of Counts VII and IX speak for themselves. 16. Denied. The allegations of paragraph 16 are conclusions of law to which no response is required. 17. Denied. The allegations of paragraph 17 are conclusions of law to which no response is required. By way of further answer, the allegations of Counts VII and IX speak for themselves. 18. Denied. The allegations of paragraph 18 are conclusions of law to which no response is required. By way of further answer, the allegations of Counts VII and IX speak for themselves. WHEREFORE, Plaintiffs respectfully request that this Honorable Court overrule the Preliminary Objections of Defendants Cloverland and Fox or, in the alternative, grant Plaintiffs leave to file an amended pleading in the event the Court sustains said objections. 3 V. Lack of Conformity to Law or Rule of Court - Lack of Specificity of Damages 19. Plaintiffs incorporate their answers to paragraphs I through 18. 20. Denied. The allegations of paragraph 20 are conclusions of law to which no response is required. 21. Admitted. 22. Denied. The allegations of paragraph 22 are conclusions of law to which no response is required. To the extent that paragraph 22 purports to assert factual allegations, Plaintiff LOL denies those allegations and respectfully refers the Court to the complete text of the Amended Complaint for the full and accurate description of the allegations thereof. By way of further answer, Defendants can obtain through discovery more specific information concerning Plaintiffs' damages. 23. Denied. Plaintiffs' Complaint provides sufficient specificity to enable Defendants to answer. 24. Admitted. 25. Denied. The allegations of paragraph 25 are conclusions of law to which no response is required. To the extent that paragraph 25 purports to assert factual allegations, Plaintiff DMS denies those allegations and respectfully refers the Court to the complete text of the Amended Complaint for the full and accurate description of the allegations thereof. By way of further answer, Defendants can obtain through discovery more specific information concerning Plaintiffs' damages. 26. Denied. Plaintiffs' Complaint provides sufficient specificity to enable Defendants to answer. 4 WHEREFORE, Plaintiffs respectfully request that this Honorable Court overrule the Preliminary Objections of Defendants Cloverland and Fox or, in the alternative, grant Plaintiffs leave to file an amended pleading in the event the Court sustains said objections. RESPECTFULLY SUBMITTED, I):y, LaBARRE & EATON, LLP /( L- BY: Date: /JI fJ'7(v J , P A K J. REILLY, ESQUIRE Attorney for Plaintiffs 33 South 7th Street, PO Box 4060 Allentown, PA 18105-4060 (610) 820-5450 J.D. #32235 W,I WDOXICLIENTSllollc1ouseI00047434.DOC 5 CERTIFICATE OF SERVICE This is to certify that the foregoing PLAINTIFFS' ANSWER TO THE PRELIMINARY OBJECTIONS OF DEFENDANTS CLOVERLAND DAIRY LIMITED PARTNERSHIP AND DANIEL FOX was mailed by first class United States mail, postage prepaid, on this day of December, 2003, upon the following: John A. Statler, Esquire Goldberg, Katzman & Shipman, P.C. 320 Market Street PO Box 1268 Harrisburg, P A 17108-1268 Attorney for Clouse Trucking, Inc. and J. Edward Clouse Scott T. Wyland, Esquire Hawke, McKeon, Sniscak & Kennard LLP 100 North Tenth Street Harrisburg, PA 17101 Attorney for Cloverland Dairy Limited Partnership and Daniel Fox GROSS, McG Y, LaBARRE & EATON, LLP //"""- DATE: P()~(J1 - BY: PAT~J)JJ. REILLY, ESQUIRE Attorney for Plaintiffs 33 South 7th Street P.O. Box 4060 Allentown, PA 18105-4060 (610) 820-5450 J.D. #32235 Land O'Lakes v. Clouse Trucking W:\ WDOX\CLIENTS\lo1\clouse\0004 7562.DOC o c- uft: nl\'" ;:,.f ;.': -";'>";;:;. (~) ", _,'",0' r K "c- ~EJ -~.; .(:"" ::< ~ => '.... CJ f"T1 C"") W ~ :t:n m -om ::06 o '---.( :r=ii <;.?o -- C?fn :?c -, "'U ~ -... r:? .L- 0') "II II IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA CIVIL ACTION - LAW LAND O'LAKES, INC., and DAIRY ) MARKETING SERVICES, LLC, ) ) Plaintiffs ) ) v. ) ) CLOUSE TRUCKING, INC., ) CLOVERLAND DAIRY LIMITED ) PARTNERSHIP, a Maryland Limited ) Partnership, J. EDWARD CLOUSE and ) DANIEL FOX, ) ) Defundants ) No: 03-2782 Civil Term PRAECIPE FOR ARGUMENT TO THE PROTHONOTARY: Please list the within matter for the next Argument list. 1. Matter to be argued: Preliminary Objections of Defendants Cloverland Dairy Limited Partnership and Daniel Fox. 2. Counsel for the Parties: For Plaintiffs, Land O'Lakes, Inc. and Dairy Marketing Services, LLC: Patrick J. Reilly, Esquire Gross, McGinley, LaBarre & Eaton, LLP 33 South 7th Street, PO Box 4060 Allentown, P A 18105-4060 ID No: 32235 (610) 820-5450 For Defendants Clouse Trucking, Inc. and J. Edward Clouse: John A. Statler, Esquire Goldberg, Katzman & Shipman, P.C., 320 Market Street, PO Box 1268 Harrisburg, PA 17108-1268 ID No: 43812 (717) 234-4161 For Defendants Cloverland Dairy Limited Partnership and Daniel Fox: Scott T. Wyland, Esquire Hawke, McKeon, Sniscak & Kennard LLP 100 North Tenth Street Harrisburg, P A 17101 ID No: 52660 (717) 236-1300 3. I will notify all parties, in writing, within two days that the matter has been listed for argument. 4. Argument Court Date: February 4, 2004 GROSS, McGINLEY, LaBARRE & EATON, LLP j. . BY: ,(-,0- PA CKJ.REILLY,ESQUIRE Attorney for Plaintiffs 33 South 7th Street PO Box 4060 Allentown, PA 18105-4060 (610) 820-5450 J.D. #32235 Date: 1(7(1 W,I WDOXlCLIENTSIlollc1ollseI00048132.DOC 2 CERTIFICATE OF SERVICE This is to certify that the foregoing PRAECIPE FOR ARGUMENT was mailed by first class United States mail, postage prepaid, and this ~, day of January. 2004, upon the following: John A. Statler, Esquire Goldberg, Katzman & Shipman, P.C. 320 Market Street PO Box 1268 Harrisburg, PA 17108-1268 Attorney for Clouse Trucking, Inc. and J. Edward Clouse Scott T. Wyland, Esquire Hawke, McKeon, Sniscak & Kennard LLP 100 North Tenth Street Harrisburg, PA 17101 Attorney for Cloverland Dairy Limited Partnership and Daniel Fox DATE: I ( 7/0 f . , GROSS, Mc < ~ LaBARRE & EATON, LLP BY: .~. PAT J.REILLY,ESQUIRE Attorney for Plaintiffs 33 South 7th Street P.O. Box 4060 Allentown, PA 18105-4060 (610) 820-5450 J.D. #32235 Land O'Lakes v. Clouse Trucking W ,I WDOXlCLIENTSllollc1ollseI00041817 .DOC .... o s: cBrT:; ~_~-,~ I c,,' r.:: i~~ ~,/. \. .' "',::::' I::i ~,.~; :::"::1 ~. , ....., ,,~ = ..c- ~ ;.c.:: o -n ::j f'll" f-~. :O!:!.l ~,;.~ '....rJ ~::::j (~) ~~~ ;~.,.! -.."" -1-' , CD ~ -'- '" CJ _.,.- IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA CIVIL ACTION - LAW LAND O'LAKES, INC., and DAIRY MARKETING SERVICES, LLC, Plaintiffs v. CLOUSE TRUCKING, INC., CLOVERLAND DAIRY LIMITED PARTNERSHIP, a Maryland Limited Partnership, J. EDWARD CLOUSE and DANIEL FOX, Defendants ) ) ) ) ) ) ) ) ) ) ) ) ) ) No: 03-2782 Civil Term PLAINTIFFS' ANSWER TO NEW MATTER OF CLOUSE TRUCKING, INC. AND J. EDWARD CLOUSE 139. Denied as a conclusion oflaw to which not response is required. 140. Denied as a conclusion oflaw to which not response is required. 141. Denied as a conclusion oflaw to which not response is required. 142. Denied. No response required of the Plaintiffs. To the extent that a response is required, Plaintiffs are withont knowledge or information sufficient to form a belief as to the truth ofthe averments contained in paragraph 142. Date: I jrlu,"( W:\ WDOX\CLIENTS\lol\c1ouse\00046185.DOC ::008, M'G~..~~ARRE & EATON, ill' ~ J. REILLY, ESQUIRE Attorney for Plaintiffs 33 South 7th Street, PO Box 4060 Allentown, P A 18105-4060 (610) 820-5450 J.D. #32235 VERIFICATION I, Dennis Schad, hereby state and verify that I am the ]};ef(!i:lJ~ of j(1I.eL~(;lf...ff Land O'Lakes, Inc., that I am anthorized to make this Verification on behalf of said corporation, and that the facts set forth in PLAINTIFFS' ANSWER TO NEW MATTER OF CLOUSE TRUCKING, INC. AND J. EDWARD CLOUSE are true and correct, based upon personal knowledge, information, and belief. 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 authorities. BY: Date: /;'/1-1/cJ .3 LOL v. Clouse Trucking W ,I WDOXlCLIENTS\lollclollseI00046190.DOC CERTIFICATE OF SERVICE This is to certify that PLAINTIFFS' ANSWER TO NEW MATTER OF CLOUSE TRUCKING, INC. AND J. EDWARD CLOUSE was mailed by first class United States mail, postage prepaid, and this ~--\t\. day of January, 2004, upon the following: John A. Statler, Esquire Goldberg, Katzman & Shipman, P.C. 320 Market Street PO Box 1268 Harrisburg, P A 17108-1268 Attorney for Clouse Trucking, Inc. and J. Edward Clouse Scott T. Wyland, Esquire Hawke, McKeon, Sniscak & Kennard LLP 100 North Tenth Street Harrisburg, PA 17101 Attorney for Cloverland Dairy Limited Partnership and Daniel Fox DATE: /(9/0~ GROSS, MCn~Y'.LaBARRE. & EATON, LLP 7J~~ BY' / . . P A TRI~r(J. ILLY, ESQUIRE Attorney for Plaintiffs 33 South 7th Street P.O. Box 4060 Allentown, PA 18105-4060 (610) 820-5450 J.D. #32235 Land O'Lakes v. Clouse Trucking W,I WDOXlCLIENTSllollclollseI00041817.DOC . :j ....., c::.:> 5-::~ G -n -l :r:-r r11r= -,.,fTl -\'ic) ;~~~~ ~:)~~ >.:.: <- ":>:." :J::: N ::T!.. (,) ;. Ci1 ~:J ..,:., IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA CIVIL ACTION - LAW LAND O'LAKES, INC., and DAIRY MARKETING SERVICES, LLC, Plaintiffs v. CLOUSE TRUCKING, INe., CLOVERLAND DAIRY LIMITED P AR1NERSHIP, a Maryland Limited Partnership, J. EDWARD CLOUSE and DANIEL FOX, Defendants ) ) ) ) ) ) ) ) ) ) ) ) ) ) No: 03-2782 Civil Term CERTIFICATE PREREOillSITE TO SERVICE OF A SUBPOENA PURSUANT TO PA.R.C.P. 4009.22 As a prerequisite to service of subpoenas for Documents and Things pursuant to Rule 4009.22, Land O'Lakes, Inc. and Dairy Marketing Services, LLC, certify that: 1. A Notice of Intent to Serve the subpoenas with a copy ofthe subpoenas attached thereto was mailed or delivered to each party or their counsel on March 22, 2004. 2. A copy of the Notice of Intent, including the proposed Subpoenas, is attached to the Certificate. 3. No objection to the subpoenas has been received, and 4. The subpoenas that will be served are identical to the subpoenas that are attached to the Notice of Intent to Serve the subpoenas. DATE: 1./1/1 ?, W ,I WDOXlCLIENTSllol\clollseI00057794.DOC By: ~, LaBARRE & EATON, LLP j7~ PATRI .REILLY,ESQUIRE Attorney for Plaintiffs, Land O'Lakes, Inc. and Dairy Marketing Services, LLC 33 South 7th Street P.O. Box 4060 Allentown, PA 18105-4060 (610) 820-5450 J.D. #32235 GROSS, Mc IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA CIVIL ACTION - LAW LAND O'LAKES, INe., and DAIRY MARKETING SERVICES, LLC, Plaintiffs v. CLOUSE TRUCKING, INC" CLOVERLAND DAIRY LIMITED PAR1NERSHIP, a Maryland Limited Partnership, J. EDWARD CLOUSE and DANIEL FOX, Defendants ) ) ) ) ) ) ) ) ) ) ) ) ) ) No: 03-2782 Civil Term NOTICE OF INTENT TO SERVE A SUBPOENA TO PRODUCE DOCUMENTS AND THINGS FOR DISCOVERY PURSUANT TO RULE 4009.21 To: John A. Statler, Esquire Goldberg, Katzman & Shipman, P.e. 320 Market Street PO Box 1268 Harrisburg, PA 17108-1268 Date: March ;),~~ , 2004 Scott T. Wyland, Esquire Hawke, McKeon, Sniscak & Kennard LLP 100 North Tenth Street Harrisburg, PA 17101 Land O'Lakes, Inc. and Diary Marketing Services, LLC intend to serve subpoenas identical to the ones that are attached to this Notice. You have twenty (20) days from the date listed below in which to file of record and serve upon the undersigned an objection to the subpoenas. If no objection is made the subpoenal may be served. Date::', I Z"2. \ ell W:\ WDOX\CLIENTS\Iol\clouse\OOOS4565.DOC ~_T/"--'~: GROSS, McG~EY! LaBARRE & EATON, LLP t~____ _ ,"- BY: ;Z ..~><\: \''- P A TRldK J. REILLY, ESQUIRE Attorney for Plaintiffs 33 South 7th Street, P.O. Box 4060 Allentown, PA 18105-4060 (610) 820-5450 I.D. #32235 COMMONWEALTH OF PENNSYL VANIA COUNTY OF CUM~R!..hND Land O'Lakes, Inc. and Dairy Marketing Serives, LLC, Pl ai ntiffs v. File NO..J13-?7R? r.i vi 1 Tprm Clouse Trucking, Inc., Cloverland Dairy Limited Partnerships, a Maryland Limited Partnership, J. Edward Clouse and Daniel Defendants Fox, SUBPOENA TO PRODUCE DOCUMENTS OR THINGS FOR DISCOVERY PURSUANT TO RULE 4009.22 TO: Pennsyl vani a Department of Agri cul ture, Bureau of Food Safety and LaBoratory Servi ces , Di ~ is'j on of ~lil k San ita t.j on (Name of Person or Entity) 2301 North Cameron Street, Harrisburg, PA 17110-9408 Within twenty (20) days after service of this subpoena, you are ordered by the c;ourt to produce the following documcnts or things:A copy of any and all files relating to an incident occurring on Au~ust 6, 2001 in which Clouse Trucklng company----cJellvered to Land 0' Lakes, Holly Spnngs, mllk t at had been tested positive both by presumptive test and confirmatory test for antibiotics. The original bills >et of laden numbers described in this indicent are 275835 and 45253. at: 33 South 7th Street, PO Box 4060, ~f Allentovm, PA 18105-4060 You may deli vcr or mail legible copies of the documents or produce things requested by this subpoena, togethcr \\ith thc certificatc of compliance, to the party making this request at the address listed above. You have the right to seek in advance thc reasonable cost of preparing thc copies or producing the things sought. If you fail to produce thc documents or things required by this subpoena within twenty (20) days after its' scrvicc, the party serving this subpoena may seek a court order compelling you to comply with it. THIS SUBPOENA WAS ISSUED AT THE REQUEST OF THE FOLLOWING PERSON: NAME: Patrick J. Reilly, Esquire ADDRESS: 33 South 7th Street, PO Box 4060 Allentown, PA 18105-4060 TELEPHONE: (610) 820-5450 SUPREME COURT 10/# 32235 AlTORNEYFOR: Plaintiffs DATE: March J7, 2004 Seal ofthe Court BY THE COURT: d.l4.)~) Prollhonotary/Clcrk, C' ISlon ~ {)..-.. p . p '7?Z (YlM :7~r D uty c. (Elf. 7/97) COMMONWEALTH OF PENNSYL VANIA COUNTY OF CUMBERLAND Land O'Lakes, Inc. and Dairy Marketing Serives, LLC, Plaintiffs v. File NO..J13-:>7R? r.i vi 1 Tprm Clouse Trucking, Inc., Cloverland Dairy Limited Partnerships, a Maryland Limited Partnership, J. Edward Clouse and Daniel Defendants Fox, SUBPOENA TO PRODUCE DOCUMENTS OR THINGS FOR DISCOVERY PURSUANT TO RULE 4009.22 TO: Commonwealth of Pennsyl vani a Mil k Marketi n9 Board, 2301 N5rth Cameron Street Harri sburg, PA 17110-9408 (Name of Person or Entil)') Within twenty (20) days after service of this subpoena, you are ordered by the l:ourt to produce the following documents or things: A copy of any and all files relatina to an incident occurring on Au~ust 6, 2001 in which Clouse lrucklng Company dellvered to Lan O'Lakes, Holly Spnngs, milk t at had been tested positive both by presumptive test and confirmatory test for antibiotics. The original bills ~ of laden numbers described in this indicent are 275835 and 45253. at: 33 South 7th Street, PO Box 4060, ~~f Allento~m, PA 18105-4060 Yau may deliver or mail legible copies of the documenls or produce things requested by this subpoena, together \\ith the certificate of compliance, 10 the party making this request at the address listed above. You have the right to seek in advance the reasonable cost of preparing the copies or producing the things sought. If)'ou fail to produce the documents or things required by this subpoena wilhin twenty (20) days after its' service, the party serving this subpoena may seek a court order compelling you to comply with it. THIS SUBPOENA WAS ISSUED AT THE REQUEST OF THE FOLLOWING PERSON: NAME: Patrick J. Reilly, Esquire ADDRESS: 33 South 7th Street, PO Box 4060 Allentown, PA 18105-4060 TELEPHONE: (610) 820-5450 SUPREME COURT 1011 32235 ATIORNEY FOR: Plaintiffs DATE: March J7 I 2004 Seal of the Court BY THE COURT: _[JuJ~i> Prothonotary/C eric, Ci' Ivision an--<-_~ .~A.J~.-r-- u!y '---- (EfT. 7/97) CERTIFICATE OF SERVICE This is to certify that the foregoing NOTICE OF INTENT TO SERVE A SUBPOENA TO PRODUCE DOCUMENTS AND THINGS FOR DISCOVERY PURSUANT TO RULE 4009.21 (; was mailed by first class United States mail, postage prepaid, and this d.~)I'"C day of March, 2004, upon the following: John A. Statler, Esquire Goldberg, Katzman & Shipman, P.C. 320 Market Street PO Box 1268 Harrisburg, PA 17108-1268 Attorney for Clouse Trucking, Inc. and J. Edward Clouse Scott T. Wyland, Esquire Hawke, McKeon, Sniscak & Kennard LLP 100 North Tenth Street Harrisburg, P A 17101 Attorney for Cloverland Dairy Limited Partnership and Daniel Fox n. ,) -, I DATE:. ,~Z_ ,,'-\ ~.-, / I GROSS, McGI;NLI;Y, LaBARRE & EATON, LLP , / l,~~,,'- ';' \ ...---, BY: / >.~-" " PATRICK'J)REiLLY, ESQUIRE Attorney fi)r Plaintiffs 33 South 7th Street P.O. Box 4060 Allentown, P A 18105-4060 (610) 820-5450 J.D. #32235 Land O'Lakes v. Clouse Trucking W,I WDOXlCLIENTSllol\clollseIOOO41817.DOC CERTIFICATE OF SERVICE This is to certify that the foregoing CERTIFICATE PREREQUISITE TO SERVICE OF A SUBPOENA PURSUANT TO PA.R.C.P. 4009.22, was mailed by first class United States mail, .:A postage prepaid, and this I (]. day of April, 2004, upon the :following: Benjamin Andreozzi, Esquire Goldberg, Katzman & Shipman, P.C. 320 Market Street PO Box 1268 Harrisburg, PA 17108-1268 Attorney for Clouse Trucking, Inc. and J. Edward Clouse Scott T. Wyland, Esquire Hawke, McKeon, Sniscak & Kennard LLP 100 North Tenth Street Harrisburg, P A 17101 Attorney for Cloverland Dairy Limited Partnership and Daniel Fox DATE: V(/lfo 7 GROSS, M.c ~,LaBARRE & EATON, LLP BY: I ~ PAT .c::~ . REILLY, ESQUIRE Attorney for Plaintiffs 33 South 7th Street P.O. Box 4060 Allentown, PA 18105-4060 (610) 820-5450 J.D. #32235 Land O'Lakes v. Clouse Trucking W,I WDOXlCLIENTSllol\clollseI00041817 .DOC LAND 0' LAKES, INC., and DAIRY MARKETING SRVS., LLC Plaintiffs IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA vs. CIVIL ACTION - LAW CLOUSE TRUCKING, INC., CLOVERLAND DAIRY LMTD. PARTNERSHIP, a MARYLAND LMTD. PARTNERSHIP, J. EDWARD CLOUSE And DANIEL FOX Defendants NO. 03-27:32 CIVIL TERM PRAECIPE FOR WITHDRAWAL OF A~'PEARANCE TO THE PROTHONOTARY: TRUCKING, matter. Kindly withdraw my appearance INC. and J. EDWARD CLOUSE, for Defendants, CLOUSE in the above-captioned By: ZMAN & SHIPMAN, P.C. ESQUIRE 17108-1268 PRAECIPE FOR ENTRY OF APPEARANCE TO THE PROTHONOTARY: TRUCKING, designate 19603 as served. Kindly enter our appearance fOl~ Defendants, CLOUSE INC. and J. EDWARD CLOUSE, in the above-case and 540 Court Street, P. O. Box 542, Reading, Pennsylvania the place where papers, process and notices may be Respectfully submitted, F FORRY, P.C. By: JOHN A. STA ESQUIRE 540 Court Street, P.O. Box 542 Reading, PA 19603; (610) 777-5700 Attorney I.D. #43812 0 ....., 0 <= c: <= -n ? ...- .~.. :x :r. 'Tl "'"'Ml"T_ ri'iti\ ". n1-- 2::::::1 -< tn ~S;, N j50 Ul 06 c";>f~ ~:;j ~~~ ~ ::Ii: ~~(~) ~c' "",,".'\1 ".~; ~ (~. ,~ ?E ::::! N t.n .< LAND O'LAKES, INC., and DAIRY MARKETING SRVS., LLC Plaintiffs vs. CLOUSE TRUCKING, INC., CLOVERLAND DAIRY LMTD. PARTNERSHIP, a MARYLAND LMTD. PARTNERSHIP, J. EDWARD CLOUSE And DANIEL FOX Defendants IN THE COURT OF COMMON PLEAS OF CUMBERLAlID COUNTY, PENNSYLVANIA CIVIL ACTION - LAW NO. 03-2782 CIVIL TERM CERTIFICATE OF SERVICE I, JOHN A. STATLER, ESQUIRE, of Ferry, Ullman, Ullman & Forry, P.C., hereby certify a copy the Withdrawal/Entry of Appearance of Defendants, Clouse Truckin9, Inc. and J. Edward Clouse, was mailed by first-class mail, addressed as follows: PATRICK J. REILLY, ESQUIRE Gross McGinley LaBarre & Eaton 33 South 7th Street P. O. Box 4060 Allentown, PA 18105-4060 SCOTT T. WYLAND, ESQUIRE Hawke McKeon Sniscak & Kennard 100 North Tenth Street HarriSbur:g, PA 1710 BENJAMIN B. ANDREOZZI, ESQUIRE Goldberg Katzman & Shipman, P.C. 320 Market Street; Strawberry Square P. O. Box 1268 Harrisburg, PA 17108-1268 I understand that the statements herein are made subject to the penalties of 18 Pa. C.S.A. Section 1408 relating to falsification to authorities. DATE: May 24, 2004 ~'QU-= 8- '" <=> Sf; ? ~ '? ~~::~ :% 5"" !il!., >- 2(~-: -c n1-oJ hi w..t: N "U~ U1 :0 ~ 0, < -0 5" .r; >c:: Q"Tl Z ::ll: -;.ooC) ~t.~ N Om ...-::::... ,- ..:-< ..... N )> -< ~D tJ1 -< LAND 0' LAKES, INC., & DAIRY MARKETING SERVICES, LLC, Plaintiffs : IN THE COURT OF COMMON PLEAS OF : CUMBERLAND COUNTY, PENNSYLVANIA V. CLOUSE TRUCKING, INC. : NO. 2003-2782 CIVIL TERM CLOVERLAND DAIRY LIMITED PARTNERSHIP, A Maryland Limited Partnership, J. EDWARD CLOUSE and DANIEL FOX: CIVIL ACTION - LAW IN RE: PRELIMINARY OBJECTIONS OF DEFENDANTS CLOVERLAND DAIRY LIMITED PARTNERSHIP AND DANIEL FOX AND NOW, this BEFORE HESS. GUIDO. JJ. ORDER OF COURT "A day of JUNE, 2004, the Preliminary Objections of Defendants' Cloverland Dairy Limited Partnership and Daniel Fox to Plaintiffs' Amended Complaint are DENIED. Edward E. Guido, J. Patrick J. Reilly, Esquire John A. Statler, Esquire \ ~ Scott T. Wyland, Esquire I ~ ~ (... If ,tJV :sld )- L-' ~t: ~- W() (,,);;'::- j:f:Q ,..J..::.L g~ ::J a:lU IE u. o r- E / :5 :.~~ -..1,";7' ':")< ('~ ;::.: ~:.J~ ".:, , /- "<~(: J"~" ::4 'iJ,:jJ ~.,J c.. ""':':: :'5 () ::lC c.. ~ :::> -. -"" = = ..... LAND 0' LAKES, INC., & DAIRY MARKETING SERVICES, LLC, Plaintiffs IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA V. CLOUSE TRUCKING, INC.: NO. 2003-2782 CIVIL TERM CLOVERLAND DAIRY LIMITED PARTNERSHIP, A Maryland Limited Partnership, J. EDWARD CLOUSE and DANIEL FOX: CIVIL ACTION - LAW IN RE: PRELIMINARY OBJECTIONS OF DEFENDANTS CLOVERLAND DAIRY LIMITED PARTNERSHIP AND DANIEL FOX BEFORE HESS. GUIDO. JJ. OPINION AND ORDER OF COURT Currently before us are several preliminary objections to plaintiffs' amended complaint filed by defendants Cloverland Dairy Limited Partnership (hereinafter "Cloverland") and Daniel Fox (hereinafter "FOX,,).l Before we address the objections, we will review the facts as set forth in the complaint. FACTUALBACKGRO~ID Plaintiff Land 0' Lakes, Inc. operates a dairy processing plant in Mount Holly Springs. It receives truck loads of milk which it turns into products for human consumption. Cloverland was a "handler", or middleman, who arranged getting the raw I The preliminary objections involve only those counts involving Plaintiff Land O'Lakes. Therefore, when we use the term "Plaintiff' in our factual recitation, we will be referring to Land 0' Lakes. NO. 2003-2782 CIVIL TERM milk from the producers to plaintiff? Fox was an employee of CloverIand acting within the scope of his employment. Under federa11aw all milk intended to be used for human consumption is subject to certain testing procedureS. A particular truck load of milk procured by C10verland failed one of the required testS. The testing lab placed seals on the tank truck indicating that the milk therein was unfit for human consumption. Pursuant to industry custom, it was C10ver1and's responsibility to dispose of the condemned milk. Rather than carry out its duty C10ver1and, through Fox, removed the seals, fa1siJied documents and caused the milk to be delivered to plaintiff's plant. plaintiff commingled 30,000 pounds of the condemned milk with other milk in its storage silo. When it discovered the chicanery that had occurred, plaintiff was required to destroy almost Y2 million pounds of milk. DISCUSSION Plaintiffs filed a twelve count complaint based upon the above conduct. The complaint was subsequently amended. Defendants C10verIand and Fox have filed five separate preliminary objections involving the first ten counts of the amended complaint. In essence the objections are demurrers to the claim for punitive damages as well as to Count III ("Breach of Implied Duty of Good Faith") Count V ("Breach ofImplied Warranty for a particular purpose") and the vicarious liability claims contained in Counts VII and IX. In addition, a final objection challenges the specificity of damages pled in each of the first ten counts. The demurrer to Counts V, VII and IX as well as the objection involving specificity are clearly without merit and will be dismissed without 2 Defendants Clouse Trucking, Inc. and J. Edward Clouse were engaged by Cloverland to actually haul the milk in question. 2 NO. 2003-2782 CIVIL TERM discussion. The remaining objections in the nature of a demurrer will be dismissed for the reasons hereinafter set forth. Standard of Review. The standard to be applied to preliminary objections in the nature of a demurrer was succinctly stated by our Supreme Court as follows: A demurrer can only be sustained where the complaint is clearly insufficient to establish the pleader's right to relief. For the purpose of testing the legal sufficiency of the challenged pleading a preliminary objection in the nature of a demurrer admits as true all well-pleaded, material, relevant facts, and every inference fairly deducible from those facts. Since the sustaining of a demurrer results in a denial of the pleader's claim or a dismissal of his suit, a preliminary objection in the nature of a demurrer should be sustained only in cased that clearly and without a doubt fail to state a claim for which relief may be granted. County of Allegheny v. Commonwealth, 507 Pa, 360, 372 490 A.2d 402408 (1985) (citations omitted). Furthermore, when ruling upon a demurrer, we are limited to a review of the allegations set forth in the complaint. Mellon Bank, N.A. v. Fabinyi, 437 Pa.Super. 559, 650 A.2d 895 (1994). Punitive Damages. Punitive damages may be awarded if it can be shown that defendant's conduct was "outrageous" resulting from "evil motive" or "reckless indifference to the rights of others." Feld v. Merriam, 506 Pa. 383, 395 485 A.2d 742,747 (1984). Defendants' intentional delivery of milk it knew had been declared unfit for human consumption is certainly sufficient to meet this standard. 3 NO. 2003-2782 CIVIL TERM Breacb of Implied Duty of Good Faitb. Count III of the amended complaint is founded upon an alleged breach of the obligation of good faith imposed under Section 1203 of the Uniform Commercial Code.3 Defendant argues that a violation of Section 1203 does not give rise to an independent cause of action. They contend that any such claim must be based upon a contract governed by the UCC. Plaintiffs do not disagree. However, they correctly point out that Count II of their amended complaint alleges a breach of contract under the Uniform Commercial Code. Count III incorporates those allegations. Therefore, Count III alleges both a contract under the U.C.C. and a breach ofthe contract as a result of defendants' failure to comply with the "obligation of good faith" imposed by Section 1203 by intentionally delivering milk that it knew was not fit for human consumption. Those allegations are sufficient to withstand a demurrer. AND NOW, this ORDER OF COURT I (A day of JUNE, 2004, the Preliminary Objections of Defendants' Cloverland Dairy Limited Partnership and Daniel Fox to Plaintiffs' Amended Complaint are DENIED. By the Court, Isl Edward E. Guido Edward E. Guido, J. 3 Section 1203 provides: "Every contract or duty within this title imposes an obligation of good faith in its performance or enforcement" I3 Pa. C.s.A. ~ 1203. 4 >- (..1;- "','1" ..... wQ Q~-.~:': ~' ..:.....JUJ O::::c I- ~ r- f';:: ..,. ;3~ (.):'2[' "-'~~ J,.--' :~?' >; <:':~2~ ;jl{u ;:nCl.. ;~ ~ (.) :c 0._ - :5 ., -"'" = <= ..... II III' IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA CIVIL ACTION - LAW LAND O'LAKES, INC., and DAIRY ) MARKETING SERVICES, LLC, ) ) Plaintiffs ) ) v. ) ) CLOUSE TRUCKING, INC., ) CLOVERLAND DAIRY LIMITED ) PARTNERSHIP, a Maryland Limited ) Partnership, J. EDWARD CLOUSE and ) DANIEL FOX, ) ) Defundants ) No: 03-2782 Civil Term PLAINTIFFS' ANSWER TO NEW MATTER OF DEFENDANTS CLOVERLAND DAIRY LIMITED PARTNERSHIP AND DANIEL FOX 139. Plaintiffs incorporation paragraphs one through 138 of their Complaint. 140-148. Denied as a conclusion of law to which no response is required. 149. Denied. By way of further answer, see the allegations of Plaintiffs' Complaint. WHEREFORE, Plaintiffs respectfully request this Honorable Court enter judgment in their favor and against the Defendants as more fully prayed for in their Amended Complaint. Date: i h/u'1 GROSS, McG 9EY, LaBARRE & EATON, LLP /L-" BY: -: PAT. O~J. REILLY, ESQUIRE Attorney :for Plaintiffs 33 South 7th Street, PO Box 4060 Allentown, PA 18105-4060 (610) 820-5450 J.D. #32235 W:\ WDOX\CLIENTS\lol\c1ouse\000670 12.DOC Ii II Ii III I , VERIFICATION I, Dennis Schad, hereby state and verify that I am the 1) (ete.~,I(, 6';;; /I hteti,...) of / Land O'Lakes, Inc., that I am authorized to make this Verification on behalf of said corporation, and that the facts set forth in PLAINTIFFS' ANSWER TO NEW MATTER OF DEFENDANTS CLOVERIAl\ID DAIRY LIMITED PARTNERSHIP AND DANIEL FOX are true and correct based upon personal knowledge, information, and belief. 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 authorities. :~ JjKES. me Dennis Sch /~-l ~ Date: 1J/Yloy LOL v. Clouse Trucking W ,I WDOXlCLIENTSllollclollseI00046190.DOC II II II ~ CERTIFICATE OF SERVICE This is to certify that PLAINTIFFS' ANSWER TO NEW MATTER OF DEFENDANTS CLOVERLAND DAIRY LIMITED PARTNERSHIP AND DANIEL FOX, was mailed by first class United States mail, postage prepaid, and this q--l+\ day of August, 2004, upon the following: John A. Statler, Esquire Goldberg, Katzman & Shipman, lP.C. 320 Market Street PO Box 1268 Harrisburg, PA 17108-1268 Attorney for Clouse Trucking, Inc. and J. Edward Clouse Scott T. Wyland, Esquire Steven D. Snyder, Esquire Hawke, McKeon, Sniscak & Kennard LLP 100 North Tenth Street Harrisburg, P A 17101 Attorney for Cloverland Dairy Limited Partnership and Daniel Fox DATE: <{ hi.;, ::OSS'Mit2~& EATON,ILP PATRICIa: REILLY, ESQUIRE Attorney for Plaintiffs 33 South 7th Street P.O. Box 4060 Allentown, PA 18105-4060 (610) 820-5450 J.D. #32235 Land Q'Lakes v. Clouse Trucking W:\ WDOX\CLIENTS\lo1\clouse\00041817 .DOC - C) t: ....., C:, ~_2 () ~J'l "") ~i:- 0, Johnson. Duffie, Stewart & Weidner By: John A. Statler, Esquire I.D. No. 43812 301 Market Street P. O. Box 109 Lemoyne, Pennsylvania 17043-0109 (717) 761-4540 jas@jdsw.com Attomeys for Defendants Clouse Trucking, Inc. and J. Edward Clouse v. IN THE COURT OF COMMON PLEAS CUMBERLAND COUNTY, PENNSYLVANIA CIVIL ACTION - LAW LAND O'LAKES, INC. and DAIRY MARKETING SERVICES, LLC Plaintiffs CLOUSE TRUCKING, INC., CLOVERLAND DAIRY LIMITED PARTNERSHIP, a Maryland Limited Partnership, J. EDWARD CLOUSE and DANIEL FOX, NO. 03-278:2 CIVIL TERM JURY TRIAL DEMANDED Defendants PRAECIPE TO THE PROTHONOTARY OF CUMBERLAND COUNTY Kindly correct the record to reflect the new addness of John A. Statler, Esquire, counsel for Defendants Clouse Trucking, Inc. and J. Edward Clouse as follows: DATE: 10 1'-IloLj 236529 John A. Statler, Esquire Johnson, Duffie, Stewart & Weidner 301 Market Street P.O. Box 109 Lemoyne, PA 17043-0109 JO~JFFIE, STEWART & WEIDNER By: ~ohnA'~ Attorney I.D. No. 43812 301 Market Street P.O. Box 109 Lemoyne, PA 17043-0109 Telephone (717) 761-4540 Attorneys for Defendants Daily Express, Inc. and Harold Eugene Pryor CERTIFICATE OF SERVICE I HEREBY CERTIFY that I served a true and correct copy of the foregoing Praecipe upon all parties or counsel of record by depositing a copy of same in the United States Mail at '-In.. Lemoyne, Pennsylvania, with first-class postage prepaid on the below day of ,2004, addressed to the following: Patrick J. Reily, Esquire Gross, McGinley, LaBarre & Eaton, LLP 33 South 7'h Street P.O. Box 4060 Allentown, PA 18105-4060 Scott T. Wyland, Esquire Steven D. Snyder, Esquire Hawke, McKeon, Sniscak & Kennard, LLP 100 North Tenth Street Harrisburg, PA 17101 JOH~JFFIE, STEWART & WEIDNER BY:~ ~=+-- John A. Statler, Esquire Attorney I.D. No. 43812 301 Market Street P.O. Box 109 Lemoyne, PA 17043-0109 Telephone (717) 761-4540 Attorneys for Defendant '-, ...., C':l :E~ C') C", I tJ1 -:1 Cl ".,~ 1 ':1.1,", r1:1 r;~:i -nl:q -~.i I.:~ ~3~~\ <......,-1 t_) ;:.;:) :;::_~I r~'1 .~ "-"JJ :....:~ _.',-."" C;,? C-") Johnson. Duffie, Stewart & Weidner By: John A. Statler, Esquire 1.0. No. 43812 301 Market Street P. O. Box 109 Lemoyne, Pennsylvania 17043-0109 (717) 761-4540 jas@jdsw.com LAND O'LAKES, INC. and DAIRY MARKETING SERVICES, LLC Plaintiffs v. CLOUSE TRUCKING, INC., CLOVERLAND DAIRY LIMITED PARTNERSHIP, a Maryland Limited Partnership, J. EDWARD CLOUSE and DANIEL FOX, Defendants Attorneys for Defendants Clouse Trucking, Inc. and J. Edward Clouse IN THE COURT OF COMMON PLEAS CUMBERLAND COUNTY, PENNSYLVANIA CIVIL ACTION - LAW NO. 03-2782 CIVIL TERM : JURY TRIAL DEMANDED PRAECIPE TO THE PROTHONOTARY OF CUMBERLAND COUNTY: Please enter the appearance of C. Roy Weidner, Jr., Esquire as co-counsel for Defendants Clouse Trucking, Inc. and J. Edward Clouse in the above-captioned action. DATE: 236529 11 fl5"jtJ'f JOHNSON, DUFFIE, STEWART & WEIDNER By: ~~ _ -.-L C. Roy Weidner, Jr.~squire Attorney 1.0. No. 19530 John A. Statler, Esquire Attorney I.D. No. 43812 301 Market Street P.O. Box 109 Lemoyne, PA 17043-0109 Telephone (717) 761-4540 Attorneys for Defendants Clouse Trucking, Inc. and J. Edward Clouse CERTIFICATE OF SERVICE I HEREBY CERTIFY that I served a true and correct copy of the foregoing Praecipe upon all parties or counsel of record by depositing a copy of same in the United States Mail at I :f t:L day of Lemoyne, Pennsylvania, with first-class postage prepaid on the /JPdlt-lii fi)..y , 2004, addressed to the following: Patrick J. Reily, Esquire Gross, McGinley, LaBarre & Eaton, LLP 33 South 7th Street P.O. Box 4060 Allentown, PA 18105-4060 Scott T. Wyland, Esquire Steven D. Snyder, Esquire Hawke, McKeon, Sniscak & Kennard, LLP 100 North Tenth Street Harrisburg, PA 17101 JOHNSON, DUFFIE, STEWART ~ER ~o . Statler, Esquire t: - ~~torney 1.0. No. 43812 C. Roy Weidner, Esquire Attorney I. D. No. 19530 301 Market Street P.O. Box 109 Lemoyne, PA 17043-0109 Telephone (717) 761-4540 Attorneys for Defendants Clouse Trucking, Inc. and J. Edward Clouse p T"-.~~ c:"'l \.. ":'~J ..,,"- -,... ;..::3 d..":,,~ (;''', --- ..-"~ 1 ~ o c::; ...... . (-) -'(1 --1 . ,- ,. '''1 r n .,'" ,"" ~-rl r~n U~i~ ,": ~;~ ~~J ,ll ~ ,J .! Johnson. Duffie, Stewart & Weidner By: C, Roy Weidner, Jr. 1.0. No. 19530 301 Market Street P Q. Box 109 L~moyne, Pennsylvania 17043-0109 (717) 761-4540 jas@jdsw.com Attorneys for oefendantsd J Edward Clouse Clouse Trucking, Inc. an ' LAND O'LAKES, INC. and DAIRY MARKETING SERVICES, LLC Plaintiffs IN THE COURT OF COMMON PLEAS CUMBERLAND COUNTY, PENNSYLVANIA CIVIL ACTION - LAW v. CLOUSE TRUCKING, INC., CLOVERLAND DAIRY LIMITED PARTNERSHIP, a Maryland limited Partnership, J. EDWARD CLOUSE and DANIEL FOX, NO. 03-2782 CIVIL TERM JURY TRIAL DEMANDED Defendants CERTIFICATE PREREQUISITE TO SERVICE OF SUBPOENA PURSUANT TO RULE 4009.22 As a prerequisite to service of a subpoena for documents and things pursuant to Rule 4009.22, Defendant hereby certifies that: 1) A Notice of Intent to serve the subpoena, with a copy of the subpoena attached thereto, was mailed or delivered to each party at least 20 days prior to the date on which the subpoena was sought to be served; 2) A copy of the Notice of Intent, including the proposed subpoena, are attached to this certificate; 3} No objection to the subpoena has been received; and r. t~ 4) The subpoena to be served is identical to the subpoena attached to the NotiS of Intent. /"... /- By: //(./ /' ,,~ i,e. Roy Weidner, Jr. Attorney 1.0. No. 19530 301 Market Street P.O. Box 109 Lemoyne, PA 17043-0109 DATE', ,~~ /q /"...,~ Telephone (717) 761-4540 -' (' (L. J Attorneys for Defendants I"t.__ Johnson. Duffie, Stewart & Weidner By: C. Roy Weidner, Jr. I.D. No. 19530 301 Market Street P. O. Box 109 Lemoyne, Pennsylvania 17043-0109 (717) 761-4540 jas@jdsw.com Attorneys for Defendants Clouse Trucking, Inc. and J. Edward Clouse LAND O'LAKES, INC. and DAIRY MARKETING SERVICES, LLC Plaintiffs v. IN THE COURT OF COMMON PLEAS CUMBERLAND COUNTY, PENNSYLVANIA CIVIL ACTION - LAW CLOUSE TRUCKING, INC., CLOVERLAND DAIRY LIMITED PARTNERSHIP, a Maryland Limited Partnership, J. EDWARD CLOUSE and DANIEL FOX, NO. 03-2782 CIVIL TERM JURY TRIAL DEMANDED Defendants NOTICE OF INTENT TO SERVE SUBPOENA TO PRODUCE DOCUMENTS AND THINGS FOR DISCOVERY PURSUANT TO RULE 4009.21 TO: Land O'Lakes, Inc. and Dairy Marketing Services, LLC c/o Patrick J. Reilly, Esquire 33 South 7th Street P.O. Box 4060 Allentown, PA 18105-4060 PLEASE TAKE NOTICE that Defendants intend to serve a subpoena identical to the one attached to this notice. You have 20 days from the date listed below in which to file on record and serve upon the undersigned an objection to the subpoena. If no objection is made, the subpoena may be served, JOHNSON, DUFFIE, STEWART & WEIDNER - DATE: '-/, l'i-OS /~/ By: Lc.~oy Weidner, Jr. Attorney I.D. No. 19530 301 Market Street P.O. Box 109 Lemoyne, PA 17043-0109 Telephone (717) 761-4540 Attorneys for Defendants , COMMONWEALTH OF PENNSYLVANIA COUNTY OF CUMBERLAND LAND O'LAKES, INC. and DAIRY MARKETING SERVICES, LLC, Plaintiffs vs. File No. 03-2782 CLOUSE TRUCKING, INC., CLOVERLAND DAIRY LIMITED PARTNERSHIP, a Maryland Limited Partnership, J. EDWARD CLOUSE and DANIEL FOX, Defendants SUBPOENA TO PRODUCE DOCUMENTS OR THINGS FOR DISCOVERY PURSUANT TO RULE 4009.22 TO: Tuscan-Lehigh Dairies. 110 Manheim Road. Schuvlkill Haven. PA 17972 (Name of Person or Entity) Within twenty (20) days after service of this subpoena, you are ordered by the court to produce the following documents or things: All documents, records and samnles relating to the delivery and attempted delivery of milk to yon by Clouse Trucking, Inc. on August 6, 2001, and your rejection of any such milk and the reasons thereof. at C. Rov Weidner. Jr.. Johnson. Duffie. Stewart & Weidner. 301 Market Street. Lemovne. PA 17043 (Address) You may deliver or mail legible copies of the documents or produce things requesting by this suhpoena, together with the certificate of compliance, to the party making this request at the address listed ahove. You have the right to seek, in ad vane, the reasonable cost of preparing the copies or producing the things sought. If you fail to produce the documents or things required by this subpoena, within twenty (20) days after its service, the party serving this suhpoena may seek a court order compelling you to comply with it. THIS Subpoena WAS ISSUED AT THE REQUEST OF THE FOLLOWING PERSON: NAME: C. Rov Weidner. Jr.. Johnson. Duffie. Stewart & Weidner. P.C. ADDRESS: 30 I Market Street Lemovne. PA 17403 TELEPHONE: (717) 761-4540 SUPREME COURT ID # 19530 ATTORNEY FOR: Defendants. Clouse Trucking. Inc. and J. Edward Clouse By the Court: DATE: Seal of the Court Prothonotary Deputy , CERTlFICA TE OF SERVICE AND NOW, this lB......~ay of April, 2005, the undersigned does hereby certify that she did this date serve a copy of the foregoing appearance upon the other parties of record by causing same to be deposited in the United States Mail, first class postage prepaid, at Lemoyne, Pennsylvania, addressed as follows: Patrick J. Reily, Esquire Gross, McGinley, LaBarre & Eaton, LLP 33 South 7th Street P.O. Box 4060 Allentown, PA 18105-4060 Scott T. Wyland, Esquire Steven D. Snyder, Esquire Hawke, McKeon, Sniscak & Kennard, LLP 100 North Tenth Street Harrisburg, PA 17101 :248904 JOHNSON, DUFFIE, STEWART & WEIDNER ~ By: abeth L. 21 r , CERTIFICA TE OF SERVICE or/.. AND NOW, this ~ day of May, 2005, the undersigned does hereby certify that she did this date serve a copy of the foregoing appearance upon the other parties of record by causing same to be deposited in the United States Mail, first class postage prepaid, at Lemoyne, Pennsylvania, addressed as follows: Patrick J. Reily, Esquire Gross, McGinley, LaBarre & Eaton, LLP 33 South 7th Street P.O. Box 4060 Allentown, PA 18105-4060 Scott T. Wyland, Esquire Steven D. Snyder, Esquire Hawke, McKeon, Sniscak & Kennard, LLP 100 North Tenth Street Harrisburg, PA 17101 JOHNSON, DUFFIE, STEWART & WEIDNER -; By: :248904 -"- ';;:; C) C~) ~TI '---" .-1 .....-. :1: 1_1 CJ r:..-.? (J ,'J -< Johnson. Duffie, Stewart & Weidner By: John A. Statler J.D. No. 43812 301 Market Street P O. Box 109 Lemoyne, Pennsylvania 17043-0109 (717) 761-4540 crw@jdsw.com Attorneys for Defendants Clouse Trucking, Inc. and J. Edward Clouse LAND O'LAKES, INC. and DAIRY MARKETING SERVICES, LLC, IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY PENNSYLVANIA Plaintiffs NO. 03-2782 CIVIL TERM v. CIVIL ACTION -LAW CLOUSE TRUCKING, INC., CLOVERLAND DAIRY LIMITED PARTNERSHIP, a Maryland Limited Partnership, J. EDWARD CLOUSE and DANIEL FOX, JURY TRIAL DEMANDED Defendants PRAECIPE TO WITHDRA W APPEARANCE AND NOW, this 2nd day of February, 2006, withdraw the appearance of the undersigned as co-counsel on behalf of Defendants Clouse Trucking, Inc, and J. Edward Clouse in the above- captioned action. :OHN~ '''ClONCR ~ Roy Weidner, Jr. :268259 CERTlFICA TE OF SERVICE AND NOW, this 2nd day of February, 2006, the undersigned does hereby certify that she did this date serve a copy of the foregoing document upon the other parties of record by causing same to be deposited in the United States Mail, first class postage prepaid, at Lemoyne, Pennsylvania, addressed as follows: Patrick J. Reily, Esquire Gross, McGinley, LaBarre & Eaton, LLP 33 South 7th Street P.O. Box 4060 Allentown, PA 18105-4060 Scott T. Wyland, Esquire Steven D. Snyder, Esquire Hawke, McKeon, Sniscak & Kennard, LLP 100 North Tenth Street Harrisburg, PA 17101 JOHNSON, DUFFIE, STEWART & WEIDNER By: 7?~~/4' 011 x/;/2//}C2LU ichelle H. Spangler ,/ :268259 2 o ~;-; ....., ~3 C" -.-, r'-' v:J , 0) --0 _..!' - -~:- 6:1 -;' L, . o '-11 ._1 -:c....,.., \,lf~. ~~\r~~i -\~ ..~-'; ';~\~l~ ';-~,'", ,':." .,..... ...., - 0'1 .r:'" - IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA CIVIL ACTION - LAW LAND O'LAKES, INC., and DAIRY MARKETING SERVICES, LLC, Plaintiffs ) ) ) ) ) ) ) ) ) ) ) ) ) ) No: 03-2782 Civil Term v. Jury Trial Demanded CLOUSE TRUCKING, INC., CLOVERLAND DAIRY LIMITED PARTNERSHIP, a Maryland Limited Partnership, J. EDWARD CLOUSE and DANIEL FOX, Defendants PRAECIPE AND POWER OF ATTORNEY FOR SATISFACTION AND/OR TERMINATION TO: CLERK OF COURTS - CIVIL DIVISION You are hereby authorized, empowered, and directed to enter, as indicated, the following on the records thereof: The within suit is Settled, Discontinued, Ended with costs paid. X The within suit is Settled, Discontinued, Ended WITH Prejudice and costs paid. The within suit is Settled, Discontinued, Ended WITHOUT Prejudice and costs paid. Satisfaction ofthe Award in the within suit is acknowledged. Satisfaction of Judgment, with interest and costs, in the within matter is acknowledged. Other: Dated: November 14,2006 COST PAYMENT VERIFICATION I UNDERSTAND THAT THE ABOVE ACTION CANNOT BE FILED AND D TED UNTIL ALL COSTS HAVE BEEN PAID INCLUDING SHERIFF'S COSTS' AND HEREBY VERIFY T T 1\LL COSTS HAVE BEEN PAID. I UNDERSTAND THAT FALSE STATEMENTS HEREIN ARE MADE S BJ T TO THE PENALTIES OF 18 PA. C.S. I 4904 RELATING TO UNSWORN FALSIFICATION TO AUTHORITIES W:\ WDOX\CLlENTS\lol\clouse\OO 149345 .DOC () c f7" l' r-.) =-, c:.:> CJ'" o -n ~ rn "Tl .. -om ~UCJ . - - \ ~ ,~~~ ~.~ ~)m ,--! :ij -< - o -:: 0'\ ~ 1)? en c:;.