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HomeMy WebLinkAbout99-02448 ~r '. AJ ..' ":a'" ""-' 'e: . (.,. :. :c:J . . .,..t ~ ,.~ -I' J 00 "j- .":t (0 , 8= t 'I 1 ) . I .1 ',~J 4. Lehigh at all times pertinent to this Complaint WllS in the business of, among other things, purchasing milk from dairy fanners and processing it or reselling it for processing. Lehigh owned snd operated fluid milk processing plsnts at several locations including a plsnt at 880 Allentown Road, Lansdale, PA, The Milk Haulinll Business S. Raw milk is produced daily on dairy farms. Because it is highly perishable, raw milk must be marketed within approximately 48 hours of production. To market their milk production, dairy farmers enter into milk sales or marketing contracts (which may be written or oral) with milk pror.essora or marketing cooperatives. The milk rnarketcr or purchaser then arranges for the pickup of the farmer's milk by a milk hauler. The milk hauler is customarily paid for his service by the milk marketer or purchaser who, in turn, charges the dairy farmer an agreed charge for the milk hauling service. 6. The charges for hauling milk are negotiated rates the milk hauler and the milk marketer or purchaser. The charges are generally made on a per hundredweight of milk basis and frequently vary with the distance which milk is hauled. Hauling charges may also vary on the basis of other factors including volume. Rates may also be influenced by federal or state regulations of milk marketing transactions. In addition to per hundredweight charges, other charges are sometimes negotiated including a charge for excess "waiting time," which is down time when milk trucks are required to wait extended periods of time at the plant of destination before unloading. 2 .,,": :7 /1 7. Payment for milk hauling services is generally made on a monthly basis in two I' , , f. installments. An initial payment, estimated to be about one-haIf of the anticipated billing for the month is made about the first of the following month. A final payment for the remainder of the balance due for the month is made by about the twentieth day of the following month. Clouse - Lehillh Al!I'eements 8. Clouse has been contracted by Lehigh or its predecessors in interest since prior to L I I r I 1990 to pick up the raw milk on sorne 200 dairy farms located throughout Central and Eastern Pennsylvania which farms were under contraet to Lehigh or its predecessors and to deliver such raw milk daily to plants at the direction of Lehigh or its predecessors. Clouse's agreement with Lehigh provided for an agreed upon payment per hundredweight according to the plant of destination and for payment to Clouse of waiting charges for time in excess of two hours waiting to unload at destination plants. 9. On a daily basis during the period from January I, 1995 through March I, 1998, Clouse picked up milk, as often as directed by Lehigh, usually every other day, from the 200 dairy farms under contract to Lehigh and delivered these milk volumes to plants as directed by Lehigh. 10. Clouse's negotiated hauling rates with Lehigh varied according to the plant to which the milk was delivered and, in some instances, the location of the farms from which the milk was picked up. 3 11. Clouse was paid monthly by Lehigh for milk transport services. Once hauling rates were estllblished, Clouse did not invoice Lehigh monthly for basic milk hauling services. Monthly bills were sent for supplemental services such as charges for extra waiting time. 12. The rates which Clouse and Lehigh agreed to for delivery of milk to various plant locations during the period from January 1, 1995 through February 28, 1998 were as follows for the indicated plant location. PLANT OF DELIVERY CHARGE PER CWT SO.803 SO.9oo SO.925 SO.880 SO.803 SO.721 SO.803 SO.803 SO.694 S1.150 S1.120 S1.810 SO.763 S1.120 SO.925 SO.803 Beatrice Cheese, Allentown Breyers, Philadelphia Cumberland Farms, Florence, NJ Dairymaid, Baltimore Deitrichs, Reading LVD, Ft. Washington Greenspring Dairy, Baltimore, MD Hershey Foods, Hershey Holly Milk, Mt. Holly Springs Kernp Foods, York Leprino Foods, Waverly, NY Readington Farms, NJ LVD, Schuylkill Haven Tuscan Dairies, Union Nl Weis Markets, Sunbury Welsh Farms, Nl 4 13. Thc ratcs at which Lehigh paid Clouse for delivcry of milk to thc previously indicated plants ofdclivcry during the pcriod from January 1,1995 through February 28,1998 werc as follows: PLANT OF DELIVERY PAYMENT PER HUNDRED WEIGHT Beatrice Cheese, Allcntown $.65 Beyers, Philadelphia $.65 Cumberland Farms, Florence, Nl $.65 Dairymaid, Baltimorc MD $.65 Deitrichs, Reading $.65 LVD, Ft. Washington $.65 Grcenspring Dairy, Baltimorc, MD $.65 Hershey Foods, Hcrshey $.65 Holly Milk, Mt. Holly Springs $.65 Kemp Foods, York $.65 Leprino Foods, Waverly, NY $.65 Readington Farms, Nl $.65 LVD, Schuylkill Havcn $.65 Tuscan Dairics, Union Nl $.65 Weis Markets, Sunbury $.65 Welsh Farms, Nl $.65 5 14. The aggregate volumes of milk which Clouse delivered for Lehigh to the various plants during the period from January I, 1995 through February 28, 1998 are: PLANT OF DELIVERY VOLUME (Lb..) Beatrice Cheese, Allentown 5,501,693 Breyers, Philadelphia 243,306 Cumberland Farms, Florence, NJ 288,516 Dairymaid, Baltimore MD 831,536 Deitrichs, Reading 2,997,098 LVD, Ft. Washington 17,304,939 Greenspring Dairy, Baltimore, MD 280,504 Hershey Foods, Hershey 962,070 HoUy Milk, Mt. HoUy Springs 18,175,864 Kemp Foods, York 288,813 Leprino Foods, Waverly, NY 25,426 Readington Farms, Nl 99,782 LVD, SchuylkiUHaven 307,856 Tuscan Dairies, Union NJ 4 ,548,868 Weis Markets, Sunbury 49,985 Welsh Fanns, Nl 668,745 15. The amounts by which Clouse was underpaid for deliveries to the indicated plants during the period at issue are: 6 ...... 17. The agreed charge between Clouse and Lehigh for waiting time per hour was SI5.oo. During the period involved, Clouse regularly billed Lehigh for waiting time. In some cases those biDs were not paid and remain outstanding as follows: MONTH AMOUNT UNPAID January 1997 $ 2.137.50 February 1997 $ 2,958.75 March 1997 $ 1,233.75 April 1997 $ 1,050.00 May 1997 $ 0.00 June 1997 $1,147.75 July 1997 $2,716.75 August 1997 $ 3,176.25 September 1997 $ 2,996.25 October 1997 $ 2,583.75 November 1997 $2,100.00 Decernber 1997 $1,786.00 January 1998 $ 337.50 February 1998 $ 867.50 Count I Breach of Contract 18. Paragraphs I to 16 above are hereby incorporated herein. 8 19. Lehigh has underpaid Clouse for milk hauling services during the period of January I, 1995 to February 28, 1998, in the total sum ofS 131,283.41. Demand for payment of this sum has been duly made by Clouse and refused by Lehigh. 20. Lehigh has failed to pay Clouse for milk hauling waiting charges during the period of January I, 1995 to February 28, 1998, in the total sum of $ 24,892. 7S Clouse has duly demanded payment of the foregoing surns from Lehigh and such payment has bccn refused. 21. Clouse is entitled to interest on all payments not made from the date such payments were due until the date of payment. WHEREFORE, Clouse demands judgment against Defendant for $ 156,176.16 together with interest and costs of suit. Respectfully submitted, MlLSPAW & BESHORE ~~,- n Beshore, EsqUire Pa, 1.0. No. 31979 130 State Street P.O. Box 946 Hanisburg, P A 171 08-0946 (717) 236-0781 F:IDOCSICIouoo~ 9 , . , to. , YERIFICA TION I verifY that the statements made in the foregoing Complaint are true and correct to the best of my knowledge, information, and belief. I understand that false statements herein are made subject to the penalties of 18 Pa.C.S. ~4904, relating to unsworn falsification to authorities. Date: '1"J /91 t"&/f;UJ. r!/hl;;) ~J. Edward Clouse InThe Court of Common Pleas of Cumberland County, Pennsylvania 'f1@J1 Clouse Trucking, Inc. VS. 2e;~~I(;YrL~aJRJ~s, Inc. I., <!.l\lS d...~j.\ G .7 -a I q..f'-i fo - ~ 'I B-" No. 99-2448 Civil 19_ Now, 4/26/99 MQr;} t'JQrpQ"'~' J 9_, I SHERIFF OF CUMBERLAND COUNTY, I'A do hereby deputize the SheriO'of County to execute Ihis Writ, this deputation heing made at the request nnd risk of the Plainliff. - -'~'---""'''~,f\,U,,:.;~..., '.A!7DA -, ~f'JiVjiJj ",. r F(>1l ~vr""'V"n!."7T ?:'~~~! SheriO'ofCumberlond County, Pa, Affidavit of Sel'Vice Now, TA-I..'s. 3112 D~ uP M^1 witbin Olh (1<-1\:1,) ,. upon CA:M L 8ft'f..:rr:J at M rfI.X- by bonding to D\;I':VL f-l't-.,.7'"fiL onested copy oftbe original ('t Vi.o"A 1.) '\ A.(!x/'v'-(, the contents Ihereof. 111-5l,at n !5tJ (" o'clocl, A M, served the / '..~ l.....) ," :.:... :.'J ,-~ " ;11 So answers, -.. I ,,' 0 '.' U,) ill :2 "~'. - -~ PI ~I (~U.4 Z '!~J hOiflG' {1 .'0 :T (;".1 0 I,l ,]1 C) Sheriff of County, Pa. n true and and made known to COSTS Sworn and subscribed before tne this _ day of _ 19_ SERVICE ~IILEAGE AFFIDA VIT s V \ q ~d- s >. " I ;~ ; ::: ,..:... "" 1.1 " ! Q .:") , I) .:~ i-- , 1 ""'~: " '. i ~:J /...., r L ~ " I , .. : , L .' , ;"J ; ~,_ .l _oJ ':,}fl. IJ.. m :'.:.i 0 a, U ~ .... ...., ~ ~! .... ~ .... . ...., , 'E ~ .~ u c J!: ~ ~ ~ ~ H ~ ~~ ~ ~ . l:! ;0 ~ ~ . III I< :l '" ~ 0 U QJ QJ !ii >' :r :;; C .... ...., " ~ al ,;, Z H .~ ...., .:3 > ~ 11 go g;~ ~ ~ ~ '" ~ is ~ z '" ci OJ ~ :r .~ ~ 0 ~ '" g ~ z S " z ~ 0 ~; "'" ::: z '" ~ U H ::l :t .... ~ H '1:l N ~ ~ l:l I '" 0 '" .. QJ .c I< 0: ~E!' ~ III OJ ~ " ] .... .. ~ 1:itl :!! c ~ H U . , . . IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA CML ACTION .\ ,. 2' Plaintiff ) ) No: 99-2448 Civil Term ) ) ) ) ) ) ) i~ CLOUSE TRUCKING INC. v. LEHIGH VALLEY DAIRIES, INC., Defendant H..QJJ..ll YOU ARE HEREBY NOTIFlED TO FILE A WRITTEN RESPONSE TO THE ENCLOSED NEW MATI'ER WITHIN TWENTY (20) DAYS FROM THE SERVICE HEREOF OR A JUDGMENT MAY BE ENTERED AGAINST YOU. THE SAME IS HEREBY CERTIF1ED TO BE A TRUE AND CO!1RECTCOPY OF THE ORlGlNAL ONA PATffiC~g~UffiE ATTORNEY FOR Defendant !.D. # 32235 "'"'- C.'HPW1N....fHICUMENf\J.11UZ.^7'C.' 4. Adrnitted. 5. Adrnitted. 6. The allegations of paragraph 6 as a general statement regarding the rnilk producing, milk hauling and rnilk marketing industries are correct. As to the parties to the within action and the time frame pertinent to the within cause of action, the Defendant denies that it ever agreed to pay to the Plaintiff any charge for excess ''waiting time", or that the rates to be paid to the Plaintiff as a hauling charge varied as will be more fully detailed hereinafter. 7. Admitted. 8. Denied as stated. It is admitted that since prior to 1990 Clouse agreed with Lehigh to pick up the raw rnilk on sorne 200 dairy farrns located throughout central and eastern Pennsylvania which farms were under contract to Lehigh or its predecessors and to deliver such raw milk daily to plants at the direction of Lehigh. It is also admitted that for a small percentage of the milk producers under Federal Order 2 from whorn Clouse picked up raw milk, Lehigh agreed to pay Clouse a negotiated rate per hundredweight of milk above the standard Federal Order 4 rate. It is denied that Clouse's agreement with Lehigh provided for an agreernent upon payment per hundredweight of rnilk according to the plant of destination and for payment to Clouse for waiting charges for time in excess of two hours waiting to unload at destination plants. At no tirne did Lehigh ever agree to pay Clouse waiting charges of any kind. Furtherrnore, at all times relevant to the within cause of action, Lehigh agreed to pay Clouse 65\t per hundredweight of milk plus a "stop charge" of $3 for all milk producers subject to Federal Order 4. 2 9. Adrnitted. 10. Denied. See Lehigh's answer to paragraph 8 above. II. Admitted in part, denied in part. It is admitted that Clouse was paid monthly by Lehigh for transport services and that Clouse did not invoice Lehigh monthly for basic milk hauling services. It is further adrnitted that rnonthly bills were sent for supplemental services such as charges for extra waiting tirne, but it is denied that the Defendant ever agreed to pay Plaintiff any sum for extra waiting time. 12. Denied. By way offurther answer, see Defendant's answer to paragraph 10. 13. Adrnitted. By way of further answer, Lehigh also paid Clouse a $3 "stop charge." 14. Denied. Defendant is without knowledge or information sufficient to forrn a belief as to the truth of the averments contained in paragraph 14. 15. Denied. Defendant is without knowledge or information sufficient to forrn a belief as to the truth of the averments contained in paragraph 15. By way of further answer, Lehigh has paid to Clouse all sums due and owing to it for delivery charges. 16. Denied. Defendant is without knowledge or information sufficient to form a belief as to the truth of the averments contained in paragraph 16. 17. Denied. At no time did Lehigh agree to pay Clouse any sums for waiting time. COUNT I . BREACH OF CONTRACT 18. Defendant incorporates its answers to paragraphs one through 17 above. 3 19. Denied as a conclusion of law to which no response is required. By way of further answer, Lehigh has paid to Clouse all surns due and owing to it. 20. It is adrnitted that Lehigh has failed to pay Clouse any wailing charges. It is denied that such waiting charges are due. 21. Denied as a conclusion of law to which no response is required. WHEREFORE, Lehigh respectfully requests this Honorable Court enter judgment in its favor and against the Plaintiff. N.E.W..MADIR 22. Prior to January, 1995, Lehigh had agreed to Pay to Clouse for the delivery of milk to various plant locations various rates depending upon, inter alia, the location of the plant and the volume of milk transported. 23. On and after January I. 1995, the parties agreed upon a negotiated rate of 651t per hundredweight for all plants of delivery detailed in paragraph 12 of Plaintiffs Complaint. Additionally, Lehigh agreed to pay Clouse a $3 "stop charge." 24. Lehigh has paid to Clouse all sums due to it on account of the delivery of milk to the plant locations and during the time period set forth in paragraph 12 of Plaintiffs Complaint and all stop charges. 25. On numerous occasions after January I. 1995 Lehigh advised Clouse that it would not pay Clouse for any waiting time. 26. Lehigh provided to Clouse on a monthly basis a statement of the arnount of milk delivered by Clouse, the plants of delivery, the cost per hundredweight, and all stop charges due and owing to the Plaintiff. 4 . . 1 ii This is to certify that the foregoing ANSWER AND NEW MATIER, was mailed by first class United States mail, postage prepaid, thisl 0 '-IiI day of c:;;, 1 (") <? . 1999, upon the following; Marvin Beshore, Esquire Milspaw & Beshore 130 State Street PO Box 946 Harrisburg, PA 17108-0946 DATE: d(~/~7 BY: PA: . E y, ESQUIRE Attorney for Defendant 33 South 7th Street P.O. Box 4060 Allentown, PA 18105-4060 (610) 820-5450 I.D. # 32235 ,>. i,(, ~",.' r I " , .' , , (O'.J " \ "\: , ..... ; , ,. .. .;..' , ~ '} , C-..1 i .. , f,] , .. , .. ;. , r;-r'. j (.-) ...:.:\ U ~I .... . .., ~ .... . ~ Z 'M U 0 ~i .., c S ~ ~ i ~ .~ H C w .f: lli w III . QJ ~ ~ ~ ~ E: '" ~ .., ~ ~ . . QJ .B i '" " U 'M < ~ " H C ,!:j 'M .:l .;, ~ ~ ~ 'M H .., > ~~ w w " ~ ,~ III '" ~ z ~ 01 ~c ~ " 0 u .~ 0 ~ '" f? ~ " ::: ~ 0 z CO TI ~ ~ w !I ~ ... 00 ::l <I ... ~ ""M N ~ .... ~ I ~~ 0\ 0\ .. QJ .g, "rl'r-i '" fl ~ ~~ <:> .. :a ~I-< :2 C 3 & H . IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY. PENNSYLVANIA CIVIL ACTION 'i't ,'Ii;! 1 " '1< :,,'; ":1 :~'i Plaintiff ) ) No: 99-2448 Civil Terrn ) ) ) ) ) ) ) -, CLOUSE TRUCKING INC. ~, 1', :~. " " > v. 'J" LEHIGH VALLEY DAIRIES. INC.. "' Delendant -:i -:' eRAECIPE TO SUBstiTUTE VERIFICATlnH ;i. TO THE CLERK OF THE SAID COURTS: Kindly substitute the attached Verification to be liIed with the Answer and New Matter in the above-captioned matter. The Answer and New Matter was filed with the Court on June II. 1999. E & EATON. LLP DATE: '({(..(fj BY: PA CK).R LI.: . ESQUIRE Attorney lor Delendant 33 South 7th Street P.O. Box 4060 Allentown. PA 18105-4060 (610) 820.5450 I.D. # 32235 ",6.-ftI_ C'lff'PH7NI#IIJlKllMEhT\l.'1>>J.nu , , , t(. , c \-- (..l , I ~ \ (~ (-J ,.. I' {.... c', c) 5 w E a: 0 < iii ~ ~ Z J: < w < ~ Ul ..J W ~ > 0 W ~ ~ . ~ ~ ~ m ~ m < 1Il ~ M ~ W X z I N lcl ~ ~ 0 z ~ w < m w ~ z ~ Q. E ~ 1Il ci ci w 0 a: ~ 0 ~ z ~ <'l ~ 0 Ul < m x .J <II Q. ~ it ~ < J: ......filj...O~"...,.U.".'~.r'Il' (Jtf~U O::J~\MM1Y{JI'Ral"'" IN THE COURT OF COMMON PLEAS CUMBERLAND COUNTY, PENNSYLVANIA CLOUSE TRUCKING INC. Plaintiff v. No. 99-2448 LEHIGH VALLEY DAIRIES, INC. Defendant CIVIL ACTION - LAW REPLY TO NEW MATTER Plaintiff, Clouse Trucking Inc., by its attorneys, Milspaw & Beshore, hereby replies to the New Matter of Defendant as follows: 22. Admitted in part and denied in part. It is admitted that prior to January 1995, Lehigh had agreed to pay to Clouse for the delivery of rnilk to various plant locations varoius rates depending upon the location ofthe plant to which delivered. It is denied that the rate of payment agreed to varied with the volurne ofrnilk transported. 23. Denied. 24. Denied. 25. Denied. 26. Denied as stated. It is adrnitted that Lehigh provided to Clouse on a monthly bais a staternent of the amount of milk delivered by Clouse, and the payments being rnade per hundredweight by Lehigh. It is denied that the statement for delivery of milk regulated by federal order 4 provided to Clouse on a monthly basis by Lehigh showed the plants of delivery or full amounts ofrnoney due and owing by Lehigh to Plaintiff. 27. Dcnicd as a legal conclusion to which no rcsponse is requircd. 28. Denied as a legal conclusion to which no response is rcquired. 29. Denied as a legal conclusion to which no response is requircd. 30. Denied as a legal conclusion to which no response is rcquircd. WHEREFORE, Clouse Trucking Inc. respectfully requests this Honorable Court to enter judgment in its favor and against Defendant. Respcctfully subrnitted, MILSPA W & BESHORE , / J Dated: June 25, 1999 in esh re, Esquire Pa, I. . No. 31979 130 State Street P.O. Box 946 Harrisburg, P A 171 08-0946 (717) 236-0781 VERIFICATION I verify that the statements made in the foregoing Reply to New Matter are true and correct to the best of my knowledge, information, and belief. I understand that false statements herein are made subject to the penalties of 18 Pa.C.S. ~4904, relating to unsworn falsification to authorities. Date: lune 25, 1999 (;tJ~~f?A~ ~ 1. Edward Clouse