Loading...
HomeMy WebLinkAbout99-05833HARRIS SAVINGS BANK, Plaintiff V. GEORGE H. HAGN & ROSE M. HAGN, Defendants IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA NO. 99- 5833 CIVIL TERM CIVIL ACTION - LAW IN MORTGAGE FORECLOSURE NOTICE YOU HAVE BEEN SUED IN COURT. If you wish to defend against the claims set forth in the following pages, you must take action within twenty (20) days after this Complaint and Notice are served, by entering a written appearance personally or by attorney and filing in writing with the Court your defenses or objections to the claims set forth against you. You are warned that if you fail to do so the case may proceed without you and a judgment may be entered against you by the Court without further notice for any money claimed in the Complaint or for any other claim or relief requested by the Plaintiff. You may lose money or property or other rights important to you. YOU SHOULD TAKE THIS PAPER TO YOUR LAWYER AT ONCE. IF YOU DO NOT HAVE A LAWYER OR CANNOT AFFORD ONE, GO TO OR TELEPHONE THE OFFICE SET FORTH BELOW TO FIND OUT WHERE YOU CAN GET LEGAL HELP. CUMBERLAND COUNTY LAWYER REFERRAL SERVICE COURT ADMINISTRATOR CUMBERLAND COUNTY COURTHOUSE CARLISLE, PA 17013 (717) 240-6200 HARRIS SAVINGS BANK, IN THE COURT OF COMMON PLEAS OF Plaintiff CUMBERLAND COUNTY, PENNSYLVANIA V. NO. 99 - r-n- GEORGE H. HAGN & ROSE M. HAGN, CIVIL ACTION - LAW Defendants IN MORTGAGE FORECLOSURE COMPLAINT AND NOW, comes Harris Savings Bank by and through its counsel, Richard C. Ruben, Esquire and states the following in support of its Complaint: 1. The Plaintiff is Harris Savings Bank, a Corporation organized and existing under the laws of the Commonwealth of Pennsylvania and having its principal place of business at Second and Pine Streets, Harrisburg, Pennsylvania 17101. 2. The Defendants are George H. Hagn and Rose M. Hagn, husband and wife, adult individuals whose current address is 900 South Spring Garden Street, North Middleton Township, Carlisle, Cumberland County, Pennsylvania 17013. 3. Defendants on June 7, 1996, entered into a Mortgage loan indenture with Harris Savings Bank, in the principal amount of Two Hundred Ten Thousand Dollars ($210,000.00), the terms of which loan are more specifically evidenced and set forth in the Mortgage dated June 7, 1996, and recorded June 7, 1996, in the Cumberland County Recorder of Deeds Office in Mortgage Book 1324 Page 808, a copy of which is attached hereto and incorporated herein by reference as Exhibit "A" which mortgage contains and is a lien upon the property situate at 900 South Spring Garden Street, North Middleton Township, Carlisle, Cumberland County, Pennsylvania 17013. 4. A copy of the Note is attached hereto and incorporated herein as Exhibit "B". 5. Plaintiff, in consideration of the said Mortgage and Note advanced to George H. Hagn and Rose M. Hagn the sum of Two Hundred Ten Thousand Dollars ($210,000.00). 6. The premises subject to said mortgage is more specifically set forth in Exhibit "A". 7. George H. Hagn and Rose M. Hagn are the sole owners of the said premises securing said mortgage. 8. Said Mortgage has not been assigned in whole or in part by the Plaintiff herein. 9. That said Mortgage is in default because Defendants herein have failed to pay payments of $1,791.47 for May, 1999 to July, 1999; $1,740.34 for August, 1999; and Late Charges of $319.24 as of August 25, 1999. 10. The Plaintiff has given to the Defendants written notice of intention to foreclose on said Mortgage as required by law under Act 6, dated July 19, 1999. 11. The Plaintiff has given written notice of default as required by the Homeowner's Emergency Assistance Act of 1983, dated July 19, 1999. 12. That due to Defendants' default the entire principal amount of Two Hundred Ten Thousand Dollars ($210,000.00) has become due and payable, together with interest at the current rate of 8.375% per annum, reasonable legal fees for collection of said sum in accordance with the terms of said mortgage less such sums as have been paid on account of principal of the said Mortgage and costs. 13. The Plaintiff believes and therefore avers that reasonable attorney's fees for collection of the debt is $10,560.00 and that it will incur such amounts. 14. The Defendants are liable to the Plaintiff for interest at the current rate of 8.375% per annum, late charges, property taxes and expenses as provided in the Mortgage documents that will accrue until distribution by the Sheriff of Cumberland County, Pennsylvania, to be computed at the time of judgment in these proceedings, in addition to the current balance. 15. The Defendants are liable to the Plaintiff for the following on said Mortgage loan: a. Principal $205,007.95 b. Interest to 8/25/99 6,867.76 C. Escrow (994.69) d. Late Charges to 8/25/99 319.24 e. Search fees 100.00 f. Appraisal fees 150.00 g. Homeowner's Ins. (11/11/99) 905.00 h. Taxes 1,730.25 i. Attorney's fees 10.560.00 TOTAL AMOUNT: 224 645.51 16. The Plaintiff believes and avers that the Defendants are not members of the armed forces nor are they in the military service of the United States of America. WHEREFORE, Plaintiff, Harris Savings Bank demands Judgment in its favor and against Defendants George H. Hagn and Rose M. Hagn in the amount of $224,645.51 plus interest at the current rate of 8.375% from August 25, 1999, until paid, additional late charges and costs of preserving the collateral and costs of suit. Date: q 020 Respectfully submitted, By Richard C. Ruben, General Counsel Harris Savings Bank 235 North Second Street P. O. Box 1711 Harrisburg, PA 17105-1711 (717) 909-2916 I.D. #27767 CORPORATE VERIFICATION Stacy Armstrong, Default Coordinator/Assistant Secretary of Harris Savings Bank hereby states on behalf of the Plaintiff that the statements of fact made in the foregoing Complaint are true and correct to the best of her personal knowledge, information and belief. The undersigned understands statements herein are made subject to the penalties of 18 Pa. Cons. Stat. §4904, relating to unworn falsification to authorities. Date aid „? --N U rv? t?bt¢r? Stacy ArmstrDefault Coordinator/Assistant Secretary /-? p/11 •' /?, Jef711Je, .csftxl?c; f.?'96 JUN :.7 PSI 1 01 (Space Above This Line For Recording Data) (DJ E 0V O'•o S -Y MORTGAGE THIS MORTGAGE ('Security Instrument') Is given on a1llOk The mortgagor is .................... ...........GIJ.arga.H..Nagn.,R.Rasp.M.Ha[gn..... ............ .................. .............................. .............................................. .................................................... .............99¢........ ............................................................................... ..................... _ ........ This Security Instrument is given to ...... ..................... . ... . . . . . . . .................... . . .... . ....... . .... . ............... . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ...... . ................ .............................. .......... ......... ........ ........ . ........htarrls.Syings.9 ............. .a which Is organised and existin g .. under the laws of ........Pet n.gvfvnnl? Morrow .......................... .............. ..... ..... ....... ............................................. and Whose ad .... ................................................................ ?... GP.is ........................Harrl5 JJrQ,-'P'A ............ Is................................................r............? Borrower owes Lender the principal sum of ..................TyyO..H1?01?(!;( .xgp..7hOlJS1f. . 0??pA dress ....an..... ................................................................................................................9..PA.....Zl'(.).Ma.................................`u.s..I.....................................Lender . This debt Is evidenced by Borrower's note dated the same data as this Security Instru ('Note' , the fu ll debt, If not Paid earlier, due and Payable on .... JUI ment Dock Provides for monthly •Qp•. Payments .• •. with Lender: (a) the repayment of the debt evidenced b )which p ) to of by the Note. with Interest, and all renewals. extensions and modific lion, Of the Note- ) secures 'the Payment of Bo'lower'slcoenanl and agreements under advanced der ths under Secur Paragraph theSecu;l Ity, grant and convey to Lender the following described nstrury Instrument; and (c) the pertormance men( anotec the security Fo this of Purpose, property I in ........................'rR this Borrower does hereby mortgage, ""'••••••••••••-•. County, Pennsylvania: See legal description attached which has the address of ........ (StreetJ ................................... ............. ....Varlisia........ I.......cltyl. Pennsylvania ....... /? ..... ..1.7.O.l.a . ................................., (ZIP Code) .•......• ........................ ('Property Address-); is TOGETHER WITH all the improvements now or hereafter erected on the property, and all easements, appurtenances, hereafter a part o[ the property, All replacements end additions shall also be covered by this Security Instrument. All of the foregoing is referred to (n this Security Instrument as the'Pts and' ment All of t and fixtures now BORROWER COVENANTS that Borrower Is lawfully seised of the estate hereby conveyed and has the right to mortgage, grant and convey the Property and that the Property Is unencumbered, except for encumbrances of record. Borrower warrants and will defend generally the title to the Property against all claims and demands, subject to any encumbrances of record. THIS SECURITY INSTRUMENT combines uniform covenants for national use and non-uniform covenants with limited variations by Jurisdiction to constitute a uniform security Instrument covering real property, PENNSYLVANIA-Single Femlly-FNMA/FHLMC UNIFORM INSTRUMENT PAOI.FRM (03/91( FnECH 800)(1324 ?46E Page 1 of S pages PLAINTIFF'S N- ? BIT Form 3039 gyp 804 f't ROPERT P. ZIECLtR RECORDER OF DEEDS /%UJd8ERLA11D COUNTY-PA UNIFORM COVENANTS. Borrower and Lender covenant and agree as follows: 1. Payment of Principal and Interest; Prepayment and Late Charges. Borrower shall promptly pay when due the principal of and Interest on the debt evidenced by the Note and any prepayment and late charges due under the Note. 2. Funds for Taxes and Insurance. Subject to applicable law or to a written waiver oy Lander, Borrower shall pay to Lender on the day monthly payments are due under the Note, until the Note is paid In full, a sum ('Funds') for: (a) yearly taxes and assessments which may attain priority over this Security Instrument as a lien on the Property; (b) yearly leasehold payments or ground rents on the Property, if any; (c) yearly hazard or property Insurance premiums; (d) yearly flood Insurance premiums, if any; (e) yearly mortgage insurance premiums, if any; and (f) any sums payable by Borrower to Lander, in accordance with the provisions of paragraph 8, in lieu of the payment of mortgage Insurance premiums. These Items are called *Escrow Items.' Lender may, at any time, collect and hold Funds in an amount not to exceed the maximum amount a lender for a federally related mortgage loan may require for Borrower's escrow account under the federal Real Estate Settlement Procedures Act of 1974 as amended from time to time, 12 U.S.C. S 26013et seq. CRESPA'), unless another law that applies to the Funds sets a lesser amount. If so, Lender may, at any time, collect and hold Funds In an amount not to exceed the lesser amount. Lender may estimate the amount of Funds due on the basis of current data and reasonable estimates of expenditures of future Escrow Items or otherwise in accordance with applicable law. The Funds shall be held in an Institution whose deposits are Insured by a federal agency, instrumentality, or entity (including Lender, if Lender is such an institution) or In any Federal Home Loan Bank. Lender shall apply the Funds to pay the Escrow Items. Lander may not charge Borrower for holding and applying the Funds, annually analyzing the escrow account, or verifying the Escrow Items, unless Lender pays Borrower Interest on the Funds and applicable law permits Lender to make such a charge. However, Lender may require Borrower to pay a one-time charge for an Independent real estate tax reporting service used by Lender In connection with this loan, unless applicable law provides otherwise. Unless an agreement is made or applicable law requires Interest to be paid, Lender shall not be required to pay Borrower any Interest or earnings on the Funds. Borrower and Lender may agree In writing, however, that Interest shall be paid on the Funds. Lender shall give to Borrower, without charge, an annual accounting of the Funds, showing credits and debits to the Funds and the purpose for which each debit to the Funds was made. The Funds are pledged as additional security for all sums secured by this Security Instrument. If the Funds held by Lender exceed the amounts permitted to be held by applicable law, Lender shall account to Borrower for the excess Funds in accordance with the requirements of applicable law. If the amount of the Funds held by Lender at any time Is not sufficient to pay the Escrow Items when due, Lender may so notify Borrower in writing, and, in such case Borrower shall pay to Lender the amount necessary to make up the deficiency. Borrower shall make up the deficiency In no more than twelve monthly payments, at Lender's sole discretion. Upon payment in full of all sums secured by this Security Instrument, Lender shall promptly refund to Borrower any Funds held by Lender. If, under paragraph 21, Lender shall acquire or sell the Property, Lender, prior to the acquisition or sale of the Property, shall apply any Funds held by Lender at the time of acquisition or sale as a credit against the sums secured by this Security Instrument. 3. Application of Payments. Unless applicable law provides otherwise, all payments received by Lender under paragraphs 1 and 2 shall be applied: first, to any prepayment charges due under the Note; second, to amounts payable under paragraph 2; third, to interest due; fourth, to principal due; and last, to any late charges due under the Note. 4. Charges; Liens. Borrower shall pay all taxes, assessments, charges, fines and impositions attributable to the Property which may attain priority over this Security Instrument, and leasehold payments or ground rents, if any. Borrower shall pay these obligations in the manner provided in paragraph 2, or if not paid in that manner, Borrower shall pay them on time directly to the person awed payment. Borrower shall promptly furnish to Lender all notices of amounts to be paid under this paragraph. if Borrower makes these payments directly, Borrower shall promptly furnish to Lender receipts evidencing the payments. Borrower shall promptly discharge any lien which has priority over this Security Instrument unless Borrower: (a) agrees in writing to the payment of the obligation secured by the lien In a manner acceptable to Lender; (b) contests in good faith the lien by, or defends against enforcement of the lien in, legal proceedings which in the Lender's opinion operate to prevent the enforcement of the Ilan; or (c) secures from the holder of the lien an agreement satisfactory to Lender subordinating the lien to this Security Instrument. If Lender determines that any part of the Property is subject to a lien which may attain priority over this Security Instrument, Lender may give Borrower a notice identifying the lien. Borrower shall satisfy the lien or take one or more of the actions set forth above within 10 days of the giving of notice. 5. Hazard or Property Insurance. Borrower shall keep the Improvements now existing or hereafter erected on the Property insured against loss by fire, hazards included within the term `extended coverage' and any other hazards, including floods or flooding, for which Lender requires Insurance. This insurance shall be maintained in the amounts and for the periods that Lender requires. The insurance carrier providing the Insurance shall be chosen by Borrower subject to Lender's approval which shall not be unreasonably withheld. If Borrower fails to maintain coverage described above, Lender may, at Lender's option, obtain coverage to protect Lender's rights in the Property in accordance with paragraph 7. All Insurance policies and renewals shall be acceptable to Lender and shall Include a standard mortgage clause. Lender shall have the right to hold the policies and renewals. If Lender requires, Borrower shall promptly give to Lender all receipts of paid premiums and renewal notices. In the event of loss, Borrower shall give prompt notice to the Insurance carrier and Lender. Lender may make proof of loss if not made promptly by Borrower. Unless Lender and Borrower otherwise agree in writing, insurance proceeds shall be applied to restoration or repair of the Property damaged, If the restoration or repair Is economically feasible and Lender's security Is not lessened. If the restoration or repair is not economically feasible or Lender's security would be lessened, the Insurance proceeds shall be applied to the sums secured by this Security Instrument, whether or not then due, with any excess paid to Borrower. If Borrower abandons the Property, or does not answer within 30 days a notice from Lender that the Insurance carrier has offered to settle a claim, then Lender may collect the Insurance proceeds. Lender may use the proceeds to repair or restore the Property or to pay sums secured by this Security Instrument, whether or not then due. The 30•day period will begin when the notice is given. Unless Lender and Borrower otherwise agree In writing, any application of proceeds to principal shall not extend or postpone the due date of the monthly payments referred to In paragraphs 1 and 2 or change the amount of the payments. If under paragraph 21 the Property is acquired by Lender. Borrower's right to any Insurance policies and proceeds resulting from damage to the Property prior to the acquisition shall pass to Lender to the extent of the sums secured by this Security Instrument Immediately prior to the acquisition. PA017.FRM (03M) FfTECH Page 2 of S pages Farm 3039 9/90 QOOY43AM PACE 809 6. Occupancy, Preservation, Maintenance and Protection of the Propert y; Borrower's Loan Application; Leaseholds. Borrower shall occupy, establish, and use the Property as Borrower's principal residence within sixty days after the li execution n; of this Security y Instrument and shall continue to occupy the Property as Borrower's principal residence for at least one year after the dale of occupancy, unless Lender otherwise agrees in writing, which consent shall not be unreasonably withheld, or unless extenuating circumstances exist which are beyond Borrower's control. Borrower shall not destroy, damage or Impair the Property, commit waste on the Property. Borrower shall be In default if any forfeiture action or proceeding, whether civil or criminal, Is begun that in Lender's good faith Judgment could result In forfeiture of the Pro e allow the Properly to deteriorate, or or Lender's security Interest. Borrower may cure such a default and reinstate, as provided in paragraph 1B, by causing the action or proceeding to be dismissed with a ruling that, In Lender's good faith determinatio opree Precludes forfeiture materially Of he Borrower's interest in the Pao city for other Instrument materiel impairment of the lien created by this Security Instrument or Lender's security interest. Borrower shall also be In default if Borrower, during the loan application process, gave materially false or Inaccurate information or statements to Lender (or failed to provide Lender with any material Information) in connection with the loan evidenced by the Note, Including, but not limited to, representations concerning Borrower's occupancy of the Property as a principal residence. If this Security Instrument is on a leasehold, Borrower shall comply with all the provisions of the lease. If Borrower acquires lee title to the Property, t writing, he leasehold and the fee title shall not merge unless Lender agrees to the merger In 7. Protection of Lender's Rights In the Property. If Borrower falls to perform the covenants and agreements contained in this Security Instrument, or there Is a legal proceeding that may significantly affect Lender's rights In the Property bankruptcy, probate, for condemnation or forfeiture or to enforce laws or regulations), then Lender may do and pay for whatever is necessary to protect the value of the Properly and Lender's rights In the Property, (such as a proceeding In priority the value Security Instrument, appearing tender's actions may Include paying any sums secured by a lien which has 'his in court, attorneys, to make repairs. Although Lender may take action under this Paragraph 7 P. eniderrdoes nott have to do sloes and entering on the Property Any amounts disbursed by Lender under this paragraph 7 shall become additional debt of Borrower secured by this Security Instrument. Unless Borrower and Lender agree to other terms of payment, these amounts shall bear interest from the date of disbursement at the and shall be payable, with interest, upon notice from Lender to Borrower requesting payment. Note rate 8. MOrtgage insuranCe. If Lender required mortgage insurance as a condition of making the loan secured by this Security Instrument, Borrower shall pay the premiums required to maintain the mortgage Insurance in effect. If, for any reason, the mortgage insurance coverage required by Lender lapses or ceases to be in effect, Borrower shall pay the premiums required to obtain coverage substantially equivalent to the mortgage insurance previously In effect, at a cost substantially equivalent to the cost to Borrower of the mortgage insurance previously in effect, from an alternate mortgage insurer approved by Lender. If substantially equivalent rportgage insurance coverage Is not available, Borrower shall pay to Lender each month a sum equal to one-twelfth of the yearly mortgage Insurance premium being when the insurance coverage lapsed or ceased to be in effect. Lender will accept, use and retain these payments as a loss reserve in lieu of mortgage Insurance. Loss reserve payments may no longer be required, at the option of Lender, If mortgage insurance coverage (nld ey grower amount and for the period that Lender requires) Provided by an Insurer approved by Lender again becomes available and is obtained. Borrower shall pay the premiums required to maintain mortgage insurance in effect, or to provide a loss reserve, until the requirement for mortgage Insurance ends in accordance with any written agreement between Borrower and Lender or applicable law. 9. Inspection. Lender or its agent may make reasonable entries upon and Inspections of the Pro e notice at the time of or prior to an Inspection specifying reasonable cause for the inspection. P rty, Lender shall give Borrower 10. COndemnation. The proceeds of any award or claim for damages, direct or consequential, in connection with any condemnation or other taking of any part of the Property, or for conveyance in lieu of condemnation, are hereby assigned and shall be paid to Lender. In the event of a total taking of the Property, the Proceeds shall be applied to the sums secured by this Security Instrument, whether or not then due, with any excess paid to Borrower. In the event of a partial taking of the Property in which the fair market value of the Property immediately before the taking is equal to or greater than the amount of the sums secured by this Security Instrument immediately before the taking, unless Borrower and Lender otherwise agree in writing, the sums secured by this security Instrument shall be reduced by the amount of the proceeds multiplied by the following fraction: (a) the total amount of the sums secured immediately before the taking, divided by (b) the fair market value of the Property Immediately before the taking. Any balance shall be paid to Borrower. In the event of a partial taking of the Property in which the fair market value of the Property immediately before the taking is less than the amount of the sums secured immediately before the taking, unless Borrower and Lender otherwise agree in writing or unless applicable law otherwise provides, the proceeds shall be applied to the sums secured by this Security Instrument whether or not the sums are then due. If the Property is abandoned by Borrower, or if, after notice by Lender to Borrower that the condemnor offers to make an award or settle a claim for damages, Borrower fails to respond to Lender within 30 days after the date the notice is given, Lender Is authorized to collect and apply the proceeds, at its option, either to restoration or repair of the Property or to the sums secured by this Security Instrument, whether or not then due. Unless Lender and Borrower otherwise agree in writing, any application of proceeds to principal shall not extend or postpone the due date of the monthly payments referred to In paragraphs 1 and 2 or change the amount of such payments. 11. Borrower Not Released; Forbearance By Lender Not a Waiver. Extension of the time for payment or modification of amortization of the sums secured by this Security Instrument granted by Lender to any successor In interest of Borrower shall not operate to release the liability of the original Borrower or Borrower's successors in Interest. Lender shall not be required to commence proceedings against any successor in interest or refuse to extend time for payment or otherwise modify amortization of the sums secured by this Security Instrument by reason of any demand made by the original Borrower or Borrower's successors in interest. Any forboarance by Londe, in exercising any right or remedy shall not be a waiver of or preclude the exercise of any right or remedy. 12. Successors and Assigns Bound; Joint and Several Liability; CO-Signers. The covenants and agreements of this Security Instrument shall bind and benefit the successors and assigns of Lender and Borrower, subject to the provisions of paragraph 17. Borrower's covenants and agreements shall be joint and several. Any Borrower who co-signs this Security Instrument but does not execute the Note: (a) is co-signing this Security Instrument only to mortgage, grant and convey that Borrower's Interest in the Property under the terms of this Security Instrument; (b) is not personally obligated to pay the sums secured by this Security Instrument; and (c) agrees that Lender and any other Borrower may agree to extend, modify, forbear or make any accommodations with regard to the terms of this Security Instrument or the Note without that Borrower's consent. 13. Loan Charges. If the loan secured by this Security Instrument is subject to a law which sets maximum loan charges, and that law is finally Interpreted so that the interest or other loan charges collected or to be collected in connection with the loan exceed the permitted limits, then: (a) any such loan charge shall be reduced by the amount necessary to reduce the charge to the permitted limit: and (b) any sums already collected from Borrower which exceeded permitted limits will be refunded to Borrower. Lender may choose to make this refund by PA912FBM (03/91) FITECH Page 3 of 5 popes Farm 3039 9190 P- -t I'7,19.... n•n reducing the principal owed under the Note or by making a direct payment to Borrower. If a refund reduces principal, the reduction will be treated as a partial prepayment without any prepayment charge under the Note. 14. Notices. Any notice to Borrower provided for In this Security Instrument shall be given by delivering It or by mailing It by first class mall unless applicable law requires use of another method. The notice shall be directed to the Property Address or any other address Borrower designates by notice to Lender. Any notice to Lander shall be given by first class mall to Lender's address stated herein or any other address Lender designates by notice to Borrower. Any notice provided for in this Security Instrument shall be deemed to have been given to Borrower or Lender when given as provided In this paragraph. 15. Governing Law; Severabillty. This Security Instrument shall be governed by federal law and the law of the jurisdiction in which the Property Is located, In the event that any provision or clause of this Security Instrument or the Note conflicts with applicable law, such conflict shall not affect other provisions of this Security Instrument or the Note which can be given effect without the conflicting provision. To this end the provisions of this Security Instrument and the Note are declared to be severable. 16. Borrower's Copy. Borrower shall be given one conformed copy of the Note and of this Security Instrument. 17. Transfer of the Property or a Beneficial Interest in Borrower. If all or any pan of the Property or any interest In it is sold or transferred (or if a beneficial interest In Borrower Is sold or transferred and Borrower is not a natural person) without Lender's prior written consent, Lender may, at Its option, require immediate payment In full of all sums secured by this Security Instrument. However, this option shall not be exercised by Lender if exercise is prohibited by federal law as of the date of this Security Instrument. If Lender exercises this option, Lander shall give Borrower notice of acceleration. The notice shall provide a period of not less than 30 days from the date the notice Is delivered or mailed within which Borrower must pay all sums secured by this Security Instrument. If Borrower fails to pay these sums prior to the expiration of this period, Lender may Invoke any remedies permitted by this Security Instrument without further notice or demand on Borrower. 16. Borrower's Right to Reinstate. If Borrower meats certain conditions. Borrower shall have the right to have enforcement of this Security Instrument discontinued at any time prior to the earlier of: (a) 5 days (or such other period as applicable law may specify for reinstatement) before sale of the Property pursuant to any power of sale contained In this Security Instrument; or (b) entry of a judgment enforcing this Security Instrument. Those conditions are that Borrower: (a) pays Lender all sums which then would be due under this Security Instrument and the Note as If no acceleration had occurred; (b) cures any default of any other covenants or agreements; (c) pays all expenses Incurred in enforcing this Security Instrument, Including, but not limited to, reasonable attorneys' fees; and (d) takes such action as Lender may reasonably require to assure that the lien of this Security Instrument, Lender's rights In the Property and Borrower's obligation to pay the sums secured by this Security Instrument shall continue unchanged. Upon reinstatement by Borrower, this Security Instrument and the obligations secured hereby shall remain fully effective as if no acceleration had occurred. However, this tight to reinstate shall not apply in the case of acceleration under paragraph 17. 19. Sale of Note; Change of Loan Servicer. The Note or a partial Interest in the Note (together with this Security Instrument) may be sold one or more times without prior notice to Borrower. A sale may result in a change in the entity (known as the "Loan Servicer") that collects monthly payments due under the Note and this Security Instrument. There also may be one or more changes of the Loan Servicer unrelated to a sale of the Note. If there Is a change of the Loan Servicer, Borrower will be given written notice of the change in accordance with paragraph 14 above and applicable law. The notice will state the name and address of the now Loan Servicer and the address to which payments should be made. The notice will also contain any other Information required by applicable law. 20. Hazardous Substances. Borrower shall not cause or permit the presence, use, disposal, storage, or release of any Hazardous Substances on or In the Property. Borrower shall not do, not allow anyone else to do, anything affecting the Property that is in violation of any Environmental Law, The preceding two sentences shall not apply to the presence, use, or storage on the Property of small quantities of Hazardous Substances that are generally recognized to be appropriate to normal residential uses and to maintenance of the Property. Borrower shall promptly give Lender written notice of any Investigation, claim, demand, lawsuit or other action by any governmental or regulatory agency or private party Involving the Property and any Hazardous Substance or Environmental Law of which Borrower has actual knowledge. If Borrower learns, or is notified by any governmental or regulatory authority, that any removal or other remediation of any Hazardous Substance affecting the Property Is necessary, Borrower shall promptly take all necessary remedial actions In accordance with Environmental Law. As used in this paragraph 20, *Hazardous Substances' are those substances defined as toxic or hazardous substances by Environmental Law and the following substances: gasoline, kerosene, other flammable or toxic petroleum products, toxic pesticides and herbicides, volatile solvents, materials containing asbestos or formaldehyde, and radioactive materials. As used in this paragraph 20, 'Environmental Law' means federal laws and laws of the jurisdiction where the Property is located that relate to health, safety or environmental protection. NONUNIFORM COVENANTS. Borrower and Lender further covenant and agree as follows: 21. Acceleration; Remedies. Lender shall give notice to Borrower prior to acceleration following Borrower's breach of any covenant or agreement in this Security Instrument (but not prior to acceleration under paragraph 17 unless applicable law provides otherwise). Lender shall notify Borrower of, among other things: (a) the default; (b) the action required to cure the default; (c) when the default must be cured; and (d) that failure to cure the default as specified may result in acceleration of the sums secured by this Security Instrument, foreclosure by judicial proceeding and sale of the Property. Lender shall further inform Borrower of the right to reinstate after acceleration and the right to assert in the foreclosure proceeding the non-existence of a default or any other defense of Borrower to acceleration and foreclosure. If the default is not cured as specified, Lender at its option may require immediate payment in full of all sums secured by this Security Instrument without further demand and may foreclose this Security Instrument by judicial proceeding. Lender shall be entitled to collect all expenses incurred in pursuing the remedies provided in this paragraph 21, including, but not limited to, attorneys' fees and costs of title evidence to the extent permitted by applicable law. 22. Release. Upon payment of all sums secured by this Security Instrument, this Security Instrument and the estate conveyed shall terminate and become void. After such occurrence, Lender shall discharge and satisfy this Security Instrument without charge to Borrower. Borrower shall pay any recordation costs. 23. Waivers. Borrower, to the extent permitted by applicable law, waives and releases any error or defects in proceedings to enforce this Security Instrument, and hereby waives the benefit of any present or future laws providing for stay of execution, extension of time, exemption from attachment, levy and sale, and homestead exemption. PA013.FAM (03/91) RTECH Page 4 of S pages Form 3039 9/90 1100K 13 2'1 rAr.r. 81.1. 24. Reinstatement Period. Borrower's time to reinstate provided In paragraph to shall extend to one hour prior to the commencement of bidding at a sherlirs sale or other sale pursuant to this Security instrument. 25• Purchase Money Mortgage. If any of the debt secured by this Security Instrument Is to the Property, this Security Instrument shall be a purchase money mortgage. lent to Borrower to acquire title 26. Interest Rate After Judgment. Borrower agrees that the Interest rate payable after a Judgment is entered on the Not. or in an action of mortgage foreclosure shall be the rate payable from time to time under the Note. 27. Riders to this Security Instrument. If one or more riders are executed b Security Instrument, the covenants and agreements of each such rider shall be Incorporated Into and shall amend and supplement the covenants and agreements of this Security Instrument as if the rider(s) were a Part of this Security Instrument. (Check applocable together with this ? AdJustable Rate Rider ? Graduated Payment Rider Condominium Rider ? Planned Unit Development Rider ? 1.4 Family Rider ? Balloon Rider ? ? Biweekly Payment Rider Rata Improvement Rider ("-I Other(s) (specify] LI Second Home Rider BY SIGNING BELOW, Borrower accepts and agrees to the executed by Borrower and recorded with It. terms and covenants contained in this Security Instrument and In any Brier(s) witnesses: ........ (Seal) -Borrower Social Security Number .............. .................................. ..... ................................................................. .(Seal) Borrower Social Security Number ...... ........ ......_.. [Space Below This Line For Acknowledgment] COMMONWEALTH OF PENNSYLVANIA) COUNTY OF CUMBERLAND SS, ON THIS, the _ 7=_ day of June, 1996, before me, the undersigned officer, personally appeared George H. Hagn and Rose M. Hagn k proven) to be the persons whose names are acknowledged that they executed the same PA014.FPM (07/91) FITECH , nown to me (or satisfactorily subscribed to the within instrument, and for the purposes therein contained, Notary Yub11c (SEAL) NOTARIAL SEAL BRENDA L. BREHM, Notary Poblle Carlisle Borough, Cumberland County MyCommisslon Expires Jan.6,10e0 Page 5 of 5 pages Form x1,19 egg nook ;?A rnc? 812 ''// •oorrower Social Security Number ...:;* ?? - P"2- - ,2. / 6 // ...............................................L' ...... File No: H 159 817 LEGAL DESCRIPTION ALL THAT CERTAIN tract of land and the improvements thereon erected situate in South Middleton Township, Cumberland County, Pennsylvania, bounded and described as follows: BEGINNING at a stake at the intersection of the western line of Spring Garden Street and the southern right-of-way line of Interstate Route 81; thence by the western line of Spring Garden Street, South 16 degrees 22 minutes 30 seconds West 481.00 feet to an iron pin; thence South 73 degrees 37 minutes 30 seconds East 13.50 feet to the western edge of Spring Garden Street; thence by the same, South 14 degrees 57 minutes 30 seconds West 315.95 feet to a stake; thence by the same, South 7 degrees 58 minutes 30 seconds West 122.12 feet to a stake; thence by the same, South 4 degrees 47 minutes 30 seconds West 82.25 feet to a stake at line of lands now or formerly of No Otto; thence by lands now or formerly of No Otto, South 83 degrees 1 minute 30 seconds West 526.32 feet to a point in the center of the Letort Spring; thence by the center of the Letort Spring, North 5 degrees 12 minutes 30 seconds West 125.65 feet to a point; thence by the same, North 12 degrees I minute 30 seconds East 146.65 feet; thence by the same, North 31 degrees 54 minutes 30 seconds East 90.10 feet; thence by the same, North 41 degrees 56 minutes 30 seconds East 110.11 feet; thence by the same, North 68 degrees 16 minutes 30 seconds East 77.87 feet; thence by the same, North 10 degrees 46 minutes 30 seconds East 154.25 feet to a point in the center of Letort Spring at line of land of Charles K. Fox; thence by said Fox land, South 68 degrees 46 minutes 10 seconds East 136.00 feet to a stake; thence by the same North 25 degrees 5 minutes 50 seconds East 492.08 feet to a point on the southern right-of-way line of Interstate Route 81; thence by the southern right- of-way line of said Interstate Route 81, North 79 degrees 0 minutes 30 seconds 176.65 feet to a stake, the place of BEGINNING. CONTAINING 8.088 acres. THIS DESCRIPTION was taken from a survey by Thomas A. Neff, Registered Surveyor, dated March 2, 1963. r BEING the same premises which Elaine A. Feuchtenberger, widdw, by her Deed dated June 7 , 1966, and recorded in the Office of the Rt;c9rd'er-of Deeds in and for Cumberland County immediately prior to the recording of this mortga&Ygranted and conveyed unto George H. Hagn and Rose M. Hagn. husband and wife, Morlgdg-ors-herein. 1ob?oa?.a _. ... _ e5uK11324PACE M •i of Pennsylvania ;y if Cumberland °!.A in the office for the recording of Do*& ird berland CourIyypp,, 30 All, .:itf, _Pa (LN 6 myhandanif of ot? (ale tt?jj da 1sl NOTE June 7 1996 (Date] Carlisle Pennsylvania (city) [state] 900 S Spring Garden Street Carlisle, PA 17013 (Present, Address] 1. BORROWER'S PROMISE TO PAY In return for a loan that 1 have received, I promise to pay U.S. the order of the Lender. The Lander Is He (this amount Is Called'prlncipal'), plus Interest, to I understand that the Lender may transfer this Note. The Lender or anyone who takes this Note by transfer and who Is entitled to receive pay- ments under this Note Is called the 'Note Holder.' 2. INTEREST Interest will be charged on unpaid principal until the full amount of principal has been paid. i will pay Interest at a yearly rate of 8.375 The Interest rate required by this Section 2 Is the rate I will pay both before and after any default described in Section 6(B) of this Note. 3. PAYMENTS (A) TIME AND PLACE OF PAYMENTS I will pay principal and Interest by making payments every month.' I will make my monthly payments on the first day of each month beginning on August 1 1996 1 will make these payments every month until I have paid all of the principal and Interest and any other charges described below that I may owe under this Note. My monthly payments will be applied to Interest before principal. If, on July 1 2026 , I still owe amounts under this Note, I will pay those amounts In full on that date, which Is called the "maturity date.' 1 will make my monthly payments at Second & Pine Streets Harrisburg, PA 17101 or at a different place if required by the Note Holder. (B) AMOUNT OF MONTHLY PAYMENTS My monthly payment will be In the amount of U.S. S 1,596.15 4. BORROWER'S RIGHT TO PREPAY I have the right to make payments of principal at any time before they are due. A payment of principal only is known as a'prepaymenL' When I make a prepayment, I will tell the Note Holder In writing that I am doing so. I may make a full prepayment or partial prepayments without paying any prepayment charge. The Note Holder will use all of my prepayments to reduce the amount of principal that I owe under this Note. If I make a partial prepayment, there will be no changes in the due date or in the amount of my monthly payment unless the Note Holder agrees In writing to those changes. 5. LOAN CHARGES If a law, which applies to this loan and which sets maximum loan charges, is finally interpreted so that the Interest or other loan charges col- lected or to be collected in connection with this loan exceed the permitted limits, then: (1) any such loan charge shall be reduced by the amount necessary to reduce the charge to the permitted limit: and (11) any sums already collected from me which exceeded permitted limits will be re- funded to me. The Note Holder may choose to make this refund by reducing the principal I owe under this Note or by making a direct payment to me. 6 a refund reduces principal, the reduction will be treated as a partial prepayment. 6. BORROWER'S FAILURE TO PAY AS REQUIRED (A) LATE CHARGE FOR OVERDUE PAYMENTS 6 the Note Holder has not received the full amount of any monthly payment by the and of 15 calendar days after the date It Is due, I will pay a late charge to the Note Holder. The amount of the charge will be 5.000 % of my overdue payment of principal and Interest. 1 will pay this late charge promptly but only once on each late payment. (B) DEFAULT If I do not pay the full amount of each monthly payment on the date it is due, I will be in default. (C) NOTICE OF DEFAULT If I am in default, the Note Holder may send me a written notice telling me that if I do not pay the overdue amount by a certain date, the Note Holder may require me to pay immediately the full amount of principal which has not been paid and all the Interest that I owe on that amount. That date must be at least 30 days after the date on which the notice is delivered or mailed to me. (D) NO WAIVER BY NOTE HOLDER Even if, at a time when I am in default, the Note Holder does not require me to pay immediately in full as described above, the Note Holder will still have the right to do so if I am In default at a later time. (E) PAYMENT OF NOTE HOLDER'S COSTS AND EXPENSES It the Note Holder has required me to pay Immediately in full as described above, the Note Holder will have the right to be paid back by me for all of Its costs and expenses in enforcing this Note to the extent not prohibited by applicable law. Those expenses Include, for example, reasonable attorneys fees. 7. GIVING OF NOTICES Unless applicable law requires a different method, any notice that must be given to me under this Note will be given by delivering it or by mailing it by first class mall to me at the Property Address above or at a different address if I give the Note Holder a notice of my different address. Any notice that must be given to the Note Holder under this Note will be given by mailing it by first class mail to the Note Holder at the address stated In Section 3(A) above or at a different address if I am given a notice of that different address. MULTISTATE FIXED RATE NOTE-Single Famlly-FNMA/FHLMC Uniform Instrument Pago 1 of 2 Form 3200 12183 1004.FRM (01/88) FTECH PLAINTIFF'S r EXHIBIT 1 ? q p WW ? ?J 'OW lL fn ?4 U G?i U 9 O D ?q SHERIFF'S RETURN - NOT FOUND CASE NO: 1999-05833 P COMMONWEALTH OF PENNSYLVANIA: COUNTY OF CUMBERLAND HARRIS SAVINGS BANK VS. HAGN GEORGE H ET AL R. Thomas Kline , Sheriff, who being duly sworn according to law, says, that he made a diligent search and inquiry for the within named defendant, to wit: HAGN GEORGE H but was unable to locate Him in his bailiwick. He therefore returns the COMPLAINT - MORT FORE NOTICE NOT FOUND , as to the within named defendant HAGN GEORGE H DEFT. NO LONGER RESIDES AT ADDRESS STATED, RETURN NOT FOUND AS PER ATTY 9/27/99. Sheriff's Costs: So ;nswe Docketing 18.00 Service 3.10 ?NOT FOUND RETURN 5.00 Surcharge 8.00 omas ine, ?Fierirr $37T.= HA RIS SAVINGS BANK-LEG DEPT. 09/27/1999 Sworn and subscribed to before me this day of O x( L _ 19 9L? A. D. SHERIFF'S RETURN - NOT FOUND CASE NO: 1999-05833 P COMMONWEALTH OF PENNSYLVANIA: COUNTY OF CUMBERLAND HARRIS SAVINGS BANK vs. HAGN GEORGE H ET AL R. Thomas Kline , Sheriff, who being duly sworn according to law, says, that he made a diligent search and inquiry for the within named defendant, to wit: HAGN ROSE M but was unable to locate Her in his bailiwick. He therefore returns the COMPLAINT - MORT FORE NOT FOUND as to the within named defendant HAGN ROSE M DEFT. NO LONGER RESIDES AT ADDRES STATED, RETURN NOT FOUND AS PER ATTY 9/27/99. Sheriff's Costs: So answer . Docketinq 6.00 NOT FOUND RETURN 5.00 Affidavit .00 Surcharge 8.00 omastline, eri STY= HARRIS1SAVINGS BANK, LEG. DEPT 09/27/999 Sworn and subscribed to before me this day of ?/. 19qq A.D. ?ro o? ota?y HARRIS SAVINGS BANK, Plaintiff V. GEORGE H. HAGN & ROSE M. HAGN, Defendants IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA NO. 99 - g33 CIVIL TERM CIVIL ACTION - LAW IN MORTGAGE FORECLOSURE NOTICE YOU HAVE BEEN SUED IN COURT. If you wish to defend against the claims set forth in the following pages, you must take action within twenty (20) days after this Complaint and Notice are served, by entering a written appearance personally or by attorney and filing in writing with the Court your defenses or objections to the claims set forth against you. You are warned that if you fail to do so the case may proceed without you and a judgment may be entered against you by the Court without further notice for any money claimed in the Complaint or for any other claim or relief requested by the Plaintiff. You may lose money or property or other rights important to you. YOU SHOULD TAKE THIS PAPER TO YOUR LAWYER AT ONCE. IF YOU DO NOT HAVE A LAWYER OR CANNOT AFFORD ONE, GO TO OR TELEPHONE THE OFFICE SET FORTH BELOW TO FIND OUT WHERE YOU CAN GET LEGAL HELP. CUMBERLAND COUNTY LAWYER REFERRAL SERVICE COURT ADMINISTRATOR CUMBERLAND COUNTY COURTHOUSE CARLISLE, PA 17013 (717) 240-6200 MUE COPY FROM RECOPlD m Tes?iau;ny when al, I liar o unto set my hano and the seat of said Court at Carlisle, Pa. ibis c? day, ut X93 Prothonotary HARRIS SAVINGS BANK, IN THE COURT OF COMMON PLEAS OF Plaintiff CUMBERLAND COUNTY, PENNSYLVANIA V. NO. 99 - GEORGE H. HAGN & ROSE M. HAGN, CIVIL ACTION - LAW Defendants IN MORTGAGE FORECLOSURE COMPLAINT AND NOW, comes Harris Savings Bank by and through its counsel, Richard C. Ruben, Esquire and states the following in support of its Complaint: 1. The Plaintiff is Harris Savings Bank, a Corporation organized and existing under the laws of the Commonwealth of Pennsylvania and having its principal place of business at Second and Pine Streets, Harrisburg, Pennsylvania 17101. 2. The Defendants are George H. Hagn and Rose M. Hagn, husband and wife, adult individuals whose current address is 900 South Spring Garden Street, North Middleton Township, Carlisle, Cumberland County, Pennsylvania 17013. 3. Defendants on June 7, 1996, entered into a Mortgage loan indenture with Harris Savings Bank, in the principal amount of Two Hundred Ten Thousand Dollars ($210,000.00), the terms of which loan are more specifically evidenced and set forth in the Mortgage dated June 7, 1996, and recorded June 7, 1996, in the Cumberland County Recorder of Deeds Office in Mortgage Book 1324 Page 808, a copy of which is attached hereto and incorporated herein by reference as Exhibit "A" which mortgage contains and is a lien upon the property situate at 900 South Spring Garden Street, North Middleton Township, Carlisle, Cumberland County, Pennsylvania 17013. 4. A copy of the Note is attached hereto and incorporated herein as Exhibit "B", 5. Plaintiff, in consideration of the said Mortgage and Note advanced to George H, Hagn and Rose M. Hagn the sum of Two Hundred Ten Thousand Dollars ($210,000.00). 6. The premises subject to said mortgage is more specifically set forth in Exhibit "A". 7. George H. Hagn and Rose M. Hagn are the sole owners of the said premises securing said mortgage. 8. Said Mortgage has not been assigned in whole or in part by the Plaintiff herein. 9. That said Mortgage is in default because Defendants herein have failed to pay payments of $1,791.47 for May, 1999 to July, 1999; $1,740.34 for August, 1999; and Late Charges of $319.24 as of August 25, 1999. 10. The Plaintiff has given to the Defendants written notice of intention to foreclose on said Mortgage as required by law under Act 6, dated July 19, 1999. 11. The Plaintiff has given written notice of default as required by the Homeowner's Emergency Assistance Act of 1983, dated July 19, 1999. 12. That due to Defendants' default the entire principal amount of Two Hundred Ten Thousand Dollars ($210,000.00) has become due and payable, together with interest at the current rate of 8.375% per annum, reasonable legal fees for collection of said sum in accordance with the terms of said mortgage less such sums as have been paid on account of principal of the said Mortgage and costs. 13. The Plaintiff believes and therefore avers that reasonable attorney's fees for collection of the debt is $10,560.00 and that it will incur such amounts. 14. The Defendants are liable to the Plaintiff for interest at the current rate of 8.375% per annum, late charges, property taxes and expenses as provided in the Mortgage documents that will accrue until distribution by the Sheriff of Cumberland County, Pennsylvania, to be computed at the time of judgment in these proceedings, in addition to the current balance. 15. The Defendants are liable to the Plaintiff for the following on said Mortgage loan: a. Principal $205,007.95 b. Interest to 8/25/99 6,867.76 C. Escrow (994.69) d. Late Charges to 8/25/99 319.24 e. Search fees 100.00 f. Appraisal fees 150.00 g. Homeowner's Ins. (11/11/99) 905.00 h. Taxes ' 1,730.25 i. Attorney's fees 10.560.00 TOTAL AMOUNT: 224 645.51 16. The Plaintiff believes and avers that the Defendants are not members of the armed forces nor are they in the military service of the United States of America. WHEREFORE, Plaintiff, Harris Savings Bank demands Judgment in its favor and against Defendants George H. Hagn and Rose M. Hagn in the amount of $224,645.51 plus interest at the current rate of 8.375% from August 25, 1999, until paid, additional late charges and costs of preserving the collateral and costs of suit. Respectfully submitted, Date: q a20 By Richard C. Ruben, General Counsel Harris Savings Bank 235 North Second Street P. O. Box 1711 Harrisburg, PA 17105-1711 (717) 909-2916 I.D. #27767 CORPORATE VERIFICATION Stacy Armstrong, Default Coordinator/Assistant Secretary of Harris Savings Bank hereby states on behalf of the Plaintiff that the statements of fact made in the foregoing Complaint are true and correct to the best of her personal knowledge, information and belief. The undersigned understands statements herein are made subject to the penalties of 18 Pa. Cons. Stat. §4904, relating to unworn falsification to authorities. Date q o7lY? a e C} yq Stacy Armstr Default Coordinator/Assistant Secretary '1Ja-1 ROPERT P, ZIECLtR RECORDER OF DEEDS CUMBERLAND COUNTY-PA '96 All':.7 pn 1 01 (Space Above This Line For Recording Data) V) S OU ? "/ MORTGAGE The THIS MORTGAGE ('Security Instrument') Is given on ...... mort9agor Is ............................... J4f1B.......... G0araa.H..Hagn.9t.Ros13.M.H ..............7............................................ ............................................................................ agn.......................................-........................•.... ........ .................t9ss ... .......... ....... ......... . .... This Security Instrument Is..given... ..................... .. lo....................... ... ... ......... ...... ................ ............................................. ............................................................. .............................................................................................._.._.... ..........................flards.Savin s.e .................. ... e ank.. ................................... ('Borrow ............................................................................................................ ............................................................................................... which is Organized and existing under the laws of.. .... Pann?,a. .....................-. --........ ............................................... Borrower owes end whose add Lander the """""'•••••••afflS.bMr ,• J? • address is .................. ..... ................................... Principal f{ Huodrad..T aum of .... .e A...17..1.Q. .. 1 .............. ................................................ ("Lander). wA. .a/..tQA -.......................................... J.hausaad.and. ao. ......... . .............:....................................n(J'...B..... . ....................................... This debt is evidenced by Borrower's note doled the same dale as this Security Instrument ('Note'), which ch pro the full debt, if not paid earlier, due and Dollars ..... . ... ••"" ............... 1 ..... payable on .... J.Uiy.... X02¢ vides !or p.OQ,OQ Payment of the, debt evidenced b ................ ?......... •..................................... month) ... . Payment er all other sums, by the Note, with interest, and all renewals, extensions andte SOcuri Instrument Payments'with of Borrower's covenants and with interest, advanced undo, ty' secures to agreements undr Paragraph and the Note •For this this Secu ii modifications of the No grant and convey to Lender the er this Security Instrument following described ty Instrument; and . does hereby) the to; (b) the performance property located in .........................Qmb purpose.. Borrower. adaod ......................... ymortgaga county. Pennsylvania: See legal description attached which has the address of ......•.9AQ.,5,$Af.Iflg.G.ardeo.,Sl(eal•• Pennsylvania ....... [Streetj ...................................... .................Gadisle................ .......17Q.1.a. [cltrl ................................., 121P Code) ......................... ....... ('Property Address-); TOGETHER WITH all the improvements now or hereafter erected on the Propertor hereafter a pan of the property. All replacements and additions shall also be covered by this Instrument. All of the foregoing y and all easements, appurtenances, and fixtures now is referred to in this Security Instrument as the "Property.- Security BORROWER COVENANTS that Borrower is lawfully seised of the estate hereby conveyed and has the right to mortgage, convey the Property and that the Property is unencumbered, except for encumbrances of record. Borrower warrants and will defend generally the title to the Property against all claims and demands, sub)ect to any encumbrances of record. grant and THIS SECURITY INSTRUMENT combines uniform covenants for national use and non-unit by Jurisdiction to constitute a uniform security Instrument covering real property, orm covenants with limited variations PENNSYLVANIA-Single Family-FNMA/FHLMC UNIFORM INSTRUMENT PAO1•FRM (07/91) FRECH Page 7 of 5 Pages PLAINTIFFS Form b79 9/90 I EXHIBIT 224 Pilo POR UNIFORM COVENANTS. Borrower and Lender covenant and agree as follows: 1. Payment of Principal and Interest; Prepayment and Late Charges. Borrower shall promptly pay when due the principal of and Interest on the debt evidenced by the Note and any prepayment and late charges due unearths Note. 2. Funds for Taxes and Insurance. Subject to applicable law or to a written waiver by Lender, Borrower shall pay to Lender on the day monthly payments are due under the Note, until the Note Is paid In full, a sum ('Funds') for: (a) yearly taxes and assessments which may attain priority over this Security Instrument as a lien on the Property; (b) yearly leasehold payments or ground rants on the Property, if any; (c) yearly hazard or property Insurance premiums; (d) yearly flood Insurance premiums, if any; (e) yearly mortgage insurance premiums, if any; and (f) any sums payable by Borrower to Lender. In accordance with the provisions of paragraph B, In lieu of the payment of mortgage Insurance premiums. These Items are called *Escrow Items.' Lender may, at any time, collect and hold Funds in an amount not to exceed the maximum amount a lender for a federally related mortgage loan may require for Borrower's escrow account under the federal Real Estate Settlement Procedures Act of 1974 as amended from time to time, 12 U.S.C. S 260 Pat seq. CRESPA'), unless another law that applies to the Funds sets a lesser amount. If so, Lender may, at any time, collect and hold Funds in an amount not to exceed the lesser amount. Lender may estimate the amount of Funds due on the basis of current data and reasonable estimates of expenditures of future Escrow Items or otherwise In accordance with applicable law. The Funds shall be held in an Institution whose deposits are Insured by a federal agency, instrumentality, or entity (including Lander, if Lender Is such an institution) or in any Federal Home Loan Bank. Lender shall apply the Funds to pay the Escrow Items. Lender may not charge Borrower for holding and applying the Funds, annually analyzing the escrow account, or verifying the Escrow Items, unless Lender pays Borrower Interest on the Funds and applicable law permits Lender to make such a charge. However, Lender may require Borrower to pay a one-time charge for an independent real estate tax reporting service used by Lender In connection with this loan, unless applicable law provides otherwise. Unless an agreement is made or applicable law requires Interest to be paid, Lender shall not be required to pay Borrower any Interest or earnings on the Funds. Borrower and Lender may agree in writing, however, that Interest shall be paid on the Funds. Lender shall give to Borrower, without charge, an annual accounting of the Funds, showing credits and debits to the Funds and the purpose for which each debit to the Funds was made. The Funds are pledged as additional security for all sums secured by this Security Instrument. If the Funds held by Lender exceed the amounts permitted to be held by applicable law, Lender shall account to Borrower for the excess Funds in accordance with the requirements of applicable law. If the amount of the Funds held by Lender at any time Is not sufficient to pay the Escrow Items when due. Lender may so notify Borrower in writing, and, in such case Borrower shall pay to Lender the amount necessary to make up the deficiency. Borrower shalt make up the deficiency in no more than twelve monthly payments, at Lender's sole discretion. Upon payment in full of all sums secured by this Security Instrument, Lender shall promptly refund to Borrower any Funds held by Lender. If, under paragraph 21, Lender shall acquire or sell the Property, Lender, prior to the acquisition or sale of the Property, shall apply any Funds held by Lender at the time of acquisition or sale as a credit against the sums secured by this Security Instrument. 3. Application Of Payments. Unless applicable law provides otherwise, all payments received by Lender under paragraphs 1 and 2 shall be applied: first, to any prepayment charges due under the Note; second, to amounts payable under paragraph 2; third, to Interest due; fourth, to principal due; and last, to any late charges due under the Note. 4. Charges; Liens. Borrower shall pay all taxes, assessments, charges, fines and impositions attributable to the Property which may attain priority over this Security Instrument, and leasehold payments or ground rents, if any. Borrower shall pay these obligations in the manner provided in paragraph 2, or If not paid in that manner, Borrower shall pay them on time directly to the person owed payment. Borrower shall promptly furnish to Lender all notices of amutints io be paid under this paragraph. if Borrower makes these payments directly, Borrower shall promptly furnish to Lender receipts evidencing the payments. Borrower shall promptly discharge any lien which has priority over this Security Instrument unless Borrower: (a) agrees in writing to the payment of the obligation secured by the lien in a manner acceptable to Lender; (b) contests in good faith the lien by, or defends against enforcement of the lien in, legal proceedings which in the Lender's opinion operate to prevent the enforcement of the lien; or (c) secures from the holder of the lien an agreement satisfactory to Lender subordinating the lien to this Security Instrument. If Lender determines that any part of the Property is subject to a lien which may attain priority over this Security Instrument, Lender may give Borrower a notice identifying the lien. Borrower shall satisfy the lien or take one or more of the actions set forth above within 10 days of the giving of notice. S. Hazard Or Property Insurance. Borrower shall keep the improvements now existing or hereafter erected on the Property insured against loss by fire, hazards included within the term "extended coverage' and any other hazards, including floods or flooding, for which Lender requires insurance. This insurance shall be maintained in the amounts and for the periods that Lender requires. The Insurance carrier providing the insurance shall be chosen by Borrower subject to Lender's approval which shall not be unreasonably withheld. If Borrower fails to maintain coverage described above, Lender may, at Lender's option, obtain coverage to protect Lender's rights in the Property in accordance with paragraph 7. All insurance policies and renewals shall be acceptable to Lender and shall include a standard mortgage clause. Lender shall have the right to hold the policies and renewals. If Lender requires, Borrower shall promptly give to Lender all receipts of paid premiums and renewal notices. In the event of loss, Borrower shall give prompt notice to the Insurance carrier and Lender. Lender may make proof of loss if not made promptly by Borrower. Unless Lender and Borrower otherwise agree in writing, Insurance proceeds shall be applied to restoration or repair of the Property damaged, if the restoration or repair is economically feasible and Lender's security Is not lessened. If the restoration or repair is not economically feasible or Lender's security would be lessened, the Insurance proceeds shall be applied io the sums secured by ;his Security Instrument, whether or not then due, with any excess paid to Borrower. If Borrower abandons the Property, or does not answer within 30 days a notice from Lender that the Insurance carrier has offered to settle a claim, then Lender may collect the insurance proceeds. Lender may use the proceeds to repair or restore the Property or to pay sums secured by this Security Instrument, whether or not then due. The 30-day period will begin when the notice is given. Unless Lender and Borrower otherwise agree In writing, any application of proceeds to principal shall not extend or postpone the due date of the monthly payments referred to in paragraphs 1 and 2 or change the amount of the payments. If under paragraph 21 the Property is acquired by Lender, Borrower's right to any insurance policies and proceeds resulting from damage to the Property prior to the acquisition shall pass to Lender to the extent of the sums secured by this Security Instrument immediately prior to the acquisition. J PAOILFPM (03/91) FRECH Page 2 of 5 pages Form 7079 9/90 ©oo? ir'??4 PncE 8G9 .aeao?•,=r,,,;,, , `.i 6. Occupancy, Preservation, Maintenance and Protection of the Property; Leaseholds. Borrower shall occupy, establish, and use the Pro e this Security Instrument and shall continue to occupy d Borrower's Loan Application; A P rty as Borrower's principal residence within sixty d a the occupancy, unless Lender otherwise agrees in writing, two Property as Borrower's principal residence for at least one years afterlthe date ofution of exist which are beyond Borrower's control. Borrower halls not desilot shall not be unreasonably withheld, or unless extenuating circum Lender's P any, allow the Pro e stances Property, Borrower shall be in default it any forfeiture ae(onroImpair the r Proceeding. e good faith judgment could result In forfeiture of the Property or otherwise materially Im P rty to deteriorate, or commit vase on security the interest. Borrower me cure such a default and reinstate, asprovitled In 9• paragraph whether 1a, b civil or criminal, is begun that in to be dismissed with a ruling that, In Lender's good faith determination, precludes forfeiture of the a1Bonower'scin elrestbin the Property y this Security Instrument the or material Lender's impairment of the lien created by this Security Instrument or Lender's security Interest. rrower shag also lbe in defaultion during the loan application process Bo if Borrower. malarial Information) in connection with the loan evidenced b or other , gave materially false or inaccurate information or statements to Lender (or failed to provide Lender with any occupancy of the onProperty ) in coax a principal residence, If this by the Note, Including, but not limited to, representations concerning Borrower's of the ease. If Borrower acquires fee title a the Property, Security Instrument Is on a leasehold. Borrower shall Comply writing. the leasehold and the fee tills shall not merge unless Lender egreest lhe merger in 7• Protection of Lender's Rights In the Proparty. If Borrower tails to perform this Security Instrument, or there Is a legal proceeding that may significantly effect Lender's rights In the pro e the covenants and t agreements contained in bankruptcy, probate, for condemnation or forfeiture or to enforce laws or regulations), then Lender may do and protect the value of the Property and Lender's rights In the Property P rty (such as a proceeding in priority over this Security Instrument, a , L'ender's actions may Include paying pay '0e whatever Is necessary to Although Lender may take action undeP hesrl a court 7 P°Ying reasonable attorneys' fees and enteringon any Prose ecured by a lien which has Any amounts disbursed b pa 9 P Lender does not have to do so, P !tY to make repairs. y Lender Unless Borrower and Lender agre e to other elms this Paragraph 7 shall become additional debt of Borrower secured by this Security instrument. payment, these amounts shall bear interest from the date of disbursement at the Note rate Instrument, an shall be payable, with interest upon notice from Lender to Borrower requesting payment. 8. Mortgage Insurance. p If Lender required mortgage insurance as a condition of making the loan secured b Borrower shall ll pay pay the e premi ums required d maintain the mortgage required by Lender lapses is ceases to be in affect. Borrower shall Y this Security equivalent to the mortgage insurance previously in effect at a cost wens hall pay he premiums ineffect. a It, for any reason, the mortgage insurance the required to obtain coverage substantially previously in ellect, from an alternate mortgage insurer a substantially equivalent to the cost to Borrower of the mortgage insurance available, Borrower shall a approved by Lender. to Lender each month If substantial) e when the insurance coverage lapsed or ceased to be in effect. L at to ender will accepf,thuse e and retain theses m9 ge payments rt a insurance coverage is not mortgage insurance. Loss reserve a yearly 9 9e insurance premium being paid by Borrower P yments may no longer be required, at the option of Lender, ff mo ga Insurance loss amount and for the period that Lender requires) provided by an insurer approved b (in the n or shall pay the premiums required to maintain mortgage insurance in effect, or to provide a loss reserve, until the requirement for mortgage Insurance ends in accordance with any written agreement between Borrower and Lender of applicable leve es ge available and is Obtained. Borrower 9. Inspection. Lender or its agent may make reasonable entries upon and Inspections of the Property. notice at the time of or prior to an inspection specifying reasonable cause for the Inspection. 10. C ntPartof the Pro The proceeds of any award or claim ror damages, direct or consequential, in connectionrwith )any condemnation or other taking g of of any pan of thperty, or for conveyance in lieu of condemnation, are hereby assigned and shall be paid to Lender. In the event of a total taking of the Property, the proceeds shall be applied to the sums secured by this not then due, with any excess paid to Borrower. In the event of Security Instrument, whether or a partial taking of the Property 1, which thO Property immediately before the taking is equal to or greater than the amount of the sums secured by this Security Instrument immediately before the taking, unless Borrower and Lender otherwise agree in writing, the sums secured by th this Security f nest ument shall be reduced by the amount of the proceeds multiplied by the following fraction: (a) the total amount of the sums secured Immediately before the d taking, immediately Of divided parts) tak the lathe market value of which Propert Immediately value obefore the Property taking- immediately before the taking Is less than the amount of the sums secured immediately before the taking, unless Borrower and Lender t agree wrriiti gaoefunless applicable law otherwise provides, the Proceeds shall be applied to the sums secured by this Security Instrument whether or not the sums are then due. 11 the Property is abandoned by Borrower, or If, after notice by Lender to Borrower that the condemnor offers to make an award or settle a claim for damages. Borrower fails to respond to Lender within 30 days after the date the notice is given. Lender is authorized to collect and apply the proceeds, at its option, either to restoration or repair of the Propeny or to the sums secured by this Security Instrument, whether or not then due, Unless Lender and Borrower otherwise agree in writing, any application of proceeds to principal shall not extend or postpone the due dale of the monthly payments referred to In paragraphs i and 2or change the amount of such payments. 11. Borrower Not Released; Forbearance By Lender Not a Waiver, Extension of amortization of the sums secured by this Security Instrument granted by Lender to any successor in interest of Borrower shall not operate /uon to release the liability of the original Borrower or Borrower's successors in interest. Lender shall notlbe requiretime d to commence ncetProceedings against any successor in interest or refuse to extend time for Payment or otherwise modify amortization of the sums secured by this Instrument by reason any a made by the original Borrower or Borrower's successors in Interest. Any forbosrance by LonderSecuinrity exercising any right or remedy y shall ll not be a waiver of or preclude the exercise of any right or remedy, 12. Successors and Assigns Bound; Joint and Several Liability; Security Instrument shall bind and benefit the successors and assigns of Lender and Borrower, subject to the provisions of paragraph 17. Borrower's covenants and agreements shall be joint and several. Any Borrower who co-signs hi9Secusity Instrument but does not execute of this the Note: (a) is co-signing this Security Instrument only to mortgage, grant and convey that Borrower's interest in the Property under the terms of this Security Instrument (b) is not Personally obligated to pay the sums secured by this Security Instrument; and (c) agrees that Lender and any other Borrower may agree to extend, modify, forbear or make any accommodations with regard to the terms of this Security Instrument or the Note without that Borrower's consent. 13. Loan Charges. If the loan secured by this Security Instrument is subject to a law which sets maximum loan charges, and that law is finally interpreted so that the interest or other loan charges collected or to be collected in connection with the loan exceed the permitted limits, then: (a) any such loan charge shall be reduced by the amount necessary to reduce the charge to the Permitted limit and (b) any sums already collected from Borrower which exceeded Permitted limits will be refunded to Borrower. Lender may choose to make this refund by PAm2.FnM (03/91) FITECM Page 3 of s pages Form 3039 9,90 reducing the principal owed under the Note or by making a direct payment to Borrower. If a refund reduces principal, the reduction will be treated as a partial prepayment without any prepayment charge under the Note. 14. Notices. Any notice to Borrower Provided for In this Security Instrument shell be given by delivering It or by mailing It by first class mail unless applicable law requires use of another method. The notice shall be directed to the Property Address or any other address Borrower designates by notice to Lender. Any notice to Lender shall be given by first class ,It to Lender's address stated herein or any other address Lender designates by notice to Borrower. Any notice provided for In this Security instrument shall be deemed to have been given to Borrower or Lender when given as provided in this paragraph. 15. Governing Law; Severability. This Security Instrument shall be governed by federal law and the law of the jurisdiction in which the Property Is located. In the event that any provision or clause of this Security Instrument or the Note conflicts with applicable law, such conflict shall not affect other provisions of this Security Instrument or the Note which can be given effect without the conflicting provision. To this and the provisions of this Security Instrument and the Note are declared to be severable. 16. Borrower's Copy. Borrower shall be given one conformed copy of the Note and of this Security Instrument. 17. Transfer of the Property or a Beneficial Interest in Borrower. If all or any part of the Property or any Interest In it is sold or transferred (or If a beneficial Interest In Borrower Is sold or transferred and Borrower Is not a natural person) without lender's prior written consent, Lender may, at Its option, require Immediate payment in full of all sums secured by this Security Instrument. However, this option shall not be exercised by Lender if exercise Is prohibited by federal law as of the date of this Security Instrument. If Lender exercises this option, Lender shall give Borrower notice of acceleration. The notice shall provide a period of not less than 30 days from the date the notice Is delivered or malled within which Borrower must pay all sums secured by this Security Instrument. If Borrower fails to pay these sums prior to the expiration of this period, Lender may Invoke any remedies permitted by this Security Instrument without further notice or demand on Borrower. 18. Borrower's Right to Reinstate. If Borrower meets certain conditions, Borrower shall have the right to have enforcement of this Security Instrument discontinued at any time prior to the earlier of: (a) 5 days (or such other period as applicable law may specify for reinstatement) before sale of the Property pursuant to any power of sale contained in this Security InstrumenC or (b) entry of a judgment enforcing this Security Instrument. Those conditions are that Borrower: (a) pays Lender all sums which then would be due under this Security Instrument and the Note as if no acceleration had occurred; (b) cures any default of any other covenants or agreements; (c) pays all expenses incurred in enforcing this Security Instrument, including, but not limited to, reasonable attorneys' fees; and (d) takes such action as Lender may reasonably require to assure that the lien of this Security Instrument, Lender's rights in the Property and Borrower's obligation to pay the sums secured by this Security Instrument shall continue unchanged. Upon reinstatement by Borrower, this Security Instrument and the obligations secured hereby shall remain fully effective as if no acceleration had occurred. However, this jight to reinstate shall not apply in the case of acceleration under paragraph 17. 19. Sale of Note; Change of Loan Servicer. The Note or a partial Interest in the Note (together with this Security Instrument) may be sold one or more times without prior notice to Borrower. A sale may result in a change in the entity (known as the 'Loan Servicer') that collects monthly payments due under the Note and this Security Instrument. There also may bu one or more changes of the Loan Servicer unrelated to a sale of the Note. If there is a change of the Loan Servitor, Borrower will be given written notice of the change in accordance with paragraph 14 above and applicable law. The notice will state the name and address of the new Loan Servicer and the address to which payments should be made. The notice will also contain any other Information required by applicable law. 20. Ha2ardOus Substances. Borrower shall not cause or permit the presence, use, disposal, storage, or release of any Hazardous Substances on or in the Property. Borrower shall not do, nor allow anyone else to do, anything affecting the Property that is In violation of any Environmental Law. The preceding two sentences shall not apply to the presence, use, or storage on the Property of small quantities of Hazardous Substances that are generally recognized to be appropriate to normal residential uses and to maintenance of the Property. Borrower shall promptly give Lender written notice of any Investigation, claim, demand, lawsuit or other action by any governmental or regulatory agency or private party involving the Property and any Hazardous Substance or Environmental Law of which Borrower has actual knowledge. If Borrower learns, or is notified by any governmental or regulatory authority, that any removal or other remedlation of any Hazardous Substance affecting the Property is necessary, Borrower shall promptly take all necessary remedial actions In accordance with Environmental Law. As used in this paragraph 20, "Hazardous Substances' are those substances defined as toxic or hazardous substances by Environmental Law and the following substances: gasoline, kerosene, other flammable or toxic petroleum products, toxic pesticides and herbicides, volatile solvents, materials containing asbestos or formaldehyde, and radioactive materials. As used in this paragraph 20, *Environmental law' means federal laws and laws of the jurisdiction where the Property is located that relate to health, safety or environmental protection. NONUNIFORM COVENANTS. Borrower and Lender further covenant and agree as follows: 21. Acceleration; Remedies. Lender shall give notice to Borrower prior to acceleration following Borrower's breach of any covenant or agreement in this Security Instrument (but not prior to acceleration under paragraph 17 unless applicable law provides otherwise). Lender shall notify Borrower of, among other things: (a) the default; (b) the action required to cure the default; (c) when the default must be cured; and (d) that failure to cure the default as specified may result in acceleration of the sums secured by this Security Instrument, foreclosure by judicial proceeding and sale of the Property. Lender shall further inform Borrower of the right to reinstate after acceleration and the right to assert in the foreclosure proceeding the non-existence of a default or any other defense of Borrower to acceleration and foreclosure. If the default is not cured as specified, Lender at its option may require Immediate payment in full of all sums secured by this Security Instrument without further demand and may foreclose this Security Instrument by judicial proceeding. Lender shall be entitled to collect all expenses incurred in pursuing the remedies provided in this paragraph 21, including, but not limited to, attorneys' fees and costs of title evidence to the extent permitted by applicable law. 22. Release. Upon payment of all sums secured by this Security Instrument, this Security Instrument and the estate conveyed shall terminate and become void. After such occurrence, Lender shall discharge and satisfy this Security Instrument without charge to Borrower. Borrower shall pay any recordation costs. 23. Waivers. Borrower, to the extent permitted by applicable law, waives and releases any error or defects In proceedings to enforce this Security Instrument, and hereby waives the benefit of any present or future laws providing for stay of execution, extension of time, exemption from attachment, levy and sale, and homestead exemption. PA013.FnM (03/91) FITECH Page 4 of 5 pages Form 3039 9,90 eN):1:324 rAcr.. 811. ., """ ; 24. Reinstatement Period. Borrower's time to reinstate provided In paragraph 18 shall extend to one hour prior to the commencement of bidding at a sheriff 'a sale or other sate pursuant to this Security Instrument. 25. Purchase Money Mortgage If any of the debt secured by this Secure to the Property, this Security Instrument shall be a purchase money mortgage. 28. Interest Rate After Judgment. N Instrument is lent to Borrower to acquire title or In an action of mortgage foreclosure be the te ato payable fromtime to time under the Note. 27. Riders to this Security Instrument. It one or more rltlers r payable after a judgment Is entered on the Note are Security Instrument, the Cc orients and agreements of each such executed by Borrower and recorded together with this rider shell be Incorporated Into and shall amend and supplement the covenants and agreements of this Security Instrument as 19 the rider(s) were a part of this Security Instrument. (Check applicable box(es)) ? Adjustable Rate Ride! ? Graduated Payment Rider ? Condominium Ftider ? Balloon Rider Planned Unit Development PJder ? 1-4 Family Rider ? ? Other(s) (specify] Rate improvement Rider ? Biweekly Payment Rider ? ? Second Home Rider BY SIGNING BELOW, Borrower accepts and agrees to the executed by Borrower and recordad with it. terms and covenants contained in this Severity Instrument and in any nnor(s) Witnesses: .......................... .............................................................. .... (Seal) Social Security Number .... Borrower Borrower Social Security Number ........ ._. [Space Below This Line For Acknowledgment] COMMONWEALTH OF PENNSYLVANIA) COUNTY OF CUMBERLAND SS. ON THIS, the personally appeared7 H ?George day Of before me, the undersigned officer, proven) to be the g subscribed known to me persons whose names are subscribed oy acknowledged that they executed the same to the within instrument, and for the purposes therein conrr,;-A PA014.FRM (03/91) FRECH ?- Notary Pub13c? `? (SEAL) AL otary publle erland C ounty Jan. B, 20pp 595z Page 5 of 5 pages Farm 3039 9/90 BOOK ;3?4 PAGE 812 Svcr91 Security Number...: y0 .............. .??' ... .- /H `t/i File No: H 159 817 LEGAL DESCRIPTION ALL THAT CERTAIN tract of land and the improvements thereon erected situate in South Middleton Township, Cumberland County, Pennsylvania, bounded and described as follows: BEGINNING at a stake at the intersection of the western line of Spring Garden Street and the southern right-of-way line of Interstate Route 81; thence by the western line of Spring Garden Street, South 16 degrees 22 minutes 30 seconds West 481.00 feet to an iron pin; thence South 73 degrees 37 minutes 30 seconds East 13.50 feet to the western edge of Spring Garden Street; thence by the same, South 14 degrees 57 minutes 30 seconds West 315.95 feet to a stake; thence by the same, South 7 degrees 58 minutes 30 seconds West 122.12 feet to a stake; thence by the same, South 4 degrees 47 minutes 30 seconds West 82.25 feet to a stake at line of lands now or formerly of No Otto; thence by lands now or formerly of No Otto, South 83 degrees 1 minute 30 seconds West 526.32 feet to a point in the center of the Letort Spring; thence by the center of the Letort Spring, North 5 degrees 12 minutes 30 seconds West 125.65 feet to a point; thence by the same, North 12 degrees 1 minute 30 seconds East 146.65 feet; thence by the same, North 31 degrees 54 minutes 30 seconds East 90.10 feet; thence by the same, North 41 degrees 56 minutes 30 seconds East 110.11 feet; thence by the same, North 68 degrees 16 minutes 30 seconds East 77.87 feet; thence by the same, North 10 degrees 46 minutes 30 seconds East 154.25 feet to a point in the center of Letort Spring at line of land of Charles K. Fox; thence by said Fox land, South 68 degrees 46 minutes 10 seconds East 136.00 feet to a stake; thence by the same North 25 degrees 5 minutes 50 seconds East 492.08 feet to a point on the southern right-of-way line of Interstate Route 81; thence by the southern right- of-way line of said Interstate Route 81, North 79 degrees 0 minutes 30 seconds 176.65 feet to a stake, the place of BEGINNING. CONTAINING 8.088 acres. THIS DESCRIPTION was taken from a survey by Thomas A. Neff, Registered Surveyor, dated March 2, 1963. r BEING the same premises which Elaine A. Feuchtenberger, widow, by her Deed dated June 7, 1966, and recorded in the Office of the Rbe9rderrof Deeds in and for Cumberland County immediately prior to the recording of this mortga&Ygranted and conveyed unto George H. Hagn and Rose M. Hagn. husband and wife,-Mortgggors-herein. 10 to! I... in c'' - - B)Uic1324PAGE U3 .) of Ponnsylvanis 2 8S ;y of Cumberland 2 '••d in the office for the recording of D*"k ,nd berlandCoury -o VoT_PaW3%0 -N- my han al of ptfic? d Lq A this da 19!lt P NOTE June 7 1996 (Date) Cadisle (City) Pennsylvania (State) 900 S Spring Garden Street Cadisle, PA 17013 (PmPeny Aaoress) 1. BORROWER'S PROMISE TO PAY In return for a loan that I have received, I promise to pay U.S. the order of the Lender. The Lender Is Ha I of (this amount Is called 'Principal-), plus Interest, to un erstand that the Lender may transfer this Note. The Lender or anyone who takes this Note by transfer and who is entitled to receive pay mans under this Note Is called the 'Nola Holder.' 2. INTEREST Interest will be charged on unpaid principal until the full amount of principal has been paid. I will pay Interest at a yearly rate of 8.375 The Interest rate required by this Section 21s the rate I will pay both before and after any default described In Section 6(9) of this Note. 3. PAYMENTS (A) TIME AND PLACE OF PAYMENTS I will pay principal and Interest by making payments every month.' I will make my monthly payments on the first day of each month beginning on August 1 1996 . 1 will make these payments every month until I have paid all of the principal and Interest and any other charges described below that I may owe under thls Note. My monthly payments wil(be applied to interest before principal. If, on July 1 2026 , 1 still owe amounts under this Note, I will pay those amounts in full on that date, which Is called the 'maturity date." [will make my monthly payments at Second & Pine Streets Harrisburg, PA 17101 or at a different place if required by the Note Holder. (B) AMOUNT OF MONTHLY PAYMENTS My monthly payment will be in the amount of U.S. E 1,596.15 4. BORROWER'S RIGHT TO PREPAY I have the right to make payments of principal at any time before they are due. A payment of principal only is known as a "prepayment.- When I make a prepayment, I will tell the Note Holder In writing that 1 am doing so. I may make a full prepayment or partial prepayments without paying any prepayment charge. The Note Holder will use all of my prepayments to reduce the amount of principal that I owe under this Note. It I make a partial prepayment, there will be no changes In the due date or In the amount of my monthly payment unless the Note Holder agrees In writing to those changes. S. LOAN CHARGES If a law, which applies to this loan and which sets maximum loan charges, Is finally Interpreted so that the Interest or other loan charges col- lected or to be collected in connection with this loan exceed the permitted limits, then: (I) any such loan charge shall be reduced by the amount necessary to reduce the charge to the permitted limit: and (ii) any sums already collected from me which exceeded permitted limits will be re- funded to me. The Note Holder may choose to make this refund by reducing the principal I owe under this Note or by making a direct payment to me. If a refund reduces principal, the reduction will be treated as a partial prepayment. 6. BORROWER'S FAILURE TO PAY AS REQUIRED (A) LATE CHARGE FOR OVERDUE PAYMENTS If the Note Holder has not received the full amount of any monthly payment by the end of 15 calendar days after the date it Is due, l will pay a late charge to the Note Holder. The amount of the charge will be 5.000 %of my overdue payment of principal and Interest. I will pay this late charge promptly but only once on each late payment. (B) DEFAULT If I do not pay the full amount of each monthly payment on the date It is due, I will be in default. (C) NOTICE OF DEFAULT If I am In default, the Note Holder may send me a written notice telling me that if I do not pay the overdue amount by a certain date, the Note Holder may require me to pay Immediately the full amount of principal which has not been paid and all the Interest that I owe on that amount. That date must be at least 30 days after the date on which the notice is delivered or mailed to me. (D) NO WAIVER BY NOTE HOLDER Even if, at a time when I am In default, the Note Holder does not require me to pay immediately in full as described above, the Note Holder will still have the right to do so if I am in default at a later time. (E) PAYMENT OF NOTE HOLDER'S COSTS AND EXPENSES If the Note Holder has required me to pay immediately In full as described above, the Note Holder will have the right to be paid back by me for all of its costs and expenses In enforcing this Note to the extent not prohibited by applicable law. Those expenses Include, for example, reasonable attorney's fees. 7. GIVING OF NOTICES Unless applicable law requires a different method, any notice that must be given to me under this Note will be given by delivering it or by mailing it by first class mail to me at the Property Address above or at a different address if I give the Note Holder a notice of my different address. Any notice that must be given to the Note Holder under this Note will be given by mailing it by first class mall to the Note Holder at the address stated in Section 3(A) above or at a different address if I am given a notice of that different address. MULTISTATE FIXED RATE NOTE-Single Fumily.FNMA/FHLMC Uniform Instrument Page 1 of 2 Form 3200 12183 1004.FAM (01/00) FITECH PLAINTIFF'S EXHIBIT LL ,. J CO _. 4 1 4J a:i C„) - L, W H cl .1Cu 4 HARRIS SAVINGS BANK, IN THE COURT OF COMMON PLEAS OF Plaintiff CUMBERLAND COUNTY, PENNSYLVANIA V. NO. 99 -33 CIVIL TERM GEORGE H. HAGN & ROSE M. HAGN, CIVIL ACTION - LAW Defendants IN MORTGAGE FORECLOSURE NOTICE YOU HAVE BEEN SUED IN COURT. If you wish to defend against the claims set forth in the following pages, you must take action within twenty (20) days after this Complaint and Notice are served, by entering a written appearance personally or by attorney and filing in writing with the Court your defenses or objections to the claims set forth against you. You are warned that if you fail to do so the case may proceed without you and a judgment may be entered against you by the Court without further notice for any money claimed in the Complaint or for any other claim or relief requested by the Plaintiff. You may lose money or property or other rights important to you. YOU SHOULD TAKE THIS PAPER TO YOUR LAWYER AT ONCE. IF YOU DO NOT HAVE A LAWYER OR CANNOT AFFORD ONE, GO TO OR TELEPHONE THE OFFICE SET FORTH BELOW TO FIND OUT WHERE YOU CAN GET LEGAL HELP. CUMBERLAND COUNTY LAWYER REFERRAL SERVICE COURT ADMINISTRATOR CUMBERLAND COUNTY COURTHOUSE CARLISLE, PA 17013 (717) 240-6200 i ?; V 1i3n0 la's iIIC PJ 1Gi C•} l; iiff? '.GCi ? 1i v2f14,i1'.'i, i'a. QrothcnrAary HARRIS SAVINGS BANK, Plaintiff V. GEORGE H. HAGN & ROSE M. HAGN, Defendants IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA NO. 99 - CIVIL ACTION - LAW IN MORTGAGE FORECLOSURE COMPLAINT AND NOW, comes Harris Savings Bank by and through its counsel, Richard C. Ruben, Esquire and states the following in support of its Complaint: The Plaintiff is Harris Savings Bank, a Corporation organized and existing under the laws of the Commonwealth of Pennsylvania and having its principal place of business at Second and Pine Streets, Harrisburg, Pennsylvania 17101. 2. The Defendants are George H. Hagn and Rose M. Hagn, husband and wife, adult individuals whose current address is 900 South Spring Garden Street, North Middleton Township, Carlisle, Cumberland County, Pennsylvania 17013. 3. Defendants on June 7, 1996, entered into a Mortgage loan indenture with Harris Savings Bank, in the principal amount of Two Hundred Ten Thousand Dollars ($210,000.00), the terms of which loan are more specifically evidenced and set forth in the Mortgage dated June 7, 1996, and recorded June 7, 1996, in the Cumberland County Recorder of Deeds Office in Mortgage Book 1324 Page 808, a copy of which is attached hereto and incorporated herein by reference as Exhibit "A" which mortgage contains and is a lien upon the property situate at 900 South Spring Garden Street, North Middleton Township, Carlisle, Cumberland County, Pennsylvania 17013. 4. A copy of the Note is attached hereto and incorporated herein as Exhibit "I3". 5. Plaintiff, in consideration of the said Mortgage and Note advanced to George H. Hagn and Rose M. Hagn the sum of Two Hundred Ten Thousand Dollars ($210,000.00). 6. The premises subject to said mortgage is more specifically set forth in Exhibit "A". 7. George H. Hagn and Rose M. Hagn are the sole owners of the said premises securing said mortgage. 8. Said Mortgage has not been assigned in whole or in part by the Plaintiff herein. 9. That said Mortgage is in default because Defendants herein have failed to pay payments of $1,791.47 for May, 1999 to July, 1999; $1,740.34 for August, 1999; and Late Charges of $319.24 as of August 25, 1999. 10. The Plaintiff has given to the Defendants written notice of intention to foreclose on said Mortgage as required by law under Act 6, dated July 19, 1999. 11. The Plaintiff has given written notice of default as required by the Homeowner's Emergency Assistance Act of 1983, dated July 19, 1999. 12. That due to Defendants' default the entire principal amount of Two Hundred Ten Thousand Dollars ($210,000.00) has become due and payable, together with interest at the current rate of 8.375% per annum, reasonable legal fees for collection of said sum in accordance with the terms of said mortgage less such sums as have been paid on account of principal of the said Mortgage and costs. 13. The Plaintiff believes and therefore avers that reasonable attorney's fees for collection of the debt is $10,560.00 and that it will incur such amounts. 14. The Defendants are liable to the Plaintiff for interest at the current rate of 8.375% per annum, late charges, property taxes and expenses as provided in the Mortgage documents that will accrue until distribution by the Sheriff of Cumberland County, Pennsylvania, to be computed at the time of judgment in these proceedings, in addition to the current balance. 15. The Defendants are liable to the Plaintiff for the following on said Mortgage loan: a. Principal $205,007.95 b. Interest to 8/25/99 6,867.76 C. Escrow (994.69) d. Late Charges to 8/25/99 319.24 e. Search fees 100.00 f. Appraisal fees 150.00 9. Homeowner's Ins. (11/11/99) 905.00 h. Taxes ' 1,730.25 i. Attorney's fees 10.560.00 TOTAL AMOUNT: 224 645.51 16. The Plaintiff believes and avers that the Defendants are not members of the armed forces nor are they in the military service of the United States of America. WHEREFORE, Plaintiff, Harris Savings Bank demands Judgment in its favor and against Defendants George H. Hagn and Rose M. Hagn in the amount of $224,645.51 plus interest at the current rate of 8.375% from August 25, 1999, until paid, additional late charges and costs of preserving the collateral and costs of suit. Date: Respectfully submitted, By Richard C. Ruben, General Counsel Harris Savings Bank 235 North Second Street P. O. Box 1711 Harrisburg, PA 17105-1711 (717) 909-2916 I.D. #27767 CORPORATE VERIFICATION Stacy Armstrong, Default Coordinator/Assistant Secretary of Harris Savings Bank hereby states on behalf of the Plaintiff that the statements of fact made in the foregoing Complaint are true and correct to the best of her personal knowledge, information and belief. The undersigned understands statements herein are made subject to the penalties of 18 Pa. Cons. Stat. §4904, relating to unworn falsification to authorities. Date ? o7b "L;L: A N Stacy Armstr0Q0 Default Coordinator/Assistant Secretary 1)jd, /CS(,?l?, J T?, ROEERT P. ZIECLE'R RECORDER OF DEEDS CUMBERLAND COUNTY-F-4 '96 J.014::.7 Pn 1 01 -------- ?- (Space Above This Line For Recording Data) MORTGAGE THIS MORTGAGE CSecunty Instrument') is given on ...... The 'mortgagor is ............................... G?ar.9a.H..liasn.&.R ....... ....................................... . ................ J.9¢ ....... . ase..M..NaQrt....................................................................... ............UUne..,......_.............7................... This Security Instrument is given t .......... which .......... 11 ...... . . .............. ..................... . . . . . . . . . . I organized and existing under the laws . . . . of . . ........ i' . . ... . .................... . . . . . . . . . . . . . . . . . . . ............ . ..................... . . . . . . . . .......................................... RDaSyFV. eed. ,..Piae .Streets ........................ tiardsbur . aflla ................................. and whose address. .is ........... Borrower owes Lenndde ..... r the" ha principal sum of ..... wa.hlugdrasi.ed.'i .A... Th'aM Q.1 ................... .........--................................ , .......................... Plend "er?.? ............................................................................................................................ .en..ih M CI and.na... ). This tlebt is evidenced by Borrower's note dated the same /loll the full debt, it not paid earlier, due and me date as this Securi Dollars (U.S. $ ,? """ •••• .. Lender: (a) the repayment payable on .... IY Instrument .IQ,Q.QQ,,Q ) "•' of the debt evidenced b rJUIM......•.•.."""" •2Q26 ('Nate'), which provides for month) Q "" the Payment of all other sums, with interest, advanced untle Note, with interest, and all renewals, extensions and payments with . This Security Instrument secures to of Borrower's covenants and agreements raph 7 to grant and convey to Lender the foilowin Protect the securiry of this Secu;iru cadof the Note; (b) the under this securiry Instrumentan the Note. For this ur ose, g described rope hr Instrument; ; and (c) the performance P rty localetl i ........ P P Borrower does hereby adaod...4.4 ................... 6. County. Pennsylvania: See legal description attached which has the address of ........ QD.Q..S..SAr,InQ..arden..StrEG't Pennsylvania ...... ................................................ ........ I........ Gadlsle........ I.. ........t.ZQ.I a. tstreeti cli`yT................................., InP coda) . ................................. ('Property Address'); TOGETHER WITH all the improvements now or hereafter erected on the property , and all easements, appurtenances, and fixtures now or hereafter a part of the property. All replacements and additions shall also be covered by this All of the foregoing o referred to in this Security Instrument as the "Property., Security Instrument. BORROWER COVENANTS that Borrower is lawfully seised of the estate hereby conveyed and has the right to mortgage, convey the Property and that the Property is unencumbered, except for encumbrances of record. Borrower warrants and will defend generally the title to the Property against all claims and demands, sublect to any encumbrances of record. grant and THIS SECURITY INSTRUMENT combines uniform covenants for national use and nonuniform covenants with limited variations by )urisdicllon to constitute a uniform security Instrument covering real property. PENNSYLVANIA•Singta Fam1y-FNMA/FHLMC UNIFORM INSTRUMENT PAO1•FRM (00ry1) FnECH Page 1 of 5 Pagae PLAINTIFF'S Form 0039 9/go BOUk.kq r 4CE F09 UNIFORM COVENANTS. Borrower and Lender covenant and agree as follows: I. Payment of Principal and Interest; Prepayment and Late Charges. Borrower shall promptly pay when due the principal of and Interest an the debt evidenced by the Note and any prepayment and Into charges due under the Note. 2. Funds for Taxes and Insurance. Subject to applicable law or to a written waiver by Lender, Borrower shall pay to Lender on the day monthly payments are due under the Note, until the Note is paid in full, a sum r Funds*) for: (a) yearly taxes and assessments which may attain priority over this Security Instrument as a lien on the Property; (b) yearly leasehold payments or ground rents on the Property, if any; (c) yearly hazard or property Insurance premiums; (d) yearly flood insurance premiums, if any; (e) yearly mortgage Insurance premiums, If any; and (1) any sums payable by Borrower to Lender, In accordance with the provisions of paragraph 8, in lieu of the payment of mortgage insurance premiums. These Items are called "Escrow Items." Lender may, at any time, collect and hold Funds In an amount not to exceed the maximum amount a lender for a federally related mortgage loan may require for Borrower's escrow account under the federal Real Estate Settlement Procedures Act of 1974 as amended from time to time, 12 U.S.C. S 280fiet seg. CRESPA'), unless another law that applies to the Funds sets a lesser amount. If so, Lender may, at any lime, collect and hold Funds In an amount not to exceed the lesser amount. Lender may estimate the amount of Funds due on the basis of current data and reasonable estimates of expenditures of future Escrow Items or otherwise in accordance with applicable law. The Funds shall be held in an Institution whose deposits are Insured by a federal agency, instrumentality, or entity (including Lander, if Lender is such an institution) or In any Federal Home Loan Bank. Lender shall apply the Funds to pay the Escrow Items, Lender may not charge Borrower for holding and applying the Funds, annually analyzing the escrow account, or verifying the Escrow Items, unless Lender pays Borrower Interest on the Funds and applicable law permits Lender to make such a charge, However, Lender may squire Borrower to pay a one-time charge for an Independent real estate tax reporting service used by Lander in connection with this loan, unless applicable law provides otherwise. Unless an agreement Is made or applicable law requires Interest to be paid, Lender shall not be required to pay Borrower any Interest or earnings on the Funds. Borrower and Lender may agree In writing, however, that Interest shaft be paid on the Funds. Lender shall give to Borrower, without charge, an annual accounting of the Funds, showing credits and debits to the Funds and the purpose for which each debit to the Funds was made. The Funds are pledged as additional security for all sums secured by this Security Instrument. If the Funds held by Lender exceed the amounts permitted to be held by applicable law. Lender shall account to Borrower for the excess Funds in accordance with the requirements of applicable law. If the amount of the Funds held by Lender at any time Is not sufficient to pay the Escrow Items when due, Lender may so notify Borrower in writing, and, in such case Borrower shall pay to Lender the amount necessary to make up the deficiency. Borrower shall make up the deficiency in no more than twelve monthly payments, at Lender's sole discretion. Upon payment in full of all sums secured by this Security Instrument, Lender shall promptly refund to Borrower any Funds held by Lender. If, under paragraph 21, Lender shall acquire or sell the Property, Lender, prior to the acquisition or sale of the Property, shall apply any Funds held by Lender at the time of acquisition or sale as a credit against the sums secured by this Security Instrument. 3. Application of Payments. Unless applicable law provides otherwise, all payments received by Lender under paragraphs 1 and 2 shall be applied: first, to any prepayment charges due under the Note; second, to amounts payable under paragraph 2; third, to Interest due; fourth, to principal due; and last, to any late charges due under the Note. 4. Charges; Liens. Borrower shall pay all taxes, assessments, charges, fines and impositions allributable to the Property which may attain priority over this Security Instrument, and leasehold payments or ground rents, if any. Borrower shall pay these obligations in the manner provided in paragraph 2, or if not paid in that manner, Borrower shall pay them on time directly to the person owed payment. Borrower shall promptly furnish to Lender all notices of amounts * be paid under this paragraph, if Borrower makes these payments directly, Borrower shall promptly furnish to Lender receipts evidencing the payments. Borrower shall promptly discharge any lien which has priority over this Security Instrument unless Borrower: (a) agrees in writing to the payment of the obligation secured by the lien In a manner acceptable to Lender; (b) contests in good faith the lien by, or defends against enforcement of the lien in, legal proceedings which in the Lender's opinion operate to prevent the enforcement of the lien; or (c) secures from the holder of the lien an agreement satisfactory to Lender subordinating the lien to this Security Instrument. If Lender determines that any part of the Property Is subject to a lien which may attain priority over this Security Instrument, Lender may give Borrower a notice identifying the lien. Borrower shall satisfy the lien or take one or more of the actions set forth above within 10 days of the giving of notice. 5. Hazard or Property Insurance. Borrower shall keep the Improvements now existing or hereafter erected on the Property insured against loss by fire, hazards included within the term 'extended coverage' and any other hazards, Including floods or flooding, for which Lender requires insurance. This insurance shall be maintained in the amounts and for the periods that Lender requires. The Insurance carrier providing the insurance shall be chosen by Borrower subject to Lender's approval which shall not be unreasonably withheld. it Borrower fails to maintain coverage described above, Lender may, at Lender's option, obtain coverage to protect Lender's rights in the Properly in accordance with paragraph 7. All insurance policies and renewals shall be acceptable to Lender and shall include a standard mortgage clause. Lender shall have the right to hold the policies and renewals. If Lender requires, Borrower shall promptly give to Lender all receipts of paid premiums and renewal notices. In the event of loss, Borrower shall give prompt notice to the insurance carrier and Lender. Lender may make proof of loss if not made promptly by Borrower. Unless Lender and Borrower otherwise agree in writing, Insurance proceeds shall be applied to restoration or repair of the Property damaged, If the restoration or repair is economically feasible and Lender's security is not lessened. If the restoration or repair is not economically feasible or Lender's security would be lessened, the Insurance proceeds shall be applied to the sums secured by this Security Instrument, whether or not then due, with any excess paid to Borrower. If Borrower abandons the Property, or does not answer within 30 days a notice from Lender that the insurance carrier has offered to settle a claim, then Lender may collect the insurance proceeds. Lender may use the proceeds to repair or restore the Property or to pay sums secured by this Security Instrument, whether or not then due. The 30-day period will begin when the notice is given. Unless Lender and Borrower otherwise agree in writing, any application of proceeds to principal shall not extend or postpone the due dale of the monthly payments referred to in paragraphs 1 and 2 or change the amount of the payments. If under paragraph 21 the Property is acquired by Lender, Borrower's right to any Insurance policies and proceeds resulting from damage to the Property prior to the acquisition shall pass to Lender to the extent of the sums secured by this Security Instrument immediately prior to the acquisition. PA011.FRM (03191) FFTECH Page 2 or 5 pages Farm 3039 9190 000Y,11M PACE 809 6. O ho cclds. aricy, Preservation, Maintenance and Protection of the Property; BorroweF's LeaS Borrower shall occupy, establish, and use the Property as Borrower's principal resid this Security Instrument and shall Conlinue to occupy the Property residence within six Lays Application; the execution as Borrower's principal residence for at least one year aftertthe dae Ifof occupancy, unless Lender otherwise agrees in writing, which consent shall not be unreasonably withheld or unless extenuating circumstances exist which are beyond Borrower's control. Borrower shall not destroy, damage or Impair the Property, allow the Property to deteriorate, or commit waste on the Propert y. Borrower shell be in default o any tforfeiture roy, a action or proceeding, air theforfeiture Lenderor 's Lender's good faith security JInterest could result h d of the Property or otherwise materially Impair by cure such a and whether civil or criminal, is begun that in to be dismissed with a ruling that, In Lender's good with material default na lonnst to as roviided I of raBorgathe lion created g this Security Instrument ding during the loan application process, eve rower's Interest In the Property or other impairment of the lien created by this Security Instrument Or Lender's security interest. shall also ibe In default lif Borrower 9 materially dense or inaccurate information or statements Borrower material information) in connection With the loan evidenced by the Note, Including, but not limited , representations concerning Borrower's to Lender (or failed to provide Lender with any occupancy OI the Property as a principal residence, If this Se to al Iha lease. If Borrower acquires fee tills to the Property h writing. , curity Instrument is on a leasehold , Borrower shell tom I the leasehold and the lee title shall not merge unless Lende agrt eslto the merger In 7. Protection of Lender's Rights In the Property. If Borrower fails to perform the covenants and a ree this Security Instrument, or there Is a legal proceeding that may significantly affect Lender's rights In the Property y do r mends 3 cont nece sa y bankruptcy, probate, for condemnation or forfeiture Or to enforce laws or regulations), then Lender ma protect the value of the Property and Lender's rights in the Property. (such as a proceeding In priority over this Security Instrument, a L'ender's actions may Include paying and pay for whatever is necessary a urt rhough Lender may take action nt. atMari ag inrcoh 7 Paying reasonable attorneys' fees and enteri gonathe Prose secured by alien which has Any amounts disbursed by Lender under hs Lender does not have to do so. p m'to make repairs. Unless Borrower and Lender agree to other terms 'a Paragraph shall become additional debt of Borrower secured by this an shall be payable, with Interest, upon . payment. these amounts shall bear interest from Security Instrument. date of disbursement at the Note rate 8. notice from Lender to Borrinsurance owerrequesting payment. Mortgage Insurance. It Lender required mortgage he as condition Of making the loan secured this Security Instrument, Borrower shall pay the premiums required d maintain the mortgage insurance in effect. If. for coverage required by Lender lapses or ceases to be in effect, Borrower shall pay the any reason, the e mortgage insurance premiums required to obtain coverage substantially equivalent to the mortgage insurance previously in effect, at a cost substantially equivalent to the cost to Borrower of the mortgage insurance previously in effect, from an alternate mortgage insurer approved by Lender. If substanliall equivalent available, Borrower shall pay to Lender each month a sum equal to one-twelth of the yearly mortgage insurance premium being when the insurance coverage lapsed or ceased to be in effect. Lender will accept, use and retain these mortgage is coverage a not mortgage insurance. Loss reserve payments may no longer be required, at the option of Lender, it mortgage Paid by Borrower amount payments as a loss oss reserve in lieu of Insure and Insurance ends for in the period accordance that with Lender approved by Lender again becomes availa e rage Ie B shall pay the premiums required to maintain mortgage Insurance In effect, or to provide a loss reserve, mss available le and is s obtained. Borrower any rewritten wiresagreement between Borrower and Lender or a 9. Inspection. Lender or its agent may make reasonable entries upon and inspections of the Property. notice at the time of or prior to an inspection specifying reasonable cause for the Inspection applicable law. 10. Condemnation. The proceeds of any award or claim for damages, director consequential, in connection rw thlany condemnation or other taking of any part of the Property, or for conveyance in lieu of condemnation, are hereby assigned and shall be paid to Lentler. In the event of a total taking of the Property, the proceeds shall be applied to the sums secured by this Security not then due, with any excess paid to Borrower. In the event of a partial taking of the Property in which the fair market v Property immediately before the taking Is equal to or greater than the amount of the sums secured by this Security Instrument ument of the aimmediately or before the taking, unless Borrower and Lender otherwise agree in writing, the sums secured by this Security Instrument shall be reduced by the amount of the proceeds multiplied by the following fraction: (a) the total amount of the sums secured immediately before the taking, divided by (b) the lair market value of the Property Immediately before the taking. of a partial taking of the Property in which the fair market value of the Property of the sums secured immediately before the taking, unless Borrower and Lender o herw balance ? green In writing or1 nlesslapplicable law otherwise provides, the proceeds shall be applied to the sums secured by this Security Instrument whether or not the sums are then due. IF the Property is abandoned by Borrower, or if, after notice by lender to Borrower that the condemnor offers to make an award or settle a claim for damages, Borrower fails to respond to Lender within 30 days after the date the notice is given, Lender is authorized to collect and apply the proceeds, at its Option, either to restoration or repair of the Property or to the sums secured by this Security Instrument, whether or not then due. Unless Lender and Borrower otherwise agree in writing, any application of proceeds to principal shall not extend Or postpone the due dale of the monthly payments referred to In paragraphs 1 and 2 or change the amount of such payments. 11. Borrower Not Released; Forbearance By Lender Not a Waiver. Extension or the time for Payment or of amortization of the sums secured by this Security Instrument granted by Lender to any successor in Interest of Borrower shall not operate to release the liability of the original Borrower or Borrower's successors in Interest. Lender shall not be required to commence Proceeding, against any successor in interest or refuse to extend time for payment or otherwise modify amortization of the sums secured by this Security Instrumnnt by reason of any demand made by the original Borrower or Borrower's successors in Interest. Any forbearance by Lender in exercising any right or remedy shall not be a waiver of or preclude the exercise of any right or remedy. 12. Successors and Assigns Bound; Joint and Several Liability; CO-Signers. Security Instrument shall bind and benefit the successors and assigns of Lender and Borrower, subject to the provisions Of paragraph 17. Borrower's covenants and agreements shall be Joint and several. Any Borrower who co--signs hiSecuity Instrument but does not execuaol this the aNote: rms (a) is co-signing this Security In strument only to mortgage, grant and convey that Borrower's Interest in the Property under the terms of this Security Instrument- (b) is not Personally obligated to pay the sums secured by this Securfty Instrument; and (c) agrees that Lender and any other Borrower may agree to extend, modify, forbear or make regard to the terms of this Security Instrument or the Nola without that Borrower's consent. any accommodations with 13. Loan Charges. If the loan secured by this Security Instrument is subject to a law which sets maximum loan charges, and that law is finally Interpreted SO that the interest or other loan charges collected or to be collected in connection with the loan exceed the permitted limits, then: (a) any such loan charge shall be reduced by the amount necessary to reduce the charge to the permitted limit- and (b) any sumo already collected from Borrower which ex leaded permitted limits will be refunded to Borrower. Lender may choose to make this refund by PA012.FRM (03191) FRECH Page 3 of S pages Form 3039 9,90 n. 1.1n „ reducing the principal owed under the Note or by making a direct payment to Borrower. If a refund reduces principal, the reduction will be treated as a partial prepayment without any prepayment charge under the Note. 14. Notices. Any notice to Borrower provided for In this Security Instrument shall be given by delivering it or by mailing it by first class mall unless applicable law requires use of another method. The notice shall be directed to the Property Address or any other address Borrower designates by notice to Lender. Any notice to Lender shall be given by first class mall to Lender's address stated herein or any other address Lender designates by notice to Borrower. Any notice provided for in this Security Instrument shall be deemed to have been given to Borrower or Lender when given as provided in this paragraph. 15. Governing Law; Severability. This Security Instrument shall be governed by federal law and the law of the jurisdiction in which the Property Is located. In the event that any provision or clause of this Security Instrument or the Note Conflicts with applicable law, such conflict shall not affect other provisions of this Security Instrument or the Note which can be given effect without the conflicting provision. To this end the provisions of this Security Instrument and the Note are declared to be severable. 16. Borrower's COPY. Borrower shall be given one conformed copy of the Note and of this Security Instrument. 17. Transfer of the Property oral Beneficial Interest In Borrower. Hall or any part of the Property or any Interest In it is sold or transferred (or if a beneficial Interest in Borrower is sold or transferred and Borrower Is not a natural person) without Lender's prior written consent, Lender may, at Its option, require Immediate payment In full of all sums secured by this Security Instrument. However, this option shall not be exercised by Lender if exercise Is prohibited by federal law as of the date of this Security Instrument. II Lender exercises this option, Lender shall give Borrower notice of acceleration. The notice shall provide a period of not less than 30 days from the date the notice Is delivered or malled within which Borrower must pay all sums secured by this Security Instrument. It Borrower fails to pay these sums prior to the expiration of this period, Lender may Invoke any remedies permitted by this Security Instrument without further notice or demand on Borrower. 18. Borrower's Right to Reinstate. If Borrower meets certain conditions, Borrower shall have the right to have enforcement of this Security Instrument discontinued at any time prior to the earlier of: (a) 5 days (or such other period as applicable law may specify for reinstatement) before sale of the Property pursuant to any power of sale contained in this Security Instrument; or (b) entry of a judgment enforcing this Security Instrument. Those conditions are that Borrower: (a) pays Lender all sums which then would be due under this Security Instrument and the Note as if no acceleration had occurred; (b) cures any default of any other covenants or agreements; (c) pays all expenses incurred in enforcing this Security Instrument, Including, but not limited to, reasonable attorneys' fees; and (d) takes such action as Lender may reasonably require to assure that the lien of this Security Instrument, Lender's rights in the Property and Borrower's obligation to pay the sums secured by this Security Instrument shall continue unchanged. Upon reinstatement by Borrower, this Security Instrument and the obligations secured hereby shall remain fully effective as if no acceleration had occurred. However, this light to reinstate shall not apply in the case of acceleration under paragraph 17. 19. Sale of Note; Change of Loan Servicer. The Note or a partial Interest in the Note (together with this security Instrument) may be sold one or more times without prior notice to Borrower. A sale may result in a change in the entity (known as the 'Loan Servicer') that collects monthly payments due under the Note and this Security Instrument. There also may be one or more changes of the Loan Servicer unrelated to a sale of the Note. If there is a change of the Loan Servicer, Borrower will be given written notice of the change in accordance with paragraph 14 above and applicable law. The notice will state the name and address of the new Loan Servicer and the address to which payments should be made. The notice will also contain any other Information required by applicable law. 20. Hazardous Substances. Borrower shall not cause or permit the presence, use, disposal, storage, or release of any Hazardous Substances on or In the Property. Borrower shall not do, nor allow anyone else to do, anything affecting the Property that is in violation of any Environmental Law. The preceding two sentences shall not apply to the presence, use, or storage on the Property of small quantities of Hazardous Substances that arc generally recognized to be appropriate to normal residential uses and to maintenance of the Property. Borrower shall promptly give Lender written notice of any Investigation, claim, demand, lawsuit or other action by any governmental or regulatory agency or private party Involving the Property and any Hazardous Substance or Environmental law of which Borrower has actual knowledge. If Borrower learns, or is notified by any governmental or regulatory authority, that any removal or other romedfation of any Hazardous Substance affecting the Property is necessary, Borrower shall promptly take all necessary remedial actions in accordance with Environmental Law. As used in this paragraph 20, 'Hazardous Substances' are those substances defined as toxic or hazardous substances by Environmental Law and the following substances: gasoline, kerosene, other flammable or toxic petroleum products, toxic pesticides and herbicides, volatile solvents, materials containing asbestos or formaldehyde, and radioactive materials. As used in this paragraph 20, -Environmental Law" means federal laws and laws of the jurisdiction where the Property is located that relate to health, safety or environmental protection. NON-UNIFORM COVENANTS. Borrower and Lender further covenant and agree as follows: 21. Acceleration; Borrower's breach of any covenant or agreement in this Security Instrument r t (but not prior to acceleration under paragraph 17 unless applicable law provides otherwise). Lender shall notify Borrower of, among other things: (a) the default; (b) the action required to cure the default; (c) when the default must be cured; and (d) that failure to cure the default as specified may result in acceleration of the sums secured by this Security Instrument, foreclosure by judicial proceeding and sale of the Property. Lender shall further inform Borrower of the right to reinstate after acceleration and the right to assert in the foreclosure proceeding the non-existence of a default or any other defense of Borrower to acceleration and foreclosure. If the default is not cured as specified, Lender at its option may require immediate payment in full of all sums secured by this Security Instrument without further demand and may foreclose [his Security Instrument by judicial proceeding. Lender shall be entitled to collect all expenses incurred in pursuing the remedies provided in this paragraph 21, including, but not limited to, attorneys' fees and costs of title evidence to the extent permitted by applicable law. 22. Release. Upon payment of all sums secured by this Security Instrument, this Security Instrument and the estate conveyed shall terminate and become void. Alter such occurrence, Lender shall discharge and satisfy this Security Instrument without charge to Borrower. Borrower shall pay any recordation costs. 23. Waivers. Borrower, to the extent permitted by applicable law, waives and releases any error or defects in proceedings to enforce this Security Instrument, and herebywaives the benefit of any present or future laws providing for slay of execution, extension of lime, exemption from attachment, levy and sale, and homestead exemption. PA013.FFM (0791) FITECH Page 4 of 5 pages Form 3079 990 i P•00Y. •1.;32'! Pnrr A•11 24, Reinstatement Period. of bidding aarrower's time to reinstate 25. Purchase °t a sheriff-3 sale or other sale provided In Paragraph 18 shall exte Money MortPursuant to this Security one hour to the nd to 0 Properly, this Security Instrument Mortgage. If any of the debt secured b Instrument. Prior to the 28. Interest Rate After snail be ° purchase by this Security Instrument is 'ant to or in an action of money moNgag,. Borrower to ac mortgeg, foreclosure aghe Jud l be tIt arts war agrees That the Interest role quire fill, 27. Riders to this Securlt Payable from time to ti Payable after a Judgment Is entered o Security Instrument the Y Instrument, If one or more rlden are exeund the cuted bY Nota. n the Note and 'lint e covenants and agreements of e ach such rider shall be incorporated Into and a Borrower he I am, and re menu of IN, Securlty instrument as it the riders together with this ? AdJustable () were a part of thia Security Instrument. [Check apply dated supplement the covenants Hate Mcfel box(es)] ? Graduated pa ? Condominium Rider ? Balloon Rider Payment Rider ? Planned Unit Development Rider ? 1.4 Family Rider ? Olher(s) (specify, ? Rate Improvement Rider ? Biweekly Payment Rider ? Second Home Rider BY SIGNING BELOW, Borrower accepts and agrees to the terms and covenants SIGNING contained In this Security instrument and in anyrincr(s) Wmesses: ' ........................................ (Seaq Social Security 'Borrower Number ........ ._. COMMONWEALTH OF PENNSYLVANIA) COUNTY OF CUMBERLAND SS. ON THIS, the 7 °` personally appeared C H day ofandne, 1996, before me, the undersigned offi proven) to be the persons whose names are subscribed to the acknowledged that cer, the subscribed known to me thiir satisfactorily they executed the same for the Purposes thereinncontained. and PA014.FRM (0391) FITECH Page 5 015 page, Form 3039 qrw [Space Below This Line For Acknowledgment] L Notary Yublic `1?{?`? (SEAL) AL t°ry Publir: rland C ounty Jan. 8, 20ge RME BOOK *f q e) Social SecurlN 1/4 -Borrower Number.,.;S5. - X2 - ? ...................... .......?:. .........C:7...... .............................................................. (Seal) Social Security -Borrower Number ....._. File No: H 159 817 LEGAL DESCRIPTION ALL THAT CERTAIN tract of land and the improvements thereon erected situate in South Middleton Township, Cumberland County, Pennsylvania, bounded and described as follows: BEGINNING at a stake at the intersection of the western line of Spring Garden Street and the southern right-of-way line of Interstate Route 81; thence by the western line of Spring Garden Street, South 16 degrees 22 minutes 30 seconds West 481.00 feet to an iron pin; thence South 73 degrees 37 minutes 30 seconds East 13.50 feet to the western edge of Spring Garden Street; thence by the same, South 14 degrees 57 minutes 30 seconds West 315.95 feet to a stake; thence by the same, South 7 degrees 58 minutes 30 seconds West 122.12 feet to a stake; thence by the same, South 4 degrees 47 minutes 30 seconds West 82.25 feet to a stake at line of lands now or formerly of No Otto; thence by lands now or formerly of No Otto, South 83 degrees 1 minute 30 seconds West 526.32 feet to a point in the center of the Letort Spring; thence by the center of the Letort Spring, North 5 degrees 12 minutes 30 seconds West 125.65 feet to a point; thence by the same, North 12 degrees 1 minute 30 seconds East 146.65 feet; thence by the same, North 31 degrees 54 minutes 30 seconds East 90.10 feet; thence by the same, North 41 degrees 56 minutes 30 seconds East 110.11 feet; thence by the same, North 68 degrees 16 minutes 30 seconds East 77.87 feet; thence by the same, North 10 degrees 46 minutes 30 seconds East 154.25 feet to a point in the center of Letort Spring at line of land of Charles K. Fox; thence by said Fox land, South 68 degrees 46 minutes 10 seconds East 136.00 feet to a stake; thence by the same North 25 degrees 5 minutes 50 seconds East 492.08 feet to a point on the southern right-of-way line of Interstate Route 81; thence by the southern right- of-way line of said Interstate Route 81, North 79 degrees 0 minutes 30 seconds 176.65 feet to a stake, the place of BEGINNING. CONTAINING 8.088 acres. THIS DESCRIPTION was taken from a survey by Thomas A. Neff, Registered Surveyor, dated March 2, 1963. BEING the same premises which Elaine A. Feuchtenberger, witfow, by her Deed dated June 7 , 1966, and recorded in the Office of the Rbcprd'erof Deeds in and for Cumberland County immediately prior to the recording of this mortgA&Ygranted and conveyed unto George H. Hagn and Rose M. Hagn. husband and wife,-Mortgagors-herein. BOU -1324PAGE 813 •) of Ponnsylvania 2 ss •: •;y of Cumberland J d in the office for the recording of D"" ind berland Cou :o Vo?_Pex M my hen al of?` .?, PA thi.5 de 7A? NOTE June 7 1996 (Data) 1. BORROWER'S PROMISE TO PAY Carlisle (City] PA Pennsylvania (state) In return for a loan that I have received, l promise to pay U.S. s 210,000.00 the order of the Lender. The Lender Is (this amount Is called principal'), plus Interest, to Hauls Savings Bank I understand that the Lender may transfer this Note. The Lender or anyone who takes this Note by transfer and who is entitled to receive pay manta under this Note Is called the 'Note Holder.* 2. INTEREST Interest will be charged on unpaid principal until the full amount of principal has been paid. I will pay Interest at a yearly rate of 8.375 95, The Interest rate required by this Section 2 is the rate I will pay both before and after any default described in Section 6(8) of this Note. 3. PAYMENTS (A) TIME AND PLACE OF PAYMENTS I will pay principal and Interest by making payments every month. 1 will make my monthly payments on the first day of each month beginning on August 1 1996 . I will make these payments every month until I have paid all of the principal and Interest and any other charges described below that I may owe under this Note. My monthly payments will be applied to Interest before principal. If, on July 1 2026 Note, I will pay those amounts in full on that date, which Is calved the "maturity date." , I still owe amounts under this I wilf make my monthly payments at Second&Pine Streets Harrisburg, PA 17101 or at a different place if required by the Note Holder. (B) AMOUNT OF MONTHLY PAYMENTS My monthly payment will be in the amount of U.S. S 1,596.15 4. BORROWER'S RIGHT TO PREPAY I have the right to make payments of principal at any time before they are due. A payment of principal only is known as a "prepayment.* When I make a prepayment, I will tell the Note Holder in writing that I am doing so. I may make a full prepayment or partial prepayments without paying any prepayment charge. The Note Holder will use all of my prepayments to reduce the amount or principal that I owe under this Note. If I make a partial prepayment, there will be no changes in the due date or In the amount of my monthly payment unless the Note Holder agrees In writing to those changes. 5. LOAN CHARGES If a law, which applies to this loan and which sets maximum loan charges, Is finally interpreted so that the Interest or other loan charges col• lected or to be collected in connection with this loan exceed the permitted limits, then: (I) any such loan charge shall be reduced by the amount necessary to reduce the charge to the permitted limit; and (ii) any sums already collected from me which exceeded permitted limits will be re- funded to me. The Note Holder may choose to make this refund by reducing the principal I owe under this Note or by making a direct payment to me. If a refund reduces principal, the reduction will be treated as a partial prepayment. 6. BORROWER'S FAILURE TO PAY AS REQUIRED (A) LATE CHARGE FOR OVERDUE PAYMENTS It the Note Holder has not received the full amount of any monthly payment by the end of 15 calendar days after the date it Is due, I will pay a late charge to the Note Holder. The amount of the charge will be 5.000 %o mmy overdue payment of principal and interest. I will pay this late charge promptly but only once on each late payment. (B) DEFAULT If I do not pay the full amount of each monthly payment on the date it is due, I will be in default. (C) NOTICE OF DEFAULT If I am in default, the Note Holder may send me a written notice telling me that if I do not pay the overdue amount by a certain date, the Note Holder may require me to pay Immediately the full amount of principal which has not been paid and all the Interest that I owe on that amount. That date must be at least 30 days after the date on which the notice is delivered or mailed to me. (D) NO WAIVER BY NOTE HOLDER Even if, at a time when I am in default, the Note Haider does not require me to pay immediately in full as described above, the Note Holder will still have the right to do so if I am in default at a later time. (E) PAYMENT OF NOTE HOLDER'S COSTS AND EXPENSES If the Note Holder has required me to pay Immediately in full as described above, the Note Holder will have the right to be paid back by me for all of its costs and expenses in enforcing this Note to the extent not prohibited by applicable law. Those expenses include, for example, reasonable attorney's fees. 7. GIVING OF NOTICES Unless applicable law requires a different method, any notice that must be given to me under this Note will be given by delivering it or by mailing it by first class mail to me at the Property Address above or at a different address If I give the Note Holder a notice of my different address. Any notice that must be given to the Note Holder under this Note will be given by mailing it by first class mail to the Note Holder at the address stated in Section 3(A) above or at a different address If I am given a notice of that different address. MULTISTATE FIXED RATE NOTE-Single FamI1yFNMA/FHLMC Uniform Instrument Page 1 of 2 Farm 3700 12/87 .y. 1004.FflM (01/68( FRECH PLAINTIFF'S EXHIBIT ?,? 1 07 C 1-. IU C' Z h J. Q LLi ,? tu. (ry ;; a O 4 O. H 4