HomeMy WebLinkAbout03-6091SHIPPENSBURG/ :
SOUTH HAMPTON MANOR, L.P :
Plaintiff :
V.
JOHN W. HAMMOND,
I)efendant.
IN THE COURT OF COMMON PLEAS OF
CUMBERLAND COUNTY, PENNSYLVANIA
NO, 2003- ~dTq/ CIVIL TERM
CIVIL ACTION-LAW
NOTICE
You have been sued in court. If you wish to defend against the claims set forth in the
following pages, you must take action within twenty (20) days after this complaint and notice are
served, by entering a written appearance personally or by an 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. THIS OFFICE CAN PROVIDE YOU WITH INFORMATION
ABOUT HIRING A LAWYER.
IF YOU CANNOT AFFORD TO HIRE A LAWYER, THIS OFFICE MAY BE ABLE
TO PROVIDE YOU WITH INFORMATION ABOUT AGENCIES THAT MAY OFFER
LEGAL SERVICES TO ELIGIBLE PERSONS AT A REDUCED FEE ORNO FEE.
Cumberland County Bar Association
32 South Bedford Street
Carlisle, Peunsylvania 17013
(717) 249-3166
SHIPPENSBURG/ :
SOUTH HAMPTON MANOR, L.P :
Plaintiff :
V.
JOHN W. HAMMOND,
Defendant.
IN THE COURT OF COMMON PLEAS OF
CUMBERLAND COUNTY, PENNSYLVANIA
NO. 2003- ~ ~, ~/! CIVIL TERM
CIVIL ACTION-LAW
COMPLAINT
NOW, comes Shippensburg Health Care Center ("Shippensburg Health"), by and
through its attorneys, O'BRIEN, BARIC & SCHERER, and files the within complaint and, in
support thereof, sets forth the following:
1. Shippensburg/South Hampton Manor Limited Partnership ("Shippensburg
Health") is a Maryland limited partnership duly authorized to conduct business in the
Commonwealth of Pennsylvania.
2. Defendant, John W. Hammond, is an adult individual with an address of 314
South Fayette Street, Shippensburg, Pennsylvania.
3. John W. Hammond was the attorney-in-fact for Emma J. Hannnond by virtue of a
certain Power of Attorney, a copy of which is attached hereto as Exhibit "A" and is incorporated.
4. Shippensburg Health operates a resident skilled nursing facility located at 121
Walnut Bottom Road, Shippensburg, Cumberland County, Pennsylvania.
5. In November, 2001, John W. Hammond sought to have Emma J. Hammond
admitted to the Shippensburg Health skilled nursing facility.
6. On or about November 8, 2001, John W. Hammond executed a Patient Data and
Consent Form on behalf of Emma J. Hammond, along with additional admission documents. A
true and correct copy of the Patient Data and Consent Form and admission documents are
attached hereto as Exhibit "B" and are incorporated.
7. Pursuant to the Patient Data and Consent Form, Emma J. Hammond was botmd to
pay Shippensburg Health for all costs and services provided which were not paid by third party
payors.
8. On or about November 1,2001, Emma J. Hammond became a resident of the
facility and she remained a resident to the date of her death on March 1, 2003.
9. In March, 2002, Emma J. Hammond qualified for medical assistance. The
Cumberland County Assistance Office calculated a private pay portion to be paid from Emma J.
Hammond's monthly income to Shippensburg Health for the costs of her care not covered by
medical assistance.
10. The private pay portion calculated by the Cumberland County Assistance Office
was set at $1,602.88 per month. The Cumberland County Assistance office found that Emma J.
Hammond was receiving $1,051.00 per month in social security benefits and $635.88 per month
from a pension.
2
11.
Health in the following mounts:
September, 2002
October, 2002
Emma J. Hammond have failed to pay the private pay portion due Shippensburg
November, 2002
February, 2003
TOTAL:
$1,602.88
$1,602.88
$1,602.88
$1,602.88
$6,778.64
12. Upon information and belief, John W. Hammond had been receiving the monthly
income payable to Emma J. Hammond from social security and the pension benefit.
13. Demand was been made upon Emma J. Hammond and John W. Hammond to pay
the amount due and owing.
COUNT I-BREACH OF CONTRACT
SHIPPENSBURG HEALTH v. JOHN HAMMOND
14. Plaintiff incorporates by reference paragraphs one through thirteen as though set
forth at length.
15. All conditions precedent to recovery under the Patient Data and Consent Form
have been fulfilled.
16. John W. Hammond, as the attorney-in-fact for Emma J. Hammond, was obligated
to use the assets and income of Emma J. Hammond to satisfy the debt due and owing to
Shippensburg Health for services and care provided to Emma J. Hammond by Shippensburg
Health.
3
17. John W. Hammond has, without justification, failed and refused to pay the
amount due from the assets of Emma J. Hammond.
18. John W. Hammond has breached the Patient Data and Consent Form by failing
and refusing to pay for services rendered.
19. Shippensburg Health seeks recovery of an amount not in excess of the limits
requiring compulsory arbitration.
WHEREFORE, Plaintiff requests judgment in its favor and against Defendants for the
sum of $6,778.64 and any additional amount remaining unpaid to the date of judgment together
with costs, interest and expenses.
COUNT II-MONEY HAD AND RECEIVED
SHIPPENSBURG HEALTH v. JOHN W. HAMMOND
20. Plaintiff incorporates by reference paragraphs one through nineteen as though set
forth at length.
21. During the period of Emma J. Hammond's residency at the Shippensburg Health
facility, John W. Hammond received the sum of, at least, $17, 631.68 from the social security
and pension benefits of Emma J. Hammond.
22. The proper use of these funds would have been to pay the costs accruing for the
care of Emma J. Hammond at the Shippensburg Health facility.
23. At the time of receipt of these funds, John W. Hammond knew that he was
obligated to pay these funds over to Shippensburg Health for the costs of Emma J. Hammond's
care at the facility.
4
24. At the time of her death, Emma Hammond owed Shippensburg Health $21,483.97
for the costs of her care.
25, On or about December 17, 2001, John Hammond transferred a certain G.E.
annuity contract payable to Emma Hammond to himself. The amount of the transfer was
$19,871.86.
26. John W. Hammond gave no consideration for the funds of Emma J. Hammond so
received by John W. Hammond.
27. Demand has been made upon John W. Hammond to tender the funds of Emma J.
Hammond to Shippensburg Health and he has failed and refused to do so.
WHEREFORE, Plaintiff requests judgment in its favor and against John W. Hammond
requiring John W. Hammond to:
a) return the subject matter in specie;
b) pay over the value if John W. Hammond has consumed the money in
beneficial use;
c) pay its value if John W. Hammond has disposed of the funds received; and
d) award costs and expenses and interest.
COUNT III-CONVERSION
SHIPPENSBURG HEALTH v. JOHN W. HAMMOND
28. Plaintiff incorporates by reference paragraphs one through twenty-seven as
though set forth at length.
5
29. At the time John W. Hammond received the social security and pension funds of
Emma J. Hammond, he was aware that he had a legal obligation to dispose of those funds to or
for the benefit of Emma J. Hammond under and pursuant to his authority as attorney-in-fact for
Emma J. Hammond.
30. Knowing that he had the aforesaid obligation, John W. Hammond appropriated
funds of Emma J. Hammond for his own use and benefit.
31. John W. Hammond has refused to pay to Shippensburg Health the debt accruing
from the non-payment of the private pay portion from the income of Emma J. Hammond.
32. John W. Hammond has imentionally and substantially interfered with
Shippensburg Health's right to receive the funds of Emma J. Hammond for payment of the
mount due and owing.
WHEREFORE, Plaintiff requests judgment in its favor and against John W. Hammond
for the sum of $6, 778.64, costs, expenses, interest, attorney fees and punitive damages.
COUNT IV-FRAUDULENT CONVEYANCE
SHIPPENSBURG HEALTH v. JOHN W. HAMMOND
33. Plaintiff incorporates by reference paragraphs one through thirty-two as though
set forth at length.
34, The transfer of the G.E. annuity contract from Emma Hammond To John W.
Hammond was made without Emma Hammond receiving equivalent value in exchange.
35. The transfer of the G.E. annuity was made after John W. Hammond had admitted
Emma Hammond to the facility.
6
36. The transfer of the G.E. annuity was made when John W. Hammond intended to
incur, believed or reasonably should have believed that Emma Hammond would incur debts
through her residency at the facility beyond her ability to pay as they came due.
37. John W. Hammond is the son of Emma Hammond.
WHEREFORE, Pla'tariff requests the following:
a) avoidance of the transfer to the extent necessary to satisfy the claim of
Shippensburg Health for the total debt due;
b) an attachment or other provisional remedy against the asset transferred;
c) appointment of a receiver to take charge of the asset transferred; and
d) any other relief the circumstances may require.
Respectfully submitted, ,~
David A. Baric, Esquire
ID #44853
17 West South Street
Carlisle, Pennsylvania 17013
(717) 249-6873
Attorney for Plaintiff
dab.dir~shippensburg/hammond/eomplaint2.pld
· 11~06/2003 15:37 71724~5755 OBS PAGE
VE~8~FICATION
Thc statements in the foregoing Complaint are based upon inforrnafion which has bc~n
assembled by my attorney in this litigation. The lan~,uage of the statements is not my o~m. I
have read the statements; and to the extent that they are based upou b~formation which I have
given to my counsel, they are true mud correct to the best of my knowledge, info~o~tion and
belief. ! understand that false statements herein are made subjec~ to the peualties of 18 Pa.C.S. §
490,$ relating to unswom falsifications to authorities.
DATE:
pU.1RAJ~LE GENERAL POWER OF ATTORNE~
KNOW ALL MEN BY TH~SE PRESENTS, that I, EI~NIA JANE HAMMOND, of
Shippcnsburg, Cumberland County, Pennsylvania, hereby revoke any g~netal power of attorney that
1 have hereto[ore given to any person and do hereby appoint my son. JOHN W. HAMMOND,
(hereinafter "my Attorney") my truc and lawful at~ome¥ for me and on my behalf to perform all such
acts as my ARomcy in my Attorney's absolute discretion nlay deem advisable, as fully as I could
do if personally present.
DURABLE POWER
This power of Attorney shall not be affected by my subs~ucnt disability or incapacity.
GENF~RA.L GRANT OF BROAD POWERS -
My Attorney is hereby given the f~llest possible powers to act on my behalf: to transact
business, make, execute and acknowledge all agreements, contracts, orders, deeds, writings,
assurances and instruments for any matter, with the same powers and for all purposes with the same
validity as [ could, if'personally present.
SPECIFIC POWERS INCLUDED IN GENEP,_AL POWER
Without limiting the general powers hereby already conferred, my Attomey shall have the
following specific powers which are included in the foregoing general powers:
Bankin~ and Fina~/~ial Institutions: General Financial
Powe~
(a) To deposit any funds received for me in my accounts in such bank or trust
company or other deposito.,7 as my A. ttomey may select, either in my name or in my
Attorney's name as attorney-in-fact
(b) To withdraw fi.om and to draw any check or other draft against any moneys
held for me at any bank, saving fund or other place of deposit, whether such account
was created by me or by my Attorney.
(c) To endorse notes, chccks and other .instruments wNch may require my
endorsement.
(d) To pay all debts now or hereafter incurred by me.
(e) To borrow money and to mortgage or pledge any property, real or personal,
now or hereafter owned by me as security ther~['or and to satisfy or record any
-I-
EXHIBIT "A"
indentures of mortgage now or hereafter standing in my name or acquired for my
account.
(0 To have access to any safe deposit box standing in my name or in my
Attorney's name for me, and to add to or remove ~. contents of such box; provided.
however, my Attomey shall not use such box as a place in which to deposit or keep
any personal property of my Attorney.
(g) Generally, to transact any and all business for me with any bank, trust
company or other deposito~'.
Stocks. T~onds. Sccurlt.ie~ mid Investments.
(a) To sell, exchange, pledge, assign, transfer and deliver to any person, at my
Attorney's discretion, all or any par~ of any stocks, bonds, note~, mortgage, interests
in partner~.ips or other securities, .and any and all personal properly standing in my
name or belonging to me, or over which I may have any power or control. To make,
execute and deliver on my behalf all necessary deeds, assignments or transfers.
(b) To register any or all of my securities in my Attorney's name as attorney-in-
fact for me.
(c) To vote my securities in person or by proxy.
(d) To transact alt business in relation to any stocks, bonds, securities, or other
property in the nature thereof; to deposit the same under agreemcv, ts of deposit; to
participate in any plan of lease, mortgage, merger, consolidation, exchange,
reorgamzation, recapitalization, liquidation, receivership, or foreclosure with respect
thereto; to exercise any fights to subscribe to new issues thereof; and generally to
exercise all rights of management and ownership with respect thereto.
(e) To invest in any form ofproperty, all ftmds and securities held or received for
my account, keeping such cash reserves as, in my Attorney's discretion, are
necessary or desirable to meet conditions as they may exist from time to time. In the
exercise of this power, my Attorney may invest in any variety of real ~nd personal
property as in my Attomey's discretion appears to be prudent investments, and my
Attorney shall not be liable to me ['or any error of judgment in the making or
continuing of any investment.
Keel Estate.
(a) To sell, exchangc, pledge, assign, traas£er and deliver to any person, at my
Attorney's discretion, ail or my part of my real property, standing in my name or
belonging to me, or over which I have any power or control.
-2-
Co) To make, exccute and deliver on my behalf all necessary deeds, assignments
or transfers.
(c) To opcrate real propcrty, separately or jointly with others.
(d) To lease for any term any real property and to vary the terms, including rent
payable, of any lease.
(e) To alter, r~pair, improve, mortgage, divide, exchange, joL~ in thc partition o f,
or give options with respect to, real property. '
(f) To buy in at judicial sale any .property on which I hold a mortgage.
(g) Generally to transact all business and to exercise all rights of management
and ownership relating to rea] properly,
4. Claims, Law Suits. Compromise and Mi~ccllaneous Powers~
(a) To demand, sue for, levy, collect, and give proper receipts for all sums of
money or prope~.y now or which may hereat%r become due me from any source
whatsoever, including all estates or !:rusts, proceeds of insurance policies or othcr
property of any kind whatsoever.
(b) To join with other parties in the compromise or settlement of any claims.
(c) To make, negotiate, sign and perform any and all agreements and contracts
now in course o[' negotiation, execution and settlement by me, or which may
hereafter in the opinion of my Attorney be to my interest or advantage; to effect,
procu[e and continue insurance cf any ,'md every kind and description; and with full
power and authority to manage any rea} and personal property and conduct my affairs
generally.
(d) To employ attorneys at law and such other agents, employees or
representatives as my Attorney may think proper, and to pay any claims, fees,
expenses, wages, demands or obligations for which I may now be or may hercaher
become liable.
5. T~tx Matters.
To pr~arc, execute and file in my behalf and in my n al'ne any and all income tax declarations
and returns, and any other tax returns and reports (including, but not limited to, protests, clatms,
elections, consents, closing agxecments, waivers ofstarutes of limitations and extensions), and to
represent me before thc Internal Revenue Service or Treasury Department and any state or local
taxing authority with respect to any claim or proceeding having to do with my tax liabilities, federal,
state or local, for any and all years,
-3-
6. Power to De:eft. ate.
To substitute one or more attorney or attorneys under my Attorney, to carry out any oft.he
general or specific powers hereby granted.
7. Speei fie Financial Powers Defined bv Statute.
The following powers are granted pursuant to Chapter 56 of the Pennsylvania Probate Es'.ates
and Fiduciaries Code as fitrther defined therein:
(a) To make limited gifts. My Attorney may make gifts on my behalf to any
donees and in such, amounts as mi,' Attorney may deeido subject to the following:
(i) The class of pcrmissiblc done~s shall consist solely of my children,
my gnmdehildren and my great grandchildren (including my Attorr, ey if my
Attorney is a member ofeuch class).
(ii) During each calendar year, thc gifts to each donee pursuant to this
power shall have an aggregate value not in excess cf Ten Thousand Dollars
or such lesser (or greater) amount as, and shall be made in such manner as,
to qualify in their entirety for my annual exclusion from the Federal gift tax
as provided in Section 2503(b) of the Internal Revenue Code of 1986, as
amended, without regard to Section 2513(a) thereof (or any successor
provision allowing gifts to be split with a spouse).
(b) To create a trust for my benefit.
(c) To make additions to an existing trust for my benefit.
(d) To disclaim any interest in property.
(e) To renounce fiduciary positions.
(0 To withdraw and receive the income or corpus of a trust
8. Specific Personal and Medical Power~ Defined by Statute
The following powers are granted pursuant to Chapter 56 of the Pennsylvania Probate,
Estates and Fiduciaries Code, as further defined t,herein:
(a) To authorize my admission to a medical, nursing, residential or similar
facility and tz enter into agreements for my care.
(b) To anthofize or refuse medical and surgical procedures.
-4-
(c) To a~mqge ~,td consent to procedures to make ma ~n-~tomicat $(fl of al! or par[
of my body.
DURATION OF POWEK, RELlE~ FKOl~.i LI^~tlI.ITY. REVOCATIQ~J
This power shall not expire by re.on o f lapse of time.
2. I hereby ratify and confm-n all that-ny Attorney acting hereunder shall do or cause
to be done under this Power of Attorney. I specifically direct that such Attorney shall not be subject
to any liability by reason of any of such Attorney's decisions, acts or failures to act, alt of which
shall be conclusive and binding upon me, my personal representatives, heirs and assigns.
Furthermore, except in the case of malfeasance of office, I af~ee to indemnify such Attorney, and
hold such Attorney harmless, from all claims that may be mdc against such Attorney as a result of
such Attorney's service hereunder end £ hereby agree to reimburse such Attorney in the amoaw, of
any damages, costs and expenses that may be incurred as a result of any such claim.
3. This Power of Attorney shall be revoked by my giving to such Attorney acting
hereunder written notification of'the revocation, wlfich notice shall not be considered binding urde~s
actually received.
IN WITNESS WHEREOF, and intending to be leg,qty bound, I have hereunto set my hand
and seal this o~~l- day of Jtmc, 1999.
SIGN'ED, SEALED AND DELIVERED
IN THE PRESENCE OF:
WITNESS:
Emma Jane%tammond
(SEAL)
.7¸
COMMONWEALTH OF PEN-NSYLYA.NiA
: SS.
COUNTY OF CUMBERLAND
Or. the o~ r~dday of June, 1999, before me, a Notary Public, pcrsonal!y appeared Emma
Jane Harr~mond, and in due form of law aclmowlcdged the foregoing Power of Attorney to be her
act and deed and desired thet the same might be recorded as such.
WITNESS my hand and notaria[ seal.
-5-
SHIPPENSBURG HEALTH CARE CENTER
PATIENT DATA AND CONSENT FORM
Zip Code: ]7o~.~ 7 Male
Marital Status: Single
soc. Sec.-::: 17b-3q-9770 Date:
City: '~.~ State:
~'~-male) Date of Binh:
Ma~ied Separated Divorced
INSURANCE
Primary Insurance:
Policyholder:. Relationship:.
Policy Number:
Secondary Insurance:
Policy Number: ]'TL~,q~
Group Number:
Policyholder: &,~_ro~ Relationship: .5~/~
Group Number: /'~L~7'k-' ~/D
MEDICAID#:
Name: c'x/D/3 D /-'~J) ~ ~'~ Drt J
Re feting Physician:
Treating Diagnosis:
RESPONSIBLE PARTY
Relationship:
Phone Number:
'Primary Care Physician: ..~r'.
Primary Diagnosis:
Service Requested: Occupational Therapy
Physical Therapy Speech Therapy
Patient's and/or family's permission to bill and consent to receive treatment, release information and make payment.
Under Medicare Part B (a National Health Program through which certain medical and hospital expenses are paid
from Federal Funds) you must meet the following conditions:
1. You must satisfy your deductible.
2. Medicare will pay 80% of the charge after the deductible has been satisfied up to a maximum annual
cap. .
3. The 20% unpaid balance and/or amounts above the annual cap will be billed to you or the person
responsible for paying your bills.
4. If you have a Tie-in Plan or other insurance that will pay the balance we will submit the bill to them.
5. This form must be signed by you or your family giving us permission to (1) bill 80% to Medicare and
(2) 20°./o (Co-pay), and amounts above the annual cap, and any deductible not already satisfied, to you
or your insurance company.
6. For patients who are Medicaid and Medicare Part B and decreed indigent, the Facility will accept
assignment pursuant to state laws and regulations.
l authorize treatment and payment of medical benefits to the FaciliD' for services rendered as ordered by my
physician. I further authorize the Facility to furnish medical or other information for any claims incurred for a
period of one year under the Title XVIII of the Social Security Act and its intermediary. I hereby accept all
responsibility for, treatment costs not covered or reimbursed ID' th}rd pa~' pavers.
ature of Patient or Authorized Representative / Date ..,
Wimess (Name) / (/ Witnet~ (Signature)
EXHIBIT "B"
SHERIFF'S
CASE NO: 2003-06091 P
COMMONWEALTH OF PENNSYLVA/qIA:
COUNTY OF CUMBERLAND
SHIPPENSBURG/SOUTH HAMPTON MAN
VS
HAMMOND JOHN W
RETURN
- OUT OF COUNTY
R. Thomas Kline
duly sworn according to law,
and inquiry for the within named DEFENDANT ,
HAMMOND JOHN W
but was unable to locate Him in his bailiwick.
deputized the sheriff of FRANKLIN County,
serve the within COMPLAINT & NOTICE
, Sheriff or Deputy Sheriff who being
says, that he made a diligent search and
to wit:
He therefore
Pennsylvania, to
On December 9th , 2003 ,
attached return from FRANKLIN
Sheriff's Costs:
Docketing 18.00
Out of County 9.00
Surcharge 10.00
Dep Franklin Co 32.00
.00
69.00
this office was in receipt of the
So a n s we ~,s.:--~ ~_ ~ ~.~.fr---~
Sheriff of Cumberland County
Sworn and subscribed %o before me
this /~"{~ day of~~~/~
12/09/2003
OBRIEN BARIC SCHERER
In The Court of Common Pleas of Cumberland County, Pennsylvania
Shippensburg/South Hampton Manor LP
VS.
John W. H~rnond
SERVE: same No. 03-6091 civil
Now, Novamb~r 24, 2003 , I, SHERIFF OF CUMBERLAND COUNTY, PA, do
hereby deputize the Sheriff of Franklin County to execute this Writ, this
deputation being made at the request and risk of the Plaintiff.
Sheriffof Cumberland County, PA
Affidavit of Service
NOW, December 5
within Complaint
,20 o3 ,at 11:43 o'clock A M. served the
upon John W. Hammond
at Franklin County Sheriff's Office, 157 Lincoln W. East, Chambersburg. PA 17201
by handing to John W. Hammond
a Certified
and made known to him
Sworn and subscribed/]pefore
me this ~)-- day oK7¢C ~. ,20 l~ .~
copy of the original
So answers,
Sheriffof
COSTS
SERVICE
MILEAGE
AFFIDAVIT
complaint
the contents thereof.
Franklin County, PA
SHIPPENSBURG/
SOUTH HAMPTON MANOR, L.P
Plaintiff
V.
JOHN W. HAMMOND,
Defendant.
IN THE COURT OF COMMON PLEAS OF
CUMBERLAND COUNTY, PENNSYLVANIA
NO. 2003-6091 CIVIL TERM
CIVIL ACTION-LAW
_PRAECIPE TO DISCONTINUE
TO THE PROTHONOTARY:
Kindly mark the above-captioned action as having been settled and discontinued with
prejudice.
Respectfully submitted,
'BRIEN, BA & SC R
David A. Baric, Esquire
I.D. 44853
17 West South Street
Carlisle, Pennsylvania 17013
(717) 249-6873
dab.dir/shcc/hammond/discontinue.pra
CERTIFICATE OF SERVICE
I hereby certify that on January _/.~ , 2004, I, David A. Baric, Esquire of O'Brien, Baric
& Scherer, did serve a copy of the Praecipe To Discontinue, by first class U.S. mail, postage prepaid,
to the party listed below, as follows:
Hamilton Davis, Esquire
20 East Burd Street, Suite 6
P.O. Box 40
Shippensburg' ~~~//7./. ~
David A. Baric, Esquire