Loading...
HomeMy WebLinkAbout08-2243PHELAN HALLINAN & SCHMIEG, LLP LAWRENCE T. PHELAN, ESQ., Id. No. 32227 FRANCIS S. HALLINAN, ESQ., Id. No. 62695 DANIEL G. SCHMIEG, ESQ., Id. No. 62205 MICHELE M. BRADFORD, ESQ., Id. No. 69849 JUDITH T. ROMANO, ESQ., Id. No. 58745 SHEETAL SHAH-JANI, ESQ., Id. No. 81760 JENINE R. DAVEY, ESQ., Id. No. 87077 MICHAEL E. CARLETON, ESQ., Id. No. 203009 VIVEK SRIVASTAVA, ESQ., Id. No. 202331 JAY B. JONES, ESQ., Id. No. 86657 PETER MULCAHY, ESQ., Id. No. 61791 ANDREW SPIVACK, ESQ., Id. No. 84439 ONE PENN CENTER PLAZA, SUITE 1400 PHILADELPHIA, PA 19103 (215) 563-7000 175610 PHH MORTGAGE CORPORATION 3000 LEADENHALL ROAD OR 4001 LEADENHALL ROAD MOUNT LAUREL, NJ 08054 Plaintiff V. MIKHAIL OCEAN SARATOGA OCEAN 118 STONEHEDGE DRIVE CARLISLE, PA 17015 THE UNITED STATES OF AMERICA C/O THE UNITED STATES ATTORNEY FOR THE MIDDLE DISTRICT OF PENNSYLVANIA 1164 FEDERAL BUILDING 228 WALNUT STREET HARRISBURG, PA 17101 Defendants ATTORNEY FOR PLAINTIFF COURT OF COMMON PLEAS CIVIL DIVISION TERM NO. OR- 6-0q3 Civi (Term CUMBERLAND COUNTY CIVIL ACTION - LAW COMPLAINT IN MORTGAGE FORECLOSURE File #: 175610 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, 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 OR NO FEE. Lawyer Referral Service Cumberland County Bar Association 32 South Bedford Street Carlisle, PA 17013 (800)990-9108 File #: 175610 IF THIS IS THE FIRST NOTICE THAT YOU HAVE RECEIVED FROM THIS OFFICE, BE ADVISED THAT: PURSUANT TO THE FAIR DEBT COLLECTION PRACTICES ACT, 15 U.S.C. § 1692 et seq. (1977), DEFENDANT(S) MAY DISPUTE THE VALIDITY OF THE DEBT OR ANY PORTION THEREOF. IF DEFENDANT(S) DO SO IN WRITING WITHIN THIRTY (30) DAYS OF RECEIPT OF THIS PLEADING, COUNSEL FOR PLAINTIFF WILL OBTAIN AND PROVIDE DEFENDANT(S) WITH WRITTEN VERIFICATION THEREOF; OTHERWISE, THE DEBT WILL BE ASSUMED TO BE VALID. LIKEWISE, IF REQUESTED WITHIN THIRTY (30) DAYS OF RECEIPT OF THIS PLEADING, COUNSEL FOR PLAINTIFF WILL SEND DEFENDANT(S) THE NAME AND ADDRESS OF THE ORIGINAL CREDITOR, IF DIFFERENT FROM ABOVE. THE LAW DOES NOT REQUIRE US TO WAIT UNTIL THE END OF THE THIRTY (30) DAY PERIOD FOLLOWING FIRST CONTACT WITH YOU BEFORE SUING YOU TO COLLECT THIS DEBT. EVEN THOUGH THE LAW PROVIDES THAT YOUR ANSWER TO THIS File #: 175610 COMPLAINT IS TO BE FILED IN THIS ACTION WITHIN TWENTY (20) DAYS, YOU MAY OBTAIN AN EXTENSION OF THAT TIME. FURTHERMORE, NO REQUEST WILL BE MADE TO THE COURT FOR A JUDGMENT UNTIL THE EXPIRATION OF THIRTY (30) DAYS AFTER YOU HAVE RECEIVED THIS COMPLAINT. HOWEVER, IF YOU REQUEST PROOF OF THE DEBT OR THE NAME AND ADDRESS OF THE ORIGINAL CREDITOR WITHIN THE THIRTY (30) DAY PERIOD THAT BEGINS UPON YOUR RECEIPT OF THIS COMPLAINT, THE LAW REQUIRES US TO CEASE OUR EFFORTS (THROUGH LITIGATION OR OTHERWISE) TO COLLECT THE DEBT UNTIL WE MAIL THE REQUESTED INFORMATION TO YOU. YOU SHOULD CONSULT AN ATTORNEY FOR ADVICE CONCERNING YOUR RIGHTS AND OBLIGATIONS IN THIS SUIT. IF YOU HAVE FILED BANKRUPTCY AND RECEIVED A DISCHARGE, THIS IS NOT AN ATTEMPT TO COLLECT A DEBT. IT IS AN ACTION TO ENFORCE A LIEN ON REAL ESTATE. File #: 175610 I . Plaintiff is PHH MORTGAGE CORPORATION 3000 LEADENHALL ROAD OR 4001 LEADENHALL ROAD MOUNT LAUREL, NJ 08054 2. The name(s) and last known address(es) of the Defendant(s) are: MIKHAIL OCEAN SARATOGA OCEAN 118 STONEHEDGE DRIVE CARLISLE, PA 17015 THE UNITED STATES OF AMERICA C/O THE UNITED STATES ATTORNEY FOR THE MIDDLE DISTRICT OF PENNSYLVANIA 1164 FEDERAL BUILDING 228 WALNUT STREET HARRISBURG, PA 17101 who is/are the mortgagor(s) and/or real owner(s) of the property hereinafter described. On 07/30/2005 mortgagor(s) made, executed and delivered a mortgage upon the premises hereinafter described to MORTGAGE ELECTRONIC REGISTRATION SYSTEMS, INC. AS A NOMINEE FOR ERA MORTGAGE which mortgage is recorded in the Office of the Recorder of CUMBERLAND County, in Mortgage Book No. 1925, Page 1841. The PLAINTIFF is now the legal owner of the mortgage and is in the process of formalizing an assignment of same. The mortgage and assignment(s), if any, are matters of public record and are incorporated herein by reference in accordance with Pa.R.C.P. 1019(g); which Rule relieves the Plaintiff from its obligations to attach documents to pleadings if those documents are of public record. 4. The premises subject to said mortgage is described as attached. The mortgage is in default because monthly payments of principal and interest upon said mortgage due 12/01/2007 and each month thereafter are due and unpaid, and by the terms File #: 175610 of said mortgage, upon failure of mortgagor to make such payments after a date specified 6 by written notice sent to Mortgagor, the entire principal balance and all interest due thereon are collectible forthwith. The following amounts are due on the mortgage: Principal Balance $302,566.59 Interest $10,037.67 11/01/2007 through 04/08/2008 Attorney's Fees $1,250.00 Cumulative Late Charges $436.80 09/30/2005 to 04/08/2008 Cost of Suit and Title Search $550.00 Subtotal $314,841.06 Escrow Credit ($1,075.29) Deficit $0.00 Subtotal ($1,075.29) TOTAL $313,765.77 7. If the mortgage is reinstated prior to a Sheriffs Sale, the attorney's fee set forth above may be less than the amount demanded based on work actually performed. The attorney's fees requested are in conformity with the mortgage and Pennsylvania law. Plaintiff reserves its right to collect attorney's fees up to 5% of the remaining principal balance in the event the property is sold to a third parry purchaser at Sheriffs Sale, or if the complexity of the action requires additional fees in excess of the amount demanded in the Action. Plaintiff is not seeking a judgment of personal liability (or an in personam judgment) against the Defendant(s) in the Action; however, Plaintiff reserves its right to bring a separate Action to establish that right, if such right exists. If Defendant(s) has/have received a discharge of personal liability in a bankruptcy proceeding, this Action of Mortgage Foreclosure is in no way an attempt to reestablish such personal liability File #: 175610 discharged in bankruptcy, but only to foreclose the mortgage and sell the mortgaged premises pursuant to Pennsylvania Law. 9. Notice of Intention to Foreclose as set forth in Act 6 of 1974, Notice of Homeowner's Emergency Assistance Program pursuant to Act 91 of 1983, as amended in 1998, and/or Notice of Default as required by the mortgage document, as applicable, have been sent to the Defendant(s) on the date(s) set forth thereon, and the temporary stay as provided by said notice has terminated because Defendant(s) has/have failed to meet with the Plaintiff or an authorized consumer credit counseling agency, or has/have been denied assistance by the Pennsylvania Housing Finance Agency. 10. This action does not come under Act 6 of 1974 because the original mortgage amount exceeds $50,000. 11. The United States of America is made a Defendant herein pursuant to 28 U.S.C. 2410, because of federal tax liens that have been filed with the Prothonotary of CUMBERLAND County in the Judgment Index Unit as follows: (a) United States vs. MIKHAIL & SARATOGA OCEAN; IRS Docket No. 2007-4853; filed 08/15/2007; in the amount of $17,003.48 File #: 175610 WHEREFORE, PLAINTIFF demands an in rem Judgment against the Defendant(s) in the sum of $313,765.77, together with interest from 04/08/2008 at the rate of $63.13 per diem to the date of Judgment, and other costs and charges collectible under the mortgage and for the foreclosure and sale of the mortgaged property. PHELAN HALLINAN & SCHMIEG, LLP By: 4A P6 AT ?7W 7 -7 LA*RENCE T. PH LAN, ESQ IRE FRANCIS S. HALLINAN, ESQUIRE DANIEL G. SCHMIEG, ESQUIRE MICHELE M. BRADFORD, ESQUIRE JUDITH T. ROMANO, ESQUIRE SHEETAL R. SHAH-JANI, ESQUIRE JENINE R. DAVEY, ESQUIRE MICHAEL E. CARLETON, ESQUIRE VIVEK SRIVASTAVA, ESQUIRE JAY B. JONES, ESQUIRE PETER MULCAHY, ESQUIRE ANDREW SPIVACK, ESQUIRE Attorneys for Plaintiff File #: 175610 LEGAL DESCRIPTION ALL THAT CERTAIN lot or parcel of land situate in South Middleton Township, Cumberland County, Pennsylvania, more particularly bounded and described as follows, to wit: BEGINNING at a point on the western right-of-way line of Stonehedge Drive, a sixty foot wide right-of-way, said point also being the southwest corner of Lot No. 34; thence along the western right-of-way line of Stonehedge Drive, South twenty-one (21) degrees fifty (50) minutes zero (00) seconds West a distance of forty-three and sixty-four hundredths (43.64) feet to a point; thence along the same and a curve to the right having a radius of two hundred seventy and zero hundredths (270.00) feet and an arc distance of one hundred and zero hundredths (100.00) feet, said arc being subtended by a chord of South 32 degrees 26 minutes 37 seconds West, a chord distance of ninety-nine and forty-three hundredths (99.43) feet to a point at the corner of Lot No. 32 of the Stonehedge PRD Stage 3A also being in the center of a 40 foot wide drainage swale; thence along Lot No. 32 and the center of said swale, North forty-four (44) degrees fifty-nine (59) minutes thirty-eight (38) seconds West a distance of one hundred forty- three and twenty-five hundredths (143.25) feet to a point in the center of the aforesaid 40 foot wide drainage swale at lands now or formerly of Stonehedge Developers, Inc.; thence along said land of Stonehedge Developers, Inc. and the center of said swale, North twenty-one (21) degrees fifty (50) minutes zero (00) seconds East a distance of eighty-five and zero hundredths (85.00) feet to a point at the corner of Lot No. 34; thence along Lot No. 34, South sixty-eight (68) degrees ten (10) minutes zero (00) seconds East, a distance of one hundred fifty and zero hundredths (150.00) feet to a point, the point of beginning. File #: 175610 SUBJECT TO a twenty (20) foot wide drainage easement along its southern property line common with Lot No. 32, and a twenty (20) foot wide drainage easement along its western property line with other lands of Stonehedge Developers, Inc. CONTAINING 0.39 acres, more or less, and identified as Lot No. 33 of Stonehedge PRD Stage 3A, recorded in Plan Book 69, Page 13 in Cumberland County Recorder of Deeds Office, Carlisle, Pennsylvania. UNDER AND SUBJECT to a Declaration of Covenants and Restrictions recorded in Cumberland County Miscellaneous Book 311, Page 42, and subject to a Supplemental Declaration of Covenants and Restrictions recorded in Cumberland County Miscellaneous Book 503, Page 404, and further subject to the Bylaws of the Stonehedge Home Owners Association as recorded in Cumberland County Miscellaneous Book 311, Page 511. PREMISES: 118 STONEHEDGE DRIVE PARCEL: 40-23-0602-204 File #: 175610 VERIFICATION I hereby state that I am the attorney for Plaintiff in this matter, that Plaintiff is outside the jurisdiction of the Court and/or the verification could not be obtained within the time allowed for the filing of the pleading, that I am authorized to make this verification pursuant to Pa.R.C.P. 1024 (c), and that the statements made in the foregoing Civil Action in Mortgage Foreclosure are based upon information supplied by Plaintiff and are true and correct to the best of my knowledge, information and belief. Furthermore, counsel intends to substitute a verification from Plaintiff upon receipt. The undersigned understands that this statement is made subject to the penalties of 18 Pa.C.S. Sec. 4904 relating to unsworn falsifications to authorities. 8 -7o7 orney for Plaint' DATE: $ ?? cn }i St) SL) ?C D I C or. SHERIFF'S RETURN - REGULAR CASE NO: 2008-02243 P COMMONWEALTH OF PENNSYLVANIA: COUNTY OF CUMBERLAND PHH MORTGAGE CORPORATION VS OCEAN MIKHAIL ET AL TIMOTHY BLACK , Sheriff or Deputy Sheriff of Cumberland County,Pennsylvania, who being duly sworn according to law, says, the within COMPLAINT - MORT FORE was served upon OCEAN MIKHAIL the DEFENDANT , at 1305:00 HOURS, on the 11th day of April 2008 at 118 STONEHEDGE DRIVF CARLISLE, PA 17015 MIKHAIL OCEAN by handing to a true and attested copy of COMPLAINT - MORT FORE together with and at the same time directing His attention to the contents thereof. Sheriff's Costs: Docketing Service Affidavit Surcharge OkI6y ?), Sworn and Subscibed to before me this of So Answers: 18.00 /d 5.00 .00 10.00 R. Thomas Kline .00 33.00 04/15/2008 PHELAN HALLINAN SCHMIEG By: day Derputy Sheriff A.D. SHERIFF'S RETURN - REGULAR !' : . ". CASE NO: 2008-02243 P COMMONWEALTH OF PENNSYLVANIA: COUNTY OF CUMBERLAND PHH MORTGAGE CORPORATION VS OCEAN MIKHAIL ET AL TIMOTHY BLACK , Sheriff or Deputy Sheriff of Cumberland County,Pennsylvania, who being duly sworn according to law, says, the within COMPLAINT - MORT FORE was served upon / --1 XT C' 'A T] T mnnT the DEFENDANT , at 1305:00 HOURS, on the 11th day of April , 2008 at 118 STONEHEDGE DRIVE CARLISLE, PA 17015 by handing to MIKHAIL OCEAN, HUSBAND a true and attested copy of COMPLAINT - MORT FORE together with and at the same time directing His attention to the contents thereof. Sheriff's Costs: Docketing Service Affidavit Surcharge y ,46 Sworn and Subscibed to before me this of So Answers: 6.00 .00 .00 - 10.00 R. Thomas Kline .00 16.00 04/15/2008 PHELAN HALLINAN SCHMIEG By: day eputy Sheriff A.D. i April 29, 2008 Civil Term No. 08-2243 PHELAN HALLINAN & SCHMIEG, LLP ONE PENN CENTER PLAZA, SUITE 1400 PHILADELPHIA, PA 19103 PHH MORTGAGE CORPORATION 3000 LEADENHALL ROAD OR 4001 LEADENHALL ROAD MOUNT LAUREL, NJ 08054 Plaintiff V. MIKHAIL OCEAN SARATOGA OCEAN 118 STONEHEDGE DRIVE CARLISLE, PA 17015 Defendants Defendant's Response to Civil Action The following is the Defendants response to each of the numbered items in the original complaint. 1. Of Civil Complaint - Defendants ADMIT 2. Of Civil Complaint - Defendants ADMIT IN PART - This is the correct Address and name for Mdchail Ocean and Saratoga Ocean. The United States of America as defendant is DENIED 3. Of Civil Complaint - Defendants DENY - We have a mortgage with ERA Mortgage. 4. Of Civil Complaint - Defendants ADMIT 5. Of Civil Complaint - Defendants ADMIT IN PART - The mortgage is in default. Mortgagor is not aware of any such notice. Mortgagee has refused to accept payments from the Mortgagor. 0 6. Of Civil Complaint - Defendants DENY - THE AMOUNT SHOWN IS DISPUTED. 7. Of Civil Complaint - Defendants ADMIT IN PART 8. Of Civil Complaint - Defendants ADMIT IN PART 9. Of Civil Complaint - Defendants DENY 10. Of Civil Complaint - Defendants ADMIT 11. Of Civil Complaint - Defendants DENY Z?? 04; F DATE FENDANT, MIKHAIL OCEAN V - 71, r ^ta PHELAN HALLINAN & SCHMIEG, LLP BY: SHEETAL R. SHAH-JANI, ESQUIRE Identification No. 81760 One Penn Center at Suburban Station 1617 JFK Boulevard, Suite 1400 Philadelphia, PA 19103-1814 (215) 563-7000 PHH MORTGAGE CORPORATION 3000 LEADENHALL ROAD OR 4001 LEADENHALL ROAD MOUNT LAUREL, NJ 08054 Plaintiff V. MHCHAIL OCEAN SARATOGA OCEAN 118 STONEHEDGE DRIVE CARLISLE, PA 17015 THE UNITED STATES OF AMERICA C/O THE UNITED STATES ATTORNEY FOR THE MIDDLE DISTRICT OF PENNSYLVANIA 1164 FEDERAL BUILDING 228 WALNUT STREET HARRISBURG, PA 17101 Defendants Attorney for Plaintiff COURT OF COMMON PLEAS CIVIL DIVISION CUMBERLAND COUNTY No. 08-2243- CIVIL TERM PRAECIPE TO SUBSTITUTE VERIFICATION TO THE PROTHONOTARY: Please substitute the attached, original Verification of Mark J. Hinkle, Vice President of PHH Mortgage Corporation, for the Verification attached to Plaintiff's Complaint filed in the above matter on cir out April 9, 2008. - ? DATE: 4(OR- Sheetal R. Shah-Jani, Es ui e Attorney for Plaintiff PHELAN HALLINAN & SCHMIEG, LLP BY: SHEETAL R. SHAH-JANI, ESQUIRE Identification No. 81760 One Penn Center at Suburban Station 1617 JFK Boulevard, Suite 1400 Philadelphia, PA 19103-1814 (215) 563-7000 PHH MORTGAGE CORPORATION 3000 LEADENHALL ROAD OR 4001 LEADENHALL ROAD MOUNT LAUREL, NJ 08054 Plaintiff V. MHUHAIL OCEAN SARATOGA OCEAN 118 STONEHEDGE DRIVE CARLISLE, PA 17015 THE UNITED STATES OF AMERICA CIO THE UNITED STATES ATTORNEY FOR THE MIDDLE DISTRICT OF PENNSYLVANIA 1164 FEDERAL BUILDING 228 WALNUT STREET HARRISBURG, PA 17101 Defendants Attorney for Plaintiff COURT OF COMMON PLEAS CIVIL DIVISION CUMBERLAND COUNTY No. 08-2243- CIVIL TERM CERTIFICATION OF SERVICE I hereby certify that a true and correct copy of the foregoing Plaintiff's Praecipe to Substitute Verification was served by regular mail on the following parties on the date listed below: Mikhail Ocean, Pro Se Saratoga Ocean, Pro Se 118 Stonehedge Drive Carlisle, PA 17 5 DATE: -?a Sheetal R. Shah-Jani Es ire Attorney for Plaint VERIFICATION hereby states that he/she is Ve--e /' t?hf PHH MORTGAGE CORPORATION, servicing agent for Plaintiff in this matter, that he/she is authorized to take this Verification, and that the statements made in the foregoing Civil Action in Mortgage Foreclosure are true and correct to the best of his/her knowledge, information and belief. The undersigned understands that this statement is made subject to the penalties of 18 Pa. C.S. Sec. 4904 relating to unsworn falsification to authorities. DATE: ?P U Loan:0031755374 G Name: Title: vle-e A°s"'Ien Company: PHH MORTGAGE CORPORATION File #: 175610 35 t ?` PHELAN HALLINAN & SCHMIEG, LLP By: DANIEL G. SCHMIEG, ESQUIRE IDENTIFICATION NO. 62205 ONE PENN CENTER AT SUBURBAN STATION SUITE 1400 PHILADELPHIA, PA 19103-1814 (215) 563-7000 PHH Mortgage Corporation Plaintiff Vs. Mikhail Ocean Saratoga Ocean And The United States of America Defendants STIPULATION ATTORNEY FOR PLAINTIFF COURT OF COMMON PLEAS CIVIL DIVISION County: Cumberland Filed: April 9, 2008 No. 08-2243-Civil Term It is hereby stipulated and agreed by and between counsel for Plaintiff, and the Defendant, United States of America, as follows: 1. That the premises known as 118 Stonehedge Drive, Carlisle, PA, Pennsylvania (the "Premises") is owned by the Defendant. 2. That the Federal Tax Lien referred to in paragraph eleven (11) of the Plaintiffs complaint is junior in time to the Plaintiffs mortgage set forth in paragraph three (3) of said complaint. 3. That the Defendant, United States of America, is not indebted to the Plaintiff. 4. That the Defendant, United States of America, agrees to the entry in this action of a judgment in favor of the Plaintiff and against the United States of America for foreclosure and sale of the mortgaged property. r 5 6 7. 8. 9. That the aforesaid premises shall be sold at a judicial sale, notice of which will be served on the Defendant, United States of America. That the judicial sale of said property shall discharge the Federal Tax Lien referred to in paragraph ten (10) of said complaint. That the proceeds of sale shall be divided and distributed as the parties may be entitled. That the Defendant, United States of America preserves its right of redemption as provided in Title 28 United States Code, Section 2410 (c). The parties to this Stipulation shall bear their own respective costs in this proceeding. Respectfully submitted Martin C. Carlson, Acting United States Attomey Date: --=-"? b Date: By: (?? ?'Swuwj-e" Melissa Swauger, Assistant United States Attomey Attorney for United States of America PHELAN HALLINAN & SCHMIEG, LLP By: Daniel G. Schmieg, Ewui One Penn Center at Suburban Station Suite 1400 Philadelphia, PA 19103-1804 Attomeys for Plaintiff File #: 175610 ? ? ?:. ? ; ? ? U ??? ? ', ? ? PHELAN HALLINAN & SCHMIEG, LLP BY: JOSEPH P. SCHALK, ESQUIRE Identification No. 91656 107 N. Front Street, Suite 115 Harrisburg, PA 17101 Phone (215) 563-7000 x 7365 Fax (717) 234-1549 PHH Mortgage Corpoation 3000 Leadenhall Road or 4001 Leadenhall Road Mount Laurel, NJ 08054 Plaintiff VS. Mikhail Ocean Saratoga Ocean 118 Stonehedge Drive Carlisle, PA 17015 and The United Ststes of Anerica C/O The United States Attorney for The Middle District of Pennsylvania 1164 Federal Building 228 Walnut Street Harrisburg, PA 17101 Defendants Attorney for Plaintiff : Court of Common Pleas : Civil Division : No. 08-2243- CIVIL TERM : Cumberland County Plaintiff respectfully requests that the Court enter an Order granting summary judgment in its favor in the above-captioned matter and in support thereof avers as follows: 1. There are no material issues of fact in dispute. 2. Plaintiff is seeking only an in rem judgment in this mortgage foreclosure action. 3. Since Defendants admitted the default in paragraph five of their Answer to the Complaint, summary judgment for Plaintiff is appropriate, as is further addressed in Plaintiffs attached Brief. 4. Defendants, Mikhail Ocean and Saratoga Ocean, have filed an Answer to the Complaint in which they have effectively admitted all of the allegations of the Complaint, as is further addressed in Plaintiffs attached Brief. 5. In their Answer, Defendants generally deny paragraph six of the Complaint, which avers the amounts due on the Mortgage. True and correct copies of Plaintiffs Mortgage Foreclosure Complaint and Defendants' Answer are attached hereto, incorporated herein by reference, and marked as Exhibits C and D, respectively. 6. Defendants have failed to sustain their burden of presenting facts, which contradict the averments of Plaintiffs Complaint. 7. Defendants executed the Mortgage promising to repay the loan on a monthly basis. A true and correct copy of the Mortgage, which is recorded in the Office of the Recorder of Cumberland County in Mortgage Book No. 1925, Page 1841, is attached hereto, made part hereof, and marked Exhibit A. A true and correct copy of the Note is also attached hereto, made part hereof, and marked Exhibit Al. 8. The Mortgage has been assigned to Plaintiff and has been sent for recording. A true and correct copy of the Assignment to Plaintiff is attached hereto, made part hereof, and marked as Exhibit A2. 9. The Mortgage is due for the December 1, 2007 payment, a period in excess of nine (9) months. An Affidavit confirming the default and the amount of the debt is attached hereto, incorporated herein by reference, and marked as Exhibit B. 10. Defendants' default is also evidenced by Plaintiffs loan history and collection notes, true and correct copies of which are attached hereto, made part hereof, and marked respectively as Exhibit G and Exhibit H. 11. The last payment applied to the Defendants' mortgage was on December 31, 2007. Plaintiff applied this payment to Defendants' account for the delinquent November 1, 2007 payment, as is evidenced by the attached loan history on Defendants' account (see Exhibit G). 12. Defendants allege in their pleadings that they attempted to make payments but that Plaintiff would not accept them. The Superior Court has held that mortgagees are not required to accept partial payments, and that tendering partial payments is not a defense to foreclosure. Hell Federal Savings and Loan Assn_ Of Bellevue vs_ Laura Lanes, Inc-, 291 Pa.Super.395, 435 A.2d 1285 (1981). This is addressed further in Plaintiff s attached Brief. 13. As is evidenced by Plaintiff s collection notes, on or around February 28, 2008, Defendants, via telephone, offered to tender one payment, despite being already three months in arrears (Exhibit H). The proposed amount to be tendered was not enough to bring the loan current, therefore the offer to pay one payment was not accepted. Defendants did not actually ever tender the payment, and have not tendered any other payment and the account remains due and owing for the December 1, 2007 payment. Furthermore, Defendants have not provided proof of any payments they might have made. 14. The notice provisions of Act 6 of 1974 do not apply to this action because the original Mortgage amount exceeds $50,000.00, as is further addressed in Plaintiffs attached Brief. Nevertheless, Plaintiff sent Defendants a letter notifying them of their default and of Plaintiffs intent to foreclose. A true and correct copy of the letter and proof of mailing is attached hereto, made part hereof, and marked Exhibit E. 15. The Temporary Stay as provided by the Homeowner's Emergency Mortgage Assistance Program, Act 91 of 1983, has terminated because Defendants have failed to meet with an authorized credit-counseling agency in accordance with Plaintiffs written notice to Defendants. A true and correct copy of the Notice of Homeowner's Emergency Mortgage Assistance Program and proof of mailing is attached hereto, made part hereof, and marked Exhibit E. 16. As averred in paragraph eleven (11) of the Complaint, the United States of America has been made a Defendant in this action pursuant to 28 U.S.C. 2410, because of federal tax lien that has been filed with the Prothonotary of Cumberland County in the Judgment Index Unit against Defendants as follows: a. U.S. Internal Revenue Service vs. Mikhail & Saratoga Ocean; filed August 15, 2007; $17,003.48; No. 07-4853. A true and correct copy of the Notice of Federal Tax Lien is attached hereto, incorporated herein by reference, and marked as Exhibit F. 17. Plaintiff submits that its request for attorney's fees for preparing and prosecuting its foreclosure action, executing on its anticipated judgment, listing the property for sheriff s sale, and ensuring the conveyance of clear title is reasonable. Plaintiff will address this issue further in its attached Brief. 18. Defendants have the right to reinstate and/or payoff the loan up until one hour before a scheduled Sheriffs Sale. WHEREFORE, Plaintiff respectfully requests that an in rem judgment be entered in its favor for the amount due plus interest and costs as prayed for in the Complaint, for foreclosure and sale of the mortgaged property. Respectfully submitted, PHELAN HALLINAN & SCHMIEG, LLP By: h P aia?? J V . Schalk, Esquire A y for Plaintiff PHELAN HALLINAN & SCHMIEG, LLP BY: JOSEPH P. SCHALle, ESQUIRE Identification No. 91656 107 N. Front Street, Suite 115 Harrisburg, PA 17101 Phone (215) 563-7000 x 7365 Fax (717) 234-1549 PHH Mortgage Corpoation 3000 Leadenhall Road or 4001 Leadenhall Road Mount Laurel, NJ 08054 Plaintiff VS. Mikhail Ocean Saratoga Ocean 118 Stonehedge Drive Carlisle, PA 17015 and The United Ststes of Anerica C/O The United States Attorney for The Middle District of Pennsylvania 1164 Federal Building 228 Walnut Street Harrisburg, PA 17101 Defendants Attorney for Plaintiff : Court of Common Pleas : Civil Division : No. 08-2243- CIVIL TERM : Cumberland County PLAINTIFF'S BRIEF IN SUPPORT OF ITS MOTION FOR SUMMARY MMGMENT I. DEFENDANTS' DEFAULT UNDER THE, MORTGAGE. On September 30, 2005, Defendants, Mikhail Ocean and Saratoga Ocean, executed a Mortgage and Promissory Note in the principal sum of $308,900.00, this sum being payable in equal, consecutive, monthly installments of principal and interest of approximately $2,184.47 on the property at 118 Stonehedge Drive, Carlisle, PA 17013 (hereinafter the "Property"). A true and correct copy of the Mortgage, which is recorded in the Office of the Recorder of Cumberland County in Mortgage Book No. 1925, Page 1841, is attached hereto, made part hereof, and marked Exhibit A. A true and correct copy of the Note is also attached hereto, made part hereof, and marked Exhibit A1. Defendants defaulted under the Mortgage and Note by failing to make payments due December 1, 2007 and each month thereafter. On February 4, 2008, due to Defendants' default, Plaintiff mailed Defendants notice of its intention to foreclose on the Mortgage to Defendants at their last known address. Defendants, however, failed to cure the default. A true and correct copy of the notice and proof of mailing is attached hereto, incorporated herein by reference, and marked as Exhibit E. Because Defendants failed to take the necessary affirmative steps to cure the delinquency, Plaintiff was left with no alternative but to foreclose in order to recover its unjust financial losses. Accordingly, the present action was filed on April 9, 2008. To date, Defendants have not brought the account current. Il. PLAINTIFF IS ENTITLED TO SUMMARY.HJDGMF.NT AS A MATTER 0 LAW Summary judgment is a means to "eliminate the waste of time and resources of both litigants and the courts in cases where a trial would be a useless formality." Tiles v_ Balmer, 389 Pa.Super. 451, 567 A.2d 691 (1989); First v_ 7.em 7.em Temple, 454 Pa.Super. 548, 551, 686 A.2d 18, 20 (1996). A Motion for Summary Judgment shall be granted if the documents of record show there is no genuine issue as to any material fact and that the moving party is entitled to judgment as a matter of law. Pa.R.C.P. 1035.2(1); Allen v_ Merriweather, 413 Pa.Super. 410, 411, 605 A.2d 424 (1992); Beasel v_ New Blvd_ Raking Co_ Inc_, 410 Pa. Super. 591, 593, 600 A.2d 610 (1991). When deciding a motion for summary judgment, the record is viewed in the light most favorable to the non-moving party, and all doubts as to the existence of a genuine issue of material fact must be resolved against the moving party. To v_ Metropolitan Life Insurance Co_, 863 A.2d 1 (Pa. Super. 2004). Disputed facts that do not directly affect the disposition of the case are not only immaterial but do not preclude the entry of summary judgment. Pierce v_ Corn- Pennsylvania Bd_ Of Probation and Parole, 46 Pa. Cmwlth. 507, 406 A.2d 1186 (1979). The moving party bears the burden of demonstrating clearly that there is no genuine issue of triable fact. Driscoll v. Carpenters District Council of Western Penns 1y vania, 370 Pa.Super. 295, 536 A.2d 412 (1988); affirmed, 525 Pa. 205, 579 A.2d 863 (1990); Allen, 413 Pa.Super. at 411; Beasel, 410 Pa.Super. at 594; Hower v_ Whitmark Assoc, 371 Pa.Super. 443, 381 A.2d 524 (1988); Romah v_ Hy p epic Sanitation Co_, 705 A.2d 841, 848 (Pa.Super. 1997). In response, the nonmoving party may not rest upon the pleadings, but must set forth specific facts demonstrating a genuine issue for trial. Phaff v_ Gemer, 451 Pa. 146, 303 A.2d 826 (1973); Dujai v. Dennis, 431 Pa.Super. 366, 370, 636 A.2d 1130, 1132. Rule 1029(b) of the Pennsylvania Rules of Civil Procedure specifically provides: Averments in a pleading to which a responsive pleading is required are admitted when not denied specifically or by necessary implication. A general denial or a demand for proof, except as provided by subdivision (c) and (e) of this rule, shall have the effect of an admission. It is well settled that a general denial is unacceptable and deemed an admission where it is clear that the defendant has adequate knowledge and that the means of information are within the control of the defendant. Elia v_ nlszewski, 368 Pa. 578, 84 A.2d 188 (1951). Cercone v_ Cercone, 254 Pa. Super. 381, 386 A.2d 1 (1978); City of Philadelphia v_ Hertler, 114 Pa. Cmwlth. 475, 482, 539 A.2d 468, 472 (1988). Goodrich-Amram 2d §1029(c)(1), p. 280. A general denial effectively manifests an admission to the facts averred in the complaint. Swift v_ Milner, 371 Pa. Super. 302, 308, 538 A.2d 28, 31 (1988); Michner v_ Montwm= Coun Tax Claim Bureau, 671 A.2d 285, 288 (Pa. Cmwlth. 1996). One purpose in demanding a specific denial is to enable the parties to focus upon the disputed facts and to assist the Court in defining the issues for trial. Bogla, Harting & Reese v_ St??art, 11 D&C 3d 303,310 (Chester Co. 1979). Plaintiff submits that, in the Answer, Defendants have effectively admitted every allegation of the Complaint. Although Defendants purport to deny paragraph six of the Complaint, which avers the amounts due on the Mortgage, Defendants' averments amount to nothing more than general denials and demand for proof. Defendants generally deny the amount due under the Mortgage without reference to what they believe to be the correct amount due, or reference to any good reason to believe that the amount sought is erroneous. Unquestionably, Defendants know specifically what payments they made on the Mortgage. Accordingly, because Defendants are charged with having sufficient knowledge upon which to base a specific denial with respect to the averments contained in paragraph six of the Complaint, a general denial is insufficient to raise a genuine issue of fact. C r .on . v. C .r .on supra; City, of Philadelphia v_ Hertler, supra. The Pennsylvania Superior Court has held that, in order to raise a genuine issue of fact, defendants may not rest on the pleadings, but must sustain the burden of presenting facts to counter Plaintiffs averments. New York Guardian Mortgage v_ Dietzel, 524 A.2d 951 (Pa. Super. 1987). Washin_gtnn Federal Savings and Loan Association v Stein, 515 A.2d 980 (Pa. Super. 1986). A party will not be able to rely on 1029(c) and be excused from answering averments based on a lack of information where that party has sufficient information at its disposal to answer such allegations. Commw_ by Preate v_ Rainbow Associates, 138 Pa. Commw. 56, 587 A.2d 357, 358 (1991). The Pennsylvania Superior Court reiterated this principle in another mortgage foreclosure case. The Court held that the mortgagors' general denials in their answers to the Complaint must be considered admissions. First Wisconsin Trust Co v Stra uSSer, 439 Pa.Super. 192, 653 A.2d 688 (1995). The Court reasoned that the only persons with knowledge of the amount due, besides the mortgage company, would be the mortgagors. Therefore, if defendant mortgagors do not plead specific facts in response to the allegations in the Complaint regarding the default and the amount due, the defendants are deemed to have admitted the allegations, and summary judgment for the mortgage company is proper. First Wisconsin Trust Co v Strauss r, supra. In determining if an answer is a general denial, the Court must examine the pleadings as a whole. Commw_ by Preate, supra„ at 61, 587 A.2d 357, 360 (1991). A review of the pleadings as a whole in the instant case reveals that Defendants have failed to sustain their burden of presenting facts, which contradict the elements of Plaintiffs claim. Defendants' general denial of the amounts due and the default should be viewed as admissions by this Honorable Court. III. AMOUNT OF THE IN RFM AJDG'MFNT The within case is a mortgage foreclosure action, the sole purpose of which is to take the Defendants' mortgaged property to Sheriffs Sale. Pennsylvania law makes clear that an action in mortgage foreclosure is strictly in rem and does not include any personal liability. Newtown Village Partnershin v Kimmel, 424 Pa. Super 53, 55, 621 A.2d 1036, 1037 (1993). Signal Consumer Discount Comnanv v Rahns io, 257 Pa. Super 101, 109, 390 A.2d 266, 270 (1978). Pennsylvania Rule of Civil Procedure 1141(a). However, Pennsylvania law requires that the foreclosure action demand judgment for the amount due. Pa.R.C.P. 1147(6). The purpose of the dollar amount in the in rem judgment is only for bidding at the Sheriffs Sale. In the event that a third party real estate speculator were to bid on the mortgaged property at the Sheriffs Sale and become the successful purchaser, Plaintiff would receive the amount of the in rem judgment from the Sheriff, while the third party purchaser would obtain a deed to the property. Accordingly, the amount of the in rem judgment has no bearing or impact on the Defendants. IV. SUMMARY JUDGMENT IS APPROPRIATE SINCE DEFENDANTS ADMITTE n THE, DEFAULT In paragraph five of their Answer to the Complaint, Defendants specifically admitted that the loan is due for the December 1, 2007 mortgage payment. The Pennsylvania Superior Court has held that summaryjudgment is appropriate in a mortgage foreclosure action when the mortgagor admits he is delinquent in mortgage payments. Cunningham v M .Williamc, 714 A.2d 1054 (1998). New York Guardian Mort¢age Corp- v- Dietzel, 362 Pa. Super. 426, 524 A.2d 951, 952 (1987). 22 Standard Pennsylvania Practice 2d § 121:69 (1995). In addition, the Superior Court has held that the fact that the mortgagor never admitted the amount of the indebtedness does not prevent the entry of summary judgment in mortgage foreclosure. 1. ndau v_ West ern Penns- vaniq National Rank, 445 Pa. 217, 282 A.2d 335 (1971); Cunningham v. M .Wiliams, 714 A.2d at 1057. Pennsylvania law requires that a foreclosure judgment be entered for a sum certain. Citicorp ortbage, Inc v Morrisville Hampton Village R ltV i trl Partn rshi 443 Pa. Super. 595, 601, 662 A.2d 1120, 1123 (1995). Chase Home Mortgage v Good, 370 Pa.Super. 570, 537 A.2d 22 (1988). Nevertheless, an action in mortgage foreclosure is strictly an in rem proceeding. Dietzel, 524 A.2d 951, 953. The purpose of a judgment in mortgage foreclosure is solely to effect a judicial sale of the mortgaged property. Dietzel, 524 A.2d 951, 953. Meco Realty CO- v- Burns, 414 Pa. 495, 200 A.2d 869 (1964). Accordingly, the amount of the foreclosure judgment is irrelevant to Defendants. If Defendants reinstate or pay off the loan, they will pay the actual amount due on the loan as of the date of the reinstatement or payoff, not the judgment amount. The dollar amount in the judgment is only used in the rare circumstance of a third party bidder purchasing the property at sheriff sale. A third party bidder is usually a real estate investor. In this situation, the Sheri tfl;,<t.vs the mortgagee the amount of the in rem judgment instead of deeding the property to the mortgagee. Mortgagors do not bid on the property at Sheriff s Sale. Rather, if a mortgagor wants to save h i s property, he will reinstate or pay off his loan. Therefore, since the dollar amount of the in rem judgment has no effect on mortgagors. c Pennsylvania Supreme Court has decided that summary judgment is appropriate when a mortgagor admits his default, even if he does not admit the amount due on the loan. Landau v_ Western Pennsylvania National Bank, 445 Pa. 217, 282 A.2d 335, 340 (1971). Since Defendants admitea± their default in the within case, summaryjudgment for Plaintiff is appropriate. A denial of' summary judgment would mean listing this case for trial, in a court system, which is already overburdened with an excess of trials. Furthermore, a trial would be a useless formality since, Defendants admitted their default and they do not know how much money they owe on the loan V. DF.FF,NDANTS' Ai LEGATION OF RFFUSFD PAYMENTS IS NOT D FFF NSF Defendants allege in their pleadings that they offered to make a payment but that Plainti tf refused to accept it. For the purposes of this Motion for Summary Judgment, Plaintiff does not dispute this allegation. The Superior Court has held that mortgagees are not required to accept partial payments, and that tendering partial payments is not a defense to foreclosure. Bell Federal Saves and Loan Assn Of Bellevue vs Laura Lanes, Inc., _ 291 Pa.Super.395, 435 A.2d 1285 (1981). Typically, after a mortgagor defaults, a mortgage company will only accept a full reinstatement of the loan. The terms of the Mortgage do not require a mortgage company to ac :c; partial payments. Rather, the Mortgage states that the mortgagor can cure the default by ic,idi i il,?2 the total amount due. There would be no benefit to the mortgagor for the mortgage company to accept partial payments. Since the partial payments do not cure the arrearage, the mortgage company would still have to foreclose on the Mortgage. Accordingly, the Defendants' allegation that they attempted to make a partial payment best that Plaintiff refused it is not a defense to this mortgage foreclosure action. In the pleadings, the Defendants have not alleged any specific facts such as the amounts allegedly tendered or the date, the monies were allegedly tendered. Plaintiff submits that the Defendants' generic allegation in the pleadings is simply an attempt to delay the mortgage foreclosure action and, as stated above; it :i? e•__ not constitute a defense. VI. ATTORNEY FE.E.S AND COSTS ARE, REASONABLE As to the attorney fees recited in paragraph six of the Complaint, it should be noted that paragraph twenty-two (22) of the Mortgage clearly indicates that Defendants are liable for an attorney fee, costs of suit, and costs of title evidence if Defendants default on the loan. The attorn?i,-,. fee claimed in Plaintiffs complaint is less than five percent of the principal balance due on the loan. When Plaintiff was preparing its foreclosure Complaint, it could not know how much the attorney fees and costs would be upon completion of the foreclosure action. Plaintiff could not know whether the Defendants would contest the case and, if so, how extensively. Accordingly, Plaintiff used Pennsylvania case law as a guide. Attorney fees are enforced in order to compensate the Plaintiff for the reasonable and necessary expenses of collection. The Superior Court has held that it is inequitable for a mortgagee to expend sums of money for attorney fees in order to collect sums owed to him. Fay gate Fnternn_g, Inc v Rank and Tnist Company of Old York Road, 236 Pa.Super. 503,345 A. 2c (1975). As a general rule, attorney fees, which are reasonable, will be permitted by the Court. A requested fee of five percent of the outstanding principal balance has been granted by the Court. Pennsylvania Courts have long and repeatedly concluded that such a 5% provision is reasonable and enforceable. Robinson v_ Loomis, 51 Pa. 78 (1865); First Federal Savings and Loan Association v. Street Road Sbaminng Center, 68 D&C 2d 751, 755 (1974). It is important to note that the attorney fees called for in the Mortgage are owned by the mortgagee, not the attorney. They are not limited to the actual attorney fees but cover also the extra charges made necessary because the mortgagor failed to meet his obligation. Foulke v- Hatfield Fair Grounds Bazaar, Inc_, 196 Pa.Super. 155, 173 A.2d 703 (1961); Hamer v. Consolidated Rubber Co_, 284 Pa. 444,131 A. 356 (1925). In Federal Land Rank of Baltimore v F n r, the Superior Court held that an attorney fee of 10% of the original loan amount was not unconscionable. 410 A.2d 344 (Pa.Super. 1979). The Superior Court cited Few in confirming that an attorney fee of ten percent included in the judgment in a mortgage foreclosure action was reasonable. Citicorp v_ Morrisville 14aml2ton Realty, 662 A.2d 1120 (Pa.Super. 1995). Importantly, Plaintiff clearly outlined how Defendants could avoid paying Plaintiff s attorney fees in the Notice of Intention to Foreclose Mortgage, which was mailed to Defendants. Defendants, however, failed to take the necessary affirmative steps to cure the delinquency, but rather have opted to litigate, which has resulted in more attorney fees. Additionally, Plaintiff submits that the amount demanded for costs of suit and title search in Plaintiffs Complaint is neither excessive nor unreasonable. Moreover, the reasonableness of attorney fees does not create a genuine issue of material fact, which precludes the entry of summary judgment. First National Rank and Trust Co of Newton v_ Enrico, 40 D&C 3d 228 (1985). Importantly, Plaintiff recognizes this Honorable Court's equitable authority to set attorney fees and costs as it deems reasonable. Therefore, there is no issue of material fact regarding attorney fees. VII. PLAINTIFF'S MORTGAGF FORFCT OSi1RF ACTION DOES NOT C'OMF UNDER ACT 6 OF 1974 As averred in paragraph ten (10) of the Complaint, the notice provisions of Act 6 of 19'14 do not apply to this case. Section 403(a) states: Before any residential mortgage lender may accelerate the maturity of any residential mortgage obligation, commence any legal action including mortgage foreclosure to recover under such obligation ... such person shall give the residential mortgage debtor notice of such intention at least thirty days in advance as provided in this section. (emphasis added.) 41 P.S. §403(a). Section 403(a) applies only to residential mortgages. Section 101 defines a residential mortgage as, an obligation to pay a sum of money in an original bona fide principal amount of fifty thousand dollars ($50,000) or less ...". The Act 6 notice provision (§403) does not apply to the within case because the origim! loan amount exceeded $50,000.00. See Anderson Cc,ntr .ring ('many v na„gh rt , 417 A.?di 1227 (Pa.Super. 1979). Nevertheless, it should be noted that Plaintiff sent Defendants notice of its intention to foreclose on the Mortgage, which outlined the necessary steps Defendants should take to avoid foreclosure. A true and correct copy of the Notice of Intention to Foreclose Mortgage letter and proof of mailing is attached hereto, incorporated herein by reference, and marked as Exhibit E. Because Defendants failed to take the necessary affirmative steps to bring the loan current, Plaintiff had no alternative but to commence foreclosure proceedings. VIII. THE TEMPORARY STAY AS PROVIDED BY THE HOMEOWNER'S EMERGENCY MORTGAGE ASS 1STANCE PROGRAM, ACT 91 OF 1983,,1{i S TF.RMtNATF.D The Temporary Stay pursuant to Act 91 of 1983 has terminated due to Defendants' ai;d<: c rc meet with Plaintiff or an authorized credit counseling agency in accordance with Plaintiffs written notice to Defendants. A true and correct copy of the Notice of Homeowners' Emergency Mortgage Assistance Act of 1983 and proof of mailing is attached hereto, incorporated herein by reference and marked as Exhibit E. Act 91 of 1983 requires that notice be sent by the mortgagee to the delinquent mortgagor by first class mail addressed to his last known address. 35 P. S. § 1680.403 c(a). The statute specifically provides that notice pursuant to the statute shall be deemed received on the third business day following the date of the mailing of the same. 35 P.S. § 1680.403c(e). The notice which was sent to the Defendants contained the name, address and telephone number of Plaintiffs representative, whom Defendants could have contacted to discuss the delinquency and the possibility of qualifying for emergency mortgage assistance. Notwithstanding the receipt of this information, Defendants failed to take action that would have resulted in a temporary stay of the proceedings. Because the homeowners failed to meet with an approved consumer credit counseling agency and file an application within the period specified, and failed to meet other time limitations under Act 91, the temporary stay under Act 91 of 1983 has expired. Plaintiff, therefore, has properly complied with Act 91 and is permitted to proceed with its foreclosure action. Additionally, Plaintiff submits that the Pennsylvania Housing Finance Agency would now consider the homeowners ineligible for assistance due to Defendants' failure to satisfy the procedural time requirements of Act 91 of 1983. IX. THE. UNITED STATES OF AMERICA IS A PROPER DEFENDANT IN THIS MORTGAGE. FORF,CLOSTJRF ACTION Plaintiff properly named The United States of America as a defendant pursuant to 28 U.S.C. §2410, because of a federal tax lien filed with the Prothonotary of Cumberland County in the Judgment Index Unit as follows: a. IRS vs. Mikhail & Saratoga Ocean; filed August 15, 2007; $ 17,003.48; No.07-4853. A true and correct copy of the Notice of Federal Tax Lien is attached hereto, incorporated herein by reference, and marked as Exhibit F. X. CONCLUSION The purpose of the summary judgment procedure is to prevent vexation and delay, improve the machinery of justice, promote the expeditious disposition of cases and avoid unnecessary trials when no genuine issue of material fact is raised. In making its determination, the Court must accept as true all properly pleaded facts, as well as all reasonable inferences, which might be drawn from them. Thompson v Nason, 379 Pa. Super. 115, 535 A.2d 1177 (1988), affim , 527 Pa.330, 591 A.2d 703 (1991). The Court must restrict its review to material filed in support of and in opposition to the Motion for Summary Judgment, and to uncontroverted allegations in the pleadings. Pa.R.C.P.1035. Overly v. Kass, 382 Pa.Super. 108, 545 A.2d 970 (1989). Plaintiff submits that it has demonstrated sufficient facts to warrant summaryjudgment in its favor. Defendants executed the Mortgage knowing that they would be responsible for the payments. Defendants have admitted the existence of the mortgage and their default in their Answer to the Complaint. Plaintiff has provided an affidavit that Defendants are in default and set forth the amount owed by Defendants. Therefore, Plaintiff maintains that it has produced sufficient evidence to establish a prima facie case for mortgage foreclosure. Once Plaintiff has satisfied its burden, Defendants have a responsibility to demonstrate facts, which would create a genuine issue for trial. Phaff, supra. Defendants have failed to sustain their burden of presenting facts, which would contradict the elements of Plaintiffs claim. Plaintiff respectfully submits that the allegations of the Complaint are, in fact, uncontroverted. Defendants have had use of the Property rent-free at Plaintiffs expense long enough. Defendants' Answer has been interposed for the purpose of delay only. Plaintiff requests that its Motion be granted so that it can recover the unjust financial losses it has incurred to date. WHEREFORE, Plaintiff respectfully requests that an in rem judgment be entered in its favor for the amount due with interest and costs as prayed for in the Complaint, for foreclosure and sale of the mortgaged property. Respectfully submitted, PHELAN HALLINAN & SCHMIEG, LLP By: ? ?(M? ?J rAmevy chalk, Esquire r Pl aintiff EXHIBIT A Prepared By: 3369 0 -xR J n ROBERT h. ZIEGLER F% CC (If-ICC 11 OF OEM Sonya Haulney, ERA Mortgage i 3000 Leadenhall Road Mount Laurel, NJ 08054 (866) 471-6683 Return To: BRA Mortgage 2001 Biahope Gate Blvd. Mount Laurel, NJ 08054 Parcel Number: (Space Above This Line For Recording Data] MORTGAGE MIN 100020000317553745 DEFINITIONS Words used in multiple sections of this document are defined below and other words are defined in Sections 3, 11, 13, 18, 20 and 21. Certain rules regarding the usage of words used in this document are also provided in Section 16. (A) "Security Instrument" means this document, which is dated September 3 0, 2005 , together with all Riders to this document, (B)'Borrower"is Mikhail Ocean, A MARRIED PERSON and Saratoga Ocean, A MARRIED PERSON Borrower is the mortgagor under this Security Instrument. (C) 'BIERS" is Mortgage Electronic Registration Systems, Inc. MERS is a separate corporation that is acting solely as a nominee for Lender and Lender's successors and assigns. MFRS is the mortgagee under this Security Instrument. MERS is organized and existing under the laws of Delaware, and has an address and telephone number of P.O. Box 2026, Flint MI 48501-2026, tel. (888) 679-MERS. PENNSYLVANIA -Single Family - Fannie Mae/Freddie Mac UNIFORM INSTRUMENT WITH MERE Form 3039 1101 Ct-NA(PA) (0302) /1416 Pape 1 a 16 In9lels:50 VMP Morngape Solabne, W. (900)521.7291 BK 1925PG 1841 T OD) 'Lender" is SPA Mortgage Lender is a Corporation organized and existing under the laws of New Jersey Lender's address is 3000 Leadenhall Road Mount Laurel, NJ 08054 (E) "Note" means the promissory note signed by Borrower and dated September 30, 2005 The Note states that Borrower owes Lender Three Hundred Eight Thousand Nine Hundred Dollars and Zero Cents Dollars (U.S. $ 308, 900.00 ) plus interest. Borrower has promised to pay this debt in regular Periodic Payments and to pay the debt in full not later than October 1st, 2035 (F) "Property" means the property that is described below under the heading "Transfer of Rights in the Property." (G) "Loan" means the debt evidenced by the Note, plus interest, any prepayment charges and late charges due under the Note, and all sums due under this Security Instrument, plus interest. (II) 'alders" means all Riders to this Security Instrument that are executed by Borrower. The following Riders are to be executed by Borrower [check box as applicable]: F-1 Adjustable Rate Rider EJ Condominium Rider EJ Second Home Rider Balloon Rider ® Planned Unit Development Rider Q 1-4 Family Rider Q VA Rider Biweekly Payment Rider ? Other(s) [specify] (1) "Applicable Law" means all controlling applicable federal, state and local statutes, regulations, ordinances and administrative rules and orders (that have the effect of law) as well as all applicable final, non- able judicial opinions. (J) " mmunity Association Dues, Fees, and Assessments" means all dues, fees, assessments and other charges that are imposed on Borrower or the Property by a condominium association, homeowners association or similar organization. (K) "Electronic Funds Transfer" means any transfer of funds, other than a transaction originated by check, draft, or similar paper instrument, which is initiated through an electronic terminal, telephonic instrument, computer, or magnetic tape so as to order, instruct, or authorize a financial institution to debit or credit an account. Such term includes, but is not limited to, point-of-sale transfers, automated teller machine transactions, transfers initiated by telephone, wire transfers, and automated clearinghouse transfers. (L) "Escrow Items" means those items that are described in Section 3. (M) 'Miscellaneous Proceeds" means any compensation, settlement, award of damages, or proceeds paid by any third party (other than insurance proceeds paid under the coverages described in Section 5) for: (i) damage to, or destruction of, the Property; (ii) condemnation or other taking of all or any part of the Property; (iii) conveyance in lieu of condemnation; or (iv) misrepresentations of, or omissions as to, the value and/or condition of the Property. (i) 'Mortgage Insurance" means insurance protecting Lender against the nonpayment of, or default on, the Loan. (O) 'Perliodic Payment" means the regularly scheduled amount due for (i) principal and interest under the Note, plus (ii) any amounts under Section 3 of this Security Instrument. IMliafe/??? Qk-6A(PA) (oso2) Page 2 of fo Form 3039 1/01 BK 1925PG 1842 f (1) 'IMPA" means the Real Estate Settlement Procedures Act (12 U.S.C. Section 2601 et seq.) and its implementing regulation, Regulation X (24 C.F.R. Part 3500), as they might be amended from time to time, or any additional or successor legislation or regulation that governs the same subject matter. As used in this Security Instrument, "RESPA" refers to all requirements and restrictions that are imposed in regard to a "federally related mortgage loan" even if the Loan does not qualify as a "federally related mortgage loan" under RESPA. (Q) "Successor in Interest of Borrower" means any party that has taken title to the Property, whether or not that party has assumed Borrower's obligations under the Note and/or this Security Instrument. TRANSFER OF RIGHTS IN THE PROPERTY This Security Instrument secures to Lender: (i) the repayment of the Loan, and all renewals, extensions and modifications of the Note; and (ii) the performance of Borrower's covenants and agreements under this Security Instrument and the Note. For this purpose, Borrower does hereby mortgage, grant and convey to MERS (solely as nominee for Lender and Lender's successors and assigns) and to the successors and assigns of MERS, the following described property located in the Coubm [Type of Recording Jurisdiction] of CUMBERLAND [Name of Recording Jurisdiction]: which currently has the address of 118 STORMEDGE DRIVE CARLISLE ("Property Address"): [City], Pennsylvania 17013 {Street] [Zip Code] 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 Security Instrument. All of the foregoing is referred to in this Security Instrument as the 'Property. Borrower understands and agrees that MERS holds only legal title to the interests granted by Borrower in this Security Instrument, but, if necessary to comply with law or custom, MERS (as nominee for Lender and Lender's successors and assigns) has the right: to exercise any or all of those interests, including, but not limited to, the right to foreclose and sell the Property; and to take any action required of Lender including, but not limited to, releasing and canceling this Security rnetrimimt (04A(PA) (0502) I"Itt Pago3 or to Form 3039 1101 BK1925PG1843 f ' 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. UNIFORM COVENANTS. Borrower and Lender covenant and agree as follows: 1. Payment of Principal, Interest, Escrow Items, Prepayment Charges, and Late Charges. Borrower shall pay when due the principal of, and interest on, the debt evidenced by the Note and any prepayment charges and late charges due under the Note. Borrower shall also pay funds for Escrow Items pursuant to Section 3. Payments due under the Note and this Security Instrument shall be made in U.S. currency. However, if any check or other instrument received by Lender as payment under the Note or this Security Instrument is returned to Lender unpaid, Lender may require that any or all subsequent payments due under the Note and.this Security Instrument be made in one or more of the following forms, as selected by Lender: (a) cash; (b) money order; (c) certified check, bank check, treasurer's check or cashier's check, provided any such check is drawn upon an institution whose deposits are insured by a federal agency, instrumentality, or entity; or (d) Electronic Funds Transfer. Payments are deemed received by Lender when received at the location designated in the Note or at such other location as may be designated by bender in accordance with the notice provisions in Section 15. Lender may return any payment or partial payment if the payment or partial payments are insufficient to bring the Loan current. Lender may accept any payment or partial payment insufficient to bring the Loan current, without waiver of any rights hereunder or prejudice to its rights to refuse such payment or partial payments in the future, but Lender is not obligated to apply such payments at the time such payments are accepted. If each Periodic Payment is applied as of its scheduled due date, then Lender need not pay interest on unapplied funds. Lender may hold such unapplied funds until Borrower makes payment to bring the Loan current. If Borrower does not do so within a reasonable period of time, Lender shall either apply such funds or return them to Borrower. If not applied earlier, such funds will be applied to the outstanding principal balance under the Note immediately prior to foreclosure. No offset or claim which Borrower might have now or in the future against Lender shall relieve Borrower from making payments due under the Note and this Security Instrument or performing the covenants and agreements secured by this Security Instrument. 2. Application of Payments or Proceeds. Except as otherwise described in this Section 2, all payments accepted and applied by Lender shall be applied in the following order of priority: (a) interest due under the Note; (b) principal due under the Note; (c) amounts due under Section 3. Such payments shall be applied to each Periodic Payment in the order in which it became due. Any remaining amounts shall be applied first to late charges, second to any other amounts due under this Security Instrument, and then to reduce the principal balance of the Note. If Lender receives a payment from Borrower for a delinquent Periodic Payment which includes a sufficient amount to pay any late charge due, the payment may be applied to the delinquent payment and the late charge. If more than one Periodic Payment is outstanding, Lender may apply any payment received from Borrower to the repayment of the Periodic Payments if, and to the extent that, each payment fnRfab: (0.6A(PA) (0502) Pagea of IS Form 3039 1101 InvI9.25PG184-4 I t can be paid in full. To the extent that any excess exists after the payment is applied to the full payment of one or more Periodic Payments, such excess may be applied to any late charges due. Voluntary prepayments shall be applied first to any prepayment charges and then as described in the Note. Any application of payments, insurance proceeds, or Miscellaneous Proceeds to principal due under the Note shall not extend or postpone the due date, or change the amount, of the Periodic Payments. 3. Funds for Escrow Items. Borrower shall pay to Lender on the day Periodic Payments are due under the Note, until the Note is paid in full, a sum (the "Funds") to provide for payment of amounts due for: (a) taxes and assessments and other items which can attain priority over this Security Instrument as a lien or encumbrance on the Property; (b) leasehold payments or ground rents on the Property, if any; (c) premiums for any and all insurance required by Lender under Section 5; and (d) Mortgage Insurance premiums, if any, or any sums payable by Borrower to Lender in lieu of the payment of Mortgage Insurance prenuums in accordance with the provisions of Section 10. These items are called "Escrow Items." At origination or at any time during the term of the Loan, Lender may require that Community Association Dues, Fees, and Assessments, if any, be escrowed by Borrower, and such dues, fees and assessments shall be an Escrow Item. Borrower shall promptly furnish to Lender all notices of amounts to be paid under this Section. Borrower shall pay Lender the Funds for Escrow Items unless Lender waives Borrower's obligation to pay the Funds for any or all Escrow Items. Lender may waive Borrower's obligation to pay to Lender Funds for any or all Escrow Items at any time. Any such waiver may only be in writing. In the event of such waiver, Borrower shall pay directly, when and where payable, the amounts due for any Escrow Items for which payment of Funds has been waived by Lender and, if Lender requires, shall furnish to Lender receipts evidencing such payment within such time period as Lender may require. Borrower's obligation to make such payments and to provide receipts shall for all purposes be deemed to be a covenant and agreement contained in this Security Instrument, as the.phrase "covenant and agreement" is used in Section 9. If Borrower is obligated to pay Escrow Items directly, pursuant to a waiver, and Borrower fails to pay the amount due for an Escrow Item, Lender may exercise its rights under Section 9 and pay such amount and Borrower shall then be obligated under Section 9 to repay to Lender any such amount. Lender may revoke the waiver as to any or all Escrow Items at any time by a notice given in accordance with Section 15 and, upon such revocation, Borrower shall pay to Lender all Funds, and in such amounts, that are then required under this Section 3. Lender may, at any time, collect and hold Funds in an amount (a) sufficient to permit Lender to apply the Funds at the time specified under RESPA, and (b) not to exceed the maximum amount a lender can require under RESPA. Lender shall 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 an institution whose deposits are so insured) or in any Federal Home Loan Bank. Lender shall apply the Funds to pay the Escrow Items no later than the time specified under RESPA. Lender shall not charge Borrower for holding and applying the Funds, annually analyzing the escrow acc(unt, or verifying the Escrow Items, unless Lender pays Borrower interest on the Funds and Applicable Law permits Lender to make such a charge. Unless an agreement is made in writing or Applicable Law requires interest to be paid on the Funds, Lender shall not be required to pay Borrower any interest or earnings on the Funds. Borrower and Lender can agree in writing, however, that interest Initle 40-8A{PA)10502) tomes of to -7- Form 3034 1101 8? ? 925?G ? 8?5 1 (- #l shall be paid on the Funds. Lender shall give to Borrower, without charge, an annual accounting of the Funds as required by RESPA. If there is a surplus of Funds held in escrow, as defined under RESPA, Lender shall account to Borrower for the excess funds in accordance with RESPA. If there is a shortage of Funds held in escrow, as defined under RESPA, Lender shall notify Borrower as required by RF.SPA, and Borrower shall pay to Lender the amount necessary to make up the shortage in accordance with RESPA, but in no more than 12 monthly payments. If there is a deficiency of Funds held in escrow, as defined under RESPA, Lender shall notify Borrower as required by RESPA; and Borrower shall pay to Lender the amount necessary to make up the deficiency in accordance with RESPA, but in no more than 12 monthly payments. Upon payment in full of all sums secured by this Security Instrument, Lender shall promptly refund to Borrower any Funds held by Lender. 4. Charges; Liens. Borrower shall pay all taxes, assessments, charges, fines, and impositions attributable to the Property which can attain priority over this Security Instrument, leasehold payments or ground rents on the Property, if any, and Community Association Dues, Fees, and Assessments, if any. To the extent that these items are Escrow Items, Borrower shall pay them in the manner provided in Section 3. 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, but only so long as Borrower is performing such agreement; (b) contests the lien in good faith by, or defends against enforcement of the lien in, legal proceedings which in Lender's opinion operate to prevent the enforcement of the lien while those proceedings are pending, but only until such proceedings are concluded; 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 can attain priority over this Security Instrument, Lender may give Borrower a notice identifying the lien. Within 10 days of the date on which that notice is given, Borrower shall satisfy the lien or take one or more of the actions set forth above in this Section 4. Lender may require Borrower to pay a one-time charge for a real estate tax verification and/or reporting service used by Lender in connection with this Loan. 5. 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, but not limited to, earthquakes and floods, for which Lender requires insurance. This insurance shall be maintained in the amounts (including deductible levels) and for the periods that Lender requires. What Lender requires pursuant to the preceding sentences can change during the term of the Loan. The insurance carrier providing the insurance shall be chosen by Borrower subject to L.endee s right to disapprove Borrower's choice, which right. shall not be exercised unreasonably. Lender may require Borrower to pay, in connection with this Loan, either: (a) a one-time charge for flood zone determination, certification and tracking services; or (b) a one-time charge for flood zone deternnation and certification services and subsequent charges each time remappings or similar changes occur which reasonably might affect such determination or certification. Borrower shall also be responsible for the payment of any fees imposed by the Federal Emergency Management Agency in connection with the review of any flood zone determination resulting from an objection by Borrower. IMUaIa: 444A(PA) (0502) Page 6 of 16 Form 3039 1101 8X1925PG1346 sir, 1I If Borrower fails to maintain any of the coverages described above, Lender may obtain insurance coverage, at Lender's option and Borrower's expense. Lender is under no obligation to purchase any particular type or amount of coverage. Therefore, such coverage shall cover Lender, but might or might not protect Borrower, Borrower's equity in the Property, or the contents of the Property, against any risk, hazard or liability and might provide greater or lesser coverage than was previously in effect. Borrower acknowledges that the cost of the insurance coverage so obtained might significantly exceed the cost of insurance that Borrower could have obtained. Any amounts disbursed by Lender under this Section S shall become additional debt of Borrower secured by this Security Instrument. These amounts shall bear interest at the Note rate from the date of disbursement and shall be payable, with such interest, upon notice from Lender-to Borrower requesting payment. All insurance policies required by Lender and renewals of such policies shall be subject to Lender's right to disapprove such policies, shall include a standard mortgage clause, and shall name Lender as mortgagee and/or as an additional loss payee. Lender shall have the right to hold the policies and renewal certificates. If Lender requires, Borrower shall promptly give to Lender all receipts of paid premiums and renewal notices. If Borrower obtains any form of insurance coverage, not otherwise required by Lender, for damage to, or destruction of, the Property, such policy shall include a standard mortgage clause and shall name Lender as mortgagee and/or as an additional loss payee. 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, any insurance proceeds, whether or not the underlying insurance was required by Lender, shall be applied to restoration or repair of the Property, if the restoration or repair is economically feasible and Lender's security is not lessened. During such repair and restoration period, Lender shall have the right to hold such insurance proceeds until Lender has had an opportunity to inspect such Property to ensure the work has been completed to Lender's satisfaction, provided that such inspection shall be undertaken promptly. Lender may disburse proceeds for the repairs and restoration in a single payment or in a series of progress payments as the work is completed. Unless an agreement is made in writing or Applicable Law requires interest to be paid on such insurance proceeds, Lender shall not be required to pay Borrower any interest or earnings on such proceeds. Fees for public adjusters, or other third parties, retained by Borrower shall not be paid out of the insurance proceeds and shall he the sole obligation of Borrower. 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 the excess, if any, paid to Borrower. Such insurance proceeds shall be applied in the order provided for in Section 2. If Borrower abandons the Property, Lender may file, negotiate and settle any available insurance claim and related matters. If Borrower does not respond within 30 days to a notice from Lender that the insurance carrier has offered to settle a claim, then Lender may negotiate and settle the claim. The 30-day period will begin when the notice is given. In either event, or if Lender acquires the Property under Section 22 or otherwise, Borrower hereby assigns to Lender (a) Borrower's rights to any insurance proceeds in an amount not to exceed the amounts unpaid under the Note or this Security Instrument, and (b) any other of Borrower's rights (other than the right to any refund of unearned premiums paid by Borrower) under all insurance policies covering the Property, insofar as such rights are applicable to the coverage of the Property. Lender may use the insurance proceeds either to repair or restore the Property or to pay amounts unpaid under the Note or this Security Instrument, whether or not then due. iniliel ®-GA(PA) (0502) Page 7 of 16 Form 3039 1/01 81 I925PG1847 6. Occupancy. Borrower shall occupy, establish, and use the Property as Borrower's principal residence within 60 days after the execution of this Security Instrument and shall continue to occupy the Property as Borrower's principal residence for at least one year after the date 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. 7. Preservation, Maintenance and Protection of the Property; Inspections. Borrower shall not destroy, damage or Impair the Property, allow the Property to deteriorate or commit waste on the Property. Whether or not Borrower Is residing in the Property, Borrower shall maintain the Property in order to prevent the Property from deteriorating or decreasing in value due to its condition. Unless it is determined pursuant to Section 5 that repair or restoration is not economically feasible, Borrower shall promptly repair the Property if damaged to avoid further deterioration or damage. If insurance or condemnation proceeds are paid in connection with damage to, or the taking of, the Property, Borrower shall be responsible for repairing or restoring the Property only if Lender has released proceeds for such purposes. Lender may disburse proceeds for the repairs and restoration in a single payment or in a series of progress payirtents as the work is completed. If the insurance or condemnation proceeds are not sufficient to repair or restore the Property, Borrower is not relieved of Borrower's obligation for the completion of such repair or restoration. Lender or its agent may make reasonable entries upon and inspections of the Property. If it has reasonable cause, Lender may inspect the interior of the improvements on the Property. Lender shall give Borrower notice at the time of or prior to such an interior inspection specifying such reasonable cause. 8. Borrower's Loan Application. Borrower shall be in default if, during the Loan application process, Borrower or any persons or entities acting at the direction of Borrower or with Borrower's knowledge or consent gave materially false, misleading, or inaccurate information or statements to Lender (or failed to provide Lender with material information) in connection with the Loan. Material representations include, but are not limited to, representations concerning Borrower's occupancy of the Property as Borrower` s principal residence. 9. Protection of Lender's Interest in the Property and Rights Under this Security Instrument. If (a) Borrower fails to perform the covenants and agreements contained in this Security Instrument, (b) there is a legal proceeding that might significantly affect Lender's interest in the Property and/or rights under this Security Instrument (such as a proceeding in bankruptcy, probate, for condemnation -or forfeiture, for enforcement of a lien which may attain priority over this Security Instrument or to enforce laws or regulations), or (c) Borrower has abandoned the Property, then Lender may do and pay for whatever is reasonable or appropriate to protect Lender's interest in the Property and rights under this Security Instrument, including protecting and/or assessing the value of the Property, and securing and/or repairing the Property. Lender's actions can include, but are not limited to: (a) paying any sums secured by a lien which has priority over this Security Instrument; (b) appearing in court; and (c) paying reasonable attorneys' fees to protect its interest in the Property and/or rights under this Security Instrument, including its secured position in a bankruptcy proceeding. Securing the Property includes, but is not limited to, entering the Property to make repairs, change locks, replace or board up doors and windows, drain water from pipes, eliminate building or other code violations or dangerous conditions, and have utilities turned on or off. Although Lender may take action under this Section 9, Lender does not have to do so and is not under any duty or obligation to do so. It is agreed that Lender incurs no liability for not taking any or all actions authorized under this Section 9. fnitf 4WA(PA)(os02) Pepea of to Form 3039 1101 Du 1925PG 18.48 I l1 %. Any amounts disbursed by Lender under this Section 9 shall become additional debt of Borrower secured by this Security Instrument. These amounts shall bear interest at the Note rate from the date of disbursement and shall be payable, with such interest, upon notice from Lender to Borrower requesting payment. If this Security Instrument is on a leasehold, Borrower shall comply with all the provisions of the lease. If Borrower acquires fee title to the Property, the leasehold and the fee title shall not merge unless Lender agrees to the merger in writing. 10. Mortgage Insurance. If Lender required Mortgage Insurance as a condition of making the Loan, Borrower shall pay the premiums required to maintain the Mortgage Insurance in effect. If, for any reason, the Mortgage Insurance coverage required by Lender ceases to be available from the mortgage insurer that previously provided such insurance and Borrower was required to make separately designated payments toward the premiums for Mortgage Insurance, 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 selected by Lender. If substantially equivalent Mortgage Insurance coverage is not available, Borrower shall continue to pay to Lender the amount of the separately designated payments that were due when the insurance coverage ceased to be in effect. Lender will accept, use and retain these payments as a non-refundable loss reserve in lieu of Mortgage Insurance. Such loss reserve shall be non-refundable, notwithstanding the fact that the Loan is ultimately paid in full, and Lender shall not be required to pay Borrower any interest or earnings on such loss reserve. Lender can no longer require loss reserve payments if Mortgage Insurance coverage (in the amount and for the period that Lender requires) provided by an insurer selected by Lender again becomes available, is obtained, and Lender requires separately designated payments toward the premiums for Mortgage Insurance. If Lender required Mortgage Insurance as a condition of making the Loan and Borrower was required to make separately designated payments toward the premiums for Mortgage Insurance, Borrower shall pay the premiums required to maintain Mortgage Insurance in effect, or to provide a non-refundable loss reserve, until Lender's requirement for Mortgage Insurance ends in accordance with any written agreement between Borrower and Lender providing for such termination or until termination is required by Applicable Law. Nothing in this Section 10 affects Borrower's obligation to pay interest at the rate provided in the Note. Mortgage Insurance reimburses Lender (or any entity that purchases the Note) for certain losses it may incur if Borrower does not repay the Loan as agreed. Borrower is not a party to the Mortgage Insurance. Mortgage insurers evaluate their total risk on all such insurance in force from time to time, and may enter into agreements with other parties that share or modify their risk, or reduce losses. These agreements are on terms and conditions that are satisfactory to the mortgage insurer and the other party (or parties) to these agreements. These agreements may require the mortgage insurer to make payments using any source of funds that the mortgage insurer may have available (which may include funds obtained from Mortgage Insurance premiums). As a result of these agreements, Lender, any purchaser of the Note, another insurer, any reinsurer, any other entity, or any affiliate of any of the foregoing, may receive (directly or indirectly) amounts that derive from (or might be characterized as) a portion of Borrower's payments for Mortgage Insurance, in exchange for sharing or modifying the mortgage insurer's risk, or reducing losses. If such agreement provides that an affiliate of Lender takes a share of the insurer's risk in exchange for a share of the premiums paid to the insurer, the arrangement is often termed "captive reinsurance." Further: (a) Any such agreements will not affect the amounts that Borrower has agreed to pay for Mortgage Insurance, or any other terms of the Loan. Such agreements will not increase the amount Borrower will owe for Mortgage Insurance, and they will not entitle Borrower to any refund. u?ssu 40-6A(PA) (0602) Pages of 18 .Form 3039 1/01 8.(1.925PG1849 %I , I. (b) Any such agreements will not affect the rights Borrower has - if any - with respect to the Mortgage Insurance under the Homeowners Protection Act of 1998 or any other law. These rights may include the right to receive certain disclosures, to request and obtain cancellation of the Mortgage Insurance, to have the Mortgage Insurance terminated automatically, and/or to receive a refund of any Mortgage Insurance premiums that were unearned at the time of such cancellation or termination. 11. Assignment of Miscellaneous Proceeds; Forfeiture. All Miscellaneous Proceeds are hereby assigned to and shall be paid to Lender. If the Property is damaged, such Miscellaneous Proceeds shall be applied to restoration or repair of the Property, if the restoration or repair is econoncally feasible and Lender's security is not lessened. During such repair and restoration period, Lender shall have the right to hold such Miscellaneous Proceeds until Lender has had an opportunity to inspect such Property to ensure the work has been completed to Lender's satisfaction, provided that such inspection shall be undertaken promptly. Lender may pay for the repairs and restoration in a single disbursement or in a series of progress payments as the work is completed. Unless an agreement is made in writing or Applicable Law requires interest to be paid on such Miscellaneous Proceeds, Lender shall not be required to pay Borrower any interest or earnings on such Miscellaneous Proceeds. If the restoration or repair is not economically feasible or Lender's security would be lessened, the Miscellaneous Proceeds shall be applied to the sums secured by this Security Instrument, whether or not then due, with the excess, if any, paid to Borrower. Such Miscellaneous Proceeds shall be applied in the order provided for in Section 2. In the event of a total taking, destruction, or loss in value of the Property, the Miscellaneous Proceeds shall be applied to the sums secured by this Security Instrument, whether or not then due, with the excess, if any, paid to Borrower. In the event of a partial taking, destruction, or loss in value of the Property in which the fair market value of the Property immediately before the partial taking, destruction, or loss in value is equal to or greater than the amount of the sums secured by this Security Instrument immediately before the partial taking, destruction, or loss in value, unless Borrower and Lender otherwise agree in writing, the sums secured by this Security Instrument shall be reduced by the amount of the Miscellaneous Proceeds multiplied by the following fraction: (a) the total amount of the sums secured immediately before the partial taking, destruction, or loss in value divided by (b) the fair market value of the Property immediately before the partial taking, destruction, or loss in value. Any balance shall be paid to Borrower. In the event of a partial taking, destruction, or loss in value of the Property in which the fair market value of the Property immediately before the partial taking, destruction, or loss in value is less than the amount of the sums secured immediately before the partial taking, destruction, or loss in value, unless Borrower and Lender otherwise agree in writing, the Miscellaneous 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 Opposing Party (as defined in the next sentence) offers to make an award to 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 Miscellaneous Proceeds either to restoration or repair of the Property or to the sums secured by this Security Instrument, whether or not then due. "Opposing Party" means the third party that owes Borrower Miscellaneous Proceeds or the party against whom Borrower has a right of action in regard to Miscellaneous Proceeds. Borrower shall be in default if any action or proceeding, whether civil or criminal, is begun that, in Lender's judgment, could result in forfeiture of the Property or other material impairment of Lender's interest in the Property or rights under this Security Instrument. Borrower can cure such a default and, if acceleration has occurred, reinstate as provided in Section 19, by causing the action or proceeding to be tnNials: ®-8A(PA) (0502) Pape 10 of I$ Form 3039 1101 Olt ! 925PG f 850 kg • •. dismissed with a ruling that, in Lender's judgment, precludes forfeiture of the Property or other material impairment of Lender's interest in the Property or rights under this Security Instrument. The proceeds of any award or claim for damages that are attributable to the impairment of Lender's interest in the Property are hereby assigned and shall be paid to Lender. All Miscellaneous Proceeds that are not applied to restoration or repair of the Property shall be applied in the order provided for in Section 2. 12. 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 Borrower or any Successor in Interest of Borrower shall not operate to release the liability of Borrower or any Successors in Interest of Borrower. Lender shall not be required to commence proceedings against any Successor in Interest of Borrower or to 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 any Successors in Interest of Borrower. Any forbearance by Lender in exercising any right or remedy including, without limitation, Lender's acceptance of payments from third persons, entities or Successors in Interest of Borrower or in amounts less than the amount then due, shall not be a waiver of or preclude the exercise of any right or remedy. 13. Joint and Several Liability; Co-signers; Successors and Assigns Bound. Borrower covenants and agrees that Borrower's obligations and liability shall be joint and several. However, any Borrower who co-signs this Security Instrument but does not execute the Note (a "co-signer"): (a) is co-signing this Security Instrument only to mortgage, grant and convey the co-signer'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 can agree to extend, modify, forbear or make any accommodations with regard to the terms of this Security Instrument or the Note without the co-signer's consent. Subject to the provisions of Section 18, any Successor in Interest of Borrower who assumes Borrower's obligations under this Security Instrument in writing, and is approved by Lender, shall obtain all of Borrower's rights and benefits under this Security Instrument. Borrower shall not be released from Borrower's obligations and liability under this Security Instrument unless Lender agrees to such release in writing. The covenants and agreements of this Security Instrument shall bind (except as provided in Section 20) and benefit the successors and assigns of Lender. 14. Loan Charges. Lender may charge Borrower fees for services performed in connection with Borrower's default, for the purpose of protecting Lender's interest in the Property and rights under this Security Instrument, including, but not limited to, attorneys' fees, property inspection and valuation fees. In regard to any other fees, the absence of express authority in this Security Instrument to charge a specific fee to Borrower shall not be construed as a prohibition on the charging of such fee. Lender may not charge fees that are expressly prohibited by this Security Instrument or by Applicable Law. If the Loan 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 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 (whether or not a prepayment charge is provided for under the Note). Borrower's acceptance of any such refund made by direct payment to Borrower will constitute a waiver of any right of action Borrower might have arising out of such overcharge. 15. Notices. All notices given by Borrower or Lender in connection with this Security Instrument must be in writing. Any notice to Borrower in connection with this Security Instrument shall be deemed to InNieta. Q-GA(PA) (0502) Page 11 01 16 Form 3039 1101 BK 19 2 5 PG 185 1' kJ i . have been given to Borrower when mailed by first class mail or when actually delivered to Borrower's notice address if sent by other means. Notice to any one Borrower shall constitute notice to all Borrowers unless Applicable Law expressly requires otherwise. The notice address shall be the Property Address unless Borrower has designated a substitute notice address by notice to Lender. Borrower shall promptly notify Lender of Borrower's change of address. If Lender specifies a procedure for reporting Borrower's change of address, then Borrower shall only report a change of address through that specified procedure. There may be only one designated notice address under this Security Instrument at any one time. Any notice to Lender shall be given by delivering it or by mailing it by first class mail to Lender's address stated herein unless Lender has designated another address by notice to Borrower. Any notice in connection with this Security Instrument shall not be deemed to have been given to Lender until actually received by Lender. If any notice required by this Security Instrument is also required under Applicable Law, the Applicable Law requirement will satisfy the corresponding requirement under this Security Instrument. 16. Governing Law; Severability; Rules of Construction. This Security Instrument shall be governed by federal law and the law of the jurisdiction in which the Property is located. All rights and obligations contained in this Security Instrument are subject to any requirements and limitations of Applicable Law. Applicable Law might explicitly or implicitly allow the parties to agree by contract or it might be silent, but such silence shall not be construed as a prohibition against agreement by contract. 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. As used in this Security Instrument. (a) words of the masculine gender shall mean and include corresponding neuter words or words of the feminine gender; (b) words in the singular shall mean and include the plural and vice versa; and (c) the word "mqy" gives sole discretion without any obligation to take any action. 17. Borrower's Copy. Borrower shall be given one copy of the Note and of this Security Instrument. 18. Transfer of the Property or a Beneficial Interest in Borrower. As used in this Section 18, "Interest in the Property" means any legal or beneficial interest in the Property, including, but not limited to, those beneficial interests transferred in a bond for deed, contract for deed, installment sales contract or escrow agreement, the intent of which is the transfer of title by Borrower at a future date to a purchaser. If all or any part of the Property or any Interest in the Property is sold or transferred (or if Borrower is not a natural person and a beneficial inteiest in Borrower is sold or transferred) without Lender's prior written consent, Lender may requite immediate payment in full of all sums secured by this Security Instrument. However, this option shall not be exercised by Lender if such exercise is prohibited by Applicable Law. 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 given in accordance with'Section 15 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. 19. Borrower's Right to Reinstate After Acceleration. If Borrower meets certain conditions, Borrower shall have the right to have enforcement of this Security Instrument discontinued at any time prior to the earliest of: (a) five days before sale of the Property pursuant to any power of sale contained in this Security Instrument; (b) such other period as Applicable Law might specify for the termination of Borrower's right to reinstate; or (c) 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 MltMis: 40-6A(PA) (0602) Page 12 of 16 Form 3039 1101 BK l 925PG 1852' tr 1 u agreements; (c) pays all expenses incurred in enforcing this Security Instrument, including, but not limited to, reasonable attorneys' fees, property inspection and valuation fees, and other fees incurred for the purpose of protecting Lender's interest in the Property and rights under this Security Instrument; and % takes such action as Lender may reasonably require to assure that Lender's interest in the Property and rights under this Security Instrument, and Borrower's obligation to pay the sums secured by this Security Instrument, shall continue unchanged. Lender may require that Borrower pay such reinstatement sums and expenses in one or more of the following forms, as selected by Lender: (a) cash; (b) money order, (c) certified check, bank check, treasurer's check or cashier's check, provided any such check is drawn upon an institution whose deposits are insured by a federal agency, instrumentality or entity; or (d) Electronic Funds Transfer. Upon reinstatement by Borrower, this Security Instrument and obligations secured hereby shall remain fully effective as if no acceleration had occurred. However, this right to reinstate shall not apply in the case of acceleration under Section 18. 20. Sale of Note; Change of Loan Servicer; Notice of Grievance. The Note or a partial interest in the Note (together with this Security Instrument) can be sold one or more times without prior notice to Borrower. A sale might result in a change in the entity (known as the "Loan Servicer") that collects Periodic Payments due under the Note and this Security Instrument and performs other mortgage loan servicing obligations under the Note, this Security Instrument, and Applicable Law. There also alight 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 which will state the name and address of the new Loan Servicer, the address to which payments should be made and any other information RESPA requires in connection with a notice of transfer of servicing. If the Note is sold and thereafter the Loan is serviced by a Loan Servicer other than the purchaser of the Note, the mortgage loan servicing obligations to Borrower will remain with the Loan Servicer or be transferred to a successor Loan Servicer and are not assumed by the Note purchaser unless otherwise provided by the Note purchaser. Neither Borrower nor Lender may commence, join, or be joined to any judicial action (as either an individual litigant or the member of a class) that arises from the other party's actions pursuant to this Security Instrument or that alleges that the other party has breached any provision of, or any duty owed by reason of, this Security Instrument, until such Borrower or Lender has notified the other party (with such notice given in compliance with the requirements of Section 15) of such alleged breach and afforded the other party hereto a reasonable period after the giving of such notice to take corrective action. If Applicable Law provides a time period which must elapse before certain action can be taken, that time period will be deemed to be reasonable for purposes of this paragraph. The notice of acceleration and opportunity to cure given to Borrower pursuant to Section 22 and the notice of acceleration given to Borrower pursuant to Section 18 shall be deemed to satisfy the notice and opportunity to take corrective action provisions of this Section 20. 21. Hazardous Substances. As used in this Section 21: (a) "Hazardous Substances" are those substances defined as toxic or hazardous substances, pollutants, or wastes 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; (b) "Environmental Law" means federal laws and laws of the jurisdiction where the Property is located that relate to health, safety or environmental protection; (c) "Environmental Cleanup" includes any response action, remedial action, or removal action, as defined in Environmental Law; and (d) an "Environmental Condition" means a condition that can cause, contribute to, or otherwise trigger an Environmental Cleanup. 444A(PA)(0502) Page 13 or 16 Form 3039 1101 BK 1925PG 1853." Borrower shall not cause or permit the presence, use, disposal, storage, or release of any Hazardous Substances, or threaten to release any Hazardous Substances, on or in the Property. Borrower shall not do, nor allow anyone else to do, anything affecting the Property (a) that is in violation of any Environmental Law, (b) which creates an Environmental Condition, or (c) which, due to the presence, use, or release of a Hazardous Substance, creates a condition that adversely affects the value of the Property. 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 (including, but not limited to, hazardous substances in consumer products). Borrower shall promptly give Lender written notice of (a) 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, (b) any Environmental Condition, including but not limited to, any spilling, leaking, discharge, release or threat of release of any Hazardous Substance, and (c) any condition caused by the presence, use or release of a Hazardous Substance which adversely affects the value of the Property. If Borrower learns, or is notified by any governmental or regulatory authority, or any private party, 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. Nothing herein shall create any obligation on Lender for an Environmental Cleanup. NON-UNIFORM COVENANTS. Borrower and Lender further covenant and agree as follows: 22. 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 Section 18 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 judichd proceeding. Lender shall be entitled to collect all expenses incurred in pursuing the remedies provided in this Section 22, including, but not limited to, attorneys' fees and costs of title evidence to the extent permitted by Applicable Law. 23. 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. Borrower shall pay any recordation costs. Lender may charge Borrower a fee for releasing this Security Instrument, but only if the fee is paid to a third party for services rendered and the charging of the fee is permitted under Applicable Law. 24. 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. 25. Reinstatement Period. Borrower's time to reinstate provided in Section 19 shall extend to one hour prior to the commencement of bidding at a sheriffs sale or other sale pursuant to this Security Instrument. 26. Purchase Money Mortgage. If any of the debt secured by this Security Instrument is lent to Borrower to acquire title to the Property, this Security Instrument shall be a purchase money mortgage. 27. Interest Rate After Judgment. Borrower agrees that the interest rate payable after a judgment is entered on the Note or in an action of mortgage foreclosure shall be the rate payable from time to time under the Note. Wt 4=4A(PA)(0502) Page 14 of 16 Form 3039 1/01 QK 1925PG 1 854:' BY SIGNING BELOW, Borrower accepts and agrees to the terms and covenants contained in this Security Instrument and in any Rider executed by Borrower and recorded with it. Witnesses: _ S l Mikhail Ocean -Bo ower _ (Seal) -Borrower QR-6A(PA) (0502) BK 1925P61855 _ (Seal) -Borrower _ (Seal) -Borrower Saratoga Ocean Page 16 of 16 (sea]) -Borrower (seal) -Borrower (Seal) -Borrower Form 3038 1101 k- t M. COMMONWEALTH OF PENNSYLVANIA, CU14BHRLAND County ss: On this, the 30th day of September, 2005 , before lne, the rte" undersigned officer, personally appeared Mikhail Ocean, Saratoga Ocean 49y Gt/ known to me (or satisfactorily proven) to be the person(s) whose name(s) istare subscribed to the within instrument and acknowledged that he/shelthey executed the same for the purposes herein contained. IN WITNESS WHEREOF, I hereunto set my hand and official seal. My Commission Expires: Title of Officer COMMONWEALTH OF P13MSYLVA Notarial Soal Jaae Adams, Notary Publio Carlisle Boro, Cumberland County My Commission Expires Sept. 6, 2000 Certificate of Residence I, Sonya Haulsey , do hereby certify that the correct address of the within-named Mortgagee is P.O. Box 2026, P'lint, MI 48501-2026. Witness my hand this 30th day of September, 2005 onya Haulsey Agent of Mortgagee 4R-GA(PA) (o5o2) 8K l 925PG 1856 )nglals: Page 16 of 16 form 3039 1/01 Loan Number : 0031755374 LOW DOWN PAYMENT MORTGAGE RIDER TO SECURITY INSTRUMENT THIS LOW DOWN PAYMENT MORTGAGE RIDER TO SECURITY INSTRUMENT is made this 30th day of September, 2005, and is incorporated into and shall be deemed to amend and supplement the Mortgage, Deed of Trust, or Security Deed (the "Security Instrument") of the same date given by the undersigned ("Borrower") to secure Borrower's Note to ERA Mortgage ("Lender") covering the Property described in the Security instrument and located at: 118 STONEHEDGE DRIVE CARLISLE, PA 17013 [Property Address] ADDITIONAL COVENANTS. In addition to the covenants and agreements made in the Security Instrument, Borrower and Lender further covenant and agree as follows: A. LOW DOWN PAYMENT MORTGAGE RATE REDUCTION The Note provides for the reduction in the Borrower's interest rate as follows: 1. LOW DOWN PAYMENT MORTGAGE RATE REDUCTION Borrower has agreed to pay the rate of interest set forth in Section 2 of the Note (the "Note Rate") until the full amount of principal has been paid. Note Holder agrees to decrease the Note Rate by 0.75 percentage point(s) on the earlier of (a) the First Cancellation Date or the Second Cancellation Date, provided that the conditions described in LA or LB below, as applicable, are satisfied; or (b) the Termination Date, provided that Borrower's monthly payments are current at that time. A. First Cancellation Date The "First Cancellation Date" is defined as the date that is the first monthly payment due date after Note Holder has verified that Borrower has satisfied all of the following requirements: (1) Borrower must request cancellation in writing; (2) the mortgage balance: (a) is first scheduled to reach 80% of the original property value; or b) actually reaches 80% of the original property value; (3) Borrower has demonstrated a Good Payment History (as described below); and (4) the then-current value of the property is at least equal to the original property value. (For purposes of calculating original property value hereunder, Borrower's loan-to-value ratio at origination is 100.00%. In addition, the then-cun ent property value will be based on a new appraisal or broker's price opinion obtained by Note Holder and paid for by Borrower.) For purposes of the First Cancellation Date, Borrower will have demonstrated a Good Payment History if the Borrower has had neither (1) a payment thirty (30) days or more past due in the twelve (12) months preceding the -payment due date immediately prior or the First Cancellation Date, nor (2) a payment sixty (60) days or more past due in the twenty-four (24) months preceding the payment due date immediately prior to the First Cancellation Date. If Borrower has had the mortgage loan for less than twenty-four (24) months, this payment history requirement will be based on the length of time Borrower has had the mortgage loan. MULTISTATE LOW DOWN PAYMENT MORTGAGE RIDER TO SECURITY INSTRUMENT--Single Family-Fannie Mae UNIFORM INSTRUMENT 0641414 taoon Page 1 GO Bf I 925PG 1857..' r B. Second Cancellation Date The "Second Cancellation Date" is defined as the date that is the first monthly payment due date after Note Holder has verified that Borrower has satisfied all of the following requirements: (1) Borrower must request cancellation in writing; (2) the mortgage balance must be paid down to a point that it,: (a) if within 2 to 5 years of the date of this document, reaches 75% of the current property value, or (b) if after 5 years of the date of this document, reaches 80% of the current property value (current property value to be based on a new appraisal obtained by Note Holder and paid for by Borrower); and (3) the loan must have at least a twenty-four (24) month history. For purposes of the Second Cancellation Date, the Borrower will have demonstrated a Good Payment History if the Borrower has had neither (1) a payment thirty (30) days or more past due in the twelve (12) months preceding the payment due date immediately prior to the Second Cancellation Date, nor (2) a payment sixty (60) days or more past due in the twenty-four (24) months preceding the payment due date immediately prior to the Second Cancellation Date. C. Termination Date The "Termination Date" is defined as the earlier of. (1) the date that the mortgage balance is first scheduled to reach 78% of the original value of the property; or (2) the first day of the month after the date that is the mid-point of the original mortgage amortization period. For purposes of the Termination Date, the Borrower's monthly payments will be deemed to be current if the payment due in the month before the Termination Date, all prior monthly payments, and any outstanding late charges have been paid by the end of the month before the Termination Date. If the Borrower's monthly payments are not current on the Termination Date, the rate will be reduced thereafter-on the first payment due date following the date on which Borrower's monthly payments become current. D. New Payment Amount If and when the Note gate is reduced as described above, Note Holder will advise Borrower (1) of the amount of the new monthly payment that would be sufficient to repay the unpaid principal Borrower will owe on the date the Note Rate is reduced, in full on the maturity date at Borrower's new Note Rate in substantially equal payments (the result of the calculation will be Borrower's New Payment Amount"); and (2) the date on which the New Payment Amount is to commence, which shall be the next payment due date after the First Cancellation Date, the Second Cancellation Date, or the Termination Date, as applicable. MULTISTATE LOW DOWN PAYMENT MORTGAGE RIDER TO SECURITY INSTRUMENT--Single Family--Fannie Mae UNIFORM INSTRUMENT 0541414 (Door) Page 2 d 3, RK-1925PG.1858.' BY SIGNING BELOW, Borrower accepts and agrees to the terms and provisions contained in this Low Down Payment Mortgage Rider to Security Instrument. Mikhail Ocean Saratoga Oce 14F an MULTISTATE LOW DOWN PAYMENT MORTGAGE RIDER TO SECURITY WSTRUMENT--Single Family--Fannie Mae UNIFORM WSTRUMENT 0641414 pooh Page 3 013 OK.1 925PG 1859. e d' ? 0 PLANNED UNIT DEVELOPMENT RIDER THIS PLANNED UNIT DEVELOPMENT RIDER is made this 30th day of September, 2005 , and is Incorporated into and shall be deemed to amend and supplement the Mortgage, Deed of Trust, or Security Deed (the 'Security Instrument') of the same date, given by the undersigned (the "Borrower") to secure Borrower's Note to BRA Mortgage (the 'Lender") of the same date and covering the Property described in the Security Instrument and located at: 118 STONEHEDGE DRIVE CARLISLE, PA 17013 [Property Address} The Property includes, but is not limited to, a parcel of land Improved with a dwelling, together with other such parcels and certain common areas and facilities, as described in the COVENANTS, CONDITIONS AND RESTRICTIONS (the "Declaration"). The Property is a part of a planned unit development known as [Name of Planned Unit Development] (the "PUD"). The Property also includes Borrower's interest in the homeowners association or equivalent entity owning or managing the common areas and facilities of the PUD (the "Owners Association') and the uses, benefits and proceeds of Borrower's Interest. PUD COVENANTS. In addition to the covenants and agreements made In the Security Instrument, Borrower and Lender further covenant and agree as follows: A. PUD Obligations. Borrower shall perform all Of Borrower's obligations under the PUD's Constituent Documents. The "Constituent Documents" are the (1) Declaration; (ii) articles of incorporation, trust Instrument or any equivalent document which creates the Owners Association; and (iii) any by-laws or other rules or regulations of the Owners Association. Borrower shall promptly pay, when due, all dues and assessments imposed pursuant to the Constituent Documents. M ULTISTATE PUD RIDER - Single Family - Fannie Mae/Freddie Mac UNIFORM INSTRUMENT Form 315 0 1 /01 '? Page 1 of 3 Initials: ®-®-7R (0405) VMP Mortgage Solutions, Inc. (800)521-7291 77?? BK ! 925PG 186.0 B. Property Insurance. So long as the Owners Association maintains, with a generally accepted insurance carrier, a 'master" or 'blanket' policy Insuring the Property which is satisfactory to Lender and which provides Insurance coverage in the amounts (including deductible levels), for the periods, and against loss by fire, hazards included within the term 'extended coverage," and any other hazards, including, but not limited to, earthquakes and floods, for which Lender requires Insurance, then: (1) Lender waives the provision in Section 3 for the Periodic Payment to Lender of the yearly premium installments for property insurance on the Property; and (ii) Borrower's obligation under Section 5 to maintain property insurance coverage on the Property is deemed satisfied to the extent that the required coverage Is provided by the Owners Association policy. What Lender requires as a condition of this waiver can change during the term of the loan. Borrower shall give Lender prompt notice of any lapse In required property Insurance coverage provided by the master or blanket policy. In the event of a distribution of property insurance proceeds in lieu of restoration or repair following a loss to the Property, or to common areas and facilities of the PUD, any proceeds payable to Borrower are hereby assigned and shall be paid to Lender. Lender shall apply the proceeds to the sums secured by the Security Instrument, whether or not then due, with the excess, if any, paid to Borrower. C. Public Liability Insurance. Borrower shall take such actions as may be reasonable to Insure that the Owners Association maintains a public liability Insurance policy acceptable in form, amount, and extent of coverage to Lender. D. Condemnation. The proceeds of any award or claim for damages, direct or consequential, payable to Borrower in connection with any condemnation or other taking of all or any part of the Property or the common areas and facilities of the PUD, or for any conveyance in lieu of condemnation, are hereby assigned and shall be paid to Lender. Such proceeds shall be applied by Lender to the sums secured by the Security Instrument as provided in Section 11. E. Lender's Prior Consent. Borrower shall not, except after notice to Lender and with Lender's prior written consent, either partition or subdivide the Property or consent to: (i) the abandonment or termination of the PUD, except for abandonment or termination required by law In the case of substantial destruction by fire or other casualty or in the case of a taking by condemnation or eminent domain; (ii) any amendment to any provision of the 'Constituent Documents' if the provision Is for the express benefit of Lender; (iii) termination of professional management and assumption of self -managernent of the Owners Association; or (Iv) any action which would have the effect of rendering the public liability insurance coverage maintained by the Owners Association unacceptable to Lender. F. Remedies. If Borrower does not pay PUD dues and assessments when due, then Lender may pay them. Any amounts disbursed by Lender under this paragraph F shall become additional debt of Borrower secured by the Security Instrument. Unless Borrower and Lender agree to other terms of payment, these amounts shall bear Interest from the date of disbursement at the Note rate and shall be payable, with interest, upon notice from Lender to Borrower requesting payment. Initials!"'Z??l? t=-7R (0405) Page 2 of 3 t Form 3150 1/01 OK 1925PG 186 f BY SIGNING BE-OW, Borrower accepts and agrees to the terms and provisions contained in this PUD Rider. (Seal)" (Seal) Mi ail an -Borrower Saratoga a -Borrower ?k Pd /- (Seal) -Borrower 407R (0405) (Seal) -Borrower _, {Seal) -Borrow er Page 3 of 3 (Seal) -Borrow er (Seal) -Borrower _. (Seal) -Borrower Form 3150 1/01 Bit, 1 9 2 5 PG 1 8 6 2 $ 0 4 +. COMMONWEALTH OF PENNSYLVANIA, CUMBERLAND County ss: On this, the 30th day of September, 2005 before lne, the undersigned officer, personally appeared Mikhail Ocean, Saratoga Ocean 4y known to me (or satisfactorily proven) to be the person(s) whose name(s) istare subscribed to the within instrument and acknowledged that helshelthey executed the same for the purposes herein contained. IN WITNESS WHEREOF, I hereunto set my hand and official seal. My Commission Expires: Title of Officer COMMONWEALTH OF PENNSYLVANL4 Notarial Seal Jane Adams, Notary Public Carlisle Boro, Cumberland County My Commission Expires Sept. 6, 2000 Certificate of Residence 1, Sonya Haulsey , do hereby certify that the correct address of the within-named Mortgagee is P.O. Box 2026, Flint, MI 48501-2026. Witness my hand this 30th day of September, 2005 / onya Haulsey Agent of Mortgagee ?-6A(PA ) (0502) Page Is of 16 Initials: 3039 1101 '.J? j) k ALL THAT CERTAIN lot or parcel of land situate In South Middleton Township, Cumberland County, Penna"nla, more particularly bounded and described as f IGM, to wit BEGINNING at a point on the western right-of-way line of 5tonshedge Drive, a sixty foot wide righk4 Way, said point also being the scut t comer of Lot No. 34; thence along the western right-away line of Stonshedge Drive, South twenty-one (21) degrees fifth (50) minutes zero (00) seconds West a distance of forty-three and sixty- four hundredths (43.64) feet to a point; thence along the same and a curve to the right having a radius of two hundred seventy and zero hundredths (270.00) feet and an arc distance of one hundred and zero hundredths (100.00) feet, said arc being subtended by a chord of South 32 degrees 2e minutes 37 seconds West, a chord distance of ninety-nine and fort ree hundredths (98.43) fleet to a point at the comer of W No. .32 of the Stonehedge PRD Stage 3A also being in the center of a 40 Foot wide drainage swele; thence along licit No_ 32 and the center of said Swale, North forty four (44) degrees ft-nine (09) minutes thirty-eight (38) seconds West a distw= of one hundred forty-three and twenty-five hundredths (143.25) feet to a point in the center of the aforesaid 40 foot- wide drainage Swale at lands now .or formerly of Stonehedge Pevelopers, Inc.; thence along said land of Stonehedge Developers, Inc. and the center of said swale, Northtwenityy-one [21) degrees My (50) minutes zero (00) seconds East a +??•c?'?Tgfity?ive :?`ttd•ze?v fidndrsdfhs- (tdj ?f'lr "a 'a n n "ciir'???3f`Cot' No. 34; thence along Lot No. 34, South ably-eight (68) degrees ten (10) MIftUt ".zero (00) seconds East, a distance of one hundred fifty and zero hundredths (160.00) feet to a point the point of beginning. SUBJECT TO a twenty (20) foot wide drainage easement along its southern property line common with Lot No. 32, and a twenty (20) That wide drainage easement along its westem property line with other lands of Stonehedge Developers, Inc. CONTAINING 0.39 acres, more or less, and Identified as Lot No. 33 of Stonehedge PRD Stage 3A, recorded in Plan Book 69, page 13 in Curnberiand County Recorder of Deeds Office, Carlisle, Pennsylvania UNDER AND SUI3.lfECT to a -Declaration of Covenants and Restrictions recorded in Cumberland County Miscellaneous Book 311, Page 42, and subject to a Supplemental Declaration of Covenants and Restrictions recorded in Cumberland County Miscellaneous Book 603, Page 404, and further subject to the Bylaws of the Stonshedge Home Owners Assodation as recorded in Cumberland County Miscellaneous Beak 311, Page 511. 1 Certify this to be recorded "n Cumberland Counts' PA EXHIBIT "a_ Bf{. f 925PG 1863 Recorder of Deeds EXHIBIT Al MIN p: 100020000317553745 Loan Number: 0031755374 NOTE September 30, 2005 CARLISLE [Date) [City] 118 STONEHEDGE DRIVE CARLISLE, PA 17013 [Property Address] 1. BORROWER'S PROMISE TO PAY In return for a loan that I have received, I promise to pay U.S. $ 308, 900.00 plus interest, to the order of the Lender. The Lender is ERA Mortgage Pennsylvania [State] (this amount is called "Principal"), I will make all payments under this Note in the form of cash, check or money order. 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 payments 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 7.616 %. 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 a payment every month. I will make my monthly payment on the 01st day of each month beginning on November let, 2005 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. Each monthly payment will be applied as of its scheduled due date and will be applied to interest before Principal. If, on October lot, 2035 , I still owe amounts under this Note, I will pay those amounts in full on that date, which is called the "Maturity Date." I will make my monthly payments at 3000 Leadenhall Road Mount Laurel, NJ 08054 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. $ 2184.47 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 not designate a payment as a Prepayment if I have not made all the monthly payments due under the Note. I may make a full Prepayment or partial Prepayments without paying a Prepayment charge. The Note Holder will use my Prepayments to reduce the amount of Principal that I owe under this Note. However, the Note Holder may apply my Prepayment to the accrued and unpaid interest on the Prepayment amount, before applying my Prepayment to reduce the Principal amount of the 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. MULTISTATE FIXED RATE NOTE-Single Family-Fannie Mae/Freddie Mac UNIFORM INSTRUMENT 4j-5N (0207).01 Form 3200 1101 VMP MORTGAGE FORMS - (800)521.7281 Papa 1 of 3 InH 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 collected or to be collected in connection with this 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 me which exceeded permitted limits will be refunded 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 Fifteen 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 5.00 % 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 mailed to me or delivered by other means. (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 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 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 delivering it or 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. 8. OBLIGATIONS OF PERSONS UNDER THIS NOTE If more than one person signs this Note, each person is fully and personally obligated to keep all of the promises made in this Note, including the promise to pay the full amount owed. Any person who is a guarantor, surety or endorser of this Note is also obligated to do these things. Any person who takes over these obligations, including the obligations of a guarantor, surety or endorser of this Note, is also obligated to keep all of the promises made in this Note. The Note Holder may enforce its rights under this Note against each person individually or against all of us together. This means that any one of us may be required to pay all of the amounts owed under this Note. 9. WAIVERS I and any other person who has obligations under this Note waive the rights of Presentment and Notice of Dishonor. "Presentment" means the right to require the Note Holder to demand payment of amounts due. "Notice of Dishonor" means the right to require the Note Holder to give notice to other persons that amounts due have not been paid. Form 3200 1101 ?SN (0207) 01 Papa 2 of 3 muws: n J 10. UNIFORM SECURED NOTE This Note is a uniform instrument with limited variations in some jurisdictions. In addition to the protections given to the Note Holder under this Note, a Mortgage, Dead of Trust, or Security Deed (the "Security Instrument"), dated the same date as this Note, protects the Note Holder from possible losses which might result if I do not keep the promises which I make in this Note. That Security Instrument describes how and under what conditions I may be required to make immediate payment in full of all amounts I owe under this Note. Some of those conditions are described as follows: If all or any part of the Property or any Interest in the Property is sold or transferred (or if Borrower is not a natural person and a beneficial interest in Borrower is sold or transferred) without Lender's prior written consent, Lender may require immediate payment in full of all sums secured by this Security Instrument. However, this option shall not be exercised by Lender if such exercise is prohibited by Applicable Law. 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 given in accordance with Section 15 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. WITNESS THE HAND(S) AND SEAL(S) OF THE UNDERSIGNED. ?•E?? (Seat) 6;zot..?.., (Seal) Mikha 1 Ocean -Borrower Saratoga aqev -Borrower vp- "o"d ¢- (Seal) (Seal) -Borrower -Borrower (Seal) -Borrower (Seal) -Borrower _ (Seal) -Borrower -(Seal) Borrower [Sign Original Only] ?SH )0207).01 Pape 3 01 3 form 3200 1/01 Loan Number : 0031755374 LOW DOWN PAYMENT MORTGAGE ADDENDUM TO NOTE THIS LOW DOWN PAYMENT MORTGAGE ADDENDUM TO NOTE is made this 30th day of September, 2005, and is incorporated into and shall be deemed to amend and supplement the Note made by the undersigned ("Borrower"), in favor of ERA Mortgage ("Lender") and dated the same date as this Addendum (the "Note"). The Note is secured by a security instrument, as modified or amended, in favor of Lender dated the 30th day of September, 2005 (the "Security Instrument"). (As in the Note, Lender or anyone who takes the Note by transfer and who is entitled to receive payments under the Note is called the "Note Holder.") ADDITIONAL COVENANTS. In addition to the covenants and agreements made in the Note, Borrower and Note Holder further covenant and agree as follows: 1. LOW DOWN PAYMENT MORTGAGE RATE REDUCTION Borrower has agreed to pay the rate of interest set forth in Section 2 of the Note (the "Note Rate") until the full amount of principal has been paid. Note Holder agrees to decrease the Note Rate by 0.75 percentage point(s) on the earlier of (a) the First Cancellation Date or the Second Cancellation Date, provided that the conditions described in I.A. or I.B. below, as applicable, are satisfied; or (b) the Termination Date, provided that Borrower's monthly payments arecurrent at that time. A. First Cancellation Date The "First Cancellation Date" is defined as the date that is the first monthly payment due date after Note Holder has verified that Borrower has satisfied all of the following requirements: (1) Borrower must request cancellation in writing; (2) the mortgage balance: (a) is first scheduled to reach 80% of the original property value, or (b) actually reaches 80% of the original property value; (3) Borrower has demonstrated a Good Payment History (as described below); and (4) the then-current value of the property is at least equal to the original property value. (For purposes of calculating original property value hereunder, Borrower's loan-to-value ratio at origination is 100.00 %. In addition, the then-current property value will be based on a new appraisal or broker's price opinion obtained by Note Holder and paid for by Borrower.) For purposes of the First Cancellation Date, Borrower will have demonstrated a Good Payment History if Borrower has had neither (1) a payment thirty (30) days or more past due in the twelve (12) months preceding the payment due date immediately prior to the First Cancellation Date, nor (2) a payment sixty (60) days or more past due in the twenty-four (24) months preceding the payment due date immediately prior to the First Cancellation Date. If Borrower has had the mortgage loan for less than twenty-four (24) months, this payment history requirement will be based on the length of time Borrower has had the mortgage loan. B. Second Cancellation Date The "Second Cancellation Date" is defined as the date that is the first monthly payment due date after Note Holder has verified that Borrower has satisfied all of the following requirements: (1) Borrower must request cancellation in writing; (2) the mortgage balance must be paid down to a point that it,: (a) if within 2 to 5 years of the date of this document, reaches 75% of the current property value, or (b) if after 5 years of the date of this document, reaches 80% of the current property value (current MULTISTATE LOW DOWN PAYMENT MORTGAGE ADDENDUM TO NOTE-Single Family--Fannie Mae UNIFORM INSTRUMENT 0641415 toooal Pere t of 2 property value to be based on a new appraisal obtained by Note Holder and paid for by Borrower); and (3) the loan must have at least a twenty-four (24) month history. For purposes of the Second Cancellation Date, the Borrower will have demonstrated a Good Payment History if the Borrower has had neither (1) a payment thirty (30) days or more past due in the twelve (12) months preceding the payment due date immediately prior to the Second Cancellation Date, nor (2) a payment sixty (60) days or more past due in the twenty-four (24) months preceding the payment due date immediately prior to the Second Cancellation Date. C. Termination Date The "Termination Date" is defined as the earlier of. (1) the date that the mortgage balance is first scheduled to reach 78% of the original value of the property; or (2) the first day of the month after the date that is the mid-point of the original mortgage amortization period. For purposes of the Termination Date, the Borrower's monthly payments will be deemed to be current if the payment due in the month before the Termination Date, all prior monthly payments, and any outstanding late charges have been paid by the end of the month before the Termination Date. If the Borrower's monthly payments are not current on the Termination Date, the rate will be reduced thereafter on the first payment due date following the date on which Borrower's monthly payments become current. D. New Payment Amount If and when the Note Rate is reduced as described above, Note Holder will advise Borrower (1) of the amount of the new monthly payment that would be sufficient to repay the unpaid principal Borrower will owe on the date the Note Rate is reduced, in' full on the maturity date at Borrower's new Note Rate in substantially equal payments (the result of the calculation will be Borrower's "New Payment Amount"); and (2) the date on which the New Payment Amount is to commence, which shall be the next payment due date after the First Cancellation Date, the Second Cancellation Date, or the Termination Date, as applicable. BY SIGNING BELOW, Borrower accepts and agrees to the terms and provisions contained in this Low Down Payment Mortgage Addendum to Note. j Ocean i°dAr Saratoga MULTISTATE LOW DOWN PAYMENT MORTGAGE ADDENDUM TO NOTE-Single Family--Fannie Mae UNIFORM INSTRUMENT 0641415 .lowe) Pape 2 of 2 From: I RW I N LAIC OFFICE 717 243 920, 09/281/2005 12:411 #618 P.001/D-12 SIGNATURE/NtiLME AFFIDAVIT DATE September 30, 2005 LOAN #: 0031755374 BORROWER: Mikhail Ocean, Saratoga Ocean THIS IS TO CERTIFY THAT MY LLGAL SIGNATURE IS AS WRITTEN AND TYPED BELOW. (This signature must exactly match signa!ures on the Note and Mortgege or Dead n1 Trust.) Mikhail ocean Mkhad (Ices/i ?? (Prtrd or Type Name) Signatura _ (If applicable, complete the following.) 1 AM ALSO KNOWN AS: (PMt of Type Name) (Print or Type Nelrte) (Print or Type Name) Signature 5ignalure Slynature (Print V Type Name) and that and the same person. State/Oommonwealth of nA County/Parish of LUMZRI M Subscribed and sworn (affirmed) before me this 30th day of gaptember Signature are one , 2005 Notary Public In and for the Stat-e/Commonwealth of PA County/? nsh of cu=zRr.A= My Commission Expires at 304 (0165),01 -10P 1101taw 601vilot 1840';21-7,01 3/01 NOTARIAL SEAL 'nns, %.- 0r* HAROLD S. IRON, III, NOTAR:22 BLIC OUGH, COUNTY F CUMBERLAND RLISLE 'AAV COMMSSION CORES OCTOOBE2006 I FroCIRWIN LAW OFFICE 71? 248' P-XI 0V28/2912:41 #618 P.CX1rfO0Q SIGNATURE/NAME. AFFIDAVIT DATE September 30, 2005 LOAN #: 0031755374 BORROWER Mikhail Ocean, garatoga ocean THIS IS TO CERTIFY THAT MY LECCAL SIGNATURE IS AS WRITTEN AND TYPED BELOW. (This signature must exactly match signatures on the Note and Mortgage or Dead of Trust.) Saratoga Ocean (Print or Type Name) Signature (if applicable, complete the following.) I AM ALSO KNOWN AS: (Print or type Name) ftntdlrt (Primt or Type Name) Signature _- _ - - (Print or Type Name) Signature (Nnt of Type Name) ftcature and !hat and the same person. State/Commonw owth of PA County/Parish of cvba?st3Lxm Subeoribed and sworn (affirmed) before me this loth day of September ev 04 t01c3Ne1 vv40W! t.-iPt , 3004 Notary Public in and for the Sta:atCommonweaith of PA County/Parish of CIDMERLM My Commission Expirbs: %N P NHi?lp• 801vtmU !ieCtL21 7211 - NOTARIAL SEAL HAROLD S. IRWIN, III, NOTARY PUBLIC ;ARLISLE BOROUGH, COUNTY OF CUMBMLAND W COMMISSION EXPIRES OCTOBER 22, ?COB are one 3101 EXHIBIT A2 PHELAN HALLINAN & SCHMIEG Suite 1400 Philadelphia, PA 19103-1814 215-563-7000 Email: john.caporale@fedphe.com John A. Caporale Representing Lenders in Ext. 1312 Pennsylvania and New Jersey April 23, 2008 Recorder of Deeds Cumberland County Courthouse 1 Courthouse Square Carlisle, PA 17013 Re: Assignment of Mortgage from Mortgage Electronic Registration Systems Inc to PHH Mortgage Corporation Our File: Ocean, Mikhail Account No: 003 1 75 53 74 Sir/Madam: Enclosed please find the above referenced Assignment of Mortgage and our check in the amount of $27.00, representing the recording fee for the same. Please record these assignments and notify the undersigned of the recording dates. We are also enclosing two self-addressed stamped envelopes for your convenience, one for the recording receipt to be returned with our attorney copy, or absent a receipt, with our attorney copy stamped recorded and one for the original recorded assignment, once it comes off record. Thank you for your prompt attention to this matter. JHC Attachments Cc: Attn: File No.: 0031755374 (_ our invoice is enclosed.) ASSIGNMENT OF MORTGAGE KNOW ALL MEN BY THESE PRESENTS that "Mortgage Electronic Registration Systems Inc." hereinafter "Assignor" the holder of the Mortgage hereinafter mentioned, for and in consideration of the sum of ONE DOLLAR ($1.00) lawful money unto it in hand paid by PHH Mortgage Corporation, "Assignee" the receipt whereof is hereby acknowledged, has herebygranted, bargained, sold, assigned, transferredandset over unto the saidAssignee, its successors and assigns, ALL THAT CERTAIN Indenture of Mortgage given and executed by Mikhail Ocean, a married person and Saratoga Ocean, a married person to Mortgage Electronic Registration Systems, Inc. as a nominee for ERA Mortgage, bearing the date 7/30/05, in the amount of $308,900.00, together with the Note and indebtedness therein mentioned, said Mortgage being recorded on 10/3/05 in the County of Cumberland, Commonwealth of Pennsylvania, in Mortgage Book 1925 Page 1841. Being Known as Premises: 118 Stonehedge Drive, Carlisle, PA 17013 Parcel No: 40-23-0602-204 The transfer ofthe mortgage and accompanying rights was effective at the time the loan was sold and consideration passed to the Assignee. This assignment is solely Intended to describe the instrumentsold in a mannersufcient to put third parties on public notice of what has been sold Also the Bond or Obligation in the said Indenture of Mortgage recited, and all Moneys, Principal and Interest, due and to grow due thereon, with the Warrant of Attorney to the said Obligation annexed. Together with all Rights, Remedies and incidents thereunto belonging. And all its Right, Title, Interest, Property, Claim and Demand, in and to the same: TO HAVE, HOLD, RECEIVE AND TAKE, all and singular the hereditaments and premises hereby granted and assigned, or mentioned and intended so to be, with the appurtenances unto Assignee, its successors and assigns, to and for its only proper use, benefit and behoof forever; subject; nevertheless, to the equity of redemption of said Mortgagor in the said Indenture of Mortgage named, and his/her/their heirs and assigns therein. IN WITNESS WHEREOF, the said "Assignor" has caused its Corporate Seal to be herein affixed and these presents to be duly executed by its proper officers this 18ei day of April, 2008. Mortgage.Elei tro sic Registration Systems Inc. By: a / Sealed and Delivered Francis S Hallinan Esq Assistant Secretary and Vice President in the presence of us; Attest: State of PA ss. County of Philadelphia On this 18`s day of April, 2008, before me, the subscriber, personally appeared Francis S Hallinan Esq, Assistant Secretary and Vice President who acknowledged him/herselfto be the Assistant Secretary and Vice President of Mortgage Electronic Registration Systems Inc., and that he/she, as such Assistant Vice President & Secretary, being authorized to do so, executed the foregoing instrument for the purposes therein contained. IN WITNESS WHEREOF, I hereunto set my hand and official seal. COMMONWEALTH OF PENNSYLVANIA - --Ik Stamp/Seal: Notary ubiic NOTARIAL SEAL THOMAS P. STRAIN, No Public The precise address of the After recording return to: City of Philadelphia, Phga3l%un within -named Assignee is: Phelan, Hallinan and Schmieg LLP COMMIssion Expires' Fe 4, 2010 4001 Leadenhall Road One Penn Center Mt Laurel, NJ 08054 1617 J.F.K. Blvd., Ste.1400. 4/17/08-JHC By: Philadelphia, PA 19103-1814 0031755374 EXHIBIT B I .4 PLAINTIFF IS AFFIDAVIT IN SUPPORT OF ITS MOTION FOR SUMMARY JUDGMENT STATE OF Ylekk) 1 ss. COUNTY OF pjt,?v (.?wJTd?n ) ?unrc, 1,? IL(a . being duly sworn according to law, deposes and says: 1. I am employed in the capacity of ?1 I,u _ f?U,,, LJ- at PHH Mortgage Corporation, mortgage servicing agent for Plaintiff in the within matter. 2. In said capacity, I am familiar with the account that forms the basis of the instant foreclosure action and am authorized to give this Affidavit. 3. I am the custodian of records for the within matter. 4. All proper payments made by Defendants have been credited to Defendants' accounts. 5. Defendant L§ mortgage payments due December 1, 2007 and each month thereafter are due and unpaid. 6. The amounts due on the mortgage were correctly stated in the Complaint as follows: Principal Balance $302,566.59 Interest $10,037.67 November 1, 2007 through April 8, 2008 (Per Diem $63.13) Attorney[ Fees $1,250.00 Cumulative Late Charges $436.80 September 30, 2005 to April 8, 2008 Cost of Suit and Title Search 550.00 Subtotal $314,841.06 Escrow Credit $(1,075.29) Escrow Deficit 0.00 TOTAL $313,765.77 7. Mortgagors have failed to reinstate the account or offer any reasonable solution to cure the arrears on the past due mortgage payments. 8. Plaintiff provided mortgagors with a Notice of Intention to Foreclose Mortgage, but Defendants did not take the necessary affirmative steps to avoid foreclosure. 9. Plaintiff continues to suffer unjust financial losses as it pays the taxes and insurance on the property as they become due to avoid a tax upset sale and/or loss to its collateral, all of which accrues to the benefit of Defendants and to the severe detriment of Plaintiff. 4' 10. Plaintiff properly accelerated its mortgage to protect its interests. b,Ay.l? F ,q : 4,04 Nat e: ?S /f 1k r- k, Title: v l Lk, PHH Mortgage Corporation SWORN TO AND SUBSCRIBED BEFO ME THIS 3rd- DAY OF 14L)h-P. ,200. NOTARY PUBLIC ," dca?'!'IF1-OIt M NOTArPUBuCOMWJ r CamusonEVires 12/21,2011 File Name and Number: Mikhail Ocean and Saratoga Ocean Account No 0031755374 EXHIBIT C PHELAN HALLINAN & SCHMIEG, LLP LAWRENCE T. PHELAN, ESQ., Id. No. 32227 FRANCIS S. HALLINAN, ESQ., Id. No. 62695 DANIEL G. SCHMIEG, ESQ., Id. No. 62205 MICHELE M. BRADFORD, ESQ., Id. No. 69849 JUDITH T. ROMANO, ESQ., Id. No. 58745 SHEETAL SHAH-JANI, ESQ., Id. No. 81760 JENINE R. DAVEY, ESQ., Id. No. 87077 MICHAEL E. CARLETON, ESQ., Id. No. 203009 VIVEK.SRIVASTAVA, ESQ., Id. No. 202331 JAY B. JONES, ESQ., Id. No. 86657 PETER MULCAHY, ESQ., Id. No. 61791 ANDREW SPIVACK, ESQ., Id. No. 84439 ONE PENN CENTER PLAZA, SUITE 1400 PHILADELPHIA, PA 19103 (215) 563-7000 175610 PHH MORTGAGE CORPORATION 3000 LEADENHALL ROAD OR 4001 LEADENHALL ROAD MOUNT LAUREL, NJ 08054 V. Plaintiff N ? QV z: X C? fir`, be -D =G `-'? v o m ATTORNEY FOR PLAINTIFF COURT OF COMMON PLEAS CIVIL DIVISION TERM NO. 08- 2943 Civil (ern% CUMBERLAND COUNTY MIKHAIL OCEAN SARATOGA OCEAN 118 STONEHEDGE DRIVE CARLISLE, PA 17015 THE UNITED STATES OF AMERICA C/O THE UNITED STATES ATTORNEY FOR THE MIDDLE DISTRICT OF PENNSYLVANIA 1164 FEDERAL BUILDING 228 WALNUT STREET HARRISBURG, PA 17101 Defendants AzfT(._)RN1F ' FELL COPY ASE RETURN qB t5? be atIBe ? v tha COO of the r 1 1ed 0 re?'? OV41 CIVIL ACTION - LAW COMPLAINT IN MORTGAGE FORECLOSURE File #: 175610 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, 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 OR NO FEE. Lawyer Referral Service Cumberland County Bar Association 32 South Bedford Street Carlisle, PA 17013 (800)990-9108 File #: 175610 IF THIS IS THE FIRST NOTICE THAT YOU HAVE RECEIVED FROM THIS OFFICE, BE ADVISED THAT: PURSUANT TO THE FAIR DEBT COLLECTION PRACTICES ACT, 15 U.S.C. § 1692 et seq. (1977), DEFENDANT(S) MAY DISPUTE THE VALIDITY OF THE DEBT OR ANY PORTION THEREOF. IF DEFENDANT(S) DO SO IN WRITING WITHIN THIRTY (30) DAYS OF RECEIPT OF THIS PLEADING, COUNSEL FOR PLAINTIFF WILL OBTAIN AND PROVIDE DEFENDANT(S) WITH WRITTEN VERIFICATION THEREOF; OTHERWISE, THE DEBT WILL BE ASSUMED TO BE VALID. LIKEWISE, IF REQUESTED WITHIN THIRTY (30) DAYS OF RECEIPT OF THIS PLEADING, COUNSEL FOR PLAINTIFF WILL SEND DEFENDANT(S) THE NAME AND ADDRESS OF THE ORIGINAL CREDITOR, IF DIFFERENT FROM ABOVE. THE LAW DOES NOT REQUIRE US TO WAIT UNTIL THE END OF THE THIRTY (30) DAY PERIOD FOLLOWING FIRST CONTACT WITH YOU BEFORE SUING YOU TO COLLECT THIS DEBT. EVEN THOUGH THE LAW PROVIDES THAT YOUR ANSWER TO THIS File #: 175610 COMPLAINT IS TO BE FILED IN THIS ACTION WITHIN TWENTY (20) DAYS, YOU MAY OBTAIN AN EXTENSION OF THAT TIME. FURTHERMORE, NO REQUEST WILL BE MADE TO THE COURT FOR A JUDGMENT UNTIL THE EXPIRATION OF THIRTY (30) DAYS AFTER YOU HAVE RECEIVED THIS COMPLAINT. HOWEVER, IF YOU REQUEST PROOF OF THE DEBT OR THE NAME AND ADDRESS OF THE ORIGINAL CREDITOR WITHIN THE THIRTY (30) DAY PERIOD THAT BEGINS UPON YOUR RECEIPT OF THIS COMPLAINT, THE LAW REQUIRES US TO CEASE OUR EFFORTS (THROUGH LITIGATION OR OTHERWISE) TO COLLECT THE DEBT UNTIL WE MAIL THE REQUESTED INFORMATION TO YOU. YOU SHOULD CONSULT AN ATTORNEY FOR ADVICE CONCERNING YOUR RIGHTS AND OBLIGATIONS IN THIS SUIT. IF YOU HAVE FILED BANKRUPTCY AND RECEIVED A DISCHARGE, THIS IS NOT AN ATTEMPT TO COLLECT A DEBT. IT IS AN ACTION TO ENFORCE A LIEN ON REAL ESTATE. File #: 175610 Plaintiff is PHH MORTGAGE CORPORATION 3000 LEADENHALL ROAD OR 4001 LEADENHALL ROAD MOUNT LAUREL, NJ 08054 2. The name(s) and last known address(es) of the Defendant(s) are: MIKHAIL OCEAN SARATOGA OCEAN 118 STONEHEDGE DRIVE CARLISLE, PA 17015 THE UNITED STATES OF AMERICA C/O THE UNITED STATES ATTORNEY FOR THE MIDDLE DISTRICT OF PENNSYLVANIA 1164 FEDERAL BUILDING 228 WALNUT STREET HARRISBURG, PA 17101 who is/are the mortgagor(s) and/or real owner(s) of the property hereinafter described. 3. On 07/30/2005 mortgagor(s) made, executed and delivered a mortgage upon the premises hereinafter described to MORTGAGE ELECTRONIC REGISTRATION SYSTEMS, INC. AS A NOMINEE FOR ERA MORTGAGE which mortgage is recorded in the Office of the Recorder of CUMBERLAND County, in Mortgage Book No. 1925, Page 1841. The PLAINTIFF is now the legal owner of the mortgage and is in the process of formalizing an assignment of same. The mortgage and assignment(s), if any, are matters of public record and are incorporated herein by reference in accordance with Pa.R.C.P. 1019(g); which Rule relieves the Plaintiff from its obligations to attach documents to pleadings if those documents are of public record. 4. The premises subject to said mortgage is described as attached. 5. The mortgage is in default because monthly payments of principal and interest upon said mortgage due 12/01/2007 and each month thereafter are due and unpaid, and by the terms File #: 175610 of said mortgage, upon failure of mortgagor to make such payments after a date specified 6. by written notice sent to Mortgagor, the entire principal balance and all interest due thereon are collectible forthwith. The following amounts are due on the mortgage: Principal Balance $302,566.59 Interest $10,037.67 11/01/2007 through 04/08/2008 Attorney's Fees $1,250.00 Cumulative Late Charges $436.80 09/30/2005 to 04/08/2008 Cost of Suit and Title Search 550.00 Subtotal $314,841.06 Escrow Credit ($1,075.29) Deficit $0.00 Subtotal 1 075.29 TOTAL $313,765.77 7 8. If the mortgage is reinstated prior to a Sheriffs Sale, the attorney's fee set forth above may be less than the amount demanded based on work actually performed. The attorney's fees requested are in conformity with the mortgage and Pennsylvania law. Plaintiff reserves its right to collect attorney's fees up to 5% of the remaining principal balance in the event the property is sold to a third party purchaser at Sheriffs Sale, or if the complexity of the action requires additional fees in excess of the amount demanded in the Action. Plaintiff is not seeking a judgment of personal liability (or an in personam judgment) against the Defendant(s) in the Action; however, Plaintiff reserves its right to bring a separate Action to establish that right, if such right exists. If Defendant(s) has/have received a discharge of personal liability in a bankruptcy proceeding, this Action of Mortgage Foreclosure is in no way an attempt to reestablish such personal liability File #: 175610 discharged in bankruptcy, but only to foreclose the mortgage and sell the mortgaged premises pursuant to Pennsylvania Law. 9. Notice of Intention to Foreclose as set forth in Act 6 of 1974, Notice of Homeowner's Emergency Assistance Program pursuant to Act 91 of 1983, as amended in 1998, and/or Notice of Default as required by the mortgage document, as applicable, have been sent to the Defendant(s) on the date(s) set forth thereon, and the temporary stay as provided by said notice has terminated because Defendant(s) has/have failed to meet with the Plaintiff or an authorized consumer credit counseling agency, or has/have been denied assistance by the Pennsylvania Housing Finance Agency. 10. This action does not come under Act 6 of 1974 because the original mortgage amount exceeds $50,000. 11. The United States of America is made a Defendant herein pursuant to 28 U.S.C. 2410, because of federal tax liens that have been filed with the Prothonotary of CUMBERLAND County in the Judgment Index Unit as follows: (a) United States vs. MIKHAIL & SARATOGA OCEAN; IRS Docket No. 2007-4853; filed 08/15/2007; in the amount of $17,003.48 File #: 175610 WHEREFORE, PLAINTIFF demands an in rem Judgment against the Defendant(s) in the sum of $313,765.77, together with interest from 04/08/2008 at the rate of $63.13 per diem to the date of Judgment, and other costs and charges collectible under the mortgage and for the foreclosure and sale of the mortgaged property. PHELAN HALLINAN & SCHMIEG, LLP -7 By: A I A 1(lev /v LAWRENCE T. PH LAN, ESQ IRE FRANCIS S. HALLINAN, ESQUIRE DANIEL G. SCHMIEG, ESQUIRE MICHELE M. BRADFORD, ESQUIRE JUDITH T. ROMANO, ESQUIRE SHEETAL R. SHAH-JANI, ESQUIRE JENINE R. DAVEY, ESQUIRE MICHAEL E. CARLETON, ESQUIRE VIVEK SRIVASTAVA, ESQUIRE JAY B. JONES, ESQUIRE PETER MULCAHY, ESQUIRE ANDREW SPIVACK, ESQUIRE Attorneys for Plaintiff File #: 175610 LEGAL DESCRIPTION ALL THAT CERTAIN lot or parcel of land situate in South Middleton Township, Cumberland County, Pennsylvania, more particularly bounded and described as follows, to wit: BEGINNING at a point on the western right-of-way line of Stonehedge Drive, a sixty foot wide right-of-way, said point also being the southwest corner of Lot No. 34; thence along the western right-of-way line of Stonehedge Drive, South twenty-one (21) degrees fifty (50) minutes zero (00) seconds West a distance of forty-three and sixty-four hundredths (43.64) feet to a point; thence along the same and a curve to the right having a radius of two hundred seventy and zero hundredths (270.00) feet and an arc distance of one hundred and zero hundredths (100.00) feet, said arc being subtended by a chord of South 32 degrees 26 minutes 37 seconds West, a chord distance of ninety-nine and forty-three hundredths (99.43) feet to a point at the corner of Lot No. 32 of the Stonehedge PRD Stage 3A also being in the center of a 40 foot wide drainage swale; thence along Lot No. 32 and the center of said swale, North forty-four (44) degrees fifty-nine (59) minutes thirty-eight (38) seconds West a distance of one hundred forty- three and twenty-five hundredths (143.25) feet to a point in the center of the aforesaid 40 foot wide drainage swale at lands now or formerly of Stonehedge Developers, Inc.; thence along said land of Stonehedge Developers, Inc. and the center of said swale, North twenty-one (21) degrees fifty (50) minutes zero (00) seconds East a distance of eighty-five and zero hundredths (85.00) feet to a point at the corner of Lot No. 34; thence along Lot No. 34, South sixty-eight (68) degrees ten (10) minutes zero (00) seconds East, a distance of one hundred fifty and zero hundredths (150.00) feet to a point, the point of beginning. File #: 175610 SUBJECT TO a twenty (20) foot wide drainage easement along its southern property line common with Lot No. 32, and a twenty (20) foot wide drainage easement along its western property line with other lands of Stonehedge Developers; Inc. CONTAINING 0.39 acres, more or less, and identified as Lot No. 33 of Stonehedge PRD Stage 3A, recorded in Plan Book 69, Page 13 in Cumberland County Recorder of Deeds Office, Carlisle, Pennsylvania. UNDER AND SUBJECT to a Declaration of Covenants and Restrictions recorded in Cumberland County Miscellaneous Book 311, Page 42, and subject to a Supplemental Declaration of Covenants and Restrictions recorded in Cumberland County Miscellaneous Book 503, Page 404, and further subject to the Bylaws of the Stonehedge Home Owners Association as recorded in Cumberland County Miscellaneous Book 311, Page 511. PREMISES: 118 STONEHEDGE DRIVE PARCEL : 40-2 3 -0602-204 File #: 175610 VERIFICATION I ,? 4:icCG j.14tinid(v hereby states that he/she is W? -1 f PHH MORTGAGE CORPORATION, servicing agent for Plaintiff in this matter, that he/she is authorized to take this Verification, and that the statements made in the foregoing Civil Action in Mortgage Foreclosure are true and correct to the best of his/her knowledge, information and belief. The undersigned understands that this statement is made subject to the penalties of 18 Pa. C.S. Sec. 4904 relating to unworn falsification to authorities. DATE: LP O Loan:0031755374 1{? Name: we're J. f'iira6D Title: Company: PHH MORTGAGE CORPORATION File #: 175610 EXHIBIT D I L)U/ ' April 29, 2008 Civil Term No. 08-2243 PHELAN HALLINAN & SCHMIEG, LLP ONE PENN CENTER PLAZA, SUITE 1400 PHILADELPHIA, PA 19103 PHH MORTGAGE CORPORATION 3000 LEADENHALL ROAD OR 4001 LEADENHALL ROAD MOUNT LAUREL NJ 08054 , Plaintiff ?' MIKHAIL OCEAN - ; SARATOGA OCEAN rn 118 STONEHEDGE DRIVE ' CARLISLE, PA 17015 Defendants Defendant's Response to Civil Action The following is the Defendants response to each of the numbered items in the original complaint. 1. Of Civil Complaint - Defendants ADMIT 2. Of Civil Complaint - Defendants ADMIT IN PART - This is the correct Address and name for Mikhail Ocean and Saratoga Ocean. The United States of America as defendant is DENIED 3. Of Civil Complaint - Defendants DENY - We have a mortgage with ERA Mortgage. 4. Of Civil Complaint - Defendants ADMIT 5. Of Civil Complaint - Defendants ADMIT IN PART - The mortgage is in default. Mortgagor is not aware of any such notice. Mortgagee has refused to accept payments from the Mortgagor. 6. Of Civil Complaint - Defendants DENY - THE AMOUNT SHOWN IS DISPUTED. 7. Of Civil Complaint - Defendants ADMIT IN PART 8. Of Civil Complaint - Defendants ADMIT IN PART 9. Of Civil Complaint - Defendants DENY 10. Of Civil Complaint - Defendants ADMIT 11. Of Civil Complaint - Defendants DENY y?? 69 2 DATE D NDANT, MIKHAIL OCEAN EXHIBIT E #1 Ar"T91 NOTICE TAKE ACTION TO SAVE YOUR HOME FROM FORECLOSURE Dale: February 4, 2008 TO: MIKHAIL OCEAN SARATOGA OCEAN I 18 STONEHEDGE DR CARLISLE, PA 17013 VIDE ARF A DEBT COLLECTOR ATTEMPTING TO COLLECT A DEBT. THIS NOTICE IS SENT TO YOU IN AN ATTEMPT TO COLLECT TI IE INDEBTEDNESS REFERRED TO NL:RCJN AND ANY INFORMATION OBTAINFD FROM YOU WILL. BE USED FOR THAT PURPOSE. IF YOU HAVE PREVIOUSLY RECEIVED A DISCHARGE: IN BANKRUPTCY, THIS CORRESPONDENCE IS NOT AND SHOULD NOT 13F CONSTRUED TO BE AN ATTEMPT TO COLLECT A DEBT, BUT ONLY ENFORCEMENT OF A LIEN AGAINST PROPERFY. This is an official notice that the mortgage on your home is in default and the lender intends to foreclose. Specific information alx)ut the nature of the default is provided in the attached pages. The IIObIEOWNEWS M(-)RTGAGE ASSISTANCE PROGRAM (IIEMAP) maybe able to help save your home This Nsi ec explains how the program works. To see if I IEMAP can help, You must MEET WITH A CONSUMER CREDIT COLINSELIING AGENCY WITHIN 30 DAYS FRAM T HE DATE OF I HIS NOTICE Take this Notice with you when you meet the Counsel g Aeeno. The name. address and phone number of Consumer Credit Counseling Agencies serving your County are listed at tthe eno of this Notice. If you have allYLquestions, you may call the Pennsylvania Housing Finance Ag-cnc, lgll free at 1-800-342-2397 i ersons with impaired hearin? can call (717) 780-1869). This Notice contains important legal information If you have any questions, represevrtalives at the Consumer Credit Counseling Agency may be able to help explain it. You may also want to contact an attorney to your area. The local bar association may be able to help you find a lawyer LA NOT lFICACION E:N ADJUNTO ES DE SUMA IMPORTANCIA, PUEDE AFFCTA SU DFRECHO A CONTINUAR VIVIENDO EN SU CASA SI NO COMPRENDE FI. CONT'ENDIDO DE F.STA NO'l IFICACION OBTGNGA UNA TRADUCCION INMEDITAME:NTE• LLAMANDO ESTA AGENCIA (PENNSYLVANIA I iOUSING FINANCE AGENCY) SIN CARGOS AL NUMERO %4ENC10KAD0 ARRIBA. PIJEDFS SER I-LEGIBLE PARA UN PRF.STAMO POR EL PROGRAMA LLAMADO "I IONIEOWNERS ENIERGLNCY MORTGAGE ASSISTANCE PROGRAM" FL CUAL PUEDI= SALVAR SIJ CASA DE LA bE:RDIDA DEL DERECHOA REDIMAR SU HIPOTECA. STATEMENTS OF POLICY IIOMtOWNE-R'S NAME(S)' MIKHAIL OCEAN and SARATOGA OCEAN PROPERTY ADDRESS. 118 STONEHEDGE DR CARLISLE, PA 17013 LOAN ACCT. NO. 003 1 75537 4 - QRIGINAL LENDER: PHH MORTGAGE CORPORATION CURRENT LENDER/SERVICER• PHH MORTGAGE CORPORATION HOMEOWNER'S EMERGENCY MORTGAGE ASSISTANCE PROGRAM YOU MAY BE ELIGIBLE FOR FINANCIAL ASSISTANCE WHICH CAN SAVE YOUR HOME FROM FORECLOSURE AND HELP YOU MAKE FUTURE MORTGAGE PAYMENTS IF YOU COMPLY WITH THE PROVISIONS OF THE HOMEOW'NER'S EMERGENCY MORTGAGE ASSISTANCE ACT OF 1983 (THE "ACT"), YOU MAY BE ELIGIBLE FOR EMERGENCY MORTGAGE ASSISTANCE. • IF YOUR DEFAULT HAS BEEN CAUSED BY CIRCUMSTANCES BEYOND YOUR CONTROL, • IF YOU HAVE A RESONABLE PROSPECT OF BEING ABLE TO PAY YQUR MORTGAGE PAYMENTS, AND • IF YOU MEET OTHER ELIGIBILITY REQUIREMENTS ESTABLISHED BY THE PENNSYLVANIA HOUSING FINANCE AGENCY TL;I4PORARY STAY OF FORECLOSURE-:-Under the Act, you are entitled to a temporary stay of foreclosure on your mortgage for THIRTY (30) DAYS from the date of this Notice. During that time you must arrange and attend a face-to-face meeting with one of the consumer credit counseling agencies listed at the end of the Notice. THIS MEETING MUST OCCUR WITHIN THE NEXT THIRTY (30) DAYS. IF YOU DO NOT APPLY FOR FM&RGENC'Y MORTGAGE ASSISTANCE YOU MUST BRING YOUR MORTGAGE LIP TO DATE THE PART OF THJS JVOTJCE CALLED "HOW TO CURE Y UR MORTGAGE DEFAULT" EXPLAINS HOW] O BRING YOUR MORTGAGE UP T DATE.. CONSUMER CREDIT COUNSFL1NG AGENCIES:- If you meet with one of the consumer credit counseling agencies listed at the end of this notice the lender may NOT take action against you for THIRTY (30) DAYS after the date of this_meetrne The names. addresses and telephone number of designated consumer credit counselin>? a_encro for the counter in which the _property is locoed are set forth at the end of this Notice. It is only necessary to schedule one face-to-face meeting.. Advise your lender immediately of your intentions. APPLICATION FUR MORTGAGE ASSISTANCE,-Your mortgage is in a default for the reasons set forth later in this Notice (see following ages for specific information about the nature of your default) I f you have tried and are unable to resolve this problem with the lender, you'have the right to apply for financial assretance from the Homeowner's Emergency Morreage Assistance Program. To do so,'you must fill out, sign and file a completed Ilumeowner's Emergency Mortgage Assistance Program Application with one of the designated consumer counseling agencies Listed at the end of this Notice. Only consumer credit counseling agencies have applications for the program and they will assist you in submitting a complete applicanon 10 the Pennsylvania Housing Finance Agency. Your application MUST be filed or postmarked within THIRTY (30) DAYS of your face-to-face meeting. YOU MUST FILE YOUR APPLICATION PROMPTLY. IF YOU FAIL TO DO SO OR IF YOU DO NOT FOLLOW THE OTHER TIME PERIODS SET FORTH IN THIS LETTER, FORECLOSURE MAY PROCEED AGAINST YOUR HOME IMMEDIATELY AND YOUR APPLICATION FOR MORTGAGE ASSISTANCE WILL BE DENIED. AGENCY ACTION- Available funds for emergency mortgage assistance are very limited. They will be disbursed by the Agency under the eligibility criteria established under the Act. The Pennsylvania Housing Finance Agency has sixty (60) days to make a decision after it receives your application. During that time, no foreclosure proceedings will be pursued against you if you have met the time requirements set forth above. You will be notified directly by the Pennsylvania Housing Finance Agency of its decision on your application. NOTE: IF YOU ARE CURRENTLY PROTECTED BY THE FILING OF A PETITION IN BANKRUPTCY, THE FOLLOWING PART OF THIS NOTICE IS FOR INFORMATION PURPOSE ONLY AND SHOULD NOT CONSIDERED AS AN ATTEMPT TO COLLECT THE DEBT. (If you have filed bankruptcy you can still apply for Emergency Mortgage Assistance.) HOW TO CURE YOUR MORTGAGE DEFAULT (Bring it into date). NATURC OF THE DEFAULT- The MORTGAGE debt held by the above lender on your property located at '118 STONEHEDGE DR CARLISLE, PA 17013 IS SERIOUSLY IN DEFAULT because: A. YOU HAVE NOT MADE MONTHLY MORTGAGE PAYMENTS for the following months and the following amounts are now past due: Start/End- 12/01/2007 through 02/01/2008 at $2,550.47 per month. Monthly Payments Plus Late Charges Accrued $7,869.81 NSF: S .00 Inspections: 000 Other. 000 (Suspense): (S .00) Total amount to cure default $7,859.81 B. YOU HAVE FAILED TO TAKE. THE FOLLOWING ACTIONS (Do not u5.e ifnot anpaicable : N/A HOW TO CURE THE DEFAULT- You may cure the default within THIRTY (30) DAYS of the date of this notice BY PAYING THE TOTAL AMOUNT PAST DUE TO THE LENDER, WHICH IS $7,869.81 PLUS ANY MORTGAGE PAYMENTS AND LATE CHARGES WHICH BECOME DUE DURING THE THIRTY (30) DAY PERIOD. As of the date of this letter, you owe the amount specified above. Because of interest, late charges, and other charges that may vary from day to day, the amount due on the day that you pay may be greater. Hence, if you pay the amount shown above, an adjustment may be necessary after we receive your check, in which event we will inform you before depositing the check for collection. For further information write the undersigned or call (800) 330- 0423 and ask for the Reinstatement Department Payments must be made either by cash, cashier's check. certified check or monev order made payable and sent to: PiIH MORTGAGE CORPORATION, 4001 Leadenhall Road, Mount Laurel, NJ 08054 Attention: Cash Afanagentent Department. You can cure any other default by taking the following action within TIiIRTY (30) DAYS of the date of this letter (Do not use if not applicable N.A IF YOtI DO NOT CURE THE D,FFAUIT-If you do not cure the default within THIRTY (30) DAYS of the date of this Notice. the lender intends to exercise its rights to accelerate th mortgage debt. This means that the entire outstanding balance of this debt will be considered due immediately and you may lose the chance to pay the mortgage in monthly installments. If full payment of the total amount past due is not made within T H1RTY (30) DAYS, the lender also intends to instruct its attorney to start legal action to foreclose urxrn your mortgage-p-rvptru- iF THE MORI GAGE 1S FORECLOSED UPON-The mortgage property will be sold by the Sheriff to pay off the mortgage debt. If the lender refers your case to it attorneys, but you cure the delinquency before the lender begins legal proceedings against you, you will still be required to pay the reasonable attorney's fees that were actually incurred, up to $50 00 However, if legal proceedings are started against you, you will have to pay all reasonable attorney's fees actually incurred by the lender even if they exceed $50.00. Any attorney's fees w ill be added to the amount to the lender, which may also include other reasonable costs. if you cure the default within the 'T'HIRTY (30) DAY period. you will not be required to pay attorney's fees. OTHER LENDER REMEDIES-The lender may also sue you personally for the unpaid principal balance and all other sums due under the mortgage. RIGHT TO CURE THE DEFAULT PRIOR TO SHERIFF'S SALE If you have not cured the default , within the THIRTY (30)'DAY period and foreclosure proceedings have begun, you still have the right to cure the default and prevent the sale at am time up to one hour before the Sheriffs Sale. You may do so b a yin the total amount then past due. plus any late or -oAber charges then due, reasonable attorney's fees and costs connected with the foreclosure sale and any other costs connected with the Sheriffs Sale as specified in writing by the lender and 1by performing any other regguirements under the mortgage. Curing your default in the manner set forth in this notice will restore your mortgage to the same position as if you had never defaulted. EARLIEST POSSIBLE SHERIFF'S SALE DAT E-1t is estimated that the earliest date that such a Sheriff's Sale of the mortgage property could be held would be approximately SIX (6) MONTHS from the date of this Notice. A notice of the actual date of the Sheriffs Sale will be sent to you before the sale. Of course, the amount needed to cure the default will increase the longer you wait. You may find out at any time exactly what the required payment or action will be by contacting the lender. HOW TO CONTACT THE LENDER: PHH MORTCAGG CORPORATION 4001 Leadenhall Road Mount Laurel, NJ 48054 Attn: Collections Department, SV09 (800) 330-0423 EFFECT OF SHERRFF'S SALE-You should realize that a Sheriffs Sale will end your ownership of the mortgaged property and your right to occupy it. If you continue to live in the property aRer the Sheriff's Sale, a lawsuit to remove you and your furnishings and other belongings could be started by the lender at any time. ASSUMPTION OF MORTGAGE-You y -mayor X may not (CHECK ONE) sell or transfer your home to a buyer or transferee who will assume the mortgage debt, provided that all the outstanding payments, chat v,es and attorney's fees and costs are paid prior to or at the sale and that the other requirements of the mortgage are satisfied. YOU MAY ALSO HAVE THE RIGHT: • TO SELL THE PROPERTY TO OBTAIN MONEY TO PAY OFF THE MOKTGAGE DEBTOR TO BORROW MONEY FROM ANOTHER LENDING INSTITUTION TO PAY OFF,THIS DEBT. • '10 HAVE T141S DEFAULT CURED BY ANY THIRD PARTY ACTING ON YOUR BEHALF. • TO HAVE THE MORTGAGE. RESTORED TO THE SAME POSITION AS IF NO DEFAULT HAD OCCURRED. IF YOU CURE THE DEFAULT. (HOWEVER, YOU DO NOT HAVE THIS RIGHT TO CURE YOUR DEFAULT MORE, THAN THREE TIMES IN ANY CALENDAR YEAR.) • TO ASSERT TI lE NONEXISTENCE. OF A DEFAULT IN ANY FORECLOSURE PROCEEDING OR ANY OTHER LAWSUIT INSTITUTED UNDER THE MORTGAGE DOCUMENTS. • TO ASSERT ANY OT HER DErENSE YOU BELIEVE. YOU MAY HAVE TO SUCH ACTION BY THE LENDER. • TO SEEK PROTECTION UNDER THE FEDERAL BANKRUPTCY LAW. CONSUMER CREDIT COUNSELING AGENCIES SERVING YOUR COUNTY IS ATT ACHED n 4rYbr r:n r^.A Q NOTICE 0 it tuln Orr"Pt rl'u Fo^t?t ,trF H'1ro (Lnd,.mco1 noaowt) E3 nn^tr ?lorl gr•awry r,Y, r-1 ,Fnti-i-rr-nt Hrquw-d) i0 p LION TO SAVE Total Pa .Inc ?ultl'ii?7? p C3 tIA-- A(I, X Z ICI: MIA I( [MME FRAM it, et -Apt K. 1 18 S I (,111 11 tx,l DR orPO no%Na ,. \RI ISI 1 I"? ITtI{i ?rry. slate, n, CLOSU RE Date: February 4, 2008 TO: MIKHAIL OCEAN SARATOGA OCEAN 118 STONEHEDGE DR CARLISLE, PA 17013 WE ARE A DEBT COLLECTOR AT1 EMPTING TO C'OLLEC'T A DEBT. THIS NO'T'ICE 1S SENT 10 YOU IN AN ATTEMPT TO COLLECT T1 1E INDEBTEDNESS REFERRED rO I IEREIN AND ANY INFORMATION OBTAINLD FROM YOU WILL BE USED FOR THAT PURPOSE;, Ii- YOU HAVE PREVIOUSLY RECEIVED A DISCHARGE IN BANKRUPTCY, I HIS CORRESPONDENCE IS NOT AND SHOULD NOT BE CONSTRUE• D TO BE AN ATTEMPT TO COLLECT A DEBT, BUT ONLY ENFORCEMENT OF A LIEN AGAINST PROPERTY. This is an official notice that the mortgage on }our home is in default and the lender intends to foreclose Specific information about the nature of the default is provided in the attached pages. 'The HOMEOWNER'S MORTGAGE ASSISTANCE PROGRAM LHEMAP) may be able to helmet save your home This Notice explains how the nrograin works To see if HEMAP can help. you must MCET WITH A CONSL'MF.R C R F D I T C01J S E L I NG AGENCY WITHIN 30 DAYS FROM THE DATE Oh THIS NOTICE 'Fake this Noticc witch You when you meet the Counseling Agency. The name, address and phone number of Consumer Credit Counse IinB Acenclcs servinF,Your County are listed at the end ofthis Nouce If \ou have any nuesttons, you may call the Pcn s yIvama Housing Finance Agency toll free at 1-800-342-2397 (Persons h i m impaired henrinKcan call (717L80-1869) This Notice contains important legal information If you have any questions, representatives at the Consumer Credit Counseling Agency may be able to help explain it. You may also want to contact an attorney in your area. The local bar association may be able to help you find a lawyer. LA NOTIFICACION EN ADJUNTO ES DE SOMA IMPORTANCIA, PUEDE AFECTA SU DFRECHO A CONTINUAR VIVIENDO EN SU CASA. SI NO COMPRENDE EL CONTENDIDO DE ESTA NOTIFICACION OBTENGA UNA 7 RADUCCION INMF.DITAMENTE LLAMANDO ESTA AGENCIA (PENNSYLVANIA) LOUSING FINANCE AGENCY) SIN CARGOS AL NUMERO MENCIONADO ARRIBA PULDES SER FLCGIBLE PARA LN PRFSTAMO POR EL PROGRAMA LLANIADO "HOMEOWNERS EMERGENCY MORTGAGE ASSISTANCE PROGRAM" EL CUAL PLIEDC SALVAR SL' CASA DE LA I-ERDIDA DEL DERECHO A REDIMAR SU HIPOTECA. M1 S .`? O O 0 ""mow r? ..0 O 0 Iti- _j Umb,?.....A?k tl N .? •'1 .y ??sty { 1fib I b.' d ;1r •e1 Na •? ? h Hnmt1W kl? ? R. •trpt tc.h EXHIBIT F 03/26/2008 03:27 7176957006 J.CONRAD PAGE 27/31 1 Qepartrnent of the Treasury - Internal Revenue Service (RFeae.rnsFebruary bb8 uarv 200 (41 )) NPt[Ce of Federal Tax Uen yl- Area: - Serla( Number SMALL HUSINSSS/SELF EMPLOYED AREA #2 Lien Unit Phone: (800). 913-5050 383293407 As provided by secdon 6321, 6322, and "6323 of the Internal Revenue Cade, we m* sh4na a notice tbat talxoa (bdudint Interest and penalties) balfe beet assessed agakst the foNowk146med taxpaytr. We batre =aide a dema»d for Payment of this dabilitY, but It renuhs unpaid. Tkemfeirne, there b a Han is favor of tbe, united States on a1i property and rights to iproperty bellon&g to this tamer for fire amount of these taxes, and additional penakles, Interest, brad costs that may accme. Name of Taxpayer MIKHAIL '& SRA.TUGA 6CEA14 Residence PO BOX 247. CARLISLE, PA 17013 Fir Optional Use by Ri 4..pa1.J /4-aA CA- Y` 63? fIf, f-W IMPORTANT RELEASE INFORMATION: For each assessment listed below, unless notice of the lion is ref led by the date *on in column (e), this notice shall, on the day following such date, operate as a certificate. of releesa as defined in iRC 6325(a). Kind Of Tax[ T ?r i gw Identifywir Number A1n nt isst??ar 104012/31/2002? XXX-XX-0662 111/24/2003 ? 12/24/2013 x.040 112/31/2003 XXX-XX-066.2 10/10/2004 11/17/201# ter, . ? ? R "` ?a p w Q o f A At 1133.13 15870.35 Place of Filing Prothonotary Cumberland County Carlisle, PA 17013 Tots) I $ 17003.48 DFsTRO7T, MT This notice was prepared and signed at the 07th day of August 2007 , on this, Signature H. Acg 22-00-0008 for REGINA OWENS (800) 829-3903 (NOTtt Cartifkate of officer authorized by law to take acknowledgment is not essential to the validity of Notice of Fsdwvl Tax Gen Rev. Rut. 71-456,1971 - 2 C.B. 408) Form d68(1 14 (Rev. 2-2004) EXHIBIT "G" ?1 N APP 01-16 SEG#/DUE 01-07 TYPE/TRAN 1 52 AMOUNT .00 PRIN-PD .00 PRIN-BAL 305,439.77 INT-PD .00 ESC-PD .00 ESC-BAL 1,497.72 A&H-INS .00 LIFE-INS .00 LC/FEES 1 109.20 MISC-PD .00 ADV-BAL .00 SUSP .00 P309 LN 0031755374 MORTGAGE LOAN HISTORY 08-04-08 NAME M OCEAN INV-LN 416-002-4004583710 DUE 12-01-07 TYPE 16 BR ER MAN H P-TYPE 1 INT.0761600 FIRST PB 302,566.59 2ND PB .00 HUD .00 NET 2550.47 SF.00283000 SUSP .00 STOP D B P F N A D L REP .00 RES .00 0 0 0 3 0 0 0 1 APP 03-16 03-16 02-02 02-02 01-24 SEG#/DUE 04-07 03-07 03-07 02-07 01-07 TYPE/TRAN 1 73 1 73 1 75 1 73 1 71 AMOUNT 12.50 2,524.17 75.83 2,524.17 2,633.37 PRIN-PD .00 249.56 75.83 247.51 245.95 PRIN-BAL 304,620.92 304,620.92 304,870.48 304,946.31 305,193.82 INT-PD .00 1,934.91 .00 1,936.96 1,938.52 ESC-PD .00 339.70 .00 339.70 339.70 ESC-BAL 2,516.82 2,516.82 2,177.12 2,177.12 1,837.42 A&H-INS .00 .00 .00 .00 .00 LIFE-INS .00 .00 .00 .00 .00 LC/FEES 5 12.50 .00 .00 .00 1 109.20 MISC-PD .00 .00 .00 .00 .00 ADV-BAL .00 .00 .00 .00 .00 SUSP .00 .00 .00 .00 .00 SC/PAYEE P309 LN 0031755374 MORTGAGE LOAN HISTORY 08-04-08 NAME M OCEAN INV-LN 416-002-4004583710 DUE 12-01-07 TYPE 16 BR ER MAN H P-TYPE I INT.0761600 FIRST PB 302,566.59 2ND PB .00 HUD .00 NET 2550.47 SF.00283000 SUSP .00 STOP D B P F N A D L REP .00 RES .00 00030001 APP 05-23 05-16 04-30 04-16 03-21 SEG#/DUE 05-07 05-07 04-07 04-07 04-07 TYPE/TRAN 1 71 1 52 1 71 1 52 3 13 AMOUNT 2,633.37 .00 2,633.37 .00 659.64- PRIN-PD 252.74 .00 251.14 .00 .00 PRIN-BAL 304,117.04 304,369.78 304,369.78 304,620.92 304,620.92 INT-PD 1,931.73 .00 1,933.33 .00 .00 ESC-PD 339.70 .00 339.70 .00 659.64- ESC-BAL 2,536.58 2,196.88 2,196.88 1,857.18 1,857.18 A&H-INS .00 .00 .00 .00 .00 LIFE-INS .00 .00 .00 .00 .00 LC/FEES 1 109.20 1 109.20-1 109.20 1 109.20- .00 MISC-PD .00 .00 .00 .00 .00 ADV-BAL .00 .00 .00 .00 .00 SUSP .00 .00 .00 .00 .00 SC/PAYEE * * 370410027 P309 LN 0031755374 MORTGAGE LOAN HISTORY 08-04-08 NAME M OCEAN INV-LN 416-002-4004583710 DUE 12-01-07 TYPE 16 BR ER MAN H P-TYPE 1 INT.0761600 FIRST PB 302,566.59 2ND PB .00 HUD .00 NET 2550 .47 SF.00283000 SUSP .00 STOP D B P F N A D L REP .00 RES .00 00030001 APP 07-30 07-30 07-16 06-28 06-18 SEG#/DUE 08-07 07-07 07-07 06-07 06-07 TYPE/TRAN 1 73 1 73 1 52 1 71 1 52 AMOUNT 109.20 2,524.17 .00 2,633.37 .00 PRIN-PD .00 255.95 .00 254.34 .00 PRIN-BAL 303,606.75 303,606.75 303,862.70 303,862.70 304,117.04 INT-PD .00 1,928.52 .00 1,930.13 .00 ESC-PD .00 339.70 .00 339.70 .00 ESC-BAL 3,215.98 3,215.98 2,876.28 2,876.28 2,536.58 A&H-INS .00 .00 .00 .00 .00 LIFE-INS .00 .00 .00 .00 .00 LC/FEES 1 109.20 .00 1 109.20-1 109.20 1 109.20- MISC-PD .00 .00 .00 .00 .00 ADV-BAL .00 .00 .00 .00 .00 SUSP .00 .00 .00 .00 .00 SC/PAYEE P309 LN 0031755374 MORTGAGE LOAN HISTORY 08-04-08 NAME M OCEAN INV-LN 416-002-4004583710 DUE 12-01-07 TYPE 16 BR ER MAN H P-TYPE 1 INT.0761600 FIRST PB 302,566.59 2ND PB .00 HUD .00 NET 2550 .47 SF.00283000 SUSP .00 STOP D B P F N A D L REP .00 RES .00 00030001 APP 08-30 08-30 08-20 08-17 07-30 SEG#/DUE 09-07 08-07 08-07 08-07 08-07 TYPE/TRAN 1 73 1 73 3 16 1 52 1 73 AMOUNT 15.00 2,524.17 2,795.79- .00 15.00 PRIN-PD .00 257.58 .00 .00 .00 PRIN-BAL 303,349.1 7 303,349.17 303,606.75 303,606.75 303,606.75 INT-PD .00 1 ,926.89 .00 .00 .00 ESC-PD .00 339.70 2,795.79- .00 .00 ESC-BAL 759.89 759.89 420.19 3,215.98 3,215.98 A&H-INS .00 .00 .00 .00 .00 LIFE-INS .00 .00 .00 .00 .00 LC/FEES 5 15.00 .00 .00 1 109.20-5 15.00 MISC-PD .00 .00 .00 .00 .00 ADV-BAL .00 .00 .00 .00 .00 SUSP .00 .00 .00 .00 .00 SC/PAYEE * 370416027 P309 LN 0031755374 MORTGAGE LOAN HISTORY 08-04-08 NAME M OCEAN INV-LN 416-002-4004583710 DUE 12-01-07 TYPE 16 BR ER MAN H P-TYPE 1 INT.0761600 FIRST PB 302,566.59 2ND PB .00 HUD .00 NET 2550.47 SF.00283000 SUSP .00 STOP D B P F N A D L REP .00 RES .00 00030001 APP 09-28 09-28 09-28 09-25 09-17 SEG#/DUE 10-07 10-07 09-07 09-07 09-07 TYPE/TRAN 1 73 1 73 1 73 3 51 1 52 AMOUNT 15.00 218.40 2,524.17 730.00- .00 PRIN-PD .00 .00 259.21 .00 .00 PRIN-BAL 303,089.96 303,089.96 303,089.96 303,349.17 303,349.17 INT-PD .00 .00 1,925.26 .00 .00 ESC-PD .00 .00 339.70 730.00- .00 ESC-BAL 369.59 369.59 369.59 29.89 759.89 A&H-INS .00 .00 .00 .00 .00 LIFE-INS .00 .00 .00 .00 .00 LC/FEES 5 15.00 1 218.40 .00 .00 1 109.20- MISC-PD .00 .00 .00 .00 .00 ADV-BAL .00 .00 .00 .00 .00 SUSP .00 .00 .00 .00 .00 SC/PAYEE * 55550 P309 LN 0031755374 MORTGAGE LOAN HISTORY 08-04-08 NAME M OCEAN INV-LN 416-002-4004583710 DUE 12-01-07 TYPE 16 BR ER MAN H P-TYPE 1 INT.0761600 FIRST PB 302,566.59 2ND PB .00 HUD .00 NET 2550.47 SF.00283000 SUSP .00 STOP D B P F N A D L E R P .00 RES .00 0 0 0 3 0 0 0 1 APP 12-31 12-17 11-28 11-16 10-16 SEG#/DUE 11-07 11-07 10-07 10-07 10-07 TYPE/TRA AMOUNT PRIN-PD PRIN-BAL INT-PD ESC-PD ESC-BAL A&H-INS LIFE-INS LC/FEES 1 MISC-PD ADV-BAL SUSP SC/PAYEE N 1 71 1 52 1 71 1 52 1 52 2,659.67 .00 2,633.37 .00 .00 262.51 .00 260.86 .00 .00 302,566.59 302,829.10 302,829.10 303,089.96 303,089.96 1,921.96 .00 1,923.61 .00 .00 366.00 .00 339.70 .00 .00 1,075.29 709.29 709.29 369.59 369.59 .00 .00 .00 .00 .00 .00 .00 .00 .00 .00 109.20 1 109.20-1 109.20 1 109.20-1 109.20- .00 .00 .00 .00 .00 .00 .00 .00 .00 .00 .00 .00 .00 .00 .00 PAGE 003 OF 011 TOTAL TRANS AVAILABLE 0051 OLDEST TRAN 07-17-06 /P P309 LN 0031755374 MORTGAGE LOAN HISTORY 08-04-08 NAME M OCEAN INV-LN 416-002-4004583710 DUE 12-01-07 TYPE 16 BR ER MAN H P-TYPE 1 INT.0761600 FIRST PB 302,566.59 2ND PB .00 HUD .00 NET 2550.47 SF.00283000 SUSP .00 STOP D B P F N A D L REP .00 RES .00 00030001 APP 04-10 04-10 03-17 02-18 01-16 SEG#/DUE 00-00 00-00 12-07 12-07 12-07 TYPE/TRAN 6 32 6 30 1 52 1 52 1 52 AMOUNT .00 .00 .00 .00 .00 PRIN-PD .00 .00 .00 .00 .00 PRIN-BAL 302,566.59 302,566.59 302,566.59 302,566.59 302,566.59 INT-PD .00 .00 .00 .00 .00 ESC-PD .00 .00 .00 .00 .00 ESC-BAL 1,075.29 1,075.29 1,075.29 1,075.29 1,075.29 A&H-INS .00 .00 .00 .00 .00 LIFE-INS .00 .00 .00 .00 .00 LC/FEES .00 .00 1 109.20-1 109.20-1 109.20- MISC-PD .00 .00 .00 .00 .00 ADV-BAL .00 .00 .00 .00 .00 SUSP .00 .00 .00 .00 .00 SC/PAYEE FFEDERMAN FFEDERMAN P309 LN 0031755374 MORTGAGE LOAN HISTORY 08-04-08 NAME M OCEAN INV-LN 416-002-4004583710 DUE 12-01-07 TYPE 16 BR ER MAN H P-TYPE 1 INT.0761600 FIRST PB 302,566.59 2ND PB .00 HUD .00 NET 2550.47 SF.00283000 SUSP .00 STOP D B P F N A D L REP .00 RES .00 00030001 APP 04-17 04-10 04-10 04-10 04-10 SEG#/DUE 04-08 00-00 00-00 00-00 00-00 TYPE/TRAN 3 13 6 32 6 32 6 32 6 32 AMOUNT 659.64- .00 .00 .00 .00 PRIN-PD .00 .00 .00 .00 .00 PRIN-BAL 302,566.59 302,566.59 302,566.59 302,566.59 302,566.59 INT-PD .00 .00 .00 .00 .00 ESC-PD 659.64- .00 .00 .00 .00 ESC-BAL 415.65 1,075.29 1,075.29 1,075.29 1,075.29 A&H-INS .00 .00 .00 .00 .00 LIFE-INS .00 .00 .00 .00 .00 LC/FEES .00 .00 .00 .00 .00 MISC-PD .00 .00 .00 .00 .00 ADV-BAL .00 .00 .00 .00 .00 SUSP .00 .00 .00 .00 .00 SC/PAYEE 370410027 FFEDERMAN FFEDERMAN FFEDERMAN FFEDERMA N ENo EXHIBIT "H" COL 070108 *** ORIGINAL OWNER CONDITION ON 062708 000004 COL 060508 *** ORIGINAL OWNER CONDITION ON 053108 000004 COL 043008 *** ORIGINAL OWNER CONDITION ON 042808 000004 COL 042108 TKG DELQ STAT = REASON FOR DELQ = 015 COL 042108 TKG'MR TEL OFC 'DISCSD LOSS MIT 'OTHR-REASN NOT LSTD COL 042108 TKG MR CALLED WANTED TO KNW STT RECD PACK ON 04/15 ADV COUN NAME AND EXT NUM ADV TIME FRAME TO CALL BACK BEST NUM 7176092579 BETWEEN 10 TO 8 COL 041108 TIA DELQ STAT = REASON FOR DELQ = 015 COL 041108 TIA 'MR TEL OFC 'DISCSD LOSS MIT 'OTHR-REASN NOT LSTD COL 041108 TIA MR CLD WANTED TO SPEAK TO COUNSELOR TRANSFERED CAI. L TO LOSS MIT BEST TIME 10 TO 6 ON 717-609-2579 COL 040708 TJP AND HUNGUP/ COL 040708 TJP SD MIGHT HV TO HNG UP IF IT TAKES LONG/ADV TO CLL BCK TOMORROW IF THAT WUD BE THE CASE//AS HOLD TIME WAS APPROXIMATELY 6 MINS HE SD WUD CLL BCK TOMORROW COL 040708 TJP DELQ STAT = REASON FOR DELQ = 015 COL 040708 TJP'MR TEL OFC 'DISCSD LOSS MIT 'OTHR-REASN NOT LSTD COL 040708 TJP MR CLLD FR STATUS//INFD PROC NAME,800#//CAN CLL FRM 10 TO 6 ON 717-609-2579//TRIED TO XFER TO LOSS MIT/ UPDTED ALT TEL # COL 040708 *** SCORE 155 040508 AGT RPRO DAYS DEL 128 COL 040308 *** ORIGINAL OWNER CONDITION ON 033108 000004 COL 032208 (SO DELQ STAT = 43 REASON FOR DELQ = COL 032108 767 'CORRES RECD COL 032108 767 COMP L/M PKG COL 032108 5MA DELQ STAT = 43 REASON FOR DELQ = 007 COL 032108 5MA LETTER SENT FC018 F/C loss mit (prop) COL 032108 5MA LETTER SENT FC017 F/C Loss mit(mail) COL 032008 5D2 F/C APPROVED COL 031808 776 SEMT FILE TO FC COL 031808 776 SENT TODAY COL 031108 747 F/C REF PRINT COL 031008 5AS MR CALLED SAID HE REC L/M PACKAGE HE IS SELF EMPLOY COL 031008 5AS ED ADV TO SEND P&L FOR THE LAST 6 MONTHS SAID HE WO ULD MAIL COL 031008 7AG DELQ STAT = REASON FOR DELQ = 007 COL 031008 7AG'MR TEL OFC DISCSD LM OPTIONS 'EXCESSIVE OBLIGTNS COL 031008 7AG TT MR//HE RCVD L/M PKG ANSWERED QUESTIONS ABOUT PKG//ADVSD OF DOCS NEEDED ...MR ?? ABOUT PROOF OF INCOME FOR L/M PKG B/C SELF EMPLOYED..TR TO L/M COL 022908 * * * ORIGINAL OWNER CONDITION ON 022808 000004 COL 022808 7WM DELQ STAT = REASON FOR DELQ = 015 COL 022808 7WM 'TEL RES NO ARRANGEMNT MADE 'OTHR-REASN NOT LSTD COL 022808 7WM DIALER//CALL EARLIER..// COL 022808 7SR HE SD I WAS BEING ARGMNTVE ADVSE AGAIN JUST TRYING TO ADVSE OF PROCEDURE AND HE SD I WAS NOT INTERESTE D IN HELPING BCSE WLD NOT ACCEPT 1PYMNT - COL 022808 7SR CUST THAT PCKGE ON WAY TO HIM AND CAN APPLY FOR OTH ER ASSNTNCE AND HE WAS UPSET OVER THE FACT THAT WE WLD NOT TAILOR A PRGRM OF ASSTNCE JUST FOR HIM COL 022808 7SR'MR TEL OFC NO ARRANGEMNT MADE'INCOME CURTAILMENT COL 022808 7SR MR CI ADVSE OF NOI EXP AND TAD - HE SD HE ONLY HAD 1 PYMNT - ADVSE WILL NEED MIN OF 2 PYMNTS - BY EOM AND MIN AMT DUE WILL GO UP IN MARCH - I EXPLND TO COL 022808 7SR DELQ STAT = REASON FOR DELQ = 006 COL 022608 7BK SENT BITB PCK COL 021508 BIB UC7G2- C: IF YOU HAVE NOT RECEIVED CONSUMER CREDIT COUNSELING, YOU SHOULD CALL 1-800-355-000S FOR ASSI STANCE R: YES A: YES COL 021508 BIB UC7G2- C: IS INCOME SUFFICIENT TO MAINTAIN REPAYMEN T OF DEBT? R: YES A: NO COL 021508 BIB UC7G2- C: HOW MANY DAYS IS THE LOAN DELINQUENT? R: SHOULD BE BETWEEN 0, 9999 A: 76 COL 021508 BIB UC7G2- C: IF YOU HAVE NOT RECEIVED CONSUMER CREDIT COUNSELING, YOU SHOULD CALL 1-800-355-000S FOR ASSI STANCE R: YES A: YES COL 021508 BIB UC7G2- C: HOW MANY DAYS IS THE LOAN DELINQUENT? R: COL 021508 BIB SHOULD BE BETWEEN 0, 9999 A: 76 COL 021508 BIB UC7G2- C: HOW MANY DAYS IS THE LOAN DELINQUENT? R: SHOULD BE BETWEEN 0, 9999 A: 76 COL 021508 BIB UC7G2- C: IF YOU HAVE NOT RECEIVED CONSUMER CREDIT COUNSELING, YOU SHOULD CALL 1-800-355-000S FOR ASSI STANCE R: YES A: YES COL 021508 BIB UC7G2- C: DO YOU OR YOUR SPOUSE INTEND TO KEEP THE PROPERTY? R: YES A: YES COL 021508 BIB UC7G2- C: IF YOU HAVE NOT RECEIVED CONSUMER CREDIT COUNSELING, YOU SHOULD CALL 1-800-355-000S FOR ASSI STANCE R: YES A: YES COL 021508 BIB UC7G2- C: IS THE PROPERTY SERIOUSLY DAMAGED? R: NO A: NO COL 021508 BIB UC7G2- C: DO YOU OR YOUR SPOUSE INTEND TO KEEP THE PROPERTY? R: NO A: YES COL 021508 BIB UC7G2- C: HOW MANY DAYS IS THE LOAN DELINQUENT? R: SHOULD BE BETWEEN 0, 9999 A: 76 COL 021508 BIB SHOULD BE BETWEEN 0, 9999 A: 76 COL 021508 BIB UC7G2- C: HOW MANY DAYS IS THE LOAN DELINQUENT? R: SHOULD BE BETWEEN 0, 9999 A: 76 COL 021508 BIB UC7G2- C: IF YOU HAVE NOT RECEIVED CONSUMER CREDIT COUNSELING, YOU SHOULD CALL 1-800-355-000S FOR ASSI STANCE R: YES A: YES COL 021508 BIB UC7G2- C: DO YOU OR YOUR SPOUSE INTEND TO KEEP THE PROPERTY? R: YES A: YES COL 021508 BIB UC7G2- C: IF YOU HAVE NOT RECEIVED CONSUMER CREDIT COUNSELING, YOU SHOULD CALL 1-800-355-000S FOR ASSI STANCE R: YES A: YES COL 021508 BIB UC7G2- C: IS THE PROPERTY SERIOUSLY DAMAGED? R: NO A: NO COL 021508 BIB UC7G2- C: DO YOU OR YOUR SPOUSE INTEND TO KEEP THE PROPERTY? R: NO A: YES COL 021508 BIB UC7G2- C: HOW MANY DAYS IS THE LOAN DELINQUENT? R: SHOULD BE BETWEEN 0, 9999 A: 76 COL 021508 BIB UC7G2- C: HOW MANY DAYS IS THE LOAN DELINQUENT? R: SHOULD BE BETWEEN 60, 9999 A: 76 COL 021508 BIB UC7G2- C: DO YOU OR YOUR SPOUSE INTEND TO KEEP THE PROPERTY? R: NO A: YES COL 021508 BIB UC7G2- C: IF YOU HAVE NOT RECEIVED CONSUMER CREDIT COUNSELING, YOU SHOULD CALL 1-800-355-000S FOR ASSI STANCE R: YES A: YES COL 021508 BIB UC7G2- CONVERSATION INTERRUPTED: INTERVIEW COMPLETE COL 021508 BIB UC7G2- INFORMED TO CALL TO CONFIRM STATUS BEFORE SE NDING MONEY, AS FORECLOSURE FEES MAY BE INCURRED ON CE THE BREACH EXPIRES. COL 021508 BIB UC7G2- DISCUSSED: MORTGAGE MODIFICATION COL 021508 BIB UC7G2- DISCUSSED: SPECIAL FORBEARANCE COL 021508 BIB UC7G2- FINANCIAL INFORMATION AS ON 02/15/2008: MONT HLY INCOME = $6,000.00 MONTHLY EXPENSES = $7,952.00 (INCLUDES MORTGAGE) COL 021508 BIB SP COL 021508 BIB UC7G2- MR C/I ADV ONLY CAN MAKE 1 PMT ADV BITE- REP Y FAILED-SNT PKG ADV NOI DATE AND TAD ALSO OF 2 PMT S ADV MR TO CALL AFTER NOI EXPIRE IF HE F COL 021508 BIB UC7G2- EELS HE CANT MAKE PMTS TO FIND OUT IF LOAN I S IN F/C ADV MQ.COM RFD-INCOME WAS CUT IN HALF COL 021508 BIB UC7G2- INCOMING CALL TALKED TO MIKHAIL OCEAN COL 021508 BIB UC7G2- Q: WHAT IS THE REASON FOR THE DELINQUENCY? A CURTAILMENT OF INCOME COL 021508 BIB UC7G2- Q: WHOSE INCOME WAS REDUCED? A: BOTH HOMEOWN ERS COL 021508 BIB UC7G2- Q: HOW MUCH WAS YOUR MONTHLY TAKE HOME PAY R EDUCED BY? A: 6000.00 COL 021508 BIB UC7G2- Q: HOW LONG WILL THIS REDUCTION CONTINUE? A: 6 MONTHS COL 021508 BIB UC7G2- Q: DO YOU OR YOUR SPOUSE INTEND TO KEEP THE PROPERTY? A: YES COL 021508 BIB UC7G2- Q: IS THE PROPERTY SERIOUSLY DAMAGED? A: NO COL 021508 BIB UC7G2- Q: IF YOU HAVE NOT RECEIVED CONSUMER CREDIT COUNSELING, YOU SHOULD CALL 1-800-355-000S FOR ASSI STANCE A: YES COL 021508 BIB UC7G2- Q: HAS THE BORROWER BEEN INFORMED ABOUT POTE NTIAL FORECLOSURE? A: YES COL 021508 BIB UC7G2- Q: IS INCOME SUFFICIENT TO MAINTAIN REPAYMEN T OF DEBT? A: NO COL 021508 BIB UC7G2- Q: DO THE ARREARS EXCEED 12 MONTHS PITI? A: NO COL 021508 BIB UC7G2- Q: HOW MANY DAYS IS THE LOAN DELINQUENT? A: 76 COL 021508 BIB UC7G2- Q: WHAT IS FRONT-END RATIO? A: 43 COL 021508 BIB UC7G2- Q: WHAT IS BACK-END RATIO? A: 83 COL 021508 BIB UC7G2- Q: CALL TO CONFIRM STATUS BEFORE SENDING MON EY, AS FORECLOSURE FEES MAY BE INCURRED ONCE THE BR EACH EXPIRES A: YES COL 021508 BIB DELQ STAT = REASON FOR DELQ = 006 COL 021508 BIB 'INCOME CURTAILMENT COL 021508 BIB LETTER SENT LM050 BIB Frbrnce/Mod/Partlcm COL 021508 BIB 'MR TEL OFC BITB COMPLETE COL 021508 7G2 CUST REQ PAP COL 021508 7G2 MSG CTR SOLIC COL 020608 *** LM017 Solicitation Ltr - Advg LETTER SENT COL 011808 *** XC088 LM-Homeowners Assistance LETTER SENT COL 010908 TFH 'TEL RES 'LMTC/MACHINE COL 010808 * * * X0001 60-1 A LETTER LETTER SENT COL 010708 * * * NOTICE FINAL (P-199) COL 122107 DVX'TEL RES 'LMTC/MACHINE 'UNABL TO CNTCT MTGR COL 122107 *** XC088 LM-Homeowners Assistance LETTER SENT COL 122007 DVX TEL RES 'LMTC/MACHINE 'UNABL TO CNTCT MTGR COL 120707 *** X0001 60-1A LETTER LETTER SENT COL 120507 *** NOTICE FINAL (P-199) COL 113007 TFH TEL RES 'LMTC/MACHINE COL 113007 ***SCORE 036 120107 AGT RPRO DAYS DEL 029 COL 112707 DVX 'TEL RES 'LMTC/MACHINE 'UNABL TO CNTCT MTGR COL 112607 DVX'TEL RES 'LMTC/MACHINE 'UNABL TO CNTCT MTGR COL 112607 DVX TEL RES 'LMTC/MACHINE 'UNABL TO CNTCT MTGR COL 112007 *** XC088 LM-Homeowners Assistance LETTER SENT COL 110807 * * * X0001 60-IA LETTER LETTER SENT COL 110607 *** NOTICE FINAL (P-199) COL 103007 765 DELQ STAT = REASON FOR DELQ = 006 COL 103007 765 'MR TEL OFC NO ARRANGEMNT MADE 'INCOME CURTAILMENT COL 103007 765 WILL MAKE OCT THE BEGINNING OF NOV, TOLD HIM ABOUT REPORTING--TOLD HIM ABOUT BITB AND REPAY COL 102907 TFH TEL RES 'LMTC/MACHINE COL 102607 TFH TEL RES 'LMTC/MACHINE COL 102307 TFH TEL RES 'LMTC/MACHINE COL 101607 * * * NOTICE DELINQUENT (P-198) COL 092807 TFH TEL RES 'CUSTOMER HUNG UP COL 092507 TFH TEL RES 'LMTC/MACHINE COL 092007 TFH TEL RES 'LMTC/MACHINE COL 091707 * * * NOTICE DELINQUENT (P-198) COL 082807 TFH TEL RES 'LMTC/MACHINE COL 082207 TFH 'TEL RES 'LMTC/MACHINE COL 081707 *** NOTICE DELINQUENT (P-198) COL 081607 *** NOTICE DELINQUENT (P-198) COL 080207 ***SCORE 004 080207 AGT RPRO DAYS DEL 001 COL 073007 SDY SPAY XNET $2,648.37 ($2,633.37+$15.00 SPAY FEE) PAYMENT MADE 7/30/2007 3:17:00 PM CONF#5681951 ACCT:4204 BANK:ORRSTOWN BANK COL 073007 TFH'TEL RES 'CUSTOMER HUNG UP COL 072407 TFH TEL RES 'LMTC/MACHINE COL 071607 *** NOTICE DELINQUENT (P-198) COL 062507 TFH'TEL RES 'LMTC/MACHINE COL 062207 TFH TEL RES 'LMTC/MACHINE COL 061807 *** NOTICE DELINQUENT (P-198) COL 052207 TFH TEL RES 'LMTC/MACHINE COL 051607 *** NOTICE DELINQUENT (P-198) COL 042507 TFH 'TEL RES 'CUSTOMER HUNG UP COL 042407 TFH 'TEL RES 'LMTC/MACHINE COL 041607 *** NOTICE DELINQUENT (P-198) COL 033007 *** SCORE 004 033107 AGT RPRO DAYS DEL 000 COL 031607 SDY SPAY INET $2,536.67 ($2,524.17+$12.50 SPAY FEE) PAYMENT MADE 3/15/2007 10:58:00 PM CONF#5188640 ACCT:4204 BANK:ORRSTOWN BANK COL 011907 TFH 'TEL RES 'CUSTOMER HUNG UP COL 011607 *** NOTICE DELINQUENT (P-198) COL 112906 *** SCORE 004 112906 AGT RPRO DAYS DEL 000 COL 082306 TFH 'TEL RES 'LMTC/MACHINE COL 081706 TFH 'TEL RES 'CUSTOMER HUNG UP COL 081606 *** NOTICE DELINQUENT (P-198) COL 080706 *** SCORE 003 080706 AGT RPRO DAYS DEL 006 COL 072806 TFH 'TEL RES COL 072406 TFH 'TEL RES COL 071806 TFH 'TEL RES DELINQUENT (P-198) 'LMTC/MACHINE 'LMTC/MACHINE 'LMTC/MACHINE COL 071706 * * * NOTICE Joseph P. Schalk, Esquire, hereby states that he is the attorney for Plaintiff in this action, that he is authorized to make this verification, and that the statements made in the foregoing Motion for Summary Judgment and Brief are true and correct to the best of his knowledge, information, and belief. The undersigned understands that this statement herein is made subject to the penalties of 18 Pa.C.S. §4904 relating to unswom falsification to authorities. kJvIJN- By. Date J h P. halk, Esquire Attorney for Plaintiff PHELAN HALLINAN & SCHMIEG, LLP BY: JOSEPH P. SCHALK, ESQUIRE Identification No. 91656 107 N. Front Street, Suite 115 Harrisburg, PA 17101 Phone (215) 563-7000 x 7365 Fax (717) 234-1549 PHH Mortgage Corpoation 3000 Leadenhall Road or 4001 Leadenhall Road Mount Laurel, NJ 08054 Plaintiff VS. Mikhail Ocean Saratoga Ocean 118 Stonehedge Drive Carlisle, PA 17015 and The United Ststes of Anerica C/O The United States Attorney for The Middle District of Pennsylvania 1164 Federal Building 228 Walnut Street Harrisburg, PA 17101 Defendants Attorney for Plaintiff : Court of Common Pleas : Civil Division : No. 08-2243- CIVIL TERM : Cumberland County I hereby certify that true and correct copies of Plaintiffs Motion for Summary Judgment and Brief in Support thereof were sent via first class mail to the persons on the date listed below: Mikhail Ocean, Pro Se Saratoga Ocean, Pro Se 118 Stonehedge Drive Carlisle, PA 17013-9116 Date: ? ' 2, G By: J ph P. chalk, Esquire A orney for Plaintiff w, t.,:3 r \ PRAECIPF FOR LISTING CASE. FOR ARGUMENT (Must be typewritten and submitted in duplicate) TO THE PROTHONOTARY OF CUMBERLAND COUNTY: Please list the within matter for the next Argument Court. PHH Mortgage Corporation (Plaintiff) VS. Mikhail Ocean Saratoga Ocean (Defendants) No. 09-2243-Civil Term 1. State matter to be argued : Plaintiff s Motion for Summary Judgment 2. Identify counsel who will argue case: (a) for plaintiff: Joseph P. Schalk, Esquire 107 N. Front Street, Suite 115 Harrisburg, PA 17101 (b) for defendants: Mikhail Ocean, Pro Se Saratoga Ocean, Pro Se 118 Stonehedge Drive Carlisle, PA 17013-9116 3. I will notify all parties in writing within two days that this case has been listed for argument. 4. Argument Court Date: October 22, 2008. Date: •O b OV R-'`? eph P. Schalk, Esquire A orney for Plaintiff ra ?ro ,.. dk PHELAN HALLINAN & SCHMIEG, LLP BY: JENINE R. DAVEY, ESQUIRE Identification No. 87077 ATTORNEY FOR PLAINTIFF One Penn Center at Suburban Station 1617 John F. Kennedy Boulevard, Suite 1400 Philadelphia, PA 19103-1814 15) 563-7000 PHH Mortgage Corporation Court of Common Pleas 3000 Leadenhall Road Civil Division or 4001 Leadenhall Road Mount Laurel, NJ 08054 Plaintiff Cumberland County No.: 08-2243 vs. Mikhail Ocean Saratoga Ocean 118 Stonehedge Drive Carlisle, PA 17015 The United States of America c/o The United States Attorney for The Middle District of Pennsylvania 1164 Federal Building 228 Walnut Street Harrisburg, PA 17101 Defendants PRAECIPE TO THE PROTHONOTARY: X Please mark the above referenced case Discontinued and Ended without PHS: 175610 W prejudice. Please mark the above referenced case Settled, Discontinued and Ended. Please mark Judgments satisfied and the Action settled, discontinued and ended. Please Vacate the judgment entered and mark the action discontinued and ended without prejudice. Please withdraw the complaint and mark the action discontinued and ended without prejudice. Date: kb ? b? Je ' e R. Davey, Esq ' e Attorney for Plaintiff PHS: 175610 r.7 Q m a PHELAN HALLINAN & SCHMIEG, LLP BY: JENINE R. DAVEY, ESQUIRE Identification No. 87077 ATTORNEY FOR PLAINTIFF One Penn Center at Suburban Station 1617 John F. Kennedy Boulevard, Suite 1400 Philadelphia, PA 19103-1814 (215) 563-7000 PHH Mortgage Corporation Court of Common Pleas 3000 Leadenhall Road Civil Division or 4001 Leadenhall Road Mount Laurel, NJ 08054 Plaintiff Cumberland County No.: 08-2243 VS. Mikhail Ocean Saratoga Ocean 118 Stonehedge Drive Carlisle, PA 17015 The United States of America c/o The United States Attorney for The Middle District of Pennsylvania 1164 Federal Building 228 Walnut Street Harrisburg, PA 17101 Defendants CERTIFICATION OF SERVICE I hereby certify a true and correct copy of the foregoing Praecipe to withdraw Motion for Summary Judgment, was served by regular mail on the following parties on the date listed below: 175610 The United States of America c/o The United States Attorney for The Middle District of Pennsylvania 1164 Federal Building 228 Walnut Street Harrisburg, PA 17101 DATE: g g 175610 Mikhail Ocean 118 Stonehedge Road Carlisle, PA 17015 Saratoga Ocean 118 Stonehedge Road Carlisle, PA 17015 enine R. Davey, Esquire Attorney for Plaintiff two: .,.. 44 -%%. PHELAN HALLINAN & SCHMIEG, LLP BY: JENINE R. DAVEY, ESQUIRE Identification No. 87077 ATTORNEY FOR PLAINTIFF One Penn Center at Suburban Station 1617 John F. Kennedy Boulevard, Suite 1400 Philadelphia, PA 19103-1814 (215) 563-7000 PHH Mortgage Corporation Court of Common Pleas 3000 Leadenhall Road Civil Division or 4001 Leadenhall Road Mount Laurel, NJ 08054 Plaintiff Cumberland County No.: 08-2243 vs. Mikhail Ocean Saratoga Ocean 118 Stonehedge Drive Carlisle, PA 17015 The United States of America c/o The United States Attorney for The Middle District of Pennsylvania 1164 Federal Building 228 Walnut Street Harrisburg, PA 17101 Defendants PRAECIPE TO WITHDRAW MOTION FOR SUMMARY JUDGMENT TO THE PROTHONOTARY: Plaintiff hereby withdraws its Motion for Summary Judgment filed on or about August 29, 2008, without prejudice. DATE: \10 d? Respectfully submitted, PHELAN HALLINAN & SCHMIEG, LLP BY: Jeni R. Davey, Esquire Attorney for Plaintiff 175610 N 71