HomeMy WebLinkAbout08-5231
IN THE COURT OF COMMON PLEAS
OF CUMBERLAND COUNTY, PENNSYLVANIA
MICHAEL COSTELLO,
Plaintiff
v.
DOGWOOD ACRES CAMPGROUND,
INC., CHARLES STRUB AND LUCILLE
STRUB,
Defendants
No. pe-? 5:131 c N; 1 -1 u A
IN LAW AND IN EQUITY
NOTICE TO DEFEND
YOU HAVE BEEN SUED IN COURT. IF YOU WISH TO DEFEND AGAINST
THE CLAIMS SET FORTH IN THE FOLLOWING PAGES, YOU MUST TAKE ACTION
WITHIN TWENTY (20) DAYS AFTER THIS COMPLAINT AND NOTICE ARE
SERVED, BY ENTERING A WRITTEN APPEARANCE PERSONALLY OR BY AN
ATTORNEY AND FILING IN WRITING WITH THE COURT YOUR DEFENSES OR
OBJECTIONS TO THE CLAIMS SET FORTH AGAINST YOU. YOU ARE WARNED
THAT IF YOU FAIL TO DO SO THE CASE MAY PROCEED WITHOUT YOU AND A
JUDGMENT MAY BE ENTERED AGAINST YOU BY THE COURT WITHOUT
FURTHER NOTICE FOR ANY MONEY CLAIMED IN THE COMPLAINT OR FOR
ANY OTHER CLAIM OR RELIEF REQUESTED BY THE PLAINTIFF. YOU MAY LOSE
MONEY OR PROPERTY OR OTHER RIGHTS IMPORTANT TO YOU.
YOU SHOULD TAKE THIS PAPER TO YOUR LAWYER AT ONCE. IF YOU DO
NOT HAVE A LAWYER OR CANNOT AFFORD ONE, GO TO THE TELEPHONE OR
THE OFFICE SET FORTH BELOW TO FIND OUT WHERE YOU CAN GET LEGAL
HELP.
CUMBERLAND COUNTY BAR ASSOCIATION
32 SOUTH BEDFORD STREET
CARLISLE, PA 17013
14800-990-9108
717-249-3166
IN THE COURT OF COMMON PLEAS
OF CUMBERLAND COUNTY, PENNSYLVANIA
MICHAEL COSTELLO,
Plaintiff
V.
DOGWOOD ACRES CAMPGROUND,
INC., CHARLES STRUB AND LUCILLE
STRUB,
Defendants
COMPLAINT
No. o0r, r.z 3 c ,,ve 14 e-r,r.
IN LAW AND IN EQUITY
1. Plaintiff Michael Costello resides at 494 Brick Church Road, Newville, PA
17241 and is the owner of 133 1/3 shares of the common stock of Defendant
Corporation.
2. Defendant Dogwood Acres Campground, Inc., is a corporation organized
under the laws of the Commonwealth of Pennsylvania and has its principal office
located at 4505 Enola Road, Newville, Cumberland County, Pennsylvania 17241.
3. There are issued and outstanding a total of 400 shares of the common
stock of Defendant Corporation, which is the stock entitled to vote at an election of
directors.
4. Defendant Charles Strub has an address of 4505 Enola Road, Newville,
Cumberland County, Pennsylvania 17241 and is the owner of 133 1/3 shares of the
common stock of Defendant Corporation and is a director of said Corporation.
5. Defendant Lucille Strub has an address of 4505 Enola Road, Newville,
Cumberland County, Pennsylvania 17241 and is the owner of 133 1/3 shares of the
common stock of Defendant Corporation and is a director of said Corporation.
6. The purpose for which the Corporation was organized was as a
campground.
7. The total amount of Defendant Corporations authorized capital common
stock is $74,000.00, and the amount of its capital stock issued and outstanding is
$74,000.00.
8. Defendant Corporation has two directors, Defendants Charles Strub and
Lucille Strub, which Defendants voted Plaintiff off the Corporations Board of Directors.
9. The acts of the directors are illegal and oppressive and it is beneficial to
the interests of the shareholders that the corporation be wound up and dissolved for the
following reasons:
a) Defendants Charles and Lucille Strub, as directors of Defendant
Corporation, voted Plaintiff off the Board of Directors.
b) Defendants Charles and Lucille Strub removed Plaintiff as
President of Defendant Corporation.
c) Defendants Charles and Lucille Strub have refused to inform
Plaintiff of the operations and records of Defendant Corporation for
the past year despite demands by Plaintiff.
d) Defendants Charles and Lucille Strub have locked Plaintiff out of
the business premises and have refused to give him access to said
business premises despite demands for access by Plaintiff.
e) Defendants Charles and Lucille Strub have refused to permit
Plaintiff to participate in any manner in the running of said
Corporation despite the fact that Plaintiff owns 33 1/3 % of the
corporate stock.
10. Plaintiff brings this Complaint to dissolve Defendant Corporation
pursuant to the provisions of Title 15 Pa. C.S.A. § 1981(a)(1).
11. Defendant Corporation is, at present, entirely solvent and wholly able to
pay all of its obligations in due course.
12. Defendants Charles and Lucille Struts' conduct towards Plaintiff, as set
forth in Paragraph 9 of this Complaint, is malicious, obdurate and vexatious justifying
the awarding of punitive damages to Plaintiff.
WHEREFORE, for all the foregoing reasons, Plaintiff Michael Costello, requests
this Honorable Court to:
a) Issue a final order dissolving Defendant Dogwood Acres
Campground, Inc., and
b) Order punitive damages in favor of Plaintiff against Defendants
Charles and Lucille Strub for their malicious, obdurate and
vexatious conduct toward Plaintiff, as aforesaid.
September 2, 2008
Ell.- bl-
Peter B. Foster, Esquire
Attorney for Plaintiff
Pinskey & Foster
114 South Street
Harrisburg, PA 17101
717-234-9321
I.D. #15357
VERIFICATION
I hereby verify that the facts set forth in the foregoing Complaint are true and
correct to the best of my information, knowledge and belief. I understand that false
statements herein are made subject to the penalties of 18 Pa.C.S. § 4904, unworn
falsification to authorities. /I/7
September 2, 2008
Michael Costello
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MICHAEL COSTELLO,
Plaintiff
IN THE COURT OF COMMON PLEAS OF
CUMBERLAND COUNTY, PENNSYLVANIA
V.
DOGWOOD ACRES CAMPGROUND,
INC., CHARLES STRUB and
LUCILLE STRUB,
Defendants
To the Prothonotary:
NO. 08-5231 CIVIL TERM
IN LAW AND IN EQUITY
PRAECIPE
Please enter the appearance of MARTSON DEARDORFF WILLIAMS OTTO GILROY &
FALLER, as attorneys for the Defendants in the above-referenced matter.
Date: 1'zxla F
MARTSON LAW OFFICES
By:
Christopher E. Rice, Esquire
I.D. No. 90916
10 East High Street
Carlisle, PA 17013
(717) 243-3341
Attorneys for Defendants
1
CERTIFICATE OF SERVICE
I, Mary M. Price, an authorized agent for Martson Deardorff Williams Otto Gilroy & Faller,
hereby certify that a copy of the foregoing Praecipe served this date by depositing same in the Post
Office at Carlisle, PA, first class mail, postage prepaid, addressed as follows:
Peter B. Foster, Esquire
PINSKEY & FOSTER
114 South Street
Harrisburg, PA 17101
MARTSON LAW OFFICES
LA)?10
By -
_ IJ44q
M. Price
Ten ast High Street
Carlisle, PA 17013
(717) 243-3341
Date: 7/,2? ?/pcf
f ?`
SHERIFF'S RETURN - REGULAR
ASE NO: 2008-05231 P
COMMONWEALTH OF PENNSYLVANIA:
COUNTY OF CUMBERLAND
COSTELLO MICHAEL
VS
DOGWOOD ACRES CAMPGROUNG ET AL
JACOB BAKER
Sheriff or Deputy Sheriff of
Cumberland County,Pennsylvania, who being duly sworn according to law,
says, the within COMPLAINT - EQUITY was served upon
STRUB CHARLES
DEFENDANT
the
at 1512:00 HOURS, on the 9th day of September, 2008
at CUMBERLAND CO SHERIFF'S OFFICE ONE COURTHOUSE SQUARE
CARLISLE, PA 17013 by handing to
CHARLES STRUB
a true and attested copy of COMPLAINT - EQUITY together with
and at the same time directing His attention to the contents thereof.
Sheriff's Costs: So Answers:
Docketing 18.00
Service 11.00 Postage .59
Surcharge 10.00 R. Thomas Kline
.00
1a/63/68 ? 39.59 09/10/2008
PETER FOSTER
Sworn and Subscibed to By: &" & "
before me this day D put S eriff
of A.D.
ASE NO: 2008-05231 P
SHERIFF'S RETURN - REGULAR
COMMONWEALTH OF PENNSYLVANIA:
COUNTY OF CUMBERLAND
COSTELLO MICHAEL
VS
DOGWOOD ACRES CAMPGROUNG ET AL
JACOB BAKER
Sheriff or Deputy Sheriff of
Cumberland County,Pennsylvania, who being duly sworn according to law,
says, the within COMPLAINT - EQUITY was served upon
STRUB LUCILLE
DEFENDANT
the
, at 1512:00 HOURS, on the 9th day of September, 2008
at CUMBERLAND CO SHERIFF'S OFFICE ONE COURTHOUSE SQUARE
CARLISLE, PA 1701
LUCILLE STRUB
by handing to
a true and attested copy of COMPLAINT - EQUITY together with
and at the same time directing Her attention to the contents thereof.
Sheriff's Costs:
Docketing 6.00
Service .00
Affidavit .00
Surcharge 10.00
.00
to/a?bf ,/ 16.00
Sworn and Subscibed to
before me this
day
So Answers:
R. Thomas Kline
09/10/2008
PETER FOSTER
By.
Deputy Sheriff
of A. D.
FARLES\Clients\12943 Stmb\12943.1.ms
Christopher E. Rice, Esquire
I.D. No. 90916
MARTSON DEARDORFF WILLIAMS OTTO GILROY & FALLER
MARTSON LAW OFFICES
Ten East High Street
Carlisle, PA 17013
717-243-3341
Attorneys for Defendants
MICHAEL COSTELLO,
Plaintiff
IN THE COURT OF COMMON PLEAS OF
CUMBERLAND COUNTY, PENNSYLVANIA
V.
DOGWOOD ACRES CAMPGROUND,
INC., CHARLES STRUB and
LUCILLE STRUB,
Defendants
NO. 08-5231 CIVIL TERM
IN LAW AND IN EQUITY
DEFENDANTS' ANSWER WITH NEW MATTER AND COUNTERCLAIM
TO PLAINTIFF'S COMPLAINT
TO: MICHAEL COSTELLO, Plaintiff, and his attorney, PETER B. FOSTER, ESQUIRE
YOU ARE HEREBY NOTIFIED TO FILE A WRITTEN RESPONSE TO THE
ENCLOSED NEW MATTER WITHIN TWENTY (20) DAYS FROM
SERVICE HEREOF OR A JUDGMENT MAY BE ENTERED AGAINST
YOU.
1. Admitted.
2. Admitted in part. The actual address is 4500 Enola Road.
3. Admitted.
4. Admitted in part. The actual address is 4504 Enola Road.
5. Admitted in part. The actual address is 4504 Enola Road.
6. Admitted.
7. Denied. Defendants deny this allegation as they are unable to confirm the accuracy
of the statement. After reasonable investigation, Defendants are without knowledge or information
sufficient to form a belief as to the truth of the averments of this paragraph. Said averments
therefore are denied and strict proof thereof is demanded at trial.
8. Admitted in part and denied in part. Plaintiff is a member of the Board of Directors,
but was removed as President as of October 2007. During an emergency meeting, the Board of
Directors voted to remove Plaintiff as President because he abandoned the business and all
responsibilities associated thereto as of August 2007.
9. Denied as conclusions of law.
a. Denied. By way of further response, please refer to answer number 8.
b. Admitted.
C. Denied. Defendants Charles and Lucille have provide information as
requested by Plaintiff.
d. Denied. Defendants Charles and Lucille have not locked Plaintiff out of the
business premises. During a certain period of time, Plaintiff actually had a
key to access the premises. By way of further response, Plaintiff has failed
to return to the premises and voluntarily abandoned the business.
e. Denied. Defendants Charles and Lucille have provided Plaintiff with notice
of all meetings; however, Defendants Charles and Lucille have recently
obtained information that Plaintiff had relocated and did not provide his
current address to Defendants Charles and Lucille. By way of further
response, Plaintiff voluntarily abandoned the business as of August 25, 2007.
10. Denied as a conclusion of law.
11. Denied as a conclusion of law.
12. Denied as a conclusion of law. By way of further response, Plaintiff abandoned the
business and his duties as a shareholder.
WHEREFORE, Defendants request that this Honorable Court deny Plaintiff's relief with
prejudice and award Defendants attorney fees and costs of suit for defense of this matter.
NEW MATTER
13. Defendants incorporate paragraphsl through 12 of their Answer as if fully set forth
herein.
14. On or about August 25, 2007, Plaintiff informed Defendants Charles and Lucille that
he was no longer interested in operating the business.
15. Thereafter, Defendants Charles and Lucille attempted to contact Plaintiff to discuss
his decision to leave the business, but Plaintiff was not interested in discussing the same.
16. Defendants Charles and Lucille were forced to take time off of work and ask family
members to volunteer to keep the business running since Plaintiff, without notice, withdrew from
the business and his responsibilities thereunder.
17. Defendants Charles and Lucille had no choice but to remove Plaintiff as president of
Defendant Corporation.
18. Plaintiff breached his fiduciary duty as a shareholder and President by withdrawing
from the business and failing to fulfill his duties without notice and with the intent to start his own
campground.
WHEREFORE, Defendants request that this Honorable Court deny Plaintiff's relief with
prejudice and award Defendants attorney fees and costs of suit for defense of this matter.
COUNTERCLAIM
19. Defendants incorporate paragraphs) through 18 of their Answer as if fully set forth
herein.
20. As a result of Plaintiff abandoning the business, Defendant Charles had to leave his
full time job the following year resulting in a loss of income for Defendant Charles and a greater
financial burden on Defendant Dogwood.
21. As a result of Plaintiff abandoning the business, Defendant Lucille had to take a two
week emergency leave from her permanent teaching position and reimburse the school district for
medical insurance.
22. Plaintiff's actions jeopardized the business and placed additional burdens on the
Defendants.
WHEREFORE, Defendants request that this Honorable Court award Defendants damages
that were incurred as a result of Plaintiff's actions, including costs of suit, fees, and any other relief
it deems appropriate.
MARTSON LAW OFFICES
By: 0"?4 ?- tc?
Christopher E. Rice, Esquire
I.D. No. 90916
10 East High Street
Carlisle, PA 17013
y' (717) 243-3341
Date: S-- 7 - ! Attorneys for Defendants
V
VERIFICATION
The foregoing Answer with New Matter and Counterclaim is based upon information which
has been gathered by my counsel in the preparation of the lawsuit. The language of the document
is that of counsel and not my own. I have read the document and to the extent that it is based upon
information which I have given to my counsel, it is true and correct to the best of my knowledge,
information and belief. To the extent that the content of the document is that of counsel, I have
relied upon counsel in making this verification.
This statement and verification are made subject to the penalties of 18 Pa. C.S. Section 4904
relating to unsworn falsification to authorities, which provides that if I make knowingly false
averments, I may be subject to criminal penalties.
C"
Charles Strub
CERTIFICATE OF SERVICE
I, Mary M. Price, an authorized agent for Martson Deardorff Williams Otto Gilroy & Faller,
hereby certify that a copy of the foregoing Answer with New Matter and Counterclaim was served
this date by depositing same in the Post Office at Carlisle, PA, first class mail, postage prepaid,
addressed as follows:
Peter B. Foster, Esquire
PINSKEY & FOSTER
114 South Street
Harrisburg, PA 17101
MARTSON LAW OFFICES
By
M M. Price
T East High Street
Carlisle, PA 17013
(717) 243-3341
Dated: j l7h 7
FILED-{. cRCE
OF THE
OF 1! ?L
2009 MAY -7 FM 3: 14
CUM : ????dTY
IN THE COURT OF COMMON PLEAS
OF CUMBERLAND COUNTY, PENNSYLVANIA
MICHAEL COSTELLO, NO. 08-5231
Plaintiff CIVIL TERM
v.
DOGWOOD ACRES CAMPGROUND, INC.,
CHARLES STRUB and LUCILLE STRUB,
Defendants
PLAINTIFF'S REPLY TO NEW MATTER, ANSWER TO COUNTERCLAIM, AND
NEW MATTER TO COUNTERCLAIM
REPLY TO NEW MATTER
AND NOW, this 2nd day of June, 2009, comes Plaintiff Michael Costello, by his
attorney, Peter B. Foster, Esquire, and replies to Defendants' New Matter, as follows:
13. Admitted.
14. Denied. It is denied that on or about August 25, 2007, Plaintiff informed
Defendants Charles and Lucille Strub that he was no longer interested in operating the
business. On the contrary, on or about August 25, 2007, Plaintiff informed the Strubs
that he was no longer interested in working as day manager of Dogwood Acres because
the Strubs were controlling all the financial aspects of the business without consulting
Plaintiff and the Strubs refused to sell him his ex-wife's shares in Dogwood Acres, as
promised.
15. Denied. It is denied that Defendant Charles and Lucille Strub attempted to
contact Plaintiff to discuss his decision to leave the business, but Plaintiff was not
interested in discussing the same. On the contrary, Defendants Charles and Lucille
Strub asked Plaintiff to sign a waiver to have attorney Jim Hughes act as attorney for
the business before any discussion about Plaintiff leaving as day manager would be
discussed. Plaintiff refused because he believed there was a conflict of interest. Plaintiff
was, then, asked to resign by said Defendants at a November, 2007, emergency Board
Meeting. Plaintiff refused to resign and, then, he was voted out as President by said
Defendants at said emergency Board Meeting.
16. Denied. It is denied that Defendants Charles and Lucille Strub were forced
to take time off of work and ask family member to volunteer to keep the business
running since Plaintiff, without notice, withdrew from the business and his
responsibilities thereunder. On the contrary, Plaintiff did not withdraw from the
business and his responsibilities; he simply notified the Strubs that he was no longer
interested in working as day manager for the business and, then, the Strubs voted
Plaintiff out of his position as President. Further, Plaintiff has no knowledge of the
Strubs taking time off from work and asking family members to volunteer to keep the
business running and strict proof thereof is demanded at trial.
17. Denied. It is denied that Defendants Charles and Lucille Strub had no
choice but to remove Plaintiff as President of Defendant Corporation. On the contrary,
the Strubs voted Plaintiff out as President of the Corporation of their own volition.
18. Denied. It is denied that Plaintiff breached his fiduciary duty as a
shareholder and President by withdrawing from the business and failing to fulfill his
duties without notice and with the intent to start his own campground. On the contrary,
Plaintiff did not withdraw from the business. He merely notified the Strubs that he was
no longer interested in working as day manager of the business and, then, the Strubs
voted him out of his position as President of the Corporation. Consequently, Plaintiff
did not breach any fiduciary as President of and shareholder in the Corporation.
Further, Plaintiff never intended to start his own campground and never notified
anyone that he intended to start his own campground.
WHEREFORE, for all the foregoing reasons, Plaintiff Michael Costello
respectfully requests this Honorable Court to dismiss Defendants' New Matter
ANSWER TO COUNTERCLAIM
AND NOW, this 2nd day of June, 2009, comes Plaintiff Michael Costello, by his
attorney, Peter B. Foster, Esquire, and answers Defendants' Counterclaim as follows:
19. Admitted.
20. Denied. Denied that Plaintiff abandoned the business for the reasons
stated in Plaintiff's Reply to New Matter, which averments are incorporated herein by
reference as if fully set forth at length herein. Further, Plaintiff has no knowledge of
Charles Strub leaving his full time job the following year resulting in a loss of income
for Charles Strub and a greater financial burden on Defendant Dogwood Acres and
strict proof thereof is demanded at trial.
21. Denied. Denied that Plaintiff abandoned the business for the reasons
stated in Plaintiff's Reply to New Matter, which averments are incorporated herein by
reference as if fully set forth at length herein. Further, Plaintiff has no knowledge of
Defendant Lucille Strub taking a two week emergency leave from her permanent
teaching position and reimbursing the school district for medical insurance and strict
proof thereof is demanded at trial.
22. Denied. Denied because said averments state conclusions of law to which
no responsive pleading is required. Furthermore, Plaintiff took no actions that
jeopardized the business and placed additional burdens on the Defendants.
PLAINTIFF'S NEW MATTER TO COUNTERCLAIM
23. At the time the Strubs purchased Plaintiffs wife's shares in said
Corporation, Defendant Charles Strub promised Plaintiff that the Strubs would sell said
shares to Plaintiff when Plaintiff's divorce became final, but the Strubs reneged on said
proxruse.
WHEREFORE, for all the foregoing reasons, Plaintiff Michael Costello
respectfully requests this Honorable Court to dismiss Defendants' Counterclaim.
June 2, 2009
Peter B. Foster, Esquire
Attorney for Plaintiff
114 South Street
Harrisburg, PA 17101
717-234-9321
I.D. #15357
it.
VERIFICATION
I, Michael Costello, hereby verify that the facts set forth in the foregoing Reply to
New Matter, Answer to Counterclaim and New Matter to Counterclaim are true and
correct to the best of my information, knowledge and belief. I understand that false
statements herein are made subject to the penalties of 18 Pa.C.S. § 4904, unsworn
falsification to authorities.
June 2, 2009
4ichael Costello
f .
CERTIFICATE OF SERVICE
I hereby certify that on this date, June 2, 2009, I served a copy of the foregoing
Reply to New Matter, Answer to Counterclaim and New Matter to Counterclaim on the
Defendants by mailing said copy by first class mail at Harrisburg, PA, to the attorney
for Defendants at the following address:
Christopher E. Rice, Esquire
Martson, Deardorff, Williams, Otto, Gilroy & Faller
Ten East High Street
Carlisle, PA 17013
June 2, 2009
Peter B. Foster, Esquire
Attorney for Plaintiff
FILED -t F
OF rrE PROTHCiAK3ARY
2089 JUN -4 PH 2: 4 8
CUMBERVVdpi W UNTY
PENNSYLVANIA
IN THE COURT OF COMMON PLEAS
OF CUMBERLAND COUNTY, PENNSYLVANIA
MICHAEL COSTELLO,
Plaintiff
NO. 08-5231
CIVIL TERN[
V.
DOGWOOD ACRES CAMPGROUND, INC.,
CHARLES STRUB and LUCILLE STRUB,
Defendants
IN LAW AND IN EQUITY
PRAECIPE FOR DISCONTINUANCE
To the Prothonotary:
Please mark this Civil Action settled and discontinued.
October 29, 2009
cc: Christopher E. Rice, Esquire
Martson, Deardorff, Williams, Otto, Gilroy & Faller
Ten East High Street
Carlisle, PA 17013
Peter B. Foster, Esquire
Attorney for Plaintiff
114 South Street
Harrisburg, PA 17101
717-234-9321
I.D. #15357
fILEU-0? FICE
O ,r -r f L r ?,?TARY
2009 OCT 3a P 3, 32