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Home My WebLink About08-6590 REAGER & ADLER, P.C. BY:JOHN H. PIETRZAK, ESQUIRE Attorney I.D. No. 79538 Email: Jpietrzak@ReagerAdlerPC.com BY: THOMAS O. WILLIAMS, ESQUIRE Attorney I.D. No. 67987 Email: Twilliams@ReagerAdlerPC.com 2331 Market Street Camp Hill, PA 17011 Telephone: (717) 763-1383 Facsimile: (717) 730-7366 Attorneys for Plaintiff. Integrity Bank INTEGRITY BANK, Plaintiff IN THE COURT OF COMMON PLEAS, CUMBERLAND COUNTY, PENNSYLVANIA V. CAPITOL INVESTMENT GROUP, LLC Defendant : CIVIL ACTION : NO. 0 J'- 6 S g e " -7Z, : CONFESSION OF JUDGMENT NOTICE Pursuant to Rule 236 of the Supreme Court of Pennsylvania, you are hereby notified that a JUDGMENT BY CONFESSION has been entered against you in the above proceeding and that enclosed herewith is a copy of all of the documents filed in support of said judgment. If you have any questions concerning this notice, please call John H. Pietrzak at (717) 763-1383. /s/ /t. ?u+w ro honotary G REAGER & ADLER, P.C. BY:JOHN H. PIETRZAK, ESQUIRE Attorney I.D. No. 79538 Email: Jpietrzak@ReagerAdlerPC.com BY: THOMAS O. WILLIAMS, ESQUIRE Attorney I.D. No. 67987 Email: Twilliams@ReagerAdlerPC.com 2331 Market Street Camp Hill, PA 17011 Telephone: (717) 763-1383 Facsimile: (717) 730-7366 Attorneys for Plaintiff, Integrity Bank INTEGRITY BANK, Plaintiff IN THE COURT OF COMMON PLEAS, CUMBERLAND COUNTY, PENNSYLVANIA V. CAPITOL INVESTMENT GROUP, LLC Defendant : CIVIL ACTION . NO. Os? - 4 s'qO C.';- CONFESSION OF JUDGMENT PRAECIPE FOR ENTRY OF JUDGMENT BY CONFESSION TO THE PROTHONOTARY: Kindly enter judgment by confession in the above-captioned matter for the Plaintiff and against the Defendant, and assess damages in the amount of $4,992.77, plus interest from October 30, 2008, as follows: Principal $111,984.09 Interest $ 1,947.28 (plus $29.55 per day) Collection fees $ 11,393.14 Total: $125,324.50 (plus $29.55 per day) Respectfully submitted, REAGER & ADLER, P.C. Date: November 7, 2008 L 9 )2w? , J . Pietrz , Esquire Attorney for Defendants REAGER & ADLER, P.C. BY:JOHN H. PIETRZAK, ESQUIRE Attorney I.D. No. 79538 Email: JpietrzakgReagerAdlerPC.com BY: THOMAS O. WILLIAMS, ESQUIRE Attorney I.D. No. 67987 Email: Twilliams `ReagerAdlerPC.com 2331 Market Street Camp Hill, PA 17011 Telephone: (717) 763-1383 Facsimile: (717) 730-7366 Attorneys for Dauphin Plaza Associates, LP INTEGRITY BANK, Plaintiff : IN THE COURT OF COMMON PLEAS, CUMBERLAND COUNTY, PENNSYLVANIA V. CAPITOL INVESTMENT GROUP, LLC Defendant : CIVIL ACTION . NO. : CONFESSION OF JUDGMENT CONFESSION OF JUDGMENT Pursuant to the authority in the Warrant of Attorney, the original or a copy of which is attached to the Complaint filed in this action, I appear for the Defendant and confess judgment in favor of the Plaintiff and against Defendant as follows: Principal $111,984.09 Interest $ 1,947.28 (plus $29.55 per day from October 30, 2008) Collection fees $ 11,393.14 Total: $125,324.50 (plus $29.55 per day from October 30, 2008) Respectfully submitted, REAGER & ADLER, P.C. Date: November 7, 2008 Jo . Pietrzak, Esquire Attey for Defendants S -{ 1 ? G REAGER & ADLER, P.C. BY:JOHN H. PIETRZAK, ESQUIRE Attorney I.D. No. 79538 Email: Jpietrzak@ReagerAdlerPC.com BY: THOMAS O. WILLIAMS, ESQUIRE Attorney I.D. No. 67987 Email: Twilliams@ReagerAdlerPC.com 2331 Market Street Camp Hill, PA 17011 Telephone: (717) 763-1383 Facsimile: (717) 730-7366 Attorneys for Plaintiff, Integrity Bank INTEGRITY BANK, Plaintiff V. IN THE COURT OF COMMON PLEAS, CUMBERLAND COUNTY, PENNSYLVANIA : CIVIL ACTION CAPITOL INVESTMENT GROUP, LLC Defendant NO. 0 L qt, QA_. TW CONFESSION OF JUDGMENT COMPLAINT IN CONFESSION OF JUDGMENT 1. Plaintiff, Integrity Bank (hereinafter "Integrity") is a Pennsylvania Financial Institution with a mailing address of 3345 Camp Hill, Pennsylvania 17011. 2. Defendant Capitol Investment Group, LLC (hereinafter "CIG") is a Pennsylvania Limited Liability Corporation, with a mailing address of 427 West Queen Street, Annville, Pennsylvania 17003. 3. This is an action to confess judgment for damages arising out of CIG's default of a promissory note (hereinafter the "Note") entered into between CIG and Integrity on July 30, 2007 and CIG's default of a Change In Terms Agreement (hereinafter the "Amended Note"), entered into by CIG and Integrity on August 27, 2008. 4. Judgment is not being entered by confession of judgment against a natural person in connection with a consumer credit transaction. 5. Under the terms of the Note, Integrity agreed to lend CIG the principal amount of $112,000.00 and CIG agreed to pay the entire principal balance and any accrued, unpaid interest to Integrity on June 30, 2008. The interest rate on the Note was 8.75%. CIG also agreed to pay accrued interest on a monthly basis beginning on August 1, 2007. A true and correct copy of the Promissory Note is attached hereto and incorporated herein, as Exhibit "A". 6. Under the terms of the Amended Note, Integrity agreed to extend the maturity of the Note to June 30, 2009. CIG agreed to pay the entire principal balance and any accrued, unpaid interest on June 30, 2009. The interest rate on the Amended Note is 5.5%. CIG also agreed to pay accrued interest on a monthly basis beginning on August 30, 2008. A true and correct copy of the Change In Terms Agreement, under which Plaintiff has confessed judgment is attached hereto and incorporated herein, as Exhibit "B". 7. CIG has defaulted under the terms of the Note and Amended Note by failing to pay the accrued interest on a monthly basis. Specifically, CIG has failed to make the interest payments due on August 30, 2008 in the amount of $530.37, September 30, 2008 in the amount of $530.37 and October 30, 2008 in the amount of $886.54. 8. Under the terms of the Note and Amended Note, upon CIG's default for failure to pay the accrued unpaid interest on a monthly basis, Integrity is entitled to declare the entire principal amount as well as any accrued unpaid interest to be immediately due and payable. 9. Under the terms of the Amended Note, upon CIG's default, the interest rate on the principal increases from 5.5% to 10.5%. 10. Integrity sent a Notice of Default letter to CIG on October 17, 2008 informing CIG that it was in default of the notes and that Integrity was declaring the entire principal amount of 111,984.09 immediately due and owing. A true and correct copy of the October 17, 2008 Notice of Default letter is attached hereto as Exhibit "C". 11. CIG has not paid any amount due under the notes since July 2008. 12. The Amended Note under which judgment is being confessed has not been assigned. 13. The total balance due including principal and accrued, unpaid interest as of October 30, 2008 equals $113,931.37, together with collection and attorney's fees authorized by the Note of 10% in the amount of $11,393.14, for a total amount owing of $125,324.50. Interest on the principal continues to accrue at an amount of $29.55 per day after October 30, 2008. 14. Judgment upon the Note and Amended Note has been entered against CIG in Dauphin County for Confession of Judgment in the amount of $125,324.50. 15. Judgment is demanded as authorized by the Warrant of Attorney contained in the Amended Note attached as Exhibit "B". 16. The Warrant appearing in the attached Amended Note is less than twenty (20) years old. 17. Integrity has taken all actions or complied with all conditions precedent to the filing of this action. WHEREFORE, Plaintiff, Integrity Bank demands judgment against Defendant, Capitol Investment Group, LLC, in the amount of $125,324.50, plus interest, which continues to accrue in the amount of $29.55 per day from October 30, 2008 forward, as authorized by the Warrant appearing in the attached Agreements, together with interest from the date of judgment and costs. in the amount of $29.55 per day from October 30, 2008 forward, as authorized by the Warrant appearing in the attached Agreements, together with interest from the date of judgment and costs. Respectfully submitted, REAGER & ADLER, P.C. Date: November 7, 2008 Jolo H. Pietrzak, Esquire Attorney I.D. No. 79538 Thomas O. Williams, Esquire Attorney I.D. No. 67987 Attorneys for Plaintiff, Integrity Bank EXh;b?1' PROMISSORY NOTE References in the shaded area are for Lender's use only and do not limit the applicability of this document to any particular loan or item. A rev ;#- il- -Oal.tn "• * • • k- 1,.- ' ,G r to tart r -tit Borrows: Capitol 6 111 eerrt Group (TN: 2049021332) 427 VV40 Qneam Resit Anvils, PA 17003 ?? Landw: I - 101cy111her.1k W camp W ON" 33" sisr,i 9~ Caunp HIM ('A 17011 (717) 920-4000 PrMnolpa1 Amotmt: #112,000.00 i *kl Raw: 8,750% Date of Note: July 30, 2007 PROMISE TO PAY. Capitol invswaent &Gap ("Borrower') promises m pay to kftgdky Barak ("Leadlw"), or order, in lawful money of the United States of Amends, the prbodpel amount of One Hwdred Twaive Tho mend & 001100 Doges (4112,00000) or so nNrch as may be outstanding. together with Interest on the unpaid oub ndbig principal balance of each advance. brtsrest she/ be aiouNRed from the dam of each advance until repayment of each advanes. PAYMENT. Borrower wH pay ties ban In one payment at all ouI a III prbw%W pine ail accrued unpaid inbreet on July 30, 2008. In addrtlon, Borrower wN Pay regular raornlldy psy mead of al aoomed unpaid Insin due as of eash pays, - daft, beekarkrg August 30, 2007, whh ad oubaa0uant Irlsreet III I rri to be die on de sale day of each nwea after dust UrJoee Wwrwiee agreed or required by smAlable low, peyrrents will, be applied Oat to say adored unpaid INweots teen to pr1 lpII; flew to say unpaid cs9oodon costs: and then to any lots charges. The sense! brI - am for tMe Ns/e.lo computed an a 211151 9 1 boob: dot is. by applying tie retie of tie simmol Interest rate over a year of 390 days, n ftWed by the gaftoadlrg prlndpal balance. nr 1-41 d by to aalnW number of days the prboipd balance Is outstanding. Borrower wN pay Lewder at Lender's address dnowm above or at each otter Nice as Lewder ism daalgamb In wr111n0. VARIAKF INTEFIEST RATE. The inmreat rate on We Note Is subject to champs from time to time based on changes in an independent index which is the Now York Prime Ram of Interest. The New York Prime Rats of interest shall mean to interest ram per annum armu need from time to time In various business journals, such se The Well Street Journal ss the 'Pdm Rate of interest". The New York Prime Ram of Interest is an index, and loans of the Bank may be established at, above or below the Index. The New York Prime Rata of Ii;twest Is not necessarily the Bank's lowest rate of interest. The interest ram shall float at Now York Prime (tire "Index'). The Index is not nocessarily the lowest rate charged by Lender on its knees. If the Index becomes unavaihbia during the term of this ben, Lander may designate a substitute index after notifying Borrower. Lender will tell Borrower the current Index rate upon Borrower's request. The ire west rate change will not occur more often than each Day. Borrower understands that Lender may make loans based on other raps as well. The Index currently Is 8.250% per annum. The interest rate to be applied to the unpaid principal balance during this Note wIN be at a rate of 0.500 percentage points over the Index, resulting in an initial rate of 8.760% per annum. NOTICE: Under no circumstances will the interest ram on this Note be more than the maximum rate allowed by applicable law. PREPAYMENT. Borrower agrees that all loan fees and other prepaid finance charges are owned fully as of the data of the loan and will not be subject to refund upon early psymor.9 (wbether voluntary or as a result of default), except as otherwise required by low. Except for the foregoing, Borrower may pay without penalty all or a portion of the amount owed earlier than It Is due. Early payments will not, unless agreed to by Lender in writing, relieve Borrower of Borrower's obligation to continue to make payments of accrued unpaid interest. Rather, early payments will reduce the principal balance due. Borrower agrees not to send Lender payments marked "paid in full", "without recourse", or similar language. If Borrower sends such a payment, Larder may accept it without lowing any of Lender's rights under this Note, and Borrower will remain obWod to pay any further smourt owed to Lander. AN written communications concerning disputed amounts, including any check or other payment inurement that Indicates that the payment constitutes "payment in full" of the amount owed or that is tendered with other conditions or !'imitation or as full satisfaction of a disputed amount must be mailed or delivered to: Integrity Bank, 3314 Market Street Camp Hill, PA 17011. LATE CHARGE. If a payment is 10 days or more late, Borrower will be charged 5.000% of the regderiy sdedrded payment or $10.00, whichever is greater. INTEREST AFTER DEFAULT. Upon default, including failure to pay upon find maturity, the interest ram on this Note shall be increased by adding a 5.000 percentage point margin ("Default Rate Margin"). The Default Rate Margin shall also apply to each succeeding interest rate change that would have applied had there been no default. If judgment_ is entered M connection with this Note, interest will continue to accrue after the date of judgment at the rate in effect at the time judgment is entered. However, in no event will the interest rate exceed the maximum interest rate limitations under applicable low. DEFAULT. Each of the following shall constitute an event of default ("Event of Default") under this Note: Payment Detoult. Borrower falls to make any payment when due under this Note. Other Default. Borrower falls to comply with or to perform any other term, obligation, covenant or condition contained in this Note or in any of the related documents or to comply with or to perform any term, obligatlon, covenant or condition contained in any other agreement between Lender and Borrower. Default in Favor of Third Pardee. Borrower or any Grantor defaults under any loan, extension of credit, security agreement, purchase or sales agreement, or any other agreement, in favor of any other creditor or person that may materially affect any of Borrower's property or Borrower's ability to repay this Note or perform Borrower's obligations under this Note or any of the related documents. Faire Statements. Any warranty, representation or statement made or furnished to Lander by Borrower or on Borrower's behalf under this Note or the related documents is false or misleading In any material respect, either now or at the time made or furnished or becomes false or misleading at any time thereafter. Insolvency. The dissolution or termination of Borrower's existence as a going business, the insolvency of Borrower, the appointment of a receiver for any part of Borrower's property, any assignment for the benefit of creditors, any type of creditor workout, or the commencement of any proceeding under any bankruptcy or insolvency laws by or against Borrower. Creditor or Forfekrwe ProorsdhW. Commencement of foreclosure or forfeiture prooeedlugs, whether by judicial proceeding, self-help, repossession or any other method, by any dreditor of Borrower or by any governmental agency against any collateral securing the loan. This includes a garnishment of any of Borrower's accounts, including deposit accounts, with Lender. However, this Event of Default shall not apply If there is a good faith dispute by Borrower as to the validity or aasonsblerms of the claim which is the basis of the creditor or forfeiture proceeding and if Borrower gives Lender written notice of the creditor or forfeiture prooesding and deposits with Lander monies or a surety bond for the creditor or forfeiture proceeding, in an amount determined by Lander, in its sole discretion, as being an adequate PROMISSORY NOTE Loan No: I SW2125M Worlftuwd f Page 2 reserve or bond for the dispute. Events Aitsahp Guava dos. Any of the preceding evwft occurs with respect to any Guarantor of any of the Indebtedness or any Guarantor dies or becomes ineompotant, or revokes or disputes the validity of, or liability under, any guaranty of the indebtedness evidenced by this Note. In the event of a death, Lander, at its option, may, but ahW not be required to, pwmk the Guarantor's estate to assume unconditionally the obYgations arlsin9 under the guaranty in a manner satisfactory to Lender, and, in doing so, cure any Event or Default. Charge In OwnsrW*. Any change In ownershlp of twenty-flue Pwowtt (25%) or more of the common stock of Borrower. Insecurity. Lander in good faith bailees kaelf Incas. Cure Pmvbicm. If any default, other than a default in payment Is cur" and if Borrower has not been given a notice of a breach of the stns provision of this Note within the precedhig twelve (12) months, It may be cured if Borrower, after receiving written notice from Lander domendkhg cure of such default. (1) cures the default within tan 00) days; or (2) If the cure requires more than ten (10) days, Immediately initiates stays which Lender deems in Lender's sore discretion to be sufficient to cure the default and thereafter continues and completes all reasonable and necessary steps sufficient to produce compliance as soon as reasonably practical. LENDER'S RIGHTS. Upon default, Lender may, after giving such notices as required by applicable law, declare the entire unpaid principal balance under this Note and all accrued unpaid interest immediately due, and than Borrower will pay that amount. ATTORNEYS' Lam; 004MM. Lender may hire or pay someone also to help collect this Note if Borrower does not pay. Borrower will pay Lander that amount. This Includes, subject to any limits under applicable law, Lender's attorneys' fen. and Lender's Iegai expanses, whether or not there is a lawsuit, incluling attorneys' fees, expenses for bankruptcy proceedings (inekuding efforts to modify or vacate any automatic stay or injunction), and appeals. If not prohibited by applicable low, Borrower also will pay any court costs, M addition to all other sums provided by law. JURY WAIVER. Lender and Borrower hereby waive the right to any jury UM In any Medan, Proceeding, or countsrvialmi brought by okhw Lender or Borrower against the other. GOVEAINNG LAW. This Nob wart be governed by ter- taw appla" to Loader and, to the extent not preempted by federal law, the laws of the Ctrannronwa dO of Psnnsyivank without regard to its oemIcts of law prowlel ns. This Note has been accepted by Lander in the Com nwnweaith of Pemayivania. CHOICE OF VENUE. If there is a lawsuit, Borrower agrees upon Lender's request to submit to the jurisdiction of the courts of Cumberland County, Commonwealth of Pennsylvania. DISHONORS ITW FEE. Borrower will pay a fee to Lender of $29.00 If Borrower makes a payment on Borrower's loan and the check or preauthoiized charge with which Borrower pays is later dishonored. RIGHT OF SETOFF. To the extent permitted by applicable raw, Lander reserves a right of setoff in all Borrower's accounts with Lander (whether checking, savings, or some other account). This krAudes all accounts Borrower holds jointly with someone else and all accounts Borrower may open In the future. However, this dose not include any IRA or Keogh accounts, or any trust accounts for which setoff would be prohibited by law, Borrower authorizes Lender, to the extent permitted by applicable law, to charge or setoff all sums owing on the indebtedness against any and all such accounts. COLLATERAL. Borrower acknowledges this Note is secured by a 1st mortgage lien on 427 West Queen Street, Annville, Pennsylvania, assignment of rents and lease@. LINE OF CREDIT. This Now evidences a revolving line of credit. Advances under this Note, as well as directions for payment from Borrower's accounts, may be requested orally or in writing by Borrower or by an authorized person. Lander may, but need not, require that all oral requests be confirmed In writing. Borrower agrees to be liable for all auras aitlhe': dA) advanced In accordance with the instructions of an authorized parson or (B) credited to any of Borrower's accounts with Lander. The unpaid principal balance owing on this Note at any time may be evidenced by endorsements on this Nota or by Lender's Irownel records, including daily computer print-outs. CALL OPTION. The Bank shall have a call option which may be exorcised to be effective on each fifth anniversary of the date of closing, subject to ninety (90) days advance written notice to Borrower advising the Bank'a election to call the obligation due. PATRIOT ACT. TO HELP THE GOVERNMENT FIGHT THE FUNDING OF TERRORISM AND MONEY LAUNDERING ACTIVITIES, FEDERAL LAW REQUIRES ALL FINANCIAL INSTITUTIONS TO OBTAINi VERIFY, AND RECORD INFORMATION THAT IDENTIFIES EACH PERSON WHO OPENS AN ACCOUNT'. WHAT THIS MEANS FOR YOU., WHEN YOU OPEN AN ACCOUNT, WHETHER IT BE A DEPOSIT ACCOUNT OR A LOAN, WE WILL ASK FOR YOUR NAME, ADDRESS, DATE OF BIRTH, AND OTHER INFORMATION THAT WILL ALLOW US TO IDENTIFY YOU. WE MAY ALSO ASK TO SEE YOUR DRIVER'S LICENSE OR OTHER IDENTIFYING DOCUMENTS. CROSS COLIATERAIJZEDICROBS DEFAULT. This ban also secures payment and performance of all other loans to Borrower' or any guarantor. The word 'Guarantor' means any guarantor, surety or accommndation party of any or all of the Loan. SUCCESSOR INT911E6TS. The terms of this Note shall be binding upon Borrower, and upon Borrower's heirs, personal representatives, successors and assigns, and shah inure to the benefit of Lender and its successors and assigns. GENERAL PROVISIONS. If any part of this Note cannot be enforced, this fact will not affect the root of the Note. Lender may delay or forgo enforcing any of its rights or renmedles under this Note without losing them. Borrower and any other person who signs, guarantees or endorses this Note, to the extent allowed by law, waive presentment, demand for payment, and notice of dishonor. Upon any change in the terms of this Note, and unless otherwise expressly stated In writing, no party who signs this Note, whether as maker, guarantor, accommodation maker or endorser, shall be released from liability. All such parties agree that Lender may renew or extend (repeatedly and for any length, o.f time) this loan or release any party or guarantor or collateral; or Impair, fail to realise upon or perfect Lender's s*cim* IntwAwt in the lolletwal; and take any other action dawned necessary by Larder without the consent of or notice to anyone. All such p. ogres: tit *Iander may modify this ban without the consent of or notice to anyone other than the parry with whom the modification Is "I ?The ti"bligationa under this Note are joint and several. If any portion of this Note is for any reason determined to be unenforessbla; it will Ndotfaffect the enforceability of any other prbvisions of this Note. CONFESSION OF JUDGMENT. BORROWER HEREBY IRREVOCABLY AUTHORIZES AND EMPOWERS ANY ATTORNEY OR THE PROTHONOTARY OR CLERK OF ANY COURT IN THE COMMONWEALTH OF PENNSYLVANIA, OR ELSEWHERE, TO APPEAR AT ANY TIME FOR BORROWER AFTER A DEFAULT UNDER THIS NOTE AND WITH OR WITHOUT COMPLAINT FILED, CONFESS OR ENTER JUDGMENT AGAINST BORROWER FOR THE ENTIRE PRINCIPAL BALANCE OF THIS NOTE AND ALL ACCRUED INTEREST, LATE CHARGES AND ANY AND ALL AMOUNTS EXPENDED OR ADVANq 1Y LENDER RELATING TO ANY COLLATERAL S.r - ")RING THIS NOTE, TOGETHER WITH COSTS OF SUIT, AND AN ATTORNEY'S COMMIS, N OFTEN PERCENT (10%) OF THE UNPAID PR)ii aL BALANCE AND ACCRUED INTEREST FOR COLLECTION- MIT IN ONV h=it/CNT kin r iGCQ ruAN clue ui,w,nocn n^,, .... ......_.. ...__. ___.? -- PROMISSORY NOTE Loan No: 1500212550 (Continued) Page 3 MORE EXECUTIONS MAY ISSUE IMMEDIATELY; AND FOR SO DOING, THIS NOTE OR A COPY OF THIS NOTE VERIFIED BY AFFIDAVIT SHALL 13E SUFFICIENT WARRANT. THE AUTHORITY GRANTED IN THIS NOTE TO CONFESS JUDGMENT AGAINST BORROWER SHALL NOT BE EXHAUSTED BY ANY EXERCISE OF THAT AUTHORITY, BUT SHALL CONTINUE FROM TIME TO TIME AND AT ALL TIMES UNTIL PAYMENT IN FULL OF ALL AMOUNTS DUE UNDER THIS NOTE. BORROWER HEREBY WANES ANY RIGHT BORROWER MAY HAVE TO NOTICE OR TO A HEARING IN CONNECTION WITH ANY SUCH CONFESSION OF JUDGMENT AND STATES THAT EITHER A REPRESENTATIVE OF LENDER SPECIFICALLY CALLED THIS CONFESSION OF JUDGMENT PROVISION TO BORROWER'S ATTENTION' OR BORROWER HAS BEEN REPRESENTED BY INDEPENDENT LEGAL COUNSEL. PRIOR TO BKiNNG THIS NOTE, BORROWER READ AND UNWWOOD ALL THE PROVISIONS OF THIS NOTE, INCLUDING THE VARIABLE INTEREST RATE PROVISIONS. 801111NOWER AGREES TO THE TERMS OF THE NOTE. BORROWER ACKNOWLEDGES RECEIPT OF A (OIEPLETED COPY OF THIS PROMMSORY NOTE. THIS NOTE IS GIVEN UNDER SEAL AND IT IS INTENDED THAT THIS NOTE IS AND SHALL CONSTITUTE AND HAVE THE EFFECT OF A SEALED INSTRUM9MT ACCORDING TO LAW. BORROWER- ( Corporato Seal ) INTEGRITY BANK X W01lIID trlfl?. Vr. LiLOP.OO{ pM. Nrl?r lMIW ?duMa Ga 1?f, 10W. mm~ M, - • M F ti???t ? uHANGE IN TERMS AGREEM12lT Prindpel Annum: $112,000.00 InNMI Raft: 6:500% Doti of Agnonwlitt: " Z 7 - L DESCRIPTION OF CHANGE IN TOM. The original maturity date of July 30, 20081s now extended to July 30, 2009. PROMISE TO PAY. Coplool bnreeImehht Group 1'Borro*W) pioddsee to pay to kAop* Bank ('Lander'), or tardsr; In lawful money of the United 81 1 of Amodes, tbe.prinoipUaao oust of One llmuke Tit @k* Thowaed S 00/100 Dams f$11Z000AO) or so much as nay be ouawdleg, tooeYer Wkh bhtsaeat on tine unpaid owtol nillao prbwlpd balms" of east advance. hadereI I shall be oaicalsAsd from the dots of each advance umM ropay~ of sash adranos. PAYMENT. Borrower will pay thls lose In one pWment o(Ad at?al!aio prirdpal plus aY eoorwd unpaid bMsnat on July 30, 2009. In addition, Borrowwer' reel pay nhorrrlly pa?rmaaas bf and atieorwd uiapald Ulwot des se of iaah p0ywre»e does, gip. Auoust 30, 2007, with all ari?aNnrarht wi0arest ?atirMsi?ls to be dw en flw? "merits. 4ay of adil? iaodMh aitar,thaR; flit allhari !grMd requilred by applicable ew, paynr.nls Will b..ppiird fffat to eery aooruiad si to brler0e,e, tlr.n !e prwir.?; then m arty hrhrpaid osB.w+n core, aed them to any lee tilarMt rate over a changed k?4reat ors die loan is ogidbipr4sd so a JMiIRiO i1Mb t bails: drrt Is, bt? aMlfiealM r "00110 of de' 411,101011 your of 300 days, eel __ - - by the bdrlliijaliiAirO paaiMr bliarrce, miiillpiind ih? dfa aatlral "holier of iliirs 11rs Ihrilrei(raB balswoe Is owitandMg. Borrower vA pay Loader. at Lenders address shewrh above or at such odor pleas as Lanier rosy dMioaala in WtMlrrg• VARIABLE /rTERE6T RATE. The irrtsrrnh><t rats on. this loan is shdrjaCt to change from time to time gamed on changes in an independent index which is the New York 'Prkhe Raja of Ir"sit. The New York Ptbno. Rate of iriiwa t shod now the interest tab per annum announced from time to time in various buaNtsea jiuurrals; such as The Wall Street Journal; as the "Prams 'Rets of Inhere t". The New York Prime Rate of Interest is em index, and loans of the Bari They lea pis j. 'I at, above or below the index. Tha Nor York Prime Rate of interest ih not necessarily the Bank's lowest rate of interest. The -interest rate shall Host at New York Prime (the 'Index'). The index is not necessarily the lowest rate charged: by Larder on its loans, If the Index becomes unavailable, durkV : the term of this loan, Lender may designate a substitute index after noYrfying Borrower. Lender will tell Borrower the current Index rate upon Borrower's request. The interest rate change will not occur more often then each Day, Borrower and ds that., Lender may make loan@ based on other rates as well. The. index ounwdy Is 6.00096 per anxiam. The interest rate to be apps to tee unpaid principal beiin6o during this loon will be at a rate of ` 0.500 percentage points over the Index, resulting in an initial rate of 8.500% per annum. NOTICE. Under no circumstances will the interest rate .on this ban be more than the maximum rate allowed by applicable-law. PR@PAYN iT. Borrower agrees that all lean foes end other prepaid Hnenca charges are earned fully as of the date of the loan and will not be subject espy to refund paydrMrht (whether vokirftry or as a nseult of default), eeeapt as otherwise required by law. Except for the foregoing; -Borrower may pay without ponelty all or a portion of ttha amount owed eerier 'dun it. is due. Early payments will not, unless agreed to by . Lender in wridrig, relieve Borrower of Borrower's obligation w continue to make payments of acxsrusd unpaid interest. Rather, early payments will reduce tha.prinolpal balance due. Borrower agrees not to. send Lendorpayments sharked 'paid in full', "without recourse", or similar language. If Borrower sends such a payment, Lander may accept it without losing any of Lender's rights under this Agreement, and Borrower will remain obla0ed to 'pay any further amount owed to Lander. Ail written communications concerning disputed srnourhts, including any check or other payment bhsirun»nt tf+at .indtcabs filch the paynnent mooft"s "payment in full' of the amount owed or that is tendered with other conditions or Ii nitstions or as full aatia#aotion of a disphibd amount must be mailed or delivered to: Integrity Bank, 3314 Market Street Camp Hill, PA 1701.1. LATE CHARGE. It a payment is 10 days or moie left, Borrower will be charged 6400% of the nOnWlly eel kl I payment or $10.00, w#dohewr k greaser. INTEREST AFTER DEFAMT. Upon default .inokx " faikro to pay upon final matur-ky, the Interest rate on this loan shall be increased by adding a 6,000 percer4o" point margin ('Default Rite Margin').. The Dafaalt Rats Me* shall also apply to each succaadkV interest rate change that would have applied' ho there been no default. If judgnnant to wowed In idrrvt.ction with this Ag?eso nt, interest will continue to accrue after the. date of Jixipment at •the raw M effect st the time judgment is entered. However, in no event will the interest rate exceed the maximum interest rate limitations under appliesbie law. DEFAULT. Each of the following shell constitute an Event of Default under this Agreement: Psymmmt De4wit. Borrower We to make any payrriek when due under the Indebtedness. Other. De l auks; Borrower fails to comply with. or to perform any other term, obligation, covenant or condition contained in this Agreement or in any of:the Related Documents onto comply with or to perform any term, obligation, covenant or condition contained in any other agreement between Lender and Borrower. Default in. Favor of Third Panes. Borrower defaults .under any loan, extension of credit, security agreement, purchase or sales agreement, or any other agreement, eement, In favor of any other creditor or parson that may materially affect any of Borrower's property or Borrower's ability to perforin Borrower's obligations under title Agreement or any of the Related Document6. Faber 9e0 arhherhb. Any warranty,.repreaentadon or statement made or fwniahed,to Lender by Borrower or on Borrower's behalf under this Agreement or the Related Documents id false or misleading in any materiel respect, either now or at the time made or furnished or becomes false or misleading at any time thereafter. Insolvency. The dissolution or termination of Borrower's existence as a going business, the Insolvency of Borrower, the appointment of a receiver for any part of Borrower's property, any assignment for the benefit of creditors, arty type of creditor workout, or the commencement of any proceeding under any bankruptcy or insolvency laws by or against Borrower. Cradlew or FoMehrre Proceedleps. C;ornfrooncoment of foreclosure or forhiture proceedings, whether by judicial proceeding, self-help, repossession or any other method, by any creditor of Borrower or by any governmental agency against any collateral securing the Indebtedness. This includes a garnishment of any of Borrower's accounts; inokdbg deposit accounts, with Lender. However, this Event of Default shall not apply If there is a good faith dispute by Borrower as to the validity or reasonableness of the claim which is the basis of the creditor or forfeiture proceeding and If Borrower gives Lender written notice of the creditor or forfeiture proceeding and deposits with BOrrowdnr: CoplW. Investment Group lTIN: 20-80213321 Lander: cooky-Book 427 Wedt green Street Ce".•HiM 011111100 Anmole, PA 17003 33" Modiat dfreet Cawp l,ift PA 17411 .40®0 (717)920 CHANGE IN .TERMS AtIiRCE1NENT Loan No: 1WO212d6O (COt1tl11d?d) Page 2 Lender monies or o Wroty borW !v the creditor or foetdture proceeding, In on amount determined by Lender, in Its sole discretion, as being an ads*" reserve or iiortd for the insq u". Evm t :Affte to Gr. MMIllor. Any of the preceding evswta occurs with respect to any Guarantor of any of the Indebtedness or any Guarantor dip or In Po I as incon>gpnt, or revokes or disputes the validity of, or liability under, any Guaranty of the Indebtedness evldoncad by this Niste. M thi wins of a death, 4:Ndar, at Its option, may; W shell not be required to, permit the Guararntor's estate to assume unoonditiondgy the obNp dww srislp under the guaranty In a monner satisfactory to Lender, end, in doing so, cure any Event of Dsfetilt. ChOV0 in Ovnerd ip. Any chongs In ownership of twenty-five percent (2696) or store of the common stock of Borrower. hWsWM ?..,Lender in good fsltit bsYsves 118e11f.hWA re. Ctw'ft0W alarrs.. If my: default, other than a default in payment Is curable and If Borrower hea. not been given a notice of a breach of the some provision of: this Awevenerit-within the. preasdi np twwva (12) nrontifs, it may be cured it Borrower, after receiving written notice from Lender dWn. wdkng awe of scurf-dsfadt: 0) dares the •default Within ten (10) dive; or (2) if the cola rigirirss more than ten (10) days, immsdiatsty inlWtss, stsp0. which Lender downs, In i,wder's stria discretion to be wJflfcient to can the default and thereafter continues and co Wimi. all r"lliji bfe end n6oiseary steps sufBaT( nit to produce compNince ss soon so reasonably practical. LBiioER'S RIfr1NTs. Upon defauk, Leridar may, after giving such nodose as required by applicable law. declare the entice unpaid principal balance under this A rsernentend 29 accrued urtpsid interest Immediately due, and then Borrower win pay that amount. ATT4DfM1EY6' F»; D Lirfdsr may hire .or pay aomsorte else to help oowct this Agreartsrtt H Borrower doll not pay. Borrower will pay Gender that amount. Thai l6c.kidee, stJlsot. t9' any lir * under appkAWO law. LM1d a reasonsibW ettipways' fees and Lender's legal expo; whetlnsr or not tltare is a 6464' inickidkig retaiorWyie 0101 dire' rase expenses for bsrwirptcy prorresdieta (including efforts to modify or veosa stir eueorrtatic stay or Mpsiction), and appeals, if not prohibited by applicable law, Borrower also will pay any court costa, in addition to all other suns provided by law. JURY WA1Ye111. finder sad Sore-im hereby valve tins right to say jtry OW M my actbrt, proossia0, or eouniiettleirn btouW by ekher Lander or Borrows sgsiiasat tits gaiter. w? be ooaetttatl Ilry festal law. 011W rtst presatitplsd by tadsnl law. the GOV®YIMI+ht L/k1111 Title Aetw! Leakier srid, p fit. ildf Nto Wwa-of tM 6f . 1eil?lM! ,_ 'PiMitetih(stiiii t+piiltout ?e?entf io ks ' ' ae of N. praviafeas• Yftis. Apdaaiiswt hsa >lierrt seoep"d by I:eridsr In the Ce .-=-weit . of G1lp{CE 0F-VW0JE: It there is a Iswsutit, Borrower agaves `upon tender's request to Submit to the Jurisdiction of the courts of. Cumberland County, .CoMmonweetth of Owwwylvenia. DWHONGM MW 'WA. 8orr. _ r wgl pay a fee to LerKier of 429.00 If Borrower makes a payment on Borrower's loan and the check or priSuthorise Charlie With vi Sorrowbr 000 to wiio *of 4d. RIGHT OF 09_l'OFF, To the.extent permitted by applicable law, Lender reserves a right of setoff in al-Borrower's accounts with Lender (whether checkitng, eavtrtgs, or aorr?e other st orm) This inoludss all acoouq".l?orrowsr holds jointly widvoom. one ells and ail: accounts Borrower may open In the' futtrs Hotivsvar; this d,:" not f; a . ii;A or KNogti apcouwts, or any trpt . for Mlidh eft wotikf be pro'hibi'ted by law. Borrower auto oriiea L6rridsr, to- 44* ile extant hsrSnitted by i pplib s Jiw, `to Q Ilia or s*ieff . sumo owing on then iwdebtedriesa apainet any and all *Wh sccouift. COLJ.A)TERAL. Borrower .ac nowledgeos thle Agreement ia• seowed by a 1 et mortgage lien on 427 West Queen Street, Anw111e, Pennsylvania, aesignmsat .of rents and Ie4tes.. . LAE OF CREIXT This Agreartisrtt eVidances a elvilW* of credo. Advances uritt r tliie AWO.W nt, as well as directions for pa)menrfrom .rov Borrowera abcotatRS may be taquastit( oraiilr or in w by Borrower or by. an qutiio"nd psrsohf- Leiden may, but need nor, require that all orai`tequsita be confirwtsd )n Writing. Bdrrdrnrwr species to 6a K" for aN suns efthei: (A( advsnt:ed In aooordanit Witt -ft instructions of an authorised ps-w"r (e) credildtf td any of Borrwier's'"aocowtts with Lander. The utpbid pri W4x i beience owhip on this Agreement at any time may be,evidenced.Ity endotaewlernta.on this Agn wnent.or by wWor.'s intarnal rooorda inakOft deny computee print-outs. comma VALKWY fitbcipt as,ikprltiety olynped bfrsthN Agnesm rel. the canine of tl» n original or obYpations, including all ob.pedb agreements ®vWarrced a aectring tf+e ObligadoMsl riiritairt t*ioFWtgsd anrf in full #aroe end efiaot Coirsrst by Lertdsr to this Agrsstinent does not wdir)e Lsiidet's right to a#riot perforlnartce. of otiNaation((?) M cttgrig ti, nor Lerida to make any fudira ohsnge m' terms. Nothing in this Agr?IsiY+srk viNll ciinitlttrts a of the oi3N{)abottla! It b tkis htteYl{iert of to return ss UaWe; parties; ail makers and erdoraera of thtl orlgWai tiort(tl.l?ferJing icrmtnnlot}ailtinr pirWs, unhise r?arty is expreaely reNisag by J.endsrih wilting. Any maker or endorser; irtWeaRng 6CCOmrtiodmfo+'rnakers, w1U nbt berelsassd by vittue'of thin ApreaFiNrtt. if any pinorn who Sighed the original obligation dogs not,.aipn this ggrasrilent:;bebw, than all persons aigrting bebw aoknowledga that the Agragrtsnt is given cortdticneNy, based on the representation to .LtaIMer that ti?e,nort?sifitrlirtp party consents 30; ths.chanpes and provi?iora of thi? by it. This waiver appUss net only. to;arny,iFitial. axtartsiert, . sa^!erlt at otflerwiee will not be released mr. diiipetion or releaser but also to all suchsubsegwnt actions. SUCCESWR'##VN VS. -Thee teriiis of if" Agrearftk shall b bindhtg upon I36rrower, and upon Borrower'e.hsira, personal representatives, sucoeesore, andsw(gnt,; and..010l.be enforceable. by Lender and-ft susdaron and.easipns: M18,CEf.L6611 OWB (rl10V1910Ntii. !f; Qty:-part of this A4r+!!!!e!?E ca9not be ifrforced; this fact will not affect the rest of the Agreement. Lender may allay' or forgo enfofckip any of it ?igtits or rentediw tinder this Agresiiient widtput Iosirt8 them. Borrower and any other person who signs, guarantees or`andonea this Agrowravnt ?to the tkftnt'Sft uad by taw.; `waive p?diietttrrn rR; der"ind for psymertt, and notice of dishonor. Upon any change in the terms of this Agra mant, and unless otherwise exprealy stated In writing,. no-party who signs this Agreement, whether as maker, guarantor, accommodation maker or endorser, shell be released from liability. AN such peruse apes .that Lender may renew or extend {repeatedly and foc.arty iec>Qt1t of ;time) this loan or release any party or guarantor or ooflaterel; or k.no i fail to realize upon or perfect Lender's security interest in.tfie oollatsrel;,agd take any other action deemed necessary by Lender. without. the. consent of or notice to anyone. All such gentles also agree tk;et Letdar.rnay-m9dtty this !aan;w±dl the Cana srtt of or-nofe to anyone othW then the party with whom the modification is made. The obilpations under thin Agreement are joint and sward. It any portion of this Agreernem Is for any reason determined to be unanforceable, it will`rtot affsut the"'. "' ` sntoNiiiityof: nay other 00viebbe of this AOid6i4ot F }fit ,1gR817QCA66Y AUTHOR4'S AND BMPO{iERS ANY ATTORNEY OF THE OR iELEPfK QF ANY Qfe?(tT IN rHE Sr?Q11A lOtY ALCH OF.. i YLVANfIA, Oft .EI. ilV41EfiE, TO APPEAR AT ANY TIME I Ai= A RT 7 HI$ AO AND WITH OR. 1AR7 fbUT COtriP# AMT FlLED, CONFW OAENTER ?1f157 BORROW `FOFC' THE i RE RRMTB/1L ANCE bF T1 IS AOREERaENT 'ANA ALL ACCRbH] INTEREST, LATE ANY AND ALL AMOUNTS FXPENDEO OH ADVANCED BY LENDER, RELATMK3 TO ANY COLLATERAL SECURING THE TOGETHER WITH COSTS OF SUIT, ANDAN,ATTO.4!IEY'S CG, '$SfQt nF TEN PERCENT (1096) OF THE UNPAID NCE AND ACCRUED iNT' .T FOR COLLECTION; BUT IN ANY EVENT NOT S THAN FIVE HUNDRED DOLLARS ($500) CHANW IN TEA AGREHMENT Loin No: 1600212660 (Condnwd) Pegs S ON WHICH JUDGMENT OR JUDGMENTS ONE OR MORE EXECUTIONS MAY ISSUE IMMEDIATELY; AND FOR SO DOING, THIS AGREEMENT OR A COPY OF THIS AGREEMENT VERIFIED BY AFFIDAVIT SHALL- BE SUFFICIENT WARRANT. THE AUTHORITY GRANTED IN THIS AGREEMENT TO CONFESS JUDGMENT AGAINST BORROWER SHALL NOT 13E EXHAUSTED BY ANY EXERCISE OF THAT AUTHORITY, BUT SHALL CONTINUE FROM TIME TO TIME AND AT ALL TIMES UNTIL PAYMENT IN FULL OF ALL AMOUNTS DUE UNDER THIS AGREEMENT. BORROWER HEREBY WAIVES ANY RIGHT BORROWER MAY HAVE TO NOTICE OR TO A HEARING IN CONNECTION WITH ANY SUCH CONFESSION OF JUDGMENT AND STATES THAT EITHER A REPRESENTATIVE OF LENDER SPECIFICALLY CALLED THIS CONFESSION OF JUDGMENT PROVISION TO BORROWER'S ATTENTION OR BORROWER HAS BEEN REPRESENTED BY INDEPENDENT LEGAL COUNSEL. PRIOR TO SHRON i THIS AGRANNSINT, 910101Y INER READ AND UNDERSTOOD ALL THE PROVNIONS OF THIS AGIRNWAENT, INCLUDING THE VARIABLE INTEREST RATE PROVISIONS. BORROWN ACROSS TO THE TERNIS OF THE At31 T. THIS AGRiiINIENT IS GIVEN UNDER SEAL AND IT 18 WTiNDED THAT THIS AGNISINIENt IS AND SHALL CONSTITUTE AND HAVE THE EFFECT OF A SEALED INSTRUMENT ACCORDING TO LAW. BORROWER: ( Corpomts s" ) INTEGRITY BANK M10111b I?YO Vr, ?,?.160M C*,. 11M?d IYM,Y MYY,r, Ma IR7. lOa- YMMYIYir?M. -M WalNw01MR1O?GA 7RIM! ?Rri ?''? " J? `?- C- ?y B A N K Capitol Investment Group 119 S. Fifth Sheet Lemoyne, Pa 17043 Dear Mr. Case, October 17, 2008 Edward P. Case 119 S. Fifth Street Lemoyne, Pa 17043 The purpose of this letter is to advise you that you are currently in default on the mortgages and corresponding notes dated July 30, 2007. Please be advised that this letter constitutes your notice that you are in default and that Integrity Bank is demanding payment in full of all principal, interest of your loans. . As of the date of this letter, the principal amount of $111,984.09 for loan number 1500212550 is past due and in default. As you know, under the terms of the Mortgages and Notes, you are additionally liable for interest, costs and attorneys' fees incurred due to this default. Please be further advised that Integrity Bank reserves the right to pursue each and every legal and/or equitable remedy available, should this loan not be paid in full within thirty (30) days of the date of this letter. We ask that you contact us to advise us as to when payment will be made, so that legal action can be avoided. Otherwise, we will refer this matter to our legal counsel, Reager & Adler, PC. Please understand that this issue requires your immediate attention. Thank you for your anticipated cooperation. 3345 MaAwr Srierr. Camp RM PA 17011 • Pkew. 717-920-4900.877-1-HAVEIT • Fran 717-920-4904 • www auegrrt}?arrkOnlinecom VERIFICATION I, Bob Day, hereby verify that I am the Executive Vice President of Integrity Bank, and, as such, I am authorized to verify the averments of the foregoing document are true and correct to my personal knowledge, information and belief. I understand that false statements herein are made subject to the penalties of 18 Pa. C.S. §4904, relating to unworn falsification to authori- ties. Date: /o •3o oP By: • (/1 Bob Day, Execu ve Vice President Integrity Bank . c`? h, ?? e ?_? - ?? ? t' --a ?.. 7 "n +Tf ! r r? -C ? - REAGER & ADLER, P.C. BY:JOHN H. PIETRZAK, ESQUIRE Attorney I.D. No. 79538 Email: Jpietrzak gReayerAdlerPC.com BY: THOMAS O. WILLIAMS, ESQUIRE Attorney I.D. No. 67987 Email: Twilliams@ReagerAdlerPC.com 2331 Market Street Camp Hill, PA 17011 Telephone: (717) 763-1383 Facsimile: (717) 730-7366 Attorneys for Plaintiff, Inte rite Bank INTEGRITY BANK, IN THE COURT OF COMMON PLEAS, Plaintiff CUMBERLAND COUNTY, PENNSYLVANIA V. CIVIL ACTION CAPITOL INVESTMENT GROUP, LLC NO. 0 S- 6 5 00 7-- Defendant : CONFESSION OF JUDGMENT ENTRY OF APPEARANCE TO THE PROTHONOTARY: Enter my appearance for the above-named Defendants pursuant to the Warrant of Attorney contained in the Promissory Note and/or Commercial Guaranty Agreement, attached hereto. Date: November 7, 2008 Respectfully submitted, REAGER & ADLER, P.C. Jo . Pietrzak, Esquire C? t-o ti `-.a r-J ' - 7 r 7-1 r ,• REAGER & ADLER, P.C. BY:JOHN H. PIETRZAK, ESQUIRE Attorney I.D. No. 79538 Email: JpietrzakAReagerAdlerPC.com BY: THOMAS O. WILLIAMS, ESQUIRE Attorney I.D. No. 67987 Email: TwilliamskReagerAdlerPC.com 2331 Market Street Camp Hill, PA 17011 Telephone: (717) 763-1383 Facsimile: (717) 730-7366 Attorneys for Plaintiff, Integrity Bank INTEGRITY BANK, IN THE COURT OF COMMON PLEAS, Plaintiff CUMBERLAND COUNTY, PENNSYLVANIA V. CAPITOL INVESTMENT GROUP, LLC CIVIL ACTION NO. 08-te546 Defendant : CONFESSION OF JUDGMENT NOTICE UNDER RULE 2958.1 OF JUDGMENT AND EXECUTION THEREON NOTICE OF DEFENDANTS' RIGHTS TO: Capitol Investment Group, LLC A judgment in the amount of $125,324.50 has been entered against you and in favor of the Plaintiff without any prior notice or hearing based on a confession of judgment contained in a written agreement or other paper already signed by you. The Sheriff may take your money or other property to pay the judgment at any time after thirty (30) days after the date on which this notice is served on you. You may have legal rights to defeat the judgment or to prevent your money or property from being taken. YOU MUST FILE A PETITION SEEKING RELIEF FROM THE JUDGMENT AND PRESENT IT TO A JUDGE WITHIN THIRTY (30) DAYS AFTER THE DATE ON WHICH THIS NOTICE IS SERVED ON YOU OR YOU MAY LOSE YOUR RIGHTS. YOU SHOULD TAKE THIS PAPER TO YOUR LAWYER AT ONCE. IF YOU DO NOT HAVE A LAWYER OR CANNOT AFFORD ONE, GO TO OR TELEPHONE THE OFFICE SET FORTH BELOW TO FIND OUT WHERE YOU CAN GET LEGAL HELP. '* Cumberland County Bar Association 32 S. Bedford Street Carlisle, PA 17013 (717) 249-3166 Date: November 7, 2008 OY4 J H. Pietrzak, Esquire AGER & ADLER, P.C. 2331 Market Street Camp Hill, PA 17011 (717) 763-1383 Attorneys for Plaintiff, Integrity Bank r?r ? ~? c ?} ??f ? ? eyy9 t "` ?.. "t ? a yat ??Y i.. ? ?:-y REAGER & ADLER, P.C. BY:JOHN H. PIETRZAK, ESQUIRE Attorney I.D. No. 79538 Email: Jpietrzak@ReagerAdlerPC.com BY: THOMAS O. WILLIAMS, ESQUIRE Attorney I.D. No. 67987 Email: Twilliams@ReagerAdlerPC.com 2331 Market Street Camp Hill, PA 17011 Telephone: (717) 763-1383 Facsimile: (717) 730-7366 Attorneys for Plaintiff, Integrity Bank INTEGRITY BANK, Plaintiff IN THE COURT OF COMMON PLEAS, CUMBERLAND COUNTY, PENNSYLVANIA V. CAPITOL INVESTMENT GROUP, LLC Defendant : CIVIL ACTION : NO. D S- G 5'90 : CONFESSION OF JUDGMENT NOTICE UNDER RULE 2737.1 OF RIGHT TO RECOVER ATTORNEY FEES AND COSTS AND PROCEDURE TO FOLLOW TO STRIKE OFF OR OPEN A CONFESSED JUDGMENT TO: Capitol Investment Group, LLC Pursuant to 42 Pa.C.S.A. 273 you are hereby notified that a debtor who has been incorrectly identified and had a confession of judgment entered against him shall be entitled to costs and reasonable attorney fees as determined by the court. Pursuant to 42 Pa.C.S.A. § 2737. 1, you are hereby notified of the instructions regarding the procedure to follow to strike off or open a confessed judgment under Pennsylvania Rule of Civil Procedure 2959, which is reproduced in full, on the following page. Date: November 7, 2008 REAGER & ADLER, P.C. J H. Pietrzak, Esquire 2331 Market Street Camp Hill, PA 17011 (717) 763-1383 PENNSYLVANIA RULE OF CIVIL PROCEDURE 2959 STRIKING OFF OR OPENING JUDGMENT; PLEADINGS AND PROCEDURE (a)(1) Relief from a judgment by confession shall be sought by petition. Except as provided in subparagraph (2), all grounds for relief whether to strike off the judgment or to open it must be asserted in a single petition. The petition may be filed in the county in which the judgment was originally entered, in any county to which the judgment has been transferred or in any other county in which the sheriff has received a writ of execution directed to the sheriff to enforce the judgment. (2) The ground that the waiver of the due process rights of notice and hearing was not voluntary, intelligent and knowing shall be raised only (i) in support of a further request for a stay of execution where the court has not stayed execution despite the timely filing of a petition for relief from the judgment and the presentation of prima facie evidence of a defense; and (ii) as provided by Rule 2958.3 or Rule 2973.3. (3) If a written notice is served upon the petitioner pursuant to Rule 2959.1(c)(2) or Rule 2973.1(c), then petition shall be filed within thirty days after such service. Unless the defendant can demonstrate that there were compelling reasons for the delay, a petition not timely filed shall be denied. (b) If the petition states prima facie grounds for relief, the court shall issue a rule to show cause and may grant a stay of proceedings. After being served with a copy of the petition the plaintiff shall file an answer on or before the return day of the rule. The return day of the rule shall be fixed by the court by local rule or special order. (c) A party waives all defenses and objections which are not included in the petition or answer. (d) The petition and the rule to show cause and the answer shall be served as provided in Rule 440. (e) the court shall dispose of the rule on petition and answer, and on any testimony, depositions, admissions and other evidence. The court for cause shown may stay proceedings on the petition insofar as it seeks to open the judgment pending disposition of the application to strike off the judgment. If evidence is produced which in a jury trial would require the issues to be submitted to the jury, the court shall open the judgment. (f) The lien of the judgment of or any levy or attachment shall be preserved while the proceedings to strike off or open the judgment are pending. C} fla c co fI -Ti j7,) _y REAGER & ADLER, P.C. BY:JOHN H. PIETRZAK, ESQUIRE Attorney I.D. No. 79538 Email: Ji)ietrzak@Reag`rAdlerPC.com BY: THOMAS O. WILLIAMS, ESQUIRE Attorney I.D. No. 67987 Email: Twilliams@ReagerAdlerPC.com 2331 Market Street Camp Hill, PA 17011 Telephone: (717) 763-1383 Facsimile: (717) 730-7366 Attorneys for Plaintiff, Inte rite Bank INTEGRITY BANK, Plaintiff IN THE COURT OF COMMON PLEAS, CUMBERLAND COUNTY, PENNSYLVANIA V. CAPITOL INVESTMENT GROUP, LLC Defendant CIVIL ACTION NO. 0 8 ?rS4o : CONFESSION OF JUDGMENT AFFIDAVIT THAT JUDGMENT IS NOT BEING ENTERED BY CONFESSION OF JUDGMENT AGAINST A NATURAL PERSON IN CONNECTION WITH A CONSUMER CREDIT TRANSACTION Commonwealth of Pennsylvania ) ) SS: County of Cumberland ) I, John H. Pietrzak, being duly sworn according to law, hereby state that the judgment being entered by confession is not being entered against a natural person in connection with a consumer credit transaction. J, ?' I- f :9-1 AP Jo. ietrzak, squire Sworn to and subscribed Before me this •?`` day of 2008. otary =Public COMMONWEALTH OF PENNSYLVANIA NOTARIAL SEAL LINDA H MILLER Notary Public CITY OF HARRISBURG, DAUPHIN COUNTY My Commission Expires May 9, 2009 ?.... ° CIO ? _ REAGER & ADLER, P.C. BY:JOHN H. PIETRZAK, ESQUIRE Attorney I.D. No. 79538 Email: Jpietrzak ,ReagerAdlerPC.com BY: THOMAS O. WILLIAMS, ESQUIRE Attorney I.D. No. 67987 Email: Twilliams@ReagerAdlerPC.com 2331 Market Street Camp Hill, PA 17011 Telephone: (717) 763-1383 Facsimile: (717) 730-7366 Attorneys for Plaintiff, Integrity Bank INTEGRITY BANK, Plaintiff IN THE COURT OF COMMON PLEAS, CUMBERLAND COUNTY, PENNSYLVANIA V. : CIVIL ACTION CAPITOL INVESTMENT GROUP, LLC Defendant : NO. 0P-L5610 CONFESSION OF JUDGMENT AFFIDAVIT OF NON-MILITARY SERVICE Commonwealth of Pennsylvania ) ) ss: County of Cumberland ) The undersigned, being duly sworn according to law, deposes and says that the Defendant(s) is/are not in the Military or Naval Service of the United States or Allies, or otherwise within the provisions of the Soldiers' and Sailors' Civil Relief Act of Congress of 1940, as amended: JO W. Pietrzak, Esquire Sworn to and subscribed Before me this _V day of M ow -e" , , , 2008. -( WAS Notary Public COMMONWEALTH OF PENNSYLVANIA NOTARIAL SEAL LINDA H MILLER Notary Public CITY OF HARRISBURG, DAUPHIN COUNTY My Commission Expires May 9, 2009 C.r -rt (9 SHERIFF'S RETURN - OUT OF COUNTY CASE NO: 2008-06590 P COMMONWEALTH OF PENNSYLVANIA: COUNTY OF CUMBERLAND INTEGRITY BANK VS CAPITOL INVESTMENT GROUP LLC R. Thomas Kline , Sheriff or Deputy Sheriff who being duly sworn according to law, says, that he made a diligent search and and inquiry for the within named DEFENDANT to wit: CAPITOL INVESTMENT GROUP LLC but was unable to locate Them deputized the sheriff of LEBANON in his bailiwick. He therefore serve the within CONFESSION OF JUDGMENT County, Pennsylvania, to On December 3rd , 2008 , this office was in receipt of the attached return from LEBANON Sheriff's Costs: So answers- --;?? Docketing 18.00 Out of County 9.00 ?'- Surcharge 10.00 R. Thomas Kline Dep Lebanon Co 53.35 Sheriff of Cumberland County Postage 3.12 93.47 ? /0 1 ?,. 12/03/2008 REAGER & ADLER Sworn and subscribe to before me this day of A. D. In The Court of Common Pleas of Cumberland County, Pennsylvania Integrity Bank vs. Capitol Investment Group LLC No. 08-6590 civil Now, November 12, 2008 , I, SHERIFF OF CUMBERLAND COUNTY, PA, do hereby deputize the Sheriff of Lebanon County to execute this Writ, this deputation being made at the request and risk of the Plaintiff. Ca. ?0? Sheriff of Cumberland County, PA Please mail return of service to Cumberland County Sheriff. Thank you. Affidavit of Service Now, within upon at by handing to a and made known to So answers, Sheriff of Sworn and subscribed before me this day of , 20 copy of the original COSTS SERVICE _ MILEAGE _ AFFIDAVIT 20 , at o'clock M. served the the contents thereof. County, PA NOTICE, CONFESSION OF JUDGMENT & COMPLAINT IN CONFESSION OF JUDGMENT No. 08-6590 Integrity Bank VS. Capital Investment Group, LLC STATE OF PENNSYLVANIA COUNTY OF LEBANON ) SS: Rager & Adler, P.C. John H. Pietrzak, Esquire 2331 Market Street Camp Hill, PA 17011 (717) 763-1383 Return to (Cumberland County) Docket Page 28600 William Mohl, Deputy Sheriff, being duly sworn according to law, deposes and says that after due and diligent search by him having been made in his bailiwick, and after having exhausted all known facets to locate DEFENDANT, as stipulated under Rule of Civil Procedure, Rule 430, "good faith effort," he was unable to find CAPITAL INVESTMENT GROUP, LLC, the within named DEFENDANT, and he therefore returns "NOT FOUND," as to the said CAPITAL INVESTMENT GROUP. Sworn to and subscribed before me this 20`h day of November, 2008 4atw5r'Public NOTAna SEAL Lyme 1R1mmY? My $012 com?s? . SO ANSWERS, ' jw do DEPUTY SHERIFF dn SHERIFF SHERIFF'S COSTS IN ABOVE PROCEEDINGS Advanced Costs paid on 11/17/08 Check No. 26125 Amount Costs Incurred: Amount of Refund: • Amount Check No. 4 Amount $ 100.00 $ 53.35 $ 46.65 All Sheriffs Costs shall be due and payable when services are performed, and it shall be lawful for him to demand and receive from the party instituting the proceedings, or any party liable for the costs thereof, all unpaid sheriffs fees on the same before he shall be obligated by law to make return thereof. Sec. 2, Act of June 20, 1911, P.L. 1072 REAGER & ADLER, P.C. BY:JOHN H. PIETRZAK, ESQUIRE Attorney I.D. No. 79538 Email: Jpietrzak(i,ReagerAdlerPC.com BY: THOMAS O. WILLIAMS, ESQUIRE Attorney I.D. No. 67987 Email: TwiIliamsOReagerAdlerPC.com 2331 Market Street Camp Hill, PA 17011 Telephone: (717) 763-1383 Facsimile: (717) 730-7366 Attorneys for Plaintiff, Inte rity Bank INTEGRITY BANK, Plaintiff IN THE COURT OF COMMON PLEAS, CUMBERLAND COUNTY, PENNSYLVANIA V. CAPITOL INVESTMENT GROUP, LLC Defendant : CIVIL ACTION : NO. D F - L s'y c' CONFESSION OF JUDGMENT NOTICE Pursuant to Rule 236 of the Supreme Court of Pennsylvania, you are hereby notified that a JUDGMENT BY CONFESSION has been entered against you in the above proceeding and that enclosed herewith is a copy of all of the documents filed in support of said judgment. If you have any questions concerning this notice, please call John H. Pietrzak at (717) 763-1383. Prothonotary t;" in the amount of $29.55 per day from October 30, 2008 forward, as authorized by the Warrant appearing in the attached Agreements, together with interest. from the date of judgment and costs. Respectfully submitted, REAGER & ADLER, P.C. Date: November 7, 2008 V?. ? Jo H. Pietrzak, Esquire Attorney I.D. No. 79538 Thomas O. Williams, Esquire Attorney I.D. No. 67987 Attorneys for Plaintiff, Integrity Bank REAGER & ADLER, P.C. BY:JOHN H. PIETRZAK, ESQUIRE Attorney I.D. No. 79538 Email: Jpietrzak(a)ReaggrAdlerPC.com BY: THOMAS O. WILLIAMS, ESQUIRE Attorney I.D. No. 67987 Email: TwilliamsaReagerAdlerPC.com 2331 Market Street Camp Hill, PA 17011 Telephone: (717) 763-1383 Facsimile: (717) 730-7366 Attorneys for Plaintiff, Integrity Bank INTEGRITY BANK, : IN THE COURT OF COMMON PLEAS, Plaintiff CUMBERLAND COUNTY, PENNSYLVANIA V. : CIVIL ACTION CAPITOL INVESTMENT GROUP, LLC : NO. 08-6590 Defendants TO THE PROTHONOTARY: : CONFESSION OF JUDGMENT PRAECIPE Please reinstate the above-captioned Complaint. Respectfully submitted, REAGER & ADLER, P.C. Date: January 6, 2009 Jo H. Pietrzak, Esq e Attorney I.D. No. 79538 Thomas 0. Williams, Esquire Attorney I.D. No. 67987 2331 Market Street Camp Hill, PA 17011-4642 Telephone: (717) 763-1383 Attorneys for Plaintiff ? ?s p ?L °a ? ? t'3 ?: i, r ?. ?R?, ?' ? -C? IV ?' SHERIFF'S RETURN - REGULAR CASE NO: 2008-06590 P COMMONWEALTH OF PENNSYLVANIA: COUNTY OF CUMBERLAND INTEGRITY BANK VS CAPITOL INVESTMENT GROUP LLC SHAWN HARRISON , Sheriff or Deputy Sheriff of Cumberland County,Pennsylvania, who being duly sworn according to law, says, the within CONFESSION OF JUDGMENT was served upon CAPITOL INVESTMENT GROUP LLC the DEFENDANT , at 1555:00 HOURS, on the 22nd day of January , 2009 at 119 SOUTH FIFTH STREET LEMOYNE, PA 17043 by handing to BILL KASE, PROCESSER ADULT IN CHARGE a true and attested copy of CONFESSION OF JUDGMENT together with and at the same time directing His attention to the contents thereof Sheriff's Costs: Docketing Service Affidavit Surcharge Sworn and Subscibed to before me this of 18.00 14.40 .00 10.00 .00 42.40 day So Answers: R. Thomas Kline 01/23/2009 REAGER & By. A. D. C "3 ra r- ?.n t , =fi t"V r _.4p r'+, ; C:C; ,.