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Home My WebLink About10-2235UNRUH, TURNER, BURKE & FREES, P.C. ATTORNEYS FOR PLAINTIFF r? BY: JOHN K. FIORILLO, ESQUIRE ? ? ? 55658 ATTORNEY I D No I 7 1, . . . BY: NANCY J. GLIDDEN, ESQUIRE ATTORNEY I.D. No. 78961 P.O. Box 515 WEST CHESTER, PA 19381-0515 610-692-1371 PNC BANK, NATIONAL ASSOCIATION 1600 Market Street Philadelphia, PA 19103 Plaintiff : IN THE COURT OF COMMON PLEAS : CUMBERLAND COUNTY, PENNSYLVANIA CIVIL ACTION - LAW VS. JOHN B. HESS 145 Willow Mill Park Road Mechanicsburg, PA 17050 Defendant : No. 10 - aa35 a;y((-F&rW' ENTRY OF APPEARANCE, CONFESSION OF JUDGMENT AND PRAECIPE FOR ASSESSMENT OF DAMAGES TO THE PROTHONOTARY: Pursuant to the authority contained in the Warrant of Attorney, a true and correct copy of which is attached to the Complaint filed in this action, I appear for the Plaintiff, confess judgment in favor of the Plaintiff and against the Defendant as follows: Principal $287,240.42 Interest as of 02/08/10 $ 52,686.67 Late Charges as of 02/08/10 $ 2,661.61 Attorney's Commission (10%) $ 34,258.87 TOTAL $376,847.57 Interest continues to accrue from February 8, 2010 at a per diem rate of $43.88. UNRUH, TURNER, B RKE & FREES, P.C. Date: c 3 By: John K. Fiorillo, Esquire Nancy J. Glidden, Esquire Attorneys for Defendant CV'v 310 Po Alm IG? 37(o(oCo ?a 880 Ho-hee O &W UNRUH, TURNER, BURKE & FREES, P.C. BY: JOHN K. FIORILLO, ESQUIRE ATTORNEY I.D. No. 55658 BY: NANCY J. GLIDDEN, ESQUIRE ATTORNEY I.D. No. 78961 P.O. BOX 515 WEST CHESTER, PA 19381-0515 610-692-1371 PNC BANK, NATIONAL ASSOCIATION 1600 Market Street Philadelphia, PA 19103 Plaintiff vs. JOHN B. HESS 145 Willow Mill Park Road Mechanicsburg, PA 17050 Defendant : ATTORNEYS FOR PLAINTIFF : IN THE COURT OF COMMON PLEAS CUMBERLAND COUNTY, PENNSYLVANIA : CIVIL ACTION - LAW No. COMPLAINT CONFESSION OF JUDGMENT UNDER PA.R.C.P. 2951 1. Plaintiff, PNC Bank, N.A. (the "Bank") is a banking institution, whose address is 1600 Market Street, Philadelphia, PA 19103. 2. Defendant, John B. Hess ("Guarantor") is an adult individual with an address of 145 Willow Mill Park Road, Mechanicsburg, PA 17050. 3. On or about January 27, 2006, in consideration of monies lent, Infratech Industries, Inc. (the "Borrower") executed and delivered to the Bank a term note in the original principal sum of $30,000.00 (the "Note"). A true and correct copy of the Note is attached hereto and made a part hereof as Exhibit "A". 4. On or about January 27, 2006, in order to induce the Bank to enter into the transaction evidenced by the Note, Guarantor executed and delivered to the Bank a Commercial Guaranty (the "Guaranty") wherein Guarantor agreed, among other things, to guaranty and act as a surety for all of Borrower's obligations to the Bank in connection with the Note and any other obligation of Borrower to the Bank. A true and correct copy of the Guaranty is attached hereto and made a part hereof as Exhibit "B." 5. Thereafter, on November 16, 2006, the Borrower and the Bank amended the Note. A true and correct copy of the Consent of Guarantor is attached hereto and made a part hereof as Exhibit "C." 6. In addition, the loan is secured by a mortgage given by Delores J. Hess and John B. Hess on or about November 16, 2006, in the amount of $300,000.00, which pertains to property commonly known as 145 Willow Mill Park Road, Cumberland County, Pennsylvania, and which was recorded in record book 1843, page 4382. 7. Judgment has not been previously entered in any jurisdiction against the Guarantor under the Guaranty. 8. This transaction did not arise from nor is judgment being entered in connection with a consumer credit transaction or residential lease against a natural person. 9. The Guaranty has not been assigned and the Bank is still the holder thereof. 10. Borrower has defaulted on its obligations to the Bank under the Note as amended by virtue of among things, failing to make payment as and when due and Guarantor has defaulted on his obligations to the Bank pursuant to the terms of the Guaranty by virtue of various events, including without limitation, failing to cure Borrower's default. -2- 11. As a result of said defaults, Guarantor is in default and the following amounts are immediately due and payable under and in connection with said Guaranty in connection with amounts that had been guaranteed with respect to the Note as amended as of February 8, 2010: Principal $287,240.42 Interest as of 02/08/10 $ 52,686.67 Late Charges as of 02/08/10 $ 2,661.61 Attorney's Commission (10%) $ 34,258.87 TOTAL $376,847.57 Interest continues to accrue from February 8, 2010 at a per diem rate of $43.88. WHEREFORE, Plaintiff PNC Bank, N.A., respectfully requests judgment in its favor and against Defendant, John B. Hess, in the amount of $376,847.57 plus interest from February 8, 2010 at the per diem rate of $43.88 and all costs and expenses. Respectfully submitted, UNRUH, TURNER, BURKE & FREES, P.C. to Date: _ By: 1 ,'o'-- John K. iorillo, Esquire Nancy J. Glidden, Esquire Attorneys for Plaintiff, PNC Bank, N.A. P.O. Box 515 West Chester, PA 19381-0515 Attorney I.D. No. 55658/78961 (610) 692-1371 -3- EXHIBIT "A" 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. Any Item above containing " - " has been omitted due to text length limitations. Borrower: INFRATECH INDUSTRIES. INC (TIN: 20-09306591 Lender: PNC Bank. National Association 145 WILLOW MILL PARK ROAD Business Banking MECHANISBURG. PA 17050 4242 Carrrsle Pike Camp Hill, PA 17001 Principal Amount: $30,000.00 initial Rate: 9.500% Date of Note: January 27, 2006 PROMISE TO PAY. INFRATECH INDUSTRIES, INC ("Borrower') promises to pay to PNC Bank, National Association ("Lender'), or order, in lawful money 'of the Unhad States of America, the principal amount of Thirty Thousand & 001100 Dollars ($30,000.00) or so much as may be outstanding, together with interest on the unpaid outstanding principal balance of each advance. Interest shall be calculated from the date of each advance until repayment of each advance. PAYMENT. Borrower will pay this loan In accordance with the following payment schedule: Borrower will pay regular monthly paymora of accrued Interest beginning FEBRUARY 27, 2006 and all subsequent interest payments are due on the some day of each month after that. Borrower will pay this loan in one payment of all outstanding principal plus all accrued unpaid interest on the Expiration Data. Borrower may borrow, repay and reborrow hereunder until the Expiration Data, subject to the terms and conditions of this Note. The "Expiration Date" shall mean JANUARY 27, 2008 or such later date as may be designated by written notice from Lender to Borrower. Borrower acknowledges and agrees that in no event will Lender be under any obrigatlon to extend or renew the loan or this Note beyond the Initial Expiration Dots. In no event shall the aggregate unpaid principal amount of advances under this Note exceed the face amount of this Note. Unless otherwise agreed or required by applicable law, payments will be applied first to any accrued unpaid interest; than to principal; then to any unpaid collection costs; and then to any late charges. The annual Interest rate for this Note Is computed on a 3651360 basis: that is, by applying the ratio of the annual Interest rate over a year of 360 days, multiplied by the outstanding principal balance, multiplied by the actual number of days the principal balance Is outstanding. Borrower will pay Lender at Lender's address shown above or at such other place as Lender may designate in writing. VARIABLE INTEREST RATE. The Interest rate on this Note is subject to change from time to time based on changes in an independent index which is the highest Prima Rate as published in the "Money Rates" section of The Well Street Journal Ithe "Index'). The Index is not necessarily the lowest rate charged by Lender on its loans. If the Index becomes unavailable during the term of this loan, Lender may designate a substitute Index after notice to Borrower. Lender will tell Borrower the current Index rate upon Borrower's request. The interest rate change will not occur more often than each day. Borrower understands that Lender may make loans based on other rates as well- The index currently Is 7.250% per annum. The interest rate to be applied to the unpaid principal balance of this Note will be at a rate of 2.250 percentage points over the Index, resulting In an initial rote of 9,500% per annum. NOTICE: Under no circumstances will the interest rate on this Note be more than the maximum rate allowed by applicable low. PREPAYMENT. Borrower may pay without penalty all or a portion of the amount owed earlier then 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, Lender may accept it without losing any of Lender's rights under this Note, and Borrower will remain obligated to pay any further amount owed to Lender. All written communications concerning disputed amounts, Including any check or other payment instrument that indicates that the payment constitutes 'payment in full" of the amount owed or that is tendered with other conditions or limitations or as full satisfaction of a disputed amount must be mailed or delivered to: PNC Bank, National Association, Attn: Doc Prep/Operations Department - BBCAC, 8800 Tinicum Boulevard 5th Floor Philadelphia, PA 19153. LATE CHARGE. If a payment is 15 days or more late, Borrower will be charged 5.000% of the regularly scheduled payment or $100,00, whichever is less. INTEREST AFTER DEFAULT. Upon default, including failure to pay upon final maturity, Lender, at its option, may, H permitted under applicable law, increase the variable interest rate on this Note to 7.250 percentage points over the Index. The interest rate will not exceed the maximum rate permitted by applicable law. If judgment is entered in connection with this Note, interest will continue to accrue on this Note after judgment at the Interest rate applicable to this Note at the time judgment is entered. DEFAULT. Each Of the following shall constitute an event of default ('Event of Default') under this Note: Payment Default. Borrower fails to make any payment when due. Other Defaults. Borrower or Grantor fails 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, obligation, covenant or condition contained in any other agreement between Lender and Borrower. Default in Favor of Third Parties. 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. False Statements. Any warranty, representation or statement made or furnished to Lender 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 tot 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 Forfeiture Proceedings. Commencement of foreclosure or forfeiture 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 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 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 Lender monies or a surety bond tot the creditor or forfeiture proceeding, in an amount determined by Lender, in its sole discretion, as being an adequate PROMISSORY NOTE (Continued) reserve or bond for the dispute. Page 2 Events Affecting Guarantor. Any of the preceding events occurs with respect to any Guarantor of any of the indebtedness or any Guarantor dies or becomes incompetent, or revokes or disputes the validity of, or liability under, any guaranty of the indebtedness evidenced by this Note. Change In Ownership, Any change in ownership of twenty-five percent {25%) or more of the common stock of Borrower. Adverse Change. A material adverse change occurs in Borrower's financial condition, or Lender believes the prospect of payment or performance of this Note is impaired. Insecurity. Lender in good faith believes itself insecure. LENDER'S RIGHTS. Upon default, Lender may, after giving such notices as required by applicable law, declare the entire unpaid principal balance on this Note and all accrued unpaid interest immediately due, without notice, and then Borrower will pay that amount. ATTORNEYS' FEES; EXPENSES. Lender may hire or pay someone else to help collect this Note if Borrower does not pay. Borrower will pay Lender that amount. This includes, subject to any limits under applicable law, Lender's attorneys' fees and Lender's legal expenses, whether or not there is a lawsuit, including attorneys' tees, expenses for bankruptcy proceedings (including efforts to modify or vacate any automatic stay or injunction), appeals and any anticipated post judgement collection services. If not prohibited by applicable law, Borrower also will pay any court costs. in addition to all other sums provided by law. WAIVER OF JURY TRIAL. THE BORROWER IRREVOCABLY WAIVES ANY AND ALL RIGHTS THE BORROWER MAY HAVE TO A TRIAL BY JURY IN ANY ACTION, PROCEEDING OR CLAIM OF ANY NATURE RELATING TO THIS NOTE, ANY DOCUMENTS EXECUTED IN CONNECTION WITH THIS NOTE OR ANY TRANSACTION CONTEMPLATED IN ANY OF SUCH. DOCUMENTS. THE BORROWER ACKNOWLEDGES THAT THE FOREGOING WAIVER IS KNOWING AND VOLUNTARY. GOVERNING LAW. This Note will be govwnsd by federal law applicable to Lender and, to the extent not preempted by federal law, the laws of the Commonweahh of Pennsylvania without regard to its con dicta of law provisions. This Note has been accepted by Lender In the Commonwealth of PannsyRnarda. 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. RIGHT OF SETOFF. In addition to ell fens upon and rights of setoff against Borrower's money, securities or other property given to Lender by law, Lender shall have, with respect to Borrower's obligations to Lender under this Note and to the extent permitted by law, a contractual possessory security interest in and a contractual right of setoff against, and Borrower hereby assigns, conveys, delivers, pledges and transfers to Lender all of Borrower's right, title and interest in and to, ell of Borrower's deposits, moneys, securities and other property now or hereafter in the possession of or on deposit with, or in transit to, Lender or any other direct or indirect subsidiary of The PNC Financial Services Group, Inc.. whether held in a general or special account or deposit, whether held jointly with someone else, or whether held for safekeeping or otherwise, excluding, however, all IRA, Keogh, and trust accounts. Every such security Interest and right of setoff may be exercised without demand upon or notice to Borrower. Every such right of setoff shell be deemed to have been exercised immediately upon the occurrence of an Event of Default hereunder without any action of Lender, although Lender may enter such setoff on its books and records at a later time. COLLATERAL. Borrower acknowledges this Note is secured by the following collateral described in the security instrument listed herein: inventory, chattel paper, accounts, equipment, general intangibles and consumer goods described in a Commercial Security Agreement dated January 27, 20013. LINE Of CREDIT. This Note evidences a revolving line of credit. Advances under this Note may be requested orally by Borrower or by an authorized person. All oral requests shall be confirmed in writing on the day of the request. All communications, instructions, or directions by telephone or otherwise to Lender are to be directed to Lender's office shown above. Borrower agrees to be liable for all sums either: IA) advanced in accordance with the instructions of an authorized person or (B) credited to any of Borrower's accounts with Lender. The unpaid principal balance owing on this Note at any time may be evidenced by endorsements on this Note or by Lender's internal records, including daily computer print-outs. Lender will have no obligation to advance funds under this Note if: (A) Borrower or any guarantor is In default under the terms of this Note or any agreement that Borrower or any guarantor has with Lender, including any agreement made in connection with the signing of this Note; IS) Borrower or any guarantor ceases doing business or is insolvent; (C) any guarantor seeks, claims or otherwise attempts to limit, modify or revoke such guarantor's guarantee of this Note or any other loan with lender, (0) Borrower has applied funds provided pursuant to this Note for purposes other than those authorized by Lender; or (E) Lender in good faith believes Itself insecure. FINANCIAL INFORMATION PROVISION. Borrower agrees to deliver any financial and other business information concerning Borrower that Lender may request from time to time, such as annual and interim financial statements (all of which shall be prepared in accordance with generally accepted accounting principles) and federal income tax returns. DEPOSITORY. Borrower will establish and maintain, with Lender. Borrower's primary depository account(s). If Borrower fails to establish and/or maintain its primary depository account(s) with Lender, Lender may, at its option, upon thirty (30) days notice to Borrower, increase the interest rate payable by Borrower under this Note by up to 1.00 percentage points (1.00%)• Lender's right to Increase the interest rate pursuant to this paragraph shell be in addition to any other rights or remedies lender may have under this Note, all of which are hereby reserved, and shall not constitute a waiver, release or limitation upon Lender's exercise of any such rights or remedies. AUTOMATIC DEBIT OF PAYMENTS. The Borrower hereby authorizes the Lender to charge the Borrower's deposit account at the Lender for any payment when due hereunder. If the Borrower revokes this authorization for any reason whatsoever or fails to maintain a deposit account with the Lender which may be charged, the Lender may, at its option, upon thirty 130) days notice to the Borrower, increase the interest rate payable by the Borrower under this Note by twenty-five (25) basis points (0.25%). TERMINATION OF LINE OF CREDIT. Upon sixty 160) days prior written notice to Borrower, Lender may terminate the Line of Credit, with or without cause, and demand full payment of the entire unpaid principal balance of this Note, and all accrued and unpaid interest on the balance, and all other amounts due in accordance with the terms of this Note. Unless Lender's notice provides otherwise, Lender will have no further obligation to advance funds under this Note. CONVERSION TO TERM LOAN. Lender retains the right to convert all or any part of the outstanding indebtedness under this Note into an amortizing term loan, with or without cause, upon providing sixty (60) days prior written notice to Borrower (the "Conversion Notice'). If Lender exercise this right, Lender will compute a new monthly payment with respect to the part of the indebtedness so converted (the "Term Loan Portion"), and Borrower will be advised of such new monthly payment with respect to the Term Loan Portion in the Conversion Notice. Monthly payments on the Term Loan Portion following the Conversion Notice shall be based upon an amortization period specified in the Conversion Notice (the "Amortization Period"1. Subsequent payments on the Term Loan Portion shall be determined monthly and shelf be in the amounts determined by lender to be necessary to fully amortize the then outstanding principal balance so converted over the then remaining Amortization Period at the effective interest rate on this Note as of the date the amount of such payment is calculated by Lender. All PROMISSORY NOTE (Continued) Pegs outstanding principal and accrued interest will be due on the last day of the Amortization Period. All of the provisions of this Note and any Related Documents shall apply to the Term Loan Portion except to the extent inconsistent with this parof. ACBS CLOSED LOAN PACKAGE. Send closed loan package, including fee collected, to the Document Control Center(DCC) at P7-PFSC-04-L. SUCCESSOR INTERESTS. The terms of this Note shall be binding upon Borrower, and upon Borrower's heirs, personal representatives, successors and assigns, and shall inure to the benefit of Lender and its successors and assigns. GENERAL PROVISIONS. Lender may delay or forgo enforcing any of its rights or remedies 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 union otherwise expressly stated in writing, no party who signs this Note, whether as maker, guarantor, accommodation maker or endorser, shell be released from liability. All such parties agree that Lendsr may renew or extend (repeatedly and for any length of time) this loan or release any party or guarantor or collateral; or impair, fall to realize upon or perfect Lender's security interest in the collateral; and take any other action deemed necessary by Lender without the consent of or notice to anyone. All such parties also agree that Lender may modify this loan without the consent of or notice to anyone other then the party with whom the modification is made. The obligations under this Note are joint and several. If any portion of this Note is for any reason determined to be unenforceable, It will not affect the enforceability of any other provisions of this Note. CONFESSION OF JUDGEMENT. THE BORROWER HEREBY EMPOWERS ANY ATTORNEY OF ANY COURT OF RECORD. AFTER THE OCCURRENCE OF ANY EVENT OF DEFAULT HEREUNDER, TO APPEAR FOR THE BORROWER AND, WITH OR WITHOUT COMPLAINT FILED, CONFESS JUDGMENT, OR A SERIES OF JUDGMENTS, AGAINST THE BORROWER IN FAVOR OF LENDER OR ANY HOLDER HEREOF FOR THE ENTIRE PRINCIPAL BALANCE OF THIS NOTE, ALL ACCRUED INTEREST AND ALL OTHER AMOUNTS DUE HEREUNDER, TOGETHER WITH COSTS OF SUIT AND AN ATTORNEY'S COMMISSION Of THE GREATER OF 10% OF SUCH PRINCIPAL AND INTEREST OR $1.000 ADDED AS A REASONABLE ATTORNEY'S FEE, AND FOR DOING SOi THIS NOTE OR A COPY VERIFIED BY AFFIDAVIT SHALL BE A SUFFICIENT WARRANT, THE BORROWER HEREBY FOREVER WAIVES AND RELEASES ALL ERRORS IN SAID PROCEEDINGS AND ALL RIGHTS OF APPEAL AND ALL RELIEF FROM ANY AND ALL APPRAISEMENT, STAY OR EXEMPTION LAWS OF ANY STATE NOW IN FORCE OR HEREAFTER ENACTED. INTEREST ON ANY SUCH JUDGMENT SHALL ACCRUE AT THE DEFAULT RATE. NO SINGLE EXERCISE OF THE FOREGOING POWER TO CONFESS JUDGMENT, OR A SgiIES OF JUDGMENTS, SHALL BE DEEMED TO EXHAUST THE POWER. WHETHER OR NOT ANY SUCH EXERCISE SHALL BE HELD BY ANY COURT TO BE INVALID, VOIDABLE. OR VOID, BUT THE POWER SHALL CONTINUE UNDIMINISHED AND IT MAY BE EXERCISED FROM TIME TO TIME AS OFTEN AS LENDER SHALL ELECT UNTIL. SUCH TIME AS LENDER SHALL HAVE RECEIVED PAYMENT IN FULL OF THE DEBT, INTEREST AND COSTS. NOTWITHSTANDING THE ATTORNEY'S COMMISSION PROVIDED FOR IN THE PRECEDING PARAGRAPH (WHICH IS INCLUDED IN THE WARRANT FOR PURPOSES OF ESTABLISHING A SUM CERTAIN), THE AMOUNT OF ATTORNEYS' FEES THAT LENDER MAY RECOVER FROM THE BORROWER SHALL NOT EXCEED THE ACTUAL ATTORNEYS' FEES INCURRED BY LENDER. PRIOR TO SIGNING THIS NOTE. BORROWER READ AND UNDERSTOOD ALL THE PROVISIONS OF THIS NOTE, INCLUDING THE VARIABLE INTEREST RATE PROVISIONS. BORROWER AGREES TO THE TERMS OF THE 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 INSTRUMENT ACCORDING TO LAW. BORROWER: INFRATECH INDUSTRIES, INC By- (Seal) J?FIN EARLEY, Vice Presy' OM of INFRAT CH I DUSTRIES.INC By. (seal) S. Prey a NFRATECH INDUSTRIES. 1 LABIA W lwM, W.{.XWM40.p. H kW h..W S.M+ -n?. 704. MM,--g. -PA T:1c"%nomIC 7*son= A.K EXHIBIT "B" (page 1 of 4) COMMERCIAL GUARANTY I 3 80 10C Guarantor: JOHN HESS ISSN: 185-36-4166) 145 WILLOW MILL PARK ROAD MECHACSBURG. PA 17050 CONTINUING GUARANTEE OF PAYMENT AND PERFORMANCE. For good and valuable consideration, Guarantor absolutely and unconditionally guararime full and punctual payment and satisfaction of the Indebtedness of Borrower to Lender, and the performance and discharge of all Borrower's obligations under the Note and the Related Documents. This is a guaranty of payment and performance and not of collection, so Lender can enforce this Guaranty against Guarantor even when Lender has rrot exhsuiried Lender's remedies against anyone else obligated to pay the Indebtedness or against any collateral securing the indebtedness, this Guaranty or any other guaranty of the Indebtedness. Guarantor will make any psyments to Lanier or its order, on demand. In legal tender of the United States of America, in same-day funds, without set-off or deduction or counterclaim, and will otherwise perform Borrower's obligations under the Note end Related Documents. Under this Guaranty. Guarantor's liability is unlimited and Guarantor's obligations are contimung. CONTINUING GUARANTY. THIS IS A "CONTINUING GUARANTY" UNDER WHICH GUARANTOR AGREES To GUARANTEE THE FULL AND PUNCTUAL PAYMENT, PERFORMANCE AND SATISFACTION OF THE INDEBTEDNESS OF BORROWER TO LENDER, NOW EXISTING OR HEREAFTER ARISING OR ACQUIRED, ON AN OPEN AND CONTINUING BASIS. ACCORDINGI-Yr ANY PAYMENTS MADE ON THE INDEBTEDNESS WILL NOT 013CHARGE OR DIMINISH GUARANTOR'S OBLIGATIONS AND LIABILITY UNDER THIS GUARANTY FOR ANY REMAINING AND SUCCEEDING INDEBTEDNESS EVEN WHEN ALL OR PART OF THE OUTSTANDING INDEBTEDNESS MAY BE A ZERO BALANCE FROM TIME TO TIME. DURATION OF GUARANTY. This Guaranty will take effect when received by Lander without the necessity of any acceptance by Lender, or any notice to Guarantor or to Borrower, and will continue in full force until all the Indebtedness Incurred or contracted before receipt by Lander of any notice of revocation shall have been fully and finally paid and satisfied and all of Guarantor's other obligations under this Guaranty shall hove been performed in full. If Guarantor elects to revoke this Guaranty, Guarantor may only do so in writing. Guarantor's written notice of revocation must be mailed to Lender, by certified mail, at Lender's address listed above or such other place as Lander may deslgnate in writing. Written revocation of this Guaranty will apply only to advances or new Indebtedness created after actual receipt by Lender of Guarantor's written revocation. For this purpose and without imitation, the term 'new Indebtedness' does not include the Indebtedness which at the time of notice of revocation Is contingent, uml)quldated, undetermined or not due and which later becomes obackrte. liquidated, determined or due. This Guaranty will continua to bind Guarantor for all the Indebtedness Incurred by Borrower or committed by Lender prior to receipt of Guarantor's written notice of revocation, Including any extensions, renewals, substitutions or modifications of the indebtedness. All renewals; extensions, substitutions, and modifications of the indebtedness granted attar Guarantor's revocation, are contemplated under this Guaranty and, specifically will not be considered to be new indebtedness. This Guaranty shall bind Guarantor's estate es to the indebtedness created both before and after Guarantor's death or incapacity, regardless of Lender's actual notice of Guararntor's death. Subject to the foregoing, Guarantor's executor or administrator or other legal representative may tsrmhwte this Guaranty In the same manner In which Guarantor might have terminated it and with the some effect. Release of any other guarantor or termination of any other guaranty of the Indebtedness shall not affect the liability of Guarantor under this Guaranty. A revocation Lender receives from any one or more Guarantors shall not affect the liability of any remaining Guarantors under this Gusrenty. it b arr9.11 h that fluctuations may a*= in do apra0 - amount of the Irtdebssdness covered by this Guerarvty, and Guarantor specifically ac nowNdgas and agrees that reductions In the amount of the hublitedriess, even to zero dollars ft0.00). prior to Guarantor's written revocation of this Guaranty shall not eonsthate a termination of this Guaranty. This Guaranty is binding upon Guarantor and OunreMor's heirs. successors and assigns so long es any of the Indebt dn"s remains unpaid and even though the Indebtedness may from drive to rims be zero dollars ($0.00). GUARANTOR'S AUTHORIZATION TO LENDER. Guarantor authorizes Lander, either before or after any revocation hereof, without native or damarvd wed withtwt lasseNne Gnarenssr's liability under this Stairanty, from time to tbns: (A) prior to revocation as set forth above, to make one or more additional secured or unsecured bans to Borrower, to lease equipment or other goods to Borrower, or otherwlse to extend additional credit to Borrower; (B) to alter, compromise, renew, extend, accelarste, or otherwise change one or more times the time for payment or other terms of the Indebtedness or any part of the indebtedness, Inclidkig increases and decreases of the rate of Interest on the indebtedness: extensions may be repeated and may be for longer then the original loan term; (C) to take and hold security for the payment of this Guaranty or the Indebtedness, and exchange. enforce, waive, subordinate, fail or decide not to perfect, and totem any such security, with or without the substitution of new collateral; (D) to release, substitute, owes not to sus, or deal with any one or more of Borrower's suaades, endorsers, or other guarantors on any terms or in any manner Lender may choose; (FU to determine how, when and what application of psymeris and credits shag be made on the indebtedness; (F) to apply such security and diced the order or manner of sale thereof, Including without imitation, any nonjudfcat sets permitted by the terms of the controlling security agreement or deed of trust, as Lender in its discretion may determine; 10) to sell, transfer, assign or grant participations In ad or any pert of the Indebtedness; and (H) to assign or transfer this Guaranty in whole or In part. GUARANTOR'S 181 ENTATIONS AND WARRANTIES. Guarantor represents and warrants to Lender that (A) no representations or agreements of any kind have been made to Guarantor which would limit or qualify in any way the terms of this Guaranty; (B) this Guaranty is executed at Borrower's request and not at the request of Lender, IC) Guarantor has full power, right and authority to enter Into this Guaranty; (D) the provisions of this Guaranty do not conflict with or result In a default under any agreement or other Instrument binding upon Guarantor and do riot result In a violation of any low, regulation, court decree or order applicable to Guarantor, 11) Guarantor has not and will not, without the prior written consent of Lender, sell, lease, assign, encumber, hypothecate, transfer, or otherwise dispose of all or substantially all of Guarantor's assets, or any interest therein; (F) upon Lender's request, Guarantor will provide to Lender financial and credit Information in form acceptable to Lender, and all such financial information which currently has boon, and all future financial Irformatiat which will be provided to Lender is and will be true and correct in all motarlot respects and fairly present Guarantor's financial condition as of the dates the financial information Is provided; Ili) no material adverse change has occurred in Guarantor's financial condition since the date of the most recent financial statements provided to Lender and no event has occurred which may materially adversely affect Guarentces financial condition; (H) no Adgetion, claim, investigation, administrative proceeding or similar action fincludbV those for unpaid taxes? against Guarantor Is pending or threatened; (1) Lender has made no representation to Guarantor as to the creditworthiness of Borrower, and (J) Guarantor has established adequate moans of obtaining from Borrower on a continuing basis Information regarding Borrower's financial condition. Guarantor agrees to Borrower: INFRATECH INDU8TRIES, WC {TIN: 20409306591 Lender: PNC Bank, Naillonoll Association 145 WILLOW MILL PARK ROAD Business BeNdng MECHANISSURS. PA 17060 4242 Carlisle Pike Canty FMi, PA 17001 (Page 2 of 4) COMMERCIAL GUARANTY (Continued) Page 2 keep adequately informed from such means of any facts, events, or circumstances which might in any way affect Guanvitor's risks under this Guaranty, and Guarantor further agrees that Lender shad have no obligation to disclose to Guarantor any information or documents acquired by Lender in the course of its relationship with Borrowar. GUARANTOR'8 WAIVERS. Except as prohibited by applicable law, Guarantor waives any right to require Lender IA1 to continue landing money or to extend odor credit to Borrower, (B) to make any presentment, protest, demand, or notice of any kind, Including notice of any nonpayment of the Indebtedness or of any nonpayment related to any collateral, or notice of any action or nonsction on the part of Borrower, Lender, any surety, endorser, or other guarantor in connection with the Indebtedness or in connection with the creation of new or additional loans or obligations; 10 to resort for payment or to proceed directly or at once against any person, Including Borrower or any other guarantor; ID) to proceed directly spinet or exhaust any collateral held by Lender from Borrower, any other guarantor, or any other person; (E) to give notice of the terms, time, and place of any public or private sale of personal property security held by Lender from Borrower or to comply with any other applicable provisions of the Uniform Commercial Code; IF) to pursue any other remedy within Lender's power, or (G) to commit any act or omission of any kind, or at any time, with respect to any matter whatsoever. Guarantor also waives any and all rights or defenses based on suretyship or impairment of collateral Including, but not limited to, any rights or defenses arising by reason of (A) any 'one action' or 'anti-deftclency' law or any other law which may prevent Lender from bringing any action, iftlut g a claim for daTiciency, spinet Guarantor, before or after Larder's commencement or completion of any foreclosure action, either Judicially or by exercise of a power of sale; (B) any election of remedies by Lender which destroys or otherwise adversely affects Guarantor's "rogation rights or Guarantor's fights to proceed against Borrower for reimbursement, Including without Imitation, any loss of rights Guarantor may suffer by reason of any low limiting, qualifying, or discharging tine Indebtedness; (C) any disability or otter defense of Borrower, of any other guarantor, or of any other person, or by reason of the cessation of Borrower's liability from any cause whatsoever, other than payment in full in too tender, of the Indebtedness; (D) any right to claim discharge of the Indebtedness on the basis of urdustified Impalrmom of any coloteral for the Indebtedness; (Q any statute of limitations, if at any time any action or suit brought by Lender against Guarantor is commenced, there is outstanding Indebtedness which is not barred by any applicable statute of limitations; or IF) any defenses given to guorentors at law or in equity other than actual payment and performance of the indebtedness. If payment Is made by Borrower, whether voluntarily or otherwise, or by any third party, on the Indebtedness and thereafter Lender is forced to famit the amount of that payment to Borrower's trustee in bankruptcy or to any similar person under any federal or state bankruptcy law or law for the relief of debtors, the indebtedness shall be considered unpold for the purpose of the enforcement of this Guaranty. Guarantor further waives and agrees not to assort or claim at any time any deductions to the amount guaranteed under this Guararrty for any claim of setoff, counterclaim, counter demand, recoupment or similar right, whether such claim, demand or right may be asserted by the Borrower, the Guarantor, or both. GUARANTOR'S UNDBISTANDING WITH RESPECT TO WAIVERS. Guarantor warrants end agrees that each of the waivers set forth above is made with Guarantor's full knowledge of its significance and consequences and that, under the circumstances, the waivers are reasonable and not contrary to publlc policy or law. If any such waiver Is determined to be contrary to any applicable law or public policy, such waiver shall be effective only to the extant permitted by low or public policy. LENDtR'8 M04T OF SETOFF. To the extent permitted by applicable law, Guarantor grants Lender a contractual security Intelsat In, and hereby assigns, convoys, delivers, pledgee and transfers to Lender all of Guarantor's right, title and Interest in and to Guarantor's accounts with Lender (whether clacking, swings or some other account), Including without Imiiadon all accounts hold jointly with someone else and all accounts Guarantor may open in the future, excluding however all IRA and Keogh accounts, and all trust accounts for which the grant of a security interest would be prohibited by law. Guarantor authorizes Lender, to the extent permitted by applicable law, to charge or setoff all sums owing on the Indebtedness against any and a1 such accounts and, at Lender's option, to administratively freeze oil such accounts to allow Lender to protect Lender's charge std setoff rights provided in this paragraph. SUBORDINATION OF BORROWER'S DEBTS TO GUARANTOR. Guarantor agrees that the indebtedness, whether now existing or hereafter created, shall be superior to env claim that Guwentor may now have or hereafter acquire against Borrower, whether or not Borrower becomes Insolvent. Guarantor hereby expressly subordinates any claim Guarantor may have against Borrower, upon any account whatsoever, to any claim that Lander may now or hereafter have against Borrower. In the event of Insolvency and consequent liquidation of the assets of Borrower, through bankruptcy, by an assignment for the benefit of creditors, by voluntary liquidation, or otherwise, the assets of Sorrowor applicable to the payment of the claims of both Lander and Guarantor shall be paid to Lender and shall be first applied by Lender to the Indebtedness. Guarantor does hereby assign to Lender all claims which it may have or acquire against Borrower or against any assignee or trustee In bankruptcy of Borrower; provided however, that such assignment shall be effective only for the purpose of assuring to Lender full payment In legal tamder of the Indebtedness. It Lender so requests, any notes or credit agreements now or hereafter evidencing any debts or obligations of Borrower to Guarantor shall be marked with a legend that the earns are subject to this Guaranty and shall be delivered to Lender. Guarantor egress, and Lender Is hereby authorized, in the nano of Guarantor, from time to times to ffle financing statements and continuation statements and to execute documents and to take such other actions as Lender dooms necessary or appropriate to perfect, preserve and enforce Its rights under this Guaranty. MISCELLANEOUS PROVISIONS. The following miscellaneous provisions are a part of this Guaranty; AmorWenents. This Guaranty, together with any Related Documents, constitutes the entire understanding and agreement of the parties as to the matters set forth in this Guaranty. No alteration of or amendment to this Guaranty shall be effective unless given in writing and signed by the party or parties sought to be charged or bound by the alteration or amendment. Attorneys' Few; Expanses. Guarantor agrees to pay upon demand all of Lender's costs and expanses, Including Larder's stoomaya' fees and Landsr's legal expenses, incurred in connection with the enforcement of this Guaranty. Lander may hire or pay someone also to help enfame this Guaranty, and Guarsnta shall pay the costs and sxpafses of such enforcement. Costs and expenea include Lender's attorneys' fps and legal expenses whether or not there is a lawsuit, including attorneys' fees and legal expenses for bankruptcy proceedings (Including offorts to modify or vacate any automatic stay or Injunation), appeals, and any anticipated post4udgment collection services. Guarantor also shall pay all court costs and such additional fees as may be directed by the court. Caption Handlings. Caption headmgs in this Guaranty are for convenience purposes only and are not to be used to interpret or define the provisions of this Guaranty. Governing Law. This Guaranty will be governed by federal law applicable to Lander end, to 81e extent not preempted by federal low, the lows of the Commonwsddr of Panneylvanie without regent to its conflicts of law provisions. Title Guaranty ties been accepted by larder in the Commonwealth of Pennsylvania. Choke of Venue. If there is a lawsuit, Guarantor agrees upon Lender's request to submit to the jurisdiction of the courts of Cumberland County, Commonwealth of Pennsylvania. Integration. Guarantor further agrees that Guarantor has read and fully understands the terms of this Guaranty; Guarantor has had the opportunity to be advised by Guarantor's attorney with respect to this Guaranty; the Guaranty fully reflects Guarantor's Intentions and parol (Page 3 of 4) COMMERCIAL GUARANTY (Continued) Page 3 evidence is not required to Interpret the terms of this Guaranty. Guarantor hereby indemnifies and holds Lender harmless from all losses, claims, damages, and costs (Including Lender's attorneys` fees) suffered or incurred by Lender as a result of any breach by Guarantor of the warranties, representations and agreements of this paragraph. hiarpretadon. In all cases where there is more than one Borrower or Guarantor, then all words used in this Guaranty In the singular shag be deemed to have been used in the plural where the context and construction so require; and where there is more than one Borrower named In No Guaranty or when this Guaranty is executed by more then ons Guarantor, the words "Borrower' and 'Guarantor" respectively shall mean all and any one or more of them. The words "Guarantor," 'Borrower,' and "Lander' include the helm, successors, assigns, and transferees of each of them. If a court finds that any provision of this Guaranty Is not valid or should not be enforced, that fact by itself will not mean that the rest of this Guaranty will not be valid or enforced. Therefore, a court will enforce the rest of the provisions of this Guaranty even if a provision of this Guaranty may be found to be invaW or unenforceable. If any one or more of Borrower or Guarantor are corporations, partnerships, limited gablilty companies, or similar entities, it is not necessary for Lender to inquire into the powers of Borrower or Guarentor or of the officers, directors, partners, managers, or other agents acting or purporting to act on their behslf, and any Loan indebtedness made or created in reliance upon the professed exercise of such powers shall be guaranteed under this Guaranty. Nodose. Unless otherwise provided by applicable law, any notice required to be given under this Guaranty shell be given In writing, and, except for revocation notices by Guarantor. shag be effective when actually delivered, when actually received by tslefecaimile lunlees otherwise required by law), when deposited with a nationally recognized overnight rouier, or, If mailed, when deposited in the United Statsi mail, as first dais, certified or registered mail postage prepaid, directed to the addresses shown near the beginning of this Guaranty. All revocation notk:ss by Guarantor shatl be In writing and shall be effective upon delivery to Lander as provided In the section of this Guaranty entitled "DURATION OF GUARANTY." Any party may change its address for notices under this Guaranty by giving formal written notice to the other parties, specifying that the purpose of the notice Is to change the party's address. For notice purposes, Guarantor agrees to keep Lender Informed at all times of Guarantor's currant address, Unless otherwise provided by applicable law, If there is more than an* Guarantor, any notice given by Lender to any Guarantor Is deemed to be notice given to ell Guarantors. No Waiver by Lendsr. Lander shell not be deemed to have waived any rights under this Guaranty unless such waiver Is given In writing and signed by Lander. No delay or omission on the part of Lender In exercising any right shall operate as a waiver of such right or any other right. A waiver by Lander of a provision of this Guaranty shag not prejudice or constituts a wehrer of Lender's right otherwise to demand evict compliance with that provision or any other provision of this Guaranty. No prior waiver by Lender, nor any course of dealing between Lender and Guarantor, shall constitute a wehrer of any of Lender's tights or of any of Guarantor's obligations as to any future transactions. Whenever the consent of Lender is required under this Guaranty, the granting of such consent by Lander in any Instance shall not constitute continuing consent to subsequent instances where such consent Is required and In all cases such consent may be granted or withheld in the sole discretion of Lander. Sucemotrs and Assigns. The terms of this Guaranty shall be binding upon Guarantor, and upon Guarantor's heirs, personal representatives, successors, and assigns, and shall be eMorceable by Lender and its successors and assigns. WAIVER OF JURY TRIAL. GUARANTOR IRREVOCABLY WANES ANY AND ALL RIGHT GUARANTOR WAY HAVE TO A TRIAL BY JURY IN ANY ACTION. PROCEEDING OR CLAIM OF ANY NATURE RELATING TO THIS GUARANTY, ANY RELATED DOCUMENTS, OR ANY DOCUMENTS EXECUTED N COINNWMN WITH THIS GUARANTY OR ANY TRANSACTION CONTEMPLATED IN ANY OF SUCH DOCUMENTS. GUARANTOR ACKNOWLEDGES THAT THE FOREGOING WAIVER IS KNOWING AND VOLUNTARY. LIMITED RECOURSE AS TO NON-APPUCANT SPOUSE. Notwithstanding anything contained herein to the contrary, it is agreed that, unless an exception to the requirements of Reguledon B of the Board of Governors of the Federal Reserve System applies in connection with the extension of the Indebtedness and the execution of INS Guaranty, the spouse who Is deemed not to be the "applicant for credit* for purposes of such regulation (the 'Non-Applicant Spouse') shag be peraaently liable under this Guaranty only with respect to rivets hold jointly as of the date hereof or hereafter acquired, and the pan of any judgment, order or other relief against the Non-Applicant Spouse shag be limited thereto. Nothing herein, however, shell Irnit the Lender's rights against any person, firm or entity other than the Non-Applicant Spouse. AUTHORIZATION TO OBTAIN CREDIT REPORTS. If the Guarantor Islare an Inxivddualtel, by signing below, the undersigned individual(s). provides written authorization to Lender or its designee land any assignee or potential assignee hereof) to obtain hisfiertftr personal credit proflle(W from one or morn national credit bureaus. Such authorization shall extend to obtaining a credit profile(s) in considering any, extension of credit to the Borrower or the Guarantor and subsequently for the purposes of update, renewal or extension of such credit or additional cradlt and for reviewing or collecting the resulting account. A photocopy or fanalm(le copy of this authorization shag be valid as the original. By signature below, Uwe affirm mylour identity as the respective individualts identified in this Guaranty. DEFINITIONS. The following capitalized words and terms shall have the following meanings when used in this Guaranty. Unless specifically stated to the contrary, all referernces to dollar amounts shall mean amounts in lawful money of the United States of America. Words and terms used in the singular shall include the plural, and the plural shall Inclixis the singular, as the context may require. Words and terms not otherwise defined in this Guaranty shall have the meanings attributed to such terms in the Uniform Commercial Code: Borrower. The word 'Borrower" means INFRATECH INDUSTRIES, INC and includes all co-signers and co-makers signing the Note and all their successors and assigns. Guarantee. The word 'Guarantor" means everyone signing this Guaranty, including without limitation JOHN HESS, and In each case, any signer's successors and assigns. Guaranty. The word 'Guaranty' means this guaranty from Guarantor to Lander. Borrower's indebtedness to Lander as more particularly described In this Guaranty. Indebtedness. The word "Indebtedness" means the Indebtedness evidenced by the Note, or Related Documents, including ail principal and interest together with all other Indebtedness and costs and expanses for which Borrower is responsible under this Guaranty or under any of the Related Documents. In addition, the word 'Indebtedness' includes an other obligations, debts and liabilities, plus interest thereon, of Borrower, or any one or more of them, to Lender, as wall as ail claims by Lender against Borrower, or any one or more of them, whether existing now or later whether they are voluntary or imrolvi Lary, due or not due, direct or Indirect, absolute or contingent, liquidated or unliquidated; whether Borrower may be gable individually or jointly with others; whether Borrower may be obligated as a guarantor, surety, accommodation party or otherwise; whether recovery upon such indebtedness may be or hereafter may become barred by any statute of limitations; and whether such indebtedness may be or hereafter may become otherwise unenforceable. Lender. The word 'Lender" means PNC Bank, National Association, its successors and assigns. Note. The wont 'Note' means the promissory note dated January 27, 2008, In tits original principal amount of $30,000.00 from Borrower to Lander, together with all renewals of, extensions of, modifications of, refinancings of, cornsolidodons of, and substitutions for the (Page 4 of 4) COMMERCIAL'GUARANTY (Continued) Page 4 Related Doeamenu. The words 'Related Documents' mean all promissory notes, credit agreements, loan agreements, environmental agreements, guaranties, security agreements, mortgages, deeds of trust, security deeds, collateral mortgages, and all other InBtruments, agreements and documents, whether now or hereafter existing, executed in connection with the Indebtedness.. CONFESSION OF JUDGEMENT. THE GUARANTOR HEREBY EMPOWERS ANY ATTORNEY OF ANY COURT OF RECORD. AFTER THE OCCURRENCE OF ANY EVENT OF DEFAULT HEREUNDER. TO APPEAR FOR THE GUARANTOR AND. WITH OR WITHOUT COMPLAINT FLED. CONFESS JUDGMENT, OR A BERMS OF JUDGMENTS, AGAINST THE GUARANTOR IN FAVOR OF LENDER OR ANY HOLDER H0W FOR THE ENTIRE PRNCIPAL BALANCE OF THIS GUARANTY. ALL ACCRUED INTEIIBST AND ALL OTHER AMOUNTS DUE HEREUNDER, TOGETHER WITH COSTS OF SUIT AND AN ATTOIMEY'S COMMISSION OF THE GREATER OF 10% OF SUCH PRINCIPAL AND INTEREST OR $1.000 ADDED AS A REASONABLE ATTOMM'S FEE AND FOR DOING 90, THE NOTE OR A COPY VERIFIED BY AFFIDAVIT SHALL BE A SUFFICIENT WARRANT. THE GUARANTOR HEREBY FOREVER WAIVES AND RELEASES ALL ERRORS IN SAID PROCEEDINGS AND ALL RIGHTS OF APPEAL AND ALL RELIEF FROM ANY AND ALL APPRAISEMEHT, STAY OR EXEMPTION LAWS OF ANY STATE NOW IN FORCE OR HEREAFTER ENACTED. INTEREST ON ANY SUCH JUDGMENT SHALL ACCRUE AT THE DEFAULT RATE. NO SINGLE EXERCISE OF THE FOREGOING POWER TO CONFESS JUDGMENT, OR A SERIES OF JUDGMENTS. SHALL BE DEEMED TO EXHAUST THE POWER. WHETHER OR NOT ANY SUCH EXERCISE SHALL BE HELD BY ANY COURT TO IN INVALID. VOIDABLE, OR VOID, BUT THE POWER SHALL CONTINUE UNDIMINISHED AND IT MAY 0 EXERCISED FROM TIME TO TIME AS OFTEN AS LENDER SHALL ELECT UNTIL SUCH TIME AS LENDER SHILL HAVE RECMM PAYMENT IN FULL OF THE DEBT, INTEREST AND COSTS. NOTWITHSTANDING THE ATTORN'EY'S COMMISSION PROVIDED FOR IN THE PREC®MIG PARAGRAPH (WHICH M INCLUDED IN THE WARRANT FOR PURPOSES OF ESTASLISHING A MUM CERTAIN), THE AMOUNT OF ATTORNEYS' FEES THAT LENDER MAY RECOVER FROM THE GUARANTOR SHALL NOT EXCEED THE ACTUAL ATTORNEYS' FEES INCURRED BY LENDER. GUARANTOR ACINOWLOGES HAYING READ ALL THE PROVISIONS OF THIS COMMERCIAL GUARANTY AND GUARANTOR AGREES TO ITS TERMS. TRANS COMMERCIAL GUARANTY 0 DATED JANUARY 27, 2000. THIS GUARANTY M GIVEN UNDER SEAL AND IT IS INTENDED THAT THIS GUARANTY IS AND SHALL CONSTITUTE AND HAVE THE EFFECT OF A SEALED INSTRUMENT ACCORDING TO LAW. LMM AO WM. V..¦Ma"M C....,IOW.Fl dw J.,W,M IM."". ma NmjM 0,- -,A EXHIBIT "C" CHANGE IN TERMS AGRFro 'ENT -Principal 1»oal tats Lct111r N? can / Cotti rUr?t' oftor InitiaFs 53Q QI Q 1 f 'i.6-21 i - A> # t 2442 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. Any item above containing "• *"" has been omitted due to text length Iimitations Borrower: INFRATECH INDUSTRIES, INC. (TIN: 20-0930659) Lender: 'PNC Bank. National Association 145 WILLOW MILL PARK ROAD Business Banking MECHANICSBURG, PA 17050 4242 Carlisle Pike Camp HUI, PA 17001 Principal Amount: $300,000.00 Initial Rate: 10.500% Date of Agreement: November 16, 2006 DESCRIPTION OF EXISTING INDEBTEDNESS. A $30,000.00 PROMISSORY NOTE DATED JANUARY 27, 2006 BETWEEN BORROWER AND LENDER AS HERETOFORE MODIFIED FROM TIME TO TIME. DESCRIPTION OF CHANGE IN TERMS. 1) THE MAXIMUM PRINCIPAL AMOUNT OF THE NOTE SHALL BE INCREASED FROM $30,000.00 TO $ 300,000.00 2) TWO NEW MORTGAGES SHALL BE EXECUTED M A PACKAGING FEE OF $1,000.00 AND A SBA LOAN FEE OF 54,200.00 SHALL BE DUE AND PAYABLE BY THE BORROWER 41 THE REPAYMENT SCHEDULE SHALL BE MODIFIED AS DEFINED BELOW. PROMISE TO PAY. INFRATECH INDUSTRIES, INC. ("13orrower"1 promises to pay to PNC Bank, National Association ("Lender"), or order, in lawful money of the United States of America, the principal amount of Three Hundred Thousand & 001100 Dollars ($300,000.00) or so much as may be outstanding. together with interest on the unpaid outstanding principal balance of each advance. Interest shall be calculated from the date of each advance until repayment of each advance. PAYMENT. Borrower will pay this ban in accordance with the following payment schedule: Borrower will pay regular monthly payments of accrued Interest beginning DECEMBER 16, 2006, and ail subsequent Interest payments are due on the same day of each month after that. Borrower will pay this loan in one payment of all outstanding principal plus all accrued unpaid interest on the Expiration Date. Borrower may borrow, repay and reborrow hereunder until the Expiration Date, subject to the terms and conditions of this Note. The "Expiration Date" shag mean JANUARY 27, 2008, or such later date as may be designated by written notice from Lender to Borrower. Borrower acknowledges and agrees that in no event will Lender be under any obligation to extend or renew the ban or this Note beyond the initial Expiration Date. In no event shall the aggregate unpaid principal amount of advances under this Note exceed the face amount of this Note. Unless otherwise agreed or required by applicable law, payments will be applied first to any accrued unpaid interest; then to principal; then to any unpaid collection costs; and then to any.Jate charges. Interest on this Agreement is computed on a 3651360 simple interest basis; that is, by applying the ratio of the annual interest rate over a year of 360 days, multiplied by the outstanding principal balance, multiplied by the actual number of days the principal balance is outstanding. Borrower will pay Lender at Lender's address shown above or at such other place as Lender may designate in writing. VARIABLE INTEREST RATE. The interest rate on this loan is subject to change from time to time based on changes in an independent index which is the highest Prime Rate as published in the "Money Rates" section of The Wall Street Journal (the "Index"). The Index is not necessarily the lowest rate charged by Lender on its loans. If the Index becomes unavailable during the term of this ban, Lender may designate a substitute index after notifying Borrower. Lender will tell Borrower the current Index rate upon Borrower's request. The interest rate change will not occur more often than each day. Borrower understands that Lender may make loans based on other rates as well. The Index currently is 8.25.0% per annum. The interest rate to, be applied to the unpaid principal balance during this loan will be at a rate of 2.250 percentage points over the Index, resulting in an initial rate of 10.500% per annum. NOTICE: Under no circumstances will the interest rate on this loan be mote than the maximum rate allowed by applicable law. PREPAYMENT. 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 apayment, Lender may accept it without losing any of Lender's rights under this Agreement, and Borrower will remain obligated to pay any further amount owed to Lender. All written communications concerning disputed amounts, including any check or other payment instrument that. indicates that the payment constitutes "payment in full" of the amount owed or that is tendered with other conditions or limitations or as full 'satisfaction of a disputed amount must be mailed or delivered to: PNC Bank, National Association, Attn: Doc Prep/Operations Department - BBCAC, 8800 Tinicum Boulevard 5th Floor Philadelphia, PA 19153. LATE CHARGE. If a payment is 15 days or more late, Borrower will be charged 5.000% of the regularly scheduled payment or $100.00, whichever is less. INTEREST AFTER DEFAULT. Upon default, including failure to pay upon final maturity, the interest rate on this loan shall be increased by adding a 5.000 percentage point margin 1"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 in connection with this Agreement, interest will continue to accrue after the date of judgment at the rate in affect at the time judgment is entered. However, in no event will the interest rate exceed the maximum interest rate limitations under applicable law. DEFAULT. Each of the following shall constitute an Event of Default under this Agreement: Payment Default. Borrower fails to make any payment when due under the Indebtedness. Other Defaults. Borrower or Grantor 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 or to comply with or to perform any term, obligation, covenant or condition contained in any other Moment between Lender and Borrower. Default in Favor of Third Parties. Borrower 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 perform Borrower's obligations under this Agreement or any of the Related Documents. False Statements. Any warranty, representation or statement made or furnished to Lender by Borrower or on Borrower's behalf under this Agreement 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. CHANGE IN TERMS AGREEMENT Loan No: 0000772442 (Continued) Page 2 Insolvency. The dissolution or termination of Borrower's existence as a going business, the inooftnq Ot 50ft0`NBr1 ft app0iRtMt; %t 0J t 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 Forfeiture Proceedings. Commencement of foreclosure or forfeiture 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, 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 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 Lender monies or a surety bond for the creditor or forfeiture proceeding, in an amount determined by Lender, in its sole discretion, as being an adequate reserve or bond for the dispute. Events Affecting Guarantor. Any of the preceding events occurs with respect to any Guarantor of any of the Indebtedness or any Guarantor dies or becomes incompetent, or revokes or disputes the validity of, or liability under, any Guaranty of the Indebtedness evidenced by this Note. Change In Ownership. Any change in ownership of twenty-five percent (25%) or more of the common stock of Borrower. Adverse Change. A material adverse change occurs in Borrower's financial condition, or Lender believes the prospect of payment or performance'of the Indebtedness is impaired. Insecurity. Lender in good faith believes itself insecure. LENDER'S RIGHTS. Upon default, Lender may, after giving such notices as required by applicable law, declare the entire unpaid principal balance on this Agreement and all accrued unpaid interest immediately due, and then Borrower will pay that amount. ATTORNEYS' FEES; EXPENSES. Lender may hire or pay someone else to help collect this Agreement if Borrower does not pay. Borrower will pay Lender that amount. This includes, subject to any limits under applicable law, Lender's attorneys' fees and Lender's legal expenses, whether or not there is a lawsuit, including attorneys' fees, expenses for bankruptcy proceedings (including efforts to modify or vacate any automatic stay or injunction), and appeals. If not prohibited by applicable law, Borrower also will pay any court costs, in addition to all other sums provided by law. GOVERNING LAW. This Agreement will be governed by federal law applicable to Lender and, to the extent not preempted by federal law, the laws of the CommonweaMh of Pennsylvania without regard to its conflicts of law provisions. This Agreement has been accepted by Lender In the Commonwealth of Pennsylvania. 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. RIGHT OF SETOFF. To the extent permitted by applicable law, Lender reserves a right of setoff in'all Borrower's accounts with Lender (whether checking, savings, or some other account). This includes all accounts Borrower holds jointly with. someone else and all accounts Borrower may open in the future. However, this does 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, and, at Lender's option, to administratively freeze all such accounts to allow Lender to protect Lender's charge and setoff rights provided in this paragraph. COLLATERAL. Borrower acknowledges this Agreement is secured by SECURITY AGREEMENT DATED JANUARY 27, 2006. LINE OF CREDIT. This Agreement evidences a revolving line of credit. Advances under this Agreement may be requested orally by Borrower or as provided in this paragraph. All oral requests shall be confirmed in writing on the day of the request. All communications, instructions, or directions by telephone or otherwise to Lender are to be directed to Lender's office shown above. The following persons currently are authorized to request advances and authorize payments under the line of credit until Lender receives from Borrower, at Lender's address shown above, written notice of revocation of their authority: JOHN B HESS. President of INFRATECH INDUSTRIES, INC.; and JOHN A EARLEY Ill, Vice President of iNFRATECH INDUSTRIES, INC. Borrower agrees to be liable for all sums either: (A) ;advanced in accordance with the instructions of an authorized person or (B) credited to any of Borrower's accounts with Lender. The unpaid: principal balance owing on this Agreement at any time may be evidenced by endorsements on this Agreement or by Lender's internal records, including daily computer print-outs. CONTINUING VALIDITY. Except as expressly changed by this Agreement, the terms of the Original obligation or obligations, including all agreements evidenced or securing the obligation(s), remain unchanged and in full force and effect. Consent by Lender to this Agreement does not waive Lender's right to strict performance of the obligation(s) as changed, nor obligate Lender. to make any future change in terms. Nothing in this Agreement will constitute a satisfaction of the obligation(s). It is the intention of Lender to retain as liable parties all makers and endorsers of the original obligation(si, including accommodation parties, unless a party is expressly released by Lender in writing. Any maker or endorser, including accommodation makers, will not be released by virtue of this Agreement. If any person who signed the original obligation does not sign this Agreement below, then all persons signing below acknowledge that this Agreement is given conditionally, based on the representation to Lender that the non-signing party consents to the changes and provisions of this Agreement or otherwise will not be released by it. This waiver applies not only to any initial extension, modification or release, but also to all such subsequent actions. FINANCIAL INFORMATION PROVISION. Borrower agrees to deliver any financial and other business information concerning Borrower that Lender may request from time to time, such as annual and interim financial statements (all of which shall be prepared in accordance with generally accepted accounting principles) and federal income tax returns. DEPOSITORY. Borrower will establish and maintain, with Lender, Borrower's primary depository accountls). If Borrower fails to establish and/or maintain its primary depository account(s) with Lender, Lender may, at its option, upon thirty (30) days notice to Borrower, increase the interest rate payable by Borrower under this Note by up to 1.00 percentage points (1.00%). Lender's right to increase the interest rate pursuant to this paragraph shall be in addition to any other rights or remedies Lender may have under this Note, all of which are hereby reserved, and shall not constitute a waiver, release or limitation upon Lender's exercise of any such rights or remedies. AUTOMATIC DEBIT OF PAYMENTS. The Borrower hereby authorizes the Lender to charge the Borrower's deposit account at the Lender for any payment when due hereunder. If the Borrower revokes this authorization for any reason whatsoever or fails to maintain a deposit account with the Lender which may be charged, the Lender may, at its option, upon thirty (301 days notice to the Borrower, increase the interest rate payable by the Borrower under this Note by twenty-five (25) basis points (0.25%). TERMINATION OF LINE OF CREDIT. -n sixty (60) days prior written notice to Borro ender may terminate the tine of Credit, with or without cause, and demand full pays. - f the entire unpaid principal balance of this No. id all accrued and unpaid interest on the balance, and all other amounts due in accordar,_ with the terms of this Note. Unless Lender's notice provides otherwise, Lender will have no further obligation to advance funds under this Note. . CHANGE IN TERMS AGREE'--NT Loan No: 0000772442 (Continued) Page 3 CONVERSION TO TERM LOAN. Lender retains the right to convert all or any part of the outstanding indebtedness under this Note into an amortizing term loan, with or without cause, upon providing sixty (60) days prior written notice to Borrower (the "Conversion Notice"). if Lender exercise this right, Lender will compute a new monthly payment with respect to the part of the indebtedness so converted (the "Term Loan Portion"), and Borrower will be advised of such new monthly payment with respect to the Term Loan Portion in the Conversion Notice. Monthly payments on the Term Loan Portion following the Conversion Notice shall be based upon an amortization period specified in the Conversion Notice (the "Amortization Period"). Subsequent payments on the Term Loan Portion shall be determined monthly and shall be in the amounts determined by Lender to be necessary to fully amortize the then outstanding principal balance so converted over the then remaining Amortization Period at the effective interest rate on this Note as of the date the amount of such payment is calculated by Lender. All outstanding principal and accrued interest will be due on the test day of the Amortization Period. All of the provisions of this Note and any Related Documents shall apply to the Term Loan Portion except to the extent inconsistent with this paragraph. SUCCESSOR INTERESTS. The terms of this Agreement shall be binding upon Borrower, and upon Borrower's heirs, personal representatives, successors, and assigns, and shall be enforceable by Lender and its successors and assigns. MISCELLANEOUS PROVISIONS. Lender may delay or forgo enforcing any of its rights or remedies under this Agreement without losing them. Borrower and any other person who signs, guarantees or endorses this Agreement, to the extent allowed by law, waive presentment, demand for payment, and notice of dishonor. Upon any change in the terms of this Agreement, and unless otherwise expressly stated in writing, no party who signs this Agreement, 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 of time) this loan or release any party or guarantor or collateral; or impair, fail to realize upon or perfect Lender's security Interest in the collateral; and take any other action deemed necessary by Lender without the consent of or notice to anyone. All such parties also agree that Lender may modify this loan without the consent of or notice to anyone other than the party with whom the modification is made. The obligations under this Agreement are joint and several. If any portion of this Agreement is for any reason determined to be unenforceable, it will not affect the enforceability of any other provisions of this Agreement. PRIOR TO SIGNING THIS AGREEMENT, BORROWER READ AND UNDERSTOOD ALL THE PROVISIONS OF THIS AGREEMENT, INCLUDING THE VARIABLE INTEREST RATE PROVISIONS. BORROWER AGREES TO THE TERMS OF THE AGREEMENT. THIS AGREEMENT IS GIVEN UNDER SEAL AND IT IS INTENDED THAT THIS AGREEMENT IS AND SHALL CONSTITUTE AND HAVE THE EFFECT OF A SEALED INSTRUMENT ACCORDING TO LAW. BORROWER: INFRATE R1 NDUST IES, I?IC By: (Seal) By. ^ (Seal) HN 11 HE St, resident of INFRATECH J N A EA LEY III, Vice President of WMATECH DUSTRIES, INC. I DUSTRIES, INC. U3[R PRO l.na.ny, vm. 5.3200.003 curt,. Halw,e Fiu.,.i, Su4,4..,, ,uc. 199). ]COG. m Rp" . R"-- - M T-. CFM L -M-1c T IMM 1423 P11 1, UNRUH, TURNER, BURKE & FREES, P.C. BY: JOHN K. FIORILLO, ESQUIRE ATTORNEY I.D. No. 55658 BY: NANCY J. GLIDDEN, ESQUIRE ATTORNEY I.D. No. 78961 P.O. Box 515 WEST CHESTER, PA 19381-0515 610-692-1371 PNC BANK, NATIONAL ASSOCIATION 1600 Market Street Philadelphia, PA 19103 Plaintiff VS. JOHN B. HESS 145 Willow Mill Park Road Mechanicsburg, PA 17050 Defendant ATTORNEYS FOR PLAINTIFF ? ' C7 ca • , ? J c } - CJ3 ' ''7 _ : IN THE COURT OF COMMON PLEAS : CUMBERLAND COUNTY, PENNSYLVANIA : CIVIL ACTION - LAW No. - i l Te rrn NOTICE REGARDING DEBTOR IDENTIFICATION A debtor who has been incorrectly identified herein may file and serve a petition pursuant to Pa. R.Civ. P. 2959 and 2967. An incorrectly identified debtor who prevails in such a motion may be entitled to costs and reasonable attorney fees as determined by the court. You should contact an attorney to advise you in connection with this matter. Pa. R.Civ. P. 2959 provides that: (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 -4 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 written notice is served upon the petitioner pursuant to Rule 2956.1(c)(2) or Rule 2973.1(c), the 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 or of any levy or attachment shall be preserved while the proceedings to strike off or open the judgment are pending. Pa R.Civ. P. 2967 provides a form for filing a petition to strike the judgment in accordance with -2- r 4% certain rules of the Pennsylvania Rules of Civil Procedure. The petition to strike judgment required by Rules 2958.3 and 2973.3 shall be substantially in the following form: (Caption) PETITION TO STRIKE JUDGMENT REQUEST FOR PROMPT HEARING I hereby certify that I did not voluntarily, intelligently and knowingly give up my right to notice and hearing prior to the entry of judgment. I petition the court to strike the judgment on this ground and request a prompt hearing on this issue. I verify that the statements made in this Request for Hearing are true and correct. I understand that false statements herein are made subject to the penalties of 18 Pa.C.S. § 4904 relating to unsworn falsification to authorities. Notice of the hearing should be given to me at Street Address City, State Telephone Number Dated: Defendant(s) -3- UNRUH, TURNER, BURKE & FREES, P.C. BY: JOHN K. FIORILLO, ESQUIRE ATTORNEY I.D. No. 55658 BY: NANCY J. GLIDDEN, ESQUIRE ATTORNEY I.D. No. 78961 P.O. Box 515 WEST CHESTER, PA 19381-0515 610-692-1371 PNC BANK, NATIONAL ASSOCIATION 1600 Market Street Philadelphia, PA 19103 Plaintiff vs. JOHN B. HESS 145 Willow Mill Park Road Mechanicsburg, PA 17050 Defendant ss. AFFIDAVIT OF ADDRESSES COMMONWEALTH OF PENNSYLVANIA COUNTY OF PHILADELPHIA JOHN KUBALA, being duly sworn according to law deposes and says that he is a Banking Officer of PNC Bank, N.A.; that he is authorized to make this affidavit and that the addresses of the Plaintiff and Defendant are as follows: Plaintiff PNC Bank, N.A. 1600 Market Street Philadelphia, PA 19103 SWORN TO and SUBSCRIBED before me this day of /1C?R Lr /? .2010.- NOTARY PUBLIC : ATTORNEYS FOR PLAINTIFF Tj : IN THE COURT OF COMMON PLEAS : CUMBERLAND COUNTY, PENNSYLVANIA : CIVIL ACTION - LAW : No. 10 - aa,35 O:i v l 1`Term TIPfPnrlant John B. Hess 145 Willow Mill Park Road Mech icsburg, PA 17050 JO KUBALA <•o-,.- a H O PENNSYLVANIA "Aso SEAT ?'?'HSIBf?PSI?;I, Noter : "iladelphia, Phila. County . '?_ r7assior Expires Ma?rh ?_ ?( ; UNRUH, TURNER, BURKE & FREES, P.C. BY: JOHN K. FIORILLO, ESQUIRE ATTORNEY I.D. No. 55658 BY: NANCY J. GLIDDEN, ESQUIRE ATTORNEY I.D. No. 78961 P.O. Box 515 WEST CHESTER, PA 19381-0515 610-692-1371 PNC BANK, NATIONAL ASSOCIATION 1600 Market Street Philadelphia, PA 19103 Plaintiff VS. JOHN B. HESS 145 Willow Mill Park Road Mechanicsburg, PA 17050 Defendant ATTORNEYS FOR PLAINTIFF N sT _V M cn rs a _. ; -'T? a C _s =c r : IN THE COURT OF COMMON PLEAS : CUMBERLAND COUNTY, PENNSYLVANIA : CIVIL ACTION - LAW I IPXIYI No. Ip - Ada 0,i V, AFFIDAVIT OF NON-MILITARY SERVICE COMMONWEALTH OF PENNSYLVANIA COUNTY OF PHILADELPHIA ss. JOHN KUBALA, being duly sworn according to law deposes and says that he is a Banking Officer of PNC Bank, N.A.; that he is authorized to make this affidavit and that to the best of his knowledge, information and belief, the above-named defendant is not in the military or naval service of the United States or its allies or otherwise within the provisions of the Soldiers and Sailors Civil Relief Act of 1940 and/or its amendments; and that the last known address of the above-named individual defendant is as follows: John B. Hess 145 Willow Mill Park Road Mechanicsburg, PA 17050 f f SWORN TO and S B CRIBED JOHN K ALA before m this day of , 2010. avE A-TH OF PENNSYLVANIA _.o iv?ARIAL SEN NOT RY PUBLIC sal VASIBORSKI, Notary Puuii;; a. ;Philadelphia, Phila, County missior, Expires Mach `(?' _ UNRUH, TURNER, BURKE & FREES, P.C. ATTORNEYS FOR PLAINTIFF n BY: JOHN K. FIORILLO, ESQUIRE C "- ATTORNEY I.D. No. 55658 BY: NANCY J. GLIDDEN, ESQUIRE ATTORNEY I.D. No. 78961 cit P.O. Box 515 .> .._ -a WEST CHESTER, PA 19381-0515 =- 610-692-1371 c? PNC BANK, NATIONAL ASSOCIATION 1600 Market Street Philadelphia, PA 19103 Plaintiff : IN THE COURT OF COMMON PLEAS : CUMBERLAND COUNTY, PENNSYLVANIA : CIVIL ACTION -LAW VS. JOHN B. HESS 145 Willow Mill Park Road Mechanicsburg, PA 17050 Defendant No. Lo -a816 alyd Tel' m AFFIDAVIT OF INCOME COMMONWEALTH OF PENNSYLVANIA COUNTY OF PHILADELPHIA SS JOHN KUBALA, being duly sworn according to law deposes and says that he is a Banking Officer of PNC Bank, N.A.; that he is authorized to make this affidavit and that upon information and belief, states that the income of the individual Defendant, John B. Hess exceeds $10,000.00 per year. SWORN and SUPSCRIBED bef ,We me this,4_6 day of /7/AW./!141 .2010. 4/1 // j NOYARY PUBLIC !5+_i°y*'' 7E._ TI! OF PENNSYLVANIA vGTARIAL SEAL KWASIBORSKI, Notary Puuli. sta. € 7,sssioc Expires March P. 2( JO KUBALA a o'; Philadelphia, Phila. County 14 UNRUH, TURNER, BURKE & FREES, P.C. ATTORNEYS FOR PLAINTIFF n c ` BY: JOHN K. FIORILLO, ESQUIRE ra ATTORNEY I.D. No. 55658 Fri! ;. ""0 ?T BY: NANCY J. GLIDDEN, ESQUIRE ATTORNEY I.D. No. 78961 `'- cn ? 1 ca P.O. Box 515 Ti WEST CHESTER, PA 19381-0515 , rn 610-692-1371 PNC BANK, NATIONAL ASSOCIATION 1600 Market Street Philadelphia, PA 19103 Plaintiff : IN THE COURT OF COMMON PLEAS CUMBERLAND COUNTY, PENNSYLVANIA : CIVIL ACTION -LAW VS. JOHN B. HESS 145 Willow Mill Park Road Mechanicsburg, PA 17050 Defendant :No. - t i Term AFFIDAVIT OF BUSINESS TRANSACTION COMMONWEALTH OF PENNSYLVANIA COUNTY OF PHILADELPHIA SS. JOHN KUBALA, being duly sworn according to law deposes and says that he is a Banking Officer of PNC Bank, N.A.; that he is authorized to make this affidavit and that this is not an action by a seller, holder or assignee arising out of a retail installment sale, contract or account and that the transactions upon which the judgment being entered is based were business transactions and were not entered into for family, personal or esidential purposes. W /' JO KUBALA SWORN TO and SU SCRIBED before in this day y1v,5v :.?'av, r? I : TH of PENNSYLVANIA evOTARIAL SEAL NOT Y PUBLIC 0VASIBORSKI, Notary Puu!i: of Philadelphia, Phila. County ?C , . , ?_,.-rnmssi an Expires Mach, UNRUH, TURNER, BURKE & FREES, P.C. BY: JOHN K. FIORILLO, ESQUIRE ATTORNEY I.D. No. 55658 BY: NANCY J. GLIDDEN, ESQUIRE ATTORNEY I.D. No. 78961 P.O. Box 515 WEST CHESTER, PA 19381-0515 610-692-1371 PNC BANK, NATIONAL ASSOCIATION 1600 Market Street Philadelphia, PA 19103 Plaintiff vs. JOHN B. HESS 145 Willow Mill Park Road Mechanicsburg, PA 17050 Defendant : ATTORNEYS FOR PLAINTIFF 0 a rr; F, -0 - M ~r- -rn i_ cr Tf ticj C L IN THE COURT OF COMMON PLEAS : CUMBERLAND COUNTY, PENNSYLVANIA : CIVIL ACTION - LAW No. ,0 ` ?vi t I Et'n1 AFFIDAVIT OF DEFAULT COMMONWEALTH OF PENNSYLVANIA SS. COUNTY OF PHILADELPHIA JOHN KUBALA, being duly sworn according to law deposes and says that he is a Banking Officer of PNC Bank, N.A.; that he is authorized to make this affidavit and that the Defendant is in default under the terms of the instrument attached to the Complaint in Confession of Judgment as Exhibit "B" in that payment has not been made to Plaintiff in accordance with the terms thereof, as a result of which the amount of $376,847.57 plus interest from February 8, 2010 is due and owing. SWORN TO and S . SCRIBED JO KUBALA before n-W this day of 1 R 2010. / "?" `" ? ° "H of PENNSYLVANIA +q'TaRIRG SEAL KWASIBORSKI, Notary Pot NOTARY PUBLIC , o` Philadelphia, Phila County 1 - - n ssior, Expires Mart e ?( , --- UNRUH, TURNER, BURKE & FREES, P.C. ATTORNEYS FOR PLAINTIFF C') BY: JOHN K. FIORILLO, ESQUIRE c, T i ATTORNEY I.D. No. 55658 " ?jm BY: NANCY J. GLIDDEN, ESQUIRE ATTORNEY I.D. NO. 78961 cn P.O. Box 515 WEST CHESTER, PA 19381-0515 1- 610-692-1371 r ? cv - PNC BANK, NATIONAL ASSOCIATION 1600 Market Street Philadelphia, PA 19103 Plaintiff vs. JOHN B. HESS 145 Willow Mill Park Road Mechanicsburg, PA 17050 IN THE COURT OF COMMON PLEAS CUMBERLAND COUNTY, PENNSYLVANIA : CIVIL ACTION -LAW : No. 10 - aa8S 0"4 v i l Tam Defendant AFFIDAVIT OF JOHN KUBALA COMMONWEALTH OF PENNSYLVANIA SS. COUNTY OF PHILADELPHIA JOHN KUBALA, being duly sworn according to law deposes and says that he is a Banking Officer of PNC Bank, N.A.; that he is authorized to make this affidavit and that the facts set forth in the foregoing Complaint for Confession of Judgment are true and correct to the best of his knowledge, information and belief; and that the Exhibits attached to the Complaint are true and correct copies of the originals. SWORN TO and SUBSCRIBED before me his day C0M',1w-NwE:ALTH OF PENNSYLVANIA o , 2010 ' ___ OTARIAL SEAL Public: KWASIBORSKi, Nota:P:: N ARY _MarcPUBLIC 4 of Philadelphia, Phila. ,. ites -7- UNRUH, TURNER, BURKE & FREES, P.C. BY: JOHN K. FIORILLO, ESQUIRE ATTORNEY I.D. No. 55658 BY: NANCY J. GLIDDEN, ESQUIRE ATTORNEY I.D. NO. 78961 P.O. Box 515 WEST CHESTER, PA 19381-0515 610-692-1371 : ATTORNEYS FOR PLAINTIFF PNC BANK, NATIONAL ASSOCIATION 1600 Market Street Philadelphia, PA 19103 Plaintiff : IN THE COURT OF COMMON PLEAS : CUMBERLAND COUNTY, PENNSYLVANIA : CIVIL ACTION - LAW vs. : No. 10 - do'136 0, I vI 1 Tuw? JOHN B. HESS 145 Willow Mill Park Road Mechanicsburg, PA 17050 Defendant TO: JOHN B. HESS 145 Willow Mill Park Road Mechanicsburg, PA 17050 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-captioned proceeding and that enclosed herewith is a copy of all the (records) documents filed in support of the said judgment. IF YOU HAVE ANY QUESTIONS CONCERNING THIS NOTICE, PLEASE CALL: ATTORNEY Nancy J. Glidden, Esquire at telephone number: (610) 692-1371 Dated: AAri 2010 DAVID D. BUELL PROTHONOTARY CUMBERLAND COUNTY, PENNSYLVANIA I Deputy UNRUH, TURNER, BURKE & FREES, P.C. BY: JOHN K. FIORILLO, ESQUIRE ATTORNEY I.D. No. 55658 BY: NANCY J. GLIDDEN, ESQUIRE ATTORNEY LD. No. 78961 P.O. Box 515 WEST CHESTER, PA 19381-0515 610-692-1371 PNC BANK, NATIONAL ASSOCIATION 1600 Market Street Philadelphia, PA 19103 Plaintiff iG r(^, ._ I";~L'i. ~ ~ 'T ATTORNEYS FOR PLAtNTIF'F ?'+' {~~ 2~IQr',~ i' -5 Fr9 ~: ~9 ~ ~,.. ,_ ~`~~~ IN THE COURT OF COMMON PLEAS CUMBERLAND COUNTY, PENNSYLVANIA CIVIL ACTION -LAW VS. No. 10-2235 JOHN B. HESS 145 Willow Mill Park Road Mechanicsburg, PA 17050 Defendant CERTIFICATE OF SERVICE OF THE NOTICE UNDER RULE 2958.1 This is to certify that in this case complete copies of all papers contained in the Notice Under Rule 2958.1 has been served upon the following persons, by certified mail on April 26, 2010: John B. Hess 145 Willow Park Road Mechanicsburg, PA 17050 Certified Mail, Return Receipt Requested, Restricted Delivery No. 7008 1300 0000 5107 9623 True and correct copies of the certified mail receipts and 2958.1 Notices are attached. Date: 5 3 ~d UNRUH, TU ER, BU E & FREES, P.C. By: John K. Fi rillo, Esquire Nancy J. Glidden, Esquire Attorney for Defendant P.O. Box 515 West Chester, PA 19381-0515 Attorney I.D. No. 55658/78961 610-692-1371 UNRUH, TURNER, BURKE t~ FREES, P.C. BY: JOHN K. FIORILLO, ESQUIRE ATTORNEY I.D. NO. 55658 BY: NANCY J. GLIDDEN, ESQUIRE ATTORNEY I.D. No. 78961 P.O. Box 515 WEST CHESTER, PA 19381-0515 610-692-1371 PNC BANK, NATIONAL ASSOCIATION 1600 Market Street Philadelphia, PA 19103 Plaintiff VS. JOHN B. HESS 145 Willow Mill Park Road Mechanicsburg, PA 17050 Defendant ATTORNEYS FOR PLAINTIFF IN THE COURT OF COMMON PLEAS CUMBERLAND COUNTY, PENNSYLVANIA CIVIL ACTION -LAW No. 10-2235 NOTICE UNDER RULE 2958.1 OF JUDGMENT AND EXECUTION THEREON NOTICE OF DEFENDANT'S RIGHTS Via Certified Mail, Return Receipt Requested, Restricted Delivery No. 7008 1300 0000 5107 9623 To: JOHN B. HESS 145 Willow Mill Park Road Mechanicsburg, PA 17050 A judgment in the amount of $376,847.57 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 allegedly signed by you. The sheriffmay 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, 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. CUMBERLAND COUNTY LAWYER REFERRAL SERVICE 32 South Bedford Street Carlisle, PA 17013 (717) 249-3166 Date: ~ ~ ~ ~ ~ UNRUH, TURNER, BURKE & FREES, P.C. By: John K. F rillo, Esquire Nancy J. Glidden, Esquire Attorney for Plaintiff, PNC Bank, N.A. P.O. Box 515 West Chester, PA 193 81-0515 Attorney I.D. No. 55658/78961 610-692-1371 ,~ m ru lr O ra u7 O O 0 O m ra 0 0 f`- ~~~ ~~1~~ ~~ ~ ~ Postage $ Certified Fee oo~ k Pt Return Receipt Fee ~3ttnar ^I-lere (Endorsement Requred) ^~ ~ ""' Restricted Delivery Fee (Endorsement Required) \ ~Q l> . ' ~ `h `y, ,; ' ,.-~/ ~ '~ Total Postage & Fees ~ / Sent To 74S Willow-Park-Road.----------------------------- ------------------ Streei, Apt. N°MechanlCSburg, PA 17050 or PO Box No. ------ ° ---° --- ° ----------------- ----------- --- °-----°- ° ------- - °-`----------- ° --- City, State, ZIP+4 :~~ ~~. - ^ Complete Rams 1, 2, and 3. Also complete item 4 H Restricted Delivery is desired. ^ Print your name and address on the reverse so that we can return the card to you. ^ Attach this card to the back of the mailpiece, or on the front if space permits. 1. Article Addressed to: ~'. John B. Hess 1~5 Willow Park Road Mechanicsburg PA 17050 A. Signature ~~ x (~, 7 B. R by (Printed Name) D. Is delivery address different If YES, enter delivery a~,l z Agent SJ. w~veyo' r~~ ~ti0 ~~ 3. Service Type ~y Certified Mail Express ^ Registered ~ R ^ Insured Mail ^ C.O.D. 4. Restricted Delivery? (Extra Fee) 2. Article Number 7DD8 13DD DDDD 51D7 9623 - -- _ --- -- (Transferfrom service IaGen a-l(-~( ~ >, _ f `S=• hl I' ~~1 (I s ~lr~t PS Form 3811, February 2004 Domestic Return Receipt or Merchandise (~: Yes 102595.02-M-1540