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Home My WebLink About01-2384DIANE G. RADCLIFF 3448 TRINDLE ROAD CAMP HILL, PA 17011 (717) 737-0100 IN THE COURT OF COMMON PLEAS OF CUMBERLA~ND COUNTY, PENNSYLVANIA JAMES F. MULFORD, : Plaintiff : : v. : NO. 01- ~3~ CIVIL TERM : LISA D. MULFORD, : CIVIL ACTION - LAW Defendant : DIVORCE NOTICE YOU HAVE BEEN SUED IN COURT. If you wish to defend against the claims set forth in the following pages, you must take prompt action. You are warned that if you fail to do so, the case may proceed without you and a decree of divorce or annulment may be entered against you by the court. A judgment may also be entered against you for any other claim or relief requested in these papers by the Plaintiff. You may lose money or property or other rights important to you, including custody or visitation of your children. When the ground for divorce is indignities or irretrievable breakdown of the marriage, you may request marriage counseling. A list of marriage counselors is available in the Office of the Prothonotary at the Cumberland County Courthouse, Carlisle, Pennsylvania. IF YOU DO NOT FILE A CLAIM FOR ALIMON~I, DIVISION OF PROPERTY, COUNSEL FEES OR EXPENSES BEFORE THE FINAL DECREE OF DIVORCE OR AiTNULMENT IS GRANTED, YOU MAY LOSE THE RIGHT TO CLAIM ANY OF THEM. 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 2 Liberty Avenue Carlisle, PA 17013 Telephone: 717-249-3166 DIANE G. RADCLIFF 3448 TRINDLE ROAD CAMP HILL, PA 17011 (717) 737-0100 IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA JAMES F. MULFORD, Plaintiff : v. : NO. 01- Q3[~ CIVIL TERM LISA D. MULFORD, : CIVIL ACTION - LAW Defendant : DIVORCE COMPLAINT Plaintiff, James F. Mulford, by his attorney, DIANE G. RADCLIFF, ESQUIRE, and files this Complaint in Divorce of which the following is a statement: 1. The Plaintiff is 2 o 3 o 4. 5. 6. COD'NT I: DIVORCE James F. Mulford, an adult individual residing at 2902 Chesterbrook Court, Camp Hill, Cumberland County, Pennsylvania. The Defendant is Lisa D. Mulford, an adult individual residing at 9 Norfolk Court, Mechanicsburg, Cumberland County, Pennsylvania. Plaintiff and/or the Commonwealth for at least filing of this Complaint. Plaintiff and Defendant were Hudson, Ohio. There have been no prior between the parties. Plaintiff has been advised of Defendant have been bona fide residents of six (6) months previous to the married on May 25, 1986 at actions of divorce or annulment the availability of counseling and the right to request that the Court require the parties to participate in counseling. The Defendant is not a member of the Armed Services United States or any of its Allies. The Plaintiff avers that the grounds on which the based are: a. of the action is That the marriage is irretrievably broken; Or in the alternative, That the parties are now living separate and apart, and at the appropriate time, Plaintiff will submit an Affidavit alleging that the parties have lived separate and apart for at least two (2) years and that the marriage is irretrievably broken. Or in the alternative, That Defendant has offered such indignities to the person of the Plaintiff, the innocent and injured spouse, as to render his condition intolerable and life burdensome, and that this action is not collusive· WI4EREFORE, Plaintiff requests this Honorable Court to enter a decree in divorce, divorcing the Plaintiff and Defendant. DIANE G. RADCLIFF 3448 TR/NDLE ROAD CAMP HILL, PA 17011 (717) 737~)100 10. COLrNT II: EOUITABLE DISTRIBI~TION Paragraphs 1 through 8 are incorporated by reference hereto as fully as though the same were set forth at length. Plaintiff and Defendant have acquired property and debts, both real and personal, during their marriage from May 25, 1986 until March 1, 2000, the date of separation, all of which is -3- 11. 12. "marital property". Plaintiff and/or Defendant marriage or subsequent thereto, has increased in value since subsequent to its acquisition during the increase in value is "marital property". Plaintiff equitable filing of have acquired, prior to the "non-marital property" which the date of marriage and/or marriage, which and Defendant have been unable to agree as to an division of said property as of the date of the this Complaint. W~EREFORE, Plaintiff requests this Honorable Court to equitably divide all marital property and debts of the parties. Respectfull~ s b~itted, ~ PA 17011 Supreme Court ID #32112 Phone: (717) 737-0100 Fax: (717) 975-0697 Attorney for Plaintiff DIANE G. RADCLIFF 3448 TRINDLE ROAD CAMP HILL. PA 17011 (717) 737-0100 -4- VERIFICATION I verify that the statements made in this Complaint are true and correct. I understands that false statements herein are made subject to the penalties of 18 Pa.C.S. Section 4904, relating to unsworn falsification to authorities. DIANE G, RADCLIFF 3448 TRINDLE ROAD CAMP HILL, PA 17011 (717) 737-0100 -5- IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA JAMES F. MULFORD, : Plaintiff : : 53 ?¥ v. : NO. 01-~-i-8~6 CIVIL TERM : LISA D. MULFORD, : CIVIL ACTION - LAW Defendant : DIVORCE C~RTIFICATE OF SERVICE I hereby certify that a true and correct copy of the Complaint in Divorce has been served upon the Defendant, Lisa D. Mulford, by Certified Mail, Restricted Delivery on May 1, 2001. The return receipt is attached hereto as Exhibit ~A" and made a part hereof. Respectfully submitted, 34~ Trin~l e Road C~mp Hill,)PA 17011 Ph~n~7 ) 737-0100 Fax: (717) 975-0697 Supreme Court ID # 32112 Attorney for Plaintiff DIANE G. RADCLIFF 3448 TRINDLE ROAD CAMP HILL, PA 17011 (717) 737-0100 · Complete items 1, 2, and 3. Aisc complete item 4 if 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: - A. Received by (p/ease Print Clear/y) B. Date of Delivery C. Sig rs Addressee .r.r.r.r.r.r.r.r.r.r~ertified Mail ~ ~S M~ ~ ~ ~iste~ ~ ~a~ ~ for M~chandise ~ Insu~ Mail ~ O.O.D. '~ ~ ~trict~liv~?(E~Fee) ~ PS Form 3811, duly lggg Domestic Return Receipt 102595~99-M-1789 EXHIBIT "A" RETURN RECEIPT DIANE G, RADCLIFF 3448 TRINDLE ROAD CAMP HILL, PA 17011 (717) 7374)100 -2- JAMES F. MULFORD, Plaintiff LISA D. MULFORD, Defendant : IN THE COURT OF COMMON PLEAS OF : CUMBERLAND COUNTY, PENNSYLVANIA : NO. 01-2384 CIVIL TERM : : CIVIL ACTION - LAW : DIVORCE AFFIDAVIT OF CONSENT o o A Complaint in Divorce under Section 3301(c) of the Divorce Code was filed on April 24, 2001. The marriage of Plaintiff and Defendant is irretrievably broken and ninety (90) days have elapsed from the date of filing and service of the Complaint. I consent to the entry of a final Decree in Divorce after service of notice of intention to request entry of the decree. I verify that the statements made in this Affidavit are true and correct. I understand that false statements herein are made subject to the penalties of 18 Pa.C.S. Section 4904 relating to unsworn falsification to authorities. Dated: '~//]/~-~o3 IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA JAMES F. MULFORD, Plaintiff V. LISA D. MULFORD, Defendant NO. 01-2384 CIVIL TERM CIVIL ACTION - LAW IN DIVORCE AFFIDAVIT OF CONSENT A Complaint in Divorce under Section 3301(c) of the Divorce Code was filed on April 24, 2001. The marriage of Plaintiff and Defendant is irretrievably broken and ninety (90) days have elapsed from the date of filing and service of the Complaint. I consent to the entry of a final Decree in Divorce after service of notice of intention to request entry of the decree. I verify that the statements made in this Affidavit are true and correct. I understand that false statements herein are made subject to the penalties of 18 Pa.C.S. Section 4904 relating to unsworn falsification to authorities. JAMES F. MULFORD, Plaintiff LISA D. MULFORD, Defendant : IN THE COURT OF COMMON PLEAS OF : CUMBERLAND COUNTY, PENNSYLVANIA : NO. 01-2384 CIVIL TERM : CIVIL ACTION - LAW : DIVORCE WAIVER OF NOTICE OF INTENTION TO REOUEST ENTRY OF A DIVORCE DECREE UNDER SECTION 3301(c) OF THE DIVORCE CODE I consent to the entry of a final decree in divorce without notice. I understand that I may lose rights concerning alimony, division of property, lawyer's fees or expenses if I do not claim them before a divorce is granted. I understand that I will not be divorced until a divorce decree is entered by the Court and that a copy of the decree will be sent to me immediately after it is filed with the Prothonotary. I verify that the statements made in this Waiver are true and correct. I understand that false statements herein are made subject to the penalties to authorities. Dated: ~/~5 of 18 Pa.C.S. ~4904 relating to unsworn falsification IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA JAMES F. MULFORD, Plaintiff V. LISA D. MULFORD, Defendant NO. 01-2384 CIVIL TERM CIVIL ACTION - LAW 1N DIVORCE WAIVER OF NOTICE OF INTENTION TO REQUEST ENTRY OF A DIVORCE DECREE UNDER SECTION 3301(c) OF THE DIVORCE CODE 1. I consent to the entry of a final decree in divorce without notice. I understand that I may lose rights concerning alimony, division of property, lawyer's fees or expenses if I do not claim them before a divorce is granted. I understand that I will not be divorced until a divorce decree is entered by the Court and that a copy of the decree will be sent to me immediately after it is filed with the Prothonotary. I verify that the statements made in this Waiver 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. Dated: I .~-/ ~[ Q)~ LISA D. MULFORD~h/~ JAMES F. MULFORD, Plaintiff VS, LISA D. MULFORD, Defendant IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA CIVIL ACTION - LAW NO. 01-2384 CIVIL TERM IN DIVORCE DEFENDANT'S COUNTER-AFFIDAVIT UNDER__SE_.C_TLO._N_~3_O. ~ {~)_(~_F_'['_.H~ ~IVORCE CODE 1. Check either (a) or (b): (a) I do not oppose the entry of a Divorce Decree. (b) I oppose the entry of a Divorce Decree because (check (i), (ii) or both): __ (i) The parties to this action have not lived separate and apart for a period of at least 2 years. __ (ii) The marriage is not irretrievably broken. 2. Check either (a) or (b): __ (a) I do not wish to make any claims for economic relief. I understand that I may lose rights concerning alimony, division of property, lawyer's fees or expenses if I do not claim them before a divorce is granted. ~ (b) I wish to claim economic relief which may include alimony, division of property, lawyer's fees or expenses or other important rights. I verify that the statements made in this Counter-Affidavit are true and correct. I understand that false statements herein are made subject to the penalties of 18 Pa. C.S. Section 4904 relating to unsworn falsification to authorities. Date: I1~ q. LO g CERTIFICATE OF SERVICE hereby certify that I served an original of the foregoing Counter-Affidavit upon counsel for the Plaintiff herein by regular mail, postage prepaid, addressed as follows: Diane G. Radcliff, Esquire 3448 Trindle Road Camp Hill, Pa 17011 Date: 13 May 2003 Amy M.~arkins Secretary for Samuel L. Andes JAMES F. MULFORD, Plaintiff LISA D. MULFORD, Defendant : IN THE COURT OF COMMON PLEAS OF : CUMBERLAND COUNTY, PENNSYLVANIA : NO. 01-2384 CIVIL TERM : CIVIL ACTION - LAW : DIVORCE PRAECIPE TO WITHDRAW ECONOMIC CLAIMS TO THE PROTHONOTARY OF THE SAID COURT: Please withdraw the following marked economic claims heretofore raised by the Defendant in the above captioned matter: [ ] divorce [ ] equitable distribution [x] alimony pendente lite [x] alimony Ix] counsel fees and costs Respectfully submitted, Attorney for Defendant - 3_ - /? JAMES F. MULFORD, Plaintiff LISA D. MULFORD, Defendant IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA NO. 01-2384 CIVIL TERM CIVIL ACTION - LAW DIVORCE IF YOU WISH TO DENY ANY OF THE STATEMENTS SET FORTH IN THIS AFFIDAVIT, YOU MUST FILE A COUNTER-AFFIDAVIT WITHIN TWENTY DAYS AFTER THIS AFFIDAVIT HAS BEEN SERVED ON YOU OR THE STATEMENTS WILL BE ADMITTED. APFIDAVIT I/RDER SECTION 3301(d) OF THE DIVORCE CODE The parties to this action separated on March 1, 2001 and have continued to live separate and apart for a period of at least two years. The marriage is irretrievably broken. I understand that I may lose rights division of property, lawyer's claim them before a divorce is concerning alimony, fees or expenses if I do not granted. I verify and correct. I understand that subject to the penalties of 18 that the statements made in this affidavit are true false statements herein are made Pa.C.S. Section 4904 relating to unsworn falsifications to authorities. Date: ~'/~//2 o o '5 ~D JAMES F. MULFORD, Plaintiff VS. LISA D. MULFORD, Defendant IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA CIVIL ACTION - LAW NO. 01 2384 CIVIL IN DIVORCE CONFERENCE WITH COUNSEL AND PARTIES TO: Diane G. Radcliff , Counsel for Plaintiff James F. Mulford , Plaintiff Samuel L. Andes Lisa D. Mulford , Counsel for Defendant , Defendant A conference has been scheduled at the Office of the Divorce Master, 9 North Hanover Street, Carlisle, Pennsylvania, on the 17th day of November 2003, at 1:30 p.m., with counsel and the parties to discuss the outstanding economic issues to determine of claims. If issues remain will be scheduled at if there is a basis of settlement after the conference, a hearing another date. Very truly yours, Date of Notice: i0/i3/03 E. Robert Elicker, II Divorce Master JAMES F. MULFORD, Plaintiff VS. LISA D. MULFORD, Defendant IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA : CIVIL ACTION - LAW : : NO. 01 - 2384 CIVIL : : IN DIVORCE NOTICE OF PRE-HEARING CONFERENCE TO: Diane G. Radcliff Samuel L. Andes , Attorney for Plaintiff , Attorney for Defendant A pre-hearing conference has been scheduled at the Office of the Divorce Master, 9 North Hanover Street, Carlisle, Pennsylvania, on the 13th day of October 2003, at 9:30 a.m., at which time we will review the pre-trial statements previously filed by counsel, define issues, identify witnesses, explore the possibility of settlement and, if necessary, schedule a hearing. Very truly yours, Date of Notice: 8/5/03 Diane G. Radcliff, statement on July E. Robert Elicker, II Divorce Master Attorney for Plaintiff, filed a pretrial 11, 2003. Samuel L. Andes, Attorney for Defendant, has not filed a pretrial statement as of the date of this notice. JAMES F. MULFORD, : IN THE COURT OF COMMON PLEAS OF Plaintiff : CUMBERLAND COUNTY, PENNSYLVANIA LISA D. MULFORD, Defendant CIVIL ACTION - LAW NO. 01-2384 CIVIL TERM IN RE: DEFENDANT'S PETITION FOR EMERGENCY RELIEF ORDER OF COURT AND NOW, this 30th day of June, 2003, upon consideration of the attached letter from Samuel L. Andes, Esq., attorney for Defendant, 'the hearing previously scheduled for July 3, 2003, is cancelled. Diane G. Radcliff, Esq. 3448 Trindle Road Camp Hill, PA 17011 Attorney for Plaintiff Samuel L. Andes, Esq. 525 N. 12th Street Lemoyne, PA 17043 Attorney for Defendant BY THE COURT, jJesle~y Ol~e~~j.- ~ :rc SAMUEL L. ANDES ATTORNEY AT LAW 27 June 2003 The Honorable J. Wesley Oler Judge of the Court of Common Pleas Cumberland County Courthouse 1 Courthouse Square Carlisle, PA 17013 RE: James F. Mulford vs. Lisa D. Mulford No. 01-2384 Civil Term Dear Judge Oler: I represent the Defendant in the above matter, which is scheduled for a hearing before you next Thursday on a Petition for Emergency Relief which I filed in May. I write to advise you that the parties have resolved this matter privately and that the hearing will not be necessary. Enclosed is a Praecipe I will be filing shortly to withdraw the Petition I filed. Please cancel the hearing. If you have questions or need anything further, please contact Diane Radcliff, Esquire, or myself. Sincerel¢, ~~~g. Andes amh / Enclosure CC: Diane G. Radcliff, Esquire Lisa D. Mulford JAMES F. MULFORD, : IN THE COURT OF COMMON PLEAS OF Plaintiff : CUMBERLAND COUNTY, PENNSYLVANIA : v. : NO. 01-2384 CIVIL TERM LISA D. MULFORD, : CIVIL ACTION - LAW Defendant : DIVORCE INCOME ~ EXPENSE STATEMENT OF JAMES F. M?JLFORD I verify that the facts set forth in the foregoing Income and Expenses Form, including all attachments thereto, are true and correct to the best of my knowledge, information and belief. I understand that false statements herein are made subject to the penalties of 18 Pa.C.S. 4904 relating to unsworn falsification to authorities. DATE: PART I. A. EMPLOYMENT INFORMATION: EMPLOYER: Knowledge Planet ADDRESS: 5095 Ritter Road, POSITION: Sr. DBA PAYROLL NUMBER: PAY PERIOD: Semi Monthly B. EMPLOYMENT INCOME: GROSS PAY PER PAY PERIOD 3,932.25 reg. + 175 on call ITEMIZED DEDUCTIONS Fica or SE Tax Medicare or SE Tax Federal Tax State Tex Local Tax Mandatory Retirement Voluntary Retirement Health Insurance TOTAL DEDUCTIONS NET PAY PER PAY PERIOD NET PAY PER MONTH INCOME Mechanicsburg, PA (250.00) (62.09) (850.00) (115.00) (40.00) (245.00) (20.00) (1,582.09) 4,107.25 (1,582.09) 2,525.16 $5,050.32 C. OTHER INCOME: DESCRIPTION INTEREST DIVIDENDS PENSIONS ANNUITIES SOCIAL SECURITY RENTS ROYALTIES EXPENSE ACCOUNT GIFTS UNEMPLOYMENT COMPENSATION WORKMAN'S COMPENSATION INCOME TAX REFUNDS SUPPORT OR ALIMONY COMMISSIONS TIPS OTHER SPECIFY: TOTAL OTHER INCOME MONTHLY $0.00 YEA~LY $0.00 PART II. DESCRIPTION HOME EXPENSES: Rent First Mortgage Second Mortgage/Home Equity Loan Maintenance And Repairs Electric Gas Oil Telephone Water Sewer Trash EMPLOYMENT Public Transportation Lunches Other Employment Expenses TAXES: Real Estate Taxes Personal Property Taxes Income Taxes Not Withheld Per Capita/Occupation Taxes EXPENSES WEEKLY AMOUNT MONTHLY AMOUNT $575.00~ $90.00 $7O.00 $216.50 $33.33 ~Will be moving to 2 bedroom apartment to accommodate the children at an estimated cost of between 4700.00 and $800.00 per month. 4 DESCRIPTION INSURANCE: Homeowners/Renters Ins. Automobile Insurance Life Insurance Accident Insurance Health Insurance Other Insurance AUTOMOBILE EXPENSES: Payments Fuel Maintenance And Repair License And Registration MEDICAL EXPENSES NOT REIMBURSED BY INSURANCE: Doctor Optical Dental Orthodontic Hospital Medicine Special Needs/Therapy Etc. EDUCATIONAL EXPENSES: Private School Parochial School College/Vocational Religious Education WEEKLY AMOUNT MONTHLY AMOUNT $15.00 $70.00 $20.00 $312.00 $130.00 $42.00 $6.00 $10.00 $16.00 $15.00 5 DESCRIPTION Books/Fees And Supplies Other Educational Expenses PERSONAL EXPENSES: Clothing Food Barber And Hair Dresser Memberships Other Personal Expenses CREDIT CARDS AND LOANS: No. Creditor 1. PSECU Visa MISCELLANEOUS EXPENSES: Household Help Child Care Newspapers/Magazines/Books Entertainment Pay TV Vacations Gifts Legal Fees Charitable Contributions Other Child Support Other Spousal Support TOTAL EXPENSES Balance 3500 ~E~Y ~O~T MONTHLY AMOUNT $100.00 $350.00 $5O.OO $40.00 $85.00 $25.00 $150.00 $65.00 $125.00 $75.00 $150.00 $2,835.83 6 TYPE Checking Savings Credit Union Stocks/bonds Real Estate Other PART I I I. PROPERTY OWNED PROPERTY OWNED DESCRIPTION PSECU Checking PSECU Savings Retirement Plans 9 Norfolk Court OWNERSHIP VALUE H W JT 1,500.00 x 80.00 x 65,000.00 x 250,000.00 x INSURANCE TYPE Hospital/Blue Cross Medical/Blue Shield Health Accident Disability Income Dental Vision Other-Specify PART IV. COMPANY PPO Blue PPO Blue Delta Dental NPA INSURANCE COVERAGE POLICY NO. H W C ZAR204585805 x x x ZAR204585805 x x x 204585805 x x x 204585805 x x x *H=Husband; W-Wife; J=Joint; C=Child 7 (c) (d) (e) (f) PART V. SUPPLEMENTAL INCOME STATEMENT [~] CHECK HERE IF NOT APPLICABLE This form is to be filled out by a person: (1) Who operates a business or practices a profession, (2) Who is a member of a partnership or joint venture, or (3) Who is a shareholder in and is salaried by a closed corporation or similar entity. or Attach to this statement a copy of the following documents relating to the partnership, joint venture, business, profession, corporation or similar entity (check block to indicate the document is attached): (1) The most recent Federal Income Tax Return. [ ] attached {2) The most recent Profit and Loss Statement. [ ] attached Name of Business: Business Address: Business Telephone: Nature of Business (check one) [ ] 1. Sole Proprietorship [ ] 2. Partnership [ ] 3. Joint Venture [ ] 4. Professional [ ] 5. Corporation [ ] 6. Other Name of accountant, controller or other person in charge of financial records: 2. 3. 4. 5. Annual income from business How often is income received: Gross income per pay period Net income per pay period Specify deductions, if any: 8 JAHES F. MULFORD, Plaintiff Vo LISA D. MULFORD, Defendant IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA NO. 01-2384 CIVIL TERM CIVIL ACTION - LAW DIVORCE MOTION FOR APPOINTMENT OF MASTER James F. Mulford, Plaintiff, moves the Court to appoint a Master with respect to the following claims: [ x ] Divorce [ x ] Distribution of Property [ ] Annulment [ ] Support [ x ] Alimony [ x ] Counsel Fees [ ] Alimony Pendente Lite [ x ] Costs and Expenses In support of the Motion the Plaintiff states: 1. Discovery is complete with respect to the claims for which the appointment of the Master is requested. 2. The Defendant [X] has [ ] has not appeared in the action [ ] personally [X] by her attorney, Samuel L. Andes, Esquire. 3. The statutory ground for the divorce is/are: Section 3301 (c) Consent No-Fault and Section 3301 (d)Non-Consent No-Fault. 4. Check the applicable paragraphs: [] [] IX] The action is not contested. An agreement has been reached with respect to the following claims: The action is contested with respect to the following claims: All Claims Date: The hearing is expected to take one (I) day. Additional information, if any, relevant to the motion: None AND NOW, claims: ORDER APPOINTING MASTER ,20~.3, E. Robert Elicker, II, Esquire, is appointed Master with respect to the following [ x ] Divorce [ ] Annulment [ x ] Alimony [ ] Alimony Pendente Lite [ x ] Distribution of Property [ ] Support [ x ] Counsel Fees [ x ] Costs and Expenses BY THUGE JAMES F. MULFORD, Plaintiff VS. LISA D. MULFORD, Defendant IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA CIVIL ACTION - LAW NO. 01-2384 CIVIL TERM iN DIVORCE DEFENDANT'S PETITION FOR ECONOMIC RELIEF AND NOW comes the above-named Defendant, by her attorney, Samuel L. Andes, and petitions the court for economic relief based upon the following: COUNT I -- ALIMONY 1. Defendant lacks sufficient property to provide for her reasonable needs in accordance with the standard of living of the parties established during the marriage. 2. Defendant is unable to support herself in accordance with the standard of living of the parties established during the marriage through appropriate employment. 3. The Plaintiff is employed and enjoys a substantial income from which he is able to contribute to the support and maintenance of the Defendant and pay her alimony in accordance with the Divorce Code of Pennsylvania. WHEREFORE, Defendant prays this Honorable Court to enter an Order awarding Defendant from Plaintiff permanent alimony in such sums as are reasonable and adequate to support and maintain Defendant in the station of life to which she has become accustomed during the marriage. COUNT II -- ALIMONY PENDENTE LITE 4. Defendant is without sufficient income to support and maintain herself during the pendency of this action. 5. Plaintiff enjoys a substantial income and is well able to contribute to the support and maintenance of Defendant during the course of this action. WHEREFORE, Defendant prays this Honorable Court to order Plaintiff to pay her reasonable alimony pendente life during the pendency of this action. COUNT III -- COUNSEL FEES AND EXPENSES Defendant is without sufficient funds fo retain counsel to represent her in this matter. 7. Without competent counsel, Defendant cannot adequately prosecute her claims against Plaintiff and cannot adequately litigate her rights in this matter. 8. Plaintiff enjoys a substantial income and is well able to bear the expense of Defendant's attorney and the expense of this litigation. WHEREFORE, Defendant prays this Honorable Court to order Plaintiff to pay the legal fees and expenses incurred by Defendant in this litigation of this action. Attorney for Defendant Supreme Court ID # 17225 525 North 12th Street Lemoyne, Pa 17043 (717) 761-5361 I verify that the statements made in this Complaint are true and correct. I understand that any false statements in this Complaint are subject to the penalties of 18 Pa. C.S. 4904 (unsworn falsification to authorities). Date: JAMES F. MULFORD, : IN THE COURT OF COMMON PLEAS OF Plaintiff : CUMBERLAND COUNTY, PENNSYLVANIA : vs. : NO. 01 2384 CIVIL : LISA D. MULFORD, : Defendant : IN DIVORCE TO: Diane G. Radcliff Samuel L. Andes Attorney for Plaintiff Attorney for Defendant DATE: Monday, June 2, 2003 I certify that discovery is complected, s to,the clair~s for which the Master has been appointed. ~~_ ~ /-7 OR IF DISCOVERY IS NOT COMPLETE: (a) Outline what information is required that is not complete in order to prepare the case for trial and indicate whether there are any outstanding interrogatories or discovery motions. (b) Provide approximate date when discovery will be complete and indicate what action is being taken to complete discovery. NOTE: COUNSEL ~OR PLAINTIFF PRETRIAL DIRECTIVES WILL NOT BE ISSUED FOR THE FILING OF PRETRIAL STATEMENTS UNTIL COUNSEL HAVE CERTIFIED THAT DISCOVERY IS COMPLETE, OR OTHERWISE AT THE MASTER'S DISCRETION. AFTER RECEIVING THIS DOCUMENT FROM BOTH COUNSEL OR A PARTY TO THE ACTION, IF NOT REPRESENTED BY COUNSEL, INDICATING THAT DISCOVERY IS NOT COMPLETE, THE DIRECTIVE FOR FILING OF PRETRIAL STATEMENTS WILL BE ISSUED AT THE MASTER'S DISCRETION. HOWEVER, IF BOTH COUNSEL, OR A PARTY NOT REPRESENTED, CERTIFY THAT DISCOVERY IS COMPLETE, A DIRECTIVE TO FILE PRETRIAL STATEMENTS WILL BE ISSUED IMMEDIATELY. THE CERTIFICATION DOCUMENT SHOULD BE RETURNED TO THE MASTER'S OFFICE WITHIN TWO (2) WEEKS OF THE DATE SHOWN ON THE DOCUMENT. co/~lete an~/indicate w~t action i/~being t~en fo complet~ discovery/ ~/ -- DATE COUNSEL FOR DEFENDA/~T ~) NOTE: PRETRIAL DIRECTIVES WILL NOT BE ISSUED FOR THE FILING OF PRETRIAL STATEMENTS UNTIL COUNSEL HAVE CERTIFIED THAT DISCOVERY IS COMPLETE, OR OTHERWISE AT THE MASTER'S DISCRETION. AFTER RECEIVING THIS DOCUMENT FROM BOTH COUNSEL OR A PARTY TO THE ACTION, IF NOT REPRESENTED BY COUNSEL, INDICATING THAT DISCOVERY IS NOT COMPLETE, THE DIRECTIVE FOR FILING OF PRETRIAL STATEMENTS WILL BE ISSUED AT THE MASTER'S DISCRETION. HOWEVER~ IF BOTH COUNSEL, OR A PARTY NOT REPRESENTED, CERTIFY THAT DISCOVERY IS COMPLETE, A DIRECTIVE TO FILE PRETRIAL STATEMENTS WILL BE ISSUED IMMEDIATELY. THE CERTIFICATION DOCUMENT SHOULD BE RETURNED TO THE MASTER'S OFFICE WITHIN TWO (2) WEEKS OF THE DATE SHOWN ON THE DOCUMENT. JAMES F. MULFORD, : IN THE COURT OF COMMON PLEAS OF Plaintiff : CUMBERLAND COUNTY, PENNSYLVANIA : vs. : NO. 01 - 2384 CIVIL LISA D. MULFORD, : Defendant : IN DIVORCE TO: Diane G. Radcliff Samuel L. Andes · Attorney for Plaintiff , Attorney for Defendant DATE: Monday, June 2, 2003 CERTIFICATION I certify that discovery is complete as to the claims for which the Master has been appointed. OR IF~COVERY IS N~f~COMPLETE: (a) Outl~~[/~~ui~~not co,9~~_repare the~e for ~ial /-'~~_ere are/~.y outstanding JAMES F. MULFORD, Plaintiff VS, LISA D. MULFORD, Defendant IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA CIVIL ACTION - LAW NO. 01-2384 CIVIL TERM IN DIVORCE DEFENDANT'S PRE-TRIAL STATEMENT Defendant, by her attorney, Samuel L. Andes, files this Pre-Trial Statement in accordance with Pa. R.C.P. 1920.33(b): 1. ASSETS. Attached hereto and marked as Schedule A is a list of the marital assets as known to Defendant/Wife. Attached as Schedule B is a list of the non-marital assets as known to Wife. 2. EXPERT WITNESSES. At the present time, neither party has consulted an expert witness or obtained reports from expert witnesses. Wife hopes that the parties will be able to agree upon values of all assets without the use of expert witnesses. If they cannot, however, she reserves the right to call the following expert witnesses at the hearing: A. A pension valuation expert to testify about the value of her account within the Public School Employees' Retirement System and the present value of the marital portion of that account. B. An appraiser of household furnishings and tangible personal property to establish the value of those assets if they are still in dispute. Defendant reserves the right to call such additional expert witnesses as may be necessary to respond to evidence offered by Plaintiff in his case in chief. 3. FACT WITNESSES. At the present time Defendant plans to call only herself as a fact witnesses. She reserves the right, however, to call such additional fact witnesses as she determines are necessary to respond to evidence offered by Plaintiff in his case in chief. 4. EXHIBITS. The exhibits which the Defendant expects to offer into evidence are typical of a case of this type and include the following: A. Income tax returns, paycheck stubs, and other information to verify the incomes of the parties. A list of the household and living expenses of herself and her Bo children. C. Statements and other documents to confirm the existence and present value of the marital portion of the investment and financial accounts held by the parties. D. Documents relating to Husband's stock options with his present employer, such as those which are attached to this pre-trial statement. E. Documents describing the benefits she earned during the marriage in the Public School Employees' Retirement System and, if necessary, a formal appraisal or valuation of those assets. Wife reserves the right to offer into evidence such additional exhibits as she deems necessary to respond to information submitted by Plaintiff in his case in chief. 5. INCOME STATEMENT. Wife is employed as a 4th grade classroom teacher by the Harrisburg City School District for which she is paid a gross salary of $1,878.69 every two weeks year-round. Attached hereto is a copy of a recent paycheck stub of hers reflecting her current income which shows that her net pay, calculated after adding back the voluntary contribution to her tax-deferred annuity, is $1,277.28 every two weeks, or $2,767.44 per month, net of taxes and mandatory deductions. Her only other income is the child and spousal support paid to her by Mr. Mulford, which is currently in the amount of $2,089.40 per month. Also attached to this pre-trial statement is a copy of her 2002 federal income tax return reflecting her income from all sources. 6. EXPENSE STATEMENT. Wife will provide a current expense statement shortly prior to the master's hearing, She recently moved from the family residence and the parties are in the process of modifying the spousal and child support payments and, at the present time, she does not know precisely what her living expenses will be at the time of the master's hearing. 7. PENSION INFORMATION. Both of the parties' pension benefits are in accounts which can be valued by looking at their balance at or near the time of the hearing. The one exception is Wife's account within the Public School Employees' Retirement System. If the parties are not able to agree upon the value of those benefits, they will have to be appraised and the report or testimony of the expert conducting that appraisal will have to be offered into evidence. 8. COUNSEL FEES. Wife has incurred substantial counsel fees to date in this matter and expects additional counsel fees will be incurred by the time the hearings are concluded. She will produce evidence of those fees at the time of the hearing if that is still necessary. 9. PERSONAL PROPERTY. Wife believes that the parties have previously divided their personal property but, from some of Husband's recent actions, it appears that he does not agree. If the parties are not able to resolve their differences over the value or distribution of the household furnishings, Wife proposes to have them appraised and have the testimony of an appraiser offered at the hearing. 10. MARITAL DEBTS. Other than the mortgage against the house and any other debts listed on Schedule A, Wife is not aware of any marital debts that existed at the time of separation with which the Master will have to deal. 11. PROPOSED RESOLUTION OF ECONOMIC ISSUES. Wife proposes that she retain her benefits within the Public School Employees' Retirement System and her tax- deferred annuity with Travelers and the other assets currently in her possession (the automobile and tangible personal property) and that Husband retain the remaining assets, except for the stock options he has with his employer. Wife proposes that the stock options be divided so that she receives 55 percent of the net proceeds of their exercise, and Husband receive 45 percent of them, when the options are exercised. She also proposes that Husband pay her alimony in the amount of 9650.00 per month for an indefinite term. Attorney for Defendant Supreme Court ID 17225 525 North 12th Street Lemoyne, PA 17043 (717) 761-5361 SCHEDULE A - MARITAL PROPERTY ASSET Proceeds of sale of residence at 9 Norfolk Court, Mechanicsburg, PA' Husband's 401(k) plan with Knowledgeplanet.com,lnc. (held with MFS Investment Mgmt Co.) Husband's IRA with Fidelity Investments Husband's IRA with Vanguard Group Husband's stock options with Knowledgeplanet.com, Inc. DATE OF MARITAL VALUE VALUATION PORTION LIENS $77,000.04 28 May 2003 100% None AMOUNT OF LIEN N/A $7,768.18 31 March 100% None N/A 20012 known $53,354.85 31 March 100% None N/A 20013 known $12,910.00 31 March 100% None N/A 20014 known Unknown5 31 March 100% None N/A 2001 known~ ~By agreement, the proceeds of the sale of the residence were divided between the parties so that Wife received 55 percent ($42,350.02) and Husband received 45 percent ($34,650.02) and the parties waived all further claims to the equitable distribution of these proceeds based upon that division. ~Husband has reported this asset to have a value of $6,420.40 as of 31 March 2003 and that value needs to be updated and confirmed. 3Husband reports this asset to have a value of $38,108.68 as of 31 March 2003, but that value needs to be updated and confirmed. ~Husband reports this asset to have a value of $9,147.44 as of 31 March 2003 but that value needs to be updated and confirmed. SHusband had 2,000 options vested as of September, 2000, and may have been given additional options since that date. The option price is $2.39 per share but, until the options are exercised in accordance with the option agreement, a copy of which is attached, it is not possible to determine the value of the options. ~These options will be subject to income tax when they are exercised. Wife's account within the Public School Employees' Retirement System Wife's tax-sheltered annuity with Travelers Life and Annuity Co. Joint investment account with Fidelity Investments Joint investment account with American Century Funds Household furnishings Wife's 1992 VW Jetta automobile Husband's 2001 Saturn automobile $70,000.00 September, 100% None (est'd only)? 2001 known $15,583.87 31 December 100% None 20028 known $3,195.17 December, 100% None 20009 known $2,261.76 31 December 100% Nohe 2001 To known Unknown~ February, 100% None 2001 None~2 July, 2003 100% None None18 July, 2003 100% Lease N/A N/A N/A N/A N/A N/A Unknown 7This benefit has not been appraised as yet. The above estimate is based upon the total contributions held in her account at the time of separation ($30,775.59 or less) plus the right to receive an annuity of $156.81 for life after that date. ~This value is based upon the full balance in the account on 31 December 2002 ($17,263.87) reduced by the contributions made after the date of separation and through the end of 2002. Wife acknowledges that this information will have to be updated at the time of the hearing. 9This is the last date for which Wife has statements for this account. ~°These funds were withdrawn from the account at about the time of separation and Wife believes that Husband received and retained those funds. ~These assets have not been appraised or otherwise valued and Wife believes that the parties have essentially divided them by agreement and conduct up to this time. ~2Neither party has placed any value upon this asset and Wife believes it has no market value~ ~3Wife places no value on this vehicle because she believes the balance owed on the lease is substantially the same as the market value of the vehicle. NOTE: At the time of separation the parties owned various other bank accounts which they previously divided. Wife claims one of those accounts is still subject to equitable distribution because it was the account used by the parties to set aside money to pay real estate taxes and insurance on the family home and Husband removed the funds from that account at or about the time of separation, without Wife's knowledge or consent, and she was then left to pay the real estate taxes and insurance as they became due. SCHEDULE _B - NON-MARITAL PROPERTY Each of the parties has, Wife believes, made contributions to their retirement accounts and retirement assets since separation, or had their employers make such contributions for their benefit. Wife believes all of these post-separation contributions to be non-marital property. Other than such contributions, however, she is not aware of any non-marital property held or claimed by either of the parties. KnowledgePlanet.com, Inc. INCENTIVE STOCK OPTION AGREEMENT THIS INCENTIVE STOCK OPTION AGREEMENT ("Agreement") is made and entered into as of~\,~ cb ~ %- , ~gq.~"h (the "Date of Grant") by and between James Mulford (the "Employee") and KnowledgePlanet.com, Inc., a Delaware corporation (the "Company"). ARTICLE A. GRANT OF INCENTIVE STOCK OPTION I. Grant of Stock Option. The Company hereby grants to the Employee an option (the "Option") to purchase shares of Class A Common Stock as specifically described on Exhibit "A" (collectively, the "Shares"), at the price set forth on Exhibit "A", and in all respects subject to the terms, definitions and provisions of the KnowledgePlanet.com, Inc. Performance Incentive Stock Plan (the "Plan") adopted by the Company, which is incorporated herein by reference. Unless otherwise defined herein, the terms defined in the Plan shall have the same defined meanings herein. 2. Nature of the Oi~tion. The Option is intended to qualify as an Incentive Stock Option as defined in Section 422 of the Code. 3. Exercise Price. The exercise price for each share of Class A Common Stock shall be as set forth on Exhibit "A', which price is not less than the fair market value per share of the Class A Common Stock on the Date of Grant. 4. Exercise of Ol>tion. The Option shall be exercisable on the dates set forth on Exhibit "A", subject to the following conditions: (a) The number of Shares shall not be pro-rated if the Option is exercised between the dates indicated; rather, each percentage shall remain constant until the next consecutive date of vesting as set forth on Exhibit "A". (b) The Option may not be exercised for a fraction of a Share. (c) In the event of the Employee's death, disability or other termination of employment, the exercisability of the Option is governed by Sections 7, 8 and 9 below. (d) In no event may the Option be exercised after the date of expiration offhe term of the Option as set forth in Section 5 below. (e) Method of Exercise. The Option shall be exercisable, in whole or in part, by the delivery of written notice to the Company which shall state the election to exercise the Option, the number of Shares in respect of which the Option is being exercised, and such other representations and agreements as to the holder's investment intent with respect to the Shares as HBG 224781 00P006~I~ : 'ON flNOHd m°o'laued~Gpalmou~ : WO~J rhay be r~quired' by the Company. Such written notice shall be signed by the Optionee and shall be delivered in person or by certified mail to the Secretary of the Company. The written notice shall be accompanied by payment of the exercise price and, if not previously delivered, a signed Stock Purchase A!greement. The Option shall be deemed to be exercised UpOll receipt by the Company of such written notice accompanied by the exercise price and the signed Stock Purchase Agreement. No Shares will be issued pursuant to the exercise of an Option unless such issuance and such exercise shall comply with all relevant provisions of law and the requirements of any stock exchange upon which the Shares may then be listed. Assuming such compliance, for income tax purposes the Shares shall be considered transferred to the Employee on the date on which the Option is exercised with respect to snch Shares. 5. Term of the Option. No portion of the Option may be exercised more than ten (10) years (five (5) years if the Employee owns, immediately before the Date of Grant, stock representing more than ten percent (t 0%) of the total combined voting power of all classes of stock of the Company or of any Parent or Subsidiary) from the Date of Grant of this Option, and may be exercised during such term only in accordance with the Plan and the terms of this Option. 6. Method of Payment. Payment of thc exercise price shall be by any of the following, or a combination thereof, at the election of the Employee: (a) cash; (b) check; (c) surrender of other shares of Class A Common Stock of the Company which (i) either have been owned by the Employee for more than six (6) months on the date of surrender or were not acquired, directly or indirectly, from the Company and (ii) have a fair market value on the date of surrender equal to the exercise price of the Shares as to which the Option is being exercised. 7. Termination of Status as an Emnloyee. In the event of the termination of the Employee's Continuous Status as an Employee, he may, but only within ninety (90) days from the date of such termination (but in no event later than the date of expiration of the term of this Option as set forth in Section 5 above), exercise this Option to the extent that he was entitled to exercise it at the date of such termination. To the extent that he was not entitled to exercise this Option at the date of such termination, or ii'he does not exercise this Option within the time specified herein, the Option shall terminate. 8. Disability of the Eml~lovee. Notwithstanding the provisions of Section 7 above, in the event of the termination of the Employee's Continuous Status as an Employee as a result of his total and permanent disability (as defined in Section 22(e)(3) of the Code), he may, but only within ninety (90) days from the date of termination of employment (but in no event later than the date of expiration of the term of this Option as set forth in Section 5 above), exercise this Option to the extent he was entitled to exercise it atthe date of such termination. To the l-IBG 224781 'ON ~NOMd m°a'~ued~6pa[m°u~ : WO~ extent that he was not entitled to exercise this Option at the date of termination, or if he does not exercise this Option within the time specified herein, the Option shall terminate. 9. Death of the Eml~loyee, Notwithstanding the provisions of Section 8 above, in the event of the death of the Employee who shall have been in Continuous Status as an Employee since the date of grant of this Option, the Option may be exercised, at any time within six (6) months following the date of death (but in no event later than the date of expiration of the term of this Option as set forth in Section 5 above) by the Employee's estate or by a person who acquired the fight to exercise the Option by bequest or inheritance, but only to the extent the fight to exercise had accrued at the date of death. 10. Restrictions on Transfer. (a) This Option may not be transferred in any manner other than by will or by thc laws of descent or distribution. The Option granted hereunder may be exercised during the lifetime of the Employee only by the Employee. The terms of this Option shall be binding upon the executors, administrators, heirs, successors and assigns of the Employee. (b) The Employee hereby agrees, upon the request of the Company or the underwriters managing the initial public offering of the Company's securities, not to sell, make any short sale of, loan, grant any option for the purchase of, or otherwise dispose of any shares of the Company's Class A Common Stock (other than those included in the registration) without the prior written consent of the Company or such underwriters, as the case may be, for such period of time (not to exceed 180 days) from the effective dat~ of such registration as the Company or underwriters may specify; provided that all officers mad directors of the Company at the time of such public offering agree to a similar restriction. 11. Early Disl)osition of Stock. ']['he Employee understands that if he disposes of any Shares received under this Option within two (2) years after the Date of Crrant or within one (1) year after such Shares were transferred to him, he will be treated for federal income tax purposes as having received ordinary income at the time of such disposition in an amount generally measured by the difference between the price paid for the Shares at the date of the exercise and the fair market value of the Shares at the date of disposition. The Employee hereby agrees to notify the Company in writing within 30 days after the date of any such disposition. ARTICLE B. RELEASE 12. Intentionally Left Blank. 13. Emnlovee Release. In consideration of the grant of the Option to the Employee as set forth in Article A. above, and other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged by the Employee, the Employee hereby remises, releases and forever discharges the Company, KnowledgeSoft.inc., l<hmwledgeSoft Holding Company, MindQ Publishing, Inc., Knowledge Universe interactive Studio, l_nc. and Knowledge Universe, Inc. (collectively, the "Former Employers"), their respective officers, directors and shareholders, and each of their respective heirs, personal representatives, successors and assigns HBG 22478 00~006LZIL : 'ON ~NOHd '(c~llectively, thc "Released Parties") of and from any and all actions, suits, proceedings, debts, damages, costs, claims, demands, causes of action and/or liabilities of any nature or description whatsoever in law or equity which he may have or may ever have had from the beginning of time to the present, known or unknown, real or imaginaw, actual or potential, by reason of any actions of any kind taken by any of thc Released Parties with respect to the Employee's ability or right to receive or other,vise acquire (in each case, in any manner whatsoever) an equity interest or stock appreciation right in the Company and/or any of the Former Employers, except for the Company's obligation to fulfill the terms and provisions of Article A. above. ARTICLE C. MISCELLANEOUS 14. Entire Agreement. This Agreement represents the entire agreement of the parties and may be amended only by a writing sig~ed by each of them. 15. Amendments; Exhibits. No amendment, change or modification ofa~y of the terms, provisions or conditions of this Agreement shall be effective unless made in writing and signed by the patties hereto or by their duly authorized representatives, except that Exhibit "A" may be amended and replaced in its entirety by the Company, from time to time, provided that the Employee and thc Company must initialize the replacement exhibit in order for the any new Exhibit "A" to be binding against the Employee and the Company. 16. Governing Law. This Agreement shall be governed by and construed in accordance with the laws of the State of Delaware. ' t7. A~reement Binding. The obligations of the Employee under this Agreement shall continue after the termination of his employment with the Company for any reason, with or without cause, and shall be binding on his heirs, executors, legal representative and assigns and shall inure to the benefit of any snecessors and assiga~s of the Company. 18. Counternarts, Section Headings. This Agreement may be executed in any number of counterparts, each of which shall be deemed to be an original, but all of which together shall constitute one and the same instrument. The section headings of this Agreement are for convenience of reference only and shall not affect the construction or interpretation of any of the provisions hereof. 19. Reference* to Gend*r. AJ,thnngh, for the sake of convenience, all references in this Agreement to the gender of the Employee are to the masculine gender, the parties acknowledge and agree that all such references shall include the feminine gender. 20. Investment Reoresentatlon of Ootionee. The Employee understands that the Company's obligation to issue shares of Class A Common stock under the Plan is subject to (i) the effectiveness of the registration statement under the Securities Act of 1933, as amended, if deemed necessary or appropriate by counsel for the Company, and (ii) any other applicable laws, regulations, rules and orders which may then be in effect. HIgG 224781 00P006~ : 'ON BNOHd 21. Interl~retation of Plan and A~reement. This Agreement is the written option agreement ref¢~ed to in Section S(b) of the Plan. If there is any conflict between the Plan and this Agreement, the provisions of the Plan shall control. Any dispute or disagreement which shall arise under or in any way relate to the interpretation or construction of the Plan or this Agreement shall be resolved by the CorrLmittee and the decision of the Committee shall be final, binding and conclusive for all purposes, THE EMPLOYEE ACKNOWLEDGES AND AGREES THAT THE EXERCISABILITY OF OPTIONS PURSUANT TO ARTICLE A. HEREOF IS EARNED ONLY BY CONTINUING EMPLOYMENT AT THE WILL OF THE COMPANY (NOT THROUGH THE ACT OF BEING HIRED, BEING GRANTED THIS OPTION OR ACQUIRING SHARES HEREUNDER). THE EMPLOYEE FURTHER ACKNOWLEDGES AND AGREES THAT NOTHING 1N THIS AGREEMENT, NOR IN THE COMPANY'S PERFORMANCE INCENTIVE STOCK PLAN WHICH IS INCORPORATED HEREIN BY REFERENCE, SHALL CONFER UPON TBE EMPLOYEE ANY RIG}IT WITH RESPECT TO CONTINUATION OF EMPLOYMENT BY THE COMPANY, NOR SHALL IT INTERFERE IN ANY WAY WITH HIS RIGHT ORTHE COMPANY'S RIGHT TO TERMINATE HIS EMPLOYMENT AT ANY TIME WITH OR WITHOUT CAUSE. The Employee acknowledges receipt ora copy of the Plan and certain information related thereto and represents that he is familiar with the terms and provisions thereof, and hereby accepts this Option subject to all of the terms and provisions theyeof. The Employee has reviewed the Plan and this Agreement in their entirety, has had an opportunity to obtain the advice of counsel prior to execadug this A~rccrnont and f~lly ~ler¢~,~d~ all pravi~innR of the Agreement, which provisions the Employee acknowledges and agrees are reasonable and enforceable to protect the Company's interests. The Employee hereby agrees to accept as binding, conclusive and final alt decisions or interpretations of the Committee upon any questions arising under the Plan. The Employee further agrees to notify the Company upon any change in the residence address indicated below. HBG 224781 9d 14dSS:In I00~ 00P006l~ : 'ON BNOHd IN WITNESS WHEREOF, the parties hereto have executed this Agreement or caused this Agreement to be executed as of the day and year first above written. Witness: Attest: KnowledgePlanet.com~ Inc. Name: Title: HBG 22478 I Lei !.qdA~:I0 ~00E )-I -.ad~ 00¢006~LIL : 'ON BNOHd EXHIBIT A Employee Name: James Mulford Date of Hire: 2/14/00 Original Grant Date 2/14/00 Original Grant Amt 2,000 Original G. Grant Total Grant 2,000 Vested as of 12131199 Quarler Beginning 1/1/00 0 4/1/00 0 7/1/00 0 10/1/00 0 1/1/01 500 4/1/01 625 7/1/01 750 10/1/01 875 1/1/02 1,000 4/1t02 1,125 7/1/02 1,250 10/1/02 1,375 1/1/03 1,500 411/03 1,625 7/1103 1,750 10/1/03 1,875 1/1/04 2,000 0 TOTAL 2,000 0 0 0 0 0 500 625 75O 875 1,000 1,125 1,250 1,375 1,500 1,625 1,750 1,875 2,000 Total Grant 2,000 Exercise Price $2.39 Total purchase Price $4,780.00 ACKNOWLEDGEMENT: Employee: Date: ~/- ¢/,.~ o Date: 2,000 $ 2.39 ..$4,780.00 I 8d Nd2-~:IO I00~ LI 'Jdu 00P006~I~ : 'ON 3NOHd m°o'$auesaGpalm°uM : WO~d 05/23/03 LISA D MULFORD ** NON-NEGOTIABLE ** THE SCHOOL DISTRICT OF THE CITY OF HARRISBURG, PA MULFORD, LISA D STATEMENT OF EARNINGS AND DEDUCTIONS-PLEASE DETACH AND KEEP FOR YOUR RECORDS Earntngs Deductio~ ~ D~du~t REG SALARY 75.00 1,878.69 FICA 116.48 1,281.28 116.48 20,665.59 MEDICARE 27.24 299.64 27 . 24 FED TAX 209.37 2,309.07 .00 STATE TAX 52.60 578.60 00 LOCAL TAX 31.94 351.34 .00 1,878.69 UC TAX .38 4.18 67.63 RET D T-D 140.90 1,549.90 21.60 HEA DUES 22.50 247.50 .00 TSA TRAV' L 40.00 400.00 .00 1,237.28 DENTAL F .00 .00 25.00 PRESC F .00 .00 106.50 VISION F .00 .00 4.75 75.00 1,878.69 LIFE INS .00 .00 3.38 PPO FAMILY .00 .00 359.98 05/09/03 SICK 54.50 7.00 P/E PAY 2. 00 2. 00 05/23/03 641.41 7,021.51 732.56 V1102351 HO40 Label (see page 21) Use the IRS label Otherwise, please print or type. U.S. Individual Income Tax Return ZUI,/Z, For the'year ~an~ 1-Dec. 31, 2002, or other tax year beclinninq Your first name M.I. Last name Mulford Lisa D Last name If a joint return, spouse's first name M.I. Home address (number and street). If you have a P. O. box, see page 21. 9 Norfolk Court City, town or post office State Mechanicsburg PA (991 , ending CLIENT COpy , I OMB No. 1545-0074 Suffix Your social security no. 204-58-5805 Suffix Spouse's social security no. 163-52-5189 IMPORTANT! You MUST enter your SSN(s) above. IApt. no. ZIP code 17055 Status 3 [] Check only I~' Presidential Election Campaign Filing t [] Single 2 J-~ Married filing jointly (even if only one had income) Married filing separately. Enter spouse's SSN above and full name here. James Mulford First name: Last name; Sa Exemptions b C If more than five dependents, see page 22. d Income 7 8a Attach b Forms and W-2G here. 9 Aisc attach Form(s) t 0 was withheld. 1 12 If you did not get a 13 W-2, see page 2,0 t 4 15a 16a 17 18 Enclose, but do 19 not attach, any 20a payment Also, 21 please use Form Adjusted Gross Income For Disclosure, Privacy Act, and Paperwork Reduction Act Notice, see page 76. 22 23 Educator expenses (see page 29) ............. 23 24 IRA deduction (see page 29) ............... 24 25 Student loan interest deduction (see page 31) ........ 25 26 Tuition and fees deduction (see page 32) .......... 26 27 Archer MSA deduction. Attach Form 8853 ......... 27 28 Moving expenses. Attach Form 3903 ........... 28 29 One-half of self-employment tax. Attach Schedule SE ..... 29 30 Self-employed health insurance deduction (see page 33) . . . 30 31 Self-employed SEP, SIMPLE, and qualified plans ...... 31 32 Penalty on early withdrawal of savings ........... 32 33a Alimony paid b RecJpient's SSN I~- 33a 34 35 Add lines 23 through 33a ........................... 34 0 Subtract line 34 from ~ine 22. This is your ADJUSTED GROSS INCOME ...... I~ 35 51,522 (HTA) Form 1040 (2002) NOTE. Checking "Yes" will not change your tax or reduce your refund. You Spouse Do you, or your spouse if filing a joint return, want $3 to go to this fund? . . ~'F--]Yes J~]No E~Yes [----~No 4 [] Head of household (with qualifying person). (See page 21 .) If the qualifying person is a child but not your dependent, enter this child's name here. Name SSN: 5 [~]Qualifying widow(er) with dependent child (year spouse died ~' ). (See page 21.) []Yourself. If your parent (or someone else) can claim you as a dependent No. of boxes checked on his or her tax return, DO NOT check box 6a .......... ~, on 6a and 6b t E~] Spouse ............................... No. of children J Dependents: (2) Dependent's (3) Dependent's (4) V~f quip on 6C who: social security number relationship ifying child for · lived with you 2 (1) First name Last name to you child tax credit · did not live with you due Kevin J Mulford 195-72-7983 Son Michael L Mulford 202-74-9954 Son ~. Dependents on 6c ~-, not entered above 0 '££ Add numbers on J ,, J Total number of exemptions claimed ..................... lines above lb' Wages, salaries, tips, etc. Attach Form(s) W-2 ................... 7 43,052 TAXABLE interesL Attach Schedule B if required ................. 8a 212 TAX-EXEMPT interest. DO NOT include on line 8a ...... I 8b Ordinary dividends. Attach Schedule B if required ................ 9 0 Taxable refunds, credits, or offsets of state and local income taxes (see page 24) .... 10 13 Alimony received ............................. 11 8,245 Business income or (loss). Attach Schedule C or C-EZ .............. '12 0 Capital gain or (loss). Attach Sch. D if required. If not required, check here I~' [] 13 0 Other gains or (losses). Attach Form 4797 ................... 14 0 IRA distribufions ....... JlsaJ °0 Jb Taxable amount .... 15b 0 Pensions and annuities .... J 16a b Taxable amount .... 16b 0 Rental rea~ estate, royalties, partnerships, S corporations, trusts, etc. Attach Schedule E ..... 17 0 Farm income or (loss). Attach Schedule F ................... 18 0 Unemployment compensation ...................... 19 0 Social security benefits .... 120al 01 I b Taxable amount .... 20b 0 Other income. List type and amount (see page 29) ................................................................... $. ................ 2t o Add the amounts in the far right column for lines 7 through 21. This is your TOTAL INCOME . . . I~ 22 51,522 Eorm t 040 Tax and 36, Credits 37a Standard Deduction for- b · People who 38 checked any box -- 39 on IJr3e 37a or 37b OR who can 40 be claimed as a dependent, see page 34 41 42 · All others: Sing[e, $4 ,TO0 43 44 Head of 45 household, $5,900 46 47 Married filing joinlly or 48 Qualifying 49 widow(er), 50 $7,85g 51 Married filing 52 separately, $3,925 53 54 55 56 Other 57 Taxes 58 59 60 61 Payments 62 63 if you have a 64 qualifying child, r-~ e attach j v5 Schedule EIC. [66 67 68 69 Refund 70 71a Direct deposit? and 71d 72 Amount You Owe Third Party Designee Sign Here Joint retum? See page 21. Keep a copy for y our records Paid Preparer'$ Use Only Lisa D Mulford 204-58-5805 A~ouot from line 35 (adjusted gross income) . . ' ................. Checkif: ~-'"-]YOUwere65orolder, []Blind; ~]SPOUSEwas65orolder, ~]Blind. I Add the number of boxes checked above and enter the total here ..... · 37a ~ If you are married filing separately and your spouse itemizes deductions, or you were a dual-status alien, see page 34 and check here ........... · 37b LJ ITEMIZED DEDUCTIONS (from Schedule A) OR your STANDARD DEDUCTION (see left margin) . 38 Subtract line 38 from line 36 .......................... 39 If line 36 is $103,000 or less, multiply $3,000 by the total number of exemptions claimed on line 6d. If line 38 is over $103,000, see the worksheet on page 35 ........... 40 TAXABLE INCOME. Subtract line 40 from line 39. If line 40 is more than line 39 enter *0- . ..... 41 TAX (see pg 36). Check if any tax is from: a b--~ Form(s) 8814 b ~J Form 4972 ..... 42 ALTERNATIVE MINIMUM TAX (see page 37). Attach Form 6251 ........... 43 Add lines 42 and 43 ............................ · 44 Foreign tax credit. Attach Form 1116 if required ........ 45 0 Credit for child and dependent care expenses. Attach Form 2441 .... 46 583 Credit for the elderly or the disabled. Attach Schedule R ..... 47 0 Education credits. Attach Form 8863 ............ 48 0 Retirement savings contributions credit. Attach Form 8880 .... 49 0 Child tax credit (see page 39) ............... 50 1,200 Adoption credit. Attach Form 8839 ............. 51 0 Credits from: a L~Form8396 bL~Form8859 . . . 52 0 Other credits. Check applicable box(es): a [] Form 3800 b [] Form 8801 c [] Specify 53 0 Add lines 45 through 53. These are your TOTAL CREDITS .............. 54 Subtract line 54 from line 44. If line 54 is more than line 44, enter -0- . ........ · 55 Self-employment tax. Attach Schedule SE .................... 56 Social security and Medicare tax on tip income not reposed to employer. Attach Form 4137 ..... 57 Tax on qualit~ed plans, including IRAs, and other tax-favored accounts. Attach Form 5329 if required ...... 58 Advance earned income credit payments from Form(s) W-2 .............. 59 Household employment taxes. Attach Schedule H ................. 60 Add lines 55 through 60. This is your TOTAL TAX ............... · 61 Federal income tax withheld from Forms W~2 and 1099 ..... 62 5,280 2002 estimated tax payments and amount applied from 2001 return .... 63 0 Earned income credit (EJC) ................ 64 0 Excess social security and tier 1 RRTA tax withheld (see page 56) .... 65 0 Additional child tax credit. Attach Form 8812 ......... 66 0 Amount paid with request for extension to file (see page 56) . . . 67 0 Other payments from: a [] Form 2439 b J~-Form 4136 c L~Form 8885 .................... 68 0 Paw 2 51,522 15,388 36,134 9,000 27,134 4,222 170 4,392 1,783 2,609 0 0 0 0 0 2,609 Preparer's ~k Date Check Jf Preparer's SSN or PTIN signaturer 3/28/2003 se f-amp oyed r~ 077_30_4286 Firm's name (or · John C. Legler EIN yours if self-employed),~ 204 E. SpringvJlle Rd Phone no. 717-258-3008 address, and ZIP code Boiling Springs State PA ZIP code 17007 Form '~ 040 (2002) Add lines 62 through 68. These are your TOTAL PAYMENTS ........... · 69 5,280 If line 69 is more than line 61, subtract line 61 from line 69. This is the amount you OVERPAID ..... 70 2,671 Amount of line 70 you want REFUNDED TO YOU ................ · 7'la 2,671 Routing number I I· c Type: []Checking []Savings Account number I Amount of line 70 you want APPLIED TO YOUR 2003 ESTIMATED TAX . 73 AMOUNT YOU OWE. Subtract line 69 from line 61. Fordetailsonhowtopa~/,seep~age57 . ~ . , · 73 0 74 Est mated tax penalty (see page 57) .......... / 74 J 0'1 Do you want to allow another person to discuss this return with the iRS (see page 58)? [] YES Complete the fallowing [] NO Designee's Phone Personal identification name · no. · number (PIN) · Under penalties of perjuW, I declare that I have examined this return and accompanying schedules and statements, and to the best of my knowledge and belief they are true, correct and complete Declaration 0f preparer (other than taxpayer) is based on all information of which preparer has any knowledge Yoursignature IDateIYou, oonupation IDaytima phone no. · I Teache, r ~F Spouse's signature. If a joint return, BOTH must s gn. [Date Spouse s occupet on tHorne phone no. SCHEDULE A (Form t040) Department of the Treasury Internal Revenue Service (99) Name(s) shown on Form 1040 Lisa D Mulford Medical and Dental Expenses Taxes You Paid (See page A*2.) Interest You Paid (See page A-3.) Note. Personal interest is not deductible. Gifts to Charity If you made a gift and got a benefit for it, see page A-4. Casualty and Theft Losses Job Expenses and Most Other Miscellaneous Deductions (See page A-5 for expenses to deduct here.) Other Miscellaneous Deductions Total Itemized Deductions Schedule A - Itemized Deductions Attach to Form 1040. See Instructions for Schedule A (Form 1040). OMB Nb. 1~45-0074 2002 Attachment Sequence No. 07 Your social security number 204-58-5805 CAUTION. Do not include expenses reimbursed or paid by others. I Medical and dental expenses (see page A-2) I 0 2 Enter amount from Form 1040, line 36. 3 Multiply line 2 by 7.5% (.075) ............... 3 3,864 4 Subtract line 3 from line 1. If line 3 is more than line 1, enter-O- . .......... 4 5 State and local income taxes ............... 5 1,954 6 Real estate taxes (see page A-2) .............. 6 3,289 7 Personal property taxes ................. 7 8 Other taxes. List type and amount $ See Attached Worksheet $ 30 8 30 9 Add lines 5 throuqh 8 ............................ '10 Home mortgage interest and points reported to you on Form 1098 .... 10 9,995 '11 Home mortgage interest not reported to you on Form 1098. If paid to the person from whom you bought the home, see page A-3 and show that person's name, identifying no., and address Name Address TI N 1 '1 ~J2 Points not reported to you on Form 1098. See page A-3 for special rules ..................... 12 0 13 Investment interest. Attach Form 4952 if required. (See page A-3.) ....................... 13 0 14 Add lines 10 through 13 ........................... 14 15 Gifts by cash or check. If you made any gift of $250 or more, see page A-4 ................... 15 120 16 Other than by cash or check. If any gift of $250 or more, see page A-4. You MUST attach Form 8283 if over $500 .... 16 0 17 Carryover from prior year ................. 17 0 18 Add lines 15 through 17 ........................... 18 For Paperwork Reduction Act Notice, see Form 1040 Instructions. 5,273 9,995 120 19 Casualty or theft loss(es). Attach Form 4684. (See page A-5.) ............ 19 0 20 Unreimbursed employee expenses -job travel, union dues, job education, etc. You MUST attach Form 2106 or 2106-EZ if required. (See page A-5.) $ $ 0 20 0 2'1 Tax preparation fees ................... 21 22 Other expenses - investment, safe deposit box, etc. List type and amount $ $ $ 0 22 0 23 Add lines 20 through 22 ................. 23 0 24 Enter amount from Form 1040, line 36 . .[ 24 J 51,522J 25 Multiply line 24 by 2% (.02) ................ 25 1,030 26 Subtract line 25 from line 23. If line 25 is more than line 23, enter -0- . ......... 26 0 27 Other - from list on page A-6. List type and amount $ $ 0 27 0 28 Is Form 1040, line 36, over $137,300 (over $68,650 if married filing separately)? [] No. Your deduction is not limited. Add the amounts in the far right column for lines 4 through 27. Also, enter this amount on Form 1040, line 38 ....... 28 15.388 ~]Yes. Your deduction may be limited. See page A-6 for the amount to enter. (HTA) Schedule A (Form '1040) 2002 2441 Child and Dependen,tCare Expenses omccc. 54 -ooo8 Form ,. 2002 Department o~ the T(easu~y Internal Revenue Service (99) Name(s) shown on Form 1040 Lisa D Mulford Attach to Form 1040. See separate instructions. Attachment Sequence No. 2~ Your social securi~ number 204-58-5805 Before you begin: You need to understand the following terms. See DEFINITIONS on page 1 of the instructions, * Dependent Care Benefits * Qualifying Person(s) * Qualified Expenses * Earned Income Part I Persons or Organizations Who Provided the Care - You MUST complete this part, (If you need more space, use the bottom of page 2.) 1 (a) Care provide~'a (b) Address (c) Identifying number name (number, street, apt, no., city, state, end ZIP code) (SSN or EIN) 841 w. Trindle Rd Mechanicsburg Learning Cente Mechanicsbur9 PA 17055 23-1982624 (d) Amount paid (see instructions) 2,916 Did you receive dependent care benefits? No Yes Complete only Part II below. Complete Part III on the back next. Caution. If the care was provided in your home, you may owe employment taxes. See the instructions for Form 1040, line 60. Part II Credit for Child and Dependent Care Expenses 2 Information about ,/our QUALIFYING PERSON(S). If you have more than two qualifying persons, see the instructions. (a) Qualifying person's name (b) Qualifying person's social security number First Last Kevin J Mulford 195-72-7983 Michael L Mulford 202-74-9954 3 Add the amounts in column (c) of line 2. DO NOT enter more than $2,400 for one ~ qualifying person or $4,800 for two or more persons. If you completed Part III, enter the amount from line 26 ............................ 3 4 Enter your EARNED INCOME .......................... 4 5 If married filing a joint return, enter your spouse's earned income (if your spouse was a student or was disabled, see the instructions); ALL OTHERS, enter the amount from line 4 . . 5 6 Enter the SMALLEST of line 3, 4, or 5 ....................... 6 7 Enter the amount from Form 1040, line 36 ....... J 7 51,5221 8 Enter on line 8 the decimal amount shown below that applies to the amount on line 7 If line 7 is: If line 7 Is: But not Decimal But not Decimal Over over amount is Over over amount is $0 -10,000 .30 $20,000 -22,000 .24 10,000 -12,000 .29 22,000 -24,000 .23 12,000 -14,000 .28 24,000 ~ 28,000 .22 14,000 -16,000 .27 26,000 -28,000 .21 16,000 -18,000 .26 28,000 -Nolimit .20 18,000 -20,000 .25 9 Multiply line 6 by the decimal amount on line 8. If you paid 2001 expenses in 2002, see the instructions (c) Qualified expenses you incurred and paid in 2002 for the person listed in column (a) 1,067 1,849 2,916 43,052 43,052 2,916 0.20 583 10 Enter the amount from Form 1040, line 44, minus any amount on Form 1040, line 45 f 0 11 CREDIT FOR CHILD AND DEPENDENT CARE EXPENSES, Enter the SMALLER of line 9 or line 10 here and on Form 1040, line 46 ................... 11 For Paperwork Reduction Act Notice, see page 3 of the instructions. (HTA) 4,392 583 Form 2441 (2002) Form 6251 Department of the Treasury Internal Revenue Service (99) Name(s) shown on Form 1040 Lisa D Mulford Part I I Alternative Minimum Taxable Income Alternative Minimum .Tax - Individuals See separate instructions. Attach to Form 1040 or Form 1040NR, For Paperwork Reduction Act Notice, see page 8 of the instructions. OMa No. 1545-0227 2002 Attachment Sequence No. 32 Your social securi~ number 204-58-5805 (See instructions for how to complete each line.) 1 If filing Schedule A (Form 1040), enter the amount from Form 1040, line 39, and go to line 2. Otherwise, enter the amount from Form 1040, line 36, and go to line 7. (If zero or less, enter as a negative amount.) , . 2 Medical and dental. Enter the SMALLER of Schedule A (Form 1040), line 4, OR 2 1/2% of Form 1040, line 36 . 2 3 Taxes from Schedule A (Form 1040), line 9 ....................... 3 4 Certain interest on a home mortgage NOT used to buy, build, or improve your home ...... 4 5 Miscellaneous deductions from Schedule A (Form 1040), line 26 .............. 6 If Form '1040, line 36, is over $137,300 (over $68,650 if married filing separately), enter the amount from line 9 of the worksheet for Schedule A (Form 1040), line 28 ........... 6 7 Tax refund from Form 1040, line 10 or line 21 ..................... 7 8 Investment interest expense (difference between regular tax and AMT) ............ 8 9 Depletion (difference between regular tax and AMT) ................... 9 '10 Net operating loss deduction from Form 1040, line 21. Enter as a positive amount ....... 10 11 Interest from specified private activity bonds exempt from the regular tax ........... 11 f2 Qualified small business stock (42% of gain excluded under section 1202) .......... 12 '13 Exercise of incentive stock options (excess of AMT income over regular tax income) ...... '13 '14 Estates and trusts (amount from Schedule K-1 (Form 1041), line 9) ............. 14 '15 Electing large partnerships (amount from Schedule K-1 (Form 1065-B), box 6) ......... 15 '16 Disposition of property (difference between AMT and regular tax gain or loss) ......... '16 '17 Depreciation on assets placed in service after t986 (difference between regular tax and AMT) . . . 17 '18 Passive activities (difference between AMT and regular tax income or loss) .......... 18 '19 Loss limitations (difference between AMT and regular tax income or loss) ........... 19 20 Circulation costs (difference between regular tax and AMT) ................ 20 2'1 Long-term contracts (difference between AMT and regular tax income) ............ 21 22 Mining costs (difference between regular tax and AMT) .................. 22 23 Research and experimental costs (difference between regular tax and AMT) .......... 23 24 Income from certain installment sales before January 1, 1987 ............... 24 25 Intangible drilling costs preference .......................... 25 26 Other adjustments, including income-based related adjustments .............. 26 27 Alternative tax net operating loss deduction ....................... 27 28 ALTERNATIVE MINIMUM TAXABLE INCOME. Combine lines 1 through 27. (If married filing se~aarately and line 28 is more than $173,000, see page 7 of the instructions.) ......... 28 Part II ~ Alternative Minimum Tax 29 Exemption. (If this form is for a child under age 14, see page 7 of the instructions.) AND line 28 is THEN enter on IF your filing status is... not over.., line 29... Single or head of household .......... $112,500 ..... $35,750 Married filing jointly or qualifying widow(er) .... 150,000 ..... 49,000 ~... 29 Married filing separately ............ 75,000 ..... 24,500 If line 28 is OVER the amount shown above for your filing status, see page 7 of the instructions, 30 Subtract line 29 from line 28. If zero or less, enter -0- here and on lines 33 and 35 and stop here ....... 30 31 If you reported capital gain distributions directly on Form 1040, line 13, OR you had a gain on both lines 16 and 17 of Schedule D (Form 1040) (as refigured for the AMT, if necessary), complete Part III on the back and enter the amount from line 57 here ..... .j~ 31 ALL OTHERS: If line 30 is $175,000 or less ($87,500 or less if married filing separately), multiply line 30 by 26% (.26). Otherwise, multiply line 30 by 28% (.28) and subtract $3,500 ($1,750 if married filing separately) from the result. 32 Alternative minimum tax foreign tax credit (see page 7 of the instructions) ........... 32 33 Tentative minimum tax. Subtract ~Jne 32 from line 31 ................... 33 34 Tax from Form 1040, line 42 (minus any tax from Form 4972 and any foreign tax credit from Form 1040, line 45) ................................ 34 35 ALTERNATIVE MINIMUM TAX. Subtract line 34 from line 33. If zero or less, enter -0-. Enter here and on Form 1040, line 43 ........................... 35 (HTA) 36,134 0 5,273 0 13 0 0 0 0 0 0 0 0 41,394 24,500 16,894 4,392 4,392 4,222 170 Form 6251 (2002) JAMES F. MULFORD, Plaintiff V LISA D. MULFORD, Divorce : IN THE COURT OF COMMON PLEAS OF : CUMBERLAND COUNTY, PENNSYLVANIA : NO. 01-2384 CIVIL TERM : CIVIL ACTION - LAW : DIVORCE INVENTORY OF JAMES F. MULFORD Plaintiff files the following inventory of all property owned or possessed by either party at the time this action was commenced and all property transferred within the preceding three years. Plaintiff verifies that the statements made in this inventory are true and correct. Plaintiff understands that false statements herein are made subject to the penalties of 18 Pa.C.S. Section 4904 relating to unsworn falsification to authorities. ~ES F.~~~D, Plaintiff Dated: ~//~_~ ~ ~ Phone: (7~7) 737-0~00 Fax: (717) 975-0697 Supreme2oyrt I~ #32112 Page 1 ASSETS AND LIABILITIES OF PARTIES Plaintiff marks on the list below those items applicable to the case at bar and itemizes the assets and debts on the following pages: (x) (x) (x) () (x) (x) (x) (x) () () () () () (x) () (x) 1. Real property and Real Estate Mortgages 2. Motor vehicles and Vehicle Liens 3. Stocks, bonds, securities and options 4. Certificates of Deposit 5. Checking accounts, cash 6. Savings accounts, money market and savings certificates 7. Contents of safe deposit boxes 8. Trusts 9. Life Insurance policies (indicate face value, cash surrender value and current beneficiaries) 10. Annuities 11. Gifts 12. Inheritances 13. Patents, copyrights, inventions, royalties 14. Personal property outside the home 15. Business (list all owners, including percentage of ownership, and officer/director positions held by a party with company) 16. Employment termination benefits - severance pay, worker's compensation claim/award 17. Profit sharing plans 18. Pension Plans (indicate employee contribution and date plan vests) 19. Retirement plans, Individual Retirement Accounts 20. Disability payments 21. Litigation claims (matured and unmatured) 22. MilitaryN.A. benefits 23. Education benefits 24. Debts due, including loans, mortgages held 25. Household furnishings and personalty (include as a total category and attach itemized list if distribution is in dispute) 26. Other assets 27. Loans, Credit Cards and Other Debts Page 2 SECTION I MARITAL ASSETS AND DEBTS THE FOLLOWING IS A LISTING OF THE MARITAL ASSETS AND DEBTS OF THE PARTIES: DESCRIPTION OF PROPERTY OR LIABILITY ITEM 1 9 Norfork Court, Mechanicsburg, PA Fair Market Value Waypoint Mortgage PSECU Home Equity Loan Net Equity Comments: DATE OF VALUE OF NET VALUE PROPOSED VALUE ASSET OR DISTRIBUTION LIABILITY TO HUSBAND PROPOSED DISTRIBUTION TO WIFE Sell ~ pay off upon sale pay off upon sale TBD Divide Equally J Divide Equally I Divide Equally Real Estate under contract for sale @ $255,000.00 2.6.01. Mtg. Balance @ 171,229.31 2.6.01. Home Equity Loan balance @ $4,588.30 ITEM 2 Wife's 1992 V.W. Jetta Vehicle Loan Net Value 0.00 0.00 0.00 Comments: Wife needs to complete Kelley Blue Book sheets for valuation. Wife needs to supply current payoff statement for her vehicle loan, if any. Page 3 DESCRIPTION OF DATE OF PROPERTY OR LIABILITY VALUE Husband's 2001 Saturn Loan Net Value Comments: VALUE OF NET VALUE PROPOSED PROPOSED ASSET OR DISTRIBUTION DISTRIBUTION LIABILITY TO HUSBAND TO WIFE 0.00 0.00 0.00 Husband leased this vehicle in February of 2001 for 39 months. There was a trade in of mini van for $1,000.00 which was applied towards this lease. ITEM 3 Knowledge Planet Stock Options Comments: TBD TBD TBD TBD 2.14.00 options for 2000 shares granted @$2.39/share or $4,780.00 total Currently these stock options have no value. N/A Comments: Divided Equally Divided Equally Divided Equally All accounts have previously been divided equally. Approximately $800.00 divided. ITEM 5 N/A Comments: Divided Divided Equally Equally Divided Equally All accounts have previously been divided equally. Approximately $1,600.00 divided. TBD Divided Equally Divided Equally Page 4 DESCRIPTION OF DATE OF VALUE OF NET VALUE PROPOSED PROPOSED PROPER OR.ABOUt' VALUE ASSETOR I I D ST.,BUT O. I D STR BUT O. LIABILITY J~ I TO HUSBAND [., TO WIFE ITEM 6 Wife's PSERS Retirement 2.22.02 70,637.51 70,637.51 70,637.51 Comments: BASED ON RETIREMENT ON 2.22.01 (***DOES NOT INCLUDE ACT 9 LEGISLATIVE CHANGES***) 1. Maximum Single Life Annuity: $279.90; Death Benefit of $30,775.59 or Contributions of $30,775.59 withdrawn+ $157.95/mo. 2. Option 1 - No contributions withdrawn: $277.89 per month; Death benefit of $70,637.51; 3. Option 1 - Contributions of $30,775.59 withdrawn: $156.81 per month Death benefit of $39,861.92 ITEM 7 Wife's 403b Retirement I 12.31.02 Comments: 15,899.39 I 15,899.39 15,899.39 See analysis at end of this Section. ITEM 8 Husband's KP 401K I 12.31.02 Comments: 6,531.65 I 6,531.65 6,531.65 I Vested Value as of 3.31.01 was $7,768.18. See analysis at end of this Section. ITEM 9 Husband's Fidelity IRA 1.31.03 Account 3147-539082 Comments: 3.31.01 statement value @ $53,354.85 1.31.03 statement value @ $39,076.05 39,076.05 39,076.05 39,076.05 There have been no contributions or withdrawals from this account since separation. Change in value is due solely to market conditions. Page 5 DESCRIPTION OF DATE OF PROPERTY OR LIABILITY VALUE ITEM 10 Husband's Vanguard IRA 1.31.03 Account #13796782 Comments: 3.1.01 statement value @ $13,973.64 1.31.03 statement value @ 9,225.88 ,J' VALUE OF ASSET OR LIABILITY NET VALUE PROPOSED DISTRIBUTION TO HUSBAND 9,225.88 9,225.88 9,225.88 PROPOSED DISTRIBUTION TO WIFE There have been no contributions or withdrawals from this account since separation. Change in value is due solely to market conditions ITEM 11 Husband's Vanguard IRA 1.31.03 349.20 349.20 349.20 Account 45V-744236 Comments: 3.1.01 statement value @ $1,151.64 ¢ 1.31.03 statement value @ 349.20 ¢ There have been no contributions or withdrawals from this account since separation. Change in value is due solely to market conditions ITEM 12 Husband's Household TBD TBD TBD TBD Goods Comments: Parties to provide listing and valuation of all household goods and contents. When completed parties will have to determine if appraisal of these goods should be performed ITEM 13 Comments: Parties to provide listing and valuation of all household goods and contents. When completed parties will have to determine if appraisal of these goods should be ~erformed Page 6 I I UAB~U~' I TO HUSB^ND I TO ITEM 14 N/A Divided Equally Comments: All debts and liabilities have previously been divided. TOTALS TOTAL OF ASSETS AND LIABILITIES PERCENTAGE OF DISTRI:B~[e'N Totals from above ADJUSTMENT FOR 50~50 DIVISION Totals from above Amount Due in 50/50 Division Adjustment Figure ADJUSTMENT FOR 45/55 DIVISION Totals from above Amount Due in 45/55 Division Adjustment Figure ADJUSTMENT FOR 40/60 DIVISION Totals from above Amount Due in 40/60 Division Adjustment Figure Divided Equally Divided Equally Divided Equally 14t,719.68 141,719.68 55,182.78 55,182.78 0.39 86,536.90 86,536.90 0.61 141,719.68 55,182.78 70,859.84 15,677.06 86,536.90 70,859.84 (15,677.06) 141,719.68 55,182.78 63,773.86 8,591.08 86,536.90 77,945.82 (8,591.08) 141,719.68 55,182.78 56,687.87 1,505.09 86,536.90 85,031.81 (1,505.09) Page 7 COMMENTS AND NOTES: A ANALYSIS OF WIFE'S TRAVELER'S LIFE ANNUITY 4 5 6 7 6 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 B B D E F DATE DESCRIPTION AMOUNT MARITAL NON- MARITAL 3.31.01 SEPARATION 23,595.99 23,595.99 0.00 BALANCE 6.30.01 CONTRIBUTION 240.00 0.00 6.30.01 INVESTMENT 1,902.15 1,883.00 6.30.01 EXPENSES (15.00) (14.85) G H SUBTOTAL SUBTOTAL MARITAL NON MARITAL SUBTOTAL ALL J MARITAL PERCENT NON- MARITAL PERCENT 23,595.99 0.00 23,595.99 1.00 0 240.00 23,595.99 240.00 23,835.99 0.98993 0.0101 19,15 25,478.99 259.15 25,738.14 0.98993 0.0101 (0.15) 25,464.14 259.00 25,723.14 0.98993 0.0101 9.30.01 CONTRIBUTION 240.00 0.00 240.00 9.30.01 INVESTMENT (5,769.97) (5,659.07) (110.90) 9.30.01 EXPENSES 0.00 0.00 0.00 25,464.14 499.00 25,963.14 0.98078 0~0192 19,805.07 388.10 20,193.17 0.98078 0.0192 19,805.07 388.10 20,193.17 0.98078 0.0192 19,805.07 708.10 20,513.17 0.96548 0.0345 23,026.29 823.28 23,849.57 0.96548 0.0345 23,011.81 822.76 23,834.57 0.96548 0.0345 23,011.81 982.76 23,994.57 0.95904 0~041 22,699.89 969.44 23,669.33 0.95904 0.041 22,699,89 969.44 23,669.33 0.95904 0.041 22,699.89 1,289.44 23,989.33 0.94625 0.0538 18,498.59 1,050.79 19,549.38 0.94625 0.0538 18,484.40 1,049.98 19,534.38 0.94625 0.0538 12.31.01 CONTRIBUTION 320.00 0.00 320.00 13.31.01 INVESTMENT 3,336.40 3,221.23 115.17 12.31.01 EXPENSES (15.00) (14.48) (0.52) 3.31.02 CONTRIBUTION 160.00 0.00 160.00 3.31.02 iNVESTMENT (325.24) (311.92) (13.32) 3.31.02 EXPENSES 0.00 0.00 0.00 6.30,02 CONTRIBUTION 320.00 0.00 320.00 6.30,02 INVESTMENT (4,439,95) (4,201.30) (238.65) 6.30.02 EXPENSES (15.00) (14.19) (0.81) 9.30.02 CONTRIBUTION 240.00 0.00 240.00 18,484.40 1,289.98 19,774.38 0.93477 0.0652 9.30.02 INVESTMENT (3,759.69) (3,514.43) (245.26) 14,969.97 1,044.72 16,014.69 0.93477 0.0652 Page 8 ANALYSIS OF WIFE'S TRAVELER'S LIFE ANNUITY A B C D E F DATE DESCRIPTION AMOUNT MARITAL NON- MARITAL G H 27 9.30.02 28 29 12.31.02 30 12.31.02 31 12.31.02 32 33 3.31.03 34 3.31.03 35 3.31.03 36 37 6.30.03 38 6.30.03 39 6.30.03 4O 41 SUBTOTAL SUBTOTAL MARITAL NON MARITAL I SUBTOTAL ALL J MARITAL PERCENT K NON- MARITAL PERCENT EXPENSES 0.00 0.00 0.00 14,969.97 1,044.72 16,014.69 0.93477 0.0652 CONTRIBUTION 240.00 0.00 240.00 14,969.97 1,284.72 16,254.69 0.92096 0.079 INVESTMENT 1,024.16 943.23 80.95 15,913.20 1,365.67 17,278.87 0.92096 0.079 EXPENSES (15.00) (13.81) (1.19) 15,899.39 1,364.48 17,263.87 0.92096 0.079 CONTRIBUTION 0.00 0.00 15,899.39 1,364.48 17,263.87 0.92096 0.079 INVESTMENT 0.00 0.00 15,899.39 1,364.48 17,263.87 0.92096 0.079 EXPENSES 0.00 0.00 15,899.39 1,364.48 17,263.87 0.92096 0.079 CONTRIBUTION 0.00 0.00 15,899.39 1,364.48 17,263.87 0.92096 0.079 INVESTMENT 0.00 0.00 15,899.39 1,364.48 17,263.87 0.92096 0.079 EXPENSES 0.00 0.00 15,899.39 1,364.48 17,263.87 0.92096 0.079 TOTALS 17,263.87 15,899.39 1,364.48 15,899.39 1,364.48 17,263.87 0.92096 0.07904 Page 9 A B C DATE DESCRIPTION 3 3.31.01 4 5 6.30.01 6 6.30.01 7 6.30.01 8 9 9.30.01 10 9.30.01 11 9.30.01 12 13 12.31.01 14 13.31.01 '15 12.31.01 16 17 3.31.02 18 3.31.02 19 3.31.02 20 21 6.30.02 22 6.30.02 23 6.30.02 24 25 9.30.02 26 9.30.02 27 9.30.02 SEPARATION BALANCE ANALYSIS OF HUSBAND'S KNOWLEDGE PLANET 401K PLAN D E F G AMOUNT MARITAL NON- SUBTOTAL MARITAL MARITAL 9,771.51 9,771.51 0.00 9,771.51 H I SUBTOTAL SUBTOTAL NON ALL MARITAL J MARITAL PERCENT NON- MARITAL PERCENT 0.00 9,771.51 1.0000 0.0000 CONTRIBUTION 3,315.15 0.00 3,315.15 9,771.51 3,315.15 13,086.66 0.7467 0.2533 INVESTMENT 882.62 659.03 223.59 10,430.54 3,538.74 13,969.28 0.7467 0.2533 EXPENSES 0.00 0.00 0.00 10,430.54 3,538.74 13,969.28 0.7467 0.2533 CONTRIBUTION 1,476.14 0.00 1,476.14 10,430.54 5,014.88 15,445.42 0.6753 0.3247 INVESTMENT (3,786.65) (2,557.19) (1,229.46) 7,873.36 3,785.41 11,658.77 0.6753 0.3247 EXPENSES 0.00 0.00 0.00 7,873.36 3,785.41 11,658.77 0.6753 0.3247 CONTRIBUTION 1,810.12 0.00 1,810.12 7,873.36 5,595.53 13,468.89 0.5846 0.4154 INVESTMENT 2,054.07 1,200.72 853.35 9,074.08 6,448.88 15,522.96 0.5846 0.4154 EXPENSES 0.00 0.00 0.00 9,074.08 6,448.88 15,522.96 0.5846 0.4154 CONTRIBUTION 2,252.28 0.00 2,252.28 9,074.08 8,701.16 17,775.24 0.5105 0.4895 INVESTMENT (609.19) (310.99) (298.20) 8,763.10 8,402.95 17,166.05 0.5105 0.4895 EXPENSES 0.00 0.00 0.00 8,763.10 8,402.95 17,166.05 0.5105 0.4895 CONTRIBUTION 2,333.28 0.00 2,333.28 8,763.10 10,736.23 19,499.33 04494 0.5506 INVESTMENT (3,016.11) (I,355.45) (1,660.66) 7,407.64 9,075.58 16,483.22 0.4494 0.5506 EXPENSES 0.00 0.00 0.00 7,407.64 9,075.58 16,483.22 0.4494 0.5506 CONTRIBUTION 3,041.80 0.00 3,041.80 7,407.64 12,117.38 19,525.02 0.3794 0.6206 INVESTMENT (3,017.53) (1,144.83) (1,872.70) 6,262.81 10,244.68 16,507.49 0.3794 0.6206 EXPENSES 0.00 0.00 0.00 6,262.81 10,244.68 16,507.49 0.3794 0.6206 Page 10 28 29 30 31 32 33 34 35 36 37 38 39 40 41 B DATE 12.31.02 12.31.02 12.31.02 3.31.03 3.31.03 3.31.03 6.30.03 6.30.03 6.30.03 C DESCRIPTION CONTRIBUTION iNVESTMENT EXPENSES CONTRIBUTION INVESTMENT EXPENSES CONTRIBUTION INVESTMENT EXPENSES TOTALS ANALYSIS OF HUSBAND'S KNOWLEDGE PLANET 401K PLAN D E F G H I J K AMOUNT MARITAL NON- SUBTOTAL SUBTOTAL SUBTOTAL MARITAL NON- MARITAL MARITAL NON ALL PERCENT MARITAL MARITAL PERCENT 1,958.65 0.00 1,958.65 6,262.81 12,203.33 18,466.14 0.3392 0.6808 792.80 268.88 523.92 6,531.69 12,727.25 19,258.94 0.3392 0.6608 0.00 0.00 0.00 6,531.69 12,727.25 19,258.94 0.3392 0.6608 0.00 0.00 6,531.69 12,727.25 19,258.94 0.3392 0.6608 0.00 0.00 6,531.69 12,727.25 19,258.94 0.3392 0.6608 0.00 0.00 6,531.69 12,727.25 19,258.94 0.3392 0.6608 0.00 0.00 6,531.69 12,727.25 19,258.94 0.3392 06608 0.00 0.00 6,531.69 12,727.25 19,258.94 0,3392 0.6608 0.00 0.00 6,531.69 12,727.25 19,258.94 0.3392 0.6608 19,258.94 6,531.69 12,727.25 6,531.69 12,727.25 19,258.94 0.3392 0.6608 Page l 1 SECTION II. LISTING OF HOUSEHOLD GOODS AND CONTENTS AND OTHER PERSONAL PROPERTY THE FOLLOWING IS A LISTING OF THE HOUSEHOLD GOODS AND CONTENTS AND OTHER PERSONAL PROPERTY OF THE PARTIES: (Note: Exclusions from marital property include property acquired before marriage, property acquired after separation, or property acquired during marriage by way of gift or inheritance from third party not a spouse. For gifts and inheritance also specify the source person). HOUSEHOLD GOODS AND CONTEN'~ DESCRIPTION OWNER POSSESSOR ITEM Comments: I r S ANDOTHER PERSONAL PROPERTY VALUE BASIS FOR EXCLUSION IF CLAIMED TO BE NON- MARITAL METHOD OF VALUATION AND SUPPORTING DOCUMENTATION I ITEM Commen~: I I I ITEM Comments: I ITEM Comments: ITEM Commen~: Page 12 SECTION III. NON-MARITAL ASSETS AND DEBTS THE FOLLOWING IS A LISTING OF THE NON-MARITAL ASSETS AND DEBTS OF THE PARTIES: (Note: Exclusions from marital properly include property acquired before marriage, property acquired after separation, or property acquired during marriage by way of gift or inheritance from third party not a spouse. For gifts and inheritance also specify the source person). NON-MARITAL PROPERTY ANE) DEBTS DESCRIPTION OWNER POSSESSOR VALUE COMMENTS AND/OR BASIS FOR EXCLUSION IF CLAIMED TO BE NON MARITAL ITEM METHOD OF VALUATION AND SUPPORTING DOCUMENTATION Comments: SECTION IV. PROPERTY TRANSFERRED The following is a listing of all property which was transferred within 3 years of the date of the commencement of this action or was transferred since the date of separation: DESCRIPTION OF PROPERTY ITEM None Comments: PROPERTY T~NSFERRED TRANSFER CONSIDERATION I TRANSFEREE I DATE I I COMMENTS Page 13 CERTIFICATE OF SERVICE AND NOW, this day of ,2003, I, DIANE G. RADCLIFF, ESQUIRE, hereby certify that I have this day served a copy of the within INVENTORY, upon the following set forth person, by mailing same by first class mail, postage prepaid, addressed as follows: Samuel L. Andes, Esquire 525 North Twelfth Street P.O. Box 168 Lemoyne, PA 17043 Respectfully submitted, DIANE G. RADCLIFF, ESQUIRE 3448 Trindle Road Camp Hill, PA 17011 Phone: (717) 737-0100 Fax: (717) 975-0697 Supreme Court ID #32112 Page 14 JAMES F. MULFORD, Plaintiff VS. LISA D. MULFORD, Defendant IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA CIVIL ACTION - LAW NO. 01-2384 CIVIL TERM IN DIVORCE ORDER OF COURT AND NOW this l~t~ dayof I~,~y~ consideration of the attached Petition for Emergenc elief, before the undersigned, to be held in Court Room No. County Courthouse in Carlisle Pennsylvania, commencing at on ~the BY THE COURT, Distribution: , 2003, upon a hearing is hereby scheduled of the Cumberland o'clock 2003. Diane G. Radcliff, Esquire (Attorney for Plaintiff) 3448 Trindle Road, Camp Hill, PA 17011 Samuel L. Andes, Esquire (Attorney for Defendant) 525 North 1 2th Street, Lemoyne, PA 17043 JAMES F. MULFORD, Plaintiff VS, LISA D. MULFORD, Defendant IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA CIVIL ACTION - LAW NO. 01-2384 CIVIL TERM IN DIVORCE PETITION FOR EMERGENCY RELIEF AND NOW comes the above-named Defendant, by her attorney, Samuel L. Andes, and petitions the court for emergency relief in this matter as follows: 1. The Petitioner herein is the Defendant. The Respondent herein is the Plaintiff. 2. Plaintiff and Defendant have been married for many years and are the parents of two minor children, both of whom reside in the primary physical custody of Defendant and have resided with her since the parties separated in March of 2001. 3. Plaintiff and Defendant currently own, as tenants by the entireties a residence at 9 Norfolk Court in Mechanicsburg, Pennsylvania. That residence is occupied by Defendant and the parties' two children. Plaintiff has not resided in that residence since he voluntarily left it in March of 2001. 4. In an effort to resolve the economic disputes between the parties, and to reach agreement for the equitable distribution of the marital properties, Plaintiff and Defendant listed the residence at 9 Norfolk Court in Mechanicsburg, Pennsylvania for sale. Subsequent to listing it for sale, the parties signed an agreement for the sale of the property. 5. After Plaintiff and Defendant signed the agreement for the sale of their residence, Plaintiff notified Defendant that he would not agree to divide any portion of the proceeds of the sale of the property to allow her to acquire a new residence for herself and the children. Plaintiff and his attorney advised Defendant and her attorney that all of the proceeds from the sale of the residence would have to be placed in escrow. 6. Defendant needs a new residence for herself and the parties' minor children. She desires to move to a location within the same school district where she and the children now reside so that the children's education will not be disrupted by the move, and she desires to move only one time so that the disruption of the children's lives caused by the divorce of their parents will be minimized. 7. To provide a suitable residence for the parties children and for herself, Defendant has entered into an agreement of sale to purchase a residence at 41 Keefer Way, Mechanicsburg, Pennsylvania, for a total purchase of 8161,600.00. She has further arranged to borrow all of the funds necessary to finance her purchase of the property. 8. To complete the purchase of the property at 41 Keefer Way, Plaintiff needs at least 50% of the net proceeds of the sale of the marital residence at 9 Norfolk Court. The parties have been advised that the net proceeds of that sale will be approximately $75,000.00. 9. There are sufficient marital assets for Defendant to receive 50% of the net proceeds of the sale of the marital residence and still leave sufficient assets under the control of this court to effect a fair and equitable distribution of all of the martial assets. 10. Plaintiff has now advised Defendant that Plaintiff will not sign a spousal waiver or other documents waiving any claim to the property at 41 Keefer Way, in an effort to coerce Defendant into accepting a settlement which is not reasonable or fair to her. As a result, Plaintiff has threatened to prevent Defendant from acquiring a suitable home for herself and the parties' children. 11. Defendant has learned that she will not be able to complete her financing of the property at 41 Keefer Way without Defendant either waiving any claims to the property arising out of the marriage of the Plaintiff and Defendant or subordinating any claims he has to the liens of the entities and persons lending Defendant money for the purchase of the property. Thus, without a spousal waiver or similar document executed by Plaintiff, Defendant will not be able to purchase the property at 41 Keefer Way and thereby provide a residence for herself and the children, 12. The execution of a spousal waiver by Plaintiff will not cause him any financial or other loss or any prejudice in the pending divorce action between the parties because all of his claims to the parties' equity in the marital residence will transfer to the funds generated by its sale and the other assets which represent the marital property of the parties. 13. Plaintiff's refusal to execute and deliver a spousal waiver creates immediate, serious, and continuing prejudice to Defendant and to the parties' children, in that it prevents Defendant from obtaining and providing a suitable home for the children. WHEREFORE, Defendant prays this court to take the following action: A. Award to Plaintiff, as an advance on her share of the equitable distribution of the marital property, 50% of the net proceeds of the sale of the marital residence at 9 Norfolk Court to allow Defendant to use those funds to purchase a new home for herself and the children; and B. Order and direct Plaintiff to complete, execute and deliver to Defendant a spousal waiver or similar document waiving any marital interest in the residence at 41 Keefer Way to be purchased by Defendant; or C. Decree that Plaintiff has no equitable, marital, or other interest in the residence to be purchased by Defendant at 41 I(eefer Way and enjoined Plaintiff from making or claiming any such interest, so as to allow Defendant to finance her purchase of 41 Keefer Wey without interference by Plaintiff; or D. Such other actions as the court deems necessary and equitable in this matter. Attorney for Defendant Supreme Court ID # 17225 525 North 12~h Street Lemoyne, Pa 17043 (717) 761-5361 VERIFICATION I verify that the statements made in this Petition are true and correct. I understand that any false statements in this Petition are subject to the penalties of 18 Pa. C.S. 4904 (unsworn falsification to authorities). Date: CERTIFICATE OF SERVICE I hereby certify that I served an original of the foregoing Petition for Emergency Relief upon counsel for the Plaintiff herein by regular mail, postage I~repaid, addressed as follows: Diane G. Radcliff, Esquire 3448 Trindle Road Camp Hill, PA 17011 Date: 14 May 2003 Secretary for Samuel L. Andes /? JAMES F. MULFORD, Plaintiff LISA D. MULFORD, Defendant : IN THE COURT OF COMMON PLEAS OF : CUMBERLAND COUNTY, PENNSYLVANIA : NO. 01-2384 CIVIL TERM : CIVIL ACTION - LAW : DIVORCE CERTIFICATE OF SERVICE OF NOTICE OF INTENT TO REQUEST ENTRY OF DIVORCE DECREE AND 3301(D) COUNTERAFFIDAVIT I, Diane G. Radcliff, Esquire, hereby certify that on June 18, 2003 I served a true and correct copy of the attached Notice of Intent to Request Entry of Divorce Decree under Section 3301(d) and Praecipe to Transmit the Record upon the Defendant's Attorney , Samuel L. Andes, Esquire, by mailing the same by first class mail, postage prepaid, addressed as follows: Samuel L. Andes, Esquire 525 North Twelfth Street P.O. Box 168 Lemoyne, PA 17043 Respectfully submitted, Camp Hill, PA 17011 Phone: (717) 737-0100 Fax: {717) 975-0697 Supreme Court ID# 32112 Dated: June 18, 2003 JAMES F. MULFORD, Plaintiff LISA D. MULFORD, Defendant : IN THE COURT OF COMMON PLEAS OF : CUMBERLAND COUNTY, PENNSYLVANIA : : NO. 01-2384 CIVIL TERM : : CIVIL ACTION - LAW : DIVORCE CERTIFICATE OF SERVICE I hereby certify that on May 2, 2003, I, Diane G. Radcliff, Esquire, served a true and correct copy of Plaintiff's 3301 (d) Affidavit upon the following named Samuel L. Andes, Esquire, Attorney for Defendant, addressed as follows by Certified Mail, the return receipt for which mailing is attached hereto as Exhibit "A" and made a part hereof: Samuel L. Andes, Esquire 525 N. 12th Street P.O. Box 168 Lemoyne, PA 17043 Respectfully submitted, Camp Hill, PA 17011 Phone: (717) 737-0100 Fax: (717) 975-0697 Supreme Court ID # 32112 Attorney for Plaintiff · Complete items 1, 2, and 3. Also complete item 4 if Restricted Deliver~ is desired. l~Print your name and address on the reverse o that we can return the card to you. · ~ttach this card to the back of the maffpiece, -- ?r on the front if space permits. 1. Artic~ Addressed to: B. Date of Delivery [] Addressee [] Yes ~r delivery address below: [] NO 3. Service Type ,~ Certified Mail [] Express Mail Registered [] Return Receipt for Merchandise [~ Insured Mail [] C.O.D. 4, Restricted Delivery? (Extra Fee) [] Yes 2. Article Number (Copy from service label) PS Form 3811, July 1999 Domestic Return Receipt 102595-99 M-1789 EXHIBIT "A" CERTIFIED MAIL RETURN RECEIPT CARD JAMES F. MULFORD, Plaintiff VS, LISA D. MULFORD, Defendant IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA CIVIL ACTION - LAW NO. 01-2384 CIVIL TERM IN DIVORCE PRAECIPE TO THE PROTHONOTARY: Please withdraw Defendant's Petition for Emergency Relief which was filed on 15 May 2003. 27 June 2003 Attorney for Defendant Supreme Court ID # 17225 525 North 12th Street Lemoyne, Pa 17043 (717) 761-5361 JAMES F. MULFORD, Plaintiff VS, LISA D. MULFORD, Defendant IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA CIVIL ACTION - LAW NO. 01-2384 CIVIL TERM IN DIVORCE OBJECTION TO ENTRY OF FINAL DECREE IN DIVORCE WITHOUT RESOLUTION OF ECONOMIC ISSUES AND OBJECTION TO BIFURCATION AND NOW comes the above-named Defendant, by her attorney, Samuel L. Andes, and objects to the bifurcation of these proceedings or the entry of a final decree in divorce, until such time as the court decides and resolves all of the economic issues, based upon the following: 1. Although the parties have now lived separate and apart for two years and the marriage is irretrievably broken, the economic issues involved in this divorce action have not been resolved. 2. On 24 May 2001, Defendant filed a Petition for Economic Relief raising claims of alimony, alimony pendente, counsel fees and expenses. 3. In his original complaint, Plaintiff raised a claim for equitable distribution of marital property. 4. All of these claims for economic relief have been properly raised by the parties and not, as yet, determined by this court. 5. Defendant believes that she may loose significant economic rights if the final decree in divorce in this action is entered before the court determines, decides, and disposes of the economic issues which have been properly raised in the case. 6. There has been no petition for bifurcation filed in this matter and Defendant opposes the bifurcation of these proceedings or the entry of a final decree in divorce without the resolution of these economic claims. Attorney for Defendant Supreme Court ID # 17225 525 North 12th Street Lemoyne, Pa 17043 (717) 761-5361 VERIFICATION I verify that the statements made in this Objection are true and correct. understand that any false statements in this Objection are subject to the penalties of 18 Pa. C.S. 4904 (unsworn falsification to authorities). JAMES F. MULFORD, Plaintiff VS. LISA D. MULFORD, Defendant THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA NO. 01 - 2384 CIVIL IN DIVORCE ORDER OF COURT 2003, resolved 3, 2003, can file requesting a AND NOW, this day of ~ , the economic claims raised in the proceedings having been in accordance with a marital agreement dated December the appointment of the Master is vacated and counsel a praecipe transmitting the record to the Court final decree in divorce. BY THE COURT, CC: -~iane G. Radcliff Attorney for Plaintiff ,/Samuel L. Andes Attorney for Defendant Ge(~ J. JAMES F. MULFORD, Plaintiff LISA D. MULFORD, Defendant : IN THE COURT OF COMMON PLEAS OF : CUMBERLAND COUNTY, PENNSYLVANIA : NO. 01-2384 CIVIL TERM : CIVIL ACTION - LAW : DIVORCE MARITAL AGREEMENT BETWEEN JAMES F. MULFORD AND LISA D. MULFORD TABLE OF CONTENTS INTRODUCTION AND PREAMBLE ............................................................ 1 SECTION ! GENERAL PROVISIONS ............................................................................... 1.01 1.02 1.03 1.04 1.05 1.06 1.07 1.08 1.09 1.10 1.11 1.12 1.13 1.14 1.15 1.16 1.17 1.18 1.19 1.20 Incorporation of Preamble ................................................... 2 Divorce Decree .................................................................... 2 Agreement to Be Incorporated into Divorce Decree ........... 2 Date of Agreement ............................................................... 2 Distribution Date ................................................................. 3 Advice Of Counsel/Voluntary Execution ............................ 3 Financial Disclosure ........................................................... 3 Disclosure and Wavier of Procedural Rights ...................... 3 Bankruptcy .......................................................................... 4 Personal Rights .................................................................... 4 Mutual Release .................................................................... 5 Income Tax Matters ............................................................. 6 Preservation of Records ....................................................... 6 Effect of Reconciliation ....................................................... 6 Mutual Cooperation ............................................................. 6 Waiver or Modification to Be in Writing ............................ 7 Agreement Binding upon Heirs ........................................... 7 No Waiver of Default .......................................................... 7 Breach .................................................................................. 87 Manner of Giving Notice ..................................................... 8 2 1.21 1.22 1.23 1.24 Integration ............................................................................ 8 Social Security Benefits ....................................................... 8 Law of Pennsylvania Applicable ......................................... 8 Headings Not Part of Agreement ......................................... 8 SECTION II DISTRIBUTION OF PROPERTY ................................................................... 2.01 2.02 2.03 2.04 2.05 2.06 2.07 2.08 2.09 2.10 2.11 Final Equitable Distribution of Property ............................. 9 After-Acquired Property ...................................................... 9 Waiver of Inheritance .......................................................... 9 As Is Condition .................................................................... 9 Personal Property ................................................................. 9 Vehicles, Boats and the like ................................................ 10 Real Estate ........................................................................... 11 Retirement and Pension Plans ............................................. 11 Bank Accounts, Stock, Options and Life Insurance ............ 11 Monetary Payment ............................................................... 12 Property Tax Provisions ...................................................... 12 SECTION III DISTRIBUTION OF DEBTS ............................................................................ 3.01 3.02 3.03 3.04 Wife's Debts ......................................................................... 13 Husband's Debts .................................................................. 13 Marital Debts ....................................................................... 13 Indemnification .................................................................. 15 13 ii SECTION IV COUNSEL FEES, ALIMONY, APL, SPOUSAL SUPPORT AND HEALTH INSURANCE ............................................................................................................ 4.01 4.02 4.03 Waiver of Counsel Fees ....................................................... 16 Alimony, APL and Spousal Support ................................... 16 Health Insurance .................................................................. 16 16 SECTION V CLOSING PROVISIONS AND EXECUTION .............................................. 17 iii INTRODUCTION THIS AGREEMENT made this~.~ day of '~,7J~a ,~00~_, by and between LISA D. MULFORD, (Wife") of 41 Keefer Way, Mechanicsburg, PA, and JAMES F. MULFORD, ("Husband") of 1077 Lancaster Blvd., Unit 6, Mechanicsburg, PA. WITNESSETH: WHEREAS, the parties hereto are husband and wife, having been married on May 25, 1986 in Hudson, Ohio, and separated on March 1, 2001. WHEREAS, There were two (2) Children bom of this marriage: Kevin J. Mulford, bom April 9, 1991, and Michael L. Mulford, born April 1, 1994, (the "Children"). WHEREAS, diverse and unhappy differences, disputes and difficulties have arisen between the parties and it is the intention of Husband and Wife to live separate and apart for the rest of their natural lives, and the parties hereto are desirous of settling fully and finally their respective financial and property rights and obligations as between each other including, without limitation by specification: the settling of all matters between them relating to the ownership and equitable distribution of real and personal property; the settling of all matters between them relating to the past, present and future support, alimony and/or maintenance of Wife by Husband or of Husband by Wife; and in general, the settling of any and all claims and possible claims by one against the other or against their respective estates. NOW, THEREFORE, in consideration of the premises and mutual promises, covenants and undertakings hereinafter set forth and for other good and valuable consideration, receipt of which is hereby acknowledged by each of the parties hereto, Wife and Husband, each intending to be legally bound hereby, covenant and agree as follows: END OF INTRODUCTION -1- SECTION I GENERAL PROVISIONS 1.01. INCORPORATION OF PREAMBLE The recitals set forth in the Preamble of this Agreement are incorporated herein and made a part hereof as if fully set forth in the body of the Agreement. 1.02. DIVORCE DECREE The parties acknowledge that their marriage is irretrievably broken and that they will secure a mutual consent no-fault Divorce Decree in Husband's above captioned divorce action docketed to No. 01-2384 CIVIL TERM and filed on May 1, 2001. Upon the execution of'this Agreement, the parties shall execute and file all documents and papers, including affidavits of consent, necessary to finalize said divorce. Upon Husband's receipt of such filed documents, he shall file the remaining documents necessary to secure the entry of the Divorce Decree. If either party fails or refuses to finalize said divorce or execute and file the documents necessary to finalize the divorce, said failure or refusal shall be considered a material breach of this Agreement and shall entitle the other party at his or her option to terminate this Agreement, in which event the parties shall be restored to the same legal position each had been immediately prior to the execution of this Agreement, and either party may then proceed with the litigation of any claims heretofore raised in this divorce action the same as of this Agreement has never been executed by the parties. 1.03. AGREEMENT TO BE INCORPORATED IN DIVORCE DECREE The terms of this Agreement shall be incorporated into any Divorce Decree which may be entered with respect to them. This Agreement shall not merge with the Divorce Decree, but rather, it shall continue to have independent contractual significance and each party shall maintain their contractual remedies as well as Court remedies as the result of the aforesaid incorporation or as otherwise provided by law or statute. Unless otherwise specifically provided herein, this Agreement shall continue in full force and effect after such time as a final Decree in Divorce may be entered with respect to the parties. 1.04. DATE OF AGREEMENT The "date of this Agreement" shall be defined as the date of execution by the party last executing this Agreement. -2- 1.05. DISTRIBUTION DATE The transfer of property, funds and/or documents provided for herein shall only take place on the "distribution date" which shall be defined as the date of execution of this Agreement unless otherwise specified herein. 1.06. ADVICE OF COUNSEL The provisions of this Agreement and their legal effect have been fully explained to the parties by their respective counsel, Diane g. Radcliff, Esquire, of 3448 Trindle Road, Camp Hill, PA 17011, for Husband, and Samuel L. Andes, Esquire of 525 North Twelfth Street, P.O. Box 168, Lemoyne, PA 17043, for Wife. The parties acknowledge that they have received independent legal advice from counsel of their selection and that they fully understand the facts and have been fully informed as to their legal rights and obligations. They acknowledge and accept that this Agreement is, under the circumstances, fair and equitable and that it is being entered into freely and voluntarily after having received such advice and with such knowledge, and that execution of this Agreement is not the result of any duress or undue influence and that it is not the result of any collusion or improper or illegal agreement or agreements. 1.07. FINANCIAL DISCLOSURE The parties confirm that each has relied on the substantial accuracy of the financial disclosure of the other as an inducement to the execution of this Agreement, and each party acknowledges that there has been a full and fair disclosure of the parties' marital assets and debts and the parties' respective incomes, which has been provided to each party. 1.08. DISCLOSURE AND WAIVER OF PROCEDURAL RIGHTS Each party understands that he or she has the right: (1) to obtain from the other party a complete inventory or list of all of the property that either or both parties own at this time or owned as of the date of separation; (2) to have all such property valued by means of appraisals or otherwise; (3) to compulsory discovery to assist in the discovery and verification of facts relevant to their respective rights and obligations, including the right to question the other party under oath; and (4) to have a court hold hearings and make decisions on the matters covered by this Agreement, which Court decision concerning the parties' respective rights and obligations might be different from the provisions of this Agreement. Each party hereby acknowledges that this Agreement is fair and equitable, that it adequately provides for his or her needs and is in his or her best interests, and that the Agreement is not the result of any fraud, duress, or undue influence exercised by either party upon the other or by any other person or persons upon either party. -3- Given said understanding and acknowledgment, both parties hereby waive the following procedural rights: Inventory: The right to obtain an inventory of all marital and separate property as defined by the Pennsylvania Divorce Code. Income and Expense Statement: The right to obtain an income and expense statement of the other party as provided by the Pennsylvania Divorce Code, except in instances where such an income and expense statement is hereafter required to be filed in any child support action or any other proceedings pursuant to an order of court. Discovery: The right to have any discovery as may be permitted by the Rules of Civil Procedure, except discovery arising out of a breach of this Agreement, out of any child support action, or out of any other proceedings in which discovery is specifically ordered by the court. Determination of Marital and Non-Marital Property: The right to have the Court determine which property is marital and which is non-marital, and equitably distribute between the parties that property which the Court determines to be marital. Other Rights and Remedies: The right to have the Court decide any other rights, remedies, privileges, or obligations covered by this Agreement, including, but not limited to, possible claims for divorce, spousal support, alimony, alimony pendente lite (temporary alimony), counsel fees, costs and expenses. 1.09. BANKRUPTCY The parties hereby agree that the provisions of this Agreement shall not be dischargeable in bankruptcy and expressly agree to reaffirm any and all obligations contained herein. In the event a party files such bankruptcy and pursuant thereto obtains a discharge of any obligations assumed hereunder, the other party shall have the right to declare this Agreement to be null and void and to terminate this Agreement in which event the division of the parties' marital assets and all other rights determined by this Agreement shall be subject to Court determination the same as if this Agreement had never been executed by the parties. 1.10. PERSONAL RIGHTS Husband and Wife may and shall, at all times hereafter, live separate and apart. They shall be free from any control, restraint, interference or authority, direct or indirect, by the other in all respects as fully as if they were unmarried. They may reside at such place or places as they may select. Each -4- may, for his or her separate use or benefit, conduct, carry on and engage in any business, occupation, profession or employment which to him or her may seem advisable. Husband and Wife shall not molest, harass, disturb or malign each other or the respective families of each other nor compel or attempt to compel the other to cohabit or dwell by any means or in any manner whatsoever with him or her. 1.11. MUTUAL RELEASES Except as otherwise expressly provided in this Agreement, Husband and Wife each do hereby mutually remise, release, quitclaim and forever discharge the other and the estate of such other, for all time to come, and for all purposes whatsoever, of and from the following: Claims Against Property or Estate: Any and all right, title, interest and/or claims in or against the other party, the property (including income and gain from property hereafter accruing) of the other or against the estate of such other, of whatever nature and wheresoever situate, which he or she now has or at any time hereafter may have against such other party, the estate of such other party or the property of the other party or any part thereof, whether arising out of any former acts, contracts, engagements or liabilities of such other. Bt Dower, Curtesy, Widows Rights: Any and all rights and claims of dower or curtesy, or claims in the nature of dower or curtesy or widow's or widower's rights, family exemption or similar allowance, or under the intestate laws, or the right to take against the spouse's will; Life Time Conveyances: The right to treat a lifetime conveyance by the other as testamentary, or all other rights of a surviving spouse to participate in a deceased spouse's estate, whether arising under the laws of (I) the Commonwealth of Pennsylvania, (ii) State, Commonwealth or Territory of the United States, or (iii) any other country; Marital Rights: Any rights which either party may have or at any time hereafter have for past, present or future support or maintenance, alimony, alimony pendente lite, counsel fees, equitable distribution, costs or expenses, whether arising as a result of the marital relation or otherwise. Breach Exception: The foregoing shall not apply to all rights and agreements and obligations of whatsoever nature arising or which may arise under this Agreement or for the breach of any provision thereof. It is the intention of Husband and Wife to give to each other by the execution of this Agreement a full, complete and general -5- release with respect to any and all property of any kind or nature, real, personal or mixed, which the other now owns or may hereafter acquire, except and only except, all rights and agreements and obligations of whatsoever nature arising or which may arise under this Agreement or for the breach of any provisions thereof. 1.12. INCOME TAX MATTERS With respect to income tax matters regarding the parties the following shall apply: Ae Prior Returns: The parties have heretofore filed joint federal and state returns. Both parties agree that in the event any deficiency in federal, state or local income tax is proposed, or any assessment of any such tax is made against either of them, each will indemnify and hold harmless the other from and against any loss or liability for any such tax deficiency or assessment therewith. Such tax, interest, penalty or expense shall be paid solely and entirely by the individual who is finally determined to be the cause of the misrepresentations or failure to disclose the nature and extent of his or her separate income on the aforesaid joint returns. Be Current Returns: The parties shall file individual tax returns for the current tax year and for every tax year hereafter. 1.13. PRESERVATION OF RECORDS Each party will keep and preserve for a period of four (4) years from the date of their divorce all financial records relating to the marital estate, and each party will allow the other party access to those records as may be reasonably necessary from time to time. 1.14. EFFECT OF RECONCILIATION This Agreement shall remain in full force and effect even if the parties reconcile, cohabit as Husband and Wife or otherwise, or attempt a reconciliation. This Agreement shall continue in full force and effect and there shall be no modification or waiver of any of the terms hereof unless the parties, in writing, signed by both parties, execute a statement declaring this Agreement or any term of this Agreement to be null and void. 1.15. MUTUAL COOPERATION Each party shall, at any time and from time to time hereafter, and within at least twenty (20) days after demand therefor, take any and all steps and execute, acknowledge and deliver to the other party, any and all further instruments and/or documents that the other party may reasonably require for the purpose of giving full force and effect to the provisions of this Agreement. -6- Considerations for Reasonable Attorneys Fees: Any award of "reasonable attorneys fees" as used in this paragraph shall be based on consideration of (1) the hourly rate charged; (2) the services rendered; and (3) the necessity of the services rendered. Determination of reasonableness shall not take into consideration the amount or nature of the obligation sought to be enforced or any possibility of settlement for less than the obligation sought to be enforced by the non-breaching party. 1.20. MANNER OF GIVING NOTICE Any notice required by this Agreement shall be sent to a party at the address listed on page 1 above, or such other address as that party may from time to time designate. 1.21. INTEGRATION This Agreement constitutes the entire understanding of the parties and supersedes any and all prior agreements and negotiations between them. There are no representations or warranties other than those expressly set forth herein. 1.22. SOCIAL SECURITY BENEFITS The parties agree that, subject to the Rules and regulations of the Social Security Administration, each of the parties shall continue to be eligible for Social Security benefits to which he or she would ordinarily be qualified as a party to a divorce after a marriage of ten (10) years or more in duration, if the parties' marriage is determined to be often (10) or more years in duration. 1.23. LAW OF PENNSYLVANIA APPLICABLE This Agreement shall be construed in accordance with the laws of the Commonwealth of Pennsylvania. 1.24. HEADINGS NOT PART OF AGREEMENT Any headings preceding the text of the several paragraphs and subparagraphs hereof, are inserted solely for convenience of reference and shall not constitute a part of this Agreement nor shall they affect its meaning, construction or effect. END OF SECTION I -8- SECTION II DISTRIBUTION OF PROPERTY 2.01. FINAL EQUITABLE DISTRIBUTION OF PROPERTY The parties agree that the division of all property and debts set forth in this Agreement is equitable and in the event an action in divorce has been or is hereafter commenced, both parties waive and relinquish the right to divide and distribute their assets and debts in any manner not consistent with the terms set forth herein and further waive and relinquish the right to have the Court equitably divide and distribute their marital assets and debts. It is further the intent, understanding and agreement of the parties that this Agreement is a full, final, complete and equitable property division. 2.02. AFTER-ACQUIRED PROPERTY Each of the parties shall hereafter own and enjoy, independently of any claim or right of the other, all property, tangible or intangible, real, personal or mixed, acquired by him or her, since March 1, 2001, the date of the parties' marital separation, with full power in him or her to dispose of the same as fully and effectively, in all respects and for all purposes, as though he or she were unmarried and each party hereby waives, releases, renounces and forever abandons any right, title, interest and claim in and to said after acquired property of the other party pursuant to the terms of this Paragraph. 2.03. WAIVER OF INHERITANCE Each of the parties hereto does specifically waive, release, renounce and forever abandon any right, title, interest and claim, if any, either party may have in and to any inheritance of any kind or nature whatsoever previously, or in the future, received by the other party. 2.04. AS IS CONDITION Except as otherwise specifically herein provided, and with respect to the transfer of any tangible assets provided for in this Marital Agreement, the parties acknowledge that he or she have had the opportunity to inspect and view the assets that he or she is to receive as his or her sole and separate property and he or she is fully aware of the condition of such tangible asset and is receiving those assets in "as is" physical condition, without warranty or representation by or from the other party. 2.05. PERSONAL PROPERTY With respect to the tangible personal property of the parties including, but without limitation with specific reference to,jewelry, clothes, fumiture, furnishings, rugs, carpets, household equipment and appliances, tools, pictures, books, works of art and other personal property ("the Personal Property"), the parties agree as follows: -9- Division: Husband and Wife do hereby acknowledge that they have previously divided the Personal Property. Hereafter Wife agrees that all of the Personal Property in the possession of Husband shall be the sole and separate property of Husband; and Husband agrees that all of the Personal Property in the possession of Wife shall be the sole and separate property of Wife. Waiver: The parties do hereby specifically waive, release, renounce and forever abandon whatever claims, if any, he or she may have with respect to the Personal Property which shall become the sole and separate property of the other. 2.06. VEHICLES, BOATS AND THE LIKE Each party does hereby waive release, renounce and forever abandon whatever right, title and interest they may have in the Vehicles that are in the sole name or possession of the other party and the party owing or posessing said vehicles shall indemnify, protect and save the other party harmless from any and all claims arising out of the possession or ownership of said Vehicles. 2.07. REAL ESTATE The parties were the owners of a certain tract of improved real estate known and numbered as 9 Norfolk Court, Mechanicsburg, PA which real estate was previously sold and the proceeds derived therefrom distributed between the parties based on their mutual agreement. The parties hereby reaffirm that prior distribution and agree to that distribution as a part of this Agreement. 2.08. RETIREMENT AND PENSION PLANS Each of the parties does specifically waive, release, renounce and forever abandon all of their right, title, interest or claim, whatever it may be, in any Pension Plan, Retirement Plan, IRA Account, Profit Sharing Plan, 401-K Plan, Keogh Plan, Stock Plan, Tax Deferred Savings Plan, any employee benefit plan and/or other retirement type plans of the other party, whether acquired through said party's employment or otherwise, ("the Retirement Plans"). Hereafter the Retirement Plans shall become the sole and separate property of the party in whose name or through whose employment said plan or account is held or carried. If either party withdraws any sums from the Retirement Plans distributed to him or her pursuant to the terms of this Paragraph, that party shall be solely liable for any and all taxes and penalties resulting from that withdrawal. 2.09. BANK ACCOUNTS, STOCK, OPTIONS AND LIFE INSURANCE The parties acknowledge and agree that they have previously divided to their mutual satisfaction all of their bank accounts, certificates of deposit, bonds, shares of stock, investment plans and life insurance cash value, ("the Accounts & Investments"). Except as otherwise herein provided, all the Accounts & Investments held in the name of Husband shall become the sole and separate property -10- of Husband; and all the Accounts & Investments held in the name of Wife shall become the sole and separate property of Wife. Each of the parties does specifically waive, release, renounce and forever abandon any right, title, interest or claim, he or she may have in the Accounts that are to become the sole and separate property of the other pursuant to the terms hereof. The forgoing notwithstanding, the following shall apply to the Knowledge Planet Stock Options: Identification and Division: The parties shall equally divide the net proceeds (after taxes and exercise costs) received from Husband's exercise, of any, of the marital stock options (being those stock options issued to or otherwise obtained by Husband between the date of marriage and the date of their final separation), for 2000 shares of Knowledge Planet stock. Notice: Husband will provide Wife with at least ten (10) days advance notice of his intention to exercise the marital stock options. Ce Exercise: Husband shall exercise the marital stock options in a prudent manner if and when they will generate a reasonable profit. Payment: Husband shall pay Wife her fifty percent (50%) share of the net proceeds derived from the exercise of the marital stock options within five (5) business days of his receipt of payment. Documentation: Concurrent with said payment Husband shall provide Wife will complete documentation regarding the exercise of those options including, but not limited to, the gross and net amounts received, the taxes Husband will have to pay as the result of the exercise, and any other documentation to confirm the exercise of the options. Property Division Treatment: The funds received from the exercise of the marital stock options shall be considered to be a division of marital property and will not be included in the calculation of the parties' incomes for support purposes. 2.10. MONETARY PAYMENT In consideration of the division of the marital assets and debts herein provided, Husband shall pay wife the sum of $10,846.14. Said payment shall be made upon Husband's signing of this Agreement. This payment shall be considered to be a division ofmarital property and not alimony, and will not be included in the calculation of the parties' incomes for support purposes. -11- 2.11. TAX PROVISIONS The parties believe and agree that the division of property made to be made pursuant to the terms of this Agreement is a non-taxable division of property between co-owners rather than a taxable sale or exchange of such property. Each party promises not to take any position with respect to the adjusted basis of the property assigned to him or her or with respect to any other issue which is inconsistent with the terms of this Paragraph on his or her applicable federal or state income tax returns. END OF SECTION II -12- SECTION III DISTRIBUTION OF DEBTS 3.01. WIFE'S DEBTS Wife represents and warrants to Husband that since the parties' marital separation she has not contracted or incurred any debt or liability for which Husband or his estate might be responsible. Wife further represents and warrants to Husband that she will not contract or incur any debt or liability after the execution of this Agreement for which Husband or his estate might be responsible. Wife shall indemnify and save Husband harmless from any and all claims or demands made against him by reason of debts or obligations incurred by her. 3.02. HUSBAND'S DEBTS Husband represents and warrants to Wife that since the parties' marital separation he has not contracted or incurred any debt or liability for which Wife or her estate might be responsible. Husband further represents and warrants to Wife that he will not con~act or incur any debt or liability after the execution of this Agreement for which Wife or her estate might be responsible. Husband shall indemnify and save Wife harmless from any and all claims or demands made against her by reason of debts or obligations incurred by him. 3.03. MARITAL DEBTS During the course of the marriage, Husband and Wife have incurred certain bills and obligations and have amassed a variety of debts, ("the Marital Debts"), and it is hereby agreed, without ascertaining for what purpose and to whose use each of the Marital Debts were incurred, the parties agree as follows: General Provision: Any debt herein described shall be deemed to include the current balance owed on the debt. Unless otherwise herein specifically provided, there shall be no adjustment for the payment of any portion of the Marital Debts that a party may have made prior to the execution of this Marital Agreement, whether or not that debt is specifically referenced in this Paragraph. Joint Debts: The parties acknowledge and agree that all joint debts were previously paid, and there are no remaining joint obligations of the parties. C. Wife's Debts: Wife shall be solely responsible for the following bills and debts: 1. Wife's Vehicle Loan(s): Any vehicle loan of obligation for Wife's Vehicle(s) -13- as provided in this Agreement; Taxes from Withdrawal of Retirement Funds: Any and all taxes resulting from her withdrawal of funds from Wife's Retirement Plans as provided in this Agreement; Other Debts: Any and all other debts, liabilities, obligations, loans, credit card accounts, and the like incurred in Wife's sole name, and not otherwise provided for herein. Husband's Debts: Husband shall be solely responsible for the following bills and debts: Husband's Vehicle Loan(s): Any vehicle loan or obligation for Husband's Vehicle(s) as provided in this Agreement;. Taxes from Withdrawal of Retirement Funds: Any and all taxes resulting from his withdrawal of funds from Husband's Retirement Plans as provided in this Agreement; Other Debts: Any and all other debts, liabilities, obligations, loans, credit card accounts, and the like incurred in Husband's sole name, and not otherwise provided for herein. Indemnification: Each party agrees to hold the other harmless from any and all liability which may arise from the aforesaid bills which pursuant to the terms herein are not the responsibility of the other party. Cancellation of Joint Debts: Any joint debt shall be canceled so that neither party can make any further charges thereunder, and if said charges are made in violation of this Agreement, then the party incurring said charge shall immediately repay the same. Non-Disclosed Liability: Any liability not disclosed in this Agreement shall be the sole responsibility of the party who has incurred or may hereafter incur it, and the party incurring or having incurred said debt shall pay it as it becomes due and payable. No Further Joint Debt: From the date of this Agreement, each party shall only use - 14- those credit accounts or incur such further obligations for which that party is individually and solely liable and the parties shall cooperate in closing any remaining accounts which provide for joint liability. Refinance: In the event a party is assuming a liability for which the parties are jointly liable, that party shall refinance the same within sixty (60) days of the date of this Agreement so as to release the other party from any and all liability thereunder. 3.04. INDEMNIFICATION Any party assuming an obligation pursuant to the terms of this Agreement shall indemnify, protect and hold the other party harmless from and against all any and all liability thereunder, including, but not limited to, any attorney's fees and costs incurred by the other party as the result of defending against the obligation and/or enforcing the provisions of this indemnification. END OF SECTION III -15- SECTION IV COUNSEL FEES, ALIMONY, APL, SPOUSAL SUPPORT, AND HEALTH INSURANCE 4.01. WAIVER OF COUNSEL FEES The parties hereto agree and do hereby waive any right and/or claim each may have, both now and in the future, against the other for counsel fees, costs and expenses. 4.02. ALIMONY, APL AND SPOUSAL SUPPORT The parties hereto agree and do hereby waive any right and/or claim they may have, both now and in the future, against the other for alimony, alimony pendente lite, spousal support and maintenance. The waiver of spousal support and alimony pendent lite shall be effective as of the date of the entry of the Divorce Decree. 4.03. HEALTH INSURANCE The following shall apply regarding health insurance: Health Insurance for Spouse: Any party carrying health insurance on the other party shall continue to provide health insurance coverage on the other party until the date of the entry of the Divorce Decree. The party for whom that health insurance is provided shall be entitled to elect Cobra coverage under the other party's employment policy in accordance with federal Rules and regulations provided that he or she shall be solely be responsible for the payment of the costs therefor. Health Insurance Documentation: Any party having the insurance coverage on the other party pursuant to the terms of this Paragraph shall provide the other party with all documentation pertaining to the insurance including, but not limited to, medical insurance cards, benefit booklets, claim submission forms and all statements pertaining to the determination of insurance coverage as to each claim made thereunder. END OF SECTION IV -16- SECTION V CLOSING PROVISIONS AND EXECUTION 5.01. COUNTERPARTS This Agreement may be executed in counterparts, each of which shall be deemed to be an original, but all of which shall constitute one and the same agreement. 5.02. FACSIMILE SIGNATURE Each party agrees to accept and be bound by facsimile signatures hereto. 5.03. BINDING EFFECT BY SIGNING THIS AGREEMENT, EACH PARTY ACKNOWLEDGES HAVING READ AND UNDERSTOOD THE ENTIRE AGREEMENT, AND EACH PARTY ACKNOWLEDGES THAT THE PROVISIONS OF THIS AGREEMENT SHALL BE AS BINDING UPON THE PARTIES AS IF THEY WERE ORDERED BY THE COURT AFTER A FULL HEARING. IN WITNESS WHEREOF, the parties hereto, intending to be legally bound hereby, have signed sealed and acknowledged this Agreement the day and year below written, which Agreement has been executed in various counterparts, each of which shall constitute an original. WITNESS: MULFORD Date: / '2-/~/0--~ (SEAL) (SEAL) END OF SECTION V -17- COMMONWEALTH OF PENNSYLVANIA COUNTY OF CUMBERLAND SS. On this the 2q4~ day of A/'o 0ta-~$~-~ ,2003, before me the undersigned officer, personally appeared, JAMES F. MULFORD, known to me (or satisfactorily proven) to be the person whose name is subscribed to the within Agreement, and acknowledged that he executed the same for the purposes therein contained. IN WITNESS WHEREOF, I hereunto set my hand and notarial seal. ' Notarial S,at [ Diane G. Radcliff, Not,P/pubi]c I Cal~'lr~ H II E, oro C c, mbedand C!oun!¥ ~ COMMONWEALTH OF PENNSYLVANIA SS. COUNTY OF CUMBERLAND On this the 15~/)-- day of ?~ ~Q~F)~F , 2003, before me the undersigned officer, personally appeared, LI'SA D. MULFORD, kfiown to me (or satisfactorily proven) to be the person whose name is subscribed to the within Agreement, and acknowledged that she executed the same for the purposes therein contained. IN WITNESS WHEREOF, I have hereunto set my hand and notarial seal. (~/OTARY PUBLIC JAMES F. MULFORD, Plaintiff : IN THE COURT OF COMMON PLEAS OF · CUMBERLAND COUNTY, PENNSYLVANIA · NO. 01-2384 CIVIL TERM LISA D. MULFORD, Defendant · CIVIL ACTION - LAW : DIVORCE MARITAL AGREEMENT BETWEEN JAMES F. MULFORD AND LISA D. MULFORD TABLE OF CONTENTS INTRODUCTION AND PREAMBLE ............................................................ 1 SECTION I GENERAL PROVISIONS ............................................................................... 1.01 1.02 1.03 1.04 1.05 1.06 1.07 1.08 1.09 1.10 1.11 1.12 1.13 1.14 1.15 t.16 1.17 1.18 1.19 1.20 Incorporation of Preamble ................................................... 2 Divorce Decree .................................................................... 2 Agreement to Be Incorporated into Divorce Decree ........... 2 Date of Agreement ............................................................... 2 Distribution Date ................................................................. 3 Advice Of Counsel/Voluntary Execution ............................ 3 Financial Disclosure ........................................................... 3 Disclosure and Wavier of Procedural Rights ...................... 3 Bankruptcy .......................................................................... 4 Personal Rights .................................................................... 4 Mutual Release .................................................................... 5 Income Tax Matters ............................................................. 6 Preservation of Records ....................................................... 6 Effect of Reconciliation ....................................................... 6 Mutual Cooperation ............................................................. 6 Waiver or Modification to Be in Writing ............................ 7 Agreement Binding upon Heirs ........................................... 7 No Waiver of Default .......................................................... 7 Breach .................................................................................. 87 Manner of Giving Notice ..................................................... 8 2 1.21 1.22 1.23 1.24 Integration ............................................................................ 8 Social Security Benefits ....................................................... 8 Law of Pennsylvania Applicable ......................................... 8 Headings Not Part of Agreement ......................................... 8 SECTION II DISTRIBUTION OF PROPERTY ................................................................... 2.01 2.02 2.03 2.04 2.05 2.06 2.07 2.08 2.09 2.10 2.11 Final Equitable Distribution of Property ............................. 9 After-Acquired Property ...................................................... 9 Waiver of Inheritance .......................................................... 9 As Is Condition .................................................................... 9 Personal Property ................................................................. 9 Vehicles, Boats and the like ................................................ 10 Real Estate ........................................................................... 11 Retirement and Pension Plans ............................................. 11 Bank Accounts, Stock, Options and Life Insurance ............ 11 Monetary Payment ............................................................... 12 Property Tax Provisions ...................................................... 12 SECTION III DISTRIBUTION OF DEBTS ............................................................................ 3.01 3.02 3.03 3.04 Wife's Debts ......................................................................... 13 Husband's Debts .................................................................. 13 Marital Debts ....................................................................... 13 Indemnification .................................................................. 15 9 13 ii SECTION IV COUNSEL FEES, ALIMONY, APL, SPOUSAL SUPPORT AND HEALTH INSURANCE ............................................................................................................ 4.01 4.02 4.03 Waiver of Counsel Fees ....................................................... 16 Alimony, APL and Spousal Support ................................... 16 Health Insurance .................................................................. 16 16 SECTION V CLOSING PROVISIONS AND EXECUTION .............................................. 17 iii INTRODUCTION THIS AGREEMENT made this~.~ day of '~am~ ,~00:3_, by and between LISA D. MULFORD, (Wife") of 41 Keefer Way, Mechanicsburg, PA, and JAMES F. MULFORD, ("Husband") of 1077 Lancaster Blvd., Unit 6, Mechanicsburg, PA. WITNESSETH: WHEREAS, the parties hereto are husband and wife, having been married on May 25, 1986 in Hudson, Ohio, and separated on March 1, 2001. WHEREAS, There were two (2) Children born of this marriage: Kevin J. Mulford, bom April 9, 1991, and Michael L. Mulford, bom April 1, 1994, (the "Children"). WHEREAS, diverse and unhappy differences, disputes and difficulties have arisen between the parties and it is the intention of Husband and Wife to live separate and apart for the rest of their natural lives, and the parties hereto are desirous of settling fully and finally their respective financial and property rights and obligations as between each other including, without limitation by specification: the settling of all matters between them relating to the ownership and equitable distribution of real and personal property; the settling of all matters between them relating to the past, present and future support, alimony and/or maintenance of Wife by Husband or of Husband by Wife; and in general, the settling of any and all claims and possible claims by one against the other or against their respective estates. NOW, THEREFORE, in consideration of the premises and mutual promises, covenants and undertakings hereinafter set forth and for other good and valuable consideration, receipt of which is hereby acknowledged by each of the parties hereto, Wife and Husband, each intending to be legally bound hereby, covenant and agree as follows: END OF INTRODUCTION -1- SECTION I GENERAL PROVISIONS 1.01. INCORPORATION OF PREAMBLE The recitals set forth in the Preamble of this Agreement are incorporated herein and made a part hereof as if fully set forth in the body of the Agreement. 1.02. DIVORCE DECREE The parties acknowledge that their marriage is irretrievably broken and that they will secure a mutual consent no-fault Divorce Decree in Husband's above captioned divorce action docketed to No. 01-2384 CIVIL TERM and filed on May 1, 2001. Upon the execution of this Agreement, the parties shall execute and file all documents and papers, including affidavits of consent, necessary to finalize said divorce. Upon Husband's receipt of such filed documents, he shall file the remaining documents necessary to secure the entry of the Divorce Decree. If either party fails or refuses to finalize said divorce or execute and file the documents necessary to finalize the divorce, said failure or refusal shall be considered a material breach of this Agreement and shall entitle the other party at his or her option to terminate this Agreement, in which event the parties shall be restored to the same legal position each had been immediately prior to the execution of this Agreement, and either party may then proceed with the litigation of any claims heretofore raised in this divorce action the same as of this Agreement has never been executed by the parties. 1.03. AGREEMENT TO BE INCORPORATED IN DIVORCE DECREE The terms of this Agreement shall be incorporated into any Divorce Decree which may be entered with respect to them. This Agreement shall not merge with the Divorce Decree, but rather, it shall continue to have independent contractual significance and each party shall maintain their contractual remedies as well as Court remedies as the result of the aforesaid incorporation or as otherwise provided by law or statute. Unless otherwise specifically provided herein, this Agreement shall continue in full force and effect after such time as a final Decree in Divorce may be entered with respect to the parties. 1.04. DATE OF AGREEMENT The "date of this Agreement" shall be defined as the date of execution by the party last executing this Agreement. -2- 1.05. DISTRIBUTION DATE The transfer of property, funds and/or documents provided for herein shall only take place on the "distribution date" which shall be defined as the date of execution of this Agreement unless otherwise specified herein. 1.06. ADVICE OF COUNSEL The provisions of this Agreement and their legal effect have been fully explained to the parties by their respective counsel, Diane g. Radcliff, Esquire, of 3448 Trindle Road, Camp Hill, PA 17011, for Husband, and Samuel L. Andes, Esquire of 525 North Twelfth Street, P.O. Box 168, Lemoyne, PA 17043, for Wife. The parties acknowledge that they have received independent legal advice from counsel of their selection and that they fully understand the facts and have been fully informed as to their legal rights and obligations. They acknowledge and accept that this Agreement is, under the circumstances, fair and equitable and that it is being entered into freely and voluntarily after having received such advice and with such knowledge, and that execution of this Agreement is not the result of any duress or undue influence and that it is not the result of any collusion or improper or illegal agreement or agreements. 1.07. FINANCIAL DISCLOSURE The parties confirm that each has relied on the substantial accuracy of the financial disclosure of the other as an inducement to the execution of this Agreement, and each party acknowledges that there has been a full and fair disclosure of the parties' marital assets and debts and the parties' respective incomes, which has been provided to each party. 1.08. DISCLOSURE AND WAIVER OF PROCEDURAL RIGHTS Each party understands that he or she has the right: (1) to obtain from the other party a complete inventory or list of all of the property that either or both parties own at this time or owned as of the date of separation; (2) to have all such property valued by means of appraisals or otherwise; (3) to compulsory discovery to assist in the discovery and verification of facts relevant to their respective rights and obligations, including the right to question the other party under oath; and (4) to have a court hold hearings and make decisions on the matters covered by this Agreement, which Court decision concerning the parties' respective rights and obligations might be different from the provisions of this Agreement. Each party hereby acknowledges that this Agreement is fair and equitable, that it adequately provides for his or her needs and is in his or her best interests, and that the Agreement is not the result of any fraud, duress, or undue influence exemised by either party upon the other or by any other person or persons upon either party. -3- Given said understanding and acknowledgment, both parties hereby waive the following procedural rights: Inventory: The right to obtain an inventory of all marital and separate property as defined by the Pennsylvania Divorce Code. Income and Expense Statement: The right to obtain an income and expense statement of the other party as provided by the Pennsylvania Divorce Code, except in instances where such an income and expense statement is hereafter required to be filed in any child support action or any other proceedings pursuant to an order of court. Discovery: The right to have any discovery as may be permitted by the Rules of Civil Procedure, except discovery arising out of a breach of this Agreement, out of any child support action, or out of any other proceedings in which discovery is specifically ordered by the court. Determination of Marital and Non-Marital Property: The right to have the Court determine which property is marital and which is non-marital, and equitably distribute between the parties that property which the Court determines to be marital. Other Rights and Remedies: The right to have the Court decide any other rights, remedies, privileges, or obligations covered by this Agreement, including, but not limited to, possible claims for divorce, spousal support, alimony, alimony pendente lite (temporary alimony), counsel fees, costs and expenses. 1.09. BANKRUPTCY The parties hereby agree that the provisions of this Agreement shall not be dischargeable in bankruptcy and expressly agree to reaffirm any and all obligations contained herein. In the event a party files such bankruptcy and pursuant thereto obtains a discharge of any obligations assumed hereunder, the other party shall have the right to declare this Agreement to be null and void and to terminate this Agreement in which event the division of the parties' marital assets and all other rights determined by this Agreement shall be subject to Court determination the same as if this Agreement had never been executed by the parties. 1.10. PERSONAL RIGHTS Husband and Wife may and shall, at all times hereafter, live separate and apart. They shall be free from any control, restraint, interference or authority, direct or indirect, by the other in all respects as fully as if they were unmarried. They may reside at such place or places as they may select. Each -4- may, for his or her separate use or benefit, conduct, carry on and engage in any business, occupation, profession or employment which to him or her may seem advisable. Husband and Wife shall not molest, harass, disturb or malign each other or the respective families of each other nor compel or attempt to compel the other to cohabit or dwell by any means or in any manner whatsoever with him or her. 1.11. MUTUAL RELEASES Except as otherwise expressly provided in this Agreement, Husband and Wife each do hereby mutually remise, release, quitclaim and forever discharge the other and the estate of such other, for all time to come, and for all purposes whatsoever, of and from the following: Claims Against Property or Estate: Any and all right, title, interest and/or claims in or against the other party, the property (including income and gain from property hereafter accruing) of the other or against the estate of such other, of whatever nature and wheresoever situate, which he or she now has or at any time hereafter may have against such other party, the estate of such other party or the property of the other party or any part thereof, whether arising out of any former acts, contracts, engagements or liabilities of such other. Dower, Curtesy, Widows Rights: Any and all rights and claims of dower or curtesy, or claims in the nature of dower or curtesy or widow's or widower's rights, family exemption or similar allowance, or under the intestate laws, or the right to take against the spouse's will; Life Time Conveyances: The right to treat a lifetime conveyance by the other as testamentary, or all other rights of a surviving spouse to participate in a deceased spouse's estate, whether arising under the laws of (I) the Commonwealth of Pennsylvania, (ii) State, Commonwealth or Territory of the United States, or (iii) any other country; Marital Rights: Any rights which either party may have or at any time hereafter have for past, present or future support or maintenance, alimony, alimony pendente lite, counsel fees, equitable distribution, costs or expenses, whether arising as a result of the marital relation or otherwise. Breach Exception: The foregoing shall not apply to all rights and agreements and obligations of whatsoever nature arising or which may arise under this Agreement or for the breach of any provision thereofi It is the intention of Husband and Wife to give to each other by the execution of this Agreement a full, complete and general -5- release with respect to any and all property of any kind or nature, real, personal or mixed, which the other now owns or may hereafter acquire, except and only except, all rights and agreements and obligations of whatsoever nature arising or which may arise under this Agreement or for the breach of any provisions thereof. 1.12. INCOME TAX MATTERS With respect to income tax matters regarding the parties the following shall apply: Prior Returns: The parties have heretofore filed joint federal and state returns. Both parties agree that in the event any deficiency in federal, state or local income tax is proposed, or any assessment of any such tax is made against either of them, each will indemnify and hold harmless the other from and against any loss or liability for any such tax deficiency or assessment therewith. Such tax, interest, penalty or expense shall be paid solely and entirely by the individual who is finally determined to be the cause of the misrepresentations or failure to disclose the nature and extent of his or her separate income on the aforesaid joint returns. Current Returns: The parties shall file individual tax returns for the current tax year and for every tax year hereafter. 1.13. PRESERVATION OF RECORDS Each party will keep and preserve for a period of four (4) years from the date of their divorce all financial records relating to the marital estate, and each party will allow the other party access to those records as may be reasonably necessary from time to time. 1.14. EFFECT OF RECONCILIATION This Agreement shall remain in full force and effect even if the parties reconcile, cohabit as Husband and Wife or otherwise, or attempt a reconciliation. This Agreement shall continue in full force and effect and there shall be no modification or waiver of any of the terms hereof unless the parties, in writing, signed by both parties, execute a statement declaring this Agreement or any term of this Agreement to be null and void. 1.15. MUTUAL COOPERATION Each party shall, at any time and from time to time hereafter, and within at least twenty (20) days after demand therefor, take any and all steps and execute, acknowledge and deliver to the other party, any and all further instruments and/or documents that the other party may reasonably require for the purpose of giving full force and effect to the provisions of this Agreement. -6- 1.16. WAIVER OR MODIFICATION TO BE IN WRITING No modification or waiver of any of the terms hereof shall be valid unless in writing and signed by both parties. 1.17. AGREEMENT BINDING ON HEIRS This Agreement shall be binding and shall inure to the benefit of the parties hereto and their respective heirs, executors, administrators, successors and assigns. 1.18. NO WAIVER OF DEFAULT This Agreement shall remain in full force and effect unless and until terminated under and pursuant to the terms of this Agreement. The failure of either party to insist upon strict performance of any of the provisions of this Agreement shall in no way affect the right of such party hereafter to enforce the same in the future, nor shall it be construed as a waiver of strict performance of any other obligations herein, nor shall it be construed as a waiver of any subsequent default of the same or similar nature. 1.19. BREACH If for any reason either Husband or Wife fails to perform his or her obligations owed to or for the, benefit of the other party and/or otherwise breaches the terms of this Agreement, then the other party shall have the following rights and remedies, all of which shall be deemed to be cumulative and not in the alternative, unless said cumulative effect would have an inconsistent result or would result in a windfall of the other party: Ae Specific Performance: The right to specific performance of the terms of this Agreement, in which event the non-breaching party shall be reimbursed for all reasonable attorney's fees and costs incurred as the result of said breach and in bringing the .action for specific performance. Damages: The right to damages arising out of breach of the terms of this Agreement, which damages shall include reimbursement of all reasonable attorney's fees and costs incurred as the result of the breach and in bringing the damage action. Ce Divorce Code Remedies: The right to all remedies set forth in Section 3502(e) of the Pennsylvania Divorce Code, 23 PA. C.S.A. 3502(e), and any additional rights and remedies that may hereafter be enacted by virtue of the amendment of said statute or replacement thereof by any other similar laws. D. Other Remedies: Any other remedies provided for in law or in equity. -7- ge Considerations for Reasonable Attorneys Fees: Any award of "reasonable attorneys fees" as used in this paragraph shall be based on consideration of (1) the hourly rate charged; (2) the services rendered; and (3) the necessity of the services rendered. Determination of reasonableness shall not take into consideration the amount or nature of the obligation sought to be enforced or any possibility of settlement for less than the obligation sought to be enforced by the non-breaching party. 1.20. MANNER OF GIVING NOTICE Any notice required by this Agreement shall be sent to a party at the address listed on page 1 above, or such other address as that party may from time to time designate. 1.21. INTEGRATION This Agreement constitutes the entire understanding of the parties and supersedes any and all prior agreements and negotiations between them. There are no representations or warranties other than those expressly set forth herein. 1.22. SOCIAL SECURITY BENEFITS The parties agree that, subject to the Rules and regulations of the Social Security Administration, each of the parties shall continue to be eligible for Social Security benefits to which he or she would ordinarily be qualified as a party to a divorce after a marriage of ten (10) years or more in duration, if the parties' marriage is determined to be often (10) or more years in duration. 1.23. LAW OF PENNSYLVANIA APPLICABLE This Agreement shall be construed in accordance with the laws of the Commonwealth of Pennsylvania. 1.24. HEADINGS NOT PART OF AGREEMENT Any headings preceding the text of the several paragraphs and subparagraphs hereof, are inserted solely for convenience of reference and shall not constitute a part of this Agreement nor shall they affect its meaning, construction or effect. END OF SECTION I -8- SECTION II DISTRIBUTION OF PROPERTY 2.01. FINAL EQUITABLE DISTRIBUTION OF PROPERTY The parties agree that the division of all property and debts set forth in this Agreement is equitable and in the event an action in divorce has been or is hereafter commenced, both parties waive and relinquish the right to divide and distribute their assets and debts in any manner not consistent with the terms set forth herein and further waive and relinquish the right to have the Court equitably divide and distribute their marital assets and debts. It is further the intent, understanding and agreement of the parties that this Agreement is a full, final, complete and equitable property division. 2.02. AFTER-ACQUIRED PROPERTY Each of the parties shall hereafter own and enjoy, independently of any claim or right of the other, all property, tangible or intangible, real, personal or mixed, acquired by him or her, since March 1, 2001, the date of the parties' marital separation, with full power in him or her to dispose of the same as fully and effectively, in all respects and for all purposes, as though he or she were unmarried and each party hereby waives, releases, renounces and forever abandons any right, title, interest and claim in and to said after acquired property of the other party pursuant to the terms of this Paragraph. 2.03. WAIVER OF INHERITANCE Each of the parties hereto does specifically waive, release, renounce and forever abandon any right, title, interest and claim, if any, either party may have in and to any inheritance of any kind or nature whatsoever previously, or in the future, received by the other party. 2.04. AS IS CONDITION Except as otherwise specifically herein provided, and with respect to the transfer of any tangible assets provided for in this Marital Agreement, the parties acknowledge that he or she have had the opportunity to inspect and view the assets that he or she is to receive as his or her sole and separate property and he or she is fully aware of the condition of such tangible asset and is receiving those assets in "as is" physical condition, without warranty or representation by or from the other party. 2.05. PERSONAL PROPERTY With respect to the tangible personal property of the parties including, but without limitation with specific reference to,jewelry, clothes, furniture, furnishings, rugs, carpets, household equipment and appliances, tools, pictures, books, works of art and other personal property ("the Personal Property"), the parties agree as follows: -9- Division: Husband and Wife do hereby acknowledge that they have previously divided the Personal Property. Hereafter Wife agrees that all of the Personal Property in the possession of Husband shall be the sole and separate property of Husband; and Husband agrees that all of the Personal Property in the possession of Wife shall be the sole and separate property of Wife. Waiver: The parties do hereby specifically waive, release, renounce and forever abandon whatever claims, if any, he or she may have with respect to the Personal Property which shall become the sole and separate property of the other. 2.06. VEHICLES, BOATS AND THE LIKE Each party does hereby waive release, renounce and forever abandon whatever right, title and interest they may have in the Vehicles that are in the sole name or possession of the other party and the party owing or posessing said vehicles shall indemnify, protect and save the other party harmless from any and all claims arising out of the possession or ownership of said Vehicles. 2.07. REAL ESTATE The parties were the owners of a certain tract of improved real estate known and numbered as 9 Norfolk Court, Mechanicsburg, PA which real estate was previously sold and the proceeds derived therefrom distributed between the parties based on their mutual agreement. The parties hereby reaffirm that prior distribution and agree to that distribution as a part of this Agreement. 2.08. RETIREMENT AND PENSION PLANS Each of the panics does specifically waive, release, renounce and forever abandon all of their right, title, interest or claim, whatever it may be, in any Pension Plan, Retirement Plan, IRA Account, Profit Sharing Plan, 401 -K Plan, Keogh Plan, Stock Plan, Tax De£erred Savings Plan, any employee benefit plan and/or other retirement type plans of the other party, whether acquired through said party's employment or otherwise, ("the Retirement Plans"). Hereafter the Retirement Plans shall become the sole and separate property of the party in whose name or through whose employment said plan or account is held or carried. If either party withdraws any sums from the Retirement Plans distributed to him or her pursuant to the terms of this Paragraph, that party shall he solely liable for any and all taxes and penalties resulting from that withdrawal. 2.09. BANK ACCOUNTS, STOCK, OPTIONS AND LIFE INSURANCE The parties acknowledge and agree that they have previously divided to their mutual satisfaction all of their bank accounts, certificates of deposit, bonds, shares of stock, investment plans and life insurance cash value, ("the Accounts & Investments"). Except as otherwise herein provided, all the Accounts & Investments held in the name of Husband shall become the sole and separate property - 10- of Husband; and all the Accounts & Investments held in the name of Wife shall become the sole and separate property of Wife. Each of the parties does specifically waive, release, renounce and forever abandon any right, title, interest or claim, he or she may have in the Accounts that are to become the sole and separate property of the other pursuant to the terms hereof. The forgoing notwithstanding, the following shall apply to the Knowledge Planet Stock Options: Identification and Division: The parties shall equally divide the net proceeds (after taxes and exercise costs) received from Husband's exercise, of any, of the marital stock options (being those stock options issued to or otherwise obtained by Husband between the date of marriage and the date of their final separation), for 2000 shares of Knowledge Planet stock. Notice: Husband will provide Wife with at least ten (10) days advance notice of his intention to exercise the marital stock options. Exercise: Husband shall exercise the marital stock options in a prudent manner if and when they will generate a reasonable profit. Payment: Husband shall pay Wife her fifty percent (50%) share of the net proceeds derived from the exercise of the marital stock options within five (5) business days of his receipt of payment. Documentation: Concurrent with said payment Husband shall provide Wife will complete documentation regarding the exemise of those options including, but not limited to, the gross and net amounts received, the taxes Husband will have to pay as the result of the exercise, and any other documentation to confirm the exercise of the options. Property Division Treatment: The funds received from the exercise of the marital stock options shall be considered to be a division of marital property and will not be included in the calculation of the parties' incomes for support purposes. 2.10. MONETARY PAYMENT In consideration of the division of the marital assets and debts herein provided, Husband shall pay wife the sum of $10,846.14. Said payment shall be made upon Husband's signing of this Agreement. This payment shall be considered to be a division ofmarital property and not alimony, and will not be included in the calculation of the parties' incomes for support purposes. -11- 2.11. TAX PROVISIONS The parties believe and agree that the division of property made to be made pursuant to the terms of this Agreement is a non-taxable division of property between co-owners rather than a taxable sale or exchange of such property. Each party promises not to take any position with respect to the adjusted basis of the property assigned to him or her or with respect to any other issue which is inconsistent with the terms of this Paragraph on his or her applicable federal or state income tax returns. END OF SECTION II -12- SECTION III DISTRIBUTION OF DEBTS 3.01. WIFE'S DEBTS Wife represents and warrants to Husband that since the parties' marital separation she has not contracted or incurred any debt or liability for which Husband or his estate might be responsible. Wife further represents and warrants to Husband that she will not contract or incur any debt or liability after the execution of this Agreement for which Husband or his estate might be responsible. Wife shall indemnify and save Husband harmless from any and all claims or demands made against him by reason of debts or obligations incurred by her. 3.02. HUSBAND'S DEBTS Husband represents and warrants to Wife that since the parties' marital separation he has not contracted or incurred any debt or liability for which Wife or her estate might be responsible. Husband further represents and warrants to Wife that he will not contract or incur any debt or liability after the execution of this Agreement for which Wife or her estate might be responsible. Husband shall indemnify and save Wife harmless from any and all claims or demands made against her by reason of debts or obligations incurred by him. 3.03. MARITAL DEBTS During the course of the marriage, Husband and Wife have incurred certain bills and obligations and have amassed a variety of debts, ("the Marital Debts"), and it is hereby agreed, without ascertaining for what purpose and to whose use each of the Marital Debts were incurred, the parties agree as follows: General Provision: Any debt herein described shall be deemed to include the current balance owed on the debt. Unless otherwise herein specifically provided, there shall be no adjustment for the payment of any portion of the Marital Debts that a party may have made prior to the execution of this Marital Agreement, whether or not that debt is specifically referenced in this Paragraph. Joint Debts: The parties acknowledge and agree that all joint debts were previously paid, and there are no remaining joint obligations of the parties. C. Wife's Debts: Wife shall be solely responsible for the following bills and debts: 1. Wife's Vehicle Loan(s): Any vehicle loan of obligation for Wife's Vehicle(s) -13- Go as provided in this Agreement; Taxes from Withdrawal of Retirement Funds: Any and all taxes resulting from her withdrawal of funds from Wife's Retirement Plans as provided in this Agreement; Other Debts: Any and all other debts, liabilities, obligations, loans, credit card accounts, and the like incurred in Wife's sole name, and not otherwise provided for herein. Husband's Debts: Husband shall be solely responsible for the following bills and debts: Husband's Vehicle Loan(s): Any vehicle loan or obligation for Husband's Vehicle(s) as provided in this Agreement;. o Taxes from Withdrawal of Retirement Funds: Any and all taxes resulting from his withdrawal of funds from Husband's Retirement Plans as provided in this Agreement; Other Debts: Any and all other debts, liabilities, obligations, loans, credit card accounts, and the like incurred in Husband's sole name, and not otherwise provided for herein. Indemnification: Each party agrees to hold the other harmless from any and all liability which may arise from the aforesaid bills which pursuant to the terms herein are not the responsibility of the other party. Cancellation of Joint Debts: Any joint debt shall be canceled so that neither party can make any further charges thereunder, and if said charges are made in violation of this Agreement, then the party incurring said charge shall immediately repay the same. Non-Disclosed Liability: Any liability not disclosed in this Agreement shall be the sole responsibility of the party who has incurred or may hereafter incur it, and the party incurring or having incurred said debt shall pay it as it becomes due and payable. No Further Joint Debt: From the date of this Agreement, each party shall only use - 14- those credit accounts or incur such further obligations for which that party is individually and solely liable and the parties shall cooperate in closing any remaining accounts which provide for joint liability. Refinance: In the event a party is assuming a liability for which the parties are jointly liable, that party shall refinance the same within sixty (60) days of the date of this Agreement so as to release the other party from any and all liability thereunder. 3.04. INDEMNIFICATION Any party assuming an obligation pursuant to the terms of this Agreement shall indemnify, protect and hold the other party harmless from and against all any and all liability thereunder, including, but not limited to, any attorney's fees and costs incurred by the other party as the result of defending against the obligation and/or enforcing the provisions of this indemnification. END OF SECTION III -15- SECTION IV COUNSEL FEES, ALIMONY, APL, SPOUSAL SUPPORT, AND HEALTH INSURANCE 4.01. WAIVER OF COUNSEL FEES The parties hereto agree and do hereby waive any right and/or claim each may have, both now and in the future, against the other for counsel fees, costs and expenses. 4.02. ALIMONY. APL AND SPOUSAL SUPPORT The parties hereto agree and do hereby waive any right and/or claim they may have, both now and in the future, against the other for alimony, alimony pendente lite, spousal support and maintenance. The waiver of spousal support and alimony pendent lite shall be effective as of the date of the entry of the Divorce Decree. 4.03. HEALTH INSURANCE The following shall apply regarding health insurance: Health Insurance for Spouse: Any party carrying health insurance on the other party shall continue to provide health insurance coverage on the other party until the date of the entry of the Divorce Decree. The party for whom that health insurance is provided shall be entitled to elect Cobra coverage under the other party's employment policy in accordance with federal Rules and regulations provided that he or she shall be solely be responsible for the payment of the costs therefor. Health Insurance Documentation: Any party having the insurance coverage on the other party pursuant to the terms of this Paragraph shall provide the other party with all documentation pertaining to the insurance including, but not limited to, medical insurance cards, benefit booklets, claim submission forms and all statements pertaining to the determination of insurance coverage as to each claim made thereunder. END OF SECTION IV -16- SECTION V CLOSING PROVISIONS AND EXECUTION 5.01. COUNTERPARTS This Agreement may be executed in counterparts, each of which shall be deemed to be an original, but all of which shall constitute one and the same agreement. 5.02. FACSIMILE SIGNATURE Each party agrees to accept and be bound by facsimile signatures hereto. 5.03. BINDING EFFECT BY SIGNING THIS AGREEMENT, EACH PARTY ACKNOWLEDGES HAVING READ AND UNDERSTOOD THE ENTIRE AGREEMENT, AND EACH PARTY ACKNOWLEDGES THAT THE PROVISIONS OF THIS AGREEMENT SHALL BE AS BINDING UPON THE PARTIES AS IF THEY WERE ORDERED BY THE COURT AFTER A FULL HEARING. IN WITNESS WHEREOF, the parties hereto, intending to be legally bound hereby, have signed sealed and acknowledged this Agreement the day and year below written, which Agreement has been executed in various counterparts, each of which shall constitute an original. WITNESS: Date: Date: / ~7/~/0~-~, (SEAL) (SEAL) END OF SECTION V -17- COMMONWEALTH OF PENNSYLVANIA : : SS. COUNTY OF CUMBERLAND : On this the 2q't~ day of tV'o g~-m~a--~ ,2003, before me the undersigned officer, personally appeared, JAMES F. MULFORD, known to me (or satisfactorily proven) to be the person whose name is subscribed to the within Agreement, and acknowledged that he executed the same for the purposes therein contained. IN WITNESS WHEREOF, I hereunto set my hand and notarial seal. Notarial Seal Diane G, Radcliff, Notary public COMMONWEALTH OF PENNSYLVANIA SS. COUNTY OF CUMBERLAND On this the ~J~ day of ~0_,0 ~"~// , 2003, before me the undersigned officer, personally appeared, LISA D. MULFORD, known to me (or satisfactorily proven) to be the person whose name is subscribed to the within Agreement, and acknowledged that she executed the same for the purposes therein contained. IN WITNESS WHEREOF, I have hereunto set my hand and notarial seal. OTARY PUBLIC JAMES F. MULFORD, Plaintiff LISA D. MULFORD, Defendant : IN THE COURT OF COMMON PLEAS OF : CUMBERLAND COUNTY, PENNSYLVANIA : NO. 01-2384 CIVIL TERM : : CIVIL ACTION - LAW : DIVORCE PRAECIPE OF TRANSMIT RECORD TO THE PROTHONOTARY: Transmit the record, together with the following information, to the court for entry of a divorce decree: GROUND FOR DIVORCE: Irretrievable breakdown under Section 3301(c) of the Divorce Code. DATE OF FILING AND F~a-NNER OF SERVICE OF THE COMPLAI/Tr: a. Date of filinq of Complaint: 4/24/01 b. Manner of service of Complaint: Certified Mail, Restricted Delivery C. Date of Service of ComDlaint: 5/1/01 3 o DATE OF EXECUTION OF THE AFFIDAVIT OF CONSENT REQUIRED BY SECTION 3301 (C) OF THE DIVORCE CODE: a. Plaintiff: 5/1/03 b. Defendant: 12/3/03 O_aa DATE OF EXECUTION OF THE PLAINTIFF'S AFFIDAVIT REQUIRED BY SECTION 3301{D) OF THE DIVORCE CODE AND DATE OF SERVICE OF THE PLAINTIFF'S 3301 (D) AFFIDAVIT UPON THE DEFENDANT: a. Date of Execution: N/A b. Date of Filinq: N/A Date of Service: N/A RELATED CLAIMS PENDING: No issues are pending. Ail issues have been resolved pursuant to the parties' Marital Agreement dated December 3, 2003, filed of record in this case, which Agreement is to be incorporated into but not merged with the Divorce Decree 5o DATE ~ F~%/qI~ER TR/tNSMIT RECORD, UNDER SECTION 3301(D) (1) (I) OF THE DIVORCE CODE: a. Date of Service: N/A b. Manner of Service: N/A OF SERVICE OF THE NOTICE OF INTENTION TO FILE PRAECIPE TO A COPY OF WHICH IS ATTACHED, IF THE DECREE IS TO BE ENTERED O__R IN SECTION 3301 (C) DIVORCE WAS FILED WITH THE DATE WAIVER OF NOTICE PROTHONOTARY: a. Plaintiff's Waiver: 12/10/03 b. Defendant's Waiver: 12/10/03 DIANF.~3. RADCLIFF, ESQUIRE 3448 ,-~T~rin~e Road Camp Hill, PA 17011 Supreme Court ID # 32112 Phone: (717) 737-0100 IN THE COURT OF COMMON PLEAS JAMES F. OF CUMBERLAND COUNTY STATE OF ~. PENNA. MULFORD, Plaintiff NO. 01-2384 VERSUS LISA D. MULFORD, Defendant DECREE IN DIVORCE AND NOW, DeCREeD THAT JAMES F, MULFORD AND LISA D. MULFORD ARE DIVORCED FROM THE BONDS OF MATRIMONY. CIVIL TERM ~ IT IS ORDERED AND __, PLAINTIFF, , DEI~ENIDANT, BY THE COURT: . ATTE ST:~~~:~ N OTA:Y' No issues are outstanding. Ail issues have been resolved and settled by the Parties' Marriage Settlement Agreement dated December 3, 2003, filed of record and incorporated into, but not merged with, this Decree. THE COURT RETAINS JURISDICTION OF THE FOLLOWING CLAIMS WHICH HAVE ~EEN RAISED OF RECORD IN THIS ACTION FOR WHICH A FINAL ORDER HAS NOT YET BEEN ENTERED;