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HomeMy WebLinkAbout11-5537LAW OFFICES OF VINCENT B. MANCINI & ASSOCIATES By: Lee A. Stivale, Atty. I.D. #46511 Brian LeGrow, Atty. ID. 493977 414 East Baltimore Pike Media, PA 19063 (610) 566-8064 KING STREET TRUST 12 CARROLL STREET, #132 Westminster, MD 21157 Plaintiff, V. UNITED STATES OF AMERICA DEPARTMENT OF TREASURY 228 Walnut Street, Rm 620 Harrisburg, PA 17108 Defendant, Attorney for Plaintiff IN THE COURT OF COMMON PLEAS CUMBERLAND COUNTY, PA NO 11-5-5 3-7 . cv C- rte-- -o rl cnr' - o? CIVIL ACTION - A11v 3 o n o? ACTION FOR QUIET TITLE p?z .: Gn co NOTICE TO DEFEND AND CLAIM RIGHTS You have been sued in court, if you wish to defend against the claims set forth in the following pages, you must take action within twenty (20) days after this complaint and notice are served, by entering a written appearance personally or by an attorney and filing in writing with the court your defenses or objections to the claims set forth against you. You are warned that if you fail to do so the case may proceed without further notice for any money claimed in the complaint or for any other claim or relief requested by the plaintiff. You may lose money or property or other rights important to you. 1 n<o oi19x.06 pd Q YOU SHOULD TAKE THIS PAPER TO YOUR LAWYER AT ONCE. IF YOU DO NOT HAVE A LAWYER, GO TO OR TELEPHONE THE OFFICE SET FORTH BELOW. THIS OFFICE CAN PROVIDE YOU WITH INFORMATION ABOUT HIRING A LAWYER. IF YOU CANNOT AFFORD TO HIRE A LAWYER, THIS OFFICE MAY BE ABLE TO PROVIDE YOU WITH INFORMATION ABOUT AGENCIES THAT MAY OFFER LEGAL SERVICES TO ELIGIBLE PERSONS AT A REDUCED FEE OR NO FEE. CUMBERLAND COUNTY BAR ASSOCIATION 32 SOUTH BEDFORD STREET CARLISLE, PA 17013 717-249-3166 2 LAW OFFICES OF VINCENT B. MANCINI & ASSOCIATES By: Lee A. Stivale, Atty. I.D. #46511 Brian LeGrow, Atty. ID. #93977 414 East Baltimore Pike Media, PA 19063 (610) 566-8064 Attorneys for Plaintiff KING STREET TRUST 12 Carroll Street, #132 Westminster, MD 21157 Plaintiff, V. UNITED STATES OF AMERICA DEPARTMENT OF THE TREASURY 228 Walnut Street, Rm 620 Harrisburg, PA 17108 Defendant, IN THE COURT OF COMMON PLEAS CUMBERLAND COUNTY, PA NO. 10- CIVIL ACTION ACTION FOR QUIET TITLE COMPLAINT Plaintiff, King Street Trust, by and through its attorneys, Vincent B. Mancini & Associates, hereby files this Complaint and avers as follows: 3 Parties: Plaintiff, King Street Trust, is a Pennsylvania common law trust, (hereinafter referred to as "Plaintiff') with a notice address at 12 Carroll Street, # 132, Westminster, MD 21157. 2. Defendant is the United States of America, Department of the Treasury, (hereinafter referred to as the "IRS") with an office and notice address at 228 Walnut Street, Rm 620, Harrisburg, PA 17108. 3. The IRS is an agency of the United States Department of the Treasury. The IRS has responsibility for the ascertainment, computation, assessment, and collection of taxes, including federal income taxes. Jurisdiction and Venue: 4. This civil action involves legal claims concerning the title of real property located in Shippensburg Borough, Cumberland County, Pennsylvania. 5. Jurisdiction is proper in Cumberland County, Pennsylvania when this civil action styled as an Action to Quiet Title involves real estate situate in the County of Cumberland. Background: 6. On or about December 28, 1995, Troy A. Beam and Debbie A, Beam, h/w, did convey fee simple title to the real property located at 438-440-442-444 East King Street, Shippensburg Borough, Cumberland County, Pennsylvania (collectively with 324 E. King Street, the "Properties") to Plaintiff, King Street Trust. The real property located at 438-440-442-444 East King Street is assigned tax parcel number 32-33-7869-065. A copy of the deed evidencing conveyance of the Property to King Street Trust, recorded at Deed Book 0136, Page 367, 4 recorded on March 21, 1996 in the lands records office for Cumberland County is attached hereto as Exhibit "A." 7. The real property located at 438-440-442-444 East King Street, Shippensburg Borough, Cumberland County, Pennsylvania consists of four attached residential dwelling units. 8. On or about December 28, 1995, Troy A. Beam and Debbie A, Beam, h/w, did convey fee simple title to the real property located at 324 East King Street, Shippensburg, Cumberland County, Pennsylvania (collectively with 438-440-442-444 East King Street, the "Properties") to Plaintiff, King Street Trust. The real property located at 324 E. King Street is assigned tax parcel number 32-34-2413-012. A copy of the deed evidencing conveyance of the Property to King Street Trust, recorded at Deed Book 0136, Page 370, recorded on March 21, 1996 in the lands records office for Cumberland County is attached hereto as Exhibit "B." 9. The real property located at 324 East King Street, Shippensburg Borough, Cumberland County, Pennsylvania consists of single family residential dwelling unit. 10. The conveyances of the Properties from Troy A. Beam and Debbie A, Beam to the Plaintiff, King Street Trust, were in fee and were irrevocable. 11. Troy A. Beam and Debbie K. Beam did not reserve or retain any right, title or interest in the Properties, including any reversion interest, life estate or interest in the profits or income of the same. 12. Troy A. Beam and Debbie K. Beam did not retain any right to alter, amend or modify the King Street Trust. 13. Troy A. Beam and Debbie Beam are not the Trustees of the Plaintiff, King Street Trust. 14. Troy A. Beam and Debbie K. Beam did not retain any economic interest in or control over the King Street Trust and the Properties following its conveyance to the Plaintiff King Street Trust. 15. The Plaintiff King Street Trust is a valid irrevocable trust in the Commonwealth of Pennsylvania. 16. The trust instrument uses sufficient words to create the trust relationship, a definite trust subject, and a certain and ascertainable object. A copy of the trust instrument is attached hereto as Exhibit "C." 17. The declaration of intention to establish the King Street Trust is definite, clear and explicit, and embodies all of the essential elements of an irrevocable trust in the Commonwealth of Pennsylvania. 18. The Trust, Exhibit "C", expressly imposes enforceable duties upon the Trustee with ascertainable purposes and beneficiaries. 19. The Plaintiff King Street Trust has a particular interest in identified property. 20. The Plaintiff King Street Trust separates the legal and beneficial title or interest in the res. 21. The Plaintiff King Street Trust has a beneficiary who acquires the equitable or beneficial interest in the subject matter. 22. The Plaintiff King Street Trust relationship imposes an equitable duty upon the trustee to deal with the subject matter in accordance with the stated trust purposes. 23. The Plaintiff Trust has a stated "trustee." 6 IRS Liens: 24. In or about October 2001, the IRS filed Notice of Federal Tax Lien dated September 24, 2001, in the total amount of $19,291.18 with the Cumberland County Prothonotary. A copy of the Notice of Federal Tax Lien is attached hereto as Exhibit "D." 25. The Internal Revenue Officer who caused the lien (Exhibit "D") to be filed is D. Zmudzin. 26. The taxpayer whose identity created the alleged lien (Exhibit "D") is "Troy A. Beam," who has a notice address at 401 Shippensburg Rd., Shippensburg, PA 17257. 27. The taxpayer identified on the Notice of Federal Tax Lien (Exhibit "D") is "Troy A. Beam" and is not the Plaintiff, King Street Trust, the fee owner of the Properties. 28. In or about October 2001, the IRS filed Notice of Federal Tax Lien dated September 24, 2001, in the total amount of $649,329.30 with the Cumberland County Prothonotary. A copy of the Notice of Federal Tax Lien is attached hereto as Exhibit "E." 29. The Internal Revenue Officer who caused the lien (Exhibit "E") to be filed is D. Zmudzin. 30. The taxpayer whose identity created the alleged lien (Exhibit "E") is "Troy A. Beam and Debbie K. Beam," who have a notice address at 401 Shippensburg Rd., Shippensburg, PA 17257. 31. The taxpayer identified on the Notice of Federal Tax Lien (Exhibit "E") is "Troy A. Beam and Debbie K. Beam" and is not the Plaintiff, King Street Trust, the fee owner of the Properties. 7 32. In or about June 2006, the IRS filed Notice of Federal Tax Lien dated May 31, 2006, in the total amount of $1,841,055.50 with the Cumberland County Prothonotary. A copy of the Notice of Federal Tax Lien is attached hereto as Exhibit "F." 33. The Internal Revenue Officer who caused the lien (Exhibit "F") to be filed is R. A. Mitchell for D. Zmudzin. 34. The taxpayer whose identity created the alleged lien (Exhibit "F") is "Troy A. Beam," who has a notice address at 401 Shippensburg Rd., Shippensburg, PA 17257. 35. The taxpayer identified on the Notice of Federal Tax Lien (Exhibit "F") is "Troy A. Beam" and is not the Plaintiff, King Street Trust, the fee owner of the Properties. 36. In or about December 2009, the IRS filed Notice of Federal Tax Lien dated December 21, 2009, in the total amount of $1,841,102 with the Cumberland County Prothonotary. A copy of the Notice of Federal Tax Lien is attached hereto as Exhibit "J." 37. The Internal Revenue Officer who caused the lien (Exhibit "G") to be filed is D. Zmudzin. 38. The taxpayer whose identity created the alleged lien (Exhibit "G") is "King Street Trust as Nominee and/or Alter Ego of Troy A. Beam," who has a notice address at 401 Shippensburg Rd., Shippensburg, PA 17257. 39. The taxpayer identified on the Notice of Federal Tax Lien (Exhibit "G") is "King Street Trust as Nominee and/or Alter Ego of Troy A. Beam" and is not the Plaintiff, King Street Trust, the fee owner of the Properties. 40. Since taking ownership and possession of the Properties, Plaintiff King Street Trust by and through its Trustees has paid all real estate taxes owed on the Properties and has 8 held the Properties to the exclusion of others, holding the land out to the general public as its own. 41. Since taking ownership in the Properties, Plaintiff King Street Trust has managed the Properties and has caused the same to be leased and expenses of maintaining the Properties to be satisfied. 42. At no time since conveyance of the Properties to the Plaintiff King Street Trust has Troy A. Beam and/or Debbie K. Beam derived any personal financial or other benefit, including distribution of income, money or other property from the Plaintiff King Street Trust. 43. There has been no co-mingling of assets owned by Troy A. Beam and/or Debbie K. Beam with that owned by Plaintiff King Street Trust. COUNT I - ACTION IN QUIET TITLE 44. Plaintiff incorporates paragraphs one (1) through forty three (43) as though fully set forth herein. 45. Pa. R.C.P. 1061(b) states in pertinent part that an Action to Quiet Title may be brought, (1) to compel an adverse party to commence an action of ejectment; (2) where an action of ejectment will not lie, to determine any right, lien, title or interest in the land or determine the validity or discharge of any document, obligation or deed affecting any right, lien, title, or interest in land; (3) to compel an adverse party to file, record, cancel, surrender or satisfy of record, or admit the validity, invalidity, or discharge of, any document, obligation or deed affecting any right, lien, title or interest in land; or (4) to obtain possession of land sold at a judicial or tax sale. 9 46. The Plaintiff King Street Trust is not the alter ego of Troy A. Beam and/or Debbie K. Beam. 47. The Plaintiff King Street Trust is not a sham trust. 48. The Plaintiff King Street Trust is not a "Nominee" of Troy A. Beam and/or Debbie K. Beam. 49. The filing of the liens (Exhibits "D" through "G") by the Defendant United States is improper, invalid, unlawful and should be stricken. WHEREFORE, Plaintiff, King Street Trust, respectfully requests this Honorable Court to enter in a Decree an Order: A. Awarding the Plaintiff sole right, title and interest in the Property being, 438-440- 442-444 East King Street, Shippensburg, Cumberland County, Pennsylvania assigned tax parcel number 32-33-1869-065 free and clear of any lien, judgment or interest of the Defendant, United States of America. B. Awarding the Plaintiff sole right, title and interest in the Property being, 324 East King Street, Shippensburg, Cumberland County, Pennsylvania assigned tax parcel number 32-34-2413-012 free and clear of any lien, judgment or interest of the Defendant, United States of America. C. Such other relief as this Honorable Court deems just and reasonable. Respectfully submitted, 10 Lee A. Stivale, Esquire Attorney for Plaintiff King Street Trust Jul 081101:28p - -- p,1 i j VERIFICATION I I, Harold Forney, Trustee for Plaintiff, Ding Street Trust, mattes this Verification and states that the statements made m the foregoing Response are true and correct to the best of Iris knowledge, information and belief. The undersigned understands that the statements therein are made subject to the penalties of IS Pa. C_S. Section 4904 relating to unworn falsification to autluxities. t i i If DATE -r i ? HAROLD O E , 11 TeX Parcel J.D. No. 3Z 33 -t gig - 0 r f 1.5 t 2MSAEED MADE T e (1 1 day of $Jakki •, in the year of apt Lord one thousand nine hundred BETWM'M ZRO SA' BEAM Ed DRUM X BEAM, heshand and wife, of 40l Shipponsbutg *"? Pa=ylvenis, hri+ei;Z to b"W to as (JmnMM AND KING STREET 7wsr. of 12 Carroll Street, 11132. Watmlr>atar, Me7jwd. 21157, hcrel2aft DtdJy vd to as Crrenke, W171(mmmu, OW for and in eonsideeation of the sum of ONE DOLLAR (111.00 In hood Paid, dw rmiPl wlbteofis td. .U fee simple to the said Casota, its SACOCUM and assigns Grantors do hereby grant and convey, in ALL the as 438-410-44fo?? described mW am* bgrL%a wd ? mooed therm mown ??? 2''144 Fest ICwg Surat lying and being sWiw in the Borough of Shippcns Yl PeneaYlvsnk am>b Particularly described as follows: 6. BIGD "OC gat the North by Fist Kung Sttset; oar the War by s20-foot alley, on the South by a 20 foot easy; and on the Batt by Jot now or fotmedy of David Beer. 33MW the as=which(hum L. SWtigo%w. byher, tk?me)ie-lk(;4 Sharon Trdcs, by dadeed dated Beam I who of 0dr?? !n CssaMuld Cowry Deed Book PwAad and WSW to Troy A. 1 by his wife, Debbie K Boom, a ,,he CuaMOrs herein. PtopertyA And the said Grank" hereby cow,= and agree that they wia warmat gorse! the by conveyed. lY G in Twis u A TAX rtx"Wr Tz"SrytS M 1 RTIe[!11 36r17.e! AND IRIIti4Ea YURSUAaT TO r 72 Y.S. taxRiOtl 6102-a.3, , ... M CD r ?u y L, J Cp 11 VAM. WD" AM /UPWO - A"*PUWya At "W - tae m4xT /tam &,"Cry - a,OVC168m4k M 17317.1317 Ll dwsmwpwfpiwwmoocxwgA=,NriTATMI IN Wl iT11S' S VUfiEREOF, GrIMMOM have hCrUMID set their bM& and xalS tits slay and yC, Lint above written. Slsnod, Scaled and Delivered In the Presence of i '`. P 11 O DE1381E 1C BEAM COMMONWEALTH OF PENNSYLVANIA COUNTY OF CUMBERLAND ss. Q ???jyv Oct this, th day ofA&g4"; I99S, hefeae we, a Notary Public in and for said County and Stato, the tmdc*u d officer, personally oppmed Troy A. Beam and Debbie K. Beam lroown to no (or SWAIdsctatify Proms) to be. the perwrs whore aamm an subecnbed to the within irntrmoeat, and ackwwladged that they executed the same for the purposes herein contalned. IN WITNESS WHEREOF, I heranto set my bet)d and affidmi -1 A I do hereby certify that the ctmttplete post af}Iee adduu oftho within aamed GnmAm ' 12 Carroll Sheet, 01320 W , Maryland, 21157 r 144V491 Z 091 1945 r Grantee M 136 PME 369 MAgL. MRALE AML ?tAYM ATT..Ip AT LAN . as LAST MM LTALLT - Swpgg5§ A k PA 1 rSLA.1A0-? Jan 31 11 12:24A Tax ?&mel ID. No. 3 2- 3q- p, _ p ! Z (_(M,? ,? 77llSDEBD MADE TIJS 1 of &4 pb1/ in the year of our Lord one thousand nine hundmd nindy--five (1995). BETWFW TROY A- UAM and DRBBIB K.1 CAK bursWMand wife, of4D1 Sbippe rmbtag Road, Shipp-b rg. l'erusylvemio, Wdufter referred to as Gtm+tors. AND KING STRM TRvST, of 12 Carroll Street. #132. Westminster, Maylead„ 21157, herelmger referred to as t, nmtee. VMNB38ETT3, that for and in conskk melon of ft sum of ONE DOLLAR (S1.00, in bead paid. the oaoeipt whaeof is heteby the said Qrmftrs do hereby grant and convey, a fm sbVie to the said Or mae, its sun mmxs ad assigns, ALL the foUrAns lot of Pound with dwolaktg house erected thereon, known Sa 324 East King Strec% skm to in the Borough of Shippeasburg, Conbaland County. pbaasylvacia, bounded and desexibed as Mews: B110MYNG tut the North by Bt King Street; on the East by lot now or formerly of Mamba Nall Colds n , on the soakby sn alle y, an the West by at now ar formerly ofQyde Md";; extending along Said East King Stt,e,% a 4bWWe of forty-tern (42) ken MA to Said al ley in the Tetr, A distance ortwa hundmd SRy-Seven (257) feet, more or leas, known as 324 Ent Kag Street BMNG a part of the acme wbich Rabat A. Catbaoglt also kaowm ae Robat 0, Carbaugh, by his doW dated Kwmmbw 19, 1992 and recmded in Cumberland Canty Deed Boot "Z'. Volume 35, at Pace 880, granted to Troy A. Beam, Who joined by hie wife, DW* K. Seam we the Grantors herein. And the said Grantors hereby covenant and agree that they will %%WT nt generally the pnwerty hereby c4mv yc& r 9 111 ? Ti :0 ru TWS U A TAI VCKICPT TRAtfMR eaTVM SBTTLIM AND TwsTas PUSSUAW To 72 1 ? C 71 P.S. SIMON 8102-C,3. 3 „ ftl em 136 PAGE 370 i M*AK- WES= Alm PWWPU - A7TONKY! AT U W - la* HAfT MW '"66" - PUPWILM AL IA 17ie7.1)97 ¦ 0 .2 31 14 12:25n I LlN 7C:111?Wtfi601rr?D0,sISA{? IN VMNE.SS aTMMOF, Grantorshere hereunto set their handr and seals the day end year brit above written. ' Slgoed, Sealed and Delivered in the Presence of Q, 1 rac .a DMM K BEAM COMMONWEALM OF PEMMVAATA in #. w "N. MwgrtlYWe ML ft"ft M cv ra~Cesar COUNTY OF CUMBERLAND 0sm?sYe at, trek V fol On this, the y of y 1995, beforerae, aNowy Public in and for said Comy and State, the uodersigmd officer. person spy appeared Troy A. Beam sad Debbie K. Benin. Imown to man (or sotisfam rily pmvea) to be, the pem m whose mores am m6smbed to the vAddo bm mmcot, and acknowledged MR they cucated the same for the purposes herein contained. %% A "i.( IN WITNESS WF1020F, f hereunto set my hand and ofci seal N rp Public i .I1a1lttiUAtt"Ma i I do hareby certify dud the complete post office address of the widdr named tee Is k 2 Co=U Street, f132. W er, Maryland, 21157 r (? r ?? 1995 ` -1 r L ? Attprney for raatoe Boar 136 PAcf 371 WINK. WOOL[ AOO Pg0 - ATrO*MV0 AT MW - 124 CAST KMO ""WT. - swwam Ws. PA 1TU7,1101 A TRUST INDENTURE ICING STREET TRUST 12 Carroll Street, 0132 Westminster, Maryland 21157 Date: IRREVOCABLE COMMON LAW TRUST THIS COMMON LAW TRUST ORGANIZATION shall be irrevocable to the Grantor(s), and the Grantor(s) hereby expressly waives any and all rights and powers, whether alone, jointly or in conjunction with others, and regardless of when or from what source said Grantor(s) may heretofore or hereafter have acquired such RIGHTS or POWERS to alter, amend, revoke, or terminate this Contract and Declaration of Trust or any of the terms hereof, in whole or in part, and, PROVIDED, further, the Grantor(s) shall not retain, as Grantor(s), any reversionary interest nor income for life, nor does the Grantor(s) retain, as Grantor(s), any right or power to unilaterally remove or replace a trustee, nor to unilaterally appoint himself or herself as a trustee of this Common Law Trust Organization. DEATH . . . INSOLVENCY . . . BANKRUPTCY DEATH, INSOLVENCY or BANKRUPTCY of a Trust Certificate Holder or the transfer of a Trust Certificate shall not operate as a 1'? dissolution of this Common Law Trust Organization, nor in any manner affect its operation or administration. OWNERSHIP OF A TRUST CERTIFICATE shall not entitle the Trust Certificate Holder to any Legal or Equitable Title in or to the it property or corpus of this Common Law Trust Organization, nor to any undivided interest therein, nor in the management or administration thereof, nor shall death of a Trust Certificate Holder entitle his or her heirs or legal representatives to demand any partition or division of the property or corpus, nor to any special accounting. The rights of the Trust Certificate Holder(s) in personam are limited to merely a claim against the Trustees to carry out this Contract and Declaration of Trust. POWERS OF TRUSTEES THIS INSTRUMENT shall convey to the Trustees of this Common Law Trust Organization, as principals, free from representation or control of Holders of Trust Certificates, only the power, control and authority necessary to conserve, continue, preserve, improve, administer, and increase, in a reasonable manner, those assets that are held by this Common Law Trust Organization; said Holders of Trust Certificates reserving only the right to receive the Certificates pro-rata share of the income that may be distributed at the sole discretion of the Trustees, and the corpus in a pro- rata manner upon liquidation. SAID POWERS OF TRUSTEES include the following enumerated powers, as well as those rights, powers, privileges, and immunities granted by the Constitution of the United States, or by the common or case law, custom or usage, to be exercised by the Trustees in their sole discretion, and without approval of any Holders of Trust Certificates or the Courts, to wit: 1. The purpose of this First Power of Trustees is to enable the Trustees to hold stock and exercise the voting power thereof. Said stock may be corporate stock of any class or description; the other Powers of the Trustees are: 2. To invest and reinvest the Corpus in whole or in part in any property or undivided interest in property, whether tangible or intangible, wherever located, including bonds, notes, mutual Page #2, KING STREET TRUST INDENTURE. funds, savings accounts, passbook accounts, stocks of corporations, certificates of deposit, trust certificates, stock rights, debentures, warrants, convertible debentures, options, health and/or life insurance policies, mineral deposits or resources, precious or semi-precious gemstones, precious metals, copyrights, patents, royalties, leases, commissions, real estate, interest in other Common Law Trust Organizations or any other thing of value issued or offered by any person, firm, insurance company, trust company, corporation or other legal entity without limitations placed upon said investment; the other Powers of the Trustees are: 3. To employ attorneys, auditors, accountants, bookkeepers, consultants, investment advisors or other professional, as well as agents with or without discretionary powers; and to keep any property, real or personal, in the collective name of this Common Law Trust Organization or in the name of the Trustees -IN TRUST IRREVOCABLE - or in the name of nominees or in bearer form; and to keep Minutes of Trustees' Meetings and other books and records of account as may be deemed necessary by the Trustees; the other Powers of the Trustees are: 4. To retain any tangible or intangible property, real or personal or both, received from any source, regardless of any lack of diversification or non-productivity and regardless of its location or situs; the other Powers of the Trustees are: i 5. To sell any property of this Common Law trust Organization, for cash or on credit, at public or private sale; to exchange any property for other property; to give or receive options to purchase or acquire or dispose of property; and to determine the price and terms of said sales, exchanges and options; the other 11 Powers of the Trustees are: !I i 6. To make execute contracts, proxies, leases, and sub-leases as leasee or leasor; to grant easements, to give consents, to make and execute loans; the other Powers of the Trustees are: 7. To borrow money for any purpose or use permitted by this Contract and Declaration of Trust, and to pledge or mortgage property as collateral; the other Powers of the Trustees are: 8. To take any action with respect to conserving or realizing upon the value of any property held by this Common Law trust Organization; to take any action with respect to legal actions, in or out of court, brought by any party; to defend this Common Law Trust Organization from internal or external attack; to appear in the collective name of this Common Law Trust Organization, in court, through an attorney, or pro-se, or both; and to take any action with respect to foreclosures or other changes affecting the Corpus of this Common Law Trust Organization; and to reimburse Trustees for expenses incurred in any of the aforesaid actions; to collect, pay, contest, compromise or abandon demands of, to, for or against this Common Law Trust Organization; the other Powers of the Trustees are: 9. To receive additional property of whatever nature, from whatever source, and to add it to and co-mingle it with the other property comprising the Corpus, principal, and income of this Common Law Trust organization; the other Powers of the Trustees are: 10. To enter into any transaction authorized by this Common Law Trust Organization with fiduciaries of other Common Law Trust Organizations, Ordinary Trust, Trust Estates, or Administrations of Ordinary Trusts, or Trust Estates, and in such actions to purchase property, make loans and execute contracts; the other Powers of the Trustees are: 11. To make any distribution or division of the property or Corpus, in cash or in kind, or both; to have unfettered discretion in determining the domicile and location situs of Page 0, LING STREET TRUST INDENTURE. this Common Law Trust organization; to transfer, in whole or in part, the corpus, assets or income, or both, without delay, to any location or locations, and to take any other steps or procedures elaborated upon in the Section herein entitled "DOMICILE"; the other Powers of the Trustees are: 12. To establish out of income and credit to principal reasonable reserves for the depreciation of tangible property, and to amortize in whole or in part the premium of securities either received or purchased at a premium; the other Powers of the Trustees are: 13. To make donations to whatever churches, religious orders, non-profit foundations or other tax-exempt non-profit organizations at the sole discretion of the Trustees; the other Powers of the Trustees are: 14. To have Trustees' Meetings, to keep Minutes, to make Resolutions and to authorize affirmative actions; the other Powers of the Trustees are: i? 15. To receive, carry on and extend any going business or enterprise conveyed to this Common Law Trust Organization. i CONSTRUCTION THE TRUSTEES, OFFICERS, AGENTS, EMPLOYEES, or other described in item three (3)of this Section herein entitled, "Powers of Trustees," shall possess only such authority as awarded them herein. Said authority is vested herein without the necessity of resort to the courts for permission or approval of any transaction. Authority is understood and meant to be the lawful delegation of power by one person to another. DOCUMENT IT IS EXPRESSLY DECLARED that a Common Law Trust Organization is created by this Document as a separate legal entity, and, PROVIDED, further, it is expressly declared that this Document does not create a partnership, or co-partnership, nor 1 association, nor corporation, nor joint-stock company, nor joint venture. 11 RESTRICTIONS NOTHING HEREIN CONTAINED shall be construed to authorize this Common Law Trust Organization to issue Trust Certificates in excess of the number herein provided, nor for a nominal value at variance with the provisions hereof. THE TRUSTEES SHALL NOT DIVULGE ANY TRUST BUSINESS, except only when subpoenaed by a competent court of record having jurisdiction in that instant matter, and then the Trustee(s) shall provide only such information or documents enumerated within said subpoena, PROVIDED the court's jurisdiction has been established. TRUST CERTIFICATES TRUST CERTIFICATES shall be divided into one Hundred (100) Units, in Certificate form, said trust Certificates shall be non- assessable, non-taxable, or transferable in whole or in part; and, PROVIDED, further, said Trust Certificates shall be negotiable during the period of negotiation between the Creator hereof and the Grantor(s) hereto, and, PROVIDED, further, said Trust Certificates shall be non-negotiable thereafter. Said Trust Certificates shall be construed to represent only a pro- rata interest in the income of this Common Law Trust Organization, that the Trustees may, in their sole discretion, resolve to distribute, and to a pro-rata share of the Corpus upon liquidation. i Page #4, RING STREET TRUST INDENTURE. HOLDERS OF TRUST CERTIFICATES A HOLDER OF A TRUST CERTIFICATE shall not have a legal or equitable title or interest in or to the property or assets or Corpus of this Common Law Trust Organization. Said Holders of Trust Certificates shall not be personally liable for any act or omission of any Trustee, or Officer, or Agent, or Employee of this Common Law Trust Organization. Said Holder of a Trust Certificate shall have no voice or role, whatsoever, in the management, control, administration, or meetings of this Common Law Trust Organization; Trust Certificate Holders shall hold their Trust Certificates as Tenants in Common, and at the death L of any Trust Certificate Holder, said Trust Certificate shall immediately become null and void. THE TRUSTEES shall thereupon issue a new Trust Certificate to a person or persons in their sole discretion, provided, however, that said person or persons are NOT THE GRANTOR(S) of any real or personal property conveyed into the corpus of this Common Law Trust Organization; and, provided, further, the total Units issued shall not exceed One Hundred (100). TRUSTEE LIABILITY THE TRUSTEES shall not have limited liability, but rather, shall be personally liable for any action taken by them severally, jointly, or collectively on behalf of this Common Law trust Organization, PROVIDED, however, that wherever such actions-have been taken in good faith and with reasonable care, prudence, and diligence, the Trustee, or trustees, performing such act, or acts may be reimbursed by this Common Law Trust Organization for any losses incurred, by said Trustee(s), as a result of such act, or acts. RESOLUTIONS RESOLUTION OF THE BOARD OF TRUSTEES in the By-Laws or minutes authorizing a certain thing to be done shall be evidence that such act is within its power, nothing to the contrary in the Contract and Declaration of Trust or Public Policy notwithstanding. All funds paid into the Treasury of this Common Law Trust Organization shall become an integral part of the Corpus, and, PROVIDED, further, this Common Law trust Organization shall have, and does in fact have, authority to provide itself with operating funds through commercial or private loans, directly secured by assets, or income, or both; PROVIDED, however, that such authority is granted, in writing, by the Board of Trustees of this Common Law Trust Organization. INTENT NOTHING HEREIN CONTAINED shall be construed as an intent to evade or contravene any federal or state law, nor to delegate to the Trustees of this Common Law Trust Organization any special power belonging exclusively to the franchise of incorporation; the intent of this Contract and Declaration of Trust is to convey only the power vested in a Common Law Trust Organization as elaborated and specified within this Contract and Declaration of Trust and not against Public Policy. The express intent of the Creator of this Common Law Trust Organization is to convey to said Common Law Trust Organization certain rights, powers, and duties pertaining to trustees in their fiduciary capacity, and by creating this separate legal entity, the Creator hereof has exercised a right which was preserved by Article 1, Section 10, Clause 1 of the United States Constitution. OFFICERS AND MANAGEMENT THE TRUSTEES MAY, in their sole discretion, nominate, appoint and elect from among their number an Executive Trustee, Executive Secretary, General Manager, or any other positions, Page dt5, KING STREET TRUST INDENTURE. consistent with a Common Law Trust Organization, they deem necessary or expedient for proper functioning and efficient operation and administration. Any Trustee may hold more than one position simultaneously, their duties being such as are usual or prescribed. The Trustees may also employ agents or others to further the administration and purpose of this Common Law Trust Organization. DURATION . . . RENEWAL . . . CLOSURE THIS COMMON LAW TRUST ORGANIZATION shall continue for a period of Twenty-Five (25) years from the date of creation, provided, however, that, prior to the expiration of this Contract and Declaration of Trust, the then duly constituted Trustees, if they so desire and believe that this Common Law Trust organization should not be closed, may renew this Contract and Declaration of Trust for a like or shorter period of time. A RESOLUTION OF SAID RENEWAL shall be entered upon the Minutes, and, in the event this Instrument is recorded, notice shall also j be recorded in said Records office at least One Hundred Twenty (120) days prior to the expiration hereof; and, provided, further, should this Common Law Trust organization terminate and close, the then duly constituted Trustees shall liquidate the i' assets, and distribute the Corpus in a pro-rata manner to the then lawful Holders of Trust Certificates as their contingent -rights appear. In the event this Instrument has been recorded, jj notice that this Common Law Trust Organization shall cease and terminate shall also be recorded in said Record's Office; and thereupon, the Trustees shall automatically be discharged hereunder, PROVIDED, however, that their administration and distribution has been made in good faith; otherwise a Court of Equity may be invoked to review and correct any tort or error. COMPENSATION THE TRUSTEES shall fix and pay compensation of all officers, Employees, or Agents in their sole discretion, and may pay themselves such reasonable compensation for their services as may be determined by the Board of Trustees, provided, however, no compensation shall be paid to any Trust Certificate Holder, as such, in their capacity as a Trust Certificate Holder. EXPENDITURES THE TRUSTEES of this Common Law Trust Organization are empowered to pay all debts, bills, insurance premiums, and any other obligations necessary to the administration, control, continuance, maintenance, or operation of this Common Law Trust Organization and its assets, property, or corpus, and, provided, further, the Trustees, Officers, Agents, or Employees who incur expenses while in performance of their duties shall be reimbursed for said expenses by this Common Law Trust Organization. ADMINISTRATION THE TRUSTEES shall regard this Instrument as their sufficient guide, supplemented from time to time by resolutions and minutes of the Board of Trustees, said Resolutions and Minutes to be ratified by a majority of the Trustees, covering contingencies as they arise and are recorded in the Minutes of their Meetings, which are the By-Laws, Rules and Regulations of this Common Law Trust Organization. DISABILITIES PAYMENTS OR DISTRIBUTIONS to a minor, or to persons under legal disability, or to a person not adjudged incompetent, but who by reason of illness or physical disability shall be unable to use or disburse such payment or distribution, may have said payment Page 46, KING STREET TRUST INDENTURE. or distribution made by the Trustees for the assistance of such Trust Certificate Holder in any one or more of the following ways as in the sole discretion of the Trustees, to wit: A. Directly to such Trust Certificate Holder; B. To the duly qualified legal representative of such Trust Certificate Holder, or to a Guardian, or Guardian ad litem; C. To a relative or friend who has care of custody of such Trust Certificate Holder; D. To a Trustee of this Common Law Trust Organization, directing said Trustee to use such distributions directly for the assistance of such Trust Certificate Holder, or to the dependents of such Trust Certificate Holder. THE TRUSTEES OF THIS COMMON LAW TRUST ORGANIZATION shall be released from any personal liability upon full and proper payment to any of the aforelisted persons. TRUSTEES TRUSTEES shall not be less than one (1) in number, but may be increased for reasons advantageous to this Common Law trust Organization. The Trustees herein named, or their successors elected to fill vacancies, shall hold Office, have and exercise collectively the exclusive management and administration and control of the property and interests without any consent of the Trust Certificate Holders; PROVIDED, however, that the Trustees are not entitled, in their capacity as Trustees, to share in the distributions or-in the Corpus upon liquidation; and, PROVIDED, also, that a Trustee may resign from Office by filing with the Board of Trustees a written, notarized statement of such jl resignation; and, PROVIDED, further, a Trustee may be removed from Office by a resolution of the unanimous concurrence of all the Trustees, when, in their opinion, said Trustee shall have been guilty of Fraud, malfeasance in office, Gross Neglect of Duty, or for Cause by a Mandate of a Court of Competent Jurisdiction; and, PROVIDED, further, that in the event of death, removal from Office, or resignation, the Board of Trustees may appoint or elect a successor Trustee. SHOULD THE ENTIRE BOARD OF TRUSTEES become vacant, without the prior naming of successor Trustees within the Minutes of this Common Law Trust Organization, a Court of Competent Jurisdiction may then appoint one Trustee, who, in turn, may appoint other Trustees; PROVIDED, however, should objection be filed by any of the Trust Certificate Holders as to the Nomination or appointment of either the Court appointed Trustee or any of the j other nominee Trustees seeking appointment, the same shall be I entered upon the Minutes; and, PROVIDED, further, any objection of any of the candidates - Court appointed or otherwise - shall bar and deprive said candidate(s) from accepting the appointment as a Trustee of this Common Law Trust Organization. THE SIGNING AND ACKNOWLEDGEMENT of this Contract and Declaration j of Trust, or of appropriate Minutes of this Common Law Trust Organization, by the new Trustee(s) shall constitute their acceptance of this Common Law Trust Organization and of this Contract and Declaration of Trust; and the entire title - both Legal and Equitable - shall vest IMMEDIATELY in the new Trustee(s) without any further act of conveyance. PURPORT THE PURPORT of this Instrument is to convey property to Trustee(s) to constitute a Common Law Trust Organization, Ij Irrevocable to the Grantor(s) herein named, and held in Fee Simple by the Trustee(s) - IN TRUST IRREVOCABLE - and in Joint Tenancy for the duration hereof and to provide for a sane and I economical administration of this Common Law Trust Organization, j Page 1#7, ICING STREET TRUST INDENTURE. said administration to begin at once and not to be deferred until the death of any Creator, Grantor(s), Settlor, or Maker as occurs when such Trust Estates are created by Last will and Testament; the Creator, Grantor(s), Settlor, or Maker of this Contract and Declaration of Trust preferring that the Trustee(s) act in a Fiduciary Capacity and solely within their Rights preserved as based upon their Common Law Rights, Privileges, Immunities, and Custom and Usage as vouchsafed secured to Citizens of these United States of America, and defined in Article IV, Section 2, of the United States Constitution, PROVIDING, the "Citizens of each State shall be entitled to all it Privileges and Immunities of Citizens in the several States"; and Article VI, Section 2, of that Document, PROVIDING, that, "This Constitution, and the Laws of the United States which shall be made in pursuance thereof, . . . shall be the Supreme Law of the Land"; and Article I, Section 10, of that Document, PROVIDING, that, "No State shall pass any law impairing the Obligation of Contracts"; and the Fourteenth Amendment to that Document, PROVIDING, that, "No State Shall make or enforce any law which shall abridge the privileges or immunities of citizens of the United States; nor shall any State deprive any person of life, liberty or property, without due process of the law; nor deny to any person within its jurisdiction the equal protection of the law". The administration of this Common Law Trust Organization shall be amenable to judicial regulation on occasion, and as applicable, arising under the paternalism and protection of the Court. ASSIGNMENT NO INTEREST UNDER THIS INSTRUMENT shall be transferable or assignable by any Trust Certificate Holder, nor be subject during the life of this Common Law Trust Organization to claims of creditors. DOMICILE THE TRUSTEE(S) of this Common Law Trust Organization shall have the unfettered discretionary power to decide at all times the location of this Common Law Trust Organization, and the location and Situs of it's principal Office, and the assets and income thereof, and the forum of administration, said power being vested in the Trustee(s) and enumerated in the Section herein entitled "Powers of Trustees" as enumerated and specified therein. THE TRUSTEE(S) of this Common Law Trust organization may, if ?! they, in their sole discretion decide the situation so warrants, move the Situs, and principal office, and location, and legal jurisdiction of this Common Law Trust Organization, without delay, to any other State, or States, or any other Country, or Countries of their choosing, retaining at all times the unfettered Right and Power to remove said Situs, location, and legal jurisdiction, either in whole or in part, back to the State(s), or Country(ies) of origin, or any State, or States, or Country, or Countries, and, PROVIDED , further, no change in Trustee(s) is required, however the then current Trustee(s) may nominate, appoint, and elect additional Trustees even though said new Trustees may or may not be foreign nationals, or may or may not be natural persons, banks, trust companies, or corporations. CREATION ii THE CREATOR hereby offers to bargain or exchange, in trade, Trust Certificates in this Common Law Trust Organization, comprising a total of One Hundred (100) Units for any and all of the real and/or personal property of the Exchangor(s), (hereinafter) referred to as Grantor(s), herein named. THE GRANTOR OR GRANTORS for One Dollar and other Consideration Page #8, KING STREET TRUST INDENTURE. of One Hundred (100) Trust Certificate Units, the receipts of which is hereby acknowledged, does hereby bargain, negotiate, ;convey, exchange, and deliver unto the Creator hereof certain real and/or personal property, or both, owned by Grantor or Grantors herein named. THE CREATOR hereby constitutes and appoints the First Trustee to be, in fact, a Trustee of this Common Law Trust Organization hereby created and established. The First Trustee may appoint a second Trustee, and together they in turn may appoint other Trustees. The property will be immediately conveyed and delivered unto said Trustee(s) - IN TRUST IRREVOCABLE - said Trustee(s) to be the absolute owners, and hold both Legal and Equitable title as Joint Tenants in Fee Simple. Said property, real and personal, or both, and other things of value shall constitute this Common Law Trust organization, including all j Rights in reversion or remainder wherever situate, all of which shall form the Corpus of this Common Law Trust Organization hereby created and established. FOR CONVENIENCE, the properties, real and personal, or both, may be held in the name of the Trustee(s) - IN TRUST IRREVOCABLE - as Joint Tenants in Fee Simple, or, in the alternative, said properties, real or personal, or both, may be held in the collective name of the Trustees as specified on this Contract and Declaration of Trust. THE NAMED TRUSTEE(S), for themselves and their Successors - IN TRUST IRREVOCABLE - do hereby Accept the conveyance and acknowledge the delivery of said property, together with all of the terms of this Common Law Trust Organization, and all of the terms of this Contract and Declaration of Trust as herein set ;forth, agreeing to Conserve, Continue, Preserve, and Improve this Common Law Trust Organization , and to invest and reinvest the funds and Corpus of this Common Law Trust Organization in such manner as will increase the financial resources of this Common Law Trust Organization, exercising their best judgment and discretion in accordance with this Contract and Declaration of Trust, and in accordance with the Minutes of this Common Law Trust Organization, making such distributions of portions of the proceeds and incomes as in their sole discretion, and in accordance with the Minutes; and, upon final liquidation distributing the assets to the existing trust Certificate Holders as their contingent Rights may appear; and in other i; respects administering said Common Law Trust Organization in Good Faith, strictly in conformity hereto - SO HELP THEM GOD. Page df10, KING STREET TRUST INDENTURE- accepted the Grantor's Property(ies) as an equal exchange for the One Hundred (100) Trust Certificate Units in this Common Law Trust Organization. Cre for Date STATE OF ) ss. COUNTY On this day of /' 19 before me, the ,undersigned, a Notary Public in and for the State of personally appeared James iril7n.; , Barry, tome known to be the identical person named in and who executed the foregoing Acceptance and acknowledged the same to be his/her voluntary act and deed./,, -?+toar?-?ublic (Seal) + r la r ?? U;,i " f r? r,I 11 ,rl My Commission Expires 3. THE CREATOR of thisirContr.act andDeCi.aration of Trust hereby " appoints Andrew Earp as the First Trustee of this Conmon Law Trust Organization, under no obligations or prior arrangements to the said Trustee. The Appointment as Trustee, together with the responsibilities, obligations, and duties is hereby ACCEPTED. Date: STATE OF COUNTY OF Cry for First Trustee ) ss. On this day of :-C 19 before me, the undersigned, a Notary Public in and for the State of personally appeared James Barry andiAndrew Earp, to me known to be the identical persons named in and who executed the foregoing Acceptance and acknowledged having the foregoing as their voluntary act. and I deed. My Commission Expires_ 4. BY THE POWER VESTED 1.n r the First TriiStee, and pursuant to the Contract and Declaration of Trust, the First Trustee appoints James Barry to be the Second Trustee of this Common Law Trust Organization. BY THE SIGNATURES appearing below the appointment is accepted, together with the responsibilities, obligations, and duties pertaining thereto. Date: First Trustee j Second Trusts STATE OF J ) ss. COUNTY OF ()0d; On this ,r r day of 19 before me, i Page 1,'12, KING STREET TRUST-INDEN=RE i my commission Expires We, Andrew Earp and James;,Barrg,' ,do hereby acknowledge our Acceptance as Trustees of this Common Law Trust Organization, !! and PLEDGE OUR FAITHFUL PERFORMANCE of OUR DUTIES and OBLIGATIONS. Date: First Trustee r? Second Truste STATE OF //; ) ss. t COUNTY OFD-?•1,?lr''r ) On this i day of 19 before me, the undersigned, a Notary Public in and for the State of personally appeared Andrew Earp and James Barry, to me known to be the identical persons named in and who executed the foregoing and acknowledged that they executed the same as their voluntary act and deed. 4) Notary Public ;Seal) My Commission Expires I --' MM =1 N,1JN UTES SPECIAL MEETI'I`rG OF THE. BOARD OF TRUSTEES OF King Street Trust On g ; \ V9, a00 a A meeting of the Board of Trustees of King Street Trust was held and the following was affirmed and ratified, viz: The Executive Trustee, Andrew Earp, acting as Chairman, was present and constituted all of the current members of the Board of Trustees for King Street Trust The first order of business to come before the meeting was the appointment of Harold Forney to the position of Successor Trustee of King Street Trust . It was decided by the Trustee/Chairman that Harold Forney is hereby appointed to the position of Successor Trustee of King Street Trust. The second order of business to come before the meeting was the resignation and removal of Andrew Earp from the position of First Trustee of the King Street Trust Trust. Pursuant to Paragraph 14 of the Trust Indenture, Andrew Earp, First Trustee, having appointed Harold Forney to the position of Successor First Trustee of King Street Trust, hereby resigns from the position of Trustee of King Street Trust. Said Resignation does not take effect until Harold Fonley has accepted the position of Successor First Trustee, as evidenced by his signing of the Acceptance Minute. There being no further business coming before the meeting, the mting adjourned. (rev- ?' Andrew Earp. T:uste fitness DOCUMENTATION OF THE ACCEPTANCE OF APPOINTMENTS FOR King Street Trust On ? \ i `? , 20c;),_ the undersigned does hereby accept and acknowledge the appointment of the position of First Trustee to King Street Trust, pursuant to the resignation of the existing Trustee, as documented in Minutes attached. I understand and accept the duties of and shall adhere to and be bound by the Trust Indenture and the subsequent Minutes of the Trust. Harold Forney, First STATE OF COUNTY OF Cs-,, -.?,? BEFORE ME, the undersigned authority, duly commissioned and qualified, on this day, Harold Forney, known to me to be the person described in and who executed the above; and being by me first duly sworn, did acknowledge to me that he executed the said instrument as his free act and deed, for the uses, purposes, consideration and in the capacity therein stated. SUBSCRIBED, AFFIRMED TO and ACKNOWLEDGED before me on NOTARIALSEAL E iiIIELYIPI S. BEAM, Notary Puft ? ??HopeWl Up., CumWand County i Commission Expires October 1, 2005 `"'}` - Notary Public -- jan ' Y 7 7 Department of the Treasury - Internal Revenue Service Forml 668 (Y)(c) Mop. 4ber 20001 Notice of Federal Tax Lien Area; Serial Number For Ooontl Uss b Recording Office EML BUSINESS/SELF EMPWYED AREA #3 Lien U it Phone: (412) 395-5265 - 230180284 != TL- no. 01• S?rJ.10 As ovided by section 6321, 6322, and 6323 of the Internal Revenue Cod we are zMag a eadce that taxes (Including Interest and penalties) have been assessed apinst the faflo ring?named taxpayer. We have allade n Ad. s 900 a demand for paymet of ebb liability, but It remains unpaid. Therefore , there` Is a pen in favor of the United States on all property and dlglm to x"31 y property beloeghlg to this taxpayer for the amount of these taxes, and addidonW pwalldes, interest, and costs that may accrue. , i1710 -=- Name of Taxpayer TROY A BEAM Residence 401 SFlIPPENSBURG RD '== SHIPPENSBURG, PA 17257-8617 IMPORTAM RELEASE INFORMATION: For each assessment listed below " i , unless notice of the lien is refiled by the date given in column fey, this notice shell, on the day following such date, operate ens a certificate of relesse as defined in IRC 63264a). Kind of Tax Tax Period Ending Identifying Wzmber Date of Assessment Last Day for g Unpaid Ballmce of Asses'smen a b c d e f 1040 12/31/1992 187-56-2949 10/04/1993 11/03/2003 1040 i I t i i l t I I I 12/31/1992 187-56-2949 07/26/1999 08/25/2009 19291.18 Place of Filing Prothonotary Tote! $ Cumberland County 19291.18 Carlisle, PA 17013 This the was prepared and signed at PITTSBURGH, PA 24th day of September 2001 , on this, Signature , Title Revenue officer 23-01-1441 for D.IZMUDZIN (717) 221-3490 (NOTE: Certificate of affieer authorized by law to take acknowledgment is not essential to the validity of Ratite of Faclasubillill -- Rev. Rul. 71-466, 1971 - 2 C.B. 409) Part 1 . Kept By Rewtdlas Office Form 669(YN ? y i ? ? J-r. 31 11 12:27 P-13 -T - - 499 . Department of the Treasury - Internal Revenue Service form tR O a (y)(0 b 2000 Notice of Federal Tax Lien sv. c o er ) Area: Serial Number For optional Use by Recording Office SMAL Uen U :BUSINESS/SELF EMPLOYED AREA #3 it Phone: (412) 395-5265 230180286 71e, t) S 7J ?TL As pr ovided by section 6321, 6322, and 6323 of the Internal Revenue Cod we an *Ing a notice that taxes (induding interest and penalties) have been assessed apinst the folowing-named taxpayer. We have made A!. 119.00 A a d for payment of this IiabiSty, but It remains unpaid. Therefore, /v diet Is alien in favor of the United States on al property and rights to r m Y prop belonging to tip taxpayer for the amount of these taxes, and anal penalties, Interest, and costs that may accrue. ` 11 V GY Name ¢f Taxpayer TROY A & DEBBIE K BEAM Reside ice 401 SHIPPENSBURG RD SHIPPENSBURG, PA 17257-8617 IMP l RTA3IT RELEASE INFORMATION: For each asses6ment listed below, is i f un e not ce o the lien Is ref ed by the date given in column to), this notice shall, on t he day following such date, operate as s certificate o1 release as defined _ in IR C 6325(a). - ; .• Kind I Taos Tau Period Endin Id dif i N Date of A Last Day for u4mm r&IiD0! g en y ng umber ssessment Refilling of Assesrasent a b c d e 1040 4 12/31/1993 187-56-2949 09/12/1994 10/12/2004 10 0 12/31/1993 187-56-2949 11/13/1995 12/13/2005 18780.52 1040 12/31/1993 187-56-2949 07/26/1999 08/25/2009 1040 12/31/1994 187-56-2949 09/04/1995 10/04/2005 1010 12/31/1994 187-56-2949 07/26/1999 08/25/2009 42071.36 10 0 l i i i i 12/31/1995 187-56-2949 07/09/1999 06/08/2009 588477.42 Place ofj Fining Prothonotary Cumberland County Carlisle, PA 17013 Total $ This notice was prepared and signed at P=TTSBURGH, PA the 124th day of September 2001 Signature Title ' Revenue Officer for D! ZLKUDZIN (717) 221-3490 t1WTE: Certificate of officer authorized by Nw to cake scknewledgmem is not essential to the validity of Notice of Rau1. Rul. 71-456,1971 - 2 C.B. 409) Form 668( Pm 1 -Kept By Ra?rdlo8 Office 649329.30 on this, 23-01-1441 Jan 31 4' 1 '7:27o f 1672 Rw ..?..ww-1 wl .Lw T- !? _t n_ A_ Form 6? (Rev Feh ty/`c/ rv 2M41 «?? _... ?... _. -.._ .. _.... _. f . ..v. ..... ..v. v..v.. vv.IVV Notice of Federal Tax Lien . Arse: Serial Number For Optional Use b Records Office SMALL Lien Uni ASncEss1ssLP EMPLOYED AREA #2 Phone: (Boo) 913-6050 294376706 rlt dD As ip ? by section 6321, 6322, and 6323 or do internal idwenue ryt, S(. ?.J Code, are Aft a notice that taus (kiciuding interest and penalties) have assessed asst d w fOiI0ll hWean sed taxpayer. We have made ?t c c„ / 7 9 o 4,3 a d for payment of this liability, but It ranalns unpaid, Therefore, there a Nast In favor of the Untied States on ail pngmty and don co ?? G O pr%mA y belong to this tairayer for N1e amomic of these axes, and at[416 d peoaldes, Interest sad casts that essay accrfse , . Name of Taxpayer TROY A BEAM Residenc e 401 SHIPPENSBURG RD j ?rr7 N SHIPPENSBURG, PA 17257-8617 o -< iiK)}'O l ANT RELEASE RMRWT10* For each assessment gated billow, f i Il ff b i I d un ess cs o t the an is ra ate g led y the ven n cokunn (a), this notice shell, on the day Wowing such date, operate as a certificate of release as defined in IRC 0325(a). T R Last __ 5W Nallaaft a KW of Tax i id=Wylna Nmsber sseessimmit M d p t a 1 b c d (4) LQ 1040 12/31/1996 XXX-XX-2949 03/06/2006 04/05/2016 559806.17 1040 12/31/1997 XXX-XX-2949 03/06/2006 04/05/203.6 638280.05 1040 j i i i 12/31/1998 XXX-XX-2949 03/06/2006 04/05/2016 642967.28 Place of Filing Prothonotary Cumberland County Total $ 1841055.50 Carlisle, PA 17013 This notice was prepared and signed at DE'T'ROIT, MI , on this, the 31st day of may 2006 _ - Signature 1 {? u. ?/,?,rf,,ruf ?e OFFICER 22-09-4041 for DENi3I3' ZMMZIN (717) 221-3490 (MOM Certltieete of officer authorized by law to take acknowledgment is not essential to trte validity of Notice of Fede Rev. F4 71-464,1971 - 2 C.B. 409) ,r Form 6"(1f)(t) fare t - Kepc By IRaoordtte OBfoe CAT. Mills Jan, 3" " 1 ' 2:2So 717-755-7581 e.18 = _ ? Form Department of The Treasury - Internal Revenue Service Fo ? ¦ (Re,.1°1 > Notice of Federal Tax Lien 0q- Mi p 6npioyad - Area 2 J??Number Smaf1 Bus ess / Se For Opttanel lls. by itscorrlrng OWN As by+ sections sm, 6322, and 6323 of the Internal Revenue Code, we are ti k j q P b P LF F 0 " no 9 w that !axes (including Interest and Penal) have bean assessed . 0 agalnst tolloarino4v med tr qNW. We have made a demand for payment of this I i bfll CfA 4 a ty, but it ?anlalns WWW& Tir wsk rte. there Is a lien In farvw of the Untied States on all and dghft to property balongfing to this taxpayer for the amount of a 35 3 3 W these and additional panaMies, irrleraat, and costs that may swrua Name of Tixpayar KING STREET TRUST AS NOMINEE ANWOR ALTE J EGO OF TROY A. BEAM rte' Ti (IlT X = fllealdeng* . - - N N 401 S PPENSBURG RD. r'- SHIPP i NSBURG, PA 17257 a ;. •. _ . ::; .: c? IMPORTAN? RELEASE INFORMATION: For each assessment tested below. unless rI of ? a7 uen is reifled by the date ghm in column (a). ft notfoe steal, on the day blowing auch date, as a outilcate of release as debned in IRC e Kind of I €ax Tax Period Ended identifying Number Deb of Leat Day for Unpaid Bdanos (a) I (b) W Asse?stnent RaMng of Aseeganent 1 12131!1996 XKK-XX 2849 03M006 04/0 M16 $559.854.67 1040 12/3111997 XKX-roc-2949 03/0612006 0410512016 $W80M.05 1040 i i i 1 i 12J3111998 XKX-roc-2949 03/060W 0410512016 $642,96728 i I THIS NOTICE OF FEDERAL TAX LIEN SPECIFICALLY ATTACHES TO T HE PROPERTIES LOCATED AT 324 1 KING STREET AND 436, 440, 442 AND 444 E. KING STREET, SHIPPENSBURG, PA 17257 i - Place of Rflinp PROTHOOOTARY Total $1,(341,102 00 CUMBERLAND COUNTY CARLISLE, PA 17013 This notice tree prepared artd signed at HARRISBURG, PA, on this, the„, day of oemkL, 2009. Situro ntle DENNIS P ZMUDZIN, ?t -Ott 1820 REVENUE OFFlCER Phone # - (71 7)777-9624 (MOTE:CB+srdeaAli/olli:stealhorimdbylaw fo&" aoiafodpvrmrhnofeawrWUro VW vaAdpyo/Nall:as/FSdira/78xNOrtArv.Rul.7r•IQB 1971-2G8 i Pert 1- Re &dN Office FaM ? I 07 SHERIFF'S OFFICE OF CUMBERLAND COUNTY Ronny R Anderson F ILp U-0F I I-,ZE Sheriff THE , R0TH0N01-i% i` Jody S Smith 201 1 JUL 26 AFB 8: ( 1 Chief Deputy Richard W Stewart CUMBERLAND CUU '. I" Solicitor PENNSYL1/A iA King Street Trust Case Number vs. 2011-5537 United States of America Department of Treasury SHERIFF'S RETURN OF SERVICE 07/12/2011 Ronny R. Anderson, Sheriff who being duly sworn according to law states that he made a diligent search and inquiry for the within named defendant, to wit: United States of America Department of Treasury, but was unable to locate them in his bailiwick. He therefore deputized the Sheriff of Dauphin County, Pennsylvania to serve the within Complaint and Notice according to law. 07/15/2011 02:35 PM - Dauphin County Return: And now July 15, 2011 at 1335 hours I, Jack Lotwick, Sheriff of Dauphin County, Pennsylvania, do hereby certify and return that I served a true copy of the within Complaint and Notice, upon the within named defendant, to wit: United States of America Department of Treasury by making known unto Naomi Losh, Legal Assistant for The United States of America Department of Treasury at 228 Walnut Street, Harrisburg, Pennsylvania 17108 its contents and at the same time handing to her personally the said true and correct copy of the same. SHERIFF COST: $37.00 July 21, 2011 SO ANSWERS, RON R ANDERSON, SHERIFF cv-y, , , oft ?r to, PETER SMITH United States Attorney JOHN A. DICICCO Principal Deputy Assistant Attorney General a lw?.? arc [WHONOTAR ?v11 Ccr 29 AM 10: 19 ' !Ms nnop COUNTY '??^?h5YLVAlt1A DANIEL J. HEALY (DC 476233) U.S. Department of Justice, Tax Division Post Office Box 227, Ben Franklin Station Washington, D.C. 20044 'Telephone: (202) 305-3402 KING STREET TRUST 12 Carroll Street, #132 Westminster, Pa 21157 COURT OF COMMON PLEAS CUMBERLAND COUNTY Plaintiff, V. Civil No. 11-5537 UNITED STATES OF AMERICA DEPARTMENT OF TREASURY 228 Walnut Street, Rm 620 Harrisburg, Pa 17108 Defendant. MOTION TO VACATE DEFAULT JUDGMENT The United States of America moves, under Rules 208.1, 208.2 and 208.3 of the Pennsylvania Rules of Civil Procedure and Local Rule 208.3, to vacate the default judgment entered in this case on or about December 5, 2011, that declares that the United States' tax liens against the plaintiff, King Street Trust, and its settlor, Troy Beam, do not attach to certain real property. The grounds for this motion, as more fully set forth in the accompanying brief, are as follows: (1) Troy Beam was convicted of willfully evading payment of his tax liabilities and failing to file tax returns for numerous years, including the year when he transferred the subject property to the plaintiff trust; (2) Plaintiff filed this quiet title action naming the United States as defendant. But plaintiff failed to properly serve the United States under 28 U.S.C. § 2410, which is the only waiver of the United States' sovereign immunity to be named in a quiet title action; (3) Plaintiff failed to properly serve the notice of default that improperly named the Internal Revenue Service as the party against whom judgment had been entered. (4) Under Pennsylvania's rules of service, the notice of default was improperly served; (5) Additionally, the United States can demonstrate that the default judgment should be reopened, because it acted promptly once it became aware of the default, has a meritorious defense, and the delay was caused by plaintiff's repeated improper service. In support of this motion, the United States submits a brief, a rule to show cause and a proposed order. // i 2 Dated: December 28, 2011 PETER SMITH United States Attorney JOHN A. DiQCCO PrincippOp` uty As?-?Jistart ttorney General DANML J. HEALY f Trial Attorney/Wax Divisio? U.S. Department of Justice Post Office Box 227 Ben Franklin Station Washington, D.C. 20044 Tel.: (202) 305-3402 Fax: (202) 514-6866 E-Mail: daniel.j.healy@usdoj.gov 3 PETER SMITH United States Attorney JOHN A. DICICCO Principal Deputy Assistant Attorney General DANIEL J. HEALY (DC 476233) U.S. Department of Justice, Tax Division Post Office Box 227, Ben Franklin Station Washington, D.C. 20044 Telephone: (202) 305-3402 KING STREET TRUST 12 Carroll Street, #132 Westminster, Pa 21157 COURT OF COMMON PLEAS CUMBERLAND COUNTY Plaintiff, V. Civil No. 11-5537 UNITED STATES OF AMERICA DEPARTMENT OF TREASURY 228 Walnut Street, Rm. 620 Harrisburg, Pa 17108 Defendant. BRIEF IN SUPPORT OF THE UNITED STATES' MOTION TO VACATE JUDGMENT The United States seeks to vacate a default judgment that was entered against the Internal Revenue Service (Service). The plaintiff trust is controlled by a convicted felon, who was found guilty of willfully attempting to evade the payment of his assessed tax liabilities. He filed this case, in which all service has been defective, in his continued effort to evade paying his tax liabilities. ISSUES 1. Plaintiff, King Street Trust (King), filed this action to quiet title to certain real property held in its name. Specifically, it sought a declaration that it holds that real property free and clear of any Federal tax liens that attached to the property. Although King failed to identify the statute, it sought relief against the United States under 28 U.S.C. § 2410. Under section 2410, to properly serve the United States a plaintiff must serve process to (1) the United States Attorney for the district in which the action is brought, and (2) the Attorney General of the United States. Plaintiff does not even claim that it served the United States Attorney General. Is the default order void because the Court lacked personal jurisdiction over the United States? II. Section 2410 also requires that the United States, not its agencies, be named as defendant. While it is not clear who the plaintiff names in the caption of the complaint, the notice of default states judgment was specifically entered against the Internal Revenue Service. Section 2410 does not provide for such relief. Is the default order void because the Court lacked personal jurisdiction over the Internal Revenue Service"? 111. Similarly, King mailed a notice of default to a Department of the Treasury office on the sixth floor of a Federal building, at 228 Walnut Street, Room 620, Harrisburg, Pennsylvania 17108. Entry of default judgment requires a defendant first be served with a letter giving notice of the default 10 days before default is entered. Is the default order void because the default judgment process was improperly abridged? -2- IV. Pennsylvania law provides that a default judgment may be reopened if the movant demonstrates: (1) a prompt filing of a petition to open the default judgment; (2) a meritorious defense; and (3) a reasonable excuse or explanation for failure to file a responsive pleading. The United States satisfies these requirements, namely, the United States acted with reasonable promptness despite defective service, has a meritorious defense to the complaint, and the delay in this case was caused by plaintiff's failure to properly serve any of the filings in this case. Should the default order be reopened? STATEMENT OF FACTS On Mav 4, 2011, Troy Beam was convicted of, among other things, willfully evading his tax liabilities from 1992-1998 and for willfully failing to file tax returns from 2003 to 2006. At that time, he owed the United States in excess of $1.8 million in tax liabilities. (See Criminal Docket no. 1:CR-10-00047 (USDC M.D. Pa.), entry 225 (Verdict Form).) On July 11, 2011, he filed this case in the court of Common Pleas for Cumberland County. According to the plaintiff's own return of service, on July 15, 2011, the Sheriff of Dauphin County, Pennsylvania delivered a copy of the complaint and notice in this case to Naomi Losh, at the United States Attorney's on the second floor of the Federal building at 228 Walnut Street, Harrisburg, Pennsylvania. No service was made on the United States Attorney General. (See Docket in this case.) Also according to the plaintiff's own Affidavit of Service of Notice of Default by snail, plaintiff's counsel mailed a copy of a notice to the United States Department of the -3- Treasury at 228 Walnut Street, Room 620, Harrisburg, Pennsylvania. That office had not previously been served with any documents relating to this case. (Id.) On or about December 5, 2011, the Court entered default judgment against the United States, awarding plaintiff King sole right, title and interest in the two parcels of property identified in the complaint, free and clear of any United States tax lien.. ARGUMENT First, plaintiff failed to serve the United States Attorney General at all. Second, plaintiff sought judgment against the Internal Revenue Service, not the United States. Third, plaintiff failed to serve the notice of default properly. Fourth, even assuming all service was proper, the default should be reopened. Even though plaintiff trust alleges it received the property from Troy Beam for no consideration three years after Beam began willfully evading his tax liability, the Court has entered an order that the property was transferred free and clear of any tax liens. THE DEFAULT ORDER DISALLOWING THE PROOF OF CLAIM IS VOID AND MUST BE VACATED AS A MATTER OF LAW This court has the power to rescind an order within 30 days from issuance. Pa. C.S.A. § 5505. Moreover, orders issued by a court as to parties over which it has no jurisdiction are considered null. DeCoatsu?orth z?. Jones, 536 Pa. 414, 639 A.2d 792 (1994) ("a judgment or decree rendered by a court which lacks jurisdiction of the subject: matter or of the person is null and void and is subject to attack by the parties in the same court or may be collaterally attacked at any time."). "[I]t is never too late to attack a judgment or decree for want of jurisdiction. That question is always open." In Re -4- Siinpson's Estate, 253 Pa. 217, 225, 98 A. 35, 38 (1916). "Such a judgment is entitled to no authority or respect, and is subject to impeachment in collateral proceedings at any time by one whose rights it purports to affect." Moskovoitz's Registration Case, 329 Pa. 183,190, 196 A. 498, 502 (1938). "The want of jurisdiction over the subject matter may be questioned at any time." In Re Paterson's Estate, 341 Pa. 177, 180, 19 A.2d 165, 166 (1941). It is "well settled that a judgment or decree rendered by a court which lacks jurisdiction of the subject matter or of the person is null and void and is subject to attack by the parties in the same court or may be collaterally attacked at any time." Coin. ex rel. Hoa,ard z,. Hoa,ard,138 Pa. Super. 505, 508,10 A.2d 779, 781 (1940). Even where a court does have jurisdiction over the parties, a default judgment may be reopened. A default judgment may be reopened when the moving party establishes three requirements; (1) a prompt filing of a petition to open the default judgment; (2) a meritorious defense; and (3) a reasonable excuse or explanation for failure to file a responsive pleading. Balk v. Ford Motor Co., 285 A.2d 128,130 (Pa. 1971). However, where the equities warrant opening a default judgment, the Superior Court will not hesitate to reverse the denial of a petition to open. Aquilino z,. Pliila. Catholic Arclidiocese, 884 A.2d 1269,1280 (Pa. Super. Ct. 2005); Miller Block Co. v. U.S. Nat. Bank, 567 A.2d 695, 699-70 (Pa. Super. Ct. 1989) ("Where some showing has been made with regard to each part of the test... the court should consider each part in the light of all of the circumstances and equities of the case.") -5- "A petition to open or strike a judgment is addressed to a court's equitable powers." Sklar v. Harleysville Ins. Co., 526 Pa. 617, 622-23, 587 A.2d 1386,1389 (1991). L The Default Judgment Is Void Because the Court Lacked Jurisdiction Over the United States It is well-settled that the United States is immune from suit, unless its sovereign immunity has been waived. Kentucky v. Graham, 473 U.S. 159,165-67 (1985); Lehman v. Nakshian, 453 U.S. 156,160 (1981); United States v. Testan, 424 U.S. 392, 399 (1976); United States v. Shou" 309 U.S. 495, 500-01 (1940). It is also fundamental that where the sovereign has waived immunity, no suit can be maintained unless it is in exact compliance with the terms of the statute under which the sovereign has consented to be sued. United States v. Nordic Village, Inc., 503 U.S. 30 (1992); United States Z). King, 395 U.S. 1, 4 (1969);. United States v. Sherzoood, 312 U.S. 584, 596 (1947). Waivers of sovereign immunity cannot be inferred and must be explicit and strictly construed in favor of the United States. Cndjoe ex rel. Cudjoe v. Department of Veterans Affairs, 426 F.3d 241, 246 (3d Cir. 2005); Gandy v. United States, 234 F.3d 281, 283 (5th Cir. 2000); Thompson v. Kennickell, 797 F.2d 1015,1026 (D.C. Cir. 1986) (holding that sovereign immunity cannot be waived by implication), cert. denied, 480 U.S. 905 (1.987). An action to quiet title as to a United States lien can only be maintained under 28 U.S.C. g 2410. "Once the United States acquired an interest in or a lien upon the real estate, such interest or lien could not be extinguished except by proceeding under § 2410." United States v. County of Richland, 500 F. Supp. 312, 316 (D.S.C.1980). Prior to the enactment of § 2410, and related statutes waiving sovereign immunity for the United -6- States to be named in actions to quiet title, the United States was immune to those suits. Pocono Pines Corp. v. Pennsylvania Game Comm'n, 464 Pa. 17, 23, 345 A.2d 709 (1975). A tax lien of the United States may be divested under local law only in the manner prescribed by 28 U.S.C. § 2410 or 26 U.S.C. § 7425. Section 2410 applies when the United States is named as a party in a civil action to quiet title ... 21. H. and R. S. Coal Corp, v. United States, 461 F. Supp. 752 (D.C. Pa. 1978). "J it is a] well-settled rule that Congress may impose conditions upon a waiver of the Government's immunity from suit. See e.g., Soriano v. United States, 352 U.S. 270, 276, [], where we added that these protective conditions 'must be strictly observed and exceptions thereto are not to be implied.' United States v. Brosnan, 363 U.S. 237, 246[]." United States v, John Hancock Mut. Life Ins. Co., 364 U.S. 301, 306(1960). Section 2410 contains a condition to its waiver of sovereign immunity. It requires service on the United States in a specified manner. A plaintiff must not only serve process on the United States Attorney for the district in which the action is brought, but must also provide service "by registered mail, or by certified mail, to the Attorney General of the United States at Washington, District of Columbia." 28 U.S.C. § 2410(b). As evidenced by plaintiff's own return of service, it did not serve the Attorney General at all. (See the docket in this case.) Accordingly, service was never effected and the Court never obtained jurisdiction over the United States.' Similarly, the United ' That the complaint: was delivered to the second floor of a federal building did not effect service. United States v. Rockland Trust Co., 860 F. Supp. 895 (D. Mass. 1994) (constructive notice of quiet title action did not effect service). -7- States' 60-day period to answer or otherwise respond to the complaint never commenced. The rules setting forth the requirements for properly serving the United States and its agencies are mandatory. In re J.B. Winclzells, Inc., 106 B.R. 384, 395 (Bankr. E.D. Pa. 1989); Matter of Norris, 90 B.R. 424,427 (Bankr. D. Neb. 1988). These service requirements are "not a technical exercise or a nuisance to be inflicted upon the private bar in bankruptcy litigation," but instead are supported by a long-standing policy of ensuring that notice of litigation in which the United States is a party is directed to the department charged with supervising such litigation. In re Morrell, 69 B.R. 147,149-50 (N.D. Cal. 1986). Additionally, the failure to serve a defending party properly results in lack of jurisdiction over such party. Ecclesiastical Order of the Ism of Am, Inc. v. Cltasin, 845 F.2d 113, 116 (6th Cir. 1988); see also Micklus v. Carlson, 632 F.2d 227, 299 (3d Cir. 1980); Rabiolo v. Weinsteain, 357 F.2d 167,168 (7th Cir. 1966); Read v. Ulmer, 308 F.2d 915, 917 (5th Cir. 1962); Yox v. Durgan, 298 F. Supp. 1365,1366-1367 (E.D. Tenn. 1969); In re FCM Corp.,. 1987 WL 364456 (S.D. Fla. 1987); In re Smitli,142 B.R. 862,865 (Bankr, E.D. Ark. 1992); United States v. Oxylance Corp., 115 B.R. 380,381 (Bankr. N.D. Ga. 1990). This, in turn, renders a court order addressed to such a party void. Aetna Bus. Credit, Inc, v. LIniversal Decor & Interior Design, Inc., 635 F.2d 434, 435 (5th Cir.1981). Therefore, the default judgment declaring the United States' tax liens do not attach to the property at issue is null and void because it was entered without personal jurisdiction over the United States. Therefore, it should be vacated. -8- II. The Default Judgment Is Void Because the Court Lacked Jurisdiction Over the Internal Revenue Service As explained above, Congress designed a limited waiver of sovereign immunity to permit parties to name the United States in actions to quiet title in state or Federal court. 28 U.S.C. § 2410. That waiver is specific and only permits the United States to be named as a party. 28 U.S.C. § 2410(b) (stating "the United States may be named a party in any civil action or suit in any district court, or in any State court having jurisdiction of the subject matter") While plaintiff named "United States of America, Department of Treasury," the notice of default judgment states that judgment has been entered against only the "Internal Revenue Service." As the Court lacks personal jurisdiction over the Internal Revenue Service to enter such a judgment, because there is no waiver of sovereign immunity as against the Internal Revenue Service, it is null and void. III. The Default Judgment Is Void Because Plaintiff Failed to Serve the Notice of Default on the United States Pennsylvania's Rules of Civil Procedure require specific notice before a default judgment may be entered. To obtain a default judgment under Pa. R.C.P. 1037, a party must have provided notice under Pa. R.C.P. 237.1, which states: (2) No judgment of non pros for failure to file a complaint or by default for failure to plead shall be entered by the prothonotary unless the praecipe for entry includes a certification that a written notice of intention to file the praecipe was mailed or delivered (ii) in the case of a judgment by default, after the failure to plead to a complaint and at least ten days prior to the date of the filing of the -9- praecipe to the party against whom judgment is to be entered and to the party's attorney of record, if any. Pa. R.C.P. 237.1 (a)(2). Here, according to plaintiff's affidavit of service, it mailed the notice of default to the sixth floor office at 228 Walnut Street, which is an Internal Revenue Service office (228 Walnut Street, Room 620, in Harrisburg Pennsylvania). As explained above, the Internal Revenue Service is not the named party in this case. Further, the Internal Revenue Service cannot be the named party in this case under section 2410. Plaintiff failed to mail the notice of default to the United States Attorney's office. Accordingly, the plaintiff's notice was defective. Thus, even assuming plaintiff's initial service of process was proper, plaintiff's service of the notice of default was improper. Accordingly, the default judgment should be vacated. IV. The Default Judgment Should Be Reopened Ignoring all of the jurisdictional defects and improper service, the Court should still reopen the default judgment. The United States can demonstrate the three elements necessary to reopen the default: (1) a prompt filing of a petition to open the default judgment; (2) a meritorious defense; and (3) a reasonable excuse or explanation for failure to file a responsive pleading. Balk z,. Ford Motor Co., 285 A.2d 128, 130 (Pa. 1971). First, the United States acted promptly. The default judgment was entered less than 30 days ago. Despite that the notice of default was improperly served on the Internal Revenue Service, the Department of Justice, Tax Division, in Washington, DC -10- has been able to respond to the default in less than 30 days, the period set forth in Pa. C.S. A. § 5055. The initial service of process not only failed to serve the United States Attorney General in Washington, DC, it was never corrected. Because the Tax Division is located in Washington, DC and is the division designated to handle this case, the plaintiff's failed service was particularly harmful in causing the delay in this case. By improperly serving the complaint in only the local United States Attorney's office, the plaintiff never set in motion the ordinary mechanisms used to alert the proper litigating unit in Washington, DC. Nonetheless, in less than 30 days from the entry of default, the United States has filed this motion to vacate so that the merits of this case may be litigated. Second, the United States has a meritorious defense to the complaint. The complaint alleges, among other things, that the two parcels of real property at issue were each transferred by Troy Beam and his wife, for $1.00, to a trust they created. They created that trust and transferred those properties in December 1995, over two years after the United States began assessing tax liabilities against Troy Beam. (Compare Compl. Exs. A, B, C, and D.) On May 4, 2011, Troy Beam was convicted of willfully evading his tax liabilities in 1992, 1993, 1994 and 1995 (as well as in 1996-1998 and wilfully failing to file returns in 2003-2006). (See Criminal Docket no. 1:CR-10-00047 (IUSDC M.D. Pa.), entry 225 (Verdict Form).) In that criminal case, Troy Beam stipulated to mane of the documents that concern plaintiff King Street Trust, and was found guilty of evading his tax liabilities. (Id. at entries 158,159,160 (stipulation as to documents).) - 11 - Plaintiff King was one of the instruments Troy Beam used to evade his tax liabilities for decades. This action is a continuation of his ongoing attempts to evade taxes. The United States will demonstrate that the transfers of the real property were fraudulent as to Beam"s creditors and/ or were to King as his nominee or alter ego. Third, the United States' delay in responding was reasonable. The default was not the result of the United States' conduct, rather it was plaintiff who repeatedly failed to serve the complaint and the notice of default properly. The improper service never even established jurisdiction over the United States. Moreover, there is no prejudice to plaintiff. It has neither expended efforts in litigating this case nor relied on this case in the criminal proceeding of Troy Beam. He was convicted before plaintiff filed this case and will not be sentenced until January 13, 2012. Additionally, Federal rules provide that the United States may not be subjected to default without a proffer of evidence supporting the judgment. The rationale is that "taxpayers at large should not be subjected to the cost of a judgment entered as a penalty against a government official which comes as a windfall to the individual litigant." Alameda v. Secretary of Health & Welfare, 622 F.2d 1044,1047 (1st Cir. 1980); Carroll v. Secretary of Health; Edztc. & Welfare, 470 F.2d 252, 256 (5th Cir. 1972). It is respectfully submitted that the same rationale applies here, where plaintiff not only seeks a windfall judgment at the expense of all taxpayers, but seeks it in order to illegally evade payment of Beam's taxes. -12- The only practical relief available is vacation of the default judgment, The United States requests that a date be set for its answer to be filed and served. CONCLUSION Based on the foregoing, the default judgment entered against the United States on or about December 5, 2011 in this action should be vacated because it is null and void or, alternatively, should be reopened, and a date should be set for the United States to serve its answer, together with such further relief the Court deems just and proper. DATE: December 28, 2011 Respectfully submitted, PETER SMITH United States Attorney JOHN A. W ICCO , Acting #ssj tant Atto6ky, y, Peneral Daniel J. Healy, Trial Attorney, Tax Divi,4on U.S. Department of Justice PO Box 227, Ben Franklin Station Washington, DC 20044 Telephone: (202) 305-3402 Facsimile: (202) 514-6866 daniel.j.healy@usdoj.gov -13- KING STREET TRUST 12 Carroll Street, #132 Westminster, Pa 21157 COURT OF COMMON PLEAS CUMBERLAND COUNTY Plaintiff, V, Civil No. 11-5537 UNITED STATES OF AMERICA DEPARTMENT OF TREASURY 228 Walnut Street, Rm 620 Harrisburg, Pa 17108 Defendant. ORDER This matter having come before the court on the United States of America's :motion to vacate default judgment entered on or about December 5, 2011 (the Default Judgment), and having considered that motion, any opposition, and the proceedings of this case, it is ORDERED that the United States' motion to vacate the Default Judgment is granted; and further ORDERED that the Default Judgment is VACATED; and further ORDERED that the United States shall file an answer to the complaint by thirty days from the date of this order is entered. Entered this day of , 2011. 2 PETER SMITH United States Attorney JOHN A. DICICCO Principal Deputy Assistant Attorney General DANIEL J. HEALY (DC 476233) U.S. Department of Justice, Tax Division Post Office Box 227, Ben Franklin Station Washington, D.C. 20044 Telephone: (202) 305-3402 KING STREET TRUST 12 Carroll Street, #132 Westminster, Pa 21157 Plaintiff, v. UNITED STATES OF AMERICA DEPARTMENT OF TREASURY 228 Walnut Street, Rm 620 Harrisburg, Pa 17108 Defendant. COURT OF COMMON PLEAS CUMBERLAND COUNTY Civil No. 11-5537 CERTIFICATE OF SERVICE On December 28, 2011, I served the accompanying United. States' Motion to 'Vacate Default Judgment, together with an accompanying Brief in Support of the United States' Motion to Vacate Default Judgment, a rule to show cause and proposed order, by US Mail, postage pre-paid to the following: Lee A. Stivale, Esq. Law Offices of Vincent B 414 East Baltimore Pike Media, PA 19603 (610) 566-8064 Attorneys for plain tiff Mancini & Associates ?f Dated: December 28, 2011 PETER SMITH United States Attorney JOHN A. , iCICCO Acting/s?'istant Attorney General 1DANIEL J. H ALY Trial Attorney, Tax Division U.S. Department of Justice Post Office Box 227 Ben Franklin Station Washington, D.C. 20044 Tel.: (202) 305-3402 Fax: (202) 514-6866 E-Mail: daniel.j.healy@usdoj.gov 2 KING STREET TRUST 12 Carroll Street, #132 Westminster, Pa 21157, Plaintiff V. IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA CIVIL ACTION - LAW UNITED STATES OF AMERICA, DEPARTMENT OF TREASURY 228 Walnut Street, Rm. 620 Harrisburg, Pa 17108, Defendant NO. 11-5537 CIVIL TERM IN RE: MOTION TO VACATE DEFAULT JUDGMENT ORDER OF COURT AND NOW, this 19'h day of January, 2012, upon consideration of Defendant's Motion to Vacate Default Judgment, a Rule is hereby issued upon Plaintiff to show cause why the relief requested should not be granted. RULE RETURNABLE within 20 days of service. BY THE COURT, ,r. > Christyl?e L. Peck, J. Lee A. Stivale, Esq. Brian LeGrow, Esq. 414 East Baltimore Pike Media, PA 19063 Attorneys for Plaintiff Peter Smith, Esq. United States Attorney John A. DiCicco, Esq. Principal Deputy Assistant Attorney General Daniel J. Healy, Esq. Trial Attorney Tax Division U.S. Department of Justice P.O. Box 227 Ben Franklin Station Washington, DC 20044 Attorneys for Defendant rc CD??: c S /*ta, lei ,e-?, U Law Offices of Vincent B. Mancini & Associates By: Louis M. Kodumal, Esquire (Atty. I.D. # 76935)#2 ?? 414 East Baltimore Pike pm 1: Media, PA 19063 `'38E1?1U COUNTY ' Phone: 610-566-8064 PENNSYL.VANIA IN THE COURT OF COMMON PLEAS, CUMBERLAND COUNTY, PENNSYLVANIA KING STREET TRUST Plaintiff, NO. 11-5537 V. UNITED STAw&WS OF AMERICA DEPARTMENT OF THE TREASURY Defendant, CIVIL ACTION WITHDRAWAL/ENTRY OF APPEARANCE TO THE PROTHONOTARY: Kindly withdrawal my appearance as counsel on behalf of Plaintiff, King Street Trust, in the above-captioned matter. Date: 12- By: VINCENT B, MANCINI, ESQUIRE_-__ Date: ?/3/i1 _ By: w (IAN C. LedRhW, ESQUIRE TO THE PROTHONOTARY: Kindly enter my appearance as counsel on behalf of above-captioned matter. Date: vl_?L(L By _: LEE-'STIV ;`EK 412 West Village Lane Chadds Ford, PA 19317 484-574-1693 Trust, in the CERTIFICATE OF SERVICE I, VINCENT B. MANCINI, ESQUIRE, hereby certify that I served a true and correct copy of A Withdrawal/Entry of Appearance to the following on April 4 2012 via regular mail to the following: INTERNAL REVENUE SERVICE 228 Walnut Street, Rm 620 Harrisburg, PA 17108 Respectfully submitted, LAW OFFICES OF VINCENT B. MANCINI & ASSOCIATES v v? By: VINCENT B. MANCINI, ESQUIRE s` KING STREET TRUST 12 Carroll Street, #132 Westminster, Pa 21157 Plaintiff, V. UNITED STATES OF AMERICA DEPARTMENT OF TREASURY 228 Walnut Street, Rm 620 Harrisburg, Pa 17108 Defendant. ORDER COURT OF COMMON PLEAS CUMBERLAND COUNTY Civil No. 11-5537 This matter having come before the court on the United States of America's motion to vacate default judgment entered on or about December 5, 2011 (the Default Judgment), and whereas, on January 19, 2012, the Court issued a Rule to show cause why the Default Judgment should not be vacated and the plaintiff having failed to file any response to the Rule, it is ORDERED that the United States' motion to vacate the Default Judgment is granted; and further 1P ORDERED that the Default Judgment is VACATED; and further ORDERED that the United States shall file an answer to the complaint by thirty days from the date this order is entered. Entered this/-W day of , 2012. c? MW :3C .9w M -c Zam o Z _ x S. ? Let A. 54; oale, ?S7 eof"es ki4a. 2 PETER SMITH United States Attorney KATHRYN KENEALLY Assistant Attorney General J is CiBER± i FEP4, } ?J i?e..5fA13I A DANIEL J. HEALY (DC 476233) U.S. Department of Justice, Tax Division Post Office Box 227, Ben Franklin Station Washington, D.C. 20044 Telephone: (202) 305-3402 KING STREET TRUST 12 Carroll Street, #132 Westminster, Pa 21157 COURT OF COMMON PLEAS CUMBERLAND COUNTY Plaintiff, v. Civil No. 11-5537 UNITED STATES OF AMERICA DEPARTMENT OF TREASURY 228 Walnut Street, Rm 620 Harrisburg, Pa 17108 Defendant. UNITED STATES' ANSWER TO THE COMPLAINT The United States respectfully submits the following as its answer to the complaint filed in the above-captioned case: FIRST DEFENSE Plaintiff holds the real property at issue as the nominee of Troy A. Beam. SECOND DEFENSE Troy A. Beam is the equitable owner of the real property at issue, which is nominally held by plaintiff. THIRD DEFENSE The named defendant Department of Treasury is not a proper defendant. FOURTH DEFENSE The United States responds to the numbered paragraphs of the complaint as follows: Parties: The United States lacks sufficient knowledge or information to form a belief as to the truth of the allegations in paragraph 1, and therefore denies them. 2. The United States denies that the Department of the Treasury is a proper defendant, but admits that the United States is a defendant to this case. The United States admits that there are Federal government offices at the listed address. 3. The United States denies the allegations in paragraph 3 of the complaint, but admits that the Internal Revenue Service is a bureau of the Department of the Treasury, which is an agency of the United States of America. Jurisdiction and Venue: 4. The United States admits that the plaintiff filed this case seeking judgment from this Court that it holds "sole right, title and interest in the Propert[ies]" at issue, and that plaintiff holds the properties "free and clear of any lien, judgment or interest of the Defendant, United States of America." The United States denies the remainder of the allegations in paragraph 4. -2- 5. The United States admits that the properties at issue in the complaint are located in Cumberland County, and denies the remainder of the allegations in paragraph 5. Background: 6. The United States admits the allegations in paragraph 6. 7. The United States lacks sufficient knowledge or information to form a belief as to the truth of the allegations in paragraph 7, and therefore denies them. 8. The United States admits the allegations in paragraph 8. 9. The United States lacks sufficient knowledge or information to form a belief as to the truth of the allegations in paragraph 9, and therefore denies them. 10. The allegations in paragraph 10 of the complaint state a legal conclusion and do not require a response. To the extent they require a response, the United States denies them. 11. The allegations in paragraph 11 of the complaint state a legal conclusion and do not require a response. To the extent they require a response, the United States denies them. 12. The allegations in paragraph 12 of the complaint state a legal conclusion and do not require a response. To the extent they require a response, the United States denies them. 13. The United States lacks sufficient knowledge or information to form a belief as to the truth of the allegations in paragraph 13, and therefore denies them. -3- 14. The United States lacks sufficient knowledge or information to form a belief as to the truth of the allegations in paragraph 14, and therefore denies them. 15. The allegations in paragraph 15 of the complaint state a legal conclusion and do not require a response. To the extent they require a response, the United States denies them. 16. The allegations in paragraph 16 of the complaint state a legal conclusion and do not require a response. To the extent they require a response, the United States denies them. 17. The allegations in paragraph 17 of the complaint state a legal conclusion and do not require a response. To the extent they require a response, the United States denies them. 18. The allegations in paragraph 18 of the complaint state a legal conclusion and do not require a response. To the extent they require a response, the United States denies them. 19. The allegations in paragraph 19 of the complaint state a legal conclusion and do not require a response. To the extent they require a response, the United States denies them. 20. The allegations in paragraph 20 of the complaint state a legal conclusion and do not require a response. To the extent they require a response, the United States denies them. -4- 21. The allegations in paragraph 21 of the complaint state a legal conclusion and do not require a response. To the extent they require a response, the United States denies them. 22. The allegations in paragraph 22 of the complaint state a legal conclusion and do not require a response. To the extent they require a response, the United States denies them. 23. The allegations in paragraph 23 of the complaint state a legal conclusion and do not require a response. To the extent they require a response, the United States denies them. IRS Liens: 24. The United States admits that it filed multiple Notices of Federal Tax Liens in Cumberland County, Pennsylvania to record notice of the Federal tax liens that arose from Troy Beam's failure to pay his Federal individual income tax liabilities in 1992, 1996, 1997 and 1998, and from Troy A. Beam and Debbie K. Beam's joint failure to pay their Federal income tax liabilities for the years 1993, 1994 or 1995. the United States further admits that the tax liabilities and statutory liens are subject to accruing statutory interest and penalties, and that the liens remain valid and subsisting. The United States denies the remainder of the allegations in paragraph 24. 25. The United States admits that Revenue Officer D. Zmudzin was involved in preparing the Notices of Federal Tax Liens attached to the complaint, and denies the remainder of the allegations in paragraph 25. -5- 26. The United States admits that the taxpayers whose tax liabilities gave rise to the Federal tax liens that attach to the properties at issue are Troy A. Beam and Debbie K. Beam, and denies the remainder of the allegations in paragraph 26. 27. The United States admits that Troy A. Beam, the :individual, is not King Street Trust, the plaintiff trust, and that Troy A. Beam is identified on the Notice of Federal Tax Lien attached as Exhibit D to the complaint, and denies the remainder of the allegations in paragraph 27. 28. The United States admits that attached as Exhibit E to the complaint is a copy of a Notice of Federal Tax Lien prepared on September 24, 2001 and filed in Cumberland County, Pennsylvania to record notice of the Federal tax liens against Troy A. Beam and Debbie K. Beam that arose from the failure to pay Federal income tax liabilities for the years 1993, 1994 and 1995, and that said tax liabilities are subject to statutory accruals. The United States denies the remainder of the allegations in paragraph 28. 29. The United States admits that Revenue Officer D. Zmudzin was involved in preparing the Notices of Federal Tax Liens attached to the complaint, and denies the remainder of the allegations in paragraph 29. 30. The United States admits that the taxpayers whose tax liabilities gave rise to the Federal tax liens that attach to the properties at issue are Troy A. Beam and Debbie K. Beam, and denies the remainder of the allegations in paragraph 30. -6- 31. The United States admits that Troy A. Beam and Debbie K. Beam, the individuals, are not King Street Trust, the plaintiff trust, and that Troy A. Beam and Debbie K. Beam are identified on the Notice of Federal Tax Lien attached as Exhibit E to the complaint, and denies the remainder of the allegations in paragraph 31. 32. The United States admits that attached as Exhibit F to the complaint is a copy of a Notice of Federal Tax Lien prepared on May 31, 2006 and filed in Cumberland County, Pennsylvania to record notice of the Federal tax liens against Troy A. Beam that arose from the failure to pay Federal income tax liabilities for the years 1996, 1997 and 1998, and that said tax liabilities are subject to statutory accruals. The United States denies the remainder of the allegations in paragraph 32. 33. The United States admits that Revenue Officer D. Zmudzin was involved in preparing the Notices of Federal Tax Liens attached to the complaint and that R.A. Mitchell was involved in filing the Notice, and denies the remainder of the allegations in paragraph 33. 34. The United States admits that the taxpayer whose tax liabilities gave rise to the Federal tax liens that attach to the properties at issue is Troy A. Beam, and denies the remainder of the allegations in paragraph 34. 35. The United States admits that Troy A. Beam, the individual, is not King Street Trust, the plaintiff trust, and that Troy A. Beam and Debbie K. Beam are identified on the Notice of Federal Tax Lien attached as Exhibit F to the complaint, and denies the remainder of the allegations in paragraph 35. -7- 36. The United States admits that attached as Exhibit G to the complaint is a copy of a Notice of Federal Tax Lien prepared on December 21, 2009 and filed in Cumberland County, Pennsylvania to record notice of the Federal tax liens against plaintiff King Street Trust as nominee and/or alter ego of Troy A. Beam that arose from the failure to pay Federal income tax liabilities for the years 1996, 1997 and 1998, and that said tax liabilities are subject to statutory accruals. The United States denies the remainder of the allegations in paragraph 36. 37. The United States admits that Revenue Officer D. Zmudzin was involved in preparing and signed the Notice of Federal Tax Lien attached to the complaint as Exhibit G, and denies the remainder of the allegations in paragraph 37. 38. The United States admits that the taxpayer whose tax liabilities gave rise to the Federal tax liens that attach to the properties at issue is Troy A. Beam and that the Notice of Federal Tax Lien attached as Exhibit G to the complaint was filed against King Street Trust as a nominee or alter ego of Troy A. Beam, and denies the remainder of the allegations in paragraph 38. 39. The United States denies the allegations in paragraph 39. 40. The United States lacks sufficient knowledge or information to form a belief as to the truth of the allegations in paragraph 40, and therefore denies them. 41. The United States lacks sufficient knowledge or information to form a belief as to the truth of the allegations in paragraph 41, and therefore denies them. 42. The United States denies the allegations in paragraph 42. -8- 43. The United States lacks sufficient knowledge or information to form a belief as to the truth of the allegations in paragraph 43, and therefore denies them. COUNT I - ACTION IN QUIET TITLE 44. The United States incorporates the foregoing responses to paragraphs 1 through 43 of the complaint as if fully set forth herein. 45. The United States admits that paragraph 45 sets for the 46. The allegations in paragraph 46 of the complaint state a legal conclusion and do not require a response. To the extent they require a response, the United States denies them. 47. The allegations in paragraph 47 of the complaint state a legal conclusion and do not require a response. To the extent they require a response, the United States denies them. 48. The allegations in paragraph 48 of the complaint state a legal. conclusion and do not require a response. To the extent they require a response, the United States denies them. 49. The United States denies the allegations in paragraph 49. WHEREFORE, having responded in full to the numbered paragraphs of plaintiff's complaint, defendant hereby prays that this Court: A. Dismiss plaintiff's complaint with prejudice; B. Grant defendant its costs of defending this action; and -9- C. Grant such other and further relief as the Court may deem just and proper. line of precedent DATE: May 31, 2012 Respectfully submitted, PETER SMITH United States Attorney KATH ))' 4 KENEALLY Assista # Attorney Geperal Daniel J. Healy Trial Attorney, Tax Division U.S. Department of Justice PO Box 227, Ben Franklin Station Washington, DC 20044 Telephone: (202) 305-3402 Facsimile: (202) 514-6866 daniel.j.healyC?usdoj.gov -10- PETER SMITH United States Attorney KATHRYN KENEALLY Assistant Attorney General DANIEL J. HEALY (DC 476233) U.S. Department of Justice, Tax Division Post Office Box 227, Ben Franklin Station Washington, D.C. 20044 Telephone: (202) 305-3402 KING STREET TRUST 12 Carroll Street, #132 Westminster, Pa 21157 COURT OF COMMON PLEAS CUMBERLAND COUNTY Plaintiff, v. Civil No. 11.-5537 UNITED STATES OF AMERICA DEPARTMENT OF TREASURY 228 Walnut Street, Rm 620 Harrisburg, Pa 17108 Defendant. CERTIFICATE OF SERVICE On May 31, 2012, I served the accompanying United States' Answer to the Complaint, by US Mail, postage pre-paid to the following: Lee A. Stivale, Esq. 412 West Village Lane Chadds Ford, PA 19317 (484) 574-1693 Attorney for plaintiff Dated: May 31, 2012 PETER SMITH United States Attorney KATHR KENEALLY Assist Attorney General DA IEL J. H LY Trial Attorney, Ta ivision U.S. Department f justice Post Office Box 227 Ben Franklin Station Washington, D.C. 20044 Tel.: (202) 305-3402 Fax: (202) 514-6866 E-Mail: daniel.j.healy@usdoj.gov 2 PETER SMITH United States Attorney KATHRYN M. KENEALLY Assistant Attorney General i tLt HLri NO COUWs_,. -'ELI TSYC.VANI DANIEL J. HEALY (DC 476233) CHRISTOPHER D. BELEN (VA 78281) U.S. Department of Justice, Tax Division Post Office Box 227, Ben Franklin Station Washington, D.C. 20044 Telephone: (202) 307-2089 KING STREET TRUST, COURT OF COMMON PLEAS CUMBERLAND COUNTY Plaintiff, V. Civil No. 11-5537 UNITED STATES OF AMERICA DEPARTMENT OF TREASURY, Defendant. PRAECIPE OF WITHDRAWAL MNTRY OF APPEARANCE TO THE PROTHONOTARY: Please withdraw the appearance of Daniel J. Healy as attorney on behalf of the United States of America in the above-captioned action. Please enter the appearance of Christopher D. Belen of the U.S. Department of Justice Tax Division, as attorney on behalf of the United States of America in the above- captioned action. Dated: June 22, 2012 ,eALY DANIEL J. HF Trial Attor ,gy' , Tax U.S. Departent of Post Office Box 227, Ben Franklin Station Washington, D.C. 20044 Tel.: (202) 305-3402 1 Fax: (202) 514-6866 E-Mail: daniel.j.healyOusdoj.gov CHRISTOPHER D. BELEN Trial Attorney, Tax Division U.S. Department of Justice Post Office Box 227, Ben Franklin Station Washington, D.C. 20044 Tel.: (202) 307-2089 1 Fax: (202) 514-6866 E-Mail: Christopher.D.Belen®usdoj.gov CERTIFICATE OF SERVICE I certify that I served a true and correct copy of the foregoing PRAECIPE OF WITHDRAWAL/ ENTRY OF APPEARANCE by U.S. Mail, postage pre-paid to the following: Lee A. Stivale, Esquire 412 West Village Lane Chadds Ford, PA 19317 Attorney for Plaintiff 1. CHRISTOPHER D. BELEN 2 PETER J. SMITH `'` THE R P T�° 5 itb.Tr.' ;E'1 United States Attorney 2014 MAR 20 Mi 10; 56 KATHRYN KENEALLY CUMBERLAND C00 iY Assistant Attorney General PENNSYLVANIA Tax Division W. BRADLEY RUSSELL Florida Bar Number 29492 Trial Attorney, Tax Division U.S. Department of Justice Post Office Box 227 Ben Franklin Station Washington, D.C. 20044 Telephone: 202-307-0854 COURT OF COMMON PLEAS KING STREET TRUST, CUMBERLAND COUNTY PENNSYLVANIA Plaintiff, v. Civil No. 11-5537 UNITED STATES OF AMERICA DEPARTMENT OF TREASURY, Defendant. PRAECIPE FOR SUBSTITUTION OF COUNSEL TO THE PROTHONOTARY: Please enter the appearance of W. Bradley Russell as counsel for the United States in the above-captioned action. Mr. Russell is authorized to represent the United States in this action under 28 U.S.C. § 517. Please withdraw the appearance of Christopher D. Belen as counsel for the United States in this action. • 1 11239831,1 DATED: March 19, 2014. KATHRYN KENEALLY Assistant Attorney General Tax Division W. BRADLEY ' L Trial Attorney, ' . Division U.S. Department of Justice Post Office Box 227 Ben Franklin Station Washington, D.C. 20044 Telephone: 202-307-0854 2 11239831.1 CERTIFICATE OF SERVICE IT IS HEREBY CERTIFIED that a true and correct copy of the foregoing document was served this 19th day of March 2014 by first class mail addressed to the following recipient: Lee A. Stivale, Esquire Law Offices of Vincent B. Mancini & Associates 414 East Baltimore Pike Media, Pennsylvania 19603 4 ' / '--_, ____.." ...:116, , ,, 0 W. BRADLEY ' . Trial Attorney, .x Division U.S. Department of Justice Post Office Box 227 Ben Franklin Station Washington, D.C. 20044 Telephone: 202-307-0854 3 11239831.1