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HomeMy WebLinkAbout04-4108LAW OFFICES OF DILS & DILS ARTHUR K. DILS, ESQUIRE Attorney I.D. No. 07056 1017 North Front Street Harrisburg, PA 17102 Telephone No. (717) 232-9724 Attorney for Plaintiff, Crockett Log Homes of Pa., Inc. CROCKETT LOG HOMES OF PA., INC. IN THE COURT OF COMMON PLEAS Plaintiff CUMBERLAND COUNTY, PENNSYLVANIA vs. NO. 2004 - 7!O 1S Civil Term DONALD E. VERNET AND BRENDA L. VERNET, Defendant CIVIL ACTION - LAW NOTICE TO DEFEND YOU HAVE BEEN SUED IN COURT. If you wish to defend against the claims set forth in the following pages, you must take prompt action within (20) days after this Complaint and Notice are served, by entering a written appearance personally or by attorney and filing in writing with the Court your defenses or objections t the claims set forth against you. You are warned that if you fail to do so, the case may proceed without you and a judgment may be entered against you by the Court without further notice for any money claimed in the Complaint or for any other claim or relief requested by the Plaintiff. You may lost money or property or other rights important to you. YOU SHOULD TAKE THIS PAPER TO YOUR LAWYER AT ONCE. IF YOU DO NOT HAVE A LAWYER OR CANNOT AFFORD ONE, GO TO OR TELEPHONE THE OFFICE SET FORTH BELOW TO FIND OUT WHERE YOU CAN GET LEGAL HELP. Cumberland County Bar Association 2 Liberty Avenue Carlisle, Pennsylvania 17013 (717) 249-3166 CROCKETT LOG HOMES OF PA., INC. IN THE COURT OF COMMON PLEAS Plaintiff CUMBERLAND COUNTY, PENNSYLVANIA vs. DONALD E. VERNET AND BRENDA L. VERNET, Defendant NO. 2004 - y/ O'i Civil Term CIVIL ACTION - LAW COMPLAINT AND NOW, this /&4ay of August 2004, comes the Plaintiff, Crockett Log Homes of Pa., Inc., by his attorney, Arthur K. Dils, Esquire, and respectfully avers the following: COUNTI BREACH OF CONTRACT 1. The Plaintiff is a Pennsylvania Business Corporation duly licensed by the Commonwealth of Pennsylvania with its' principal place of business at 58 Sunset Drive, Mechanicsburg, Silver Spring Township, Cumberland County, Pennsylvania 17050. G. Douglas Dodson is the President of said Corporation. 2. The Defendants, Donald E. Vernet and Brenda L. Vernet, his wife, are adult individuals residing at 3111 Enola Drive, Carlisle, Cumberland County, Pennsylvania 17013. 3. The Defendants entered into a written contract with the Plaintiff Corporation on July 31, 2003. A copy of said Contract is attached hereto and marked Exhibit "A" and made a part hereof. 4. The Contract provided that the Plaintiff, Crockett Log Homes of Pa., Inc., was to construct a high energy efficient log building for use as a residence. 5. The Plaintiff, Crockett Log Homes of Pa., Inc., and the Defendants prepared and reviewed plans and specifications for the construction of the building and the Defendants agreed to these construction specifications and plans. 6. The Plaintiff was to perform all necessary labor and to furnish the required materials as set forth in said specifications. 7. The consideration for this construction project was agreed upon, in that, the Defendants agreed to pay the sum of $150,314.00 to the Plaintiff, Crockett Log Homes of Pa., Inc. 8. Prior to the signing of the Contract, but in accordance with the formal written agreement entered into on July 31, 2003, the Defendants paid $1,500.00 toward the agreed upon construction price. 9. The Plaintiff also gave the Defendants credit for a $1,000.00 coupon obtained at a sales seminar. 10. As a result of the aforesaid credits, the Defendants agreed to pay the balance of the construction price amounting to $147,814.00. The parties to the Agreement agreed to a draw schedule. 11. The Plaintiff, Crockett Log Homes of Pa., Inc., began construction on or about August 23, 2003, and had performed approximately 99% of the construction work by the first or second week of April 2004. 12. The Plaintiff, Crockett Log Homes of Pa., Inc., provided all the materials as required by the Agreement. 13. The Plaintiff, Crockett Log Homes of Pa., Inc., consulted continually with the Defendants to make any changes that they desired and to completely satisfy them. 14. The Plaintiff completed all work in a proper, good, and workmanlike manner. 15. Sometime in early April 2004, the Plaintiff appeared at the building site and conferred with the Defendant, Donald E. Vernet, at which time the Defendant indicated that the construction of the job was basically completed and he was satisfied with same. 16. The next day, G. Douglas Dodson, the President of the Plaintiff Corporation, went to the job site to check on the condition of certain foundation posts and was ordered off of the job site by the Defendant, Donald E. Verner. Mr. Verner said, "I don't want you to get any deeper into this because I'm seeking legal help and it will be a long drawn out court case." The Defendant, Donald E. Vernet, did not specify any reasons nor give any complaints. 17. During the construction process, the Defendant, Donald E. Vernet, approached G. Douglas Dodson, the President, of the Plaintiff Corporation and asked for various changes and modifications to the aforesaid agreed upon specification and plans. Among these requests were: (a.) change a double window to a French door; (b.) change a single door to a French door; (c.) tongue and groove wall covering on bottom side of second floor porch deck floor; (d) helped with the electrical wires on the second floor, floor joists; (e.) helped wire porches; and (f.) put up a catwalk across the loft area. 18. The Defendants had constructed a foundation. The anticipated and proposed foundation was to be 14 feet wide, but the Defendant caused it to be reduced to a 12 foot wide foundation. The Plaintiff, because of this change, had to redesign the construction project. 19. The Plaintiff had hired and subcontracted with a subcontractor, Bruce Dunlavy. This subcontractor was to help in the building of the residence. The Plaintiff was under the impression that the plans and specifications and his construction responsibility was to be from the foundation up. In other words, the Defendants were responsible for all foundation work. The Defendants had the first floor system completed before the Plaintiff began its construction work. 20. The Defendant, Donald E. Vernet, without the knowledge of the Plaintiff, instructed the subcontractor, Dunlavy, to install foundation posts. 21. As a result, the subcontractor, Dunlavy, installed posts in the foundation. 22. At or about the time that the Defendants ordered the Plaintiff off of the job site, Donald E. Vernet made a statement to the Plaintiff that he was concerned about one of the foundation posts. 23. On the day that the Plaintiff was ordered off the job site, G. Douglas Dodson went to the site to check the foundation posts, even though he was not legally responsible to do so, because of the Defendant's, Donald E. Vernet's, instructions to the subcontractor, Dunlavy. 24. The Defendants prevented the Plaintiff from accomplishing this inspection. 25. After being ordered off the job, the Plaintiff had his attorney write a letter to the Defendants, Verret, in an attempt to resolve any problems between the parties. Said letter is dated April 13, 2004, marked Exhibit "B" and attached hereto and made a part hereof. 26. As a result of this letter, there was another meeting between the Plaintiff and the Defendants in mid-May 2004, at which time access was permitted to the foundation area and the Plaintiff observed a temporary post and offered to rectify that problem. Donald E. Vernet indicated that he did not want the Plaintiff to accomplish this and refused further payment. Defendant stated they would let Plaintiff know about the past due payment due the Plaintiff, but failed to communicate with Plaintiff after that time. The Defendants have willfully refused to make any further payments. 27. In accordance with the contract, the Defendants have paid the Plaintiff the sum of one hundred thirty thousand, four hundred eighty-five and no/100 dollars ($130,485.00) in the following installments: $25,000.00, $64,060.00, $12,425.00, $12,000.00, $10,000.00, and $7,000.00. 28. The Defendants have failed to pay the balance of the agreed contract. The amount due is seventeen thousand, three hundred twenty-nine and no/100 dollars ($17,329.00). 29. Repeated demands have been made upon the Defendants for this sum and the Defendants have failed to make payment. 30. Said sum is due and owing to the Plaintiff and the Defendants have indicated no just cause or reason why said sum should not be paid. WHEREFORE, Plaintiff demands judgment against the Defendants in the amount of seventeen thousand, three hundred twenty-nine and no/100 dollars ($17,329.00) and interest, all costs of suit, and attorney's fees, said amount requires referral to a Board of Arbitration. COUNT II QUANTUM MERUIT 31. The Defendants requested additional work outside of the contract which required labor and material. 32. The Defendants specifically requested that the Plaintiff change a double window to a French door. The total cost for labor and materials for this requested change is $300.00. 33. The Defendants specifically requested that the Plaintiff change a single door to a French door. The total cost for labor and materials for this requested change is $400.00. 34. The Defendants requested the Plaintiff to install railings. The total cost for labor and materials for this requested change is $1,100.00. 35. The Defendants requested the Plaintiff to install a catwalk. The total cost for labor and materials for this requested change is $800.00. 36. The Defendants requested the Plaintiff to build two additional doors. The total cost for labor and materials for this additional work is $200.00. 37. The Defendants requested the Plaintiff to assist with electrical wiring on the second floor and floor joists and assist in the wiring of the porches. The total cost for labor and materials for this additional work is $500.00. 38. The Defendants requested the Plaintiff to assist in the tongue and groove wall covering on bottom side of second floor porch and deck floor. The total cost for labor and materials for this additional work is $600.00. WHEREFORE, Plaintiff demands judgment against the Defendants in the amount of Three Thousand Nine Hundred and no1100 ($3,900.00) Dollars plus interest, attorney's fees, and all costs, said amount requires referral to a Board of Arbitration. Respectfully submitted, BY: Arthur K. Dils, Esquire 1017 North Front Street Harrisburg, PA 17102 (717) 232-9724 I.D. No. 07056 EXHIBIT "A" Contract THIS CONTRACT, made the 31st day of July 2003, between Brenda and Don Vemet of 3111 Enola Drive, Carlisle, PA hereinafter called OWNER, and Crockett Log Homes of PA, Inc. 58 Sunset Drive, Mechanicsburg, Pennsylvania 17050, hereinafter called CONTRACTOR, agree as follows: The Owner represents that he is the real and registered Owner of the property situated at 3111 Enola Drive, Carlisle, Pennsylvania. WHEREAS, the Contractor has agreed to do the work as indicated upon the said plans and set forth in the specifications which are initialed by the parties. In consideration of the mutual promises herein contained, it is agreed that each party intending to be legally bound and the Owner desiring that the home be constructed for private use, the parties hereby agree as follows: (1) That the Contractor, for the consideration hereinafter mentioned and referred to, hereby covenants and agrees with the Owner that he will do the work set forth in the plans and specifications in a good and workmanlike manner, and in accordance therewith, as well as with the rules and regulations of any city and county department, and of any public service corporation supplying or which will in future supply services on the said premises and does further agree to do and perform all of the work, supply and furnish all of the labor and materials as set forth in the plans and specifications and necessary for the proper performance of the said work which the Contractor does hereby undertake to complete. (2) That the Owner shall pay to the Contractor the sum of $150,314.00 as needed with $1,500.00 Initial Deposit and $1,000.00 Coupon already paid. (3) The total agreed construction price between the parties is that the Contractor shall be paid the total remaining sum of $147,814.00 on a draw schedule, (4) The Contractor hereby agrees that all construction shall be complete as set forth within one hundred eighty (180) days from the date of initial construction provided that the Contractor is not delayed in the completion of this work by strikes, by failure of the Owner to furnish funds or other matters, or other happenings beyond his control. If such a delay is caused, the time of such delay shall not be included in the time during which this contract is to be fully performed as herein provided, but such time shall be extended for a period equal to the period of such delay. (5) In the event that the Contractor is delayed in the performance and completion of his work under this contract by any act, neglect, or default of the Owner or any damage or delay caused by fire, delays in transportation, acts of God, acts of war, strikes or any other casualty, vandalism, or calamity for which the Contractor is not responsible or any event not under his control, the time herein fixed for the completion of the work under this contract shall be extended for a period equal to the amount of time lost by reason of any such causes, provided nevertheless the Contractor shall give Owner notice of such delay and take reasonable steps to cure such delay. (6) No changes or alterations in the work to be done under this contract shall be made except by written contract of the parties hereto. (7) The Owner shall pay for any additional costs in construction if there is any rock or unfavorable building conditions, provided notice is first given to Owner and Owner approves such additional costs. (8) The Owner cannot move in until the Contractor is paid in full and Contractor has substantially completed said construction excepting reasonable items of work undone to affecting habitability. (9) If there by any disagreement between the parties hereto concerning any aspects of this contract, the Contractor shall have the option and the parties are bound by this option, to either have the disagreement resolved through a Board of Arbitration or through the ort of Common Pleas, under the laws of the Commonwealth of Pennsylvania. (10) It is understood and agreed that the Contractor does not assume any risks or liability if the building is not erected within the time period set forth herein, unless such delay is caused directly or indirectly by Contractor or Contractor's control. (11) This Contract shall be binding upon the heirs, successors, executors, administrators, and assigns of the respective parties hereto. (12) The Owner will be responsible for but not limited to the following labor and material: Landscaping/seeding Sanding, Painting and Polyurethaning the interior Application of Exterior Weatherseal Foundation Plumbing and Fixtures Heating Air Conditioning Electric and Fixtures Kitchen, All Cabinets and Counters, Appliances Floor Covering -- C?"?`( rd] ?? f, Fireplace s?pQl?'e? ?(I ?G?cn F/Oor (13) Contractor is not responsible for permits and utility to house. Signed and sealed the day and year first above wri n. t tttTe(s wn r ?h? w Owner i W Witness D C ntract0 Crockett g Homes of PA, Inc. EXHIBIT "B" _0? & 0141 ATTORNEYS AT LAW 1017 NORTH FRONT STREET HARRISBURG, PENNSYLVANIA 17102 ARTHUR K. OILS DIANE M. DILS April 13, 2004 Brenda and Don Vernet 3111 Enola Drive Carlisle, PA 17013 Dear Brenda and Don: PHONE: (717) 233-8743 FAX: (717) 233-2567 I represent Douglas Dodson, 58 Sunset Drive, Mechanicsburg, Pennsylvania 17050, who is the President of Crockett Log Homes of PA, Inc. A contract was entered into between the corporation and yourselves sometime in August 2003. You recently have ordered Mr. Dodson and his employees, sub-contractors from your premises. I have reviewed the blue prints, the contract, and the work performed and it is my opinion that Mr. Dodson and the corporation are in substantial compliance with the contract and that you have breached the contract by failing to make final payments and by not permitting Mr. Dodson to finish the minor items. Brenda gave Mr. Dodson a list of things that needed to be completed. I have reviewed that list and most of the items have been taken care of. Brenda mentioned the sealer and kitchen flooring and Mr. Dodson is ready, willing, and able to supply these items. The trim around the kitchen was not completed because Don said to wait, but this work can also be accomplished. The two items were not discernable, namely; beams that need to go into the basement and more support to the stairway into the basement. We would need clarification of these items, but I assure you that Mr. Dodson would perform what is needed. Recently, Mr. Dodson asked to view the basement area to verify that Bruce Dunlavy completed the necessary posts in a proper manner. You refused Mr. Dodson to view the basement and the posts. Enclosed is a copy of a brief history of the job and its problems. Mr. Dodson is willing to consider any just complaints that you have as he believes that he wants to sustain his integrity in the building profession and wants to satisfy you as long as you have reasonable requests. The total due Mr. Dodson at this time is $18,529.00. The final draw is $17,329.00 plus $1,100.00 for railings, $200.00 for two doors built by Mr. Dodson, $900.00 for the ceiling under the deck, $800.00 for the catwalk, $300.00 for changing a double window to a french door, and $400.00 for a single door to a french door. A credit of $2,500.00 was included in the demand figure for trusses that were not utilized. You may feel free to contact me concerning this matter; however, we do want to see that your contractual obligations are fulfilled and that this matter can be settled quickly and amicably to the satisfaction of both you and your wife and Mr. Dodson. Very truly yours, Arthur K. Dils AKD/daf VERIFICATION I verify that the statements made in this Complaint are true and correct. I understand that false statements herein are made subject to the penalties of 18 Pa. C.S. Section 4904 relating to unsworn falsification to authorities. z yxd9' G. DOU AS DCROCKETT LOG HOMES OF PA., INC. Date: August 19, 2004 IN CASE NO: 2004-04108 P SHERIFF'S RETURN - REGULAR COMMONWEALTH OF PENNSYLVANIA: COUNTY OF CUMBERLAND CROCKETT LOG HOMES OF PA INC VS VERNET DONALD E ET AL CPL. MICHAEL BARRICK , Sheriff or Deputy Sheriff of Cumberland County,Pennsylvania, who being duly sworn according to law, says, the within COMPLAINT & NOTICE was served upon VERNET DONALD E the DEFENDANT , at 1442:00 HOURS, on the 23rd day of August 2004 at 3111 ENOLA DRIVE CARLISLE, PA 17013 by handing to DONALD VERNET a true and attested copy of COMPLAINT & NOTICE together with and at the same time directing His attention to the contents thereof. Sheriffs Costs: Docketing 18.00 Service 3.70 Affidavit .00 Surcharge 10.00 .00 31.70 Sworn and Subscribed to before me this 14,r-- day of tro`? A . D.t'notary j So Answers: R. Thomas Kline 08/24/2004 DILS & DILS By: Deputy She iff SHERIFF'S RETURN - REGULAR CASE NO: 2004-04108 P COMMONWEALTH OF PENNSYLVANIA: COUNTY OF CUMBERLAND CROCKETT LOG HOMES OF PA INC VS VERNET DONALD E ET AL CPL. MICHAEL BARRICK , Sheriff or Deputy Sheriff of Cumberland County,Pennsylvania, who being duly sworn according to law, says, the within COMPLAINT & NOTICE was served upon VERNET BRENDA L the DEFENDANT , at 1442:00 HOURS, on the 23rd day of August 2004 at 3111 ENOLA DRIVE CARLISLE, PA 17013 by handing to BRENDA VERNET a true and attested copy of COMPLAINT & NOTICE together with and at the same time directing Her attention to the contents thereof. Sheriff's Costs Docketing 6.00 Service .00 Affidavit .00 Surcharge 10.00 .00 16.00 Sworn and Subscribed to before me this 1 ,4 day of tplroeonotary' So Answers: R. Thomas Kline 08/24/2004 DILS & DILS? T By. Deputy Sheriff Barbara Sumple-Sullivan, Esquire Supreme Court #32317 549 Bridge Street New Cumberland, PA 17070 Wtj HUNIES Ur PA, INC., Plaintiffs V. DONALD E. VERNET AND BRENDA L. VERNET, Defendant IN THE COURT OF COMMON PLEAS CUMBERLAND COUNTY, PENNSYLVANIA CIVIL ACTION - LAW NO. 2004-4108 NOTICE TO PLEAD To: Crockett Log Homes of PA, Inc. Arthur K. Dils, Esquire Law Offices of Dils & Dils 1017 North Front Street Harrisburg, PA 17102 You are hereby notified to file a written response to the enclosed Answer, New Matter and Counterclaim within twenty (20) days from service hereof or a judgment may be entered against you. Dated: September 27, 2004 Barbara Sumple-Sullivan, Esquire 549 Bridge Street New Cumberland, PA 17070 (717) 774-1445 Supreme Court I.D. 32317 Attorney for Defendants Barbara Sumple-Sullivan, Esquire Supreme Court #32317 549 Bridge Street New Cumberland, PA 17070 (717) 774-1445 CROCKETT LOG V. Plaintiffs PA, INC., IN THE COURT OF COMMON PLEAS CUMBERLAND COUNTY, PENNSYLVANIA CIVIL ACTION - LAW DONALD E. VERNET AND BRENDA L. VERNET, Defendant NO. 2004-4108 ANSWER, NEW MATTER AND COUNTERCLAIM COUNTI BREACH OF CONTRACT 1. Admitted. 2. Admitted. 3. Admitted. 4. Denied. Paragraph 4 is a conclusion of law to which no responsive pleading is required. By way of further answer, it is averred that the contract is a writing which speaks for itself and any paraphrasing by the Plaintiff is denied as a true and accurate statement of the terms of the contract. Admitted in part. Denied in part. It is denied that the Plaintiff and the Defendants prepared plans and specifications for the construction of the building. It is averred that Plaintiff prepared the plans and specifications in consultation with the engineer from National Building Systems, Inc. d/b/a Crockett Log Homes, which entity Defendants believed were the principal for Plaintiff. It is admitted that Plaintiff and the Defendants did in fact review an Appendix A referenced Crockett Ultra R Log home sheet and certain residence schematics. However, Defendants never received any other specific specifications. It is further averred that an actual blueprint for the home was not provided to the Defendants until after the contract was executed and Plaintiff had already commenced building of the home. When Defendants asked for the blueprint at the time of executing the contract, Plaintiff assured them it would be forthcoming and that they would get all features exactly as discussed. This did not occur. It is further averred that Plaintiff failed to construct the building in accordance with the schematics, Appendix A, or the blueprint finally presented. 6. Admitted with the clarification that the contract specifically provided that the Plaintiff agreed "...to do and perform all of the work, supply and furnish all of the labor and materials as set forth in the plans and specifications and necessary for the performance of the said work which Contractor does hereby undertake to complete." Admitted. 8. Admitted. 9. Admitted with the clarification that Defendants never actually received the coupon and had understood the credit was to be One Thousand Five Hundred Dollars ($1,500.00). 10. Admitted. 11. Admitted in part. Denied in part. It is admitted that Plaintiff began construction on or about August 23, 2003. It is denied that Plaintiff had completed approximately ninety- nine percent (99%) of the construction work by the first or second week of April, 2004. By further answer, it is averred that the entire construction should have been completed in February, 2004. It is further asserted that the work that was completed was not completed in a workmanlike fashion. 2 12. Denied. It is denied that the Defendant provided all the materials required by the Agreement. It is averred that many of the materials were provided directly from Crocket Log Homes, the principal of Defendant. It is further noted that many materials as listed on the Appendix A were never provided including, but not limited to, Therma Tru door, double windows, metal posts and plates, etc. as outlined in the Counterclaim and incorporated herein. 13. Denied. It is denied that Plaintiff consulted continually with the Defendants to make changes that they desired. It is averred that the only change which Defendants requested was an upgrade to the front door entrance. A change order was issued. Defendants are without knowledge to form a belief as to the truth of the averment that Plaintiff desired to completely satisfy them. By way of further answer, it is averred that Defendants only expected that Plaintiff comply with the terms of their agreement, the Appendix A and schematics and plans. It is noted that many changes made in the project were made due to a design error by Plaintiff and his principal, Crockett Log Homes. Plaintiff's agents proceeded with the construction despite the request that the errors be corrected. Those changes asset forth in paragraphs 44 through 103 of the Counterclaim were never desired or requested by the Defendants. 14. Denied. It is denied that Plaintiff completed the work in a proper, good and workmanlike manner. As set forth in Counterclaim, which paragraphs are incorporated by reference, it is asserted that the work was performed in an unsatisfactory and negligent manner. 15. Denied. It is denied that Defendant, Donald E. Vernet at any time in April, 2004 told Plaintiff that the construction job was completed and that he was satisfied with same. At all times relevant, Defendants advised Plaintiff of the continuing problems with the construction, including, but not limited to, the failure to meet the contract specification and plans, the problems with water entering the home, and the faulty workmanship. It is further averred that at this meeting concerning the problems, Defendants declined Plaintiff's request for a draw. Plaintiff was emotionally distraught and indicated to the Defendants that he was concerned that Bruce Dunlavy, another Crockett Log Homes builder who was actually erecting the home on Plaintiffs and Crockett Log Homes behalf, was "trying to bring him down" and stated that "none of this is worth it" and that he thought he "should end it all". This was extremely upsetting to the Defendants. 16. Admitted in part. Denied in part. It is admitted that at some time in April, 2004, specifically on April 8, 2004, approximately a week after the conversation referenced in paragraph 15 above, Plaintiff did return to the Defendants' property. At all times relevant thereto, Defendants believed that Plaintiff had come to attempt to repair the existing problem with the front door. It is denied that Defendants ordered Plaintiff from the site. However, Defendants did tell Plaintiff not to put any more time into the project because of the extensive repairs which were necessary and the poor quality of the construction as it then existed. Defendants did not want any further work to continue until such time as the structural integrity of the home was verified. It is admitted that Dodson was advised that Defendants were seeking legal, as well as engineering assistance, to determine the appropriateness of the Plaintiffs performance to date. It is denied that Defendants did not specify any reasons or give any complaints. 17. Admitted in part. Denied in part. It is admitted that of the items listed, only one change as set forth in subsection d, was actually requested by Defendants. It is averred as follows: A. The French door was discussed by the parties, an agreement reached for its inclusion in the design and was intended to be included in the original blueprint. It was not included due to an administrative error by Plaintiff or design error by Crockett Log Homes. This was not additional work by Plaintiff. B. The French door was discussed by the parties, an agreement reached for its inclusion in the design and was intended to be included in the original blueprint. It was not included due to an administrative error by Plaintiff or design error by Crockett Log Homes. This was not additional work by Plaintiff. C. It is admitted that tongue and groove wall covering was required to be installed on the bottom side of the second floor porch deck by the Defendants. It is denied that said was an additional work since tongue and groove is required to be installed pursuant to the contract for everything that is framed. D. Admitted in part. Denied in part. It is admitted that Plaintiff did personally assist the Defendants with the installation of the electrical. It is averred that Plaintiff's actual time was approximately one half hour. It is averred that this work was required due to an error in installation of the logs by Mr. Dunlavy which made it almost impossible to run wire for electrical service. Defendants could not even hire an electrician who would take on the electrical construction work. To remedy this, Plaintiff then illustrated to Defendant, Donald E. Vemet, how to run the router to allow the wiring to run through the logs. E. Admitted with the incorporation of subsection (D) above. It is estimated that Plaintiff spent approximately an additional fifteen minutes (15) to punch the hole through the wall for the extension of wiring to the porch. F. It is admitted that during the initial negotiations of the scope of the contract work, the catwalk across the loft was considered for deletion. However, at all times relevant to the actual design of the home, the inclusion of the catwalk was discussed by the parties, an agreement was reached for its inclusion in the design and was intended to be included in the drawing. It should have been included and was omitted only as an administrative error of the Plaintiff or a design error by Crockett Log Homes. This was not additional work. 18. Admitted in part. Denied in part. It is admitted that the foundation was a pre-existing structural item which had been constructed by the Defendants prior to Plaintiffs contract. Plaintiff and Crockett Log Homes were to design from that foundation upwards. The only area where the actual foundation was not yet erected when the design was made was in a designated foyer/entry area. It is averred that, at all times relevant to the development of plans and specifications, the foundation and the contemplated area for extension for the foyer were existing and readily available for field measure by Plaintiff and the design engineer from Crockett Log Homes. However, Plaintiff s plan and specification incorrectly incorporated the existing thirty-two feet (32) foundation wall as a thirty feet (30) wall and estimated fourteen feet (14) rather than twelve foot (12) for the foyer area. It is denied that at any time, the existing foundation was proposed to be fourteen feet (14) wide. 19. Admitted in part. Denied in part. After reasonable investigation, Defendants are without personal knowledge sufficient to form a belief as to the truth of the averment related to Dunlavy and his responsibilities for construction. Proof of same is demanded at trial. It is admitted that the preparation of the design and construction of the residence was to utilize the existing concrete foundation work for all construction work. It is admitted that the first floor system was completed before Plaintiff began his contract work. It is further averred that all areas were readily available for field measure verification. 20. Denied. It is denied that Defendant, Donald E. Vernet instructed any subcontractor of Plaintiff to install foundation posts. Said posts were required by the parties' contract. It is averred that even the temporary posts, as were erected by Dunlavy, were not erected in the appropriate locations and were placed in front of doorways and windows as a result of Plaintiff's design error. 21. Denied. Defendants are without knowledge as to the truth of the averment and proof thereof is demanded. By way of further answer, it is asserted that the subcontractor, Bruce Dunlavy, was the subcontractor and agent for Plaintiff or Crockett Log Homes, Inc. and acted at the direction of Plaintiff. Defendants had no control whatsoever over his actions. 22. Admitted with the clarification that Defendants told Plaintiff on that and prior occasions that he was extremely concerned about the posts and structural integrity of the building. It is also averred that said posts, as installed by Plaintiff or his agents, were wood and were required to be metal with plates pursuant to the specification Appendix. 23. Denied. After reasonable investigation, Defendants are without knowledge as to the truth of the matter and proof thereof is demanded. By way of further answer, the averments of said paragraph are denied as a conclusion of law to which no responsive pleading is due. Defendants' response to paragraphs 20 and 21 are further incorporated herein by reference. 24. Denied. After reasonable investigation, Defendants are without knowledge as to the truth of the matter and proof thereof is demanded. 25. Denied. After reasonable investigation, Defendants are without knowledge as to the truth of the matter and proof thereof is demanded. It is also denied that said exhibit includes the entire correspondence record by Defendants. 26. Admitted in part. Denied in part. It is admitted that an additional meeting between the parties occurred on May 11, 2004. It is further averred that an individual from Crockett Log Homes, whom Plaintiff did identify as "his boss," also attended. It is admitted that Plaintiff was able to observe the temporary posts and all other problems with the project. Defendants have no recollection of any offer to repair posts or any other construction defect. A discussion did occur as to the failure of the Plaintiff to install trusses and/or give Defendants credit for same. The representative of Crockett Log Homes indicated that Crockett had already paid to Plaintiff a credit for the trusses. However, same was never paid to or credited against the balance of Defendants. All problems were made known both to Plaintiffs and Crockett Log Homes at said meeting. 27. Admitted. 28. Admitted with the clarification that since the work was not completed properly and costs of construction, repair and replacement exceeds the contract sum, no further sums are due to Plaintiff. 29. Admitted with the clarification that the work was not completed properly and costs of construction repair and replacement exceeds any amount due to Plaintiff. 30. Denied. It is denied that any further sums are due to the Plaintiff because of Plaintiff's total breach of the parties' contract and the necessary costs which will have to be incurred by the Defendants to repair and replace the defective and improper work of the Plaintiff. Said work is specifically set forth in the Counterclaim, which paragraphs are specifically incorporated herein by reference. WHEREFORE, Defendants requests judgment in their favor and against the Plaintiff. COUNT H QUANTUM MERUIT 31. Admitted in part. Denied in part. It is admitted that certain changes were requested. It is denied that said work was outside the contract. It is averred that paragraph 6 of the parties' contract provided the procedure by which Plaintiff was to secure changes to the contract work. It is averred that said change order procedure was implemented between the parties. 32. Admitted in part. Denied in part. It is admitted that Defendants' requested a change from a double window to French door as incorrectly depicted on the blueprint as a result of Plaintiff's design error. It is further denied that the total costs for labor and materials for the change was Three Hundred Dollars ($300.00) since Defendants are without knowledge to form a belief as to the truth of the averment and said is denied. By way of further answer, it is averred that from the total costs for labor and materials, Plaintiff was required to offset, as credit, the monies saved for the failure of the Plaintiff to provide the window and install same in exchange for the door. 33. Admitted in part. Denied in part. It is admitted that Defendant's requested a change from a single door to a French door as was incorrectly depicted on the plan due to a design error. It is further denied that the total costs for labor and materials for the change was Four Hundred Dollars ($400.00) since Defendants are without knowledge to form a belief as to the truth of the averment and said is denied By way of further answer, it is averred that if the total costs from labor and materials, Plaintiff was required to offset, as credit, the monies saved for the failure of the Plaintiff to provide the single door and install same in exchange for the French door. 34. Admitted in part. Denied in part. It is admitted that the change was requested but avers that Defendants' failed to make the request. The change in the stairs resulted from the original design error in the plan which caused the house to be constructed with insufficient space to accommodate the stairs as depicted on the blueprint produced by Plaintiff or Plaintiffs agent. It is further denied that the total costs for labor and materials for the change was One Thousand One Hundred Dollars ($1,100.00) since Defendants are without knowledge to form a belief as to the truth of the averment and said is denied. It is further asserted that because Plaintiff deleted the landings and otherwise modified the stair wells, the costs of his actual construction was considerably less than the anticipated costs incident to construction of the stairs set forth in the blueprint. Plaintiffs are thus entitled a credit to the contract price. 35. Admitted in part. Denied in part. It is admitted that the change to the blueprint was requested to re-insert the catwalk back into the design due to its erroneous error or omission in the original design by Plaintiff or Crockett Log Homes. It is further denied that the total costs for labor and materials for the change was Eight Hundred Dollars ($800.00) since Defendants are without knowledge to form a belief as to the truth of the averment and said is denied. 10 36. Admitted. It is admitted that the change was requested by Defendants and that said sums are due as a credit in accordance with the parties' executed change order. 37. Admitted in part. Denied in part. It is admitted that Plaintiff did assist Defendants in wiring but avers that Plaintiff offered to do so without charge to mitigate the result of the construction failures of Dunlavy which made it much more time consuming and difficult for Defendants or their electrician to run the wiring. It is further denied that the total costs for labor and materials for the change was Five Hundred Dollars ($500.00) since Defendants are without knowledge to form a belief as to the truth of the averment and said is denied. It is averred that the total labor time expended by Plaintiff did not exceed one half (1/2) hour. 38. Denied. This work was required pursuant to the parties' contract. It is further denied that the total costs for labor and materials for the change was Six Hundred Dollars ($600.00) since Defendants are without knowledge to form a belief as to the truth of the averment and said is denied. WHEREFORE, Defendants request judgment be entered on their behalf and against the Plaintiff. NEW MATTER 39. Any reimbursement for alleged additional work set forth in Count II of Plaintiff s Complaint are barred by the terms of the contract which require changes to be by written contract. 11 40. Any reimbursement for alleged additional work set forth in Count II of Plaintiff's Complaint are barred by the Statute of Frauds. 41. Any sums found to be due to Plaintiff must be offset against monies due to Defendants as awarded pursuant to the Counterclaim set forth herein. 42. Plaintiff is responsible and liable for the actions and directions of his agents, including specifically his subcontract, Bruce Dunlavy. 43. Plaintiff supplied a faulty blueprint for construction of Defendants' home. COUNTERCLAIM[ 44. Counterclaim Plaintiffs are Donald E. Verret and Brenda L. Vernet, adult individuals residing at 3111 Enola Road, Carlisle, Cumberland County, Pennsylvania 17013. 45. Counterclaim Defendant is Crockett Log Homes of Pa, Inc., a Pennsylvania corporation with its principal place of business being 58 Sunset Drive, Mechanicsburg, Cumberland County, Pennsylvania 17050. COUNTI BREACH OF CONTRACT' 46. Counterclaim Plaintiffs and Counterclaim Defendant entered into a written contract dated July 31, 2003 for the construction of a Crockett Log Home upon their property located at 3111 Enola Road, Carlisle, Cumberland County, Pennsylvania 17013. 47. Said contract required the work to be performed in accordance with the contract, plans and specifications. 12 48. At all times relevant hereto and since July of 2002, Counterclaim Plaintiffs were residing in the property in the basement concrete foundation which was in existence at the time of contract with the Counterclaim Defendant. 49. At all times relevant hereto, Counterclaim Defendant was to plan, design, secure and construct a Crockett Log Home on the existing foundation of Counterclaim Plaintiffs. 50. Crockett Log and Timber Homes is marketed nationally as a manufacturer and builder of log homes and is a designated trademark of National Building Systems, Inc. It is believed and therefore averred that National Building Systems, Inc., is the principal of Counterclaim Defendant. 51. At all times relevant thereto, Counterclaim Plaintiffs believed that Counterclaim Defendant was an agent or employee of Crockett Log Homes, now legally known to them as National Building Systems, Inc. 52. At all times relevant, Counterclaim Plaintiffs knew that Counterclaim Defendant, Crockett Log Homes of Pa., Inc, was working solely with Crockett Log Homes to provide the building materials, design the home for erection on Counterclaim Plaintiffs' foundation, complete specifications, drawings and building plans to construct Counterclaim Plaintiffs' new home on their existing foundation. 53. Counterclaim Defendant, with the assistance of an engineer of Crockett Log Homes named Matt Kocyba, were solely responsible for the design of the log home to be built on the existing foundation. 54. At all times relevant thereto, Brad Dunlavy, was known to Counterclaim Plaintiffs to be an agent or employee of Crockett Log Homes and Counterclaim Defendant. 13 55. Counterclaim Defendant's original design and construction were drawn in error since it incorrectly measured the existing foundation as being two feet shorter than the thirty-two feet (32) which actually existed and measured the area for an intended entry/foyer area as two (2) feet larger than the twelve feet (12) that actually existed. 56. Counterclaim Defendant and/or the engineer from Crockett Log Homes improperly and erroneously field measured the foundation or failed to measure same. 57. The result of this error was to severely skew and limit the planned construction area and layout of the entire interior of Counterclaim Plaintiffs' home, causing loss of space and repositioning of structural supports and other contracted for features. 58. Counterclaim Defendant's original design provided that certain support columns at the first level were to be metal posts with top and bottom plates under each posts and were to be set upon reinforcements in the existing foundation. 59. In lieu of the metal support columns and support plates, Counterclaim Defendant, or his agents, subcontractors, installed eight (8) 8" x 8" wood posts and which, in many locations, not accurately rest squarely or have bearing upon the existing footers or masonry walls. 60. Also, at a main support beam integral to the first floor, an additional wood post was set in order to transfer the roof load to the basement. This additional post must be replaced with a steel post and concrete slab. 61. It is expected that approximately eight (8) posts must be replaced with steel posts and seven (8) plates and (approximately 7) need to be reinforced with footers. 14 62. The cost of this repair work incident to each post replacement and repair is estimated to be One Thousand Dollars ($1,000.00) per metal post for a total of Eight Thousand Dollars ($8,000.00). 63. Plaintiff constructed the support column for the roof and dining area to attach by a single lag bolt although it does not abut or attached to adjoining supports. This is inappropriate construction that may cause the entire roof system to collapse with additional load, such as snow, fatigue, etc. 64. It is believed that a special support must be fabricated to reinforce this roof or after be removed and replaced with a rafter that bears on the exterior wall. The cost is currently unknown but it is estimated the support could be fabricated for One Thousand Five Hundred Dollars ($1,500.00) in fabrication of said metal support, plus labor. 65. Other physical discrepancies from the contract, plans and specifications resulting from the design error which include, but are not limited to, the following: A) Loss of the walk-in closets depicted on the plan. Although Counterclaim Defendant did construct two (2) smaller closets, they are so inadequate in size that they cannot be used for the intended purpose due: to their width and depth. B) No pantry was built. C) The powder room was built smaller than expected. D) No island was placed in the kitchen exists. E) The stairway was shifted from the rear wall to the side wall and landings were deleted. F) Bedroom two was reduced in size from 171 square feet to 133 square feet. G) No laundry room was included. 15 H) Limited space cause misalignment of roof lines and pitch and resulted in improper drainage to handle gutter runoff. I) Limited space for installation caused improper operation of doors. J) Foyer window (which had been intended to be double window) became a single window and installed approximately three feet towards the "corner of house." Its present location has the window under the roof and this is causing major interior and exterior water damage. K) Window heights as installed prevent practical use throughout the home and must be reconstructed with different size windows to allow use. 66. 67 These defects as set forth above have impacted the fair market value of the home and have reduced its aesthetic appearance and practical use. The errors in design and construction have prevented the Counterclaim Plaintiffs from securing the house for which they contracted to pay for. The costs for repair and replacement of the losses are not currently known but will be ascertained and provided at trial. However, estimates of said costs known to date are as follows: A) Materials and labor for roof repairs, including alignment of Valley, caps $1,800.00 B) Spouting/front of house (labor and materials) $ 350.00 C) Closest in foyer missing (materials and labor) $ 740.00 D) Pantry in kitchen (materials and labor) $ 740.00 E) Catwalk landings missing in both stairways (material and labor) $2,600.00 16 F) Closets in Master bedrooms were to be walk-in (material and labor $2,000.00 68. 69. G) Plumbing wall needed correct by 2 x 6 (labor) IT) Credit for bathroom I) Credit for losing doorway openings and repositioning of posts Space in powder room lost K) Correct foyer entrance opening into kitchen area. Gable was to Continuous to meet other ceiling L) Windows in work area M) Dormer off center, window height, tongue (groove alignment and roof build to right side N) Credit for changes in front exterior structural appearance. This lost of costs thereof will be determined at hearing Total $ 800.00 $2,000.00 $2,500.00(plus labor) $2,000.00 $4,500.00(plus labor) $2,800.00 $2,200.00 $ To be detennined $25,030.00 Pursuant to the contract, Counterclaim Defendant was to perform the work in a good and workmanlike manner. Counterclaim Defendant failed to perform said work. The following deficiencies are noted: A) Inappropriate insulation techniques which allow for water and air infiltration; B) Incorrectly installed ridge vent and shingles; C) Inappropriate windows used and error in placement; D) Improper nailing of logs using fasteners which are too short or incorrect for the installation; 17 E) Improper construction of master deck gable; F) Improper front door entry and damage to same. This has resulted in Counterclaim Plaintiff's loosing warranty coverage for same; G) Deletion of Hammer trusses; H) Grids from French doors; 1) The floor joist on the stairwell need additional support to lessen the bounce; .l) The deck construction is not of adequate and must be reinforced by the further installation of two (2) tap cons screws or thunderbolts per bay. K) Due to Counterclaim Defendant's error in the construction of the kitchen step down, no chasis were drilled in plates and additional corrections required. L) The walls in the kitchen are not aligned and not frames. 1) The roof beams in kitchen needs repairs. N) The sink area in kitchen needs repaired. O) No handrail and steps out of line and loose. P) Loose log to siding to be attached. Q) Other problems to be revised. 70. The total costs of correction of this defective work is not yet ascertained and proof of same will be made at hearing. Estimates known to date are set forth in Exhibit "A" and incorporated herein by reference. 71. The areas of poor construction indicated in paragraph 69 above have also affected Counterclaim Plaintiffs' practical use of the residence. 72. The areas of poor construction indicated in paragraph 69 have also allowed for the introduction of water and moisture into the home. 18 73. Further, during the actual construction, Counterclaim Defendant failed to appropriately protect the building site by erection of roofing system and reasonable care of stored materials. 74. As a result thereof and the subsequent poor roof construction, the structure was exposed to the elements, including especially heavy rainfall, for a period of approximately six (6) months. 75. These acts resulted in the introduction of water into the property and onto the building materials, including, but not limited to, the Styrofoam, the OSB board, windows, walls and laminated floor joists. 76. This had given rise to the growth of mold and mildew in the home during construction and which continues to the present. 77. These construction problems require correction of the construction defects, as waterproofing of many of the building components. 78. Steps must also be taken to remediate the mold growth throughout the home (especially around the perimeter walls); water staining on the walls; and extensive replacement of actual wall and floor materials to eliminate the mold and deal with the high moisture content in the home. 79. The moisture problems have caused Counterclaim Plaintiffs' ceiling to warp from high humidity and moisture; insulation inside the logs is damp; and visible mold and moisture damage exists to the sub floor, foundations and inside existing cabinets, destroying same. 80. After repair and replacement of faulty construction which allowed the introduction of water and replacement of the damaged building materials in the property, an entire mold 19 remediation process must be undertaken in the estimated amount of Thirty-Eight Thousand Dollars ($38,000.00), per estimate performed by JEM Environmental. 81. This water problem was further exasperated by Counterclaim Defendant's use of an interior power washer in an attempt to deter the mold growth during construction. The Counterclaim Plaintiffs have experienced health problems resulting from the mold, including wheezing, aggravated eyes, sick, mucus and :muscle and joint aches as a result of exposure to the mold. 82. Items damaged by the mold and water must also be replaced and/or repaired. These include the following: A) Interior beams and posts, as well as carrier beams, walls, floor joists, sub floors and posts. The scope therefore costs of these repairs cannot be fully determined until tear out of the building materials occurs and determine the actual extent of loss. B) It is estimated that these water stains on walls must be corrected at an estimated cost of an additional Six Thousand Five Hundred Dollars ($6,500.00), per proposal of Joe Taggart of Capricorner Log Homes. C) In addition to cleaning, all beams must be preserved and sealed for an estimated cost of Seven Thousand Four Hundred Dollars ($7,400.00), per proposes of Joe Taggart of Capricorner Log Homes. D) Counterclaim Plaintiffs will have to replace carpet, padding and other flooring damaged by the water in the amount of Five Thousand Five Hundred Forty-six Dollars and 58/100 ($5,546.58), per proposal of Fluss Flooring, Inc. 20 E) Counterclaim Plaintiffs will have to replace the cherry cabinets damaged by the mold and water at a cost of Four Thousand Nine Hundred Fifteen Dollars and 01/100 ($4,915.01), per proposal ofMcCarren Supply. F) Counterclaim Plaintiffs will have to replace clothing and furniture damaged by the mold at a value to be ascertained at Twenty Thousand Dollars ($20,000.00). G) Counterclaim Plaintiffs' furnace is damaged at a, repair cost of Four Hundred Fifty Dollars ($450.00). 83. In addition to the problems in design and construction, Counterclaim Defendant has failed to provide Counterclaim Plaintiffs with items required pursuant to the contract. 84. Counterclaim Defendant has failed to provide Counterclaim Plaintiffs with kitchen flooring, the costs for replacement of which is Nine Thousand Six Hundred Fifty-seven Dollars and 50/100 ($9,657.50). 85. Counterclaim Defendant has failed to perform the actual trash removal and cleanup during the entire construction period for which Counterclaim Plaintiffs did perform. It is estimated that this act saved Counterclaim Defendant approximately One Hundred Dollars ($100.00) per month or Nine Hundred Dollars ($900.00) over the actual construction period. This cost is continuing. 86. Counterclaim Defendant did install single windows in lieu of double winds as required by the contract. The savings in labor and material costs are to be determined. 87. Counterclaim Plaintiffs expected possession and use of their home in accordance with the parties' contract to be in February, 2004. 21 88. Counterclaim Plaintiffs had secured construction financing with interest only payments at the rate of 3.99% until completion of construction. This was intended to be transferred to a standard mortgage which had an expected rate of 4.35% in April, 2004. 89. Due to the failure to timely perform the contract and the poor workmanship and resulting problems with the home, Counterclaim Plaintiffs have been unable to secure a permanent mortgage financing arrangement to date. 90. As a result, Counterclaim Plaintiffs have had to pay Four Hundred Sixty-Seven Dollars and 11/100 ($467.11) for each month until the house is completed and able to be transferred to permanent financing. As of October 1, 2004 (and continuing), Counterclaim Plaintiffs have paid Four Thousand Sixty-seven Dollars ($4,067.00) in additional interest expense. 91. Further, the mortgage interest rate available to Counterclaim Plaintiffs has now risen so that in lieu of the 4.35% originally anticipated for a 15 year mortgage in April, 2004, the rate they face currently is in excess of 6%. This will result in significant additional interest expenses over the life of the mortgage and result: in further financial losses for Counterclaim Plaintiffs. 92. Counterclaim Plaintiffs should be reimbursed for these additional financing costs related to the failed construction. WHEREFORE, Counterclaim Plaintiffs seek judgment in the amount of One Hundred Twenty-Nine Thousand One Hundred Eleven Dollars and 09/100 ($129,111.09), plus costs to be determined, interest, counsel fees and other costs of suit. This demand shall be modified once the entire costs, losses and expenses are determined. 22 COUNT II UNFAIR TRADE PRACTICES 93. Paragraphs 1 through 92 of Counterclaim Plaintiffs' Answer, New Matter and Counterclaim are incorporated herein by reference as if fully set forth. 94. Counterclaim Defendant failed to complete the construction on Counterclaim Plaintiffs' home as contracted for. 95. Counterclaim Defendant performed the work in a shoddy and unworkmanlike manner. 96. The goods and services provided to Counterclaim Plaintiffs by Counterclaim Defendant were primarily for Counterclaim Plaintiffs' personal, family and household uses. 97. Counterclaim Plaintiffs believed that they were purchasing a "Crockett Log Home" and that Counterclaim Defendant was a "Crockett Log Homes" affiliate. 98. Counterclaim Plaintiffs later determined that no entity known as "Crockett Log Homes" exists but that it was a trade name for Natural Building Systems, Inc. which was also being used by Counterclaim Defendant Crockett Log Homes of PA., Inc. to cause the consumers to believe that it was party of a larger single entity, an agency association or other cooperative affiliation existing between the parties for construction of a "Crockett Log Home". 99. Counterclaim Defendant used a marketing and sales distribution network which caused confusion and misunderstanding for Plaintiffs and the public in connection with the association and affiliation of the goods and services. 100. Marketing by Counterclaim Defendant of "Crockett Log Homes" creates the representation that the goods and services provided has a sponsorship, use or benefit that they do not have, namely the endorsement of a single entity which stands behind its 23 product, its sale and construction. 101. Counterclaim Defendant fostered this misrepresentation by referencing affiliated locations such as "Home Office" for Natural Building Systems, Inc., and "my boss" when referencing the representative from National Building Systems, Inc. which inspected the home with Plaintiffs in April, 2004. Such a marketing scheme is calculated to cause confusion for the public. 102. The practices, failure and omissions of Counterclaim Defendant described in the Counterclaim violate to Pennsylvania Unfair Trade Practices and Consumer Protection Law, 73 P.S. Section 201.1, et sec. 103. Counterclaim Plaintiffs seek treble damages and counsel fees in accordance with said Act, attorney's fees plus interest, costs of suit and all other relief the Court determines appropriate at trial of this case. WHEREFORE, Counterclaim Plaintiffs seek compensation damages in the amount of actual damages proven at trial, treble damages pursuant to Unfair Trade Practices, plus attorney's fees, interest, costs of suit, including reimbursement of expert and litigation costs, and all other relief the Court deems appropriate. Dated: September 27, 2004 Respectfully SL Esquire 24 ` 549 Bridge Street New Cumberland, PA 17070 (717) 774-1445 Supreme Court I.D. 32317 Attorney for Defendants EXHIBIT "A" EXHIBIT "A" Problem Current Estimate A) Inappropriate insulation techniques which allow for water and air infiltration; To be determined B) Incorrectly installed ridge vent and shingles; Included in roof repairs C) Inappropriate windows used and error in placement. Estimate in response included in window estimated in response to paragraph 67; to paragraph 67 D) Improper nailing of logs using fasteners which are too To be determined short or incorrect for the installation; E) Improper construction of master deck gable. Included Estimate in response in roof repair estimate in response to paragraph 67 to paragraph 67; F) Improper front door entry and damage to same. To be determined. This has resulted in Counterclaim Plaintiff's loosing Cost of repair $350.00; warranty coverage for same; however loss of warranty is not valued G) Deletion of Hammer trusses. Estimated labor and material credit; $5,000.00 H) Grids from French doors; $ 120.00 I) The floorjoist on the stairwell need additional To be determined support to lessen the bounce; J) The deck construction is not of adequate and must To be determined be reinforced by the further installation of two (2) tap cons screws or thunderbolts per bay; K) Due to Counterclaim Defendant's error in the To be determined construction of the kitchen step down, no chassis were drilled in plates and additional corrections required; L) The walls in the kitchen are not aligned and are not framed; To be determined M) The roof beams in kitchen needs repairs. Included in roof Estimate in response estimate in response to paragraph 67; to paragraph 67 N) The sink area in kitchen needs repaired. To be determined O) No handrail and steps out of line and loose. To be determined but estimate $725.00 P) Loose log to siding to be attached $ 450.00 Q) Other problems to be revised. Total $6,645.00 Barbara Sumple-Sullivan, Esquire Supreme Court #32317 549 Bridge Street New Cumberland, PA 17070 (717) 774-1445 CROCKETT LOG HOMES V. UP PA, INC., Plaintiffs DONALD E. VERNET AND BRENDA L. VERNET, Defendant IN THE COURT OF COMMON PLEAS CUMBERLAND COUNTY, PENNSYLVANIA CIVIL ACTION - LAW NO. 2004-4108 VERIFICATION We, Donald E. Vernet and Brenda L. Vernet, hereby certify that the facts set forth in the foregoing ANSWER NEW MATTER AND COUNTERCLAIM are true and correct to the best of our knowledge, information and belief. We understand than any false statements made herein are subject to penalties of 18 Pa. C.S.A. Section 4904 relating to unsworn falsification to authorities. Dated: `1?a-? Barbara Sumple-Sullivan, Esquire Supreme Court #32317 549 Bridge Street New Cumberland, PA 17070 (717) 774-1445 CROCKETT LOG HOMES OF PA., INC Plaintiff, IN THE COURT OF COMMON PLEAS CUMBERLAND COUNTY, PENNSYLVANIA V. DONALD E. VERNET and BRENDA L. VERNET Defendants NO. 2004-4108 CIVIL CERTIFICATE OF SERVICE I, Barbara Sumple-Sullivan, Esquire, do hereby certify that on this date, I served a true and correct copy of the foregoing Answer, New Matter and counterclaim, in the above-captioned matter upon the following individual by first class mail, postage prepaid, addressed as follows: Arthur K. Dils, Esquire Dils & Dils 1017 North Front Street Harrisburg, PA 17102 DATED: September 27, 2004 Barbara Su.mple-Sullivan, Esquire Supreme Court I.D. No. 32317 549 Bridge Street New Cumberland, PA 17070 Attorney for Defendants (717) 774-1445 r n U 3 ffl rl) ?m ?J O U rn CJ ? 0 Barbara Sumple-Sullivan, Esquire Supreme Court #32317 549 Bridge Street New Cumberland, PA 17070 (717) 774-1445 CROCKETT LOG HOMES OF PA, INC., Plaintiffs V. DONALD E. VERNET AND BRENDA L. VERNET, Defendant V.. NATURAL BUILDING SYSTEMS, INC. Additional Defendant IN THE COURT COMMON PLEAS CUMBERLAND CUNTY, CIVIL ACTION - LAW NO. 2004-4108 pRAECIPE FOR WRIT TO JOIN ADDITIONAL DEFENDANT TO THE PROTHONOTARY: as an additional Please issue a writ to join NATURAL BUILDING SYSTEMS, INC., Defendant in this action. DATE: Barbara Esquire 549 Bridge Street New Cumberland, PA 17070-1931 (717) '774-1445 Supreme Court I.D. 32317 Attorney for Defendants Barbara Sumple-Sullivan, Esquire Supreme Court #32317 549 Bridge Street New Cumberland, PA 17070 (717) 774-1445 CROCKETT LOG HOMES OF PA, INC., Plaintiffs V. DONALD E. VERNBT AND BRENDA L. De ant V.. NATURAL BUILDING SYSTEMS, INC. Additional Defendant IN THE COURT OFCOO?PN PLEAS ANIA COUNTY, CUMBERLAND CIVIL ACTION - LAW NO. 2004-4108 CERTIFICATE OF SERV]:CE do hereby certify that I BARBARA SUMPLE-SUI-LIVAN> ESQU?E> on this date, I served a true and correct copy of ?T TO JOIN ADDITIONAL DEFENDANT AND h bove-captioned matter PRAECIPE FOR WRIT TO JOIN upon the following individual(s), ADDITIONAL DEFENDANT, tot e ?bove-cantioned matter by United States, First Class Mail, addressed as follows! Arthur K. Dils, Esquire Law Offices of Dils & Dils 1017 North Front Street Harrisburg, PA 17102 DATED: /??i r , 2004 ?garbara Sump e-Sullivan, Esquire 549 Bridge Street New Cumberland, PA 17070-1931 (717) 774-1445 Supreme Court I.D. No. 32317 Attorney for Defendants ?.? ?' . ?.: ?: - ?; ?, ,- „; _?? r- ? ?- ; , ?,-, y ? `; ? ;;}, ?? _? •• _' n? CD Barbara Sumple-Sullivan, Esquire Supreme Court #32317 549 Bridge Street New Cumberland, PA 17070 LOG O -HONES OF PA, Plaintiffs V. DONALD E. VERNET AND BRENDA L. VERNET, Defendant IN THE COURT OF COMMVIN r1f'o CUMBERLAND COUNTY, PENNSYLVANIA CIVIL ACTION - LAW NO. 2004-4108 WRIT TO JOIN ADDITIONAL DEFENDANT TO: NATURAL BUILDING SYSTEMS, INC. 35 OLD ROUTE 12 NORTH WESTMORELAND, NH 03467 You are notified that DONALD E. VERNET and BRENDA L. VERNET have joined you as an additional Defendant in this action, which you are required to defend. I,? n . _ (i?pnq Prothonotary G Barbara Sumple-Sullivan, Esquire Supreme Court #32317 549 Bridge Street New Cumberland, PA 17070 (717) 774-1445 CROCKETT LOG HOMES OF PA, INC., IN THE COURT OF COMMON PLEAS Plaintiffs CUMBERLAND COUNTY, PENNSYLVANIA v. CIVIL ACTION - LAW DONALD E. VERNET AND NO. 2004-4108 BRENDA L. VERNET, Defendant V.. NATURAL BUILDING SYSTEMS, INC. Additional Defendant AFFIDAVIT OF SERVICE I, Barbara Sumple-Sullivan, Esquire, do hereby certify that I served a copy of the Writ to Join Additional Defendant together with a filed copy of the Complaint and Answer, New Matter and Counterclaim in the above-captioned matter by United States Mail, Return Receipt Requested, Certified No. 7003 0500 0001 6564 0166, Return Receipt Requested, on the above- named Additional Defendant, Natural Building Systems, Inc., on October 18, 2004 at Additional Defendant's last known address: 35 Old Route 12 North, Westmoreland, NH 03467. The original receipt and return receipt card are attached hereto as Exhibit "A". I hereby certify that the facts set forth above are true and correct to the best of my knowledge, information and belief. I understand that any false statements made herein are subject to penalties of 18 Pa. C. S. A. §4904 relating to unSVJon ;plie-SSull ificati t o authorities. Dated: Octobetz, 2004 ivan, Esquire 549 Bridge Street New Cumberland, PA 17070-1931 (717)-774-1445 Supreme Court ID #32317 Attorney fbr Defendant Vernets -0 A& i _n Mt O id7 r-q Postage s f .44 Certified Fee $2.30 G;?M6r9 M Peg 'f. C3 Rehm Redept Fee 11.75 (Entlorsemem Required) co Rsatdded Delivery Fee t C 5 O (EMOrsemem Required) $0.00 'D yta _ /,? C3 Total Postage B Fe s $ "4!6.i9 m 99? ED TO M r- ,:aaCi----- .................._F-_?!_-_--- -- - aPoBoxNo. 'ti S--/1?.? ?._.. I _ rcl 11 Exhibit "A" C (`l ?lt(II _?? ? 4 t.? - r"i C ?? ?? r' c LAW OFFICES OF DILS & DILS ARTHUR K. DILS, ESQUIRE Attorney I.D. No. 07056 1017 North Front Street Harrisburg, PA 17102 Telephone No. (717) 232-9724 Attorney for Plaintiff, Crockett Log Homes of Pa, Inc. CROCKETT LOG HOMES OF PA, INC. IN THE COURT OF COMMON PLEAS Plaintiffs CUMBERLAND COUNTY, PENNSYLVANIA VS. NO. 2004-4108 DONALD E. VERNET AND CIVIL ACTION - LAW BRENDA L. VERNET, Defendants PLAINTIFF'S REPLY TO NEW MATTER AND NOW, this 3rd day of November 2004, comes the Plaintiffs by their attorney, Arthur K. Dils, Esquire, and respectfully answers as follows: 39. The work performed by the Plaintiff was outside of the contract for construction and the work was performed at the specific request of the Defendants and hence is not barred by the terms of the contract. 40. The charges for the work performed outside of the contract were incurred on a piecemeal basis. The Defendants suggested and requested work items to be performed by the Plaintiff. The piecemeal contracts did not require writing as the said amounts did not violate the Statute of Frauds. 41. Paragraph 41 under the heading of New Matter contains a legal conclusion and as such, no reply is required. However, if it is deemed necessary to respond, the Plaintiff avers that the Defendants are not entitled to any counterclaim relief and that the Plaintiff is entitled to full recovery as averred in its Complaint. 42. Paragraph 42 under the heading of New Matter contains a legal conclusion, i.e., respondeat superior. The Defendants have pled no facts concerning this issue. 43. It is denied that the Plaintiffs supplied a faulty blueprint. The Plaintiff had plans and specifications and a design was prepared by another party none of which were faulty. ANSWER TO COUNTERCLAIM 44. Paragraph 44 is admitted. 45. Paragraph 45 is admitted. 2 COUNTERCLAIM - COUNT I 46. Paragraph 46 under the heading Counterclaim - Count I, Breach of Contract is denied. The Defendants have misinterpreted the contract by averring the construction of a Crockett Log Home. The contract, which is attached to the Complaint as Exhibit "A" indicates that the Plaintiff will do work upon plans and specifications which were initialed by the parties. 47. Paragraph 47 is admitted. 48. The Plaintiff believes that the Defendants were residing in the property and that portion of the averment is admitted. 49. It is admitted that construction work was to be performed on the foundation of the Defendants; however, the designation of a Crockett Log Home is not set forth in the contract. The construction work did involve a log home. 50. Paragraph 50 is denied. It is denied that National Building Systems, Inc., is the principal of the Plaintiff. 51. Paragraph 51 is denied. It is denied that the Defendants believed that the Plaintiff was an agent or employee of anyone. The Defendants entered into the contract with Crockett Log Homes of Pa. Inc. It was made clear 3 that National Building Systems manufactured certain materials to be used in the construction and that Crockett Log Homes of Pa. Inc., was a dealer and/or seller of the manufactured materials. 52. The averments in Paragraph 52 are denied. It is denied that the Plaintiff was working solely with Crockett Log Homes of Pa. Inc., to provide building materials, etc. The Plaintiff, Crockett Log Homes, of Pa. Inc., was the seller of Crockett materials and also the contractor to construct the home. 53. Paragraph 53 is admitted. 54. Paragraph 54 is denied. It is denied that Dunlevy was known to the Defendants as an agent or employee of Crockett Log Homes; however, he did do certain construction of the home at the request of the Plaintiff. 55. Paragraph 55 is denied. The problem with the two feet variance was not caused by design or construction, but was caused by the outline of the foundation. The construction gave the Defendants more room than was on the plans for the main section of the house. 56. It is denied that the Plaintiff improperly measured the foundation. 57. Proof is demanded for the allegations averred in Paragraph 57 of the Counterclaim, in that, there was no known significant loss of space and/or 4 support to the knowledge of the Plaintiff and if there be such error, it is in the exclusive control of the Defendants. 58. It is denied that the support columns were to be a metal post for the main structure. Proof is demanded as to any alleged need for reinforcements. 59. It is averred that according to Appendix A, which was part of the Contract, the Defendants were responsible for the post. 60. Proof is demanded for the allegations contained in Paragraph 60. If there be a requirement for an additional post, this is in the exclusive knowledge and control of Defendants and Plaintiff is without sufficient knowledge of the same. It is averred that according to Appendix A, which was part of the Contract, the Defendants were responsible for the post. 61. Proof is demanded for the allegations contained in Paragraph 61. The pleading is based on an expectation that a post must be replaced. The Plaintiff is without knowledge of this requirement as it is in the exclusive control of the Defendants. Again, the Contract did not provide for the Plaintiff to place the posts, but at the request of the Defendants to the person doing actual contract work at the time, the posts were put in. 62. Proof is demanded for the allegations contained in Paragraph 62 as to estimated costs as they are within the exclusive control of Defendants. It 5 is denied that the Plaintiff is responsible for any costs concerning the posts and proof is demanded as to the costs as set forth in Paragraph 62, if it is relevant. 63. Proof is demanded for the allegations contained in Paragraph 63. This averment contains a speculation, in that, it is averred that the entire roof system may collapse. If there be a faulty construction design which would lead to a collapse of the roof, this is in the exclusive control of the Defendants and the Plaintiff is without such knowledge and avers that the support for the roof and the roof were constructed in a proper and workmanlike manner. It is denied that there is improper construction and to the contrary, the hip rafters are notched onto the ridge beam. The construction is structurally sound. 64. It is denied that a special support must be fabricated, in that, the roof structure is sound and there is no need to reinforce the roof. 65. A. - It is denied that the closets cannot be used. The closets were constructed at the specific request and direction of the Defendants. They wanted it this way to have more room in the bedroom. B. - Defendants indicated he would obtain a pantry cabinet to match the kitchen. Per the contract, the Defendants were in charge of the kitchen area. 6 C. - Proof is demanded for the allegations in 65(c) as the Plaintiff avers that he constructed the powder room in accordance with the directions of the Defendants and the plans. D. - The Defendants were responsible for the kitchen area. E. - The Defendants requested this construction be completed as they directed so that they would have a cat walk. F. - Proof is demanded for the allegations contained in paragraph 65(f) as the Plaintiff avers that the construction was done in substantial conformance to the request of the Defendants and of the plans and specifications. G. - The Defendants redesigned the interior of the home after construction began eliminating the laundry room. H. - It is denied that the construction caused any misalignment of the roof lines. It is further denied that the construction caused any improper drainage. 1. - Proof is demanded for any problems with the operation of doors. It is averred that the doors were installed properly. J. - Proof is demanded for the allegations concerning the foyer window. K. - The Defendants determined the heights of the windows and the Plaintiff followed the instructions of the Defendants. 66. It is denied that these alleged defects have impaired the market value of the home and have reduced its appearance and use. The house was what the Defendants contracted. 7 67. Paragraph 67 and its sub-paragraphs are denied, in that, it is denied that any loss as set forth has occurred and proof is demanded for all alleged losses and estimates of costs. 68. Paragraph 68 is admitted. 69. A. - It is denied there were improper insulation techniques. A professional insulation company was utilized and insulation was properly installed. B. - It is denied that the ridge vent and shingles were improperly installed. C. - It is denied that inappropriate windows were utilized and placed. D. - The averments are denied one-half inch zinc plated lag screws 12 inches long were utilized. The fasteners utilized are larger and longer than were required. E. - It is denied that there was improper construction of the master deck gable. F. - The front door was properly installed. The Defendants never sealed or painted the door which caused it to leak and swell. G. - Proof is demanded for the accusations that hammer trusses were deleted. H. - Proof is demanded for the accusations concerning grids from the French doors. 1. - The floor joist and stairwell meet code requirements. 8 J. - Proof is demanded for the allegations in sub-paragraph J. K. - Proof is demanded for the allegations in sub-paragraph K. L. - Proof is demanded for the allegations in sub-paragraph L. M. - Proof is demanded for the allegations in sub-paragraph M. N. - Proof is demanded for the allegations in sub-paragraph N. 0.- Proof is demanded for the allegations in sub-paragraph O. P. - Proof is demanded for the allegations in sub-paragraph P. Q. - Proof is demanded for the allegations in sub-paragraph Q. 70. Proof is demanded for the allegations in Paragraph 70. 71. The Defendants have exclusive knowledge and control of the averments in this paragraph and the Plaintiff is without knowledge of the same and proof is required. 72. The Defendants have exclusive knowledge and control of the averments in this paragraph and the Plaintiff is without knowledge of the same and proof is required. There was rain during construction and the Plaintiff indicated what steps the Defendant should take to lessen moisture and the Defendants failed to do so. 73. The Defendants have exclusive knowledge and control of the averments in this paragraph and the Plaintiff is without knowledge of the same and proof is required. 9 74. The Defendants have exclusive knowledge and control of the averments in this paragraph and the Plaintiff is without knowledge of the same and proof is required. 75. The Defendants have exclusive knowledge and control of the averments in this paragraph and the Plaintiff is without knowledge of the same and proof is required. 76. The Defendants have exclusive knowledge and control of the averments in this paragraph and the Plaintiff is without knowledge of the same and proof is required. Mold and mildew was caused by the Defendants' lack of providing air circulation and dehumidification. The house was closed up by the Defendants. Mold started in the basement which was the Defendants responsibility. The Defendants did not open windows for ventilation and provide heat to absorb moisture. 77. The Defendants have exclusive knowledge and control of the averments in this paragraph and the Plaintiff is without knowledge of the same and proof is required. 78. The Defendants have exclusive knowledge and control of the averments in this paragraph and the Plaintiff is without knowledge of the same and proof is required. 10 79. The Defendants have exclusive knowledge and control of the averments in this paragraph and the Plaintiff is without knowledge of the same and proof is required. 80. The Defendants have exclusive knowledge and control of the averments in this paragraph and the Plaintiff is without knowledge of the same and proof is required. 81. The Defendants have exclusive knowledge and control of the averments in this paragraph and the Plaintiff is without knowledge of the same and proof is required. It is averred a power washer was utilized to clean the beams from dirt due to rain and areas being open to the weather. 82. The Defendants have exclusive knowledge and control of the averments in this paragraph and its sub-paragraphs and the Plaintiff is without knowledge of the same and proof is required. Sub-paragraph G is denied as Defendants did the damage. 83. The Defendants have exclusive knowledge and control of the averments in this paragraph and the Plaintiff is without knowledge of the same and proof is required. 84. Averments in this paragraph are unclear. It alleges the Plaintiff failed to provide flooring, but yet requests replacement of same. As previously set forth, the Defendants were responsible for the kitchen. 11 85. Paragraph 85 is denied. The Defendants requested that some materials be left behind. The Defendants, for example, indicated that they wanted to keep the panels that were not utilized. The other trash was properly removed. 86. The windows that were installed were per the contract. 87. Paragraph 87 is denied. The Defendants often interrupted and caused the work to stop when they were making decisions as to how they wanted certain construction accomplished. Such as, the fireplace and certain interior walls, changes in plumbing, stairwell locations, electric light fixtures, etc. 88. The Defendants have exclusive knowledge and control of the averments in this paragraph and the Plaintiff is without knowledge of the same and proof is required. 89. The Defendants have exclusive knowledge and control of the averments in this paragraph and the Plaintiff is without knowledge of the same and proof is required. 90. The Defendants have exclusive knowledge and control of the averments in this paragraph and the Plaintiff is without knowledge of the same and proof is required. If relevant, it is averred that the Vernets did nothing for a period of six months which hindered completion of the job. 12 91. The Defendants have exclusive knowledge and control of the averments in this paragraph and the Plaintiff is without knowledge of the same and proof is required. 92. It is denied that the Defendants should be reimbursed and it is denied that there was any failed construction. COUNTERCLAIM - COUNT II 93. Paragraph 93 does not require an answer. 94. It is denied that the Plaintiff failed to complete the construction. 95. It is denied that there was shoddy and unworkmanlike construction. 96. The Plaintiff provided the materials for construction of a home for the Defendants. 97. The Plaintiff is without knowledge as to what the Defendants believe. The contract does not say Crockett Log Home. The contract does not say the Plaintiff was a Crockett Log Homes affiliate. The contract provides that one of the parties was Crockett Log Homes of Pa., Inc., and that this entity was the contractor and the contract outlines the various work to be performed and the costs. 13 98. The Defendants were told and verified in writing that they were dealing with the Plaintiff, Crockett Log Homes of Pa., Inc. The Defendants were also told that Natural Building Systems produced and manufactured solid wall homes. The Defendants knew that Natural Building Systems sold the materials for the home construction and that they were utilized by Crockett Log Homes of Pa., Inc., for the construction. There were no acts by the Plaintiff to cause the Defendants to believe that there was a larger entity or association. 99. It is denied that there was any confusion as to the marketing and sale of the product. It is further denied that there was any confusion in the mind of the Defendants. See Contract attached hereto and marked Exhibit "A". 100. The pleadings of the Defendants consistently speak of, "Crockett Log Homes". There was never any contract involving Crockett Log Homes, it dealt specifically with Crockett Log Homes of Pa., Inc. The Plaintiff never marketed Crockett Log Homes. The Plaintiff never misrepresented the goods and services nor did he indicate any sponsorship or endorsement of a single entity which stands behind its product. It was disclosed the relationship of Natural Building Systems in the contract, attached as Exhibit "A". 101. It is denied the Plaintiff had a marketing scheme and that he caused confusion to anyone. The relationship of Natural Building Systems was set forth in Exhibit A. 14 102. It is denied that the Defendants are entitled to relief under the Unfair Trade Practices Act. It is denied that the Plaintiff violated said Act. 103. Paragraph 103 is denied for the reasons set forth in the answer of Paragraph 102. WHEREFORE, Plaintiff demands that the Counterclaims be denied. Respectfully submitted, BY: /Z z Arthur K. Dils, Esquire 1017 North Front Street Harrisburg, PA 17102 (717) 232-9724 I.D. No. 07056 15 EXHIBIT "A" Crockett Homes: Log . Timber Frame a Ultra-R Energy Pant Shell Material Package Order Agreement F! When signed, this Agreement becomes a legal binding contract. Program U1Lr u_Lug Model C1,rtgm This Agreement made this day of 20 30th Y J"?1 03 by and between bon and Bnanda Verret Of 3111 Vnnta nr, rarli.qlo Phone 717-24-3-549% and Ccccs---•rt T1x W-As of PA Tn- Of bla-hani-jab»rgs, FA, 17n50 Phone 717-697-819A WHEREAS,&attral Building Systems ("NBS") is engaged in the business of producing and manufacturing materials to be used for the construction of new solid wall homes and buildings ("Crockett Materials") and selling Crockett Materials and other materials through a network of Master Dealers; WHEREAS, NBS/Crockett Home Office ("Crockett") is a Master Dealer engaged in the business of selling Crockett Materials and other materials through a network of Dealers; WHEREAS, Crockett of PA , hereinafter referred to as SELLER is a Dealer engaged in the business of selling Crockett Materials and other materials and desirous of selling same; and WHEREAS, nnq/Areznda VarnNt , hereinafter referred to as BUYER, is desirous of purchasing Crockett Materials and other materials set forth in Appendix A from SELLER; NOW, THEREFORE, for the mutual consideration hereinafter set forth, SELLER and BUYER agree to the following terms and conditions. I. CROCKETT PACKAGE: SELLER shall furnish to BUYER all materials set forth in Appendix A, which is annexed hereto and made a part hereof. 2. PRICE AND TERMS OF PAYMENT: The price to be paid by BUYER to the SELLER for this Crockett Package is f $84.750 plums $5085.00 PA State Sales Tax PAYMENT TO BE MADE AS FOLLOWS: 89,835.00 Crockett Log Shell Material Package Price. I , =ion, 00 5% Price Protection Binder (to be paid at time of execution of agreement) 25, 450.50 Processing Deposit (30% total deposit due 45-60 days before scheduled MILLING) ,?2 8V-50 Balance Due amount to be paid (a) Cashier's Check after materials delivered and before unloading X_ (b) Bank Check after materials delivered and inspected (c) Bank Draw (the terms of which and the adequacy of the documentation therefore shall be subject to the Seller's approval which shall not be unreasonably withheld.) Such payment shall be subject to a surcharge of $ 150 Note: 1-1/2% interest per month will be charged for balance not paid within 30 days of initial delivery. NOTE: If BUYER'S order is conditional, a statement of the conditions must be included in this Agreement. CONDITIONAL ORDERS are subject to a 5150.00 service charge and any charge for planstspecial materials, etc. CONDITIONS: " NOTE: if Buyer's order remains outstanding for a period of three (3) years or more after the date of this Agreement, such order shall automatically be deemed null and void and of no further effect and Buyer shall automatically forfeit all deposits paid in connection therewith. 3. OPEN PRICE TERM: BUYER and SELLER agree that due to the instability of the market price of wood, SELLER may, at its option, at any time up to sixty (60) days before delivery, make reasonable price increases consistent with the increased cost of wood to SELLER. 4. TIME AND PLACE OF DELIVERY: Delivery of the materials identified in Appendix A shall be made on or before (estimated date) to Town Carlisle , State pA Zip 17013 by BUYER's carrier. SELLER reserves the right to make reasonable adjustments in the delivery date. If SELLER is unable to complete this order due to wars, floods, fire, acts of God or the public enemy, acts of governments or the unavailability of materials or labor, breakdowns in machinery, or for any other unforeseeable cause beyond its control and without its fault or negligence, the Agreement may be cancelled by SELLER on refund of all payments made by BUYER. 5. GENERAL CONDITIONS OF SALE: (a) Warranties: (i) Warranty: SELLER warrants to BUYER that Crockett Materials included in Appendix A shall be free from defect to material or workmanship, and shall be of the kind and quality described herein for a period of sixty (60) days from the date of delivery. BUYER expressly acknowledges that this warranty (the "Warranty") extends only to BUYER. SELLER'S obligations under this warranty are limited to the repair or replacement, at the SELLER'S option, of Crockett Materials, which may prove defective under normal use, installation, assembly, and construction within sixty (60) days from the date of delivery and which, upon SELLER'S examination and satisfaction, are defective. Upon written request to SELLER by BUYER, SELLER shall inspect Crockett Materials and at SELLER'S option, repair or replace any defective Crockett Materials, as determined above, free of charge. In no instance shall the liability of SELLER with respect to the Crockett Materials, exceed the purchase price of the Crockett Materials. (ii) Ten Year Limited Warranty: SELLER warrants to BUYER that the solid pine logs, timbers, timber frames, and/or log siding produced and manufactured by NBS and delivered to BUYER shall be free of any defect in quality and manufacture, and further warrants that such materials shall be the kind and quality described herein for a period of ten (10) years from the original date of purchase. This warranty (the "Ten Year Limited Warranty") shall not apply to the tendency of natural wood to check or twist unless the condition shall cause a clear-through crack or structural weakness, nor shall this Ten Year Limited Warranty apply to defects arising from construction, installation or assembly. Upon written request to SELLER, SELLER shall have such defective material inspected, and at SELLER'S option, repaired or replaced free of charge. (iii) Limitations: SELLER'S obligations under the Warranty and Ten Year Limited Warranty are expressly the exclusive and sole remedies of BUYER. The materials in Appendix A consist of Crockett Materials and materials manufactured and produced by others. Any materials, or part of any materials, that are not Crockett Materials, are not warranted by SELLER in any way, or for any purpose. The Warranty and Ten Year Limited Warranty shall not apply to this Crockett Package, or any part thereof, which has been subject to damage, accr nt, negligence, alteration, abuse, misuse, or improper assembly, installation or construction. ,r, Page 1 of 2 Crockett Homes: Log - Timber Frame -Ultra-l? Energy Panel Shell Material Package Order Agreement When signed, this Agreement becomes a legal binding contract. NOTE: MATERIALS THAT ARE NOT CROCKETT MATERIALS MAY BE WARRANTED BY OTHER MANUFACTURERS. THIS AGREEMENT IS NOT INTENDED TO EFFECT OR ALTER THE VALIDITY OF OTHER MANUFACTURER'S WARRANTIES RELATING TO THOSE MATERIALS. BUYER ACKNOWLEDGES AND AGREES BUYER'S SOLE AND EXCLUSIVE REMEDY ON MATERIALS THAT ARE NOT CROCKETT MATERIALS IS LIMITED TO SUCH OTHER MANUFACTURER'S WARRANTIES THERE ARE NO WARRANTIES, WHICH EXTEND BEYOND DESCRIPTION ON THE FACE HEREOF. THE WARRANTY AND TEN YEAR LIMITED WARRANTY ARE MADE EXPRESSLY IN LIEU OF ALL OTHER WARRANTIES, EXPRESS, IMPLIED, OR STATUTORY, WHETHER WRITTEN OR ORAL, INCLUDING THE WARRANTY OF MERCHANTIBILITY AND THE WARRANTY OF FITNESS FOR A PARTICULAR PURPOSE, AND ALL OTHER OBLIGATIONS OR LIABILITIES ON THE PART OF THE SELLER. SELLER NEITHER WARRANTS NOR GUARANTEES TO THE BUYER ANY PARTICULAR RESULT OR OUTCOME FROM THE BUYER'S USE OF THIS CROCKETT PACKAGE. FURTHERMORE, THE WARRANTY AND TEN YEAR LIMITED WARRANTY DO NOT EXTEND TO THE LABOR OR CONSTRUCTION OF THE CROCKETT PACKAGE, WHICH SHALL BE INDEPENDENTLY CONTRACTED FOR SEPARATE AND APART FROM THIS AGREEMENT. SELLER neither assumes nor authorizes any other person, representative, or agent of SELLER, to assume for it any liability in connection with Crockett Package other than those stated herein. Any other collateral agreement or understanding, whether oral or in writing, in any way purporting to alter or modify the Warranty or Ten Year Limited Warranty or this Agreement, shall not be binding upon SELLER, unless made in writing and signed by Buyer and an authorized representative of SELLER. (b) Inability to Furnish Items: In the event SELLER is unable to furnish any item for the Crockett Package as set forth in Appendix A- SELLER reserves the right to delete the item and adjust the final price accordingly, or make substitutions, therefore, upon written notice to BUYER. (c) Shortages & Shipping Error: BUYER shall inspect all materials pursuant to this Agreement immediately upon their arrival and shall, within five days thereof, give written notice to SELLER of any claim that the materials do not conform with the terms of this Agreement. If BUYER shall fail to give such notice, the materials shall be deemed to conform to the terms of this Agreement and Appendix A. (d) Shipping: SELLER shall deliver all materials to a carrier for transportation to BUYER'S place of delivery, but all costs of transportation shall be borne by BUYER, and all risks of loss shall pass to BUYER when the goods are delivered to the carrier. Arrangements for payment of transportation charges shall be the responsibility of BUYER and carrier at the time the materials are loaded Prices quoted for transportation charges to the building site are contingent upon the stutability of the roads for large tractor-trailer trucks, and in no way shall be binding upon SELLER. Freight costs are set by bonded inter-state carriers and are subject to change without notice (e) Postponement of Delivery: There will be a five (5) day leeway period after the scheduled delivery date. If BUYER has not properly forwarded monies due to SELLER in proper form, an additional $50.00 per diem daily storage charge shall be paid before delivery by SELLER to BUYER for each extra day of storage. Said $50.00 per days storage charge shall not be incurred if BUYER shall notify SELLER, in writing, 18 days before delivery, of BUYER'S request for postponement of delivery date. (f) Taxes, Fees, & Assessments: All sales taxes and import duties, if applicable, shall be paid by BUYER in addition to the price for this Crockett Package. (g) Unloading at Destination: BUYER shall be responsible for all unloading of materials from the carrier at the place of delivery and the SELLER shall give notice to the BUYER prior to expected delivery. (h) Modification of Materials: No addition, deletion or modification of materials by BUYER or SELLER, as provided in Appendix A. shall be binding upon either party unless the same have been reduced to writing and signed by both parties to this Agreement. 6. CONSEQUENTIAL DAMAGES: In no event shall SELLER be liable for incidental or consequential damages, directly or indirectly, arising from the use of this Crockett Package or the terms of this Agreement. 7. ATTORNEY'S FEES: In the event of BUYER'S breach of this agreement, BUYER agrees to pay reasonable attorney's fees to SELLER. 8. NO LIABILITY FOR LABOR AND CONSTRUCTION: Buyer acknowledges and agrees that this Agreement is for the purchase of materials only and is not a contract for labor or construction and that SELLER is an independent contractor of Crockett, solely for the purpose of selling the Crockett Package set forth in Attachment A. Buyer further acknowledges that neither Crockett nor NBS is responsible or shall be liable for labor and construction, which shall be contracted for separate and apart from this Agreement. 9. APPLICABLE LAW: This Agreement shall be deemed entered into and shall be interpreted according to the laws of the date ul r'.?nnsylvani?x . to. REMEDY FOR BUYER'S BREACH: In the event that BUYER fails or refuses to comply fully with the terms of this Agreement for any reason, in addition to paying SELLER'S reasonable attorneys' fees, BUYER shall forfeit all rights hereunder and all monies paid bN BUYER to SELLER shall be retained by the SELLER and shall be treated as actual and liquidated damage in view of the difficulty of establishing actual damages, and SELLER shall be released from all further obligations. I l. ARBITRATION: Any controversy or claim relating to or arising out of this Agreement or the breach of this Agreement will be submitted to final and binding arbitration in accordance with the Commercial Arbitration Rules (the "Rules") of the American Arbitration Association (the "Association"). A single arbitrator or arbitrators shall be selected by the joint agreement of the parties, but if they do not agree within twenty (20) days after written notice of the intent to arbitrate, the selection of the arbitrator(s) shall be made pursuant to the Rules from the panels of arbitrators maintained by the Association. The arbitrator(s) shall render a decision within ninety (90) days of appointment. Any award rendered shall be conclusive and binding upon all parties thereto. This provision for arbitration shall be specifically enforceable by the parties and the decision of the arbitrator(s) in accordance herewith shall be final and binding and there shall be no right of appeal there from. Judgment upon the award rendered by the arbitrator(s) may be entered by any court having jurisdiction thereof. The arbitrator(s) shall not be permitted to award consequential damages, punitive damages or similar types of damages under any circumstances 11 OPPORTUNITY TO CONSULT AN ATTORNEY: BUYER acknowledges that he or she has had an opportunity to consult with an attorney as to any terms and conditions of this Agreement that are unclear or difficult to understand. 13. ENTIRE AGREEMENT; PRIOR REPRESENTATIONS, STATEMENTS & AGREEMENTS: All representations, statements, and agreements heretofore made between the parties are merged and consolidated into this Agreement which above fully and completely expresses their respective obligations. No terms or conditions, other than those stated herein, or other collateral agreement or understanding, whether oral or written, in any way purporting to modify this contract shall not be binding on SELLER unless made in writing and signed by an authorized representative of SELLER. This agreement is entered into by each party after opportunity for investigation, neither party relying on any statements or representations not embodied in this Agreement made by the other party or on the other party's behalf, including specifically oral statements or representations made by SELLER or SELLER'S agents. IN WITNESS WHEREOF, this Agreement executed the day and year first written above. ,J411 D111111 Z,.;,4? Witness Witness Witness Page 2 of 2 PLER B1n.R / r - VERIFICATION I verify that the statements made in this Plaintiff's Reply to New Matter are true and correct. I understand that false statements herein are made subject to the penalties of 18 Pa. C.S. Section 4904 relating to unsworn falsification to authorities. G. DOUG 0r ON, President CROCKET LOG HOMES OF PA. INC. Date: November 9, 2004 CERTIFICATE OF SERVICE I, Arthur K. Dils, Esquire, hereby certify that a true and correct copy of the within Plaintiff's Reply to New Matter has been served upon the following individual by first class, United States mail, postage prepaid, by depositing same at the post office in Harrisburg, Pennsylvania, on the fit day of November 2004, addressed as follows: Barbara Sumple-Sullivan, Esquire 549 Bridge Street New Cumberland, PA 17070 Respectfully submitted, BY. Arthur K. Dils, Esquire 1017 North Front Street Harrisburg, PA 17102 (717) 232-9724 I.D. No. 07056 Date: November 10, 2004 r; ?, ?, .,. , ... _?-- ? n .?? '":: f l ?j 'T'1 r, ?^7 ? : , %.:? ,?;j t h. y - ? ?- . .:t ti Thomas E. Brenner, Esquire Goldberg Katzman, P.C. PO Box 1268 Harrisburg, PA 17108-1268 717-234-4161 Attorneys for Counter-claim Defendant Crockett Log homes CROCKETT LOG HOMES OF PA, : IN THE COURT OF COMMON PLEAS INC., : CUMBERLAND CO., PENNSYLVANIA Plaintiff NO. 2004-4108 V. DONALD E. VERNET and : CIVIL ACTION - LAW BRENDA L. VERNET, Defendants PRAECIPE Please enter the appearance of Thomas E. Brenner of Goldberg Katzman, P.C. on behalf of Crockett Log Homes of Pennsylvania, Inc. as a counter-claim defendant. GOLDBERG KATZMAN, P.C. By. Thomas E. Brenner, Esquire Attorney ID #32085 PO Box 1268 Harrisburg, PA 17108-1268 717-234-4161 Attorney for Counterclaim Defendant Crockett Log Homes of PA, Inc. Date: March 11, 2005 CERTIFICATE OF SERVICE I, Thomas E. Brenner, Esquire, hereby certify that on this date, I served the foregoing document, via U. S. Mail, postage prepaid, on the persons set forth below, namely: Arthur K. Dils, Esquire Dils & Dils 1017 North Front Street Harrisburg, PA 17102 Barbara Sumple-Sullivan, Esquire 549 Bridge Street New Cumberland, PA 17070 GOLDBERG KATZMAN, P.C. By: Thomas E. Brenner, Esquire Date: March 11, 2005 119571.1 Thomas E. Brenner, Esquire Goldberg Katzman, P.C. PO Box 1268 Harrisburg, PA 17108-1268 717-234-4161 Attorneys for Counter-claim Defendant Crockett Log homes CROCKETT LOG HOMES OF PA, : IN THE COURT OF COMMON PLEAS INC., : CUMBERLAND CO., PENNSYLVANIA Plaintiff NO. 2004-4108 V. DONALD E. VERNET and : CIVIL ACTION - LAW BRENDA L. VERNET, Defendants PETITION FOR JOINDER OF ADDITIONAL DEFENDANTS PURSUANT TO PA.R.C.P. 2253 AND NOW, comes Plaintiff, Crockett Log Homes of Pennsylvania, Inc., by its attorneys, Goldberg Katzman, P.C., who state: 1. This action was initiated to collect monies from Defendants for failure to on a construction contract for a new home erected for Defendants Vernet. 2. In their Answer, the Vernets asserted a counterclaim claiming numerous damages relating to the construction of tine home, including handrails and stairways. 3. The construction of the home was performed by a subcontractor, Bruce bunleavy of Mechanicsburg, Cumberland County, Pennsylvania. ?I 4. The installation of the steps and railing within the Defendants' home was ii pi?rformed by Roy Stoltzfus of Spring Mills, Pennsylvania. 5. Should Defendants be successful in establishing deficiencies in the construction of the home or the steps and railing, the proposed Additional Defendants would be responsible for these claims. 6. The joinder of these additional parties is in the interest of judicial economy as additional litigation will be available as all necessary parties will be joined in this action. 7. This joiner will not delay the litigation as the pleadings have been completed. Discovery of witnesses and the parties is to be scheduled. 8. Barbara Sumple-Sullivan, counsel for the Vernets, concurs in this Joinder Petition. WHEREFORE, Plaintiff Crockett Homes of PA, Inc. requests that the Court a Rule to show cause why the subcontractors should not be joined as Additional GOLDBERG KATZMAN, Y.C. By: jl D?te: Thomas E. Brenner, Esquire Attorney ID #32085 PO Box 1268 Harrisburg, PA 17108-1268 717-234-4161 Attorney for Counterclaim Defendant Crockett Log Homes of PA, Inc. April 27, 2005 CERTIFICATE OF SERVICE I, Thomas E. Brenner, Esquire, hereby certify that on this date, I served the foregoing document, via U. S. Mail, postage prepaid, on the persons set forth below, namely: Arthur K. Dils, Esquire Dils & Dils 1017 North Front Street Harrisburg, PA 17102 Barbara Sumple-Sull ivan, Esquire 549 Bridge Street New Cumberland, PA 17070 GOLDBERG KATZMAN, P.C. 1 By: ,'t s c yr- Th-omas E. Brenner, Esquire i Date: April 27, 2005 121299.1 h? 4 i n ?y, '.1 j" ? _ .. t (_J ['::: ' RECEIVED MAY 0 5 20W"' CROCKETT LOG HOMES OF PA, : IN THE COURT OF COMMON PLEAS INC., : CUMBERLAND CO., PENNSYLVANIA Plaintiff NO. 2004-4108 V. DONALD E. VERNET and : CIVIL ACTION - LAW BRENDA L. VERNET, Defendants RULE TO SHOW CAUSE AND NOW, this S' day of May, 2005, Defendants Vernet ate directed to show cause why the subcontractors should not be joined as Additional Defendants. Rule returnable zo days from service. BY THE COURT: ? 0e3'6 ':i ?r ? ,, ?: ? '^ ?,. } , •, CROCKEVF LOG HOMFS OF PA, : IN THE COURT Ol, COMMON PLEAS INC., : CUMBEIZI,AND CO., PENNSYLVANIA Plaintiff NO. 2004-4108 V. DONALD E. VEIZNET and : CIVIL ACTION - LAW' BRENDA L. VL;RNF: f, Defendants ORDER AND NOW, this /9' day of May, 2005, as Defendant has not opposed the Rule to Show Cause, the Kule is made absolute and the Plaintiffs request to join subcontractors as Additional Defendants is GRANTED. Oh 13Y TVIE COURT: .`7 ?7 1.10 L' ?,?•ii 1L?;n Thomas E. Brenner, Esquire Goldberg Katzma,i, P.C. PO Box 1268 Harrisburg, PA 17108-1268 717-234-4161 Attomeys for Plaintiff Crockett Log Homes CROCKETT LOG HOMES OF PA, : IN THE COURT OF COMMON PLEAS INC., : CUMBERLAND CO., PENNSYLVANIA Plaintiff NO. 2004-4108 V. DONALD E. VERNET and : CIVIL ACTION - LAW - : _ BRENDA L. VERNET, Defendants - rv PLAINTIFF'S MOTION TO MAKE RULE ABSOLUTE AND NOW, comes the Plaintiff, Crockett Log Homes of Pennsylvania, Inc., by their attorneys, Goldberg Katzman, P.C., who state: 1. By Order of the Honorable Kevin A. Hess of May 5, 2005, this Court directed Defendants to show cause why the subcontractors should not be joined. 2. Defendants' counsel does not object to the joinder. (See Correspondence attached hereto as "Exhibit A") WHEREFORE, Plaintiff requests the Court enter an Order malting the Rule Absolute and granting Plaintiff's request to join the subcontractors as Additional Defendants. G BERG KATZMAN, P.C. ???? BY: Thomas E. Brenner, Esquire ID # 32085 Carly J. Wismer, Esquire Attorney ID #92598 P.O. Box 1268 Harrisburg, PA 17108-1268 (717) 234-4161 Attorney Iforngfor Plaintiff Date: May, 18, 2005 wr?<a LAW OFFICES BARBARA SUMPLE-SULLIVAN 549 BRIDGE STREET NEW CUMBERLAND, PENNSYLVANIA 17070-1931 PHONE (717) 774-1445 FAX (717) 774-7059 May 12 7, 2005 Thomas E. Brenner, Esquire Goldberg Katzman P.O. Box 1268 320 Market Street, Strawberry Square Harrisburg, PA 17108 Re: Crockett Log Homes of PA, Inc. V. Donald E. Vernet and Brenda L. Vernet Docket No. 2004 - 4108 / Cumberland County Dear Mr. Brenner: I am in receipt of Judge Hess's Order dated May 5, 2005 to show cause as to why the subcontractors should not be joined. I do not object to the joinder. Please proceed appropriately to make the Rule absolute. If you should have any questions, do not hesitate to contact my office. f; BSS/lh cc: Mr. and Mrs. Donald E. Vernet EXHIBIT w F 7 kF- Barbara Sumple-Sullivan CERTIFICATE OF SERVICE I hereby certify that I served a copy of the foregoing document upon the person(s) indicated below by depositing a copy of the same in the United States mail, postage prepaid, at Harrisburg, Pennsylvania and addressed as follows: Arthur K. Dils, Esquire Dils & Dils 1017 North Front Street Harrisburg, PA 17102 Barbra Sump] e-SullWan, Esquire 549 Bridge Street New Cumberland, PA 17070 GOLDBERG KATZMAN, P.C. BY: IIJzL !I! ./ Thomas E. Brenner, Esquire Date: May 18, 2005 122176.1 RECEIVED MAY 2310053 CROCKETT LOG HOMES OF PA, : IN THE COURT OF COMMON PLEAS INC., : CUMBERLAND CO., PENNSYLVANIA Plaintiff NO. 2004-4108 V. DONALD E. VERNET and : CIVIL ACTION - LAW BRENDA L. VERNET, Defendants ORDER AND NOW, this Z'( `day of May, 2005, as Defendant has not opposed the Rule to Show Cause, the Rule is made absolute and the Plaintiff's request to join subcontractors as Additional Defendants is GRANTED. BY THE COURT: 2 IN\ ti Thomas E. Brenner, Esquire Goldberg Katzman, P.C. PO Box 1268 Harrisburg, PA 17108-1268 717-234-4161 Attorneys for Plaintiff CROCKETT LOG HOMES OF PA, INC., Plaintiff IN THE COURT OF COMMON PLEAS CUMBERLAND CO., PENNSYLVANIA NO. 2004-4108 V. DONALD E. VERNET and BRENDA L. VERNET, Defendants CIVIL ACTION - LAW V. NATURAL BUILIDNG SYSTEMS, : INC.,BRUCE DUNLEAVY, and ROY: STOLTZFUS, Additional Defendants NOTICE 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 attorney and filing in writing with the Court your defenses or objections to the claims set forth against you. You are warned that if you fail to do so the case may proceed without you and a judgment may be entered against you by the Court without further notice for any money claimed in the Complaint or for any other claim or relief requested by the Plaintiff. You may lose money or property or other rights important to you. YOU SHOULD TAKE THIS PAPER TO YOUR LAWYER AT ONCE. IF YOU DO NOT HAVE A LAWYER OR CANNOT AFFORD ONE, GO TO OR TELEPHONE THE OFFICE SET FORTH BELOW TO FIND OUT WHERE YOU CAN GET LEGAL HELP. Lawyer Referral Service Cumberland County Bar Association 2 Liberty Avenue Carlisle, PA 17013 717-249-3166 NOTICIA Le ban demandado a usted en la corte. Si usted quiere defenderse de estas demandas expuestas en las paginas siguientes, usted tiene viente (20) dias de plazo al partir de ]a fecha de la demanda y la notificacion. Usted debe presentar una apariencia escrita o en persona o por abogado y archivar en la cone en forma escrita sus defensas o sus objections a las demandas en contra de su persona. Sea adisado que si usted no se defiende, la sin previo aviso o notificacion y por cualquier quja o puede perder dinero o sus propiedades o otros derechos importantes para usted. LLEVE ESTA DEMANDA A UN ABOGADO IMMEDIATAMENTE. SINO TIENE ABOGADO O ST NO TIENE EL DINERO SUFICIENTE DEPAGARTAL SERVICIO, VAYA EN PERSONA O LLAME POR TELEFONO A LA OFICINA CUYA DIRECCION SE ENCUENTRA ESCRITA ABAJO PARA AVERIGUAR DONDE SE PUEDE CONSEGUIR ASISTENCIA LEGAL. Lawyer Referral Service Cumberland County Bar Association 2 Liberty Avenue Carlisle, PA 17013 717-249-3166 Thomas E. Brenner, Esquire Goldberg Katzman, P.C. PO Box 1268 Harrisburg, PA 17108-1268 717-234-4161 Attorneys for Plaintiff CROCKETT LOG HOMES OF PA, : IN THE COURT OF COMMON PLEAS INC., : CUMBERLAND CO., PENNSYLVANIA Plaintiff NO. 2004-4108 V. DONALD E. VERNET and : CIVIL ACTION - LAW BRENDA L. VERNET, Defendants V. NATURAL BUILIDNG SYSTEMS, : INC.,BRUCE DUNLEAVY, and ROY: STOLTZFUS, Additional Defendants COMPLAINT AGAINST ADDITIONAL DEFENDANTS NATURAL BUILDING SYSTEMS, INC. BRUCE DIUNLEAVY AND ROY STOLTZFUS AND NOW, comes the Plaintiff, Crockett Log Homes of PA, Inc. by its attorneys, Goldberg Katzman, P.C., who state: 1. Additional Defendant Natural Building Systems, Inc. is a corporation located at 35 Old Route 12N, Westmoreland, New Hampshire, 03467. 2. Additional Defendant Bruce Dunleavy is an adult individual residing at 1217 Indian Peg Road, Mechanicsburg, Cumberland County, Pennsylvania. 3. Additional Defendant Roy Stoltzfus is an adult individual residing at 801 Penns Creek Road, Spring Mills, Centre County, Pennsylvania. 4. The present action was initiated by Complaint filed by the Plaintiff (See Exhibit A). 5. Defendants Verner have filed an Answer, New Matter, and Counterclaim, a copy of which is attached hereto as Exhibit "B". 6. The Counterclaim avers that negligence in the design and construction of the Defendants' home resulted in damages to the Defendants. 7. The Defendant's house was manufactured by Additional Defendant Natural Building Systems, Inc. 8. According to the Dealer Contract between Plaintiff and Additional Defendant Natural Building Systems, Inc., Paragraph H, states that Natural Building Systems, Inc. warrants its product for 10 years from the original date of purchase. The contract is attached hereto as Exhibit "C". 9. Additional Defendant Bruce Dunleavy was a subcontractor of the Plaintiff and performed the installation of the shell of the house averred in Defendants' counterclaim. 10. Additional Defendant Roy Stoltzfus was a subcontractor of Plaintiff and performed the installation of the steps and the railing of the Defendants' house averred in the Defendants' Counterclaim. 2 11. The averments of Breach of Contract and Unfair Trade Practices as to the design of the subject house in Paragraphs 44 to 92 of the Defendants' Counterclaim are incorporated herein by reference. 12. Should the Defendants prevail on their counterclaim, then it is averred that Additional Defendants Natural Building Systems, Inc., Bruce Dunleavy, and Roy Stoltzfus are solely liable for the Defendants' Counterclaim. In the alternative, should the Defendants prevail on their Counterclaim, it is averred that Additional Defendants Natural Building Systems, Inc., Bruce Dunleavy, and Roy Stoltzfus are jointly and severally liable on their claim. In the further alternative, should the Defendants prevail on their Counterclaim, it is averred that Additional Defendants Natural Building Systems, Inc., Bruce Dunleavy, and Roy Stolzfus are liable over to Plaintiff Crockett Log Homes of PA, Inc. for indemnity or contribution on the Defendants' counterclaim. WHEREFORE, Plaintff Crockett Log Homes of PA, Inc requests that Additional Defendants Natural Building Systems, Inc., Bruce Dunleavy, and Roy Stoltzfus be found solely liable on the Defendants' Counterclaim; or in the alternative, jointly and severally liable on the Defendants' Counterclaim; or in the alternative, liable over to Plaintiff Crockett Log Homes, Inc. for indemnity or contribution on the Defendants' Counterclaim. 3 GOLDBERG KATZMAN, P.C. By: 1/J Thomas E. Brenner, Esquire Attorney ID #32085 PO Box 1268 Harrisburg, PA 17108-1268 717-234-4161 Attorney for Counterclaim Defendant Crockett Log Homes of PA, Inc. Date: June 21, 2005 4 VERIFICATION I, Douglas Dodson, hereby acknowledge that I am an authorized representative of Crockett Log Homes of Pennsylvania; that I have read the foregoing document and that the facts stated therein are true and correct to the hest of my knowledge, information and belief. I understand that any false statements herein are made subject to penalties of 18 Pa. C.S. Section 4904, relating to unsworn falsification to authorities. CROCKET LOG HOMES OF PENNSYLVANIA By: 9-4- 4, &" Dougl odson Date: 122364.1 LAW OFFICES OF DILS & DILS ARTHUR K. DILS, ESQUIRE Attorney I.D. No. 07056 1017 North Front Street Harrisburg, PA 17102 Telephone No. (717) 232-9724 Attorney for Plaintiff, Crockett Log Homes of Pa., Inc. CROCKETT LOG HOMES OF PA., INC. IN THE COURT OF COMMON PLEAS Plaintiff CUMBERLAND COUNTY, PENNSYLVANIA vs. NO. 2004 - 4Y I ep 9 Civil Term DONALD E. VERNET AND BRENDA L. VERNET, Defendant CIVIL ACTION - LAW NOTICE TO DEFEND YOU HAVE BEEN SUED IN COURT. If you wish to defend against the claims set forth in the following pages, you must take prompt action within (20) days after this Complaint and Notice are served, by entering a written appearance personally or by attorney and filing in writing with the Court your defenses or objections t the claims set forth against you. You are warned that if you fail to do so, the case may proceed without you and a judgment may be entered against you by the Court without further notice for any money claimed in the Complaint or for any other claim or relief requested by the Plaintiff. property or other rights important to you. You may lost money or ? A YOU SHOULD TAKE THIS PAPER TO YOUR. LAWYER AT ONCE. IF YOU DO NOT HAVE A LAWYER OR CANNOT AFFORD ONE, GO TO OR TELEPHONE THE OFFICE SET FORTH BELOW TO FIND OUT WHERE YOU CAN GET LEGAL HELP. Cumberland County Bar Association 2 Liberty Avenue Carlisle, Pennsylvania 17013 (717) 249-3166 CROCKETT LOG HOMES OF PA., INC. IN THE COURT OF COMMON PLEAS Plaintiff CUMBERLAND COUNTY, PENNSYLVANIA vs. NO. 2004 - Civil Term DONALD E. VERNET AND BRENDA L. VERNET, Defendant CIVIL ACTION - LAW COMPLAINT AND NOW, this ay of August 2004, comes the Plaintiff, Crockett Log Homes of Pa., Inc., by his attorney, Arthur K. Dils, Esquire, and respectfully avers the following: COUNTI BREACH OF CONTRACT' 1. The Plaintiff is a Pennsylvania Business Corporation duly licensed by the Commonwealth of Pennsylvania with its' principal place of business at 58 Sunset Drive, Mechanicsburg, Silver Sprint; Township, Cumberland County, Pennsylvania 17050. G. Douglas Dodson is the President of said Corporation. 2. The Defendants, Donald E. Vernet and Brenda L. Verret, his wife, are adult individuals residing at 3111 Enola Drive, Carlisle, Cumberland County, Pennsylvania 17013. 3. The Defendants entered into a written contract with the Plaintiff Corporation on July 31, 2003. A copy of said Contract is attached hereto and marked Exhibit "A" and made a part hereof. 4. The Contract provided that the Plaintiff, Crockett Log Homes of Pa., Inc., was to construct a high energy efficient log building for use as a residence. 5. The Plaintiff, Crockett Log Homes of Pa., Inc., and the Defendants prepared and reviewed plans and specifications for the construction of the building and the Defendants agreed to these construction specifications and plans. 6. The Plaintiff was to perform all necessary labor and to furnish the required materials as set forth in said specifications. 7. The consideration for this construction project was agreed upon, in that, the Defendants agreed to pay the sum of $150,314.00 to the Plaintiff, Crockett Log Homes of Pa., Inc. 8. Prior to the signing of the Contract, but in accordance with the formal written agreement entered into on July 31, 2003, the Defendants paid $1,500.00 toward the agreed upon construction price. 9. The Plaintiff also gave the Defendants credit for a $1,000.00 coupon obtained at a sales seminar. 10. As a result of the aforesaid credits, the Defendants agreed to pay the balance of the construction price amounting to $147,814.00. The parties to the Agreement agreed to a draw schedule. 11. The Plaintiff, Crockett Log Homes of Pa., Inc., began construction on or about August 23, 2003, and had performed approximately 99% of the construction work by the first or second week of April 2004. 12. The Plaintiff, Crockett Log Homes of Pa., Inc., provided all the materials as required by the Agreement. 13. The Plaintiff, Crockett Log Homes of Pa., Inc., consulted continually with the Defendants to make any changes that they desired and to completely satisfy them. 14. The Plaintiff completed all work in a proper, good, and workmanlike mariner. 15. Sometime in early April 2004, the Plaintiff appeared at the building site and conferred with the Defendant, Donald E. Vernet, at which time the Defendant indicated that the construction of the job was basically completed and he was satisfied with same. 16. The next day, G. Douglas Dodson, the President of the Plaintiff Corporation, went to the job site to check on the condition of certain foundation posts and was ordered off of the job site by the Defendant, Donald E. Vernet. Mr. Vernet said, "I don't: want you to get any deeper into this because I'm seeking legal help and it will be a long drawn out court case." The Defendant, Donald E. Vernet, did not specify any reasons nor give any complaints. 17. During the construction process, the Defendant, Donald E. Vernet, approached G. Douglas Dodson, the President:, of the Plaintiff Corporation and asked for various changes and modifications to the aforesaid agreed upon specification and plans. Among these requests were: (a.) change a double window to a French door:; (b.) change a single door to a French door; (c.) tongue and groove wall covering on bottom side of second floor porch deck floor; (d.) helped with the electrical wires on the second floor, floor joists; (e) helped wire porches; and (f.) put up a catwalk across the loft area. 18. The Defendants had constructed a foundation. The anticipated and proposed foundation was to be 14 feet wide, but the Defendant caused it to be reduced to a 12 foot wide foundation. The Plaintiff, because of this change, had to redesign the construction project. 19. The Plaintiff had hired and subcontracted with a subcontractor, Bruce Dunlavy. This subcontractor was to help in the building of the residence. The Plaintiff was under the impression that the plans and specifications and his construction responsibility was to be from the foundation up. In other words, the Defendants were responsible for all foundation work. The Defendants had the first floor system completed before the Plaintiff began its construction work. 20. The Defendant, Donald E. Vernet, without the knowledge of the Plaintiff, instructed the subcontractor, Dunlavy, to install foundation posts. 21. As a result, the subcontractor, Dunlavy, installed posts in the foundation. 22. At or about the time that the Defendants ordered the Plaintiff off of the job site, Donald E. Vernet made a statement to the Plaintiff that he was concerned about one of the foundation posts. 23. On the day that the Plaintiff was ordered off the job site, G. Douglas Dodson went to the site to check the foundation posts, even though he was not legally responsible to do so, because of the Defendant's, Donald E. Vernet's, instructions to the subcontractor, Dunlavy. 24, The Defendants prevented the Plaintiff from accomplishirig this inspection. 25. After being ordered off the job, the Plaintiff had his attorney write a letter to the Defendants, Verret, in an attempt to resolve any problems between the parties. Said letter is dated April 13, 2004, marked Exhibit "B" and attached hereto and made a part hereof. 26. As a result of this letter, there was another meeting between the Plaintiff and the Defendants in mid-May 2004, at which time access was permitted to the foundation area and the Plaintiff observed a temporary post and offered to rectify that problem. Donald E. Verret indicated that he did not want the Plaintiff to accomplish this and refused further payment. Defendant stated they would let Plaintiff know about the past due payment due the Plaintiff, but failed to communicate with Plaintiff after that time. The Defendants have willfully refused to make any further payments. 27. In accordance with the contract, the Defendants have paid the Plaintiff the sum of one hundred thirty thousand, four hundred eighty-five and no/100 dollars ($130,485.00) in the following installments: $25,000.00, $64,060.00, $12,425.00, $12,000.00, $10,000.00, and $7,000.00. 28. The Defendants have failed to pay the balance of the agreed contract. The amount due is seventeen thousand, three hundred twenty-nine and no/100 dollars ($17,329.00). 29. Repeated demands have been made upon the Defendants for this sum and the Defendants have failed to make payment. 30. Said sum is due and owing to the Plaintiff and the Defendants have indicated no just cause or reason why said sum should not be paid. WHEREFORE, Plaintiff demands judgment against the Defendants in the amount of seventeen thousand, three hundred twenty-nine and no/100 dollars ($17,329.00) and interest, all costs of suit, and attorney's fees, said amount requires referral to a Board of Arbitration. COUNT II QUANTUM MERUIT 31. The Defendants requested additional work outside of the contract which required labor and material. 32. The Defendants specifically requested that the Plaintiff change a double window to a French door. The total cost for labor and materials for this requested change is $300.00. 33. The Defendants specifically requested that the Plaintiff change a single door to a French door. The total cost for labor and materials for this requested change is $400.00. 34. The Defendants requested the Plaintiff to install railings. The total cost for labor and materials for this requested change is $1,100.00. 35. The Defendants requested the Plaintiff to install a catwalk. The total cost for labor and materials for this requested change is $800.00. 36. The Defendants requested the Plaintiff to build two additional doors. The total cost for labor and materials for this additional work is $200.00. 37. The Defendants requested the Plaintiff to assist with electrical wiring on the second floor and floor joists and assist in the wiring of the porches. The total cost for labor and materials for this additional work is $500.00. 38. The Defendants requested the Plaintiff to assist in the tongue and groove wall covering on bottom side of second floor porch and deck floor. The total cost for labor and materials for this additional work is $600.00. WHEREFORE, Plaintiff demands judgment against the Defendants in the amount of Three Thousand Nine Hundred and no/100 ($3,900.00) Dollars plus interest, attorney's fees, and all costs, said amount requires referral to a Board of Arbitration. Respectfully submitted, BY Harrisburg, PA 17102 (717) 232-9724 I.D. No. 07056 1017 North Front Street Contract THIS CONTRACT, made the 31st day of July 2003, between Brenda and Don Vernet of 3111 Enola Drive, Carlisle, PA hereinafter called OWNER, and Crockett Log Homes of PA, Inc. 58 Sunset Drive, Mechanicsburg, Pennsylvania 17050, hereinafter called CONTRACTOR, agree as follows: The Owner represents that he is the real and registered Owner of the property situated at 3111 Enola Drive, Carlisle, Pennsylvania. WHEREAS, the Contractor has agreed to do the work as indicated upon the said plans and set forth in the specifications which are initialed by the parties. In consideration of the mutual promises herein contained, it is agreed that each party intending to be legally bound and the Owner desiring that the home be constructed for private use, the parties hereby agree as follows: (1) That the Contractor, for the consideration hereinafter mentioned and referred to, hereby covenants and agrees with the Owner that he will do the work set forth in the plans and specifications in a good and workmanlike manner, and in accordance therewith, as well as with the rules and regulations of any city and county department; and of any public service corporation supplying or which will in future supply services on the said premises and does further agree to do and perform all of the work, supply and furnish all of the labor and materials as set forth in the plans and specifications and necessary for the proper performance of the said work which the Contractor does hereby undertake to complete. (2) That the Owner shall pay to the Contractor the sum of $150,314.00 as needed with $1,500.00 Initial Deposit and $1,000.00 Coupon already paid. (3) The total agreed construction price between the parties is that the Contractor shall be paid the total remaining sum of $147,814.00 on a draw schedule. (4) The Contractor hereby agrees that all construction shall be complete as set forth within one hundred eighty (180) days from the date of initial construction provided that the Contractor is not delayed in the completion of this work by strikes, by failure of the Owner to furnish funds or other matters, or other happenings beyond his control. If such a delay is caused, the time of such delay shall not be included in the time during which this contract is to be fully performed as herein provided, but such time shall be extended for a period equal to the period of such delay. (5) In the event that the Contractor is delayed in the performance and completion of his work under this contract by any act, neglect, or default of the Owner or any damage or delay caused by fire, delays in transportation, acts of God, acts of war, strikes or any other casualty, vandalism, or calamity for which the Contractor is not responsible or any event not under his control, the time herein fixed for the completion of the work under this contract shall be extended for a period equal to the amount of time lost by reason of any such causes, provided nevertheless the Contractor shall give Owner notice of such delay and take reasonable steps to cure such delay. (6) No changes or alterations in the work to be done under this contract shall be made except by written contract of the parties hereto. (7) The Owner shall pay for any additional costs in construction if there is any rock or unfavorable building conditions, provided notice is first given to Owner and Owner approves such additional costs. (8) The Owner cannot move in until the Contractor is paid in full and Contractor has substantially completed said construction excepting reasonable items of work undone to affecting habitability. (9) If there by any disagreement between the parties hereto concerning any aspects of this contract, the Contractor shall have the option and the parties are bound by this option, to either have the disagreement resolved through a Board of Arbitration or through the ort of Common Pleas, under the laws of the Commonwealth of Pennsylvania. (10) It is understood and agreed that the Contractor does not assume any risks or liability if the building is not erected within the time period set forth herein, unless such delay is caused directly or indirectly by Contractor or Contractor's control. (11) This Contract shall be binding upon the heirs, successors, executors, administrators, and assigns of the respective parties hereto. (12) The Owner will be responsible for but not limited to the following labor and material: Landscaping/seeding Sanding, Painting and Polyurethaning the interior Application of Exterior Weatherseal Foundation Plumbing and Fixtures Heating Air Conditioning Electric and Fixtures Kitchen, All Cabinets and Counters, Appliances Floor Covering Ca°yl-? ?G ?-O r Fireplace 5upp/1'es kl ?G?,n ??Dor '?? ??/2 3 (13) Contractor is not responsible for permits and utility to house. Signed and sealed the day and year first abo, MffAs -;/V//Z-? t ess Witness LOwner Homes of PA, Inc. JJ I& & -OW& ATTORNEYS AT LAW 1017 NORTH FRONT STREET HARRISBURG, PENNSYLVANIA 1710,2 ARTHUR K. OILS PHONE: (717) 233-8743 DIANE M. DILS FAX'. (717) 233-2567 April 13, 2004 Brenda and Don Vernet 3111 Enola Drive Carlisle, PA 17013 Dear Brenda and Don: I represent Douglas Dodson, 58 Sunset Drive, Mechanicsburg, Pennsylvania 17050, who is the President of Crockett Log Homes of PA, Inc. A contract was entered into between the corporation and yourselves sometime in August 2003. You recently have ordered Mr. Dodson and his employees, sub-contractors from your premises. I have reviewed the blue prints, the contract, and the work performed and it is my opinion that Mr. Dodson and the corporation are in substantial compliance with the contract and that you have breached the contract by failing to make final payments and by not permitting Mr. Dodson to finish the minor items. Brenda gave Mr. Dodson a list of things that needed to be completed. I have reviewed that list and most of the items have been taken care of. Brenda mentioned the sealer and kitchen flooring and Mr. Dodson is ready, willing, and able to supply these items. The trim around the kitchen was not completed because Don said to wait, but this work can also be accomplished. The two items were not discernable, namely; beams that need to go into the basement and more support to the stairway into the basement. We would need clarification of these items, but I assure you that Mr. Dodson would perform what is needed. Recently, Mr. Dodson asked to view the basement area to verify that Bruce Dunlavy completed the necessary posts in a proper manner. You refused Mr. Dodson to view the basement and the posts. Enclosed is a copy of a brief history of the job and its problems. Mr. Dodson is willing to consider any just complaints that you have as he believes that he wants to sustain his integrity in the building profession and wants to satisfy you as long as you have reasonable requests. The total due Mr. Dodson at this time is $18,529.00. The final draw is $17,329.00 plus $1,100.00 for railings, $200.00 for two doors built by Mr. Dodson, $900.00 for the ceiling under the deck, $800.00 for the catwalk, $300.00 for changing a double window to a french door, and $400.00 for a single door to a french door. A credit of $2,500.00 was included in the demand figure for trusses that were not utilized. You may feel free to contact me concerning this matter; however, we do want to see that your contractual obligations are fulfilled and that this matter can be settled quickly and amicably to the satisfaction of both you and your wife and Mr. Dodson. Very truly yours, Arthur K. Dils AKD/daf VERIFICATION I verify that the statements made in this Complaint are true and correct. I understand that false statements herein are made subject to the penalties of 18 Pa. C.S. Section 4904 relating to unsworn falsification to authorities. GOCROCKETT LOG HOMES OF PA., INC. Date: August 19, 2004 I Barbara Sumple-Sullivan, Esquire Supreme Court #32317 549 Bridge Street New Cumberland, PA 17070 CROCKETT LOG HOMES OF P Plaintiffs V. DONALD E. VERNET AND BRENDA L. VERNET, Defendant IN THE COURT OF COMMON PLEAS CUMBERLAND COUNTY, PENNSYLVANIA CIVIL ACTION - LAW NO. 2004-4108 ANSWER. NEW MATTER AND COUNTERCLAIM COUNTI BREACH OF CONTRACT' 1. Admitted. 2. Admitted. 3. Admitted. 4. Denied. Paragraph 4 is a conclusion of law to which no responsive pleading is required. By way of further answer, it is averred that the contract is a writing which speaks for itself and any paraphrasing by the Plaintiff is denied as a true and accurate statement of the terms of the contract. 5. Admitted in part. Denied in part. It is denied that the Plaintiff and the Defendants prepared plans and specifications for the construction of the building. It is averred that Plaintiff prepared the plans and specifications in consultation with the engineer from National Building Systems, Inc. d/b/a Crockett Log Homes, which entity Defendants believed were the principal for Plaintiff. It is admitted that Plaintiff and the Defendants did in fact review an Appendix A referenced Crockett Ultra R Log home sheet and certain residence schematics. However, Defendants never received any other specific specifications. It is further averred that an actual blueprint for the home was not provided to the Defendants until after the contract was executed and Plaintiff had already commenced building of the home. When Defendants asked for the blueprint at the time of executing the contract, Plaintiff assured them it would be forthcoming and that they would get all features exactly as discussed. This did not occur. It is further averred that Plaintiff failed to construct the building in accordance with the schematics, Appendix A, or the blueprint finally presented. 6. Admitted with the clarification that the contract specifically provided that the Plaintiff agreed "... to do and perform all of the work, supply and furnish all of the labor and materials as set forth in the plans and specifications and necessary for the performance of the said work which Contractor does hereby undertake: to complete." 7. Admitted. 8. Admitted. 9. Admitted with the clarification that Defendants never actually received the coupon and had understood the credit was to be One Thousand Five Hundred Dollars ($1,500.00). 10. Admitted. 11. Admitted in part. Denied in part. It is admitted that Plaintiff began construction on or about August 23, 2003. It is denied that Plaintiff had completed approximately ninety- nine percent (991/o) of the construction work by the first or second week of April, 2004. By further answer, it is averred that the entire construction should have been completed in February, 2004. It is further asserted that the work that was completed was not completed in a workmanlike fashion. 12. Denied. It is denied that the Defendant provided all the materials required by the Agreement. It is averred that many of the materials were provided directly from Crocket Log Homes, the principal of Defendant. It is further noted that many materials as listed on the Appendix A were never provided including, but not limited to, Therma Tru door, double windows, metal posts and plates, etc, as outlined in the Counterclaim and incorporated herein. 13. Denied. It is denied that Plaintiff consulted continually with the Defendants to make changes that they desired. It is averred that the only change which Defendants requested was an upgrade to the front door entrance. A change order was issued. Defendants are without knowledge to form a belief as to the truth of the averment that Plaintiff desired to completely satisfy them. By way of further answer, it is averred that Defendants only expected that Plaintiff comply with the terms of their agreement, the Appendix A and schematics and plans. It is noted that many changes made in the project were made due to a design error by Plaintiff and his principal, Crockett Log Homes. Plaintiffs agents pi oceeded with the construction despite the request that the errors be corrected. Those changes as set forth in paragraphs 44 through 103 of the Counterclaim were never desired or requested by the Defendants. 14. Denied. It is denied that Plaintiff completed the work in a proper, good and workmanlike manner. As set forth in Counterclaim, which paragraphs are incorporated by reference, it is asserted that the work was performed in an unsatisfactory and negligent manner. 15. Denied. It is denied that Defendant, Donald E. Vernet at any time in April, 2004 told Plaintiff that the construction job was completed and that he was satisfied with same. At all times relevant, Defendants advised Plaintiff of the continuing problems with the construction, including, but not limited to, the failure to meet the contract specification and plans, the problems with water entering the home, and the faulty workmanship. It is further averred that at this meeting concerning the problems, Defendants declined Plaintiffs request for a draw. Plaintiff was emotionally distraught and indicated to the Defendants that he was concerned that Bruce Dunlavy, another Crockett Log Homes builder who was actually erecting the home on Plaintiff s and Crockett Log Homes behalf, was "trying to bring him down" and stated that "none of this is worth it" and that he thought he "should end it all". This was extremely upsetting to the Defendants. 16. Admitted in part. Denied in part. It is admitted that at some time in April, 2004, specifically on April 8, 2004, approximately a week after the conversation referenced in paragraph 15 above, Plaintiff did return to the Defendants' property. At all times relevant thereto, Defendants believed that Plaintiff had come to attempt to repair the existing problem with the front door. It is denied that Defendants ordered Plaintiff from the site. However, Defendants did tell Plaintiff not to put any more time into the project because of the extensive repairs which were necessary and the poor quality of the construction as it then existed. Defendants did not want any further work to continue until such time as the structural integrity of the home was verified. It is admitted that Dodson was advised that Defendants were seeking legal, as well as engineering assistance, to determine the appropriateness of the Plaintiffs performance to date. It is denied that Defendants did not specify any reasons or give any complaints. 17. Admitted in part. Denied in part. It is admitted that of the items listed, only one change as set forth in subsection d, was actually requested by Defendants. It is averred as follows: A. The French door was discussed by the parties, an agreement reached for its inclusion in the design and was intended to be included in the original blueprint. It was not included due to an administrative error by Plaintiff or design error by Crockett Log Homes. This was not additional work by Plaintiff. B. The French door was discussed by the parties, an agreement reached for its inclusion in the design and was intended to be included in the original blueprint. It was not included due to an administrative error by Plaintiff or design error by Crockett Log Homes. This was not additional work by Plaintiff. C. It is admitted that tongue and groove wall covering was required to be installed on the bottom side of the second floor porch deck by the Defendants. It is denied that said was an additional work since tongue and groove is required to be installed pursuant to the contract for everything that is framed. D. Admitted in part. Denied in part. It is admitted that Plaintiff did personally assist the Defendants with the installation of the electrical. It is averred that Plaintiff's actual time was approximately one half hour. It is averred that this work was required due to an error in installation of the logs by Mr. Dunlavy which made it almost impossible to run wire for electrical service. Defendants could not even hire an electrician who would take on the electrical construction work. To remedy this, Plaintiff then illustrated to Defendant, Donald E. Vernet, how to run the router to allow the wiring to run through the logs. E. Admitted with the incorporation of subsection (D) above. It is estimated that Plaintiff spent approximately an additional fifteen minutes (15) to punch the hole through the wall for the extension of wiring to the porch. F. It is admitted that during the initial negotiations of the scope of the contract work, the catwalk across the loft was considered for deletion. However, at all times relevant to the actual design of the home, the inclusion of the catwalk was discussed by the parties, an agreement was reached for its inclusion in the design and was intended to be included in the drawing. It should have been included and was omitted only as an administrative error of the Plaintiff or a design error by Crockett Log Homes. This was not additional work. 18. Admitted in part. Denied in part. It is admitted that the foundation was a pre-existing structural item which had been constructed by the Defendants prior to Plaintiff's contract. Plaintiff and Crockett Log Homes were to design from that foundation upwards. The only area where the actual foundation was not yet erected when the design was made was in a designated foyer/entry area. It is averred that, at all times relevant to the development of plans and specifications, the foundation and the contemplated area for extension for the foyer were existing and readily available for field measure by Plaintiff and the design engineer from Crockett Log Homes. However, Plaintiff's plan and specification incorrectly incorporated the existing thirty-two feet (32) foundation wall as a thirty feet (30) wall and estimated fourteen feet (14) gather than twelve foot (12) for the foyer area. It is denied that at any time, the existing foundation was proposed to be fourteen feet (14) wide. 19. Admitted in part. Denied in part. After reasonable investigation, Defendants are without personal knowledge sufficient to form a belief as to the truth of the averment related to Dunlavy and his responsibilities for construction. Proof of same is demanded at trial. It is admitted that the preparation of the design and construction of the residence was to utilize the existing concrete foundation work for all construction work. It is admitted that the first floor system was completed before Plaintiff began his contract work. It is further averred that all areas were readily available for field measure verification. 20. Denied. It is denied that Defendant, Donald E. Vernet instructed any subcontractor of Plaintiff to install foundation posts. Said posts were required by the parties' contract. It is averred that even the temporary posts, as were erected by Dunlavy, were not erected in the appropriate locations and were placed in front of doorways and windows as a result of Plaintiff's design error. 21. Denied. Defendants are without knowledge as to the truth of the averment and proof thereof is demanded. By way of further answer, it is asserted that the subcontractor, Bruce Dunlavy, was the subcontractor and agent for Plaintiff or Crockett Log Homes, Inc. and acted at the direction of Plaintiff. Defendants had no control whatsoever over his actions. 22. Admitted with the clarification that Defendants told Plaintiff on that and prior occasions that he was extremely concerned about the posts and structural integrity of the building. It is also averred that said posts, as installed by Plaintiff or his agents, were wood and were required to be metal with plates pursuant to the specification Appendix. 23. Denied. After reasonable investigation, Defendants are without knowledge as to the truth of the matter and proof thereof is demanded. By way of further answer, the averments of said paragraph are denied as a conclusion of law to which no responsive pleading is due. Defendants' response to paragraphs 20 and 21 are further incorporated herein by reference. 24. Denied. After reasonable investigation, Defendants are without knowledge as to the truth of the matter and proof thereof is demanded. 25. Denied. After reasonable investigation, Defendants are without knowledge as to the truth of the matter and proof thereof is demanded. It is also denied that said exhibit includes the entire correspondence record by Defendants. 26. Admitted in part. Denied in part. It is admitted that an additional meeting between the parties occurred on May 11, 2004. It is further averred that an individual from Crockett Log Homes, whom Plaintiff did identify as "his boss," also attended. It is admitted that Plaintiff was able to observe the temporary posts and all other problems with the project. Defendants have no recollection of any offer to repair posts or any other construction defect. A discussion did occur as to the failure of the Plaintiff to install trusses and/or give Defendants credit for same. The representative of Crockett Log Homes indicated that Crockett had already paid to Plaintiff a credit for the trusses. However, same was never paid to or credited against the balance of Defendants. All problems were made known both to Plaintiffs and Crockett Log Homes at said meeting. 27. Admitted. 28. Admitted with the clarification that since the work was not completed properly and costs of construction, repair and replacement exceeds the contract sum, no further sums are due to Plaintiff. 29. Admitted with the clarification that the work was not completed properly and costs of construction repair and replacement exceeds any amount due to Plaintiff. 30. Denied. It is denied that any further sums are due to the Plaintiff because of Plaintiff s total breach of the parties' contract and the necessary costs which will have to be incurred by the Defendants to repair and replace the defective and improper work of the Plaintiff. Said work is specifically set forth in the Counterclaim, which paragraphs are specifically incorporated herein by reference. WHEREFORE, Defendants requests judgment in their favor and against the Plaintiff. COUNT II QUANTUM MERUIT 31. Admitted in part. Denied in part. It is admitted that certain changes were requested. It is denied that said work was outside the contract. It is averred that paragraph 6 of the parties' contract provided the procedure by which Plaintiff was to secure changes to the contract work. It is averred that said change order procedure was implemented between the parties. 32. Admitted in part. Denied in part. It is admitted that Defendants' requested a change from a double window to French door as incorrectly depicted on the blueprint as a result of Plaintiff s design error. It is further denied that the total costs for labor and materials for the change was Three Hundred Dollars ($300.00) since Defendants are without knowledge to form a belief as to the truth of the averment and said is denied. By way of further answer, it is averred that from the total costs for labor and materials, Plaintiff was required to offset, as credit, the monies saved for the failure of the Plaintiff to provide the window and install same in exchange for the door. 33. Admitted in part. Denied in part. It is admitted that Defendant's requested a change from a single door to a French door as was incorrectly depicted on the plan due to a design error. It is further denied that the total costs for labor and materials for the change was Four Hundred Dollars ($400.00) since Defendants are without knowledge to form a belief as to the truth of the averment and said is denied. By way of further answer, it is averred that if the total costs from labor and materials, Plaintiff was required to offset, as credit, the monies saved for the failure of the Plaintiff to provide the single door and install same in exchange for the French door. 34. Admitted in part. Denied in part. It is admitted that the change was requested but avers that Defendants' failed to make the request. The change in the stairs resulted from the original design error in the plan which caused the house to be constructed with insufficient space to accommodate the stairs as depicted on the blueprint produced by Plaintiff or Plaintiff's agent. It is further denied that the total costs for labor and materials for the change was One Thousand One Hundred Dollars ($1,100.00) since Defendants are without knowledge to form a belief as to the truth of the averment and said is denied. It is further asserted that because Plaintiff deleted the landings and otherwise modified the stair wells, the costs of his actual construction was considerably less than the anticipated costs incident to construction of the stairs set forth in the blueprint. Plaintiff's are thus entitled a credit to the contract price. 35. Admitted in part. Denied in part. It is admitted that the change to the blueprint was requested to re-insert the catwalk back into the design due to its erroneous error or omission in the original design by Plaintiff or Crockett Log Homes. It is further denied that the total costs for labor and materials for the change was Eight Hundred Dollars ($800.00) since Defendants are without knowledge to form a belief as to the truth of the averment and said is denied. 36. Admitted. It is admitted that the change was requested by Defendants and that said sums are due as a credit in accordance with the parties' executed change order. 37. Admitted in part. Denied in part. It is admitted that Plaintiff did assist Defendants in wiring but avers that Plaintiff offered to do so without. charge to mitigate the result of the construction failures of Dunlavy which made it much more time consuming and difficult for Defendants or their electrician to run the wiring. It is further denied that the total costs for labor and materials for the change was Five Hundred Dollars ($500.00) since Defendants are without knowledge to form a belief as to the truth of the averment and said is denied. It is averred that the total labor time expended by Plaintiff did not exceed one half (1/2) hour 38. Denied. This work was required pursuant to the parties' contract. It is further denied that the total costs for labor and materials for the change was Six Hundred Dollars ($600.00) since Defendants are without knowledge to form a belief as to the truth of the averment and said is denied. WHEREFORE, Defendants request judgment be entered on their behalf and against the Plaintiff. NEW MATTER 39. Any reimbursement for alleged additional work set forth in Count II of Plaintiff's Complaint are barred by the terms of the contract which require changes to be by written contract. 40. Any reimbursement for alleged additional work set forth in Count II of Plaintiff's Complaint are barred by the Statute of Frauds. 41. Any sums found to be due to Plaintiff must be offset against monies due to Defendants as awarded pursuant to the Counterclaim set forth herein. 42. Plaintiff is responsible and liable for the actions and directions of his agents, including specifically his subcontract, Bruce Dunlavy. 43. Plaintiff supplied a faulty blueprint for construction of'Defendants' home. COUNTERCLADI 44. Counterclaim Plaintiffs are Donald E. Vemet and Brenda L. Verret, adult individuals residing at 3111 Enola Road, Carlisle, Cumberland County, Pennsylvania 17013. 45. Counterclaim Defendant is Crockett Log Homes of Pa, Inc., a Pennsylvania corporation with its principal place of business being 58 Sunset Drive, Mechanicsburg, Cumberland County, Pennsylvania, 17050. COUNTI BREACH OF CONTRACT 46. Counterclaim Plaintiffs and Counterclaim Defendant entered into a written contract dated July 31, 2003 for the construction of a Crockett Log Home upon their property located at 3111 Enola Road, Carlisle, Cumberland County, Pennsylvania 17013. 47. Said contract required the work to be performed in accordance with the contract, plans and specifications. 48. At all times relevant hereto and since July of 2002, Counterclaim Plaintiffs were residing in the property in the basement concrete foundation which was in existence at the time of contract with the Counterclaim Defendant. 49. At all times relevant hereto, Counterclaim Defendant was to plan, design, secure and construct a Crockett Log Home on the existing foundation of Counterclaim Plaintiffs. 50. Crockett Log and Timber Homes is marketed nationally as a manufacturer and builder of log homes and is a designated trademark o National Building Systems, Inc. It is believed and therefore averred that National Building Systems, Inc., is the principal of Counterclaim Defendant. f w^ 51. At all times relevant thereto, Counterclaim Plaintiffs believed that Counterclaim Defendant was an agent or employee of Crockett Log Homes, now legally known to them as National Building Systems, Inc. 52. At all times relevant, Counterclaim Plaintiffs knew that Counterclaim Defendant, Crockett Log Homes of Pa., Inc, was working solely with Crockett Log Homes to provide the building materials, design the home for erection on Counterclaim Plaintiffs' foundation, complete specifications, drawings and building plans to construct Counterclaim Plaintiffs' new home on their existing foundation. 53. Counterclaim Defendant, with the assistance of an engineer of Crockett Log Homes named Matt Kocyba, were solely responsible for the design of the log home to be built on the existing foundation. ``n V V ti 54. At all times relevant thereto,, tad Dunlavy, was known to Counterclaim Plaintiffs to be an agent or employee of Crockett Log Homes and Counterclaim Defendant. 55. Counterclaim Defendant's original design and construction were drawn in error since it 1 t ,v incorrectly measured the existing foundation as being two feet shorter than the thirty-two ?. L feet (32) which actually existed and measured the area for an intended entry/foyer area as two (2) feet larger than the twelve feet (12) that actually existed. 56. Counterclaim Defendant and/or the engineer from Crockett Log Homes improperly and erroneously field measured the foundation or failed to measure same. 57. The result of this error was to severely skew and limit the planned construction area and layout of the entire interior of Counterclaim Plaintiffs' home, causing loss of space and repositioning of structural supports and other contracted for features. 58. Counterclaim Defendant's original design provided that certain support columns at the i , first level were to be metal posts with top and bottom plates under each posts and were to p be set upon reinforcements in the existing foundation. \1 ` 59. In lieu of the metal support columns and support plates, Counterclaim Defendant, or his agents, subcontractors, installed eight (8) 8" x 8" wood posts and which, in many locations, not accurately rest squarely or have bearing upon the existing footers or masonry walls. 60. Also, at a main support beam integral to the first floor, an additional wood post was set in order to transfer the roof load to the basement. This additional post must be replaced with a steel post and concrete slab. 61. It is expected that approximately eight (8) posts must be replaced with steel posts and seven (8) plates and (approximately 7) need to be reinforced with footers. 62. The cost of this repair work incident to each post replacement and repair is estimated to be One Thousand Dollars ($1,000.00) per metal post for a total of Eight Thousand Dollars ($8,000.00). 63. Plaintiff constructed the support column for the roof and dining area to attach by a single C? lag bolt although it does not abut or attached to adjoining supports. This is inappropriate construction that may cause the entire roof system to collapse with additional load, such as snow, fatigue, etc. 64. It is believed that a special support must be fabricated to reinforce this roof or after be removed and replaced with a rafter that bears on the ex=terior wall. The cost is currently unknown but it is estimated the support could be fabricated for One Thousand Five Hundred Dollars ($1,500,00) in fabrication of said met=al support, plus labor. 65. Other physical discrepancies from the contract, plans and specifications resulting from the design error which include, but are not limited to, the following: A) Loss of the walk-in closets depicted on the plan. Although Counterclaim Defendant did construct two (2) smaller closets, they are so inadequate in size that they cannot be used for the intended purpose due to their width attd depth. B) No pantry was built. C) The powder room was built smaller than expected. i ??` ? D) No island was placed in the kitchen exists. E) The stairway was shifted from the rear wall to the side wall and landings were deleted. F) Bedroom two was reduced in size from 171 square feet to 133 square feet. tik G) No laundry room was included. ,J? H) Limited space cause misalignment of roof lines and pitch and resulted in improper drainage to handle gutter runoff. I) Limited space for installation caused improper operation of doors. J) Foyer window (which had been intended to be double window) became a single window and installed approximately three feet towards the "corner of house." Its present location has the window under the roof and this is causing major interior and exterior water damage. K) Window heights as installed prevent practical use throughout the home and must ,-.. be reconstructed with different size windows to allow use. 66. 67 These defects as set forth above have impacted the fair market value of the home and have reduced its aesthetic appearance and practical use. The errors in design and construction have prevented the Counterclaim Plaintiffs from securing the house for which they contracted to pay for. The costs for repair and replacement of the losses are not currently known but will be ascertained and provided at trial. However, estimates of said costs known to date are as follows: A) Materials and labor for roof repairs, including ;alignment of Valley, caps B) Spouting/front of house (labor and materials) C) Closest in foyer missing (materials and labor) D) Pantry in kitchen (materials and labor) E) Catwalk landings missing in both stairways (material and labor) $1,800.00 $ 350.00 $ 740.00 $ 740.00 $2,600.00 F) Closets in Master bedrooms were to be walk-in (material and labor $2,000.00 68. G) Plumbing wall needed correct by 2 x 6 (labor) IT) Credit for bathroom n Credit for losing doorway openings and repositioning of posts I) Space in powder room lost K) Correct foyer entrance opening into kitchen area. Gable was to Continuous to meet other ceiling L) M) N) Windows in work area Dormer off center, window height, tongue (groove alignment and roof build to right side Credit for changes in front exterior structural appearance. This lost of costs thereof will be determined at hearing Total $ 800.00 $2,000.00 $2,500.00(plus labor) $2,000.00 $4,500.00(plus labor) $2,800.00 $2,200.00 $ To be determined $25,030.00 Pursuant to the contract, Counterclaim Defendant was to perform the work in a good and workmanlike manner. 69. Counterclaim Defendant failed to perform said work. The following deficiencies are A) Inappropriate insulation techniques which allow for water and air infiltration; B) Incorrectly installed ridge vent and shingles; C) Inappropriate windows used and error in placement; D) Improper nailing of logs using fasteners which are too short or incorrect for the installation; noted: E) Improper construction of master deck gable; F) Improper front door entry and damage to same. This has resulted in Counterclaim Plaintiff's loosing warranty coverage for same; G) Deletion of Hammer trusses; H) Grids from French doors; 1) The floor joist on the stairwell need additional support to lessen the bounce; 17 The deck construction is not of adequate and must be reinforced by the further installation of two (2) tap cons screws or thunderbolts per bay. K) Due to Counterclaim Defendant's error in the construction of the kitchen step down, no chasis were drilled in plates and additional corrections required. L) The walls in the kitchen are not aligned and not frames. M) The roof beams in kitchen needs repairs. N) The sink area in kitchen needs repaired. O) No handrail and steps out of line and loose. P) Loose log to siding to be attached. Q) Other problems to be revised. 70. The total costs of correction of this defective work is not yet ascertained and proof of same will be made at hearing. Estimates known to date are set forth in Exhibit "A" and incorporated herein by reference. 71. The areas of poor construction indicated in paragraph (19 above have also affected Counterclaim Plaintiffs' practical use of the residence. 72. The areas of poor construction indicated in paragraph 69 have also allowed for the introduction of water and moisture into the home. 73. Further, during the actual construction, Counterclaim Defendant failed to appropriately protect the building site by erection of roofing system and reasonable care of stored materials. 74. As a result thereof and the subsequent poor roof construction, the structure was exposed to the elements, including especially heavy rainfall, for a period of approximately six (6) months. e 75. These acts resulted in the introduction of water into the property and onto the building materials, including, but not limited to, the Styrofoam, the OSB board, windows, walls and laminated floor joists. 76. This had given rise to the growth of mold and mildew in the home during construction and which continues to the present. 77. These construction problems require correction of the construction defects, as waterproofing of many of the building components. 78. Steps must also be taken to remediate the mold growth throughout the home (especially around the perimeter walls); water staining on the walls; and extensive replacement of actual wall and floor materials to eliminate the mold and deal with the high moisture content in the home. 79. The moisture problems have caused Counterclaim Plaintiffs' ceiling to warp from high humidity and moisture; insulation inside the logs is damp; and visible mold and moisture damage exists to the sub floor, foundations and inside existing cabinets, destroying same. 80. After repair and replacement of faulty construction which allowed the introduction of water and replacement of the damaged building materials in the property, an entire mold remediation process must be undertaken in the estimated amount of Thirty-Eight Thousand Dollars ($38,000.00), per estimate performed by JEM Environmental. 81. This water problem was further exasperated by Counterclaim Defendant's use of an interior power washer in an attempt to deter the mold growth during construction. The Counterclaim Plaintiffs have experienced health problems resulting from the mold, including wheezing, aggravated eyes, sick, mucus and muscle and joint aches as a result of exposure to the mold. 82. Items damaged by the mold and water must also be replaced and/or repaired. These include the following: A) Interior beams and posts, as well as carrier beams, walls, floor joists, sub floors and posts.' The scope therefore costs of these repairs cannot be fully determined until tear out of the building materials occurs and determine the actual extent of loss. B) It is estimated that-these water stains on walls must be corrected at an estimated cost of an additional Six Thousand Five Hundred Dollars ($6,500.00), per proposal of Joe Taggart of Capricorner Log Homes. C) In addition to cleaning, all beams must be preserved and sealed for an estimated cost of Seven Thousand Four Hundred Dollars ($7,400.00), per proposes of Joe Taggart of Capricorner Log Homes. D) Counterclaim Plaintiffs will have to replace carpet, padding and other flooring damaged by the water in the amount of Five Thousand Five Hundred Forty-six Dollars and 5 8/100 ($5,546.58), per proposal of Fluss Flooring, Inc. E) Counterclaim Plaintiffs will have to replace the cherry cabinets damaged by the mold and water at a cost of Four Thousand Nine Hundred Fifteen Dollars and 01/100 ($4,915.01), per proposal ofMcCarren Supply. F) Counterclaim Plaintiffs will have to replace clothing and furniture damaged by the mold at a value to be ascertained at Twenty Thousand Dollars ($20,000.00). G) Counterclaim Plaintiffs' furnace is damaged at a repair cost of Four Hundred Fifty Dollars ($450.00). 83. In addition to the problems in design and construction, Counterclaim Defendant has failed to provide Counterclaim Plaintiffs with items required pursuant to the contract. 84. Counterclaim Defendant has failed to provide Counterclaim Plaintiffs with kitchen flooring, the costs for replacement of which is Nine Thousand Six Hundred Fifty-seven Dollars and 50/100 ($9,657.50). 85. Counterclaim Defendant has failed to perform the actual trash removal and cleanup during the entire construction period for which Counterclaim Plaintiffs did perform. It is estimated that this act saved Counterclaim Defendant approximately One Hundred Dollars($100.00) per month or Nine Hundred Dollars ($900.00) over the actual construction period. This cost is continuing. 86. Counterclaim Defendant did install single windows in lieu of double winds as required by the contract. The savings in labor and material costs are. to be determined. 87, Counterclaim Plaintiffs expected possession and use of their home in accordance with the parties' contract to be in February, 2004. 88. Counterclaim Plaintiffs had secured construction financing with interest only payments at the rate of 3.99% until completion of construction. This was intended to be transferred to a standard mortgage which had an expected rate of 4.35% in April, 2004. 89. Due to the failure to timely perform the contract and the poor workmanship and resulting problems with the home, Counterclaim Plaintiffs have been unable to secure a permanent mortgage financing arrangement to date. 90. As a result, Counterclaim Plaintiffs have had to pay Four Hundred Sixty-Seven Dollars and 11/100 ($467.11) for each month until the house is completed and able to be transferred to permanent financing. As of October 1, 2004 (and continuing), • Counterclaim Plaintiffs have paid Four Thousand Sixty-seven Dollars ($4,067.00) in additional interest expense. 91. Further, the mortgage interest rate available to Counterclaim Plaintiffs has now risen so that in lieu of the 4.35% originally anticipated for a 15 year mortgage in April, 2004, the rate they face currently is in excess of 6%. This will result in significant additional interest expenses over the life of the mortgage and result in further financial losses for Counterclaim Plaintiffs. 92. Counterclaim Plaintiffs should be reimbursed for these additional financing costs related to the failed construction. WHEREFORE, Counterclaim Plaintiffs seek judgment in the amount of One Hundred Twenty-Nine Thousand One Hundred Eleven Dollars and 09/100 ($129,111.09), plus costs to be determined, interest, counsel fees and other costs of suit. This demand shall be mo3ified once the entire costs, losses and expenses are determined. COUNT h UNFAIR TRADE PRACTICES 93. Paragraphs 1 through 92 of Counterclaim Plaintiffs' Answer, New Matter and Counterclaim are incorporated herein by reference as if fully set forth. 94. Counterclaim Defendant failed to complete the construction on Counterclaim Plaintiffs' home as contracted for. 95. Counterclaim Defendant performed the work in a shoddy and unworkmanlike manner. 96. The goods and services provided to Counterclaim Plaintiffs by Counterclaim Defendant were primarily for Counterclaim Plaintiffs' personal, family and household uses. 97. Counterclaim Plaintiffs believed that they were purchasing a "Crockett Log Home" and that Counterclaim Defendant was a "Crockett Log Homes" affiliate. 9$. Counterclaim Plaintiffs later determined that no entity }mown as "Crockett Log Homes" exists but that it was a trade name for Natural Building Systems, Inc. which was also being used by Counterclaim Defendant Crockett Log Homes of PA., Inc. to cause the consumers to believe that it was party of a larger single entity, an agency association or other cooperative affiliation existing between the parties for construction of a "Crockett Log Home". 99. Counterclaim Defendant used a marketing and sales distribution network which caused confusion and misunderstanding for Plaintiffs and the public in connection with the association and affiliation of the gbods and services. 100. Marketing by Counterclaim Defendant of "Crockett Log Homes" creates the representation that the goods and services provided has a. sponsorship, use or benefit that they do not have, namely the endorsement of a single entity which stands behind its product, its sale and construction. 101. Counterclaim Defendant fostered this misrepresentation by referencing affiliated locations such as "Home Office" for Natural Building Systems, Inc., and "my boss" when referencing the representative from National Building Systems, Inc. which inspected the home with Plaintiffs in April, 2004. Such a marketing, scheme is calculated to cause confusion for the public. 102. The practices, failure and omissions of Counterclaim Defendant described in the Counterclaim violate to Pennsylvania Unfair Trade Practices and Consumer Protection Law, 73 P.S. Section 201.1, et seq. 103. Counterclaim Plaintiffs seek treble damages and counsel fees in accordance with said Act, attorney's fees plus interest, costs of suit and all other relief the Court determines appropriate at trial of this case. WHEREFORE, Counterclaim Plaintiffs seek compensation damages in the amount of actual damages proven at trial, treble damages pursuant to Unfair Trade Practices, plus attorney's fees, interest, costs of suit, including reimbursement of expert and litigation costs, and all other relief the Court deems appropriate. Dated: September 27, 2004 New Uumberlano, FA I MIU (717) 774-1445 Supreme Court I.D. 32317 Attorney for Defendants V VrrMT'r «e„ Problem Current Estimate A) Inappropriate insulation techniques which allow for water and air infiltration; To be determined B) Incorrectly installed ridge vent and shingles; Included in roof repairs C) Inappropriate windows used and error in placement. Estimate in response included in window estimated in response to paragraph 67; to paragraph 67 D) Improper nailing of logs using fasteners which are too To be determined short or incorrect for the installation, E) Improper construction of master deck gable. Included Estimate in response in roof repair estimate in response to paragraph 67 to paragraph 67; F) Improper front door entry and damage to same. To be determined. This has resulted in Counterclaim Plaintiff's loosing; Cost of repair $350.00; warranty coverage for same; however loss of warranty is not valued G) Deletion of Hammer trusses. Estimated labor and material credit; $5,000.00 H) Grids from French doors: $ 120.00 I) The floor joist on the stairwell need additional To be determined support to lessen the bounce; .l) The deck construction is not of adequate and must To be determined be reinforced by the further installation of two (2) tap cons screws or thunderbolts per bay; K) Due to Counterclaim Defendant's error in the To be determined construction of the kitchen step down, no chassis were drilled in plates and additional corrections required; L) The walls in the kitchen are not aligned and are not framed; To be determined Ivl) The roof beams in kitchen needs repairs. Included in roof Estimate in response estimate in response to paragraph 67; to paragraph 67 N) The sink area in kitchen needs repaired. To be determined O) No handrail and steps out of line and loose. To be determined but estimate $725.00 P) Loose loa to sidin, to be attached $ 450.00 Barbara Sumple-Sullivan, Esquire Supreme Court 432317 549 Bridge Street New Cumberland, PA 17070 (717) 774-1445 CROCKETT LOG HOMES OF PA, INC., : IN THE COURT OF COMMON PLEAS Plaintiffs CUMBERLAND COUNTY, PENNSYLVANIA v. CIVIL ACTION - LAW DONALD E. VERNET AND NO.2004-4108 BRENDA L. VERNET, Defendant VERIFICATION We, Donald E. Vernet and Brenda L. Vemet, hereby certify that the facts set forth in the foregoing ANSWER, NEW MATTER AND COUNTERCLA IA are true and correct to the best of our knowledge, information and belief. We understand that any false statements made herein are subject to penalties of 18 Pa. C.S.A. Section 4904 relating to unworn falsification to authorities. Dated: ?I?t? Barbara Sumple-Sullivan, Esquire Supreme Cowl #32317 549 Bridge Street New Cumberland, PA 17070 (717) 774-1445 CROCKETT LOG HOMES OF PA., INC. Plaintiff, IN THE COURT OF COMMON PLEAS CUMBERLAND COUNTY, PENNSYLVANIA V. DONALD E. VERNET and BRENDA L. VERNET Defendants NO. 2004-4108 CIVIL CERTIFICATE OF SERVICE I, Barbara Sumple-Sullivan, Esquire, do hereby certify that on this date, I served a true and correct copy of the foregoing Answer, New Matter and counterclaim, in the above-captioned matter upon the following individual by first class mail, postage prepaid, addressed as follows: Arthur K. Dils, Esquire Dils & Dils 1017 North Front Street Harrisburg, PA 17102 DATED: September 27, 2004 Supreme Court I.D. No. 32317 549 Bridge Street New Cumberland, PA 17070 Attorney for Defendants (717) 774-1445 a DEALER rX..INTRAr l For end in consideration of the m_;tuml cr"Prents arxi agrY*nrnt.s . hereinafter set forth, Natt.ral t'+.ri.l.dinq Sy.stens. Inc.. a New Hamp.,hir. C'A-*-.ti.cn with a Usr.al ol.ax of br.isi.ne". in Westrrrel.and, C-M,.shire Canty, New Hermshire, hereinafter referred to as arxi Dctaglas Dodson/Crrx*.ett Loa Homes of PA., Inn., a Perm. Ylvania corporation with a usual place of Wsiness in Lewisberry, Pernsylvanin hereinafter referrers to as "Dealer", do m_rtually covenant and agree as follows: Section 1 - Recitals Al NR.S is in the business of designing, iwvrketi.ng and sL=Iyina materials to be used for the construction of solid wall hones and buildings t-rrIer the., traderarne of "Crockett Log & Timber Lixnes" ; B) Dealer desires to rraricet Crr.)ckett Log & Timber Homes as an independent distributor r.pon the terms and conditions hereinafter set forth; C) Both Per^ties wish to pu-sue a long term relationship that is rrxatumlly beneficial. Section 2 - Dealership A) NESS grants to Dealer the right to mar<Aet and sell Crockett Log & Timber Hones Prod.rcts of hBS, utulizing the Crockett Log & Timber Homes traderen* and trademark. Dealer shall not use or ar.rthorize or permit the use of the mark. "Crockett Log & Timber Fkvnes" or, any variation thereof m any trademark or trraderxme owned by NESS except to designate Produots Wdow C - 2 - p_YY '1aat:fi from W.S txr*r the terms of this Contract. Dealer .shrli. not contest the right of NBS to the exclusive use of i.ts trJera+me or trademarks. B) Dealer will use its best efforts to promote and sell Crockett Log & Timber Homes orock,rts and shall see to the proper m errA cmw nt and v,pervision of its business and shall maintain the high nx+lity of Crockett Log & Timt'xr Homes products trey close cxxxx", tion with and satisfactory ccn%vier assistance to Dealer's nustomers. C) Dealer will not modify any of N3S' Prods-lots withxlt written permission of rBS in each instance. D) All Crcckpctt. Log & Timmer Hrn -s ProH_icts will be. sold by W15 to Dealer on the terms set forth in Appendix A attached hereto and incorporated herein by reference and on such additional terms as PBS shall establish from time to time. Resale prices .dull be set by Dealer. Section 3 - Sales and Order Contracts A) W o.4i selling NBS prvXIC.ts Dealer MEW use ita CUn OOnStriActi.on contract for those log hone Packages it sells 1'or cxMtruction or installation. Dealer shall use the Material Order list provided by NNS. If Dealer does not use its own oonstnx,tion ccxitrart, Dealer shall use the "Crockett Sales Agrv- - t", Provided by W-S. Dealer shall submit all form to an attorney of Dealers' choice to assn-e that they meet the - 3 - requirements of State law of all. States in which Dealer uses them. B) DEALER AGREES TO PROMS ALL C1-STCY'ER CR7RS WITHIN FIVE (5) DAYS OF "ToMER'S EXECUTioN OF THE MATERIAL. ORDER LIST AND CRtX7 ETT SALES AGREFJENT OR DEALER CrMTRIJCTICN CONTRACT AND SHALL DIKING THAT PERIOD OF TIME SEND A COPY OF SAME WITH THE STANDARD DEPOSIT TO MS. Dealer shall pay NBS promptly all amounts duer to NBS in ar.cordarce with the terms of sale extended by NBS from time to time. SHIPMENTS MAY BE ,FENDED BY NBS IF DEALER FAILS TO rW<E SUCH PAYMENTS PROMPTLY. Section 4 - General Conditions of Contraot A) Adjustments in delivery date: NBS will Lee. its hest efforts to complete Dealer's orders as accepted; however, NBS reserves the right to make reasonable adjustments in the delivery date based on pros. tion sdnedules. If NBS is fixable to camlete an 0&M cl-e to the uxKrvail- ability of materials or labor, breakdowns in imdninery, or for any other unfon-seeable cause, the ;xrrlnrrse order may txe ctr%-,gilled by NBS on refund to Dealer of all payments received by NBS. This reftrrd will be the sole renxecb of Dealer for such norrompletion of order. B) Inability to furnish item: In the event NBS is unable to furnish any item for an order, NBS reserves the right to delete this item and adjust the final. contract pric+9 aocr"ingl.y, or make w.bstituti.cns therefore upon notice to the Dealer. C) Shortasxs and shipping errors: Dealer .shall inspect all materials shipped pursuant to this contract iprmediately moon their - 4 - arrival, note any discrepanoies on the bill of lading and shall. within five (5) days thereof, give written notioe to PBS of any claim that the materials do not conform with the terms of this order. If the Dealer shall fail to give such notice, the materials shall be deemed to conform to the terms of this crder. D) Shipping. PBS shall make arrergeme its for all mate ried.s to be delivered to Dealer's place of delivery, but all costs for transportation shall be born by Dealer and all risks of loss shall pass to Dealer when the materials are loaded. Prices c0.xited for transportation otar^ges to the building site are subject to change without notice. E) Unloading at destination: Dealer is responsible for hnloeding of materials from the carrier at the plate of delivery. PBS shell give advance notice of expected time of delivery an. Dealer can arrange for suitable machinery to be present to unload materials in a timely meinr'wr. F) Postponement of delivery: Dealer may regxst a pastoonement of milling date in writing l» to ten (10) days prior to milling date. Dealer stall forward ell p rd#ase money in proper form at least seven (7) days before the milling date. Finds stall be delivered in certified or- tank, etiedc, irrevocable letter of ca e-dit, apprxrxed escrow acxxvnt, or in any other way that in ttne opinion of PBS asst.res full payment on shipment and has the prior written approval. of PBS. If Dealer has not fa-warded all p rrtvsse money in appropriate form, an additional charge for processing, handling and storage shall be paid by Dealer to PBS W-e n billed by PBS. - S - 0) Taxes, fees and assessments: All sales tax ald imnm^t d.aties, if applicable, shall be paid by the Dealer in addition to the centred price for materials. . H) Wvi-arty Policies: PRS warrants the prod r is mmnufac:t1_red by it against defects in q.xality and mV eK-'tLr:ing for a period of ten (10) years from the original {late of ourcha.e;e.. This warrenty runs to the original purchaser only, iJpon written request to PBS by the original purchaser, PBS shall have its prod.Act inspected and in the event that product is established to the satisfacation of PBS to have been defeotive as aforesaid at the time of shipping. PBS will, at its option, repair or replace the defective portion at its expense. PBS will not be responsible for any comseq_+entiml damaKaes, C- .mayes f or loss of use, loss of time, loss of profit or income, or any other incidental damages. These warranties shall not apply to the tenderray of natural wood to check, or twist unless this condition shall cause a clean through oreK* or struotural weakness, nor shall they apply to defects arising from construction which does not comply with all applicable building codes, PBS' specificatiorm, or customary or Proper ct-rv-,truction practices. Any product not mwanxfejo r^ed by PBS but sold by PFIS to Dealer is sold only with the manuferbxers' warranty. Any design change from PBS standard model structures or any problem arising out of such a design ch ge. is the rresp. adbility of the Dealer acid/or F.rrhaser. Dealer shall give PBS immediate notice of any warranty problem or - E - claim arxi, at its expernae, shall crx?Det ate fr,lly with PETS in the harxi.ling and resolution of warranty iss.tes. Any material or NBS ProdACt that is aiestioned or is subject to a warranty claim shall be safely stored by Dealer until the warranty i.sa_1e is resolved. Il Dealer shall not install defective materials, and in cases wtore Dealer is acting as a tA.iilder, Dealer shall. condact its business so that no claims arise against NBS because of the sale, erection, or use of WS Products. DEALER AGREES TO PROTECT NPS AND H LD IT HAPo'1._ESS FROM ANY LC95.S OR CLAIM ARISING OUT OF TFE NEGLIGENCE OF DEALER, ITS AGENTS, EL'PLOYEES, OR REPRESENTATIVES IN TFE INSTALLATION, 11SE, SALE'. OR SERVICING OF NBS' PRODUCTS OR ANY OTFPR SALES OR ACTIVITIES OF DEALER; DEALER ` AL-L IMEDIATELY DISCFWW-F- ITS Cf?LIGATIONS- TO THE ORIGINAL r1 q .t1R P1.1RSI.IANT TO TFE TERMS AND CONDITIONS OF PPS' PRODUCT WARRANTY APD CCINEA-MR SERdICE POLICIES. Dealer agrees to irrksmiify and hold NMS Vvwnless from any and all claims, demands, actions and other liabilities arising from the operation of Dealer's business. Dealer agrees to ?.rid.rtake the cost of defending any such claims, including attorneys fees, and to reimtxrse PPS for all cL- a -s a rd expenses including attorneys fes incurred by NBS in connection with same. Section 5 - Term Al This Contract shall oontirti.re for a Period of ore.. Year from 7 - date unless socrir terminated in axro re with Section 9. B) Price for materials, Dealer area erxi sales performance shall be reviewed by the parties at least arrually. Section 6 - Marketing and Promotion A) Dealer shall become familiar with NHS' my...d.xts, building guides, office staff and ordering Prc >--d- e. B) Dealer shall obtain appropriate Marketing materials from W.S. Dealer will pay for same at tBM' cost. C) NERS may offer .special advert i.si.ng/promotion opportunities to Dealer and seasonal price or other sales i.rKx+itives. Section 7 - Relationship Between Parties A) IT IS UtUr5TOCD AND ACRES BETWEEN THE PARTIES THAT DEA-ER IS AN IN FM CONTRACTOR IN THE PERFrMAJ\ .:E OF EACH-{ AND EVERY PART OF THIS CONTRACT AND IS SOLELY LIAA-E FOR ALL LjW-M AND E)FENSES IN COMECTION HEREWITH AND FOR ANY AND ALL DAMAGES WHICH MAY BE OCCASIONED ON ACC? OF THE OPERATION OF THIS CONTRACT, WHETHER THE SANE BE FOR PERSONAL. INJURIES OR DAMAGES OF ANY OTHER KIND. NO Ef'Pt_OYNENT OR PARTNERSHIP IS CREATED BY THIS CONTRACT, DEALER'S BUSINESS IS SEPARATE AND APART FROM ANY OPERATED BY MS. NEITHER PARTY - 8 - WI1L HAVE AUTHORITY TO ACT FOR THE OTHER, OR IN ANY MMPER CREATE OBLIGATIONS OR DEBTS BINDING ON THE OTHER AND NEITHER PARTY WILL. BE RESPONSIBLE FOR ANY OBLIGATIONS OR EXPENSES OF THE OTHER. NEITHER DEALER NOR ANY PERSON PERFORMING WORK OR CUTIES FOR DEALER -%i4U. BE DEEfED AN EMFLOYEE OR AGENT OF NBS. , B) The parties shall not discuss this contractual agreement with the public; the parties may discuss this contractual agreement with their respective employees and people employed by the parties for consultant or business related purposes. Section 8 - Insurance and Taxes A) Dealer shall at its expense obtain and keep in force general liability insuranoe in such aamoa.nts as are satisfactory to WS, insuring both the Dealer and MS against any liability that may accrue against them or either of them by reason of Dealer ownership, mainteror•ice, cm operation of Dealer's business. Said insurancrx shall provide for minimum ten (10) days notice to NBS of cancellation or any material change. Dealer shall obtain and keep in force Workers Compensation insi..rance for its employees. as required by the laws of Pemsylvania. B) Dealer shall on request Provide NBS with certificates of insurance necessary to establish the existence of all required insurance. C) Dealer shall be responsible for and shall pay all federal, state aand local taxes arising out of the operation of Dealer's business. _c- Section 9 - Termination C) MS may terminate by notice given to Dealer. effective imnediately, in any of the following events: (i) Failure of Dealer to fulfill or perform any one or more of the d_aties, obligations, or responsibilities undertaken by it pu^.a.ent to this Contract; (ii) any assignment or attempted assigrmdnt by Dealer of any interest in this Contract without ICES' written consent; (iii) any sale, transfer or relinquishment, voluntary or involt,nta^y, by operation of law or otherwise of any material interest in the direct or indirect ownership rx^ any chaise in the mere%wrrent of the Dealer which in the opinion of NES may affect adversely the Performance of the Contract by [realer; (iv) failure of Dealer for any reason to function in the ordinary omrse of business; (v) a diet between or ano«-K; mena9ers, principals, partners, officers or stockholders of Dealer whidi in the opinion of NBS may affect adversely the Performance of this Contract by Dealer; (vi) conviction of Dealer, or a mmrm;ker, partner, principal officer or major stockholder of Dealer for any violation of law tending, in NEW opinion -1n- to affect adversely the operation of busirrss of Dealer or the good name Oxx9 will, nr- repitation of PBS, products of PBS, or Dealer; (vii.) submission by Dealer to PBS of false or frel.*iAl.ent reports or .statements, including, without limitation, claims for any refund, credit, r,*tete. incentive, allowance, discount, reimbursement o, othe+^ payment by PBS; o- (viii) failure to oooperatu^e fully with PBS in the resolution of any warranty claim. D) Upon termination, for whatever reason, Dealer shall forthwith termirate the use of Cnockett Log & Timber Homes name and the use of all signs, trademarks, tradermmes, service marks, symbols and telephone listings associated with same or owned by PBS; Dealer shall forthwith return all PBS Personal Property and contracts, ProdL#--t information, sales materials end Proprietary information or materials and make Payment of all s.ms owed PBS; Dealer shall Provide PBS with a list of names, addresses, did telephone numbers of all customers. E) Upon termination in accordance with the terms of this contract, neither Party shall be liable to the other because of suoh termination for compensation, reimbursement or damages on eocot-nt of the loss of Prospective profits or anticipated sales. or on acxxx nt of expendib-"s. investments, leases, or corrmitme+its in correction with the b_isiress or good will of PBS or Dealer; Sec=tion 10 - Proprietary Rights A) All Plans, programs specifications, ap-)lications, Pri.ning data, -11 -- sales tec-nicaues, or ideas utilized o^ develcped by WS in coot ertion with this Crvitraot ere arxi shall. retrain the sole property of W9 arxi shall not be disclosed by Dealer, to others or lased by Dealer in a way not expressly allowed by NM. Section 11 - Nort-Crmnetition Agremw?t A) Dealer agrees for itself and its t_r!Xgsnrs and assigns and for its corporate officers and stool hold rs that diving the life of this contract end for a period of one year following the termination of this contract for a cause specified in Section 9(C), neither it nor its corporate officers will directly or indirectly sell or otherwise deal in solid wall log buildings. or caxm>- eats of sevr!, Dealer will be rYsoonsible to enforce this covenant against its corporate officers erpd stor-kholders. Seoticn 12 - Assignment A) This contract contains the entire ac,r ent between thw parties with respect to the sUb9ect matter of this contract. Except as herein expressly provided to the cmtrary, ttx> provisicns of this contract are for the benefit of the parties solely and not for thr benefit of any other person, rkr-nms, or legal entities and this contract shall not be assigned by Dealer to another party without the mitten oonsent of wS nor shall Dealer subrontraot its performance wii.ttYxit the written consent of MS. - 12 - Section 13 -General Terns A) No waiver, alteration, or modification of any of the provisions of this oontrect shall be, binding unless in ;citing arrd signed by a duly authorized representative of both parties to this contract; B) All communication regarding this contract should be sent to Dealer at 878 Moores' Mountain Road, Lewisberry, PA. 17339 and to N3S at PO Box 387, Keene, N1. W4il; C) Any written notice hereut-der shall become effective as of the date of mailing by certified mail and shill be deemed sufficiently given if sent to the addressee at the address stated in this contract or such other adct-eess as may hereafter be specified by notice in writing; D) This contract shall be xaoverned by the laws of the State of New Hampshire. On the expiration or termination of this contract for rum cae.tw what.soe.vrr^, WS shall be entitled to iniirrtive annul eo.;itable relief for any violation of this rxvntract. Dealer shall pay all costs and expenses, including reasrxneble attcrrews' fees irxxrrwd by N3S in enforcing any provision of this contract incluu*ying the provisions of Section 9, 10 (,or- 11. The provisions of this Section and said Sections 9, 10 and 11 shall survive the termination of this contract. E) Each party advxawledgcs that no rep er%-ntation or .statement, and no understanding or agreement, has been made, cr exists, and that in entering into this contract neither party has relied upon anything done or said or upon any presumptions of fact or of law; M with respect to - 13 - the contract, or to the duration, termination, or rerr.,a.l of the contract, or with respect to the relationship between the parties, other than as expressly set forth in the contract; or (ii) that in any way tends to c'mn3e or modify the terms, of this contract, or to prevent this contract from becoming effective; or (iii) that in any way effects or relates to the sbJect matter hereof. Dealer also acart444le.dges that the terms and conditions of this contract, individually and as a whole are reasonable and fair and equitable. F) This contract terminates and sr_nersedes all prior seller- distributor agreertrents, if any, between the parties hereto. Section 14 - Personal Gueranty A) is a princiPal of Dealer; as such does hereby CO-erahtee prompt and satisfactory performaree of all Dealer's obligations i_"x this contract and payment of all Dealer's liabilities herei.ncisr. If Dealer defaults in the Performance or payment of any obligation hereunder, will pay to PBS all such payments and sec to the Performance of all such obligations and shall pay NBS all dwage-s, costs and expenses that MS is entitled to recover by virtue of such default. - 14 - No written consent of modification of this contract. -4-el) bx remdred for any NATIRA- BUILDING SY3M*n, INC. Dated: By CCO?? Th=rn.nto duly authorized Dated: / Dated: DEA-ER AA6 ? Then.-nto dGly authorized Ry i3. rrantor APPENDIX A 1) Classes of Dealers - PBS has different classes of dealers depending upon sales activities by the dealer. Dealer is a MASTER DEALER. As such, all Crockett Log & Timber Horns Products will be sold by PBS to Dealer, at PBS suggested retail price less twenty two and one half percent (22.50. Pkw'r- merLdactu^ed Products not included in a standerd Crockett log home package, will be sold by ABS to Dealer at uniform wholesale prices. All CrrK*ett/Moreforless Prr_tiducts will be sold by PBS to Dealer at PBS suggested retail price less ninteen and one half percent (19.5%). 2) In addition, as a Master Dealer, Dealer has a minimum arriaal sales expectancy of $500,000 net to PBS. 3) In order to give Dealer a sales incentive, PBS shall not, without the consent of Dealer, enter into another Dealer contract, in the following described area: The States of Pennsylvania and Mar^ylaxl. Exclusive area is depetindent upon sales activity and will not be continued in any future contracts if sales results are not .satisfactory. 4) If any person outside the area described in Paragraph 3 and referred by Dealer to PBS enters into a Dealer contract with PBS, PBS will pay Dealer two percent (2x) of PBS' net sales to such dealer, for one year. 5) Dealer shall have the authority to create s-xlealerships to perform sales of PBS Prod.icts. Dealer shall have authority to enter into written its with indeperxient legal entities on such terms and conditions and at such motion as Dealer deems proper. Dealer, in contracting with sirkh subdealers shall secure approval by PBS in writing prior to entering into vrh contract. Any such contract between persons and Dealer shall provide that any persons hired thereby are the employees or agents of Dealer and are to be paid by Dealer alone, and that in employing or contrectirig with six#1 persons, Dealer is acting individ-iml.ly, anri that .y.bdealer has m mntracti.ral. relationship with NBS. The parties agree that the appointment of si.Axiealers shall be at Dealer's own risk and Dealer shall. be liable for any expense and v pprvision it r+u r . pi.rsi_rant thereto, and such persons shall have no claim against NB5 for commissions, salaries, or other items of cost. The Parties agree that all oontracts between Dealer and any su aler shall ocnform to the provisions of this Agreement, and shall have incorporated in them all r.levent provisions of this Agreement. Dealer expressly agrees that all such si.bchealers shall be subordinate to Dealer and sub.,lect to all the miles, restrictions and regulations set forth in this Agrement and which are now or hereafter become applicable to Dealer. Dealer shall. properly and erk•.tf_OtelY S-Pervise and train all its assnriate s_bdealers and assure that all subdealers have program aryl prod rt familiarity and can do proper buyer development, -i istcxner relations, and all other things necessary to assure a v sore-ssful sales and product support ADDENDUM TO CONTRACT DATED AUGUST 7, 1991 AND NOW, this S day of AL5 " 1992 comes the parties named in the attached Agreement dated August 7, 1991, and intending to be legally bound, hereby reaffirm, ratify, and modify said original Agreement with the following provisions: 1. Section 5 - Term - This addendum shall continue for a period of twenty-five (25) years, and shall be automatically renewed upon failure of either party to give written notice of termination within ninety (90) days of the termination date of this addendum to the contract. 2. Section 9 - Termination - Under paragraph (iii) of this Section, it is hereby agreed that Doug Dodson of Crockett Log Homes, Inc., may hire any additional management he desires.in the future. 3. Section 14 - The parties hereby acknowledge that said section was not assented to by the Dealer in the original Agreement, and tnat said section is not assented to and does not form a part of this Addendum. Signed the day and year first above written. CERTIFICATE OF SERVICE I, Thomas E. Brenner, Esquire, hereby certify that on this date, I served the foregoing document, via U. S. Mail, postage prepaid, on the persons set forth below, namely: Arthur K. Dils, Esquire Dils & Dils 1017 North Front Street Harrisburg, PA 17102 Barbara Sumple-Sullivan, Esquire 549 Bridge Street New Cumberland, PA 17070 GOLDBERG KATZMAN, P.C. BY: Thomas E. Brenner, Esquire Date: June 21, 2005 122363.1 n C-Al f:Yf?1 ` t:- =t v Thomas E. Brenner, Esquire Goldberg Katzman, P.C. PO Box 1268 Harrisburg, PA 17108-1268 717-234-4161 Attorneys for Plaintiff CROCKETT LOG HOMES OF PA, INC., Plaintiff IN THE COURT OF COMMON PLEAS CUMBERLAND CO., PENNSYLVANIA NO. 2004-4108 V. DONALD E. VERNET and BRENDA L. VERNET, Defendants CIVIL ACTION - LAW V. NATURAL BUILIDNG SYSTEMS, : INC. BRUCE DUNLEAVY, and ROY: STOLTZFUS, Additional Defendants AFFIDAVIT OF SERVICE Attached hereto as Exhibit "A" is the certified mail receipt reflecting service of the joinder Complaint which was served upon Natural Building Systems, Inc. on June 17, 2005. GOLDBERG KATZMAN, P.C. BThomas E. Brenner, Esquire Attorney ID #32085 PO Box 1268 Harrisburg, PA 17108-1268 717-234-4161 Attorney for Counterclaim Defendant Crockett Lod; Homes of PA, Inc. Date: June 29, 2005 EXHIBIT "A." CERTIFICATE OF SERVICE I, Thomas E. Brenner, Esquire, hereby certify that on this date, I served the foregoing document, via U. S. Mail, postage prepaid, on the persons set forth below, namely: Arthur K. Dils, Esquire Dils & Dils 1017 North Front Street Harrisburg, PA 17102 Barbara Sumple-Sullivan, Esquire 549 Bridge Street New Cumberland, PA 17070 Natural Building System, Inc. 35 Old Route 12N Westmoreland, NH 03467 GOLDBERG KATZMAN, P.C. Y Thomas I3. Brenner, Esquire Date: June 29, 2005 123589.1 n r? ?'.? v _i ?a? n "U C37 C.. "'? rnm ' ?tT w lj d ? j? ? i - i ?r C7 to rn ? v ? v? SHERIFF'S RETURN - OUT OF COUNTY CASE NO: 2004-04108 P COMMONWEALTH OF PENNSYLVANIA: COUNTY OF CUMBERLAND CROCKETT LOG HOMES OF PA INC VS VERNET DONALD E ET AL R. Thomas Kli , Sheriff or Deputy Sheriff who being duly sworn according to law, says, that he made a diligent search and and inquiry for the within named ADD'TL DEFEND. to wit: STOLTZFUS ROY but was unable to locate Him in his bailiwick. He therefore deputized the sheriff of CENTRE County, Pennsylvania, to serve the within COMPLAINT JOINING ADDL On July 14th , 2005 , this office was in receipt of the attached return from CENTRE Sheriff's Costs Docketing 6.00 Out of County 9.00 Surcharge 10.00 Dep Centre County 23.00 .00 48.00 07/14/2005 GOLDBERG KATZMAN -___, 1? Thomas Kline Sheriff of Cumberland County Sworn and subscribed to before me this day of -u2A.D. Prothonotary SHERIFF'S RETURN - REGULAR CASE NO: 2004-04108 P COMMONWEALTH OF PENNSYLVANIA: COUNTY OF CUMBERLAND CROCKETT LOG HOMES OF PA INC VS VERNET DONALD E ET AL DAVID MCKINNEY , Sheriff or Deputy Sheriff of Cumberland County,Pennsylvania, who being duly sworn according to law, says, the within COMPLAINT JOINING ADDL was served upon DUNLEAVY BRUCE ADD'TL DEFEND. the at 2100:00 HOURS, on the 29th day of June , 2005 at 1217 INDIAN PEG ROAD MECHANICSBURG, PA 17055 by handing to JAMES A REYNA, ADULT IN CHARGE a true and attested copy of COMPLAINT JOINING ADDL together with and at the same time directing His attention to the contents thereof. Sheriff's Costs: Docketing 18.00 Service 6.66 Postage .37 Surcharge 10.00 .00 35.03 Sworn and Subscribed to before me this a2 { )day of A, at-6.s A. D. rot+hootary I So Answers: R. Thomas Kline 07/14/2005 GOLDBERG KATZMAN By: P Deputy Sheri In The Court of Common Pleas of Cumberland County, Pennsylvania Crokett Log Hanes of PA Inc vs. Donald E. Vernet et al vs 04-4108 civil Natural Building Systems Inc et a1 No. SERVE: Roy Stoltzfus Now, June 28, 2005 I, SHERIFF OF CUMBERLAND COUNTY, PA, do hereby deputize the Sheriff of Centre County to execute this Writ, this deputation being made at the request and risk of the Plaintiff. Sheriff of Cumberland County, PA Affidavit of Service Now, within upon at by handing to a and made known to the contents thereof. Swom and subscribed before me this - day of 20 20_, at o'clock M. served the _ copy of the original So answers, Sheriff of County, PA COSTS SERVICE $ M1LEAGE AFFIDAVIT 05HB-00105 LAW OFFICES OF JACOBS & ASSOCIATES 214 SENATE AVENUE, SUITE 503 CAMP HILL, PA 17011 TELEPHONE NUMBER: (717) 731-09$$ ATTORNEY FOR ADDITIONAL DEFENDANT, BRUCE DUNLAVY (INCORRECTLY IDENTIFIED As BRUCE DUNLEAVY) IN THE COURT OF COMMON PLEAS CUMBERLAND COUNTY, PENNSYLVANIA Crockett Log Homes of PA, Inc., ase No.: 2 Plaintiff xm- t//off' vs. Donald E. Vemet and Brenda L. Vemet, Defendants RY TRIAL DEMANDED vs. Natural Building Systems, Inc., Bruce Dunleavy, and Roy Stoltzfus, Additional Defendants TO THE PROTHONOTARY: Kindly enter my appearance in the above-captioned matter on behalf of the Additional Defendant, Bruce Dunlavy (incorrectly identified in the caption as Bruce Dunleavy. Respectfully submitted, LAW OFFICES OF JACOBS & ASSOCIATES By: JoAnne E. Ki el, Esquire Attorney for Additional Defendant, Bruce Dunlavy Identification No. 55453 Date: August 17. 2005 05HB-00105 LAW OFFICES OF JACOBS & ASSOCIATES 214 SENATE AVENUE, SUITE 503 CAMP HILL, PA 17011 TELEPHONE NUMBER: (717) 731-0988 ATTORNEY FOR ADDITIONAL DEFENDANT, BRUCE DUNLAVY (INCORRECTLY IDENTIFIED AS BRUCE DUNLEAVY) IN THE COURT OF COMMON PLEAS CUMBERLAND COUNTY, PENNSYLVANIA Crockett Log Homes of PA, Inc., ase No.: Plaintiff V4 . w? vs. Donald E. Vemet and Brenda L. Vernet, JURY TRIAL DEMANDED Defendants VS. Natural Building Systems, Inc., Bruce Dunleavy, and Roy Stoltzfus, Additional Defendants CERTIFICATE OF SERVICE JoAnne E. Kinzel, Esquire, hereby certifies that she is the attorney for the Additional Defendant, Bruce Dunlavy herein, and that she caused a true and correct copy of the attached Entry of Appearance to be served by regular first class mail upon: Thomas E. Brenner, Esquire Goldberg Katzman, P.C. P.O. Box 1268 Harrisburg, PA 17108-1268 Barbara Sumple-Sullivan, Esquire 549 Bridge Street New Cumberland, PA 17070 Date: August 17, 2005 JoAnne E, nzel, Esquire Attorney tbt Additional Defendant, Bruce Dunlavy d on ? v. .a r <`{ G `? N 05HB-00105 LAW OFFICES OF JACOBS & ASSOCIATES 214 SENATE AVENUE, SUITE 503 CAMPHILL,PA 17011 TELEPHONE NUMBER: (717) 731-0988 ATTORNEY FOR ADDITIONAL DEFENDANT, BRUCE DUNLAVY (INCORRECTLY IDENTIFIED AS BRUCE DUNLEAVY) IN THE COURT OF COMMON PLEAS CUMBERLAND COUNTY, PENNSYLVANIA Crockett Log Homes of PA, Inc., Case No.: 2004-4108 Plaintiff vs. Donald E. Verner and Brenda L. Verner, Defendants vs. Natural Building Systems, Inc., Bruce Dunleavy, and Roy Stoltzfus, Additional Defendants rirv ? w crc yr r?uui ¦ iviv eaa..?r.r ci. a.r?i.. , ,....,?... ,.., ..,., .. , TO COMPLAINT TO JOIN OF DEFENDANTS AND NOW comes the Additional Defendant, Bruce Dunlavy, incorrectly identified as Bruce Dunleavy in the caption, by his attorney, JoAnne E. Kinzel, Esquire, and files the following Answer to join him as an Additional Defendant: 1. The allegations in paragraph 1 of the Complaint to Join are directed to another Defendant. Therefore, no response is required of this Additional Defendant. 2. The allegations in paragraph 2 of the Complaint to Join are admitted. 3. The allegations in paragraph 3 of the Complaint to Join are directed to another Y TRIAL DEMANDED party. Therefore, no response is required of this Additional Defendant. 4.-6. The allegations in paragraphs 4 through 6 of the Complaint to Join are admitted to the extent that the pleadings referenced therein were attached as Exhibits to the Complaint Join. By way of further Answer, Additional Defendant avers that the pleadings speak for themselves. 7. After reasonable investigation, Additional Defendant is without knowledge or information sufficient to form a belief as to the truth of the allegations in paragraph 7 of the Complaint to Join. Therefore, they are denied and strict proof is demanded. 8. After reasonable investigation, Additional Defendant is without knowledge or information sufficient to form a belief as to the truth of the allegations in paragraph 8 of the Complaint to Join. Therefore, they are denied and strict proof is demanded. By way of further Answer, Additional Defendant avers that he was not a party to the "Dealer Contract" referenced in paragraph 8 of the Complaint to Join. 9. Paragraph 9 of the Complaint to Join is admitted. 10. Paragraph 10 of the Complaint to Join is directed to another party. Therefore, no response is required of this Additional Defendant. 11. Additional Defendant objects to paragraph 11 as a violation of Pa. R. C. P. §1022 which requires that individual factual allegations be set forth in separate paragraphs to provide an orderly recitation of and response to the matters upon which the Complaint is based. Without waiving said objection, Additional Defendant responds as follows: A-44. Upon information and belief, paragraph 44 of original Defendant's Counterclaim is admitted as it pertains to Crockett Log Homes of PA, Inc. (hereinafter "Crockett Log Homes") B-45. Upon information and belief, paragraph 45 of original Defendant's Counterclaim is admitted as it pertains to Crockett Log Homes. C-46. Upon information and belief, paragraph 46 of original Defendant's Counterclaim is admitted as it pertains to Crockett Log Homes. D-47. Defendant was not a party to the contract. After reasonable investigation, Additional Defendant is without knowledge or information sufficient to form a belief as to the truth of the allegations in paragraph 47 of original Defendant's Counterclaim. Therefore, they are denied and strict proof is demanded. E-48. Upon information and belief, paragraph 48 of original Defendant's Counterclaim is admitted. F-49. After reasonable investigation, Additional Defendant is without knowledge or information sufficient to form a belief as to the truth of the allegations in paragraph 49 of original Defendant's Counterclaim. Therefore, they are denied and strict proof is demanded. By way of further answer, Additional Defendant avers that original Defendant was the general contractor and may have been involved in the planning and design process. G-50. After reasonable investigation, Additional Defendant is without knowledge or information sufficient to form a belief as to the truth of the allegations in paragraph 50 of original Defendant's Counterclaim. Therefore, they are denied and strict proof is demanded. H-51. After reasonable investigation, Additional Defendant is without knowledge or information sufficient to form a belief as to the truth of the allegations in paragraph 51 of original Defendant's Counterclaim. Therefore, they are denied and strict proof is demanded. I-52. After reasonable investigation, Additional Defendant is without knowledge or information sufficient to form a belief as to the truth of the allegations in paragraph 52 of original Defendant's Counterclaim. Therefore, they are denied and strict proof is demanded. By way of further answer, Additional Defendant avers that original Defendant was the general contractor and may have been involved in the planning and design process. J-53. After reasonable investigation, Additional Defendant is without knowledge or information sufficient to form a belief as to the truth of the allegations in paragraph 53 of original Defendant's Counterclaim. Therefore, they are denied and strict proof is demanded. By way of further Answer, Additional Defendant, Bruce Dunlavy was not involved in designing the home or providing the building materials. Additional Defendant believes and avers that the original Defendant was also involved in designing the log home. K-54. After reasonable investigation, Additional Defendant is without knowledge or information sufficient to form a belief as to the truth of the allegations in paragraph 54 of original Defendant's Counterclaim. Therefore, they are denied and strict proof is demanded. By way of further Answer, Additional Defendant was not an agent or employee of Crockett Log Homes. L-55. After reasonable investigation, Additional Defendant is without knowledge or information sufficient to form a belief as to the truth of the allegations in paragraph 55 of original Defendant's Counterclaim. Therefore, they are denied and strict proof is demanded. By way of further Answer, Additional Defendant had no involvement in designing the log home or in obtaining measurements for the design of said homes. M-56. After reasonable investigation, Additional Defendant is without knowledge or information sufficient to form a belief as to the truth of the allegations in paragraph 56 of original Defendant's Counterclaim. Therefore, they are denied and strict proof is demanded. By way of further Answer, Additional Defendant had no involvement in measuring the foundation for the design of the house. M-57. After reasonable investigation, Additional Defendant is without knowledge or information sufficient to form a belief as to the truth of the allegations in paragraph 57 of original Defendant's Counterclaim against Crocket Log Homes. Therefore, they are denied and strict proof is demanded. By way of further Answer, Additional Defendant believes, and therefore avers, that the original Defendant was the general contractor for the building of his home and may have changed certain specifications in the original plan. 0-58. After reasonable investigation, Additional Defendant is without knowledge or information sufficient to form a belief as to the truth of the allegations in paragraph 58 of original Defendant's Counterclaim. Therefore, they are denied and strict proof is demanded. By way of further Answer, Additional Defendant believes and therefore avers, that the original Defendant was the general contractor for the building of his home and may have changed certain specifications in the original plan. P-59. After reasonable investigation, Additional Defendant is without knowledge or information sufficient to form a belief as to the truth of the allegations in paragraph 59 of original Defendant's Counterclaim. Therefore, they are denied and strict proof is demanded. By way of further Answer, Additional Defendant believes and therefore avers, that the original Defendant was the general contractor for the building of his home and may have changed certain specifications in the original plan. Q-60. After reasonable investigation, Additional Defendant is without knowledge or information sufficient to form a belief as to the truth of the allegations in paragraph 60 of original Defendant's Counterclaim. Therefore, they are denied and strict proof is demanded. By way of further Answer, Additional Defendant believes and therefore avers, that the original Defendant was the general contractor for the building of his home and may have changed certain specifications in the original plan. R-61. After reasonable investigation, Additional Defendant is without knowledge or information sufficient to form a belief as to the truth of the allegations in paragraph 61 of original Defendant's Counterclaim. Therefore, they are denied and strict proof is demanded. By way of further Answer, Additional Defendant believes and therefore avers, that the original Defendant was the general contractor for the building of his home and may have changed certain specifications in the original plan. S-62. After reasonable investigation, Additional Defendant is without knowledge or information sufficient to form a belief as to the truth of the allegations in paragraph 62 of original Defendant's Counterclaim. Therefore, they are denied and strict proof is demanded. T-63. After reasonable investigation, Additional Defendant is without knowledge or information sufficient to form a belief as to the truth of the allegations in paragraph 63 of original Defendant's Counterclaim. Therefore, they are denied and strict proof is demanded. U-64. After reasonable investigation, Additional Defendant is without knowledge or information sufficient to form a belief as to the truth of the allegations in paragraph 64 of original Defendant's Counterclaim. Therefore, they are denied and strict proof is demanded. V-65. After reasonable investigation, Additional Defendant is without knowledge or information sufficient to form a belief as to the truth of the allegations in paragraphs 65(a) through 65(k) of original Defendant's Counterclaim against Crockett Log Homes. Therefore, they are denied and strict proof is demanded. By way of further Answer, Additional Defendant believes, and therefore avers, that the original Defendant was the general contractor for the building of the log home and may have instituted various changes to the written plans. W-66. After reasonable investigation, Additional Defendant is without knowledge or information sufficient to form a belief as to the truth of the allegations in paragraph 66 of original Defendant's Counterclaim against Crocket Log Homes. Therefore, they are denied and strict proof is demanded. By way of further Answer, Additional Defendant believes and therefore avers, that the original Defendant was the general contractor for the building of his home and may have changed certain specifications in the original plan. X-67. After reasonable investigation, Additional Defendant is without knowledge or information sufficient to form a belief as to the truth of the allegations in paragraph 67(a) through 67(n) of original Defendant's Counterclaim against Crockett Log Homes. Therefore, they are denied and strict proof is demanded. Y-68. After reasonable investigation, Additional Defendant is without knowledge or information sufficient to form a belief as to the truth of the allegations in paragraph 68 of original Defendant's Counterclaim against Log Homes. Therefore, they are denied and strict proof is demanded. Z-69. After reasonable investigation, Additional Defendant is without knowledge or information sufficient to form a belief as to the truth of the allegations in paragraphs 69(a) through 69(q) of original Defendant's Counterclaim against Crockett Log Homes. Therefore, they are denied and strict proof is demanded. AA-70. After reasonable investigation, Additional Defendant is without knowledge or information sufficient to form a belief as to the truth of the allegations in paragraph 70 of original Defendant's Counterclaim against Log Homes. Therefore, they are denied and strict proof is demanded. BB-71. After reasonable investigation, Additional Defendant is without knowledge or information sufficient to form a belief as to the truth of the allegations in paragraph 71 of original Defendant's Counterclaim against Log Homes. Therefore, they are denied and strict proof is demanded. CC-72. After reasonable investigation, Additional Defendant is without knowledge or information sufficient to form a belief as to the truth of the allegations in paragraph 72 of original Defendant's Counterclaim against Log Homes. Therefore, they are denied and strict proof is demanded. DD-73. After reasonable investigation, Additional Defendant is without knowledge or information sufficient to form a belief as to the truth of the allegations in paragraph 73 of original Defendant's Counterclaim against Log Homes. Therefore, they are denied and strict proof is demanded EE-74. After reasonable investigation, Additional Defendant is without knowledge or information sufficient to form a belief as to the truth of the allegations in paragraph 74 of original Defendant's Counterclaim against Log Homes. Therefore, they are denied and strict proof is demanded. FF-75. After reasonable investigation, Additional Defendant is without knowledge or information sufficient to form a belief as to the truth of the allegations in paragraph 75 of original Defendant's Counterclaim against Log Homes. Therefore, they are denied and strict proof is demanded. GG-76. After reasonable investigation, Additional Defendant is without knowledge or information sufficient to form a belief as to the truth of the allegations in paragraph 76 of original Defendant's Counterclaim against Log Homes. Therefore, they are denied and strict proof is demanded. HH-77. After reasonable investigation, Additional Defendant is without knowledge or information sufficient to form a belief as to the truth of the allegations in paragraph 77 of original Defendant's Counterclaim against Log Homes. Therefore, they are denied and strict proof is demanded. 11-78. After reasonable investigation, Additional Defendant is without ki or information sufficient to form a belief as to the truth of the allegations in paragraph 78 of original Defendant's Counterclaim against Crockett Log Homes. Therefore, they are denied and strict proof is demanded. JJ-79. After reasonable investigation, Additional Defendant is without or information sufficient to form a belief as to the truth of the allegations in paragraph 79 of original Defendant's Counterclaim against Crockett Log Homes. Therefore, they are denied and strict proof is demanded. KK-80 After reasonable investigation, Additional Defendant is without knowledge or information sufficient to form a belief as to the truth of the allegations in paragraph 80 of original Defendant's Counterclaim against Log Homes. Therefore, they are denied and strict proof is demanded. LL-81. After reasonable investigation, Additional Defendant is without knowledge or information sufficient to form a belief as to the truth of the allegations in paragraph 81 of original Defendant's Counterclaim against Log Homes. Therefore, they are denied and strict proof is demanded. MM-82. After reasonable investigation, Additional Defendant is without knowledge or information sufficient to form a belief as to the truth of the allegations in paragraphs 82(a) through 82(g) of original Defendant's Counterclaim against Crockett Log Homes. Therefore, they are denied and strict proof is demanded. NN-83. After reasonable investigation, Additional Defendant is without knowledge or information sufficient to form a belief as to the truth of the allegations in paragraph 83 of original Defendant's Counterclaim against Log Homes. Therefore, they are denied and strict proof is demanded. 00-84. After reasonable investigation, Additional Defendant is without knowledge or information sufficient to form a belief as to the truth of the allegations in paragraph 84 of original Defendant's Counterclaim against Log Homes. Therefore, they are denied and strict proof is demanded PP-85. After reasonable investigation, Additional Defendant is without knowledge or information sufficient to form a belief as to the truth of the allegations in paragraph 85 of original Defendant's Counterclaim against Log Homes. Therefore, they are denied and strict proof is demanded. QQ-86. After reasonable investigation, Additional Defendant is without knowledge or information sufficient to form a belief as to the truth of the allegations in paragraph 86 of original Defendant's Counterclaim against Log Homes. Therefore, they are denied and strict proof is demanded. RR-87. After reasonable investigation, Additional Defendant is without knowledge or information sufficient to form a belief as to the truth of the allegations in paragraph 87 of original Defendant's Counterclaim against Log Homes. Therefore, they are denied and strict proof is demanded. SS-88. After reasonable investigation, Additional Defendant is without knowledge or information sufficient to form a belief as to the truth of the allegations in paragraph 88 of original Defendant's Counterclaim against Log Homes. Therefore, they are denied and strict proof is demanded. TT-89. After reasonable investigation, Additional Defendant is without knowledge or information sufficient to form a belief as to the truth of the allegations in paragraph 89 of original Defendant's Counterclaim against Log Homes. Therefore, they are denied and strict proof is demanded. UU-90. After reasonable investigation, Additional Defendant is without knowledge or information sufficient to form a belief as to the truth of the allegations in paragraph 90 of original Defendant's Counterclaim against Log Homes. Therefore, they are denied and strict proof is demanded. VV-91. After reasonable investigation, Additional Defendant is without knowledge or information sufficient to form a belief as to the truth of the allegations in paragraph 91 of original Defendant's Counterclaim against Log Homes. Therefore, they are denied and strict proof is demanded. WW-92. After reasonable investigation, Additional Defendant is without knowledge or information sufficient to form a belief as to the truth of the allegations in paragraph 92 of original Defendant's Counterclaim against Log Homes. Therefore, they are denied and strict proof is demanded. 12. In response to paragraph 12 of the Complaint to Join, Defendant denies that he is liable to any party, in any amount, under any theory of law. NEW MATTER 13. The Complaint to Join Bruce Dunlavy as an Additional Defendant fails to set forth any specific factual allegations against this Additional Defendant and, therefore, fails to set forth a cause of action against Additional Defendant upon which relief can be granted. 14. Any injuries or damages allegedly suffered by the Vernets as Counterclaim Plaintiffs against Crockett Log Homes was due to the acts or omissions of Crockett Log Homes as is more fully set forth in the Vemets' Counterclaim against Crockett Log Homes, all of which are incorporated herein by reference as though set forth at length. 15. Any injuries or damages allegedly suffered by the Original Defendants were the result of the negligence of Original Defendant, Donald E. Vemet in performing his duties as the general contractor of the log home and in making design changes which he was not trained or qualified to make. 16. Any injuries or damages allegedly suffered by the Counterclaim Plaintiffs were the result of the acts or omissions of Natural Building Systems as is more fully set forth in Plaintiffs Complaint to Join, which allegations are incorporated herein by reference as though set forth at length. 17. Any injuries or damages allegedly suffered by the Counterclaim Plaintiffs were the result of the acts or omissions of Additional Defendant Roy Stoltzfus, as is more fully set forth in Plaintiff's Complaint to Join him as an Additional Defendant, all of which allegations incorporated herein by reference as though set forth at length. NEW MATTER PURSUANT TO 2252(D) AGAINST CROCKETT LOG HOMES OF PA, INC., NATURAL BUILDING SYSTEMS, INC. AND ROY STOLTZFUS 18. If anyone, other than the Original Defendants caused the injuries, damages and losses allegedly sustained by the Original Defendants (as Counterclaim Plaintiffs), then said injuries, damages and losses were directly and proximately caused by the Plaintiff and/or Additional Defendants, Natural Building Systems, Inc. and Roy Stoltzfus as is more fully set forth in the Original Defendant's Counterclaim and the Complaint to Join, which allegations are incorporated herein by reference as though set forth at length for purposes of these crossclaims only. 19. If it is judicially determined that the Original Defendants/Counterclaim Plaintiffs are entitled to recover and Bruce Dunlavy is found liable, a liability which is expressly denied, then Crockett Log Homes, Natural Building Systems, Inc. and Roy Stoltzfus are liable over to Bruce Dunlavy for any and all sums which the Original Defendants/Counterclaim Plaintiffs recover. 20. Bruce Dunlavy hereby asserts a claim for contribution in the event that it is judicially determined that he and Crocker Log Homes, Natural Building Systems, Inc. and/or Roy Stoltzfus are jointly and severally liable to the Original Defendants/'Counterclaim Plaintiffs, although the existence of any liability on the part of Bruce Dunlavy is expressly denied. WHEREFORE, Crockett Log Homes, Natural Building Systems, Inc. and Roy Stoltzfus are solely liable to the original Defendants/Counterclaim Plaintiffs; or they are liable over to Bruce Dunlavy for any and all sums which the Original Defendants/Counterclaim Plaintiffs recover; or they are jointly and severally liable. Respectfully submitted, LAW OFFICES OF JACOBS & ASSOCIATES By: Cw/ JoAnne mze , quire Identificati n No. 55453 Attorney for Additional Defendant, Bruce Dunlavy Date: October 25, 2005 05 HB-00105 LAW OFFICES OF JACOBS & ASSOCIATES 214 SENATE AVENUE, SUITE 503 CAMP HILL, PA 17011 TELEPHONE NUMBER: (717) 731-0988 ATTORNEY FOR ADDITIONAL DEFENDANT, BRUCE DUNLA VY (INCORRECTLY IDENTIFIED AS BRUCE DUNLEAVY) IN THE COURT OF COMMON PLEAS CUMBERLAND COUNTY, PENNSYLVANIA Crockett Log Homes of PA, Inc., Plaintiff vs. Donald E. Verret and Brenda L. Vernet, Defendants vs. Natural Building Systems, Inc., Bruce Dunleavy, and Roy Stoltzfus, Additional Defendants No.: 2004-4108 TRIAL DEMANDED TION I, Bruce Dunlavv, verify that the statements made in the foregoing Answer of Addition Defendant, Bruce Dunlavv, to Complaint to Join of Defendants, which are within the persor knowledge of the undersigned, are true and correct, and as to the facts based on the information others, the undersigned, after diligent inquiry, believe them to be true. And further, this Verification signed on the recommendation of my attorneys, who advise me that the allegations and language in it document are required legally to raise issues for resolution at trial, by the Court, or by continuii investigation and preparation for trial. I understand that some of these allegations may pro inappropriate after investigation and trial preparation are complete and I leave the determination these matters to my attorneys on their advice. I understand that all statements herein are made subject to the penalties of 18 Pa.C.S.A. relating to unsworn falsifications to authorities. Dated: /01Zip1 3" Lv Bruce Dunlavy % " OCR 1051113-00105 LAW OFFICES OF JACOBS & ASSOCIATES 214 SENATE AVENUE, SUITE 503 CAMP HILL, PA 17011 TELEPHONE NUMBER: (717) 731-0988 ATTORNEY FOR ADDITIONAL DEFENDANT, BRUCE DUNLAVY (INCORRECTLY IDENTIFIED As BRUCE DUNLEAVY) IN THE COURT OF COMMON PLEAS CUMBERLAND COUNTY, PENNSYLVANIA Crockett Log Homes of PA, Inc., Plaintiff vs. Donald E. Verret and Brenda L. Vemet, Defendants vs. Natural Building Systems, Inc., Bruce Dunleavy, and Roy Stoltzfus, Additional Defendants No.: 2004-4108 Y TRIAL DEMANDED TE OF JoAnne E. Kinzel, Esquire, hereby certifies that she is the attorney for the Additional Defendant, Bruce Dunlavy herein, and that she caused a true and correct copy of the attached Answer of Additional Defendant, Bruce Dunlavv to Complaint to Join of Defendants to be served by regular first class mail upon: Thomas E. Brenner, Esquire Goldberg Katzman, P.C. P.O. Box 1268 Harrisburg, PA 17108-1268 Barbara Sumple-Sullivan, Esquire 549 Bridge Street New Cumberland, PA 17070 Date: October 25, 2005 JoAnne E?Kinzel, Esquire Attorney for Additional Defendant, Bruce Dunlavy ? '} 1't -i j'- I .,. Thomas E. Brenner, Esquire Goldberg Katzman, P.C. PO Box 1268 Harrisburg, PA 17108-1268 717-234-4161 Attorneys for Plaintiff CROCKET T LOG HOMES OF PA, : IN THE COURT OF COMMON PLEAS INC., : CUMBERLAND CO., PENNSYLVANIA Plaintiff NO. 2004-4108 V. DONALD E. VERNET and : CIVIL ACTION - LAW BRENDA L. VERNET, Defendants V. NATURAL BUILIDNG SYSTEMS, INC., BRUCE DUNLEAVY, and ROY STOLTZFUS, Additional Defendants ANSWER OF CROCKETT LOG HOMES OF PENNSYLVANIA, INC. TO NEW MATTER OF ADDITIONAL DEFENDANT BRUCE DUNLAVY AND NOW, comes Crockett Log Homes of Pennsylvania, Inc., by its attorneys, Goldberg Katzman, P.C., who states: 13. Denied. The paragraph states a legal conclusion to which no response is necessary. 14. Denied. The paragraph states a legal conclusion to which no response is necessary. In further response, the Answer of Crockett Log Homes to the Verner Counterclaim is incorporated herein by reference. 15. Admitted. 16. Admitted. 17. Admitted. WHEREFORE, Crockett Log Homes requests that the New Matter of Additional Defendant Bruce Dunlavy be dismissed, with prejudice. 2252(D) NEW MATTER 18. Denied. The paragraph states a legal conclusion to which no response is necessary. 19. Denied. The paragraph states a legal conclusion to which no response is necessary. 20. Denied. The paragraph states a legal conclusion to which no response is necessary. WHEREFORE, Crockett Log Homes of Pennsylvania, Inc. requests that the 2252(d) New Matter of Additional Defendant Bruce Dunlavy be dismissed, with prejudice. GOLDBERG KATZMAN, P.C. B T omas E. Brenner, Esquire Attorney ID #32085 PO Box 1268 Harrisburg, PA 17108-1268 717-234-4161 Attorney for Plaintiff Crockett Log Homes of PA, Inc. Date: October 31, 2005 VERIFICATION I, Thomas E. Brenner, Esquire, hereby acknowledge that I am the attorney for Crockett Log Homes of Pennsylvania, Inc.; that I have read the foregoing document; that there are no new facts of record contained in the document; and that the facts stated therein are true and correct to the best of my knowledge, information and belief. I understand that any false statements herein are made subject to penalties of 18 Pa.C.S. 54904, relating to unsworn falsification to authorities. E. Brenner, Esquire Date: October 31, 2005 103407.1 CERTIFICATE OF SERVICE I, Thomas E. Brenner, Esquire, hereby certify that on this date, I served the foregoing document, via U. S. Mail, postage prepaid, on the persons set forth below, namely: JoAnne E. Kinzel, Esquire Jacobs & Associates 214 Senate Avenue, Suite 503 Camp Hill, PA 17011 Barbara Sumple-Sullivan, Esquire 549 Bridge Street New Cumberland, PA 17070 By Date: October 31, 2005 Jennifer Rood, Esquire Bernstein, Shur, Sawyer & Nelson PO Box 1120 Manchester, NH 03105-1120 Roy Stoltzfus 801 Penns Creek Road Spring Mills, PA 16875 127938.1 GOLDBERG KATZMAN, P.C. o -„ . ? rTlf - (71 . : ?' ? "r .r ?? 1 ? 1 J?. -T . :i G N . 7 : ?_? .? R ? CROCKETT LOG HOMES OF PA, INC., IN THE COURT OF COMMON PLEAS Plaintiffs CUMBERLAND COUNTY, PENNSYLVANIA Vs. DONALD E. VERNET and BRENDA L. VERNET, Defendants Vs. NATURAL BUILDING SYSTEMS, INC., BRUCE DUNLEAVY and ROY STOLTZFUS, Additional Defendants TO THE PROTHONOTARY: NO. 2004-4108 Civil Term CIVIL ACTION - LAW PRAECIPE Please withdraw the appearance of Arthur K. Dils, Esquire, as attorney for Plaintiffs, Crocket Log Homes of PA, Inc., and enter the appearance of Thomas E. Brenner, Esquire, as attorney for Plaintiffs, Crocket Log Homes of PA, Inc. Respectfully submitted, Bk Thomas E. Brenner, Esquire P.O. Box 1268 Harrisburg, PA 17108 (717) 234-4161 I.D. No. Respectfully submitted, BY: 111?10J'49 Arthur K. Dils, Esquire 1400 North Second Street Harrisburg, PA 17102 (717) 232-9724 I.D. No. 07056 0 Date: 4,x?o 0 CERTIFICATE OF SERVICE I, Arthur K. Dils, Esquire, hereby certify that a true and correct copy of the within Praecipe has been served upon the following individuals by first class, United States mail, postage prepaid, by depositing same at the post office in Harrisburg, Pennsylvania, on th 4y of June 2006, addressed as follows: Barbara Sumple-Sullivan, Esquire 549 Bridge Street New Cumberland, PA 17070 Joanne E. Kinzel, Esquire Law Offices of Snyder & Doter 214 Senate Avenue Camp Hill, PA 17011 Mr. Roy Stoltzfus 801 Penns Creed Road Spring Mills, PA 16875 Resp lly s bmitted, Date: I n/.o I Arthur K. Dils, Vsquire 1400 North Second Street First Floor, Front Harrisburg, PA 17102 (717) 232-9724 I.D. No. 07056 ?1 ra ' ;J c ? C ?ti 'ri ?f ? [v 1??i rC `i: fV °c? i tf v A PRAMS FOR r ISTny[: CASE FOR TRIAL (Must be typewritten and submitted in duplicate) TO THE PROTHONOTARY OF CUMBERLAND COUNTY Please list the following case: ® for JURY trial at the next term of civil court. for trial without a jury. CAPTION OF CASE (entire caption must be stated in full) (check one) CROCI= LOG HOMES OF PA, INC. (Plaintiff) vs. DONALD E. VERNET AND BRENDA L. VERNET VS. (Defendant) ® Civil Actton - Law C1 Appeal from arbitration (other) The trial list will be called on and Trials commence on Pretrials will be held on (Briefs are due 5 days before pretriah NATURAL BUILDING SYSTEMS, INC., No 4108 2004 Term BRUCE DUNLEAVY, and ROY SIOLTZFUS (Additional Defendants) Indicate the attorney who will try case for the party who files this prwipe: Barbara Sumple-Sullivan, Esquire 549 Bridge Street, New Cumberland, PA 17070 Indicate trial counsel for other parties if known: t. Thomas E. Brenner, Esquire P.O. Box 1268 Harr' 108 (Plaintiff) - sjfj 11, RA 17011 (Defendant JaAruie E. Kinzel Es fend4nt St ltz (None) !?unleavy) This case is ready or tnaF Signed: Print Name: Barbara Sumple-Sullivan, Esquire Attorney for: Defendants Donald and Brenda Vernet 4 w Barbara Sumple-Sullivan, Esquire Supreme Court #32317 549 Bridge Street New Cumberland, PA 17070 (717) 774-1445 CROCKETT LOG HOMES OF PA, INC., IN THE COURT OF COMMON PLEAS Plaintiffs :CUMBERLAND COUNTY, PENNSYLVANIA V. DONALD E. VERNET AND BRENDA L. VERNET, Defendants V. NATURAL BUILDING SYSTEMS, INC., BRUCE DUNLEAVY, and ROY STOLTZFUS Additional Defendants : CIVIL ACTION -LAW NO. 2004-4108 CERTIFICATE OF SERVICE I, BARBARA SUMPLE-SULLIVAN, ESQUIRE, do hereby certify that on this date, I served a copy of the foregoing Praecipe to List Case for Jury Trial, in the above-captioned matter upon the following individual by first class mail, postage prepaid, addressed as follows: Thomas E. Brenner, Esquire Goldberg Katzman P.O. Box 1268 320 Market Street Harrisburg, PA 17108 Mr. Roy Stoltzfus 801 Penns Creek Road Spring Mills, PA 16875 DATED: February 2, 2007 JoAnne E. Kinzel, Esquire Law Office of Snyder and Dorer 214 Senate Avenue, Suite 503 Camp Hill, PA 17011 tarbara Sumple-Sullivan, Esquire 549 Bridge Street New Cumberland, PA 17070-1931 (717) 774-1445 Supreme Court I.D. No. 32317 Attorney for Defendants Vernet rTi A -C co CROCKETT LOG HOMES OF PA, INC., Plaintiff v DONALD E. VERNET and BRENDA L. VERNET, Defendant v NATURAL BUILDING SYSTEMS, INC., BRUCE DUNLEAVY and ROY STOLTZFUS, Additional Defendants IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA 04-4108 CIVIL TERM IN RE: CASE STRICKEN FROM LIST ORDER OF COURT AND NOW, this 20th day of March, 2007, the above-captioned case at No. 04-4108 Civil Term having not been called for trial at the call of the civil trial list, it is stricken from the list. By the Court, 1 / e s 1 e y 161?i Jr. , J. V omas E. Brenner, Esquire 320 Market Street P.O. Box 1268 Harrisburg, PA 17108-1268 For Plaintiff ?/arbara Sumple-Sullivan, Esquire 549 Bridge Street New Cumberland, PA 17070-1931 For Defendants Ann E. Kinzel, Esquire ???214 Senate Avenue .? Suite 503 Camp Hill, PA 17011 For Additional Defendant Court Administrator :mae V3 _ uaC era _ ck? :i ta Q C _ C7 -k' PRAECIPE FOR LISTING CASE FOR TRIAL (Must be typewritten and submitted in duplicate) TO THE PROTHONOTARY OF CUMBERLAND COUNTY Please list the following case: ® for JURY trial at the next term of civil court. ? for trial without a j ury. ------------------------------------------------------------------------------------------------------- CAPTION OF CASE (entire caption must be stated in fulo (check one) CROCKEIT LOG HOMES OF PA, INC. , T Civil Action - Law ? Appeal from arbitration (other) (Plaintiff) VS. The trial list will be called on May 22, 2007 DONALD E. VERNET and and BRENDA L. VERNET, Trials commence on week of June 18, 2007 (Defendant) Pretrials will be held on May 30, 2007 VS. (Briefs are due S days before pretrials NATURAL BUILDING SYSTEMS, INC., No. 4108 2004 Term BRUCE DUNLEAVY, and ROY STOLTZFUS, (Additional Defendants) Indicate the attorney who will try case for the party who files this praecipe: Barbara Sumple-Sullivan, Esquire, 549 Bridge Street, New Cumberland, PA 17070 Indicate trial counsel for other parties if known: Thomas E. Brenner, Esquire, P.O;: Box 1268, JoAnne Kinzel, Esauire. 214 Senate Avenue_ Defendant Stoltzfus (None) This case is ready for trial. Signed: 17108 (Plaintiff) Hill, PA 17011 (Defendant Dunleavy) Barbara Sumple-Sullivan, Esquire Date: March 26, 2007 Attorney for: Defendants Donald E. and Brenda L. Vernet ? i Barbara Sumple-Sullivan, Esquire Supreme Court #32317 549 Bridge Street New Cumberland, PA 17070 (717) 774-1445 CROCKETT LOG HOMES OF PA, INC., IN THE COURT OF COMMON PLEAS Plaintiffs CUMBERLAND COUNTY, PENNSYLVANIA V. DONALD E. VERNET AND BRENDA L. VERNET, CIVIL ACTION -LAW Defendants V. NATURAL BUILDING SYSTEMS, INC., BRUCE DUNLEAVY, and ROY STOLTZFUS NO. 2004-4108 Additional Defendants CERTIFICATE OF SERVICE I, BARBARA SUMPLE-SULLIVAN, ESQUIRE, do hereby certify that on this date, I served a copy of the foregoing Praecipe to Re-List Case for Jury Trial, in the above-captioned matter upon the following individual by first class mail, postage prepaid, addressed as follows: Thomas E. Brenner, Esquire Goldberg Katzman P.O. Box 1268 320 Market Street Harrisburg, PA 17108 Mr. Roy Stoltzfus 801 Penns Creek Road Spring Mills, PA 16875 JoAnne E. Kinzel, Esquire Law Office of Snyder and Dorer 214 Senate Avenue, Suite 503 Camp Hill, PA 17011 DATED: March 26, 2007 549 Bridge Street New Cumberland, PA 17070-1931 (717) 774-1445 Supreme Court I.D. No. 32317 Attorney for Defendants Vernet r Cam? :3 *.? ro 2Z #13 CROCKETT LOG HOMES OF PA, INC., Plaintiff V. DONALD E. VERNET AND BRENDA L. VERNET, Defendants IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA CIVIL ACTION - LAW V. NATURAL BUILDING SYSTEMS, INC., BRUCE DUNLAVY AND ROY STOLTZFUS, Additional Defendants NO. 04-4108 CIVIL TERM PRETRIAL CONFERENCE AND NOW, this 30th day of May, 2007, before Edgar B. Bayley, Judge, present for the plaintiff was Thomas E. Brenner, Esquire, for defendants, Barbara Sumple-Sullivan, Esquire, and for Additional Defendant Bruce Dunlavy, JoAnne E. Kinzel, Esquire. This lawsuit was instituted by Crockett Log Homes of Pennsylvania, Inc., for a $17,000.00 balance owed on a $153,000.00 contract for the construction of a home. Defendants, Donald and Brenda Vernet, filed a counterclaim alleging defective construction, et al. The Vernets joined Bruce Dunlavy who was a subcontractor for much of the work. Natural Building Systems, Inc., and Roy Stoltzfus are also additional defendants joined by the Vernets. The parties agreed to try the case nonjury and will coordinate with this Judge for the sett ing.of date . By the.- our Edgar B. Bayley, J i N ? C Ic 1 J - p ? C47 ??n 0- Q Thomas E. Brenner, Esquire For Plaintiff Barbara Sumple-Sullivan, Esquire For Defendants JoAnne E. Kinzel, Esquire For Additional Defendant Bruce Dunlavy Natural Building Systems, Inc., pro se Roy Stoltzfus, pro se prs I 1 CROCKETT LOG HOMES OF PA, INC., PLAINTIFF V. DONALD E. VERNET AND BRENDA L. VERNET, DEFENDANTS V. NATURAL BUILDING SYSTEMS, INC BRUCE DUNLAVY AND ROY STOLTZFUS, ADDITIONAL DEFENDANTS IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA 04-4108 CIVIL TERM ORDER OF COURT AND NOW, this day of June, 2007, a civil non jury trial shall be conducted on Monday, August 20, 2007, Tuesday, August, 21, 2007, and Wednesday, August 22, 2007, at 8:45 a.m., in Courtroom Number 2, Cumberland County Courthouse, Carlisle, Pennsylvania. homas E. Brenner Esquire 320 E. Market Street Strawberry Square Harrisburg, PA 17108 For Plaintiff ABarbara Sumple-Sullivan, Esquire 549 Bridge Street New Cumberland, PA 17070 For Defendants Cugaf D. Dayley, J. p ?a C C, C.a CC ) LO u 1 C? ti Anne E. Kinzel, Esquire 214 Senate Ave, Suite 503 Camp Hill, PA 17011 For Additional Defendant Bruce Dunlavy .,Natural Building Systems, Inc., Pro se 35 Old Route 12 North Westmoreland, NH 03467 A Stoltzfus, Pro se 801 Penns Creek Road Spring Mills, PA 16875 Court Administrator :sal CROCKETT LOG HOMES OF PA, INC., Plaintiff, V. DONALD E. VERNET AND BRENDA L. VERNET, Defendants v. t?AlSt -v - BRUCE DUNLAVY AND ROY STOLTZFUS, Additional Defendants IN THE COURT OF COMMON PLEAS CUMBERLAND CO., PENNSYLVANIA NO. 04-4108 Civil STIPULATION OF TUDGMFNT AND ASSIGNMENT AND NOC WI the parties to this litigatic`n through th{ it Counsel state: 1. The Counterclaim of D(-inal.d - nd Bren ':1, ?''c.'r*7et 2?sserts deiic ncies in the log Home materiels manufactured and provided by Natural Building Systems, IIic. and the design and engineering services provided by Natural Building Systems, Inc. 2. The Vernets and the parties to this document agree that the value of the log home kit. provided by Natural Buildil?;u Systems and uh,c coI seQ-1.tjenti<11 darnaues :arisi; { from the problems with the kit, as well as design engineering services provided by Natural Building Systems, Inc. have a value in excess of $100,000.00. 3. The parties acknowledge that purstuanu to _M Order of the Bankruptcy CoL.,rt in the bankruptcy o Natural. djc) i:?`t I!llllii?t'6' 4?"?- i.'.3l 7 In '-he mired States District Court for New Hanipshire h; .; -cc-ogni-re' a cta :a? t?ri il'?? r, it'll this transaction in the name of Crockett Logy Homes of PA, Inc:. in the amount of $100,000.00. 4. In consideration for the settlement of the underlying litigation by the Vernets, Crockett Log Homes of PA, Inc. hereby assigns its claim in the bankruptcy of Natural Building Systems, Inc. to Donald E. and Brenda L. Vernet. 5. Cr(-)cket Log Homes of PA, Inc., will take. all action necessary to record this United States District Court of New Hampsl:iire. CROCKETT LOG HOMES OF P .A., INC R `X)N GLIB BRENDA"' -ET AND By: hiimas E. Brenner, Esquire Goldberg Katzman, PC PO Box 1268 Harrisburg, PA 17108-1265 BRUICE Dt.T.\TT.-EAVY By: c n e` VKinzel, Esquire - SAy r & Dorer 21 Senate Avenue., Suite 503 Camp Hill, PA 17011 Barbara Sumple-Sullivan, Esquire 549 Bridge Street New Cumberland, PA 17070 r._a „c f? i t r? zJ -; CROCKETT LOG HOMES OF PA, INC., Plaintiff, V. DONALD E. VERNET AND BRENDA L. VERNET, Defendants V. NATURAL BUILDING SYSTEMS, INC BRUCE DUNLAVY AND ROY STOLTZFUS, Additional Defendants IN THE COURT OF COMMON PLEAS CUMBERLAND CO., PENNSYLVANIA NO. 04-4108 Civil ORDER AND NOW, this 7,--ok day of k) 0;4 2007, pursuant to the Stipulation of the parties, a judgment of $100,000.00 is entered against Natural Building Systems, Inc. and shall. be forwarded to the Bankruptcy Court for the United States District Court for New Hampshire to be docketed in that proceeding. BY' C\J {3 t? C\j c I t 23' j f5 C C.4 C-) DEC o 3 2007,e/ CROCKETT LOG HOMES OF PA, INC., Plaintiff, V. DONALD E. VERNET AND BRENDA L. VERNET, Defendants v. IN THE COURT OF COMMON PLEAS CUMBERLAND CO., PENNSYLVANIA NO. 04-4108 Civil NATURAL BUILDING SYSTEMS, INC. BRUCE DUNLAVY AND ROY STOLTZFUS, Additional Defendants ORDER AND NOW, this '3Aday of 2007, pursuant to the `stipulation of the parties, a Judgment of $100,000.00 is entered against Natural Build' 'L" Systems, Inc. and shall be forwarded to the Bank:ruptc?, Court for the United Sates Distr" t Cour- ??: New Hampshire to be docketed in dial proce-edlnlor. .J N Q Cz co 4 V ??? / u.r ?' cam, -> ? CZ) 7 n 0 r Barbara Sumple-Sullivan, Esquire Supreme Court #32317 549 Bridge Street New Cumberland, PA 17070 (717) 774-1445 CROCKETT LOG HOMES OF PA, INC., IN THE COURT OF COMMON PLEAS Plaintiffs CUMBERLAND COUNTY, PENNSYLVANIA V. DONALD E. VERNET AND BRENDA L. VERNET, CIVIL ACTION -LAW Defendants V. NATURAL BUILDING SYSTEMS, INC., BRUCE DUNLEAVY, and ROY STOLTZFUS NO. 2004-4108 Additional Defendants PRAECIPE TO THE PROTHONOTARY: Please mark the above captioned matter settled and DATE: December 5, 2007 Barbara Sumple-Sullivan, Esquire 549 Bridge Street New Cumberland, PA 17070-1931 (717) 774-1445 Supreme Court I.D. 32317 Attorney for Defendants Donald and Brenda Vernet c .W Barbara Sumple-Sullivan, Esquire Supreme Court #32317 549 Bridge Street New Cumberland, PA 17070 (717) 774-1445 CROCKETT LOG HOMES OF PA, INC., IN THE COURT OF COMMON PLEAS Plaintiffs CUMBERLAND COUNTY, PENNSYLVANIA V. DONALD E. VERNET AND BRENDA L. VERNET, CIVIL ACTION -LAW Defendants V. NATURAL BUILDING SYSTEMS, INC., BRUCE DUNLEAVY, and ROY STOLTZFUS NO. 2004-4108 Additional Defendants CERTIFICATE OF SERVICE I, BARBARA SUMPLE-SULLIVAN, ESQUIRE, do hereby certify that on this date, I served a copy of the foregoing Praecipe, in the above-captioned matter upon the following individual by first class mail, postage prepaid, addressed as follows: Thomas E. Brenner, Esquire Goldberg Katzman P.O. Box 1268 320 Market Street Harrisburg, PA 17108 JoAnne E. Kinzel, Esquire Law Office of Snyder and Dorer 214 Senate Avenue, Suite 503 Camp Hill, PA 17011 Mr. Roy Stoltzfus 801 Penns Creek Road Spring Mills, PA 16875 DATED: December 5, 2007 Barbara Sumple-Sullivan, Esquire 549 Bridge Street New Cumberland, PA 17070-1931 (717) 774-1445 Supreme Court I.D. No. 32317 Attorney for Defendants Verret c.? r c? c,a