The URL can be used to link to this page

Home My WebLink About11-8221WEBER GALLAGHER SIMPSON STAPLETON FIRES & NEWBY, LLP By: Peter E. Meltzer Identification No.: 39828 By: James H. Curry III Identification No.: 306954 Fulton Bank Building 200 North Third Street, Suite 9A Harrisburg, PA 17101 (717) 237-6940 METRO BANK f/k/a COMMERCE BANK/ HARRISBURG, N.A. 3801 Paxton Street Harrisburg, PA 17111 V. MICHAEL J. HARTLE 295 Tanger Road Boiling Springs, PA 17007 A' LYNN R. HARTLE 295 Tanger Road Boiling Springs, PA 17007 r-' .. f v ? iJ??l: fkal in. Attorneys for Plaintiff COURT OF COMMON PLEAS CUMBERLAND COUNTY NO. ?ivL( 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 this 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 BELOW TO FIND OUT WHERE YOU CAN GET LEGAL HELP. THIS OFFICE CAN PROVIDE YOU WITH INFORMATION ABOUT HIRING A LAWYER. IF YOU CANNOT AFFORD TO HIRE A LAWYER, THIS OFFICE MAY BE ABLE TO PROVIDE YOU WITH THE INFORMATION ABOUT AGENCIES THAT MAY OFFER LEGAL SERVICES TO ELIGIBLE PERSONS AT A REDUCED FEE OR NO FEE. C? Q"4 % Q o° tod a I 0 k4- X4( Cumberland County Bar Association 32 South Bedford Street Carlisle, PA 17013 (800) 990-9108 AVISO PARA DEFENDER USTED HA SIDO DEMANDADO/A EN LA CORTE. Si usted desea defender conta la demanda puestas en las siguientes paginas, usted tienen que tomar accion dentro veinte (20) dias despues que esta Demanda y Aviso es servido, con entrando por escrito una aparencia personalmente o por un abogado y archivando por escrito con la Corte sus defensas o objeciones a las demandas puestas en esta contra usted. Usted es advertido que si falla de hacerlo el caso puede proceder sin usted y un jazgamiento puede ser entrado contra usted por la Corte sin mas aviso por cualquier dinero reclamado en la Demanda o por cualquier otro reclamo o alivio solicitado por Demandante. Usted puede perder dinero o propiedad o otros derechos importante para usted. USTED DEBE LLEVAR ESTE PAPEL A SU ABOGADO ENSEGUIDA. SI USTED NO TIENE UN ABOGADO, VAYA O LLAME POR TELEFONO LA OFICINA FUADA AQUI ABAJO. ESTA OFICINA PUEDE PROVEERE CON INFORMACION DE COMO CONSEGUIR UN ABOGADO. SI USTED NO PUEDE PAGARLE A UN ABOGADO, ESTA OFICINA PUEDE PROVEERE INFORMACION ACERCA AGENCIAS QUE PUEDAN OFRECER SERVICIOS LEGAL A PERSONAS ELIGIBLE AQ UN HONORARIO REDUCIDO O GRATIS. Cumberland County Bar Association 32 South Bedford Street Carlisle, PA 17013 (800) 990-9108 WEBER GALLAGHER SIMPSON STAPLETON FIRES & NEWBY, LLP By: Peter E. Meltzer Identification No.: 39828 By: James H. Curry, III Identification No.: 306954 200 North Third Street, Ste 9A Harrisburg, PA 17101 (267) 295-3364 Attorneys for Plaintiff METRO BANK f/k/a COMMERCE BANK/ COURT OF COMMON PLEAS HARRISBURG, N.A. CUMBERLAND COUNTY 3801 Paxton Street Harrisburg, PA 17111 NO. 11 _ 8 aa1 i V? V. MICHAEL J. HARTLE 295 Tanger Road Boiling Springs, PA 17007 A'LYNN R. HARTLE 295 Tanger Road Boiling Springs, PA 17007 COMPLAINT 1. Plaintiff is a banking institution with an address as listed above. Plaintiff was formerly operating as Commerce Bank/Harrisburg, N.A. and is currently known as Metro Bank. 2. 3. 4. Defendant, Michael J. Hartle ("M. Hartle"), is an individual with an address as listed above. Defendant, A'Lynn R. Hartle ("A. Hartle"), is an individual with an address as listed above. On or about November 26, 2003, Plaintiff loaned Aircraft Management Services, Inc. ("Aircraft"), the principal sum of $50,000.00 pursuant to a certain Promissory Note of Page 1 of 3 even date executed by Aircraft in favor of Plaintiff (the "Note"). A true and correct copy of the Note is attached as Exhibit 1. On or about November 17, 2006, the Note was modified to increase the lent amount to $150,000.00 and to modify the maturity date of the Note to November 26, 2010 (the "Modification"). A true and correct copy of the Modification is attached hereto as Exhibit 2. 6. On or about February 1, 2011, Defendants executed a Note Modification Agreement in favor of Plaintiff (the "Note Modification") extending the maturity date from November 26, 2010, to March 1, 2011. A true and correct copy of the Note Modification is attached hereto as Exhibit 3. 7. On or about November 26, 2003, M. Hartle and A. Hartle entered into a guaranty wherein they unconditionally and irrevocably assured and guaranteed Aircraft's obligations under the Note and Agreement. A true and correct copy of this guaranty is attached as Exhibit 4. 8. The Note matured on March 1, 2011 and Defendants failed to pay the balance due. 9. Upon an event of default, Plaintiff has the right to damages and remedies under the Note and Agreement, including but not limited to, declaring immediately due and payable all sums due and to become due under the Note. 10. As a result of the failure to make the pay the balance due on March 1, 2011, the entire unpaid balance of principal indebtedness, together with all accrued and unpaid interest, and all of Plaintiffs costs as authorized in the Note are immediately due and payable, comprised as follows: Principal Balance Due: $144,782.10 Interest Due through September 6, 2011: $ 5,984.32 Page 2of3 Late Charges: $ 15,239.80 Attorney's Fees: $ 7,538.32 Costs of Suit and Title Search: $ 500.00 Total Sum Due $174,044.54 Interest accrues on the Note from and after September 7, 2011, at the per diem rate of $24.13. 11. Defendants have failed to cure the default. WHEREFORE, Plaintiff demands that judgment be entered in favor of Plaintiff and against Defendants, jointly and severally, in the amount of $174,044.54, plus late charges, fees and costs and such other relief as the court may deem just and appropriate. Respectfully submitted, Dated: October 28, 2011 B Page 3 of 3 Weber Gallagher Simpson Stapleton Fires & Newby, LLP. EXHIBIT 1 i. US Nman Bwdnmr AdmixW&MU n U.S. Small Business Administration NOTE SBA Loan # EXP 695-069-4004 SBA Loan Name Aircraft Management Services, Inc. Date November 26, 2003 Loan Amount 50,000.00 Interest Rate New York Prime + 2.90%, adjusting calendar quarterly: Floor: 6.00°/x; Ceiling 13.00% Borrower Aircraft Management Services, Inc. Operating Company N/A Lender Commerce Bank/Harrisburg, N.A. 1. PROMISE TO PAY: In return for the Loan, Borrower promises to pay to the order of Lender the amount of Fifty thousand and ------------------------------------------------------------- 00/100 Dollars, interest on the unpaid principal balance, and all other amounts required by this Note. 2. DEFINITIONS: "Collateral" means any property taken as security for payment of this Note or any guarantee of this Note. "Guarantor" means each person or entity that signs a guarantee of payment of this Note. "Loan" means the loan evidenced by this Note. "Loan Documents" means the documents related to this loan signed by Borrower, any Guarantor, or anyone who pledges collateral. "SBA" means the Small Business Administration, an Agency of the United States of America. SBA Form 147 (06103/02) Version 4.1 Page 1/6 Bankers Systems, Inc., St. Cloud, MN 3. PAYMENT TERMS: Borrower must make all payments at the place Lender designates. The payment terms for this Note are: a),Maturity: This Note will mature five (5) years from date of Note. b).Repayment Terms: This loan is a revolving line of credit. Borrower may make advances on the line of credit up to the maximum thereof from time to time. Each advance shall be in an amount not less than $500.00 and is subject to Borrower's credit limit. Lender reserves the right to decline advances based on changes in Borrower's financial condition. Borrower may not make any advances after an event of default. Borrower will pay this loan on demand, or If no demand is made, in one payment of all outstanding principal plus all accrued unpaid interest on November 26, 2008. The Note will mature in five (5) years from date of Note. In addition, Borrower will pay regularly monthly payments of accrued unpaid interest based upon the principal balance outstanding from time to time beginning the first day of the second month from the date of the Note. All subsequent monthly interest payments are due on the first day of each month thereafter. The interest rate on this Note will fluctuate. The initial rate of interest will be 6.00%. This initial interest rate is the prime rate on the date the SBA received the loan application, plus 2.00%. This note shall have an interest rate floor of 6.00% and an interest rate ceiling of 13.00%. Lender will apply each installment payment first to pay interest accrued to the day Lender receives the payment, then to pay any late fees, and will apply any remaining balance to reduce principle. Borrower agrees that if a default occurs on this Note or any other outstanding SBA or SBA guaranteed loan, Lender has the option to make this Note and such other loans immediately due and payable. The adjusted interest rate will be 2.00% above the Prime rate. Lender may adjust the interest rate for the first time on the first day of the calendar quarter following the date of Note and on the first day of each calendar quarter thereafter. The change in interest rate is effective on that day whether or not Lender gives Borrower notice of the change. The "Prime Rate" is the prime rate published in the Wall Street Journal, in effect on the first business day of the month in which a change occurs. If SBA purchases the guaranteed portion of the unpaid principal balance, the interest rate becomes fixed at the rate in effect at the time of the earliest uncured payment default. If there is no uncured payment default, the rate becomes fixed at the rate in effect at the time of purchase. Late Charge: If a payment on this Note is more than tem (10) days late, Lender may charge Borrower a late fee of up to 5% of the unpaid portion of the regularly scheduled payment. Lender computes interest on a 30/360 day basis. SBA Form 147 (06/03102) Version 4.1 Page 216 Bankers Systems, Inc., St. Cloud, MN 4. DEFAULT: Borrower is in default under this Note if Borrower does not make a payment when due under this Note, or if Borrower or Operating Company: A. Fails to do anything required by this Note and other Loan Documents; B. Defaults on any other loan with Lender; C. Does not preserve, or account to Lender's satisfaction for, any of the Collateral or its proceeds; D. Does not disclose, or anyone acting on their behalf does not disclose, any material fact to Lender or SBA; E. Makes, or anyone acting on their behalf makes, a materially false or misleading representation to Lender or SBA; F. Defaults on any loan or agreement with another creditor, if Lender believes the default may materially affect Borrower's ability to pay this Note; G. Fails to pay any taxes when due; H. Becomes the subject of a proceeding under any bankruptcy or insolvency law; 1. Has a receiver or liquidator appointed for any part of their business or property; 7. Makes an assignment for the benefit of creditors; K. Has any adverse change in financial condition or business operation that Lender believes may materially affect Borrower's ability to pay this Note; L. Reorganizes, merges, consolidates, or otherwise changes ownership or business structure without Lender's prior written consent; or M. Becomes the subject of a civil or criminal action that Lender believes may materially affect Borrower's ability to pay this Note. 5. LENDER'S RIGHTS IF THERE IS A DEFAULT: Without notice or demand and without giving up any of its rights, Lender may: A. Require immediate payment of all amounts owing under this Note; B. Collect all amounts owing from any Borrower or Guarantor; C. File suit and obtain judgment; D. Take possession of any Collateral; or E. Sell, lease, or otherwise dispose of, any Collateral at public or private sale, with or without advertisement. o. LENDER'S GENERAL POWERS: Without notice and without Borrower's consent, Lender may: A. Bid on or buy the Collateral at its sale or the sale of another lienholder, at any price it chooses; B. Incur expenses to collect amounts due under this Note, enforce the terms of this Note or any other Loan Document, and preserve or dispose of the Collateral. Among other things, the expenses may include payments for property taxes, prior liens, insurance, appraisals, environmental remediation costs, and reasonable attorney's fees and costs. If Lender incurs such expenses, it may demand immediate repayment from Borrower or add the expenses to the principal balance; C. Release anyone obligated to pay this Note; D. Compromise, release, renew, extend or substitute any of the Collateral; and E. Take any action necessary to protect the Collateral or collect amounts owing on this Note. SBA Form 147 (06/03(02) Version 4.1 Page 316 Bankers Systems, Inc., St. Cloud, MN r- 7. WHEN FEDERAL LAW APPLIES: When SBA is the holder, this Note will be interpreted and enforced under federal law, including SBA regulations. Lender or SBA may use state or local procedures for filing papers, recording documents, giving notice, foreclosing liens, and other purposes. By using such procedures, SBA does not waive any federal immunity from state or local control, penalty, tax, or liability. As to this Note, Borrower may not claim or assert against SBA any local or state law to deny any obligation, defeat any claim of SBA, or preempt federal law. 8. SUCCESSORS AND ASSIGNS: Under this Note, Borrower and Operating Company include the successors of each, and Lender includes its successors and assigns. 9, GENERAL PROVISIONS: A. All individuals and entities signing this Note are jointly and severally liable. B. Borrower waives all suretyship defenses. C. Borrower must sign all documents necessary at any time to comply with the Loan Documents and to enable Lender to acquire, perfect, or maintain Lender's liens on Collateral. D. Lender may exercise any of its rights separately or together, as many times and in any order it chooses. Lender may delay or forgo enforcing any of its rights without giving up any of them. E. Borrower may not use an oral statement of Lender or SBA to contradict or alter the written terms of this Note. F. If any part of this Note is unenforceable, all other parts remain in effect. G. To the extent allowed by law, Borrower waives all demands and notices in connection with this Note, including presentment, demand, protest, and notice of dishonor. Borrower also waives any defenses based upon any claim that Lender did not obtain any guarantee; did not obtain, perfect, or maintain a lien upon Collateral; impaired Collateral; or did not obtain the fair market value of Collateral at a sale. SBA Form 147 (06103/02) Version 4.1 Pays 416 Bankers Systems, Inc., St. Cloud, MN 10. STATE-SPECIFIC PROVISIONS: Borrower hereby Irrevocably authorizes and empowers any attorney or the attorney or the prothonotary or clerk of any court in the Commonwealth of Pennsylvania, or elsewhere, to appear at any time for Borrower after a default under this Note, and with or without complaint filed, as of any term, confess or enter judgment against borrower for the entire principal balance of this Note, all accrued interest, late charges, and any and all amounts expended or advanced by Lender relating to any collateral securing this Note together with interest on such amounts, together with costs of suit, and an attorney's commission of ten percent (10%) of the unpaid principal balance and accrued Interest for collection, but in any event not less than five hundred dollars ($500) on which judgement or judgements one or more executions may issue immediately; and for so doing, this Note or a copy of this Note verified by affidavit shall be sufficient warrant. The authority granted in this Note to confess judgement against Borrower shall not be exhausted by any exercise of that authority, but shall continue from time to time and at all times until payment in full of all amounts due under this Note. Borrower hereby waives any right Borrower may have to notice or to a hearing In connection with any such confession of judgment, except any notice and/or hearing required under applicable law with respect to execution of the judgment, and states that either a representative of Lender specifically called this confession of judgment provision to Borrower's attention or Borrower has been represented by independent legal counsel. The lien arising from any judgment confessed or entered pursuant to the foregoing authority shall not extend to any of Borrower's residential real property as that term is defined in the Pennsylvania Act of January 30, 1974 (PA Laws 13, No. 6), referred tows the loan interest and protection law, as amended, and the holder of any judgment confessed or entered pursuant to the foregoing authority shall not, in enforcement of any such judgment execute, levy or otherwise proceed against any such residential real property; provided, however, that the lien of such judgment shall extend to such residential real property and that the holder thereof shall be permitted to execute, levy, or proceed against such residential real property from and after the entry of a judgment as contemplated by Section 407 of such loan interest and protection law and Rules 2981 to 2986 of the Pennsylvania Rules of Civil Procedure, or successor or similar statutes and rules. No limitation of lien or any execution, levy or other enforcement contained in the immediately preceding sentence shall apply with respect to any judgment obtained other than by the foregoing authority to confess or enter judgment. SBA Form 147 (06/03/02) Version 4.1 Page 5/6 Bankers Systems, Inc., St. Cloud, MN 11. BORROWER'S NAME(S) AND SIGNATURE(S): By signing below, each individual or entity becomes obligated under this Note as Borrower. Aircraft Management Services, Inc. November 26, 2003 J. Hartle, President SBA Form 147 (06/03/02) Version 4.1 Page 6/e Bankers Systems, Inc., St. Cloud, MN EXHIBIT 2 Modification Agreement Loan #69506940-04 DATE AND PARTIES: The date of this Debt Modification Agreement (Modification) is November 17, 2006. The parties and their addresses are: LENDER: Commerce Bank/Harrisburg N.A. 3801 Paxton Street Harrisburg, PA 17111 .BORROWER(S): Aircraft Management Services, Inc. 228 Airport Road New Cumberland, PA 17070 BACKGROUND. The Borrower and Lender have entered into a Prior Obligation which is evidenced by a Promissory Note, dated November 26, 2003, with a maximum principal amount f $50,000, a mature date of November 26, 2008 and an interest rate of Wall Street Journal rime +-2.66' 6. R?of the date of this Modification, the current outstanding on the Prior 4 77 Z4L Obligation is $49,063.67 principal. MODIFICATION. For value received, you and I agree to modify the Prior Obligation as follows: Loan amount will be increased to $150,000. New maturity date to be 11/26/2010. CONTINUATION OF TERMS. Except as specifically amended in this Modification, all terms of the Prior Obligation remain in effect. SIGNATURES. By signing below, I agree to the terms contained in this Modification. I also acknowledge receipt of a copy of this Modification. Comme a Bank: en E. Ramm ommercial Loan Officer BORROWER(S): ra. Hartle President EXHIBIT 3 X17 NOTE MODIFICATION AGREEMENT THIS NOTE MODIFICATION AGREEMENT, made and entered into as of this 4th day of February 1, 2011, by and between Metro Bank (hereinafter called "lender"), having its principal place of business at 3801 Paxton Street, Harrisburg Pennsylvania 17111, and Aircraft Management Services, Inc. (hereinafter called "Borrower"). WITNESSETH: WHEREAS, Borrower executed and delivered to Lender a Note (the "Note"), as amended, dated November 26, 2003, in the original amount of $50,000.00, which evidences a loan (#6950694004) by the Lender to the Borrower; and WHEREAS, the Lender and Borrower mutually agree to modify the terms of the Note to extend the maturity date, as hereinafter provided. NOW THEREFORE, for value received and in consideration of the mutual covenants and agreements hereinafter contained and intending to be legally bound hereby, Lender and Borrower covenant and agree to amend and modify the Note heretofore described as follows: 1. The maturity date for the above-referenced loan shall be extended from November 26, 2010 to March 1. 2011. This Note Modification Agreement is deemed to have been effective as of November 26, 2010. 2. A Loan Call Option is added as set forth below. This is a revolving line of credit. Borrower will pay this loan in one payment of all outstanding principal plus accrued unpaid interest on the Maturity Date of November 26, 2010 which is seven (7) years from the date of the Note unless extended in writing by Lender in its sole and absolute discretion. In addition, Borrower will pay regular monthly payments of accrued unpaid interest beginning December 1, 2010, with all subsequent interest payments to be due on the same day of each month after that. If at any time during the term of the Line of Credit loan, Lender terminates the revolving portion of this Line of Credit and terms out the outstanding principal balance over the remaining term of the loan (the "Term Loan"), Borrower will then repay the loan in equal monthly installments of principal and interest (the "Payment Amount") calculated on the outstanding principal balance of the loan. Lender may adjust the Payment Amount at least annually as needed to amortize the principal over the remaining term of the Note. The first installment payment shall be due on the 1st day of the month following the term out the outstanding principal balance of the loan and all subsequent payments will be due on the same day of each month after that. Borrower's final payment will be due on the Maturity Date and will be for all principal, accrued interest, and all other applicable fees and expenses, if any, not yet paid Except to the extent specifically set forth herein, all of the terms, conditions, covenants and agreements contained in the Note shall remain in full force and effect. Borrower hereby ratifies and affirms each and every term and condition, obligation, and covenant of Borrower under the Note in every respect and shall pay and discharge the indebtedness evidenced by the Note in accordance with its terms as modified herein. This Modification shall not altar, diminish, or otherwise affect the lien of the Mortgage or the collateral therein described. Reference to Lender: This Note Modification Agreement is being made by Metro Bank formerly known as Commerce Bank/Harrisburg, N.A. Loan Call Option: The Lender shall have the option to declare the entire outstanding principal balance, together with all outstanding interest, due and payable in full on each one (1) year anniversary following the closing of the Loan NOTE MODIFICATION AGREEMENT (cont'd) rreinafter referred to as "Loan Call Date"). Written notice of the exercise of such option shall be provided to the grower within a one hundred eighty (180) day period beginning ninety (90) days prior to each Loan Call Date. All itstanding principal and accrued interest shall be due and payable in full ninety (90) days from the date of notification if said option being exercised. Confession of Judgment: BORROWER AGREES THAT THE CONFESSION OF JUDGMENT CLAUSE CONTAINED IN THE NOTE DATED NOVEMBER 26, 2003, REMAINS IN FULL FORCE AND EFFECT AND LENDER'S RIGHTS THEREUNDER CONTINUE WITH THE SIGNING OF THIS NOTE MODIFICATION AGREEMENT. THE EXPLANATION OF RIGHTS- CONFESSION OF JUDGMENT DATED NOVEMBER 26, 2003 REMAINS IN FULL FORCE AND EFFECT AND IS DEEMED TO BE REAFFIRMED WITH THE SIGNING OF THIS NOTE MODIFICATION AGREEMENT. BOTH THE NOTE AND THE EXPLANATION OF RIGHTS-CONFESSION OF JUDGMENT ARE ATTACHED HERETO AS EXHIBIT A. IN WITNESS WHEREOF, the parties hereto have executed this Agreement the day and year first above written. Metro Bank ?, r1 BY: 1o than B ser, Commercial Loan Officer Witness: Borrower: AIRCRAFT MANAGEMENT SERVICES, INC. BY: Micha . , President o ft Management Se cgs, Inc. EXHIBIT 4 US Sw*H RtWrw er MMInidsat on U.S. Small Business Administration UNCONDITIONAL GUARANTEE SBA Loan # EXP 695-069-4004 SBA Loan Name Aircraft Management Services, Inc. Guarantor Michael J. Hartle A'lynn R. Hartle Borrower Aircraft Management Services, Inc. Lender Commerce Bank/Harrisburg, N.A. Date November 26, 2003 Note Amount 50,000.00 1. GUARANTEE: Guarantor unconditionally guarantees payment to Lender of all amounts owing under the Note. This Guarantee remains in effect until the Note is paid in full. Guarantor must pay all amounts due under the Note when Lender makes written demand upon Guarantor. Lender is not required to seek payment from any other source before demanding payment from Guarantor. 2. NOTE: The "Note" is the promissory note dated November 26, 2003 in the principal amount of Fifty thousand and ----------------------------------------------------------- 00/100 Dollars, from Borrower to Lender. It includes any assumption, renewal, substitution, or replacement of the Note, and multiple notes under a line of credit. 3. DEFINITIONS: "Collateral" means any property taken as security for payment of the Note or any guarantee of the Note. "Loan" means the loan evidenced by the Note. "Loan Documents" means the documents related to the Loan signed by Borrower, Guarantor or any other guarantor, or anyone who pledges Collateral. "SBA" means the Small Business Administration, an Agency of the United States of America. SBA Form 148 (10/98) Previous editions obsolete. Page 1/5 Bankers Systems, Inc., St. Cloud, MN i 4. LENDER'S GENERAL POWERS: Lender may take any of the following actions at any time, without notice, without Guarantor's consent, and without making demand upon Guarantor: A. Modify the terms of the Note or any other Loan Document except to increase the amounts due under the Note; B. Refrain from taking any action on the Note, the Collateral, or any guarantee; C. Release any Borrower or any guarantor of the Note; D. Compromise or settle with the Borrower or any guarantor of the Note; E. Substitute or release any of the Collateral, whether or not Lender receives anything in return; F. Foreclose upon or otherwise obtain, and dispose of, any Collateral at public or private sale, with or without advertisement; G. Bid or buy at any sale of Collateral by Lender or any other lienholder, at any price Lender chooses; and H. Exercise any rights it has, including those in the Note and other Loan Documents. These actions will not release or reduce the obligations of Guarantor or create any rights or claims against Lender. 5. FEDERAL LAW: When SBA is the holder, the Note and this Guarantee will be construed and enforced under federal law, including SBA regulations. Lender or SBA may use state or local procedures for filing papers, recording documents, giving notice, foreclosing liens, and other purposes. By using such procedures, SBA does not waive any federal immunity from state or local control, penalty, tax, or liability. As to this Guarantee, Guarantor may not claim or assert any local or state law against SBA to deny any obligation, defeat any claim of SBA, or preempt federal law. 6. RIGHTS, NOTICES, AND DEFENSES THAT GUARANTOR WAIVES: To the extent permitted by law, A. Guarantor waives all rights to: 1) Require presentment, protest, or demand upon Borrower; 2) Redeem any Collateral before or after Lender disposes of it; 3) Have any disposition of Collateral advertised; and 4) Require a valuation of Collateral before or after Lender disposes of it. B. Guarantor waives any notice of: I ) Any default under the Note; 2) Presentment, dishonor, protest, or demand; 3) Execution of the Note; 4) Any action or inaction on the Note or Collateral, such as disbursements, payment, nonpayment, acceleration, intent to accelerate, assignment, collection activity, and incurring enforcement expenses; 5) Any change in the financial condition or business operations of Borrower or any guarantor; 6) Any changes in the terms of the Note or other Loan Documents, except increases in the amounts due under the Note; and ' 7) The time or place of any sale or other disposition of Collateral. C. Guarantor waives defenses based upon any claim that: 1) Lender failed to obtain any guarantee; 2) Lender failed to obtain, perfect, or maintain a security interest in any property offered or taken as Collateral; 3) Lender or others improperly valued or inspected the Collateral; 4) The Collateral changed in value, or was neglected, lost, destroyed, or underinsured; SBA Form 148 (10198) Previous editions obsolete. Page 215 Bankers Systems, Inc., St. Cloud, MN 5) Lender impaired the Collateral; 6) Lender did not dispose of any of the Collateral; 7) Lender did not conduct a commercially reasonable sale; 8) Lender did not obtain the fair market value of the Collateral; 9) Lender did not make or perfect a claim upon the death or disability of Borrower or any guarantor of the . Note; 10) The financial condition of Borrower or any guarantor was overstated or has adversely changed; 11) Lender made errors or omissions in Loan Documents or administration of the Loan; 12) Lender did not seek payment from the Borrower, any other guarantors, or any Collateral before demanding payment from Guarantor: 13) Lender impaired Guarantor's suretyship rights; 14) Lender modified the Note terms, other than to increase amounts due under the Note. If Lender modifies the Note to increase the amounts due under the Note without Guarantor's consent, Guarantor will not be liable for the increased amounts and related interest and expenses, but remains liable for all other amounts; 15) Borrower has avoided liability on the Note; or 16) Lender has taken an action allowed under the Note, this Guarantee, or other Loan Documents. 7. DUTIES AS TO COLLATERAL: Guarantor will preserve the Collateral pledged by Guarantor to secure this Guarantee. Lender has no duty to preserve or dispose of any Collateral. 8. SUCCESSORS AND ASSIGNS: Under this Guarantee, Guarantor includes heirs and successors, and Lender includes its successors and assigns. 9. GENERAL PROVISIONS: A. ENFORCEMENT EXPENSES. Guarantor promises to pay all expenses Lender incurs to enforce this Guarantee, including, but not limited to, attorney's fees and costs. B. SBA NOT A CO-GUARANTOR. Guarantor's liability will continue even if SBA pays Lender. SBA is not a co-guarantor with Guarantor. Guarantor has no right of contribution from SBA. C. SUBROGATION RIGHTS. Guarantor has no subrogation rights as to the Note or the Collateral until the Note is paid in full. D. JOINT AND SEVERAL LIABILITY. All individuals and entities signing as Guarantor are jointly and severally liable. E. DOCUMENT SIGNING. Guarantor must sign all documents necessary at any time to comply with the Loan Documents and to enable Lender to acquire, perfect, or maintain Lender's liens on Collateral. F. FINANCIAL STATEMENTS. Guarantor must give Lender financial statements as Lender requires. G. LENDER'S RIGHTS CUMULATIVE, NOT WAIVED. Lender may exercise any of its rights separately or together, as many times as it chooses. Lender may delay or forgo enforcing any of its rights without losing or impairing any of them. H. ORAL STATEMENTS NOT BINDING. Guarantor may not use an oral statement to contradict or alter the written terms of the Note or this Guarantee, or to raise a defense to this Guarantee. 1. SEVERABILITY. If any part of this Guarantee is found to be unenforceable, all other parts will remain in effect. J. CONSIDERATION. The consideration for this Guarantee is the Loan or any accommodation by Lender as to the Loan. SBA Form 148 (10/98) Previous editions obsolete. Pape 3/5 Bankers Systems, Inc., St. Cloud, MN 10. STATE-SPECIFIC PROVISIONS: Guarantor hereby Irrevocably authorizes and empowers any attorney or the prothonotary or clerk of any court in the Commonwealth of Pennsylvania, or elsewhere, to appear at any time for Guarantor after a default hereunder, and with or without complaint filed, as of any term, confess or enter judgment against borrower for the entire principal balance due hereunder, all accrued Interest, late charges, and any and all amounts expended or advanced by Lender relating to any collateral securing this note together with Interest on such amounts, together with costs of suit, and an attorney's commission of ten percent (10%) of the unpaid principal balance and accrued interest for collection, but In any event not less than five hundred dollars ($500) on which judgment or judgments one or more executions may Issue Immediately; and for so doing, this Guarantee or a copy hereof verified by affidavit shall be sufficient warrant. The authority granted in this note to confess judgment against Guarantor shall not be exhausted by any exercise of that authority, but shall continue from time to time and at all times until payment In full of all amounts due under this note. Guarantor hereby waives any right Guarantor may have to notice or to a hearing In connection with any such confession of judgment, except any notice and/or hearing required under applicable law with respect to execution of the judgment, and states that either a representative of Lender specifically called this confession of judgment provision to Guarantor's attention or Guarantor has been represented by independent legal counsel. The lien arising from any judgment confessed or entered pursuant to the foregoing authority shall not extend to any of Guarantor's residential real property as that term is defined in the Pennsylvania Act of January 30, 1974 (PA Laws 13, No.6), referred to as the loan interest and protection law, as amended, and the holder of any judgment confessed or entered pursuant to the forgoing authority shall not, In enforcement of any such judgment, execute, levy or otherwise proceed against any such residential real property; provided, however, that the lien of such judgment shall extend to such residential real property and that the holder thereof shall be permitted to execute, levy, or proceed against such residential real property from and after the entry of a judgment as contemplated by Section 407 of such loan Interest and protection law and Rules 2981 to 2986 of the Pennsylvania Rules of Civil Procedure, or successor or similar statutes and rules. No limitation of lien or any execution, levy or other enforcement contained In the immediately preceding sentence shall apply with respect to any judgment obtained other than by the foregoing authority to confess or enter judgment. SBA Form 148 (10/98) Previous editions obsolete. Page 4/5 Bankers Systems, Inc., St. Cloud, MN 1 11. GUARANTOR ACKNOWLEDGMENT OF TERMS. Guarantor acknowledges that Guarantor has read and understands the significance of all terms of the Note and this Guarantee, including all waivers. 12. GUARANTOR NAME(S) AND SIGNATURE(S): By signing below, each individual or entity becomes obligated as Guarantor under this Guarantee. Michael J. Hartle and A'lynn R. Hartle, Guarantors November 26, 2003 November 26, 2003 SBA Form 148 (10/98) Previous editions obsolete. Page 5/5 Bankers Systems, Inc., St. Cloud, MN VERIFICATION I, -.,?n?°?;;"? , an authorized representative of Metro Bank am duly authorized to make this Verification on behalf of Metro Bank, and do hereby verify that the statements made in the foregoing Complaint are true and correct to the best of my knowledge, information and belief. I further understand that the statements therein made are subject to the penalties of 18 Pa. C.S. Section 4904, relating to unsworn falsification to authorities. 0 hn . Robertson, Vice President SHERIFF'S OFFICE OF CUMBERLAND COUNTY Ronny R Anderson Sheriff Jody S Smith Chief Deputy Richard W Stewart Solicitor 06%1111' Of 41111111,1`/1.1141 -RIFF _ ? ILEiI't?Ft= RCc i HF PR0ThON07Ar w 2011 NOY 16 AM 9: 23 CUMBERLAND COUNT`/ PENNSYLVANIA Metro Bank vs. Michael J. Hartle (et al.) Case Number 2011-8221 SHERIFF'S RETURN OF SERVICE 11/02/2011 07:29 PM - Shawn Harrison, Deputy Sheriff, who being duly sworn according to law, states that on November 2, 211 at 1929 hours, he served a true copy of the within Complaint a Notice, upon the within named defendant, to wit: Michael J. Hartle, by making known unto A'Lynn ale, Wife of Defendant at 295 Tanger Road, Boiling Springs, Cumberland County, Pennsylvani 7007 its ntents and at the same time handing to her personally the said true and correct copy of t S DEPUTY 11/02/2011 07:29 PM - Shawn Harrison, Deputy Sheriff, who being duly sworn according to law, states that on November 2, 2011 at 1929 hours, he served a true copy of the within Complaint Notice, upon the within named defendant, to 'wit: A'Lynn Hartle, by making known unto herself pe on Ily, at 295 Tanger Road, Boiling Springs, Cumberland County, Pennsylvania 17007 its contents a rd at he same time handing to her personally the said true and correct copy of the same. t l v ,DEPUTY SHERIFF COST: $50.00 November 04, 2011 SO ANSWERS, RON R ANDERSON, SHERIFF r cuni} ntr ^_}1E?n'i Te..??soi't. Inc. V WEBER GALLAGHER SIMPSON STAPLETON FIRES & NEWBY, LLP By: Peter E. Meltzer Identification No.: 39828 By: James H. Curry III Identification No.: 306954 Fulton Bank Building 200 North 'Third Street, Suite 9A Harrisburg, PA 17101 (717) 237-6940 METRO BANK f/k/a COMMERCE BANK/ HARRISBURG, N.A. 3801 Paxton Street Harrisburg, PA 17111 V. MICHAEL, J. HARTLE 295 Tanger Road Boiling Springs, PA 17007 A'LYNN R. HARTLE 295 Tanger Road Boiling Springs, PA 17007 To the Prothonotary: Attorneys for Plaintiff COURT OF COMMON PLEAS CUMBERLAND COUNTY NO. 11-8221-Civil Praecipe for Judgment Enter judgment in the sum of $177,277.96 in favor of the Plaintiff, Metro Bank f/k/a Commerce Bank, and against Defendants, Michael J. Hartle and A'Lynn R. Hartle, because of Defendants' failure to file an answer within twenty (20) days of service of the Complaint, and assess damages as follows: Amount claimed in Complaint: Per diem interest from 09/07/11 to 01/19/12 at the rate of $24.13 per day Per diem interest from and after 01/20/12 at the rate of '324.13 per day REAL DEBT $174,044.54 $3,233.42 re 4 • S1? ?? ,J V,hee- lpal?e::V $177,277.96 i ASSESSMENT OF DAMAGES /7 7 d AND NOW, this day of 2012, damages are assessed as above. A6 r ono ary WEBER GALLAGHER SIMPSON STAPLETON FIRES & NEWBY, LLP By: Peter E. Meltzer Identification. No.: 39828 By: James H. Curry III Identification. No.: 306954 Fulton Bank :Building 200 North Third Street, Suite 9A Harrisburg, PA 17101 (717) 237-6940 U-- 1'y ? M ??. ?i , y w, fA 1 PLl+i?iJ Attorneys for Plaintiff METRO BANK f/k/a COMMERCE BANK/ COURT OF COMMON PLEAS HARRISBURG, N.A. CUMBERLAND COUNTY 3801 Paxton Street Harrisburg. PA 17111 NO, 11-8221-Civil v. MICHAEL J. HARTLE 295 Tanger Road Boiling Springs, PA 17007 A'LYNN R. HARTLE 295 Tanger Road Boiling Springs, PA 17007 CERTIFICATION OF AS TO COMPLIANCE WITH PA. R. CIV. P. 237.1 I hereby certify that I am the attorney for the plaintiff in this action and further certify that on December 19, 2011, I caused the 10-day notices required by Pa. R. Civ. P. 237.1 to be sent to Defendants, Michael J. Hartle and A'Lynn R. Hartle, after said Defendants' failure to plead to the Complaint and I hereby further certify that said Defendants failed to answer the Complaint. Copies of the 10-day Notices are attached hereto as Exhibit "A" and Exhibit "B". DATED: J anuary 20, 2012 EXHIBIT A WEBER GALLAGHER SIMPSON STAPLETON FIRES & NEWBY, LLP By: Peter E. Meltzer Identification No.: 39828 By: James H. Curry III Identification No.: 306954 Fulton Bank Building 200 North Third Street, Suite 9A Harrisburg, PA 17101 (717) 237-6940 METRO BANK Vk/a COMMERCE BANK/ HARRISBURG, N.A., Plaintiff V. MICHAEL J. HARTLE 295 Tanger Road Boiling Springs, PA 17007 A'LYNN R. HARTLE 295 Tanger Road Boiling Springs, PA 17007 To: MICHAEL J. HARTLE Attorneys for Plaintiff COURT OF COMMON PLEAS CUMBERLAND COUNTY NO: 11-8221 - CIVIL IMPORTANT NOTICE )'OU ARE IN DEFAULT BECAUSE YOU HAVE FAILED TO ENTER A WRITTEN APPEARANCE PERSONALLY OR BY ATTORNEY AND FILE IN WRITING WITH THE COURT YOUR DEFENSES OR OBJECTIONS TO THE CLAIMS SET FORTH AGAINST YOU. UNLESS YOU ACT WITHIN TEN (10) DAYS FROM THE DATE OF THIS NOTICE, A JUDGMENT MAY BE ENTERED AGAINST YOU WITHOUT A HEARING AND YOU MAY LOSE YOUR PROPERTY OR OTHER IMPORTANT RIGHTS. YOU SHOULD TAKE THIS PAPER TO YOUR LAWYER AT ONCE. IF YOU DO NOT HAVE A LAWYER, GO TO OR TELEPHONE THE OFFICE SET FORTH BELOW. THIS OFFICE CAN PROVIDE YOU WITH INFORMATION ABOUT HIRING A LAWYER. IF YOU CANNOT AFFORD TO HIRE A LAWYER, THIS OFFICE MAY BE ABLE TO PROVIDE YOU WITH INFORMATION ABOUT AGENCIES THAT MAY OFFER LEGAL SERVICES TO ELIGIBLE PERSONS AT A REDUCED FEE OR NO FEE. Cumberland County Bar Association 32 South Bedford Street Carlisle, PA 17013 (800) 990-9108 WEBER GALLAGHER SIMPSON STAPLETON FIRES & NEWBY, LLP Dated: December 19, 2011 Plaintiff ESQUIRE This is an attempt by a debt collector to collect a debt. Any information obtained will be used for that purpose EXHIBIT B WEBER GALLAGHER SIMPSON STAPLETON FIRES & NEWBY, LLP By: Peter E. Meltzer Identification No.: 39828 By: James H. Curry III Identification No.: 306954 Fulton Bank Building 200 North Third Street, Suite 9A Harrisburg, ]PA 17101 (717) 237-6940 METRO BANK f/k/a COMMERCE BANK/ HARRISBURG, N.A., Plaintiff N. MICHAEL J. HARTLE 295 Tanger Road Boiling Springs, PA 17007 A'LYNN R. HARTLE 295 Tanger Road Boiling Springs, PA 17007 To: A'LYNN HARTLE Attorneys for Plaintiff COURT OF COMMON PLEAS CUMBERLAND COUNTY NO: 11-8221 -CIVIL IMPORTANT NOTICE YOU ARE IN DEFAULT BECAUSE YOU HAVE FAILED TO ENTER A WRITTEN APPEARANCE PERSONALLY OR BY ATTORNEY AND FILE IN WRITING WITH THE COURT YOUR DEFENSES OR OBJECTIONS TO THE CLAIMS SET FORTH AGAINST YOU. UNLESS YOU ACT WITHIN TEN (10) DAYS FROM THE DATE OF THIS NOTICE, A JUDGMENT MAY BE ENTERED AGAINST YOU WITHOUT A HEARING AND YOU MAY LOSE YOUR PROPERTY OR OTHER IMPORTANT RIGHTS. YOU SHOULD TAKE THIS PAPER TO YOUR LAWYER AT ONCE. IF YOU DO NOT HAVE A LAWYER, GO TO OR TELEPHONE THE OFFICE SETFORTH BELOW. THIS OFFICE CAN PROVIDE YOU WITH INFORMATION ABOUT HIRING A LAWYER. IF YOU CANNOT AFFORD TO HIRE A LAWYER, THIS OFFICE MAY BE ABLE TO PROVIDE YOU WITH INFORMATION ABOUT AGENCIES THAT MAY OFFER LEGAL SERVICES TO ELIGIBLE PERSONS AT A REDUCED FEE OR NO FEE. Cumberland County Bar Association 32 South Bedford Street Carlisle, PA 17013 (800) 990-9108 WEBER GALLAGHER SIMPSON STAPLETON FIRES & NEWBY, LLP Dated: December 19, 2011 This is an attempt by a debt collector to collect a debt. Any information obtained will be used for that purpose WEBER GALLAGHER SIMPSON STAPLETON FIRES & NEWBY, LLP By: Peter E. Meltzer Identification No.: 39828 By: James H. Curry III Identification No.: 306954 Fulton Bank Building 200 North Third Street, Suite 9A Harrisburg, PA 17101 (717) 237-6940 METRO BANK f/k/a COMMERCE BANK/ HARRISBURG, N.A. 3801 Paxton Street Harrisburg, PA 17111 V. MICHAEL J. HARTLE 295 Tanger Road Boiling Springs, PA 17007 A' LYNN R. HARTLE 295 Tanger Road Boiling Springs, PA 17007 Attorneys for Plaintiff COURT OF COMMON PLEAS CUMBERLAND COUNTY NO. 11-8221-Civil CERTIFICATE OF ADDRESS AND NON-MILITARY SERVICE The undersigned hereby certifies that, upon information and belief: Defendant, Michael J. Hartle, has an address at 295 Tanger Road, Boiling Springs, PA, 17007. Defendant, A'Lynn R. Hartle, has an address at 295 Tanger Road, Boiling Springs, PA, 17007. Deponent further avers that, upon information and belief, the above Defendants are not within the protection of the Service Members Civil Relief Act. WEBER GALLAGHER SIMPSON STAPLETON FIRES & NEWBY, LLP By: Peter E. Meltzer Identification No.: 39828 By: James H. Curry III Identification No.: 306954 Fulton Bank Building 200 North Third Street, Suite 9A Harrisburg, PA 17101 (717) 237-6940 METRO BANK f/k/a COMMERCE BANK/ HARRISBURG, N.A. 3801 Paxton Street Harrisburg, PA 17111 V. MICHAEL J. HARTLE 295 Tanger Road Boiling Springs, PA 17007 A' LYNN R.:HARTLE 295 Tanger Road Boiling Springs, PA 17007 Attorneys for Plaintiff COURT OF COMMON PLEAS CUMBERLAND COUNTY NO. 11-8221-Civil Michael J. Hartle 295 Tanger Road Boiling Springs, PA 17007 NOTICE PURSUANT TO RULE 236 OF THE PENNSYLVANIA RULES OF CIVIL PROCEDURE, NOTICE IS GIVEN THAT A JUDGMENT BY DEFAULT IN THE ABOVE- CAPTIONED MATTER HAS BEEN ENTERED AGAINST YOU. PROTHO ARY //?, 311 Z If you have any questions concerning the above, please contact: James H. Curry, III, Esquire Weber Gallagher Simpson Stapleton Fires & Newby, LLP 200 North Third St., Ste. 9A Harrisburg, PA 17101 (717) 237-6940 WEBER GALLAGHER SIMPSON STAPLETON FIRES & NEWBY, LLP By: Peter E. Meltzer Identification No.: 39828 By: James H. Curry III Identification No.: 306954 Fulton Bank Building 200 North Third Street, Suite 9A Harrisburg, PA 17101 (717) 237-6940 METRO BANK f/k/a COMMERCE BANK/ HARRISBURG, N.A. 3801 Paxton Street Harrisburg, PA 17111 V. MICHAEL J, HARTLE 295 Tanger Road Boiling Springs, PA 17007 A' LYNN R.:HARTLE 295 Tanger Road Boiling Springs, PA 17007 A'Lynn R. Hartle 295 Tanger Road Boiling Springs, PA 17007 NOTICE Attorneys for Plaintiff COURT OF COMMON PLEAS CUMBERLAND COUNTY NO. 11-8221-Civil PURSUANT TO RULE 236 OF THE PENNSYLVANIA RULES OF CIVIL PROCEDURE, NOTICE IS GIVEN THAT A JUDGMENT BY DEFAULT IN THE ABOVE- CAPTIONED MATTER HAS BEEN ENTERED AGAINST YOU. PROTHONOTARY 112,311t If you have any questions concerning the above, please contact: James H. Curry, III, Esquire Weber Gallagher Simpson Stapleton Fires & Newby, LLP 200 North Third St., Ste. 9A Harrisburg, PA 17101 (717) 237-6940