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HomeMy WebLinkAbout04-4824 THIS IS AN ARBITRATION CASE ~iMENTOFDAMAGES HEARING IS NOT REQUIRED JAMES W. ADELMAN, ESQUIRE Mail@morrisadelman.com IDENTIFICATION #02604 MORRIS & ADELMAN, P.C. PO BOX 30477 Ph'ladelphia, Pennsylv~niQ (215) 568-5621 ATTORNEY FOR PLAINTIFF Essex Crane Rental Corporation 1~103-84T7 Essex Crane Rental Corporation 1110 Lake Grove Road Buffalo Grove IL 60089 vs. COURT OF COMMON PLEAS CUMBERLAND COUNTY CIVIL DIVISION 'Hearn & Co. 9 Brenneman Circle Mechanicsburg PA 17050 NO. 0 '-{. 1./ Y A 'i G..-J. T Lv-, COMPLAINT CIVIL ACTION NOTICE TO DEFEND You have been sued in court. If you wish to d,efend 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 filim, 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, GO TO OR T,E:LEPHONE 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. LAWYER REFERENCE SERVICE: cumberland County Bar Association 2 Liberty Av Carlisle PA 17013 717/249-3166 JWA0917.4 1. Plaintiff is Essex Crane Rental Corporation. is Hearn & Co. Defendant 2. Defendant entered into and executed a written equipment lease agreement with Plaintiff under the terms of which it was agreed that Plaintiff would lease to Defendant specified equipment in consideration of which Defendant was to pay rent. A true and correct copy of the leasn~s attached hEreto, incor~orated herein as if set forth, made part hereof and marked Exhibit "A". 3. Defendant accepted the equipment and incorporated same into -i ts business. 4. The lease provides that the equipment remains the personal property of the Plaintiff, reserves title to and a security interest under the Uniform Commercial Code in the equipment to the Plaintiff. 5. Plaintiff has performed the obligations imposed upon it by the terms of the said lease, and the Defendant accepted delivery of the equipment in good condition. JWA0917.4 6. The lease provides that upon the Defendant's return of the equipment, it is to return same in ~good condition, less reasonable wear and tear" and upon its failure to so return it 'agreed to be responsible for all repairs to the equipment to make it usable and rentalable in the ordinary course of Plaintiff's business. Plaintiff's remedies are cumulative and may be exercised concurrently or separately. 7. Despite repeated demands, Defendant failed to return the equipment in good condition, requiring it to be repaired for which Defendant has failed and refused to pay the cost of repair balance TIue as per the rental agreement, although having maintained possession of the equipment aforesaid and having obligated itself to payment of any and all repairs. 8. Due to Defendant's failure to make payment when due, Plaintiff went forward and had the equipment repaired in accordance with the terms of the lease attached hereto as Exhibit "A". 9. As a result of the foregoing, there is due and owing from Defendant to Plaintiff the sum of $13,752.59, which includes all costs of collection and attorney's fees of $3,565.48 in accordance with the lease. ~~A0917.4 COUNT II (Common Counts - Quasi Contract) 10. Paragraphs 1 through 9 are incorporated by reference. 11. On or before November 1, 2002, Plaintiff rented equipment to Defendant at the times, of the kinds, in the quantities, and for the prices set forth in Plaintiff's books of original entry, true and correct c:)pics o.f ..,hich are :cr c"m ac; Exhibit "A." 12. Defendant received and accepted the rented equipment shown on Exhibit "A," and benefitted thereby. 13. The equipment repair has a reasonable value of $13,752.59. 14. Defendant received the benefit of the use of the equipment from Plaintiff, and would be unconscionable for Defendant to receive those benefits without making restitution to Plaintiff. 15. It can be inferred from the acts in the light of the surrounding circumstances that Defendant implied that it would pay Plaintiff for the repair of the rented equipment. J"V'JA0917.4 16. Under the circumstances of the cas,,,, the ordinary course of dealing and the common understanding of men, there is shown a mutual intention by Plaintiff to rent and Defendant to pay for the .rental of the equipment and any repairs thereto. 17. Under the circumstances, the equipment was delivered to Defendant under an implied promise to pay the rentals and repairs. 18. All conditions precedent to the present action have occurred or been performed. 19. Defendant is liable to the Plaintiff in the sum of .$13,752.59 under the theory of quantum valebant, quantum meruit, quasi contract, implied contract, goods had and received, and/or unjust enrichment. WHEREFORE, Plaintiff claims there is now justly due and owing by Defendant the sum of $13,752.59 6% from November 1, 2002 and costs. , ESQUIRE Attorneys For Plaintiff Post Office Box 30477 Philadelphia, PA 19103-8477 (215) 568-5621 >MA09i?4 09/13/2004 08:07 55 JAMES W ADELMAN PAGE 03/03 YERIFICATION ~ Eo (YlUtfO,J , states that he/she is ~ep(f rflMftG,EP..- of ~<;a: tl~E- 'REN71l1- ~ and that the facts set forth in the foregoing ICbrt/pL/T/N( are /rue and correct to the best of his! her knowledge, infonnation and belief, and that this statement is made subject to the penalties of 18 Pa C.S.A. 4904 relating to UI).Swom falsification to authorities. ~~~ Dated: 9-/lf--ot I I Lease # LS/001419 ESSEX CRANE RENTAL CORP. EQUIPMENT RENTAL AGRI:EMENT This Agreement is made this 30" day of March 2002 by and between ESSEX CRANE RENTAL CORP. 1110 Lake Cook Road Suite 220, Buffalo Grove, IL 60089 party of the first part, hereinafter called Lessor, and Hearn & Company 9 Brenneman, Mechaniscburg, PA 17055 Dave Kieffer party of the second part, hereinafter called Lessee. WITNESSETH: That in consideration of payment hereinafter provided, Lessor and Lec.see'agree as follows: 1. EQUiPMENT LEASED: Lessee hereby leases from Lessor for use at or near Hearn & Company Canaan FBOP RR2 Box 2020 Waymart, PA 18472 hereinafter called "jobsite," all Equipment herein named and identified, which throughout this Agreement is designated in whole or in part as "Equipment". Each article of Equipment shall remain in possession of Lessee and neither this Agreement nor any part thereof shall be assigned. Nor shall Lessee offer the Equipment rented hereunder to be used or possessed by any other person, finn or legal entity without the prior written consent of Lessor. Nor shall said Equipment be used in the perfonnance of any work by Lessee other than that specified herein without Lessor's prior written consent. Lessee further agrees not to remove any EqUipment COvered by this A\Jreement out of the county, state, and jobsite specified above without the prior written consent of Lessor. Vie THE. EQUiPMENT: (1) Manitowoc, 777-11, 175 Ton, 1998, LC LC-M-7771 023 VALUE: $1,000,000.00 2. SPECIAL CONDITIONS: The lessor will supply a serviceman, upon request, to assist in the assembly and/or disassembly of the equipment at a rate of $75.00 per hour, per eight (8) hour work day. Overtime charges will apply. 3. RENTAL RATE: The bare monthly rental rate is: $14,500.00 4. MINIMAL RENTAL PERIOD: One Month (30 Days) o.K: 5. THE RENTAL PERIOD: Begins as a bill of lading approximately 4/'1/02 and ends when lessee has completed usage plus 3 workdays for loading out on carrier of Lessor's choice provided paragraph 4 is complied with. Prior to the end of the Rental Period. Lessee is required to give written notice to Lessor at the above address by fax or mail of its intention to terminate the instant Lease at least twenty (20) days prior to tennination date, Such written notice shall not relieve Lessee of its obligation under Article 4 hereof. 6. TRANSPORTATION: TRANSPOhfATION IN AT AN AGREED PRICE OF $OO.lJu AND LOADING OUT ON CARRIER OF LESSOR'S CHOICE TO BE BORNE BY LESSEE. TRANSPORTATION OUT AT AN AGREED PRICE OF $6,375.00 TO BE BORNE BY LESSEE. FREIGHT IN MUST BE REMITTED WITH SIGNED CONTRACT. Transportation: Lessee will arrange for and pay all shipping and freight from the shipping point to the jobsite specified in Article 1 hereof and returned to the return point, including but not Ilimited to, demurrage, unloading, assembly, disassembly, load-out, handling, packing, crating, documentation, import and export clearances and transportation. Since the out-bound method of shipment may differ from in-bound, required load-out procedures may vary accordingly. If shipped via barge or vessel, or if the Equipment is loaded for use on board a barge or vessel, Lessee shall furnish to Less.or, prior to shipment of the Equipment, Certificate of Marine Trip Carllo and loading and unloading insurance to the stated value of Equipment specified in Article 1 hereof. Lessee shall inspect and inventory Equipment and obtain from delivery carrier written acknowledgement of any loss or damage to Equipmont. 7. PAYMENT: Lessee shall pay rent for the Equipment at the rate specified in Article 3 hereof and payment shall be made monthly in advance at the office of ESSEX CRANE RENTAL CORP. a) Monthly rental rate shall not be subject to any deductions on account of any nonworking time in the month or back charges for repairs or maintenance of any nature. b) After the Rental Period specified rent will be payable at the rate of 1/30'h of the monthly rate for each calendar day. c) If the payment is not received within thirty (30) days from the ,:late of the invoice, then a finance charge of 1 %%.per mon!h (18% per:mnum), or Ill" maximum allowed by law will be charged. and all payments will be first applied against repairs and transportation items. 8. CONDITION OF EQUIPMENT AND WARRANTY: Lessor hereby agrees that Equipment is shipped to Lessee in good serviceable condition, Lessee shall examine Equipment promptly upon delivery and notify Lessor in writing within twenty- four (24) hours of any evidence that Equipment is not in such condition. Lessor shall then have a reasonable time to replace or repair Equipment during normal working hours. Should Lessor be unable for any reason (other than as a result of any act or omission of Lessee, or any event beyond the control of Lessor) to repair or replace the Equipment within such time, Lessee may terminate this Agreement [only upon written notice to Lessor at least twenty (20) days prior to termination date]. THE FOREGOING IS THE EXCLUSIVE AND ENTIRE WARRANTY GIVEN IN CONNECTION WITH THE, EQUIPMENT, AND SUCH WARRANTY AND/OR THE REMEDIES STATED IN CONNECTION THEREWITH ARE GIVEN IN LIEU OF (a) ALL WARRANTIES EXPRESS, IMPLIED OR STATUTORY, INCLUDING, BUT NOT LIMITED TO THE IMPLIED WARRANTY OF MERCHANTABILITY AND THE IMPLIED WARRANTY OF FITNESS FOR A PAR.TICULAR PURPOSE; AND (b) ALL OBLIGATIONS OR LIABILITIES ON THE PART OF LESSOR FOR DAMAGES, INCLUDING, BUT NOT LIMITED TO, INDIRECT, INCIDENTAL, CONSEQUENTIAL OR SPECIAL DAMAGES (INCLUDING WITHOUT LIMITATION CLAIMS OF LOSS OF USE, BUSINESS INTERRUPTION OR COST OF ACQUISITION OF REPLACEMENT EQUIPMENT), ARISING OUT OF, OR IN CONNECTION WITH, THE RENTING, MAINTENANCE, USE, OPERATION, STORAGE, ERECTION,DISMANTLlNG OR TRANSPORTATION OF THE EQUIPMENT. LESSOR SHALL IN NO EVENT HAVE OBLIGATIONS OFt LIABILITIES FOR INDIRECT, SPECIAL OR CONSEQUENTIAL DAMAGES EVEN IF LESSOR HAS BEEN ADVISED OF THE POSSIBILITY OF SUCH DAMAGES. LESSEE AGREES THAT LESSOR WILL NOT BE LIABLE FOR ANY LOST PROFITS BY LESSEE OR ANY OTHER PARTY. 9. USE OF EQUIPMENT: (a) The Rental Rate stipulated above is based on single shift operation of eight (8) hours per day, forty (40) hours per week, and one hundred seventy-six (176) hours per month. (b) Use of Equipment during storage will not be permitted unless authorized in writing by Lessor. (c) Equipment is to be used in accordance with the written specifications of the manufacturer. (d) The Equipment shall be used only as a hook crane, unless otherwise specifically provided in Article 2 hereof, and shall only be used within its rated capacity bas,ad on the manufacturer's capacity charts. See under Special Conditions. 10. MAINTENANCE AND OPERATION: The Lessee shall assure that the Equipment is not subject to careless or needlessly rough usage, and Lessee hereby agrees to employ competent, experienced persons to operate and maintain said Equipment and shall at its own expense maintain the Equipment in 'good operating condition, well greased, oiled, cleaned and repaired, and shall return it to Lessor in such condition. Lessee shall have the duty to inspect, test, and certify at its own cost, that the Equipment is in accordance with specifications and is fully operational and free from any and all damages and/or defects. Any damages and/or defects shall be reported to Lessor immediately. Failure to notify the Lessor immediately of any damages and/or defects shall be deemed an admission by the Lessee that the Equipment is fully operational and free from damages and/or defects. In the event the Equipment is rendered not serviceable through accidental and/or negligent damage by Lessee, the rental shall continue until the Equipment is restored to serviceable condition, and all costs for accomplishing the repairs shall be paid by Lessee. When Lessee and Lessor (both the parties) have prearranged for Lessor's service personnel to work on the Equipment, Lessee shall make the Equipment immediately available to Lessor's service personnel upon their arrival at thla location of the Equipment, and if the service personnel are required to wait more than two (2) hours by Lessee, than Lessee shall be responsible for payment to Lessor of standard hourly charges for the additional waiting time. Lessee shall be responsible to steam clean the Equipment after its use thereof is (;ompleted. Lessee shall pay special attentlun toward cleaning and protecting the Equipment when working the Equipment at a location where destructible chemical agents are present in the atmosphere. Lessee shall be responsible for this protection and to clean all corrosive agents from the Equipment, and restoring the condition of the metal and paint on the Equipment prior to returning the Equipment to Lessor. The fact that Lessor is aware of the type of project and that chemical agents are present in the atmosphere does not deem this type of destruction to be classified as normal wear and tear. 11. TAXES, DUTIES, TARIFFS: Unless otherwise provided herehl, Lessee agrees to pay personal property taxes imposed upon Equipment at the place or places at which Lessee agrees herein to keep Equipment. All other taxes, as well as assessments, duties, import tariffs, licenses and license fees, including but not limited to those regulating to Equipment, its use, operation, transportation or storage, or to the making or performance of this Agreement, shall be paid by Lessee. Lessee shall promptly provide Lessor with documentation, including but not limited to, tax receipts, evidencing that all items, which are the responsibility of Lessee hereunder, have been paid. The lessee shall promptly provide a Tax Exemption Certificate, where applicable. 12. COMPLIANCE WITH LAWS: Lessee agrees to comply with and conform to all laws and regulations of any government or public body having jurisdiction relating to the maintenance, use, inspection, operation, storage, erection, dismantling, servicing or transportation of Equipment. Lessee agrees to assume full responsibility, and indemnify and hold harmless Lessor for any and all losses, damages, expenses, fines, forfl~itures, seizures, confiscations, and penalties arising out of the violation of any such laws and regulations. In the event that any law or regulation shall require the installation of any additional Equipment or accessories, including but not limited to, safety devices, or if any modification to Equipment is required by law or regulation, Lessee agrees to pay the full CClSt thereof, includin.g installation .expenses, and !.he cost of restoring Eq"-lipment.to it'"' vriginal LlittfiguratiOH, irreq-uireif byCe,ssor: 13. LOSS OR DAMAGE: 13.1 All risk of loss or damage to Equipment, regardless of cause, including seizures and confiscations of Equipment, during the term of rental or while Equipment is in the possession, custody or control of Lessee or its officers, employees, affiliates or agents, or during transportation of thl~ Equipment, shall be with Lessee and Lessee agrees to return the Equipment to Lessor in the condition in which Lessee received it, free and clear of all liens and encumbrances. 13.2 In the event of loss or damage to Equipment, regardless of cause, rental payments will continue to accrue until the Equipment is repaired by the Lessee and accepted by Lessor, or in the event Equipment shall be adjudged by Lessor to be lost, stolen, destroyed or damaged beyond repair, payment in full shall be made to Lessor by Lessee for the stated value of Equipment. No rentals paid or due shall be applied to payment of the loss. 14. INSURANCE AND IDEMNIFICATION: 14.1 Lessee shall, at its own e:<pense, obtain and maintain during the Rental Period or while Equipment is in the possession, custody or control of Lessell, its officers, employees, affiliates or agents, a standard contractor's Equipment all risk, coverage with boom and overload (including on intemational rentals, war, political and similar risks) floater insurance policy satisfactory to Lessor to protect the interest of Lessor, naming Lessor as an additional insured to the total amount of stated value of Equipment as set forth in Article 1 hereof, and shall, prior to delivery of the Equipment, furnish Lessor with evidence of such insuranc:e, including an insurer's certificate that such policy is in effect. Such insurance policy shall not be altered or terminated without the prior written consent of Lessor. LESSEE'S INSURER EFFECTIVE DATES: POLICY NUMBER 14.2 To the fullest extent permitted by applicable law, the Lessee shall assume entire responsibility, liability, defend, indemnify and hold forever harmless Lessor for all damages (including purely economic loss), or injury of any nature (including death) to persons and property, including intangible property, as well as expenses, penalties, legal fees and costs, arising out of, or in any manner relating to, or occasioned by, the operation, maintenance, handling, inspection, storage, erection, dismantling or transportation of Equipment during the n~ntal term or while in possession, custody or control of Lessee, its officers, employees, affiliates or agents, regardless of whether the same were caused, in whole or in part, by negligence of Lessor. Lessor shall not be liable for any loss, delal' or damage of any kind or character resulting from defects, inefficiency or accidental breakage of the EqUipment hereby leased. Lessor shall not be liable for delays of carriers in transporting the Equipment or for delays resulting from strikes, labor disputes or refusal of its employees to cross picket lines, or from any other contingencies beyond its control. In jurisdictions in which the indemnification provided for in this Article is broader than that allowed by applicable law, this Article should be interpreted as providing the broadest indemnification permitted and should be limited only to the extent necessary to comply with said law. 14.3 Lessee shall include the interest of ESSEX CRANE RENTAL CORP., as an additional named insured under Lessee's General Liability, Excess Liability, and Automobile insurance poli,;ies with respect to the Equipment during the Rental Period and transportation of the Equipment with minimum liability limits of $2,000,000.00 per occurrence, and Lessee shall furnish Lessor with a certificate of insurance. Such liability coverage shall not be altered or terminated without the prior written consent of Lessor. LESSEE'S INSURER: EFFECTIVE DATES: POLICY NUMBER i;SS~~~~RP TItle ~u. Po IX Witness (01up _ ,,) State of ~d(u 1:.\J 1\ 0 15. TITLE: Title to the Equipment snail be at all times vested in Lessor unless lransferred by sale in writing signed by Lessor and Lessee. Lessee agrees to keep the Equipment free from all liens or other encumbrances. Lessee shall give Lessor immediate written notice if Equipment is levied upon, or from any cause becomes liable to seizure. Lessee agrees to protect Lessor's interest in the Equipment while it is in Lessee's care, possession, custody or control, and during transportation. 16. DEFAULT: 16.1 If Lessee violates any term of this Agreement or fails to keep any promise or agreement made herein, including but not limited to the happening of any of the following Elvents, Lessee shall be deemed in default and the Lessor may exercise and enforce any remedy under this Agreement andlor under law: a) If the monthly rental rate, or any part thereof, is unpaid by Le,ssee for more than five (5) days past the due date specified in Article 7 hereof; b) If Lessee becomes bankrupt; c) If Lessee fails to maintain. operate, or insure the Equipment as herein required; d) If, in the opinion of Lessor, the Equipment is being abused or neglected or because of labor disputes or any other conditions, the Equipment is in danger of being lost or damaged, levied upon or subject to seizure. 16.2' The foregoing events of default should not be construed as an exhaustive list of defaults which entitle Lessor to the remedies available hereunder or under law, and if Lessor does not deClare' Lessee in default or chooses not exercise or enforce any right or remedy under this Agreement or under law, the same shall not be construed as a waiver of any default by Lessee and Lessor will still have available all of those rights and remedies and may exercise and enforce them in the future. 17. LESSOR'S REMEDIES: If the Lessee is in violation of any term or provision of this Agreement. in additir10 to any and all rights and remedies availab.le to Le~~or,'mf\er"aw;Less()r 11'\;;;)',7n'its disi:retion, exercise and enforce anyone or more of the following remedies: a) Lessor may terminate the lease, take possession of the Equipment and recover from Lessee all rentals then due and accelerate and recover from Lessee all rentals to bec:ome due during the Minimum Rental Period specified in Article 4 hereof; b) Lessor may recover full damages for any injuries to the Equipment, including all transportation expenses incurred in returning the Equipment to Lessor, all expenses for service, repair, and cleaning of the Equipment to restore it to good serviceable condition; c) Lessor may, in its discretion, remedy any default or violation of this Agreement by Lessee. including but not limited to, procuring the insurance coverage required under the Lease, making payments for any fines, forfeitures, seizures, confiscation and penalties arising out of the violation of any laws and regulations, and making payment of any sales and use taxes, assessments, dut.ies, import tariffs, licenses and license fees, and then recover such payments from Lessee, and any rentals paid by Lessee shall be first applied to said expenses. d) Lessor shall have the right at any time to enter the premises occ:upied by the Equipment and shall be given free access thereto for the purpose of inspection and shall be entitled to take pOssession or remove all or any part of the Equipment without legal process at any time at Lessee's expense. 18. INSPECTION: Lessor shall make an inspection upon return of the Equipment, such inspection to be at Lessor's expense. Any loss or damage to Equipment shall be listed and notice thereof supplied to Lessee within thirty (30) days after retum of the Equipment to Lessor. 19. VENUE AND APPLICABLE LAW: This agreement and all actions arising herefrom shall be governed by the laws and venued in the state of New Jersey, Alabama, California, COlolCldo, Florida, Texas, or Illinois In the sole discretion of Lessor. 20. ATTORNEY'S FEES: In the event that any suit, action, counter claim or pr,oceeding is instituted to enforce any right or remedy granted to the Lessor herein, Lessor shall be entitled to recover from Lessee its costs and disbursements incurred, including reasonable attomey's fees. 21. ENTIRE AGREEMENT: This Agreement constitutes the full agreement between the parties hereto, preVious oral and/or written agreements being null and void, and it is not subject to modification or alteration except by writing, signed by the prinCipals executing this Agreement or their successors. WITNESS: The parties hereto set their hands on the day and year first written above and by which Lessee acknowledges the receipt of a signed copy of this Lease. 22. This agreement and the Chattel Paper represented hereby is subject to the security interest of Heller Financial, Inc. (a GE Capital Company) as agent (the "Agent") to the lenders (the "Lenders"). LESSE,E:1, /' M. '<' / By (~D'7~ Title 1'12 W NAbfJ?. Witness State of C::WN' _' . Individual Corporation Invoice No: INVOICE 01/004533 PO No: Bill To Address: Ship To Address: HEARN & COMPANY Dave Kieffer 9 BRENNEMAN MECHANISCBURG PA 17055 USA HEARN & COMPANY Dave Kieffer 9 Brenneman MECHANISCBURG PA 17055 USA Invc)ice Date: Order Location: Pay To Address: 11/1/2002 Essex Crane Rental PO Box 828648 Philadelphia, PA, 19182-864. 100204 Bill 110 Customer No: Rental Period: Work Order: Eqp No: Lease No: W001745 LC-M-7771023 LS/001419 No Item . Description MILES Truck Miles 2 REP Repair 3 TRV Travel 4 46895 Filter, Air 5 366113. Computer - Program per SIN MI .JJQjI,l._,."",.Qt~ ,. "';);"0" -.r.." 'Ch'arge . Value 825.00 HR 28.00 HR 16.50 EA 1.00 EA 1.00 Document level T -BASE Rate 0.00 0.00 0,00 1.00 825,00 0.00 0.00 0.00 75.00 2.100.00 0.00 0.01l 0,00 40.00 660,00 0.00 0.00 0.00 132.43 132.43 0.00 0.00 0.00 5,893.05 5,893,05 Sale,s Tax 576.63 Freight: 0.00 NOles: REPLACE CRANE COMPUTER DAMAGED BY LIGHTNING. 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TOlnl CO,'l ((UChllllng T,\xc,slProllthfl --' DIII[.tl: PAGE 05/10 a2/~4/2aa4 15:18 2a56635125 'ESSEX' CP.AI'lE P.ENlAL C PAGEB6/1B 0S/0~/2e02 19;e4 3."35171 I-lOLXOAV lNN r:..kss~x-C~ane Primary Work Order Reporting .- ." - PAGE 15 Page 2 of 2 Wo.-k ONet'~: hi OO(Z-J-I-L-CUr;tO......1; PO *: nate:: >r- ~ _ n ~ I I CUStom..r: .t.IP" Ion r> " Customer' ~ Addc~ss: . - I~,' "'r" .... CUltorner Site:: ~>" _0)'..1... ~ P All =l , I J")~ _:...2.~n...T.,.....t1:J_~ ,., ,il ('...,~...Gt:::.....:,.,- S. (cootinuox!): 7,7 - /"..,., _ ];;99 0 Le=~, LS/fJlJ /t{~ Serlal#:I,~.~ 'I"?~IJ~~ I Em~loye": _ _ -' 'i ., 0"1 Work R..q....sted: /tR Mocl_liD,scrlption:. = 1J 'J Hour Meter R...din : e "of! 4 j leJ- Wo.-k l"err9.....ecl.: T "'l>. . ~. 7-:W 4"~""~"J-_~ ~ , (l?. 'O.-.,,,-t..."'2r" k!.o~ ,'_:-;--,,-_,_ !. ---- Sta~ Tim." 7! nr) 4;n./ End '1''-: "3' ~/J V7.n I SiU.......<: N".... I . ,. '):'aska HourfJ Commen.... . ".~'IO'r ".S ~ on .8jll..~.. I Travel ~ ;.5/ '" ,/ - .-. .l<.!g-t.[p 'a,"8 I ,.. + - Rig-Dow" ..--+ , ! " Repair "--==1 _Maint~e'.'. -. -- :... ... I , ~~~~~,,!r-:~: '~~'.. I I ., I I. '.t\l::.:. , .. i=-- _ ,L" ....:~ I .:...cb~~i-p" '--.--=1..-... - ....- -.., j Insl,Iran.:e R.~pair .. ... Consultlng , , ... Y8.\'d&'Shop Wo:k , , --...... --"--1 Yard Rework -1. , r2-~nI Yard Maint _1 ~ '-:-1 Total: '>l-- , ..1 '/! 7-"-1 - Part.l:tcc:elvecl end Used On Work Onl~ ~ -- :.- P"rt# Part D.o.cription . QIY. TllSl< QIY B N It l::i2! f....... &."x U...d Co~E" Rc'Vd. ~, "'-"l>o:"" F.....m I Coot I -1 r- , ; I Non~x S..rvh:... Purchased aDd Re<:eiv...s ~ Slltlot,y Work Orde..: &0.....1"" ..,csc:tipti.... Hrs W...... Ord... E4.l~ PO II: 'B N If .t:!ll1 fro", Essex TIISIs Code'" 1"0, Tot,,1 Cost (lndUCllhl! "l'O"""retcht) . T....vel.. TR, l'.lg-Up... RU. Rig-Down -RD. Rsp.,;r-RE,M:aintenancc: -PM., r"opecticm -IN, LoAdina_ LD. Rebuild.. RB, r".u.....c.. Rep"lr... ;;J:i.SUhlnll. ~.J"P W"ck.. 10.'5. Yard Rcwoclc _ REW, Clo"......' Yard )1.1"1,,, .. G5N Enap.oyec Si~ature: ;,..,..".1114... CustoJ:ne.:.:- Signature: Date: ~-.3 -e> .2 T..lq>bone: ESSEX COpy Dste: 62/2-4/2664 15: 18 . 26566::15125 ESSEX CRA~E RENlAl C .l~~:;.'x \.nlll" \\'(Jl'J( 'Jrllel' !<cpunmg W"!~'..~!."IICI'~:..k.JpD.I~I_.[~~",=~..E~!!~.!!!.~~! il: _.=___-==__=_ Dllte: 1~_.J..?..:=Q.. PAGE El8/1E1 ("USlllllll'r: l:1J;'J9.lZN.._.. ""_'_.. ...... ';',,';1011:0' Silo: -kJ )!)JI..ai,t9.kJ:...jLj4 C!l~:OI1\'..;I"$ ,\\udrcw.;; ...__...__...,..~_,_ .._.__....__ ____w._._____ (~I.'IHinue\l): _......__. _......._ . PO w____..___.______ L""r.e 1!:LS.....al.J..v..1!L Sel'illlll:..27.11.a.j..3..__ M,'II,;VDeSCriplioll: '777 iilllJll,,)'c~: 8~ 1(.J,JJ6Y...i.t4~uil.J.!(_l.'ir'/(l1J 11')111' MOler fl.endinu: _35 .:2 7:- .-.-----........."........--..............-...-.-- . 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Frul1l -. .. -- i ---... .. _. -r- + - I - ._-- ! ...---- -- J -. _L , NIIU.Ir,~5ex ,1)r.1'\'h'4~~ J'urr:hn:-:c\llIlld l~c~'d\.t't1 hI 'snlisfr 'York O,'dCcI': jri1C; 1}."rlllllim-.-.--.-..,-..--....-.----l..iT;:;-Ti~ I .--.----.---.--------L-J 1".1 L .____.......___........j_._I__ -"rilrcl- TR7iti(.\.t'jil~IITti:i,j;~~~~;{O:'H\;r:.Eu, j\i'uh1tl'n:III~C ~ !I&\.[, 11I1~I~CUOIl ''IN.l~'''Ol\lillt:.., 1.11, Rl'.l3l1ild "'IW. 1I1surtltH;.~ }I'1"plll( '" iN. l.;."JfIS11111llg'" CS EllIVllIl'o,Sigllnlll"o: ~ C"'llIllIu"slgnnhll.c:_,_____ ll:tll': -.!:1J:--"..u.........a.;;z..... '1'ol'pllono: '~____ Onl.ci n3'i~j;r-nc.~!i e.;"!j'Q'iii' lllN If.C1i! fl'II111 Ii..." <ClIde" 1'0. 'rutal Cust (lll'lulllng TIt"a.,JI',.I"tt) - __..1 ._~ I ~",'" ,1;1;2/44/2664 15: 18 2656635125. ESSE>\.9'ANE RENTAL C PAGE 16/16 ~iEssex Crane Primary WO;l;"~ Order Rep~~~~.. ":':'~.' ~"",.f.age :z of:Z ~... Work Order H: /-VOt'">/7J-l..,.. Custom.... PO #; Date: J?'- /-J..,..-"" .. ~ Customer: IIl!?al-n e.cJ Customer Site: ",,/a'/h?.:!ih7\- I' .:In . Customer's Address: LV~y'"",...,.k t?/'t Oe,fXlI-'7711l'hr a(1 6.'''_,,"Y'>'.9~'' (continued): (7/7) (,97-tr990 L"",,~#: J.S/iJOll-Jl~ Serial/;: t..c-1r1'i7?IO~3 ModcllDescriptlo~: ......!.?'7Q ~F>:le.v^f'~ BmpJqycc; Wol'k Requested: :r/l/ Hour Meter Readil~: WOl'k Pel'fonned: :T.AI' Tn ~J'.'1-eC.Tlat1 . , , t..,/, h "~ " ~ ?~7"7 /<7#.3 (!,..",.., e -, ~,~ ._~ "::'-'t- _.. '.--_~_ _.'_ _ Start Time: 7.'00 /'I/}'J End ~lm..: --S:3o J!?/7) BiDable Non- /' . TlI5ks Boun CODIme:nts ST OTl.5 OT2 BJlJably Travel ~ V Rig-Up Rig-Down :Repair Maintenance Inspecition Lo"dimz: .. Rebuild Insurance Rcpair Consulting Yard&Shop Work Yard Reworlc: Genl Yard Maint ...... Total; .!:> f-'" Paris Recejved and Used On Work Order: Part 41 Part Description Qt)'. T....k Qty B N It ~ trom Essex V."d Code:'" Rc:vd. Store: Where From Co.t .. N E on- 'sex Ceil r v a tV or er: Service Descrlpr:lon Brs Work Order &.,""POII: B N It .l:ilm from Esse.'l TasJ< Code. PO, Total Cost (lndUdi-nc: 'T.."VSlFNi~tat) Servi Po chased and. R.ecei ed to S tisf W k Ord .. Travel.. TR. Rig-Up.. RU, Rig-Down - RD. Repair -RE. Maintenance ~.PM. Illspection -IN. Loading _ LJ:>. Rebuild ~ ~, Insurance Repair ~ rN'{:"Sl.llting ~ c~:~ &: Shop Work.. YS. Ya<<l Rew()t'k PO REW. General. y..<<I Maint.. GEN Employee Signatuy ........LO '7-U ~//.( Customer SiltDature: Date: S> - LJ - n:J ']~elephoDe: ESSEX COpy Date: r-_.) ('j ~:-~ -;1 .__1 ~ , f.1~ ~.~ ~ ---::; .n (3 r) ? f'~) ,.:J ..L:- ---! 1'~~ "-' ~.. ") U', " .'rn 'L. ~ S'? J "-, "\ ~ 1"'" . .~,J <>,; .< -~, ,,, B SHERIFF'S RETURN - REGULAR CASE NO: 2004-04824 P COMMONWEALTH OF PENNSYLVANIA: COUNTY OF CUMBERLAND ESSEX CRANE RENTAL CORPORATION VS HEARN & CO 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 HEARN & CO the DEFENDANT , at 1436:00 HOURS, on the 28th day of September, 2004 at 9 BRENNEMAN CIRCLE MECHANICSBURG, PA 17050 by handing to LAURIE WAGNER, OFFICE MANAGER, ADULT IN CHARGE 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 Service Affidavit Surcharge 18.00 6.66 .00 10.00 .00 34.66 So Answers: ?'"~~ R. Thomas Kline 09/29/2004 MORRIS & ADELMAN Sworn and Subscribed to before By: h. I'':!;;. me t lS /-"' day of " Deputy eriff o~ ..2tJ7J'1' A.D. //k- - ( ,() illdftu A.t3 othonotary I ~ ESSEX CRANE RENTAL CORPORATION 1110 LAKE GROVE ROAD BUFFALO GROVE IL 60089 Plaintiff : IN THE COURT OF COMMON PLEAS CUMBERLAND COUNTY CIVIL DIVISION v. : No.: 044824 Civil Team HEARN & CO. 9 BRENNEMAN CIRCLE MECHANICSBURG, P A 17050 Defendant DEFENDANTS' ANSWER WITH NEW MATTER TO PLAINTIFF'S COMPLAINT Defendant, Hearn & Co. ("Defendant"), by and through their counsel, Anderson Gulotta & Hicks, P.C., respectfully submits this Answer with New Matter to Plaintiff's Complaint and in support thereof states the following: 1. Admitted. 2. Admitted. 3. Admitted. Defendant accepted the equipment and incorporated the same into its business under the terms of the lease between Essex Crane Rental Corporation and Hearn & Co. 4. Admitted in part, Denied in part. The defendant admits that the equipment remained the personal property of the plaintiff. Without a specific cite to Exhibit A of the Plaintiff's Complaint and after a thorough review of the Plaintiff's lease document the Defendant has no basis to reach a conclusion of whether the lease provides that the Plaintiff reserves title to and a security interest under the Uniform Commercial Code in the equipment. Furthermore, the allegations contained in Paragraph 4 of Plaintiff's Complaint are denied, since the allegations are legal conclusions to which no response of pleading is required. To the extent a response is deemed necessary, Defendants specifically deny the same. 5. Admitted in part, Denied in part. It is admitted only that the Defendant accepted delivery of the equipment in good condition. It is denied that the Plaintiff has performed the obligations imposed upon it by the terms of the said lease, specifically that the Plaintiff did not give written notice to Defendant of the "damage" to the Equipment within thirty (30) days after return of the Equipment to Plaintiff, in accordance with Paragraph 18 of the lease agreement. 6. Admitted in part, Denied in part. It is admitted only that "the lease provides that upon the Defendant's return of the equipment, it is to mturn same in 'good condition, less reasonable wear and tear,' and upon its failure to so return it agreed to be responsible for all repairs to the equipment to make it usable and rentable in the ordinary course of Plaintiff's business." The rest of the allegations contained in Paragraph 6 of Plaintiff's Complaint are denied, since the allegations are legal conclusions to which no response of pleading is required. To the extent a response is deemed ne'cessary, Defendants specifically deny the same. 7. Denied. It is denied that the Defendant failed to return the equipment in good condition. To the contrary, Defendant asserts that upon returning the equipment, the equipment was in good condition. Furthermore, the allegatiions contained in Paragraph 7 of Plaintiff's Complaint are legal conclusions to which no response of pleading is required. To the extent a response is deemed necessary, Defendants specifically deny the same. 8. Admitted in part, Denied in part. It is admitted only that Plaintiff had the equipment repaired. It is denied that the repair was made due to Defendant's failure to make payment when due. 9. Denied. The allegations contained in Paragraph 9 of Plaintiff's Complaint are legal conclusions to which no response of pleading is re:quired. To the extent a response is deemed necessary, Defendants specifically deny the same. COMMON COUNTS - OUASI CONTRACT 10. Denied. No further response is deemed nece:ssary to Paragraph 10 of Plaintiff's Complaint inasmuch as the same does not contaill any factual allegations. 11. Denied. To the contrary, the only lease entered into for the Manitowoc, 777-11,175 Ton, 1998, LC is dated March 30,2002. Furthermore, the allegations contained in Paragraph 11 of Plaintiff's Complaint are legal conclusions to which no response of pleading is required. To the extent a response is deemed necessary, Defendants specifically deny the same. 12. Denied. Plaintiff did not receive the equipment on November I, 2002, nor did he use or benefit from the use ofthe equipment after the: date the lease was terminated on July 2, 2002. 13. Denied. After reasonable investigation, the Defendant is without knowledge of information sufficient to form a belief as to the truth of the said averments and the same are deemed to be denied, put at issue and proof is demanded!. 14. Denied. The allegations contained in Paragraph 14 of Plaintiff's Complaint are legal conclusions to which no response of pleading is required. To the extent a response is deemed necessary, Defendants specifically deny the same. 15. Denied. The allegations contained in Paragraph 15 of Plaintiff's Complaint are legal conclusions to which no response of pleading is re:quired. To the extent a response is deemed necessary, Defendants specifically deny the same. 16. Denied. The allegations contained in Paragraph 16 of Plaintiff's Complaint are legal conclusions to which no response of pleading is required. To the extent a response is deemed necessary, Defendants specifically deny the same. 17. Denied. The allegations contained in Paragraph 17 of Plaintiff's Complaint are legal conclusions to which no response of pleading is re:quired. To the extent a response is deemed necessary, Defendants specifically deny the same. 18. The allegations contained in Paragraph 18 of Plaintiff's Complaint are legal conclusions to which no response of pleading is required. To the extent a response is deemed necessary, Defendants specifically deny the same. 19. The allegations contained in Paragraph 19 of Plaintiff's Complaint are legal conclusions to which no response of pleading is required. To the extent a response is deemed necessary, Defendants specifically deny the same. NEW MATTER 20. Paragraphs 1 through 19 above are incorporated herein by reference as if set forth in full. 21. Defendant's rental agreement for the equipment was terminated on July 2, 2002, and the notice was given to Plaintiff twenty days prior to termination date, as required by the lease. Defendant attempted to return the equipment to Plaintiff, but Plaintiff didn't have room for the equipment and instructed Defendant to keep the equipment until Plaintiff had room for it. 22. Plaintiff took back the equipment in August of2002. 23. In December of2002, Defendant received an invoice dated November 1, 2002 from Plaintiff for repairs to the rented equipment. This was the first time Defendant learned of any damages to the equipment, therefore not allowing Defendant to have an opportunity to investigate the situation or to make an insurance claim for the alleged damages. 24. Paragraph 18 of the Lease between Essex Crane Rental Corporation and Hearn & Co. states that "Lessor shall make an inspection upon return of the Equipment, such inspection to be at Lessor's expense. Any loss or damage to equipment shall be listed and notice thereof supplied to Lessee within thirty (30) days after return of the Equipment to Lessor." 25. According to the Paragraph 18 of the Lease between Essex Crane Rental Corporation and Hearn & Co., since the equipment was returned to Plaintiff in August, Plaintiff had a duty under the lease to notify the Defendant of the damage to the equipment by September, 2002. 26. Plaintiff failed to meet their duty to properly notify the Defendant of any alleged damages to the equipment within thirty (30) days of the return of the equipment. 27. Plaintiff's claims are barred, in whole or in part, due to Plaintiff's Breach of Contract. 28. Plaintiff's claims are barred, in whole or in part, due to the applicable statute of limitations. 29. Plaintiff s claims are barred, in whole or in part, due to Plaintiff's failure to state a claim upon which relief can be granted. 30. Plaintiff's claim for a Quasi Contract is barr,ed the Pennsylvania Uniform Commercial Code's Statute of Frauds. WHEREFORE, Defendant Hearn & Co. respectfully requests this Honorable Court to enter judgment in their favor and dismiss Plaintiffs Complaint in its entirety. Anthon C Gulotta, Esq. (Date) Anderso , Gulotta & Hicks P.C. 1110 North Mountain Road Harrisburg, PA 17112 (717) 541-1194 Attorney J.D. 82081 ESSEX CRANE RENTAL CORPORATION 1110 LAKE GROVE ROAD BUFFALO GROVE IL 60089 Plaintiff : IN THE COURT OF COMMON PLEAS : CUMBERLAND COUNTY : CIVIL DIVISION v. : No.: 044824 Civil Team HEARN & CO. 9 BRENNEMAN CIRCLE MECHANICSBURG, P A 17050 Defendant PRAECIPE TO ENTER APPEARANCE To The Prothonotary: Please enter my appearance in the above referenced matter on behalf of the Defendant. Date: 10/ { ~ /0'1 I I ~hL~~ Anderson, Gulotta & Hicks, P.C. I 110 North. Mountain Road Harrisburg, Pennsylvania 17112 717-541-1194 I.D. No. 82081 Attorney for Plaintiff 1 VERIFICATION I, Donald B. Hearn, President of He am & Co., verifY that the statements made in this Answer with New Matter are true and correct. I understand that false statements herein are subject to the penalties of 18 Pa.C.S.A. 94904 relating to unswom falsification to authorities. ( 6~nal~ Hearn Dated: //)-/ ~-I)Y CERTIFICATE OF SERVICE And now, this I ~-rIt day of M 0 bo , 2004, I do hereby certify that I have served a true and correct copy of the foregoing document on the person(s) listed below at their respective addresses, via first-class mail, postage prepaid. James W. Adelman, Esquire Morris & Adelman, P.C. Attorneys for Plaintiff Post Office Box 30477 Philadelphia, PA 19103-8477 (215) 568-5621 An~l~~ Anderson, Gulotta & Hicks P.C. 1110 North Mountain Road Harrislburg, PA 17112 (717) 541-1194 Attorney J.D. 82081 MORRIS & ADELMAN, P.C. BY: JAMES W. ADELMAN, ESQUIRE IDENTIFICATION #02604 PO BOX 30477 Philadelphia, Pennsylvania (215) 568-5621 ATTORNEY FOR PLAINTIFF Essex Crane Rental Corporation 19103-8477 Essex Crane Rental Corporation 1110 Lake Grove Road Buffalo Grove IL 60089 COURT OF COMMON PLEAS CUMBERLAND COUNTY CIVIL DIVISION vs. Hearn & Co. 9 Brenneman Circle Mechanicsburg PA 17050 NO. 04-4824 Civil PLAINTIFF'S ANSWER TO DEFENDANT'S NEW MATTER 20. Plaintiff incorporates the allegations of the Complaint herein, as if set forth in full. 21. Denied. The lease terminated Au~rust 10, 2002. Defendant retained the equipment on site after July 2, 2002, in anticipation it would have another use on another job for the crane. When that job did not materialize, Defendant requested the crane be removed from site. 22. Denied. The equipment was removed on August 6, 2002. 23.-25. Denied. The allegations of paragraphs 23 through 30 are denied. To the contrary, Defendant was verbally notified by Plaintiff's then Service Manager, Gene Harris, on or about JWAll17.2 August 2, 2002, of the damage. Defendant's employee acknowledged the repair by signing off on Plaintiff's technician's work order, a true and correct copy of which is attached hereto, made part hereof and incorporated herein, as if set forth in full, marked as Plaintiff's Exhibit "B". Strict proof is demanded of these allegations if deemed relevant. 26.-30. Denied. These allegations of Defendant's New Matter are affirmative defenses as provided by Rule 1029(a) and same are denied as conclusions of law. WHEREFORE, Plaintiff claims there is now justly due and owing by Defendant the sum of $13,752.59 with interest at 6% from November 1, 2002 and costs. , ESQUIRE aintiff JWAll17.2 ... VERIFICATION )Vt, C Wlf'{, t5 . Mo (If 0 rJ (!,lLGP IT M ~ J\G f(L , states that he is of bC;~~ C((1WJ6 R~~TA-L- Ct;(<..f and that the facts set forth in the foregoing ANSWER TO NEW MATTER are true and correct to the best of }..\:\~ knowledge, information and belief, and that this statement is made subject to the penalties of 18 Pa. C.S.A. 4904 relating to unsworn falsification to authorities. JYt~~~ Dated: -11- (-Of - PAGE 05 2la562lala327 ESSEX ALABAI"1A rl1';;'''-. (fi05 ) (Q~O .- 0 ~.:{') Pri~~. W9~k Order R~-p.~~~~g. . . ~age 2 of 2 .,. -.. Date; R - G: - 0::1. Customer PO #; 11/09/2004 14:47 ~(.-~~sse" . <;rane WorJt; Ordel' #: r.,.J ~t'I 'IJ" I Customer: .tI eo... )- .n (10 Customer Site: Customer's Address: lA)p.jn'l,:"k f /If. D~pq":?;n.trm-r Q~~ ('fl"Jo~~OnS (cont'nuod)~ ~/J? 1 ~ t:t7 _>>990 Lc..se#: Lo/onJJ-.lI, Serial#:hC-a1 "'J'1'1 /Ofl.-'3 MOdel/Description: 2'111 (:.f"4wJ.eA Em 10 0e: Hour Metcr RCladin I Work Requested: R.)1 ... L G - TA WOl'"kPerf'ormed;'7rat.JPJ... ....... ~:6-I)o""Y\ c;r""d. l.6c:stC-.....a-- o~ (l L~ ,.., ~ livJaS C; 1r-l.J~JS by&. 0t-, T,'Y'l(}- . LC-ff) l..'1n/o:J,? Start Time: IJ.' 30 IIn1 End Time: 5'"l 00 IN?'} Binable NOll- Tasks Hours Comments 5"(' OT 1.5 01'2 Billable Travr:l I Ri~-UD /t)~ Rie:-Down R.eDair Maintenance InsDeetion Loadin rZ ~build :n~urancl; ReDair :onS\11tirul ....-, {ard8tShOD Work (ard Rework ~enl Yard Maim Total: n-L 'arts Received and Used On Work Order- . 'art # Part Desc:ription Qty. Ta$k Qty B N :If ~ from Essex Used Codell< Rc\'d. StorE: WheR From Cost , S . Purchased aDd Received 10 SAtisfY Work er: U JSa& from Ess~ Ess~ PO #: B N ron-Ess~ ervJCeB Hl'S Wot'k Ot'd~t' :PO, Tob. co.~ . ervlce D854:npti"n Task Codc-' (lllcludiJle: l' A,,;es/FN',mt) ,~ RD :RoO" ait - RE. M.a;.ntcnance - J?j\II'. Inllpection IN Loading - LD. Rebuild - , Maint = DEN Ord Travel = TR. 'RJg-~p "" RU. RJ.g-~ow: es. yu..t& Shop Work::; YS, YlU'd Rework = REW, General Yard~ B In&ur3.n~e Repair = IN. Consult :OS (7 . .. ~ ~~ . . lJ'e:-1 ~ . It Customer Signature. ...~ - --v ~roployee Sign;:7~~ ~....;:~J ,"'l t.. Telephone:.~ ._ , Date: _i-- -" r. -., ~ ~SSEX COpy I Lease # LS/001419 ESSEX CRANE RENTAL CORP. EQUIPMENT RENTAL AGREEMENT This Agreement is made this 30th day of March 2002 by and between ESSEX CRANE RENTAL CORP. 1110 Lake Cook Road Suite 220, Buffalo Grove, IL 60089 party of the first part, hereinafter called Lessor, and Hearn & Company 9 Brenneman, Mechaniscburg, PA 17055 Dave Kieffer party of the second part, hereinafter called Lessee. WITNESSETH: That in consideration of payment hereinafter provided, Lessor and Lessee agree as follows: 1. EQUIPMENT LEASED: Lessee hereby leases from Lessor for use at or near Hearn & Company Canaan FBOP RR2 Box 2020 Waymart, PA 18472 Vic hereinafter called "jobsite," all Equipment herein named and identified, which throughout this Agreement is designated in whole or in part as "Equipmenf'. Each article of Equipment shall remain in possession of Lessee and neither this Agreement nor any part thereof shall be assigned. Nor shall Lessee offer the Equipment rented hereunder to be used or possessed by any other person, firm or legal entity without the prior written consent of Lessor. Nor shall said Equipment be used in the performance of any work by Lessee other than that specified herein without Lessor's prior written consent. Lessee further agrees not to remove any Equipment covered by this Agreement out of the county, state, and jobsite specified above without the prior written consent of Lessor. THE EQUIPMENT: (1) Manitowoc, 777-11,175 Ton, 1998, LC LC-M-7771 023 VALUE: $1,000,000.00 2. SPECIAL CONDITIONS: The lessor will supply a serviceman, upon request, to assist in the assembly and/or disassembly of the equipment at a rate of $75.00 per hour, per eight (8) hour work day. Overtime charges will apply. 3. RENTAL RATE: The bare monthly rental rate is: $14,500.00 4. MINIMAL RENTAL PERIOD: One Month (30 Days) (J. K.. 5. THE RENTAL PERIOD: Begins as a bill of lading approximately 4/"/02 and ends when lessee has completed usage plus 3 workdays for loading out on carrier of Lessor's choice provided paragraph 4 is complied with. Prior to the end of the Rental Period, Lessee is required to give written notice to Lessor at the above address by fax or mail of its intention to terminate the instant Lease at least twenty (20) days prior to termination date. Such written notice shall not relieve Lessee of its obligation under Article 4 hereof. Original Base Lease 12/01/01 6. TRANSPORTATION: TRANSPO~,rATION IN AT AN AGREED PRICE OF $OO.lJu AND LOADING OUT ON CARRIER OF LESSOR'S CHOICE TO BE BORNE BY LESSEE. TRANSPORTATION OUT AT AN AGREED PRICE OF $6,375.00 TO BE BORNE BY LESSEE. FREIGHT IN MUST BE REMITTED WITH SIGNEB CONTRACT. ~ Transportation: Lessee will arrange for and pay all shipping and freight from the shipping point to the jobsite specified in Article 1 hereof and returned to the return point, including but not limited to, demurrage, unloading, assembly, disassembly, load-out, handling, packing, crating, documentation, import and export clearances and transportation. Since the out-bound method of shipment may differ from in-bound, required load-out procedures may vary accordingly. If shipped via barge or vessel, or if the Equipment is loaded for use on board a barge or vessel, Lessee shall furnish to Lessor, prior to shipment of the Equipment, Certificate of Marine Trip Cargo and loading and unloading insurance to the stated value of Equipment specified in Article 1 hereof. Lessee shall inspect and inventory Equipment and obtain from delivery carrier written acknowledgement of any loss or damage to Equipment. 7. PAYMENT: Lessee shall pay rent for the Equipment at the rate specified in Article 3 hereof and payment shall be made monthly in advance at the office of ESSEX CRANE RENTAL CORP. a) Monthly rental rate shall not be subject to any deductions on aocount of any nonworking time in the month or back charges for repairs or maintenance of any nature. b) After the Rental Period specified rent will be payable at the rate of 1/30th of the monthly rate for each calendar day. c) If the payment is not received within thirty (30) days from the date of the invoice, then a finance charge of 1 Y2% per month (18% per annum), or the maximum allowed by law will be charged, and all payments will be first applied against repairs and transportation items. 8. CONDITION OF EQUIPMENT AND WARRANTY: Lessor hereby agrees that Equipment is shipped to Lessee in good serviceable condition, Lessee shall examine Equipment promptly upon delivery and notify Lessor in writing within twenty- four (24) hours of any evidence that Equipment is not in such condition. Lessor shall then have a reasonable time to replace or repair Equipment during normal working hours. Should Lessor be unable for any reason (other than as a result of any act or omission of Lessee, or any event beyond the control of Lessor) to repair or replace the Equipment within such time, Lessee may terminate this Agreement [only upon written notice to Lessor at least twenty (20) days prior to termination date]. THE FOREGOING IS THE EXCLUSIVE AND ENTIRE WARRANTY GIVEN IN CONNECTION WITH THE EQUIPMENT, AND SUCH WARRANTY AND/OR THE REMEDIES STATED IN CONNECTION THEREWITH ARE GIVEN IN LIEU OF (a) ALL WARRANTIES EXPRESS, IMPLIED OR STATUTORY, INCLUDING, BUT NOT LIMITED TO THE IMPLIED WARRANTY OF MERCHANTABILITY AND THE IMPLIED WARRANTY OF FITNESS FOR A PARTICULAR PURPOSE; AND (b) ALL OBLIGATIONS OR LIABILITIES ON THE PART OF LESSOR FOR DAMAGES, INCLUDING, BUT NOT LIMITED TO, INDIRECT, INCIDENTAL, CONSEQUENTIAL OR SPECIAL DAMAGES (INCLUDING WITHOUT LIMITATION CLAIMS OF LOSS OF USE, BUSINESS INTERRUPTION OR COST OF ACQUISITION OF REPLACEMENT EQUIPMENT), ARISING OUT OF, OR IN CONNECTION WITH, THE RENTING, MAINTENANCE, USE, OPERATION, STORAGE, ERECTION,DISMANTLlNG OR TRANSPORTATION OF THE EQUIPMENT. LESSOR SHALL IN NO EVENT HAVE OBLIGATIONS OR LIABILITIES FOR INDIRECT, SPECIAL OR CONSEQUENTIAL DAMAGES EVEN IF LESSOR HAS BEEN ADVISED OF THE POSSIBILITY OF SUCH DAMAGES. LESSEE AGREES THAT LESSOR WILL NOT BE LIABLE FOR ANY LOST PROFITS BY LESSEE OR ANY OTHER PARTY. 9. USE OF EQUIPMENT: (a) The Rental Rate stipulated above is based on single shift operation of eight (8) hours per day, forty (40) hours per week, and one hundred seventy-six (176) hours pelr month. (b) Use of Equipment during storage will not be permitted unless authorized in writing by Lessor. (c) Equipment is to be used in accordance with the written specifications of the manufacturer. (d) The Equipment shall be used only as a hook crane, unless otherwise specifically provided in Article 2 hereof, and shall only be used within its rated capacity based on the manufacturer's capacity charts. See under Special Conditions. 10. MAINTENANCE AND OPERATION: The Lessee shall assure that the Equipment is not subject to careless or needlessly rough usage, and Lessee hereby agrees to employ competent, experienced persons to operate and maintain said Equipment and shall at its own expense maintain the Equipment in good operating condition, well greased, oiled, cleaned and repaired, and shall return it to Lessor in such condition. Lessee shall have the duty to inspect, test, and certify at its own cost, that the Equipment is in accordance with specifications and is fully operational and free from any and all damages and/or defects. Any damages and/or defects shall be reported to Lessor immediately. Failure to notify the Lessor immediately of any damages and/or defects shall be deemed an admission by the Lessee that the Equipment is fully operational and free from damages and/or defects. In the event the Equipment is rendered not serviceable through accidental and/or negligent damage by Lessee, the rental shall continue until the Equipment is restored to serviceable condition, and all costs for accomplishing the repairs shall be paid by Lessee. When Lessee and Lessor (both the parties) have prearranged for Lessor's service personnel to work on the Equipment, Lessee shall make the Equipment immediately available to Lessor's service personnel upon their arrival at the location of the Equipment, and if the service personnel are required to wait more than two (2) hours by Lessee, than Lessee shall be responsible for payment to Lessor of standard hourly charges for the additional waiting time. Lessee shall be responsible to steam clean the Original Base Lease 12/01/01 Equipment after its use thereof is completed. Lessee shall pay special attentllJn toward cleaning and protecting the Equipment when working the Equipment at a location where destructible chemical agents are present in the atmosphere. Lessee shaU be responsible for this protection and to cle'an all cOrrosive agents from the Equipment, and restoring the condition of the metal and paint on the Equipment prior to returning the Equipment to Lessor. The fact that Lessor is aware of the type of project and that chemical agents are present in the atmosphere does not deem this type of destruction to be classified as normal wear and tear. 11. TAXES, DUTIES, TARIFFS: Unless otherwise provided herein, Lessee agrees to pay personal property taxes imposed upon Equipment at the place or places at which Lessee agrees herein to keep Equipment. All other taxes, as well as assessments, duties, import tariffs, licenses and license fees, including but not limited to those regulating to Equipment, its use, operation, transportation or storage, or to the making or performance of this Agreement, shall be paid by Lessee. Lessee shall promptly provide Lessor with documentation, including but not limited to, tax receipts, evidencing that all items, which are the responsibility of Lessee hereunder, have been paid. The lessee shall promptly provide a Tax Exemption Certificate, where applicable. 12. COMPLIANCE WITH LAWS: Lessee agrees to comply with and conform to all laws and regulations of any government or public body having jurisdiction relating to the maintenance, use, inspection, operation, storage, erection, dismantling, servicing or transportation of Equipment. Lessee agrees to assume full responsibility, and indemnify and hold harmless Lessor for any and all losses, damages, expenses, fines, forfeitures, seizures, confiscations, and penalties arising out of the violation of any such laws and regulations. In the event that any law or regulation shall require the installation of any additional Equipment or accessories, including but not limited to, safety devices, or if any modification to Equipment is required by law or regulation, Lessee agrees to pay the full cost thereof, including installation expenses, and the cost of restoring Equipment to its original configuration, if required by Lessor. 13. LOSS OR DAMAGE: 13.1 All risk of loss or damage to Equipment, regardless of cause, including seizures and confiscations of Equipment, during the term of rental or while Equipment is in the possession, custody or control of Lessee or its officers, employees, affiliates or agents, or during transportation of the Equipment, shall be with Lessee and Lessee agrees to return the Equipment to Lessor in the condition in which Lessee received it, free and clear of all liens and encumbrances. 13.2 In the event of loss or damage to Equipment, regardless of cause, rental payments will continue to accrue until the Equipment is repaired by the Lessee and accepted by Lessor, or in the event Equipment shall be adjudged by Lessor to be lost, stolen, destroyed or damaged beyond repair, payment in full shall be made to Lessor by Lessee for the stated value of Equipment. No rentals paid or due shall be applied to payment of th(~ loss. 14. INSURANCE AND IDEMNIFICATION: 14.1 Lessee shall, at its own expense, obtain and maintain during the Rental Period or while Equipment is in the possession, custody or control of Lessee, its officers, employees, affiliates or agents, a standard contractor's Equipment all risk, coverage with boom and overload (including on international rentals, war, political and similar risks) floater insurance policy satisfactory to Lessor to protect the interest of Lessor, naming Lessor as an additional insured to the total amount of stated value of Equipment as set forth in Article 1 hereof, and shall, prior to delivery of the Equipment, furnish Lessor with evidence of such insurance, including an insurer's certificate that such policy is in effect. Such insurance policy shall not be altered or terminated without the prior written consent of Lessor. LESSEE'S INSURER EFFECTIVE DATES: POLICY NUMBER 14.2 To the fullest extent permitted by applicable law, the Lessee shall assume entire responsibility, liability, defend, indemnify and hold forever harmless Lessor for all damages (including purely economic loss), or injury of any nature (including death) to persons and property, including intangible property, as well as expenses, penalties, legal fees and costs, arising out of, or in any manner relating to, or occasioned by, the operation, maintenance, handling, inspection, storage, erection, dismantling or transportation of Equipment during the rental term or while in possession, custody or control of Lessee, its officers, employees, affiliates or agents, regardless of whether the same were caused, in whole or in part, by negligence of Lessor. Lessor shall not be liable for any loss, delay or damage of any kind or character resulting from defects, inefficiency or accidental breakage of the Equipment hereby leased. Lessor shall not be liable for delays of carriers in transporting the Equipment or for delays resulting from strikes, labor disputes or refusal of its employees to cross picket lines, or from any other contingencies beyond its control. In jurisdictions in which the indemnification provided for in this Article is broader than that allowed by applicable law, this Article should be interpreted as providing the broadest indemnification permitted and should be limited only to the extent necessary to comply with said law. 14.3 Lessee shall include the interest of ESSEX CRANE RENTAL CORP., as an additional named insured under Lessee's General Liability, Excess Liability, and Automobile insurance policies with respect to the Equipment during the Rental Period and transportation of the Equipment with minimum liability limits of $2,000,000.00 per occurrence, and Lessee shall furnish Lessor with a certificate of insurance. Such liability coverage shall not be altered or terminated without the prior written consent of Lessor. LESSEE'S INSURER: EFFECTIVE DATES: POLICY NUMBER Original Base Lease 12/01/01 15. TITLE: Title to the Equipment shall be at all times vested in Lessor unless rransferred by sale in writing signed by Lessor and Lessee. Lessee agrees to keep the Equipment free from all liens or other encumbrances. Lessee shall give Lessor imm~diate written notice if Equipment is levied upon, or from any caLise becomes liable to seizure. Lessee agrees to protect Lessor's interest in the Equipment while it is in Lessee's care, possession, custody or control, and during transportation. 16. DEFAULT: 16.1 If Lessee violates any term of this Agreement or fails to keep any promise or agreement made herein, including but not limited to the happening of any of the following events, Lessee shall be deemed in default and the Lessor may exercise and enforce any remedy under this Agreement and/or under law: a) If the monthly rental rate, or any part thereof, is unpaid by Lessee for more than five (5) days past the due date specified in Article 7 hereof; b) If Lessee becomes bankrupt; c) If Lessee fails to maintain, operate, or insure the Equipment as herein required; d) If, in the opinion of Lessor, the Equipment is being abused or neglected or because of labor disputes or any other conditions, the Equipment is in danger of being lost or damaged, levied upon or subject to seizure. 16.2 The foregoing events of default should not be construed as an exhaustive list of defaults which entitle Lessor to the remedies available hereunder or under law, and if Lessor does not declare Lessee in default or chooses not exercise or enforce any right or remedy under this Agreement or under law, the same shall not be construed as a waiver of any default by Lessee and Lessor will still have available all of those rights and remedies and may exercise and enforce them in the future. 17. LESSOR'S REMEDIES: If the Lessee is in violation of any term or provision of this Agreement, in addition to any and all rights and remedies available to Lessor under law, Lessor may, in its discretion, exercise and enforce anyone or more of the following remedies: a) Lessor may terminate the lease, take possession of the Equipment and recover from Lessee all rentals then due and accelerate and recover from Lessee all rentals to bee:ome due during the Minimum Rental Period specified in Article 4 hereof; b) Lessor may recover full damages for any injuries to the Equipment, including all transportation expenses incurred in returning the Equipment to Lessor, all expenses for service, repair, and cleaning of the Equipment to restore it to good serviceable condition; c) Lessor may, in its discretion, remedy any default or violation of this Agreement by Lessee, including but not limited to, procuring the insurance coverage required under the Lease, making payments for any fines, forfeitures, seizures, confiscation and penalties arising out of the violation of any laws and regulations, and making payment of any sales and use taxes, assessments, duties, import tariffs, licenses and license fees, and then recover such payments from Lessee, and any rentals paid by Lessee shall be first applied to said expenses. d) Lessor shall have the right at any time to enter the premises occupied by the Equipment and shall be given free access thereto for the purpose of inspection and shall be entitled to take possession or remove all or any part of the Equipment without legal process at any time at Lessee's expense. 18. INSPECTION: Lessor shall make an inspection upon return of the Equipment, such inspection to be at Lessor's expense. Any loss or damage to Equipment shall be listed and notice thereof supplied to Lessee within thirty (30) days after return of the Equipment to Lessor. 19. VENUE AND APPLICABLE LAW: This agreement and all actions arising herefrom shall be governed by the laws and venued in the state of New Jersey, Alabama, California, Colorado, Florida, Texas, or Illinois in the sole discretion of Lessor. 20. ATTORNEY'S FEES: In the event that any suit, action, counter claim or proceeding is instituted to enforce any right or remedy granted to the Lessor herein, Lessor shall be entitled to recover from Lessee its costs and disbursements incurred, including reasonable attorney's fees. 21. ENTIRE AGREEMENT: This Agreement constitutes the full agreement between the parties hereto, previous oral and/or written agreements being null and void, and it is not subject to modification or alteration except by writing, signed by the principals executing this Agreement or their successors. WITNESS: The parties hereto set their hands on the day and year first written above and by which Lessee acknowledges the receipt of a signed copy of this Lease. 22. This agreement and the Chattel Paper represented hereby is subject to the security interest of Heller Financial, Inc. (a GE Capital Company) as agent (the "Agent") to the lenders (the "Lenders"). LESSEV), / n1~ By (~LD7~ Title fR~~ Witness ~__ State of 'EWII!' VAt1./. A-- Individual _ Partnership ~~SS/P~:4~RP Title ~. Po Witness L0l~ f) State of ~Ol(u Co J\ CL Corporation Original Base Lease 12/01/01 yU'.....<tf.............. nul.' ~................. .&.n..a. ......u vvu u~uv .uv.&,,,, ....&U1o'&..&... '" ~YYI . .RENTAL BILLING END SHEET DATE September 4, 2002 . CRANEORATTACHMENT~ LC-M-7771 023 SALESlLEASE NUMBER LSlOO14~9 CUSTOMER NAME Hearn & Company FROM Heam & Company TO Fem~!. Equipme~! LOCATION .FROM Waymart, PA. L!lCATION TO PunX$uta~eYI PA. PO/OO120512002 ESSEX FRIEI-,HT, PO NUMBER , ~.DATE CRANE 8"JPP~.U 0810612002 DATE 1ST I-OAD ARRIVED 08107/2002 . . DATE LAST LOAD ARRI!!5D 081071200~_ BOOM # II-ENGTH 16CJ1 #. 78 . .n~ # / LENGTH Upper !oom Point Assy RESPONSIBLE YARI) Alabama 'RESPONSlBLE ESSEX EMPLOYEE' David Ya~es 1 G~ne Harris 'FREtGHT AMT TO 8E BILLED '1"0 CUSTOMER $6,375.00 w001579 07i10/2002 RELEASE NUMBER 1092 INSPECTION DATE & W.O. HOUR METER READING AT RENTAL END 08/OG/2002 3522 I ~A~RACTUAL ~::"!'~~_fo1A~~IR:!I..______ .. .. -I ONM = DAMAG~ NEGLECT (LAC<< OF MAIIIfJ!NIlNCE) AND ""SUSE INCLUDING CLEANING LAST DATE OF RENTAL BILUNG I.... 08110/2002 . _._-'-.__~.. __. >- ~ .lAST DATE OF RalTAL S.ILLlNG ::= CUSTOMER USE END DATE + THE NUMBER OF DAYS TO . PERFORM INSPECTION JIND DNM'REPAIRS + NUMBER. OF TIUUISPORT DoA YS (smEll AS INDICATED ON LEASE OR AC~AI.) . ~BT DATE OF RENTAL IJII.LING MUST BE AT LEAS'T 20 DAYS AFTER CUSTOM. ENDS 20 . DAY NOTICE ' COMMENTS ;'.*DATE CRANE SHIPPS' IS WHEN FIRST COllllrONENT SHIPS WHICH INCLUDES BUn; TOP. JJPPElfWOiuc~ CAR800Y, Oil THE CRAWLERS ,... ~.. MORRIS & ADELMAN, P.C. BY: JAMES W. ADELMAN, ESQUIRE IDENTIFICATION #02604 P. O. Box 30477 Philadelphia, Pennsylvania (215) 568-5621 ATTORNEY FOR PLAINTIFF Essex Crane Rental Corporation 19103-8477 Essex Crane Rental Corporation 1110 Lake Grove Road Buffalo Grove IL 60089 COURT OF COM:M:ON PLEAS CUMBERLAND COUNTY CIVIL ACTION vs. Hearn & Co. 9 Brenneman Circle Mechanicsburg PA 17050 NO. 04-4824 Civil CERTIFICATE OF SERVICE I hereby certify that I am this date serving the foregoing document upon the person and in the manner indicated below, which service satisfies the requirement of Pa R C P 440. SERVICE BY FIRST CLASS MAIL ADDRESSED AS FOLLOWS: Anthony C Gulotta Esquire Anderson Gulotta & Hicks PC 1110 N Mountain Rd HarriSburg PA M:::~ DATE: November 18, 2004 ES Vir. ADE , ESQUIRE torney for Plaintiff M RRIS & ADELMAN P.C. P.O. Box 30477 Philade~lphia PA 19103 (215) 568-5621 JWAl1l7.2 0 r-.:> c.,::> 0 C C':::'.l ,-n ;2/"" ".- -1:) t:':< ::z ....... I "'lj;. C.:> n' 'Tl --.. .... < i"" ", :g~ \.D C' ~ - :- ::j S~ ;r.~ . -~ c5( -.;:.;.... .,,,. -- - I (Sm )>~ is ..-j ~ 0.) ~ N -< MORRIS & ADELMAN, P.C. BY: JAMES W. ADELMAN, ESQUIRE ATTORNEY FOR PLAINTIFF IDENTIFICATION #02604 Essex Crane Rental Corporation P.O. Box 30477 Philadelphia, Pennsylvania 19103-8477 (215) 568-5621 Essex Crane Rental Corporation 1110 Lake Grove Road Buffalo Grove IL 60089 COURT OF COMMON PLEAS CUMBERLAND COUNTY CIVIL DIVISION vs. Hearn & Co. 9 Brenneman Circle Mechanicsburg PA 17050 NO. 04-4824 Civil ORDER TO SETTLE, DISCONTINUE & END TO THE PROTHONOTARY: Mark the above-entitled case settled, discontinued and ended upon payment of your costs only. , ESQUIRE Plaintiff So Ordered As Above: Prothonotary J\~A0411. 2 ~., c::> ~= c.n ~:~ .-1 --c :'11 :-TJ :::<.J (..) ~ U1 0')