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HomeMy WebLinkAbout04-5504 Thomas 1. W.:h.:r. Esquir.: Attorney 1.0. 1'\,). 5S853 GOLDBERG ~A'r/\rANI'C 320 Market Street P. O. Box 1268 Harrisburg, PA 17111~-1 ~t,K (717)234-4161, (717) 23-1--1161 U:,cSlmlkl Counselfor Ph,,""I!' HERRE BROS., INC and R.DJ.AM., L.P. IN THE COURT OF COMMON PLEAS CUMBERLAND COUNTY, PENNSYLVANIA Plaintiffs No OLl - K~C>V CIO'll'--r'Ln-"'l v. CINEMAGIC 2250 Millennium Way Enola, PA 17025 Defendant NOTICE YOll HAVE BEEN SUED IN COURT If you wish to defend against the claims set forth in the following pages, you must take action within t\\enty (20) days after this Complaint and Notice are served, by entering a written appearance personally or by attorney and filing in writing with the Court your defenses or objections to the claims set fOl1h 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 CouI1 without further notice for any money clai med 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 O:\E, GO TO OR TELEPHONE THE OFFICE SET FORTH BELOW TO FIND OUT \VI-IERE YOU CAN GET LEGAL HELP, Lawyer Referral Service Cumberland County' Bar Association :2 Liberty A venue Carlisle, PA 17013 717-249-3166 Thomas 1. Weber. Esquire Attorney J.D. "io. 58853 GOLDBERG K.-\TZ~I.-\N. l' C 320 Market Street P. O. Box 1268 Harrisburg. PAl 711 18- J}6X (717) 234-4161. (717) c3..f-..f161 (facSI 1111 Ie I Counselfor PIOII1III( HERRE BROS., INC. and RD.J.AM., L.P. IN THE COURT OF COMMON PLEAS CUMBERLAND COUNTY, PENNSYLVANIA Plaintiffs v. No. CINEMAG 1 C 2250 Millennium Way Enola, PAl 7025 Defendant NOTICIA Le han demand ado a usted en la corte. Si listed quiere defenderse de estas demandas expuestas en las paginas siguientes, usted tiene viente (20) dias de plaza al partir de la fecha de la demanda y la notificacion. Usted debe presentar una apariencia escrita 0 en persona 0 pOl' abogado y archival' en la corte en forma escrita SllS defensas 0 SllS objectiones alas demandas en contra de su persona. Sea adisado que si listed no se defiende, la sin previa aviso 0 notificacion y pOl' eualquier quja 0 puede perder dinero 0 sus p1'Opiedades 0 ot1'Os derechos importantes para usted. LLEVE ESTA DEMANDA A UN ABOGADO IMMEDIATArvIENTE. SI NO TIENE ABOGADO 0 SI NO TIENE EL DINERO SUFICIENTE DE PAGAR TAL SERVICIO, V AY A EN PERSONA 0 LLAME POR TELEFONO A LA OFICINA CUY A DlRECCION SE ENCUENTRA ESCRIT A ABAJO PARA r\ VERIGUAR DONDE SE PUEDE CONSEGUIR ASISTENCIA LEGAL. Lawyer Referral Service Cumberland County Bar Association :2 Liberty Avenue Carlisle, PA 170 13 717-249-3166 Thomas 1. Wchcr. bquirc Attorney J.D. 1'\0. 5RR53 GOLDBERG K-\TI:MAN. l' (' 320 Market Street P.O Box 1268 Harrisburg, PA 171f1R-1 :C6R (717) 234-4161. l7 I 7) 23..-..161 (facSimile) Counsel for Plaintl!)' HERRE BROS., INe. and R.D.J.A.M., L.P. : IN THE COURT OF COMMON PLEAS CUMBERLAND COUNTY, PENNSYLVANIA Plaintiffs v. No. 04 - SSDj C.iuL ~~ CINEMAGIC 2250 Millennium Way Enola, P A ] 7025 Defendant COMPLArNT 1. Plaintiff R DJ.A. M, L P. is a limited partnership organized and existing under the laws of the Commonwealth of Pennsylvania with a principal place of business at 4421 Valley Road, Enola, Pennsylvania 17025-1477. 2. Plaintiff Herre Bros. Inc. is a corporation dually organized and existing under the laws of the Commonwealth of Pennsylvania with a principal place of business at 4417 Valley Road, Enola, PA 17025. 3. Defendant Cinemagic is believed to be a corporation dually organized and existing under the laws of the Commonwealth of Pennsylvania with a principal place of business identified as 2250 Millennium Way, Enola, P A 17025. 4. Pursuant to a Sales Agreement dated April 13, 2004, Plaintiff R.D.lA.M., LP. sold to Cinemagic, a parcel ofland comprising of approximately 1.12 acres. See Sales Agreement attached hereto as Exhibit "A" 5. An Addendum to the Sales Agreement was executed on or about May II, 2004. See Addendum attached hereto as Exhibit "B". 6. Defendant purchased the property with the intention of constructing a new office building for its use on the same. 7. The parcel of land purchased by Defendant is contiguous to other property owned by R.D.J.A.M., LP and Herre Bros, Inc. 8. The principal owner of Herre Bros, Inc. is also a principal in R.D.J.A.M., LP. 9. Plaintiff Herre Bros., Inc. is an electrical/mechanical, HV AC contractor with over 90 years of experience in the Central Pennsylvania area. 10. Due to the close proximity of Defendant's anticipated new ofTice building, it was of interest to the Plaintiffs that companies competing with Herre Bros, lnc would not have the opportunity of using Defendant's new construction site as a parcel upon which competitors of Herre Bros., Inc. could do business and stage their advertising. 11. As a result, PlaintiffR.D.J.A.M., LP agreed to reduce the purchase price of the real estate in exchange for Defendant's agreement to utilize the services of Plaintiff Herre Bros., Inc. for the mechanical and electrical trades in the construction of Defendant's new building. See Section E of Special Clauses to Agreement of Sale attached hereto as Exhibit A. ("It is the Buyers intent to contract with Pyramid Construction Services to build a new facility, who in turn will utilize Herre Bros, Inc. for mechanical/electric trades for a reasonable cost") .2 12. At the time Defendant agreed to utilize the services of Herre Bros., Inc., Defendant knew of the association between Plaintiffs and further knew Plaintiff Herre Bros., Inc. utilized union labor. 13. Defendant's selected contractor, Pyramid Construction, was willing to utilize the services of Herre Bros., Inc. 14. Following closing on the real estate, Defendant's general contractor contacted Herre Bros., Inc. for purposes of initiating the construction process. 15. As a result, Herre Bros, Inc. prepared technical design drawings for the mechanical and electrical components of Defendant's building and provided an estimate of $138,360.00 for completion of the electrical and mechanical component of the project. 16. Despite contractually agreeing to utilize the services of Herre Bros., Inc., Defendant has now refused to do so in breach of the contract. COUNTJ 17. Paragraphs 1 through 16 are incorporated herein as though set forth in their entirety. 18. Defendant agreed to utilize the services of Herre Bros, Inc. in the construction of its building. 19. In exchange for this agreement, Plaintiff, RD.JAM., LP reduced the purchase price of the real estate by $ 16,940 00 20. Defendant has now breached its contract with RD.JAM, L.P. by refusing to use Herre Bros" Inc. , .' 21. But for its promise to utilize Herre Bros. Inc., PlaintiffRDJ.A.M. would not have reduced the sale price for the parcel ofland. WHEREFORE, R.D.lA.M., LP. demands judgment in its favor and against Defendant in an amount in excess of $15,000 plus interest and costs, which amount does not exceed the limit for compulsory arbitration. COUNT IJ 22. Paragraphs 1 through 21 are incorporated herein as though set forth in their entirety. 23. Herre Bras, Inc. \Vas a third party beneficiary of the contractual provisions governing mechanical and electrical services between R.DJA.M., LP and Cinemagic. 24. Herre Bros, Inc. expended time and energy in preparing design drawings and an estimate for the mechanical and electrical services. 25. Defendant has breached its contractual agreement to use Here Bros. Inc. 26. As a result of Defendant's breach, Herre Bros, Inc. has been improperly deprived of its profit and overhead on the job totaling $ 24,087.46. ~ WHEREFORE, Plaintiff Herre Bros, Inc. demands judgment in its favor and against Defendant in an amount in excess of $20,000 plus interest and cost which amount does not exceed the amount of compulsory arbitration. Respectfu II y submitted, Date: IOlt~1 01 7: KATZMAN, ~c By J11ttM~ ~ r-- Thom~.s ,J. W eber, Esq~~re Arrorne), J.D. No. 588__, 320 !\1arket Street P.O Box 1268 Harrisburg, P A 17108-1268 Telephone (717) 234-4161 Attorneys for PlaintitT ::ODMA\PCDOCS\DOCS\I095131\ :1 RECYCLED @ i tit -.b; -f- 1\ . ( , AGREEMENT FOR THE SALE OF COMMERCIAL REAL ESTATE This form I'ecommended and approved for, but not restricted 10 use by, the members of the Pennsylvania Association of REAL TORS@ (P ARl. AlS-C SELLER'S BUSINESS RELATIONSHIP WITH PA LICENSED BROKER BROKER (Company) Landmark C01l1l\lercial Realty, Inc. PHONE ('717) 731-1990 ADDRESS 20 Erford Road, Suite 215, Lemoyne, PA 17043 FAX (717)731-8765 BROKER IS THE AGENT FOR SELLER. Designated Agent(s) for Seller, if applicable: Jeremy Shyk and Tom Posavec OR Bl'olw' is NOT the Agent for Seller and is alan: 0 AGENT FOR BUYER 0 TRANSACTION LICENSEE BUYER'S BUSINESS RELATIONSHIP WITH PA LICENSED BROKER BROKER (Company) Landmark C01l1l\lercial Realty, Inc. ADDRESS 20 Erford Road, Suite 215, Lemoyne, PA 17043 BROKER IS THE AGENT FOR BUYER. Designated Agent(s) for Buye.', U applicable: OR BI'oltel'ls NOT the Ageut fOI' Buyel" RIId is alnu: 0 AGENT FOR SELLER ~ SUBAGENT FOR SELLER 0 TRANSACTION LICENSEE PHONE (717) 731-1990 FAX (717)731-8765 Wheu tile same B."oker is Ageut for Seller aud Ageut for Buyer, BI'oker is a Dual Ageut. All of Broker's IIceusees al"e nlso Dunl Agents UNLESS thcrc are separate Deslguated Agents for Buyer aud Seller. If the same Licensee Is designated for Seller and Buyer, the Licensee Is a Dunl Agent. I 2 3 4 5 6 7 8 9 to 11 12 13 14 15 16 17 18 19 '20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48' 49 50 l. THIS AGREEMENT, dated April 13. 2004 SELLER(S): R.D.J.A.M. Limited. Partnership clo Richard. McBride is between , called "Seller," and BUYER(S): Cinemaaic andlor Assigns clo Louise Hanley , called "Buyer." 2. PROPERTY. Seller hereby agrees to sell and convey to Buyer, who hereby agrees to purchase: ALL THAT CERTAIN lot or pie<:e of ground with buildings and improvements thereon erected, ifany, known as: Tract #2 Lot #6. App~ox. 1.12 Ac~es, Millennium Way, Pv~amid Business Park. Eno1a. (See Attached Plan) in the Township of Hampden County of Cumbe~land Commonwealth ofPennsylvlInia, Zip Code 17025 Identification (e.g., Tall.1D #j Parcel #j Lot, Blockj Deed Book, Page, Recording Date) P.l\. 3. TERMS (10-01) (A) Purchase Price lOa. 500 . 00 which will be paid to Seller by Buyer as follows: (I) Cash or check at signing this Agreement: (2) Cash or check within 3 days of the execution of this Agreement: (3) (4) (5) Cash, cashier's or certified check at time of settlement: U.S. Dollars (B) $ $ $ $ $ TOTAL $ Deposits paid on account of purchase price to be held by Broker for Seller, unless otherwise stated here: 5.000.00 103.500.00 108.500.00 (C) Seller's written approval on or before: April 15. 2004 (D) Seltlement to be on June 15. 2004 ,or before if Buyer and Seller agree. (E) Conveyance from Seller will be by fee simple deed of special warranty unless otherwise stated here: (F) Payment of transfer taxes will be divided equally between Buyer and Seller unless otherwise stated here: (0) At time of settlement, the following will be adjusted pro-rata on a daily basis between Buyer and Seller, reimbursing where applicable: taxes (see Notices and Information Regarding Tax Proration); rents; interest on mortgage assumptions; condominium fees, if any; water and/or sewer fees, if any; together with any other lienable municipal service. The charges are to be pro-rated for the period(s) covered: Seller will pay up to and including the date of settlement; Buyer will pay for all days following settlement, unless otherwise stated here: (H) Buyer shall reimburse Seller for the actual costs of any remaining heating, cooking or other fuels stored on the Property at the time of settlement, unless otherwise stated here: 4. FIXTURES AND PERSONAL PROPERTY (1-00) (A) INCLUDED in this sale and purchase price are all existing items permanently installed in the Property, free of liens, including plumbing; HV AC equipment; lighting fixtures (including chandeliers and ceiling fans); and water treatment systems, unless otherwise stated below" Also included: (B) LEASED items: (C) EXCLUDED fixtures and items: 5. SPECIAL CLAUSES: (A) The following are part of this Agreement if checked: o o o o -- . - -.... -. r"C'l'101\..lC! {11i' A. NV\~ 5. Special Clauses (Continued): This agreement is expressly contingent upon the following terms and conditions being met or waived or this agreement shall become null and void and the deposit together with interest shall be returned to the BUYER and neither BUYER or SELLER shall have any further obligation to the other. Each condition will be deemed to have been satisfied by settlement or the otherwise indicated dates unless BUYER notifies SELLER or SELLER'S agent to the contrary in writing on or before the indicated date: A. B. D. FEASIBILITY PERIOD: BUYER or BUYER'S agent shall have a period of thirty-five (35) days from the date of the Agreement is fully executed to enter upon and investigate all aspects of the property with out limitation. Included, but not limited to, soil and subsoil studies, including core samples, environmental studies, engineering studies, land-use planning and feasibility studies, access to utilities, access to highways or any other studies or inspections BUYER deems necessary to determine the property meets the BUYER'S intended use to BUYER'S sole satisfaction. RIGHT TO TERMINATE: If BUYER determines, in BUYER'S sole discretion, not to acquire the property for any reason, BUYER may, at its option, terminate by written notice to SELLER on or before the expiration of the Feasibility Period set forth in Paragraph 5A above. Upon such termination, the Deposit, and all accrued interest thereon, will be immediately returned t6 BUYER and BUYER will have no liability to SELLER hereunder so long as the termination occurs prior to May 15,2004. c. FINANCING: BUYER to secure acceptable conventional financing to acquire and develop the property for its intended use on/or before May 15,2004. SHORT TERM LEASE: SELLER agrees to allow BUYER to lease up to 3,000 Sq. Ft. of ?f~ce .space ~t 2250.Millennium Way, Enola, PA at a rate of $15.75 per square foot plus Jamtonal servIce. SaId lease shall begin no later than July 15, 2004 and shall continue until completion and move-in by BUYER at BUYER'S new office building. Formal lease document to be executed on or before May 1,2004. E. It ;;: tl~.. 6 v'{ u-r Co 1"4 ft'4.( f"ll'n .J.e,r.,l,' ( v) ; r) 'Ie t'\ 'f- tv (jj" 'fr'v l r (,vI y" P Y ,r., I,Tt ,. d to tf '" " ( d 11 e.v./ t:; c ,: (, -II v.../~ f;) I'" He{J\:. . 11 t"t'.f . JA c fd r~' m ("c ~ (\1\ I C C{ ( / Ele,d.. 1t(1'f\ -r;~Il..r vv;f( f-dr \.A 1-/' (/' ?C' ~q-rq..,vbk 0:;11- , C\ # 2 3 4 .5 ,6 ,7 i8 ;9 '0 Tl T2 73 74 75 76 77 78 79 80 81 82 83 84 85 86 87 88 89 90 91 92 93 94 95 96 97 98 99 100 101 102 103 104 105 106 107 108 109 110 III 112 113 114 115 116 117 118 119 120 121 11. 122 123 124 125 126 127 128 129 130 131 132 133 I 6. .pOSSESSION (5-01) I (A) Possession is to be delivered by deed, keys and: . I UNLESS I Physical possession to vacant Property free of debris, with all structures broorn clean, at day and time of sett ement R . . , AND/O 2. ~~~~:::~~a~~~~~:~~g lease(s), together with any security deposits and interest, at time of settlement, if Property is leased at the execution of this Agreement or unless otherwise specified here: Buyer will acknowledge existing lease(s) by initialing said lease.(s~ at time of~igning tbis A~r~ement if Property is leased. . (B) Seller will not enter into any new leases, written extension of eXlstmg leases, If any, or additional leases for the Property Without written consent of the Buyer. 7. DATESITIME IS OF THE ESSENCE (5-01) ., . (A) The said date for settlement and all other dates and times referred to for the performance of any of the obhgatlons of thiS Agreement are hereby agreed to be of the essence of this Agreernent. .., (B) For the purposes of this Agreement, number of days will be counted from the date of execution, by excludmg the day thiS Agreement was executed and including the last day of the time period. . . (C) "The date of settlement is not extended by any other provision of this Agreement and may only be extended by wnUen agreement of the parties. 8. FINANCING CONTINGENCY (5-01) o WAIVED. This sale is NOT contingent on financing. [1g ELECTED (A) This sale is contingent upon Buyer obtaining fUlancing as follows: 1. Amount ofloan $ 2. Minimum Term years 3. Type ofloan 4. Buyer agrees to accept the interest rate as may be committed by the lender, not to exceed a maximum interest rate of %. (B) Within 10 days of the execution of this Agreement, Buyer will make a completed, written application to a responsible lender according to the terms above. The Broker for Buyer, if any, otherwise the Broker for Seller, is authorized to communicate with the lender for the purposes of assisting in the loan process. . (C) 1. Upon rc:ceipt of a ~nancing commitment, Buyer Z'~~y'aeliver a co C'1:Ulnmitment to Seller. 2. FII~ancll1g commitment date Mav li, 2004U. _' . Unless otherwise agreed to in writing by Buyer and Sell r, i n mmitment is not received by Seller by the above date, all deposit monies paid on account of purchase price will be returned promptly to Buyer and this Agreement will be VOID. Buyer will be responsible for any premiums for mechanics lien insurance and/or title search, or fee for cancellation of same, if any; AND/OR any premiums for flood insurance and/or fire insurance with extended coverage, insurance binder charges or cancellation fee, if any; AND/OR any appraisal fees and charges paid in advance to lender. &; 9. ZONING CLASSIFICATION (5-01) '" Failure of this Agreernent to contain the zoning classification (excep t in cases where the property {and each parcel thereof, if subdividable ~j)~: is zoned solely or primarily to permit single-family dwellings) will render this Agreement voidable at the option of the Buyer, and, ir V, void~d, any d~posit;' tendered by the Buyer will be returned to the I}u~er without any r~quifement for court action. .' .r- ' -. D < . ,'. ZonmgClasslficatlon: f,,:-.lVl/\,r'-,....t A('>/<' ___d(.'1'I111.ftw~ rtft'{"frn.rw..'t c..Ir(,(\ ISftrv 10. ZONING CONTINGENCY (5-01) o WAIVED [1g ELECTED. Within 30 days of the execution of this Agreement by all parties, Buyer will verify that the proposed use of the Property as 5000-6000 SF Off. Bldg is permitted. In the event the proposed use is not permitted, Buyer' will, within the time given for verification, notify Seller in writing that the proposed use of the Property is not permitted and Buyer will (check only one): 00 Option 1. Within the time for verifying the zoning classification, notify Seller, in writing, of Buyer's decision to proceed with the purchase of the Property or terminate the Agreement. Should Buyer elect to terminate the Agreement all deposit monies paid on account of purchase price will be returned promptly to Buyer and this Agreement will be VOID. Failure of Buyer to provide written notice of Buyer's decision will constitute a WAIVER of this contingency and Buyer accepts the Property and agrees to the RELEASE 'set forth in paragraph 25 of this Agreement. o Option 2. Make application for approval (or variance/non-conforming use/conditional use/special exception) from (municipality) to use the Property as (proposed use). (A) Such application wiII be made on or before . (B) Buyer will pay for applications, legal fees, engineering and any other cost associated with obtaining approval. (C) If the municipality requires the application to be signed by the current owner, Seller agrees to do so. (D) If a final, unappealable approval is not obtained by monies paid on account of purchase price will be returned promptly to Buyer and this Agreement will be VOID. STATUS OF WATER (5-01) Seller represents that this Property is served by: [1g Public water o On-site water o Community Water o None o Seller further warrants that this system(s) is/are fully paid for as of the execution date of this Agreement. STATUS OF SEWER (5-01) Seller represents that Property is served by: [1g Public Sewer o Community Sewage Disposal Systel~ o Off-Property Sewage Disposal System L ~:u:-'u_1 ,,- T ~, ,"a",~".. T)i~hn~,,1 ~v"tp.m (See Sewa2e Notice I) , all deposit L COpy 12. 9 o 1 2 3 4 ,5 ;6 ;7 14. i8 ;9 iO 51 52 53 S4 65 66 67 68 69 70 71 72 73 15. 74 75 76 77 78 .79 180 181 182 183 184 185 186 187 188 189 190 16. 191 192 193 194 195 196 197 198 199 200 201 17. 202 203 204 205 206 207 208 209 210 18. 211 212 213 214 215 19. 216 217 20. 218 219 220 21. . .(B) ~eller and Buyer acknawledge that any Broker identified in this Agreeme~t: (l)dIS ~1:ice~s;~:a~;t~;~I~~~~~~~i~~sI~rn~t~a~~~:r~~; canstructian engineering ar enviranmental matters; and (3) Has nat ma e an WI no . d' b t r 't d conduct inv~stigatians af'the environmental canditian ar suitability af the Property ar any adjacent property, mclu mg ut no Iml e to. those canditions listed in paragraph 13(A). .' . .,. . d' ~ d (C) Seller agrees to. indemnify and to. hald Broker harmless fram and agaJ~~t all c1aJ~s, .d.emands, or hablhtles~ 11lclu 11l~ attarneys ees~, caurt costs which arise from ar are related to the enviranmental candltlan ar sUltablhty of the Praperty pnar to, dunng, ar after Sell r s accupatia; of the Property including withaut limitation any cand.itian listed in paragraph 13(A). . (D) The provisions afthis Section will survive the performance ofthls Agreement. NOTICES & ASSESSMENTS (5-01) . . . . (A) Seller represents as af Seller's execution af this Agreement, that no. public impro.vement, candammJUm ar aw?er assa~Jatlan assessments have been made against the Property which remain unpaid and that no. natlce by any gavernm.ent ar pU?hc authanty has been served upan Seller or anyone an Seller's behalf, including natices relating to. vialatians afzaning, hau~11lg, bUlldmg, safety. ar fire ardinances which remain uncarrected, and that Seller knaws af no. conditian that wauld canstitute vialatlan of any such ard1l1ances which remains uncarrected, unless atherwise specified here: (B) Seller knaws af no. other patential notices (including violatians) and assessments except as follaws: (C) Any natice af impravements ar assessments received on or before the date of Seller's acceptance af this Agreement, unless improvements cansist af sewer ar water lines nat in use, shall be the respansibility af Seller; any notices received thereafter shall be the responsibility af the Buyer. . (D) If required by law, Seller will deliver to. Buyer, an or befare settlement, a certificatian from the appropriate municipal department or departments disclosing natice afany uncorrected vialatian o.fzaning, building, safety, ar fire ordinances. (E) Buyer is advised that access to. a public raad may require issuance af a highway accupancy permit from the Department af Transportatian. TITLE, SURVEYS AND COSTS (1-00) (A) The property is to. be canveyed free and clear of all liens, encumbrances, and easements, EXCEPTING HOWEVER the fallowing: existing deed restrictions, histaric preservatian restrictians ar ardinances, building restrictions, ordinances, easements of raads, easements visible upon the ground, easements of record, privileges or rights af public service companies, laJlds use restrictians pursuant to. property enrallment in a preferential tax pragram if any; otherwise the title to the above described real estate will be gaad and marketable and such as will be insured by a reputable Title Insurance Campany at the regular rates. (B) In the event the Seller is unable to give a good and marketable title and such as will be insured by a reputable Title Insurance Campany at the regular rates, as specified in paragraph I5(A), Buyer will have the option o.f: (I) Taking such title as Seller can give, with no change to the selling price; ar (2) Being repaid all monies paid by Buyer to. Seller on account af purchase price and being reimbursed by Seller far any costs incurred by Buyer for thase items specified in paragraph 15(C) and in paragraph 15(D) items (1), (2), (3), in which case there will be no further liability ar abligatian on either of the parties hereto and this Agreernent will become VOID. (C) Any surveyor surveys which may be required by the Title Insurance Campany ar the abstracting attarney, for the preparation af an adequate legal description af the Property (ar the carrection thereof), will be secured and paid for by Seller. Hawever, any survey ar surveys desired by Buyer ar required by the martgage lender will be secured and paid far by Buyer. (D) Buyer will pay far the following: (I) Title search, title insurance and/ar mechanics lien insurance or fee for cancellatian af same, if any; (2) Flo.od insurance, fire insurance with extended coverage, mine subsidence insurance, and cancellation fees, if any; (3) Appraisal fees and charges paid in advance to mortgage lender, if any; (4) Buyer's custamary settlement casts and accruals. COAL NOTICE 00 NOT APPLICABLE o APPLICABLE. THIS DOCUMENT MAY NOT SELL, CONVEY, TRANSFER, INCLUDE OR INSURE THE TITLE TO THE COAL AND RIGHTS OF SUPPORT UNDERNEATH THE SURFACE LAND DESCRIBED OR REFERRED TO HEREIN, AND THE OWNER OR OWNERS OF SUCH COAL MAY HAVE THE COMPLETE LEGAL RIGHT TO REMOVE ALL SUCH COAL AND IN THAT CONNECTION, DAMAGE MA Y RESULT TO THE SURF ACE OF THE LAND AND ANY HOUSE, BUILDING OR OTHER STRUCTURE ON OR IN SUCH LAND. (This notice is set forth in the rnanner provided in Section I af the Act af July 17, 1957, P.L. 984.) "Buyer acknawledges that he may nat be obtaining the right af protection against subsidence resulting from caal mining aperatians, and that the praperty described herein may be protected fram damage due to. mine subsidence by a private cantract with the owners of the econamic interests in the caal. This acknowledgement is made for the purpase of camplying with the provisians of Sectian 14 of the Bituminaus Mine Subsidence and the Land Canservation Act af April 27, 1966." Buyer agrees to. sign the deed fram Seller which deed will contain the afaresaid provisian. TAX DEFERRED EXCHANGE (10-01) 00 NOT APPLICABLE o APPLICABLE. In the event Seller wishes to. enter into. a deferred exchange far the Praperty pursuant to. Sectian 1031 of the Internal Revenue Cade, Buyer agrees to. co. operate with Seller in connection with such exchange, including the executian af such documents as may be reaso.nably necessary to conduct the exchange, pravided that there shall be no. delay in the agreed-to. settlement date, and that any additianal costs associated with the exchange are paid salely by Seller. Buyer is aware that Seller anticipates assigning its interest in this Agreement to. a third party under an Exchange Agreement and daes hereby consent to such assignment. Buyer shall nat be abligated to take title to. any property other than the Praperty described in this Agreement. Seller shall indemnify and hald harmless Buyer against any liability which arises or is claimed to have arisen from any aspect of the exchange transaction. COMMERCIAL CONDOMINIUM (10-01) 00 NOT APPLICABLE o APPLICABLE. Buyer acknowledges Ulat the candominium unit to be transferred by the terms af this Agreement is intended far nonresidential use, and the Buyer may agree to. madify or waive the applicability af certain provisians af the Uniform Candominium Act of Pennsylvania (68 Pa. C.S. ~3101 et. seq.). RECORDING (5-01) This Agreement will nat be recarded in the Office of the Recorder af Deeds ar in any other affice ar place of public record. If Buyer causes ar permits this Agreement to be recarded, Seller may elect to. treat such act as a breach afthis Agreement. ASSIGNMENT (3-85) This Agreement will be binding upan the parties, their respective heirs, persanal representatives, guardians and successars, and, to the extent assignable, on the assigns af the parties hereto.. It is expressly understaad, hawever, that the Buyer will nat transfer or assign this Agreement withaut the written cansent afthe Seller. DEPOSIT AND RECOVERY FUND (1-00) . . . OoLL_ '"In. ..1__... ....f' ..."",.....lo.r""..::.nt u,ill h.,. h" I""3lt"h ""!:l~ht...rt~ nr C"prtifi".A ,...h...,...\r f)pnnC!itC! rPDa.rrl1pC!(! nr thp fnrm nf \ 4. 21 . MAINTENANCE AND RISK OF LOSS (5-01) . . I d i t d 5 . (A) Seller will maintain the Property, and any personal property specified herein, in its present condltlO~, norma wear an t~ar expec e . 6 (B) Seller will prornptly notify the Buyer if, at any time prior to the time of settlement, all or any portion of the Property IS destroyed, or 7 damaged as a result of any cause whatsoever. . .' 8 (C) Seller wil\ bear risk of loss from fire or other causes until time of settlemen~. In the ev~nt.that d.amage to any propertY.I~cluded In tl.l1S 9 sale is not repaired or replaced prior to settlement, Buyer wil\.~ave the option. of rescmdmg thiS Agre~ment and receIVIng all ~ollles .0 paid on account or of accepting the Property in its then condition together with the proceeds of any msuranc~ reco~ery obtamed ~y ~ 1 Seller. Buyer is hereby notified that he/she may insure his/her equitable interest in this Property as of the time thiS Agreement IS ~2 accepted. ~3 23. CONDEMNATION (5-01) ~4 Seller has no knowledge of any current or pending condemnation or eminent domain proceedings ~hat would affect the Property. If any IS portion of the Property should be subject to condemnation or eminent domain procee?ings after ~he sig~ing of this Agreement: ~eller ~hall 16 immediately advise Buyer, in writing, of such proceedings. Buyer shall have the option to term mate thiS Agreement by provldmg wntten n notice to Seller within fifteen (15) days after Buyer learns of the filing of such proceedings, in which case Seller shall return to Buyer all 18 money paid on account of the purchase price by Buyer. Buyer's failure to provide notice of termination within the time stated will 19 constitute a WAIVER of this contingency and all other terms of this Agreement remain in full force and effect. 50 24. WAIVER OF CONTINGENCIES (1-00) 51 In the event this Agreement is contingent on Buyer's right to inspect and/or repair the Property, Buyer's failure to exercise any of Buyer's 52 options specified in the contingency provision(s) within the time limits will constitute a WAIVER of that contingency and Buyer 53 accepts the Property and agrees to the RELEASE set forth in paragraph 25 of thili Agreement. 54 25. RELEASE (1-00) Buyer hereby releases, quit claims and forever discharges SELLER, ALL BROKERS, theh' LICENSEES, 55 EMPLOYEES, and any OFFICER or PARTNER of anyone of them and any other PERSON, FIRM, or CORPORATION who 56 may be liable by or through them, from any and all claims, losses or demands, including, but not limited to, personal injuries and 57 property damage and all ofthe consequences thereof, whether now known or not, which may arise from the presence of termites or 58 other wood-boring insects, radon, lead-based paint hazards, environmental hazards, any defects in the individual on-lot sewage 59 disposal system or deficiencies in the on-site water service system, or any defects or conditions on tbe Property. This release will .60 survive settlement. .61 26. REPRESENTATIONS (5-01) :62 (A) Buyer understands that any representations, claims, advertising, promotional activities, brochures or plans of any kind made by Seller, ~63 Brokers, their licensees, employees, officers, or partners are not a part of this Agreement unless expressly incorporated or stated in this ~64 Agreement. It is further understood that this Agreement contains the whole agreement between Seller and Buyer and there are no other ~6S terms, obligations, covenants, representations, statements or conditions, oral or otherwise of any kind whatsoever concerning this sale. ~66 Furthermore, this Agreement will not be altered, amended, changed or modified except in writing executed by the parties. !67 (B) It is understood that Buyer has inspected the Property before signing this Agreement (including fixtures and any personal !68 property specifically scheduled herein), or has waived the right to do so, and has agreed to purchase it in its present condition !69 unless otherwise s~ated in this Agreement. Buyer acknowledges that Brokers, tbeir licensees, employees, officers or partners l70 have not lJ.1ade an independent examination or determination of the structural soundness of the Property, the age or condition l71 of the components, environmental conditions, the permitted uses, or of conditions existing in the locale where all Property is l72 situated; nor have they made a mecbanical inspection of any of the systems contained therein. 273 (C) Broker(s) may perform services to assist unrepresented parties in complying with the terms of this Agreement. ].74 (D) The headings, captions, and line numbers in this Agreement are meant only to make it easier to find the paragraphs. 275 27. DEFAULT (1-00) 276 Should Buyer: 277 (A) Fail to make any additional payments as specified in paragraph 3; OR 278 (B) Furnish false or incomplete information to Seller, Broker for Seller, Broker for Buyer, or the lender, if any, concerning the Buyer's 279 legal or financial status, or fail to cooperate in the processing ofthe loan application, which acts would result in the failure to obtain the 280 approval of a loan commitment; OR 281 (C) Violate or fail to fulfill and perform any other terms or conditions of this Agreement; 282 then in such case, Seller has the option of retaining all sums paid by Buyer, including the deposit monies, I) on account of purchase 283 price, or 2) as monies to be applied to Seller's damages, or 3) as liquidated damages for such breach, as Seller may elect, unless 284 otherwise checked below. 285 IX! Seller is limited to retaining sums paid by Buyer, including deposit monies, as liquidated damages. 286 If Seller elects to retain all sums paid by Buyer, including deposit monies, as liquidated damages, Buyer and Seller will be released 287 from further liability or obligation and this Agreement will be VOID. 288 28. CERTIFICATION OF NON-FOREIGN INTEREST (10-01) 289 0 Seller IS a foreign person, foreign corporation, foreign partnership, foreign trust, or foreign estate subject to Section 1445 of the 290 Internal Revenue Code, which provides that a transferee (Buyer) of a U.S. real property interest must withhold tax if the transferor 291 (Seller) is a foreign person. 292 IX! Seller is NOT a foreign person, foreign corporation, foreign partnership, foreign trust, or foreign . estate as defined by the Internal 293 Revenue Code, or is otherwise not subject to the tax withholding requirements of Section 1445 of the Internal Revenue Code. To 294 inform Buyer that the withholding of ta.'I. is not required upon the sale/disposition of the Property by Seller, Seller hereby agrees to 295 furnish Buyer, at or before closing, with the following: 296 0 An affidavit stating, under penalty of perjury, ~e Seller's U.S. taxpayer identification number and that the Seller is not a foreign 297 person. 298 0 A "qualifying statement," as defined by statute, that tax withholding is not required by Buyer. 299 0 Other: 300 Seller understands that any documentation provided under this provision may be disclosed to the Internal Revenue Service by Buyer, and 301 that any false statements contained therein could result in punishment by fine, imprisonment, or both. 302 29. ARBITRATION OF DISPUTES (1-00) Buyer and Seller agree to arbitrate any dispute between them that cannot be amicable resolved. 303 After written demand for arbitration by either Buyer or Seller, each party will select a competent and disinterested arbitrator. The two so 304 selected will select a third. If selection of the third arbitrator cannot be agreed upon within 30 days, either party may request that selection 305 be made by a judge of a court of record in the county in which arbitration is pending. Each party will pay its chosen arbitrator, and bear - . ... . It .L ~u ________.. ~j:' ~......:....n,.;......... A ..h:.......,.;.......... ..",ill ....a .n..............J.."'t.nA in n,..,..".......-J"....,...,. 11l1;th thA FuOruliro:"",ro ......f I ~ ) I 2 3 4 5 6 7 .8 :9 iO II 12 13 14 35 36 37 38 39 40 41 42 43 44 -45 ;46 147 148 149 l50 351 352 353 354 355 356 357 358 359 360 361 362 363 364 365 366 367 368 369 370 37\ 372 373 374 375 376 377 378 379 380 381 382 383 384 385 386 387 388 389 31. .GOVERNING LAW (10~01) .' aI h fP I' This Agreement shall be construed and interpreted m accordance with the laws of the Common we t 0 ennsy vama. 32 NOTICE BEFORE SIGNING (5-01) .' h I I d 1 flI ts of this . Bu er and Seller acknowledge that Brokers have advised them to consult and retam experts concermn~ t e .ega an ax ~ ~c A ~eement and the completion of the sale, as well as the condition and/or legality of the Property, .m~ludmg, b~t ?ot limited lo, U~e pr~perty's improvements, equipment, soil, tenancies, title ~d envir?nmental aspects. Re~urn by faCSimile transmiSSIOn (FAX) of thiS Agreement, and all addenda, bearing the signatures of all parties, constitutes acceptance of thiS Agreement. 33. ~~~~~~ requirements under the provisions of this Agreement or by application of statutory or commo~ law will be addr~ssed to the appropriate party, at the addresses listed below via any means of delivery as mutually agreed upon by the parties and stated here. '. If to Seller: With a copy to: Ifto Buyer: With a copy to: 00 Buyer has received the Consumer Notice as adopted by the State Real Est~te Commission at 49 Pa. Code ~35.336. o Buyer has received a statement of Buyer's estimated closing costs before signing this Agreement. o Buyer has received the Deposit Money Notice (for cooperative sales when Broker for Seller is holding deposit money) before signing this Agreement. Buyer acknowledges receiViig copy of this AFJeerrJn; a~,the time o:';~1 !f WITNESS/ATIEST '-----IS. - 61>1' BUVrc,l,ta ' 9' DATE BUYER(S) NAME Ci aCJ.,~:~/or Ass~ans c/o LouiJ" Hfln1 PY ..... SSrrl# Mailing Addr:ess Phone #s E~Mail I.( II L/ /0 .; FAX# WITNESS/A TTEST BUYER DATE BUYER(S) NAME Mailing Address Phone #s E-Mail 88rn # FAX# WITNESS/A TTEST BUYER DATE BUYER(S) NAME Mailing Address Phone #s E-Mail ssm # FAX# o Seller bas received tbe Consumer Notice as adopted bytbe State Real Estate Commission at 49 Pa. Code ~35.336. o Seller has received a statement or Seller's estimated closing costs before signing this Agreement. VOLUNTARY TRANSFER OF CORPORATE ASSETS (if applicable): The undersigned acknowledges that he/she is authorized by the Board of Directors to sign this Agreement on behalf of the Seller corporation and that this sale does not constitute a sale, lease, or exchange of all or substantially all the property and assets of the corporation, such as would require the authorization or consent of the shareholders pursuant to 15 P.S. ~ BU. SELLER'S ACCEf.'fANCE: Seller hereby ~ts-.pte above contract this (date) ~t:i!-~ tl 0 CJ Y WITNESS~EST \.... X_~'(tit....- SELLE~~C-----... DATE y~.s-~V SELLER(S)NAMER.D.J.A.M. Li.1nited Partnership c/o Richrlrn McBride ssrrI# Mailing Address Phone #s E-Mail FAX# WITNESS/A TTEST SELLER DATE SELLER(S) NAME Mailing Address Phone #s E-Mail SSfTI# FAX# ~"H .. UD nAT11'. NOTICES AND INFORMATION INFORMATION REGARDING TAX PRORATION For ur oses of prorating real estate taxes, the "periods covered" by the tax bills are as follows: for ~Il counties and municipalities in pem~YI~ania, and for the Philadelphia, Pittsburgh, and Scranton school districts, the tax bills are for the penod January 1 to December 31. For all other school districts, the period covered by the tax bill is July 1 to June 30. 5 . . 7 8 9 o 1 2 '3 14 15 16 )7 )8 )9 10 II 12 13 14 15 16 17 18 19 . 20 .21 .22 m 124 125 126 ~27 l28 129 '1-30 431 432 433 434 435 436 437 438 439 440 441 442 443 444 445 446 447 448 449 450 451 452 453 454 455 456 457 458 459 460 461 462 463 464 465 466 NOTICE 1: SEW AGE NOTICES NOTICES PURSUANT TO THE PENNSYLVANIA SEWAGE FACILITIES ACT THERE IS NO CURRENTLY EXISTING COMMUNITY SEW AGE SYSTEM A V AILA~LE FOR THE SUBJEC! PROPERTY. Section 7 of the Pennsylvania Sewage Facilities Act provides that no person shall \I1stall, construct, req~est bid proposals for construction, alter, repair or occupy any building ~r str~cture for which ~n .indivi~ual sewage system IS to be installed, without first obtaining a permit. Buyer is advised by thiS notice th~t, before Signing thIS Agn:ement of Sale, B.u~er should contact the local agency charged with administering the Act to determme the procedure an~ reqUlrement.s ror ?btammg a permit for an individual sewage system. The local agency charged with administering the Act Will be the mUnicipalIty where the Property is located or that rnunicipality working cooperatively with others. THIS PROPERTY IS SERVICED BY AN INDIVIDUAL SEWAGE SYSTEM INSTALLED UNDER THE TEN-ACRE PERMIT EXEMPTION PROVISIONS OF SECTION 7 OF THE PENNSYLVANIA SEWAGE FACILITIES ACT. (Section 7 provides that a permit may not be required before installing, constructing, awarding a contract for construction, altering, repairing or connecting to an individual sewage system where a ten.~cre parcel or lot is subdivided from a parent tract after January 10, 1987.) Buyer is advised that soils and site testing were not conducted and that, should the system malfunction, the owner of the Property or properties serviced by the system at the time of a malfunction may be held liable for any contamination, pollution, public health hazard or nuisance which occurs as a result. NOTICE 2: NOTICE 3: THIS PROPERTY IS SERVICED BY A HOLDING TANK (PERMANENT OR TEMPORARY) TO WHICH SEWAGE IS CONVEYED BY A WATER CARRYING SYSTEM AND WHICH IS DESIGNED AND CONSTRUCTED TO FACILITATE ULTIMATE DISPOSAL OF THE SEWAGE AT ANOTHER SITE. Pursuant to the Pennsylvania Sewage Facilities Act, Seller must provide a history of the annual cost of maintaining the tank from the date of its installation or December 14, 1995, whichever is later. NOTICE 4: AN INDIVIDUAL SEWAGE SYSTEM HAS BEEN INSTALLED AT AN ISOLATION DISTANCE FROM A WELL THAT IS LESS THAN THE DISTANCE SPECIFIED BY REGULATION. The regulations at 25 Pa. Code ~73.13 pertaining to minimum horizontal isolation distances provide guidance. Subsection (b) of ~73.13 states that the minimum horizontal isolation distance between an individual water supply or water supply system suction line and treatment tanks shall be 50 feet. Subsection (c) of ~73.13 states that the horizontal isolation distance between the individual water supply or water supply system suction. line and the perimeter of the absorption area shall be 100 feet. NOTICE 5: THIS LOT IS WITHIN AN AREA IN WHICH PERMIT LIMITATIONS ARE IN EFFECT AND IS SUBJECT TO THOSE LIMITATIONS. SEWAGE FACILITIES ARE NOT AVAILABLE FOR THIS LOT AND CONSTRUCTION OF A STRUCTURE TO BE SERVED BY SEW AGE FACILITIES MAY NOT BEGIN UNTIL THE MUNICIP ALlTY COMPLETES A MAJOR PLANNING REQUIREMENT PURSUANT TO THE PENNSYLVANIA SEWAGE FACILITIES ACT AND REGULATIONS PROMULGATED THEREUNDER. A REQUIRED REVISION FOR NEW LAND DEVELOPMENT, OR AN EXCEPTION TO THE REQUIREMENT TO REVISE, OR A REQUIRED SUPPLEMENT HAS NOT BEEN APPROVED FOR THIS LOT. SEW AGE FACILITIES ARE NOT AVAILABLE FOR THIS LOT AND SEWAGE FACILITIES WILL NOT BE AVAILABLE, NOR MAY CONSTRUCTION BEGIN UNTIL SEW AGE FACILITIES PLANNING HAS BEEN APPROVED PURSUANT TO THE PENNSYLVANIA SEWAGE FACILITIES ACT AND REGULATIONS PROMULGATED THEREUNDER. NOTICE 6: EXPERTISE OF REAL ESTATE AGENTS Pennsylvania Real Estate Agents are required to be licensed by the Commonwealth of Pennsylvania and are obligated to disclose adverse factors about a property that are reasonably apparent to someone with expertise in the marketing of real property. (A) If Buyer wants information regarding specific conditions 01' components of the property which are outside the Agent's expertise, the advice of the appropriate professional should be sought. (B) If Buyer wants financial, legal, or any other advice, Buyer is encouraged to seek the services of an accountant, lawyer, or other appropriate professional. . COMMUNICATIONS WITH BUYER AND/OR SELLER Wherever this Agreement contains a provision that requires or allows communication/delivery to the Buyer, said provision shall be satisfied' by communication/delivery to the Broker for Buyer, if any. If there is no Broker for Buyer, all such provisions may be satisfied only by communication/delivery being made directly to the Buyer, unless otherwise agreed to by the parties. . Wherever this Agreement contains a provision that requires or allows communication/delivery to the Buyer, said provision shall be satisfied L. --'-~"h;n~t;nn/rt..liv..rv to the Broker for Seller, if any. If there is no Broker for Seller, all sUl::h provisions may be satisfied only by '. '~\ . '. c~. . . ~ '1c\ \ tt ;A'i'. . N-Ei "p.-c ~~ it .. '" :>. . .~ ~;o,::'fe, III . ~ ;~0 \ ~ ~ \ t! rrI ~ " ~ Q g rn ~ .~ ~ ~ o '-" r~rnN~ EEl EVANS' ENGINEERING, INC. '. .,. /SURVEYOR: /' I' ~, :to. ~ '?U t: ~o ~ ~ ~<1. ~ ~ ~ ~ ~ ~ ~ tA~ . ~ tj tv (J)::O Zo Qt.."'1.t. I ~ ~ " 0 0 ~ '1-~ Go. t!1 'i I 22 SJ (j) ~~ ~-~~ < ~ :0 ~ F:'~ ~~IN 1:bt'" ~ ~ -U 0 )> r oi~ P "\l' r--- r" 0 C f2 0 rrf & ~ !:::l . '-J 1T1""T1 r..; ~. '-J z ~ VI 1.0 fT1 ~ :-'1 III N () ~ cq 'i ~~). ~~ .~~ ~ !!! .~ 0 g \/~ .( ....... ;2 o '-' G1 ~ J: (; (f) (") )> r ~ / -' / II r--: o A }1;! ~ ~ ~ ~ !D xS: ~~~O~~ ...'i ~ , C Pf If} <:Jt"".""'"0 Z ::!l 61;' r tn, . ;jN-uQJ:r ~,~ f2 0 I\) CO fTl"'T'J ~ 01 -< V) 0 )> ~ . () 'i 1:1 (cf~-~ ~, ~HAATM~.N AND . ASSOCIATES. INC. ENGINEERS &: SURVEYORS . ~ nACI-l&~ Rn~ . RECYCLED @ ~'.b;+ 13 r I I V - ADDENDUM This Addendum to the Agreement for the Sale of Commercial Real Estate dated April 13, 2004, is made this 11-r;J:J. May 2004, by and between RDJAM Limited Partnership ("Seller"), and Mary Louise Hanley ("Buyer"). WITNESSETH: WHEREAS, Seller and Buyer have entered into an Agreement for the Sale of Commercial Real Estate dated April 13, 2004, providing for the sale of Tract #2 and Lot#6, Millennium Way, Hampden Township, Cumberland Count, Pennsylvania; and WHEREAS, both parties desire to amend the Agreement regarding the use by Seller of an easement crossing said property to be sold. NOW, THEREFORE, intending to be legally bound, the parties hereby agree as follows: 1. Both parties acknowledge that the property being sold is subject to a 20-foot wide emergency access easement and which has recently been stabilized in accordance with township regulations. 2. Both parties agree to and accept the location of the easement as shown on the drawing identified on Schedule "A" attached hereto and made a part hereof. 3. Buyer agrees to allow Seller along with Seller's family, close friends, employees, and subcontractors and successors and assigns ("authorized travelers") to traverse said easement, at any time, for the purpose of having access to seller's land located to the south (formally Shoop property) of said Commercial Real Estate. In support of the additional 'authorized traveler' use of the easement contained herein, Seller agrees for as long as the Seller utilizes the easement for said purpose, to provide ongoing reasonable, maintenance, repairs, and snow removal for said easement. 4. Seller or Buyer shall have the right to improve said easement including but not limited to paving, but anyone who shall hereafter disturb the condition of any part of said easements shall put the same back to the identical condition, or as near thereto as is practicable, as existed prior thereto. All costs of improving, altering, repairing or maintaining the easements or rights-of-way shall be borne by those who shall make such improvements, alterations, repairs or maintenance without the right of reimbursement from any other owner, tenant, mortgagee, or other interested party. 5. No barriers, fences, curbs, signs or obstruction to the free and unhampered use of said easement shall hereafter be permitted, nor shall any automobiles, trucks, motor vehicles or other personal property nor any building or other structure be parked, stored, constructed on any part of said easement. 6. Seller shall and will and hereby does release, indemnify, defend, protect and save harmless Buyer from and against any and all claims, demands, liability, damages, costs and expenses, including without limitation, court costs and attorneys' fees, resulting from any and all loss of life or property, or from injury or- damage to the person or property of any person, firm, corporation or entity, including Buyer and COpy i 'I, /" {/f#\ , ; Seller and their officers, agents, and employees, arising out of or in connection with Seller's (or Seller's agents', family, close friends, employees', subcontractors' or invitees') authorized use, maintenance, repair, renewal, reconstruction or alteration of said easement. Seller's release and indemnity hereunder shall survive any termination of said easement. 7. Said easement is for the benefit of Buyer and its successors and assigns as owner of the Premises, in conjunction with use by Seller, and is appurtenant to and shall run with the Premises. Buyer may, at no cost to Seller, use and permit others to use the easement and any improvement located thereon, and Buyer may grant to third parties easements for the use of the easement. Any relocation by Buyer will be subject to any required municipal approvals. 8. Buyer reserves the right to relocate said easement at Buyer's expense, provided that upon such relocation, the Premises shall enjoy comparable access as currently is provided by said easement. Upon such relocation, Buyer agrees to execute and deliver to Seller an instrument in recordable form evidencing the grant of the relocated easement upon similar terms and conditions as provided herein. 9. Buyer shall have the right to notify Seller of any failure to perform its obligations herein in writing at Seller's last known address. Should Seller fail to perform any of its duties or obligations hereunder within ten (10) business days, Buyer shall have the right (but shall be under no obligation) to perform and to make such repairs or maintenance, or payments for repairs or maintenance as may be necessary to cause performance of Seller's obligations hereunder, and Buyer, upon demand therefore by Seller, shall promptly pay all expenses incurred by Buyer in connection with such performance. 10. This Addendum shall be binding upon and inure to the benefit of the parties hereto and their respective successors and assigns, and the terms Buyer and Seller hereunder shall include their respective successors and assigns. 11. This Addendum shall not be modified or any provisions hereof waived except in writing signed by the parties. IN WITNESS WHEREOF, the parties have executed this Addendum on the day and year first written above. Witness: Seller: RDJAM Limited Partnership . ~.~. ~./~. ,- -====-------- ~/ --, -----". By.,.?_..~ '-- -____~ ,-,';, .v-- Richard A. McBride;General Partner -----------......-, /~L ,,/ ........, /) ( \\T)~ r- '---. ~ ] j.>( ~/ JI\-., . ~- ~ Witness: ..c.. Buyer: Mary Louise Hanley .,...., 1'~' ."! /..\ "/"~"!-"'." -l -r y (/:>T;'\/ 'j. I/'/ .- ~ I {'~/, /') :- f - ~' ,.7 11ary,.Low~~J:!Jmtey~ , ,,..- , .. /' ,-k- I '~., " t'< . "\' ..~ '~~" ',. ~ '. \ . ~- ....- - ...-----. - -... ...-___,___~._ r' .-,- COpy ~ .' ,-:;ry~., '/1::-" ~'r~;' -' ;,) '/ f . r' -, ,./ ,/ >~,-lj c::y!?~: ,J I . (, ) . ! _.-- .-=)- III ~i <I' ~~ I It ~, ~ ~ l"4 ~ :it / !.j lANDS NIL OF ALEX S. & SHIRLEY A. QUIGLEY 0.13. 34-K, PO. SSO PARCEl f2 APARTMt:Nr OFf7CE DlS1RICr ~ n -7 t ;i 9 ~ I~. es ~ ' 9 ~" ~/':./ i ./ ~ ~~~ 8 ....\ 1>1 r>: 12 II') ~ ~ ~ o ti g o o ~ o ~ r1. ~ ~ ./ ~ i 0 ~ I u GRAPHIC SCALE: 1"0::60' /' i " /' # ~~4' \~ UJT 15 II> IDS MIll 0lIf1lal ~l" ./" (FND) 55.711.73 s.r. ~ ,/ un ItA. ~/ N5!rl1'4jJ"E .~ ./. 16.16 ~,/ ~. // ,,p ,/ p U\NDS NIL OF' CffARLES J. & EMMA U, HUBBARD 0.8. 2+-.... PO, 275 APARTMENT OFFICE DISTRICT (RESIDENTiAL USE) i i , : lANDS NIL OF' fRANK E. & SUSAN H. SHOOP 0.8. 24-F, PC. 862 APARTMfNT OFner DISTRICT (RESIDENTIAL USe) ~~/ ./ ~,,~ 1"-- """ - .~l(n/04 -., . ..... -" I" -,>>D' '"' _III! AMI' -... TJP NIIllIl - ~h2/04 III ru: """ ~72M ..-- ~ I.... 1 of 1 J ". J ACCESS EASEMENT 30 60 . 1 20 ~ I I ... 1 r-_ EEl evANS EHGlNEER~G,INC. CONSUl. T1NQ EMolIEERt ..~.~...-=~.~- ~ _ . J ~ Ex -IIBfT A ACCE!OS EASEUM ~LI'. <MU""I.LEYROMI ~~7 , '" II I ." ).. G- O CJ , r .. ADDENDUM This Addendum to the Agreement for the Sale of Commercial Real Estate dated April 13, 2004, is made this /I"i):J. May 2004, by and between RDJAM Limited Partnership ("Seller"), and Mary Louise Hanley ("Buyer"). WITNESSETH: WHEREAS, Seller and Buyer have entered into an Agreement for the Sale of Commercial Real Estate dated April 13, 2004, providing for the sale of Tract #2 and Lot#6, Millennium Way, Hampden Township, Cumberland Count, Pennsylvania; and WHEREAS, both parties desire to amend the Agreement regarding the use by Seller of an easement crossing said property to be sold. NOW, THEREFORE, intending to be legally bound, the parties hereby agree as follows: 1. Both parties acknowledge that the property being sold is subject to a 20-foot wide emergency access easement and which has recently been stabilized in accordance with township regulations. 2. Both parties agree to and accept the location of the easement as shown on the drawing identified on Schedule "A" attached hereto and made a part hereof. 3. Buyer agrees to allow Seller along with Seller's family, close friends, employees, and subcontractors and successors and assigns ("authorized travelers") to traverse said easement, at any time, for the purpose of having access to seller's land located to the south (formally Shoop property) of said Commercial Real Estate. In support of the additional 'authorized traveler' use of the easement contained herein, Seller agrees for as long as the Seller utilizes the easement for said purpose, to provide ongoing reasonable, maintenance, repairs, and snow removal for said easement. 4. Seller or Buyer shall have the right to improve said easement including but not limited to paving, but anyone who shall hereafter disturb the condition of any part of said easements shall put the same back to the identical condition, or as near thereto as is practicable, as existed prior thereto. All costs of improving, altering, repairing or maintaining the easements or rights-of-way shall be borne by those who shall make such improvements, alterations, repairs or maintenance without the right of reimbursement from any other owner, tenant, mortgagee, or other interested party. 5. No barriers, fences, curbs, signs or obstruction to the free and unhampered use of said easement shall hereafter be permitted, nor shall any automobiles, trucks, motor vehicles or other personal property nor any building or other structure be parked, stored, constructed on any part of said easement. 6. Seller shall and will and hereby does release, indemnify, defend, protect and save harmless Buyer from and against any and all claims, demands, liability, damages, costs and expenses, including without limitation, court costs and attorneys' fees, resulting from any and all loss oflife or property, or from injury or-damage to the person or property of any person, firm, corporation or entity, including Buyer and COpy ;- 'r,/' , ~'f //;1.'...; ;: ;\ (( r:ft.-- ..' . I Seller and their officers, agents, and employees, arising out of or in connection with Seller's (or Seller's agents', family, close friends, employees', subcontractors' or invitees') authorized use, maintenance, repair, renewal, reconstruction or alteration of said easement. Seller's release and indemnity hereunder shall survive any termination of said easement. 7. Said easement is for the benefit of Buyer and its successors and assigns as owner of the Premises, in conjunction with use by Seller, and is appurtenant to and shall run with the Premises. Buyer may, at no cost to Seller, use and permit others to use the easement and any improvement located thereon, and Buyer may grant to third parties easements for the use of the easement. Any relocation by Buyer will be subject to any required municipal approvals. 8. Buyer reserves the right to relocate said easement at Buyer's expense, provided that upon such relocation, the Premises shall enjoy comparable access as currently is provided by said easement. Upon such relocation, Buyer agrees to execute and deliver to Seller an instrument in recordable form evidencing the grant of the relocated easement upon similar terms and conditions as provided herein. 9. Buyer shall have the right to notify Seller of any failure to perform its obligations herein in writing at Seller's last known address. Should Seller fail to perform any of its duties or obligations hereunder within ten (10) business days, Buyer shall have the right (but shall be under no obligation) to perform and to make such repairs or maintenance, or payments for repairs or maintenance as may be necessary to cause performance of Seller's obligations hereunder, and Buyer, upon demand therefore by Seller, shall promptly pay all expenses incurred by Buyer in connection with such performance. 10. This Addendum shall be binding upon and inure to the benefit of the parties hereto and their respective successors and assigns, and the terms Buyer and Seller hereunder shall include their respective successors and assigns. 11. This Addendum shall not be modified or any provisions hereof waived except in writing signed by the parties. IN WITNESS WHEREOF, the parties have executed this Addendum on the day and year first written above. Witness: Seller: RDJA1vl Limited Partnership c:::::.____ --- -;. Witness: Buyer: Mary Louise Hanley /- ~>. 'l , ,J'~ ,., /~ ,';''''-' /--':1-..,/ , (..r/ //~~7~' / ''\ 7 .,1 ,p.... B ,( i' i .':\ f,\ . /" r' " : I t', "\// ~ ./ - J ..:: /" ~'~ ,/ Mary Low~e H~tey-'--'--"" \ ,..f <---'''-, -~ / " , i , ~ . ~ \__ ~ _ '_ \,\'~_,....;...Io.,~..._~-- -..---.----- ~. .-.-~ COpy IP ?~ ~ ~,,!o"Ef-.'. ~ .t;,1' ~ ~ / "- 6 ~ (FliO !~ ;i _La'43.oe 11:0.110.00 9 L:G5 B8 R-80.OO ~ . t:l I .~ fli~ 29 ~ ./ 0/ i /' ~ <,;!>~ 8 ,\ PI p: ~ ~ ~ t'i t) e1 o ~ o jl r!... ~ ~ ./ ~ i g: ~ u ~~/ /' Q"~ ACCESS EASEMENT .30 60 120 ~ \ y SCALE: 1"",,60' , r-' ~<9~ ~ .,~ ;;J # #4' \~ l... . . <71 .' /I-;~ i~~,F/ ~ 7. /)__~ ,',/ . (~ po I , .. ",/" 'j1ijj}, / ') I Lyt:::-~~ ' // f,~-;f/ "..___'" "') '../ . I j ---------. . . I --I //,./ :)r //jjC LANU!:. NIL 01- ARTHUR C. & ARl.ENE f. SGRIGNOLl D.B. 20-P, PG. 779 APARTMfflT ornel' DISTRICT (~ESf{)!NT7A1. fJSC) 20' !E<\loENTlAL ..I! SUfFER ,~ ,*f/ ~ ~ 20.00' ~ N8:rSnf't 16.~ lANDS NIL OF ALEX S. ole SHIRLE"r A. QUIGLEY 0.13. 3-4--K, PO. 8S0 PARCl'l ,(2 APARTMENr OPACE DISTRICT /" Grf' " /' i , 1 LANDS Nil OF' CHARLES J. &: EMMA U. HUBBARD D.e. 2....-A, PG. 275 APARTMENT omcc DISTRICT (RESllJEN'l'JAl USE) wms NIL OF' FRANK E. &: SUSAN ~I. SHOOP 0.8. 24-F, PC. 862 APA.RTMfNT orFler DISTRICT (Rl'SIDENOO US!') "- 1::1::1 ",,..-- nilSIT A I;; #;;; I ACCE:S EJ.SEUENT evANS EHGlNEERtlG, 1He. COIItut. TlNG ENeIHEERf -"'....-..........._.~- \. fmI7d)Ial-- . . - ...... v J. \- ~ - O~U/f)4 ~I ,ow.... :-r _ 1lO' "_11I\ Al(I' -.... TJP """" - ~m/Of ... ru HD.o ~12~ .-.... ,) ~ 1 of ,1......... <l&JMl l.JII. ~ooo.lt'r_ ~~1 II I "" ).. G- O (.) ~~, ~((,OOq l~:58 71 77325943 EXECUTIVE OFFICE GOLDBERG K^TZMAN PAGE 1212 fa! 008/00B ld/21/2004 10:27 FAX 717 234 8808 .' VER)FICA TTON I. R.ichard A. McBride, President and CEO ot'Herre Bros., Inc. I hereby aoknowledge that 1 am an authorized representative of Plaintiffs in thi!; aotictn and that 1 have read the foregoing Complaint ilnd that the facts ~tl:lted therein ftl'C In.IO Md o~n'cet to the be!lt of my knowledge. information and belief. I understand that any false statements herein nre made subjec.t to penalties of 18 Pa. C,S. Section 4904, relating to unsworn falsiflcaJion to authorities Date; c - ~ ~" " ~ ~ ~z:--~~ . . .' , _____--- Richl\rd A. McBride . AJ 0 ~ ~ tt ~ () N ~ ~ C;::J c:: C:::.:> ~":"'1'" .r.:- :t ~ ~ B ""':1 i:.::' z Ci ~"\1 ~ ! l' : r i ...::: ::;~:... ! ~Bcr ",. () -cJ fl'J ~~~ (-! "}". () -<, \..... :.1: :t{ - <.:~ -0 Qo -.J - F ~~; 1.'-; ::::!: 'j~E 25rn <2 ;:;.j Y- ~ (..,) ~ CO =-< SHERIFF'S RETURN - REGULAR CASE NO: 2004-05504 P COMMONWEALTH OF PENNSYLVANIA: COUNTY OF CUMBERLAND HERRE BROS INC ET AL VS CINEMAGIC CPL. TIMOTHY REITZ , Sheriff or Deputy Sheriff of Cumberland County, Pennsylvania, who being duly sworn according to law, was served upon says, the within COMPLAINT & NOTICE CINEMAGIC the DEFENDANT , at 1515:00 HOURS, on the 3rd day of November, 2004 at 2250 MILLENNIUM WAY ENOLA, PA 17025 SUZANN WOOLS, SECRETARY, by handing to 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 11.10 .00 10.00 .00 39.10 Sworn and Subscribed to before J~ me this.6 day of n. .:)(J05 A.D. ~ \ (~0~0~1!;~ - ,~ So Answers: ---..-::~-{/'?,-::;-;;/ ..(.~ .-..,- /~:(.t;..~~,~~~...:;~'f~:~:: ........p#'::~ ! /. R. Thomas Kline 11/04/2004 GOLDBERG KATZMAN By: 7--- -~-? 7 ~-'-?' .7-. /M;/ //~/./ ~/. ~ Dejuty she)iff HERRE BROS., INC. and R.D.J.A.M., L.P., IN THE COURT OF COMMON PLEAS CUMBERLAND COUNTY, PENNSYL VANIA Plaintiffs, CIVIL ACTION - LAW v. CINEMAGIC, DOCKET NO: CV-04-5504 Defendant. ORDER AND NOW, this day of , 2005, upon consideration of the Preliminary Objection filed by Defendant Cinemagic against Plaintiff R.D.J.A.M., L.P.'s Complaint, it is hereby ORDERED and DECREED that said Preliminary Objection is GRANTED. PlaintiffR.D.J.A.M., L.P.'s claim against Cinemagic is dismissed and this matter is ordered to proceed with arbitration as per the Contract between Cinemagic and R.D.J.A.M., L.P. Further, upon consideration of the Preliminary Objection filed by Defendant Cinemagic stating that Plaintiff Herre Bros, Inc. does not have standing to sue, it is hereby ORDERED and DECREED that said Preliminary Objection is GRANTED. Plaintiff Herre Bros, Inc.'s claim is . dismissed, in that Herre Bros, Inc. does not have standing to sue for any actions arising out of a Contract to which it is not a party or third party beneficiary. BY THE COURT: J. DICKIE, McCAMEY & CHILCOTE, P.C. BY: CHARLES E. HADDICK, JR., ESQUIRE ATTORNEY ID. NO. 55666 BY: J. DAVID ZIEGLER, ESQUIRE ATTORNEY ID. NO. 92882 1200 Camp Hill Bypass - Suite 205 Camp Hill, P A 17011 (717)731-4800 (Tele) (717) 731-4803 (Fax) ATTORNEYS FOR: ClNEMAGIC HERRE BROS., INC. and R.D.J.A.M., L.P., IN THE COURT OF COMMON PLEAS CUMBERLAND COUNTY, PENNSYL VANIA Plaintiffs, CIVIL ACTION - LAW v. CINEMAGIC, DOCKET NO: CV-04-5504 Defendant. MOTION FOR PRELIMINARY OBJECTIONS FILED BY DEFENDANT, CINEMAGIC, AGAINST PLAINTIFFS, HERRE BROS, INC. AND R.D.J.A.M., L.P.'s, COMPLAINT AND NOW, comes Defendant, Cinemagic, by and through its attorney, 'Char1es E. Haddick, Jr., Esquire, Dickie, McCamey & Chilcote, P.C., and files the within Preliminary Objections against the Plaintiffs' Complaint and in support thereof avers as follows: 1. Plaintiffs, Herre Bras, Inc. and R.D.J.A.M., L.P., commenced the present action with the filing ofa Complaint on or about November 1, 2005. (See Complaint attached hereto as Exhibit "A.") 2. Plaintiffs provided the Defendant, Cinemagic, an open extension to file Preliminary Objections to their Complaint (see correspondence from Cinemagic to R.D.J.A.M., L.P. dated March 18,2005 attached hereto as Exhibit "B") and they do so now. 3. This action is the result of an Agreement for the Sale of Commercial Real Estate ("Contract") entered into by Cinemagic and R.D.J.AM., L.P. (See Contract attached hereto as Exhibit "C.") It has been filed despite Cinemagic and R.D.J.AM., L.P., in their Contract, including an Agreement to Arbitrate any disputes arising out ofthe Contract. 4. Plaintiffs claim that Defendant Cinemagic breached the Contract by not using Plaintiff, Herre Bros, Inc., as the electrical and mechanical contractor during the construction of Cinemagic's new building. (See generally Plaintiffs' Complaint.) 5. Herre Bros, Inc., who is not a party to the Contract, brings its claim against Cinemagic under a theory that they are a third party beneficiary of the Contract. (See Count II of Plaintiffs' Complaint.) 6. Cinemagic now raises two (2) Preliminary Objections pursuant to Pa.R.C.P. J028(a): A. Plaintiff R.D.J.A.M., L.P.'s. claim against Cinemagic should be dismissed pursuant to Pa.R.C.P. l028(al(6l in that it involves an issue subject to a valid agreement to arbitrate. 7. When ruling on Preliminary Objections, the court must consider as true all relevant and well-pleaded facts, as well as all inferences reasonably deduced from those facts. Santiago v. Penna. Nat'l Mutual Casualty Ins. Co., 418 Pa.Super. 178,613 A.2d 1235 (1992). 8. When a pleading is subject to the pendency of a prior action or agreement for alternative dispute resolution, the Pennsylvania Rules of Civil Procedure permit a party to file preliminary objections. (Pa.R.C.P. I028(a)(6)). 9. Under Section 29 of the Contract, it clearly states: "Buyer and Seller agree to arbitrate any dispute between them that cannot be amicable [sic] resolved." 2 10. An arbitration clause indicates that the parties contemplated one metho.d, and one method only, for the resolution of disputes under the contract. See Cunningham v. Prudential Property & Casualtv Ins. Co., 340 Pa.Super. 130, 135 (Pa. Super. Ct. 1985). B. Plaintiff Herre Bros, Inc. should be dismissed, in that Herre Bros, Inc. is not a named party or third party beneficiary to the Contact between R.D.J.A.M., L.P. and Cinemagic and, therefore, does not have standing to bring an action against Defendant arising from the Contract. II. When a plaintiff lacks the capacity to sue a defendant, the Pennsylvania Rules of Civil Procedure permit immediate dismissal by way of preliminary objections. (Pa.R.C.P. 1028(a)(5)). 12. The parties to the Contract are R.D.J.A.M., L.P. (Seller) and Cinemagic (Buyer). (See generally the Contract.) 13. "[I]t is fundamental contract law that one cannot be liable for a breach of contract unless one is a party to that contract." Electron Energy Com. Y. Short. 408 Pa.Super. 563, 571, 597 A.2d 175, 178 (199Il. 14. To be a third party beneficiary with the ability to recover on a contract, both parties to the contract must intend that the third party will benefit and that intention must be specifically stated in the contract. Spires v. Hanover, 70 A.2d 828, 830 (Pa. 1950). 15. To determine whether one is an intended third party beneficiary, there is a two- part test: 1) the beneficiary's right must be appropriate to effectuate the parties' intention; and 2) either the performance must satisfy the promisee's obligation to pay money to the beneficiary, or the circumstances must indicate that the promisee intends to give the beneficiary the benefit of 3 the promisee's performance. Scarpitti v. Weborg, 609 A.2d 147, 150 (Pa. 1992); Guv v. Liederbach, 459 A.2d 744, 751 (pa. 1983). 16. An incidental beneficiary acquires no rights against the parties to the Contract. Grossi v. U.S. Fidelitv; Restatement (Second) of Contracts S 315 (1981). Mere hope, or even simple awareness, that a third party will benefit from a contract provision is not an intention to specifically confer a third party right. See, Pa. Liquor Control Bd. v. Rapistan. Inc., 371 A.2d 178, 183 (Pa. 1976). 17. In the present case, Herre Bros, Inc. has claimed intended third party beneficiary status to the Contract between Cinemagic and R.DJ.A.M, L.P. and has filed a claim for breach of contract against Cinemagic. (See Complaint at p. 11 and Count II.) 18. Herre Bros, Inc. states that Section E of Special Clauses to the Contract entitles it the status of an intended third party beneficiary. Id. The clause in the Contract states: It is the Buyer's intent to contract with Pyramid Construction Services to Build New Facility, who in turn will utilize Herre Bros, Inc. for mechanical/electrical trades for a reasonable cost. (Section E of Special Clauses to Contract at p. IA.) 19. To be considered a third-party beneficiary in this state, it is necessary to show both parties to the contract had an intent to benefit the third party through the contract and did, in fact, explicitly indicate this intent in the contract. Strutz v. State Farm Mut. Ins. Co., 415 Pa. Super. 371; see also Gerace v. Holmes Protection of Phila., 357 Pa.Super. 467, 516 A.2d 354 (1986). 20. There is no explicitly expressed intent by R.D.J.A.M., L.P. at all. Although unlikely, Pyramid Construction may have standing as a third party beneficiary. Herre Bros, Inc., 4 however, has no such standing because there is no indication that both parties to the Contract (Cinemagic and RDJ.A.M., L.P.) expressed an intent to do so. 21. Pyramid has no authority to make promises on behalf of Cinemagic. The statement that "[Pyramid] will utilize Herre Bros, Inc. for mechanical/electrical trades for a reasonable cost" is not a statement of clear intent made by Cinemagic which would establish third party beneficiary status for Herre Bros, Inc. 22. Accordingly, Herre Bros, Inc. is an incidental beneficiary to the Contract and acquires no rights against the parties to the Contract. Grossi v. U.S. Fidelity; Restatement (Second) of Contracts S 315 (1981). WHEREFORE, Moving Defendant respectfully requests that this Honorable Court grant Defendant's Preliminary Objection filed against Plaintiff, R.DJ.A.M, L.P., and dismiss its cause of action so that this matter can proceed to arbitration as per the Contract. Furthermore, Moving Defendant requests that this Honorable Court grant its Preliminary Objection filed against Herre Bros, Inc. and dismiss its cause of action against Cinemagic in full, in that Herre Bros, Inc. is not a third party beneficiary to the Contract and does not have standing to sue Cinemagic for any action arising from the Contract. Respectfully submitted, DICKIE, CAMEY & CHILCOTE,.P.e. I ' Date: I D l-t..-\ 0 ;- , Jr., Esquire Attorney Id. No. 666 J. David Ziegler, Esquire Attorney Id. No. 92882 1200 Camp Hill Bypass, Suite 205 Camp Hill, PA 17011 (717) 731-4800 Attorneys for Defendant 5 CERTIFICATE OF SERVICE /~\f:f<"" AND NOW, this U; day of (fcf{) W-.JG , 2005, I, Charles E. Haddick, Jr., Esquire, hereby certify that I did serve a true and correct copy of the foregoing Motion for Preliminary Objections Filed by Defendant, Cinemagic, Against Plaintiffs, Herre Bros, Inc. and R.D.J.A.M., L.P.'S, Complaint via U.S. mail, postage prepaid, at Camp Hill, Pennsylvania, addressed as follows: Thomas Weber, Esquire Goldberg Katzman, P.c. 320 Market Street Strawberry Square P.O. Box 1268 Harrisburg P A 17108 Attorney for Plaintiffs J/David Ziegler, Esquire/ 6 Thomas J. Wdl':r. Esquir.: AHllf"fl':Y l.D, i\to 5Ni:5.1 uuLl1BERli j~!\I/.~l:\I':.I'I' 32(1lvlarl.:cl :)llCd P. O. Box 126M Hnnisburg,PA 1711111.]:!(,t (717)2,14-416):(71)12,1-1..;jI(,),rIU':;1I1111.-1 Cou/lsel }ur f'hullrW I-TERRE BROS., INc. and R.D.JAM, Ll' IN THE COURT OF COrvlMON PLEAS CUMBERLAND COUNTY, PENNSYLVANIA Plaintiffs CfNEMAGIC 2250 Millennium Way Enola, PA 17025 No. OY - S S C:f-( Ci<->'Ll~~ v. Defendant NOTICE YOU HAVE BEI,N SUED IN COURT. If you wish 10 de/end against the claims set forth in the following pages, you must take action within twenty (20) clays after this Complaint and Notice are served, by entering a written appearance personally 'or by attorney and filing in writing with the C01ll1 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 ancl a judgment may be entered against you by the COllll without further notice for any money claimed in the Complaint or for any other claim or relief requested by the Plaintiff You may lose ll10ney or propel1y or other rights imporri1l1t to you. YOU SIIOULD TAKe:: THIS PAPER TO YOUR LA WYER AT ONCE. IF YOU DO NOT HA VE A LAWYER OR CANNOT AFFORD ONE, GO TO OR TELEPHONE THE OFFICE SET FORTH 1ll:1_0W TO FIND OUT WHERE YOU Cf\N GET LEGAL HELP. Lawyer Referral Service Cumberland County Bar Association :2 Libel'll' A venue Cmlisle, PA 17013 717-249-3166 . !~!:JE COpy FROM Rt 'ei ; "",1i!\1OI:'1 WiI.:,raol f 11 .. CORD &Id 100 ssal 01 ~"':J;' . ,6'~. unto. sat my h.ifld rhj~; .-1- ,""'" "our! a( C3f1isle. Pa, '- __OAn dap~~;,.rpt honotary .;p.6 '\ Thonm!> ./. Wdwr. J-:.~ljllif.., Attorney 1.0, No. ~XX5J GOLDBE.RG ~~xr/.I\.I;\I">J. I' C 320 Mt\I'ki:L SLn:<.:\ P. O. Box 126ti Harrishurg, PA ! 711/,1;-1'2/"1>: (717) :!34,416\; (717) '],q---I 161 (lat'slIlllkl CO/IIl.I'clfo/" Ph/illlll! HERRE BROS, INC and R.DJAM, LP IN THE COURT 010 COtvlfvlON PLEAS CUMBERLAND COUNTY, PENNSYLVANIA Plaintiffs v. No. CJNEtvlAGIC 2250 Millennium WflY Enola, PAl 7025 Defendant NOTICIA Le han delllandado a listed en la cone. Si usted qui ere defenderse de estas del11andas expuestas en las paginas siguientes, lIstedtiene viente (20) dias de plaz.o al partir de la fecha de Ia demandfl y la notificacion, Usled debe presenl<<r lIna apariencia escrila 0 ell persona 0 par abogado y archiv<lr enla corte en lorllla escrita sus defensas 0 SlIS objectiones alas demandas ell contra de su persona. Sea adisado que si listed no se defiende, la sin prcvio aviso 0 notificacion Y pOl' cLlalquicr qui<l 0 pllede perdcr dinero 0 SlIS propied<ldcs (l olros dCl'echos illlportantes para Listed, LLEVE ESTA D[MANDA A UN ABOGADO IMMEDIAT AM[NTE. SJ NO IlENE ABOGADO 0 SI NO TI[NE EL DINEIZO SUFICIENTE DE PAGAR TAL SERVICTO, VAYAEN PERSONA 0 LLAME POR TEI.EFONO A LA OFICINA CUY A DIRECClON SE ENCUENTRA ESCRIT A ABAJO f'ARA A VEI<.IC;UAR DONO[ SE PUEDE CONSEGUIR ASISTENCIA LEGAL. Lawyer Referral Service Cumberland COllnty Bar Association 2 Liberty A venlle Carlisle, PA 17013 717-249-3166 '1'1111111"".1. Welll'l'. h,qllill' Altorney LD, Nn. 5MH5J GOLDBER" KA'j','IJ>lAN, J>(' 320MarketSI,cd P. 0, Dox 126N Hnrri~bmg. l>A 171()g. \ 2/;1\ (717) 234-4\61: (717) 2_,-1.-111,1 (rllt~ll11ik) COl!m;l!I.fi;r l'lmltl(/h HERRE BROS, INc. and RDJAtvl, LP. . IN THE COURT OF COMMON PLEAS CUMBERLAND COUNTY, PENNSYLVANIA Plaintiffs v. No. CINEMAG1C 2250 Millennium Way Enola, PA 17025 Defendant COMPLAINT 1. Plaintiff' RDJ.A.M, L.P. is a limited partnership organized and existing under the laws of the Commonwealth of Pennsylvania with a principal place of business at 4421 Valley Road, Enola, Pennsylvania 17025-1477. 2. Plaintiff Herre l3res. Inc. is a corporation dually organized and existing under the laws of the Commonwealth of Pennsylvania with a principal place of business at 4417 Valley Road, Enola, PA 17025. 3. Defendant Cinemagic is believed to be a corporation dually organized and existing unclcI'the laws oflhe Commonwealth of Pennsylvania with a Pl'incipal place of business identified as 2250 1\1illennium Way, Enola, PA 17025. 4. Pursuilnt to a Sail's ^grl'l'l\\l'nl datl'd ^pril 11,2004, PlaintilT RD.1.A.M., L.P. sold to Cinemagic, a parcel of lend comprising of approximately 1.12 acres. See Sales Agreement attached hereto as Exhibit "A". S. An ^ddendumto the Sales ^greement was executed on (H' about May J J, 2004. See Addendum attached hereto as Exhibit "B" 6. Defendant purchased the propel1y with the intent ion of constructing a new office building for its use on the same. 7. The parcel ofland purchased by Defendant is contiguous to other propelty owned by R.D.JAM, LP and Herre Gros, lnc, 8. The principal owner of Herre Bros, Inc. is also a principal in R.DJ'A.M., L,P. 9. Plaintiff Herre Bros.. 1nc. is an electrical/mechanical, HV AC contractor with over 90 years of experience in the Central Pennsylvania area. ]0. Due to the close proximity afDelendant's anticipaleclncw o/lice building, it was of interest to the Plaintiffs that companies competing with Herre Bras, Inc. would not have the opPoliunily of using Defendant's new construction site as a parcel upon which competitors of Herre Bros" Inc. could do business and stage their advertising. 11. As a result, PlaintiffR.D.lAM., LP agreed to reduce the purchase price of the real estate in exchange lor Defendant's agreement to utilize the services of Plaintiff Herre Bros., Inc. for the mechanical and electrical trades in the construction or Del'endant's new building. See Section E of Special Clauses to Agreement of Sale attached hereto as Exhibit A ("It is the Buyers intent to contract with Pyramid Construction Services to build a new facility, who in turn will utilize Herre Bros., inc. {c)r mechanical/electric trades fur a i'casonable cost") 2 12. At the time Defendant agreed to utilize the services of Herre Bros., Inc., Defendant knew ofrhe ilssociation between Plaintiffs and further knew Plaintiff Herre Bros., Inc. utilized union labor 13. Defendant's selected contractor, Pyramid Construction, was willing to utilize the services of Herre Bros., Inc. J4. Following closing on the real estate, Defendanl's general contractor contacted Herre Bros., Inc. for purposes of initiating the construction process, ] 5. As a result, Herre Bros, Inc. prepared technical design drawings for the mechanical and electrical components of Defendant's buildi ng and pmvided an estimate of $138,360.00 for completion of the electrical and mechanical component of the project. ] 6, Despite contractually agreeing to utilize the services of Herre Bros., Inc., Defendant has now refused to do so in breach of the contract, COUNT I 17. Paragraphs I through 16 are incorporated herein as Ihough set fo/1h in their entirety. 18. Defendanl agreed to utilize the services ofJ-lerre Bros, Inc. in the construction of its buiJdin~ 19. In exchange lor this agreement, Plaintiff, RD.lAI\iI., LI' reduced the purchase price of the real estate by $ 16,940.00. 20 Defendant has now breached its contract with R.D.J.A M., L.P. by refusing to use Herre Bros., Inc, , ., 21 But 1<:)1 its promise to utilize Ilcrre Ilros. Inc, I'laintirT'RDJAM. would not have reduced the Sale price for the parcel of land. WHEREf'ORE, RDlA.M., LP demands judgment in its favor and against Defendant in an amount in excess 01' $1 5,000 plus interest and costs, which amount does not exceed the limit for compulsory arbitration COUNT II 22. Paragraphs 1 through 21 are incorporated herein as though set fOl1h in their entirety. 23 Herre 13ros, Inc \Vas a third pal'ly beneficiary "I' the contractual provisions governing mechanical and electrical services between R.D.J.A,tvl., L.P and Cinemagic, 24. Herre Bros., Inc. expended time and energy in preparing design drawings and an estimate for the mechanical and electrical services. 25. Defendant haS breached its contractual agreement to use Here Bros. Inc. 26. As a result of Defendant '.I breach, Herre Bros., Inc. has been improperly deprived of its profit and overhead on the job totaling $ 24,087,46. ~ WHEREFORE, PlaintifTHerre 81'Os, Inc. demands judgment in its f~\Vor and against Defendant in an amount in excess 01'$20,000 plus interest and cost which amount does not exceed the Hmount of cDl1lplllsury arbitratilltl. Respectfully submitted, Date i(i)t1blot Attorneys for I'laintif[' : ODMAII'CDOCSIDOCS\/1!95 13. 1\ 5 LAW OFFICES OF DICKIE, MCCAMEY & CHILCOTE, P.c. 1200 CAMP HILL BYPASS SUITE 205 CAMP HIL4 PENNSYLVANIA 17011-3700 TEL. 717-731-4800 FAX. 717-731-4803 WWW.DMCLAW.COM Charles E. Baddiek, Jr. Attorney~at-Law chaddick@dmclaw.com March 18, 2005 VIA FACSIMILE - (717) 234-6808 Thomas Weber, Esquire Goldberg Katzman, P.C. 320 Market Street Strawberry Square P.O. Box 1268 Harrisburg, Pa 17108 RE: Herre Bros., Inc. v. Cinemagic Our FileNo: B-I72 Dear Tom: Thank you for your letter concerning arbitration, There does appear to be an arbitration clause in the agreement of sale between Cinemagic and RDJAM, and while I raised this in a letter to you last November, I also raised the issue of Herre Bros, not being a party to the contract. Accordingly, while arbitration between and RDJAM may be appropriate at some point, I think first, the court must consider several of the legal issues raised in my letter to your of November 11,2004 including (1) whether Herre Bros, is a proper party; (2) whether the agreement of sale contains any promise to retain Herre Bros.; and (3) whether Herre Bros.' bid, which was so disproportionally high, as to not constitute a legitimate offer to perform services, in comparison with other bids received by Cinemagic. Because at least one of these issues, if decided in favor of Cine magic, would result in a dismissal of all claims, I believe it is more appropriate to proceed with Preliminary Objections first, and stay any arbitration proceeding until such time as those objections are decided. We will likely raise this issue in our preliminary objections as well. I apologize for my earlier voicemail if! seemed confused by your proposal of arbitration, I look forward to talking with you. Please allow this also to confirm our prior agreement to an PITTSBURGH .. PHILADELPHIA .. WASHINGTON, D.C. .. NEW JERSEY .. NORTH CAROLINA" OHIO .. WEST VIRGINIA 412-281-7272 215,925,2289 888-434-5566 856,988,5473 704-334-1108 740-284,1682 304,233,1022 March 18,2005 Page Two open ended extension within which to file an answer or preliminary objections to the complaint. I do hope, however, to have a decision from Cinemagic on how to proceed shortly, and I will certainly file anything as promptly as possible. Very truly yours, ~CAMEY & CHILCOTE, P.C. Charles E. HaddICk, Jr. CEH, Jr./kao cc: James Nealon (Via Facsimile - 236-9119) AGREEMENT FOR THE SALE OF COMMERCIAL REAL ESTATE A/S-C Thi$furm ItcOIIII"ell~ed a"~ BI'I"oved for, bulllul rellrided 10 "SO by,llle lI1elllbera urIbe Pen"ayfYDnia ,c,uocialilln ofREA.'- TORS>&! (PAR). SELLEn'S IJUSJN~S RELATWNSUU' WJTU l'A. LICENSED DnOJ(EJl BROKER (CompAny) Lancimark. Commeroial Realtv. Inc. PHONE (117)731-1990 AllDRf.;SS ~O Erford Road, Suite 'US. Lemovn\!l, .. 1704) FAX (117)131-6765 lJROI<l!H IS TilE AGI!:NT FOn SIi;LLEIt. Dnlgll'lI:t1 Agtlll(!) fur Sdlu, Irlllplltllllle: Jeremy Shyk and 'rom poeavec OR 6rollU is NOT the Ar,elll (or Seller nlld if lI(nl1: o AGENT FOR DUnn o TllANSACTJON LICENSEE DUYEn'S IJUSINESS llti:LATIONSIIU' WITH l'A LlCENSlm UUOKEU (lnOI{[R (CompAny) Lanc:lmaJ;k Commercial Raaltv, Ino. I'HONE (7171731-1990 ADDnESS 20 g.t:ford Road, Suite 215, Lemoyne, .. 17043 FAX (717)731-8765 D1lOKl.m IS nIE AGENT rron BUYl!n. IJUlgllAtClJ Ageut{!) for Uuyer, IrAPI,Ucn!Jle: on nl"oll~r 15 NOT the Ag~J1t fill. Buyel" Duuls A/on: 0 AGl&NT FOR SELLER l&I SUDAG.tNT FOR SELLEn o TRANSACftoN LICENSEE Whc" tll~ 'Ame Broker I, Agcnl fOI" Selic,. o"u Age"t for Buycr, Droller It 0 tJUAI Age"t. All of D'.oker', Ilten,eu nre Abo DUll Agwb UNLESS there ore 1tl'Ill"ale DcsJlIlIlltet.l Agent, fOl' nlly~r 1l.lId ~tller.lrtllt sallie LIcensee llllulglllllcll COI" Seller IIm.l Duyer, tbe Ueenne It II DUll Agelll. I 2 3 , 5 6 7 8 9 ]0 " 12 I) 14 15 16 17 18 " 20 21 " 23 24 25 2G 27 28 29 30 JI 32 33 ), 35 36 37 38 39 '0 " 42 4J 44 " 46 47 '8 " 50 51 " 5] 5' " 56 57 " 59 (,0 61 L THIS AGREEMENT, dnted ADril 13 2004 SELLER(S): R.D JAM Limited PartnsrshiD c/o Rinhard McBridlil Isbetweell ,c"Ued "Seller." Rlld llUYEH.(S):cinemaaic and/or Assians c/o LouiSe Hanlev ,cnllel.! "8uyer." 2. I'ROI'ERTY. Selhw hereby Ilgrees to selland tonny lo Buyer. willi hereby agrees to purchase: ALL THAT CERTAIN lof or piece o{groum/ wiUr buildlllgS IInd IlllprOl'flmetll.f tlJel'eoll erecled. if JlIIY, knoWlIlIS: Tract #2 Lot #6. AD9rox 1.12 Acres. Millennium Hav. Pvramid Business Park Enola PA {SeR Att~ched Plan} ill the Townshio of Hamoden County uf Cumber] and COlllmonwealth of PeulIsylvanill, Zill Code 17025 J{/entjfiCl1tioll (e.g., Tax 10 Hi Parcel II; Lol, D/odq Deoo Dook,I'sge, Hecl,Ol'dillg Dnle) J. Tlm.MS (10.01) (A) Purchllsel'rice 108 .500 00 which willue paid to Seller I"y Duyel' as follows: (I) Cash or check at siglling Ihis AgreemeJil: (2) Cash or check within 3 days oflhe execuLion ofLhis Agreemellt (J) (<I) (5) Cash, cashler's oj' certified check at time ofseLtlemcnt: U.S.UolJars s s s s s TOTAL S stated here: 5.000 00 103 500 00 101'1 500 00 (U) DeposiLs paid all account of purchase price to be held by Droker for Seller, unless otherwise (C) (0) (E) Seller's wrilten approval ou or before: Aori.l. l.5 Seltlement Lo he 011 June 15. 2004 Conveyance ftom Seller will be by fee simple 2004 , or before if Duyer and Seller agree. deed of special warranly unless oLherwise slated here: (F) \JaymellL of ll"lllLsfel. taxes will be divided equally belween Buyer alld Seller Ullless otherwise stated hete: (0) At time of settlement, the fullowing will be adjusted pro-rRLa Oil a daily basis between J)uyer and Seller, reimbul'5ing where applicable: laxes (see Nolices alld lllfunllulioll Regarding Tax Proratiun); rents; Interest all mortgage QSsulllptions; condominium fees, if allY; Waler Rndlor sewer fees, if auy; togelher with Bny other lienable municipal service. The charges are to be pro-raled ror the periou(s) covered: Seller will pay up to uud illclmlillg the dale of stUlemellt; lluyer will pay for all days following setUemellt. unless olherwise sla(edhere; (II) 13uyer shallleil1luul'se Seller ful' Ihe actual cosls uf any remaining heating, cooking or oLher fue]s sto,.ed on the Property at the time of $clllelllcllt,lIl1lesSolhel'wiseSlaledln:I'e: 4. I'IXTUIllDS AND I'EHSONAL I'HOJ'EHTY (1-0U) (A) INCLUDED ill this sl.le lllllJ Ilun;llase price are nil existing items pCI.munclIlIy installed ill the Property, free of liens, illcltllJing plumbing; JIVAC Ctlllillluelll; ligliliug Jj,'(]Utes (iJII;JUJiJlg chandeliers nUll ceiling fans); and waleI' IreaLmentsysLems, unless utherwise staled veluw. Also iududeJ (0) l.EASEU items: (C) EXCLUDED Jhlllrc:; <lnd ilclll:;: 5. SIJI~C1AL CLAUSl.!::): (A) The lolJuwillg are pill! \If!hi~ AgJt:CfIlcul irdrcckcd: [) [)~-- (D) SI'I~ClAL l'H\JVISION8 (IF ANY): o [) LJ COpy nU),t"lllitlll~:' m pent VIII U3 REALTOj~S" .!~lr"". ...v............"........._"..".. A/S-C I'age I of6 Lnrrdrllnrk Comrnereinl Really Ille 2.0 Erronl Rll SIC 215, l..CllIoyne PA 170'13 I'hone:7117Jl199U faJl.: 1117)t8765 Lanllmal'kColllllltl'c1al Renlly, III I'rlltluced wilh ZII'For",'~ by m~ foun,He!. LLC 10025 Fnleen Mile RaId, CIi-1IM Town.hlp. fIIIlcI~IIB" 46035. (000) JOJ.gOO5 HJ1.1l0JS,a)( -- t. Spccial Clauses (Continued): This agreement is exprcssly contingent upon the following terms and conditions being IUct or waived or this agreement shall become nnll and void and the deposit together with interest shall be retnrned to the BUYER and neither BUYER or SELLER ,hall have any turther obUgation to the other. Each condition will be deemed to have been satisfied by settlement 01' the otherwise indicated Julcs unless UUYER notifies SELLER or SELLER'S agcnt to the ~onlrnry in writing on or bcli..lre the indicaleJ uate: A. FEASIBILITY PErnOD: BUYER or BUYER'S agent shall hHve a period of thirty-live (35) days from the date oHhe Agreement is fully executed to entcr upon aml iuvestigale all aspccts of the property with out limitation. Inr..:luded, but not lill1ilcJ to, soil anu subsoil ,<lludics, including core samples, environmental studies, enginecring studies, lallll-usc planning HUll feasibility studies, access to utilities, access to highways or allY other studies or inspcdiulIs BUYER decms necessary to determine the properly meels the BUYER':) llllcmlcd use to IJUYEJ{'S sole satisfaction. B. RIGHT TO TERMINATE: If BUYER determines, in BUYER'S sole discretioH, not to HC<IHire the property for any reason, BUYER may, at its option, terminate by wrillcllllotice lu SELLER on or before the expiration of the Feasibility Period set forth in Paragraph 5A above. Upun such termination, the Deposit, and all accrued interest thereon, will be iUUllcuialcly rclurmxt to BUYER and BUYER wilt have no liability to SELLER hereunder so long as the termination oeenrs prior to May 15, 2004. C. FINANCING: BUYER to seellfe acceptable conventional financing to aeqnire and develop tile property for its intended nse on/or before May 15,2004. D. SHORT TERM LEASE: SELLER agrees to a1tow BUYER to lease np to 3,000 Sq. Ft. of office space at 2250 Millennium Way, Enola, PA at a rate of $15.75 per square foot plus janitorial service. Said lease shall begin no later than July 15, 2004 and shall continue until completion and move-in by BUYER at BUYER'S new office bnitding. Formal lease document to be executed on or before May 1,2004. E. It ,'r; tl" Co ('\f fr4r: fr'v'r- f)<\(,r .lr.r<./,'(V) r~le~f tv CtJ.-.'f>r",t"' '?-I,Yi--. py,--,.,,,'c/ to fly,'(..1.,.......... {:;,cr:('-j I c...I/,tJ :" fle,,,,- U<'1).[. X;'C t,;" ""fc~'nl Cq,((E!ec'f.-.c j"l'n vv; (( -r;.'d'> fd ,- ,..A!-I'r,'?C C\ ",'qJ-dnl' b(~ (dIt-, /~ L1 fnpy -~. Buyer's Initials!' hi ' VV . Page IA 0[6 ' ;?i// Seller Initials: /;f-/? ~...../ ,/ G. POSSESSION (5-01) I (A) I'ussessioll is to be delivcred uy t.Jceu, keys and: . 'SS 1. Physical possession Lo vacant l'roperty free of c.Iebris, wiLh all sLrucLutes broQm clean, al oay nml Lillie uf scUlemcnL UNLE~ otherwise stated here: ' AND/OR 1. Assignmcnt of existing ICIISC(S), togcthcr wilh allY security depusits <lnu illtcrcsl, at (imc of seU/clllellt, if l'I.U/1C/'ly ;s leased althe execution o[this Agreement or unlcss uthcrwisc specified herc: , I ) I , 1 , 5 , 7 , , o I 2 3 4 5 6 7 , 9 o I 2 3 :4 5 " " '8 " 10 1I 32 J3 J4 35 36 37 38 39 40 " 42 43 44 45 i46 147 148 10. Buycr will acknowlcuge existing tcase(s) by illitialing sait.lleasc(s) at time ofsiijuillll Ihis Agrecll1cnf if I'mlltrly i~ leased. (0) Seller willllot cnter into any new lcases, written exlensiun of cxisting lenses, if any, or at.lt.lilionallellSCS for llie Propclly without wrillell consent of the BUyer. 7, DATESn'IME IS OF TilE ESS.ENC'E (5~01) (A) The said dale for selUement alJd all olher unles nUll times referred to for lIlc pCl'fOtlllllllCC of {IllY uf lhe ubligatiuns of this Agreemellt are hereby agreed to be ofLhe eS$CIlCC of this Agreel11clIt , (0) For the pUI.poses Qf this Agreement, llIunber of days will bc euul1\eu from lhe uate of exC'_culloJl, by cJ\l;ludiug lhe day llus Agrcement was eJ\eeuteo and iucludillg the Inst dRY of the lime pel"iou. (e) The date ofsettlelllellt is Ilot extenued by allY other provision of this AgreclIlellt nnd lII11Y only be cJ\lcm!cd 1.>y wlittellllgrecllleut uflhe parties, 8. IrlNANCING CONTINGENCY (5-0 I) o WAIVED, This sale is NOT contingent 011 fillRnciug. 00 ELECTED (A) Tllis sale is contingent upon Buyer obLaluing [lllancing as fulll.1ws: I, Ainoulltofloan$ 2. MinimurnTerlll 3. Type of loan 4. Buyel' agrees to Rccept the Interest rate RS U1ny Ile cunrmiUed hy the lemlel-. lIpt 1\' C:\l;CCU ,I nll\.~ill1\1m (nterest rule of %, (IJ) Within 10 days of the cxecution oftl!is Agreement, Buyer will make a complctcd, writtcn 111'plicI1tiolltn I1l'CSl'llllSihlc l~lIdcr nco.;unling l(J thc terms avol'e, Tile Drolle,. fvr Duyer, if allY, olberwlse the lhul~tI' (01' Seller, is llutlll1rized t{l cllmmllllicllle with the lender for the purposes of Ruistillg III fhe 10RII process, (C) I, Upon receipt of a financing commitment, Buyer w' 1, Fh\Rndng commitment dRte r. 4 . UnlcJ>S otherwise agreed to in writing by Buyer and Sell r, i, ~i~' rnmillllenl is not n~ccil'cd hy Sellcr by the abuve Jnle, all dl."-!,usit monies paid on account of purchase price will be returned promptly to Duycr Rml this Agreement will be YOlO. Buyer will be responsible for any premiums for mechanics lien insurance nlld/or tille search, or fee t'or cancelllltiOIl ufSaHlc, ifnny; AND/OR any premiunis for Oood insurauce amI/or fire insurance with extendet.l coveragc, illsumllcc binder charges lll' cDIll.;dlution Ice, if any; AND/OR UllY appraisal fees allU cha("ges paid ;fllltlY811CC to lClltlCr. rf~'- 9. ZONING CLASSIFICATION (5~Ol) ~ r ~aiJure of this Agreel~ent ,to eontailll~le ~olling c1a,ssificatio," (exct~lill c~s w,here the property. (and enchllaree~ lhereof. if SUVdi"'idl\hl.~~~:flk IS zoned solely or prunanly 10 permit smgle-fanuly dwelllllgs) WIll render thl$ Agreement vOllJable at the oplrull of the Uuyc!", ancl, If'" l:v voided, BlIY deposits tendered by lhe Buyer will be relurned to the, Qu er without any requirement for cumt nction. ." r < . " ZonlngC"u~mc"tiO"; I~. .~.f. ,,~ .......f - {.').'I Irv ZONING CONTINGENCY (5-01) o WAIVED 00 ELECTED, Within 30 days of lhe executioll.()f this Agreement by all pprlies, Suyer will verify lllst t/xe prollaseJ use vf llle Property as 5000-6000 SF Off. B1da is permined, In the event the proposed use is not permiUed, Duyer'will, wltllhr the lime give" fl)T YeTlficJlth'n, notify Seller jJl writing thaI the proposed use oCthe Property is /lot permilted ami nuyer will (check only one): Qg OIJUOll 1. Within the time for verifying the zOlllng dAnlOc.ntlon, notify Seller, in writing, of Buyer's decisiolllo proceed with the pU[{:hase of tile I'ro11erty or terminate the AgreemenL Should Duyer elect to terminate the Agreement all t.Ieposit monies paid on account of purchase price will be returned promptly (0 Buyer aud this AgrccllIcllt will be V01D, J?niluJ't' of Duyer lu l'rol'hle written no lice of Duyer's decislOIl will conslltute n WAIVER of this contlngellcy 111I\1 Buyer necellts the I'roperty am.l agrees to the RELEASE-set forth In parllgr"llh 25 ofthls Ag.'eelllent., o 01Jlioll 2. Make applicatioll for approval (or vllriancelnoll-conforming use/conditional use/special exception) fi'um (municipality) to use tbe Pwperty 115 yco("s (proposedusc), (A) Such applicaLioll will be made on or before (0) Buyer will pay for applications, legal fees, engineering IUld any other cost associated with ob\aining apprlJvElt. (C) If the municipality requires the application to be signed by the current owner, SeHer agrees (0 do so, (D) If a final, unappealable approval is not ovtained by , all deposit mOllies paid 011 accolllIt ofpurdmse price wi.IJ be returned pl"Ol11pLly to Buyer and this Agreemellt will be YOlO. 11. STATUSOFWATEn(5~01) Seller represents U111t this Properly is served by: lID PublicwaLer o On~site waler ~ g ~~::nU"ilYW"". I I COEl' Seller further warnlllfs Utat this system(s) is/are fully paid for as of Ihe execution dale of tbis Agreemellt. 12. STATUS OF SEWER (5~OI) Seller represents that Property is served by: 00 Public Sewer o Community Sewage Disposal Systen~ DOff-Properly Sewnge Disposal System o Individual On~Lot Sewage Disposal System (See SeV(age NoHce I) o Individual On-Lot Sewage,Disposal Syslelll ill Proxhnily to Well (See Sewage Notice 1; see Sewnge Notice -I, if applicable) o Ten-acre Permit Exemption (see Sewage Notice 2) o Holdillg Tank (See Sewage Notice 3) o None (See Sewage Notice 1) o NOlle Available (See Sewagtl Notice 5 or SewlIge Notice 6, as applicable) o Sellcr further warranls /JUtt Illis syslem(s) is/are EIIUy paid for as oftJle datc of this Agreemcnt. 13, PROPERTY DEFECTS DISCLOSURE (10-01) (A) Seller represents and warrants that Seller has no knowledge except as notec.l ill this Agreemenl that: (I) The premises have heeu contaminated by allY substance in allY manner which requires remediation; (2) The Proverty col/tains wellallds, nvud plaills, V[ !illY other environmentally sensitive areas, development of which is limited or pl'ecludet.l by law; (3) The Properly contains asbcstos, pvlydlloriualcd viplles:tyls, lead~based Palllt or 1I1IY othcr SUVSlllllet:, lhe removal or disp03ill of which is subject tt> allY law or regulation; and (4) Any law has been violated In the handling or disposing of any material or waste or the discharge of any material . into the soil, air, surface water, or ground. water, ~/ Ii:.-;o<-~-'" Duyer'Initials: -.' . A/S~C I'oge 2 or 6 Sillier .lnlth,ls: .t.--- - .--- . PrOllu<:ed ..~h ~pFo''''- by I\E F"'mltolel, lLC looZ!] Flllnn MUe n"ed, I.:Unlotr T<I""'.llIp Mltlrlgen 411U3\l, 1\l0ll' 383-9'b05 H'llQ)I.lF)( (8) Seller ami Buyer acknowledge thal AllY Broker identified ill this Agreement: (1) Is ~ liccnsed I'Clll eslale Inoker;.(l) Is 1I0lt1 e~pcrt in conshucUoJl, engilleering, or ellViromnentaC lllulters; nnd (3) Has llOt maue lUlU mil nOllllR.k.e lUl)' J"epreSeJl~atlollS. or w Hnlltl~s .1\01 conduct investigations of the environmenlal contlitioll or suitability of the l'rollerly OJ" any adJacelll propeliy, mclutllllg but lloll1ll11ted 10 llJ(lse comJJtio1l3 listed in pnragrllph 13(A). .' .... . (C) Seller agrees to indemnify rmd to hold Broker harmlcss frolll ami against all clalllls, demnmls, or lra&J!J1ICS, Uldudm~ aUuHlcys fees un,'" comt cosls, which urise froul or !Ire rel!lted to the environlllental conditiOll or suilabililY of lhe PnJpcrty Plior 10, dUlmg, or IIncr Seller s occupation oflhe Property including without limitatiol1 /lilY cOllcliliollllsled in paragraph IJ(I\). (D) The Ilrovisions of this Section will survive the pcr[orll1l1l1Ce of this Agreement. 1<1. NQTICES & ASSESSMENTS (5-01) . . (A) Seller represellt~ us of Seller's execution of thiS Agreement, thnt no public illlpf'QI'CfltClIl, CQI/(JolllilliwII Qr uW~ler IISS0~mtLOll assessments have bcen mnde against the Property which remnin unpaid amllhnt no nolice by II11Y govcrluncut or !)U?l11:: alllhonly has Ix:cn served UPOll SeHer or anyone OJI Seller's behalf, including notices relating to violatiolls of zoning, huusing, bUlldwg, sllfety. or fire ordinances whiclt remain ullcorrectet.!, and that Seller kllOWS of no condition that would CUllslitutc viulaHollllC allY such oft/mllllces which rcmains uncorrccted, unless otherwise specified here: CD). Seller knows of no other potentiallloticcs (htclUlJing violalions) IInd asseSSlllents exceplns follows: 17. (C) AllY notice of improvements Of assessments received 011 or before the dnte llf Seller's accep(am:c ~,[ this AgrC1::mcl1l. III/JeSS improvements consist of sewer or waLer lines not in use, shall be lhe respulI.~iui1ity of Selle-I'; IlIlY notices received thClcatlel" shllll be {hc responsibility of the Buyer. (D) If required by law, Seller will deliver to Duyer, 011 or befol'e seLLlemelJl, 0 ccrtil1cll.tiuJI frOllllhc Il.lll'lnprillLt' llJllniciplll llepUl'llIJCIlt ur depaltments disclosing nolice of any uncorrected viulation ofzlJnillg, huilt.!ill&. safelY, or fire unlimmccs. (E) Buyer is advised that actess to a ]Jublic road lllay l'c(\l1ire issuance of a higllW(lY ('(;CUjlIHll:J' pel/llil lium Ille Dl:l'fll'tl1\t'llt of Transportation. TITLE, SURVEYS AND COSTS (1~OO) (A) The property is 10 be cOllveyeu free lUlU clear of all liens, eI\CUlllUl"!IlI\;eS, !lnd eilscmellts. EXCEPTING I-IOWEVER lhe liJlluwing: existing deed restrictions, historic preservation restrictions or ordinances, building restridil.1l1s, onlilJlluo.:cs. ellselllcnts of roads, easements visible UpOIl the ground, easements of lecoru, privileges or rigjll.~ of public 3CI'vjrc coJllVDJlies. lllllds use reslrictiuns pursuant to property enrollment ill a preferential tax program if allY; utherwise the title \lI the nbove desClibed rcal eslule will be guuu and markelavJe alld suc.h 8.'; wHJ he iJl5ured by a reputable Title InsurUllce COll1pnl1Y at thc regular rlltes. (0) lnlhe event the Seller is unable to give a good and marketable title and such as will be ill~l1l'ed by a rcptllllulc THh: (l1~unU1o.:c Clll1ll'Rl1Y at the regular rates, as specified in paragraph l:i(A), Buyer will have the oplioll of: (I) Tl'lking such title liS Seller CRlI givl'. willi IIU change to the selling price; or (2) Being repaid all monies paid by Buyer 10 SeJler 011 lIccount uf purchnse price ,IlIU being lcimlmrscll by Seller for allY costs incurred by Buyer for those items speci(ied in paragraph 1:i(C) aut.! in [lol'agruph 15(D) itclJl~ (I), (2), (J), ill which case there will be no further liability or obligation 011 either of the parties heleto and this Agreement will becume VOID (C) AllY surveyor surveys which 'may be required by the Title Insurallce Company or the ahSlrlle{ilJlI. ai/ome-y, fur {lIe jflCjl1lfUliflll of nil adequate legal description of the Property (or the correction thereof), will be secureu aml paid for vy Sellcr. lIuwcvcr, allY suncy VI sUn'eys desired or Buyer or required by lhe mortgage lender will be secured auu paid for by Buyer. (D) Buyer will pay for tile following: (1) Tille search, title insurance and/or mechanics lien insurance or fce for cEll\ccllatiUll of SHIne, if any; (2) Plood insurance, fire insurance willi extended coverage, mine subsiuence insurance, and cnllcellatioll fees, if any; (3) Appmisal fees and charges paid in advance to moligage lender, ifany; (4) Buyer's eus/owary seHlemcllI cosls DlllJ IIccllmls. COAL NOTICE 00 NOT APPLICABLE o APPLICABLE. THIS DOCUMENT MAY NOT SELL, CONVEY, TRANSFER, INCLUDE OR INSURE TilE TITLE TO mE (,'0"1.. AND RIGliTS OF SUPPORT UNDERNEATH THE SURFACE LAND DESCRIBED OR REfERRED TO HEREIN. AND THE OWNER Oil OWNERS Of SUCH COAL MAY /-lAVE T/-IE COMPLETE LEGAL IUGHT TO REMOVE ALL SUCH COAL AND IN THAT CONNECTION, DAMAQE MAY RESUl.TTO THE SURFACE OF THE LAND AND ANY HOUSE, DUlLDINQ OR OTHER STRUCTURE ON OR IN SUCH LAND. (This notice is set forth ill the manner provided ill Section I of the Acl of July 17, 1957, P.L. 984.) "BUyer acknQwledges that he may not be obtaining the righl of protection against subsidence resulting from coal minlug opernHolls, ami tllat tile property described herein mny be protected from dwnage due to mille subsidence by a private contract wilh the owners of the economic iulerests ill the coal. This acknowJedgemcllI is made for Ihe purpose of complyiug WiUl the provisIons (If Section 14 of the Ditumlnous Mille Subsidence aud lhe Land Conservatioll Ad of April 27, 1966." Duyer agrees to sign the decu fl'OllI Seller whicll deed will contain lhe aforesaid (ll'Ovisioll. TAX DElrEllRED EXCHANGE (JO~Ol) 00 NOT APPLICABLE o APPLICABLE. In the event Seller wishes to enler into a deferred exchange for Ule Properly pursuollt to Sectioll 10J I of \Ile Internal Revenue Code, Buyer agrees to cooperate willt Seller ill cOllnectioll wilh such exchange, iUcluding the executioll of such docmllellls as JIIay be reasonably necessary to conduct the exchange, provided lhat there shall be no uelay in the agreeu-to seUlement un{e, amlllmt any additional costs associated with the exchange ate paid solely by Seller. Buyer is aware that Seller alllicipates ussiguing its interest in {/lfS Agreement lo a t11ird party Ill/dee all Ei(cllllllge AgreemeJl1 alld does hereby consent to such assignment. Buyer shall 1I0t be obligaled to take Litle to 1lI1Y property other thall the Property described ill this Agreement. Seller shall indemnify and hold hannless Buyer against any liability which arises or is claimed to have lU"isen frOlll allY aspect of the exchange transaction. COMMERCIAL CONDOMINIUM (1U-Ol) ~ NOT APPLICADLE o APPLICABLE. Buyer adwowledgcs Ihat Ule condominiulll unit (0 be \ransfeu-ed by the lerms uf this Agreement ill intended for llonresidentlaluse, and the Buyer Il1UY agree to modify or waive the applicability of certain provisiolls of the Uniform COlldOlllinlum Act ofPennsylvania{68 Pa C.S, ~JIOI el. seq.). . RECOROING (5-01) 111is Agreement will not be recorded ill the Office of lhe Recorder of Deeds or III allY olher oWce or place of public record. If Buyer causes or permits this Agreement to be recorded, Seller may elect lo trealsuch act as a breach of this Agreemellt. ASSIGNMENT (3-85) lllis Agreement will be binuing UpOII the parties, their respective heirs, personal represenlatives, gU[J[diIlIlS and successors, lUld, to the extent assignable, on lhe assigns of the parties hereto. 11 is expressly understoud, however, that the 13uyer will /lot transfer or assign Ihls Agreement withQUlthe written consent of the Seller. DEPOSIT AND RECOVERY FUND (l-lJfJ) tA) Deposits paid by Buyer within 30 days Qf settlement will be by cash, cashier's or cerH[\ed check. Deposits, regw'dless of Ibe form of paymenl and Ule persoll designated as payee, will be pllld ill U.S. DollArs to Droker or parly identified in paragraph 3(0), who will retain them ill an escrow accoulll until consummation or termination of this Agrcement ill confurmity wilh all applicable laws /lud regulations. Any uncllShed check tendered as deposillllay be beld pellding the Elceeptance of this offer. (D) In fhe evelll of a dispute over enlitlementto deposit monies, EI broker holdiug the deposit is required by the Rules IIlId Regulations of Ihe Stote Real Estate COlllmissiotl (49 Pa. Code ~J5.327) to retain the lllunies ill escrow until the dispute is resolved. In the event of litigation for lhe return of depQsit monies, '[\ broker will distribute the monies liS direetell by II fnm! order of court or (he wriUen agreement ofthe parties. Buyer alld SeHer agree that, ill the event allY brokcr o{ affiliateu IJcCllsec is joined jll jWgnlion for lhe return of deposit mouies, the attorneys fees alld costs oftlte brokcr(s) and licensee(s) wiil be paid by Ihe party joining thelll. (C) A Real Estnte Recovery Fund exists to reimburse allY persons who have obtained a fiual civil judgmcnt against a PCllnsylvllnia real estatc licensee owing to fraud, misll:presentation, or deceit ill a real estate transaction and who has bcclIullaole to eollec! {lie judgment aner exhausting all legal Rlld equitable remedies. For complete details about Ule FUllO, call (717) 783-3658, or (800) 822-211J (wilhiu Pennsylvallia) and (717) 783-4854 (outside PCllllsylvRllia), 15. 16. ) 18. I I I j 519. 6 7 20. g 9 (] 21. 1 :2 " :4 :5 " !7 !8 " '0 JI JZ JJ ( lIlX/lf)( r€1 (1\0\1 ?.-.,' ,_/ U"Y"lnU;'t7'7T1~ A/S-C P".'"'6 U UjFl'll'unl"/,,/ ~ P'tlduc::,d ....~h llpFtlIm'~ by !'IE FtlI,~.Nel, LLC 1&025 ~lIle"" Mil' ROlld, Clnl,," Tow".l'lp Mlchlll.." ~B[)3B. tBoo) 3BJ-geU5 / HlllllJlzrX 25. MAINTENANCE ANU IUSl( 01' LOSS (5-01) . . i (A) Seller willllJainlllill Ule Pmperty, and UHY persollal prupcrly spedfictlllcreill, ill its present cOlllhllOI~, norlllal wc~r oud t~nr expetLeu. . (0) Seller wlll promptly notify the Duyer if, at any lime prior to lilt time o[SCUlclUclIl, nil ol'any ~lUlllOn l1flhc I'lUllclly IS dcSllUYCU. Ul ua/lll/geu as a resuH of allY cause whatsoever. .' .' (C) Seller will bent risk of loss from [ire ur olher causes ulllillimc of sctUelllClll. III {he evellt {lmt llmllllgc 10 8UY PWPC1IY.",ll;!UUCll Jl\ t1us salc is nol repaireu or replaced prior Lo sculcmenl, Duyer will have UIC option of rescinding this ^grc~llICI1I lllJ(lrCl,:clvULg all ~llUIllCS paid 011 accounl or of accepting (he Properly ill ils tllell comlilionlogcLher wilh the proceeds of allY lll!lurnlll.;~ rc!;tI~cty uutallled ~y Seller. Buyer is hereby notified tllO.t he/she lIlay insure his/her equitable intelest ill this {'roperty as of the tlllle tflls Agreelllel1( IS accepled. CONVEMNATION (5~01) Seller ha~ no knowledge of any current or pending condemnation or eminent domain proceedings .Ihal wuuld aHcclthe Pruperty. If allY portion of the Property should be suvject 10 cOllllcJIIllatloll or eminent dOUlaill proccedings aOer Ule signing of Ihis Agreement, ~eller ~halJ illll11edlal.cly advise Buyer, in wriling, of such pl"ocecdiugs. nuyer shall have the option to terminate Ihis AgI'celllcll( by proviJmg \w/llclI notice to Seller within fifteen (15) days aftel" Buyer 1eams of the tiling of such proceedings, ill which case Scller shall returlJ to Utlyer all money paid on nccount of the pureha.se price by l3u)'er. D"}'el"t fill/al"e to ,"'ovwe npUce lIf lel'lllillllUOll within the tlllle Slnled will constitute n WAIVER of this eOll!lngellCY nnd all otiler ttrllls ufthls Agreemcnt remain ill full fur\:e "lid erred. WAIYElt OF CONTINGENCIES (I~UI}) In the event this Agreement is contingent 011 Buyel's right to inspect nnd/or repair the Properl)', IIl/rH" {/lilllre /u (')lel"(l.~e sHly of Ullyer's optious specified in lhe contillgellcy pl'ovislon(s) wilhln the time limits will cOII!litllle II \V AIVE;Jt or thnl nllllingelli:Y nnd Duyer ",<,cepa tile Property lUUJ agree! 11} the It.fi.LEASE ~el forth in I'nrngrAjlh 2~ of lhl~ ^~reelllelll. HELEASE (1.00) Duyn hueby releRses, qllil dnillls nnd furever dlsch"rges Sln,LEn, ALL LUU)I<lmH, lhell" LIC'l1NSl!;If..S, EMPLOYEES, AIIlI nl1J OFFICER or PAlt.TNER of nnJ oue of them nud nn)" othel' l'EltSON. lillt.lH, ur CQlU'OllATlON who lIIay be liable by or 1I11'ough thelll, froll! nlly nnd aH c1l1ims, louu (II' de(lfall(l,~, illdlldill~. '",t Iwt IImil\'!d lo, IleI'SIJllRI injuries 1111I1 jlroperty dAIIIAge IIl1d all of the cOllsequellus Ulel'eof, whether \lOW knQWII Ill' 1101, which IIlKY nri,e frolll Ihl' pre,ellce "l termites or olber lyoQ[J-uorilJg insects, nu]oll, lead-bllsed pRint ha7.llnls, ~lIvi"olllllellllll hnuuds, allY deferts ill lhe ilHlividnnl IIII-h,( ~ewRge disposal system or defidenclu ill (he oll.site wHlel' service system, 01' allY lIer~cts IJr cOl1ditilJlI~ llll (fie l'nIIJI'I'(Y. Tbj~ fe/cllse Ifill lI~rvlvesetllemellf. REPRESENTATIONS (5-<11) (A) Buyer understands that allY representations, claims, advertising, prOll1ulionlllndivitles, brochures or plnlls ur fillY kiullllL[lue by Seller, BroKers, their Iieellsees, employees, officers, or partners me lIot a part uf thiS AgreOlncnt unless expressly illclHplJrall.:d ur ~tnleu ill [his Agreement. H is further understoQd that this Agreement contains the whole agreemeut uetween Sellcr <<11\1 Uuycr IJIld lherc IIle /Iv lJ!JJCI' terms, obligations, covenants, representations, statements or conditiolJs, oral or otherwise or nil)' kinu whatsuever cUl1ccll1illg this salc. furttler1l10re, t/lis Agreemellt will I/O! bf; allereu, .!ImelldeJ, changed or mouified except in writing exccuted by the pmtics. (B) II is understood thAt Duyer hll.5 hlslltcted the Pruperly uefon signing (his Agreement (lllclucling fixtures alltl KIlY 1'\!r5ollnl prollerty sjledfically scheduled buehl), or has waived llle right tIJ do so, alld Iaas agreed to vun:hn.!c II III Its jlresclIl clmdltioll unless olhcl'1vise s~n(ed ill (his Agreement. Duyer acluHlw'edges thAt Hrolu!f$, llleil' IlcelUI'~"', clIJplu}'cl'3. ulliceu or "nrtllers have nolllJnde an indepellden( exAminAtloll or detenuinnUoll of lhe sh'ucllll'nl,lOUndllen of lhe I'roperty, lhe nge UI' cOlldltiull of III! tompUllelll$, ellvJrollnJental caudlllol1s, the )lermlUed uses, ur of cOlldlHulIs ulslillg ill (he locllle where 1111 I'rullerty is situated; nor bon (hey made n llIeChlllllcnllllspecllulI of nny uf the systellu contained therein, (C) Broker(s) lnay perform services to assist unrepresented parties in complying wiLh the terms of this Agreel11cnt. (D) The headings, captiOl1s, and line numbers ill this Agreement nre meall' ollly tQ make it cnsier lo filld lhe: IJllroF,ruphs. DEFAULT (1-00) ShQuld Buyer: (A) Fail tQ make any additional payments as specified ill plltllgraph 3; OR (9) FUfIJish faJ~e or ine011lplete information to Seller, Broker for Seller, Broker for Duyer, or Ule lender, if allY, ClJllceming lhe BUYCl"S legal or finaucial slntlls, Ot [aillQ cooperale jJl tbe pmcessing of the loall npplicatlon, which nets would result inlhe foilute to obtain the approval ofa 10011 commitment; OR (C) Violate or fall to fuUiIl and perform any other terms or conditions of this Agree:lllent; then in such l:ose, Seller has tile option of retaining all sums paid by Buycr, including the deposi! mOlljC3, I) on necouJ\t of purchase price, or 2) as monies to be applied to Seller's damages, or J) as liquidated daUll1ges fQr such ureal:h, as Seller lIIay eket, ullless otlll~n,.;se thrckcli beJow. lXI Seller is limiled to retaining sums paid by Buyer, including deposit monies, us liquidaled damages, If Seller elects to retain all sums paid by Buyer, including deposit monies, as Iitluldated damages, Duyer and Seller will be releascd from further liability or obligation and this Agreemcll! wJl/ I1e yom. CERTIFiCATION OF NON~FOREIGN INTEREST (10-01) o Seller IS a fOJ"eign person, foreign corporation, fordgn partnership, foreign hust, or foreign estate subject to Section 1445 of lhe Internal Reve:lIue Code, which provides that a transferee (Duyer) of a U.S. rent property inlereS!111ust wi1lIl/(]JJ tux if the lrsllls[e,w (Seller) is a [oreigll person. lID Seller is NOT a foreigll persoll, foreigll cDrporalioll, foreign partnership, fUl'eign trust, OJ' [oreign. estate as defiue:d by the Internal Revenue Code, or is otherwise 110t subject Lo the tax withholding requirements of Se:ction 1445 of the Internnl Revenue Corle. To inform Buycr that tllC withholdillg of ta.'\{ is 1I0L required UpOll lhe saleldispusilion o[ the Property by Seller, Seller hcreby agrees 10 fumish BUyer, at or before closing, wilh the following: o An affidavit stating, under penally of perjury, 1I.)e Seller's U.S. taxpayer hlentificatiolJ lIumber anu lhatthe Seller is not a fureign perSOll. D A "qualifying statel1le:llt," as defined by statute, that lax withholding is lIot required by Buyer. o Olher: Seller understands thal any docunlentatiotl provided under Ulis provisioll may be disclosed 10 Ihe Inlernal Revenue Service by Buyer, and thot allY false statements contained tllcrein could result in punishment by fille, imprisollment, or buth. ARDlTRATlON Olr IHSrUTES (1-00) Buyer and Sellet agree to arbilrate any dispute bctweenlhelll that eallllot be wnieable resolved. AOer written demand for arbitmtlon by either Buyer or Seller, each party will select a competent awl disin{crcsled !Ifbitralor. TIlt two so selected will select a third, If $e1ection of the tllird arbitrator cannot be agreed upon within 30 days, either parly liIay request that selection IJe matlc vr ajl.ldge of a court of record ill llle county ill which arbitrnlioll is pending. Each party will pay its chosen arbHralor, and bear equally expenses for tile third and all other expenses of arbitration. Arbitration will be conducted ill aecol'dollce wHit the provisions of Pennsylvania Commol, Law Arbitration 42 Pa. C.S.A ~7341 d. seq, This agreement to arbitrate dispules arisil1g from this Agrcement willsurvivesetUement. DROI<ER INDEMNIl'lCATlON (10-Ul) Buyer and Seller represent that Ihe only Brokers involved ill this InlllsactiOIl aIe: and that the: hallsaetiOll has not been, brought about through the efforts of anyone otber than said Brokers, It is agreed that ifany claims [0; brok~l"age commissioll!; or fees are ever mlK1e agai/lst Buyer or Seller jll connectiOJl willl IIlis tUlllsaetioll, each party shall pay its own legal fte:s and costs ill connection with sudl claims, It is [urther agreed that Buyer Emd Seller agree I',l indemnify and hold harmless each other and the above-listed B.rokers from and againstlhe non.pe:r[ormance of this AgreCljenl by either parly, 8ml from allY claim Qf loss or claim for brokerage commissions, including nil legal fees and costs, that may be III ue by allY perSOll or enMy, This l1<1ragrllph slllll1 S"u/"Yive settlement. . 22. 23. 24. 26. i '27. , l I ) l 1 , , 5 6 7 828. 9 o I 2 J , '5 '6 '7 '8 >9 '0 1I J2 19. 0) 04 "' 06 07 08 09 JO. 10 11 12 .13 II' 115 116 117 .. ~l\ / . LJ COp\! -~- Duyer 11II(IAIs _ \ A/S~C l'age 4 ur 6 feller 111101115: /:!f!'~ f.f . Proo""ed wlUlllpFOlln'" by RE F\>fnllNt\. LLC 10025 Fillet" Milt R"8~, CI~I,"1 Townlhip Mle/"Il"n ~O\J3B, lOUD) :mJ.'ilO\J~ / T~n2l)JV;Fl( '-\ /; ~. 9-~ o CO ~ V\ N p. ~ ]. )> '" 0 ':\ r'i-.::1",:J;, ~~' ","'~~C}' ""~~~~ ~%.~~~~ ~ 0- "0<1v~\:'1 ~ '? ",;;;"" 'Z. .....l." ~.. '::\. Z i"....\w ."'0(> -- \J 0 1"_ ' \J\~0 ,~-p,0Cflo . rlS, 0"'-' ~-., ",,/1 '/ ,r~v; _J r<1 ~ >( -3J ill "" , ill ",'b~' / \,. OJ'> ?\ . i'X<;iq, Cl 'ir c: 0 -\ '''}.'k' or. ,"., ~\' Q+"' '" '" "'};;" <" i1\ \? \ ~"+G' ~~.>-':~<-\ )~ \ __t~?J", '1, ' ~C>O 'Z.'-\? ~'?;.] .-g"'i, ?"'75 :: ",\,,?" "0 ~ \II '" <;:J __ "" So , --' till/ / / h'Cte/ '" ~\), ~V ,,0 ')y ..... ..... ~I:l" ,,;.'>,,$'. , ,....V +,' '?' / ~ \ \\ ~ -- . II '" "'. - to> ~ )> '" CJ r ~ ?J ~i f11.......vt V10 ~ j;:",g' <Jl " '" 1-"" () <') 7'0 <Jl'" . :;j\!:l'..,S';!;? P,~" ~"'" <::J '" ':I, - ()\ '3J 0 r '" "\ "s .?o. '2. % 'ft \ ~ ~ 'ii \ ~ \ , .\ ~ \ \ ,. t S\l~1'> ~p..~p..NffiaD'~IC' p..aabClA''''''' . ,... . ",G,,,,EEf<S 6t. 5\3f<""'''''0''S , ,-~"""" ,~~ EEl ::.v~s ENGINEERING, \NC. 'j\ NOTICES AND INFORMATION INFORMATION REGAlilllNG TAX PRORATION For purposes of prorating real estate taxes, U1C "podou:; covered" by the IIlX bills lire as fullows: [or illl call1llies llud municipalilies ,ill Pennsylvllnin, alld for the Philadelphia, PiUsburgh, and Scranton school districts, the la:<. bills Il\"C fur the period Jalluary 110 December 3 L I'or all olller school Jistric!s, the period covereu by the {ax 11i1l is July j to JUlie 30. NOTICE 1: NOTICE 2: NOTICE 3: NOTICE 4: NOTICE 5: NOTICE G: SEWAGE NOTICES NOTICES PURSUANT TO THE l'ENNSYLVANIA SEWAGE l'ACILITIES ACT THERE IS NO CVIUWNTL Y EXIS'}'JNG COMMUNiTY SEW AGE SYSTEI'\'l A V AILAULE l'OR TllI~ SULlJECT pnOPERTY, Section 7 of Ute Pellllsylvania Sewage Facilities Aclllroviucs that llO ~ICfson shall illS{l1l1, COllstruct, IC(fllest bid proposals for construction, aller, repair or occupy any building or slrudure for whic-ll all individual sewage syslem is lo be installed, wHhout first obtaining a permit. Duyer is adyised or {Ilis Ilt.lkc thaI, bcfOl'e Sigllillg Ihis ^!!,l'Celllenl of Sale, Duyer should contact the local agency ehllrged wilh ntlminislcring the Ad to determiue the pmcctlure amlrC\[lIiremellt5 for obtaining It permit [VI' all imJjyjduaJ sewage systelll. The IOl.:al agcllry chnrgetl with adllllnisleriug lhe Ad willIH.~ lhe lIlulliciplIlity whCI'e the Property is 10cMed or that municipalily work.lng cooperfllively wilh others. TlUS l'lmPlmTY IS SERVICIW HY AN lNJJ1VlDtJAL SI~WAGE 8YSTl'~'H lNSTi\L1.,lf.1J IJNUEH TilE TEN.ACRE PEHIHIT EXEMrTION PROVISIONS (Jl1 sm:TlON 7 Uf TIlIf. I'IJ.NNSYLVAN"(A :;:tiaVAGE FACILITIES ACT. (Section 7 provides thllt a permit may 1101 be required bcflJre Imtallillg. cOLLslructillg. IIwardillg a contract for constructioll, altering, re~lRidl1g or cOlUleclillg It' UIl imlividuaJ sew;lge system where a tell.aoc l)fU'cel or lot is subdivided from a parent troct after JOlluory 10, 1987.) l3uyer is IlJvi~cd lhat. soils alltl Silc testillg WCl'e l1ut cOllducted and IlJal, should the system malfunction, the owner of the Properly 01" propcl-tics SCl'vil.:eJ by thc systcm at the time of a malfunction lIlay be held liable for any cOlltamilmliOll. pullution, pl1ulic hcallh lllll.f!lt! ')1 flul.muee wtlidJ occurs as a result. THlS rUOI'EUTY IS SERVICED DY A HOLDING TANK (l'EllMAN~NT on Tl~Ml'OllAJlY) TO W(lJCII SEWAGE ]S CONVEYED UY A WATER CARRYING SYS'l'J!'.M ANU WHICH IS Ul~SIGNEIJ AND CONSTRUCtED TO FACILITATE ULTIMATE DlSJ'OSJ\L OF THI!: SKWAGF. A'J' ANOTHEH SITU;. Pursuant to the Pennsylvania Sewage Facilities Act, Seller must provhlc a history of lhe llLLlI\III1 cost of mainlailling the lank from Clle date of its installaliOll vr December 14, 1995, whichever is Inter. AN INDIVIDUAL ,SEWAGE SYSTEM lIAS DEEN INSTALLED AT AN ISOLATlUN VlSTANCE JlllU!\1 A WELL THAT IS LESS THAN TIlE DISTANCE SPECIFJlf,D Dl' IlEGULATJON. The regulatiol1s nl 25 I'a. Code ~7].13 pertaining to minimum horizontal isolation distallces provide guidllllce. Subsection (b) uf ~7J.1J stlllcS that the minimum ilorizolllaJ isolation distance between an individual water sU1JJlly or walcr supply syslem sudioll line and treatment tanks shall be 5Q feet. Subsection (c) ofFJ.IJ states that the horiz.ulltat isulalion dislElIlCC uetweell the individual water supply or water supply sys\cm suction, line and the pcrimcter ur the llusurplioll mea shall be 100 feet. nus LOT IS WlTlllN AN AREA IN WlIlCl-ll'EllMlT LIMITATiONS AUE- IN EI'liECT ANU IS SUH.II1Cr TO THOSE LIMITATIONS. SEWAGE Jl'ACILlTlES ARE NOT AVAILABLE FOR TillS '~O'f Mm CONSTJtUC'fION OF A STRUCTUllE TO DE SERVED BY SEWAGE FACILITIES MAY NOT BEGIN UN'I'lL TlIE MUNICU'ALlTY CO/lU'LETES A MAJon I'LANNlNG ltEQUJJlEl\iENT I'UItSUAN'l' TO TIlE l'ENNSYLVANIA SEWAGE FACILITiES ACT Ai'll> REGULATIONS PllOMULGAl'ED TUEIlliUNUEll. A nl!.QUIltED REVISION FOn. NEW LAND DEVELOl'MENT, OR AN EXCEPTION TO THE llEQUHlliMENT TO REVISE, OIl A REQUIRED SUPPLEMENT HAS NOT DEEN APPllOVED trOll nus LOT. SEWAGE- FACILITIES ARE NOT A V AILADLE FOR TIllS LOT AND SEWAGE lrACILITlES WiLL NOT DE A V AILADLE, NOR MAY CONSTRUCTION BEGIN UNTIL SEWAGE FACILITIES I'LANNING HAS DEEN AI'I'HOVED PURSUANT TO TIlE PENNSYLVANIA SEWAGE FACILITIES ACT AND llEGULATIONS l'llOMULGATEIJ TILEREUNDER. EXPERTISE OF REAL ESTATE AGENTS Pennsylvania Real Estate Agents are required to be licensed by the Commonweallh of Pellnsylvania and arc obligated 10 disClose ndverse factors about II. propctly thaI are reasonably apparent 10 someOlle willi ex.pcrlise jn Ule rnarketillg of real property. i (A) If Buyer wanls information regarding specific conditions or components of !lIe properly which arc oulsidc lhe Agcnl's cllverlise, lhe 5 advice of the appropriate professional should be sought. 7 (B) If Buyer wants financial, legal, or any othcr advice, Buyer IS encouraged (0 seck the services of 8/1 accounlaul, lawyer, or olher B appropriate professional. 9 o COMMUNICATIONS WITH DUYER AND/Oll SELLEIl I ,2 Wherever this Agreement contains a provision lhat requires or allows eomll1unication/delivery 10 Ihe Buyer, SAid provision shall be satisfied i3 by communicalionldelivery to tile Broker for Buyer, if any. If there is 110 Brokcr for Buyer, all such provisions lIlay be satisfied ollly by ;4 communica!loll/dclivery beillg ll1Dde direcUy to the Buyer, Ullless otherwise agreed to by the parlies. . ;5 ;6 Wherever !l~is Agrcemellt contains a provision that requh'es or allows communieationldelivery 10 {he Buyer, said provision shall be satisfied j7 by eommunu:ation/delivery to the Broker for Seller, jf allY. If there is /10 IJrokcr for Seller, all such provisiuns may be satisfied only by 58 communication/delivery beillg made direelly 10 tne Seller, unless otherwise agreed 10 by the parlies. '. (j copy AfS-C I'age 6 of G P,o<IuI>ed with ZlpFmm'" by RE Foo-mlNel, lLC 18026 Fnlun Mnl Rood. Cfhfoo TlIWnsNp- MIc:I(lgan 400J8.18lJV/:JDJ.9Dro T.~7IOJ',Zf1<. 1. GOVEHNING LA-W (lU-Ul) . This Agreemenl shall be construed ami iutcrpreted ill Bcconlm!(;c willi the laws of the COllllllOllwcnlth uf l'clllLsylvallla. 2. NOllCE BEFORE SIGNING (5-01) . Durer and Sellcr acknowledge Ihat Drok.ers have advised them to !;;QllsuH amI retain ex.perts cOllceming the I,ega] and. tM ~fr~cts of lllls Agl-cemcnl and the cOllltJlelion of the sale, as well liS the conditklll nnd/or legality of the ProperlY, ,iJJ~ludlllg, b~lt ~\lIl h~l1lled tu, U~e Propel'ty's impruvements, equipment, soil, tenancies, tille ami environmental IlSpeels, Return by fneslllllle trnnSllllSSIOll (I'AX) uf thIS ^greemen~ and all addenda, bearing {he signatures or Ill! llarlle-s, constitutes ncceptance of this Agreement. n. NOTICE All notice requiremcnts under lhe provisions of this Agreemcnt or by aplJlicatioll of statutory or (;On\1111)1I law will be nuuresscu to lhe appropriate party, at the addresses listed below via allY mealls of delivery as llIutually agreed t111011 by the !lHlies and staled hen:; If to Seller; With n copy to: lrlo Buyer: WithnwlJyto; lID Buyer hl\s received the ComulIIcr Nolice I\S lulol'led by the Stnll~ ncn] Esl~le CUlnlllis8iuII nl49 1'1\, C~,d(' ~j;IUj(l. o Buycr lias I'cceived a slntement of Buyer's tsliJIIRtctl c10sluK cosl. befure signing thill AgreellHml. o Duyer bas receivetl the Dcposit MOllcy Notice (fur coopel'l\(ive salu w"ell Broker fUf' Seller b Illlhliu,2 tlel'u~illllulley) IJdOl'e siglllngtbis Agreemcnt. BUYER DATE ,(/ltf/t,/ ssrnll I'AXII DATI~ ssrn II- FAX# l)ATE ssrn n FAXf~ DVYER(S) NAME Mailing Adtlr,ess Phone tis E~Mail WITNESS/ATTEST BUYER DUYER(S) NAME Mailing Address Phone#s E-Mail WITN~SS/AnEST UUYEn(S) NAME Mailing Atldress Phone#s E-Mail o Seller hns received the Consumer Notlee as Ildopted by the Slate Ueal E.l'lnle Cvmlllisslon ht 49 rho Cotle ~35,3JG. o Seller hilS received R statement of Seiler's estimated c10sillg cost! before signing this Agnemellt. 1 , ) 1 , J . , 6 7 8 9 o " :2 IJ 14 " 8u 87 88 89 90 91 92 9J 94 ." VOLUNTARY TH,A.NSlrElt OF COllPORATE ASSETS (if applicable): The undersigned ackllowJedgcs Ihat lJC1sM is lIutllQrJzeu by the Board of Directors to sign Ulis Agreemenl on behalf of the Seller corporation and that this sale does not consUlute a sale, lease, or exclulOge of ail or substanlially all {he property llnd a1;Se!s of the corporation, such as would require the nulhorizallOIl ur consent uf the shareholders pursuant to 15 P,S, ~1311. SELLEn'S ;SS:EI'fANI'E' S,II"hm"y ~"i'" '''0'' ",,""""" (ua~'! .~ WITNESsMrfEST \.. ':LC"~ ~,~- SELLEI};~~_ SELLER(S)NAMER,D JAM L.iJ.nitlld E'artnBrshi~ r./n Rip..hrtrrl McBride ssrnfl Mailing Address Phone#s E-Mail ,)00 : DATE !-'/.rh. " WITNESS/ATTEST SELLEH FAXII DATE ssrrtfl FAXN DATE ssrnll f'AXII SELLER(S) NAME MaiJiugAddre58 Phonel#s E-Mail WITNESSfATIEST SELLER SELLER(S) NAME Mailing Address P/JollclIs E~Mail Ll COpy A,lS-C r"ge 5 urG Producld w~h ZlpFmm'" t>y RE Fl.llm.NII.llG 10025 rUlnn Mill "o&<!, ClIntoo l"wnlll,'" Mlchlgl" ~EllJJO, (000) ~03-\I006 H11101l,lFX ADDENDUM Thi~ Addendum to the Agreement for the Sale of Commercial Real Estate dated April 13, 2004, is made this I/-T.P' May 2004, by and between RDJAM Limited Partnership ("Seller"), and Mary Louise Hanley ("Buyer"). WITNESSETH: WHEREAS, Seller and Buyer have entered into an Agreement for the Sale of Commercial Real Estate dated April 13, 2004, providing for the sale of Tract #2 and Lot#6, Millennium Way, Hampden Township, Cumberland Count, Pennsylvania; and WHEREAS, both parties desire to amend the Agreement regarding the use by Seller of an easement crossing said property to be sold. NOW, THEREFORE, intending to be legally bound, the parties hereby agree as follows; 1. Both parties acknowledge that the property being sold is subject to a 20-foot wide emergency access easement and which has recently been stabilized in accordance with township regulations, 2. Both parties agree to and accept the location ofthe easement as shown on the drawing identified on Schedule "An attached hereto and made a part hereof, 3. Buyer agrees to allow Seller along with Seller's family, close friends, employees, and subcontractors and successors and assigns ("authorized travelers") to traverse said easement, at any time, for the purpose of having access to seller's land located to the south (formally Shoop property) of said Commercial Real Estate. In support of the additional' authorized traveler' use of the easement contained herein, Seller agrees for as long as the Seller utilizes the easement for said purpose, to provide ongoing reasonable, maintenance, repairs, and snow removal for said easement. 4. Seller or Buyer shall have the right to improve said easement including but not limited to paving, but anyone who shall hereafter disturb the condition of any part of said easements shall put the same back to the identical condition, or as near thereto as is practicable, as existed prior thereto. All costs of improving, altering, repairing or maintaining the easements or rights-of-way shall be borne by those who shall make such improvements, alterations, repairs or maintenance without the right of reimbursement from any other owner, tenant, mortgagee, or other interested party. 5. No barriers, fences, curbs, signs or obstruction to the free and unhampered use of said easement shall hereafter be permitted, nor shall any automobiles, trucks, motor vehicles or other personal property nor any building or other structure be parked, stored, constructed on any part of said easement. 6. Seller shall and will and hereby does release, indemnify, defend, protect and save harmless Buyer from and against any and all claims, dernands, liability, damages, costs and expenses, including without limitation, court costs and attorneys' fees, resulting from any and all loss of life or property, or from injury or, damage to the person or property of any person, firm, corporation or entity, including Buyer and COpy f ~ t. /' i/irf.. ,,1(j\ t I \ :;j1"-" ,- Seller and their officers, agents, and employees, arising out of or in connection with Seller's (or Seller's agents', family, close friends, employees', subcontractors' or invitees ') authorized use, maintenance, repair, renewal, reconstnlction or alteration of said easement. Seller's release and indemnity hereunder shall survive any tennination of said easement. 7. Said easement is for the benefit of Buyer and its successors and assigns as owner of the Premises, in conjunction with use by Seller, and is appurtenant to and shall run with the Premises, Buyer may, at no cost to Seller, use and pern1it others to use the easement and any improvement located thereon, and Buyer may grant to third parties easements for the use ofthe easement. Any relocation by Buyer will be subject to any required municipal approvals. 8. Buyer reserves the right to relocate said easement at Buyer's expense, provided that upon such relocation, the Premises shall enjoy comparable access as currently is provided by said easement. Upon such relocation, Buyer agrees to execute and deliver to Seller an instrument in recordable form evidencing the grant of the relocated easement upon similar terms and conditions as provided herein. 9. Buyer shall have the right to notify Seller of any failure to perform its obligations herein in writing at Seller's last known address. Should Seller fail to perform any of its duties or obligations hereunder within ten (10) business days, Buyer shall have the right (but shall be under no obligation) to perform and to make such repairs or maintenance, or payments for repairs or maintenance as may be necessary to cause performance of Seller's obligations hereunder, and Buyer, upon demand therefore by Seller, shall promptly pay all expenses incurred by Buyer in connection with such perfornlance. 10. This Addendum shall be binding upon and inure to the benefit of the parties hereto and their respective successors and assigns, and the terms Buyer and Seller hereunder shall include their respective successors and assigns. I I. This Addendum shall not be modified or any provisions hereof waived except in writing signed by the parties. IN WITNESS WHEREOF, the parties have executed this Addendurn on the day and year first written above. Witness: -..........------. Seller: RDJAIvI Limited Partnership =-- -~.:... "'~---,- ~.-><'"..L/ ""?J~~~- "--. ~..--r_""5-<" -- ~~-..... Bv'_""",z:--- '- -.". .,J~< ~.... -----. .- .F Richard A. McBrid~eileral Partner /-~ -- / ( \.. Witness: Buyer: Mary Louise Hanley ......j .~. \ \,' --- ~._-_. . .. - , /\ ,,;''1 /"""----:-"i..,.I ') , "~'7'-;;" 'I, - . c I}/' ;/ ('-C.;""; ,lor of /~-' .::~;~" / Nfary/ I:.oui~~ga~leY/-:::--""'::: .-.--.--- COpy .':::"7J'-/f:~" " , . I '~r / I" '-. / .__, ,; /71i "'0)) ~,Y1~:?,=- :,..._// I --_.__--f/ ,(._::::-:----.') Ii '-- . I ,~- /1,' ;(, (/' ,) f / t ~ -' '" ~ 'l' ~ I.ANOS NIL Of ALEX S. '" SHIRLEY A. QUIGLEY 0.8. ,'4-K. PO. 850 PAf/CEl -'2 AP,<,f/TI.IENr OFf7Cl: DISlRlCr ~ ~l .. '# .., " 9 ~ Q @ .. t;j ., 5 9 I? '" ~ o ~ 8 "' '" !i! V> ~ .... >- '" o t; el " '" ~ o .. rl. ~ ~ ~ ~ g; ~ u o. / / ~ .-<:.... 4' J<l!' UII" 1225 UU 9IHll" ~y ~i?Jw~r, ~{n'/ /:::; /,/ ,,p ,/ p ACCESS E-\Sn/ENT 1 I LANDS NIL Of CIIARLfS J, '" EMMA U. HUBBARD 0.8. 2+-'" PO. 275 APARlA/ENT OmCE: DISTRICT (RESIDENTIAL USE) LANDS NIL Of fRANK E. '" SUSAN H. SHOOP 0.8. 2+-F, PO. 862 APAI/TMENT OFFICE lJISTRICT (RESIDENoo. USE) ~~/ ./ ~.~ - , " ACCESS EASEMENT - .... ~ ..- -'" 0 30 60 120 -EEl r IBIT A .-.. I 1 J ACe! [J.SEIJ(HT ___ Oft EvANS EHGlNEElltlG, INe. L>. lUlU "" GRAPHIC SCALE: 1'- 60' CONlIUL11NG EHO_ """' "..,- _..r.a"~h.D\M.~_ '" 1'll:ZS.'H11 of 1 ~'1_. _!..4b..-a. ,-... 1 >- 4. o (J iQ/2i/2004 15:58 7177325943 b<LCUI1'vL. lJj-/ .llL r ;-1'.~t:... UL 10/27/2004 10:27 FAX 717 234 o~OB GOLDBERG K^TZM~H ~ 008/00B YERIHCATlON I. Riohard A, McBride, Pre~idem and CEO ot'Herre Bros" Inc. . hereby ackllowJedge that I am an authorized reprcsentalivc of Plaintiffs in thi~ actic.n and that j /lave read the foregoillg Complaint and that the facts bUtted therein 81'0 In.,,, Md correct to the bMt nf "'y knowledge, informalio" And belief. I understand thar any false statements herein lire m"de subjl'!ct to penalties of 18 I'a. C.S. Section 4904, relating to unsworn falsification to authorities Date: ~~~~~ Richlll'd A, McBride (') c-~ ~~:'; <;;. ~;} c.-' o '0 -< ~- n:;~ c, ...-.) -; I _..J ...,;;". r,) (0 l"'-.) ... PRAECIPE FOR LISTING CASE FOR ARGUMENT (Must be typewritten and submitted in duplicate) TO THE PROTHONOTARY OF CUMBERLAND COUNTY: Please list the within matter for the next Argument Court, --------------------------------------------------------------------------------------------------------------------- HERRE BROS., INC. And RDJ,A.M., L.P., Plaintiff Vs. CINEMAGIC No. CV-04-5504, Civil Term Defendant I. State matter to be argued (i.e., plaintiffs motion for new trial, defendant's demurrer to complaint, etc.): Defendant Cinemagic's Motion for Preliminary Objections. 2. Identify counsel who will argue cases: (a) for plaintiff: Thomas Weber, Esquire Goldberg Katzman, P.C. 320 Market St., Strawberry Square P.O. Box 1268 Harrisburg, P A 17108 (b) for defendant: Charles E. Haddick, Jr., Esquire Grant W. Schonour, Esquire Dickie, McCamey & Chilcote, P.C. 1200 Camp Hill Bypass, Suite 205 CampHill,PA 17011-3700 3. I will notifY all parties in writing within two days that this case has been listed for argument. 4. Argument Court Date: Next available. C( . Signature Date: If')~) 0 Charles E. Haddick, Jr., Esquire Attorney for Defendant .. CERTIFICATE OF SERVICE AND NOW, this 13th day of January 2006, I, Charles E. Haddick, Jr., Esquire, hereby certify that I did serve a true and correct copy of the foregoing Praecipe for Listing Case for Argument upon all counsel of record by depositing, or causing to be deposited, same in the U.S. mail, postage prepaid, at Harrisburg, Pennsylvania, addressed as follows: Thomas Weber, Esquire Goldberg, Katzman, P.C. Strawberry Square 320 Market St., P.O. Box 1268 Harrisburg, P A 17108 q . Charles E. Haddick, Jr., Esquire .-1 --" ,.' ... HERRE BROS., INC. and RDJ.A.M., L.P., Plaintiffs vs. CINEMAGIC, Defendant IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA CIVIL ACTION - LAW NO. 04-5504 CIVIL IN RE: DEFENDANT'S PRELIMINARY OBJECTIONS BEFORE HESS, OLER AND GUIDO, LJ. ORDER AND NOW, this ... '1 ~ day of March, 2006, the preliminary objection of the defendant in the nature of a request to compel arbitration is GRANTED and this matter is referred to arbitration. ~mas J. Weber, Esquire ;;:.6r1y J. Wismer, Esquire For the Plaintiffs ~arles E Haddick, Jr., Esquire ~David Ziegler, Esquire For the Defendant :rlm BY THE COURT, ~{/I' 7A. Hess, J. \~ OF FILE!)'~!J;-;~tC[ "'M:r- .~ i1 t:. ""'\'1Y ;'"'' ."'" Zf;Gl1 Hf4F: 27 it'J II : 2 {~ I'j\; ';11 ,,- "' HERRE BROS., INC. and RDJAM., L.P., Plaintiffs IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA vs. CIVIL ACTION - LAW NO. 04-5504 CIVIL CINEMAGIC, Defendant IN RE: DEFENDANT'S PRELIMINARY OBJECTIONS BEFORE HESS. OLER AND GUIDO. J.J. OPINION AND ORDER Before the court are preliminary objections filed by the defendant, Cinemagic. The complaint in the case avers the following facts. In April 2004, defendant, Cinemagic, entered into a sales agreement with R.D.J.A.M., whereby R.D.J.A.M. agreed to sell to Cinemagic real estate which Cinemagic intended to use for a new office building. As part ofthe agreement, Cinemagic would employ the services of RDJ.A.M.'s sister company, Herre Brothers, an electrical/mechanical contractor, in the construction process. This requirement, which had been inserted by hand into the agreement stated that "It is [Cinemagic's] intent to contract with Pyramid Construction Services to Build new Facility [sic], who in turn will utilize Herre Bros. Inc. for mechanicallElectric Trades for a reasonable cost." (Agreement at 2) As consideration for the requirement, R.D.J.A.M. agreed to a reduction in the sale price of the property. Once the sale was completed, Cinemagic's designated contractor, Pyramid Construction Services, contacted Herre Brothers to start the construction process. Herre Brothers submitted design drawings of the necessary mechanical and electrical components for the new building, as " ,- NO. 04-5504 CIVIL well as an estimate of$138,360.00 for the work. After receiving the drawings and the estimate, Cinemagic refused to work with Herre Brothers. R.DJ,A.M. and Herre Brothers ("the plaintiffs") responded by filing the instant action in October 2004, alleging two breach of contract claims: the first - by R.D.J.A.M. - that Cinemagic had breached its agreement with R.DJ.A.M. that it employ the services of Herre Brothers in exchange for a reduction in the cost of the real estate; and the second - by Herre Brothers - that cinemagic had breached its commitment to use Herre Brothers, an intended third party beneficiary of the agreement, for its electrical and mechanical needs. Cinemagic filed preliminary objections seeking to dismiss the entire action because R,DJ.A.M. had agreed to arbitrate all disputes that arose from the agreement, and because Herre Brothers was not an intended third party beneficiary to the agreement. DISCUSSION We will sustain the first preliminary objection which will have the effect of referring this matter to arbitration. The arbitration will include, of necessity, the question of whether Herre Brothers was an intended third party beneficiary of the agreement, making Cinemagic's second preliminary objection moot. Under the Pennsylvania Rules of Civil Procedure, a party may file a preliminary objection to dismiss a claim when there is a prior agreement to settle the claim by alternative dispute resolution. Pa.R.C.P. 1028(a)(6). Clause 29 ofthe Sales Agreement between Cinemagic and RD.J.A.M. states that the "Buyer and Seller agree to arbitrate any dispute between them... arising from this Agreement." (Agreement at 4) Because the dispute between the parties- 2 .. .... NO. 04-5504 CIVIL whether Herre Brothers is an intended third party beneficiary - clearly arises out of the agreement, the claim should be dismissed and the matter resolved by arbitration. Where it is clear that the dispute arises out of an agreement containing a valid arbitration provision, Pennsylvania courts "favor the settlement of [the dispute] by arbitration ... to promote the swift and orderly disposition of claims." Children's Hospital of Philadelphia v. American Arbitration Association, 331 A.2d 848, 850 (Pa.Super. 1974). The parties' dispute- whether Cinemagic was required to employ the services of Herre Brothers for its mechanical and electrical work - clearly arises from the agreement and is therefore governed by the arbitration provision. Because there is no question as to the validity of the arbitration provision in this case, the parties' dispute over the status of Herre Brothers as a third party beneficiary should be submitted to arbitration. ORDER AND NOW, this Z l' day of March, 2006, the preliminary objection of the defendant in the nature of a request to compel arbitration is GRANTED and this matter is referred to arbitration. BY THE COURT, /J~ Thomas J. Weber, Esquire Carly J. Wismer, Esquire For the Plaintiffs Charles E Haddick, Jr., Esquire J. David Ziegler, Esquire For the Defendant 3 Thomas.T. Weber, Esquire Attorney I.D. No. 58853 Carty J. Wismer, Esquire Attorney I.D. No. 92598 GOLDBERG,KATZMAN, PC p, 0, Box 1268 Harrisburg, PA 17108-1268 (717) 234-4161; (717) 234-4161 (facsimile) C ounse/ for Plainti(/' HERRE BROS., INC and R.D.J.A.M.,L.P. Plaintiffs IN THE COURT OF COMMON PLEAS CUMBERLAND CbUNTY, PENNSYLVANIA v. No. CV -04-5504 CINEMAGIC, Defendants CIVIL ACTION - LAW PLAINTIFF'S MOTION TO COMPEL tRBITRA TION AND NOW comes the Plaintiffs, Herre Brothers, Inc. and .D.J.A.M., L.P. (hereinafter Plaintiffs), by and through its attorneys, Goldberg Katzman, P,C., who state: 1. On or about November 1, 2004, Plaintiffs initiated his breach of contract action against the Defendant by the tiling of a Complaint. 2. On or about October 6, 2005, Defendant Ci emaglc (hereinafter Defendant) filed I Preliminary Objections arguing that Plaintiffs' Complaint shou* be dismissed because it involved an ! issue subject to a valid agreement to arbitrate. I 3. Furthermore, in its Preliminary Objections, Defe1dant argued that Plaintiff Herre Bros., Inc. did not have standing to bring the action because it was not a famed party or third party beneficiary to the Contract between PlaintiffR.DJ.A.M., L.P. and the Defendantl - , , 4. Argument was heard before the Honorable Judges! Hess, Oler and Guido on Febmary 15, 2006. 5. Prior to this Court's mling on the Preliminary Objections, Plaintiffs requested the Defendant consent to submit this matter to arbitration by placing previously identified arbitrators in contact so that a third neutral arbitrator could be selected. (See correspondence attached hereto as Exhibit "A"), 6. On March 24, 2006, the Honorable Kevin Hess fil~d an Opinion and Order, referring this entire matter to arbitration. (See Order and Opinion attached heretb as Exhibit "B"). 7. On or about July 27, 2006, Plaintiffs once again requested Defendant consent to proceeding with an arbitration in this matter by having the parties' previolilsly identified arbitrators select a third neutral arbitrator. (See correspondence attached hereto as Exhibit :'C"). 8. In addition, Plaintiffs' counsel has attempted to contact Defense counsel via telephone to discuss arbitration in this matter. 9. As of the date of this writing, Defendant has not responded to Plaintiffs' repeated requests to arbitrate or to this Court's Order of March 24,2006 referring this matter to arbitration. WHEREFORE, Plaintiffs Herre Brothers, Inc. and R.D.J.A.M., L.P., respectfully request this Honorable Court grant its Motion to Compel Arbitration. By: Thomas 1. eb r, Esquire (LD. #58853) Carly J. Wi mer, Esquire (LD. #92598) 320 Market Street P. O. Box 1268 Harrisburg, P A 17108-1268 (717) 234-4161 Attorneys for Defendant Date: September 7, 2006 2 .,'\rthur L. Goldberg , 1951-200')) Harrv B. C';oldberg , f 1 t)f,1-199(~) Honald 1\,1. IZatzn13n Paul T. Espo.,ito Neil E. Hendershot J. Jay Cooper 1'hon1,15 E. Brenner f\.pril L, Stral-lg-l(utay Cuy H. Brooks Jerry f, Russo Michael ), Cmcenzi Thol1:as 1. \Vebl'..T St::-ven E. Grubb John [)eLorenzo RCYJce L. h/1orris David M. Steckd Joseph 7\'1. Senlbrot t-Ie::;thtr L. F;.rk~lT!(,; Ci.irJ}" T.~ATjsrtH:'T 1\/1 ich(),eI F. SOCh~1 (~\ "}UN\E! Joshua _C), L0cl~ Ariic,jd f), T<'Ci~~::ln 1111 illi~ (;,- 0\ 1 a, 11""\. 0 -r g.' U Jt ..U'L-. . .f"V" , "--' g{ ,.." {-- ry rI~t 'a. -ri1 1.,(::tt~....' 1" d~.l A full-service law firm. March 3, 2006 Charles E. Haddick, Jr., Esquire Dickie, McCamey & Chilcote, P.C. 1200 Camp Hill Bypass, Suite 205 Camp Hill, P A 17011 RE: Herre Bros., Inc. v. Cinemagic Dear C.J.: I am in receipt of your correspondence of March 1, 2006. I did not previously respond to your voicemai1 returning my call, wherein you outlined your proposal. Candidly, my client and I did not think it offered much in terms of a compromIse. My client is prepared to defend the District Justice action. The defense will include, but is not limited to, the simple fact that my client has not requested a tap-in, and therefore, cannot be held responsible for the same. The tap-in is exclusively for the benefit of your client. It is as a result of this fact that all other purchasers of adjacent property have recognized their own responsibility and paid the appropriate fee. In terms of the arbitration, although an order has not yet been received, the report of the argument indicates that it is almost certain that your Preliminary Objections will be overruled and the claims of both of my clients submitted to arbitration. In that we have previously identified our respective arbitrators, I would suggest that we place them in contact with each other so that a neutral can be identified and this matter pursued as quickly as possible. I ! EXI8T A .:Z-)Ol\l')rk~t';':::i-r,::..,Z'i- (~'!-r'-'"Cvl."1.0Y"<~~TC:nl'i,"",ppl Dr) T~,.,-;rl~)/-~811:-~'r"'~T-;(-r.-"'~n~,.... p'/> 171(H" "~CQI -;,'-7")'72:) ,,>':::11-.'1 .~..-,- _\.:.....', .',-~.~ ,-",,'-'-. -' ',.,.,(.,\1 ,,~....L) '-;'i'i...-LC..:tl,_ ...., .:.....,,,.....\. _~I..)... ....!.(.i,~..;~~L.'t_,.!.~.,., .i.:'" _ _~\..!()-l....:..\.J':_J ;' J :-ho.~":\_.--:.l'..!.~ / 1 -:.-VH/1V.,gC IClbt:;i",gka ~''-Zr7 IalL co l71. Charles E. Haddick, Jr., Esquire March 3, 2006 Page 2 Please confirm that you still intend to use Jim Nealan as your arbitrator. If so, I will pass his information along to Mr. Havas so that they can discuss the neutral. TJW /jlb cc: Richard A. McBride HERRE BROS., INC. and R.DJ.A.M., L.P., Plaintiffs IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA VS. CIVIL ACTION - LAW NO. 04-5504 CIVIL CINEMAGIC, Defendant IN RE: DEFENDANT'S PRELIMINARY OBJECTIONS BEFORE HESS, OLER AND GUIDO, LT. ORDER AND NOW, this ;l. '1 ~ day of March, 2006, the preliminary objection of the defendant in the nature of a request to compel arbitration is GRANTED and this matter is referred to arbitration. BY THE COURT, Thomas 1. Weber, Esquire Carly J. Wismer, Esquire For the Plaintiffs ~Al 7A. Hess, J. Charles E Haddick, Jr., Esquire J. David Ziegler, Esquire F or the Defendant :rlm 1 ...... .13 .~ HERRE BROS., INC. and R.D.J.A.M., L.P., Plaintiffs IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA vs. CIVIL ACTION - LAW NO. 04-5504 CIVIL CINEMAGIC, Defendant IN RE: DEFENDANT'S PRELIMINARY OBJECTIONS BEFORE HESS, OLER AND GUIDO, LT. OPINION AND ORDER Before the court are preliminary objections filed by the defendant, Cinemagic. The complaint in the case avers the following facts. In April 2004, defendant, Cinemagic, entered into a sales agreement with R.D.J.A.M., whereby R.D.J.A.M. agreed to sell to Cinemagic real estate which Cinemagic intended to use for a new office building. As part ofthe agreement, Cinemagic would employ the services of R.DJ.A.M.'s sister company, Herre Brothers, an electrical/mechanical contractor, in the construction process. This requirement, which had been inserted by hand into the agreement stated that "It is [Cinemagic's] intent to contract with Pyramid Construction Services to Build new Facility [sic], who in turn will utilize Herre Bros. Inc. for mechanical/Electric Trades for a reasonable cost." (Agreement at 2) As consideration for the requirement, R.D.J.A.M. agreed to a reduction in the sale price of the property. Once the sale was completed, Cinemagic' s designated contractor, Pyramid Construction Services, contacted Herre Brothers to stmi the construction process. HelTe Brothers submitted design drawings of the necessary mechmlical and electrical components for the new building, as NO. 04-5504 CIVIL well as an estimate of $138,360.00 for the work. After receiving the drawings and the estimate, Cinemagic refused to work with ReITe Brothers. R.DJ.A.M. and Rene Brothers ("the plaintiffs") responded by filing the instant action in October 2004, alleging two breach of contract claims: the first - by R.D.J.A.M. - that Cinemagic had breached its agreement with R.DJ.A.M. that it employ the services of Herre Brothers in exchange for a reduction in the cost of the real estate; and the second - by Herre Brothers - that cinemagic had breached its commitment to use Herre Brothers, an intended third party beneficiary of the agreement, for its electrical and mechanical needs. Cinemagic filed preliminary objections seeking to dismiss the entire action because R.DJ.A.M. had agreed to arbitrate all disputes that arose from the agreement, and because Herre Brothers was not an intended third party beneficiary to the agreement. DISCUSSION We will sustain the first preliminary objection which will have the effect of refeITing this matter to arbitration. The arbitration will include, of necessity, the question of whether Herre Brothers was an intended third party beneficiary of the agreement, making Cinemagic' s second preliminary objection moot. Under the Pennsylvania Rules of Civil Procedure, a party may file a preliminary objection to dismiss a claim when there is a prior agreement to settle the claim by alternative dispute resolution. Pa.R.C.P. 1028(a)(6). Clause 29 of the Sales Agreement between Cinemagic and R.D.J.A.M. states that the "Buyer and Seller agree to arbitrate any dispute between them... arising from this Agreement." (Agreement at 4) Because the dispute between the parties- 2 NO. 04-5504 CIVIL whether Hene Brothers is an intended third party beneficiary - clearly arises out of the agreement, the claim should be dismissed and the matter resolved by arbitration. Where it is clear that the dispute arises out of an agreement containing a valid arbitration provision, Pennsylvania courts "favor the settlement of [the dispute] by arbitration ... to promote the swift and orderly disposition of claims." Children's Hospital of Philadelphia v. American Arbitration Association, 331 A.2d 848, 850 (Pa.Super. 1974). The parties' dispute _ whether Cinemagic was required to employ the services of Herre Brothers for its mechanical and electrical work - clearly arises from the agreement and is therefore governed by the arbitration provision, Because there is no question as to the validity of the arbitration provision in this case, the parties' dispute over the status of Hene Brothers as a third party beneficiary should be submitted to arbitration. ORDER AND NOW, this 21- day of March, 2006, the preliminary objection ofthe defendant in the nature of a request to compel arbitration is GRANTED and this matter is referred to arbitration. BY THE COURT, Thomas J. Weber, Esquire Carly J. Wismer, Esquire For the Plaintiffs /-JJ- Charles E Haddick, Jr., Esquire 1. David Ziegler, Esquire F or the Defendant 3 ;~,rfhL1r L. (;oJdL-i~rg 1';') 1-1;);'1'.-1" I-L11TY B. C>:",ldberg J ':.;i~1 1 _ ] L}r)~; : F;.nnald r...l. K;Jt~:l1i(il! Paul L ".1eil E, ~-T~n(L:j";:}uyt 1l:()!}LL' E. Brt'nr'JI:~:. .':'x,~.il L. H. nr~)uk:, ferry L }(U\.:,o ~\:IicL:Jel 1. (=rO(en?1 -r'hCil";-IJS 1. \;'-/Fb~:r ~:;tt,\,lt"n E, <:;rubb if'; t"in [}': LJ;-TCll?O l,. j'.-'lCTrl:;' [)a~J~d '!..../~, ~:.t~~,j~'':'! :I.',:;(~'~';'~ . ,~~c:nbr()1. :-'-~('~'ltL~:.:;' I.,. F~;tel--i-j:_\ t-:::';:~r;',.' L \f\,\';r:-]~:-:' ,\,tich;:~e! F. S:.-).:-1;::" ;;,';::,hU,i r). ;..(j. . ; 1.,.... ,!.I;. rl'l(;l;_:1 C,. :..20 _ 11'/.:0 I i I ; I ,.. ~I ;"~I [-"<:i 1 1 i~ .......&- ~/ " .,r', ~ n ~ vC.:, "'r: ' 'c.J \.1 1... L: ~J ~ 1. ~:,. -:; --r , ""-: ~/.., --" .,,- ""'1'.""''''', !,~. '. 'f"", ~""~;r, I~~c-i~r: "_ ._"JL~_, L, ~ ~ .R.~.J:..._ ~ A full-service law firm. July 27,2006 Charles E. Haddick, Jr., Esquire Dickie, McCamey & Chilcote, P.C. 1200 Camp Hill Bypass, Suite 205 Camp Hill, PA 17011 RE: Herre Bros., Inc. v. Cinemagic Dear C.J.: It has been approximately five months since I requested that you have your previously-identified arbitrator contact mine so that a neutral could be selected. Kindly advise me as soon as possible as to your client's intent regarding the arbitration of the disputes. If I do not hear back from you within ten days, I will be forced to file a motion to compel arbitration. I look forward to your timely response.. Very truly yours, Dictated but not read. Thomas 1. Weber TJW/jlb cc: Richard A. McBride IF' 1 11 ~ L ';.j/1'V 12,<;S I u " -~ '7}.Oij- -~ 26;:; I CERTIFICATE OF SERVICE I hereby certify that I am this date serving a copy of the foregoing document upon the person(s) and in the manner indicated below, which service satisfies the requirements of the Pennsylvania Rules of Civil Procedure, by depositing a copy of same in the United States Mail, Harrisburg, Pennsylvania, with first-class postage, prepaid, as follows: Charles E. Haddick, Jr., Esquire 1200 Camp Hill Bypass, Suite 205 Camp Hill, P A 17011 GOLDBERG KATZMAN, P.C. By: Dated: September 7, 2006 C) _, f'-.) 1",,) C':"'" , . -fi :::1 ['11 :::'J r' - -T11';'; ! ,1 c." I CO r....) SEP 11 20~ HERRE BROS., INC and RDJ.A.M.,L.P. PlaintitIs : IN THE COURT OF COMMON PLEAS : CUMBERLAND COUNTY, PENNSYLVANIA v. : No. CV-04-5504 CINEMAGIC, Defendants : CIVIL ACTION - LAW AND NOW, this ORDER ,\~~ day of September, 2006, upon consideration of Plaintiffs' Motion to Compel Arbitration and Defendant's response if any, it is HEREBY ORDERED that said motion is GRANTED. BY THE COURT: ~\'i A "olp '? ~\ o 00:0 r. 1 h' J jJ J. Zl i -.. '.:-' < 'J ..-,. ,ji 3~-tL :lC) Thomas 1. Weber, Esquire (1.0. No. 58853) early 1. Wismer, Esquire (1.0. No. 92598) GOLOBERG,KATZMAN, p,c. p, 0, Box 1268 Harrisburg, PAl 71 08-1268 (717) 234-4161; (717) 234-4161 (facsimile) Counsel for Plaintiffs HERRE BROS., INC and R.DJ.A.M., L.P. Plaintiffs IN THE COURT OF COMMON PLEAS CUMBERLAND COUNTY, PENNSYLVANIA v. No. CV -04-5504 CINEMAGIC, Defendants CIVIL ACTION - LAW PLAINTIFFS' MOTION FOR SANCTIONS AND NOW come Plaintiffs, Herre Brothers, Inc. and R.D.J.A.M., L.P. (hereinafter Plaintiffs), by and through their attorneys, Goldberg Katzman, P.C., who state: 1. On or about November 1, 2004, Plaintiffs initiated this breach of contract action against the Defendant by the filing of a Complaint with the Court 2. The Complaint clearly indicated that the amount in controversy did not exceed the limit for compulsory arbitration pursuant to the local rules 3. On or about October 6,2005, Defendant Cinemagic (hereinafter Defendant) filed Preliminary Objections arguing that Plaintiffs' Complaint should be dismissed because it involved an issue subject to a valid agreement to arbitrate. 4. Argument was heard before the Honorable Judges Hess, Oler and Guido on February 15, 2006. 5. Prior to this Court's ruling on the Preliminary Objections, Plaintiffs requested the Defendant consent to submit this matter to arbitration by placing the previously identified arbitrators in contact so that a third neutral arbitrator could be selected. (See correspondence attached hereto as Exhibit A.) 6. On March 24, 2006, the Honorable Kevin Hess filed an Opinion and Order, referring this entire matter to arbitration. (See Order and Opinion attached hereto as Exhibit B.) 7. On or about July 27,2006, Plaintiffs once again requested Defendant consent to proceeding with an arbitration in this matter by having the parties' previously identified arbitrators select a third neutral arbitrator. (See correspondence attached hereto as Exhibit C.) 8. In addition, Plaintiffs' counsel attempted to contact Defense counsel via telephone to discuss arbitration in this matter. 9. Defendant failed to respond to Plaintiffs' repeated requests to arbitrate. 10. As a result of Defendant's refusal to cooperate in the scheduling of an arbitration in this matter, Plaintiffs were required to file a Motion to Compel Arbitration or about September 7, 2006. II. As a result of Plaintiffs' Motion, the Court entered an Order on or about September 11, 2006 compelling the matter be submitted to arbitration. (See copy of Order attached hereto as Exhibit D.) 12. Plaintiffs immediately provided counsel for Defendant the Court's Order and again requested that the arbitration be scheduled. (See correspondence attached hereto as Exhibit E.) 13. Over the ensuing three months, counsel for Plaintiffs repeatedly attempted to have Defendants fulfill their contractual obligation of having this controversy submitted to arbitration as so ordered by this Court. (See copy of correspondence attached hereto as Exhibit F.) 14. Despite these repeated efforts, Defendant has steadfastly refused to take any steps to properly schedule this arbitration. 2 15. By correspondence dated November 29,2006, counsel for Plaintiffs again requested Defendant cooperate in the scheduling of arbitration and warned that a motion for sanctions would be filed by December 8, 2006 if no meaningful movement was made. (See correspondence attached hereto as Exhibit G.) 16. Counsel for Defendant requested, as a professional courtesy, that the deadline for the motion for sanctions be extended to past December 18, 2006 as a result of his trial schedule. (See correspondence of Defendant's counsel attached hereto as Exhibit H.) 17. Counsel for Plaintiffs granted Defendant's request that no motion would be filed until after his trial was concluded. (See correspondence attached hereto as Exhibit 1.) 18. Despite the passage of four weeks since the conclusion of Defendant's counsel's trial, Defendant has made no effort to fulfill the court ordered contractual obligation of submitting this matter to arbitration. 19. Defendant's conduct throughout this controversy has been to ignore its contractual obligations, repeatedly disobey court orders and harass the Plaintiffs at every turn, in an effort to cause the Plaintiffs expense and inconvenience. 20. Had Defendant allowed the matter to proceed to compulsory arbitration as originally filed, the case would have been resolved more than a year ago. 21. Instead, Defendant filed preliminary objections. 22. While the preliminary objections were pending, Plaintiffs offered to voluntarily submit the matter to arbitration. 23. Defendant ignored the offer. 24. After the Court ordered (for the first time) that the matter be submitted to arbitration, Plaintiffs attempted to schedule the same. 3 27. Defendant did nothing. 25. Defendant did nothing. 26. After the Court ordered (for the second time) that the matter be submitted to arbitration, Plaintiffs attempted to schedule the same. 28. Recently, Defendant's conduct has become so egregious so as to include the harassment of the children of the Plaintiffs' principal. (See correspondence attached hereto as Exhibit J.) 29. Defendant's continual disobeyance of the Court's Orders of March 24,2006 and September 11, 2006 justifies the imposition of severe sanctions. 30. Furthermore, Defendant's refusal to litigate the controversy in this court, and further refusal to submit the matter to arbitration, completely frustrates the Plaintiffs' rights to have this controversy determined. 31. As a result, the only appropriate sanction available is to have judgment entered in favor of Plaintiffs and against the Defendant in an amount to be determined after a hearing on the damages. WHEREFORE, Plaintiffs Herre Brothers, Inc. and R.DJ.A.M., L.P., respectfully request that an order be entered entering judgment in favor of the Plaintiffs and against the Defendant in an amount to be determined later. 7L: KATZ~AN, P.c. By: MACW L Thorn s J. Weber, squire (J.D. #58853) Carly J. Wismer, Esquire (J.D. #92598) 320 Market Street P. O. Box 1268 Harrisburg, PA 17108-1268 (717) 234-4161 Attorneys for Plaintiffs Date: January 11, 2007 4 , E,;<\1\ bit A r ~ ~ ) /sthur L. Goldl)erg I 1951-20GO) Harrv 3. (301dberg , 1]9f.1-19%) Ronald M. KatZJ'i')~n Paul T. Esposito Neil E. Hendershot ). Jay Cooper ThCim,....s E, Brenner A.pril L. Strang-Kutay Guy H. Brooks Jerry i. Rus~o !\1icbael J, C:rr:.cenzi I-honla..; L \'\'eb~r St~'!en E. Grubb Tohn D-:Lorenz.(l Rove,; L 1'-1orris Dilvicl M:. Steckel Joseph }.,,-1. '~;r:1y;.brC:t He~ithtr L. Fi3terno C:11"Jy. J. ~.'\ij$rn~'r 1\/Iic1!8el F. Socha C 'liJN',;n. Joshua D. Lock l\rnL;id B. r<'O~3n 1.-1 1- 11i~. ....-.... i. '1 i i ....() t 'U--' hPfrr :..~ J i -. '- ~j ~ ... ~ [/ n'~ ry 1-f" r'" -r', l'___dL~tild.L 1- A fun-service law firm. March 3,2006 Charles E. Haddick, Jr., Esquire Dickie, McCamey & Chilcote, P .C. 1200 Camp Hill Bypass, Suite 205 Camp Hill, PA 17011 RE: Herre Bros., Inc. v. Cinemagic Dear C.1.: I am in receipt of your correspondence of March 1,2006. I did not previously respond to your voicemail returning my call, wherein you outlined your proposal. Candidly, my client and I did not think it offered much in terms of a comproITllse. My client is prepared to defend the District Justice action. The defense will include, but is not limited to, the simple fact that my client has not requested a tap-in, and therefore, cannot be held responsible for the same. The tap-in is exclusively for the benefit of your client. It is as a result of this fact that all other purchasers of adjacent property have recognized their own responsibility and paid the appropriate fee. In terms of the arbitration, although an order has not yet been received, the report of the argument indicates that it is almost certain that your Preliminary Objections will be overruled and the claims of both of my clients submitted to arbitration. In that we have previously identified our respective arbitrators, I would suggest that we place them in contact with each other so that a neutral can be identified and this matter pursued as quickly as possible. ~ EXHIBIT (!l ~ (\ t9M ....I ;i 320 [",'13.rket Strc:et Strav..rberry Squal":: I P.O. B,JX 126R I HEiITi:+.urg, PA J 7108-1268 I 717-234-.:{.16\ I 717-2?4-r:808 (Fcc) ;"V!:',/~1/..(!Gl{lljc:\7k{7;1-Z?-7?(,7.7j. (011 1. ';...1 "_"; Charles E. Haddick, Jr., Esqurre March 3, 2006 Page 2 Please confIrm that you still intend to use Jim Nealan as your arbitrator. If so, I will pass his information along to Mr. Havas so that they can discuss the neutral. TJW/jlb cc: Richard A. McBride EXhi bit B ~ EXHIBIT C!l ~ 131 ~ en ::J < HERRE BROS., INC. and R.DJ.A.M., L.P., Plaintiffs IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA VS. CIVIL ACTION - LA \V NO. 04-5504 CIVIL CINE~1AGIC, Defendant IN RE: DEFENDANT'S PRELI~1INARY OBJECTIONS BEFORE HESS, OLER AND GUIDO, J.J. ORDER AND NOW, this ,;!.. '1 <- day of March, 2006, the preliminary objection of the defendant in the nature of a request to compel arbitration is GRANTED and this matter is refened to arbitration. BY THE COURT, Thomas J. Weber, Esquire Carly 1. Wismer, Esquire For the Plaintiffs --4 Ai 7,i. Hess, 1 Charles E Haddick, Jr., Esquire 1. David Ziegler, Esquire F or the Defendant :rl111 HERRE BROS., INC. and R.DJ.A.M., L.P., Plaintiffs IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA vs. CIVIL ACTION -LAW NO. 04-5504 CIVIL CINEMAGIC, Defendant IN RE: DEFENDANT'S PRELIMINARY OBJECTIONS BEFORE HESS, OLER AND GUIDO. .T..T. OPINION AND ORDER Before the court are preliminary objections filed by the defendant, Cinemagic. The complaint in the case avers the following facts. In April 2004, defendant, Cinemagic, entered into a sales agreement with R.D.l.A.M., whereby R.D J .A.M. agreed to sell to Cinemagic real estate which Cinemagic intended to use for a new office building. As part of the agreement, Cinelnagic would employ the services of R.DJ.A.M.'s sister company, Herre Brothers, an electricaVmechanical contractor, in the construction process. This requirement, which had been inserted by hand into the agreement stated that "It is [Cinemagic's) intent to contract with Pyramid Construction Services to Build new Facility [sic], who in turn will utilize Herre Bros. Inc. for mechanical/Electric Trades for a reasonable cost." (Agreement at 2) As consideration for the requirenlent, R.DJ.A.M. agreed to a reduction in the sale price of the property. Once the sale was cOlnpleted, Cinemagic' s designated contractor, Pyramid Constructi.on Services, contacted Herre Brothers to start the construction process. Herre Brothers submitted design drawings of the necessary mechanical and electrical cOlnponents for the new building, as 2 NO. 04-5504 CIVIL well as an estinlate of $138,360.00 for the work. After receiving the drawings and the estimate, Cinenlagic refused to work with HelTe Brothers. R.DJ.A.M. and HelTe Brothers ("the plaintiffs") responded by filing the instant action in October 2004, alleging two breach of contract clainlS: the first - by R.DJ.A.M. - that Cinenlagic had breached its agreement with R.DJ.A.M. that it employ the services of Herre Brothers in exchange for a reduction in the cost of the real estate; and the second - by Herre Brothers - that cinemagic had breached its commitnlent to use Herre Brothers, an intended third party beneficiary of the agreement, for its electrical and mechanical needs. Cinenlagic filed preli111inary objections seeking to dismiss the entire action because R.DJ .A.M. had agreed to arbitrate all disputes that arose from the agreement, and because RelTe Brothers was not an intended third party beneficiary to the agreement. DISCUSSION We will sustain the first preliminary objection which will have the effect of referring this matter to arbitration. The arbitration will include, of necessity, the question of whether Herre Brothers was an intended third pmiy beneficiary of the agreement, malcing Cinemagic' s second preliminary objection moot. Under the Pennsylvania Rules of Civil Procedure, a party may file a prelilllinm'y objection to dismiss a claim when there is a prior agreement to settle the claim by alternative dispute resolution. Pa.R.C.P. 1028(a)(6). Clause 29 of the Sales Agreement between Cinelnagic and R.DJ.A.M. states that the "Buyer and Seller agree to arbitrate any dispute between theln '" arising from this Agreement." (Agreement at 4) Because the dispute between the pmiies- Thomas 1. Weber, Esquire Carly J. Wismer, Esquire For the Plaintiffs ~,. /14- K1 A. Hess, J. NO. 04-5504 CIVIL whether Herre Brothers is an intended third party beneficiary - clearly arises out of the agreement, the claim should be dismissed and the matter resolved by arbitration. Where it is clear that the dispute arises out of an agreement containing a valid arbitration provision, Pennsylvania courts "favor the settlement of [the dispute] by arbitration ... to promote the swift and orderly disposition of claims." Children's Hospital of Philadelphia v. American Arbitration Association, 331 A.2d 848, 850 (Pa.Super. 1974). The parties' dispute - whether Cinemagic was required to employ the services of Rene Brothers for its mechanical and electrical work - clearly arises from the agreement and is therefore governed by the arbitration provision. Because there is no question as to the validity of the arbitration provision in this case, the pcuties' dispute over the status of Herre Brothers as a third pcuiy beneficiary should be submitted to arbitration. ORDER AND NOW, this 21 ~ day of Mcu-ch, 2006, the preliminary objection of the defendant in the nature of a request to compel arbitration is GRANTED culd this 111atter is refened to cu-bitration. BY THE COURT, Charles E Haddick, Jr., Esquire J. David Ziegler, Esquire For the Defendant "\ ,) t=..tni bi t c.. - t r ( i~:.rlh UI" I.... Goldberg : ! (.'31-:;.1:1(1 j Hi"'trr":-T B_ Gc)ldtierg l I ~fo, i -1I.:J9f: ~ knT)31cl L1. Kcit;::rnzc; ?~.u.1 \. E~:.DC1~;it() >'If-ll E. ~1~ndt:Tr~1-l~-it J. fay C:rJUr.r:l' TJ:~'-1!1f ?i:: E, P.rfnn~;' .':~pri1 L. Str~t:-lg-l(EL1Y G'...l~' H. DrGGks rfrr)' T. H.u::'~rO rA.icl:'Jel1. (:rc.!(".t?!"!Z1 Th;~;rn~ls 1. \;\ifbtr ~,ic'\'en E. (;11.1 bb l("it~~J I~;,:L{}r!?n';-~o ?l :....iC:..... 1.. j'--lCTT1S [;:.;.-t;r~d -!'-.li_, ~~t'.!'...~l;t'! f(,:~"'::'Dh 1\'1. S;::nbrol. ~-~e;..:tL~!'l... I)~itfrn(: (~,;~;.;v 1. ~.l]i;~!-l.:t;- \'i1ch~iel F. Sn.:-h::!, ~ ) ',I,:;'~ ~!,j ;(I::}~i.l;:\ f}_ L..\';(l.. :~\rrJr,~d T;... :'~(j:~~1i~ "~~c11 rl-~ter'o' "'-.,/ ......... -'"- ~___;!.. rJ V Jl ;;., 1,( ~ f~ 71'"\ "l t~ 'f.~ 1 \_GtILb' L L l1..'<.j", i .tL A full-service law firm. July 27,2006 Charles E. Haddick, Jr., Esquire Dickie, McCamey & Chilcote, P .C. 1200 Camp Hill Bypass, Suite 205 Camp Hill, PA 17011 RE: Herre Bros., Inc. v. Cinemagic Dear C.J.: It has been approximately five months since I requested that you have your previously-identified arbitrator contact mine so that a neutral could be selected. Kindly advise me as soon as possible as to your clienfs intent regarding the arbitration of the disputes. If I do not bear back from you within ten days, I will be forced to file a motion to compel arbitration. I look forward to your timely response.. Very truly yours, Dictated but not read. Thomas J. Weber TJW/jlb cc: Richard A. McBride !J ~ Cl UJ ...J UJ ~ [I) ~ -i7!.O;j- : 2(,81 ;} ') - ~'~'.,l-'~!,; ;i, ...,j EXHIBIT L ~!.....~.r} l\/f:=.lr1.;_et :>:rE~~t., .C.~tr;i\'i~'::~:~'T~'; :~;'~~~1~-I:'e I F~,(). t5(;:',~ 'l~:(./31 I'"~':r,.'yi.:~'h':.:il-g~ ~,'/'~"i';\1;. SL'/ (!u..;:r,'?!\.(f."iZi';'!.t7{!. (:):.! l E..)n\bi+ D - HERRE BROS.~ INC and R.D .J.A.M.~L.P. Plaintiffs : m THE COURT OF CO:M.1vfON PLEAS ClTMBERLAND COUNTY~ PENNSYLVANIA v. : No. CV-04-5504 CINEMAGIC, Defendants CIVIL ACTION - LAW ORDER AND NOW, this Jlth day of September, 2006~ upon consideration of Plaintiffs' Motion to Compel Arbitration and Defendant's response if any, it is HEREBY ORDERED that said motion is GRANTED. BY THE COURT: 151~. 2k1,A. J. ,. E~hlbi+ t 320 IVJarh::t Stu;et, SL'2~/;fl:)errySqu:::lle I P,O. Box] 2681 '.; j, 1 '-I" 1 (\ q I ~i c: C) I '7 1. -, ~i -:::' -"'i r:' I ~ -, ~i -)-").< ,,(] r' n i t .", , , \ t ( J - \ " !, I' j I I / -. J ~_. --.:-.,<. .) I / l I -, >. ,-1- -- c, t (~I r'~ '. . .._ _ ~ ,-. ~_ ~ '_ '. _' _, _ _...L -'-., '-. ..;.. ._ J ._' ...,J;. '_1._. "" ,_) . ~.IIIi~ III I ~I GoldberQ: I(atzrn:111 A full-service law firm. Arthur L. Goidberg (1951-~tJC)()! September 14, 2006 Harry B. Goldberg ( 1961-1998 ] Ronald lvl. K2tZl11Jll VIA FACSIMILE Paull. Esposito Neil E. Hendershot Charles E. Haddick, Jr., Esquire r. Jav Cooper Dickie, McCamey & Chilcote, P.C. Th0111<:15 E. Brenner 1200 Camp Hill Bypass, Suite 205 April L. Strang-Kut3Y Camp Hill, P A 17011 Guy H. Brooks Jenv J, Russo !,-,-[idnel T. Crcjci.:nzi RE: Herre Bros., Inc. and R.D.J.A.M., L.P. v. Cinemagic TI-1ornas 1. "'v^leb,.:,c Dear C.J.: Ste\tr:n E. (~{L.:bt) L.. IAcrris Enclosed is a copy of the Court's Order compelling your client to submit to arbitration. Kindly contact me at once so that we can begin this process. j()hn 1)f.'LG1"el~Z(_\ l),~vid [\'I. Steckel In the event you are no longer representing Cinemagic, I would appreciate the courtesy of being informed of the same. Joseph. J\."1. .se:rnbr~_;t l--l':=:;.1tl-:er L. P?terl~C) C~{'lrlv T. \t.,ri3111ef ~,-~(')Ui'0~l:L J'-./IicllJfl F. Sc)(:ha ;OSl-1U;;1 D. Lock /~,,-rnoJd D. TJW/jlb Encl. cc: Richard A. McBride -~Vl,V1V..gC 7:.iLJergkntznrn1l. C() III RE Charles E. Haddick, Esquire September 14, 2006 Herre Bros., Inc. and R.DJ.A.M., L.P. v. Cinemagic FAX # (717) 731-4803 FACSIMILE TRANSMISSION -~ 1 Goldberg Katzman, P.C. 320 Market Street, P.O. Box 1268 Harrisburg, PA 17108-1268 Telephone: (717) 234-4161 Fax: (717) 234-6808 www.goldbergkatzman.com - D ~~ ~~ ~)' ~... ~~~) Sender Thomas J. Weber, Esquire E-mail: tiwrcvgoldberakatzman.com .~--) .l2- A full-service law firm. t TO DATE There will be ~ page(s) following (including) this cover sheet. A copy of this fax will not follow by regular mail. This trdnsmission is intended for the use of the individual or entity to which it is addressed. 11 may contain information that is confidential or privileged under law. [fthe reader of this message is not the intended recipient (or employee or agent responsible for delivering the message to the intended recipient), any dissemination, distribution, or copying is strictly forbidden. I f this transmission has been received in error, please call us immediately and return the original by United States Postal Service to the above referenced address, MESSAGE: Please see attached. 139248.1 08/14/2008 11:53 FAX 717 234 8808 GOLDBERG KATZMAN ~ 001 ********************* *** TX REPORT *** ********************* TRANSMISSION OK TX/RX NO RECIPIENT ADDRESS DESTINA nON 10 ST. TIME TIME USE PAGES SENT RESULT 3425 7314803 08/1411:52 00'28 3 OK FACSIMILE TRANSMISSION ,. ... --, Goldberg Katzman, P .C. '. 320 Market Street, P.O. Box 1268 ~ Harrisburg, PA 17108-1268 iii ... " Telephone: (717) 234-4161 I a I Fax: (717) 234-6808 "'1 ' l'J .' www.goldbergkatzman.com ()() (J l)crg K \... Sender (J tz nl a t1 Thomas J. Weber, Esquire A Full-sc:rvicl: law firm. E-mail: tiw((DQoldberakatzman.com TO Charles E. Haddick, Esquire FAX # (717) 731-4803 DATE September 14, 2006 RE Herre Bros., Inc. and R.D.l.A.M., L.P. v. Cinemagic There win be ...L. page(s) following (including) this cover sheet. A copy of this fax will not follOw by regular ma.il. nlilltlllll'l;a.ioa is nnc;lded lDr lhe w:e of the individllAl aT emit)' ta wbit;h il is adcb=tlC!. IIl1GlY oonlllin Ulr01'lmliollllllllIB eonflClmloll or privileSed .wier law lflhe =dcr aClhiJ mOUlle i& IIOlw intended recipient (ar ~ ur ;q:llIt rup()1IIliIh; Ib( dcIJ~ 1M mdi'''a~ 10 the )111~ recipienl), RlIY di=minalion, disln'bulion, or c;op)'ins iJ llri~ ly 1bt'\l1"4"n I rr~~ 11'81\t11llt1loA Il;d IIcclI r;c~ivc-G ill mor, p~ call us; lIIlItIedwely IIDd return the original by United Slala: Ptr.illll ScMce 10 'lie 8bov~ ~d add=~ MESSAGE: Please see attached. 139248.1 Exhibit F n ~ s; ... -' Arthur L. Goldberg 0951-2000) Hany B. Goldberg (1961- 1998) Ronald lvI, Katzman Paul J. Esposito Neil E. Hendershot J Jay Cooper Thomas E. Brenner April L. Strang- Kutay Guy H. Brooks Jerry J. Russo IV1ichael J. Crocenzi Thomas J Weber Steven E. Grubb John DeLcrenzo Royce L. Morris David M. Steckel Joseph M, Sembrot Carly J. Wismer l'Aichael F. Socha COUNSEL Joshua D. Lock Arnold B. Kogan Heather L. Paterno III Goldberg Katzman A full~service law firm. September 22, 2006 Charles E. Haddick, Jr., Esquire Dickie, McCamey & Chilcote, P.C. 1200 Camp Hill Bypass, Suite 205 Camp Hill, PA 17011 RE: Herre Bros., Inc. and R.D.J.A.M., L.P. v. Cinemagic Dear C.J.: To answer the question posed in your correspondence of September 21, 2006, we have each selected our individual arbitrators. Mine is John Havas. However, due to your client's unresponsiveness, I have not been in contact with Mr. Havas regarding this matter for some time. If memory serves me correctly, you had initially identified Jim Nealon as your arbitrator. Upon your receipt of your client's intentions regarding this matter, I would suggest that our arbitrators contact each other to move this matter along. Very truly yours, -rhcrvn~"]. W~/~ Thomas J. Weber TJW/sjb Dictated But Not Read cc: John Havas, Esquire Richard A. McBride 32(: r..;Jark.?t Strt~:(::t: Str~rv\.'bf'rry Square- I P. (). Bo::.:. 1268 I .t-L}rrl~burg. Ff'... 171 OL~- L 260 I 717-2.34-41 (-) 1 I 71 -: -23!~ -0;80-3 (f::i;.~) I ;+,~.t.:Iv".go}/"lbt='J.f1}.-atzlJJar:.(Gn] H i\ R R 1 ') !3 U I.( elL i, :; ,- -\ Sf f- r~ I C J\ r~ LIS L l: / / Arthur L. Goldberg (1951-2000) Harry B, Goldberg (1961-1998) Ronald M, Katzm.an Paul J Esposito Neil E. Hendershot ]. Jay Cooper Thomas E, Brenner April L. Strang-Kutay Guy H Brooks Jerry J. Russo [v'lichael J. Crocenzi Thomas J. Vleber Steven E. Grubb John DeLorenzo Royce L. Morris David M, Steckel JosephivLSembrot Carly j. Wismer h-1ichael F. Socha COUNSEL Joshua D. Lock .l\rnold B. Kogan Heather L. Paterno n Goldberg Katzman A full-service law firm. November 1,2006 Charles E. Haddick, JI., Esquire Dickie, McCamey & Chilcote, P.C. 1200 Camp Hill Bypass, Suite 205 Camp Hill, PA 17011 RE: Herre Bros., Inc. and R.D.J.A.M., L.P. Dear C.J.: Enclosed is the Addendum that was inadvertently omitted from my previous correspondence. I am in the process of accumulating the information to support my clients' damage in this matter. Although I hope to be able to amicably resolve this situation, it appears that every action taken by your client has merely had the purpose of postponing it further. Therefore, while I am accumulating the information, I would suggest that our arbitrators contact each other for the purpose of selecting a neutral. Once I obtain the backup information, I will forward the same to your attention. ~ly you~s, L /" ~ttM~lALt T~~I:J. ~ber TJW/jlb Encl. cc: Richard A. McBride 320 l\ifarket Street, Stra'"vberry SqC:0XI~ I FO Bex 1230 I I-l<llTiSb':I'g, ~'P.! 71 :;':3-l2f:.i3 I 717 -234-4 i:,) 1 I 71/- 234-G.SOfJ (fa::.:) I \"l1""'.g.r,;Td:>1;gkalznlEin ren H F! K: r S B U ~ c; I t\; ! ': ,'\ '3 T E R I C 1\ F I. i S L [~ Exni bii- G- - P.rthur L. Goldberg (1951- 2000) Harry B. Goldberg (] 961-1998) Ronald 1\11. Katzman Paul]. Esposito Neil E. Hendershot ]. Jay Cooper Thomas E. Brenner April L. StIili"lg-Kutay Guy H. Brooks Jerry J. Russo lvIichael ]. Crocenzi Thomas]. Weber Steven E. Grubb John DeLorenzo Royce L 1\iIorris David M. Steckel Joseph M. Sembrot Carly]. Wismer h:lichael F. Socha COUNSEL Joshua D. Lock Arnold B, Kogan Heather L. Paterno III II ~~ i ~1 '"'....",., ' U01Q~)Clg Y - . ~/ a't"' '71'\J1. r" In R'<.. ~ ~ " !.'~ L"""',I.........a .t A full-service law firm. November 29,2006 Charles E. Haddick, Jr., Esquire Dickie, McCamey & Chilcote, P.C. 1200 Camp Hill Bypass, Suite 205 Camp Hill, P A 17011 RE: Herre Bros., Inc. v. Cinemagic Dear C.J.: By the time you receive this letter, it will have been approximately three weeks since I provided you with the supporting documentation substantiating my client's claims for damages. Furthermore, it will be more than 2 ~ months since the court issued an Order compelling this matter to be submitted to arbitration. In the event I do not receive proper evidence of meaningful movement towards submitting this matter to the arbitrators, or a reasonable response to my client's demand by December 8, 2006, I will file a motion for sanctions with the court regarding your client's refusal to comply with the September 11, 2006 Order. I hope you are successful in convincing your client that they carmot continue to just ignore this matter. /f;~~1~ Thomas J. Weber TJW/jlb cc: Richard A. McBride r-1 /\ b~ i~ ! ~; p, U F. G I .l ~\ >i '.". .:', :~ -; ~:'. pIc: ;\. PL.! I. E '.~2U 1'-./f2~;~l::::l .S-i~:-f.::-t. I ?() 3,:~-..= i2f:.g I :-I3!-rjsbi-}i.f~~ Pi,. ~7l0-~-~-j2;3~; 17j:-234-~.i:l\)J 17 1-2."~4.~CE~OF (fe;-":) I E:x\1i bit H " C) ... '.' /i I Dickie_ Charles E. Haddick, Jr. Attorney-at-Law Admitted in PA Direct Dial: 717.731-4600 Ex, 3008 Direct Fax: 717-731-4803 chaddick@dmclaw.com December 11 2006 Via Facsimile: (717) 234-6808 Thomas Weber, Esquire Goldberg Katzman) P. C. 320 Market Street Strawberry Square P.O. Box 1268 Harrisburg, Pa 17108 . . . ~ : i RE: He:rre Bros., Inc. v.. Cinemagic Our File No; B-172 Tom: Thank you for your letter of Novelllber 29 in the above matter. I have passed it to my client. I had previously written her and supplied your earlier letters under cover of October 18, and October 31. I am begirming a two week brain injury trial in Monroe County beginning the week Monday, December 4, and I would be most grateful if you could forebear On any motion for sanctions for a brief time, and re-diary your file SO that we can speak sometime after December 18. If you would like a copy of the trial attachrhent order, I would be happy to provide it. If you would like1 please also have your secretary contact my legal assistant, Kimberly Over, at extension 3002, and they can set up a call for a specific date and time. In the meantime, I will, as proll1iseq,. send your most recent note to my client and impress upon her your interest in proceedi~g. .Thanl.c .you in advance.for your anticipated courtesy and cooperation, . , ,'. CEH, Jr./kao DICKIE, M(CAMEY & CHILCOlE, P,C, I ATTORNEYS AT lAW MAlN: 7l7.731-4800 f4"t 717.131-4803 1200 CAMP HIU 8ypm ~I1lTE205 I (A UP UUI D' 17011.3700 I WWW.DMC!AW.COM l 'd 8lLS 'ON Plftsburgb I HarrkL!rrg I Philadefphlo I Wa~hinlllDn, D.L to 8 ~ lULl L ^ 3 VN ~p W 3 I ~ J I 0 Hew JBI"5W d 9 0 : t illc9 0 0 G 'l . J ~ 0 ~)(n\bi + \ i\fthur L Goldberg (1951-2000) Harry B, Goldberg (1961-1998) Ronald M. Katzman Paul J Esposito Neil E. Hendershot ]. Jay Cooper Thomas E. Brenner April L. Strang-Kutay Guy H, Brooks Jerry]. Russo Michael]. Crocenzi Thomas]. Weber Steven E. Grubb John DeLorenzo Royce L. Morris David M, Steckel Josephlvi.SelTlbrot Carly]. Wismer Iviichael F Socha COUNSEL Joshua D. Lock Arnold B, Kogan Heather L. Paterno .. 1i~1 Goldberg Katzrnarl A full-service law firm. December 5, 2006 Charles E. Haddick, Jr., Esquire Dickie, McCamey & Chilcote, P .C. 1200 Camp Hill Bypass, Suite 205 Camp Hill, PA 17011 RE: Herre Bros., Inc. v. Cinemagic Dear C.J.: Obviously, I will extend you the professional courtesy of refraining from filing a motion for sanctions until your trial in Monroe County is concluded. However, please impress upon your client the need to take some action in this matter. I look forward to hearing from you the week of December 18 as to YO.ur client's position. Very tml yo s, t . / ~ . f' Let. TJW /jlb L. cc: Richard A. McBride '2;20 l\/Iz;l..~<:?t 2Jtl'ft:L .::.tr2.\?.,lberr.-.y Sq!l;:~re I r'. CJ. Box 1258 I [-{::trri5b~ lrgl FP.. 17"i 0.8-]. 26B I 7i7 _. 2'~4-L: I () 1 I '7 j. 7 -2-3~1--~38C8 (f(:x) 11:1'"v~v.!/oJ(jber5~}:3rZn)ar!. conl H /\ R R 1 <; El U Rei L 1\ [.J C\ S -! E r, I C r\ " 1. i S L E Exhibii J J Arthur L. Goldberg (1951-2000) Harry B. Goldberg (1961-1998) Ronald 1'11, Katzman Paul J. Esposito Neil E. Hendershot J. Jay Cooper Thomas E. Brenner April L. Strang-Kutay Guy H. Brooks jerry J. Russo Michael]. Crocenzi Thomas]. Weber Steven E. Grubb John DeLorenzo Royce L. M:orris David lvI, Steckel Joseph 1v1. Sembrot Carly J Wismer l'v'Iichael F. Socha COUNSEL Joshua D. Lock Arnold B. Kogan HeaL"'er L. Paterno 320 l'\ilaTk?t :.:tl'eet: . illi~, Goldberg T~ Katzmarl A full-service law firm. October 25, 2006 Charles E. Haddick, Jr., Esquire Dickie, McCamey & Chilcote, P .C. 1200 Camp Hill Bypass, Suite 205 Camp Hill, P A 17011 RE: Herre Bros., Inc. and R.D.J.A.M., L.P. Dear C.J.: It is my understanding that last evening, Mary Louise Hanley, principal of your client, initiated an altercation with Ashley McBride, daughter of Richard McBride. The incident involved Ashley and her friend's proper use of an easement to gain access to the McBride property located behind your clients. Further, it is my understanding that when addressing Mr. McBride's daughter, your client made use of profanity to make her point. Pursuant to an Addendum to the Sales Agreement governing the transfer of property, right to enjoinment of the easement was retained by the McBrides, as well as others. A copy of the Addendum is enclosed for your convenience. I point your attention to paragraph 3 of the same. Please contact your client and remind her of her contractual obligations. Although I recognize the relationship between the parties is obviously strained, there is absolutely no reason or justification for Ms. Hanley berating Ashley McBride. Should you have any questions, please do not hesitate to contact me. ~y yours, ~~~~~ LUJ- TJW /jlb cc: Richard A. McBride [-1 .'\ F F~ 1 ~ D U j\' (~; I ~'i\ ;\~ C ;':\ S T F piC: .\ r~ !... I .) L E Sqt..:2Lr:.1 PJ~!. B:y..: 1268 t l-IarTi~~~)ul'g. Pi:.. 17108-12fj31717-:23~-::1}6lI7l7-Z3-1-bgO,': (r~i...}':') 1"V;'VjA...gc1cjJ)ei~,~katz;1]3;:.(;c.n? CERTIFICATE OF SERVICE I hereby certify that I am this date serving a copy of the foregoing document upon the person(s) and in the manner indicated below, which service satisfies the requirements of the Pennsylvania Rules of Civil Procedure, by depositing a copy of same in the United States Mail, Harrisburg, Pennsylvania, with first-class postage, prepaid, as follows: Charles E. Haddick, Jf., Esquire 1200 Camp Hill Bypass, Suite 205 Camp Hill, P A 17011 GOLDBERG KATZMAN, P.C. Dated: January 11, 2007 143153.1 5 s - . JAM 1 7 2007(1y Thomas 1. Weber, Esquire (I,D, No. 58853) Carly 1. Wismer, Esquire (I.D, No, 92598) GOLDBERG,KA TZMAN, P .C. p, O. Box 1268 Harrisburg, P A 17108-1268 (717) 234-4161; (717) 234-4161 (facsimile) Counsel for Plaintiffs HERRE BROS., INC and R.DJ.A.M., L.P. Plaintiffs IN THE COURT OF COMMON PLEAS CUMBERLAND COUNTY, PENNSYLVANIA v. No. CV -04-5504 CINEMAGIC, Defendants CNIL ACTION - LAW AND NOW, this RULE TO SHOW CAUSE <,d ~ 1~ day of J ~"'~~"''f , 2007, based upon Plaintiffs' Motion for Sanctions, a Rule is issued upon Defendant to show cause why the requested relief should not be granted. Rule returnable in 2.. 0 days from service. ( ~-l ~ ~~\ J. 143186.1 rl1 'P~t ....... '-''''('IJ \-. U~11 I' ~.... Ii I . ~ ~ ~ ~ O~ :0I1~\1 82 N~r LOaZ Atrv'iOi\lG: LLCdd 3Hl :fa 30/:!:!O-O::Jl!:l Thomas J. Weber, Esquire (I.D. No. 58853) Carly J. Wismer, Esquire (I.D. No, 92598) GOLDBERG,KATZMAN, P.C. p, O. Box 1268 Harrisburg, PA 17108-1268 (717) 234-4161; (717) 234-4161 (facsimile) Counsel for PlaintijJs HERRE BROS., INC and R.D.J.A.M., L.P. Plaintiffs IN THE COURT OF COMMON PLEAS CUMBERLAND COUNTY, PENNSYL VANIA v. : No. CV-04-5504 CINEMAGIC, Defendants : CIVIL ACTION - LAW PRAECIPE TO DISCONTINUE TO THE PROTHONOTARY: Please mark this action settled, dismissed and discontinued with prejudice. Respectfully submitted, T om s . We be ., Esquire (J.D. # 58853) 320 Market Street, P.O. Box 1268 Harrisburg, P A 17108-1268 (717) 234-4161 Attorney for Defendants Date: March 29, 2007 145728.1 ~ CERTIFICATE OF SERVICE I HEREBY CERTIFY that I served a true and correct copy of the foregoing document upon all parties or counsel of record by depositing a copy of same in the United States Mail at Harrisburg, Pennsylvania, first-class postage prepaid, on the 29th day of March, 2007, addressed to the following: Charles E. Haddick, Jr., Esquire 1200 Camp Hill Bypass, Suite 205 Camp Hill, PA 17011 GOLDBERG KATZMAN, P.C. By: (") ,...., 0 = ~: = 11 -.J ~: :x :r ;1'" n1 ::0 ::0 r- (,,) -08 -U\.j 0 ;:) \ .\(- -u T:;'~ :1:: ! ,) -..., '.'" ~? W did -I :r.,.; "" :n U1 ..<