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HomeMy WebLinkAbout14-0578 Supreme Court'of Pennsylvania Court of Comu]6*i leas For Prothonotary Use Only: C it COVCr She&iet Docket No: Cumberland County 14- 05178 n . The information collected on this form is used solely for court administration purposes. This form does not supplement or replace the,f ling; and Service of pleadins - s or other papers as required by law or rules Of court. Commencement of Action: S lE Complaint 0 Writ of Summons Petition E 0 Transfer from Another Jurisdiction 0 Declaration of Taking C Lead Plaintiff's Name: Lead Defendant's Name: T Dickinson College David E. Hernandez Dollar Amount Requested: within arbitration limits I Are money damages requested? Yes No (check one) Ooutside arbitration limits O N Is this a Class Action Suit? 0 Yes [E No Is this an MDJAppeal? Yes 0 No A Name of Plaintiff /Appellant's Attorney: Dickinson College El Check here ii'von have no attorney (are aaSelf-Represented [Ipr°o Sel Litigant) Nature of the Case Place an "X" to the left of the ONE case category that most accurately describes your PRIMARY CASE. If you are making more than one type of claim, check the one that you consider most important. TORT (do not include Mass Tort) CONTRACT (do not include Judgments) CIVIL APPEALS 0 Intentional Buyer Plaintiff Administrative Agencies 0 Malicious Prosecution 0 Debt Collection: Credit Card 0 Board of Assessment 0 Motor Vehicle ®x Debt Collection: Other 0 Board of Elections 0 Nuisance Unpaid student loans 0 Dept. of Transportation 0 Premises Liability ® Statutory Appeal: Other S 0 Product Liability (does not include 0 Employment Dispute: E mass tort) 0 Slander /Libel/ Defamation Discrimination C 0 Other: 0 Employment Dispute: Other 0 Zoning Board T ® Other: I Other: O MASS TORT 0 Asbestos N M. Tobacco 0 Toxic Tort - DES 0 Toxic Tort - Implant REAL PROPERTY MISCELLANEOUS 0 Toxic Waste 0 Other: 0 Ejectment 0 Common Law /Statutory Arbitration B 0 Eminent Domain /Condemnation 0 Declaratory Judgment 0 Ground Rent 0 Mandamus 0 Landlord /Tenant Dispute 0 Non - Domestic Relations 0 Mortgage Foreclosure: Residential Restraining Order PROFESSIONAL LIABLITY 0 Mortgage Foreclosure: Commercial 0 Quo Warranto 0 Dental 0 Partition 0 Replevin 0 Legal 0 Quiet Title 0 Other: 0 Medical 0 Other: 0 Other Professional: Updated 1/1/2011 F:\ FILES\ Clients \7619 Dickinson College \7619.Collections \7619C. Current \7619C.4I8 Hernandez \7619C.418.com - - Christopher E. Rice, Esquire FIL E. i3 -O FFICE Attorney I.D. No. 90916 L THE PROTHONt)T,,,,Ry MARTSON DEARDORFF WILLIAMS OTTO GILROY & FALLER2 �� �• MARTSON LAW OFFICES 4 JAH 29 Ten East High Street CUMBERLAND COUNTY Carlisle, PA 17013 PENNSYLVANIA (717) 243 -3341 Attorneys for Plaintiff DICKINSON COLLEGE, IN THE COURT OF COMMON PLEAS OF Plaintiff CUMBERLAND COUNTY, PENNSYLVANIA V. NO. 2014 - 65r18 DAVID E. HERNANDEZ, CIVIL ACTION - LAW Defendant NOTICE You have been sued in court. If you wish to defend against the claims set forth in the following pages, you must take action within twenty (20) days after this Complaint and Notice are served, by entering a written appearance personally or by attorney and filing in writing with the court your defenses or objections to the claims set forth against you. You are warned that if you fail to do so, the case may proceed without you and a judgment may be entered against you by the court without further notice for any money claimed in the Complaint or for any other claim or relief requested by the Plaintiffs. You may lose money or property or other rights important to you. YOU SHOULD TAKE THIS PAPER TO YOUR LAWYER AT ONCE. IF YOU DO NOT HAVE A LAWYER, GO TO OR TELEPHONE THE OFFICE SET FORTH BELOW. THIS OFFICE CAN PROVIDE YOU WITH INFORMATION ABOUT HIRING A LAWYER. IF YOU CANNOT AFFORD TO HIRE A LAWYER, THIS OFFICE MAY BE ABLE TO PROVIDE YOU WITH INFORMATION ABOUT AGENCIES THAT MAY OFFER LEGAL SERVICES TO ELIGIBLE PERSONS AT A REDUCE FEE OR NO FEE: Cumberland County Bar Association 32 South Bedford Street Carlisle, Pennsylvania 17013 Telephone (717) 249 -3166 4105.175 PD ATrf L► #a'14 � f �# 3oj aa7 F:\F1LES \C1ients \7619 Dickinson College\ 7619. Collections \7619C.Current \7619C.418 Hernandez \7619C.418.com Christopher E. Rice, Esquire Attorney I.D. No. 90916 MARTSON DEARDORFF WILLIAMS OTTO GILROY & FALLER MARTSON LAW OFFICES Ten East High Street Carlisle, PA 17013 (717) 243 -3341 Attorneys for Plaintiff DICKINSON COLLEGE, IN THE COURT OF COMMON PLEAS OF Plaintiff CUMBERLAND COUNTY, PENNSYLVANIA V. NO. 2014 - DAVID E. HERNANDEZ, : CIVIL ACTION - LAW Defendant COMPLAINT AND NOW, comes Plaintiff Dickinson College by and through its attorneys, MARTSON DEARDORFF WILLIAMS OTTO GILROY & FALLER, and hereby avers as follows: 1. Plaintiff, Dickinson College, is a Pennsylvania educational institution and nonprofit corporation with its principal place of business at West Street, Post Office Box 1773, Carlisle, Cumberland County, Pennsylvania 17013. 2. Defendant, David E. Hernandez, is an adult individual with a last known address of 2200 Wilson Boulevard, Suite 102 N05, Arlington, Virginia 22201 -3397. 3. On or about September 1, 1997, Defendant entered into a Promissory Note (Note #1) with Plaintiff for the financing of a loan, plus interest and costs, for educational services and benefits at Plaintiff's institution. A copy of Note #1 is attached hereto as Exhibit "A." 4. On or about September 10, 1997, Defendant entered into a Promissory Note (Note 42) with Plaintiff for the financing of a loan, plus interest and costs, for educational services and benefits at Plaintiff's institution. A copy of Note #2 is attached hereto as Exhibit "B." 5. On or about August 27, 1998, Defendant entered into a Promissory Note (Note #2) with Plaintiff for the financing of a loan, plus interest and costs, for educational services and benefits at Plaintiff s institution. A copy of Note #3 is attached hereto as Exhibit "C." 6. On or about September 16, 1999, Defendant entered into a Promissory Note (Note #3) with Plaintiff for the financing of a loan, plus interest and costs, for educational services and benefits at Plaintiff's institution. A copy of Note #3 is attached hereto as Exhibit "D." 7. On or about April 25, 2001, Defendant entered into a Promissory Note (Note #2) with Plaintiff for the financing of a loan, plus interest and costs, for educational services and benefits at Plaintiff's institution. A copy of Note #4 is attached hereto as Exhibit "E." 8. The Notes are funds created under Part E of Title IV of the Higher Education Act of 1965 as amended (hereinafter the "Act ") and is subject to the Act and the Federal Regulations issued under the Act. 9. As provided in the Act, Plaintiff acts in a fiduciary capacity in the handling, disbursing and collecting of funds associated with the programs under the Act. 10. The principal amounts for the Notes were $8,463.00. 11. The Notes grant Plaintiff reasonable collection and attorneys' fees which Plaintiff has calculated to be $500.00. 12. As of January 23, 2014, the principal and interest due and payable by Defendant to Plaintiff was $1,044.32, with interest accruing at 5% per annum. 13. Plaintiff has fulfilled, performed and complied with all obligations and conditions of the Note. COUNT BREACH OF CONTRACT 14. Plaintiff hereby incorporates by reference the averments contained in Paragraphs 1 through 13 of this Complaint. 15. Defendant breached the expressed and implied obligations, conditions and terms of agreement of the Notes by failing to pay the amount financed therein. WHEREFORE, Plaintiff demands judgment against Defendant in the amount of $1,044.32, plus interest accruing at 5% per annum thereafter, collection and attorneys' fees in the amount of $500.00 and costs of suit. COUNT II IN QUANTUM MER UIT 16. Plaintiff hereby incorporates by reference the averments contained in Paragraphs 1 through 15 of this Complaint. 17. Having requested Plaintiff to loan money, and doing so to the benefit of Defendant, Defendant became liable to Plaintiff for said money. 18. Defendant has been unjustly enriched by accepting said money without paying Plaintiff reasonable compensation therefor. WHEREFORE, Plaintiff demands judgment against Defendant in the amount of $1,044.32, plus interest accruing at 5% per annum thereafter, collection and attorneys' fees in the amount of $500.00 and costs of suit. MARTSON LAW OFFICES Christopher E. Rice, Esquire I.D. Number 90916 Ten East High Street Carlisle, PA 17013 -3093 (717) 243 -3341 Date: ! " Z _ ` Attorneys for Plaintiff This is a debt collecting firm attempting to collect a debt for Dickinson College. Any information obtained will be used for that purpose. EXHIBIT "A" I a FEDERAL PERKINS LOAN PROMISSORY NOTE Section A: B , 1. Name Oast, first, middle initial) and 2''. Social Set ui•ity'NUmbar 1 Permanent Address (street, city, state, zip code) Hernandez, David E. 3.'Dateof.Eirth_,,, I 3909 N. Washington St., Apt. 1 I Arlington, VA 22201 4t: Ar'e'a.tod", Iephone Number 5.'Driyer's License dumber O.ist.state abbrevlatlon Ill t) Section School 6. School Name & Address (street, city, state, zip code) I Status 8. Interest Rate Dickimon CO l eW U may-tine or greater 0 Lass than haff ti. 5% P.O. Box 1773 9. Loan Amount- 10. Loan Period Carlisle, PA 17013 -2896 2000.00 1997 -1998 TERMS AND CONDITIONS: (Any bracketed clause or paragraph may be Included at option of hatitudoml APPLICABLE LAW - The terms of this note and any disbursements made under this note shall be interpreted in accordance with Part E of Title IV of the Higher Education Act of 1965, as amended (hereinafter called the Act), as well as Federal regulations Issued under the Act. All sums advanced under this note are subject to the Act and Federal regulations issued under the Act. REPAYMENT - I am obligated to repay the principal and the interest that accrues on it to the above -named institution (hereinafter called the school) over a period beginning 9 months (or sooner if I am a less then a half -tlme borrower) after the date I cease to be at least a half -time student at an Institution of higher education or a comparable school outside the United States approved by the United States Secretary of Education (hereinafter called the Secretary) and ending 10 years later, unless I request In writing that my repayment period begin sooner. I understand that the school will report the amount of my installment payments, along with the amount of this loan to a national credit bureau. Interest on this loan shall accrue from the beginning of the repayment period. My repayment period may be shorter than 10 years if I am required by my school to make minimum monthly payments. Upon my written request my repayment period may be extended during periods of deferment, hardship, or forbearance and I may make graduated installments in accordance with a schedule approved by the Secretary. I will make my installment payments in equal monthly, bimonthly or quarterly installments as determined by the school. The school may round my installment payment to the next highest multiple of $5. ]I will make a minimum monthly repayment of $40 (or $30 if I have outstanding Federal Perkins loans made before October 1, 1992 that included the $30 minimum payment option) In accordance with the Minimum Monthly Payment Section of the Terms and Conditions contained on the reverse side of this document.] LATE CHARGES - The school will impose late charges if I do not make a scheduled payment when due or if I fail to submit to the school on or before the due date of the payment, a properly documented written request, that I qualify for any of the forbearance, deferment or cancellation benefits as described below. No late charges may exceed 20% of my monthly, bimonthly or quarterly Payment. The school may add the late charges to principal the day after the scheduled repayment was due or include it with the next scheduled repayment after I have received notice of the charge, and such notice is sent before the next installment is due. REQUESTS FOR DEFERMENT, CANCELLATION OR FORBEARANCE -To receive deferment, cancellation, or forbearance benefits, I must make a written.requm to the school and must submit to the school any documentation the school requires to prove my eligibility for these benefits. I am responsible for submitting the appropriate requests on time, and 1, may lose my benefits If 1 fall to file my request on time. DEFAULT - if I fail to make a scheduled payment when due; if I fall to submit to the school. on or before the due date of a scheduled payment,-documentation that I qualify for a deferment, cancellation, or forbearance•, or if I fail to comply with the terms and conditions of this promissory note or written repayment agreement, the school may, at its option, declare my loan to be in default and may accelerate my loan (demand immediate payment of the entire unpaid balance of the loan, including principal, interest, late charges, and collection costs). The school, and the Secretary, if my loan is assigned to the Secretary for collection, shall disclose to credit bureau organizations that I have defaulted and all other relevant loan Information. I will lose my right to defer payments and my right to forbearance if I default on my loan. I will lose my right to receive cancellation benefits for service that Is performed after the date the school accelerated the loan. I will be ineligible for any further federal student financial assistance authorized under the Act until I make arrangements that are satisfactory to the school or the Secretary to repay my loan, CHANCE OF STATUS - I will inform the school of any change In my name, address, telephone number, Social Security number, or drivers license number, ASSIGNMENT - This note may be assigned by the school only to the United to The ora ssheol- sheffwhere appropriate relate to -- ` -' — t gnee. PROMISE TO PAY: I promise to pay the school, or a subsequent holder of the Promissory Note, the sum of amount(s) advanced to me under the terms of this Note, plus interest and other fees which may become due as proyided In this Note. I promise to pay all reasonable collection costs, Including attorney fees and other charges, necessary for the collection of any amount not paid tyhen due. I will not sign this Note before reading it, including the provisions on the reverse side. This loan has been made to me without security or endorsement. My signature certifies I have read, understand, and agree to the terns and conditions of this Promissory Note, THIS IS A LOAN (S) THAT MUST BE REPAID Borrower's Signature DaFe: I " Terms and Conditions (cons.) CANCELLATIONS - Upon making a properly documented written request to the school, I am entitled to have up to 100% of the original principal loan HARDSHIP REPAYMENT OPTIONS - Upon my written request, if I amount of this loan canceled If I perform qualifying service in the areas listed qualify as a low - income individual during the repayment period, the school in paragraphs A, B, C. D and E below. Qualifying Service must be performed may extend the repayment period for up to an additional ten (10) years and after I receive the loan. may adjust any repayment schedule to reflect my income. Upon my written A. Teaching • a full -time teacher in a public or other nonprofit elementary or request, the school may extend the repayment period if, in its opinion, secondary school, that has been designated by the Secretary in accordance with j prolonged illness or unemployment prevent me from making the scheduled the provisions of section 465 (a) (2) of the Act as a school with a high repayments during which time interest will continue to accrue. The school concentration of students from low-income families. An official Directory of period of not more may permit me r than one year at a time if I experience a p pay less than the minimum monthly rep period d of f fora designated low- income schools is published annually by the Secretary. • a full- time special education teacher in a public or nonprofit elementary or prolonged illness or unemployment except such action may not extend the secondary school system. • a full -time teacher, in a public or other nonprofit repayment period beyond 10 years. elementary or secondary school system• who teaches mathematics, science, GRACE PERIODS - My initial grace period before beginning repayment is 9 foreign languages, bilingual education, or any other field of expertise that is months. If I am a Less - Than-Half -Time Borrower with outstanding Federal determined by the State Department of Education to have a shortage of Perkins Loans, my repayment begins when the: next scheduled installment of qualified teachers in that State. my outstanding loan Is due. If I am a Less - Than - Half -Time Borrower with no B. Early Intervention Services • a full -time qualified professional provider of outstanding Federal Perkins Loans, my repayment begins the earlier of' with Disabilities Education ear] Intervention services in a public or other nonprofit program u months from the date my loan was made, or 9 months from the date I became y P P p public less than a half -time student, even if I received the loan after I became a less supervision by a d agency as authorized by section ry re the Individuals than half -time student. My payments will resume after a post - deferment grace ucation Act. Early Intervention Services ices are provided to period of 6 months that follows deferments that apply to Federal Perkins infants and toddlers with disabilities. loans, C. Law Enforcement or Corrections Officer • a full -time law enforcement PREPAYMENT - I may prepay all or any part of my unpaid loan balance, officer for an eligible local, State, or Federal law enforcement agency; or • a plus any accrued interest, at any time without penalty. Amounts I repay in the full -time corrections officer for an eligible local. State, or Federal corrections academic year in which the loan was made and before the initial grace period agency has ended will be used to reduce the amount of the loan and will not be D. Nurse or Medical Technician • a full -time nurse providing health care considered a prepayment, If I repay amounts during the academic year in services; or • a full-time medical technician providing health care services. which the loan was made and the initial grace period ended, only those E. Child or Family Service Agency • a full -time employee of an eligible public amounts in excess of the amount due for any repayment period shall be or private non -profit child or family service agency who is providing or considered a prepayment. If, in an academic year other than the award year in supervising the provision of services to high -risk children who are from low - whiGh the loan was made, I repay more than the amount due for an install- income communities and the families of such children. mem the excess will be used to repay principal unless I designate it as an Cancellation Rates - For each completed year of service under paragraphs A, advance payment of the next regular installment. B, C, D and E a portion of this loan will be canceled at the following rates: MINIMUM MONTHLY PAYMENT - I will make a minimum monthly . 15% of the original principal loan amount for each of the first and second repayment of $40 (or $30 if I have outstanding Federal Perkins loans made years; • 20% of the original principal loan amount for each of the third year before October 1, 1992 that included the $30 minimum payment option) if and fourth years: and • 30% of the original principal loan amount for the fifth required by the school. If the total monthly repayment rate on this loan and year any outstanding Federal Perkins loans I may have is less than the minimtun monthly repayment rate established by the school, the school may still require E Head Start Cancellation - Upon making a properly documented written a minimum monthly repayment rate. A minimum monthly repayment request to the school, I am entitled to have up to 100% of the original amount will combine my obligation on this and all my outstanding Federal Principal loan amount canceled for qualifying service performed after I receive Perkins loans, including those made at other schools, The portion of the the loan as: • a full -time staff member in the educational component of a minimum monthly payment that will be applied to this loan will be the Head Start program which is operated for a period comparable to a full school difference between the minimum monthly payment and the total amounts year and which pays a salary comparable to an employee of the local educa- owed at a monthly rate on my other Federal Perkins loans. If each school tional agency. holding my outstanding Federal Perkins loans exercises the minimum monthly Cancellation Rate - For each completed year of service under the Head Start payment option, the minimum monthly repayment will be divided among the Cancellation provision, this loan will be canceled at the rate of 15% of the schools in proportion to the amount of principal advanced by each school. original principal loan amount. FORBEARANCE - Upon making a properly documented written request to G. Military Cancellation - Upon making a properly documented written the school, I am entitled to forbearance of principal and interest or principal request to the school, I am entitled to have up to 50% of the principal amount only, renewable at intervals up to 12 months for periods that collectively do of this loan canceled for qualifying service performed after I receive the loan not exceed three years, under the following conditions: If my monthly Title IV as: • a member of the Armed Forces of the United States in an area of loan debt burden equals or exceeds 20% of my total monthly gross income; if hostilities that qualifies for special pay under section 310 of Title 37 of the the Secretary authorizes a period of forbearance due to a national military United States Code. mobilization or other national emergency; or if the school determines that I Cancellation Rate - For each completed year of service under the Military qualify due to poor health or for other reasons, including service in Cancellation provision, this loan will be canceled at the rate of 121/2% of the AmeriCorps. Interest accrues during any period of forbearance. original principal loan amount. DEFERMENTS -. Upon making a properly documented written request to H. Volunteer Service Cancellation - Upon making a properly documented the school. I may defer making scheduled installment payments and will not written request to the school, I am entitled to have up to 70% of the original be liable for any interest that might otherwise accrue 1) during any period that principal loan amount of this loan canceled for qualifying service performed I am: enrolled and attending as a regular student In at least a half -time course alter I received the loan as: - a volunteer under the Peace Corps Act: • a of study- a"n- ellgR*sc . , enr°Ned and atterrdIng as a -regu student-a vo lunteer undir th - omen c o tin ear r c A — cf - 61`497$(AC`PI graduate fellowship program approved by the Secretary; engaged In graduate programs), or post - graduate fellowship- supported study outside the US; enrolled and attending a rehabilitation training program for disabled individuals approved Cancellation Rate - For each completed year of service under the Volunteer by the Secretary; engaged in public service that qualifies me to have part or all Service Cancellation provision, a portion of this loan will be canceled at the of my loan canceled; 2) for a period not to exceed three years during which I following rates: am seeking but unable to find full -time employment, 3) for a period not to • 15% of the original principal loan amount for each of the first and second exceed three years during which I am experiencing an economic hardship as 12 -month periods of service; and • 20% of the original principal loan amount determined by the school. I am not eligible for a deferment while serving in a for each of the third and fourth 12 -month periods of service. medical internship or residency program. I may continue to defer making I. Death and Disability Cancellation - In the event of my death, the school scheduled installment payments and will not be liable for any Interest that will cancel the total amount owed on this loan. If I become permanently and might otherwise accrue for a six -month period immediately following the totally disabled after I receive this loan, the school will cancel the total 'amount expiration of any deferment period described in this paragraph. owed on this loan. r EXHIBIT "B" FEDERAL PERKINS LOAN PROMISSORY NOTE Secti Borrower Sectio 1. Name (last, first, middle initial) and 2. Social Security Number Permanent Address (street, city, state, zip code) r i 3. Date of Birth David Hernandez 3Cf UP/f�< le 4. Area Code/Telephone Number 5 Driver's License Number (List state abbreviation first) Section B: 6: School Name & Address (street, city, state, zip code) 7 Borrower Status 8. Interest Rate DiCkinsm Co llege ecm L Half or greaten ❑ Less t Mr 5% P.O. Box 1773 9. Loan Amount: 10. Loan Period Carlisle, PA 17013 -2896 1,000.00 97 -98 TERMS AND CONDITIONS: [Any bracketed clause or paragraph may be Included at option of Institution] APPLICABLE LAW - The terms of this note and any disbursements made under this note shall be interpreted in accordance with Part E of Title IV of the Higher Education Act of 1965, as amended (hereinafter called the Act), as well as Federal regulations Issued under the Act. All sums advanced under this note are subject to the Act and Federal regulations issued under the Act. REPAYMENT - I am obligated to repay the principal and the Interest that accrues on it to the above -named institution (hereinafter called the school) over a period beginning 9 months (or sooner if I am a less than a half -time borrower) after the date I cease to be at least a half -time student at an Institution of higher education or a comparable school outside the United States approved by the United States Secretary of Education (hereinafter celled the Secretary) and ending 10 years later, unless I request in writing that my repayment period begin sooner. I understand that the school will report the amount of my installment payments, along with the amount of this loan to a national credit bureau. Interest on this loan shall accrue from the beginning of the repayment period. My repayment period may be shorter than 10 years if l am required by my school to make minimum monthly payments. Upon my written request my repayment period may be extended during periods of deferment, hardship, or forbearance and I may make graduated Installments In accordance with a schedule approved by the Secretary. 1 will make my Installment payments in equal monthly, bimonthly or quarterly Installments as determined by the school. The school may round my installment payment to the next highest multiple of $5. (1 will make a minimum monthly repayment of $40 (or $30 if I have outstanding Federal Perkins loans made before October 1, 1992 that included the $30 minimum payment option) in accordance with the Minimum Monthly Payment Section of the Terns and Conditions contained on the reverse side of this document.) LATE CHARGES - The school will Impose late charges If I do not make a scheduled payment when due or if I fall to submit to the school on or before the due date of the payment, a properly documented written request that I qualify for any of the forbearance, deferment or cancellation benefits as described below. No late charges may exceed 20% of my monthly, bimonthly or quarterly payment. The school may add the late charges to principal the day after the scheduled repayment was due or include It with the next scheduled repayment after I have received notice of the charge, and such notice is sent before the next Installment is due. REQUESTS FOR DEFERMENT, CANCELLATION OR FORBEARANCE - To receive deferment, cancellation, or forbearance benents, I must make a written request to the school and must submit to the school any documentation the school requires to prove my eligibility for these benefits. I am responsible for submitting the appropriate requests on time, and I may lose my benefits if I fail to file my request on time. DEFAULT - If I fail to make a scheduled payment when due; if I fall to submit to the school, on or before the due date of a scheduled payment, documentation that I qualify for a deferment, cancellation, or forbearance; or If I fail to comply with the terms and conditions of this promissory note or written repayment agreement, the school may, at its option, declare my loan to be in default and may accelerate my loan (demand immediate payment of the entire unpaid balance of the loan, including principal, interest, late charges, and collection costs). The school, and the Secretary, if my loan is assigned to the Secretary for collection, shall disclose to credit bureau organizations that I have defaulted and all other relevant loan information. I will lose my right to defer payments and my right to forbearance if 1 default on my loan. I will lose my right to receive cancellation benefits for service that is performed after the date the school accelerated the loan. I will he ineligible for any further federal student financial assistance authorized under the Act until I make arrangements that are satisfactory to the school or the Secretary to repay my loan. CHANGE OF STATUS - I will inform the school of any change in my name, address, telephone number, Social Security number, or drivers license'number. ASSIGNMENT - This note may be assigned by the school only to the United States. The provisions of this note that relate to the school shall where appropriate relate to - —t assignee. — -- PROMISE TO,PAY. I promise to pay the school, or a subsequent holder of the Promissory Note, the sum of amount(s) advanced to me under the terms of this Note, plus interest and other fees which may become due as provided in this Note. I promise to pay all reasonable collection costs, including attorney fees and other charges, . necessary for the collection of any amount not paid when due. 1 will not sign this Note before reading It, including the provisions on the reverse side. This loan has been made to me without security or endorsement. My signature certifies I have read, understand, and agree to the terms and conditions of this Promissory Note. THIS IS A LOAN(S) THAT MUST BE REPAID o Borrower's Signature Date: Terms and Co d/tions (Copt.) CANCELLATIONS - Upon making a properly documented written request to the school, I am entitled to have up to 100% of the original principal loan HARDSHIP REPAYMENT OPTIONS - Upon my written request, if I amount of this loan canceled if I perform qualifying service in the areas listed qualify as a low-income individual during the repayment period, the school in paragraphs A, B, C, D and E below. Qualifying Service must be performed may extend the repayment period up to an additional ten (10) years and after I receive the loan. may adiust any repayment schedule to reflect my. Income. Upon my written A. Teaching • a full -time teacher in a public or other nonprofit elementary or request, the school may extend the repayment period if, in its opinion, secondary school, that has been designated by the Secretary in accordance with prolonged illness or unemployment prevent me from making the scheduled the provisions of section 465 (a) (2) of the Act as a school with a high repayments during which time interest Will continue to accrue. The school concentration of students from low- income families. An official Directory of may permit me to pay less than the minimum monthly repayment rate for a designated low- income schools is published annually by the Secretary. • a full- period of not more than one year at a time if I experience a period of time special education teacher in a public or nonprofit elementary or prolonged illness or unemployment except such action may not extend the secondary school system. • a Full -time teacher, in a public or other nonprofit repayment period beyond 10 years. elementary or secondary school system, who teaches mathematics, science, GRACE PERIODS - My initlat grace period before beginning repayment is 9 months. If I am a Less- Than - Half -Time Borrower with outstanding Federal foreign languages, bilingual education determined by the State Department , or any other field Education to have a shortage h of expertise that is of Perkins Loans, my repayment begins when the next scheduled installment of qualified teachers In that State. my outstanding Iran due. U I am a Loans, m y repayment begins the earlier of'. Borrower with no B. Early Intervention Services • a full - time qualified professional provider of outstanding Federal P e y repament bg 9 early intervention services in a public or other nonprofit program under public less than a half-time student, nt, even if I received months from the date loan was made, v 9 months from the date I less supervision by a lead agency as authorized by section 672(2) of the Individuals ed the loan after I became a less with Disabilities Education Act. Early Intervention Services are provided to than half -time student. My payments will restune after apost- deferment grace period of 6 months that follows deferinents that apply to Federal Perkins infants and toddlers with disabilities. loans, C. Law Enforcement or Corrections Officer • a full -time law enforcement PREPAYMENT - I may prepay all or any part of my unpaid loan balance, officer for an eligible local, State, or Federal law enforcement agency; or • a plus any accrued Interest, at any time without penalty. Amounts I repay in the full -time corrections officer for an eligible local, State, or Federal corrections academic year in which the loan was made and before the initial grace period agency. has ended will be used to reduce the amount of the loan and will not be D. Nurse or Medical Technician • a full-time nurse providing health care considered a prepayment. If I repay amounts during the academic year in services; or • a full-time medical technician providing health care services. which the loan was made and the initial grace period ended, only those E. Child or Family Service Agency • a full -time employee of an eligible public amounts in excess of the amount due for any repayment period shall be or private non -proflt child or family service agency who is providing or considered a prepayment. If, in an academic year other than the award year in supervising the provision of services to high -risk children who are from low - which the loan was made, I repay more than the amount due for an install- income communities and the families of such children. ment, the excess will be used to repay principal unless I designate it as an Cancellation Rates - For each completed year of service under paragraphs A, advance payment of the next regular installment. B. C. D and E a portion of this loan will be canceled at the following rates'. MINIMUM MONTHLY PAYMENT - I will make a minimum monthly . 15% of the original principal loan amount for each of the first and second. repayment of $40 (or $30 if I have outstanding Federal Perkins loans made years; • 20% of the original principal loan amount for each of the third year before October 1, 1992 that included the $30 minimum payment option) If and fourth years; and • 30% of the original principal loan amount for the fifth required by the school. If the total monthly repayment rate on this loan and year any outstanding Federal Perkins loans I may have is less than the minimum monthly repayment rate established by the school, the school may still require E Head Start Cancellation - Upon making a properly documented written a minimum monthly repayment rate, A minimum monthly repayment request to the school, I am entitled to have up to 100% of the original amount will combine my obligation on this and all my outstanding Federal principal loan amount canceled for qualifying service performed after I receive Perkins loans, Including those made at other schools: The portion of the the loan as: • a full -time staff member in the educational component of a minimum monthly payment that will be applied to this loan will be the Head Start program which is operated for a period comparable to a full school difference between the minimum monthly payment and the total amounts year and which pays a salary comparable to an employee of the local educa- owed at a monthly rate on my other Federal Perkins loans. If each school tional agency holding my outstanding Federal Perkins loans exercises the minimum monthly Cancellation Rate - For each completed year of service under the Head Start payment option, the minimum monthly repayment will be divided among the Cancellation provision, this loan will be canceled at the rate of 15% of the schools in proportion to the amount of principal advanced by each school. original principal loan amount: FORBEARANCE - Upon making a properly documented written request to G. Military Cancellation - Upon making a properly documented written the school, I am entitled to forbearance of principal and interest or principal request to the school. I am entitled to.have up to 50% of the principal amount only, renewable at intervals up to 12 months for periods that collectively do of this loan canceled for qualifying service performed after I receive the loan not exceed three years, under the following conditions: If my monthly'I1tle IV as: • a member of the Armed Forces of the United States in an area of loan debt burden equals or exceeds 20% of my total monthly gross income: if hostilities that qualifies for special pay under section 310 of Title 37 of the the Secretary authorizes a period of forbearance due to a national military United States Code. mobilization or. other national emergency; or If the school determines that I Cancellation Rate - For each completed year of service under the Military qualify due to poor health or for other reasons, including service in Cancellation provision, this loan will be canceled at the rate of 121/2% of the Ameri Corps. Interest accrues during any period of forbearance. original principal loan amount. DEFERMENTS - Upon making a properly documented written request to H. Volunteer Service Cancellation - Upon making a properly documented the school, I may defer making scheduled installment payments and will not written request to the school, I am entitled to have up to 70% of the original be liable for any interest that might otherwise accrue 1) during any period that principal loan amount of this loan canceled for qualifying service performed I am: enrolled and attending as a regular student in at least a half -time course der I received the loan as: • a volunteer under the Peace Co s Act; • a — ofstudy�t eitgtbIffWh 1, etvaltad and at[e� volunteer under the Domestic Volunteer Service Act of 1973 N - - - -- graduate fellowship program approved by the Secretary; engaged In graduate or post - graduate fellowship- supported study outside the US; enrolled and Programs). attending a rehabilitation training program for disabled individuals approved Cancellation Rate - For each completed year of service under the Volunteer by the Secretary; engaged in public service that qualifies me to have part or all Service Cancellation provision, a portion of this loan will be canceled at the of my loan canceled; 2) for a period not to exceed three years during which I following rates: am seeking but unable to find full -time employment, 3) for a period not to • 15% of the original principal loan amount for each of the first and second exceed three years during which I am experiencing an economic hardship as 12 -month periods of service; and • 20% of the original principal loan amount determined by the school. I am not eligible for a deferment while serving in a for each of the third and fourth 12 -month periods of service. medical internship or residency program. I may continue to defer making I. Death and Disability Cancellation - In the event of my death, the school scheduled Installment payments and will not be liable for any interest that will cancel the total amount owed on this loan. If I become permanently and might otherwise accrue for a six -month period immediately following the totally disabled after I receive this loan, the school will cancel the'total amount expiration of any deferment period described in this paragraph. owed on this loan. EXHIBIT "C" FED ERAL PERKINS LOAN PROMISSORY NOTE � i Borro i 1. Name (last, first, middle initial) and 2. Social Security Number Permanent Address (street, city, state, zip code) Hernandez, David E. 3. Date of Birth 3909 N. Washington St., Apt. 1 Arlington, VA 22201 4. Area Code/Telephone Number 5. Driver's License Number (List state abbreviation first) Secti Schoo 6. School Name & Address (street, city, state, zip code) 7 Bon ower Status 8. Interest Rate Dick inscin College L' rt Half-time or greater 0 I., it. half-tin. 5% P.O. BcK 1773 9. Loan Amount- 10. Loan Period Carlisle, PA 17013 -2896 TERMS AND CONDITIONS: [Arty bracketed clause or paragraph may be Included at option of trutitutiorsl APPLICABLE LAW - The terns of this note and any disbursements made under this note shall be interpreted in accordance with Part E of Title IV of the Higher Education Act of 1965, as -amended (hereinafter called the Act), as well as Federal regulations issued under the Act. All sums advanced under this note are subject to the Act and Federal regulations issued under the Act. REPAYMENT - I am obligated to repay the principal and the interest that accrues on it to the above -named institution (hereinafter called the school) over a period beginning 9 months (or sooner if I am a lest than a half -time borrower) after the date I cease to be at least a half-time student at an Institution of higher education or a comparable school outside the United States approved by the United States Secretary of Education (hereinafter called the Secretary) and ending 10 years later, unless I request in writing that my repayment period begin sooner. I understand that the school will report the amount of my installment payments, along with the amount of this .loan to a national credit bureau. Interest on this loan shall accrue from the beginning of the repayment period. My repayment period may be shorter than 10 years if I am required by my school to make minimum monthly payments. Upon my written request my repayment period may be extended during periods of deferment, hardship, or forbearance and I may make graduated installments In accordance with a schedule approved by the Secretary. I will make my installment payments in equal monthly, bimonthly or quarterly Installments as determined by the school. The school may round my installment payment to the next highest multiple of $5. [I will make a minimum monthly repayment of $40 (or $30 if I have outstanding Federal Perkins loans made before October 1,'1992 that included the $30 minimum payment option) in accordance with the Minimum Monthly Payment Section of the Terms and Conditions conta'7ned on the reverse side of this document.] LATE CHARGES - The school will impose late charges if I do not make a scheduled payment when due or If I fall to submit to the school on or before the due date of the payment, a properly documented written request that I qualify for any of the forbearance, deferment or cancellation benefits as described below. No late charges may exceed 20% of my monthly, bimonthly or quarterly payment, The school may add the late charges to principal the day after the scheduled repayment was due or include It with the next scheduled repayment after I have received notice of the charge, and such notice is sent before the next tnstallawnt Is due. REQUESTS FOR DEFERMENT, CANCELLATION OR FORBEARANCE - receive deferment cancellation, or forbearance benefits, I must make a written request to the school and must submit to the school any documentation the school requires to prove my eligibility for these benefits. I am responsible for submitting the appropriate requests on time, and I may lose my benefits If I fail to file my request on time. DEFAULT - If I fail to make a scheduled payment when due; if I fail to submit to the school, on or before the due date of a scheduled payment; documentation that I qualify for a deferment, cancellation, or forbearance; or if I fad to comply with the terms and conditions of this promissory note or written repayment agreement, the j school may, at its option, declare my loan to be In default and may accelerate my loan (demand Immediate payment of the entire unpaid balance of the loan, Including principal, interest, late charges, and collection costs). The school, and the Secretary, if my loan Is assigned to the Secretary for collection, shall disclose to credit bureau organizations that 1 have defaulted and all other relevant loan Information. I will lose my right to defer payments and my right to forbearance if I default on my loan. I will lose my right to receive cancellation benefits for service that is performed after the date the school accelerated the loan. I will be ineligible for any further federal student financial assistance authorized under the Act until I make arrangements that are satisfactory to the school or the Secretary to repay my loan. CHANGE OF STATUS - I will inform the school of any change In my name, address, telephone number, Social Security number, or driver's license number. ASSIGNMENT - Th b- notem eianed nited- States- The provbi ors of this carte tharretateta the stlRSa13 w re approp ate re to to the assignee. PROMISE TO PAY, I promise to pay the school, or a subsequent holder of the Promissory Note, the sum of amount(s) advanced to me under the terms of this Note, plus interest and other fees which may become due as provided in this Note. I promise to pay all reasonable collection costs, including attorney fees and other charges, necessary for the collection of any amount not paid when due. I will not sign this Note before reading it, Including the provisions on the reverse side. This loan has been made to me without security or endorsement. My signature cenif es I have read, understand, and agree to the terns and conditions of this Promissory Note. THIS IS A LOAN(S) THAT MUST BE REPAID Borrower's ignature Date: a. Terms and Conditions (cone.) CANCELLATIONS - Upon making a properly documented written request to the school, I am entitled to have up to 100% of the original principal loan HARDSHIP REPAYMENT OPTIONS - Upon my written request, if I amount of this loan canceled if I perform qualifying service in the areas listed qualify as a low- income individual during the repayment period, the school i pa ragra ph s A, B, C, D and E below. Qualifying Service must be performed may extend the repayment period for up to an additional ten (10) years and after I receive the loan. may adjust any repayment schedule to reflect my income. Upon my written A. Teaching • a full -time teacher in a public or other nonprofit elementary or request, the school may extend the repayment period if, in its opinion, secondary school, that has been designated by the Secretary in accordance with prolonged illness or unemployment prevent me from making the scheduled the provisions of section 465(a) (2) of the Act as a school with a high repayments during which time Interest will continue to accrue. The school concentration of students from low - income families. An official Directory of may permit me to pay less than the minimum monthly repayment rate for a designated low- income schools is published annually by the Secretary. • a full- period of not more than one year at a time if I experience a period of time special education teacher In a public or nonprofit elementary or prolonged illness or unemployment except such action may not extend the secondary school system. • a full-time teacher, in a public or other nonprofit repayment period beyond 10 years. elementary or secondary school system, who teaches mathematics, science, GRACE PERIODS - My initial grace period before beginning repayment is 9 foreign languages, bilingual education, or any other field of expertise that is months. If I am a Less- Than-Half -Time Borrower with outstanding Federal determined by the State Department of Education to have a shortage of Perkins Loans, my repayment begins when the next scheduled installment of qualified teachers in that State. my outstanding loan is due. U I am a Less Than Half -Time Borrower with no B Early Intervention Services • a full -time qualified professional provider of outstarrcUng Federal Perkins Loans, my repayment begins the earlier of: 9 - -- earl ervention services in a ublic or other rion rofit program under public months from the date my loan was made, or 9 months from the date I became y int P P p section less than a half -time student, even if I received the loan after I became a less supervision by a lead agency as authorized ry the Individuals than half -time student. My payments will resume after a post - deferment grace with s and ndi toddlers Education Act. Early Intervention Servrvices ices arre e provided to infants e period of 6 months that follows deferments that apply to Federal Perkins dlers with disabilities. loans. C. Law Enforcement or Corrections Officer • a full -time law enforcement PREPAYMENT - I may prepay all or any part of my unpaid loan balance, officer for an eligible local, State, or Federal law enforcement agency: or • a plus any accrued interest, at any time without penalty. Amounts I repay in the full-time corrections officer for an eligible local, State. or Federal corrections academic year in which the loan was made and before the initial grace period agency. has ended will be used to reduce the amount of the loan and will not be D. Nurse or Medical Technician • a full -time nurse providing health care considered a prepayment. If I repay amounts during the academic year in services; or • a full-time medical technician providing health care services. which the loan was made and the initial grace period ended, only those E. Child or Family Service Agency • a full -time employee of an eligible public amounts in excess of the amount due for any repayment period shall be or private non -profit child or family service agency who is providing or considered a prepayment. If. in an academic year other than the award year in supervising the provision of services to high -risk children who are from low - which the loan was made, I repay more than the amount due for an install- income communities and the families of such children. went, the excess will be used to repay principal unless I designate it as an Cancellation Rates - For each completed year of service under paragraphs A, advance payment of the next regular installment. B. C, D and E a portion of this loan will be canceled at the following rates: MINIMUM MONTHLY PAYMENT - I will make a minimum monthly . 15% of the original principal loan amount for each of the first and second repayment of $40 (or $30 if I have outstanding Federal Perkins loans made years; • 20% of the original principal loan amount for each of the-third year before October 1, 1992 that Included the $30 minimum payment option) if and fourth years: and • 30% of the original principal loan amount for the fifth required by the school. If the total monthly repayment rate on this'lom and year. any outstanding Federal Perkins loans I may have is less than the minimum F. Head Start Cancellation U making properly monthly repayment rate established by the school, the school may still ,require P on g a pr P lY documented written a minimum monthly repayment rate. A minimum monthly repayment request to the school, I am entitled to have up to 100% of the original amount will combine my obligation on this and all my outstanding Federal principal loan amount canceled for qualifying service performed after I receive Perkins loans, including those made at other schools, The portion of the the loan as; • a full -time staff member in the educational component of a minimum monthly payment that will be applied to this loan will be the Head Start program which is operated for a period comparable to a full school difference. between the minimum monthly payment and the total amounts year and which pays a salary comparable to an employee of the local educe - owed at a monthly rate on my other Federal Perkins krans. If each school tionai agency. holding my outstanding Federal Perkins loans exercises the minimum monthly Cancellation Rate - For each completed year of service under the Head Start payment option, the minimum monthly repayment will be divided among the Cancellation provision, this loan will be canceled at the rate of 15% of the schools in proportion to the amount of principal advanced by each school. . original principal loan amount. FORBEARANCE - Upon making a properly documented written request to G. Military Cancellation - Upon making a properly documented written the school. I am entitled to forbearance of principal and interest or principal request to the school, I am entitled to have up to 50% of the principal amount only, renewable at Intervals up to 12 months for periods that collectively do of this loan canceled for qualifying service performed after I receive the loan not exceed three years, under the following conditions; If my monthly Title IV as: • a member of the Armed Forces of the United States in an area of loan debt burden equals or exceeds 20% of my total monthly gross income; if hostilities that qualifies for special pay under section 310 of Title 37 of the the Secretary authorizes a period of forbearance due to a national military United States Code. mobilization or other national emergency: or if the school determines that I Cancellation Rate - For each completed year of service under the Military qualify due to poor health or for other reasons, including service in Cancellation provision, this loan will be canceled at the rate of 12 U2% of the AmeriCorps. Interest accrues during any period of forbearance. original principal loan amount. DEFERMENTS - Upon making a properly documented written request to H. Volunteer Service Cancellation - Upon making a properly documented the school, I may defer making scheduled installment payments and will not written request to the school, I am entitled to have up to 70% of the original be liable for any interest that might otherwise accrue 1) during any period that principal loan amount of this loan canceled for qualifying service performed I am: enrolled and attending as a regular student i at least a half -time course aces Ilecelved ths loan as: • a volunteer under the P ea ce Corps Act; • a of study at an eliggiblschool; an at en g as a regu stlar udent a volunteer under the Domestic Volunteer Service Act of 1973 (ACTION graduate fellowship program approved by the Secretary; engaged in graduate programs) or post- graduate fellowship- supported study outside the US; enrolled and attending a rehabilitation training program for disabled individuals approved Cancellation Rate - For each completed year of service under the Volunteer by the Secretary; engaged in public service that qualifies me to have part or all Service Cancellation provision, a portion of this loan will be canceled at the of my loan canceled; 2) for a period not to exceed three years during which I following rates: am seeking but unable to find full -time employment, 3) for a period not to • 15% of the original principal loan amount for each of the first and second exceed three years during which I am experiencing an economic hardship as 12 -month periods of service; and • 20% of the original principal loan amount determined by the school. I am not eligible for a deferment while serving in a for each of the third and fourth 12 -month periods of service. medical tntemship or residency program. I may continue to defer making I. Death and Disability Cancellation - In the event of my death, the school scheduled installment payments and will not be liable for any interest that will cancel the total amount owed on this loan. If I become permanently and might otherwise accrue for a six -month period immediately following the totally disabled after I receive this loan, the school will cancel the total amount expiration of any deferment period described in this paragraph. owed on this loan. 1 EXHIBIT "D" FEDERAL PERKINS LOAN PROMISSORY NOTE Section A: Borrower Section 1. Name past, first, middle initial) and 2.9 TaT $�'yN ? Permanent Address (street, city, state, zip code) Hernandez, David E. 3. o HI 3909 N. Washington St., Apt. 1 Arlington, VA 22201 4. Area Codelfelephone Number ei a :,. tli E I�:(L"(f of s 31 `Fe 'I ifi �Ij Secti r Schoo 6. School Name & Address (street, city, state; zip code) 7 Borrower Status 8. Interest Rate Dickinscln ColleW :0 Half-time or greater ❑ Less than half -titre 5% P.O. Boot 1773 9. Loan Amount: 10. Loan Period Carlisle, PA 17013 -2896 $ 1, 09Lk. 00 1 1999-2000 TERMS AND CONDITIONS: em - 6n /y IArry bracketed clause or paragraph may be Included at option of institution.) APPLICABLE LAW - The terms of this note and any disbursements made under this note shall be Interpreted in accordance with Part E of Title IV of the Higher Education Act of 1965, as amended (hereinafter called the Act), as well as Federal regulations Issued under the Act. All sums advanced under this note are subject to the Act and Federal regulations issued under the Act. REPAYMENT - I am obligated to repay the principal and the Interest that accrues on it to the above -named Institution (hereinafter called the school) over a period beginning 9 months (or sooner if I am a less than a half -time borrower) after the date I cease to be at least a half -time student at an Institution of higher education or a comparable school outside the United States approved by the United States Secretary of Education (hereinafter called the Secretary) and ending 10 years later, unless I request In writing that my repayment period begin sooner. I understand that the school will report the amount of my installment payments, along with the amount of this ban to a national credit bureau. Interest on this loan shall accrue from the beginning of the repayment period. My repayment period may be shorter than t0 years if I am required by my school to make minimum monthly payments. Upon my written request my repayment period may be extended during periods of deferment, hardship, or forbearance and I may make graduated installments in accordance with a schedule approved by the Secretary. I will make my Installment payments in equal monthly, bimonthly or quarterly installments as determined by the school. The school may round my installment payment to the next highest multiple of $5. 11 will make a minimum monthly repayment of $90 (or $30 if I have outstanding Federal Perkins loans made before October 41992 that included the $30 minimum. payment options in accordance with the Minimum Monthly Payment Section of the Terms and Conditions contained on the reverse side of this document.] LATE CHARGES -The school will Impose late charges if I do not make a scheduled payment when due or if I fall to submit to the school on or before the due date of the payment, a properly documented written request that I qualify for any of the forbearance, deferment or cancellation benefits as described below, No late charges may exceed 20% of my monthly, bimonthly or quarterly payment. The school may add the late charges to principal the day after the scheduled repayment was due or include It with the next scheduled repayment after I have received notice of the charge, and such notice is sent before the next installment is due. REQUESTS FOR DEFERMENT, CANCELLATION OR FORBEARANCE - To receive deferment, cancellation, or forbearance benefits, l must make a written request to the school and must submit to the school any documentation the school requires to prove my eligibility for these benefits. I am responsible for submitting the appropriate requests on time, and I may lose my benefits if 1 fall to file my request on time. DEFAULT - If I fall to make a scheduled payment when due; if 1 fail to submit to the school, on or before the due date of a scheduled payment, documentation that I qualify for a deferment, cancellation, or forbearance; or If I fail to comply with the terms and conditions of this promissory note or written repayment agreement, the school may, at its option, declare my loan to be in default and may accelerate my loan (demand immediate payment of the entire unpaid balance of the loan, Including principal, Interest, late charges, and collection costs). The school, and the Secretary, if my loan is assigned to the Secretary for collection, shall disclose to credit bureau organizations that I have defaulted and all other relevant loan information. I will lose my right to defer payments and my right to forbearance If I default on my loan. I will lose my right to receive cancellation benefits for service that is performed after the date the school accelerated the loan. I will be ineligible for any further federal student financial assistance authorized under the Act until I make arrangements that are satisfactory to the school or the Secretary to repay my loan. C OF STATUS - I will I t h e sc of a ny c hange i my name, address, telephone number, Social Security number, or driver's license number. ASSIGNMENT - This note may be assigned by the school only to the United States. The provisions of this note that relate to the school shall where appropriate relate to the assignee. PROMISE TO PAY: I promise to pay the school, or a subsequent holder of the Promissory Note, the sum of amounts) advanced to me under the terror of this Note, plus Interest and other fees which may become due as provided in this Note, I promise to pay all reasonable collection costs, including attorney fees and other charges, necessary for the collection of any amount not paid when due. I will not sign this Note before reading it, Including the provisions on the reverse side. This loan has been made to me without security or endorsement. My signature certifies I have read, understand, and agree to the terms and conditions of this Promissory Note. THIS 1S A LOAN(S) THAT MUST HE REPAID .-or Ignpig �• \ ..t rY la •,{ �� -.�. ii.4 k ., 7.i 1' y.•.; ., e.�n.., f Terms and Conditions (cony.) CANCELLATIONS - Upon making a properly documented written request to the school, I am entitled to have up to 100% of the original 'principal loan HARDSHIP REPAYMENT OPTIONS - Upon my written request, if I amount of this loan canceled if I perform qualifying service in the areas listed qualify as a low- income individual.during the repayment Period, the school in paragraphs A, B. C, D and E below. Qualifying Service, must be performed may extend the repayment period for up to arradditfona) ten 10 years and : `:- after I receive the'loan. may adjust any repayment schedule to reflect my income: Upon my written ' A. Teaching • a full -time teacher in a public or other nonprofit elementary or request, the school may extend the repayment period if, its opinion, secondary school, that has been designated by the Secretary in accordance with. prolonged illness or unemployment prevent from making the scheduled the provisions of section 465 (a) (2) of the Act as a school with a high repayments during which time interest will c to accrue. The school concentration of students from low - income families. An official Directory of may permit me to pay less than the minimum monthly repayment rate for a designated low- income schools is published annually by the Secretary. • a full - period of not more than one year at a time if I experience a period of time special education teacher in a public or nonprofit elementary or prolonged illness or unemployment except.such action may not extend the secondary school system. • a full-time teacher, in a public or other nonprofit ' repayment period beyond 10 years. elementary or secondary school system, who teaches mathematics, science, GRACE PERIODS - My initial grace period before beginning repayment is 9 foreign languages, bilingual education, or any other field of expertise that is months. If I am a Less -Than-Half -Time Borrower with outstanding Federal determined by the State Department of Education to have a shortage of Perkins Loans, my repayment begins when the next scheduled installment of qualified teachers in that State. my outstanding loan is due. If I am a Less- Than - Half -Time Borrower with no B Early Intervention Services • a full -time qualified professional provider of outstanding Federal Perkins Loans, my repayment begins the earlier of. 9 - early intervention services in a public or other nonprofit program under public: months from the date d loan was made, supervision by a lead agency as authorized by section 672(2) of the Individuals less than ahalf -time studee nt, even if I received 9 months from the date I became the.loan after I became a tens with Disabilities Education Act. Early Intervention:Servtces. are provided to .. ' than, half- time.student. My paytnents:will resume after a post - deferment grace . . period of 6 months that follows deferments that apply to Federal'Perklm ` infants and toddlers with disabilities:. loans: C. Law Enforcement or Correcuons Officer • a full -time law enforcement PREPAYMENT - I may prepay all or any part of my unpaid loan balance, officer for an eligible local, State, or Federal law enforcement agency; or • a plus any accrued interest, at any time without penalty. Amounts 1 repay in the full -time corrections officer for an eligible local, State, or Federal corrections academic year in which the loan was made and before the initial grace period agency. has ended will be used to reduce the amount of the loan and will not be D. Nurse or Medical Technician • a full -time nurse providing health care considered a prepayment. If I repay amounts during the academic year in services; or • a full -time medical technician providing health care services. which the loan was made and the initial grace period ended, only those E. Child or Family Service Agency • a full -time employee of an eligible public amounts in excess of the amount due for any repayment period shall be or private non -profit child or family service agency who Is providing or considered a prepayment. If, in an academic year other than the award year in supervising the provision of services to high -risk children who are from low - which the loan was made, I repay more than the amount due for an install- income communities and the families of such children. ment, the excess will be used to repay principal unless I designate it as an Cancellation Rates - For each completed year of service under paragraphs A, advance payment of the next regular installment. B. C, D and E a portion of this loan will be canceled at the following rates: MINIMUM MONTHLY PAYMENT - I will make a minimum monthly . 1550 of the original principal loan amount for each of the first and second repayment of $40 (or $30 if I have outstanding Federal Perkins loans made years; . 20% of the original principal loan amount for each of the third year before October 1, 1992 that included the $30 minimum payment option) if required by the school. If the total monthly repayment rate on this loan and and fourth years; and • 30% of the original principal loan amount for the fifth any outstanding Federal Perkins loans I may have is less than the minimum year• monthly repayment rate established by the school, the school may still require F Head Start Cancellation - Upon making a properly documented written a minimum monthly repayment rate. A minimum monthly repayment request to the school; I am entitled to have up to 100 % -of the original amount will combine my obligation on this and all my outstanding Federal principal loan amount canceled for qualifying service performed after I receive Perkins loans, including those made at other. schools. The portion of the the loan as: .• a full -time staff member in the educational component of a minimum monthly payment that will be applied to this loan will be the Head Start program which is operated for a period comparable to a full school difference between the minimum monthly payment. and the total amounts year and which pays a salary comparable to an employee of the local educa- owed at a monthly rate on my other Federal Perkins loans. If each school tiorral agency. holding my outstanding Federal Perkins loans exercises the minimum monthly Cancellation Rate - For each completed year of service under the Head Start payment option, the mfnimurn monthly repayment will be divided among the Cancellati on provision, this loan will be canceled at the rate of 15% of the schools. in proportion to the amount of principal advanced by each school. original principal Than amount. ` FORBEARANCE - Upon making a properly documented written request to Q Military Cancellation - Upon making a properly documented written the school, I am entitled to forbearance of principal and interest or principal request to the school, I am entitled to have up to 50% of the principal amount only, renewable at intervals up to 12 months for periods that collectively do of this loan canceled for qualifying service performed after I receive the loan not exceed three years, under the following conditions: If my monthly Title IV as • a member of the Armed Forces of the United States in an area of loan debt burden equals or exceeds 20% of my total monthly gross income: if hostilities that qualifies for special pay under section 310 of Title 37 of the the Secretary authorizes a period of forbearance due to a national military United States Code. mobilization or other national emergency; or if the school dete Twhes that I Cancellation Rate For each completed year of service under. the Military qualify due 'to poor health or for other reasons, including service in Cancellation provision, this loan will be canceled at the rate of 12 1/290 of the AmeriCorps. Interest accrues during any period of forbearance. original principal loan amount DEFERMENTS - Upon making a properly documented written request to H. Volunteer Service Cancellation - Upon making a properly documented the school, I may defer making scheduled installment payments and will not written request to the school, I am entitled to have up to 70% of the original be liable for any interest that might otherwise accrue 1) during any period that principal loan amount of this loan canceled for qualifying service performed ______ I_am;_enrope and attendine as a regular stu in at least a half -time course after I_reeeived- the- loaa-as:- r- a-volunwer -under the-Pewz Corps - Act, a of study at an eligible school; enrolled and attending as a regular student a volunteer under the Domestic Volunteer Service Act of 1973 (ACTION graduate fellowship program approved by the Secretary; engaged In graduate or post- graduate fellowship- supported study outside the US; enrolled and programs). attending a rehabilitation training program for disabled individuals approved Cancellation Rate : For each completed year of service under the Volunteer by the Secretary; engaged in public service that, qualifies me to have part or all Service Cancellation provision, a portion of this loan will be canceled at the of my loan canceled; 2) fora period not to exceed three years during which I following rates: . am seeking but unable to find full -time employment, 3) for a period not to • 15% of the original principal loan amount for each of the first and second exceed three years during which I am experiencing an economic hardship as 12 -month periods of service; and • 20% of the original principal loan amount determined by the school. I am not eligible for a deferment while serving In a for each of the third and fourth 12 -month periods of service. medical internship or residency program. I may continue to defer making I. Death and Disability Cancellation - In the event of my death, the school scheduled installment payments and will not be liable for any interest that will cancel the total amount owed on this loan. If I become permanently and might otherwise accrue for a six -month period immediately following the totally disabled after I receive this loan, the school will cancel the total amount expiration of any deferment period described in this paragraph. owed on this loan. EXHIBIT "E" i FEDERAL PERKINS LOAN PROMISSORY NOTE i Serlionk 1. Name (last, first, middle initial) and 2. Social Security Number — -- Permanent Address(stfeet -ci tate; -- -- - _ — - - - -- ty,-s zip coded-- - � . , " J �. i� • 3. Date of Birth 3g oq A/, i4ht- 5 h , /V4,( U % 4. Area Code/Telephone Number 4rbtn 2220 5. Driver's Ucense Number (List state abbreviation first) Section B: School Section 6. School Name & Address (street, city, state, zip code) 7. Borrower Status 8, Interest Rate Dickinson College U tlau -tlma or 9ratfr 0 less than half-d. 5% P.O. BaK 1773 9. Loan Amount: 10. Loan Period Carlisle, PA 17013 -2896 7 ©O j TERMS AND CONDITIONS: F [Any bracketed clause or paragraph may be included at option of institution] APPLICABLE LAW - The terms of this note and any disbursements made under this note shall be interpreted in accordance with Part E of Title IV of the Higher Education Act of 1965, as amended (hereinafter called the Act), as well as Federal regulations issued under the Act. All sums advanced under this note are subject to the Act and Federal regulations Issued under the Act. REPAYMENT - 1 am obligated to repay the principal and the interest that accrues on It to the above -named Institution (hereinafter called the school) over a period beginning 9 months (or sooner If 1 am a less than a half -time borrower) after the date I cease to be at least a half -time student at an Institution of higher education or a comparable school outside the United States approved by the United States Secretary of Education (hereinafter called the Secretary) and ending 10 years later, unless 1 request in writing that my repayment period begin sooner. I understand that the school will report the amount of my Installment payments, along with the amount of this loan to a national credit bureau. Interest on this loan shall accrue from the beginning of the repayment period. My repayment period may be shorter than 10 years if I am required by my school to make minimum monthly payments. Upon my written request my repayment period may be extended during periods of deferment, hardship, or forbearance and I may make graduated Installments in accordance with a schedule approved by the Secretary. I will make my Installment payments in equal monthly, bimonthly or quarterly installments as determined by the school. The school may round my instillment payment to the next highest multiple of $5. (1 will make a minimum monthly repayment of $40 (or $30 if I have outstanding Federal Perkins loans made before October 1, 1992 that Included the $30 minimum payment option) in accordance with the Minimum Monthly Payment Section of the Terms and Conditions contained on the reverse side of this document.] LATE CHARGES - The school will impose late charges if I do not make a scheduled payment when due or if I fall to submit to the school on or before the due date of the payment, a property documented written request that I qualify for any of the forbearance, deferment or cancellation benefits as described below. No late charges may exceed 20% of my monthly, bimonthly or quarterly payment. The school may add the late charges to principal the day after the scheduled repayment was due or Include it with the next scheduled repayment after I have received notice of the charge, and such notice is sent before the next installment is due. REQUESTS FOR DEFERMENT, CANCELLATION OR FORBEARANCE - To receive deferment, cancellation, or forbearance benefits, I must make a written request to the school and must submit to the school any documentation the school requires to prove my eligibility for these benefits. 1 am responsible for submitting the appropriate requests on time, and I may lose my benefits If I fail to file my request on time. DEFAULT - if I fall to make a scheduled payment when due; if I fail to submit to the school, on or before the due date of a scheduled payment, documentation that I qualify for a deferment, cancellation, or forbearance: or If I fag to comply with the terms and conditions of this promissory note or written repayment agreement, the school may, at its option, declare my loan to be In default and may accelerate my loan (demand Immediate payment of the entire unpaid balance of the loan, including principal, interest, late charges, and collection costs). The school, and the Secretary, if my loan is assigned to the Secretary for collection, shall disclose to credit bureau organizations that I have defaulted and all other relevant loan information. I will lose my right to defer payments and my right to forbearance if I default on my loan. I will lose my right to receive cancellation benefits for service that is performed after the date the school accelerated the ban, I will be ineligible for any further federal student financial assistance authorized under the Act until 1 make arrangements that are satisfactory to the school or the Secretary to repay my loan, CHANGE OF STATUS - I will Inform the school of any change In my name, address, telephone number, Social Security number, or driver's license number. ASSIGNMENT - This note may be assigned by the school only to the United States. The provisions of this note that relate to the school shall where appropriate relate to the assignee, . PROMISE TO PAY: I promise to pay the school, or a subsequent holder of the Promissory Note, the sum of amount(s) advanced to me under the terms of this Note, plus Interest and other fees which may become due as provided In this Note. I promise to pay all reasonable collection costs, Including attorney fees and other charges, necessary for the collection of any amount not paid when due. I will not sign this Note before reading it, including the provisions on the reverse side. This loan has been made to me without security or endorsement. My signature certifies I have read, understand, and agree to the terms and conditions of this Promissory Note. THIS IS A LOANS) THAT MUST BE REPAID Borrower's Signature Dare: . ,. , ,. .... � ,� .. . _.., .. .... ., � F ,.,, I:i e �Ji ' ', u ,� ?rn- �... ,,,�s�.- .....v ♦,. .. - `7R; ,.'r: .. Terms and Conditions co CANCELLATIONS Upon making a'properly documented written request ` to the school, I am entitled to have up to 100% of the original principal loon HARDSHIP REPAYMENT OPTIONS - Upon my written request, if I amount of this loan canceled if I perform qualifying service In the areas listed qualify as a low - income individual during the repayment period, the school in paragraphs A, B, C, D and F below. Qualifying Service must be performed may extend the repayment period for up to an additional ten, (10)' years and after I receive the loan. may adjust any repayment schedule to reflect my income. Upon my written A. Teaching • a full-time teacher in a public or other nonprofit elementary or request, the school may extend the repayment period if, in its opinion, secondary school, that has been designated by the Secretary in accordance with i _prolong Illn or unemplo�men me fro maWn g�he�cheduled�_ �p��m -of sezttmA6 5(aMy& - the kcras a sChiT61 With a h gh -- - - " repayments during which time interest will continue to accrue, The school concentration of students from low- income families. An 'ofE3ciai Directory of may permit me to pay less [!tart the minimum monthly repayment rate for a designated low - income schools is published annually by the Secretary. • a full - period of not more than one year at a time if I experience a period of time special education teacher in a public or nonprofit elementary or prolonged illness or unemployment except such action may not extend the secondary school system. • a full -time teacher, in a public or other nonprofit repayment period beyond 10 years. elementary or secondary school system, who teaches mathematics, science, GRACE PERIODS - My initial grace period before beginning repayment is 9 foreign languages, bilingual education, or any other field of expertise that is months. If I am a Less- Than - Half -Time Borrower with outstanding Federal determined by the State Department of Education to have a shortage of Perkins Loans, my repayment begins when the next scheduled installment of qualified teachers in that State. my outstanding loan is due. If I am a Less- Than- Half -Time Borrower with no g Early Intervention Services • a full -time qualified professional provider of outstanding Federal Perkins Loans, my repayment begins the earlier of: 9 early intervention services In a public or other nonprofit program under public months from the date my loan was made, or 9 months from the date I became supervision by a lead agency as authorized by section 672(2) of the Individuals less than a half -time student, even if I received the loan after I became a less w ith Disabilities Education Act. Early Intervention Services are provided to than half-time student. My payments will resume after a post - deferent grace infants and toddlers with disabilities. period of 6 months that follows deferments that apply to Federal Perkins !Dora C. Law Enforcement or Corrections Officer • a full -time law enforcement officer for an eligible local, State, or Federal law enforcement agency; or • a PREPAYMENT - I may prepay all or any part of my unpaid loan balance, plus any accrued Interest, at any time without penalty. Amounts I repay in the full-time corrections officer for an eligible local, State, or Federal corrections agency. academic year in which the loan was made and before the initial grace period has ended will be used to reduce the amount of the loan and will not be D. Nurse or Medical Technician • a full -time nurse providing health care considered a prepayment. If 1 repay amounts during the academic year in services; or • a full-time medical technician providing health care services. which the loan was made and the initial grace period ended, only those E. Child or Family Service Agency • a full -time employee of an eligible public amounts in excess of the amount due for any repayment period shall be or private non - profit child or family service agency who is providing or considered a prepayment. If, In an academic year other than the award year in supervising the provision of services to high -risk children who are from low - which the loan was made, I repay more than the amount due for an install- income communities and the families of such children. ment, the excess will he used to repay principal unless I designate it as an Cancellation Rates - For each completed year of service under paragraphs A, advance payment of the next regular Installment. B. C, D and E a portion of this loan will be canceled at the following rates: MINIMUM MONTHLY PAYMENT - I will make a minimum monthly . 15% of the original principal loan amount for each of the first and second repayment of $40 (or $30 if I have outstanding Federal Perkins loans made years; • 20% of the original principal loan amount for each of the third year before October 1, 1992 that included the $30 minimum payment option) if and fourth years; and • 30% of the original principal loan amount for the fifth required by the school. If the total monthly repayment rate on this loan and year , any outstanding Federal Perkins loans I may have Is less than the minimum F. Head Start Cancellation - Upon making a properly documented written monthly repayment rate established by the school, the school may still require a minimum monthly repayment rate. A minimum monthly repayment request l the school, I am entitled to have up a 10 p performed the d original er amount will combine my obligation on this and all my outstanding Federal Principal loan amount canceled For qualifying service performed after I receive Perkins loans, including those made at other schools. The portion of the the loan as: • a full -time staff member in the educational component of a minimum, monthly payment that will be applied to this loan will be the Head Start program which is operated for a period comparable to a full school difference between the minimum monthly payment and the total amounts year and which pays a salary comparable to an employee of the local educa- owed at a monthly rate on my other Federal Perkins loans. If each school tional agency. holding my outstanding Federal Perkins loans exercises the minimum monthly Cancellation Rate - For each completed year of service under the Head Start payment option, the minimum monthly repayment will be divided among the Cancellation provision, this loan will be canceled at the rate of 15% of the schools In proportion to the amount of principal advanced by each school. original principal loan amount. FORBEARANCE - Upon making a properly documented written request to G. Military Cancellation - Upon making a properly documented written the school. I am entitled to forbearance of principal and interest or principal request to the school, I am entitled to have up to 50 of the principal amount only, renewable at intervals up to 12 months for periods that collectively do of this loan canceled for qualifying service performed after I receive the loan not exceed three years, under the following conditions: If my monthly Title IV as: • a member of the Armed Forces of the United States in an area of loan debt burden equals or exceeds 20% of my total monthly gross income; if hostilities that qualifies for special pay under section 310 of Title 37 of the the Secretary authorizes a period of forbearance due to a national military United States Code. mobilization or other national emergency; or if the school determines that I Cancellation Rate - For each completed year of service under the Military qualify due to poor health or for other reasons, including service in Cancellation provision, this loan will be canceled at the rate of 12 1/2% of the Ameri Corps. Interest accrues during arty period of forbearance. original principal loan amount. DEFERMENTS - Upon making a properly documented written request to H. Volunteer Service Cancellation - Upon making a properly documented the school, I may defer making scheduled Installment payments and will not written request to the school, I am entitled to have up to 70% of the original be liable for any interest that might otherwise accrue 1) during any period that principal loan amount of this loan canceled for qualifying service performed I am: enrolled and attending as a reg student in at least a half-ti course, after- freceived- the-4ean as. • &-volunteer- under- the- PeaceCorps Act. •-a— -- of - study at an eeUgtble school; enrolled and attending as a regular student a volunteer under the Domestic Volunteer Service Act of 1973 (ACTION graduate fellowship program approved by the Secretary; engaged in graduate programs). or post - graduate fellowship- supported study outside the US; enrolled and d Cancellation Rate - For each completed year is service under the Volunteer attending a rehabilitation training program for disabled individuals approve by the Secretary; engaged in public service that qualifies me to have part or all Service Cancellation provision, a portion of this loan will be canceled at the of my loan canceled; 2) for period not to exceed three years during which I following rates: am seeking but unable to find full -time employment, 3) for a period not to • IS% of the original principal loan amount for each of the first and second exceed three years during which I am experiencing an economic hardship as 12 -month periods of service; and • 20% of the original principal loan amount determined by the school. I am not eligible for a deferment while serving in a for each of the third and fourth 12 -month periods of service. medical intemship or residency program. I may continue to defer making I. Death and Disability Cancellation - In the event of my death, the school scheduled installment payments and will not be liable for any interest that will cancel the total amount owed on this loan. If I become permanently and might otherwise accrue for a six -month period immediately following the totally disabled after I receive this loan, the school will cancel the total amount expiration of any deferment period described in this paragraph. owed on thts loan. VERIFICATION I, SALLY HECKENDORN, Bursar of Dickinson College, acknowledge that I have the authority to execute this Verification on behalf of Dickinson College and certify that the foregoing Complaint is based upon information which has been gathered by my counsel in the preparation of this lawsuit. The language of this Complaint is that of counsel and not my own. I have read the document and to the extent that this Complaint is based upon information which I have given to my counsel, it is true and correct and to the best of my knowledge, information and belief. To the extent that the content of this Complaint is that of counsel, I have relied upon counsel in making this Verification. This statement and Verification are made subject to the penalties of 18 Pa. C.S. § 4904 relating to unsworn falsification to authorities, which provides that if I knowingly make false averments, I may be subject to criminal penalties. Dickinson College Sally Hecken orn Bursar Dated: F:\FILES \Clients \7619 Dickinson College \7619.Collec [ions \7619C.Curent \7619C.418 Hernandez \7619C.418.com