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Home My WebLink About05-4556 IN THE COURT OF COMMON PLEAS CUMBERLAND COUNTY, PENNSYLVANIA MARK HENDERSON, 180 Stoney Point Avenue Shippensburg, PA 17257 Plaintiff vs. NO. [)W;;-- l.fSS"(" MOMENTUM,INC. 2120 Market Street, Suite 100 Camp Hill, PA 17011 CIVIL ACTION - LAW LORI DANIELS 32 Greenmont Drive Enola, PA 17025 JURY TRIAL DEMANDED KAREN 1. SARABOK 133 Brindle Road Mechanicsburg, PA 17055 and STEPHEN H. CLAY, 11 Saratoga Place Camp Hill, PA 17011 Defendants NOTICE You have been sued in court. If you wish to defend against the claims set forth in the following pages, you must take action within twenty (20) days after this complaint and notice are served, by entering a written appearance personally or by attorney and filing in writing with the court your defenses or objections to the claims set forth against you. You are warned that if you fail to do so the case may proceed without you and a judgment may be entered against you by the court without further notice for any money claimed in the complaint or for any other claim or relief requested by the plaintiff. You may lose money or property or other rights important to you. 95296 YOU SHOULD TAKE THIS PAPER TO YOUR LAWYER AT ONCE. IF YOU DO NOT HAVE A LAWYER, GO TO OR TELEPHONE THE OFFICE SET FORTH BELOW. THIS OFFICE CAN PROVIDE YOU WITH INFORMATION ABOUT HIRING A LAWYER. IF YOU CANNOT AFFORD TO HIRE A LAWYER, THIS OFFICE MAY BE ABLE TO PROVIDE YOU WITH INFORMATION ABOUT AGENCIES THAT MAY OFFER LEGAL SERVICES TO ELIGIBLE PERSONS AT A REDUCED FEE OR NO FEE. Lawyers Reference Service Cumberland County Bar Association 2 Liberty Ave. Carlisle, PA 17013 (717) 249-3166 AVISO USTED HA SIDO DEMANDADO/ A EN CORTE. Si usted desea defenderse de las demandas que se presentan mas adelante en las siguientes paginas, debe tomar acci6n dentro de los pr6ximos veinte (20) dias despues de la notificaci6n de esta Demanda y A visa radicando personalmente 0 por medio de un abogado una comparecencia escrita y radicando en la Corte por escrito sus defensas de, y objecciones a, las demandas presentadas aqui en contra suya. Se Ie advierte de que si usted falla de tomar acci6n como se describe anteriormente, el caso puede proceder sin usted y un fallo por cualquier suma de dinero reclamada en la demanda 0 cualquier otra reclamaci6n 0 remedio solicitado por el demandante puede ser dictado en contra suya por la Corte sin mas aviso adicional. Usted puede perder dinero 0 propiedad u atros derechos importantes para usted. USTED DEBE LLEVAR ESTE DOCUMENTO A SU ABOGADO INMEDIATAMENTE. SI USTED NO TIENE UN ABOGADO, LLAME 0 V A Y A A LA SIGUIENTE OFICINA. EST A OFICINA PUEDE PROVEERLE INFORMACION A CERCA DE COMO CONSEGUIR UN ABOGADO. SI USTED NO PUEDE P AGAR POR LOS SERVICIOS DE UN ABOGADO, ES POSIBLE QUE ESTA OFICINA LE PUEDA PROVEER INFORMACION SOBRE AGENCIAS QUE OFREZCAN SERVICIOS LEGALES SIN CARGO 0 BAJO COSTO A PERSONAS QUE CUALIFICAN. Lawyers Reference Service Cumberland County Bar Association 2 Liberty Ave. Carlisle, PA 17013 (717) 249-3166 95296 IN THE COURT OF COMMON PLEAS CUMBERLAND COUNTY, PENNSYLVANIA MARK HENDERSON, 180 Stoney Point Avenue Shippensburg, P A 17257 Plaintiff vs. NO. oS. I.fS!:'-1..- &vJ 7.e.- MOMENTUM,INC. 2120 Market Street, Suite 100 Camp Hill, P A 17011 CIVIL ACTION - LAW LORI DANIELS 32 Greenmont Drive Enola, P A 17025 JURY TRIAL DEMANDED KAREN L. SARABOK 133 Brindle Road Mechanicsburg, P A 17055 and STEPHEN H. CLAY, 11 Saratoga Place Camp Hill, P A 17011 Defendants COMPLAINT AND, NOW, comes the Plaintiff, by and through counsel, and files the within Complaint in which the following is a statement: 95296 1. The Plaintiff herein, Mark Henderson, is an adult individual who resides at 180 Stoney Point Avenue, Shippensburg, Pennsylvania 17257. 2. Defendant, Momentum, Inc. (hereinafter "Momentum"), is believed to be a Pennsylvania corporation engaged in the business of strategic planning and project management services, with its principal place of business located at 2120 Market Street, Suite 100, Camp Hill, Pennsylvania 17011. 3. Defendant, Lori Daniels (hereinafter "Daniels"), is an adult individual who resides at 32 Greenmont Drive, Enola, Pennsylvania 17025 and, at all relevant times, was a principal of Momentum. 4. Defendant, Karen L. Sarabok (hereinafter "Sarabok"), is an adult individual who resides at 133 Brindle Road, Mechanicsburg, Pennsylvania 17055 and, at all relevant times, was a principal of Momentum. 5. Defendant, Stephen H. Clay (hereinafter "Clay"), is an adult individual who resides at 11 Saratoga Place, Camp Hill, Pennsylvania 17011 and, at all relevant times, was a principal of Momentum. 6. The Plaintiff was hired by Momentum on June 10, 2002 as Director of New Business Development. 7. The Plaintiff's responsibility as Director of New Business Development was to generate sales of products and services to new and existing customers in a 100 mile radius of the Momentum corporate office located in Camp Hill, Pennsylvania. 8. On June 10, 2002, Daniels provided Plaintiff with a summary of Plaintiff's sales responsibilities and how and when he earned wages. A copy of this document is 95296 2 attached as Exhibit" A" and incorporated herein by reference as though set forth at length. 9. Plaintiff's annual salary was set at $60,000.00. 10. As set forth in Exhibit" A," Plaintiff's sales goalj quota was established as $600,000.00 of sales per each six month period. See Exhibit" A." 11. Plaintiff earned a commission of 2% on sales dollars up to and including 99% of his sales goal/ quota of $600,000.00 and 6% on sales dollars for 100% and above his sales goal/ quota of $600,000.00. See Exhibit" A" 12. In addition, Plaintiff was entitled to a Quota Achievement bonus of $5,000.00 if he met his goalj quota of $600,000.00 of sales within the first six months. See Exhibit" A" 13. For purposes of bonus calculations, Momentum determined sales dollars generated by Plaintiff as follows: each dollar ($1.00) of sales from "booked orders" by the Commonwealth of Pennsylvania equaled one dollar ($1.00) of sales and each dollar ($1.00) of sales on "booked orders" from sources other than the Commonwealth of Pennsylvania equaled one dollar and twenty-five cents ($1.25) of sales. See Exhibit" A" 14. Plaintiff was also provided with a nonrecoverable draw of $2,000.00 per month to be applied against commissions for the first three (3) months of his employment and a recoverable draw of $2,000.00 per month for the second three (3) months of his employment. See Exhibit" A." 95296 3 15. Plaintiff earned commissions whenever orders were booked, but payment of commissions was deferred until payments were received by Momentum from the client. See Exhibit" A." 16. Orders were deemed "booked" at the time a contract was signed or purchase order was received by Momentum. 17. On October 2, 2002, Daniels provided Plaintiff with a letter, restating how and when wages were earned, but revising how new account bonuses were earned and when the new account bonuses were to be paid. A copy of the letter is attached as Exhibit "B" and incorporated herein by reference as though set forth at length. 18. During the fist three (3) months of his employment, Plaintiff received a $2,000.00 nonrecoverable draw on July 1, 2002, a $2,000.00 nonrecoverable draw on August 1, 2002 and a $2,000.00 nonrecoverable draw on September 1, 2002. 19. During the second three (3) months of his employment, Plaintiff received a recoverable draw of $4,000.00 on November 1, 2002 and recoverable draw of $2,000.00 on December 1, 2002. 20. During the first six months of his employment, the Plaintiff's booked sales were $674,270.00. 21. Of this total, sales totaling $9,000.00 were to private, non-governmental business entities; thus, the sales dollars for purposes of calculating Plaintiff's earned commissions were $676,520.00. 95296 4 22. According to the terms of his employment, Plaintiff earned a six percent (6 % ) commission on the sales that he generated in the first six months of his employment since Plaintiff's sales exceeded 100% of his sales goal! quota. 23. it is Plaintiff's best information and belief that Momentum received payment from the clients on these sales and, therefore, Plaintiff is due commission on said sales. 24. According to his employment terms, Plaintiff also earned a Quota Achievement bonus of $5,000.00 if he met his sales quota/ goal within the initial six month period of employment. 25. Since Plaintiff met his sales goal! quota within the first six months of his employment, he earned a $5,000.00 bonus. 26. Defendants failed to pay Plaintiff either his first six-month sales commission or the $5,000.00 bonus. 27. During the second six month period of his employment, Plaintiff booked $133,200.00 worth of new business. 28. According to the terms of his employment, Plaintiff earned a 2% commission on sales dollars up to 99% of his sales quota. See Exhibits" A" and "B." 29. Thus, Plaintiff earned a two percent (2 % ) commission on booked sales during his second six months of employment. 30. it is Plaintiff's best information and belief that Momentum received payment from the clients on these sales booked in the second six (6) month period and, therefore, Plaintiff is due commission on said sales. 95296 5 31. it is Plaintiff's best information and belief that the commissions due to Plaintiff exceed the amount of the recoverable draws paid to Plaintiff by Momentum. 32. Defendants terminated Plaintiff's employment effective March 14, 2003 via a letter written by Daniels. A copy of the letter is attached as Exhibit "C" and incorporated herein by reference as though set forth at length. 33. it is Plaintiff's best information and belief that Defendants Daniels, Sarabok and Clay did not expect Plaintiff to meet his sales quota, but when he did, they did not want to pay Plaintiff the commissions and bonuses that Plaintiff earned. 34. it is Plaintiff's best information and belief that in an attempt to avoid paying Plaintiff his earned commissions and bonuses, Defendants Daniels, Sarabok and Clay decided to terminate Plaintiff's employment from Momentum. 35. During his employment, Plaintiff earned but did not use 25 hours of vacation by the time of his termination on March 14, 2003. 36. The 25 hours of accrued, unused vacation time was reflected on Plaintiff's last paycheck stub, a copy of which is attached as Exhibit "D" and incorporated herein by reference as though set forth at length. 37. According to the Employee Handbook of Momentum, Inc., upon termination of employment, Defendant Momentum, Inc. pays employees for "unused and accrued PTO" at their "regular base compensation rate." A copy of the relevant section of the Employee Handbook is attached as Exhibit "E" and incorporated herein by reference as though set forth at length. 95296 6 38. Based upon Plaintiff's annual base salary of $60,000.00, Plaintiff had a base hourly compensation rate of $28.85. 39. Therefore, Plaintiff is due the sum of $721.25 for the 25 hours which he had accrued in vacation time. 40. On or about May 27, 2003 and January 24, 2005, Plaintiff, through counsel, made demand on Defendants for payment of wages due and owing to Plaintiff. Copies of these letters are attached collectively as Exhibit "F" and incorporated herein by reference as though set forth at length. 41. To date, Defendants have failed to pay any of the above-referenced earned wages to Plaintiff. COUNT I Mark Henderson v. Momentum, Inc. (Breach of Contract) 42. Paragraphs 1 through 41 above are incorporated herein by reference as though set forth at length. 43. On or about June 10, 2002, Plaintiff and Momentum entered into a contract whereby Momentum employed Plaintiff as Director of New Business Development in exchange for a compensation package as reflected in Exhibit" A." 44. On or about October 2, 2002, the contract between Plaintiff and Momentum was amended with respect to new account bonuses earned by and paid to Plaintiff; all other terms of the contract between Plaintiff and Momentum remained the same. 95296 7 45. Pursuant to the contract between Plaintiff and Momentum, Momentum was obligated to pay Plaintiff commissions on booked sales, as payments were made by clients. See Exhibits" A" and "B". 46. During his employment, Plaintiff booked sales totaling $820,970.00 in revenue dollars. 47. To date, Momentum has failed to pay Plaintiff any commissions that he earned from sales which Plaintiff booked. 48. Momentum's failure to pay Plaintiff commissions on his sales constitutes a breach of the contract between Plaintiff and Momentum. 49. Plaintiff has been harmed and continues to be harmed by Momentum's failure to pay the commissions due and owing to Plaintiff. WHEREFORE, the Plaintiff respectfully requests this Honorable Court to enter judgment in his favor and against the Defendants for unpaid wages in excess of $35,000.00, and award Plaintiff attorney's fees, costs, penalty damages, interest and any other relief that this Court deems to be appropriate. COUNT II Mark Henderson v. Momentum, Inc., Lori Daniels, Karen 1. Sarabok and Stephen H. Clay (Violation of Wage Payment and Collection Law, 43 P.S. S 260.1, et seq.) 50. Paragraphs 1 through 49 above are incorporated herein by reference as though set forth at length. 95296 8 51. As set forth above, Plaintiff earned and is due commission wages on the sales that he booked, which sales, in accordance with the bonus calculation formula set forth in Exhibits" A" and "B," totaled $809,720.00. 52. Plaintiff is further due money for the twenty-five hours of vacation that he earned. 53. Defendants have failed to pay Plaintiff either the commission or the vacation wages. 54. It is Plaintiff's best information and belief that Defendants Daniels, Sarabok and Clay decided to terminate Plaintiff's employment in an attempt to avoid payment of the commission wages. 55. Plaintiff has made written demand of Defendants for payment of the earned wages due and owing to him. 56. To date, Defendants have failed to pay Plaintiff any of the earned wages due to him. 57. Defendants' continued failure to pay Plaintiff the wages earned and due to him constitutes a violation of the Wage Payment and Collection Law. WHEREFORE, the Plaintiff respectfully requests this Honorable Court to enter judgment in his favor and against the Defendants for unpaid wages in excess of $35,000.00, and award Plaintiff attorney's fees, costs, penalty damages, interest and any other relief that this Court deems to be appropriate. 95296 9 Respectfully submitted, LATSHA DAVIS YOHE & McKENNA, P.c. /1~~A ti.~ ItUY Angela L. Thomas Supreme Court ID No. 67810 P. O. Box 825 Harrisburg, P A 17108-0825 (717) 761-1880 Attorneys for Plaintiff 95296 10 VERIFICATION 1, Mark Henderson, Plaintiff herein, hereby verify that the statements made in the foregoing Complaint are true and correct to the best of my knowledge, information and belief. I understand that false statements made herein are subject to the penalties of 18 Pa. e.S. S 4904 relating to unsworn verification to authorities. Mark Henderson Date: O~~5 / 9529(, ~ \ ,I,;i /: 'P \,\J t 66/V/tAJ02- Territorv: Sales of products and services to new and existing customers (also includes project extensions of these same accounts.) in the fo\1owing counties within a 100 mile radius of the Momentum Corporate Office, or as previously approved: Dauphin Perry Cumberland York Lancaster Schuylkill Adams Northumberland Goal/Quota: $600,000 (six months) Salary: $60,000 annual Commission: 2% of revenue up to 99"10 of Quota 6% of revenue for 100% and above of Quota (retroactive) In an effort to reward the penetration of markets outside of the Commonwealth ofPA, Momentum wi\1 recognize sales do\1ars in two distinct manners: For those sales do\1ars generated from the Commonwealth ofP A, each $1.00 sold will be recognized as $1.00 of revenue for the purpose of commission calculation. For those sales do\1ars generated from sources other than the Commonwealth of PA, each $1.00 sold will be recognized as $1.25 of revenue for the purpose of commission calculation. Notes: Commissions are based on "booked orders" (contract signed andlor PO received_ for services sold to End-Users, Systems Integrators, and ConsultantS. Commissions are paid upon receipt of payment from client. Draw: Non-recoverable draw of $2000.00 per month applied against commissions earned, for the first three months. Recoverable draw of $2000.00 per month applied against commissions earned, for the second three month period. / ) Bonuses: Quota Achievement (six month period) $5000.00 10 new commercial accounts booked within the first (6) months, each with a value ofa minimum of$10K each ________________$5000.00 F or each new commercial account booked thereafter within the first six months with a minimum value of$10K ----------------------------$ 500.00 Auto Expense: .33 per mile for reasonable sales expenses up to $500 per month. I_'{ I) / '-(kill! t MOMENTUM 2142 Marl<etStreet Suite Al 02 Camp Hill. Pennsylvania 17011 {7171 214-8000 FAX (7171 214-8004 Business and Technology Solutions o er Mark Henderson 180 Stoney Point Avenue Shippensburg, PA 17257 Dear Marl<, Per our discussion on October 02, 2002, we have revised your bonus plan to provide additional incentives in the area of new account penetration. Following is a new compensation/quota target plan with the revisions indicated. GoaUQuota: $600,000 (six months) Salary: $60,000 annual Commission: 2% of revenue up to 99% of Quota 6% of revenue for 100% and above of Quota (re1roactive) In an effort to reward the penetration of markets outside 01 the Commonwealth of PA, Momentum will recognize sales dollars in two distinct manners: For those sales dolialS generated ~om the Commonweaith of PA, each $1.00 sold wiil be recognized as $1,00 of revenue for the purpose of commission calculation. For those saies doHars generated from sources other than the Commonwealth of PA, each $1.00 sold wiH be recognized as $1.25 of revenue for the purpose af commission calculation. Notes: Commissions are based on "booked orders" (contract signed and/or PO received_ for services sold to End~ Users, Systems Integrators, and Consultants. Commissions are paid upon receipt of payment from client. Draw: Non-recoverable draw of $2000.00 per month applied against commissions earned, for the filSt three months. Recovera~e draw of $2000.00 per month applied against commissions earned, for the second It1ree month penod. Bonuses: Quota Achievement (six month period) $5000.00 New Account Panebation: \ B.'..?r e.'E~~l_l_ new accountsianeJ b.ebtLe.~(l,1,Q;02!20q2 ,~WSL1!12!20."!O?__..' ,wittl a rrinil~!um S8!S_.V6iU8 of S1Q.QQQJ.9[ MoIT''?::!u::' re'.p:,:!:U!? :3 ~.~OCQ bC:,;"::: ',,';1; be.Jl.~J9 ~f;2n.r;&l\g~..t0LQf..r,i;y,snL:n I2I-::3;or :'-,~; .;;:h:.il 310:"/:':5. ..Jil;:' 0ef:nltiOl'i of nEW aC';Ol.mt"rnean~.E.nvthinQ other tlla.n G_ornrnGnwr~3!FI q! PP. i,State CO.l.) a';c_oWHS. , Auto Expense: .33 per mile for reasonable sales expenses up to $500 per month. ~--,--~------"".~..._.~._"'''.._--,.'"---''- Lori Daniels, Principal Momentum, Inc. {(2j !!l----' Deleted: 10 new oommerdal accounts lxiG!u:;tjwiLhirllhelirsti6jlronlhs,tiachwiiila . va\ueofaminimumof$lOKeach- $SOOO.llO'j For each new commeroial account booked l \hereafter within the first six months wllh a , mlnimllmvalueof$lOK--- :..~~:!L_" -.. ~.~._.~...~-.~., : ~~~~":JL. _._."-~---- Regards, www.m-inc.co ~ \' \ ,,~ G 1-~,' '()' 2142 Market Street. Suite AI 02 Camp Hill, Pennsylvania 17011 {717} 214-8000 FAX {7171 214-8004 MOMENTUM Business and Technology Solutions March 14, 2003 Mark Henderson 180 Stoney Point Avenue Shippensburg, PA 17257 Dear Mark: On June 10, 2002 you joined Momentum in the position of Director of New Business Development tasked with leading the pursuit of new market penetration and sales opportunity generation and closure. Over the last nine months, the execution ofthese responsibilities has been a challenge that has not been met with quantifiable success. Therefore,upon careful consideration, we have decided to modify the execution of our sales model to include addition of a sales support resource focused on prospecting with subsequent sales closure activities being completed by Momentum principals. This will result in the elimination of the position you currently hold, Director of New Business Development. This change will take place immediately, Thank you for your efforts to date. We anticipate a smooth transition and wish you success in future endeavors. Sincerely, j{)?!. ,.(1IUth- Lori Daniels Principal www.m-inc.co D \_' -\ ~}~,Y)' o w 8 N o o w , o ~ ~ N o o w 9 ~ o o - o o '0 o ~. v. '" -0 C.> .... '"::i(J~t:~ _ '" _.... 0 -::!.g (1 N:3 ~;I:)>:;::g +:>.::-e::a &.:- S ~ p' O'"t:l a_ 8> ~~ o ~ ,/ . .,,:::i x= <f!! ~ 0 o;o;-c: o o~ .. .' n 000. 00 --)> ~~< og~ o g- o '" o '" .L. 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Z " ~ N o o w I-" Ul W N ",' ,~ / ~,~\ vi- I ~ M Momentum, Inc, Employee Handbook MOMENTUM , Separation of Employment , Termination of Your Employment Momentum, Inc. will consider you to have voluntarily terminated your employment if you do any of the following: ~ Resign from Momentum, Inc. ~ Fail to return from an approved leave of absence on the date specified by Momentum, Inc. ~ Fail to report to work or call in for three or more consecutive work days. ~ You may be terminated for poor performance, misconduct, excessive absences, tardiness, discrimination, harassment or other violations of Momentum, Inc. policies. However, your employment is at-will, and you and Momentum, Inc. have the right to terminate your employment for any or no reason. Momentum, Inc. operates under the principle of at-will employment (refer to the At-Will Emplovment section). Momentum, Inc. hopes and expects that you will give at least two weeks notice in the event of your resignation. Any amount of advanced PTO paid but not yet accrued at the time of termination of employment will be deducted from your final paycheck, ) If you have unused and accrued PTO hours upon the termination of your employment, you will generally be paid for that time at your regular base compensation rate. In the event you resign your employment, you must give at least two weeks notice to be compensated for any unused and accrued PTO. Any accrued but unused Paid Time Off will be paid out in the regular pay cycle followingM employment termination. "II Exit Interviews In a termination situation, Momentum, Inc. management would like to conduct an exit interview to discuss your reasons for leaving and any other impressions that you may have about Momentum, Inc, During the exit interview, you can provide insights into areas for improvement that Momentum, Inc. can make, Every attempt will be made to keep all information confidential. Return of Company Property Any Momentum, Inc. property issued to you, such as product samples, computer equipment, keys, PDA, cell phone, or company credit card must be returned to Page 42 October 2002 -1 f t ~~\. ~I LAW OFFICES HENRY....CORCELlUS 200 PENN STREET P. O. BOX 383 HUNTINGDON, PA 16652 TELEPHONE 814.643.2460 FAX 814-643-3229 SCOT D. GILL PETER M. McMANAMON C. JEWETT HENRY (1907-1979) A. LYNN CORCEUUS (1917-2002) EMA1L scotgill@penn.com pmcmanamon@penn.com 27 May 2003 Lori Daniels Momentum, Inc. 2142 Market Street Suite A102 Camp Hill, PA 17011 Re: Mark Henderson Dear Ms. Daniels: This office has been contacted by Mark Henderson regarding a claim for unpaid commission and bonuses which he earned while employed by Momentum, Inc. According to your agreement with Mr. Henderson, he would receive a commission of 2% of revenue up to 99% of quota (his quota was set at $600,000.00 of sales for a 6 month period). The commission climbed to 6% of revenue if he realized 100% of his quota, and then the 6% would be retroactive to all revenue he generated during his 6 month period. It is my understanding that Mr. Henderson generated $674,270,00 of revenue during his first 6 months of employment. His commission on those earnings at 6% would amount to $40,456,20. Also, in accordance with your proposal to him, he would have been entitled to a bonus for that 6 month period of $5,000.00. In the second 6 month period of Mr. Henderson's employment, he obtained $133,200.00 of revenue, Mr. Henderson was let go before he completed his second 6 month period and therefore did not meet his quota. Nevertheless, he would be entitled to a 2% commission on the $133,200.00 of revenue that he earned in the second six month period. Accordingly, he is due $2,664.00, Mr. Henderson has advised me and he recognizes that during his first 6 months of employment a certain portion of his income was recoverable, During the first 3 months HENRY, CORCElIUS, GATES, GILL & Doy, LLC Lori Daniels Momentum, Inc. 27 May 2003 Page 2 he had a non-recoverable draw of $2,000,00, but during the next 3 months there was a recoverable draw of $2,000,00 which was applied against commissions earned. Accordingly, Momentum, Inc. is due a credit of $6,000.00 for the second 3 months during the initial 6 month period, If the $6,000.00 credit is applied to the total amount of commission and bonuses due to Mr. Henderson, the total net amount due to Mr. Henderson is $42,120.20. I have enclosed a sales history of Mr. Henderson for your review. According to your letter of October 2, 2002, the commissions were based on book orders and commissions were paid when payment was received from the client. It is my understanding from Mr. Henderson that all of the sales included on the sales history were in fact booked orders and that Momentum, Inc. had begun receiving payment from each of these sales prior to the time that Mr. Henderson was laid off. This letter is a demand for payment of the sum of $42,120,20 immediately. Please make arrangements to have this amount paid at once to Mr. Henderson. If we have not received a response from you within the next ten (10) days, we will have no recourse but to commence a legal action against Momentum, Inc. Your prompt attention to this request is greatly appreciated, Very truly yours, HENRY -CORCELlUS Peter M, McManamon PMMlg Enclosure cc: Mark Henderson -- / LATSHA DAVIS YOHE & MCKENNA, PC. ATTORNEYS AT LAW PLEASE REPLY TO, Harrisburg WRITER'S E. MAIL, athomas@ldvlaw.com January 24, 2005 Via Facsimile (717-763-8293) and Re~lar Mail Craig A. Diehl, Esq, Law Offices of Craig A. Diehl 3464 Trindle Road Camp Hill, P A 17011 Re: Mark Henderson v. Mornentum, Inc. Our File No,: 794-04 Dear Mr. Diehl: Please be advised that this office represents Mark Henderson with respect to his Wage Payment and Collection Law claims against Momentum, Inc. and its principals, Lori Daniels, Karen Sarabok and Steven Clay. It has recently come to our attention that you previously corresponded with his prior attorney, Peter M, McManamon, regarding this matter. Accordingly, we are providing you with a copy of the Complaint that we have drafted on Mr. Henderson's behalf. We intend to file the Complaint in the Cumberland County Court of Common Pleas unless we are able to amicably resolve this rnatter. lf this matter is not resolved by February 10, 2005, we will file the enclosed Complaint. Please advise if you have authority to accept service on behalf of your client. Thank you for your time and attention to this rnatter. Sinserely, cf'!.Pi 1/-AJ.n . [, .' " '. "'~ { lC'rl ? CG~ l' C' iA./ ., 0 .L . / . Angela L. Thomas ALT/dg Enclosure cc: Mark Henderson (w /0 enc,) 95789 Post Office Box 825 . Harrisburg, PA 17108-0825 4720,gid Getty,bmg Road, Suite 101 . Mechanicsbmg, PA 17055 . (7i 7) 761-1880 . FAX (717) 761.2286 7 Great VaHey Parkway, Suite 221 . Malvem, PA 19355 . (610) 251.6985' FAX (610) 407.9265 3000AttiumWay,Suite251 . Mr.Lamel,NJ 08054 . (856)231.5351 . FAX (856) 231.5341 Maryland Telephone. (410) 727.2810 '70 0 -<:or ~ i" Y\ .:p::. '"-. d ~ 0') )j VI --- --l: ~ 0 .....c: .. , 0y ......." :' -i _:'~ ~~ i'I -.,.., I r--.) - ,., ~ f' " r-, ..~ Co IN THE COURT OF COMMON PLEAS CUMBERLAND COUNTY, PENNSYL VANIA CIVIL DIVISION - LAW MARK HENDERSON, Plaintiff vs. No. 2005-4556 MOMENTUM, INC., LORI DANIELS, KAREN 1. SARABOK, and STEPHEN H. CLAY, Defendants ACCEPTANCE OF SERVICE I accept service of the COMPLAINT on behalf of MOMENTUM, INe. and certify that I am authorized to do so. Date: "/1/05" I I ~{JrLltf ~ (Defend t or AuthorIzed Agent) HH J;/N,Jlt ~'IJJ Ct14!J. J./L1( PI-. /1olf (Mailing JI;. dress) 101091 () ....., = 0 c = ." ~ en -olij </> ~::n (!1rri fTl .z:~.\) -0 -om Z'C ':Q:;., (J1 :uy ~:c. 80 )>. -0 :r: =n -;>-1., J ::J: ;~ ~n Pc w ~ -, N ~ W -< IN THE COURT OF COMMON PLEAS CUMBERLAND COUNTY, PENNSYLVANIA CIVIL DIVISION - LAW MARK HENDERSON, Plaintiff vs. No. 2005-4556 MOMENTUM, INC., LORI DANIELS, KAREN 1. SARABOK, and STEPHEN H. CLAY, Defendants ACCEPTANCE OF SERVICE I accept service of the COMPLAINT on behalf of LORI DANIELS and certify that I am authorized to do so, Date: 'f /1 lof f , ~{),.rr:a (Defenda or Authorized Agent) j ~H r;,,,,J /1. /2uJ Po.. 11 Nt C~2 1-/,1/ (Mailing A dress) 101091 Q C- =<::. -o\:f; ....r1r,.-1 '..:;,.,., ,t:-< 2'; (jl}:::, ~,F:;_-c ~\.. -'T':" C"-~ ~~(" S;(~ 7~~ 2 ~ ~ en rn -0 - Q, ~:n tn -0% -u o.~-'f; _ -n , ~ 5~ -\ ?P ;;.;: ()1 ...., ::J' <.? N (,,0) IN THE COURT OF COMMON PLEAS CUMBERLAND COUNTY, PENNSYLVANIA CIVIL DIVISION - LAW MARK HENDERSON, Plaintiff vs. No. 2005-4556 MOMENTUM, INC., LORI DANIELS, KAREN 1. SARABOK, and STEPHEN H. CLAY, Defendants ACCEPTANCE OF SERVICE I accept service of the COMPLAINT on behalf of KAREN L. SARABOK and certify that I am authorized to do so. Date: q (q (0; ~(t ITil ~ (Defend t or Authorized Ag t) :I11'tf T;,.Jl It f2I4J . Cat I-ktf PtJ. I7D I( (Mailing ddress) 101091 ~- ~- -0(0 cyq. &s~ -<.::.....; .;::c zG ~t? yc. -,r ::;\ -' ~ '5> ~ '""0 - (}'I q. ~ I"'~ ~Q. o,b """" :r::g go tsft' _\ ~ --0 ';fI:. o f'o> ~ IN THE COURT OF COMMON PLEAS CUMBERLAND COUNTY, PENNSYLVANIA CIVIL DIVISION - LAW MARK HENDERSON, Plaintiff vs. No. 2005-4556 MOMENTUM, INC., LORI DANIELS, KAREN 1. SARABOK, and STEPHEN H. CLAY, Defendants ACCEPTANCE OF SERVICE I accept service of the COMPLAINT on behalf of STEPHEN H, CLAY and certify that I am authorized to do so, Date:---.9 fq 105 , , j If' 9 y;,'yj I" (Jill C&1 I-kd a 110f/ (Mailing ddress) 101091 o ~ <c. -oG'! n-ll!,' 2:t~ OJ. J."' =$~;: ,<:C ~,. 71.....:.: ~~l. :PC ~ ,.., g """ ~ ~ - (J1 -0 ~ ':? IX> (.0.) ~ ..... ffl::!J hi :gO S":ib -r.=H ?")- --(') arT' =4 ~ IN THE COURT OF COMMON PLEAS CUMBERLAND COUNTY, PENNSYL VANIA MARK HENDERSON, Plaintiff NO. 2005-4556 CIVIL TERM vs. CIVIL ACTION - LAW MOMENTUM, INC., LORI DANIELS, KAREN L. SARABOK, and STEPHEN H. CLAY, JURY TRIAL DEMANDED Defendants DEFENDANTS' PRELIMINARY OBJECTION TO PLAINTIFF'S COMPLAINT AND NOW COME Defendants, Momemtum, Inc" Lori Daniels, Karen L. Sarabok, and Stephen H. Clay, by and through their counsel, Law Offices of Craig A. Diehl, preliminarily objecting to the Complaint as follows: 1. AGREEMENT FOR AL TERNA TIVE DISPUTE RESOLUTION I. At the commencement of employment with Momentum, Inc., Plaintiff executed an Acknowledgment of Receipt of Momentum, Inc,'s Employee Handbook, (See Exhibit A attached hereto for an accurate copy of said document.) 2. Contained on page 22 of the Employee Handbook was an Arbitration Policy, 3. The Arbitration Policy sets forth the following: If an employment dispute arises while you are employed at Momentum, Inc" the company requires that you agree to submit any such dispute arising out of your employment or the termination of your employment (including, but not limited to, claims of unlawful termination based on race, sex, age, national origin, disability, breach of contract or any other bias prohibited by law) exclusively to binding I arbitration under the Federal Arbitration Act, 9 Us.e., Section 1. Similarly, any disputes arising during your employment involving claims of unlawful discrimination or harassment under federal or state statutes shall be submitted exclusively to binding arbitration under the above provisions. WHEREFORE, Defendants, Momentum, Inc., Lori Daniels, Karen L. Sarabok, and Stephen H. Clay, respectfully request dismissal of Plaintiffs Complaint. LAW OFFICES OF CRAIG A. DIEHL By: S~(}rr~ Craig A. iehl, Esquire, CPA Attorney 10 No, 52801 3464 Trindle Road Camp Hill, PA 17011-4436 (717) 763-7613 Counsel for Defendants 2 IN THE COURT OF COMMON PLEAS CUMBERLAND COUNTY, PENNSYLVANIA MARK HENDERSON, Plaintiff NO. 2005-4556 CIVIL TERM vs. CIVIL ACTION - LAW MOMENTUM, INC., LORI DANIELS, KAREN L. SARABOK, and STEPHEN H. CLAY, JURY TRIAL DEMANDED Defendants CERTIFICATE OF SERVICE AND NOW, this ~ day of October, 2005, the undersigned hereby certifies that a true and correct copy of the foregoing DEFENDANTS' PRELIMINARY OBJECTION TO PLAINTIFF'S COMPLAINT was served upon the opposing party by way of United States first class mail, postage prepaid, addressed as follows: Angela L. Thomas, Esquire LATSHA DAVIS YOHE & McKENNA, P.C. 1700 Bent Creek Boulevard, Suite 140 Mechanicsburg, PA 17050 LAW OFFICES OF CRAIG A, DIEHL BY~~ Helen E. Rasmussen, Legal Assistant 3464 Trindle Road Camp Hill, PA 17011-4436 (717) 763-7613 Revision 1.0 October 2002 Acknowledgment of Receipt of Momentum, Inc. 's Employee Handbook I certify that I have been furnished a copy of Momentum, Inc, 's Employee Handbook. If I have any questions, I will discuss them with my immediate supervisor, I acknowledge that I have read and understand the policies contained within this Employee Handbook, including the At-Will Employment Policy and Arbitration Policy I am aware that during the course of my employment, confidential information may be made available to me: product designs, marketing strategies, customer lists, pricing policies and other related information. I understand that this information is proprietary and critical to the success of Momentum, Inc. and must not be shared or used outside of Momentum, Inc.'s premises or with non-Momentum, Inc. employees. In the event of termination of employment, whether voluntary or involuntary, I hereby agree not to utilize or exploit this information with any other individual or company. I acknowledge that I have read the Confrdentiallnformation Section of this Employee Handbook and agree to abide by the policy. I also acknowledge receipt of computer equipment necessary for the completion of job duties, and have signed the related receipt forms. I understand that this equipment is the property of Momentum, Inc. and must be returned in good condition upon termination of employment. /,4r.3'( P //;:VPF/? jc)/h Employee's Printed Na7 .--:::% k-1~-v---- ~~Si9nature Date f"J:? "-::! h? !J'?/<;/./"y/?f) P,rv/?&~-/?'?#.z: r Position :4!J~2- n ,~' ,-" \",-:'1 ,--'.-~-) c_."' c') t) ~', f';? C..) >",f__ t.,.>) \ _..1 -\' ~. fI. Angela L. Thomas Attorney I. D. No. 67810 1700 Bent Creek Boulevard, Suit 140 Mechanicsburg, PA 17050 (717) 620-2424 athomas@ldylaw.com Attorneys for Plaintiff IN THE COURT OF COMMON PLEAS CUMBERLAND COUNTY, PENNSYLVANIA MARK HENDERSON, Plaintiff vs. MOMENTUM, INC., LORI DANIELS, KAREN L. SARABOK, and STEPHEN H. CLAY, Defendants No. 2005-4556 CIVIL ACTION - LAW JURY TRIAL DEMANDED PRAECIPE TO DISCONTINUE TO THE PROTHONOTARY: Please mark the above-captioned case settled, satisfied, and discontinued. Dated: J /7 Iv 1 114065 Respectfully submitted, LATSHA DAVIS YOHE & MCKENNA, P.e. By: a- <ilk 'd~tJyJ l<<f Angela L. Thomas Attorney 1. D. No. 67810 1700 Bent Creek Boulevard, Suit 140 Mechanicsburg, P A 17050 (717) 620-2424 Attorneys for Plaintiff, Mark Henderson , ., IN THE COURT OF COMMON PLEAS CUMBERLAND COUNTY, PENNSYL VANIA MARK HENDERSON, Plaintiff vs. No. 2005-4556 MOMENTUM, INC., LORI DANIELS, KAREN L. SARABOK, and STEPHEN H. CLAY, Defendants CIVIL ACTION - LAW JURY TRIAL DEMANDED CERTIFICATE OF SERVICE I HEREBY CERTIFY that on this day I have served a true and correct copy of the foregoing Praecipe to Discontinue, via first-class mail, as follows: Craig A. Diehl, Esq. Law Offices of Craig A. Diehl 3464 Trindle Road. Camp Hill, P A 17011 Date: 0(1/07 t1sdtl- fL, tf/;/f1t~ Angela L. Thomas 114065 (") ~;o r-:> = ::3 ~ -~t;l So \ U) ""'\"'"'nl :i: '-{? ~ ~-n t1'c: ~-;C; ~;.) 1 \9 ({~ ',,_l .-.j .'I:'>" ~ ...~ N