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HomeMy WebLinkAbout06-0609IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA CREATIVE DISTRIBUTION, INC. 625 Hamilton Street, Suite 1 Carlisle, Pennsylvania 17013 Plaintiff V. ECR TECHNOLOGIES, INC., and HAL ROBERTS, Chief Executive Officer, 3536 DMG Drive Lakeland, Florida 33811 Defendants No. 0(o - ?.O CIVIL ACTION - LAW PRAECIPE FOR WRIT OF SUMMONS TO THE PROTHONOTARY OF SAID COURT: Please issue writ of summons in the above-captioned action. Writ of Summons shall be issued and forwarded to ( ) Attorney ( X ) Sheriff l? t v cl-,??'}'1 KNIGHT & ASSOCIATES, P.C. Date: Z7- JG? ZfJd 6 ?`? ' Gregory H. Knight, Esquire Attorney I.D. No. 30622 11 Roadway Drive, Suite B Carlisle, Pennsylvania 17013 (717) 249-5373 WRIT OF SUMMONS TO THE ABOVE NAMED DEFENDANTS: YOU ARE NOTIFIED THAT THE ABOVE-NAMED PLAINTIFF HAS COMMENCED AN ACTION AGAINST YOU. Date: OLD ro honottuy ,-_By 11,J 0-k-g ? ?C111?1f- -Deputy ) Check here if reverse is issued for additional information. W 3 `/ ? 1 ^i c.a 00 SHERIFF'S RETURN - U.S. CERTIFIED MAIL CASE NO: 2006-00609 P COMMONWEALTH OF PENNSYLVANIA COUNTY OF CUMBERLAND CREATIVE DISTRIBUTION INC VS. ECR TECHNOLOGIES INC ET AL R. Thomas Kline Sheriff of Cumberland County, Pennsylvania, who being duly sworn according to law served the within named DEFENDANT ECR TECHNOLOGIES INC _ by United States Certified Mail postage prepaid, on the 31st day of January 2006 at 0000:00 HOURS, at 3536 DMG DRIVE LAND, FL 338 a true and attested copy of the attached WRIT OF SUMMONS Together with receipt card was signed by JUDITH NISB 02/06/2006 . Additional Comments: The returned on Sheriff's Costs: Docketing 18.00 Cert Mail 4.64 Postage .39 Surcharge 10.00 .00 33.03 Paid by KNIGH & ASSOCIATES So answeF.sc? R. Thomas ine Sheriff of Cumberland County on 02/14/2006 Sworn and subscribed to before me this J,j t' day of 5?"41 Joc A.D.,- A SHERIFF'S RETURN - U.S. CERTIFIED MAIL CASE NO: 2006-00609 P COMMONWEALTH OF PENNSYLVANIA COUNTY OF CUMBERLAND CREATIVE DISTRIBUTION INC VS. ECR TECHNOLOGIES INC ET AL R. Thomas Kline Sheriff of Cumberland County, Pennsylvania, who being duly sworn according to law served the within named DEFENDANT ROBERTS HAL by United States Certified Mail postage prepaid, on the 31st day of January 2006 at 0000:00 HOURS, at 3536 DMG DRIVE LAKELAND, FL 33811 , a true and attested copy of the attached WRIT OF SUMMONS Together with The returned receipt card was signed by JUDITH NISBITH on 02/06/2006 . Additional Comments: Sheriff's Costs: Docketing 6.00 Cert Mail 4.64 Affidavit .00 Surcharge 10.00 .00 20.64 Paid by KNIGHT & ASSOCIATES Sworn and subscribed to before me this 11 day of ? jn A.D. Pr thonotar i So ansvaerp ?--- R. Thomas Kline Sheriff of Cumberland County on 02/14/2006 ¦ Complete items 1, 2, and 3. Also complete item 4 if Restricted Delivery is desired. ¦ Print your name and address on the reverse so that we can return the card to you. ¦ Attach this card to the back of the mailpiece, or on the front if space permits. 1. Article Addressed to. ECR Technologies Inc 3536 DMG Drive Lakeland, FL 33811 ErAgent va by ( Printed NIme) I C. Date of Delivery y D. p?VSbfi? .?-? D. Is delivery address different from item 14 ? Yes It YES, enter delivery address below: 11 No 3. Service Type 19 Certified Mail 0 Express Mail 0 Registered 0 Return Receipt for Merchandise 0 Insured Mail 0 C.O.D. 4. Restricted Delivery? (Extra Fee) 0 Yes 7005 d390 0003 2635 0364 06-609 civil PS Form 3811, Fe*ary 2004 Domestic Return Receipt ¦ Complete items 1, 2, and 3. Also complete item 4 if Restricted Delivery is desired. ¦ Print your name and address on the reverse so that we ran return the card to you. ¦ Attach this card to the back of the mailpiece, or on the front if space permits. 1. Article Addressed to Hal Roberts 3536 DMG Drive Lakelan3, FL 33811 102595-02N-IMO 1314gent B. R eived by (Printed N") I C. Date of Delivery sl delivery address different from item 1? 0 Yes If YES, enter delivery address below: 0 No 3. Service Type Certified Mail 0 Express Mail 0 Registered . " 0 Return Receipt for Merchandise 0 Insured Mail 0 C.O.D. 4. Restricted Delivery? (Extra Fee) 0 Yes 7005 0390 0003 2635 0357 u6-604 civil PS Form 3811, February 2004 Domestic Return Receipt 10e-.95-02W-1s0 IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA CREATIVE DISTRIBUTION, INC. No. 06-609 Civil Term 625 Hamilton Street, Suite B Carlisle, Pennsylvania 17013 Plaintiff V. CIVIL ACTION - LAW ECR TECHNOLOGIES, INC., and HAL ROBERTS, Chief Executive Officer, 3536 DMG Drive Lakeland, Florida 33811 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 maybe entered against you by the court without further notice for any money claimed in the complaint or for any other claim or relief requested by the plaintiff. You may lose money or property or other rights important to you. YOU SHOULD TAKE THIS PAPER TO YOUR LAWYER AT ONCE. IF YOU DO NOT HAVE A LAWYER OR CANNOT AFFORD ONE, GO TO OR TELEPHONE THE OFFICE SET FORTH BELOW TO FIND OUT WHERE YOU CAN GET LEGAL HELP. Cumberland County Bar Association 32 South Bedford Street Carlisle, Pennsylvania 17013 (717) 249-3166 NOTICIA Le ban demandado a usted en la corte. Si usted quiere defenderse de estas demandas expuestas en las paginas siguientes, usted tiene viente (20) dial de plazo al partir de la fecha de la demanda y la notificacion. Usted debe presentar una apariencia escrita o en persona o per abogado y archivar en la corte en forma escrita sus defensas o sus objeciones a las demandas en contra de su persona. Sea avisado que si usted no se defiende, la corte tomara medidas y puede entrar una orden contra usted sin previo aviso o notificacion y por cualguier queja o alivio que es pedido en lapeticion de demanda. Usted puede perder dinero o sus propiendades o otros derechos importantes para usted. LLEVE ESTA DEMANDA A UN ABOGADO IMMEDIATAMENTE. SI NO TIENE ABOGADO O SI NO TIENE EL DINERO SOFICIENTE DE PAGAR TAL SERVICO, VAYA EN PERSONAL O LLAME POR TELEFONO A LA OFICINA CUYA DIRECCION SE ENCUENTRA ESCRITA ABAJO PARA AVERIGUAR DONDE SE PUEDE CONSEGUIR ASISTENCIA LEGAL. Cumberland County Bar Association 32 South Bedford Street Carlisle, Pennsylvania 17013 (717) 249-3166 KNIGHT & ASSOCIATES, P.C. Gregory H. Knight, Esquire Attorney I.D. No. 30622 11 Roadway Drive, Suite B Carlisle, Pennsylvania 17013 (717) 249-5373 Attorney for Plaintiff IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA CREATIVE DISTRIBUTION, INC. No. 06-609 Civil Term 625 Hamilton Street, Suite B Carlisle, Pennsylvania 17013 Plaintiff V. CIVIL ACTION - LAW ECR TECHNOLOGIES, INC., and HAL ROBERTS, Chief Executive Officer, 3536 DMG Drive Lakeland, Florida 33811 Defendants COMPLAINT AND NOW, this 1; day of March 2006, comes the Plaintiff, Creative Distribution, Inc. (CDI), by and through it's counsel, Knight & Associates, P.C. and Gregory H. Knight, Esquire, to file the following Complaint, in support of which the following statements are made: 1. Plaintiff CDI is a Pennsylvania corporation with an office located at 625 Hamilton Street, Suite B, Carlisle, Pennsylvania 17013. 2. Defendant ECR Technologies, Inc. (ECR) is a Florida corporation with offices located at 3536 DMG Drive, Lakeland, Florida 33811. 3. Defendant Hal Roberts is Chief Executive Officer of Defendant ECR. 4. On or about January 2000 Plaintiff and Defendants entered into a verbal contract by which Plaintiff received the exclusive right, within that portion of the Commonwealth east of Johnstown, to sell Defendants' patented heat pump systems and by which Defendant ECR agreed to pay Plaintiffs for repair and other warranty services covered in warranties Defendants sold with its patented earthlinked heat pump system. 5. On or about August 28, 2002 Defendants offered to Plaintiff a written Sales Representative Agreement by which the Plaintiff's sales territory was expanded to include the entire state of Pennsylvania and all of Maryland, Delaware, New Jersey, the District of Columbia, and parts of New York State. See Exhibit "A". 6. On or about October 5, 2002 Plaintiff accepted the Defendants' offer by mailing a signed original Sales Representative Agreement to the Defendants. See Exhibit "B." 7, On or about September 1, 2005 Plaintiff faxed the Defendants a letter in which Plaintiff detailed its many unsuccessful attempts to receive payment required of the Defendants by the Sales Representative Agreement for service calls and warranty work performed by Plaintiffs since October, 2002. See Exhibit "C." 8. On December 15, 2005 Plaintiff met with Defendants to again attempt to resolve the unreimbursed and unpaid service and warranty call services provided by Plaintiff and detailed in the September 1, 2005 letter. 9. Following the December 15, 2005 meeting, Plaintiff received a letter from Defendant by which the Defendants cancelled the exclusive Sales Representative Agreement between ECR and Creative Distribution. See Exhibit "D." COUNTI BREACH OF CONTRACT 10. Paragraphs I through 9 above are incorporated herein by referenced as iffullyrestated herein. 11. Over the term of the exclusive Sales Representative Agreement, the Plaintiff performed warranty and repair service work for which the Defendants owed the Plaintiff approximately $51,010. See Exhibit "E." 12. The warranty and repair work were performed by the Plaintiff on the dates noted in Exhibit "E" and were to be reimbursed by the Defendants under the following terms: approval by telephone from a technician employed by the Defendant to invoice the Defendant at the Plaintiff's normal hourly rate for the time to travel to and from the site of repair plus the time to diagnose the required repair and a return trip, if necessary, to complete the repair plus the cost of any parts needed for repair but not provided by the Defendant. 13. The amount of Plaintiff's claims exceeds the compulsory arbitration limit for Cumberland County. WHEREFORE, the Plaintiff requests judgment for it and against each named Defendant in the amount of the claims stated above, with interest accruing at the legal rate of six percent per annum from the date on which each service was provided and therefore payment was due, and such other relief as this Court deems appropriate. COUNT 11 IN QUANTUM MERUIT 14. Paragraphs 1 through 13 above are incorporated as if fully restated herein. 15. Over the term of the exclusive Sales Representative Agreement, the Plaintiff performed warranty and repair service work for which the Defendants owe the Plaintiff the value of Plaintiff's work. 16. The value of such work which was performed on the dates noted in Exhibit "E" is approximately $51,010.00 based on the following factors: the Plaintiff's normal hourly rate for the time to travel to and from the site of repair plus the time to diagnose the required repair and a return trip, if necessary, to complete the repair plus the cost of any parts needed for repair but not provided by the Defendant. 17. The amount of Plaintiff's claims exceeds the compulsory arbitration limit for Cumberland County. WHEREFORE, the Plaintiff requests judgment for it and against each named Defendant in the amount of the claims stated above, with interest accruing at the legal rate of six percent per annum from the date on which each service was provided and therefore payment was due, and such other relief as this Court deems appropriate. Respectfully Submitted: (??& ASSOCIATES, P.C.. Gregory H. Knight, Esquire Attorney I.D. No. 30622 11 Roadway Drive, Suite B Carlisle, Pennsylvania 17013 (717) 249-5373 Attorney for Plaintiff Exhibit "A" 7scY+nok?gies, Inc. may., . w August 28. 2002 3522 Stevens Way; Augusta, GA 30907; lel 706-855-1'114; fax 706-650.1 t91 Earthl.inkedo Heating & Cooling Systerns Mr. Jody Hoffman Creative Distribution. Anc. 3 Keystone Drive Mechanicsburg, PA 1:iO68 Dear Jody: The enclosed is a new Sales representative Agreement containing your new sales territory, which has been expanded to include the entire state oi'Pennsylvania. Please sign and returnone original copy to the above address as soon as possible. Sincerely, Chuck High Business Development Enclosures SALES REPRESENTATIVE AGREEMENT This agreement is made this day of 2002 between ECR Technologies, Inc; 3536 DIAG Drive; Lakeland, FL; 33811 (known herein as ECR) and Creative Distribution, line., 3 Keystone Drive; Mechanicsburg. PA 15068 (known herein as CDI). 1. Sales a. ECR hereby grants to CDI the exclusive right to sell its Earthl-inked® Heat Pump Systems (herein known as the product or products) within the sales territory described in Schedule A. CDI agrees to (1) actively sell the product to consumers, builders, dealers and developers, (2) implement adequate resources and trade allies to promote the product through joint sales efforts with utilities, presentation of the product and benefits in personal presentations, selected shows and exhibits and advertise locally and regionally as appropriate, (3) coordinate the necessary resources to apply, install and service the product and (4) provide sales, service and installation training and support. b. CDI agrees to provide an office equipped with telephone, facsimile and e-mail communications and a staff to adequately support sales and service of the products in the sales territory. c. CDI agrees it will not sell or represent any other direct geoexchange heat pump iin competition with ECR's product. d. CDI agrees to recruit dealers, drillers and excavators to sell, install and service the product. Candidates shall be subject to the approval of ECR, based on the candidates' qualifications. Neither CDI, its dealers, drillers or excavators are agents authorised to act on behalf of ECR. e. CDI agrees to purchase and pay for EarthLinked(& systems, components, service parts and literature from ECR in accordance with ECR's Terms and Conditions of Sale and ECR's Price Pages current at the time the order is placed. f. Product prices are those appearing on the current issue of ECR's product price pages. Product prices are sib iect to change by ECR. ECR must give a minimum of 60 clays prior notice to CDI before increasing prices. Page I of 5 6'd SLO90GLLIL ?PO/?WH "10:01 90 16 Uer Sales Representative Agreement g. Sales orders for products from the sales territory should be placed as far in advance of required delivery as practical. Orders shall be placed in the format provided by ECR. All orders are subject to acceptance by ECR. SCR's documented acknowledgement of the order will verify acceptance of the order and indicate price and approximate shipment date. CD11 aggees to accept and pay for all products ordered by CDT and acknowledged by E.CR. h. CDT agrees to provide ECR with a rolling three month sales forecast, updated monthly, using the ECR Sales Forecast form LIT-60. i. CDT and ECR recognize the importance of prompt response and effective handling of prospect and custorner inquiries and service needs. CDT agrees to (t) promptly respond to prospect inquiries and (2) investigate and effectively handle any complaints from customers (for which CDT installed Earthl,inked®) with the intent to preserve the good vAll, of CDT and ECR and to satisfy customers through service, at competitive costs. All customer complainnts that cannot be readily remedied will be reported to ECR promptly. ECR agrees to perform its obligations under its product warranty and make every reasonable of fort to assure product quality. ECR agrees to provide dealers with troubleshooting assistance to ensure proper product application, installation and service. 2. Installation a. CDT agrees to coordinate the effective application, installation and start-up of the product it sells. This is comprised of being responsible for the determination of accurate heating and cooling loads in accordance with ACCA Manual J, and proper sizing of the product f'or the application, in accordance with the ECR Application Manual. b. CDT agrees to coordinate the complete installation of the product by ECR approved dealers, drillers and excavators, and in accordance with the ECR Installation and Start-Up Manual. 3. Service CDT agrees to establish and coordinate the in-warranty and out-of-warranty service for the product through qualified, ECR approved servicing dealers and in accordance with the ECR Service Manual. Page 2 of 5 b'd 9LO906LLIL TPO/?WH eb0=0I 90 16 Uer Sales Representative Agreement 4. Field Sales Stock CDI agrees to determine and purchase quantities of the product, selected service components and litcraane to provide a stocking inventory sufficient to support sales and service requirernerits for the product in the sales territory. 5. Training ECR agrees to train (1) CDI in applying (load calculations and sizing) product to the applications, (2) dealers, drillers and excavators concerning the proper installation and start-up of the product, and (3) servicing dealers regarding the proper techniques for servicing unique: aspects of the product design/functions (other than standard professional HVAC industry service techniques). The training venue is comprised of selected classroom and on-site locations in the sales territory. CAT agrees to become proficient in the application of the ACCA Manual J Load. calculation Program within 3 months of the date of this agreement, and may do so through an HVAC industry recognized program. 6. Other a. ECR agrees to provide CDI with the necessary training in ECR business procedures. CDI agrees to qualify and provide similar appropriate business procedure training for ECR dealers, drillers and excavators in the sales territory. b. ECR agrees to refer potential business opportunities, dealer inquiries and sales leads to CDI from inquiries placed with ECR from the company website, shows, exhibits, meetings, etc. c. ECR agrees to review sales territory performance (sales, dealer recruitment, service, customer satisfaction, training, etc.) with CDI on a prescheduled basis. d. ECR agrees to provide product application, technical and cost estimating support to CDI for special projects, as needed. 7. Disputes Any dispute arising from any aspect of the relationship between the parties shall be resolved by arbitration under the rules of the American Arbitration Association in Polk County, Florida and the judgement rendered by the arbitration may be entered in any court having jurisdiction 1hereo£ Page 3 of 5 S'd SL0906LLTL tp0/TWH ey0:0i 90 TE per Sales Representative Agreement 8.Termination Either party may unilaterally terminate this agreement effective upon 90 days written notice to the other. In that event, CDI shall return to ECR, all ECR samples, products and promotional materials in CDI's possession. All active sales leads, quotes, subsequent installations resulting from those activities and any in-process installations, will be honored for normal installation and completion for 6 months from the time of the designated termination. ECR will continue to supply components, normal service and support to CDI as needed to complete all such activity as outlined above for the same 6 month period. Additionally, the CDI Saes Representative pricing and discounts will remain in effect during this period. ECR Technologies, Inc. By: Title: Date: Page 4 of 5 Creative Distribution, Inc. By: Title: Date: 9'd SL0906LLIL 1P0/3WH eb0:01 30 16 uer to ca N C7 C N n Exhibit "B" SAVES REPRESENTATIVE AGREEMENT This agreeurent is made this day of ?f , 2002 between ECR Technologies, Inc.; 3536 DMG Drive; Lakeland, FL; 33811 (known herein as ECR) and Creative Distribution, Inc., 3 Keystone Drive; Mechanicsburg, PA 15068 (known herein as CDI). 1. Sales 9. ECR hereby grants to CD1 the exclusive right to sell its EarthLinkeAD heat pump systems (herein known as the product or products) within the sales territory described in Schedule A- CDI: agrees to (1) actively sell the product to coamme builders, dealers and developers, (2) implement adequate resources and trade allies to promote the product throc*k joint sales efforts with utilities, presentation of the product and benefits in personal presentations, selected shows and exhibits and advertise locally and regionally as appropriate, (3) coordinate the necessary resources to apply, install! and service ft product and (4) provide sales, service and installation training and support b. CDI agrees to provide an office equipped with telephone, facsimile and a-mail communications and a staff to adequately support sales and service of the products in the sales territory. c. CDI agrees it will not sell or represent any other direct geoexchange heat pump in competition with FOUs product d. CDI agrees to recruit dealers, drillers and excavators to sell, install and service the product. Candidares shall be subject to the approval of ECR, based on the candidate'.t' qualifications. Neither CDI, its dealers, drillers or excavators are agents authorized to act on behalf of EC R. e- CD1 agrees to purchase and pay for E t inked® systems, components, service parts and literature from :ECR in accordance with SCR's Terms and Conditions of Sale and SCR's Price Pages current at the time the order is placed. L Product prices are Caose appearing on the current issue of ECR-s product price pages. Product prices are subject to change by ECR. ECR must give a minimum of 60 days prior notice to CDI before increasing prices. Page 1 of 5 6 -d Z 'd £6£I'ON 96LL-IOL-E98 H331 833 NW I 9004 'Z 'q83 d9b:20 90 ZO 9aH SL090BLLIL ?PO/IWH Sales Rep.resen:.aive Agreeruent Cal1 ' --? m .nilA n ari " far ^. Sales Orders for L-Oiilr25 ` o!) Zb1- 3ttcj fr,: _f.I c L._ C ,7..-! rtouirtd deliver' as practical. 1-l7ders :hail tae placed in t're f(lifnat provided by EC R. ? l urde.s ar_ s»bi ::., »cceptalrce by ECP.. ECR'.....,,,.nuintr. kr:?wlcd=;= ri:rit of the order will verify acceptaacc of the order and iudicate price and approximate shipment date. CDI agrees to accept and pay for all products ordered by CDI and act notivledged by ECR. h. CDI agrees w provide rCR .kith a roll ?g, tlmer =tlc` nda :OCS forcca t, :rpuate mi:r..4t:1_'. nsrn5^ the VC.:? Sal- Ur-601. CD1 and rr',Cn TEC+iv,ill e the im}x7rtancc of prompt response :t-d effective handlirl; of pro- "I C'D respond to nrospW inquiries and (2) investigate and effectively handle any ...."`^. ". :lMs f70in, "t.G:C:!n Wl72eh t? I :aS1H..Cd the inaen- C3 preserve the acod'. W:11 of CD1 and EC'R and to s8?Sfy C:: Stun? rs T,`SOUbIi sCf? 1C? eat f'J vii%,L:!.,uVc cos'a. All customer Cnrr+ptaints that eannor be readily remedied wild be reported to ECR prompTly. ECR algces to perfo^.n its obligations nrdPr its wr.:0-uct -,warranty and ma!"? :: ems,' re?so??>>r1e ef:'^:r. tc :sstu _ ...ur... .unlit ?Ct'Z a?tea_: ,o : -. =de, rH:Is; w;.` trnubleshooting assistance to ensure p rnper product appLcaC on, installatior and' 2. Installation a. CDT agrees to coordinate the effective application., installation and start_uP of the product it sells.l hi:: is comprised of being responsible for the determination of accurate heating imd cooling loads in accordance with ACC't Manual J, and proper sizing of the proOwt far the application, in accordance with the ECR Application Manual. b. CDI agrees to cossdiaz to the complete installation of the product by ECR approve dealers, drillers aad excavators, and in accordance with the MR InstaRadva and Start-up Manual. 3. Service CDI agrees to establish and coordinate the in-warranty and out-of-warranty service for the product through quali5ed, ECR approved servicing dealers and in accordance with the ECR Service Manual.. Page 2 of 5 E 'd WI off SiLL-IOL-E38 HER VI N WI 9GOd 'Z 'V b'd GL0906LLTL tP0/?WH dLbrZO 90 20 9a_' gales Representative Agreement Field Sales Stock 4 4 f"_ __ jp aCtC rtt;.;ip> at. rv_i'1?1tr',zn[?:it?: _cjliP Componcwi; anii IlircrttiiTe. to prov d a StccY•l ng inventc si:u`licieni to sltt7^oY sale; ; ,.,.. ,,s for t:. roduct in l c sales rer^a: ry. vice 5. Training ?1 (i.e J !c ) 1 to Buie FCF a..rerc .n rwn in ;,rhino , a.. ca.?;.i a:ats aril. si-?nc] product applications, (2) dealers, dnliers and excavators concerning the prover installation >md sea;.-op ?f tr r n.-Oduct. • .: (3) Se; :";c;-a wal:... P2T^Y1I;: ff e pro«e: tee^^i.„_'?cs for servicing unique. a pectsof the product desiprt/funerions (other than standard rz`cisirnn; .......... t.catiGUe?:;. The training venu! is comprised of selected classroom and on-site locations in the saies wiaOi CDI agrees to be Certified for the application of the ,A CCA Manual 7 Load 1 ..n Pmgra , Il cug an R VAC i ndust. ized program. 6. Other a. HCR aaees tt, c:e Cr_ .site. e_s_ar t Ze in C.__ bu.u?e- proce .Ire s. CDI agrees to gwdifq and provide similar appropriate business procedure training for 1'lea 'a. ,.,,._. _.cavatcr is t,., safest ,.itorY. b. ECR agrees to react potmn al business opportunities, dealer ingniries and sales leads w CDI from inquincs, placed with ECR fzam ibe company wvbsw, shows. exhibits, meeti na sl ew, e. ECR agrees to review sales tetntory pafimmu ce (sales, dealer re aurmcut, service, ;toms-, ,atisfaetia.. oaitir.^<. etc-) on °..prescl:ed;:icdbasis. d. ECR agrees m provide product application technical and cost estimating support to Page 3 of 5 'a=; 11 t 'd M IAN HL1-I9L-M H031 803 19?,?Btl nrn,? 7 S'cl SL0906LLIL IP0!?WH dLbtZ0 90 ao 4aH i 03:31p Hmi/Cdi 7177906075 p.1 Sales Representative Agreement 7. Termiinstioa Either party may unaateraRy Laminate this agtexmcat effective upon written notice to the other. In that cvant, CDI shall rcwm to BCR all ECR smmples, prodacm and promotional macaws in CDPs possession. ECR Technologies, Inc. BY: Tit?e: Daie: Page 4 of 5 Date: Exhibit "C" We , XF1VE Ir... 25 Hamilton Street, Suite B CarLsle, PA 17013 tone: (717) 243-4110 (717) 243-7085 oil Free 1-800-780-9011 24 Hour Service Water Filtration & Systems Direct Exchange (Copper Geothermal) lank-less riot Water lieaters Radiant Panels September 1, 2005 ECR Te-lnlologies 3536 MIG DRIVE Lakeland, FI, 33811 Attn: Joe Parsons RE.: Outstanding Warranty/Other issues As you know I have kept a very detailed log of all warranty service calls aV telephone conversations that CDI has had to perform on your equipment. Attached. is a list which is very detailed and quite lengthy outlining these warranty claims unpaid as to date. There had been many conversations with Russ Bath and yourself on all of these jobs. The answers I have always received are go ahead and fix it and ECR will turn out a warranty, this has never happened. In the time, we have dealt with ECR every time CDI tries to claim a warranty issue, we find out that the warranty procedures have changed. verbally nothing in writing or that someone new is handling that department and the procedure has again been changed. I have enclosed a list of all service calls that CDI has performed over the last 3 years and I am expecting a follow up call with you and the new person handling warranty issues that you mentioned the other day when we talked. Our company expects to have a timely answer to what ECR. is going to do about these claims of over 550,000.00. This goes far beyond the warranty claims as you can see we had customers that had more than three problems at there location because of faulty equipment. Since we are a small business we can not keep absorbing emotion of our customers concerns and cost of you're company doing business. We have also taken in many other expenses that were not appreciated and or reimbursed in marketing and training. We even aided and never was paid for our first job performed cleaning up mess that was created we had a huge lost with all copper that was used. Along with that the deformation of character that was stowed upon our company by your company to our dealers and customers that we set up and brought to you, this was and still will not be tolerated by any of your staff. I am requesting an answer back on this issue in writing on or before the 9`1` of September 2005 or I will be forced to take legal action against ECR. CREATIVE DISTRIBUTION INC. Jody Hoffman cc. Emily Hoffman TuckerlArensberg 10 `??2 D 3:oq pv E'd SL0906LLIL 1PJ/1WH d9b220 90 Sa uer Exhibit "D" 3536 JMG Diivo • Lakeland. Florida • 33811 • *63-761-003(5 fax 363-701-7!E'G MMP? C I_artfit.inked'w Heating & Cooling Systems Since 1980 Doar Emily: Thank you far your candle c:m crsation yesterday. Though ECR values your hard work and the resulting sales generated by your et}orts throughout the years, we cutnot argue with the conclusion of our recent discussion. This transmittal serves !a confirm our mutual agreement, reached during our telephone communication of May 7, 2005, to cancel the exclusive sales representative agreement between ECR and Creativv- Distribution. As agreed, ECR will provide equipment to Creative Distribution ai the current pricing multiplier for the nine EarthLittked? systems that are already under contract between Creative Distribution and its customers- At this time, we request that the terms of purchase be by payment of cash in advance or under the guarantee of an irrevocable letter of credit. I wish you well in your future business endeavors. Joe Parsons Director of Marketing ECR Technologies, .htt:. www.eertech.com Cl 910906LLIL - --- ?P0!?wH d91':00 90 SZ uer Exhibit "E" Jan 25 06 03:04p ?o o gl o ,? o of mo C ate} O M 8 M ? M ? ? EA ? 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L Nr 'G ?I O?L? `Y L O d - ro O N FI11It y C 9 I 6 L i4?0 u ??IN a>>9?u?ul CIE NI i vial ? ?, gl I ? YI 4 ?-I YI n.L. O I I I 1 I I 4? G 0 OI >i C I 'I I 1 M G dl m?? I oI N? G N ? I I N N NI I? O ?? T y N N I d I I ' Io CL ? > N l I ? V 9I mI N ? ?n m R ? N , Q??Iyl N 9II `rn 0 ?. 7?mI U ? I I ? I rmir_?1 .J UUU W 17i ' u N d E 9 yl I O N , 4 3? R wT- d 3 ?m T 3 O T YI I o n' I °? w n o c m Z . a? = d I I 't y N , I O'u O T O 3 N O? O 9 ! 7' ? G9 d G ' L L n? m G'IN 7j, _" t IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA CREATIVE DISTRIBUTION, INC. No. 06-609 Civil Term 625 Hamilton Street, Suite B Carlisle, Pennsylvania 17013 Plaintiff V. ECR TECHNOLOGIES, INC., and HAL ROBERTS, Chief Executive Officer, 3536 DMG Drive Lakeland, Florida 33811 Defendants VERIFICATION CIVIL ACTION - LAW I verify that the statements made in the foregoing Complaint are true and correct to the best of my knowledge, information and belief. 1 understand that false statements herein are made subject to the penalties of 18 Pa. C. S. Section 4904, relating to unswom falsification to authorities. Creative Distribution, Inc. Date: 3 II ?' U By: ? IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA CREATIVE DISTRIBUTION, INC. No. 06-609 Civil Term 625 Hamilton Street, Suite B Carlisle, Pennsylvania 17013 Plaintiff V. ECR TECHNOLOGIES, INC., and HAL ROBERTS, Chief Executive Officer, 3536 DMG Drive Lakeland, Florida 33811 Defendants CIVIL ACTION - LAW CERTIFICATE OF SERVICE ot- I hereby certify that I am this 73 day of March, 2006, causing a copy of the foregoing Complaint to be served upon the following person in the manner indicated: By U.S. Certified and by First Class United States Mail, postage pre-paid on: ECR Technologies, Inc. c/o Judith Nisbith 3536 DMG Drive Lakeland, Florida 33811 Hal Roberts 3536 DMG Drive Lakeland, Florida 33811 KNIGHT & ASSOCIATES, P.C. < IM Grego H. Cnight, Esquue Attorney I.D. No. 30622 11 Roadway Drive, Suite B Carlisle, Pennsylvania 17013 (717) 249-5373 Attorney for Plaintiff _, r? ?? -s, .? -? _ -?• : _ ., ? ,_ ?, ?; U) +_ IN THE COURT OF COMMON PLEAS CUMBERLAND COUNTY, PENNSYLVANIA CREATIVE DISTRIBUTION, INC., Plaintiff, V. ECR TECHNOLOGIES, INC. AND HAL ROBERTS, Defendants TO: Plaintiff 06-609 Civil Action Law NOTICE TO PLEAD You are hereby notified to file a written response to the enclosed objections within twenty (20) days from service hereof or a judgment may be entered against you. Respectfully submitted, STIV Date: April 21, 2006 V --- Mark D. Bradshaw Attorney I.D. 461975 17 North Second Street 16th Floor Harrisburg, PA 17101 (717) 255-7357 (717) 234-1099 (Facsimile) mdb@stevenslee.com Attorneys for Defendants SLI 628900v1/000000.00000 IN THE COURT OF COMMON PLEAS CUMBERLAND COUNTY, PENNSYLVANIA CREATIVE DISTRIBUTION, INC., Plaintiff, v. 06-609 Civil Action Law ECR TECHNOLOGIES, INC. AND HAL ROBERTS, Defendants DEFENDANTS' PRELIMINARY OBJECTIONS AND NOW come Defendants, by and through their counsel, Stevens & Lee, and make the following Preliminary Objections to Plaintiff's Complaint, stating in support thereof as follows: Preliminary Obiection pursuant to Pa. R. Civ. P. 1028(a)(4) - Failure to State a Claim nainst either Defendant 1. Plaintiff's Complaint purportedly seeks recovery of money incurred in performance of certain service obligations relating to a former business relationship between Plaintiff and Defendants. 2. Paragraph 7 of the Complaint represents that payments were required by Defendants pursuant to the Sales Representative Agreement between the parties (which is attached to Plaintiff's Complaint as Exhibit `B"). 3. However, a review of the agreement made Exhibit "B" reveals that there is no provision in the parties' Agreement for reimbursement of service calls or warranty work. sLI 628900w000000.00000 4. As a result, Plaintiff s Complaint fails to state a claim upon which relief can be granted against either Defendant because it seeks to enforce a non-existent term of the Agreement. WHEREFORE, Defendants request that Plaintiff s Complaint be dismissed with prejudice. Preliminary Obiection Pursuant to Pennsylvania Rule of Civil Procedure 1028(a)(4) - Failure to State a Claim against Hal Roberts, individually 5. Plaintiff has included as a Defendant the Chief Executive Officer of Defendant ECR Technologies, Inc., one Hal Roberts. 6. However, the onl mention of Mr. Roberts which appears anywhere in the Complaint or any of its attachments is in Paragraph 3, where Mr. Roberts is identified as ECR's Chief Executive Officer. 7. Mr. Roberts is not a signatory or a party to the Sales Representative Agreement made Exhibit "B" to Plaintiffs Complaint. 8. Indeed, the sales representative agreement is unexecuted by anyone at ECR Technologies, Inc. but was clearly designed for execution by the corporation through a corporate officer. 9. Neither Plaintiff s Complaint not any of its attachments detail any dealings by and between Plaintiff and Mr. Roberts. 10. As a result, Plaintiffs Complaint fails to state a claim upon which relief can be granted against Mr. Roberts. S L 1628900 v l /000000.00000 WHEREFORE, Defendants request that Plaintiff's Complaint be dismissed with prejudice. Preliminary Objection Pursuant to Pennsylvania Rule of Civil Procedure 1028(a)(1) - Lack of Personal Jurisdiction over Hal Roberts, individually 11. Plaintiff s Complaint files to plead any facts which establish any basis for personal jurisdiction over Mr. Roberts. 12. In fact, there is no basis for jurisdiction over Mr. Roberts by this court as a matter of fundamental Constitutional law. WHEREFORE, Defendants request that Plaintiff's Complaint be dismissed with prejudice. Respectfully submitted, STEVEN & Date: April 21, 2006 \ Mark D. Bradshaw Attorney I.D. #61975 17 North Second Street 16th Floor Harrisburg, PA 17101 (717) 255-7357 (717) 234-1099 (Facsimile) mdb@stevenslee.com Attorneys for Defendants SIA 628900v1/000000.00000 IN THE COURT OF COMMON PLEAS CUMBERLAND COUNTY, PENNSYLVANIA CREATIVE DISTRIBUTION, INC., Plaintiff, v. 06-609 Civil Action Law ECR TECHNOLOGIES, INC. AND HAL ROBERTS, Defendants CERTIFICATE OF SERVICE I, Mark D. Bradshaw, Esquire, hereby certify that on this date, I caused a true and correct copy of the foregoing Preliminary Objections to be served upon the following counsel of record, by depositing the same in the United States mail, postage prepaid, addressed as follows: Gregory H. Knight, Esquire I 1 Roadway Drive Suite B Carlisle, PA 17013 Wn?? Date: April 21, 2006 SLI 628900v1/000000.00000 '? ?" IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA CREATIVE DISTRIBUTION, INC. No. 06-609 Civil Term Plaintiff V. ECR TECHNOLOGIES, INC., Defendant CIVIL ACTION - LAW 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. YOU SHOULD TAKE THIS PAPER TO YOUR LAWYER AT ONCE. IF YOU DO NOT HAVE A LAWYER OR CANNOT AFFORD ONE, GO TO OR TELEPHONE THE OFFICE SET FORTH BELOW TO FIND OUT WHERE YOU CAN GET LEGAL HELP. Cumberland County Bar Association 32 South Bedford Street Carlisle, Pennsylvania 17013 (717) 249-3166 NOTICIA Le han demandado a usted en la corte. Si usted quiere defenderse de estas demandas expuestas en las paginas siguientes, usted tiene viente (20) dias de plazo al partir de la fecha de la demands y la notificacion. Usted debe presentar una apariencia escrita o en persona o por abogado y archivar en la corte en forma escrita sus defensas o sus objeciones a las demandas en contra de su persona. Sea avisado que si usted no se defiende, la corte tomara medidas y puede entrar una orden contra usted sin previo aviso o notificacion y por cualguier quej a o alivio que es pedido en la peticion de demanda. Usted puede perder dinero o sus propiendades o otros derechos importantes para usted. LLEVE ESTA DEMANDA A UN ABOGADO IMMEDIATAMENTE. SI NO TIENE ABOGADO O SI NO TIENE EL DINERO SOFICIENTE DE PAGAR TAL SERVIC09 VAYA EN PERSONAL O LLAME POR TELEFONO A LA OFICINA CUYA DIRECCION SE ENCUENTRA ESCRITA ABAJO PARA AVERIGUAR DONDE SE PUEDE CONSEGUIR ASISTENCIA LEGAL. Cumberland County Bar Association 32 South Bedford Street Carlisle, Pennsylvania 17013 (717) 249-3166 KNIGHT & ASSOCIATES, P.C. Gregory H. Knight, Esquire Attorney I.D. No. 30622 11 Roadway Drive, Suite B Carlisle, Pennsylvania 17013 (717) 249-5373 Attorney for Plaintiff IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA CREATIVE DISTRIBUTION, INC. No. 06-609 Civil Term Plaintiff V. CIVIL ACTION - LAW ECR TECHNOLOGIES, INC., Defendant AMENDED COMPLAINT AND NOW, this (9 day of May 2006, comes the Plaintiff, Creative Distribution Inc (CDI), by and through it's counsel, Knight & Associates, P.C. and Gregory H. Knight, Esquire, to file the following Amended Complaint, in support of which the following statements are made: 1. Plaintiff CDI is a Pennsylvania corporation with an office located at 1159 Bower Road, Shermans Dale, Pennsylvania 17090. 2. Defendant ECR Technologies, Inc. (ECR) is a Florida corporation with offices located at 3536 DMG Drive, Lakeland, Florida 33811. 3. On or about January 2000 Plaintiff and Defendant entered into a verbal contract by which Plaintiff both received the exclusive right, within that portion of the Commonwealth east of Johnstown, to sell Defendant's patented heat pump systems and accepted the duty to perform repair and other warranty services covered in warranties Defendant sold with its patented earthlinked heat pump system with payment for such services to be paid by Defendant under terms agreed to by the Plaintiff and Defendant. 4. On or about August 28, 2002 Defendant offered Plaintiff a written Sales Representative Agreement by which the Plaintiff's sales and repair and warranty services territory was expanded to include the entire state of Pennsylvania and all of Maryland, Delaware, New Jersey, the District of Columbia, and parts of New York State. See Exhibit "A". 5. On or about October 5, 2002 Plaintiff accepted the Defendant's offer by mailing a signed original Sales Representative Agreement to the Defendant. See Exhibit "B." 6. On or about September 1, 2005 Plaintiff faxed the Defendant a letter in which Plaintiff detailed its many unsuccessful attempts to receive payment from the Defendant for repair and other warranty services work performed by Plaintiff. See Exhibit "C." 7. On December 15, 2005 Plaintiff met with Defendant to discuss the unpaid repair and other warranty services work completed by Plaintiff and detailed in the September 1, 2005 letter. 8. Following the December 15, 2005 meeting, Plaintiffreceived a letter from Defendant by which the Defendant cancelled the exclusive Sales Representative Agreement between ECR and Creative Distribution. See Exhibit "D." COUNTI BREACH OF CONTRACT 9. Paragraphs 1 through 8 above are incorporated herein by referenced as if fully restated herein. 10. Over the term of the exclusive Sales Representative Agreement, the Plaintiff performed repair and other warranty services work for which the Defendant owes the Plaintiff approximately $51,010. See Exhibit "B." 11. The repair and other warranty services work performed by the Plaintiff on the dates noted in Exhibit "E" and were to be reimbursed by the Defendant under the following terms as agreed to by the parties when the Defendant first contracted with the Plaintiff in 2000: Plaintiff's normal hourly rate for the time to travel to and from the site of repair plus the time to diagnose the required repair and a return trip, if necessary, to complete the repair plus the cost of any parts needed for repair but not provided by the Defendant. 12. The amount of Plaintiff's claims exceeds the compulsory arbitration limit for Cumberland County. WHEREFORE, the Plaintiff requests judgment against the Defendant with interest accruing at the legal rate of six percent per annum from the date on which each service was provided and payment was due, and such other relief as this Court deems appropriate. COUNT II IN QUANTUM MERUIT 13. Paragraphs 1 through 12 above are incorporated as if fully restated herein. 14. Over the term of the exclusive Sales Representative Agreement, the Plaintiff performed warranty and repair service work for which the Defendant owes the Plaintiff the value of Plaintiff's work. 15. The value of such work which was performed on the dates noted in Exhibit "B" is $51,010.00 based on the following factors: the Plaintiff's normal hourly rate for the time to travel to and from the site of repair plus the time to diagnose the required repair and a return trip, if necessary, to complete the repair plus the cost of any parts needed for repair but not provided by the Defendant. 16. The amount of Plaintiff's claims exceeds the compulsory arbitration limit for Cumberland County. WHEREFORE, the Plaintiff requests judgment against the Defendant with interest accruing at the legal rate of six percent per annum from the date on which each service was provided and therefore payment was due, and such other relief as this Court deems appropriate. Respectfully Submitted: KNIGHT & ASSOCIATES, P.C. Gregory H. Knight, Esquire Attorney I.D. No. 30622 11 Roadway Drive, Suite B Carlisle, Pennsylvania 17013 (717) 249-5373 Attorney for Plaintiff IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA CREATIVE DISTRIBUTION, INC. No. 06-609 Civil Term Plaintiff V. CIVIL ACTION - LAW ECR TECHNOLOGIES, INC., Defendant VERIFICATION I 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 herein are made subject to the penalties of 18 Pa. C. S. Section 4904, relating to unsworn falsification to authorities. Date: , 7-ML '9- IAJ By: Creative Distribution, Inc. IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA CREATIVE DISTRIBUTION, INC. No. 06-609 Civil Term Plaintiff V. CIVIL ACTION - LAW ECR TECHNOLOGIES, INC., Defendant CERTIFICATE OF SERVICE I hereby certify that I am this & day of May, 2006, causing a copy of the foregoing Amended Complaint to be served upon the following person in the manner indicated: By U.S. First Class United States Mail, postage pre-paid on: Mark D. Bradshaw, Esquire Stevens and Lee 17 North Second Street, 16t' Floor Harrisburg, Pennsylvania 17101 Attorney for Defendant KNIGHT & ASSOCIATES, P.C. KA"r) G r Gregory H. Knight, Esquire Attorney I.D. No. 30622 11 Roadway Drive, Suite B Carlisle, Pennsylvania 17013 (717) 249-5373 Attorney for Plaintiff F( v _ FTI -T? r- 1'; 7 j, o P IN THE COURT OF COMMON PLEAS CUMBERLAND COUNTY, PENNSYLVANIA CREATIVE DISTRIBUTION, INC., Plaintiff, No. 06-609 V. ECR TECHNOLOGIES, INC., Defendant Civil Action - Law NOTICE TO PLEAD You are hereby notified to file a written response to the enclosed New Matter within twenty (20) days from service hereof or a judgment may be entered against you. Respectfully submitted, Date: August 1, 2006 Attorney I.D. #61975 17 North Second Street 16th Floor Harrisburg, PA 17101 (717) 255-7357 (717) 234-1099 (Facsimile) mdb@stevenslee.com 08/01/06/SLI 642686v1 /000000.00000 Mark D. Bradshaw IN THE COURT OF COMMON PLEAS CUMBERLAND COUNTY, PENNSYLVANIA CREATIVE DISTRIBUTION, INC., Plaintiff, No. 06-609 V. ECR TECHNOLOGIES, INC., Defendant Civil Action - Law DEFENDANT'S ANSWER WITH NEW MATTER TO PLAINTIFF'S COMPLAINT AND NOW comes Defendant, ECR Technologies, Inc., by and through its counsel, Stevens & Lee, and makes the following Answer with New Matter to Plaintiffs Complaint, stating in support thereof as follows: 1. Admitted upon information and belief. 2. Admitted. 3. Denied. The averments of paragraph 3 constitute legal conclusions requiring no responsive pleading. It is admitted only that the parties' business relationship began in or about January 2000, and that the relationship was not initially reduced to writing. 4. Admitted.' Neither the filed copy nor the service copy of the Amended Complaint included exhibits, however Plaintiffs counsel has advised that the exhibits are identical, and identically ordered, as with the original Complaint. 08/01 /06/SL 1642686v t/000000.00000 5. Denied. The averments of paragraph 5 constitute legal conclusions requiring no responsive pleading. It is admitted only that the document referenced as Exhibit "B" was forwarded by Plaintiff to Defendant on or about October 5, 2002. 6. Admitted in part and denied in part as stated. It is admitted that Plaintiff faxed to the Defendant a letter on or about September 1, 2005 in which certain allegations were made. The content of that correspondence speaks for itself. Any allegations that are set forth in that correspondence regarding payment for repair and warranty service work are expressly denied, as are any allegations in paragraph 6 of the Complaint regarding "many unsuccessful attempts to receive payment". To the contrary, the Plaintiff first forwarded a fax on August 5, 2005 regarding "warranty work" of which Defendant was unaware, totaling some $16,330.00, but lacking any explanation or documentation. This list was later dramatically expanded by an additional fax of September 2, 2005, this list totaling some $50,010.00 in supposedly unpaid warranty work. 7. Admitted. 8. Admitted. By way of further answer, the interaction by and between Plaintiff and Defendant from September 1, 2005 through and including December 15, 2005 demonstrated that Plaintiff refused to adhere to Defendant's rules, policies, procedures and protocols (the "Policies") relating to reimbursement for service and/or warranty work. Furthermore, the manner in which Plaintiff conducted itself during these discussions convinced Defendant that Plaintiff was not a suitable representative on a going-forward basis. 09101/06(SLl 642686v l /000000.00000 Count I - Breach of Contract 9. Defendant incorporates the responsive averments of paragraphs 1 through 8 as though set forth in full herein. 10. Denied. To the contrary, Defendant has very specific Policies regarding prior authorization for service and/or warranty work; the authorized exchange of parts through use of an authorized "return goods authorization" return number, and various other means to control warranty and service work expense and to verify that all requests for reimbursement are appropriate and have been properly documented. Despite Defendant's furnishing of, and repeated explanations of these Policies to Plaintiff, Plaintiff refused to adhere to the same. Nevertheless, Plaintiff demanded reimbursement for warranty and service work which had not been duly authorized in accordance with Defendant's Policies. For all these reasons, Defendant owes Plaintiff nothing. 11. Defendant incorporates by reference the responsive averments set forth in paragraph 10 as though set forth in full herein. 12. Denied. The averments of paragraph 12 constitute legal conclusions requiring no responsive pleading. As indicated, Defendant owes Plaintiff nothing. WHEREFORE, Defendant requests judgment in its favor and against Plaintiff, together with costs of this action and such other and further relief as the Court deems just. Count II - In Ouantum Mernit 13. Defendant incorporates the responsive averments of paragraphs 1 through 12 as though set forth in full herein. 4 08/01 /06/S L 1 642686v l /000000.00000 14. Denied. Defendant incorporates by reference the responsive averments set forth in paragraph 10 herein as those set forth in full herein. 15. Defendant incorporates by reference the response of averments set forth in paragraph 10 as though set forth in full herein. 16. Denied. The averments of paragraph 16 constitute legal conclusions requiring no responsive pleading. As indicated, Defendant owes Plaintiff nothing. WHEREFORE, Defendant requests judgment in its favor and against Plaintiff, together with costs of this action and such other and further relief as the Court deems just. NEW MATTER 17. Defendant has very specific Policies regarding prior authorization for service and/or warranty work, the authorized exchange of parts through use of a "return goods authorization" return number, and various other means to control warranty and service work expense and to verify that all requests for reimbursement are appropriate and have been properly documented. 18. Defendant repeatedly furnished and explained these Policies to Plaintiff. 19. Nevertheless, Plaintiff refused to adhere to these Policies. 20. Plaintiff demanded reimbursement for warranty and service work which had not been duly authorized in accordance with Defendant's Policies, and for which return goods authorizations had never been issued. 21. Defendant owes Plaintiff nothing. 08/01 /06/S L 1 642686 v l /000000.00000 WHEREFORE, Defendant requests judgment in its favor and against Plaintiff, together with costs of this action and such other and further relief as the Court deems just. Respectfully submitted, STEVENS Date: August 2006 Mark D. Bradshaw Attorney I.D. #61975 17 North Second Street 16th Floor Harrisburg, PA 17101 (717) 255-7357 (717) 234-1099 (Facsimile) mdb@stevenslee.com Attorneys for Defendant 08/01 /06/SL 1642686v t /000000.00000 VERIFICATION Ceo I, Hal Robertsident of ECR Technologies, Inc., hereby state that the facts set forth in the foregoing Answer are true and correct to the best of my knowledge, information and belief. This Verification is made subject to the penalties of 18 Pa. C.S.A. §4904, relating to unsworn falsification to authorities. Dated: 2?i 2006 Error! Unknown document property name. IN THE COURT OF COMMON PLEAS CUMBERLAND COUNTY, PENNSYLVANIA CREATIVE DISTRIBUTION, INC., Plaintiff, v. : 06-609 : Civil Action Law ECR TECHNOLOGIES, INC. AND HAL ROBERTS, Defendants CERTIFICATE OF SERVICE I, Mark D. Bradshaw, Esquire, hereby certify that on this date, I caused a true and correct copy of the foregoing Answer with New Matter to Plaintiffs Complaint to be served upon the following counsel of record, by depositing the same in the United States mail, postage prepaid, addressed as follows: Gregory H. Knight, Esquire 11 Roadway Drive Suite B Carlisle, PA 17013 Date: August 1 2006 08/01/06/SLI 642686vl /000000.00000 ( 1 `.1 i 1? ?, ?.?._ ;.: ?: ? __ ('.:; r x ._. 'S IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA CREATIVE DISTRIBUTION, INC. No. 06-609 Civil Term Plaintiff V. CIVIL ACTION - LAW ECR TECHNOLOGIES, INC., Defendant MOTION TO COMPEL THE SCHEDULING OF DEPOSITIONS AND NOW, this day of August 2006, comes the Plaintiff, Creative Distribution, Inc. (CDI), by and through it's counsel, Knight & Associates, P.C. and Gregory H. Knight, Esquire, to file a Motion to Compel the Scheduling of Depositions, in support of which Motion the following statements are made: On January 30, 2006, Plaintiff filed a Praecipe for Writ of Summons. 2. On March 23, 2006, Plaintiff filed a Complaint against the Defendant. 3. On April 21, 2006, Defendant filed Preliminary Objections. 4. On May 19, 2006, and following discussions with Defense Counsel, Plaintiff filed an Amended Complaint. 5. On August 1, 2006, the Defendant filed an Answer with New Matter to Plaintiff's Amended Complaint. Plaintiff s Counsel and Plaintiffhave reviewed Defendant's New Matter and Plaintiff has approved a draft Replywhich will be filed upon Counsel's receipt of an Affidavit of Verification signed by Plaintiff. 7. On or about August 3, 2006 Plaintiff Counsel and Defense Counsel discussed the scheduling of depositions for Jody Hoffman and Emily Hoffman, for the Plaintiff and depositions for Hal Roberts, Russ Bath, and Joseph Parsons, for the Defendant, and each party agreed to contact their respective clients concerning dates those persons would be available for deposition. 8. On August 10, 2006, Plaintiff's Counsel contacted Defense Counsel as to when the Defendant's witnesses would be available for deposition. 9. On August 16, 2006, Plaintiff's Counsel sent, by U.S. Mail and facsimile, a letter to Defense Counsel in which letter Plaintiff's Counsel requested that dates for the Defense witnesses' depositions be provided to him by August 23, 2006 or a Motion to Compel would be filed. See Exhibit "A". 10. As of the date of this Motion, Plaintiff's Counsel has not received a response to Exhibit "A". 11. Rule 4007.3 of the Pennsylvania Rules of Civil Procedure state that "...methods of discovery may be used in any sequence and the fact that a party is conducting discovery, whether by deposition or otherwise, shall not operate to delay any other party's discovery." 12. Plaintiff's counsel has attempted to resolve discovery differences with Defendant's counsel but has been unsuccessful in those attempts. WHEREFORE, the Plaintiff requests that the Court issue an Order, in the form of the attached proposed Order, compelling Defendant's witnesses to appear for deposition. Respectfully Submitted: KNIGHT & ASSOCIATES, P.C. Gregory H. Knight, Esquire Attorney I.D. No. 30622 11 Roadway Drive, Suite B Carlisle, Pennsylvania 17015 (717) 249-5373 Counsel for Plaintiff Exhibit "A" KNiGHT &.AssocmxES P.C. Attorneys at law August 16, 2006 VIA U.S. MAIL & FACSIMILE (234-1099) Mark D. Bradshaw, Esquire Stevens and Lee 17 North Second Street, 16" Floor Harrisburg, Pennsylvania 17101 RE: ECR Technologies, Inc. Our File No. 3911.2 Dear Mr. Bradshaw: Several weeks ago we discussed a schedule for discovery in the above-referenced matter. I stated that the Plaintiff wanted to proceed to schedule depositions as the first step in discovery and we agreed that you would contact your client and advise me concerning the availability of Hal Roberts, Robert Parsons, and Russell Bath for their depositions. Since I had not received any followup from you, I called last Thursday and left you a voicemail. As of this letter, I do not have a response to my voicemail message. Please contact me no later than August 23, 2006 to schedule those depositions. If I have not heard from you by that date, I will file a discovery motion a motion to compel discovery. Sincerely, KNIGHT & ASSOCIATES, P.C. IG LA-- Gregory H. Knight GHK/dmh cc: Emily Hoffman e.Uso FWftlm D s4m10"3911 2nin. I %pd 11 Roadway Drive Suite B Carlisle, PA 17015 0 717.249-5373 717-249.0457 fax IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA CREATIVE DISTRIBUTION, INC. No. 06-609 Civil Term Plaintiff V. CIVIL ACTION - LAW ECR TECHNOLOGIES, INC., Defendant ATE OF SERVICE CERT,I,F?IjCY' I hereby certify that I am this ! day of August, 2006, causing a copy of the foregoing Motion to be served upon the following person in the manner indicated: By U.S. First Class United States Mail, postage pre-paid on: Mark D. Bradshaw, Esquire Stevens and Lee 17 North Second Street, 16' Floor Harrisburg, Pennsylvania 17101 Counsel for Defendant C KNIGHT & ASSOCIATES, P.C. ?'? v`1 Gregory?Kmght, Esquire Attorney I.D. No. 30622 11 Roadway Drive, Suite B Carlisle, Pennsylvania 17015 (717) 249-5373 Counsel for Plaintiff (') C N O O ? -?;.;'; f ? - C ? Y-: ??' G'J ? ? r .. ' ?? f?.... ' T' . "?,? ?c? ?, T:=C._ ?4 ?.._ ?? N U ?? (.? C7 ? IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA CREATIVE DISTRIBUTION, INC. No. 06-609 Civil Term Plaintiff V. CIVIL ACTION - LAW ECR TECHNOLOGIES, INC., Defendant PLAINTIFF'S REPLY TO NEW MATTER FILED BY DEFENDANT AND NOW, this aSaday of August 2006, comes the Plaintiff, Creative Distribution, Inc. (CDI), by and through it's counsel, Knight & Associates, P.C. and Gregory H. Knight, Esquire, to file the following Reply, in support of which the following statements are made: 17. Denied. Plaintiff fully complied with all policies of the Defendant. Denied further as Defendant never discussed with Plaintiff nor required Plaintiff to comply with any of the "policies" described in paragraph 17 and strict proof thereof is demanded at trial. 18. Denied. Plaintiff fully complied with all policies of the Defendant. Denied further as Defendant never discussed with Plaintiff nor required Plaintiff to comply with any of the "policies" described in paragraph 18 and strict proof thereof is demanded at trial. 19. Denied. Paragraph 19 is a conclusion of law to which no answer need be filed. Also denied as Plaintiff fully complied with all policies of the Defendant. Denied further as Defendant never discussed with Plaintiff nor required Plaintiff to comply with any of the "policies" described in paragraph 19 and strict proof thereof is demanded at trial. 20. Denied. Paragraph 20 is a conclusion of law to which no answer need be filed. Also denied as Plaintiff fully complied with all known policies of the Defendant. Denied further as Defendant never discussed with Plaintiff nor required Plaintiff to comply with any of the "policies" described in paragraph 19 and strict proof thereof is demanded at trial 21. Denied. Paragraph 21 is a conclusion of law to which no answer need be filed and strict proof thereof is demanded at trial. WHEREFORE, the Plaintiff requests judgment in its favor and against the Defendant together with costs and such other relief as this Court deems appropriate. Respectfully Submitted: KNIGHT & ASSOCIATES, P.C. Gregory H. Knight, Esquire Attorney I.D. No. 30622 11 Roadway Drive, Suite B Carlisle, Pennsylvania 17015 (717) 249-5373 Attorney for Plaintiff IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA CREATIVE DISTRIBUTION, INC. No. 06-609 Civil Term Plaintiff V. CIVIL ACTION - LAW ECR TECHNOLOGIES, INC., Defendant VERIFICATION I verify that the statements made in the foregoing Reply are true and correct to the best of my knowledge, information and belief. I understand that false statements herein are made subject to the penalties of 18 Pa. C. S. Section 4904, relating to unworn falsification to authorities. Inc. Date: 8/25/06 By E ii nt IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA CREATIVE DISTRIBUTION, INC. No. 06-609 Civil Term Plaintiff V. CIVIL ACTION - LAW ECR TECHNOLOGIES, INC., Defendant CERTIFICATE OF SERVICE I hereby certify that I am this ZSTday of August, 2006, causing a copy of the foregoing Reply to be served upon the following person in the manner indicated: By U.S. First Class United States Mail, postage pre-paid on: Mark D. Bradshaw, Esquire Stevens and Lee 17 North Second Street, 16' Floor Harrisburg, Pennsylvania 17101 Attorney for Defendant KNIGHT & ASSOCIATES, P.C. ??,, " ,jf?e Gregory H. Kmght, Esquire Attorney I.D. No. 30622 11 Roadway Drive, Suite B Carlisle, Pennsylvania 17015 (717) 249-5373 Attorney for Plaintiff yr' N C-, 3 f=j°?? c) W a W c J1 CREATIVE DISTRIBUTION, INC PLAINTIFF IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA NO. 06-0609 CIVIL V. ECR TECHNOLOGIES, INC. DEFENDANT CIVIL ACTION - LAW ORDER OF COURT AND NOW, this 11th day of September, 2006, upon consideration of the Plaintiff's Motion to Compel the Scheduling of Depositions, IT IS HEREBY ORDERED AND DIRECTED that: 1. A rule is issued upon the Defendant to show cause why the Plaintiff is not entitled to the relief requested; 2. The Defendant will file an answer to this petition on or before September 21, 2006; 3. A copy of said answer will be filed with this Court; 4. A Discovery Conference will be held in the Jury Deliberation Room of Courtroom No. 5 on October 3, 2006 at 8:30 a.m. if the issue of Scheduling the Depositions is not resolved. By the Court, &,dregory H. Knight, Esquire Attorney for Plaintiff dark Bradshaw, Esquire Attorney for Defendant bas t c ?l A M. L. Ebert, Jr., J. ', ?j 1'_1 CREATIVE DISTRIBUTION, INC. IN THE COURT OF COMMON PLEAS OF PLAINTIFF CUMBERLAND COUNTY, PENNSYLVANIA V. NO. 06-0609 CIVIL ECR TECHNOLOGIES, INC. DEFENDANT CIVIL ACTION - LAW ORDER OF COURT AND NOW, this Td day of October, 2006, upon consideration of the Plaintiff's Motion to Compel the Scheduling of Depositions and the Defendant's Memorandum in Opposition and in Support of a Protective Order, IT IS HEREBY ORDERED AND DIRECTED that the Plaintiff shall take the requested depositions by use of video conferencing. IT IS FURTHER ORDERED AND DIRECTED that the Plaintiff shall arrange for the video conferencing services and that the parties shall advise the court on or before the close of business on October 19, 2006 of the date and time for the taking of the requested depositions by video conferencing. By the Court, Gregory HWnight, Esquire Attorney for Plaintiff ,dark Bradshaw, Esquire Attorney for Defendant bas V ?* -I, ?a. \/ M. L. Ebert, Jr., J. 0 - ?t7' t!v gooz IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA CREATIVE DISTRIBUTION, INC. No. 06-609 Civil Term Plaintiff V. CIVIL ACTION - LAW ECR TECHNOLOGIES, INC., Defendant MOTION TO WITHDRAW AND NOW come Knight & Associates, P.C. and Gregory H. Knight, Esquire, Counsel of Record for Plaintiff, Creative Distribution, Inc., to file a Motion to Withdraw, in support of which the following statements are made: 1. On or about January 24, 2006 Plaintiff retained Knight & Associates, P.C. and Gregory H. Knight, Esquire (Knight) to represent Plaintiff in the above-captioned matter. 2. On or about March 23, 2006 Knight filed a complaint docketed at 06-609 Civil Term for the Plaintiff. 3. Knight has conducted extensive negotiations and discovery efforts for the Plaintiff. 4. Plaintiff has received monthly invoices for legal fees for each month of representation since January 2006. 5. Paragraph 9 of the Memorandum attached to the Plaintiff's fee agreement provides for termination of representation if the balance due for legal fees exceeds $500.00 and no payment arrangements have been accepted by Knight. 6. Plaintiff has never been current on legal fees and has had a balance due in excess of $500.00 since April 2006. 7. Despite numerous telephone conversations and several letters, Plaintiff has a current balance due of $5,872.78. 8. Granting the Motion to Withdraw will not prejudice the Plaintiff because the parties have not completed discovery and the case has not been listed for trial. WHEREFORE, Knight & Associates, P.C. and Gregory H. Knight, Esquire request that the Court issue the attached proposed Order. Respectfully submitted, KNIGHT & ASSOCIATES, P.C. 63n -CAT Gregory H. Knight, Esquire Attorney ID No. 30622 11 Roadway Drive, Suite B Carlisle, Pennsylvania 17015 (717) 249-5373 r IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA CREATIVE DISTRIBUTION, INC. No. 06-609 Civil Term Plaintiff V. CIVIL ACTION - LAW ECR TECHNOLOGIES, INC., Defendant CERTIFICATE OF SERVICE I hereby certify that I am this 14 day of -- , 2007, causing a copy of the foregoing Motion to Withdraw to be served upon the following person in the manner indicated: By U.S. First Class United States Mail, postage pre-paid on: Creative Distribution, Inc. 1159 Bower Road Shermans Dale, Pennsylvania 17090 KNIGHT & ASSOCIATES, P.C. c Gregory H. Knight, Esquire Attorney I.D. No. 30622 11 Roadway Drive, Suite B Carlisle, Pennsylvania 17015 (717) 249-5373 Attorney for Plaintiff ,. IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA CREATIVE DISTRIBUTION, INC. No. 06-609 Civil Term Plaintiff V. CIVIL ACTION - LAW ECR TECHNOLOGIES, INC., Defendant : VERIFICATION I verify that the statements made in the foregoing Reply are true and correct to the best of my knowledge, information and belief. I understand that false statements herein are made subject to the penalties of 18 Pa. C. S. Section 4904, relating to unsworn falsification to authorities. Date: ?.. ?,Q_ 7,00 Gregory H. Knight, Esquire CCU .. ?57 y=, t IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA CREATIVE DISTRIBUTION, INC. No. 06-609 Civil Term Plaintiff V. CIVIL ACTION - LAW ECR TECHNOLOGIES, INC., Defendant AMENDMENT TO MOTION TO WITHDRAW AND NOW, this (O day of August, 2007, come Knight & Associates, P.C. and Gregory H. Knight, Esquire, Counsel of Record for Plaintiff, Creative Distribution, Inc., to file an Amendment to the recently filed Motion to Withdraw, in support of which Amendment the following statements are made: 1. In accordance with Rule 208.3(a)(2) of the Cumberland County Rules of Procedure, the Honorable M.L. Ebert, Jr. issued an Order on September 11, 2006 following consideration and a hearing on Plaintiff's Motion to Compel the Scheduling of Depositions. Pursuant to the September 11, Order the parties met with Judge Ebert on October 3, 2006 and, with direction from Judge Ebert, the Defendant agreed to schedule depositions which occurred on October 30, 2006. 2. Pursuant to Rule 208.3 (a)(9), Defendant's attorney, Mark Bradshaw, Esquire, granted his concurrence to the Motion to Withdraw. Respectfully submitted, KXGHT & ASSOCIATES, PtiC. Gregory . Knight, Esquire Attorney ID No. 30622 11 Roadway Drive, Suite B Carlisle, Pennsylvania 17015 (717) 249-5373 ? . ` w IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA CREATIVE DISTRIBUTION, INC. No. 06-609 Civil Term Plaintiff V. ECR TECHNOLOGIES, INC., Defendant CIVIL ACTION - LAW CERTIFICATE OF SERVICE I hereby certify that I am this 6 T!1• day of August, 2007, causing a copy of the foregoing Amendment to Motion to Withdraw to be served upon the following person in the manner indicated: By U.S. First Class United States Mail, postage pre-paid on: Creative Distribution, Inc. 1159 Bower Road Shermans Dale, Pennsylvania 17090 Mark D. Bradshaw, Esquire Stevens and Lee 17 North Second Street, 16th Floor Harrisburg, Pennsylvania 17101 KNIGHT & ASSOCIATES, P.C. Gregory 14. Knight, Esquire Attorney I.D. No. 30622 11 Roadway Drive, Suite B Carlisle, Pennsylvania 17015 (717) 249-5373 Attorney for Plaintiff n r ? Q . sir r 1 c rn C aua 1 9 200 a? IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA CREATIVE DISTRIBUTION, INC. No. 06-609 Civil Term Plaintiff V. CIVIL ACTION - LAW ECR TECHNOLOGIES, INC., Defendant ORDER AI NOW, this 10 day of _?%?, 2007, after review of the foregoing Motion to Withdraw, it is ordered that Knight & Associates, P.C. and Gregory H. Knight, Esquire be withdrawn as Counsel of Record for Creative Distribution, Inc. in the above-captioned matter. By the Court, J. Luz Cam,