HomeMy WebLinkAbout06-3156Robert D. Kodak, Esquire
Supreme Court I.D. 18041
KNUPP, KODAK & IMBLUM, P.C.
Post Office Box 11848
407 North Front Street
Harrisburg, PA 17108-1848
717-238-7151 Fax: 717-238-7158
email: robert.kodak@verizon.net
Attorney for Citicapital Technology Finance, Inc.
CITICAPITAL TECHNOLOGY FINANCE, INC., : IN THE COURT OF
f/k/a EAB LEASING CORPORATION, by and : CUMBERLAND CO
through its BANKERS LEASING DIVISION
Plaintiff
V. : NO. 2006- .31
MICHAEL H. CASTLES CIVIL DIVISION - Lr
Defendant
NOTICE
YOU HAVE BEEN SUED IN COURT. If you wish to defend aga
pages, you must take action within twenty (20) days after this complaint and
appearance personally or by an attorney and filing in writing with the court y
set forth against you. You are warned that if you fail to do so the case may pr
be entered against you by the court without further notice for any money ch
claim or relief requested by the plaintiff. You may lose money or property
YOU SHOULD TAKE THIS PAPER TO YOUR LAWYER AT
A LAWYER, GO TO OR TELEPHONE THE OFFICE SET FORT]
PROVIDE YOU WITH INFORMATION ABOUT HIRING A LAWY]
IF YOU CANNOT AFFORD TO HIRE A LAWYER, THIS OFFICE
WITH INFORMATION ABOUT AGENCIES THAT MAY OFFER I
PERSONS AT A REDUCED FEE OR NO FEE.
CUMBERLAND COUNTY BAR ASS(
TWO LIBERTY AVENUE
4ON PLEAS
, PENNSYLVANIA
CIVIL
the claim set forth in the following
ice are served, by entering a written
defenses or objections to the claims
ed without you and a judgment may
ed in the complaint or for any other
other rights important to you.
ONCE. IF YOU DO NOT HAVE
BELOW. THIS OFFICE CAN
Y BE ABLE TO PROVIDE YOU
kL SERVICES TO ELIGIBLE
CARLISLE PA 17013
(717) 249-3166
CITICAPITAL TECHNOLOGY FINANCE, INC., : IN THE COURT OF
f/k/a EAB LEASING CORPORATION, by and : CUMBERLAND CC
through its BANKERS LEASING DIVISION
Plaintiff
V.
NO. 2006- 3 /S" G
MICHAEL H. CASTLES CIVIL DIVISION -
Defendant
COMPLAINT
The Plaintiff, CITICAPITAL TECHNOLOGY FINANCE, INC. f/
by and through its BAKERS LEASING DIVISION, by its attorneys, KNUPP,
this action of Assumpsit against the Defendant to recover the sum of
HUNDRED TWENTY DOLLARS AND SEVENTY-THREE CENTS
from January 27, 2006, at the rate of THIRTEEN DOLLARS AND SIXTY-
a cause of action of which the following is a statement:
1. The Plaintiff, CITICAPITAL TECHNOLOGY FINANCE,
existing under the laws of the State of Delaware, having its principal
Carpenter Freeway, H07-120 7 Decker, Irving, Texas 75062, and was
CORPORATION, and brings this suit through its BANKERS LEASING
2. The Defendant, MICHAEL H. CASTLES, is an adult
Ashley Court, Boiling Springs, Cumberland County, Pennsylvania 17007.
3. On or about December 21, 2001, a Pennsylvania corporation
40N PLEAS
, PENNSYLVANIA
CIVIL
W
EAB LEASING CORPORATION,
& IMBLUM, P.C., brings
-TWO THOUSAND, EIGHT
73), along with interest thereon
CENTS ($13.62) per diem upon
is a corporation organized and
and place of business at 250 East
known as EAB LEASING
with a last known address at 9
as and operating as Castles
Lumber Co. & Home Center did enter into a Lease Agreement with Plaintiff h?
for the financing of computer
F:\U SE"ONNIE30\ASSOC\ W ORK\COMP\060031 pg.comp.wpd:12Feb06
equipment. A true and correct copy of said Lease Agreement is attached
a part hereof.
4. On or about the same date, Defendant, in an effort to induce
Agreement with Castles Lumber Co. & Home Center, did enter into a
himself to pay, and thereby guaranteeing payment of, any and all monies
Lumber Co. & Home Center would become liable for to Plaintiff but not
Personal Guaranty is a part and portion of the Lease Agreement attached
hereof.
5. The corporation known as Castles Lumber Co. & Home
bankruptcy proceeding in the Middle District of Pennsylvania while still
6. The monies due and owing to Plaintiff are as follows:
marked as Exhibit "A" and made
enter into the aforesaid Lease
Guaranty with Plaintiff, obligating
the company known as Castles
A true and correct copy of the
as Exhibit "A" and made a part
did file a Chapter 7 no-asset
monies to Plaintiff.
(a) Principal and interest in the amount of Twenty-Seven ousand
Hundred Fourteen Dollars and Sixty-Nine Cents ($27, 14.69).
Plaintiff s Exhibit "B" attached hereto and made a par? hereof;
Six
See
(b) Late fees and costs in the amount of Three Thousand, ?ne Hundred
Sixty-Six Dollars and Seventy Cents ($3,166.70). S e Plaintiffs
Exhibit "B" attached hereto and made a part hereof;
(c) Accelerated interest in the amount of Four Thousand, Nine Hundred
Two Dollars and Fifty-Five Cents ($4,902.55). S Plaintiff's
Exhibit "B" attached hereto and made a part hereof; an(d) Attorney's fees, per the terms of the Contract as attac ed hereto at
Exhibit "A" and made a part hereof, in the amo t of Seven
Thousand, One Hundred Thirty-Six Dollars and Seven -Nine Cents
($7,136.79).
F:\USER\BONNIEJO\ASSOC\WORK\COMP\060031pg-comp.wpd:l2FebO6 2
7. All credits due and owing to the business known as Castles
credited to the account.
8. The total balance due and owing by Defendant, pursuant to
sum of Forty-Two Thousand, Eight Hundred Twenty Dollars and Seventy-
9. Plaintiff has demanded payment from Defendant of said
Defendant has refused and neglected and still refuses and neglects to pay
WHEREFORE, Plaintiffbringsthis suit to recover from Defendant the
EIGHT HUNDRED TWENTY DOLLARS AND SEVENTY-THREE
thereon from January 27, 2006, at the rate of THIRTEEN DOLLARS AND
diem.
Respectfully submitted,
KNUPP, KODAK &
Robert D. Kodak
407 North Front Street
Post Office Box #11848
Harrisburg, PA 17108-
(717) 238-7151
Attorney ID No. 18041
Attorney for Plaintiff
Co. & Home Center have been
Guaranty, to Plaintiff is the
Cents ($42,820.73).
due and owing as aforesaid, but
amount of any part thereof.
of FORTY-TWO THOUSAND,
($42,820.73), along with interest
-TWO CENTS ($13.62) per
P.C.
848
F:\USER\BOWEJO\ASSOC\W ORK\COMP\060031 pg-wmp.wpd:l2Feb06
2T-01-2006 1619 From-COMRCIAL BANKRUPTCY 972 652 1234 7-211 P.004/013 F-252
011-126267-000
• ; If c ?reemtnt { ?Teaman j fi ten pnMen in IA n3lien Ne a Ins -NNS 1'0u aAa f(Wy in ;, d Ayrremen .
ax meat you, onr [NXwwo.. she fester: w$ich is the CCSromer indicated below, 1Yhen Ave use the words Me. Sr and w in Nis ASrHment t-c mean the Leave.
Bankers Leating ?Issoria•ion, a dirision OfEaB Leaning Corp. Our address is 4201 Lake Coak Road, Soerhbraok, TL 2. CHU phone nomeer Ii SW el-104,
Cuswmer Nam! Apr"mMt Number 1
CAST L MEER 011 11 HOME CENTER
a
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APO rAQ
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pea am appl male box if no bra is CAddwd or if more Man one hat you arc required tO Provide and mantas baufanee Te61ad to RN
a m tsnaCeed. ese FairMarvel Value Pureness Option tailapply. Equ'oneffl, and to any pre My. user Sn0 ddW Was Nialed to this
I a pvrenayt Down
Agreement or the Eq I
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a
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Fair MsYdeTVawea 10 %dthe TOUl Gear Pita
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Ageempll,l N you
ale fml+a
emitL you agree to Ium)an US Witt
PLUS APPLICABLE TAXES Oepafoomfividence youreaerpi
You Stir" to pay u II M YOU Sign SUS Apfeomenl:
Ong?nal Term lMOnMS): 60 Rental Payment 51,761.38 A)AdVanae Rent!
tExOV mend 1 (Mot) =S ntRtae
ae of apps®Me uses)
t PLUS APPLICABLE
TAXES
B) One- lme Dw
fan Pee =5 ae On
Adailivnd Provo ova --2 ? C) Total VIA I B =5 "in AR
R more seen one Rev Payment is required in aavarce, du
Additional amawl YAN applied at the end at ft original or
any r~I lean,
ay SIGNING T9S AGREEMENT. (I) YOU ACKNOWLEDGE THAT YOU HAVE RPAb MO LINOERSTAND TN TERMS AND CONDITIONS ON THE FRONT
ANO BALK OF THIS AGIIEEMEN7 (10 YOU AGREE TNA7 YOU CANNOT TERMINATE OR CANCEL THIS AG
OBUWTION T] MAKE ALL PAYMENTS DUE UNDER THIS AGREEMENT, AND YDV CANNOT WITHHOLD, S EEMEN7, YOU HAVE All UNCONDITIONAL
OFF OR REDUCE SUCH PAYMENTS FOR
ANY REASON 1111) YOU NSLL USE THE ECUIPMEM• ONLY FOR BUSINESS PLIRP069S (IV) YOU MM W THAT THE PERSON SIGNING THIS
yLS AGREEMENT FOR YOU HAS THE AUTHORITY TO 00 SO AND TO GRANT THE POVaER OF ATTORNEY SET ORTH IN SECTION 7 OF THIS AGREEMENT
M YOU CONPRM THAT YOU DECIDED TO ENTER IWO THIS AGREEMENT RATHER THAN PURCHASE Th EQUIPMENT FOR rt5 TOTAI CASH PRICE
AND 04) YOU AGREE THAT THIS AGREEMENT WILL BE GOVERNED BY THE LAWS OF THE STATE F ILUNOIS AND YOU CONSENT ip THE
JURISDICTION OF ANY COURT LOCATED IMTKiN ILLINGIS. YOU AMO'* EXPRESSLY V-!A{VE ANY RIGHTS 0ATRIAL BY JURY.
Brokers Leasing Association, a SRWaion of EA6 Leasing Corp. CASTLES LUMSE CO .6 HOME CENTER
Isswr . ?
ll
Cunomf ? -
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to uglont aWre
MICHAEL CASTL
-
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r • Prim Name d 71In, M b rem
N214 & Title OMC
iH£ PERSONAL (ALtMNtt CREATES sP6aM LG0109lIGA110NS, When w use ae seat pa ins Prow Uis Permed Go a , w mean ae Prrtald GuaandRa) Inaeard eeYn
VRen Ra CC Pe cads r,F vs, and Grin Ulh PeraenY Guardle, w won etroum Leine AeDDadaM1 a akte,I at fAB loop Corp . In rANdaalgn of as tnelap nN dM Ieae APeHIIaN
wendred Maw ThlRaeeal. You umwmdllw W NO Int-ocmly INISAMNE R a. M uw%M aid Jduam the POW PRIWI and of al aMgran d be Cgener oeMNed SM"
(UlSTOMER1 andM MAgrolroLL Yea ad!etBM lJa isepurarydpamdm am ndaaarcmn, sAO Mwtem ORaerd dax4 till Maul RtlPMalSN9 won IN GUST(XUfga
apeNl tlld todPm!nl IS Writers Ce-atl by ae Adgwren4 You wM a ddeeat And ntllnL incNdnp twee N dNgst ale sear". YOa spree to M can Mw swat r
edNRim moGy NU Matt d he ApneelneM aw yRn wM ere agiM A eaN dlrM. d M OJSTOMERatlatp V Wr uro AgRanMtlOU i WwredpoY pMam to othgrANa at an CUSTOMER
uMNtllt,lgrwne-, intlu0yq. hll nalpmiW l1) P4wP>t anMl?a aJa NKa Nt AgRelllnt vW WI WrIP Uf ale?wbneaiKAAmga a (4011 waw" by IS in a." w dais Spadaww
to CUSTOMER Tfe'o a oanasurq owsmy •Nch tails nor be dig&ZI d or aTCad 07 Vera wean ad WI 04 ear Adm ON perem
Ir mate own oR o1RMS yaaron Iot
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Samo fit Paeotp Gyarieb. eW a you apse sail your LGIAy b Idm alit eewa. Vow was wed arrear sal you spy to Mad far aoa a pNttayng ay!spRaaa a prlAed mz: You
7YAwoM d w dap I Coat NSW deem tagaai; Pre WOW code ale no" eny oft eras irquHo aM we were neeMay. THI G PERSQ4AL GUARANTY B GOVERNED BY THE L,;!&5
O OF THE STATE OF ILLINOIS. YOU CONWff 70 T% JURISDICTION Of ANY LOCAL STATE OR FWARAL CCURT LOCATED WITH LUNGS. YOU EXPRESSLY WVA14 ANY RIGHT 70 A
TRIALBYJ
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MICHAEEVCas-'L£s !Z- -o
nn .n e e
9 ASHLEY COL RT, BOILING SPRING, PA 17007
n , , p a
063 1685
Bawal ' NUneer P1lpne ML"M Soelal Socunly Number Phone NUmotf
27-01-2006 16:39 From-COMMERCIAL BANKRUPTCY
21
972 652 123d i T-211 P.005/013 F-252
in the Egmpwm. Yuu wiltdal r to ua SI&Md OAVRn aummems or Malt, II¢1y11e 110 ft
r teal to yyrnte[I mr rNeri5la nrlef thISfII ?A?rreememBU.FY 7A?UfTt?ROR?EAZNE pUS'CO MI,E A
COROI R D?f7E AS AS A aANC S!•AT•EA4s7dyVAND DF ON APPO
LqPE UR BEHALF FTNAN G S Y pTT?DFyX?ps?GG p1E? FRB S
YO
UNDER THIS AGtREEh'lspfl' IN EQU17 AND ANY COLLATERAL
PROVIDED BY YOU.
8. DEFAULT.-F,acu of Was foll4lwing is a 'Default' under [his_Agreemem: (,) you sad to
In one
we
m yon I
lwaer a
No
we
We
if Article ZA Of 9st
I will be ealt4dared A
ac suplect n arty
If be Default CA
a
WIMIi any rq
10 COhMit any Wallis. JR&I C r P-MI0911. Yft Will-MY elliflibild property labor with jjjfi Ill
1]. MDP.hDil
cuts and attic
5, LOSS OR DAMAGE. As
between you algid
us. you are reaponible per arty loss, well or otherwise Otna
tsaasnon, or
p
IN
o
Jerlromm, It. or damage to the Egmpmem IeAllecaNdy 'Lass'I from any eau" as all, reimlvuse us h
wheat of tom insured, uuil it w delivered the us at Ill, end of this Agreemom. you are
fequireJ to make all Reno Payments even if diet[ is a Lass. Yet must notify us in writing 14. ADDM(:
I.,. Ml sup Loss. Then, at par uon, you will closer (a) ,tewwit the Equipmesu so ulal
I; is in plea condition and Working muder, ellqglme for any mamtacwnr's ceruf"'Ali" or
Iol pa)' ua alt ;,ni spe w0ed in Section 91b) belo is In eribel, Yya
goods. IT AIA
l i
w, genera
lllaogl
e. INSURANCE. You Will provide and mainutn at your eltpeme la) properly insurance
a9aiml The was. then Or detraction of
or da 9a lo
ale IE
ui
lnem fn its 1411
e
e
l created by this
1-111*Jr they i
,
,
q
p
p
r
acem
nt
.blue naming a s; loss payee. and (b) public fiabnay and third pmry Properly insurance.
!5. CREDIT
laming us As Additional looted. You will give us eerbfteotes or colter evWalwa of ouch U
RE
AU RE
tl
usurAwee when Mounted. Such insurance will be in a form, amoum and with companies p
E7
?
NS
Acceptable to us, and will provide that we will be given 30 day, advance recite claim
orientati
rul ch
h i
f INPORR
Iva
on or mwe
suc
ange o
nsurance. Uyco do nor give us evulem:e of insurance
aceeeppWOIC b Yi
We ho.l as teghl
brit MI the atsli
atl
in A
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MR
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,
g
on.
a
e g
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er properly
insurance
or Inability Imuraoce or bog proltctbtg w? sad at your eapelRe, Your eapeme Inay include
Inc lull Dremlum paid by Iss
lrol nutted by any rttdrl m retold or a
aid n
I
d T I
EDIT BU
.
p
IR
any
an
.usteanan cnugu or im o ours am of Wr ggnnecea((s1 aaSOtial4l Witte such kuntraaes. You,
agree a pa
svcn ampums m o
le
l
1 i
t
y
nwJ
n
Wa
ro alloraial a exh Renal Payment plus interest
on such amounw m alt lefim of the hlgheu tine permitted by taw or 1.55 per month. If
IllanfanCt If
IACW b
n•QU Wi0
W
t
la i
. AOSCEW
Agreement alai
P
y
,
Loopefa
e W
our ImnrLke agent with respect to the
plattmenl of imupnm and alt ptaeeuag of [Varms. Nothing in aB A? 7menltm will create Egapmem. TI
terms aria ON
an nYwlrwlte relnilauhip or:,try type benwern os and airy Malt, ptnson. Ydu AtlcnolvlNee it= however, that
we arc rim reyolled io sear, a malraoin any imuranee, and we will dot be liable a you if We ar G ob.i
terrnnmi[ any ,rvurJnce cue [rage tnat we arrange. 1( re replace ur renew am lrnurance uroor rah Aar
• nag<. We are not mliga ed to provide rcpteeemem or rettewal coverage teller tile same
rvnni. Gosh; hone, or eaMNI9m +c the previous mveraga Yoe ""by Appoint na as yusr
muenev
et to mak
hi
t .it.. stint M
mailed by [trill
-m e
e c
me
ar, ,[cram poymem o!. >dd eaecure and tensional all
ancJmenta, clle[ea or drafts Ira loss m aamaga tamer aq a! ymr imumnce pelilMes, shown tan the I
writug) With P
7. TITI.Fs RkCORDING. We we Ille owner o(ano will hold rice lu the Equipmen10 a Cepl of proceeding I
dl[ IttnIINIIpO
in JIC taunt, an Equlpnwm I: IleanatJ sorm-are In vi "m ym Shael mehnam a perpetual appiltr it dour!
rlgnl .d Jae bra poawu such whwjr: a
n
d shall abaMon such perpenwl right aI me end of any as appUtabJe, f
'
'
.1are[nlem Jmeaa %no pJKrbe me .yummmmom in accordance will ill's Agreement. If Any
o
m pgymenl that hl
ral person
empu to clkai wmsunip dlale 61NipnlN b auemlg qwt [bun agaidi excess will be
m u;ryugn li u agree. q your eapems 10 pnxacland a.1[nd our une to the Eaepmni.
Ypu wl keep a Equipment free of All liens and
c
umbr
d
h
ll Agrecmcm, wit
aul W
OdL,
em
ws
sum s
n an
a
glyc wee
Immedwltnonce if am, legal arpabxs or lien isassertW a made gains'the Equipment; 11 this
Ifawcnlo
d
d
l e
,
Jpon our and d
eeme
n o
la be a
ease ImewleJ IN semuiry, acn yoJ grad uy a sceuwty lreercn lna Apeament
uuon or
""ON. Y
dkertveh"
or RipKr
ry of the I
we real
S
I IQ ECuVK
me (of ally loseas, damages
tether based an a theory a
wfXwte, im4allatied OWN
A) any demob in the Eauto"
N agaim any Chnms.
silicon Where the Uniform
R in ill the property ye d, c
a+utl. accoulas receivable,
at aW related arocNdi. At
the terms
al
sc
g,.
w
remaining
Jnden au
2T-Ot-2096 16:30 From-COMffRCIAL BANKRUPTCY 972 652 1234 T-211 P.006/013 F-252
Exhibit A
VENDOR: CCI/Triad, PO Box 160700, Ausdn, TX 78746
QTy moos
DESCRIPTION
Leaser 011-126267-000
Page 1 of 2
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1 M5642 Ad.,PM4 AOCwMa Reaehaa iel
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27-0.1-2006 16:40 From-COMRRCIAL BANKRUPTCY
072 652 1234 T-211 P-007/019 F-252
Page 2 of 2
I I IH2391L IFDT Meee FDa $011m J
] N]324L Saral Imonx Pmkr
7 hN1' n'MMOSeeoner
1 He{17P nand Meld Ennner
1
1
BANKERS LEASING ASSOCIATION,
A DIVISION DOFF FAB LEASING CORP.
By
Name:
Title:
Date:
Castles Lumber Co. & Home Center
Name: Michael
Title:
Date:W / 4--
27-01-2006 16:40
From-COMRCIAL BANKRUPTCY 272 652 1294 T-211 P.008/013 F-252
011-126267-000
ADDENDUM TO LEASE NUMBER
BETWEEN
BANKERS LEASING ASSOCIATION, a division of EAB 1 easing Corp.
(LESSOR)
This Addendum shall govern, notwithstanding anything to the contary, conte{ined in the Lease.
Upon expiration of the initial lease term, and assuming that no defalt has occurred and is continuing,
Lessee must purchase the Equipment from Lessor at the end of the initial lease term for a sum equal to
10% of the original Equipment Cost which is $5,478.20 plus all applicable taxes. Lessee must tender
payment within ten (10) days subsequent to the end of the initial, or any re ewal, lease term.
IN WITNESS WHEREOF, Lessor and Lessee have executed this Addendum to the Lease as of the
day of 2001.
BANKERS LEASING ASSOCIATION
a division of EAB Leasing Corp
By:_ Y&W4
Namc. /r,4wr Ni(gCt_
By:
Name: Michael
Titk: ^ In
27-01-2006 16:40 From-COMERCIAL BANKRUPTCY 972 652 1234 T-211 P.009/019 F-252
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SANNERR LEASING ASSOCIATION,
A DIVISION OF EAR LEASING CORP.
Castles Lumber Co, 4 Home Canter
By. Oy;M2 1IZLtIG
Name Name: MIMMII Gaines
Tills
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From-COIAERCIAL BANKRUPTCY
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011-126267-000
AMENDMENT #1TO
LEASE AGREEMENT DATED AS OF _
BETWEEN
BANKERS LEASING ASSOCIATION, A DIVISI
EAB LEASING CORP., AS "LESSOR"
AND
Castles Lumber Co Nome Center
AS "Lessee"
This
entered into in accordance with the
hereby/ incorporated herein and made a part hereof. In the
the terms of the Equipment Lease Agreement and this An
Amendment shall prevail.
The correct legal name to read: Castles Lumber Co.
In all other respects, the terms and conditions of the Equipment
remain in full force and effect as originally written.
IN WITNESS WHEREOF, the parties hereto, by their authori:
executed this Amendment at the date set forth below their respec
A facsimile transmitted document including fac
signatures thereon shall be deemed an original
Lessor:
BANKERS LEASING ASSOCIATION A
DIVISION OF EAB LEASING CORP.
BY: _ "jt
NAME: rtw Niwrur
TITLE: A(A-
DATE: ?-/ /-) 1°'/
Lessee:
Castles Lumber I
BY
NAME: Michael C
TITLE: President
DATgZ-.2&
OF
Lease
of a conflict between
?nt. the terms of this
Agreement shall
m signatories, have
signatures.
le transmitted
05-26-2006 04:05pm From-
VERIFICA ION
T-216 P.002/002 F-261
tl*Mt) I?kl
of CITICAPITAL TECHNOLOGY FINANCE, INC., f/Wa EAB LEASING ORP., by and through its BANKERS
LEASING DIVISION, verify that the statements made inthe aforegoing doe t are true and correct. I understand
that false statements herein are made subjeet to the penalties of IS Pa. C. S. §4 4, relating to unwornfalsification
to authorities.
CITICAPITAL
By:
Tide:
Dated:
FINANCE, INC.
3060031
F:IUWR190NNIF]04hSSOC1 W ORKICOMPW60031pg-eaop.wpd:11Feb06
Jan
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G to
CITICAPITAL TECHNOLOGY FINANCE, INC.,
f/k/a EAB LEASING CORPORATION, by and
through its BANKERS LEASING DIVISION
Plaintiff
V.
MICHAEL H. CASTLES
TO THE PROTHONOTARY:
TO:
Defendant
IN THE COURT OF COMMON PLEAS OF
CUMBERLAND COUNTY, PENNSYLVANIA
NO. 2006-3156 CIVIL TERM
CIVIL ACTION - LAW
PRAECIPE TO REINSTATE COMPLAINT
Please reinstate the Complaint in the above-referenced rrya fo service upon the Defendant.
Cumberland County
Prothonotary
Dated: July 13. 2006
Robert D. Kodak
Attorney I.D. No. 18041
Attorney for Plaintiff
#3-06-0031
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CITICAPITAL TECHNOLOGY FINANCE IN THE COURT OF COMMON PLEAS,
f/k/a EAB LEASING CORPORATION, by and CUMBERLAND COUNTY,
through its BANKERS LEASING DIVISION PENNSYLVANIA
Plaintiff
NO. 2006-3156
V.
CIVIL ACTION -- LAW
MICHAEL H. CASTLES
Defendant JURY TRIAL DEMANDED
NOTICE TO PLEAD
TO: Robert D. Kodak, Esquire
KNUPP, KODAK & IMBLUM, P.C.
Post Office Box 11848
407 North Front Street
Harrisburg, Pennsylvania 17108-1848
You are hereby notified that you have twenty (20) days in which to plead to the enclosed
Answer and New Matter or a Default Judgment may be entered against you.
Date: Octoberc-?'d , 2006
RRIEN, BA & SC R
1
David A. Baric, Esquire
I.D. #44853
19 West South Street
Carlisle, Pennsylvania 17013
(717) 249-6873
Attorney for Defendant
CITICAPITAL TECHNOLOGY FINANCE IN THE COURT OF COMMON PLEAS,
f/k/a EAB LEASING CORPORATION, by and CUMBERLAND COUNTY,
through its BANKERS LEASING DIVISION PENNSYLVANIA
Plaintiff
NO. 2006-3156
V.
CIVIL ACTION - LAW
MICHAEL H. CASTLES
Defendant JURY TRIAL DEMANDED
ANSWER AND NEW MATTER
NOW, comes Defendant, Michael H. Castles ("Castles"), by and through its attorneys,
O'BRIEN, BARIC & SCHERER, and files the within Answer and New Matter and, in support thereof,
sets forth the following:
1. Admitted.
2. Admitted.
3. Admitted.
4. Denied as stated. To the contrary, Plaintiff, as an experienced lender, provided
Defendant, an unrepresented individual, a pre-printed form constituting an adhesion contract with non-
negotiable terms. Defendant, without any power to bargain, had no choice but to sign the personal
guaranty. To the extent these averments imply that Defendant was bound to pay the debt of Castles
Lumber Co. & Home Center, the averments are denied. To the contrary, Defendant was not bound to
pay the debt of Castles Lumber Co. & Home Center.
5. Admitted.
6. After reasonable investigation, Defendant is without information or knowledge sufficient
to form a belief as to the truth of these averments and they are, therefore, denied. Strict proof thereof is
demanded at trial.
7. After reasonable investigation, Defendant is without information or knowledge sufficient
to form a belief as to the truth of these averments and they are, therefore, denied. Strict proof thereof is
demanded at trial.
8. After reasonable investigation, Castles is without information or knowledge sufficient to
form a belief as to the truth of this averment and it is, therefore, denied. Strict proof thereof is
demanded at trial.
9. Denied as stated. To the contrary, Defendant has attempted to negotiate a repayment
price with Plaintiff; however, Plaintiff has refused to negotiate and has provided no accounting of the
debt allegedly due.
WHEREFORE, Defendant requests that judgment be entered in his favor and against Plaintiff
and that Defendant be awarded his costs and expenses.
NEW MATTER
10. Plaintiff's Complaint fails to aver that Defendant stopped paying on the Lease
Agreement and therefore, Plaintiff's Complaint fails to state a cause of action upon which relief may be
granted.
11. Plaintiff's Complaint fails to state with specificity the time of Defendant's default on the
Lease Agreement and therefore, Plaintiff's Complaint violates Pa.R.C.P. 1019(f).
12. Plaintiff's Complaint references an Exhibit B that is allegedly attached to Plaintiff's
Complaint; however, Plaintiff filed the Complaint without attaching any document labeled as Exhibit B
and therefore, Plaintiff's Complaint violates Pa.R.C.P. 1019(i).
13. Plaintiff's action is barred by the statute of limitations.
14. On December 21, 2001, Plaintiff and Defendant entered into the Lease Agreement.
15. On June 2, 2006, Plaintiff filed his Complaint.
16. Plaintiff's Complaint failed to state a date on which Defendant breached the Lease
Agreement.
17. Pennsylvania's statute of limitations for contract claims is four (4) years. 42 Pa.C.S.A. §
5525.
18. On or about February 9, 2002, the parties entered into an amendment to the Lease
Agreement as attached to Plaintiff's complaint being Amendment #1.
19. Amendment #1 changed the Lessee to Castles Lumber Co.
20. Defendant executed no personal guaranty for the obligations of Castles Lumber Co.
21. Plaintiff's claim of a personal guaranty by Defendant for the debt of Castles Lumber Co.
violates the Statute of Frauds. 33 P.S. §3.
22. The Lease Agreement and alleged personal guaranty are contract's of adhesion.
23. No consideration was given for the document referenced as Amendment #1.
24. Plaintiff has failed to pursue the proper party, Castles Lumber Co. to recover the debt.
25. Plaintiff's complaint contains no averments regarding its attempt to recover any debt
from Castles Lumber Co.
26. Defendant signed Amendment #1 only in his capacity as an officer of Castles Lumber
Co.
WHEREFORE, Defendant requests that judgment be entered in his favor and against Plaintiff
together with costs and expenses.
Respectfully submitted,
g'BRIEN & SERER
David A. Baric, Esquire
I.D. #44853
19 West South Street
Carlisle, Pennsylvania 17013
(717) 249-6873
Attorney for Defendant
CITICAPITAL TECHNOLOGY FINANCE
f/k/a EAB LEASING CORPORATION, by and
through its BANKERS LEASING DIVISION
Plaintiff
V.
MICHAEL H. CASTLES
Defendant
IN THE COURT OF COMMON PLEAS,
CUMBERLAND COUNTY,
PENNSYLVANIA
NO. 2006-3156
CIVIL ACTION - LAW
JURY TRIAL DEMANDED
VERIFICATION
I, Michael H. Castles, verify that the statements made in the foregoing Answer and New Matter
are true and correct to the best of my knowledge, information and belief.
I hereby ratify the verification previously supplied by my attorney, David A. Baric, Esquire and
execute this verification as a substituted verification.
I understand that false statements herein are made subject to the penalties of 18 Pa.C.S. §4904
relating to unsworn falsifications to authorities.
-1-- j #
Michael H. Castles
Date: October aJ , 2006
CITICAPITAL TECHNOLOGY FINANCE IN THE COURT OF COMMON PLEAS,
fWa EAB LEASING CORPORATION, by and CUMBERLAND COUNTY,
through its BANKERS LEASING DIVISION PENNSYLVANIA
Plaintiff
NO. 2006-3156
V.
CIVIL ACTION - LAW
MICHAEL H. CASTLES
Defendant JURY TRIAL DEMANDED
CERTIFICATE OF SERVICE
I hereby certify that on October AD , 2006, I, Andrea M. Barrick, Secretary to David A. Baric,
Esquire, did serve a copy of the Answer and New Matter, by first class U.S. mail, postage prepaid, to the
party listed below, as follows:
Robert D. Kodak, Esquire
KNUPP, KODAK & IMBLUM, P.C.
Post Office Box 11848
407 North Front Street
Harrisburg, Pennsylvania 17108-1848
Andrea M. Barrick
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Robert D. Kodak, Esquire
Supreme Court I.D. 18041
KODAK & IMBLUM, P.C.
Post Office Box 11848
407 North Front Street
Harrisburg, PA 17108-1848
717-238-7152 Fax: 717-238-7158
email: robert.kodak@verizon.net
Attorney for Citicapital Technology Finance, Inc.
CITICAPITAL TECHNOLOGY FINANCE, INC., : IN THE COURT OF COMMON PLEAS
fVa EAB LEASING CORPORATION, by and
through its BANKERS LEASING DIVISION
Plaintiff
: CUMBERLAND COUNTY, PENNSYLVANIA
V.
MICHAEL H. CASTLES
Defendant
: NO. 2006-3156 CIVIL TERM
: CIVIL DIVISION -LAW
NOTICE
YOU HAVE BEEN SUED IN COURT. If you wish to defend against the claim 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 an 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, 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.
CUMBERLAND COUNTY BAR ASSOCIATION
TWO LIBERTY AVENUE
CARLISLE PA 17013
(717) 249-3166
CITICAPITAL TECHNOLOGY FINANCE, INC.,
fWa EAB LEASING CORPORATION, by and
through its BANKERS LEASING DIVISION
Plaintiff
V.
MICHAEL H. CASTLES
Defendant
: IN THE COURT OF COMMON PLEAS
: CUMBERLAND COUNTY, PENNSYLVANIA
NO. 2006-3156 CIVIL TERM
CIVIL DIVISION -LAW
AMENDED COMPLAINT
The Plaintiff, CITICAPITAL TECHNOLOGY FINANCE, INC. f/k(a EAB LEASING CORPORATION,
by and through its BAKERS LEASING DIVISION, by its attorneys, KODAK & IMBLUM, P.C., brings this action
of Assumpsit against the Defendant to recover the sum of FORTY-TWO THOUSAND, EIGHT HUNDRED
TWENTY DOLLARS AND SEVENTY-THREE CENTS ($42,820.73), along with interest thereon from January
27, 2006, at the rate of THIRTEEN DOLLARS AND SIXTY-TWO CENTS ($13.62) per diem upon a cause of
action of which the following is a statement:
1. The Plaintiff, CITICAPITAL TECHNOLOGY FINANCE, INC., is a corporation organized and
existing under the laws of the State of Delaware, having its principal office and place of business at 250 East
Carpenter Freeway, H07-120 7 Decker, Irving, Texas 75062, and was formerly known as EAB LEASING
CORPORATION, and brings this suit through its BANKERS LEASING DIVISION.
2. The Defendant, MICHAEL H. CASTLES, is an adult individual with a last known address at 9
Ashley Court, Boiling Springs, Cumberland County, Pennsylvania 17007.
3. On or about December 21, 2001, a Pennsylvania corporation known as and operating as Castles
Lumber Co. & Home Center did enter into a Lease Agreement with Plaintiff herein for the financing of computer
F:\USER\BONNIEJO\ASSOC\WORK\COMP\060031 pg-comp.wpd:07Nov06
equipment. A true and correct copy of said Lease Agreement is attached hereto, marked as Exhibit "A" and made
a part hereof.
4. On or about the same date, Defendant, in an effort to induce Plaintiff to enter into the aforesaid Lease
Agreement with Castles Lumber Co. & Home Center, did enter into a Personal Guaranty with Plaintiff, obligating
himself to pay, and thereby guaranteeing payment of, any and all monies which the company known as Castles
Lumber Co. & Home Center would become liable for to Plaintiff but not pay. A true and correct copy of the
Personal Guaranty is a part and portion of the Lease Agreement attached hereto as Exhibit "A" and made a part
hereof.
5. The corporation known as Castles Lumber Co. & Home Center did file a Chapter 7 no-asset
bankruptcy proceeding in the Middle District of Pennsylvania while still owing monies to Plaintiff.
6. The monies due and owing to Plaintiff are as follows:
(a) Principal and interest in the amount of Twenty-Seven Thousand, Six
Hundred Fourteen Dollars and Sixty-Nine Cents ($27,614.69). See
Plaintiff s Exhibit "B" attached hereto and made a part hereof,
(b) Late fees, expenses and costs in the amount of Three Thousand, One
Hundred Sixty-Six Dollars and Seventy Cents ($3,166.70). See
Plaintiff's Exhibit "B" attached hereto and made a part hereof,
(c) Accelerated interest in the amount of Four Thousand, Nine Hundred
Two Dollars and Fifty-Five Cents ($4,902.55). See Plaintiff's
Exhibit "B" attached hereto and made a part hereof; and
(d) Attorney's fees, per the terms of the Contract as attached hereto at
Exhibit "A" and made a part hereof, in the amount of Seven
Thousand, One Hundred Thirty-Six Dollars and Seventy-Nine Cents
($7,136.79).
F:\USER\BONNIEJO\ASSOC\WORK\COMP\06003Ipg-comp.wpd:300ct06 2
7. Defendant defaulted on his obligations under the Lease Agreement on or about February 1, 2005 as
set forth on Exhibit "B" attached hereto.
8. All credits due and owing to the business known as Castles Lumber Co. & Home Center have been
credited to the account.
9. The total balance due and owing by Defendant, pursuant to the Personal Guaranty, to Plaintiff is the
sum of Forty-Two Thousand, Eight Hundred Twenty Dollars and Seventy-Three Cents ($42,820.73).
10. Plaintiff has demanded payment from Defendant of said amount due and owing as aforesaid, but
Defendant has refused and neglected and still refuses and neglects to pay said amount of any part thereof.
WHEREFORE, Plaintiffbrings this suit to recover from Defendant the sum of FORTY-TWO THOUSAND,
EIGHT HUNDRED TWENTY DOLLARS AND SEVENTY-THREE CENTS ($42,820.73), along with interest
thereon from January 27, 2006, at the rate of THIRTEEN DOLLARS AND SIXTY-TWO CENTS ($13.62) per
diem.
Respectfully submitted,
KODAK &•IEMP"M. P.C.
Robert D. Kodak
407 North Front Street
Post Office Box #11848
Harrisburg, PA 17108-1848
(717) 238-7151
Attorney ID No. 18041
Attorney for Plaintiff
F:\USER\BONNIEJO\ASSOC\WORK\COMP\06003 1pg-comp.wpd:300ct06
27-01-2006 16:39 From-COMMERCIAL BANKRUPTCY 972 652 1234 T-211 1`404/013 F-252
011-126267-000
JU UL*X Y ?LhD GL's. UAJZA 1111) LO-45c .%ziccum- 1 mriG% nc+u )- V• .l -.161... ,n ..u,,. Wup-„ •. ..,, __ ......._ .._.__..__.... ,
ire mean pan, our errsromer. the lefier. uliich is the Customer indicated belo%%,. N•hen oc use the -wards we, us and our in this ASrCCMCT%L we mean the Lesiar. ,
Ranters Leasing:tssocio1on, a dirision of L148 Learfng Corp, Our address is .1201 Lake Cook Road, NoerlrbtodR, IL 60061 Our phone number 15 80U 1%?-10//9.
- CustOmcrNSrrx. Agreement Number f
CASTLES L MBER CO & HOME CENTER
o Bulin Street Acdress ! Cl / Cn mry /State + Zia Key Cdstoma( Contact
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1
w 2090 PdMFF T cTR FT ?ARLict F PA 17n13 n cS I
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p a Equipment Walton (1r ainerenf nom alaove) Tye ID Number Key Customer Contact Pnene Number
S 23.1552727 7T7 2x3.3939
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CCVrRIAC,
BOX 160709
P
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. Sales Repreaenwtive
x AUSTIN. TX 78746
W SEE @A& 01-A
(Cheri one appl cable bolt If ne box is eUcked a if mere O&M one box You are required to pfavide and maintain Insurance related 10 Ale
s ns Qmclcto, tt>f F air Marnlel Value Pt renew Option witt apply,) N Equipment and to pay any property, use and other cues regaled to this
IL Pumnaw Option Agreement or the Equipment (See Sections / and 6 do the back el the
o
w Far M*ntel VaNe
(? Fair ME rotes Value or 10 % cif the TOial Cast) Price
A9 ent•) II you are (a7FaR81ApL you agree to fUftilsfn u5 Willi
PLUS APPLICABLE TAXES Satisfactory evidence of your exemption.
You agree to pay al rifle bme you sign Itus AS(eoment:
Original Term (Montrns): 60 Rental Payment $1.161.38 A) Advance Rental Payment 1 (Moo) zS I1F 1 zn
(Etduslve of apphcatbte lades)
PLUS APPLICABLE TAXES
S) One-time Doeunnerltatian Fee =5 - 5e On
Aadilional Provis ens p
q ?n AR
C) Total of A, B =5 t7
a
It mac than one Rental Payment is required M aaverlee, the
additional amount Win be applied at the end ervw odginal or
any renewal term.
BY SIGNING THIS AGREEMENT: (1) YOU ACKNOWLEDGE THAT YOU HAVE READ AND UNDERSTAND THE TERMS AND CONDITIONS ON THE FRONT
h AND BACK OF THIS AGREEMENT (11) YOU AGREE THAT YOU CANNOT TERMINATE OR CANCEL THIS AGREEMENT, YOU HAVE AN UNCONDITIONAL
OBLIGATION TD MAKE ALL PAYMENTS DUE UNDER THIS AGREEMENT. ANO YOU CANNOT WITHHOLD, SET OFF OR REDUCE SUCH PAYMENTS FOR
?i ANY REASON (III) YOU WILL USE THE EQUIPMENT ONLY FOR BUSINESS PURPOSES (IV) YOU WARRANT THAT THE PERSON SIGNING THIS
AGREEMENT FOR YOU HAS THE AUTHORIN TO 00 SO AND TO GRANT THE POWER OF ATTORNEY SET FORTH IN SECTION 7 OF THIS AGREEMENT
(v) YOU CONF RM_THATYOU DECIDED TO ENTER INTO THIS AGREEMENT RATHER THAN PURCHASE The EQUIPMENT FOR ITS TOTAL CASH PRICE
AND M) YOU AGREE THAT THIS AGREEMENT WILL BE GOVERNED BY THE LAWS OF THE STATE OF ILUNOrS AND YOU CONSENT TO THE
JURISDICTION OF ANY COURT LOCATED WITHIN ILLINOIS. YOU AND WE EXPRESSLY WAIVE ANY RIGHTS TO A TRIAL BY JURY.
Bankers Leasing Association, a division of EAB Leasing Corp. CASTLES LUMBER CO. & HOME CENTER
4 ? a Cull
Lessor ? '?
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Authof zed Signalwe^ ?? utnorrz SngMturo 1 0
;"n "V:toc- /y A. MICHAEL CASTLES
a a Print Name & 71*1 Dale V '? Print Name d Title Dale
THS PERSONAL WARANTY CREATES SPECIFIC LEGAL OBLIGATIONS. When we use Ale w= you and yow on Nis Personal kw", we mean the Pervorial Gunrtnmr(s) tnolraVa beaw
lnnlen we title Inc w7rd5 wa, vs, and per in this Pe WAI Gaaranry, we mean Sankaa Lenw q ArAciaum a unislon at FA leasing Carp. to tolwaerabon of otter enuring nto fhb Leas AprearroM
dxntlflea abon rAtireernti ), you wrmnd*WAIY NO I fw3bly Saar In to us, aw suxessors and xYgmc me pampt paymeAt ane prblrrwre of all mtpation of ft Customer raengaed a0ft
rCUSTOMERI under ate Agreement. YDd agree hat Ads is a quarwry of paynnenf aro not of cditw, ano Ni we can proceed (few" agatrat you wlmout Smi, prome0im apoel tine QJSTOsatcR tit
atonal Inc eevipmt ill or conaloraf =vvwea by me Agreement You wane eat aeran? and rakes. incwdng nose d pmnr~t, presenlmefu, am aenGkb. Yau agree that we can termer, amend or
aplerwiae mo?tY vx terms d the ApraemeM ono you trio a nm,ro q each chaga. If the CUSTONIER delwlll wider ono agreement you will imnredlatey pertam+ an 00416W., of V% CUSTOWA
} under die Agreemee iref pai lg, but not limned to. paying as anwl 3 ova WA01 the Agrcef fit You will pat to ur an exOMSP3 irreW q ammeys (us Olcutled by to iA Mfwclny ow dots ag*v role or
Aw Cu570MER Tiis is a wNinu nq guaranlr whkh will not be d;sdWgoo at IHatad by Tax aean am wo era rout hairs and persons representatives. It more man one pmsenN 9 ararmr nos
Uped M Pvwp Gvaranly, Wen d you agree mho your habiigf is jamt and sevens You agree and consent oral you may t e :eked for any acm of proceearrlpy repterea w con,w rrw Yeu
j iullaue rd to Dotal t CfeAl bureau reoons regarDiag /ail perronai creQa std male enY Adler raednl uquai? ma we teem necGSary. TOPS PERSONAL GUARAIM IS G04RUZO 8Y T)le L;zMS
D OF THE STATE OF ILLINOIS. YOU CONSENT TO T1¢ A NSOICT)ON OF ANY LOCAL STATE OR FHO_RAL CCURT LOCATED WRHw ILU140IS. YOU EXPRESSLY WAIVE ANY RIGHT 70 A
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27-01-2006 16:39 From-COM ERCIAL BANKRUPTCY
1. LEASE AGREEMENT; DELIVERY AND ACCEPTANCE. You agree to rent the
pproperty including withwt limitation the hardware and software described on the from of Nis
Itase :gregiment (collect .zly ?pulpfneru') On the h=3 and conditions shown on the rrestt and
hack of chi- Axreemem. if you have entered into Any purchase or supply contract ('Supply
Contract') wi any So Yplier, you assign to us your rtsha under such Supply Contraci, ut
none of your obligations (other Nan the obligation to pay for me Equipment if it is accepted
by you us suuxl below; nd your timely delivery to its of such documents and assurances as we
requeim)• If you have rot entered into a Supply Contract, you authorise us to enter into A
S,apply Contract on your bclialf. You will arrange for the delivery of the Equipment to you.
Wlion oat receive the riqutpment, you Agree to u>spect it to dctermute if n is m good wort)ng
order. liii Agmcmem vile begin an the date when die Equipment is delivered toyou and Ne
Equipment will be deeince irrevocably accepD?ed by you upon our verbal confirmation of
del(verp and acceptant of me Egdipmenl. The Iniu21 Payment is cue on of before tnc date
the Equipment is delivered to you. TThhe,Renul Payments will begirt on the first day of the
month following; the dau• nk Egvippmment A delivered to yyou and shall continue thereafter to be
pad on the same day OF each sdbsequem month or other calendar period and for the time
period specified on tine from of this Agreement. Cbarges front the date of delivery of the
Equipment to the date de Re" Pa meats begin stall Ik computed by converting the Rental
payment to A daily rate Lased on a 30 day month. You will make all payments required udder
taus Agreetnem 40 us it h ucn address as we may specify in writing. You autnorite us 10 adjust
the Rental Pa ttirnt by n x more dan 19% if the actual Tog! Cash Prlee (which is :iii amounts
A lave paid in ennnee:ion with the purchase, delivery and installation of die Equipment,
it adding any trade-up arW buyout am0uuis) differi from the estimated Total Cash Price. If
any Rental Payinent or c Cher amount payable to us is not aid within 10 days of its due date.
you will pay us A We charge not to exceed 10% of each lpate payment (or such lesser rate as
ix the maximum rate site wAble under applicable law).
ANY AUTHORIZI' TO SPEAK FOR US OR TO BIND US W ANY WAY. We trans!"
to you lar the term of to t Agreement any warranties made by the mini f=19rer or Supplier
under a supply Cuntnct.
3. EQUIPMENT LOCATION; USE AND REPAIR; RLTLMN. You will keep and use the
Equipment only at the Equipment Location shown on the front of Nis Agreement. You may
not move 1114 EgwptneAt without our prior written consent. At your own cost and expense,
You will keep the Equipment in compliance with all applicable laws and in good condition,
except for ordinary we tr and tear. You will not make an) alterations, additions or
replacements to the Equip near without our prwr wriaeh consent. All xlrerations, additions and
rcpist ments will become part of the Lquipment and our property at no earl or captive to us.
e may inspect the Equilinient at any rcuo11]ble time. Vnlen you purchase the Equipment
in aet.'ordance with this As reetnem, At ate std of this Agreemeni you will Winedmle)y del Ivor
the Equipment to us in as said condition As when you received it. except for ordinary wear
and tear, to any place in die United States that we tell you, All Equipment raumed to us must
me eligible, without any additional cast by us, for any marrafaeturar's critill ation and
maintenance. or at our ofuun yyou will pay us an inspection and refurbishment fee equal to
10% of the Total Cash Prce. Vat will pay all expetisca of detnaslling, crating and shipping,
and you will insure the Eittipment for as full replacement value during shipping,
d, TAXES AND FEES. You will pay when due, either directly or to us upon our demand.
all taxes. fines and penalties relating to this Agraement or the Equipment that are now or in
Uic future uwased or levud by Any suit, local or other government audhor'iry. For Equipmerv
subjeci to ppeersonal propet,I taxes, to liquidate such taxes you agree to pay tits an annual
amount ('.1rallsed Amoumd ) which ahall be based upo>r theSqu,tppotent price (as set forth in
the onglml Supplier Invoice), reduced by depreciation Fal.,Sle4 in accordance with
upphdabte deprecation uliedules used by the a pnrcable taxing jurisdiction at the applicable
sus rate. The AWS.sra Arhou t shall be payable by you without re and to any discounts or
reduction we may obtain ty reason of early paymenu or otherwise. I6Va will file all personal
property, user of other ux returns tutdess we direct gat ahcrwaae in writing). You will pay
s processing tee equal to 10% of lily assessoci Persotal property us. We have no dbligaadon
w contest any taxes. hens c r per alfies. You will ray estimated property taxes with each Rental
payment or anrwxlly. as it voiced
S, LOSS OR DAMAGE. As between you and us, you are responsible far up) loss, theft or
demfuctnon nt. or damage to the Equipment (itolleetivcly 'Loss') from any cause at all,
whethci or not insured. u oil it is delivered to us at the end of this Agreenvam. You arc
require) to make all Items Payments even if there is a Lorca. You trust notify us in canning
imnncaiaicly of any Loss. Tien, at our updon, you will either (a I repair die Equipmem 60 uN1
4 it; in ;;d condition and working miler, cliTbic far arty manufaeturcr's certtrwa ion. or
fib) pay u, the amounts specified in Section 9 ( ) below,
o. INSURANCE. You watt provide and maintain at our expense ter) pr rty insurance
t?ainst the loss, then or de.lruction of, or damage to, ge Equipnscnt for Its full replacement
value riming us as tort payee, and (bit public, I-ubthty and third par
r% property irtsurvnce,
naming us as Additional Injured. You will gave us. Cartifigtes or ocher evidence of such
uh.uranec when requested. Such insurance will be in a fafAt, amount and with companies
acceptable to us. and will provide that we will be given 30 as), advanec notice of Arne
cancellation or material eba:lge of such insurance. 1(you do not give us evidence of insurance
acceptable to tea. we have die right, but not me obligation. to Mve either property utsurince
of liability insurance or bad protecting usplaced at your expense. Your expense may include
the lull premium paid by us (rot reduced by any credit or refund due or paid to tit) and any
ustwtarv mutes or fees a'oxus and of ourdestgnet(s) associated with such insurance. You
agree to pay such amounts in maptul irnaallrnetus afloeateal W each Rental Paymaill plus interest
on such amounts it the tester of the highest rate permitted by law or 1,591 per month. If
insurance is plaCed by tit, !'ou will cooperate with our insurance agent with respect to rte
placement at insurance and the processing of claims. Nothing in this agreamc,u will create
an uuura nee relationship of :.rW type between us and any rider permit. You acienowledle. that
we are not required to secure or ma,nain any vwrrance, and we wil l not be liable to you if we
terrromu: any inwemce cut erase that we arrange. 1r we replace or renew any insurance
:tneeag<, we ue not oblisa to to provide replaeerrxm or renewal covuacc under the same
tarns. cosh, limits. or condidam as the previous caverage, You hereby appoiit us as your
atuwnes-m-fact to make claims for, receive pivmenn of. and execute And endorse all
doeunhenis, checxs or drafts for loss or damage under ally of youi insurance polictes.
i. TITLE. RIA:ORDiNG. We are are owner of and will hold tide to the Equl Pitman
I except
to the extent the Equipment 1: licensed sofrwAre in which event yee, -fall maintain a perpewat
licit tae use mw possess such uArware and shall abandon such perpetual right at the end of ails
A1-recinem unless you purcrose the Equipment in Accordance with this Agreement. Jr .2m.
,lAr person aueraptle to cuan, uwncrship of du Equipment by assemny; titat claim against you
err turar h you. u agree. a your expense to protect and defend our title to Inc Equipment.
l'ou w)k keep the E441prnent free .t all liens std encumbratwxt. and you shill give us
iminedwte onuce if am. legal arocess or lien is asserted of nude against the'Equipmenl. 11 this
daiwruon is deemed to be a lease mtcnde4 rot security, then you grunt us a scanty interest
972 652 1234 T-211 P-005/011 F-252
in the Equipment. You will deliver to us ttgned fuartetng statements or other docurnerss we
re tleSl 1o roiect our interests under this ??Agrenitent. YOU AUTHORIZE US TO FILE A
COPY OF THLR AGREEMENT AS A FINANCING STATUMIENT AND APPOINT US
OR OUR DESIGNEE AS YOUR ATTORNEY-IN-FACT TO EX1:CI AND FILE ON
YOUR BEHALF FINANCING STATEMENTS PROTECTING OUR 1NTEkTiS'IS
UNDER THIS AGREEMENT AND IN THE EQUIPMENT AND ANY COLLATERAL
PROVIDED BY YOU.
S. DEFAULT. F,ach of the following is it 'Default' under this Agreement. (al you tall in
pay any Rental Payment or any other paynmcal within 10 days of its out date, (b) you till not
perform any of your other obligations under this Agreement or in any other agreement with
us and this failure continues for 10 days aner we nave notified you of it.(c) you become
insolvent, you dissolve or are dissolved. or you "Sign your 2SWIS for the ¢enern of yyamr
cre ditofs, or enter (volutwrity or inveiluntarily) any bankruptcy or reol'gsniaalion proceeding.
(d) any guarantor of this Aareemm dies does not perform its obligations under the guaranty
or becomes subiect to acct of the events listed in clause Ic) above.
9. REMEDIES. If a Default oc;urs, we may do one or more of the foilnwing: la) we may
cancel or terminate this Agreement or arty or All other agreemew that we have entered into
wkh yotn; (b) we may require yttd to immedwtet pay tea as eompentxlion for fits of our
bargain and not as a penalty, a sum equal to (? the present value of all unpaid Rental
Paymenp for Ne remaitxler of t1v term plW the present value of our anticipated tesidwl
interest m Nc Equipment each discounted at 696 per year, eptnpounded mtontbPy, pith (ii) all
other amounts due or that become due muter thin Xgrteurtrnt; (q we may require yvu to
deliver the E ipment to us as set forth in Section 3; (d) we or txv stem may peacefully
repossess d14i(uipment without court order dtld you will not make any claims agarttta us for
dartutgct or trespass or arty other reason and (e) we ma exercise am o0et tight err remedy
avLI7 ie 3I law or in egwey. You agree eopay ali of twr,eoas of eaforciag cur rights
worn; sell of othetviise dispose of it with or without notiec, ai le public or priv:
appl the net proceeds (after we iw.a deducted all costs reused to the sale or du
die 4- urpmem) to the amounts Mat you owe us. You agree that if notice of sale is
law to be given. 10 days notice shall constitute reasonable notice. You welt remain
for any amounts that ire due after we have applied such net proceeds
10. FINANCE AGREEMENT STATUS, You agree that if Article 2A of (lie Uniform
Commercial Cade applies to this Agreement, this Agreement will be considered a 'fnutN;e
lease' as out term is defined in Article 2A, By signing this A icemen, you agree tint timer
fa) you have reviewed. approved, and received n copy of th ! pply Contract or (b) that we
Iave informed you of the identity of Ilse Supplier, Out you may have rights under tie Su 1
Contract and that oat may contact the Supplier for a de?rrpuon of uwse m pa 70
GXTEN'h PERMTI'ED BY nppTdCAIiLE LAW, YOU WAIVE Al AND ALL
RIGHTS AND REMEDIES CONMRRED UMN A LESSEE BY ARTICLE 2A.
11. ASSIGNMENT. YOU MAY NOT ASSIGN, SELL, TRANSFER OR SUBLEASE THE
EQUIPMENT OR YOUR INTEREST IN THIS AGkiERMENT. We may, without notifying
YOU, sell, assign, or tratnfer this Agreement, and our rights in the Equipment. You agree tat
On new holder will have ilia same rights and benefits unit we have new under this Agreement
but not our obligators. The rights o this new homer will not be sul;*t to arp, claim, defense
or set off that you may have again:; us
12. PURCHASE OYf10Nt AUTOMATIC RENEWAL. If mo Default exists under this
Agreement, you will nave the option at the end of the original or arty renewal term to purchase
A (but nor less than 2111 of our interest in the Equipment at we Purchase Opp?t(ion pprice shown
on the front of this Agreement, plus applicable taxes. You must live W aMMIL 60 days, but
slot more than 90 days, wrinen noose before the and of Inc original term that you will
purchase the Equipment or than you will deliver the Equipment to us. If yon do not give cis
such written notice or if you do not porchose or deliver the Equipment in accordance
with the rents and conditions of this Agnmmetat, (Alit Agreement wig autommica
renew for an additional 12 month term and thereafter renew for successive one anomub
terns until yore deliver the Equipment to w. During such renewal(s) the Rental Payment
will remain the same. we may rannl an automatic renewal term by sending you wrwrn
nonce 10 bays prior Id such renewal term. We will use out re»nnableNdgmenl to determine
d c Equipment'
fai s fart market value. If you do not agree with our d?Zermuatidn of Ume
6quupmcnt's r marked value, the imr market value (an a retail basis) wilt be deterfiineti 2t
yrn.r expense by an irWepenuenu nppniscr seleetaf by 4 Upon payment of the Purchase
Option pace, we staall it-sr er vur interest in that ><gtnepmcna to you .15 IS. WHERE 15"
wlthotn any representation or vyA.nty whatsoever
U, INDEMNIFICATION. Yuu are responsible far any losies, damages, penalties. claims.
suits and actions (collectively 'Claims'), whMier haled on a theory of strict liabillirr ur
otherwise caused by or related to (a) the manufacture, installation ownership, use. reirat.
possession. or delivery of the Equipment or (b) any defects in the E'quiptrient. Yau agree to
reimburse us for and 0 we request, to deferrer us alrrainst any Charms.
14. ADDITIONAL SECURITY. In any )urisdicuon where the Uniform Commercial Code
is In erreet, yyou grant to us a security ttuerest in all the property you own, including Airy
goats, cnamtls. fixtures, furnsare, tgwpiment, assets. aeeoulls receivable, contract rights and
general inungibks, wnorever located ss well as any related proceeds. Any security interest
created by this agreement secures your Obligations, and obligations of any or your affilutts
(whednerihey exist now or later) to us.
I5. CREDIT INFORMATION. YOU AUTHORIZE US TO OBTAN CREDIT
BUREAU REPORTS AND MAKE OTHER CREDIT INQUIRIES TRAT WE
DETERhONE ARE i?EC£SSARY. ON YOUR WRITTEN REpU?-r WE WILL
INFORM YOU WHETHER WE HAVE R.EgUESTED A CONS1fA4tJt CREDIT
REPORT AND THB NAME AND ADDRI_SS OF ANY CONSUMER CREDIT
REPORTING AMC FURTHER NOTIC CEE?YE MAY USE OR REQUUESI AADDMONAAL
CREDIT BUREAU REPORTS TO UPDATE OUR INFORMATION.
tit. MISCELLANEOUS. You agree that the terms and conditions contained 'tat this
Agreement male up tlu entire agreement between you and us tegardirtg me rental of the
EgmP. .TATS Agreement is not binding on us until we sign it. Any change nn any of ate
terms and conditions of this Agreement must be in writing and signed by us. You agree,
however, that we are alatboraed, without novice in you. to supply misidne information
or correct atavious effort to tblx Atreeraeu. If we delay or fail to enforce any of our rights
under this Agreement. we will sulflre entitled m enforce ihose rights at a later time. All
notices shall he given in writing by inc party sending dic notice and shall be elffeCa;ve wlKil
mailca try conifed or re atereJ nail addressed tuft p;,ny receiving ate noucc at its addrasa
shown an the rron, of this agreement (or ro any other address specified by cluat pans in
writtIV) with postage prepaid. You at and consent that we may serve you tar any action
or proceeding by retiutrcd or certified mail. All of our rights And indemnities will survrcc
die termination of them Agreement. It is the express intent of the panics not to violate any
applicable usury lawi or to nxceu ate naxemum arna"iu of time price dnffuental be mtercia.
as applicable. permitted to be chttrprd or collected by applicable. law, and any such exe"r
payment will he applad to Rental armencs ill inverse oc cr of nrawrity. And any rem2imng
excess will be re unded tea YOU If you do not pertain, 2ny of your iiw;Eairons under Lilts
Agreement, we nave the rlgni, out flat the obfigution to take any action or pay any amounts
taut we tmcl'tevc are necessary to proiccn oar interests. You agree ca ituill terse us immediately
dpon our demand for An)- sucl, mnuunu trial we p2y. U more than one Customer mas Si ned
04 Aercentw each of you :¢tee nisi your liability 1s.laint and saverul. LAPlain 03.0 .01
27-01-200& 16:39
From-COMMERCIAL BANKRUPTCY 972 652 1234
Exhibit A
VENDOR: CCI/Triad, PO Box 160700, Austin, TX 78746
rATV MnrIEL DESCRIPTION
T-211 P.006/013 F-251
L6850 9 011-126267-000
Page 1 of 2
143MA 6840 Cwtee Pnnrar•Mnn Charger
He52< Ill mb ACM&S Point with Quell Amorirw 80211t;
1 HAS2C (,AT-6948MandneldTerminal limb
1 HAS22 6646 EUM Blttery
2 1013921 Connect CaMea For Windovrs POs
1 mAU306 a User Mat WA with 1 all Go Hut)
1 CS; OBE Eagle Customer UDgMde to unity Coro Pkg.
I C5506EU2 IEa.* Covomer Upgrade to unity Premium PRO C570SE rc a Pre-RequlePm
I H560 RF Suite inaudes Receiving. Snell Manager 6 Inventory
I HS5a301C Point of Sift Orr-line for wlndowe upgrade from Cnoracier Vers an woo-eased Traning
I H5545C Eagle Catalog for Wlri dows UpOrado from CharsCer version Ww8aead Training
1 H5558C ACCOUnu Receivameb PRO for Wutoowa UpOrtWe from Character Ver6ien WebBasea
I 015582C Cuomo 6 81ea PRO for Windows u raoa barn COnVactar POS WOO-Baled Training
1 h555aC Inven(wv for V*dawe Upgrede from Character Verson We"ased Training
1 H5551C Purehasno 6 Recctvtng Qpgrade from Character Versgn Wep-Besed Training
1 )45501C AGtoants Poyable Upgrade from Character Veraan Web-Duets Training -
1 M5503C General Leegar Upgrade from Character Version Web-Based Training
1 H8578 AF Survey l Instadanian per Location
I HBS79 RIF Training
1 H8590 HUM a Trio prwMe4 NenrarA 6 connect to Eagle wirer
2 H8595A Install a nan Triad PC to newerk en initial nMUlillstion of system
1 H0217 Aceounia Peyaote Training
1 H8316 General Leacer Training
1 H8516P Initial F"wart
1 H6S21P UPCFasletan
1 H5591Xx Initial Eagle Catalog
1 H8592XX Eagle Catalog Update
1 1046000 Data Fite Conversion
3 Me602 Gala F40 ComrenlOn aeddiond riles
1 H5832. Classic inventory
1 h3640 Acvenced Imronlary
1 HS63< category Pile" Plain-
1 M5692 Eagle Catalog Single Venda(
1 H5642 Ad•enoed Accounts Receivables
1 H5603 Accounts Payable
I 1,16604 General Leoger
2 )i5t 1<L PC Access Terminal Emulation
1 M97a9 Cost of Doing Business Survey
1 M5619 Eagle FAX
1 1,1511B Console Temllnal '
I HStaI Slorra Talk
1 H5623 Sierra Talk Plus
1 M5626 Sierra Invoice
I H5628 Tru Serve EFM
1 M5528 Cornett Cables Fa Wktdaws POS
M63,3 CPV insubalion
u M031< Instaildon 6 Trartvq
1 H1a933d Pentium 200
1 H8561110e 6 Momhs Awilional V1'itranty
1 hii147N MOSt COrh'Oller
27-01-2006 16:40 From-COMMERCIAL BANKRUPTCY
972 652 1234 T-211 P-.007/013 F-252
Page '2 of 2
2 H4%fN a votmnfler
1 H4467 H91X UPS
1 M2661L FDT Mono P08 Station
7 M2501 L FUT Moto Oft& Weeutatbn
2 S2512L CDT 14' Cda O05ee %ftM1t$d5A
s 3430"L System Cash Ratadpt Printer
3 M3324L Serial Inwipc PnnW
7 H4417 Hand Meld Semw
1 H4t17P Mand Hdd Scanner
1 H561 a Sam Operatina Dvvwffant Lkense
14 H5011 UNIX Usar License
1 H6143 LumneN Can""
1 468" Go( Code Seannln0
Ms6ea aukk Rean '
1 Fr ' ht
BANKERS LEASING ASSOCIATION,
A DNISION OF F.AB LEASING CORP.
By:
Name:
Title: lvc Ul
Date:
Castles Lumber Co. & Home Center
I . I'll, 1 669:?_
eyXIA
Name: Michael Castles
Date:+
27-01-2006 16:40 From-COMMERCIAL BANKRUPTCY 9T2 652 1234 T-211 P.008/013 F-252
011-126267-000
ADDENDUM TO LEASE NUMBER
BETWEEN
13ANKERS LEASING ASSOCIATION, a division of EAB Leasing Corp.
(LESSOR)
astles Lumber CC Home Center (-ES$FF)
This Addendum shall govern, notwithstanding anything to the contary contained in the Lease.
Upon expiration of the initial lease term, and assuming that no defalt has occurred andiis continuing,
Lessee must purchase the Equipment from Lessor at the end of the initial lease term for a sum equal to
10% of the original Equipment Cost which is $5,476.20 plus all applicable taxes. Lessee must tender
payment within ten (10) days subsequent to the end of the initial, or any renewal, lease term.
IN %tiITNESS WHERFOE, Lessor and Lessee have executed this Addendum to the Lease as of the
day of , 2001.
BANKERS LEASING ASSOCIATION Castles Lumber Co. & Home Center
a division of?E/AB Leasing Corp
By: _ /lsG? th By:
Name: /,,o lkiT N d*r veL?
Title: vet !?
Name: Michael Castles
Title-.@ LL,-•r r l`t? S ??Ps't/
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cr-oi-2006 16:40 From-Co"RC1AL BANKRUPTCY
972 652 1234
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FrOm-COMkCRCIAL BANKRUPTCY
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27-01-2006. 16:40 From-COMMERCIAL BANKRUPTCY
972 652 1234 T-211 P-412/013 F-252
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BANKERB LEASING ASSOCIATION.
A DIVISION OF EAS LEASING CORP.
By.
Name
Title
Dale
Castles Lumber Co. & Rome Canker
Name: Micneel Cashes
TIIIO: Q L"c',e. A-e. t!
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27-01-2006. 16:19 From-COMMERCIAL BANKRUPTCY
011126267-000
AMENDMENT #1 TO
LEASE AGREEMENT DATED AS OF _
BETWEEN
BANKERS LEASING ASSOCIATION, A DIVISION OF
EAB LEASING CORP., AS "LESSOR"
AND
Castles Lumber Co. & Home Center
AS "Lessee"
This Amendment is entered into in accordance with the
Lease Agreement
identified above- All the terms and conditions of the Equipment Lease Agreement are
hereby incorporated herein and made a part hereof. In the event of a conflict between
the terms of the Equipment Lease Agreement and this Amendment, the terms of this
Amendment shall prevail
The correct legal name to read: Castles Lumber Co.
In all ether respects, the terms and conditions of the Equipment Lease Agreement shall
remain in full force and effect as originally written.
IN WITNESS WHEREOF, the parties hereto, by their authorization signatories, have
executed this Amendment at the date set forth below their respective signatures.
A facsimile transmitted document including facsimile transmitted
signatures thereon shall be deemed an original
Lessor:
BANKERS LEASING ASSOCIATION A
DIVISION OF EAB LEASING CORP.
BY: _ _ : ?k- "A
NAME: , (14" 12 w'v- _
Lessee:
Castles Lumber Co
NAME: Michael Castles
TITLE:: k01-
DATE: y/I7I;,v
972 652 1234 T-211 P-403 . F-252
TITLE: President
DATE -
27-01-2006 16:40 From-COMMERCIAL BANKRUPTCY 972 652 1234 T-211 P-013/019 F-252
C?-+eS
i?a?laa
11-06-2006 02:10pm From-
T-337 P-006/006 F-480
Y"1FICATION
of CITICAPITAL TECHNOLOGY FINANCE, INC_, Wa EAB LEASING CORP., by and
LEASING DIVISION, verify that the statements made in the aforegoing document are true
that false statements herein are made subject to the penalties of 18 Pa. C. S. §4904, relating
to authorities.
Dated:
By:
Title-
CITICAPITA)L TECHNOLOGY
rough its BANKERS
correct. I understand
ulsworn falsification
iANCE. INC.
3060031
FAA tcF.R\130NNMJO\ASSOC\WORY-\COMP\060031 n9-como.wod:310=06
CERTIFICATE OF SERVICE
I, ROBERT D. KODAK, ESQUIRE, hereby certify that on November 7, 2006, a true and correct
copy of the AMENDED COMPLAINT in the above-captioned matterwas served upon the Defendant, via
Regular U.S. Mail , deposited at Harrisburg, Pennsylvania, addressed as follows:
DAVID A. BARIC ESQUIRE
O'BRIEN BARIC & SCHERER
19 WEST SOUTH STREET
CARLISLE, PA 17013
KODAK & IMB UM, P.C.
Robert D. Kodak, Esquire
407 North Front Street
Post Office Box 11848
Harrisburg, PA 17108-1848
(717) 238-7151
Attorney I.D. No. 18041
Attorney for Plaintiff
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CITICAPITAL TECHNOLOGY FINANCE IN THE COURT OF COMMON PLEAS,
f/k/a EAB LEASING CORPORATION, by and CUMBERLAND COUNTY,
through its BANKERS LEASING DIVISION PENNSYLVANIA
Plaintiff
NO. 2006-3156
V.
CIVIL ACTION - LAW
MICHAEL H. CASTLES
Defendant JURY TRIAL DEMANDED
NOTICE TO PLEAD
TO: Robert D. Kodak, Esquire
KNUPP, KODAK & IMBLUM, P.C.
Post Office Box 11848
407 North Front Street
Harrisburg, Pennsylvania 17108-1848
You are hereby notified that you have twenty (20) days in which to plead to the enclosed
Answer and New Matter or a Default Judgment may be entered against you.
O EN, BARIC SCHE
G
Date: IT of November 2006
David A. Baric, Esquire
I.D. #44853
19 West South Street
Carlisle, Pennsylvania 17013
(717) 249-6873
F
CITICAPITAL TECHNOLOGY FINANCE
f/k/a EAB LEASING CORPORATION, by and
through its BANKERS LEASING DIVISION
Plaintiff
V.
MICHAEL H. CASTLES
Defendant
IN THE COURT OF COMMON PLEAS,
CUMBERLAND COUNTY,
PENNSYLVANIA
NO. 2006-3156
CIVIL ACTION - LAW
: JURY TRIAL DEMANDED
ANSWER AND NEW MATTER
NOW, comes Defendant, Michael H. Castles ("Castles"), by and through his attorneys,
OBRIEN, BARIC & SCHERER, and files the within Answer and New Matter to the Amended
Complaint and, in support thereof, sets forth the following:
1. Admitted.
2. Admitted.
3. Admitted.
4. Denied as stated. To the contrary, Plaintiff, as an experienced lender, provided
Castles, an unrepresented individual, a pre-printed form constituting an adhesion contract with
non-negotiable terms. Castles, without any power to bargain, had no choice but to sign the
personal guaranty. To the extent these averments imply that Castles was bound to pay the debt
of Castles Lumber Co. & Home Center, the averments are denied. To the contrary, Castles was
not bound to pay the debt of Castles Lumber Co. & Home Center.
5. Admitted.
6. (a) After reasonable investigation, Castles is without information or knowledge
sufficient to form a belief as to the truth of this averment and it is, therefore, denied. Strict proof
thereof is demanded at trial.
I
6. (b) After reasonable investigation, Castles is without information or knowledge
sufficient to form a belief as to the truth of this averment and it is, therefore, denied. Strict proof
thereof is demanded at trial.
6. (c) After reasonable investigation, Castles is without information or knowledge
sufficient to form a belief as to the truth of this averment and it is, therefore, denied. Strict proof
thereof is demanded at trial.
6. (d) After reasonable investigation, Castles is without information or knowledge
sufficient to form a belief as to the truth of this averment and it is, therefore, denied. Strict proof
thereof is demanded at trial.
7. Denied. Exhibit B does not set forth any default by any obligor on any lease. On
the contrary, Exhibit B is merely a document of numbers without reference to any lease, any
obligor, or any default.
8. After reasonable investigation, Castles is without information or knowledge
sufficient to form a belief as to the truth of this averment and it is, therefore, denied. Strict proof
thereof is demanded at trial.
9. Denied. To the contrary, Castles does not owe Plaintiff any sum of money.
10. Denied as stated. To the contrary, Castles has attempted to negotiate a repayment
price with Plaintiff, however, Plaintiff has refused to negotiate.
WHEREFORE, Castles requests that judgment be entered in his favor and against
Plaintiff and that Castles be awarded his costs and expenses.
NEW MATTER
11. On or about February 9, 2002, the parties entered into an amendment to the Lease
Agreement as attached to Plaintiff's complaint being Amendment #1.
12. Amendment #1 changed the Lessee to Castles Lumber Co.
13. Castles executed no personal guaranty for the obligations of Castles Lumber Co.
14. Plaintiff's claim of a personal guaranty by Castles for the debt of Castles Lumber
Co. violates the Statute of Frauds. 33 P.S. § 3.
15. The Lease Agreement and alleged personal guaranty are unconscionable contracts
of adhesion and therefore, unenforceable.
16. No consideration was given for the document referenced as Amendment #1.
17. Plaintiff has failed to sue the proper party, Castles Lumber Co., to recover the
debt.
18. Plaintiff's complaint contains no averments regarding its attempt to recover any
debt from Castles Lumber Co.
19. Castles signed Amendment #1 only in his capacity as an officer of Castles
Lumber Co.
20. Plaintiff's action is barred by the statute of limitations.
21. Plaintiff s action is inequitable and therefore barred by laches.
WHEREFORE, Castles requests that judgment be entered in his favor and against
Plaintiff together with costs and expenses.
Respectfully submitted,
O'BRIEN, BARIC & SCHERER
J
-AN?za David A. Baric, Esquire
I.D. #44853
19 West South Street
Carlisle, Pennsylvania 17013
(717) 249-6873
Attorney for Defendant
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CITICAPITAL TECHNOLOGY FINANCE IN THE COURT OF COMMON PLEAS,
f/k/a EAB LEASING CORPORATION, by and CUMBERLAND COUNTY,
through its BANKERS LEASING DIVISION PENNSYLVANIA
Plaintiff
V.
MICHAEL H. CASTLES
Defendant
NO. 2006-3156
CIVIL ACTION - LAW
: JURY TRIAL DEMANDED
VERIFICATION
I verify that the statements made in the foregoing Answer and New Matter are true and
correct to the best of my knowledge, information and belief. This verification is signed by David
A. Baric, Esquire, Attorney for Defendant and is based upon the statements provided by
Defendant, as well as documents reviewed by the undersigned as attorney for Defendant. This
verification will be substituted and ratified by a verification signed by the Defendant who is
presently unavailable to sign said verification. I undersigned that false statements herein are
made subject to penalties of 18 Pa.C.S. §4904, relating to unsworn falsifications to authorities.
David A. Baric, Esquire
Dated: November lq'4, 2006
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CITICAPITAL TECHNOLOGY FINANCE IN THE COURT OF COMMON PLEAS,
f/k/a EAB LEASING CORPORATION, by and CUMBERLAND COUNTY,
through its BANKERS LEASING DIVISION PENNSYLVANIA
Plaintiff
NO. 2006-3156
V.
CIVIL ACTION - LAW
MICHAEL H. CASTLES
Defendant JURY TRIAL DEMANDED
CERTIFICATE OF SERVICE
I hereby certify that on November, 2006, I, David A. Baric, Esquire, did serve a
copy of the Answer and New Matter, by first class U.S. mail, postage prepaid, to the party listed
below, as follows:
Robert D. Kodak, Esquire
KNUPP, KODAK & IMBLUM, P.C.
Post Office Box 11848
407 North Front Street
Harrisburg, Pennsylvania 17108-1848
14U,4 '?/l
David A. Baric, Esquire
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CITICAPITAL TECHNOLOGY FINANCE
f/k/a EAB LEASING CORPORATION, by and
through its BANKERS LEASING DIVISION
Plaintiff
V.
MICHAEL H. CASTLES
Defendant
IN THE COURT OF COMMON PLEAS,
CUMBERLAND COUNTY,
PENNSYLVANIA
: NO. 2006-3156
CIVIL ACTION - LAW
: JURY TRIAL DEMANDED
PRAECIPE TO ATTACH SUBSTITUTE VERIFICATION
Please attach the following Substitute Verification to the Answer, New Matter and Counterclaim
of Michael H. Castles filed in this matter on November 14, 2006.
Respectfully submitted,
Date: November 20, 2006
O'BRIEN, BARIC & SCHE R
David A. Baric, Esquire
I.D. #44853
19 West South Street
Carlisle, Pennsylvania 17013
(717) 249-6873
Attorney for Defendant
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CITICAPITAL TECHNOLOGY FINANCE IN THE COURT OF COMMON PLEAS,
flk/a EAB LEASING CORPORATION, by and CUMBERLAND COUNTY,
through its BANKERS LEASING DIVISION PENNSYLVANIA
Plaintiff
NO. 2006-3156
V.
CIVIL ACTION - LAW
MICHAEL H. CASTLES
Defendant JURY TRIAL DEMANDED
VERIFICATION
1, Michael H. Castles, verify that the statements made in the foregoing Answer and New
Matter are true and correct to the best of my knowledge, information and belief.
I hereby ratify the verification previously supplied by my attorney, David A. Baric,
Esquire and execute this verification as a substituted verification.
I understand that false statements herein are made subject to the penalties of 18 Pa.C.S.
§4904 relating to unworn falsifications to authorities.
Ahael H. Castles
Date:
QED
CITICAPITAL TECHNOLOGY FINANCE
f/k/a EAB LEASING CORPORATION, by and
through its BANKERS LEASING DIVISION
Plaintiff
V.
MICHAEL H. CASTLES
Defendant
IN THE COURT OF COMMON PLEAS,
CUMBERLAND COUNTY,
PENNSYLVANIA
NO. 2006-3156
CIVIL ACTION - LAW
JURY TRIAL DEMANDED
CERTIFICATE OF SERVICE
I hereby certify that on November 20, 2006, I, Tina M. Ascani, of O'Brien, Baric & Scherer, did
serve a copy of the Praecipe to Attach Substitute Verification by first class U.S.P.S. mail, postage
prepaid, to the party listed below, as follows:
Robert D. Kodak, Esquire
KNUPP, KODAK & IMBLUM, P.C.
P.O. Box 11848
407 North Front Street
Harrisburg, Pennsylvania 17108-1848
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Tina M. Ascani
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SHERIFF'S RETURN - REGULAR
CASE NO: 2006-03156 P
COMMONWEALTH OF PENNSYLVANIA:
COUNTY OF CUMBERLAND
CITICAPTIAL TECHNOLOGY FINANCE
VS
CASTLES MICHAEL H
VALERIE WEARY , Sheriff or Deputy Sheriff of
Cumberland County,Pennsylvania, who being duly sworn according to law,
says, the within COMPLAINT & NOTICE was served upon
CASTLES MICHAEL H the
DEFENDANT , at 1439:00 HOURS, on the 24th day of July 2006
at 9 ASHLEY COURT
BOILING SPRINGS, PA 17007 by handing to
a true and attested copy of COMPLAINT & NOTICE
together with
and at the same time directing Her attention to the contents thereof.
Sheriff's Costs: So Answers:
Docketing 18.00
Service 4.40
Postage .39
Surcharge 10.00 R. Thomas Kline
.00
32.79,/ 07/25/2006
n
9-j5-04 KNUPP KODAK IMBLUM
Sworn and Subscibed to By: Z/ Z/. /_
before me this day Deputy S riff
of A.D.
¦
ROBERT D. KODAK, ESQUIRE
KODAK & IMBLUM, P.C.
407 N FRONT STREET, PO BOX 11848
HARRISBURG, PA 17108-1848
(717) 238-7152 (717) 238-7158
Attorney I.D. No. 18041
Attornev for Plaintiff
CITICAPITAL TECHNOLOGY
FINANCE f/k/a EAB LEASING
CORPORATION, by and through its
BANKERS LEASING DIVISION
Plaintiff
v
MICHAEL H. CASTLES
Defendant
IN THE COURT OF COMMON PLEAS
CUMBERLAND COUNTY,
PENNSYLVANIA
NO. 2006-3156
CIVIL ACTION - LAW
PLAINTIFF'S REPLY TO DEFENDANT'S NEW MATTER
The Plaintiff, CITICAPITAL TECHNOLOGY FINANCE, by its attorneys, KODAK
& IMBLUM, P.C., files its Reply to Defendant's New Matter as follows:
Plaintiff incorporates by reference the allegations contained in Paragraphs 1 through
10 of its Complaint the same as if fully set forth herein.
11. Admitted.
12. Admitted with explanation. The amendment of February 9, 2002, is very
clear in that the only thing changing was the name. The second and third paragraphs of
the Amendment states "The correct legal name to read: Castles Lumber Co. In all other
respects the terms and conditions of the equipment lease agreement shall remain in full
force and affect as originally written."
13. Denied. Defendant executed the original Personal Guaranty for the
obligations of Castles Lumber Co.
14. Denied. The allegation is a legal conclusion to which no responsive pleading
is required.
15. Denied. The allegation is a legal conclusion to which no responsive pleading
is required.
16. Denied. It is denied that Plaintiff gave no consideration for Amendment #1.
17. Denied. Plaintiff obtained Relief from the Automatic Stay in the bankruptcy
of Castles Lumber Co. , but when the Trustee for said company filed a report of no assets
and closed the file there was nothing further for Plaintiff to do in regard to Castles Lumber
Co., and the law certainly does not require a futile act.
18. Admitted in part and denied in part. Although it is admitted that Plaintiff's
Complaint does not have any averments regarding it's attempt to recover any debt from
Castles Lumber Co., per the Reply to Paragraph 17 above, Plaintiff took all steps possible
F:\ USER\ BONNIEJO\ NEWMATTE\ REPLY\ WORK\ citi cast1es3060031.wpd 2
against Castles Lumber Co. in light of the Castles Lumber Co. bankruptcy filing.
19. Denied. Defendant signed Amendment #1 in is individual capacity.
20. Denied. The allegation is a legal conclusion to which no responsive pleading
is required.
21. Denied. The allegation is a legal conclusion to which no responsive pleading
is required.
WHEREFORE, Plaintiff respectfully requests this Honorable Court to enter
judgment in its favor, and against Defendant, as prayed for in Plaintiff's Complaint.
Respectfully submitted,
KODAK & IMBLUDA6 P.C.
Robert D. Kodak, Esquire
robert.kodak@verizon.net
407 North Front Street
Post Office Box #11848
Harrisburg, PA 17108-1848
(717) 238-7152
Attorney ID No. 18041
Attorney for Plaintiff
VERIFICATION
(name) (title)
of CITICAPITAL TECHNOLOGY FINANCE, verify that the statements made in the
aforegoing Plaintiff's Reply to Defendant's New Matter are true and correct. I
understand that false statements herein are made subject to the penalties of 18 Pa. C. S.
§4904, relating to unworn falsification to authorities.
CITICAPITAL TECHNOLOGY FINANCE
Y
Title:
Dated: / - 16' LIM
3060031
CERTIFICATE OF SERVICE
I, ROBERT D. KODAK, ESQUIRE, hereby certify that on
a true and correct copy of the Plaintiff's Reply to Defendant's New Matter, in the above-
captioned matter was served upon the Defendant, via Regular U.S. Mail , deposited at
Harrisburg, Pennsylvania, addressed as follows:
DAVID A BARIC ESQUIRE
19 WEST SOUTH STREET
CARLISLE PA 17013
KODAK & IMBLUM, P.C.
Robert D. Kodak, Esquire robert.kodak@verizon.net
407 North Front Street
Post Office Box 11848
Harrisburg, PA 17108-1848
(717) 238-7152
Attorney I.D. No. 18041
Attorney for Plaintiff
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PRAECIPE FOR LISTING CASE FOR TRIAL
(Must be typewritten and submitted in duplicate)
TO THE PROTHONOTARY OF CUMBERLAND COUNTY
Please list the following case:
? for JURY trial at the next term of civil court.
¦ for trial without a jury.
CAPTION OF CASE
(entire caption must be stated in full)
CITICAPITAL TECHNOLOGY FINANCE, INC., f/k/a EAB
LEASING CORPORATION, by and through its BANKERS
LEASING DIVISION
VS.
MICHAEL H. CASTLES
Plaintiff
Defendant
(check one)
¦ Civil Action - Law
? Appeal from Arbitration
? Other
The trial list will be called on
and
Trials commence on
Pretrials will be held on
(Briefs are due S days before pretrials)
No.2006-3156 Civil
Indicate the attorney who will try case for the party who files this praecipe:
Robert D. Kodak, Esquire, Kodak & Imblum, P. C.
Indicate trial counsel for other parties if known:
David A. Baric, Esquire, O'Brien, Baric & Scherer
This case is ready for trial.
Dated: July 16, 2008
Signed:
Print Name: Robert D. Kodak
Attorney for: Plaintiff
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Robert D. Kodak, Esquire
Supreme Court I.D. 18041
KODAK & IMBLUM, P.C.
Post Office Box 11848
407 North Front Street
Harrisburg, PA 17108-1848
717-238-7152 Fax: 717-238-7158
email: robert.kodak@kodak-imblum.com
Attorney for Plaintiff
CITICAPITAL TECHNOLOGY FINANCE ftk/a IN THE COURT OF COMMON PLEAS
EAB LEASING CORPORATION, by and through : CUMBERLAND COUNTY, PENNSYLVANIA
its BANKERS LEASING DIVISION
Plaintiff
V. : NO. 2006-3156
MICHAEL H. CASTLES CIVIL ACTION -LAW
Defendant
CERTIFICATE OF SERVICE
I, ROBERT D. KODAK, ESQUIRE, hereby certify that I have this date served a true and correct copy of the
Praecipe for Listing Case for Trial in the above-captioned matter upon the below listed individual(s) by causing same
to be deposited in the United States mail, first class postage prepaid at Harrisburg, Dauphin County, Pennsylvania,
addressed as follows:
DAVID A BARIC ESQUIRE
OBRIEN BARIC & SCHERER
19 WEST SOUTH STREET
CARLISLE PA 17013
KODAK & IMBLUM, P.C.
Robert D. Kodak
Dated: 7Ah
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CITICAPITAL TECHNOLOGY
FINANCE, INC., f/k/a EAB
LEASING CORPORATION, by
and through its BANKERS
LEASING DIVISION,
Plaintiff
VS.
MICHAEL H. CASTLES,
Defendant
IN THE COURT OF COMMON PLEAS OF
CUMBERLAND COUNTY, PENNSYLVANIA
CIVIL ACTION - LAW
NO. 06-3156 CIVIL
IN RE: PRETRIAL CONFERENCE
ORDER
AND NOW, this Z 9' day of July, 2008, a pretrial conference in the above-captioned
matter is set for Monday, September 15, 2008, at 1:30 p.m. in the Chambers of the undersigned.
BY THE COURT,
Kevin X. Hess, J.
Xobert D. Kodak, Esquire
407 North Front Street
P. O. Box 11848
Harrisburg, PA 17108-1848
For the Plaintiff
avid A. Baric, Esquire
19 West South Street
Carlisle, PA 17013
For the Defendant
Court Administrator
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CITICAPITAL TECHNOLOGY
FINANCE, INC., f/k/a EAB
LEASING CORPORATION, by
and through its BANKERS
LEASING DIVISION,
Plaintiff
VS.
MICHAEL H. CASTLES,
Defendant
IN THE COURT OF COMMON PLEAS OF
CUMBERLAND COUNTY, PENNSYLVANIA
CIVIL ACTION - LAW
NO. 06-3156 CIVIL
IN RE: PRETRIAL CONFERENCE
Present at a pretrial conference held September 15, 2008, were Robert D. Kodak, Esquire,
attorney for the plaintiff, and David A. Baric, Esquire, attorney for the defendant.
This case arises out of a commercial lease executed by the defendant as an officer of
Castles Lumber Company and Home Center. Specifically at issue is the enforceability of a
purported personal guarantee of the lease obligations undertaken by the defendant.
Counsel indicated that there will only be two witnesses and the matter should require not
more than one-half day to try. The defendant has also raised a question concerning the amount
of accelerated interest and attorney's fees. It is anticipated that the plaintiff's billing statements
with respect to attorneys' fees will come in by stipulation.
The undersigned is personally acquainted and friendly with the defendant, Michael
Castles. Given the nature of the lawsuit, it would appear appropriate that this matter be
reassigned to another judge without the necessity of another pretrial conference. In the
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meantime, the parties continue to negotiate with regard to a possible resolution short of trial.
September 15, 2008 - 11"-71
Kevin . Hess, I
/Robert D. Kodak, Esquire
407 North Front Street
P. O. Box 11848
Harrisburg, PA 17108-1848
For the Plaintiff
avid A. Baric, Esquire
19 West South Street
Carlisle, PA 17013
For the Defendant
Court Administrator
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CITICAPITAL TECHNOLOGY
FINANCE, INC., f/k/a EAB
LEASING CORPORATION, by and
Through its BANKERS LEASING
DIVISION
V.
MICHAEL H. CASTLES
: IN THE COURT OF COMMON PLEAS OF
: CUMBERLAND COUNTY, PENNSYLVANIA
2006 - 3156 CIVIL TERM
CIVIL ACTION - LAW
ORDER OF COURT
AND NOW, this 29TH day of SEPTEMBER, 2008, a civil non-jury
trial in the above-captioned matter is SCHEDULED for M1fWMJXa(A
P W-6? 0-4 ) yW aN'V0P0'A • in Courtroom #3 of the
Cumberland County Courthouse, Carlisle, Pennsylvania.
Edward E.'Guido, J.
ROBERT D. KODAK, ESQUIRE
AVID A. BARIC, ESQUIRE
COURT ADMINISTRATOR
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Robert D. Kodak, Esquire
Supreme Court I.D. 18041
KODAK & IMBLUM, P.C.
Post Office Box 11848
407 North Front Street
Harrisburg, PA 17108-1848
717-238-7152 Fax: 717-238-7158
email: roberl.kodakakodak-imblum.com
Attornev for Plaintiff
CITICAPITAL TECHNOLOGY FINANCE, INC., f/k/a IN THE COURT OF COMMON PLEAS
EAB LEASING CORPORATION, by and through its CUMBERLAND COUNTY, PENNSYLVANIA
BANKERS LEASING DIVISION
Plaintiff
NO. 2006-3156 CIVIL
V.
MICHAEL H. CASTLES CIVIL ACTION -LAW
Defendant
STIPULATION FOR ENTRY OF VERDICT
AND NOW, this 25`h day of November, 2008, comes Plaintiff, Citicapital Technology Finance, Inc., f/k/a
EAB Leasing Corporation, by and through its Bankers Leasing Division (hereinafter "Plaintiff'), by its attorneys,
Robert D. Kodak, Esquire, Kodak & Imblum, P.C.
.and...
Defendant, Michael H. Castles (hereinafter "Defendant"), by his attorneys, David A. Baric, Esquire, O'Brien,
Baric & Scherer, who stipulate to settle the captioned matter as follows:
1. Plaintiff filed suit in this matter to the above term and number on June 2, 2006, with the Complaint
being reinstated on July 17, 2006.
2. Defendant was properly served with said Complaint by the Sheriff of Cumberland County,
Pennsylvania, on July 24, 2006.
3. Defendant's Counsel did file an Answer to Plaintiff s Complaint with the Office of the Prothonotary
on or about October 20, 2006, and served same on Plaintiffs Counsel.
4. By agreement of the parties, Plaintiff filed an Amended Complaint on November 8, 2006 and served
same on Defendant's Counsel of record.
5. Plaintiff did, on or about April 8, 2008, file is Reply to Defendant's New Matter and served same
on Defendant's Counsel.
6. Plaintiff file its Praecipe for Listing Case for Trial on July 18, 2008, and served same on Defendant's
Counsel of record.
7. The matter was scheduled for Pretrial Conference on September 16, 2008, at which time it was set
for a trial on November 26, 2008.
F:\USER\BONNIEJO\ASSOC\WORK\STIP\Citi Castles Awd Verdict.wpd:25NovO8 2
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8. The parties continued settlement negotiations, and have agreed to allow an Entry of Verdict to be
entered in favor of Plaintiff and against Defendant for the sum of Twenty-One Thousand, Five Hundred Dollars
($21,500.00), said verdict to be entered at the date and time set for trial.
9. The parties further agree that the signing of this Stipulation for Entry of Verdict shall be in full
satisfaction of all claims the Plaintiff has, had or could have regarding the subject matter of this suit.
10. The attorneys herein, by affixing their signatures hereto, certify to the Court that they have the full
authority of their respective clients to enter into this Stipulation for Entry of Verdict.
Respectfully submitted by:
O' RI A N, BA SC R KODAK & ??M, P.C.
David A. Baric
19 West South Street
Carlisle, PA 17013
(717) 249-6873
Attorney I.D. No. 44853
Attorney for Defendant
Robert D. Kodak
407 North Front Street
Post Office Box #11848
Harrisburg, PA 17108-1848
(717) 238-7152
Attorney I.D. No. 18041
Attorney for Plaintiff
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