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HomeMy WebLinkAbout06-3100KAPLIN STEWART MELOFF REITER & STEIN, P.C. BY: William J. Levant, Esquire (I.D. No. 54286) 910 Harvest Drive Post Office Box 3037 Blue Bell, PA 19422 610/260-6000 A Telecopier(610)684-2020 PRAMCO III, LLC COURT OF C 6894 Pittsford-Palmyra Road CUMBERLAN Fairport, NY 14450 Plaintiff vs. No. Q(o - J) SAMUEL A. CALAMAN individually and trading as CALAMAN'S LAWN SERVICE and JUANITA E. CALAMAN 456 Mount Rock Road Newville, PA 17241 Defendants CONFESSION OF JUDGMENT Pursuant to the warrant of attorney set forth in Exhibit "D" Defendants and confess judgment, exclusive of costs, in favor Defendants as follows: COUNTI Principal Balance $17,051. Interest to May 10, 2006 2,142. Late Charges 852. Attorneys' Fees (15% of Principal and Interest, per Forbearance Agreement) 2.879. TOTAL $22,925. COUNT II for Plaintiff dMON PLEAS COUNTY, PA (00 (3U1l" nl"z :eto, I hereby appear for the Plaintiff and against (per diem : $4.97) Principal Balance $ 7,107.7 Interest to May 10, 2006 900.7 Late Charges 355.3 Attorneys' Fees (15% of Principal and interest, per Forbearance Agreement) 1.201.2 TOTAL $ 9,565.0 (per diem : $2.07) [CONTINUED on NEXT PAGE] KAPLIN STEWART MELOFF REITER & STEIN, P.C. BY: William J. Levant, Esquire I.D. No. 54286 910 Harvest Drive Post Office Box 3037 Blue Bell, PA 19422 610/260-6000 Attorneys for Plaintiff Telecopier (610)684-2020 PRAMCO III, LLC COURT OF C MON PLEAS 6894 Pittsford-Palmyra Road CUMBERLAN COUNTY, PA Fairport, NY 14450 Plaintiff vs. I ?J?Y? No. OL C1u,,l l SAMUEL A. CALAMAN individually and trading as CALAMAN'S LAWN SERVICE and JUANITA E. CALAMAN 456 Mount Rock Road Newville, PA 17241 Defendants COMPLAINT FOR CONFESSION OF JUDGME for MONEY 1. Plaintiff is a Delaware limited liability company, in g d standing, with a place of business as stated above. 2. Defendants are adult individuals, believed to be known address as stated above. The $25.000.00 Loan 3. On or about May 23, 2001, Samuel A. Calaman $25,000.00 from Allfirst Bank (at the time, a and wife, with a last- "Borrower") borrowed banking corporation; hereinafter, the "Lender") the sum of $25,000.00 (the 11$25,000.001 Loan"). 4. To evidence his indebtedness under the $25,00 .00 Loan, the Borrower contemporaneously made, executed and delivered to the Lender his dote of even date and in like amount ("Commercial Note 1"). 5. A true and correct copy of Commercial Note 1 is attached hereto as Exhibit "A". The $11.200.00 Loan 6. On or about May 1, 2001, the Borrower borrowed the Lender (the "$11,200.00 Loan"). 7. To evidence his indebtedness under the $11 contemporaneously made, executed and delivered to the Lender his amount ("Commercial Note 2"). 8. A true and correct copy of Commercial Note 2 is The $31.000.00 Loan 9. Also on or about May 1, 2001, the Borrower of credit with the Lender (the "Line"), in the maximum principal 10. To evidence the indebtedness under the Line, the made, executed and delivered to the Lender a Business Home Note") of even date and like amount. 11. A true and correct copy of the Business Note is The Original Default and Forbearance $11,200.00 from 00 Loan, the Borrower of even date and in like hereto as Exhibit "B". opened a home equity line of $31,000.00. contemporaneously Line Note (the "Business hereto as Exhibit "C". 12. Thereafter, all three Loans fell into default. 13. On July 15, 2002, the Borrower, Defendant Juanita E. Calaman (the "Surety") and the Lender entered into a Forbearance and Modification Agreement (the "Forbearance Agreement"), by which certain terms of the Loans were modified as more particularly set forth therein. 14. A true and correct copy of the Forbearance Agreement is attached hereto as Exhibit «D» 15. As set forth in Paragraph 1 of the Forbearance Agre?ment, the Surety agreed to guarantee repayment of all amounts due under the Loans. 16. As set forth in Paragraph 3(a)(i) of the Forbearance Agreement, the entire then- outstanding balance of all three Loans became due and payable in fill on June 15, 2005. 17. As set forth in Paragraph 17 of the Forbearance agreement, the Defendants authorized "any attorney ... of any court in the Commonwealth o? Pennsylvania ..." to enter judgment against them, by confession, for all amounts due on the Loans, with interest, costs and an attorney's commission of 15 %, as more specifically set forth therein, upon the occurrence of a default under the terms of the Forbearance Agreement itself, or a futther default under the terms of any of the Notes. 18. The Defendants failed to pay the entire outstanding balance of the Loans on June 15, 2005, and are thus in default under the terms of the Forbearance Agreement and each of the Notes. 19. Judgment by Confession for Money has not previously been entered against the Defendants on the Warrant of Attorney contained in Paragraph 17 of fhe Forbearance Agreement in any jurisdiction. 20. On April 1, 2003, the Lender merged with and into Manufacturers' and Traders' Trust Company ("M&T"). 21. On October 27, 2005, M&T sold and assigned the ans to the Plaintiff. 22. True and correct copies of three Lost Note Affidavi s and Assignments (one for each of the Loans), so dated, are collectively attached hereto as Ex*bit "E". 23. The Loans have not been further assigned and the Plaintiff remains the holder thereof. COUNT I - $25.000.00 LOAN 24. The Plaintiff incorporates all previous paragraphs her4of as if fully set forth again. 25. The Defendants are thus indebted to the Plaintiff under the terms of Commercial Note 1 as follows: Principal Balance $17,051 Interest to May 10, 2006 2,142 Late Charges 852 Attorneys' Fees (15% of Principal and Interest, per Forbearance Agreement) 2.879 TOTAL $22,925 (Interest will continue to accrue at a per diem rate of $4.97). 26. The Defendants have failed to pay the sums set forth in the previous paragraph hereof. 27. This judgment is not being entered against natural p4rsons in connection with a "consumer credit transaction" as that term is defined in Pennsylvania Mule of Civil Procedure 2950 (as amended July 1, 1996). WHEREFORE, Plaintiff demands judgment in its favor and against Defendants, on Count I, in the amount of $22,925.29, plus additional interest, attorneys' fees and costs. COUNT II - $11.200.00 LOAN 28. The Plaintiff incorporates all previous paragraphs here f as if fully set forth again. 29. The Defendants are thus indebted to the Plaintiff under the terms of Commercial Loan 2 as follows: Principal Balance $ 7,107. Interest to May 10, 2006 900. Late Charges 355. Attorneys' Fees (15% of Principal and Interest, per Forbearance Agreement) 1.201. TOTAL $ 9,565. (Interest will continue to accrue at a per diem rate of 30. The Defendants have failed to pay the sums set fort in the previous paragraph hereof. 31. This judgment is not being entered against natural persons in connection with a "consumer credit transaction" as that term is defined in Pennsylvania Mule of Civil Procedure 2950 (as amended July 1, 1996). WHEREFORE, Plaintiff demands judgment in its favor and against Defendants, on Count II, in the amount of $9,565.06, plus additional interest, attorneys' f es and costs. COUNT III - LINE i 32. The Plaintiff incorporates all previous paragraphs hereof as if fully set forth again. 33. The Defendants are thus indebted to the Plaintiff under the terms of the Business Note as follows: Principal Balance $16,322.3 Interest to May 10, 2006 1,734.5 Late Charges 816.1 Attorneys' Fees (15% of Principal and Interest, per Forbearance Agreement) 2.708.5 TOTAL $21,581.5 (Interest will continue to accrue at a per diem rate of $4.76). 34. The Defendants have failed to pay the sums set hereof. 35. This judgment is not being entered against natural "consumer credit transaction" as that term is defined in Pennsylvania (as amended July 1, 1996). WHEREFORE, Plaintiff demands judgment in its favor and in the previous paragraph in connection with a of Civil Procedure 2950 Defendants, on Count III, in the amount of $21,581.51, plus additional interest, attorneys') fees and costs. RECAP and PRAYER for RELIEF WHEREFORE, the Plaintiff demands judgment against the in the total amount of $54,071.86, as itemized below, plus additional , by confession, attorneys' fees and costs of suit : Count I Count I[ Count III TOTAL P STEW $ 22,925.29 9,565.06 21.581.51 $ 54,071.86 & STEIN, P.C. William J. EXHIBIT "A" S4' ? CO A I AI FACIA 1, i,R ON I IS5O121' NOT if AN I) S cull I'rl' A C R E EAI ENT S 25,000.00 Vl I'cnOSdvaain ?LI UY(h ?? ? _? May) rote) FOR VALUE 12 ECL VED, We undersigod ("Borrmver") prumises to fly to Ibe order of Allfirss auk, a AInq ImW nlam-durLeJ ,onune,Fial bails ("Bank'), in Bank's oilices at 1127 N. George Slrerl, fork P.uexylvueia I]40V; or al such other Vlace s the holder f Ihis Note and Smurity Agreenanl may fran time Ip lime designee, the principal aunt of "I'nvdy Five Tbunsand and 001100 Dallis IS25,0011.01)), or such other amomn s Ieasy be advanced Lou, rtime to fail, to Borrower, solicitor with interest trouble of the rate or rates Iereoller specified and any Food ell other stuns which ran), be owing I Bank by Borrower pursuant [o Ihis Nose send Security Agreement 'file following Icons shall apply to Ihis Note and ScctoW, Agree Far( I_ INIERIS.S'I, front thin date hemnl unfit all sums due h.ensder, including principal. is'[•msl, flung", fear and e'pcnses ore paid in full, Ifea Princ,pal nnI.unl rntsmnding limn lime II I]me pursuant to 11,11 Nnle and'Security Agreonenf shall boor interest as fl Iliad per anmmI cafe of 2990007, Ford ealancled on the basis of a done hunWeJ sizly (360) Jnys per yevr Ihc(irr sepplicd hI one usual nunlbet ufdow nn wlach Wem exists rot unpaid burancc hereunder 2. REPAYMEN I. Bo luival' start nuke ptpaost, at principal au 1 iu1".( oreashly, each s h poynl,nl in Ibe rnounl of sdomis. on OIL 251h d;p' affable In alh, beginning an ApI it 25, 2001, and containing until March 25, 20116, ,]act, is life ftnnl and obsallne ue data or des Nate and Security A,reen ent a1 w al lime all Inns dui hercundef, including Principal. interest, charges, cast and espouses shall be paid in I'nll. F3 cover nay prepay ties, Note and Security Agree car in ,hole it in purl or any lime a your tin Ill (title IIKIIVLA PICI or addfdoiml interest Any pel aytnrnl of the prfncipal balance oflhl,, Not, and Smarmy Alacritous shill be ,iutal to the oasendlug aria bal.uce of thus Nam nneed Security Agreement in the inverse order of scheduled if., isias. All Plwr)anla cud, parsuant lu Ibis Note and Security Agrwmm?l (hall be a plied firs( to Funned and coastal role„.[, share to annual ,,wares Food charges pIyablo list nndcr, and Ihcn IP principal, min such Plber olds, ur pmlyalu n as the Ill in he holders sric dasconsel, nmy coed from lion it, false i LA I r- PAYMI:14 I CIIARGE.11 mp'lzrylnen(Iran I.... Il dre liedWing np'pnynnr "I "i's 1, or in runt of I ....el Masco( m awed by the ladder onfam 6roce(15) ctdendurduysart,, its due data Bmrbwer shell any a list,,,ynerh charge equal to live socenl(5%) fill, amuunl real due 4. ORAN f OF SECURI'I Y INFER CS'f. As cnllnleyol 1,11.111), Irv Ill ubligalial hWebeUnese endorso lnFiat, ,comity. lralu, or otherwise), Itquldatod or unl relocated, joint ar several absolute ar c Ionlt, tram, Idler ,I food it formally. everts 11, or any other Way owed by Bonvwer to Bonk now tai: to Balk under far p asemrl to uses Nor, and Secal'ily Ag¢emmn m any ocaompanyang Intel discounter (as hcreall. defined) or to prescrvy protect, or reflect Bank's scantily unerems mud Iran, iu Fee Cl selling n olhrnvim doom n, or or realizing use the Collateral, or orally a terease by Bank' of Bank's I watb Bank., apmneys' Pecs, execute, of callectiall, and corn cost, (collectively, "Obligalie"s'), nor ,your; and pledges to Bank a cmulmms, security i fares( in We IiJlowiog (collectively, "Collateral"' (I Iran, II'l a (whdb. or nor auaclled to Feel pre,oc y), vehicles, supplies and other tangible p ncluding any lossebold late rest, lican, and all s)bsetallors, c,l)¢n¢nl parts and a exalter, line piss, roofs, accessories and Machu a now owned or nemoller acquired in connection Werewith, products ,hereof, Including sure, proceeds, and all FogMe thereto (colleN,,aIy, the "Equipm.R'J; (b) lector, including but not Ionab d lo goods, wiles, rucl andise, InnrcFools, raw mwences, pans, for couryo Fort nn(.aals, Pmlmging and chapping noterials and other tangible or intangible personal pmt of service nor which contribute to the limshed products or the salt, promotion, storage laid shippecirl aocq.... ad by Bara,vcl, wb,foo located at 01 mvacd ar leased by Borrower, in the course of along, locations, and all minced, aetl andoeb Iberoofand ,It rights ibeale. including bin not Imba till doe curs, including but an( limited so, Lot (a of line, lala of selling mod waalmuse c,,, Borower, nmv owned .,,it haaaller acquired and/or created accounts, accounts rweivahle, court (Ivubc, drubs, n¢elll , ocular luenolk,, (including lan ,at rallied In cla oulnrles, (,,,do man wages), and all proceeds and ,rode,(, lheter, and all rights Ihe,clo, fuluddng but oat Itmimd in Pn m tasn or a the pmvidmg of Inure lury. (mods, a, corvettes by Bmaower, as wall as all other Follett of brr,W, or credit Irtn cry person or ,all,, aududln, bur our limned in the rught to receive tax ref bestseller acquired asset, of Dono)xr, ooho than Receivables, fquiamem and Invento,, indudin inemllmad puahoso and/or sales connects, bonds, stocks, ,nveatmenl property, ccn flarica, advan portents, including cash mehl, (collechvely, "Other Pusan,"), (e) all proceeds (Including luruan Bono".... Isla in which Bank has been or is anceRcr soared o security interest under any out Borrow. old Bank, (g) Icy Iccouurs, prop.lt teeuFofies or conics of Borrower which Fall any in Bank, as well as all poVLedx and products (hercuf, and (h) all of the books and acorde penoinang It A„ammll, list for,,, "Older Obligor' means any Vorson or anti, other iban Beal [bet t, maw or I wilh any of We Obligations car for has gonad any lien or security interest to or for Ire bencbl of i guarenmr, rae[y, ,,do..... r u n r-maker ofteny brute Obh,stlone. and lV1,011ies of Borrower or Bank, 0scoler dotel street (h, or, of anagee, commnBlated ar unennrentplred, or otherwise rating (in OR or beaadrr rising, including bet nut linriled to alp' and all sows dnc any and all stns odvnacd by Bank to preserve so praRq ill, Collateral M anal, as well as tire tyrants of Filnbng, bolding, pLpa.... g for S:,It, Visa fn the event of a dcfeall by Burower or any O[bar Obligor, agdho in consideration of advances from Bank to Borrower, Bono,er herby (a) all of Ibe nmv owned and berenik, acquired machine,', illustrate, ,tonal property of Borrower admr Ihnn Inventory (s hcra0er defined), so, ,.,it including n1I improvements and accessions thereon and alt ,.are fad any maimannce agiecmems applicable the into, and all proceeds and If of Borrower's now owned and hereafter acquled inventory, wherever einea, goods in a.,ass, finished goods, work lie progress, bindings ar Fly held for sale or Isoec of furnished or to be famished under cantrnds creof, all goods returned for an off, countered, rational or olhenvase, mnsport to far flats, accaum debtors, placed au consignment ar hard at to all sales proceeds, ill chattel palter related to any of [lie foregoing and aimed to any of the kan gmng (colledivdy, Ibe "Inventory,); (e) ell of Is, contract rights, tnarunl,ms, docunecne, ehaud loner, notes, Force s, berates, and peenL j, mud older chose, in adios (gat inchlin, salary ands nfbwcnmry and rdumed goods and Proceeds zero,,,, front the sale ,, I:,od, anabo,enl or.,on.,,(,,,,Fiat, of Bonowar If, receive paynl,nt,, ids or to, rebates teollecbvery, "Receivables')', (d) all nmv owned and but moo linriled to all leases, rents, chdmis, leasehold impruvcmeins, s, depos,ts, b.demed's, trade names, lice sea, patents and as a, proceeds) and solids of the obave-diounbed property; (0 any of security agreements, colas or other obligations or h.billhes between t be mamc,ned or, ass,gned to, delivered to, or come labs possession of, toy of the above-described property. As used in Ihis Not, old Security caflcr llabl, done dy, contingent, or.11mnvtoc, upon In in connecdon ink to secure tiny ofInc Obligates indnding, but not armed 0. any 5. CONFESSION OF JUDC AICNI'. Bar, mrer ill evoldbly asset uncandirionally aesh.Iiz of rsets '1 ... rife United Stales In appear nI bdndf of BnI.,or in nay arfl in .,at a n p, I irl' iah and to aaP o, foe ones n)d color jodgrncen against Bono,,, IF illy little n¢ ,.. a default, oil, n Virtual angdaius BIM, and vVidval pilot 1106a to or oapora.iiy of Borrow ACrremcnr in she [OF amuunl ofIh, indclueduess evldertdl by Ibis Note and Seoul it)Ag¢uoe . fad nP.ISa) pine and coals, Islas also. o"', to,, equal In BBemI peranl (157) of (L, unpaid auy boom, let hcauuudcr, wall clot, of all a'rm's and wBbral right of street. be addisi tiesI if.' upon list, base and Snurisy Agee ....... 1, Bon ova agrees till vac, and par lure CmnnenenrulVL of Pennsylvania .I in fl, tailed Stales Disr'id Cutul for dot Middle Dull s[a ode ofd an a n, so I of .III I, n'leI In non' in for or of lea fief en led, wb ill nap be nun.. lion. Illllllalad rigors, apprelisuncul, sroy of resources n supplun.n.ry ,roweling,, j)dgrmn t ar relood ar....Jtngsn I a jud,In,nL (fir het ,wrl p,.hibtmd by appdiabl,)I,,,a utl pn.pury located in Pe...... bania "'Lilt to Ile I"idenre of Fop' Us, scorer.) Tire still... it, .ill let ralnmmd Iy Leer or a o, aucims Inerrof, far Iy ,), irnpcrfeet cs)I-e I,, If..'eof and s .,,it empm+us any zunney adniilkd to practice before any total !n ings, or indent any duct terrorist p ctions,lary or ,ter emir( are" doe fares I..... of an, defend( hereunder, mill, a, ern of for prior haring, in fever of life bolds, of Ibis Nor, :r.J Sol .,if, (indndingprtnrlpal.a¢coal Fireless mud ally call ,It d... gets I.. closer, of ,, bar ed, interest, fit,, go, end )else, also,, de, or wbich I m all ollcr ands in little pertinent nmy be <mdcssM feel sI Oil short be le Free IV in lilt anus of any Foully o city of Ibe of 11...... bania. lrnrmeer rvaivts Ilse loa,rl of any and ,,.I "fort)' writer] cmef.I'ing upon list er'....' a,)' r,glll or Privilege of of if,, rdtd Gam Ibe. ,afwc,auo(in I I stores, admmtenl of a judpmeal obsaincd by tunlessun'hall roe comrilut, a lice on life)' d purer m appear an. and enty pointers agaahcr n....... shall 11 emu be nlinguiAnd Is, any bed,,urnt amfed pastures shorter: ,,uh apronril, and punier any he raaxiaetl on .r,. rr more wild m, from lime to Ii.nq in 1 rt same or dilr..:nt jurisdicliaos, as often as the boldti ill deem reveal or advisable DURROWER IIEIt EIII' ACKNOWLEDGES TIIA'I' I'11E CONFl,SSIUN OF dLIU Gli PROVISIONS UEREIN CONTAINED WHICH All AND 1VAIVE CERTAIN LEGAL RICH IS OF BORROWER HAVE IIEE READ, UPIDERS1'OOII AND VOLUNTARILY ACRE ID'I'0 BI' BORROWER. 6. REPR1SBN IAI IONS, WARRANTIES AND COVE14ANl'S.BoI'rower mpresmds, wttnt?and wvnranls the: 6.1 AUlhurly. In of Nairm Borrower is duly ga' d and cs'srg ill good slaud un Ih<smcof lsoga n'u Dopia qualified m do bus' ss ad ill good spindling in ell jl owl'dic s where it u d . t, its basil or as R 'v ll l s are located and lips vll reynisile Inn eq r lhotlB :Z es .,ad reports Io even its proper x ,,it cap on its has ness.'I a csealion and del' en of this Note aid Scounly Agreement have bee n dr I) nuthaniP by appropriate corporate, company or pr lnershtp notion. I he principal place of business of Borrawer" the books and leads rulol ing lu Borrowers business nnJ the Cnllale al, and (lie Collateral are looted of [lie address(u) set forth in (his Note and Security Agrwmmtl.B.IBnvt shill inuactumly advise Bank in wrftta, ofthe opening ofany nni placeofhusiness or the closing orally ofits existing places of business, and.tinny change in B rival's name or (lie l.caltmn .1-flue l,late, where the Collateral, or hooks and cods patterning to the Collateral, are kept. 6.11ImaJ sSta pct. Borrower c- dany naliYinl.s arliar, r kll or ali coinvestigation lad, I, fire looking, sigh, handling, generating or trust ... I hg of l g p u LL' ill, or r b r cas whtah under applicable la, squire gaec' hy. dl n, ollwtil sitn, I talon. t or cost (Heastal Ssbstarces) and 5 power dues onto...., nlike, more, hardle. Jispl.e of or 1,ca rt rap l l ru dous Snhstnnus 111 an o rely appfc b1, la s. 6.7ERISA. BN'IOwef onJ enoh of ilt aBilidms u.IJ subsidin.'ics ("ERISA AfBlietes')which ore under otmnon conlrtN, or a a purl of a conudled gmap, within the meaning of the Employee Retirenrtnl Income Security Ad of 1974-1 s.....need ('ERISA'), arc in erwrRl ca oil n all nppficenie provisions al' ERISA with ragard to each or l employee Hoehn phis (as ddined to ERISA) ("Earploywc Bealil Plans"). Neithera rcpormble.vad (.s daunt II nor n prohibited local (es defined in Ell has occurred .,fill aspect lo any Hmpiryee Bendil Pik of Borrower at any ERISA Al lisle, hnuedat.ly ulna Ilia too ran. of tnry such reportable event, Borrower shall promptly lion tsh m hank pout, Ihaeol; as tiled wtlh Posstor Bench Guaranty Cori iuu ("PBGC"). Neither Burro or nor any ERISA Allilote has romplelely or radially ollrdmwn from any oulliss"I..yv plan and no such n ulti n,iloyer plnu is r e.,al iadiun, all as prevtded by FIR SA. 11 lower and eoch ERISA AfBliale Las met its roranot I Rural g req.iramtas and Its In rod.llilled ahltgatons under ERISA ho eollWrote to any Employee Bendil far Borrower shall rmmplly notify Bonk of any reaction, by PBGC of IiclAN, al' Borrower or an,, ERISA Alflur, under Title IV of ERISA. The Iotlure of Borrewe.' la 1 )' within fluty (70) days to a uapI of any liability trader life IV al ERISA sentenced by PBGC shall wnsltmtc a retail[ hereunder. 64Iawe5. Bnuower shall connply al ell.rapes with alllmwz, odinm.ces, rules anA rogulntiau, ol'any Eedeml, Slum, n...... pal or other public aolLOrities lam iugjiu isdidienover Bo.rowwr, We Cnlluleml or any of B...rours enter asses, including but not limited to ERISA and all L wvs relating to IipzvJous Substance. 6.5 "faxes. Platte arc no unpaid Federal. Slate, city, county, or other taxes owed by Borrmve, there m no federal, Stale, tip, county or other nay liens presently filed again,,[ Burrower. and dull all na oulslnadtn, personal properly loxes of try kind. Borrower shill pay and d, charge, whoa due, all III levies, liars and other charges on any or all ol'its assets, including lot rat luailed or Invc.nory, Equips ant, Receivables, and Other Property mad sh If pay promptly, when due, all other Imes, Including withholding rates - 6-6 Recording and Legal Costs. Further Fee, seats- B.rro.er shall pay all costs slid expenses rods nl to Iha riokhng of the loon(s) secured hereby and perfe ton of Book 'a security inlet.. is hereunder, including bof not burned to all aaorucys' fees (to the cahoot not prohibited y law) and ell recordation costs and tams incident to fling of financing satemerd, and caul lion slammera, is respect thavol: Borrower shall execute and deliver to Bonk Bent time to lime rally insuumeods or docuntenls, and sltall do all things uecessap or co.wenicnl to carp into at feet Iht provisions of Ihi, Note and Security Agrcenant. Bo rower designates Bank or any of its affairs as nllonay-on-fact to sign Borrower's nanm on tali such ac rumenlr or docpmenls, nod hr Plc the scone as any be appropris Borrower agrees that hied pbomcil of r one g statements and continuation stolen clo s sholl be sufficient to perfect Bank's security interest hereunder. 6.7 Books and Records. Borrower shall maintain such records with respect to the collateral and the co. dilion (financial and otherwise) and operation of Borrower's business as Bank may reyuest fiom lime to li.ue, and shall impish Bank such information will respect to file Col stared, account debtors, and the condition (Ituaacial and otherwise) and operation of Borrower s business, including bon not I..ntmd to b.lonce sheets, operating smlemwls, a d other financial ialDnnalion, as Bank .nay request hem time In time. Birk mny al vdp fine out without prior nattce Is Fonuws. and without the consent of Borrower (reedy transit account debtors and verify or confrnu tire status of the Rcceivxblas. Borrower shall famish pool. at cause to be ti.mlihed to Bonk such financial infommlion with respect In auy Other Obligor, indudtng bill not lin..led to balance steels, opemGng slnlcnants, personal lirenctal statements and other financial infonnattan, as Bank ma ? reguesl from time to tram. Bank orally of its representatives Inay (rear Ii.ua to lime inspect, cavail, and c copies or or amulets loam this books, records and tiles of Borrower, id inspeet atry or lire Collateral wherever located- Borrower shall make 'reve available at any lime for such perpwes. If arrested by Bank, Borrower shall make all uecessar -entries in its books to disclose the at....nair( of Receivables to Bonk, antl permit Bonk to veri5 Recia,ri 6.8 Inw..ncc. Borrower has and shill mai nlnin one area on all of Its assets and prupedts, indudii but tnl limited to the Collateral, al all hates and against haurds, with companies, in vmounls and in form acceptable to Bauk. Borrowr shall submit to Bank original iuadnce polteies and receipts evidenetug pal l of the prani ens due on same. The policies shall runic Bark as sole loss payee and additional insured wish rselect to the Call mil, and shall be endorsed so as to make them noncancellable unless thirty (30) days l ater..(let ofcaachmarn is provided to Bnnk. 6.9 Recdwbl... If the Collamral includes Rcccivnbks, (.) each Receivable shall be pold in full on ar shall pay any critical, ae,rescnled or be owing thereon imnaducely to Bank, if Bank so deura as, (b) Borower shall pay the same Ionoutc lily to Bank, iI Dark at danands', ov) renp propedv evidenced b the sine in rout as scear y for slid subject to Ill, cor, of Bank and Borruwersh.t pay the nu orol ra Bank so demands: (d) inch nod every Rehcivable shall be Bono ride, be for a certain undispued chirp rgncsem o sale and ddivcry of pcu,co,l properly sold or wink and labor done, and not be subject to err contract or condition rvhatsocver; and (a) Bauk arthritic, and parrots Borrower to collect Receivables rime wtlhout notice to Dormwor before or ate, default here de, and Bank may notiry any aee.rnt do spore, proided, howcvcr, Burrower shall oat pout. a material than,, in any Receivable, or o Ina soul. shall al enp time recall by Book notify any or all awtinnt debtors to make payment offset, Receive designated as Bonk Inay requu, Rinds In such collateral account shAl be objeat in the ward of F Borrower. Borrmver shall revive all roy.ndns or ococart a,.ganl ofand for Bank and sltall Innsmll all ortgtual checks, drat,, ace,u.nces, poles and o(he, evidences of payment teeeived in payment ofri by Derisive, for soda purpose. Borrower does hereby grant to Bonk access to enp post d'Bce banes it Borrower shall keep the come separate and apart from Borrower's own fund,, capable of ode rdleatd Fi rile , Borrow..grcu Vid hank may pay, for the account of Borrower, any taxes. levies, or other, cl' in Equipman which Burtower fails in pay, Inchrdtng all other lax.. and levies, and any such pan Its.dv.loss as above provided, Bank shall have the right to receive, Indorse, assign and deliver In tnatr anent, for the payment of Cr Inonrclatiug m the Receivables, and Borrower Iareby waives notice Borrower aawrrara fork or Bank's agar dcaignec is Footloose, armrney'm-feet wvah power wdh fee e fore its due date, as represented to Bank, and il'nor sec poid, Borower f any allowance or credit on any Receivable is given by Borrows, Than a RacelvoIll, should be mlumed to Borrower, then Borrower shall hold toted to be ovtng on that rebated Reuivabl, tnn..ccii.mly to Blink, if re demand for the meant Borrower represented to be owing Wermn, serifl; sountercl and or contingent liability ope r (lie alNhna t crepe ton averad debars. This privilege may be laminated by Dank it any nor or account debtors ofthe re,ignori of Recd...Was and collect the rnage in the tarns crony contract giving rise k) n Receivable, Borrower Its to Bank for the deposit to a collatcml account with Fall, lifled and ink, nod ire property, of Bank alone, and not subject to withdrawal by m Bank, on lie day lhemo[ or at other mutually agreed all intervals, tin account of receivables, including all cash monies similarly received which furl is received Until delive, ofnltsI,h tc.nitmraes to Bank. I as the properly of Bunk, and stall held the same in trust fur Bled, ,,,, nffcdtng Dorowcr"s ....U. including but nor Itmtfail In hwonnry eel shall coldrell o [,,bill, of B.notoor. If dark is collming the unk's nom, or Borrowers nanm say and all cheek; drat, and other f presenonant, proms. and non-payment of nary in stomas so ndersod. act to the Receivables: (a) I. endorse Borrowed, name anon any poles, accentuates, checks. dralls. Alone), orders or otwr nwucnces or payinena of Collp(eml Thal nay co reining m any of [lie RaceivabIu, dralls against natant debtore, assignments and vwtfica(ious of Authorities to change the address for delivery of nail addressed to Borrower to such address as Bap Borrower, (e) In do all other acts And things necusary, penlmr or convenient to carry out lire (crew, am The Imwcr of atoney hereby granted, being coupled with AA interest, is irrevocable white Any ON, ( consent from Borrower and without affecting Borowers obligations Iereundec sue upon or A laswo, credit or other art upon any terms, Any of (lie Receivables or any securities, gooran(ies, instrunonl aothormcd and empowered to Accept lire return fully Collateral u,maxerned by any of tire Incelawalb, any only al7eaing Borrowers liability le BIIIII, Bonk does tot, by mrything herein or in any congntnon agreement assigned to Bank, And Bank stall not be responsible in any way far the performance t Borrower shall area till mail only in the presence Ara representative of Bank, who may take thclIhonc power of also try to have mail delivered to Bank, and not to Borrower, and to oven all mail and lake only endorse or sign the is A.,,e Al Borrower on remittances in respect of Receivables, invoices, assig s[omgc eremitic, o other Air, cents or documents in resneot At Romr,rables or tire properly covered II 6.10 inventory . If the Collaeol includes hoorrary, (a) Bank or its opruenlaltve may endorse ,sign„ I. in I. link man, totem ialI. .... dots it, debtors, little of lall noires In suppliers, puiperly covered fl weby'. (b) Bank or its maesrmahV, Ann, m,, lime W Gore verify In,enbq', net any time forauch p A,ae, (c) so long as noilher Borrower nor Any Olhcr Obligor is in dofvill of ;my it may be sold by Borrusvcr' in 0e. Ordinary m[nn'm of business, bill shell not otherwise he tekwr or remove 6.1 Fonher Covenants Without Jr, prior written consent of Bank, Borrower shrill nor. (A) Pledge o pencil any fn mile stalma,st (eaten( Bank's financing smlontenp to be on file in any public a eneutnl mnee It "their w any of the Collateral or m any other assets of Bonmvcr, utyp( for liens am sdlkn¢nl, bulk are, Icuse it Imnsly of asses Inner Ilan in the nol'Inal entire of buinue: ld) ussun obligaiunsof mp•..,rams, linnorco,nrxtion. exic,l I rndnrsenem of marnmmlls for dilin it or col few any nerlor or a ur... dadtq Or sell or team sulwhmUnit ill of hs osseh; , 11) purchase ,,coin one rprise +vhavoc,or, ether till,, the threm of igaions of the United Stales or Bank. ]. DEI'AUL'I. At)) of the lulleming will be a deficit[ tinder this Nate and Scciany A,ree,ra(. (a) failure (o psm hour any other obligAGOns hereunder. (b) a ddrat by any Borrower upon any ill [lie exp. Quite rObligoraAOnanyof[he existing Or John, consortia of any Counts, Obligor to Bank. (d)a let., Note and Security Agreement, any other agreement, Area, cart or dneumenl in mnnocrumn with on between any Borrower or enter Other Obligor and Bank, or any cor-AOoae affiliate of Bank, whether pr change in the linnnciuI condition Of.,,) Borrower or Other Obligor Front VA( expressed in 0A 6nnacin and Sarni{, Agreement, As determined in good Ibiah by Bank in its sole discretion, in institution of I Against nap Bonvwer Or Other Obligor in any state or federal cam', (g) the appoinnnen( of a receive,, inmlvnrcy or cnec imrs'righB law for any property of any Borrower or Other Obligor; (h) lapse or Ica Collmoal offer (her Ibm id, sales urn coot, or other use of Collateral in the ordinary course of such W i tcol or Additional collateral as Bank may i,, good frill, request; Q) any wormn(y, rc,ouculation, printing m have been incurred m any material respect wien made or famished, (k) the occurrence of A noire or bull,, a &A...It nude, any indebtedness of any Borrower or Other Obligor to any person Out insured for the benefit.1 Buick, to airy Ollie. assets array Borrower or Other Obligor, or the Imnskr.1, assets of any Borrooer Or Other Obligor other Ihan in the ordinary course of business of the Bono Barmwer or tither Obligor for the poymenl of money in excess of E5,00000, (n) Ibe toy, upon O mwrdauion of any fWerml, litre or local ms lien ,,gains[ any Borrower or Other Obligor; (E) a chat oar,animlion ofany Banwo, or Other Obligor which fs r corporation, par(nership or Other legal e person; (r) failmc ofany Borrmeer or Other Obligor to furnish to Bank Inch financial intbnna(lon As Bi Bank, In ifssole dtscrc(dal[lie abilAy of any sonawcr or Other Obligor co lay or nonI any it fd 8. REMEDIES. 8 1 Saudis Rights And Remedies. Upon a defnull, in addition to all other rights and remedies avail, document or ngreemenl between Borrows, and Bank or render applicable low, the holder offlAs None at or demand, may (a) raise the not of in u,rt Accruing on the unpaid balance date under this Note and S Of talent{ oIhmvisa ..... wahle, independent of whdher the holder of this Note And Security Agreer default, and of declare file entire unpaid principal balance plus ncorecd interest and all other some d secured nediwr under the Unini n Coemere al Code, including the right to fake possession of Iho Col right to require Borrooer to assemble the Collmcol it such five As Bonk Any specify- Borrower Ago Borrower Audw all other listorilcs and obligations of Borrower to arc holder, and that the holder shall habilthes and 0bllgmions. Borrower also hereby authorizes Bank, upon a deraull, bot wtrhont prior Borrower [n be Ieaid, In Ias(iude on action for rapleyin, wilt or wtlho.I bon a Bank any elect, to 0 co,,, of (his N.(, and Security Agreenn¢nI viefed by alfdmd[ of Bank or .to on behal I' of Bank altar e inm Bank's posession; (b) to sign Borrower's Alone on any invoices tumbles and notices to account debtors{ (c) to Amify the post office may designate. (d) to receive. open, and dispose of mail addressed to :onditioas and imposes And initial orttis Note and Security AgroculoA. liftw ors [Aruba, unpaid or onpcr cemed. Bank may, without notice to a collect, extend the time of pnpmem Arms cou prorttse m settle for cult, or insurances Applicable dmreto or release the obligor thereon. Bank is without amic, Io or consent by Borrower, all lvithout diloorm,ing Or in ar otherwise, nssunre any of Borrowers obligations under any contract or Borrower of any of the Icons and conditions thereof Upon demand, ny noinuance on Receivables assigned to Bank. Bank is also granted the fcrcfrom any revo Monte on any Receivables. Bank or its represcularre arras, financing alntenmats, notices (o account debtors, All, Of ladin, sign the name of Borrwssr on remdtarcu in respect to Inventory, rage or other instmnlelds or documents in respect to bwcnny, or the i oamal count or otherwise, and Borrower shall mike same available of to Obligations, Invemop, imrject m Bank's continuing security iarersls {iota Borromova's, votaries ;Ann any sternly interest in any Gulln[eml to anyone Arco,[ Bank, or ice wall respecl bronchi, (b) fission or suffer any lien, levy. or other encumbrances in favor of Bank; (c) nake any agreement, .,A o' , guamutee, endorse or oNmoor, become liable in connm(ion with [h, coon or shnilor transactions in the ordinary course of b,,sinus; cleaner to the obligations or stock or any person, firm or cnrpmalmn or other lure to pev any principal, expense, fee, chagc or micro[ obmr due, or It or forvo obligalinns olcry Banooer to Bank; (c) A derault by any by airy Borrower under, or breach Orion, provision or warranty of this of lire Obligmio is, or any other Agmen on, inslnnnent, or docummn saintly, simultaneously, or herelt entered into, (c) a material adverse datcmenl nmsl recenlly uncoated to Bank prior (o the dale of this Note nkrupacy, insolvency, rcorganitalion or receivership proceaiings by or ¢signea, custodian, trustee or similar official miler tiny fwicrnl or sere nation of rice inter..( of any Borrower or Other Obligor in any of the ss; (i) failure ofany Borrower or Other Obligor to furnish to Bank such smtenenl to Bank by or on behalf of any Bormwcr or Offer Cashier I, event which is, or would be with the passage of line or the giving of than Bank: (1) any material loss; theft or sabstamial damage, not fully se or wevnnbmnce or other disposition oral or any nuentrial pan bribe er in Color Obligor, (A) the entry of any foal juJgnlen( against any attachment Of any assets of any Borrower or Other Obligor, lo) (he go of oar.eshtp or darrinttmr, ne,gcq consolidation. I.Rac miom o ity; (q) the death or ally Borrower or Other Obligor who is a natural k may require fmnr time to [pane, (s) We ddermination in good faith by it respective obligmlo is to Bank is iin paired for any reason. e to it,, holder of (his Noe and Seeuriry Agreement node, any other Security Agreement, in (he holder's It discction on r wit hoot notice Arty Agreemam by two percent DO) cottoning, Dual above It,, to(, II elects to accelerate the unpaid principal balance as a result of such hour Is, iArmemosely due and ,Dyable, (c) exercise try right of a cml without the rise ofjuderal process or hearing ofany kind and (he that a deficit( under Ibts Note and Secwiry Agreement is A deftell by 'e the right (o declare immedia(ely due and payable all efruch other Bic, la or afcrmnd n,.a borrower onJ witl,ma prior opporunily ref n pcroccono of any of [be Collateral. In such oc(Iwr for reelevia, u correct evidence of Bank's. righf(o possession offs, Cotmma[. 8.2 Costs of Collection. Upon [lie occurrence of any ill Bank shall be mailled to recover fmnr B 'rover reasonable "ouncys lees of any attorney who is no[ a salm led employee ref the border of this No(, And Security Agreement (m to extent not prohibited by law), plus on costs and littler expenses which airy be inexnrred by Batik in (he enforce.... [ Or anmtpted enone nmil of its rights hereunder, whether against any third panty, Borrow r. or any Oll,cr Obligor. Expenses recoverable rom Burrower shall (to the extent nil prohibited by low) indude cosh of collection, including lien,judgnenl, and other record arches, salaries, cabal-pockeuravel, living expenses and (he. hiring or agents, consusonA. appaisers, a is units, or mherwi.. All sums of money thus esl+eacdeQ lord all liver mantes ,panted by Batik to protect it, interest in (he Colmteral (indndiug insurance, taro or anoint) shall be reformable by Borrosvor to Bank on demon d, such repayme t to be seemed as provided in Pn..grant 4 hereof 8.3 FAeclosure Upon Ih, oemarenee of any defaul€ in m[duall Io other [candies provided under it,, discretion, nay lawfully cour Any of (he. Borrowers famines or 11 to pr.[nises where the CNlmnal is See[ A 95d of list Uniform Commercial Code, the Callmaal or records taaoh'to loch )I,. as Bank all such Cull'i"al nvatbible at such easonable place as Bank may direct, and realize upon (by sale or in adveniwoom or notice to Borrower, except hall. amens tire C.Hrovoal is retria le or Ihrorous Io dot Inui),., Commercial Code, Bank in any time then ordanallm, it, its [.led, And will, or wi(hom judicial process, lowfllly remove, node, ay dour estimable, or require Bonder[ to assemble and make any or ry after manner) all or any part of the Collateral, in each case without 1 speedily it value, is of a type customarily sold en 1 r coguimd market, Bank shall give Burrower and other parties u..,.dcd to notice, reasonable notice in writing private site, in one or more sales, or such price or prices, and upon such terms either for cash or cre only bid for and hecomc the purchaser of ally or all of such Collateral, and/or Bank may forcelo. connection with any notices to be given pursuant to this Poragrnph 7.1, it is agreed in all instances notice shall be darned given when delivered or deposited in the U.$.rnall wilt, first class postage. liquidation of the Collateral, less all costs and expenses incurred in connection therewith, including Obligations at tire time of default Bu the ament nor prohibited by law) and, or the option of Bank, last that Bank in its sole discretion shall decide, and Borrower or other party entitled Ins rem shall be anti heard shall fined Borrower's centlnuing liability to Bank Ibr mry def¢iency earn nining alter any fort absolutely free lions any claim or right of whatsoever kind including any equity of redemption of B waived and released by Barrowcr. ra the safe r oe Collaarel or any part Ihercof al public auction or r future delivery as Bank Play elect, Bud it any such public site Bank security intones( in lla Collateral in any way permitted by law. lu rive (t) business days notice constitutes reasnnable notice. Any such net proceeds afany such sale or sales and any Innounls received in nay's lees equal to fillems percent (15%) of the unpaid balance of the pilot lien claims, shall be applied against the Obligations in the order to any surplus resulting therehons. No action taken by Bank pursuanl are. The purchase at any such are shall thereafter hold the Collateral xer, and such demand, notice or right in equity are hereby expressly 8 A Alternative RcrnWies. Bank may caecisc its rights and remedies Oeramder either allcrnnlivdy o1, conanren(ly coils its rights under any and all other agrccmeas bewecn Bank and Borrower and shall have dm full right In nail upon all available Cullmann, collecting oIbe same nr inslitut ing proceedings in connection (herewith, until Bank ceives toy n e r' bill Ball of is wing to Ba 1, t ado, any offs ag ee m Is with Burro ere Bang p 1 pal lanes! coil Bud expenses and cosh of enfo aumem or wempred earorcerne n of bits o nn other agreen¢ut among o bcl ee Bank slid I o o y Ibe Obfg Bank shall b under rte obligation to pursue Banks rights against alp, Other Obligor or any of [lie Collateral al n al Other Obligor sere r' ng any of lbe 'unel all a pr rss nig Bn nk's r'gMS against Borrower or the Collateral. 9. RIJU I Of BANK, NO AC f WI 111 RESPf:Cf 10011 IER OBLIGORS AND COLLATERAL leans mad agree Bills JwIw ra Banir and any Other Obligor, and BII unandrnents and nsodirications IF writing- Bunk rally, wralrour mrnpromising, impairing dishing, or in any way releasing Borawrr of Borro.mr, al mB liana or from lima us lime: (a) w aim or wane any default by any 011wr Obligor, with respect ill arch default. (b) goal extensimax .. lime fnr paymcnl or act area by any Other 01 Other (Obligor, or eanne, auras, Or subordinate, in whale or in part, any lima or security :mare 00w, O inwhileorin pn or Iha obligations bran, "b lle alq(d) rauscmry(llher OblB any any Other Obligor a Ranh In ary? ig nncr, or In ally runn il, o neeornllcn Bunk r Break's agrcancti with mw Other Obligor, r, or nr doe s ustpect any m or writing, catis or n w or will, utith r. espccl to Po mry er the obligations crony r with rcxpccl to Ibis Now and Sccurily At nsun ceplancchereoforr Urank, act, or r Ba Bunk's acetone inn)Bebreams:(il)thepresent lign unt) to, I, ony chmge (herein: (iii) oayny default by any Other Obligor Bank any Icma or uls direct pledge,a,(efua n, othvimlrrr sI,c) itanpof.he oni .1ofrep Other Obligor to Bank, (h) prey and proms! of mapaymea, and () demand for perfonamsonec of Buy Other her Obligor, IVERS Be BORROWER. Renewer hereby assents to any and all whether presrntly existing or hemp made and whmber oral or in the Obligations and wall notifying or oblaining the prior approval so in the exercise by Bark of may or 111 01 Bank's rights or remedies (c) release, substitute. exchange, surneall or add eollxteal orally it by Bank on any mil or personal properly wonting payrncm or Q'applp paynuenls ,,,do by any Other O(,ligcq to any sera. owed by act also (.) mmlil'y, Orange, a neov, crland, or amend, is Bay respect, ing the stun- Borrower waives; (B) by and all Boilers wludsocver Obligor to Bred;, ineluding bur not limited to notice of (i) Bank's nr (mare incurring of ony of the obligations N any Other Obligor to (iv) the Obtaining or release of any guaranty or sorely agreement, :sit tend coolaint for paymon of any sum due Irons any Other Obligor IB. WAIVERS: EXTENSIONS OF MATURITY. Borrower, dead all parties to this Nate and Secursq Agrcennnl, whether maker, cndurser, or geometer, waive prescmmunnl, da toor arbee of dishonor and protest, and agree that the mutually ofthis Note and Security Annme a, or any pt,tom due herarnder, may be extended at any Grocer from lima to time without rel"ang, discharging, or affecting (he liability of suck party. I I. JOIN'( AND SEVERAL LMILITY. If nmrc than one person m catty is executing this Note aJrIt Security Agreancrit as a Borrower, all liabilities under this Note and Security Agreement shall bejdint and several will, aspect to each of such persons or naities. 13. BINDING NATURE; INVALIDffV OF ANY PART. This Nam and Security Agmemenl shell i are to the bcncril of and be rnforceablc by Bank mN Bank's srrcccssors and assigns and any o.bcr person to when Bank may grant all interest in Bonowdes obi ipalions le Ban , and shall be binding and enforceable against Borrower and Borrowers personal represenrmives, successors and assigns. If any provision or parr It provision of (his Nole and Security Agreement shall for any reason be held invalid, illegal or enfoneable in any respect, such invalidity, illegality o.' annedurceabrlity (hall not Blfect try other pm Isions ofthis Note and Security Agrecmenl, and this Note and Security Agrccmunit ahall feu construed as if such invalid, illegal or uucnfomeabte proviaten or Varl thcrwF ha never been contained herein, but only to tire extent of its invalidity, illegality or one ro ctabildy. U: MAXIMUM RATE OF INTEREST;COMMERCIAL LOAN. Noovilhsranding any provision of his Note and Security Agrecnenl to the contrary, Borrower shall nor be obligated to pay inmrest beers nder in excess of the maximum role of inlacsr pereadled by the laws of ny slate child o fined to govern this Note and Security Agrecmenl or the Imes afthe United Sm.u applicable in loons in such stela Ifuny pio"nuou of (his Note and Security reamaa 0.11 eve be wnstnred to require the pw,neal of any amount of iuescal in excess of Ural penniued by applicable law, Ihau the interest In be paid hncuuder shell be litId subject to red scGms to the amount allowed under applicable Inv, and any sums paid is excess or use...teral raid allowed by law shall be Braked in reduction of the principal alance outstanding under this None and Security, Agreenama. Borrower acka,nPedges that it has been conmurple ed at all times by Borrower than the laws of the Cornmonw Itb of Pennsylvania will govern the max'inmm rate of inlerest that it is permissible for the holder of this None and Sccurily A,exaso l to dnarge Borrower under this Note al d Security Agreement Bono.ver wamdnts Iho. This None Bad Security AgreenmPl evidences a loan rnada solely to Bernina an interest in or carry on a business or connnercial at reprise. Id. CI101CE OF LAW, CONSENT Of VENUE AND JURISDICTION. This Notennd Searrip Agr ememshall be governed. constnred and interpreted in accordance with the I pI the Co s nomvenlth orP syl a in ,air I tl e Pennsylvania rules go er ing connids of la s would olhat" a require that the laws ofanothcr jurisdiction goer n (ins Nol and Se"r'ly Agaeme n. B n er consents to tirjurisd olio n and veran of nh ns o any county o city in the Conn nolnvealth of Pennsylvania o to the j -sAauns and r enc or she United Slam Do(, el Co.,, I,rte Middle District of P msyla- i ?a action or proceeding brmghl to enfora, construe or interpret Ill Nore and Sects-ty Agrees t Any lotion brought by Burrower ng 'nil Back vl ich rs Ined Jir Icily o national), or in whole or in part, upon Its Note and Security Agrees cut or any natter related to this Note and Senal(y Agreement shall be brought only is the courts fire Middle District of Pamsylvania 15. UNCONDI I ZONAL OBLIGAI"IONS . Burevv is Obligations under Ibis Note and Second, Agr ennen( shall be (feu absolute and uncoudei aeol duty land obligation of Borrower surd shall be Independent of any rights al set-off. recoupmeul or conownO,tm whiels Bu III might mherwise have agalnsl the Insider of Ihis Note and See try Accentual and Borrower shall pay absolulnly the payments of principal, interest, charges, fees and expe sex rcquircd Lane der, free ofany dcducltona and wall able cmna, diminurin's or setoff: 16, ADDRESSES. Set Forth below are the addresses of, Address of Chief Eserutise Office TrIciphore No (717177(,-717 Address of Location of Books and Records 456 Moral Karl, Road Relating (o Collateral wail Rdl el , eNo. I] 776lion]] (Tclcphnnc) Olbcr Addresstest W Loew,i n(s) of Collre..1 (if m,Yl 17. N'AIVEIJ OF.) UIIF 1 I3 U L. Bill a'I. (b, ara„ion of l I. is NO, xlid Sca,ritp Ag, 1) all Battktbpaccepmnec of I Ills Not, ind Scrnril, A,,,,,r,p agree Iha I am' nail, action of pnrtadi rig, rtbel bcs' thin, or re. n Is, ell In,, brosgbl or ills Ii to to by B., rinser or Barr h or wi III respell la IIris Nate and Strnrity AgreBn enI or 1111 ch in any lire) rdalep ill tell, or indircclly, to (h, oldg, lions of Ba,, a,, ,' to B lilt andef Ili is No le and Sersii IT Agrcemmo l of the darlings of illc pm'fits sOll...spat Ibgeln, .dull be Tried aid, by a coon and ,aI bT , jnr)'. UORR OWER A D BANK II ER EUI' EXPRESSLY WAIVE A N V RIGI IT TO A 'I 'R IAL W, .) URY IN ANV SUCII SUIT, AC"Il0 N, 0R I'll OCEEDI NG. Dorrama' and 11. a It ac olonicdge and agree 114111 Or is provisiml is a spec i fir auJ ma tel'i;,I hayed of U., agrreatrnl btneett Ill, panics mu( Ilul Bark nnnld ,at atter iala IIre I, ans."F on w It Do, rar"t, if this proctsion rtelx not a part of Their xgreemesd. IN WII'NESS WI ILRE01 , rod intending to br legally buond hereby, the i lml,goeJ executes Ibis No c and Secura, Agrec,nr.nl under seal, ss ?orrosecr, n of he date. lurr wrincn obovc. s\ WITNESS. //?? pp11 DO OWE fir( P,-`K??fannN ?. (SEAL) $i pp Smnocl S. Cal man, InciMchwlly, slid Trading as Calamads Larva Service a Penl s Ivania Sole Prop, jetorshi (Print N:rc(ie) (Print Name) MVdfess: IS6 Mmml Roca Road awillc, l'amryh'hnia 17241 Telephone N tnber'. (717) 776-2326 Social SccuriI No. 173-54-7713 EXHIBIT "B" 5ya5t)0,4 COMMERCIAL PROMISSORY NOTE AND S 11,200.0(1 AGREEMENT T FOR VALUE RECEIVED, the undersigned ("Bonower") pmmisn m pay to the order al' NI tt Dank a fl.Odaod store-ebnriered emnmerdal book ('Bind."), at beak's officer at 1123 N. George Strect, York Pennsylvania 17404, or at such other place is (lie holder of this Note and Secmily AgreenswU any from lime to lime diarpol ., live prineipal surer of Eleven 'Thousand Two IDuulend moil 001100 Dollars (511, 00.00), or s,.do other anroual m moy be advanced front lime to lions I. borrower, mgdhlawkit aronlthereovnl tLenteufrntes berm0a specifiW and nap and all oth suns.abldbnmy bemvingln Bank by Donowerpurn+omi to this Note aW Secnrity Agieeme t. The following lens shall apply lu this Note and Security A®n,onert. 1. INTEREST. prom the dale hereof omit nil sons due hereunder, including principal, merest, c argon, fees and asperses are paid in full, We principal aowot outstanding Pram little lu little pursuant to this Note and S.caily Agree, out shall bear interest I it. fixed per annual role of 0.94000%, and eade doled on it. basis of n three hundred slaty (360) days per pear tailor applied m the round number of days on which liners exists nn unpaid balance Ireremnde, 2. Rf:PAYMENT. Donovan- shall make po_wnema or,minei nol and ancient monthly, end well payment in the renount or 5127.43, at the SIR dry of conch ,wall, beginning on Jnne 5, 2001, and coninuing unlil Me, 5, 2006, which is IN, Bad and absolve ere date of this Note and Security Agreemwd, at ovhido time all sums due hereunder, including principal, interest, charges, fees, and espensn shall be paid in full. Dmnower may prepay Ibis Note and Secmily Agreement in whole or in pan at any time or from ti ne m lino .vitlnaw protium or additional lateral. rhry pro,,,,r a ofrhe principal balance of this Note and Sect riI, Ayxement shall be applied l o t be onIsla riling pia, Not l olo na of this Note and Security Ageanenl in the inverse older of scheduled mauritics. All Replicate mode pursuant to tbix Note and Securip Agenn eru shall b npplied first to necnad and unpaid Imernt, Ilan to unpaid expolan, wad charges payable hereuudar, and then 1.principal, or in such other order or proponion es the lmlder in the holder's sole discretion, nosy elect rrom time to time. 3. LATE PAYMENT CHARGE. If III payment due hereunder (including any payment i n whole or in pan of principal) is not received by the holder wOhia fi0eell (15) enlendar days after its due date, Bonower shall pay a late payinem charge trust to five percut Cioe)ofthe srac IRicn due. 4. GRANTOF SECURITY INTEREST. As collateral security for all obligations, indebta of endorsee n t, gnarady, pledge or ufenvise), liquidated or i nlignidaled, joint or several, ronalu any loan, nom, leas, of credit, guaramy, overdraft, or any Other duly owed by Domo ver to Buck sons duc Ie Bank under or pnranvnt m Ibis Nom and Security Agree nad or any accompanying Ou Collateral (as hereafter defined) or no preserve, protect, or perfect Bunk's security inleresls preparing for sn1, selling or oherwise disposing or ar realizing on Use Collateral, or of any ewer O lo,r Oblige,, lagers, with Bunk's Oufan,s' fees, expenses of collection, mod ..no cosh (cu Follower, Dnrrmver hereby .,as and pkdgn to Bank . continuing s rarity inters I PDKF391136NA82098 and including vll improvements and icrosioiis thereto and all spare pe connection Ihelewith, and illy nainlenance igreonents applicable tbema, and all proceeds and Agreemoi, Ibe Feint "Olher Obligor" note... any pees., or eolily ether Ibvn Borrower that is now, with any of File Obligations or Uml has panted any lien or security interest w or far file benudit < ...mots,, surety, endorser, or c,-maker ofary urban Obli,runare new and imbilintni of Bu wwaO, to Bank, whelberdi ed or indirect (by way contingent, comonpialed or unconleloplele,t, or otherwise arising from stoning or hareaner arising, indnding but rail linoled to any and all an docnnants, any and all soon, advanced by Bonk to preserve or protect ad liens in We Collateral, as well as the espensa of misking, holding, se by Bank of Bank's rights in We event of a default by Ban.,,. or any actively, "Obligation.'), and in coelidendion of advances Dom Bank 1. No Ilve following (cullaoively, "Collateral"): 1995 Ford F-350 Is, pools, accessories and almduneals now owned or hereafter acquired in roducts thereof, and all rights Iberelo. As used in Ibis Nom wad Seanity h reo0er liable, directly, easoingemly or otherwise, upon or in connection Bank to settle, any of We Obligations, including, bill not limited b, way 51 CONFESSION OF JUDGM EN f. Damao irrcvombly and nncondillonNly and oust of record In lire Willed States to al,panr on behalf of Borrower in any court in one nlher cinal al 1, mid f appear got, ant nil enter jud,naal ugniml Boce. wor ill a over end of defeat wiRt orl out caagdanl riled, and without prior notice to or oppark n nil Seanity Agreemmaf in the fall normal of the indebtelnesa evidenced by this Note an and all dumges, re's and eapmses) pins cuml costs, plow ntlorneyl fees equal to Race's pa: ether snow duc at which moy because file hereunder, will release of all errors moil ,III.. m:py be ronfinscl ngabnt Borrower upon this Note and Security Agree nscnl, BarI ncir ago only o city of the Cnunnonncdth of Penansyl-al. or in the United Stairs Mousier C heucfnl of any and evn3'stands in diuance, or rile Of Coo 1, whelher now In force of hereal any light or privilege of exemption, b.nnntcad righla, nppreli Ounall, stay of erecullan or ucdulle enforcnnenl of a judgment or rdefed proceedings on a jndgaeol. (To the axle alwu nor eat+rauone . thin tar nay real pt I.PrI 1, bunted in Peans3alo a o to D file rnhl enter judgment agninsl Borrower sha l not be exh alsood by .ne or more exmeian thereof, ap jndgmnn entered pursn:nsl Ilardo; such authority and pon'er nmy be exercised ms jnrladictio+n, m after as Ibe bolder stall dawn a ssnq . ndNSnble. BORROR'E IIIDGMENT PROVISIONS HEREIN CONTAINED YIJIIC'II AFFECT AND WAIVE C UNDERS'T'OOD AND VOLUNTARILY AGREED' 10 PIT BORROWER. REPRESENTATIONS, tVARRANTi ES AND COVENANTS. rhzn .,W rotor ers any allill nJmllmd In pmetice before nay noore proccelill or before any clerk Werrofor proll o lolary or It.,. uproand after line invinneure of any lefaull hereunder, wills ty of Burrower for' pa Nor bell III lnr' ofrhe holder oflhie Nate Security, Agreement (fuel Do, principal, necmed bgesnl and any ern (15%) of Ibe unpaid hNnnce of pH,,OipnL, blerent, ahnrgea, ..,it fight ofoppeal. 1.1:ulditlon to all other canna in eld(Ch judgment a final venue ..,it jurisdidloa shall be property in the conAr of nay or for the Middle Dintid of Pelmrylvnnin lb rrover wolves file coded, which only he 1ovbUly evolved co lfanLrg upon Borrower pplcmenbory proceedings, or other relief (rout Ilse eu frcemenl or probibhod 1, areliable Inor, any judgment obbfned by confers]" e of any Do-roes.) The Onjunuity and power to appear for and by any I per feet exOoru the... I. all atoll not be cxlinguiahwl by eimna from Itme la If e, ne ii, m I. the snow or dif erenl HEREBY n ACKNOWLEDGES THAT TIIE CONFESSION OF ITAIN LEGAL RIGn its OF BORROWER HAVE BEEN REAM, 6.1 Authority; Location; Nwne. Bonower is duly organized and existing in good standing in the ste a of its organization, is qualified to du business and in good standing in all jurisdi li, ns where it conducts its business or its lleceivables are locnlcd, and I+.ss all rcruisac war, authority, licenses and permits to own its pmpaty and carry on its business. The exeiallo, and delivery ufthr, Note and Security Agreement have been duly .vuduaj d by nppropriale activate, company or pammrship anion. The principal place of business and Se, o c Bo t, Bor Bontheower boosholl ks and inrecords relating w Bank in o is business and Fla Calla rat, and the Collateral ere bcoeJ at the a n ul forth in I In Noe Agreement .mcdiately advise Bulk writing of line opening of soy new place of business or the dosing of er any or its existing pleas of business, nod d of any change in Borrower's wer's none or Ibe location ofrhe plains where Une Colateral, o books and rerorrk pertaining to We Collateral, are e kept. 6 2 ..' m" of ar, n 13unovo has never received l low te etpu complains err t lice of investigation relating ou Ise making, scoring bundling genetti, or Itnsponing nny nioumrinls or substances which older r a appplialicabble e Incas r require e special banJli gin collection storage, hentmeni or disposal ("Hnzvdous Substances'" and Diarowcr does not own,oak,mil, oandle, dispose oror nnnep.n any Hs sodnas Subseocea a mloion ofany applicable law.. 63 ERISA Dormwenmd each of its affiliates and snnidianw, ("ERISA AQliums") which ae I per contemn control, or are pan of. enmrollo! group, width, the meaning of 4e Employ. Riancmmt Nwme Security Am of 1974,. amended CERISA"), are fi cc plianc with all applicable provisional of ERISA with regard to each of its employee benefit plans (. defined in Ell ("Employ. Benefit Plans"). Neither a reportable even a a darned in ERISA) nor a prohibited bnnsfcr (as dbfnml in ERISA) h. occurred wits rasped to any Employ. Benefit Plan of Burrower or any ERISA ARiliale, h meElmely upon the oceurramx ofanysuch reportable event. Borrowershall promptly formals to Brisk naia thereof, u filed with pension Benefit Gummly CArpamfla it PBCC`T. Neifha Borrower nor arty ERISA Affiliate has coosplemly or pemially withdrawn from any m thiemployer plan and no each mulfiemployer plan is in rcorg zalion, all u pravbled by ERISA Borrower and each ERISA ARli.c has met its minimum funding requbbmenn and has no unfulfilled obligations undo A ho cvn me m my Employee Benefit Plan. Burrower shall promptly notify Bank of any assertion by PBGC of lilddlity of Burrower or any ERISA Affiliate it. Title IV of ER] Thc failure of Borrower, to pay within thirty (30) days the amount of any liability under Tit, IV of ERISA demanded by PEW shall conatitute a default hare under. 6A laws. Bormwer shelf comply it all times with all laws, ordinances, rules and regulations o any Federal, State, municipal or ocwr public authorities havingjunsdiction over Borrow., the Collateral or any of B.W. other a... including but cwt limited to ER11 A .it all laws relating to Harardems Subsaareal 6.5 Texas. There ar. ca unpaid Federal, State, city, county, or other toes owed by Bonower, On are no Federal, Suite, city, county or other tax liens presently filed against Borrower, and there ere no aubsWdirg personal property taxes of arty kind. Borrower shall pay load discharge, when due, all taxes, levies, lieru;ard other charges on any, or all of its aeons, including but nit limited to Invenory, Equipment, Rceivables, and Other Pro and shell pay promptly, when due, all ether taco, including withholding taxes. 6.6 Recording and Legal Costs; Fuller Documents. Borrower shall pay all cosh aced ezpas?' cident to the making of tad loan(s) secured hereby dot perfection ofBlosk's security interests bereunda, including but not limited to all xhoal fees (to ire enmi not inhibited by taw) and all recordation cats and Was incident to filing of financing atatamart, and confirmation statements in respect thereof Borowa shall execute ud d liver to Bank from time to time any oawnwvls or documents, and shall do all things necessary or convenient to eery into effect the provisions of Us Note and Saurity menl Borowerdesignatas Bute or any of its oBem u aMmey-in-fad to sign Borower'a Haase be any such i arunenta or documema, end in file the same u maY be ap prate. Hortowa agree fiat filed photocopies of financing statements and continuation statements shall be miliciart to perfect Bank's security idecand hereunder. 6.7 Books and Retards. Bmrowa shelf sra(Main such records with rasped to the collateral and a condition (financial and otherwise) and operation of Borrower's laminas as Bank may request from time to time, and ahall furnish Bathe such information with respect to Collated, account debtor, and the condition (firm vial it otherwise) and operation of Borrower's business, including but not limited m balance Wheels, operating erns cols, and other financial irJomatioq u BWC may rcgpest from time to time. Buck may en any time and without prior cam. to Burrower it without the cm 1 of er directly cannot account debtors and verify or confirm the status ofthe Receivables, Borrower shall fumi m Bud, or cause to be famished to Bank such financial irdo 'on with raped fur any Other Obligor, including but not limited to balance shoats, operating almemrnts, peraorul financial statements and other fnumial information, as B may rquest from time to time. Bute or any of its representatives may from tone to time suspect, tied, make copier ofor exuads tom for books, records and foes of nower, and impact my ofthc Cal Waal wherever located, Borrower shall make same available at anytime for such purposes. 6.8 Insurance. Burrower has and dull maintain isssmsunu not all of its assets and properties, inclu ing but not limited to to Collateral, at all times and against hazards, with companies, in amounts and in from acceptable to Bud,. Borrower ahall submit to Balk original "ranee policies and receipts evidencing payment of the premiums due on same. The policies shall name Banc as sole loss payee and additional oaurcd with respect to the Ilwm.l, and shall be endorsed an as to make Ilan non cu callable unless thirty (30) days prior notice ofceaac Alan" n is provided to Busk 6.9 Fuller Covenmns. Without the prim written maent ofl3ardt Borrower shall rut (a) pledge r grant any security moat in any Collateral to anyone except Bank, nor pcrosil any fmareing s atemad (except Bank's fmerand" natual 1. be on file in any publi i' with respell thaeo; (b) permit or suffer any Iwo, to, o other u ighmooe to attach to any of the Collateral or fur any otherauces of9o noway Zueept fm lies d encwnbrarees in fauns of Bank; (c) make any agramen6 compromise, senlemml, bulk agile, Iwo or vuufer of suam other tun I. the normef course of Wane"; (d) m me, Someone. and. a otherwise became liable in ronneNon with the obligations a any peron film or corporation, except by rnMUement a isatmmmus fm deposit it co Beds , or similar menom ors in the ordinary course of business (e) enter into any merger a consolidation, or sell or lease substantially all of its .nets; or (f) punch acquoe the obligations or stock of my person, firm or co sarrawn or other enterprise whatsoever, other than the dived obligations ofne United Si or Bank. 7. DEFAULT. Any ofthe following will be a default under this Note and Severity Agreement I failure to perform any ono obfigations hereuMrr, (b) a default by any Bonower upon any ofthe Other Obligor upon any of the existing or future obligations of my Other Obligor to Bank, (d) a this Note and Security Agreement, any other agreement, uncommon or document in cotmsculm wi between any Borrower or odic Other Obligor and Bank, or any corporate affiliea of Bank, wt adverse change in Res financial condition ofany Burrower or Other Obligor from Hai expressed in this Note and Security Agreement, as determined in good faith by Bad, in its cote discretion. proceedings by or against any Borrower or Other Obligor in any slate or federal wort; (g) the app any federal or some insolvenry or credtars rights few for any property of any Bco ower or Other Obligor in any ofthe Collateral other ran through ulu of Inventory or ocher use ofCollatoral in d to fhmish to Bart, such collateral or additional colWcral as Bank may in good faith request; Q) Borrower or Other Obligor proving a have been lammed in any material nba cot when made or passage of time or the giving of notice or both, a default under any indebtedness of any Borrower or substantial damage, not fully insured for the h awfit of Bi l6 to any of the assets of any Bi disposition fall or any material part of the uses msay Borrow. or Otus Obligor over ran in entry of any final judgment against any Borrower or Other Obligor for the payment of money in Bonower or Other Obligor, (o) the ra...deton of any federal, state 1local ax lien against any Bc consolidation, liquidation or reorgameatiot of any Borrow. or OJwr Obligor which is a sm orwo Obligor who is a natural person; (r) failure of any Borrow. or Other Obligor to furnish to Bale domination in good faith by Bank, in its able discretor, that the ability of my Borrower or Olh impaired for any rc.on. 8. REMEDIES. failure to pay any principal, exyca4 fee, charge or interest when due, or isting or future obligations ofany Burrow. to Bank; (c) a default by my fault by any Bonower under, or breach of any provision or wanenty of any of the Obligations, or any other agreement, instrument, or dommenl her previously, simultaneously, a haeaea entered into (e) a material e financial statement most recency submitted to Bank prier a the date of f) institution of barduuptoy, insolvency, reorgembation or receivership omen of a receiver, assignee, mslodian, "also or similar official under bligoq (h) lapse or termination of the iramest of any Borrower or Other ordinary course of busine s; (i) failure ofany Borrower or Other Obligor y wartmty, repressnntion, or statement to Bards by or ou behalf of any -crushed; (k) the bust ranm of any avant which is, or would be wish the Other Obligor to any person other than Bank; (1) my material loss, then owe or Other Obligors or the irersfa, k oe or encumbrance or other as ordinary course of business of the Borrower or Otwr Obligor, (in) the cess of 55,000.00; (n) the levy upon or attadmumt of say saets of env over or Other Obligor, (p) a change ofo vionabip or dissolution, merger, , laannow an, or sonar legal artily; (q) the death ofany Burrower or Other ch financial information as Buck may requite Gom time to time; (s) the Obligor to pay or perform any of their respcdive obligations to Bank is 8.1 Specific Rights and Remedies. Upon a default, in addition to all other rights and remedies lived able to the holder of this Note and Security Agreement under any other document or agreement between Borrower and Bale or under applicable Ian, the holder of Ws N As and Security Agrwmem, to the holda's Is donrencia and without notice or demand, may. (e) raise the rate of interest staving on the unpaid banns. due under this N at mat Security Agrcwr mt by two perems (2%) pcreema, points above the rate of interest otherwise applicable, independent ofwhetba the holder of Ws Note and Security kgreament elects to accilerue the unpaid principal balance in a result of such default; and (b) declare the calve unpaid principal balance plus accrued imerea and all other a nu due hereunder immediately due and payable, (c) exorcise any right, of a secured creditor under the Uniform Commercial Code, including the right to take possession of ly, Collateral withers On, use of judicial process or hearing of any kind and ire dgla to require Burrower to assemble the Collateral at such place as Banc may specify. B seer.,.. unit a default under this Now and Security Agreement is a defiull by Bonower under all other liabilities and mAigatio a of Borrower to the hold., and that the older shall have the night to declare inumcnieWy due it payable all of suds elver liabilities and olr3i,ntiasa. Sononrer also hereby oothaixea Bank, upon a deranla n widkoul prior notice m or do and liven Bona.er and Witham prior opponunily of DOrrower to be heard, la indiele an action for replevin, wish or witboul bond as Bn tk may Is , I. ohlnin possession of mry of lLc Collnlernl. In audi action for replevin,acopy uflbis Note and Sm,uiq Agreenkem verified by allidnvil of Built or swam on 1,.rent CollntAnd, g.2 C.sls rTC.kcanon. Upm 111. ccnnmce rally defnull, Bank slat] be entitled to recover fron Borrower reasonable ahonkcya fees ofany attomey.vbo is wt u sal, ieJ Ins corm costs and tuba a Fences which troy be inclined by Bank in the ediorenenl or lie(ad enl reensmt ofiia rilaa hereunder, blether againsl any third party, Bon w any Other Oblt,.r. Experts. r.e.vernhle Gorr Borrower shll (to the ea enl not prohibited by linvInelude costs of collection, ineloia, lien, jn Ipoor, and wLer recJ search., s.L ries, out+tf-Pocket travel, living expeues ad We hiring of .,galls, convdt nd" alysmisera, or otherwise. AM mns of money thexpended, ad 11 mber mnni. expended by Bank to palled its in(enal iu We Col]meral (including nanni ce, taxes or pairs) sell be repayable by Bonower (o Bad; on demmnd, such reto be secured as provided in P....... It 4 hereof. 83 Foreclosue. Ulwr live .1nasee crony default, in oddh on so other remedtu provided order be Natrona Commercial Code, Bank at any time then or diticelleq in its discretion, rnny lawfitlly user any rise Sarrmva's premia..r its premises where the Collateral is located, and with or willsonl judicial procese, IawPolly remove, under Section 9.503 of be Uniform Comile,einl Code, WeCollnlenl m records hereof I. such plate as ad may deem advisable, or require Bonower e.a.emble and make any or nil suds Gathers] 1"MI' e or sssh'easenble pram as Bank may direct, and realim upon (by be or in any other mums) all or an)' part of the Calker.], in each case ...thou] rd,enim,nclit or notice to Bonowe, except Ira(, notes, ere Collaleal is Vendible or thn arena I. decline speedily in value, or is To type ersl...... Ply sold on a ree.,,,ad make(, Dart, shall give Borrower, and other parties earned to notice, rensmmble notee in .,riling before the sale of tin C.Ilmervl or any pan thereof al Vohlic e.nin or private side, du am or wore sale,, at sucb price or price, and upon suck berms sillier for c sh or credo or Iodine delivery as Bank may elsel, and al any such public svle yank miry bid for'nJ beeane Ile vuretlnser rally or all ofsucb Collala'1; and/or Bede may f recluse its staidly into., in the Collateral in any way pemtitleJ by low. In connection with any notices 1. be given parsant to it... paragraph, it is agreed in all immune. tat five (5) liminess days notice conslibnes reasonable notice. Any s,dk mice stall be deenved giver wdsen delivered a depmimd in it" U.S. rah VAII first lac pose,e, to net proceed of any such We or ,alas and any .anmu it, received in liquidation of tie Whalers), less all costs and expenses intoned in cone, i, n thi eveah, including R.nm)", fees equal a fineen pence it (15%) ofnre unpaid balance Title OLIigninse, m rie rive of default R. the extent not prohibited by law9 and, m Ile oVII.R of BmJr 'Is any prior lien daine, slmll be applied againn Ile Obligations in Ill order tee( Bask in it, sets dscrdias shall decide, and Dancer re rata May emitted therein'fi'll be adilkd I. ap, solos reaulfng IlereGmn. No anion taken by Bank pursrenl hemto shall:fRet Bon.wcr'e conlinnin, liability in Bank ]hinny defiewoO, renisni'gone a,, bredonne. The anchnser.1 all,, suds sale shall Pheno lei hold the Collateral shall mely free brain any el Ink or right of+vbatsoever kind LneluJin, any equity of Peden, [inn of Bonower, and sucb demand, notice or rIPJd in egnily are hereby exposed, asi.w.nd ots dby Bonower. gA AJlenatwo Re edies. Bunk may exercise its rights r,nJ remedies LeennJcr either allemalively tonctirsidly wilh its rights under any ad all wher agreements between book and Bonower aI'dshat!save lie Ell nda to Petite upon all available Colate,el, collectingo Ikesane or instituting proceedings in comedian Were,ill, mnil Will, receives payment in fill .fall main[, owing a Bank under it, tries agreements Pith Bonower, i ciudin, principal, inera roils and expenses. and cords oferfomnne ll or ouentped enforcement of this or it, liner it ce nenl arras,. be(weeu Bank and Borrower or nv Giber Obligor. Bank shall be under no oblig:nlon to pursue Bank's rigla, against any Oft, Obligor or any of it. Collateral of any OBsr Obligor acnuiog arty of be Obligations before p::r anng Dalai rights against nt.nmrer or the Collateral. 9. RIGNT OF BANK TO ACT WITH RESPECT TO OTHER OBLIGORS AND COLLA IERF all lemn and agreetneds bebveen Bank and any Other OWS.q and all amendnaate and modilScraiot or re writing. Balk may, without compromising, impairing, diminishing, or in any way releasing Bat approval of Bonower, al any time or from tin. in dme. (a) waive or excuse any default by any Olhe or renredi. with respect 1. such default,, (b) grant extensions flint, for payment .r pafonnnnce le c.l lateral of any Ollser Old".r, m waive, release, or subordinate, in whole or in pan, any lien or s payment or real..arsce, in whole or in part, of it. obligations of ... y Ciber Obligor: (d) release an) snore roved by any 011her Obligor In Bank, in any order or nenmer, or to any specific account or : end, irk any raped, Bail:', ....anon with any Other Obligor, or city docu,nem, marsnteot, or w all notices Wutsoewa with respect to this Note and Secodty Ageeman u will re.,ed to any of she notice if n) Hank's -eepenee hereofor BarF'a intentin, to act, or Balk's ndi.n, in reliance hereon; any Other Obligor to Bank or any lens or nnmun[s [lie ...fee .,I,, doings therein; (iii) any default G sire, agreenvenl, pledge, Solvent, or odd, aeunip, for any of the cbR,ntian of any Otber Obli from any Other Obligor and protest of nonpayment;.,,d(c) denuartd for Ior mence ofany Other OF 10. WAIVERSI EXTENSIONS OF MATURITY Bonower, and all parries ve 1111, Note am pnsenewm, demand, notice ofdishon., and proles], and agree dial file ntahuiq, oftbis Note and Sec, lime or brain time to lime willan t releasing, discharging, m affeding We liability of such any. L; e.AI V ERS AY BORROWER. Borrower r rock, and vto eny and hthereof,whether Vrcumly exilingoranruye, ade nng n oral Ober train the Obligations and by Be, notifying of in or of ing no, n, prior Obligor, y Other delay in ilia exercise e by Bad: of any y ig all al) Bank's r annd sa sty Other OblA (e) reuse, institute, nge, surrender, Only Obligor bald d Bank 'Inay real or lere personal pro oven, seenad curing Oiler OF Ban ct. and male by any Other Obligor, a any as Bank inapply may sl elece, and d I e in Bo, change, rosin:, extend, or .lints, a i[ing anf any then Obo Ile ionic ne. Bwer waive: (a) any and ot) the Pee o of nex ry Older r I. innriin n indndnng but not finites m e ts existence or Fligor future incurg r(eny tae igalons of an the pres any Other, ) pr, ct and and (iv) the d....an or releas. e rally gunnntyor ;onto Bank; (b (b) presentment and demand and for pspnem ofany sum due Seemity Agrernrens, Acsillse make, endorse, or marnnmr, waive it A,ennenl, or any payment due bereunder, hPlay be eUedcd al any 11 . JOINT AND SEVERAL LIABILITY Ii floor one penal or entip i' execwing Ibis N.I and Security A,cement as a Brower, all liabilities under Wis Noe .and Security Agreement shall be joint and seven) with reaped in con' of aab pen.ns or enlill 12. BINDING NAI LIFE; INVALIDITY OF ANY PART. This Note and Security A,eentenl hall inure to the benefit of and be enforceable by Bank and Bank's snccess.rs and assigns ani any ratter person to "bank Bank tray .,it an interest in Donmvcrs bli lions to Bask, and doll W binding and ad'omeabe against Bonower and Bonower', personal rgn.oull"es, src.sons amt assigns. If any Ixo"l io r or pan of my pro, ion of this Note and Setnniy Agreement Moll for any reams be held invalid, illegal or uuenforccaLle in any respect, sucb invalidity, illegality, .r nnenf renlilily shall no aRcd ally ulber provisions of Isis Note mW Security Agreenenl, mid this Nae and Sean 'it, Agrce,rent stroll be em,b,ned as Tsuch invalid, illegal in unenforceable pro iin or all Ibcreof bad never been eontrined Lentil, but linty Io We exient arils invainlity, itlegahtyo unentRoceabiby, 13. MAXIMUM BATE OF INTEREST', COMMERCIAL LOAN. N.millelandln, any prmisio of it... Nae and Security A,eenkc.l to the contrary, Bonower shall not be obli gated to pay interest hereunder in ex-as.fthe mexirmm roc of Pries,. pen Ntted by tive I. of any stale deternved to boo. this Nine aid Smnity Agreement el the lams of the United Stales applicable a loans ill met eta,, If any provision of this Noe and S unity Agreement wall ever be construed t. Per, irc the payment of any annum rl' interest in excess of that penniued by applicable law, Iben tae ineresl in be paid Lereu tiler shall be held subjen t. ndndi.n 1. the amount allowed under applicable lase, and anY suns paid in exec oCnm imenesr ran, allowed by lasv dull be appliul in reek ti.u of are principal Faluwe oummnd'mg under this Dole and Security Agreement. B...over Plar., edges Ilia it rocs been comamplated at all times by Bonower tall ere I cos of dm Connnomvcath of Peonrylvania will groom it. maatnrom ram of inleresl IIn I it is perm.. a for the holds of this Nole and Security Agreement to charge Boar w under tills Note and Security A,eemcnt. Bo nover+vanan,s act[ Wis TINc nod Security A,eenmut evidences a loan made solely t. acquire an inluest in no eaury.I, a b ultv.,.r comervelcial ede mi,x. 14. CHOICE OF LAW; CONSENT OF VENUE AND J(,tISDIM ION. This Nwe and Security Reorient shall be g.verne 1, connrned and interpreted in accordance "(1h tit. laws of the Conuuomveatth of rem "t"ie eves if lbc Pen", '_ia ales g.vening coNlic of laves world otherwise ""I's. Ibd tire laws of snot]. puis9dias govem Wis Note and Sacority Agreement Brrosver ernsents m ilhob sdwono and venue oftbe sou of any county or cily in lire Connnunweallh of rennsylvaaia or to the jurisJimon and venue of lie United Slates DoInd Clint for the kdlddle Distract of Pemsylvmis in an action orjrdmial proceeding brought a eiftior, , li,romm or interpret sole Na. and Security AV.., Any rOW. brongln by 13wrmver against Bnnk which Is breed. Agreement w may reel W related to this Note and Securily Agreement ehAt he brm,gla only in Ibe e. in whole or in part, upon this Nom and Securily allh ofpe raylv.nia. 15. IMCONUI'CIONAL OBLIGATIONS. Bonmveis obligations under this Note mN Security 11ppgreemem shat be the nW.Into end uncondiiion:d dot, end obligation of Bwrm.er an I shell be independnd of..y riglas of Wlff,, ree-npment or connmrclnim which Bo wer migln onmrwile have agei,m the bolder of die Note and Security Agreement and Borrower shall aly absolutely the Paptanis of principal, interest, charges, fees and expenses required hereundn, free of any Jedimtim. and IMIum l ahetemed, di...m,(lon or set-rM 16. ADDRESSES. Set Potrlt bel-rr me the addresses of: Address or Chief Esecaaive OBice Addraa of Lmcntion of Book, and R.odL Relmiugto Collerarnl Other Address(es) of Location(s) of Coll nlernl (if mty) IT WAIVER OF JURY TRIAL. Dortoner (by e,tenUUn of lid,; Note and 5enmiy greemenl) a. Dank (by lte"lasce of 01e Note and Security Agreement) agree it t any nit, -.lion or proceeding, whether dotal or eomrlerdalun br-o ht or ,I ,aeJ by Dorrower or Bank or .111, rtapeef to Ilds Note .red Sewu ity Agreement nr which in any way relates, directly or Indirectly, to the oW gl don of Burrower a Bank under Ibb Note :n and Secutlry Agreen alt -r tl:e dealings of the pnHies nnh respect (trace(-, shall be tried only by a ..serf and not by a ry. DORROIVCR AND DANK HEREBY EXPRESSLY WAIVE ANY RIGHT TO A TRIAL BY JURY IN ANY SUCII SUIT, AMON, OR PROCEEDING. mrmwer and Bankncknowdedge end agree that lid. provision laa ,,in,, and materiel .spec, of the ep 1, nenl bebveen the parties mad 11W Bank would 11-1 a ter into the Ilmuaclion aid. Darlene, If Ilda Plmdsl.....re'n-I a Pori of find, ngreeu rat. IN W[ I NESS W II LREOE, nn I intending to be legally Iwund hereby, (he uodera,a.d .seem. Wis .wines above. WITNESS: ay L 4wf u ) (siealare) Sanmel nnr(?o r?(,a,nnn 9e Jica (Prise( l c) (PrintN end Secuaity Agreement w.der seal, es Dorre.vu, as ordle date ft. and Trading as Calmnnn's Lawn Address: 1456 Momn Ruck Road NewvDle, Pearnyhania 17241 Telephone ]Yunaber. (712) 726-2326 Social Security No: 12-3547713 EXHIBIT llc? p 31 000.00 c?_,.Ml FOIL VALUE It LCEIVED, the undersigned (''Borrower'") frmmises to Palle the order of AII@st it n ,ad did,-olmr4red connnertinl built, ("Bank"), al Bank', er placeathe bolder Ihix Note nary from Tina )rime desigmle, the principal .,is arkbiro:re ollicnant 1123 N. George Slreet Vail,Ponnaylenn6, 174U4, oralsucholb sun 'I'6om:nul and 0011 OR Dollars ($31,000.0(1) (Ibe"Masinmm Line of Credit Anounl"), or loch oth? .nm.rd era any be advanced front lime le lime to Beiruncq together with interest Ontario at nhnnJo or rales hereafter specified and any and all other stuns sr6ids map be osvin to Bask by Harrower pursumrt to this Note. The followinglemv shall nM], to this Note L LINE OF CRED1'1'. Suhject toIbe continued compliance.1-Borro...r with the moos ofthi Note and all other nceo,panying loan documents mul the continued islurn s of nay default by Be"owe, or cop, Other Obligor (as herein filler darn ad) buenndcr and fl- laid., nook may edvaee to Borrower, for use by Ba saver sis hereafter provided. mob sums as Bon owe, may request, bill which shNi net waned in We aWas,me m any.nc Inn c on standing (lie above-stated Milano.... Line of Credit Amon L Borrower, shall not request any uJvance of proceeds hereunder n4neln exceeds the Milan r.m: Line of Credit An onat or ouch would cause the aggegole anmunt of advances trade aa, mnamoding as...le, I. exceed Ibe Mrimi nor Line of Credit Amount. Even if Ihe aggc,efa annu I of advnncea made and outmnchn, hereunder shall al any limn and f r nor reason sceeJ Ihe M..lntans Line or Credit A ao it, Borrmver ,holi nevertheless be liable fm i , entire man n al outstanding with interest thereon, and Brunner shill he reaponeihic fir ob,c, ron. of, p ,liana ace oLmd compliance with all oftbc corms, covenant and p v a ns of Ibis Note and olio, loan documents. Wilhiu such limitti.ns nerd s.h)cct in all of the loon and renditions cal Wt, herein and in Ihe other acconnpanying Imin 'n eats. Borrower mny borrow, repay and rclaurn r fords Inter n l., i. accordance said, the tents and erudition of Ibis Note .,ad the ether loss, dodmnot. Bank shill) stake all advuuces by depositing fimds in Bon'maer., conurercini duckinp ,account number P or such Bonk current. nay be agreed uponWy Borrower and Had. Dorreiver hull use tine proceeds advanced under finis Note lady for in working capital ,,cads. 2. INTEREST. From the dote Ism.f until all anus due here do, including principal, intereal changes, fees and.,,Mo. arc paid in full, We principal omonul outstanding Lam lime m time puria n ll to this N.J. shall ban, intent nt a footnoting .to equod m 0 % par mm m above ilia Trim. Rate" (as hereafter defined) as it ... y very front time it lime. Ibe "Plane Ran" leans the Ini,1 of prime role (Ihe base one Fissional on corporate loons at d by ill lost 75% fit. maliada 30 largest bads), as fr.endy, pobliabed hp The Willi Sued Journal (Enstam Libidos]) tilde, the beading or cohnnn entitled *'Money Rm." or i e )inure substitute heading, colnnm or mblending published by The Wall Street Journal. Changes in [lie interest .to shalt be made when and ns changes in the Prince Rate occal If The Wall Street Journal count to publish he Prime Role, Until Ihe Prime Rate moil recently ralukl at will continue to be tire Prinse Rate until Bad selects and notifies D er oft nciv Prime Rate . Bank swill select the nosy Prime Rate in it, art, discretion and iu conryliance with all applicable Imes. 3, REPAYMEN F. Borre.cr shot sake payments of principal and interest her accordance will We Winning tons: (o) Principal: ALL SUMS OUTSTANDING UNDER THIS NOTE ARE IMMEDIATELY DUE IN FULL UPON THE FIRST'rO OCCUR OF: (i) T IE DEMAND OF THE HOLDER OF THIS NOTE, WHICH DEMAND MAY BE MADE A'I' ANY TIME AND FOR ANY REASON, IN THE SOLE AND ABSO sFE DISCRETION OF 111E HOLDER OF TIIIS NOTE: OR (i) DIF OCCURRENCE OF ANY DEFAULT UNDER THE TERMS OF THIS NOTE. (b) Interest: Burr suer shall make payrnols fall accrued and unpaid intmol on the 2516 day of Inch suceessive sounds, begimningun May 25,2UUl, and conlinuingnntil all stuns oeLSmndi.,] end. are paid in full. Bermwer toy prop., Isis Note in whole or in p.I at any fine or from lance Io lime wiWanl frnnim n m additional intern. Ary prcpnynnenl of We principal bnlana of Hnia Noe.- shall be applied m the outstanding principal batmme of Wis Note in We inverse order ufscheduled a itio. All paymots sonde parmoul m Wis Note shall be applied Bell 1, used and unpaid intern, risen to unpaid carrousel and al ago payable It.eonder, and O,en to psi cipal, or in such other order or proportion as the bolder, in tae holder 'a solo di actin., may sled Lom time Io titre 4. LAI E PAYMENT CHARGE. fully pnymenl due her.mder (including any paynsenl ins hole or in pat U principal) is not ,..wad by the lmlder within Stool (15 .Inds, days older ile due date, Borrower shall pay a Int. payment charge.pol to five percent (5%) f the announl Use. it... 5. SECURITY. 5u et due under this Note ore secured by, and Borrmv. gook to Bank a as irity internal in, all deposits and perfectly of Bmanner now or at any time Leaf er in the fosses ims of or ter Jqusil wits Bmtk svsefher as .slodim, err depository or in any they caPeciry, in additiorq Wis Nose is served by any propedy denaiaed ns ,,id, aumt in any a, tiangmmbilol, mongaar I. deed Bank of Wit pledge tateeurnnle amlimore other of Bank. anod. pr viommsis a nneousl with this .r Note, te, and r. a1l1 l um renewainmlsby, Borrower refinancings, , co,anumn, subslinniti n b.ns, ligmion en sot l and timidity of modifications s ni thereof, such oanyldeer r security document its o Note a e .i roaen mear Fill, m,hs . endm,nt n. ' finir y means any by reference, ae iffully set frah herein, , .11 F all ofior language ..,it dared, .f0seaecarity dea nnantdescribed or iobove.Aaxed in fins Note, (betels" Ibe, Obl atli operson or mlinyolder than Borrowenb#isnosy or of lists c c means gnnlW any dim or s.nrity interest to or for the boefil of&ilk error laude, e, Ili cod,, iana area to, any ewith wryof Ibe OhGgrlion that 1. s 1. seccure re may of Ili, , Obb Oblignfinns, including. m gtisseIndiana nut limited tut any Elemental, surety,.NOneg or co-,, raleeker of any of die Obligations. 6. CONFESSION OF JUDGMENT. Dorrm.or irrevocably and nncondfsionlly all.., or record in tire Bissell Slates In appear ter behalf of Barrow,, in any court In in or mare .mea[, and to uppem ter', corms.nd enR, pWgncut against D...... er at :illy nose .,an defmdt, ni0, or Mt6.ul c. n,i:Wd filed, and xitlronl perm' order W.r apperlnuity or Darn Agrees, cut le the full anmn.a of tie I Wateriness cyfdnaed by this Not, and Security Agree, ..it ,ap.nacs) plats Call" ,.ale, like, all.,,.,,' Ices equal In ftftemt percent If 5%).r 11,...... aV become due here muler, oil la release of all crows mid "Uhmot right of nppenl. In ad, Umroner np.n nda Note and Security Agreement, untroner agrees Hart Vann unit purls Connnanoralth of Pnm,ylvanis m' Jr. lire United Stairs Ulatrics Co.", for Ilse Middle Dish ict ardinr.ac, m' nd, .r amni, xhoh.'..n in form of bcrenner .,acted, oldelnn.. be Lfut], I ..nessend rights, appenisenmnl, slay of Aladdin,, or suppknnenlnry In receding, or other is Jelled locnled bnneed, I`ennm imgs Fononia n j is nd hie the e rest hs t Tstheeznidence of any ]to ]to rrmn er.) l n) Itici anImv,lbortly soany and Par 'he and pw ,zbnusted by' mw ur more ezerdet t6,reuL or by any bnperfcrt .mdse thereof, nnA .boll .ntbnrit, soul poxm mm be ea.'rised nn one or more occasions front time to thee, In the stn r advisable. BORROWER HEREBY ACKNOWLEDGES THAT 'rllE CONFESSION AFFECT AND WAIVE CERTAIN LEGAL ruGHTs OF BORROWER HAVE IIEEN BORROWER tea and empowers any .throe, aJndned to practice before oily coal: enlbngs, or before any clerk thereof or prothonotary, or other court nd after Use occurrence of aq defmdt hereunder, nilb ov.asent of er for prior bearing, 1. favor of (Le holder of this Note and SecmLry ant (Including principal, accrued interest and silly and all charges, fen d halnnce of prvnlpol, b lanc.1, elairgt, mil labor soma due or nhad. limn In all other courts in uldels jndgnrurt story be confessed ngot:nr lesion shall be ,,npsd, In We eouris of any msinl, or city of tar ,f Pe.osayh'adn. 11....ox'er wnhvr Ibe Lene01 .f:nry mil n'ay afro,. valved conferring upmt lno order any dgM or In-Ferege of excionion. Ief ftnn. Ibe aAorcrnsent or Innnndi.t, enfnfeenrgnt oft judgnsenl or obtained by confnaimn.hall not constitute a )tell ou way real property r to appear for and enter judgment agabwi Borrmver slmll net br '.m1 be erttuguthed by any jail gm.nt entered pnti nil Hamel.; earl, or different luilldictions, no often in the holder shall deen, ne.omrs OF JUDGMENT PROVISIONS HEREIN CONTAINED WHICH LEAD, UNDERSTOOD AND VOLUNTARILY AGREED TO Bl' REPRESENTATIONS AND W ARRANTIES. Borroner (.and ifirame than one Borrower,+or Borrower) represents and warrants to Hotd that the following statement ann. cooed ,,it co'... late as of his date Iran.. , it is III, organized and in good aiamding authority la anoun, Adivenmd pefora this Note; (c) neither such execmi.n, delivery and perforr xult in a breach or vmblion.fits organizational documents, or anyjndghnent, order, regut limn, m petty or to which any of its asset, and properties me subject; (d) Brix Note containers its legal, Valid Irritation or "roc rating failing or, la the ksmwledge arms nepreaenlafive signing Wle Note rah its b if, nosiness, financial condition or onfolimrs or its ability m pc rmor and comply with this Note; (1 bern:nder lave hair and will be prepared in namiltune wirb generally accepted accounting price exalts of its opcnoms , for tire period covered thereby; (g) it is not in violation of any .,dicabls iy.d any orrice an, ix We mbjed of any inaaligdimh to the elfd that its operations are not in including, will maI limitation, applicable nwinnmmmal, health and safely Imes and regulations; (it) sharing savings, stock bonus or w6er deferred compenaatimr plan ("Plmi) maintained by if m any tin Grgdoyee Retirement Incur Savrity Act of 1974 ('ERISA") bas been nominated, no lino ("PBGC"), and oo "reportable clear" (a, such ran,, is defined in ERISA) has oamrol will resort deficiency' within tire ,nearing of ERISA or any liability Ira Ile PBGC in wuoectiah with any P furnished by Bonmver or any mla persol to Batik in emanation wiil tire Obiigntioas, this Note er to stale a nnamnal fact ,, in, fact aecexwiry to nwke Ibe stabmmns contained herein or therein ,at a R. DEPAULI'. Any of ll:c following will be a defnull under this Note: (if)failnre to pny any prin obligations hcrennda; (b) n daboll by any Borrower open any of the existing or future obligato is xiding or. rnmrc iblialimns of any Olhcr Obligor to Back; (d) . defnull Iw any Borrower nude nsmanwl or Me treat is wnnedi'. with any of the Obligalionu, or any other agreement, instant any air If ant l Tale Of Bank, whether previously, sinmdmoemrsly, or Intender entered into; (a): Obligor liar ttat expressed in 11¢ Bn,+nreal statement most at subnhiued to Bank prior to On instito iun nfbankoptry, insolvency; remgnnimtion or receivership praeedings by or against any 1 R receiver, assignee. Canadian, trustee or aiinif, oMoi.1 under to, federal or slam bracket, or failure of any 13araeer or Other Obligor to famish ho Bank sacb collateral or addition.] collat settlement to Bank by or on behalf of any Borrower or Other Obligor proving to have bean incom vnd which is. or woo Id In with the passage of trine or the giving of notice or both, a default aide. Link; (k) any vaiterial loss, thell or substantial damage, not fdly insured for the benefit of Bank, I cincandoa or offer dlyesition of n]l or any ndted.l part of the assets oLvry Borrower or Other Obl Igor, (1) Ile entry or toy final judg,nal against any Borrower or Other Obligor for We payme ante of any lionawcr or Other 001 ivr; (n) [lie recordation of any federal, slam or local fax Iran ag neger, ams.Ifimimu, lignidmian or omganizaion ofany Bonower or Other Obligor which is a, Other Obligor )I. is . moral po i((I)Eitors ofany Bonower or Other Obligor to famish toB dentrainahimh it, good faith by Bsnk, in it, sole direction, that Ibe ability ofany Burrower or Oi imported far any reason. 9. REMEDIES. 9.1 Specific Rights and Remedies. Upon a default, in addition to ill offer rights and remedies avail, Borrower and Bank or under applicable low, fire bolder of this Nom, in the holders Rule discretion is unpaid bnlarce due under Ihia Note by too percent (2%) o reent., points above the rate of infers aelernte the unpaid principal balance as a result of such default; and (b) declare the entire amp Immediately hire nod payable; Bonmver agrees Ihal it default under this Note is a defaul by Burrow the holder abbll have Ibe right to declare nationhood, due and payable all of suck older liabilities an, 'der the law, be slate in which it is c rground; (1,) it Iris fill power .,,it ice, nor compliance by it with the provisions of this Note will conflict with or ling or law 1. which it is subject or any contract or agreement in which it is + .,it binding Ottigstimi nmfmceable in inanition. with its ten,; (e) there is nn ,.If, threatened against or rRedin, it which might mmenelly adversely .Wd all fin.+ncial stateroom, and be .....ion rumisbed an to be famished to Bank pies and fairly present its financial rani ihimr m of tire dines thereof nod the iedeol, slate or local It,,,, .metre, rate, regulation or ordinance and has not untearol cionflialles with any amh Irv, trillion, title, regulation or mJim n, ce Seplanber 2, 1974, no pension, employee tendit rmllti.dnptoyer, profit nde or bmsinees group with which it is affiliated subject to the re,traeneot, of art against Borrower is favor of the Portion Benefit Garrity Crain inn to any such Plan, and Borrower has riot incurred any "vcconndded finding n; and (i) .a infomhation, exhibit, report, stannneat, certificate or docaurnal We negol dlon thereof, contains any namrial missmammnt of fad or oi.iued ml, expense, fee, charge or interest when this, or fvilnre to perform any ollml rally Bonmver to Bank; (c) a default by ary Other Obligor ulnae nay of Iha of breach of lap, provision or wans nty of, this Nut, ally other, agreenne,d. it, or docamenl between any Borrower or other Other Obligor and Bank, at arterial adverse clurn, in the financial condition of any Borrower or Olin. le of this Note, its don, "ined in good fill, by Bonk is its sole Jisdetimh; (0 or 01 her Obligor in any snare or federal comrl; (g) the nlryroineneml of nower cdirom'riglas by, for say pr,ryrnty of any Bonower or Odor Obligor, (hj I as Bank nay in goad Pith requae, (it any wnrranty, mpre4entntima, m any naferinl noted when made or famished; (j) fire necromantic of any my indebtedness of mpy Bonower or Other Obligor to any person atber limn .it, of 11w assets of.a any Bonower or Other Obligor, or the transfer, lase d, ?ligor other Wan in the ordinary course of business of Ibc Borrower or Other of money in excess of $5,000.00; (m) the Ivry upon or ottaclunaa Lam ail any Bonower m Other Obligor; (o) a change of avnersbtp or disnolution_ pootimh, prol ldp or other legal entity; (p) hhc dealt, of tiny Borrower at k such fmacial oribaoton as Band, any require Iron, lime to litre; (r) II„ :r Obligor to pay or forfann airy of Weir respective obligations to Brady ni bolder of this Note under any other dowmant or a®cemern between notice or demand, may: (a) alser the mm of interest Recruit, an Wes applicabl, indepro dna of whelber We border of this Note elects In :al balance plus accrued interest and all other sums due heremhder II older liabilities and obligations of Borrower to the holder, and tail 9.2 Costs of Cellcdion. Upon the oaurence of any defnull, Bak shall be solideJ to recover fir n Borrower actionably allmo,s• lees of any attorney who I. nor a snared nnptoycc of the hold., of Ihia Note (m tiro extent not prohibied by I...L plus court casts aced .11, expewn which may be incurred by Bad, in We enforcement car arpro l cdorcco na of its riglds hereunder, whether against any Yard party, Borrower, or wry Other Obligg74j?c Expenses recoverable from Borrower shall (m ire exmrd not prohibited b? law) incfade mats of colledima, including lien. jud®nent, and other record searches, alaries, oubof-?oCor travel, living exi,enses and the hiring regards, consult ants, lip,mise,s. ountnnls, m mherwke. All s its ofmo.oy thus expended, ..,it .11 otmr monies expended by Beni{P to protect its interest in Raw collateral (including bourane, faxes or repaim; steal I be repayable by Borrower to Bank on demand, sudm repayment to be secure) es provided in par graph 5 hereof. 10. RIGII"f Or BANK 10 ACT WITH RESPECT TO OTHER OBLIGORS AND ANY" COL mad all fen, slid agrla n ants between Bank and nay Other Obligor, and all amendments and nR dif rvriting Bank may, wifl o.1 campronuish, impairo, diminisr or in any may releasing appmad or Bonmver, aLmry time ar from time to time bay waive or swose any default by any Of. nether with respect m sacb default; (b) grant extensions off ire for payment or performance by ar of any Olbcr Obligor, or waive, release, or subordinate, in wbule or in pan, any lien or aemvity 'error nonce, in ..bole or in pan, of We obligations of ary Other Obligor; (d) rotor any Dine Oblit Oliver Obligor to Dealt. in any order or annular, or to tiny specific accoanl or accounts, so Bank may agrcement wilt, ary Other Obligor, or any doooated, nominated, or writing, ennbodying , or ra0ectlr to floor Note .r will, respect to any of Ibc obligations of any Other Obligor to Bid} including bill rim Banks ndlon, in reliance hereon; (it) the present existence or fume tattooing of any of me ribli, change If creln{ (iii) any detain by any Other Obligor; and (iv) time obtaining or referee of any gun, obligations of nay Other Obligor tc Bank; (b) romentunad .,,it demand for crym Ia of say air,,, I pcrfamo nee of ary Other Obligor. ATERAL, WAIVERS BY BORROWER. Bonower, hereby assent, to sn lions thereof, whether presently existing or heouffir lode and whelber mil avower from the Obligations and without notifying in Obtaining the prin, r Obligor, or delay in the exercise by Bank of ary or all of Bank's rights or Other Obligor, (c) reless subslimte, exchange, ender, or add collaeral real held by Bank an or, or or p..,at property severing elymem or r (e) apply al,nmmp made by any Other Obligor, many soars owed ,am ad; and (I) rowdily, change, renew, extend, or anent, in any respect, Bank'. Ibe same. Borrowervorroo: (a) any and all ratio., wfatseswer with rasped ailed to notice of, (i) Bids rcceptance hereof or Bail,'s intention to rot al .is of say Other Obligor m Bar* or any teens or zno o as thereof or oa. ty or society .,rennet(, pled,, aani,nment or other xewrily for any of taw c from wry Other Obligor and prated of nonpay+nord, slid (c) demand for 11. WAIVERS; EXTENSIONS OF MATUR)l Y. Borrower, slid all parties fo Wis Not, whb!?War etcher endorser, or gmranar, waive factionnent, demand, notice of disbonar and pretest, and agree llmt the maturity of Wis Near, or any paymasl duc hereunder, any emended al any lime or for time to than wN,om releasing, discharging or aff ling the liability ofnuch party. 12. JOIN "T AND SEVERAL LIABILITY. Irritate Wan one person or wfity is anemia, this Na a az e Borrower, all liabilities under Wis No,, shall be joust and several with respect to each ors said, perm's or entities. 13. BINDING NATURE; INVALIDITY OF ANY PART. This Note shall none to We benefit o. normal to whorl Book may .,it nor interest in Barowers obligation, to Bank, .,it shall be bindis succnsao and assigns. If any provision m part rally provision of this Note shall far any reason be and be erdcecable by Bank and Bank's successors and nssigns and any olbn and enforceable rgvinat Berrower .,,it Borrower's personal repreeentalivas. eld invalid, illegal at unnd'oraable in any respect, such invalidity, illc,rr renforceobil it, ehal l let,tied aiy other provi, if this Note, and Ibis Note almll be eorrstn:c as ifsudr ice dirgnl or anetdorceable provisos: or part thereofhad.eve: mecn mntailled herein, Ma only W the eaten) fit, invalidity, iIIelIit, or unatforeeabiIill. 14, hJ A,CI NI ON[ RATE OF INTEREST; COMMERCIAL LOAN. Nolwitbslanding any prolix; , of Ibis Note to the contrary, Blirove, Mill not be obligated to pay interest hereunder it s of the nnxinans rate of interest penniued by the laws or cep- state demmunN l Sovenr fit,, Note or the laws of die United Slnles applicable to loanx in such slate. If any provision or this Note shall ever be ennstmed to require the pnvinent orally amount or it Greet in excess of that pennitled by applicable law, dsnr the inteen to be paid Ill seunder ,shall lie held subject I. redndion to the nmomn allmad under applicable Iav, and an scan. paid in excess of Ibe i ileresl rote allowed by Inw shall be applied ill redaction trills principal balance outamnding under l his Now, Borrower acknowledges that it lns en contemplated at all limes by Borrower Ilia( the laws critic Convnonweallh of Pennsylvania will govern Ibe nnxi a it rote of interest (had it is pemsis,ibla for the hoWa ofthi Note to large l...er under this Note, Bo:.over warmers dint this Nola evidences a loan made solely to nequlre, an interest in or carry oil a business or cannrercial entntnis . 15. CUOICI'. OF LAW; CONSENT' OIr VENUE: AND JURISDICTION. I bis Nate savll governed, construed rand interpreted it recadene, with Ne laws of It, nnweldl. If Pennsylvania evar if the pennsylvmria odes govern ing conflicts of Imes wood .110, "isc require dial the Inws of another jurisdiction govsm This Note. Co mm Borrower consents (o tae jtrisdiclidu and venue of the rourls orally county or city in Ile C.,11.0l{1-`wealth of Paa,sylvanl i or to lhejurisdidlon and venture of tire United Slate: Distnd Coup Far the Middle Dislrid of Pen colvnnia in any radio r oIjalli.o l proceeding brongha to rabsee, road., or interpret this Note. Any orbto )nought by Borawei agninrl Bank which is based, directly or indirectly, or in whole or in pmt, upon tail Note or Ida.. note, related to this Nola simll be brought only in dw scalds of tae Couanonweald: of Pennsylvania. 16. UNCONDITIONAL OOLIGA'I IONS. Borrowers obligmions :coder this New Wind be th nbsolnre and unconditional duty mad oblismion of Bnrronar ...it hall ba independent of any rlglds of set-off, fecagr:nenl or roomer fidni which Borrower aright eherwise have .,.last Ibe hold, of Wis Note said eorto er wall pay absolutely the tinyecnls If,. ineyal, interest, charges, fees and expenses required hereunder, Gee orally deductions and willow idima lent diu:inulio, or set-off. 17. IN AIVM OF .l URN' TRIAL. Ihnrmver (11 ear,ali n of this Note) and Rnak (by vin ept.nre of fhb Note) nl lint copy and, a'Iion or proceadinp wLella, cWior or.amale, dninr, brought or bm(ihned by Itorro(ver or B n k orwill resperl to this Nall err nhidr In nay nay orkan, dtreudly or anllreeiy, to Ibe. olrngadona tt norfoner to 11 1...ndet, this Noll, nr tiw diatim x of the part;" with respect Ilnrelo, stall re tried mdy by n mart mad nail I., a puy. BURROWER AND DANE 11 ERITO FIXFRE.SSIA'WAIVE ANY HIGH I 1'0 ATRIAL BY,1 U 11V IN AN\' SUCH SUI AMON, Oil PROCEEDING. Bar rower: d and to dint Ihia'ands(.., ...... ine a:d .,at,, dal aspect of the ."anion, bebveea Ow part a and tlmt Bank would not enter into lire Imnanriion with Bomonr If this provision were not a purl oflbeir as....... 11 IN W'1'INESS WHEREOF. said intending to be legally Wund hereb, the underni,ard execoles Nis Dote node, card, as Borrower, o ofths dote first ,, illen above. Wrl'NESS OR A'FITST: WITNESS: ^???1fI?iNO,?P(i ?(1(z,N (sig,rnWre> r Samuel A. alaman, Individually, and Trading as Calaman's Lawn ??AYIIP, rCQwml Service;eP nnsylsaniaSoleProprietorship (Prins lPa te) " (Prud Nance 456 Mount Rock Road Newville, PennaylvaN.17241 lombe, (917) 796-2326 ity No 17-3547713 EXHIBIT "D" THIS FORBEARANCE AND MODIFICATION AGREEMENT (the "Agreement") is made and entered into this day of , 2002, by and among, Samuel A. Calaman, individually and t/a Calaman's awn rvice ("Borrower") and Juanita E. Calaman ("Guarantor"), both Borrower and Guarantor of 46 Mount Rock Road, Newville, Pennsylvania 17241 and Allfirst Bank ("Bank"). WITNESSETH THAT: WHEREAS, Bank has made the following loans to B a. Loan Number 0137286-9001 - f Vf( i i Original principal due to ($25,000.00) as is evidenced by the Borrower's Co Agreement (the "Commercial Note #I") granted to ii Outstanding debt due - Principal - Interest to 7/5/02 - Total - Together with interest which continues to accrue at the with charges, fees and expenses, plus court costs and r( iii Terms - As set forth in the tjl. 0 19fa Twenty-Five Thousand Dollars ,ial Promissory Note and Security and dated May 23, 2001. $ 21,531.18 750.50 $ 22,281.68 rate ($4.77 per diem), together attorney's fees. Note 91. iv Collateral - Security interest inland upon all of the Borrower's personal property, including machinery, equipment and i ventory. This loan shall hereinafter be referred to as the "Commercial Loan #l ". b. Loan Number 0137286-9002 i Original principal due to Ban Dollars ($11,200.00) as is evidenced by the Borrower's Security Agreement (the "Commercial Note #2") grant( ii Outstanding debt due - Principal - Interest to 7/5/02 - Late Fees - Total - Together with interest which continues to accrue at the with charges, fees and expenses, plus court costs and r( iii Terms - As set forth in the 2001. Eleven Thousand Two Hundred :ommercial Promissory Note and to Bank and dated May 1, 2001. $ 9,941.77 329.97 11.37 $10,283.11 rate ($2.19 per diem), together attorney's fees. Note #2 dated May 1, iv Collateral -Security interest i and upon 1995 Ford F-350, VIN: 1 FDKF37HSNA82098. This loan shall hereinafter be referred to as the c. Loan Number 0137286-0001 C05 i Original principal due to ($31,000.00) as is evidenced by the Borrower's Bu "Business Note") granted to Bank and dated May 1 ii Outstanding debt due - Principal - Interest to 7115/02 - Total - Together with interest which continues to accrue at the with charges, fees and expenses, plus court costs and r( iii Terms - As set forth in the Loan #2". - Thirty-One Thousand Dollars Home Equity Line agreement (the 1. $ 31,000.00 531.73 $ 31,531.73 act rate ($4.09 per diem), together able attorney's fees. Note dated May 1, 2001. iv Collateral - Open-end Mortga e securing a second position on Mount Rock Road, Newville, Pennsylvania ,he "M rtgaged Premises") dated May 1, 2 2001 and recorded on May 22, 2001 in the Office of County at Book 1708, Page 311 (the "Mortgage"). This loan shall hereinafter be referred to as the "Business The sums set forth above and due and owing on the Loan #2 and Business Loan shall hereinafter be referred to WHEREAS, one or more events of default have oc( under the Commercial Loan 91, Commercial Loan #2 and collectively the "Loans") for the following reasons: a. The Borrower has failed to meet his of principal and interest when due on the Commercial L all subsequent installments, which failures are events of Security Agreements and Mortgage. b. Bank has made demands upon the Loans, which demand has not been met. WHEREAS, because one or more such events of the terms of the Loans; declared the indebtedness evide accrued, but unpaid interest, to be immediately due and WHEREAS, as a consequence of the defaults of the judgments were entered against the Borrower: Recorder of Deeds of Cumberland Loan 91, Commercial the "Indebtedness". and are continuing to occur ess Loan (hereinafter itions to pay monthly installments 41 and #2.in February 2002 and rlt under each of the Loans, the for payment in full of the At, Bank has properly, pursuant to by each, including principal and the following confessed a. A111irst bank v. Samuel A. Calaman lnd viduall and t/a Calaman's Lawn Service, in the Court of Common Pleas of Cumberland County, Pennsylvania to number 02- 1630 Civil Term; pursuant to a Complaint for Confession o Judgment filed April 3, 2002 as authorized by the warrant of attorney set forth in the Commercial Loan #l. Judgment entered in favor of Bank and against Borrower in the amount of Ele en Thousand Five Hundred Sixty- Eight Dollars and Twenty-Seven Cents ($11,568.27), together with interest which continues to accrue at the contract rate ($2.19 per diem), together with al charges, fees and expenses plus court costs and reasonable attorney's fees as allowed by the arrant of attorney for confession of judgment. b. Allfirst Bank v. Samuel A. Calaman. Ii Service, in the Court of Common Pleas of Cumberland C, 1633 Civil Term; pursuant to a Complaint for Confession authorized by the warrant of attorney set forth in the Com in favor of Bank and against Borrower in the amount of T Twenty-Two Dollars and Forty-Two Cents ($25,222.42), continues to accrue at the contract rate ($4.77 per diem), t ty, Pennsylvania to number 02- Judgment filed April 3, 2002 as rcial Loan #2. Judgment entered my-Five Thousand Two Hundred ether with interest which ether with all charges, fees and expenses plus court costs and reasonable attorney's fees as for confession of judgment. Hereinafter individually and collectively referred to as the WHEREAS, on or about April 18, 2002, Plaintiff f on the Confessed Judgment entered to No. 02-1633 Civil by the warrant of attorney Judgments" a Praecipe for Writ of Execution , WHEREAS, on or about April 29, 2002, Defendant led separate Petitions to strike off or open the Confessed Judgments, a Rule to Show Cause h s been issued upon the same and Plaintiff has filed responses thereto. - flled separate Petitions to strike off WHEREAS, the Borrower and Guarantor have requested that Bank forbear for a period of time from the exercise of its rights and remedies availabl at law or equity by agreement or otherwise as a result of the events of default and to grant a odification in the terms of repayment of the Loans. WHEREAS, upon the terms and conditions contain herein, Bank is prepared, for a limited period of time, to forbear from the exercise of such ghts and remedies and to modify the repayment terms of the Loans. WHEREAS, forbearance and modification by Bank a provided for in this Agreement shall result in direct and tangible benefit to the Borrower an Guarantor. NOW, THEREFORE, in consideration of the foreg ing premises and the agreements and undertakings contained herein and for other good and v luable consideration, the receipt and sufficiency of which are hereby acknowledged, the part es hereto, intending to be legally bound hereby, agree as follows: 1. Guaranty by Guarantor - The Guarantor does he by guarantee to the Bank, its successors and assigns, and promises to make the prompt a d punctual payment of the Indebtedness when due, whether by acceleration or otherwi e, and hereby consents to all of the terms and conditions of the Notes and Loan Documents ref rred to above. The Guarantor does agree that Bank shall be under no obligation to pursue Bank's rights against the Borrower or any collateral of Borrower securing the Loans or various ob igations of Borrower to Bank or against any other obligor or any collateral or any other obli or before pursing Bank's rights against the Guarantor. 2. Acknowledgment by Borrower and Guarantor - acknowledge, represent and warrant: a. Acknowledgment of Recitals - The correct in all respects and are incorporated herein as and Guarantor agree, in this Agreement are true and provisions of this Agreement. 4 Acknowledgment of Default - That on and Guarantor do acknowledge that material events of deft under the Notes and Loans without timely cure and that ea indebted to Bank with respect to the Indebtedness, includir interest and related costs and fees in the amounts set forth amounts remain outstanding and unpaid and are absolutely payable in full without offset, deduction or counterclaim o: c. Acknowledgment of Bank's Rights to P the date hereof Bank had and has the right to accelerate an Loans to be immediately due and payable and to make den Guarantor for payment in full of all such Indebtedness and for immediate payment of the Loans have been made and 1 and Guarantor, and each was in all respects adequate and I demands for immediate payment continues in full force an diminished, except as, and only to the extent modified by t Guarantor waive any and all further notice, presentment, n respect to the Indebtedness. d. Acknowledgment of Indebtedness - Borrower and Guarantor are principal and interest and related costs and fees in the this Agreement. ii All such amounts remain iii All such amounts are payable in full, without offset, deduction or counterch whatsoever, but are subject to increase, decrease or of all interest, fees and other charges, including, without of collection, which are payable to Bank pursuant to t e. Acknowledgment that Advances are as of the date hereof Borrower existed and continue to exist is individually and jointly but not limited to principal, einabove and that all such A unconditionally due and iv kind or character whatsoever. - Prior to and on and as of declare the Indebtedness of the Inds upon the Borrower and aat such accelerations and demands .ve been received by the Borrower )per and such accelerations and effect and is not impaired or is Agreement and the Borrower and ice of dishonor or demand with on and as of the date hereof: I to Bank with respect to the set forth in the recitals to and unpaid. y and unconditionally due and of any kind or character adjustment as a result of any and attorney's fees and costs Loans. ated - That the obligation of Bank to Borrower to make advances pursuant to any of the Loans which might be in the nature of a line-of-credit has been terminated and that Bank no lon er has an obligation and will no longer make advances on any line-of-credit to Borrower or uarantor even if the Borrower or Guarantor make payments to Bank pursuant to this Agreem nt and comply in all other respects with this Agreement. f. Acknowledgment that Liabilities Contin e in Full Force and Effect - That all liabilities and obligations of the Borrower and Guarantor p rsuant to the Loans shall, except as expressly modified herein during the pendency of this Agre ment, remain in full force and effect and shall not be released, impaired, diminished or in ny other way modified or amended as a result of the execution and delivery of this Agreement undertakings of the parties contained herein. g. Acknowledgment that Mortgage Contin the Open-End Mortgage granted by Borrower and Guarant shall continue in full force and effect and remain perfected terms from the date thereof, and shall secure repayment of Commercial Loan 41, Commercial Loan 42 and Business I h. Acknowledgment of Confessed Judgmei are legal, equitable and proper in all respects and there exis Confessed Judgments and the Confessed Judgments shall ri pendency of this Agreement and thereafter. Further, that t} direct their attorney to withdraw with prejudice the Petition Confessed Judgments immediately upon the signing of this Acknowledgment of Advice of Counsel acknowledge that they have received independent legal adv counsel of their selection and that he fully understands the to their legal rights and obligations, and each party acknow Agreement is fair and equitable and that it is being entered having received such advise and with such knowledge, and not the result of any duress or undue influence and that it is improper or illegal agreement or agreements. 3. Forbearance and Modification by Bank by the agreements and s in Full Force and Effect - That as security for the Business Loan accordance with its respective the Indebtedness, including the s - That the Confessed Judgments no right to open or strike off the nain as valid liens during the Borrower and Guarantor shall to Open and/or Strike the Borrower and Guarantor ,e from Donald R. Reavy, Esquire, cts and has been fully informed as dges and accepts that this ito freely and voluntarily after hat execution of this Agreement is iot the result of any collusion or a. Forbearance Period - At the request of th Borrower and Guarantor, Bank agrees to forbear from the exercise of its rights and remedie , whether at law or in equity, by agreement or otherwise available to Bank as a result of the vents of default existing under the Loans as of February 2002, until the earliest to occur of the following: 15 June tr, 2005;.S,4c The time at which Borrower or Guarantor fail to comply in any respect with their respective covenants to Bank as set to th in Section 4 hereof; or iii The occurrence of any event f default under any of the Loans (other than the continuation of the events of default specified in the recitals to this Agreement so long as Borrower and Guarantor comply the period begirming on the date of this Agreement and dates as set forth above, shall hereinafter be referred to the terms of this Agreement) natimz on the earliest of such the "Forbearance and Modification Period". b. Termination of Forbearance and Modific the Forbearance and Modification Period, pursuant to any c Section 3(a) above, all forbearance deferrals, modifications herein shall automatically terminate and the Loans shall the by Borrower or Guarantor and if Borrower or Guarantor fa collect the same, Bank shall thereupon be entitled to exerei may have upon the occurrence of an event of default, inchu referred to in the recitals of this Agreement, without further Borrower and Guarantor agree that upon ternmation of the Period, Bank may complete execution and sheriff's sale up Guarantor which are pledged as collateral to Bank, includir Borrower and Guarantor shall fully cooperate in the same. 4. Covenants of Borrower and Guarantor Durin Period - At all times during the Forbearance and Modific and in order to induce Bank to enter into this Agreement of the Forbearance and Modification Period pursuant to Borrower and Guarantor covenant and agree as follows: a. Repayment - Modification - The princil from the date of this Agreement forward accrue interest at percent (8.5%) per annum and shall be amortized on a sixt and final payment due on each at the thirty-sixth (36th) me as follows: Loan 0137286-9001 Five Hundred Thirty-One Dollars and Eighteen Cents 2002, and continuing o¢$t J,?} day of each Mon shall make thirty-five (3Seg9 a?+n7dconsecutive mon Forty-One Dollars and Seventy-Five Cents ($441.75) sixth (36`') and final payment of all principal, interest, outstanding on or before June 15 2005. Y-V .5>9(z V ?>N) ii Loan 0137286-9002 - Princ'. Hundred Forty-One Dollars and Seventy-Seven Cents 2002, and continuing on the €rr ?d?y oVa h mon shall make thirty-five (35) equ`af n c nsec ?? e mon Three Dollars and Ninety-Seven Cents ($203.97) print (36`h) and final payment of all principal, interest, fees, or before June 152005. iii Loan 0137286-0001 - rir Dollars ($31,000.00) - Beginning July IS2002, i month thereafter, Borrower or Guarantor shall make ation Period - Upon termination of f the causes (i) through (iii) of and indulgences granted by Bank reupon be immediately paid in full l to make said payment, in order to ;e any and all remedies which it ling, without limitation, those notice of any kind. Further, and Modification all assets of the Borrower and the Mortgaged Premises and the i Period and continuing thereafter as a condition of the continuation on 3(a)(ii) hereinabove, the I balance of each of the Loans shall ie rate of eight and five tenths (60) month schedule with a balloon th. Specifically, they shall be paid 1 Balance - Twenty-One Thousand 21,53 1. IS) -Beginning July V, 15, thereafter, Borrower or GuarantoL y installments of Four Hundred ncipal and interest and a thirty- es, costs or charges then 1 Balance - Nine Thousand Nine 9,941.77) - Beginning July 1;, 41 thereafter, Borrower or Guarantoi5 Y installments of Two Hundred al and interest and a thirty-sixth sts or charges then outstanding on nce - Thirty-One Thou on the fiat (1} 26Y-OR, ach (35) equal and consecutive monthly installments of Six Hundred Thirty-Six Dolla and interest and a thirty-sixth (36`h) and final payment charges then outstanding on or before June 1$2005. :?-Ik Perfection of Title Lien Upon 1995 this Agreement, Borrower shall take all actions necessary the title to the Borrower's 1995 Ford F-350 truck VIN: 11 shall provide Bank with the title to said truck properly en( lien to be recorded upon the same. c. Borrower and Guarantor shall execute instruments that Bank may request to implement the pi mortgage their residence to secure the Indebtedness of d. Taxes and Insurance - The Borrower taxes and insurance premiums paid current and shall the same upon Bank's request. e. Borrower and Guarantor shall perform other respects with the requirements of the various loan except only as modified herein. f. As of the date of this Agreement there fees, attorney's fees and costs) outstanding on the Loans in Four Hundred Eight Dollars and Seventy Cents ($7,408.70' twelve (12) equal monthly installments beginning July 15, Seventeen Dollars and Thirty-Nine Cents ($617.39) each. 5. Release - Borrower and Guarantor hereby relea Bank, and each and every past and present subsidiary, affil agency, servant, employee, representative, and attorney of causes of action, suits, debts, liens, obligations, liabilities, (including attorneys' fees) of any kind, character or nature fixed or contingent, which the Borrower or Guarantor may may hereafter arise out of or connected with any act of con existing or occurring prior to the date of this Agreement or date of this Agreement including, without limitation, any c arising with respect to the Indebtedness evidenced by Com #2 r Business Note, or any other of the related documents. shall be binding upon the Borrower and Guarantor and sha and its respective successors and assigns. 6. Further Assurances - Except as expressly pr Commercial Note 92, Business Note, Mortgage and all and One Cent ($636.01) principal all principal, interest, fees, costs or V CP F-350 Vehicle - That upon signing have Bank's lien recorded upon KF37H3SNA82098. Borrower rsed and notarized to allow Bank's other and further documents and > of this Agreement, including a rcial Loans #1 and 42. Guarantor shall at all times keep all Bank with proof of payment of other duties and comply in all ments evidencing the Loans arrearages (including interest, late ie total amount of Seven Thousand Borrower shall repay this sum in 02 in the amount of Six Hundred , acquit, and forever discharge the te, stockholder, officer, director, e Bank, from any and all claims, mands, losses, costs and expenses atsoever, known or unknown, ave or claim to have now or which hission or omission of the Bank ay instrument executed prior to the ims, liabilities or obligations ercial Note 91, Commercial Note he provisions of this Section 5 inure to the benefit of the Bank herein, the Commercial Note 41, y Agreements and any and all other documents related to the Loans shall remain in full their respective terms. Without limiting the generality of construed to: a. Impair the validity, perfection of securing the Loans or Guaranty; b. Waive or impair any rights, powers or re Commercial Note #1, Commercial Note 42, Business Note, and any and all other documents related to the Loans upon 1 Modification Period. c. Require Bank to extend the Forbearance additional forbearance or modifications or extend the term of the Loans, or require Bank to make any loans or other er or Guarantor after termination of the Forbearance and Mod inconsistency between the terms of this Agreement and the Note 42, Business Note or Mortgage, and any and all other Agreement shall govem. Borrower and Guarantor acknowl counsel and with such other experts and advisors as they he with the negotiation and delivery of this Agreement. This Y without regard to any presumption or rule requiring that it t causing this Agreement or any part hereof to be drafted. 7. Future Assurances - Borrower and Guarantor ag documents and instruments as Bank may request to implem Agreement and to perfect and to protect the liens and securi Commercial Note #1, Commercial Note 42, Business Note, and any and all other documents related to the Loans. 8. Entire Agreement - This Agreement reflects the with respect to the subject matter herein contained and sup( whether written or oral, in regard thereto. 9. Full Force and Effect - Except as expressly mod Commercial Note 41, Commercial Note #2, Business Note, and all documents related to the Loans, shall be and shall re shall constitute the legal, valid, binding and enforceable obl to Bank. 10. Waiver - This Agreement is not intended to op as, a waiver of any event of default, whether known to the rights of the Bank shall remain reserved. e and effect in accordance with foregoing, nothing herein shall be of any lien or security interest of Bank under the Security Agreements of the Forbearance and i Modification Period, or grant he Loans or the time for payment sions of credit to the Borrower ation Period. In the event of any mmercial Note #1, Commercial ;uments related to the Loans, this ;e that they have consulted with deemed necessary in connection shall be construed construed against the party to execute such other and further the provisions of this interests created by the curity Agreements and Mortgage understanding of the parties any prior agreements, herein, all terns of the tgage and Surety Agreements, in full force and effect and ons of Borrower and Guarantor as, and shall not be construed or unknown, as to which all 11. Governing Law - This Agreement shall be gove ed by, and shall be construed in accordance with, the internal substantive laws of the Commonwealth of Pennsylvania without regard to the choice of law principles of such state. 12. WAIVER OF RIGHT TO JURY TRIAL - B, WAIVE TRIAL BY JURY AND CONSENT TO THE GR EQUITABLE RELIEF AS IS DEEMED APPROPRIATE COMPETENT JURISDICTION. 13. Countemarts - This Agreement may be execute which shall be an original and all of which, taken together, agreement among the parties. 14. Binding Nature - This Agreement shall be the parties hereto and their respective successors and 15. Captions - The captions to the sections and pz convenience of the parties only, and are not a part of this 16. Time Of the Essence - Time is of the essence RROWER AND GUARANTOR NTING OF SUCH LEGAL OR Y A JUDGE OF A COURT OF in multiple counterparts, each of hall constitute one of the same upon and inure to the benefit of of this Agreement are for the Agreement. 17. CONFESSION OF JUDGMENT - BORROWI IRREVOCABLY AUTHORIZE AND EMPOWER ANY A PROTHONOTARY OR CLERK OF ANY COURT IN THI PENNSYLVANIA, OR ELSEWHERE, TO APPEAR AT ,4 AND GUARANTOR, UPON DEFAULT UNDER THE CC COMMERCIAL NOTE #2 OR BUSINESS NOTE (THE "r AGREEMENT, AND WITH OR WITHOUT COMPLAIN] CONFESS OR ENTER JUDGMENT AGAINST BORROV ENTIRE PRINCIPAL BALANCE DUE AND OWING ON THIS AGREEMENT, AND ALL ACCRUED INTEREST, SUIT AND AN ATTORNEYS' COMMISSION OF FIFTEI UNPAID PRINCIPAL BALANCE AND ACCRUED INTE IN ANY EVENT NOT LESS THAN FIVE HUNDRED DC DOING THE NOTES OR THIS AGREEMENT, OR A CO THIS AGREEMENT, SHALL BE SUFFICIENT WARRAI GUARANTOR AGREE AND UNDERSTAND THAT IN AND IN THE GRANTING OF THIS WARRANT THEY / LEGAL RIGHTS, INCLUDING THEIR RIGHT TO NOTI ENTRY OF A JUDGMENT AGAINST THEM, AND WA] AND HEARING PRIOR TO EXECUTION, LEVY, OR & PROPERTY FOR COLLECTION OF THE DEBT DUE Hl GUARANTOR HAVE REVIEWED THIS PROVISION 0. R AND GUARANTOR HEREBY 'TORNEY OR THE COMMONWEALTH OF 1Y TIME FOR BORROWER vIMERCIAL NOTE #1, RTES") OR THIS FILED AS OF ANY TERM, ER OR GUARANTOR FOR THE rHE NOTES AS MODIFIED BY WITH COSTS OF ? PERCENT (15%) OF THE EST FOR COLLECTION, BUT ,LARS ($500.00), AND FOR SO Y OF THE NOTES AND/OR C. BORROWER AND GNING THIS AGREEMENT ZE WAIVING IMPORTANT E AND HEARING PRIOR TO 'E THEIR RIGHT TO NOTICE 2NISHMENT UPON THEIR tEUNDER. BORROWER AND THIS AGREEMENT WITH 10 THEIR ATTORNEY PRIOR TO SIGNING THIS FULL FORCE AND EFFECT HEREOF. IN WITNESS WHEREOF, the parties hereto have first above written. WITNESS: and t/a Cala "Borrower" JytniYA. Ca uarantor" ATTEST: ALLFIRST F r ?. < By: Vivian P. Vice Pres AND UNDERSTAND THE their hands and seals the date 's Lawn Service II COMMONWEALTH OF PENNSYLVANIA: ss. COUNTY On this&? day of , 2002, authority, a Notary Public in and for said County and State, Calaman, who acknowledged herself to be the person Forbearance and Modification Agreement, and purposes therein contained. Witness my hand and notarial seal the day and year me, the undersigned appeared Juanita E. name is subscribed to the within that he executed the same for the V47?-- Notary Public Notufal Seal I alls M. b Vole, Notary Public ouattyy Ailrommlseon of Hartisbuphin C 6xpiru Dec. l2, 2w w EXHIBIT "E" LOST NOTE AFFIDAVIT STATE OF NEW YORK COUNTY OF MONROE The undersigned, a duly authorized agent of MANUFACTURERS AND TRADERS TRUST COMPANY (`Bank"), having been duly sworn, deposes and says: l 1. That Bank is the lawful owner and holder of that certm Commercial Promissory Note and Security Agreement executed by Samuel A. Cal an on March 23, 2001, in the original principal sum of $25,000.00, payable to he order of Allfirst Bank ("Note"). 2. That a copy of the Note attached as Exhibit "A" shall be u ed in lieu of execution and issuance of a new or duplicate promissory note. 3. That Bank has been unable to locate the Note after a dilig nt search and believes that the note has been lost, mislaid, inadvertently destroyed or tolen. 4, That this Affidavit is made for the purpose of ind cing PRAMCO III, LLC ("Purchaser") to purchase Bank's right, title and intere to the Note and become holder thereof, the Bank hereby agreeing immediately to surrender the Note to Purchaser at any time hereafter should it come into the pos ession or control of Bank. 5. The Note, together with all renewals, extension and modifications, if any, is transferred as is, where is, with all faults and without recourse and without any representations or warranties of any kind, whether express or implied, oral or written, except as provided in that certain Asset Sale Agreement d ed October 19, 2005. Executed as of the 27`f day of October, 2005. MANUFACTURERS COMPANY, as succe Bank By: Li D TRADERS TRUST in interest to Allfirst Timothy P. Authorized On the o?3 day of January, 2006, before me, the undersi Timothy P. Sheehan, personally known to me or proved to me c evidence to be the individual whose name is subscribed to t acknowledged to me that he executed the same in his capacity, and instrument, the individual, or the person upon behalf of which the in instrument. ed, personally appeared the basis of satisfactory within instrument and it by his signature on the idual acted, executed the V / ALISON LEE HUTCHINGS y SALOANS\Company 54\54250038\Lost Note Affidavit and Assignment-doc Not ry P ubotn( eta toCOuntY Of Now V 1orIK Commi sion Expires February 26, 20L?7 LOST NOTE AFFIDAVIT STATE OF NEW YORK COUNTY OF MONROE The undersigned, a duly authorized agent of MANUFACTURERS AND TRADERS TRUST COMPANY (`Bank"), having been duly swom, deposes and says: 1. That Bank is the lawful owner and holder of that certain Business Home Equity Line executed by Samuel A. Calaman on May 1, 2001, in th original principal sum of $11,200.00, payable to the order of Allfirst Bank ("Note") 2. That a copy of the Note attached as Exhibit "A" shall be u$ed in lieu of execution and issuance of a new or duplicate promissory note. 3. That Bank has been unable to locate the Note after a dilig nt search and believes that the note has been lost, mislajd, inadvertently destroyed or tolen. 4. That this Affidavit is made for the purpose of inducing PRAMCO III, LLC ("Purchaser") to purchase Bank's right, title and intere t to the Note and become holder thereof, the Bank hereby agreeing immediately to surrender the Note to Purchaser at any time hereafter should it come into the possession or control of Bank. 5. The Note, together with all renewals, extension and modifications, if any, is transferred as is, where is, with all faults and without recourse and without any representations or warranties of any kind, whether expres or implied, oral or written, except as provided in that certain Asset Sale Agreement dated October 19, 2005. Executed as of the 27di day of October, 2005. MANUFACTURERS COMPANY, as succe Bank D TRADERS TRUST in interest to Allfirst Timothy P. Authorized On the a?,5 clay of January, 2006, before me, the unders Timothy P. Sheehan, personally known to me or proved to me evidence to be the individual whose name is subscribed to acknowledged to me that he executed the same in his capacity, and instrument, the individual, or the person upon behalf of which the it instrument. Notary S ALOANS\Company 54\54250040\Lost Note Affidavit and Assignnn"t.doc .ed, personally appeared the basis of satisfactory within instrument and it by his signature on the ,idual acted, executed the ALISON LEE HUTCHINGS rry Public, State Of New York Monroe County sign Expires February 20, 20?L7 LOST NOTE AFFIDAVIT STATE OF NEW YORK COUNTY OF MONROE The undersigned, a duly authorized agent of MANUFACTURER AND TRADERS TRUST COMPANY (`Bank"), having been duly sworn, deposes and says: That Bank is the lawful owner and holder of that certain Business Home Equity Line executed by Samuel A. Calaman on May 1, 2001, in the original principal sum of $31,000.00, payable to the order of Allfrrst Bank ("Note') 2. That a copy of the Note attached as Exhibit "A" shall be r?sed in lieu of execution and issuance of a new or duplicate promissory note. 1 3. That Bank has been unable to locate the Note after a dili nt search and believes that the note has been lost, mislaid, inadvertently destroyed or tolen. 4. That this Affidavit is made for the purpose of ind cing PRAMCO III, LLC ("Purchaser") to purchase Bank's right, title and intere t to the Note and become holder thereof, the Bank hereby agreeing immediately to surrender the Note to Purchaser at any time hereafter should it come into the po session or control of Bank. 5. The Note, together with all renewals, extension and modifications, if any, is transferred as is, where is, with all faults and without recourse and without any representations or warranties of any kind, whether expres or implied, oral or written, except as provided in that certain Asset Sale Agreement d ted October 19, 2005. Executed as of the 27`h day of October, 2005. MANUFACTURERS COMPANYyassucce Bank / By: Timothy P. Authorized D TRADERS TRUST in interest to Allfrrst On the jeday of January, 2006, before me, the unders Timothy P. Sheehan, personally known to me or proved to me evidence to be the individual whose name is subscribed to acknowledged to me that be executed the same in his capacity, and instrument, the individual, or the person upon behalf of which the it instrument. r i S.\LOANS\Company 54\54250039\Lost Note ArBdava and Assignment doc ed, personally appeared the basis of satisfactory within instrument and at by his signature on the -idual acted, executed the ALI?ON LEE HUTCHINGS Notaryublic, State Of New York Monroe County Commission Expires February 20, 20L? KAPLIN STEWART MELOFF REITER & STEIN, P.C. BY: William J. Levant, Esquire I.D. No. 54286 910 Harvest Drive Post Office Box 3037 Blue Bell, PA 19422 610/260-6000 Ai Telecopier (610)684-2020 PRAMCO III, LLC 6894 Pittsford-Palmyra Road Fairport, NY 14450 Plaintiff vs. SAMUEL A. CALAMAN individually and trading as CALAMAN'S LAWN SERVICE and JUANITA E. CALAMAN 456 Mount Rock Road Newville, PA 17241 Defendants COURT OF No. CERTIFICATION I hereby certify the precise last-known addresses of the parties ART MELOFF BY: for Plaintiff IMON PLEAS COUNTY,PA as set forth above. & STEIN, P.C. William J. Levant; KAPLIN STEWART MELOFF REITER & STEIN, P.C. BY: William J. Levant, Esquire I. D. No. 54286 910 Harvest Drive Post Office Box 3037 Blue Bell, PA 19422 610/260-6000 A Telecopier(610)684-2020 PRAMCO III, LLC COURT OF 6894 Pittsford-Palmyra Road CUMBERL) Fairport, NY 14450 Plaintiff VS. No. SAMUEL A. CALAMAN individually and trading as CALAMAN'S LAWN SERVICE and JUANITA E. CALAMAN 456 Mount Rock Road Newville, PA 17241 Defendants for Plaintiff AMON PLEAS COUNTY, PA VERIFICATION OF NON-APPLICABILITY Of GOODS AND SERVICES INSTALLMENT SALES CT I, TIMOTHY SHEEHAN, being duly sworn according to law, < authorized representative of the Plaintiff, that I have sufficient knowl, Verification, and that this Confession of Judgment does not arise out contract or account" as defined under the Goods and Services Ins Section 1101 et sec, nor is judgment being entered against natural I "consumer credit transaction" as that term is defined in Pennsylvania 1 (as amended July 1, 1996). I further state that this verification is taken subject to the relating to unworn falsification to authorities. PRAM 17 By : ose and state that I am an ;e of the facts to make this a "retail installment sale, ment Sales Act, 69 P.S. >ons in connection with a e of Civil Procedure 2950 of 18 Pa. C.S.A. §4904 SHEEHAN, Authorized Representative KAPLIN STEWART MELOFF REITER & STEIN, P.C. BY: William J. Levant, Esquire (I.D. No. 54286) 910 Harvest Drive Post Office Box 3037 Blue Bell, PA 19422 610/260-6000 Ai Telecopier(610)684-2020 PRAMCO III, LLC COURT OF 6894 Pittsford-Palmyra Road CUMBERL, Fairport, NY 14450 Plaintiff VS. No. SAMUEL A. CALAMAN individually and trading as CALAMAN'S LAWN SERVICE and JUANITA E. CALAMAN 456 Mount Rock Road Newville, PA 17241 Defendants TIMOTHY SHEEHAN, deposes and says that he is an and Plaintiff, that as such, he is authorized to give this Affidavit, and that information and belief, and as shown on the attached Departme Defendants are not members of the Military Service of the United Sta within the provisions of the Servicepersons' Civil Relief Act of 20( taken subject to the penalties of 18 Pa.C.S.A. Section 4904 relating authorities. P By: SHEEHAN, for Plaintiff vIMON PLEAS COUNTY, PA rized representative of the the best of his knowledge, of Defense reports, the s or its Allies or otherwise and that this Affidavit is unworn falsifications to Representative Request for Military Status Department of Defense Manpower Data Center Military Status Report Pursuant to the Servicemembers Civil Relief Act Page 1 of 1 MAY-24-2006 14:50:19 < Last Name First/Middle Begin Date Active Duty Status Service/Agency CALAMAN Samuel Based on the information you have furnished information indicating that the individual is c the DMDC does not possess any ently on active duty. Upon searching the information data banks of the Department of Defense information that you provided, the above is the current status of the indivi Robert J. Brandewie, Director Department of Defense - Manpower Data Center 1600 Wilson Blvd., Suite 400 Arlington, VA 22209-2593 The Defense Manpower Data Center (DMDC) is an organization of the the Defense Enrollment and Eligibility Reporting System (DEERS) dat on eligibility for military medical care and other eligibility systems. The Department of Defense strongly supports the enforcement of the Servi USCS Appx. §§ 501 et seq] (SCRA) (formerly the Soldiers' and Sailors' Ci issued hundreds of thousands of "does not possess any information indicati. active duty" responses, and has experienced a small error rate. In the event any family member, friend, or representative asserts in any manner that the otherwise entitled to the protections of the SCRA, you are strongly encoura the person's active duty status by contacting that person's Military Service provided below. If you have evidence the person is on active-duty and you Service verification, provisions of the SCRA may be invoked against you. power Data Center, based on the as to all branches of the Military. of Defense that maintains is the official source of data aembers Civil Relief Act [50 Relief Act of 1940). DMDC has that the individual is currently on individual referenced above, or lividual is on active duty, or is 3 to obtain further verification of the "defenselink.mil" URL I to obtain this additional Military If you obtain further information about the person ( e.g., an SSN, improved curacy of DOB, a middle name), you can submit your request again at this Web site and we will provide a ne certificate for that query. This response reflects current active duty status only. For historical Service SCRA points-of-contact. See: http://www.defenselink.mil/faq/pis/PC09SLDR.httnl WARNING: This certificate was provided based on a name and Social requester. Providing an erroneous name or SSN will cause an erroneous Report ID:DTUJLPFFUS please contact the Military number (SSN) provided by the tte to be provided. https://www.dmdc.osd.mil/scra/owa/scra.prc_Select 5/24/2006 Request for Military Status Department of Defense Manpower Data Center 0 Military Status Report Pursuant to the Servicemembers Civil Relief Act Page 1 of 1 MAY-25-2006 06:45:23 C Last Name First/Middle Begin Date Active Duty Status Service/Agency CALAMAN Juanita Based on the information you have furnished information indicating that the individual is c the DMDC does not possess any ently on active duty. Upon searching the information data banks of the Department of Defense information that you provided, the above is the current status of the indivi Robert J. Brandewie, Director Department of Defense - Manpower Data Center 1600 Wilson Blvd., Suite 400 Arlington, VA 22209-2593 The Defense Manpower Data Center (DMDC) is an organization of the the Defense Enrollment and Eligibility Reporting System (DEERS) dat on eligibility for military medical care and other eligibility systems. The Department of Defense strongly supports the enforcement of the Servi USCS Appx. §§ 501 et seq] (SCRA) (formerly the Soldiers' and Sailors' Ci issued hundreds of thousands of "does not possess any information indicati: active duty" responses, and has experienced a small error rate. In the event any family member, friend, or representative asserts in any manner that the otherwise entitled to the protections of the SCRA, you are strongly encoura the person's active duty status by contacting that person's Military Service i provided below. If you have evidence the person is on active-duty and you Service verification, provisions of the SCRA may be invoked against you. power Data Center, based on the as to all branches of the Military. of Defense that maintains is the official source of data nembers Civil Relief Act [50 Relief Act of 1940). DMDC has that the individual is currently on individual referenced above, or dividual is on active duty, or is d to obtain further verification of the "defenselink.mil" URL I to obtain this additional Military If you obtain further information about the person (e.g., an SSN, improved curacy of DOB, a middle name), you can submit your request again at this Web site and we will provide a ne certificate for that query. This response reflects current active duty status only. For historical Service SCRA points-of-contact. See: http://www.defenselink.mil/faq/Pis/PC09SLDR.httnl WARNING: This certificate was provided based on a name and Social ! requester. Providing an erroneous name or SSN will cause an erroneous Report ID:DUVXPYXFIP please contact the Military number (SSN) provided by the ite to be provided. https://www.dmdc.osd.mil/scra/owa/scra.prq_Select 5/25/2006 KAPLIN STEWART MELOFF REITER & STEIN, P.C. BY: William J. Levant, Esquire (I.D. No. 54286) 910 Harvest Drive Post Office Box 3037 Blue Bell, PA 19422 610/260-6000 / Telecopier (610)684-2020 PRAMCO III, LLC COURT OF 6894 Pittsford-Palmyra Road CUMBERLj Fairport, NY 14450 Plaintiff VS. No. SAMUEL A. CALAMAN individually and trading as CALAMAN'S LAWN SERVICE and JUANITA E. CALAMAN 456 Mount Rock Road Newville, PA 17241 Defendants for Plaintiff viMON PLEAS COUNTY, PA TIMOTHY SHEEHAN, deposes and says, under penalty of 8 P. S. § 4904, that he is an authorized representative of the Plaintiff, that as such, he is authorize to give this Affidavit, and that to the best of his knowledge, information and belief, at the time of the signing of the documents containing provisions for judgment by confession in the said matter, the individual natural Defendant(s) each : 1. Earned more than $10,000.00 annually, or 2. Intentionally, understandingly and voluntarily waived a. The right to notice and hearing, b. The right of defalcation, i.e., the right to re uce or set off a claim by deducting a counterclaim, c. Release of errors, d. Inquest (to ascertain whether rents and profits f Defendant(s') real estate will be sufficient to satisfy the judgment withi 7 years), e. Stay of execution (if Defendant(s) owns real es to in fee simple within the county worth the amount to which the Plaintiff is entitled, clear of encumbrances), and f. Exemption laws now in force or hereafter to b passed. By : , TI O SHEEHAN, Auth rized Representative KAPLIN STEWART MELOFF REITER & STEIN, P.C. BY: William J. Levant, Esquire (I.D. No. 54286) 910 Harvest Drive Post Office Box 3037 Blue Bell, PA 19422 610/260-6000 / Telecopier (610) 684-2020 Ai PRAMCO III, LLC 6894 Pittsford-Palmyra Road Fairport, NY 14450 Plaintiff VS. SAMUEL A. CALAMAN individually and trading as CALAMAN'S LAWN SERVICE and JUANITA E. CALAMAN 456 Mount Rock Road Newville, PA 17241 Defendants COURT OF No. VERIFICATION I, TIMOTHY SHEEHAN, do hereby depose and state that : • I am an authorized representative of the • I possess sufficient personal knowledge -- b the Plaintiff s regularly-maintained business • the factual allegations set forth in this I are true and correct to the best of my • the transaction herein at issue is entirely • the documents attached hereto are true and • the Defendant is in default as hereinabove set • this verification is taken subject to the 1 4904 relating to unsworn falsification to By : SHEEHAN, for Plaintiff viMON PLEAS COUNTY, PA i in part upon a review of ords -- to do so; in Confession of Judgment e, information and belief, acial in nature; °ct copies of the originals; orth; and ; of 18 Pa.C.S.A. Section Representative C3 -IQ- ?J J C: i oz?? IN THE COURT OF COMMON PLEAS of CU CIVIL ACTION - LAW PRAMCO HI, LLC 6894 Pittsford-Pahnyra Road Fairport, NY 14450 Plaintiff vs. SAMUEL A. CALAMAN individually and trading as CALAMAN'S LAWN SERVICE and JUANITA E. CALAMAN 456 Mount Rock Road Newville, PA 17241 Defendants TO : JUANITA E. CALAMAN 456 Mount Rock Road Newville, PA 17241 COURT OF COUNTY IMON PLEAS COUNTY, PA No. 4 6 - 3106 NOTICE Notice is given that a Judgment in the above-captioned against you, on By: BY If you have any questions concerning the above, please contact: Attomey of Party Filing WILLIAM J. LEVANT, Address KAPLINSTEWART 910 Harvest Drive Post Office Box 3037 City. State. Zip Code BLUE BELL, PA 19422 Telephone Number (610)260-6000 (1V1( fcr^ has been entered F REITER & STEIN, P.C. SHERIFF'S RETURN - REGULAR I r CASE NO: 2006-03100 P COMMONWEALTH OF PENNSYLVANIA: COUNTY OF CUMBERLAND PRAMCO III LLC VS CALAMAN SAMUEL A ET AL SHARON LANTZ , Sheriff or Deputy Sheriff of Cumberland County,Pennsylvania, who being duly sworn according to law, says, the within NOTICE UNDER RULE 2958.1 was served upon CALAMAN SAMUEL A the DEFENDANT , at 1906:00 HOURS, on the 30th day of June 2006 at 456 MOUNT ROCK ROAD NEWVILLE, PA 17241 LANA THUMMA, MOTHER IN LAW by handing to ADULT IN CHARGE a true and attested copy of NOTICE UNDER RULE 2958.1 together with OF JUDGMENT AND EXECUTION THEREON and at the same time directing Her attention to the contents thereof. Sheriff's Costs: So Answers: Docketing 18.00 Service 7.04 Postage .39 Surcharge 10.00 R. Thomas Kline .00 35.43 / 07/05/2006 KAPLIN STEWART MELOFF REITER Sworn and Subscibed to By: before me this day eputy Sherif of A.D. SHERIFF'S RETURN - REGULAR + CASE NO: 2006-03100 P COMMONWEALTH OF PENNSYLVANIA: COUNTY OF CUMBERLAND PRAMCO III LLC VS CALAMAN SAMUEL A ET AL SHARON LANTZ , Sheriff or Deputy Sheriff of Cumberland County,Pennsylvania, who being duly sworn according to law, says, the within NOTICE UNDER RULE 2958.1 was served upon CALAMAN SAMUEL A T/A CALAMAN'S LAWN SERVICE the DEFENDANT , at 1906:00 HOURS, on the 30th day of June 2006 at 456 MOUNT ROCK ROAD NEWVILLE, PA 17241 by handing to LANA THUMMA, MOTHER IN LAW, ADULT IN CHARGE a true and attested copy of NOTICE UNDER RULE 2958.1 together with OF JUDGMENT AND EXECUTION THEREON and at the same time directing Her attention to the contents thereof. Sheriff's Costs: So Answers: Docketing 6.00 Service .00 Affidavit .00 Surcharge 10.00 R. Thomas Kline .00 16.00,/ 07/05/2006 171,,4tOt KAPLIN STEWART MELOFF REITER Sworn and Subscibed to By: before me this day eputy Sheriff of A.D. SHERIFF'S RETURN - REGULAR I + CASE NO: 2006-03100 P COMMONWEALTH OF PENNSYLVANIA: COUNTY OF CUMBERLAND PRAMCO III LLC VS CALAMAN SAMUEL A ET AL SHARON LANTZ Sheriff or Deputy Sheriff of Cumberland County,Pennsylvania, who being duly sworn according to law, says, the within NOTICE UNDER RULE 2958.1 was served upon CALAMAN JUANITA E the DEFENDANT at 1906:00 HOURS, on the 30th day of June , 2006 at 456 MOUNT ROCK ROAD NEWVILLE, PA 17241 LANA THUMMA, MOTHER by handing to ADULT IN CHARGE a true and attested copy of NOTICE UNDER RULE 2958.1 together with OF JUDGMENT AND EXECUTION THEREON and at the same time directing Her attention to the contents thereof. Sheriff's Costs: So Answers: Docketing 6.00 Service .00 51 y Affidavit .00 Surcharge 10.00 R. Thomas Kline nn 16.00,/ 07/05/2006 C 7l2,w/v KAPLIN STEWART MELOFF REITER Sworn and Subscibed to By: VMIJ f before me this day Deputy Sheri f of A.D. o IN THE COURT OF COMMON PLEAS CUMBERLAND COUNTY, PENNSYLVANIA PRAMCO III, LLC 6894 Pittsford-Palmyra Road Fairport, NY 14450 Plaintiff, V. SAMUEL A. CALAMAN Individually and trading as CALAMAN'S LAWN SERVICE and JUANITA E. CALAMAN 456 Mount Rock Road Newville, PA 17241 Defendants. CIVIL ACTION No. 06-3100 ASSIGNMENT OF JUDGMENT KNOW ALL MEN BY THESE PRESENTS, that PRAMCO III, LLC, ("Assignor") for good and valuable consideration, receipt of which is hereby acknowledged, does hereby grant, bargain, convey, transfer, assign and make over to SOPRAMCO III REO, LLC, whose address is 230 CrossKeys Office Park, Fairport, New York 14450 (together with its successors and assigns, "Assignee'), a certain judgment recovered by Assignor in the Court of Common Pleas of Cumberland County, Pennsylvania, recovered as of May 31, 2006, against Defendants Samuel A. Calaman, individually and trading as Calaman's Lawn Service, and Juanita E. Calaman, for the sum of $54,071.86 with interest from May 31, 2006; together with all the benefits and advantages that may be obtained thereby, and full power to enforce and recover the judgment to its own use. Assignor further authorizes and empowers the Prothonotary or any attorney on behalf of the Assignee to mark the judgment to the Assignee's use. IL •s IN WITNESS WHEREOF, I have set my hand and seal this 24th day of October, 2008, to be effective August 21, 2008. PRAMCO III, LLC, as Assignor By Timothy P. Sheehan Its Authorized Representative ACKNOWLEDGMENT STATE OF NEW YORK ) ss.. COUNTY OF MONROE ) On the c? t) day of October, 2008, before me, the undersigned, personally appeared Timothy P. Sheehan, personally known to me or proved to me on the basis of satisfactory evidence to be the individual whose name is subscribed to the within instrument and acknowledged to me that he executed the same in his capacity, and that by his signature on the instrument, the individual, or the person upon behalf of which the individual acted, executed the instrument. 'ARY ALISON LEE'HUTCHINGS Nabry Public, State of New lick Monroe County COM133100 Expires February 20, 20 i 2 ?+? C3 qtr, . C2 s -13 rr 06 rri 3 ?a KAPLIN STEWART MELOFF REITER & STEIN, P.C. BY: William J. Levant, Esquire I.D. No. 54286 910 Harvest Drive Post Office Box 3037 Blue Bell, PA 19422 (610) 260-6000 Telecopier (610) 684-2020 Withdrawing Attorneys for Plaintiff PRAMCO III, LLC Plaintiff vs. SAMUEL A. CALAMAN individually and trading as CALAMAN'S LAWN SERVICE and JUANITA E. CALAMAN Defendants COURT OF COMMON PLEAS CUMBERLAND COUNTY, PA No. 06-3100 - Civil WITHDRAWAL OF APPEARANCE TO THE PROTHONOTARY; Kindly withdraw the appearance of the undersigned on behalf of the Plaintiff in the above-captioned matter. Dated: 11/20/08 STEW MELOFF REITER & STEIN, P.C. ? ?. 1... - . 6 ??.... ?r-y l.,.../ ..?.. C-":? . THE CHARTWELL LAW OFFICES, LLP Robert J. Murtaugh, Esquire (#57494) Ron L. Woodman, Esquire (#88450) Valley Forge Corporate Center 970 Rittenhouse Road, Suite 300 Eagleville, PA 19403 Telephone: (610) 666-7700 Facsimile: (610) 666-7704 Attorneys for Plaintiff PRAMCO III, LLC, Plaintiffs, vs. COURT OF COMMON PLEAS CUMBERLAND COUNTY, PA CIVIL ACTION No. 06-3100 SAMUEL A. CALAMAN, Individually and trading as CALAMAN'S LAWN SERVICE AND J UANITA E. CALAMAN Defendants. ENTRY OF APPEARANCE Kindly enter the appearance of Robert J. Murtaugh, Esquire and Ron L. Woodman, Esquire of The Chartwell Law Office, LLP as Counsel for the Plaintiff, Pramco III, LLC, in the above-captioned matter. THE CHARTNvia LAW OFFICES, LLP Dated: December 3, 2008 By: ??C C Robert J. Murta , Esquire (#4) f" By: R 6n L. Woodman, Esquire (#88450) .?-_? , -- ' '?i ? `+ ' ?. IN THE COURT OF COMMON PLEAS CUMBERLAND COUNTY, PENNSYLVANIA PRAMCO III, LLC 6894 Pittsford-Palmyra Road Fairport, NY 14450 Plaintiff, V. SAMUEL A. CALAMAN Individually and trading as CALAMAN'S LAWN SERVICE and , JUANITA E. CALAMAN 456 Mount Rock Road Newville, PA 17241 Defendants. CIVIL ACTION No. 06-3100 p - ` ASSIGNMENT OF JUDGMENT KNOW ALL MEN BY THESE PRESENTS, that SOPRAMCO III REO, LLC, whose address is 230 CrossKeys Office Park, Fairport, New York 14450 ("Assignor") for good and valuable consideration, receipt of which is hereby acknowledged, does hereby grant, bargain, convey, transfer, assign and make over to FAIR-PORT ASSET MANAGEMENT, LLC, whose address is 230 CrossKeys Office Park, Fairport, New York 14450 (together with its successors and assigns, "Assignee"), a certain judgment recovered by Assignor in the Court of Common Pleas of Cumberland County, Pennsylvania, recovered as of May 31, 2006, against the Defendants in the amount of $54,071.86, with interest from May 31, 2006 ("Judgment"); together with all the benefits and advantages that may be obtained thereby, and full power to enforce and recover the Judgment to its own use. PC! o? -oo 04' PLC assn &,, Assignor further authorizes and empowers the Clerk of Courts or any attorney on behalf of the Assignee to mark the judgment to the Assignee's use. IN WITNESS WHEREOF, I have set my hand and seal the It (-?ay of December, 2010, to be effective as of the 19th day of November, 2010. SOPRAMCO III REO, LLC, as Assignor By: ? Timothy P. Sheehan Authorized Representative ACKNOWLEDGMENT STATE OF NEW YORK ) ss.: COUNTY OF MONROE ) On the ?? day of December, 2010, before me, the undersigned, personally appeared Timothy P. Sheehan, personally known to me or proved to me on the basis of satisfactory evidence to be the individual whose name is subscribed to the within instrument and acknowledged to me that he executed the same in his capacity, and that by his signature on the instrument, the individual, or the person upon behalf of which the individual acted, executed the instrument. otary P 1 ALISON L UTCNIN GS Notary PLIHW, State Of HIM York foomme County Commission Expires February 20,20 11 S:\LOANWomp ny 138\138230009\Assignm nt of Judgment-06-3100.dm 2 IN THE COURT OF COMMON PLEAS 4t ` CUMBERLAND COUNTY,PENNSYLVANIA 20/4, 1 � , t2PENN4AIL) cout PRAMCO III, LLC 6894 Pittsford -Palmyra Road Fairport, NY 14450 Plaintiff, CIVIL ACTION v. No. 06-3100 SAMUEL A. CALAMAN Individually and trading as CALAMAN'S LAWN SERVICE and JUANITA E. CALAMAN 456 Mount Rock Road Newville, PA 17241 Defendants. SATISFACTION OF JUDGMENT WHEREAS, a judgment was entered in the above action on May 31, 2006, in favor of Plaintiff and against Defendant in the amount of $54,071.86 with interest, and said Judgment was assigned to (A) Sopramco III REO, LLC, pursuant to that certain Assignment of Judgment dated as of August 21, 2008, filed on November 3, 2008, in the Court of Common Pleas, Cumberland County, Pennsylvania and (B) Fairport Asset Management, LLC, pursuant to that certain Assignment of Judgment dated as November 19, 2010, filed on February 25, 2011, in the Court of Common Pleas, Cumberland County, Pennsylvania, and (C) having been fully paid, and it is certified that there are no outstanding executions with any sheriff or marshal. THEREFORE, full and complete satisfaction of said judgment is hereby acknowledged, and the Clerk of the Court is hereby authorized and directed to make an entry of the full and complete satisfaction on the docket of said judgment. Dated: Fairport, New York May L, 2014 FAIRPORT ASSET MANAGEMENT, LLC By: J M. Himmelberg Authorized Representative ACKNOWLEDGMENT STATE OF NEW YORK ) ) ss.: COUNTY OF MONROE ) On the 7 "day of May, 2014, before me, the undersigned, personally appeared John M. Himmelberg, personally known to me or proved to me on the basis of satisfactory evidence to be the individual whose name is subscribed to the within instrument and acknowledged to me that he executed the same in his capacity, and that by his signature on the instrument, the individual, or the person upon behalf of which the individual acted, executed the instrument. S:\LOANS\Company 138\138230009\Satisfaction of Judgment - 06-3100,doc 0J,0 01 ((((l Notary I'ubl�c JULIA A. HILL Notary Public in the State of New York MONROE COUNTY Commission Expires August 8, Zoc �(