HomeMy WebLinkAbout06-7194David F. O'Leary, Esquire
Attorney I.D. No. 34946
David C. Sirolly, Esquire
Attorney I.D. No. 200646
BROADS & SINON LLP
One South Market Sq., 12th Floor
P.O. Box 1146
Harrisburg, PA 17108-1146
(717)233-5731
Attorneys for Plaintiff
THE HARRISBURG ACADEMY, IN THE COURT OF COMMON PLEAS
Plaintiff, :CUMBERLAND COUNTY, PENNSYLVANIA
v.
GUS KOKOS and :Docket No. ~ - ~'~ Qy _ t v a -~
CONNIE KOKOS, ~~~
Defendants.
NOTICE
YOU HAVE BEEN SUED IN COURT. If you wish to defend against the claims set forth
in the following pages, you must take action within twenty (20) days after this Complaint and
Notice are served, by entering a written appearance personally or by attorney and filing in writing
with the Court your defenses or objections to the claims set forth against you. You are warned that
if you fail to do so the case may proceed without you and a judgment maybe entered against you by
the Court without further notice for any money claimed in the Complaint or for any other claim or
relief requested by the Plaintiff. You may lose money or property or other rights important to you.
YOU SHOULD TAKE THIS PAPER TO YOUR LAWYER AT ONCE. IF YOU DO
NOT HAVE A LAWYER, GO TO OR TELEPHONE THE OFFICE SET FORTH BELOW. THIS
OFFICE CAN PROVIDE YOU WITH INFORMATION ABOUT HIItING A LAWYER.
IF YOU CANNOT AFFORD TO HIRE A LAWYER, THIS OFFICE MAY BE ABLE TO
PROVIDE YOU WITH INFORMATION ABOUT AGENCIES THAT MAY OFFER LEGAL
SERVICES TO ELIGIBLE PERSONS AT A REDUCED FEE OR NO FEE.
CUMBERLAND COUNTY BAR ASSOCIATION
32 S. Bedford Street
Carlisle, PA 17013
(717) 249-3166
631153.1
David F. O'Leary, Esquire
Attorney I.D. No. 34946
David C. Sirolly, Esquire
Attorney I.D. No. 200646
BROADS & SINON LLP
One South Market Sq., 12th Floor
P.O. Box 1146
Harrisburg, PA 17108-1146
(717)233-5731
Attorneys for Plaintiff
THE HARRISBURG ACADEMY,
Plaintiff,
IN THE COURT OF COMMON PLEAS
CUMBERLAND COUNTY, PENNSYLVANIA
v.
GUS KOKOS and :Docket No. 0Ca - '1 / 9 } ~ ~ ~ L
CONNIE KOKOS, ~~
Defendants.
COMPLAINT
The Harrisburg Academy (the "Academy"), by its attorneys, Rhoads & Sinon LLP, files
this Complaint against Gus and Connie Kokos (collectively hereafter, the "Defendants"). In
support of this Complaint, the Academy avers as follows:
1. The Academy is an independent school, which educates students from the pre-
school level through twelfth grade and is located at 10 Erford Road, Wormleysburg,
Pennsylvania.
2. Gus and Connie Kokos are adult individuals with a last known address of 3
Saratoga Place, Camp Hill, Pennsylvania 17011.
3. This action arises under the laws of the Commonwealth of Pennsylvania and is
within the subject matter jurisdiction of this Court. Venue is proper pursuant to Rule 1006(a)(1)
of the Pennsylvania Rules of Civil Procedure. Pa. R. Civ. P. 1006(a)(1).
1
COUNTI
Breach of Contract
(2006-2007 Enrollment Agreement)
4. The Academy incorporates the Paragraphs set forth above as if fully set forth
herein.
5. On or about March 10, 2006, Defendants entered into a valid and enforceable
enrollment contract with the Academy by which Defendants secured a place for their Son in the
seventh grade class at the Academy for the 2006-2007 academic year (hereafter, the "2006-2007
Enrollment Agreement," attached hereto as Exhibit A).
6. In relevant part, the 2006-2007 Enrollment Agreement states as follows:
We understand that by signing and returning this Enrollment Agreement we have
unconditionally obligated ourselves to pay the full year's tuition and fees ... for
the applicable grade, and are reserving a place for the above-listed child for the
entire academic year. We understand that the Academv makes important
decisions regarding the hiring and retention of teachers and staff and the
admission and recruitment of students based on the number of Enrollment
Agreements received. We understand that the Academv relies on the promises
made in these Enrollment Agreements and expects that these promises will be
kept. We understand and agree that except as described in Paragraph 2 below,
our obligation for the full year's tuition and fees will not be reduced or excused
by our cancellation of this Enrollment Agreement or by the withdrawal of the
above-named child from the Academv, dismissal from the Academy, illness,
disability, death or any other absence for any cause at any time since we
recognize and acknowledge that such cancellation, withdrawal, dismissal or
absence will not materially reduce the Academy's costs, or permit the Academy
to recoup lost income, and that therefore payment of the full year's tuition and
fees is [a] fair and reasonable measure of the damages which the Academy will
suffer in such event. We understand the fact that the Academy allows tuition or
fees to be paid in installments does not affect our liability for the full year's
tuition. If any balance due on the applicable payment plan remains unpaid for
thirty (30) days after written demand for payment, the account maybe referred to
the Academ ~'s attorneys for collection. All attorneys' fees and collection fees
plus interest and costs, shall be added to the outstanding balance. The default
rate of interest shall be 12% per annum.
2
[2006-2007 Enrollment Agreement, ¶ 1 (emphasis in original)]. The above-quoted provision is
hereafter referred to as the "Damages Provision."
7. Additionally, the 2006-2007 Enrollment Agreement states as follows:
Notwithstanding our promise in~aragraph 1 above to pay full tuition and fees for
the above-named child upon signin this Agreement we understand and agree
that if we provide the business office of the Academv with written notice of our
decision to cancel this Enrollment Agreement prior to June 16 2006 the
Academv will reduce the amount we owe to the Academy to the sum noted
below. Written notice for purposes of this Agreement is any mode of
delivery with a signed acknowledgement by the Business Office staff
including Certified Mail, Federal Express or personal delivery to the
Business Office.
Date Written Notice of Cancellation
Is Received by Business Office Amount Owed Is Reduced To:
Prior to May 15, 2006 $750 (non-refundable deposit will be retained by the Academy)
May 15, 2006 -June 15, 2005 $3250 (this amount includes the $750 non-refundable deposit)
Full tuition and fees are owed for any cancellation of this Enrollment
Agreement or the withdrawal or dismissal of the above-named child that
occurs on or after June 16, 2006 as stated in paragraph (1) above.
[2006-2007 Enrollment Agreement, ¶ 2 (emphasis in original)). The above-quoted provision is
hereafter referred to as the "Cancellation Provision."
8. In further relevant part, the 2006-2007 Enrollment Agreement contains the
following provision:
We understand and agree that if the above-named child is dismissed from or
leaves the Academy for any reason, the full amount of tuition and fees becomes
due immediately, and if any payment for tuition or fees owing to the Academy is
past due in whole or in part, the Academy reserves the right to remove the child
from school, and such action by the Academy shall not affect its rights to full
payment of tuition or fees as set forth above.
3
[2006-2007 Enrollment Agreement, ¶ 6]. The above-quoted provision is hereafter referred to as
the "Reservation of Rights Provision."
9. For the academic year for 2006-2007, the total amount for tuition and fees for a
seventh grade student is $ 13,180.00. [2006-2007 Enrollment Agreement, p. 2].
10. Upon information and belief, on or before June 15, 2006, Defendants failed to
provide the Academy with any notice, no less written notice as contemplated by the Cancellation
Provision of the 2006-2007 Enrollment Agreement, that their Son would not be attending the
Academy for the 2006-2007 academic year.
11. Upon information and belief, not until on or about August 14, 2006, did
Defendants inform the Academy that their Son would be attending a different school for the
2006-2007 academic year.
12. Through the 2006-2007 Enrollment Agreement, Defendants entered into a valid
and enforceable contract with the Academy by which the Academy committed to reserve a place
for the Defendants' Son in the seventh grade class for the 2006-2007 academic year.
13. Through the Damages Provision, the Cancellation Provision and the Reservation
of Rights Provision, among other provisions, within the 2006-2007 Enrollment Agreement, the
Defendants became obligated to pay to the Academy the full tuition and fees for the 2006-2007
academic year for their Son if withdrawn from the Academy after June 15, 2006.
14. Upon information and belief, the Defendants withdrew their Son from the
Academy after June 15, 2006 having provided no notice of such withdrawal to the Academy
until on or about August 14, 2006, only about two weeks before the start of the school year.
4
15. Upon information and belief, despite a demand having been made, the Defendants
have not paid the Academy the full tuition and fees for the 2006-2007 academic year for their
Son who was withdrawn from the Academy after June 15, 2006, and, as such, the Defendants are
in breach of the 2006-2007 Enrollment Agreement.
16. The Academy has been damaged by such breach and is entitled, as a result, to the
damages agreed to by the Defendants in the 2006-2007 Enrollment Agreement including the
unpaid tuition and fees, all attorneys' fees and collection fees plus interest at 12% per annum and
costs, which shall be added to the outstanding balance.
WHEREFORE Plaintiff, the Academy, requests that it be awarded damages with respect
to Count I in the amount of $12,430.00, constituting the unpaid tuition and fees for the 2006-
2007 academic year for the Defendants' Son, together with interest at 12% per annum beginning
from an initial payment due date of August 1, 2006, the Academy's costs and expenses of suit,
including attorneys' fees and collection fees, and any other damages that this Court deems
appropriate.
COUNT II
Promissory Estoupel
17. The Academy incorporates the Paragraphs set forth above as if fully set forth
herein.
18. The Defendants promised to pay to the Academy the full tuition and fees for their
Son for the 2006-2007 academic year for which the Defendants reserved a place for him in the
seventh grade at the Academy if, as occurred, the Son was withdrawn from the Academy after
June 15, 2006. Additionally, if applicable, the Defendants committed to pay to the Academy
interest on any unpaid balances, attorneys' fees and collection fees.
5
19. Upon information and belief, Defendants have failed to honor their promise to
pay to the Academy the full tuition and fees for their Son for the 2006-2007 academic year.
20. The Academy substantially performed all of its obligations owed to the
Defendants through the respective enrollment agreement by reserving a place in the seventh
grade class at the Academy for Defendants' Son for the 2006-2007 academic year and was
further prepared to follow through on the Academy's commitment to provide an education to the
Son for the 2006-2007 academic year.
21. The Academy reasonably and justifiably relied upon the Defendants' promises to
pay for the Academy's services and the Academy was prepared to fully perform.
22. As a direct and proximate cause of the Academy's reliance on the Defendants'
promises to pay, the Defendants benefited, at the Academy's expense, by having a place reserved
in the seventh grade class at the Academy for their Son for the 2006-2007 academic year.
23. Upon information and belief, after the Son was withdrawn only two weeks before
the start of the 2006-2007 academic year, despite reasonable efforts, the Academy was unable to
fill the seventh grade class in which the Defendants' Son had reserved a place and, as a result,
the Academy lost income in the amount of the full tuition and fees, less a $750 deposit paid by
Defendants on or about March 10, 2006, that the Academy was entitled to receive after June 15,
2006, for having held a place in the seventh grade class at the Academy for the Defendants' Son.
24. Injustice has resulted and will continue to result if the Defendants' promises to
pay the Academy are not enforced.
6
25. Injustice in this case can only be avoided by enforcing the promises made by
Defendants to pay, if the Defendants withdrew their Son after June 15, 2006, to pay the full
tuition and fees for the Son for the 2006-2007 academic year.
WHEREFORE Plaintiff, the Academy, requests that it be awarded damages in the
amount of $12,430.00, constituting the unpaid tuition and fees for the 2006-2007 academic year
for the Defendants' Son, together with interest at 12% per annum, the Academy's costs and
expenses of suit, including attorneys' fees and collection fees, and any other damages that this
Court deems appropriate.
Respectfully submitted,
BROADS & SINON LLP
.~.J p~,~-i~ 1... , ,
By:
David F. O'Leary, Esquire
David C. Sirolly, Esquire
One South Market Square
P. O. Box 1146
Harrisburg, PA 17108-1146
(717) 233-5731
Attorneys for Plaintiff
7
VERIFICATION
David C. Zett, deposes and says, subject to the penalties of 18 Pa. C.S. §4904 relating to
unsworn falsification to authorities, that he is the Business Manager of the Harrisburg Academy,
and that he makes this verification through his authority and that the facts set forth in the
foregoing document are true and correct to the best of his knowledge, information and belief.
Date David C. Zett
EXHIBIT A
"2006-2007 Enrollment Agreement"
~. 6' 31>~l~b
^ ~ HARRISBURG ACAbE1VIY ~ ~ S~O
l0 Erford Road ~P
Wormleysbwg, PA 17043 `
Harrisbwg Academy is pleased to welcome yow family to ow educational community for the 2006-07 academic year. We are happy .;
to know that your'child will experience the many benefits of the liberal arts education which Harrisburg Academy offers our student§.
Below is the Enrollment Agreement for yow child. Please read it carefully.
..2006.--p7. ENROLLMENT AGREEMENT
(1) Harrisburg Academy ("the Academy") having offered enrollment to iiaaai 1Cokoa for the ;
academic year 2006-07 as a student in grade 7 , we herewith forward as anon-refundable advance deposit on account of tuition for that academic
year in the amount of 57so.oo. We understand that by signing and returning this Enrollment Agreement we have unconditionally obligated ourselves
to pay the full year's tuition and foes, as shown on the reverse side of this page, for the applicable grade, and are reserving a place for the above-listed
child for the entire academic year. We understand that the Academv makes important decisions re¢ardin¢ the hirin¢ and retention of t~echers and
staff and the admission and recruitment of students based on the number of Enrollment Agreemems received. We understand that the Academv
relies on the promises made in these Enrollment Agreements and expects that these promises will be kept. We understand and agree that extit es
described in para¢ravh 2 below, ow obligation for the full year's tuition and fees will not be redutxd or excused by ow cancellation of-this
Errrolhnent A¢rcement or by the withdrawal of the above-named child from the Academv. dismissal from the Academy, illness, disability; death or
any other absence for any cause at anv time since we recognize and acknowledge that such cancellation. withdrawal, dismissal or absence will not
materially reduce the Academ~+'s costs, or permit the Academy to recoup lost income, and that therefore payment of the full year's tuition acid fees is
fair and reasonable measure of the damages which the Academy will suffer in such event. We understand the fact that the Academy allows tuition or
fees to be paid in installments does not affect our liability for the full year's tuition: If any balance due on the applicable payment plats remains
unpaid for. thirty (30) days after written demand for payment, the account may be referred to the Academy's attorneys for collection. All attorneys'
fees and collection fees plus interest and costs, shall be added to the outstanding balance. The default rate of interest shall be 12% per annum.
(2)
prior to lone 16.2006. the Academv will reduce the amount we owe to the Academv to the sum noted below. Written notice for pnrpoies of tiiia
Agreement i$ say mode of tlelivery with a signed acknowledgment by the Business Office staff including Certified Mail, Federal Expre§t or
personiil'delivery to the $nsiaess Office.
Date Written Notice of Cancellation
Is<Rer~ by Business Office Amount Owed Is Reduced To:
Prior to May 1 S, 2006
May l S, 2006 -June l5, 2006
$750 (non-refundable deposit will be retained by the Academy)
53250 (this amount includes the 5750 non-refundable deposit)
Full tuition and fees are owed for any cancellation o! this Enrollment Agreement or the withdrawal or dismissal of the
above-named child that occurs on or after June 16, 2006 as stated in paragraph (1) above.
(3) We understand and agree that by signing this Enrollment Agreement for the coming academic year we accept the rules and regulations of
the Academy as of this date and such rules and regulations as it may issue from time to time hereafter.
(4) We understand and agree that unless otherwise directed in writing by both parents/legal guardians of the above-named child, it is the policy
of the Academy to provide equal access to all information concerning the child to those parents or legal guardians who execute this l:nrollrnerit
Agreement,. ("Signators„)
(S) We understand the Academy will provide mailings and student information to the Signators at the ad9ress(es) provided. The At~einy
administrative and teaching staff will make such information available to the Signators. By executing this Agreement, we certify that we, dive
parental or legal guardianship rights with respect to the above-named child. We understand that the Academy will not provide such infoiination to
any. other individual,, including non-custodial parents or step-parents, unless a written request, accompanied by appropriate and adequatt; ~'riiof iri
writing of right-to-access to such information, is provided and signed by the parents legal guardians to the Academy.
(6) We understand and agree that if the above-named child is dismissed from or leaves the Academy for any reason, the foil amount of htitlotl
and fees becomes dtie immediately, and if any payment for tuition or fees owing to the Academy is past due in whole or in patt, tliiz Ac~del`ny
reserves the right to remove the child from school, and such action by the Academy shall not affect its rights to full payment of tuition or fees es sal
forth above. The decision of the Head of School to remove or to dismiss the child shall be final and legally binding in all circumstances.
(7) We also understand that the Academy makes available to us the Tuition Refund Plan, an insurance program described in the er3c~b5ed
leaflet. We understand and agree that if we have not paid the annual tuition and fees in full, by August 25, 2006, w~ must participate in the Tiiitibn
Refund Plan or must present evidence satisfactory to the Academy that we have secured comparable coverage elsewhere. Participation is elective for
those who pay the total annual tuition and foes by August 25, 2006. Acne-time annual premium for the Tuition Refund Plan will be billed when
tuition is billed. This program will give us an opportunity to insure a portion of tuition, annual charges or fees (prepaid and due) in the evisiil of
absence or separation of the above-named child, according to the terms of the policy. Additionally, we authorize and direct the Academy to lrollect
any claim or payment to which we are entitled under the Tuition Refund Plan and to credit our account, paying any excess to us. We hereby appoint
the Academy's Business Manager as our attorney-in-fact to sign any documents to collect any such claim or payment.
Page 1 of 2
,,
Method of Tuition and Fee Payment (Check A or B in the appropriate space below)
As part of this Agreement we are indicating below the tuition and fees payment method that we would like to use:
A. Payment in full by August 25, 2006. (The coupon monthly payment plan must be used after this date.)
We Want Tuition Refund Insurance: YES NO
B. Coupon Monthly Payment Plan -Eleven (11) or less, monthly payments commencing August 1, 2006, due tliecal
the first day of each month. (There is a service charge for using this plan.) Tuition Refund Insurance is tedilii~.
We understand that by indicating payment Plan B above, that we authorize the Academy to conduct a credit checiC before
agreeing to the payment terms requested.
We agree to pay a X25.00 fee for any check returned to the Academy for non-payment.
A $750.00... enrollment deposit for the 2006-07 school year must be included with this s~~daz8
Agreement for the Asreement to be valid.
We understand and agree that this Enrollment Agreement is a binding legal contract We are signng
this Enrollment Agreement with the mtentlon of being legally bound.
Date '3 - ~ (~ 20 0 6
Name of Parent or Guardian Signature of Parent or Guardi~rr
Date '?, ' [ ~ 20~[z _ 6'-1`~ K Kd S off _
R ,~~
Name of Parent or Guardian Signature of Parent or Guardian
Date 20
RETURN TWO SIGNED COPIES TO ABOVE ADDRESS
Schedule of Tuition and Fees
Junior Kindergarten, Kindergarten, snd Grades l through I2
2006-07 Academic Year
GRADE LEVEL Jr K K 1-4 5-8 g_I~*
TUITION 8c FEES S 10,310 S 11,365 S 11,955 S , 13,180 S 13,590
TUITION REFUND INSURANCE
. (opuona~'if paying in full; required if paying monthly) $ 186 S 205 ~ 215 $ 237
TOTAL S 10,496 ~ 11,570 S 12,170 ~ 13,417 S 13,835
PAYMENT PLAN SERVICE CHARGE
uit~cd if in monthl ~ 422 S 469 S 495 S 548 S 565
Monthly payments will be calculated according to when payments start, financial aid received, deposit provided, and other factors.
Monthly payments are to be made the first business day of each month, August 1, 2006 through June 1, 2007.
Hours:
Full Day: 8:00 A.M. to 3:00 P.M.
Page 2 of 2
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David F. O'Leary, Esquire
Attorney LD. No. 34946
David C. Sirolly, Esquire
Attorney I.D. No. 200646
BROADS & SINON LLP
One South Market Sq., 12th Floor
P.O. Box 1146
Harrisburg, PA 17108-1146
(717)233-5731
Attorneys for Plaintiff
THE HARRISBURG ACADEMY,
Plaintiff,
v.
GUS KOKOS and
CONNIE KOKOS,
Defendants.
IN THE COURT OF COMMON PLEAS
CUMBERLAND COUNTY, PENNSYLVANIA
Docket No. 2006-07194
PRAECIPE FOR DISCONTINUANCE
TO THE PROTHONOTARY:
Pursuant to Rule 229 of the Pennsylvania Rules of Civil Procedure, Plaintiff, the Harrisburg
Academy, by and through its attorneys, Rhoads & Sinon LLP, respectfully requests that the docket
in this matter be marked settled, discontinued and ended.
Respectfully submitted,
BROADS & SINON LLP
t B ~Y
By:
David F. O'Leary, Esquire
David C. Sirolly, Esquire
One South Market Square
P. O. Box 1146
Harrisburg, PA 17108-1146
(717) 233-5731
Attorneys for Plaintiff
Dated: February 20, 2007
640869.1
CERTIFICATE OF SERVICE
I hereby certify that on February 20, 2007, a true and correct copy of the foregoing document was
served by means of United States mail, first class, postage prepaid, upon the following:
Gus and Connie Kokos
3 Saratoga Place
Camp Hill, Pennsylvania 17011
Steve C. Nicholas, Esquire
Nicholas Law Offices, PC
Northwood Office Center
2215 Forest Hills Drive, Suite 37
Harrisburg, PA 17112-1099
Kelly G yer
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SHERIFF'S RETURN - REGULAR
CASE NO: 2006-07194 P
COMMONWEALTH OF PENNSYLVANIA:
COUNTY OF CUMBERLAND
HARRISBURG ACADEMY THE
VS
KOKOS GUS ET AL
GERALD WORTHINGTON
Sheriff or Deputy Sheriff of
Cumberland County,Pennsylvania, who being duly sworn according to law,
says, the within COMPLAINT & NOTICE
KOKOS GUS
DEFENDANT
was served upon
the
at 1835:00 HOURS, on the 3rd day of January 2007
at 3 SARATOGA PLACE
CAMP HILL, PA 17011 by handing to
CONNIE KOKOS, WIFE
a true and attested copy of COMPLAINT & NOTICE______
together with
and at the same time directing Her attention to the contents thereof.
Sheriff's Costs: So Answers:
Docketing 18.00
Service 12.32 ~,~!j7
Postage .39 ;~~'_"o-~r~~ ~~.,.:«~-..~'
Surcharge 10.00 R. Thomas Kline
~I~,yJo7 (~.,, .00
~/ 40.71
01/05/2007
RHOADS & SINON
Sworn and Subscibed to By:
before me this day Depu y Sh iff
of A.D.
SHERIFF'S RETURN - REGULAR
., ,.
CASE NO: 2006-07194 P
COMMONWEALTH OF PENNSYLVANIA:
COUNTY OF CUMBERLAND
HARRISBURG ACADEMY THE
VS
KOKOS GUS ET AL
GERALD WORTHINGTON Sheriff or Deputy Sheriff of
Cumberland County,Pennsylvania, who being duly sworn according to law,
says, the within COMPLAINT & NOTICE was served upon
r7/"1 il/1f'~ rr1ATATT ti, the
DEFENDANT at 1835:00 HOURS, on the 3rd day of January 2007
at 3 SARATOGA PLACE
CAMP HILL, PA 17011 by handing to
CONNIE KOKOS
a true and attested copy of COMPLAINT & NOTICE together with
and at the same time directing Her attention to the contents thereof.
Sheriff's Costs:
Docketing 6.00
Service .00
Affidavit .00
Surcharge 10.00
~)a ~ ~o'- ~ 00
16.0 0
Sworn and Subscibed to
before me this day
of ,
So Answers:
:~~~~
R. Thomas Kline
01/05/2007
RHOADS & SINON
By:
Deputy Sh iff
A.D.